World · India Bureau
Sobha's Q2 profit tumbles 54% despite strong first-half sales surge
The Bengaluru-based real estate developer posted a sharp decline in second-quarter earnings as revenue contracted, even as first-half sales and collections showed year-on-year growth.
LSN India ·
Sobha Limited reported a significant 54.5% plunge in Q2 net profit to ₹33 crore, marking a challenging quarter for the city-based property developer despite positive momentum across the first half of the fiscal year.
The company's second-quarter revenue declined 31.3% to ₹967.06 crore, contributing to the earnings pressure. The sequential downturn in Q2 contrasts sharply with the stronger performance recorded in the opening quarter of the financial year.
However, the developer's first-half performance has remained resilient overall. Sales during the April-September period surged 47.2% year-on-year, underscoring sustained demand in the residential real estate sector. Cash collections also expanded 4.8% on an annual basis during the same period, indicating healthy realization of revenues.
The divergence between H1 growth and Q2 decline suggests a front-loaded performance in the first quarter, with sales and collection momentum moderating in the second quarter. The results reflect broader market dynamics in India's real estate sector, where project cycles and demand patterns create quarterly fluctuations in developer performance.