The shares of this leading residential real estate development firm surged 10 percent to ₹106.65 per share on Thursday after launching its new residential project, near Electronic City in Bengaluru.
At 12:15 p.m., Shriram Properties Ltd. shares were trading at ₹104.75 a share, up 8.27 percent over the previous close price. The company has a market capitalization of ₹1,788 crore on the stock exchange.
Shriram Properties launched a new residential project under the “Codename Ultimate,” near Electronic City, Bengaluru, with a project revenue potential of ₹350 crores.
The project is being developed under the joint development model, with an aggregate saleable area of around 5.0 lakh square feet. This 400+ unit Balinese-themed project, characterised by its tranquil and harmonious ambiance, prioritizes open spaces, encompassing over 70% of the total area. Company reported.
Shriram Properties has a strong familiarity with this micromarket, as the company has already completed and delivered over 2,700 units across 3 projects (Shriram Summit, Shriram Signiaa, and Shriram Smirithi) in this neighbourhood during the last 3-5 years.
Shriram Properties is a part of the Shriram Group. Which is engaged in the business of construction, development, and sale of all or any part of housing projects, including mid-market premium, and luxury housing, as well as commercial & office space categories.
The company has experienced a 26 percent year-on-year revenue increase, rising from ₹176 crore in Q3FY23 to ₹221 crore in Q3FY24. Additionally, the net profit has declined by 18 percent, from ₹22 crore to ₹18 crore.
Shriram Properties has completed 40 projects spanning a saleable area of 22.4 million square feet, primarily located in Bengaluru and Chennai. Additionally, as of December 31, 2023, the companympany possesses an extensive development pipeline consisting of 49 projects with a combined development potential of 52.7 million square feet.
During the third quarter of the fiscal year 2024, the company experienced a growth in sales volume of 6% compared to the previous year, equating to 1.11 million square feet. Additionally, there was a notable increase in sales collection, rising by 34% year on year.
The majority of the company’s projects are sold in Bengaluru, accounting for 56%, followed by 34% in Chennai, and 9% in Kolkata.
Written by Omkar Chitnis
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