The Indian real estate sector has experienced notable growth, fueled by increasing demand across residential and commercial spaces. Key drivers such as urbanization, rising incomes, and low interest rates have spurred property demand, particularly in the luxury segment. High-end property prices have seen a steady climb as buyers increasingly favor premium living options and invest in upscale developments.
Major players like DLF Ltd., Godrej Properties, Oberoi Realty, Equinox India Development Limited, and Prestige Estates have capitalized on this trend by expanding their portfolios with luxury residences, commercial properties, and integrated townships. The demand for luxury properties in cities such as Mumbai, Delhi, Bangalore, and Pune continues to rise, attracting both local and international investors, signifying a strong and growing real estate market.
Share Price
The shares of Equinox India Developments Limited are locked at an upper circuit of 20% at Rs. 144, although the return of the company has been negative by 2.65% in 1 year.
Recent Updates
Equiknox India (India Bulls Real Estate) saw a 20% surge in its stock price following the approval of its merger with Embassy Group by the National Company Law Appellate Tribunal (NCLAT). The merger, which is a significant development in the Indian real estate sector, aims to combine the strengths of both companies, enhancing their market position and operational capabilities.
This merger is expected to create a stronger entity with a diversified portfolio in residential, commercial, and mixed-use developments. The stock’s upward movement reflects investor optimism about the potential synergies and growth opportunities resulting from the merger. Besides this, both companies can jointly work on developing the office parks that the Embassy group is predominantly known for.
Financial Outlook
Equinox India Developments Ltd. showed a significant improvement in its financial performance for the period ending September 2024. The company’s sales surged to ₹246 crore in September 2024, up from ₹96 crore in the same period last year, marking a notable growth.
Despite this, the EBITDA remained negative, improving slightly from ₹-23 crore in September 2023 to ₹-1 crore in September 2024, reflecting a better operational performance. The operating profit margin (OPM) improved from -24% to 0%.
Net profit also turned positive, rising from a loss of ₹18 crore in September 2023 to a profit of ₹24 crore in September 2024, signaling a strong recovery.
About the Company
The company is a prominent player in the Indian real estate sector, with a presence spanning from affordable to premium and uber-luxury residential developments.
It focuses on the construction and development of residential, commercial, and Special Economic Zone (SEZ) projects across major metro cities in India. Strategically, the company has its key focus in the MMR (Mumbai Metropolitan Region) and NCR (National Capital Region) markets.
Currently, it is developing 16 projects across 6 cities, encompassing a total built-up area of 12.3 million square feet, with 10.5 million square feet dedicated to residential properties and 1.8 million square feet to commercial developments.
Written By: Dipangshu Kundu
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