DLF MD outlines 3 growth drivers, expects revenue to rise as projects finish amid ₹20,000 cr FY27 sales bookings target

DLF Ltd is looking to sustain growth by focusing on advance sales of premium residential properties, improving profit margins and expanding rental earnings from its commercial real estate portfolio, Managing Director Ashok Tyagi said on Saturday, according to PTI.

Addressing market analysts during a conference call, Tyagi said the company’s reported revenue is expected to rise substantially over the coming years as residential projects launched after the Covid-19 pandemic reach completion, allowing DLF to recognise income from these developments in its financial statements.

He identified advance sales of selected housing projects, improved cash flows and profitability, and steady expansion of rental income as the three main pillars of the company’s growth strategy. The MD also stated he was confident that DLF would make progress across all three areas

“Fundamentally, the three key drivers of our business are strong pre-sales of the identified products, strong cash and margin generation, and a continuously sustained and strong growth of the rental business…,” Tyagi said.

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DLF, India’s largest real estate company by market capitalisation, recorded property sales worth ₹4,457 crore during the first six months of the current financial year. The company has set a sales booking target of approximately ₹20,000 crore for FY27.

Strong quarterly performance: DLF CFO

DLF Chief Financial Officer Badal Bagri said the company had delivered another robust set of results in the July-September quarter.

He attributed the performance to the strength of its property portfolio, effective project execution, brand reputation and careful deployment of capital across its residential development and rental businesses.

“This reflects the “underlying quality of our assets, disciplined execution, our brand strength, and prudent capital allocation across a well-diversified mix of development and annuity business”, he said.

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“Strong cash generation and a robust balance sheet continue to position us well for sustained growth in future,” the CFO said.

During the interaction with analysts, Bagri also explained that DLF records revenue from residential developments only once the projects are completed.

‘Another quarter of sustained cash generation in the business’

DLF posted a 10% increase in consolidated net profit to ₹1,301.35 crore for the July-September quarter of the current financial year, supported by a reduction in expenses, the company said on Friday. The real estate developer had recorded a net profit of ₹1,180.09 crore in the corresponding quarter last year.

Consolidated income for the quarter edged up to ₹2,297.30 crore from ₹2,261.80 crore a year earlier, with the improvement largely coming from higher other income.

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However, the company’s sales bookings, also known as pre-sales, declined to ₹3,800 crore in the second quarter from ₹4,332 crore in the same period last year. DLF attributed the drop to a lower volume of new residential inventory entering the market.

The company said its luxury senior living development was fully sold, reflecting buyer interest in specialised residential offerings. DLF recently sold all 172 units in the Gurugram project for a total of ₹1,985 crore.

Its ultra-luxury residential development, ‘The Dahlias’, has also continued to see considerable interest from buyers, the company said.

“Operating cash flow was ₹1,858 crore, marking yet another quarter of sustained cash generation in the business. The net cash position stood at ₹15,084 crore despite a significant dividend outflow of ₹1,980 crore,” the company mentioned.

First-half earnings and business portfolio

For the six months ended September 2026, DLF’s net profit increased to ₹2,095.25 crore, compared with ₹1,942.76 crore in the corresponding period of the previous financial year.

However, the company’s total income declined to ₹3,902.86 crore during the first half of FY27 from ₹5,242.68 crore in the same period a year earlier.

DLF has completed more than 185 real estate developments to date, spanning a combined area of over 352 million square feet. Its portfolio of income-generating commercial properties, comprising office spaces and shopping malls, covers approximately 50 million square feet.

The company also has an estimated development potential of 275 million square feet across residential and commercial properties, including projects currently under construction.