Sobha’s Q2 sales bookings down 11% at Rs 495 crore

NEW DELHI: Realty firm Sobha Ltd has reported over 11 per cent decline in sales bookings at Rs 495 crore for the quarter ended September on lower realisation.

Its sales bookings stood at Rs 559 crore in the year-ago period.

“The company during the quarter achieved new sales of 8,50,329 sq ft valued at Rs 495 crore with an average realisation of Rs 5,822 per sq ft,” Bengaluru-based Sobha said in a statement.

In terms of volume, sales bookings rose to 8,50,329 sq ft for the second quarter of this fiscal from 8,33,991 sq ft in the July-September period of last fiscal.

Sales bookings in value terms declined because of fall in realisation price to Rs 5,822 per sq ft from Rs 6,703 per sq ft in the year-ago period.

Sobha said demand for real estate, given the right stimulus, cannot remain subdued for long.

“Factors such as falling interest rates, a growing economy, increased absorption in the commercial real estate space and the approaching festive season are expected to be decisive factors for an uptick in the real estate demand,” it said.

Expecting a revival in investor sentiment, Sobha said it is cautiously hopeful of meeting the fiscal 2016 guidance.