Godrej Properties: Scaling New Heights with Record Q2 FY26 Performance

Godrej Properties Limited (GPL) has once again demonstrated its robust growth trajectory, reporting a stellar performance in the second quarter of Financial Year 2026 (Q2 FY26). The company, a leading national real estate developer, announced its consolidated financial results, showcasing significant advancements in booking value, net profit, and strategic initiatives. This quarter's results underscore GPL's commitment to innovation, sustainability, and excellence in the Indian real estate sector.

For Q2 FY26, GPL's booking value surged by an impressive 64% year-on-year and 20% quarter-on-quarter, reaching INR 8,505 crore. This remarkable achievement was driven by the sale of 4,522 homes, covering a total area of 7.14 million sq. ft. The first half of FY26 also saw a strong performance, with booking value growing 13% year-on-year to INR 15,587 crore. This marks the third consecutive quarter where GPL delivered over INR 7,000 crore in booking value and the ninth consecutive quarter exceeding INR 5,000 crore, setting new benchmarks in the Indian real estate industry. The company also reported its highest ever second-quarter and half-yearly net profit, at INR 405 crore and INR 1,005 crore respectively, reflecting a 21% and 18% year-on-year growth.

Financial Highlights: A Snapshot of Growth

The financial summary table below provides a clear overview of Godrej Properties' performance in Q2 FY26 and H1 FY26, compared to the previous year.

(Note: Adjusted EBITDA includes interest in cost of sale. EBITDA is PBT + Interest + Depreciation + Share of profit/loss in Joint Venture. Net profit after tax is after minority interest.)

Strategic Pillars Driving Performance

GPL's impressive performance is underpinned by a clear strategic framework focusing on four key operating priorities: Best Execution Ecosystem, Robust Asset Management, Superior Product Quality, and Growth Consistency. The company's commitment to these pillars is evident in its operational achievements.

In terms of business development, GPL added four new projects in Q2 FY26 with an estimated saleable area of 5.82 million sq. ft. and an expected booking value of INR 4,850 crore. For H1 FY26, a total of nine new projects were added, contributing an estimated saleable area of 15.06 million sq. ft. and an expected booking value of INR 16,250 crore, achieving 81% of the annual guidance. This aggressive pipeline expansion ensures future growth momentum.

Geographically, the growth was well-rounded. Bengaluru, MMR, NCR, and Hyderabad each contributed over INR 1,500 crore to the booking value in Q2 FY26. Hyderabad, a relatively new market for GPL, saw exceptional traction with Godrej Regal Pavilion achieving INR 1,527 crore in booking value. Other projects like Godrej MSR City in Bengaluru (INR 1,032 crore) and Godrej Sora in Gurugram (INR 633 crore) also performed strongly. The company's strategy to diversify across micro-markets within cities is proving successful, providing headroom for sustained expansion.

Operational Excellence and Future Outlook

Operational excellence is a core focus for GPL. The company delivered projects aggregating 2.2 million sq. ft. across two cities in Q2 FY26. A significant 82% increase year-on-year in direct construction spend in Q2 FY26 highlights the accelerated pace of execution, which is expected to translate into higher collections in Q4 FY26. Management noted that collections are back-ended due to most deliveries happening in Q4, but expressed confidence in meeting the annual collection guidance of INR 21,000 crore.

Godrej Properties' commitment to sustainability also earned it global recognition, ranking #1 globally in the Real Estate and Management (REM) sector by S&P Global's Dow Jones Best in Class indices for 2025 and by the Global Real Estate Sustainability Benchmark (GRESB) with a perfect score of 100/100. This leadership in ESG practices enhances the company's brand value and attracts environmentally conscious investors.

Looking ahead, Godrej Properties is on track to surpass its booking value guidance of INR 32,500 crore for FY26. The management anticipates a step-up in profitability by FY28, driven by occupation certificates from newer outright projects, aiming for a 20% Return on Equity (RoE). With a robust launch pipeline, a strong balance sheet, and resilient demand, GPL is well-positioned for sustained high-quality performance across all key operating metrics, reinforcing investor trust and confidence in its long-term vision.