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    Lodha Developers Limited

    LODHANeutral
    Realty·29 Jan 2026
    Management Summary

    Lodha delivered exceptional performance with record quarterly presales and strong margins. The company expanded into NCR market while maintaining disciplined growth. Data center opportunity at Palava emerging as significant value creator with potential land values of ₹50-60 crores per acre.

    Highlights

    7

    • Best ever quarterly presales of ₹56 billion, growing 25% YoY

    • 9-month presales at ₹146 billion (70% of full year guidance)

    • Embedded EBITDA margin of ~32% despite modest land sales

    • Pro forma PAT of ~₹12 billion with 21% PAT margin and 20% ROE

    • Added ₹340 billion GDV through business development including NCR pilot projects

    • Net debt at ₹61.7 billion (0.28x equity), well below 0.5x ceiling

    • Major progress on data center park with AWS and STT as anchor customers

    What Changed2

    vs Q4 FY26

    Guidance items12 → 6 (-6)Q&A highlights8 → 5 (-3)
    Key financials

    Metrics

    8

    Periods

    2

    Headline

    7
    • Presales
      ₹5,600 Cr
      YoY+25%
    • Revenue from Operations
      ₹4,660 Cr
      YoY+29.0%
    • Adjusted EBITDA
      ₹1,490 Cr
      YoY+23%
    • PAT
      ₹950 Cr
    • Collections
      ₹3,560 Cr
      YoY-17%

    TTM

    1
    • ROE
      20%

    Guidance & targets

    6
    CategoryTargetPriority
    Presales
    Full Year Presales
    ₹210 billion
    		High
    Margins
    Embedded EBITDA Margin
    ~33%
    		High
    Returns
    ROE (pro forma)
    ~20%
    		High
    Price Growth
    Annual Price Growth
    5-6%
    		High
    Collections
    Operating Cash Flow
    ₹70 billion plus/minus 5%
    		Medium
    Data Center
    Land Value Appreciation
    ₹50-60 crores per acre
    		Medium

    Risks & concerns

    4
    RiskSeverity

    Environmental Clearance Delays

    Had significant impact on construction and collections in past quarters, now resolved with clearances received from mid-November — Other acknowledged

    medium

    Industry Volume Weakness

    Industry seeing volume decline especially in affordable housing segment below ₹75 lakhs, but Lodha positioned in premium segment — Other acknowledged

    low

    Construction Cost Inflation

    Commodity price increases mainly in copper and silver which represent <1% of construction costs; steel and cement remain reasonable — Other acknowledged

    low

    Market Oversupply in Mumbai Pockets

    Redevelopment creating oversupply in some Mumbai areas but consolidation favoring best brands and execution capability — Other acknowledged

    medium

    Q&A highlights

    5

    “we see footfalls and conversions remaining steady through the course of the last few quarters and in line with what we would have expected at the start of the year”

    Confirms demand stability despite supply concerns in Mumbai market

    asked by Akash Gupta (Nomura)

    2 min read5 chapters

    Detailed Narrative

    01

    Record Breaking Quarter with Strong Execution

    Lodha achieved best-ever quarterly presales of ₹56bn (+25% YoY) marking first time crossing ₹50bn in a quarter. Nine-month presales of ₹146bn represents 70% of full-year ₹210bn guidance. Company maintains disciplined pricing strategy of 5-6% annual growth, below wage growth to preserve affordability. Embedded EBITDA margin of ~32% achieved despite minimal land sales contribution.

    02

    Strategic Expansion into NCR Market

    Company initiated pilot phase in National Capital Region with two projects totaling ₹33bn GDV. This follows successful Bangalore expansion model where pilot phase led to ₹25bn+ annual sales in growth phase. NCR entry positions Lodha to capture 80% of home sales by value across four key markets: MMR, Bangalore, Pune, and NCR.

    03

    Data Center Opportunity Emerging as Major Value Creator

    Palava data center park progressing with 400 acres allocated and 3 GW power capacity. Two anchor customers (AWS and STT) signed with additional hyperscalers expected. Current land values of ₹21 crores/acre expected to reach ₹50-60 crores/acre over 3 years. Green DC MoU with Maharashtra provides 15% capex reduction and 30% opex savings for clients. Build-to-suit model offers ₹3mn/MW cost structure.

    04

    Balance Sheet Strength and Capital Allocation Discipline

    Net debt of ₹61.7bn represents 0.28x equity, well below 0.5x ceiling. Average cost of funds improved to 7.9% (-10bps QoQ). Strong business development of ₹340bn GDV in Q3 brings total pipeline to ₹2 lakh crores over next 5 years. Front-loaded BD allows focus on cash generation and balance sheet strengthening going forward⏳.

    05

    Infrastructure Connectivity Improvements for Townships

    Palava-Airoli-Mulund Freeway expected operational in 3-4 months. Mumbai-Nashik Highway connecting Upper Thane completing in 4-5 months. Navi Mumbai International Airport inauguration benefits Palava positioning. Bullet train project to connect Palava-BKC in <20 minutes by end of decade. These improvements expected to drive significant uptick in perception and sales for 4,000-acre township portfolio.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.