Geojit Financial Services Recommends Buying Godrej Properties, Targeting Rs 2096

Godrej Properties Q3FY26 Results

Key Highlights

• Booking value increased by 54.6% YoY to Rs. 8,400cr, driven by a 57.9% YoY rise in volumes with 3,973 home sales covering 6.43mn sq ft.
• Customer collections rose by 39.5% YoY to Rs. 4,282cr.
• Delivered projects aggregated approximately 1.7mn sq ft in three cities during the quarter.

Performance by Region

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• Mumbai's Metropolitan Region accounted for Rs. 3,239cr of the booking value, primarily driven by the launch of Godrej Trilogy at Worli, which contributed Rs. 1,742cr to the booking value.

Financial Performance

• EBITDA was negative Rs. 197cr, mainly due to increases in material cost (+39.8% YoY), employee expense (+13.9%), and other expense (+13.4%).
• Reported profit after tax rose by 22.5% YoY to Rs. 194cr, driven by a 97.5% YoY increase in other income.

Rating and Target Price

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• We upgrade our rating on the stock to BUY, with a rolled forward target price of Rs. 2,096, based on 2.1x FY28E book value per share.