Wanted: A new spark for DLF stock

DLF Ltd, the poster boy of D the post-pandemic K-shaped economic recovery, is on solid ground. In the September quarter (Q2FY24), pre-sales or bookings rose 9% year-on-year to ₹2,228 crore, with a majority of the bookings accruing from existing projects. There were no material new launches in Q2.

-  Harsha Jethmalani

But the second half looks impressive, as a large part of DLF's FY24 launch target of 11.2 million square feet (msf) with a sales potential of ₹19,710 crore, gets into execution.

In this backdrop, the company could exceed its pre-sales guidance of ₹13,000 crore for FY24. "DLF holds a competitive advantage compared to other companies because of its extensive inventory and significant land holdings throughout Gurugram. We expect DLF to receive strong response to its project launches in DLF 5 and New Gurugram," said an Antique Stock Broking report.

Further, at ₹2,359 crore, cash collections in Q2 were the highest ever. Robust cash generation helped DLF achieve the much-awaited net cash positive status. What's more, the management has guided for ₹6,400-6,500 crore of collection in FY24.