The country’s largest real estate company, DLF Ltd saw an over 15 per cent drop in net profit to ₹379 crore for the quarter ending December 31, 2021. The profit in the year-ago-period stood at ₹449 crore.

During the quarter under review, the company saw its consolidated revenue increase by a little over a per cent, YoY, to ₹1687 crore.

EBITDA stood at ₹659 crore, reflecting a YoY increase of 5 per cent; while collections for the quarter stood at ₹1,281 crore.

Profits fell after the company made a provision of ₹224 crore in view of the investee company having defaulted in meeting its debt obligation. The default arose mainly due to project execution delays arising out of disruption caused by Covid pandemic, it said in a note to its accounts.

“The Group believes that the project remains fundamentally sound and the Group continues to work with the relevant parties to resolve this matter. However, given the uncertainty involved related to the timing of the resolution, management has considered an impairment provision of ₹224.43 crores on a best estimate basis and disclosed it as an exceptional item in these consolidated financial results,” DLF said.

According to a company statement, housing continues to exhibit sustained momentum leading to strong business performance in the residential segment.

“We clocked record new sales in the quarter amounting to ₹2,018 crore, reflecting YoY growth of 97 per cent. Cumulative sales bookings for a nine-month period stood at ₹4,544 crore, demonstrating a strong rebound in this segment,” it added.

The super luxury project - “The Camellias” - continues to attract robust demand despite the price hike. New sales of ₹580 crore were recorded in the quarter.

Surplus cash generation of ₹764 crore during the quarter resulted in a marked reduction in our Net Debt which stood at ₹3,220 crore at the end of the quarter, DLF said.

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