DLF vs Sobha Q4 FY26

DL

DLF

Q4 FY26 · Diversified

DLF reported a strong Q4 FY26 with consolidated revenue of ₹2,450 crore and net profit of ₹1,256 crore. The development business achieved record collections of ₹13,500 crore (+15% YoY) and new sales bookings of ₹20,143 crore, meeting guidance despite launch delays. The rental portfolio (DCCDL) posted revenues of ₹7,400 crore (+15% YoY) with NOI growth of 16%. Management guided for sustained ~₹20,000 crore annual sales, a ₹20,000 crore launch pipeline for FY27, and mid-teens NOI CAGR for the rental business. Key risks include potential deferrals in leasing decisions by large tenants due to global uncertainties and execution delays in new project launches.

Guidance read

FY27 sales guidance of ~₹20,000 crore: Management expects to maintain the current sales trajectory of approximately ₹20,000 crore for FY27, with potential upside if demand remains strong. Launch pipeline of ₹20,000 crore for FY27: DLF plans to launch projects worth about ₹20,000 crore in FY27, including DLF City phase (₹8,000-9,000 crore), Arbor senior living, and next phases of West Park and Das. Rental business mid-teens NOI CAGR over 4-5 years: DCCDL expects mid-teens growth in NOI and 20-25% CAGR in PAT over the next 4-5 years, driven by new mall and office completions. Dividend increased to ₹8 per share (33% YoY growth): Board recommended a dividend of ₹8 per share for FY26, representing a 33% increase over the previous year, reflecting strong cash flows.

Risk read

Key risks include Leasing decision deferrals by large tenants — Management noted that some large tenants are reviewing internal processes due to global uncertainties (AI, Iran-US tensions), which could delay leasing decisions.; Execution delays in new project launches — The company faced launch delays in FY26 and may face similar issues in FY27, impacting sales guidance achievement.; Stagnant launch pipeline vs peers — Analysts highlighted that DLF's medium-term launch pipeline has remained around ₹60,000 crore for three years, while peers have scaled up pre-sales to ₹30,000-35,000 crore.; SEZ vacancy and rental pressure — SEZ portfolio has ~10% vacancy, with Hyderabad at 17-20% vacancy, and rental growth is marginal in some markets..

Promise ledger

Scorecard data is being built as historical quarters are processed.

SO

Sobha

Q4 FY26 · Diversified

Sobha reported record full-year pre-sales of ₹8,136 crore, up ~30% YoY, driven by strong performance in Bangalore (₹4,500 crore) and NCR (₹2,450 crore). Q4 revenue recognition improved to ₹2,300 crore aided by delayed occupancy certificates, with EBITDA of ₹194 crore and PAT of ₹92 crore. The company ended the year net cash positive with gross debt of ₹2,200 crore and cash of ₹1,800 crore. Management guided for similar ~30% pre-sales growth in FY27, targeting launches of ~10 million sq ft (GDV ~₹15,000 crore), including the large Hoskote project (5.3 msf, GDV ₹7,000 crore). EBITDA margins are expected to improve to 24-26% in H2 FY27 as higher-margin projects complete. Key risk: input cost inflation from geopolitical tensions could pressure margins if not offset by price increases.

Guidance read

Pre-sales growth of ~30% in FY27: Management expects similar growth rate as FY26, with 45-50% from sustenance and 50-55% from new launches. Launch ~10 million sq ft in FY27: Planned launches include Hoskote phase 1 (5.3 msf), Gurgaon Crescent, and projects in Kerala, Bangalore, Pune, Chennai. EBITDA margin improvement to 24-26% in H2 FY27: Higher-margin projects nearing completion will drive margin expansion in Q3/Q4 FY27. Net operating cash flow target of ₹2,000 Cr in FY27: Aiming to generate ₹2,000 crore from operations, up from ₹1,637 crore in FY26.

Risk read

Key risks include Input cost inflation from geopolitical tensions — Commodity price increases may impact margins; management is in wait-and-watch mode and may not fully pass on costs.; Demand slowdown due to AI/IT sector concerns — Analyst raised concern about IT client mix in Bangalore; management noted steady demand but acknowledged uncertainty.; Delays in project approvals and launches — FY26 launches were delayed; FY27 target of 10 msf depends on timely approvals, especially for Hoskote.; Geopolitical uncertainty impacting NCR demand — Rivana launch in March faced uncertain environment; sustained sales momentum needs monitoring..

Promise ledger

Scorecard data is being built as historical quarters are processed.