Mahindra Lifespace Developers (532313) Q4 24/25 earnings summary

Executive summary

• Strategic focus on scaling pre-sales to ₹8,000–10,000 crore by FY2030, with 70–80% of required land secured and a shift to premium residential projects in Mumbai, Pune, and Bengaluru, while sunsetting affordable housing commitments by FY2029.

• Achieved ₹2,804 crore in residential sales for FY25, up from ₹2,328 crore in FY24, with premium sales contributing 71% of value in FY25 and expected to reach 97% by FY30.

• Significant GDV addition: ₹18,100 crore in FY25, with a two-year GDV addition of ₹39,000 crore and a robust pipeline for future launches.

• Standalone and consolidated financial results for Q4 and FY25 were approved, with unmodified audit opinions confirming compliance and fair presentation under Indian Accounting Standards.

• Dividend of ₹2.80 per share (28%) recommended, subject to shareholder approval.

Financial highlights

• FY25 income from operations rose to ₹372 crore (from ₹200 crore), with total income at ₹1,446 crore, up 45% year-over-year.

• EBITDA and PBT grew 26–27%, reflecting improved profitability; operating cash flows reached a record ₹832 crore, driven by strong residential collections (up 30%).

• Residential collections for FY25 were ₹1,831 crore, up from ₹1,385 crore in FY24.

• PAT after non-controlling interest for FY25 was ₹61 crore, down from ₹98 crore in FY24; consolidated FY25 profit after tax was ₹6,135 lakhs.

• Net debt-to-equity ratio at 0.39, among the lowest in the industry; cost of debt at 8.8% in Q4 FY25.

Outlook and guidance

• Targeting ₹8,000–10,000 crore in pre-sales by FY2029–FY2030, with a shift to premium projects and zero affordable housing in the mix by FY2030.

• Premium segment expected to contribute 97% of sales value by FY30, with 80% from already acquired land.

• Rights issue of ₹1,500 crore planned to reduce long-term debt and fund selective growth opportunities.

• Results for the period are not representative of current operations due to the completed contracts method of revenue recognition.