Sobha Ltd Q2 Net Profit Falls 55% to ₹33 Crore on Lower Income
Sobha Limited (NSE:SOBHA) reported a 55% decline in consolidated net profit to ₹32.95 crore for the second quarter ended September. Total income for the Bengaluru-based real estate developer fell to ₹1,017.21 crore during the quarter, down from ₹1,469.32 crore recorded in the same period of the previous fiscal year. Following the earnings report, shares of Sobha Limited declined 1.04% to 1,176 INR.
The drop in quarterly profitability reflects weaker top-line revenue during the three-month period. However, the company maintained a steadier performance across the first six months of the fiscal year. Net profit for the first half fell slightly to ₹83.80 crore from ₹86.14 crore a year earlier, while total income dipped marginally to ₹2,347.38 crore compared to ₹2,370.73 crore in the year-ago period. Managing Director Jagadish Nangineni highlighted that first-half operational results featured record sales.
Looking toward the second half of the fiscal year, the developer aims to build on sales momentum through upcoming project launches and an active development pipeline. Management plans to focus on operational efficiency, financial discipline, and utilizing its backwards-integrated business model to maintain delivery standards and meet residential housing demand.
Key points
- Sobha Limited Q2 consolidated net profit dropped 55% year-over-year to ₹32.95 crore.
- Second-quarter total income decreased to ₹1,017.21 crore from ₹1,469.32 crore a year ago.
- First-half net profit declined slightly to ₹83.80 crore compared to ₹86.14 crore in the year-ago period.
- Six-month total income held relatively steady at ₹2,347.38 crore against ₹2,370.73 crore previously.
- Shares of Sobha Limited fell 1.04% to 1,176 INR following the announcement.
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What was Sobha Ltd's net profit in Q2?
Sobha Ltd reported a consolidated net profit of ₹32.95 crore for Q2, a 55% drop from ₹72.52 crore in the same quarter of the previous fiscal year.
Why did Sobha Ltd's second-quarter profit drop?
The decline in quarterly profit was primarily driven by lower total income, which fell to ₹1,017.21 crore from ₹1,469.32 crore a year earlier.
How did Sobha Ltd perform over the first six months of the fiscal year?
For the first six months, net profit declined slightly to ₹83.80 crore from ₹86.14 crore, while total income dipped marginally to ₹2,347.38 crore.