Lodha Developers pre-sales dull, but business development activity remains solid
According to the management, geopolitical tensions in the first half of the quarter led to loss of activity for around two weeks. But the management is confident of recovering the loss in the latter part of the year. Lodha remains on track to achieve its FY26 pre-sales guidance of ₹21,000 crore, aided by a strong launch pipeline on the back of significant business development achieved in Q1FY26, it said.
In line with the pre-sales trajectory, collections rose 7% year-on-year to ₹2,880 crore but fell sequentially. The management expects collections to be significantly higher in H2FY26 versus H1FY26. On the business development front, Lodha added five new projects across the Mumbai Metropolitan Region, Pune, and Bengaluru with gross development value (GDV) or revenue potential of ₹22,700 crore. This is more than 90% of its full-year business development guidance of Rs25,000 crore.
Analysts at Nuvama Research expect Lodha to exceed its business development guidance in FY26 just like it did in FY25. Lodha had added ten new projects (excluding digital infra) in FY25 with a GDV of around Rs23,700 crore, beating its target of new project additions worth Rs21,000 crore. However, Lodha will have to clock around 22% year-on-year growth in pre-sales during Q2–Q4FY26 to meet its FY26 pre-sales target, said the Nuvama report dated 7 July.
Meanwhile, strong business development activities and continued approvals for ongoing projects led to net debt inch-up by around ₹1,090 crore sequentially to ₹5,080 crore at Q1FY26-end. As of now, key leverage metric–net debt-to-equity ratio–remains below the company's target of 0.5x, but movement in debt will be closely watched.
Also Read: Why Macrotech is upbeat about its prospects even as India's realty market braces for a slowdown
Lodha's shares are down around 3% so far in 2025 versus Nifty Realty index's 8% drop. The stock's performance can revive meaningfully on pre-sales picking up from hereon and timely new launches. Geographical diversification and the pace of land monetisation at Palava are also seen as other potential triggers.
Remember, in its Q4FY25 earnings call, the management had said that it plans to enter a new city in FY26. On the flipside, an industry-specific challenge is emerging as rising home prices have made affordability a growing concern for buyers. This is feared to lead to demand moderation for residential units in key markets.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
10 hours ago
- Time of India
What is Bahrainization? The Kingdom's drive to localise jobs across multiple sectors
Bahrainization has evolved into a structured national workforce strategy, backed by legal enforcement/Image: Shutterstock TL;DR: Bahrainization is Bahrain's official workforce nationalization policy aimed at increasing Bahraini employment in the public and private sectors. It sets sector-specific ratios requiring companies to hire Bahraini nationals or face restrictions on government contracts and foreign worker permits. Employers benefit from wage subsidies up to 70% in the first year, tapering to 30% in the third and face fines or imprisonment if they fail to comply. Administration is handled by the Labour Market Regulatory Authority (LMRA), working closely with Tamkeen, Bahrain's labour fund. Bahrainization, began in the 1980s under a government-led initiative known as 'Project 10,000', designed to train and transition Bahraini nationals into private-sector roles. By the 1990s, quotas were introduced across multiple sectors. New business licenses triggered mandatory national hiring percentages, requiring firms with over 10 employees to have at least 20% Bahraini staff, with annual incremental growth to a 50% workforce threshold. Small firms were required to employ at least one Bahraini besides the owner. These foundational policies were formalized into legislation in 2006 through the creation of the Labour Market Regulatory Authority, which oversees foreign work permits and Bahrainization targets throughout the private sector. How Bahrainization Works in Practice Quotas and Enforcement Under current regulation, private-sector employers must meet Bahrainization ratios specific to their industry. These ratios are actively enforced: failure to comply disqualifies firms from government contract tenders and may block further employment of foreign workers. As per News of Bahrain, public-sector organizations had already achieved 100% Bahrainization in 15 agencies by March 2024. Incentives and Wage Subsidies To ease the shift, the state finances wage subsidies via Tamkeen. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like You Won't Believe the Price of These Dubai Apartments Binghatti Developers FZE Get Offer Undo Employers can receive up to 70% of Bahraini wages in Year 1, 50% in Year 2, and 30% in Year 3. Tamkeen is funded through fees imposed on companies for foreign work permits, with 80% of that revenue directed to national training and employment programmes. Penalties Non-compliance carries legal weight. Employers may face BHD 300 per foreign application, fines ranging from BHD 500 to BHD 1000, suspension of business operations, and even closure. Individuals with violations may face penalties of BHD 1000–2000 or imprisonment, and expatriates can be deported. Key Sectors and Reform Priorities Government Sector Progress News of Bahrain reports, as of early 2024, nine out of 17 government ministries and municipal councils had fully eliminated foreign staff, replacing them entirely with Bahraini employees. Hiring mandates now require public agencies to train Bahraini workers as a core duty of any non-national staff member. Focused Professional Sectors In mid-2025, Bahrain's Shura Council advanced draft legislation mandating up to 50% Bahrainization in sectors like healthcare, banking, legal services, aviation, education, and accounting. The National Health Regulatory Authority will oversee healthcare-specific targets, ensuring that expatriates are only retained where no qualified Bahrainis exist. Corporate and Trade Responses Business associations, including the Bahrain Chamber of Commerce and Industry have welcomed the intent to localize the workforce. However, they urged cautious implementation to avoid unintended consequences such as talent shortages, especially in technical fields where Bahraini participation is still evolving. Implementation & Oversight Role of LMRA and Tamkeen The Labour Market Regulatory Authority (LMRA) was established in 2006 to manage work permits, enforce Bahrainization targets, and regulate residency and employment rules. The agency collects fees from foreign work permits and channel these into Tamkeen, which is responsible for training, wage subsidy schemes, and local talent development. Annual Targets and Reporting In early 2025, Bahrain reported achieving 24% of its target to employ 25,000 Bahrainis in the private sector, while 28% of a training goal to train 15,000 citizens had been met. These figures were presented to the Cabinet at Gudaibiya Palace, illustrating progress on annual quotas. Challenges and Ongoing Reforms Skills Gap and Workforce Mismatch Employers in sectors such as engineering, accounting, and medical fields have raised concerns over the availability of qualified Bahraini professionals. Proposals to fully Bahrainize engineering, HR, media, and hospitality roles have sparked debate about feasibility and whether sufficient training infrastructure exists. Some critics also fear disruption if firms are forced to replace experienced expatriates prematurely. Wage subsidy schemes and partnerships with local institutions like Bahrain Polytechnic aim to close these gaps over time. Strategic Alignment with National Vision Bahrainization is central to the Economic Recovery Plan Pillar 5 and Bahrain Vision 2030, which focus on private-sector growth, reducing reliance on oil, and meaningful employment for citizens. Public–private initiatives such as large-scale shared service centres, youth training centres, and Tamkeen collaborations are part of an effort to create 20,000 Bahraini jobs and train 10,000 nationals per year through 2024. Comparative Context: Bahrainization and Gulfization Bahrainization falls under the broader umbrella of "Gulfization", a regional strategy seen in GCC countries like Saudization, Qatarization, and Emiratization. These policies aim to reduce dependency on expatriate labour by instituting quotas, training, and layered penalties or incentives. Bahrain differed by implementing early nationalization efforts in the 1980s and later abolished the Kafala sponsorship system, enabling greater mobility and labour rights for migrant workers. Impact to Date and Outlook Public-Sector Successes Government agencies achieving 100% Bahrainization showcase how sectors can fully transition to national workforces. This is backed by policy instruments mandating training clauses for hiring managers of expatriates. Private Sector Progress Employment and training figures indicate that roughly one-quarter of annual targets were already reached within the first quarter of 2025. This implies that by year-end, a majority of the planned nationalization benchmarks may be met if momentum continues. Future Enforcement As Bahrain accelerates Bahrainization in sectors like healthcare and banking, the potential conflict between demand for skilled national talent and existing workforce structures remains a key governance challenge. However, by anchoring implementation in training, wage support, and phased targets, the policy aims for sustainable growth. Bahrainization in 2025 As of mid-2025, Bahrainization has evolved from a quota-based initiative into a structured national workforce strategy, backed by legal enforcement, financial incentives, and capacity-building infrastructure. Bahrain's policy now spans public entities fully Bahrainized, sector-specific legislation in progress for professional roles, collaborative training systems via Tamkeen, and firm penalties for non-compliance. This multifaceted framework aligns closely with Vision 2030 and Bahrain's broadened economic objectives. Success indicators like rising citizen employment rates, institutional compliance, and employer engagement suggest Bahrainization is entering a more mature phase balancing citizen aspirations, private-sector needs, and national growth targets. Given the complexity and political sensitivity of the policy, Bahrain's approach hinges on the continuous alignment between regulation, education, business readiness, and social inclusion. For the coming years, maintaining this balance will determine whether Bahrainization can deliver structural transformation without disrupting competitiveness, positioning Bahrain as a model in GCC workforce nationalization strategies.
India.com
14 hours ago
- India.com
Google CEO Sundar Pichai becomes billionaire, wealth increases because of his current net worth is...
Google CEO Sundar Pichai becomes billionaire, wealth increases because of his current net worth is… Sundar Pichai Becomes Billionaire: Alphabet CEO Sundar Pichai has become a billionaire after his company earned big, adding more than a trillion dollars to the market value. The tech giant has provided a whopping 120 percent return to its investors since 2023. As Alphabet's shares touch all-time high, Pichai's net worth has also increased to USD 1.1 billion, as per Bloomberg Billionaires Index. Notably, this is a one-of-a-kind achievement for a CEO who has not founded the company. Top executives in the tech world, such as Mark Zuckerberg (Meta) and Jensen Huang (Nvidia) become billionaires because of their stakes as founders in their companies. Longest Serving CEO Of Google Google was founded in 1998, and Sundar Pichai joined the tech Giant in the year 2004. Even though he was not a part of the company when it was founded, Pichai has become its longest-serving CEO. He will complete 10 years as the CEO of Google in August. Notably, the 53-year-old of Indian-origin has a stake of 0.02 percent in Google, which is worth about USD 440 million. He has sold over USD650 million worth shares of Alphabet over the past decade, and most of his wealth is in the form of cash. Sundar Pichai's Personal Life Sundar was born in Tamil Nadu's small city of Madurai in a middle-class family. He grew up in a two-room apartment. He got a phone at the age of 12. In 1993, when Pichai received a graduate scholarship to Stanford University, his family spent more than his father's annual salary (USD1,000) to buy a flight ticket to California. Long Journey At Google And Focus On AI After joining Google, Pichai worked hard for more than a decade and took the company to new heights. He helped in developing the Chrome browser and led the Android division, even before being named CEO in 2015. During an interview with Bloomberg in October last year, Pichai said that 'One of the first things I did as CEO was focus the company on AI.' It is worth noting that Google made its first big AI investment in 2014 and bought London-based startup DeepMind for USD400 million. Pichai has majorly increased spending, dedicating nearly USD50 billion to AI projects last year alone.
Hans India
14 hours ago
- Hans India
DLF-Trident Realty sells 416 flats in Mumbai for Rs 2,300cr
New Delhi: India's largest realty firm DLF Ltd and Trident Realty have sold all 416 flats for around Rs2,300 crore in a luxury residential project in Mumbai on high demand. In a regulatory filing on Friday, DLF said that the entire 416 units launched in the first phase of 'The Westpark' project has been sold for Rs2,300 crore in less than a week. DLF arm DLF Home Developers Ltd is developing this project at Andheri West in partnership with Trident Realty. 'Our entry into Mumbai represents a significant strategic milestone for DLF,' said Aakash Ohri, Joint Managing Director and Chief Business Officer, DLF Home Developers Ltd. 'Mumbai has always been a key component of our national growth strategy, and with the launch of The Westpark, we are proud to offer a development that resonates with the aspirations of the city's discerning residents,' he added. DLF and Trident Realty will invest around Rs900 crore to develop this luxury housing project at Andheri (West). The company launched the first phase of this 5-acre project in a price range of Rs42,000 per sq ft to Rs47,000 per sq ft. It sold flats in a range of Rs4 crore to Rs7.5 crore. In July 2023, DLF had announced its re-entry in Mumbai market by partnering with NCR-based builder Trident group. Then, DLF had said that the company would hold a 51 per cent stake in the special purpose vehicle (SPV) which will develop this project.
