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Godrej Properties Ltd. Stock Analysis

Large Cap
Evaluated by 2094 users | BSE: 533150 | NSE: GODREJPROP |
Construction - Real Estate
The company was originally incorporated as Sea Breeze Constructions and Investments Private Limited on February 8,1985 under the Companies Act, 1956 with the RoC. The name of the company was changed to Godrej Properties and Investments Private Limited pursuant to a special resolution of the...

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Godrej Properties Ltd. has not performed well majority of the past ten years indicating its past ten year financial track record is not good
Value Creation
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Capital Employed 5.1%5.45%6.95%6.33%5.41%2.56%6.03%1.54%4.93%6.29%
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 2953694276645173741,0085561,4341,747
Y-o-Y Gr. Rt.-25.2%15.7%55.6%-22.2%-27.6%169.4%-44.8%157.7%21.9%
Adjusted EPS (Rs.) 2.884.087.34.774.60.158.94-2.414.4711.08
Y-o-Y Gr. Rt.-41.7%78.9%-34.7%-3.6%-96.7%5860%-127%NA147.9%
Book Value per Share (Rs.) 58.8883.2881.0892.2895.9882.3791.8166.67115.64199.54
Adjusted Net Profit 43.368.612394.591.73.2193-52.2103279
Net Op. Cash Flow (Rs. Cr.) -547-453121-448-428-418-290504127-6.9
Debt to Cash Flow from Ops -1.49-2.626.52-3.72-4.88-6.62-12.087.3427.6-539.95
Standalone financials take only the parent company into account while consolidated financials take into account financials of the parent company as well as of all its subsidiaries. In most companies consolidated financials should be used for analysis.
Godrej Properties Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 21.9%27.6%20.1%21.9%
Adjusted EPS 16.2%19.2%7.4%147.9%
Book Value per Share 14.515.829.572.6
Share Price 13% 21.4% 13.2% -4%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Equity (%) 5.0968.885.994.940.1710.24-3.0457.26
Operating Profit Margin (%) 18.9922.0932.8517.0120.89-6.5722.12-22.56.2618.37
Net Profit Margin (%) 14.6918.5928.7514.2317.740.8419.18-9.397.1615.98
Debt to Equity 0.920.850.580.911.091.551.762.571.330.74
Working Capital Days 1,9652,1602,1721,6132,4423,9321,7093,3081,2181,049
Cash Conversion Cycle 1671052984136831,1715801,290440249
Entity Percentage Holding
Promoters 64.44%
Institutions 25.04%
Non-Institutions 10.52%
Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

MoneyWorks4Me analysed the past 10-year performance of Godrej Properties Ltd. and arrived at the following conclusion:

Past 10 year's financial track record indicates that Godrej Properties Ltd. is a below average quality company. However, for specific investment actions please connect with your investment advisor.

The 5-year analysis of Godrej Properties Ltd.'s performance infers:

Godrej Properties Ltd. earnings have grown by 19.2%, whereas share price has appreciated 21.4% CAGR over the past five years, indicating the company's share price is likely overvalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of Godrej Properties Ltd. share prices over the last 10 years. Here is what we found out:

Godrej Properties Ltd. share price has appreciated 10.9% annually over the past ten years.

The company was originally incorporated as Sea Breeze Constructions and Investments Private Limited on February 8,1985 under the Companies Act, 1956 with the RoC. The name of the company was changed to Godrej Properties and Investments Private Limited pursuant to a special resolution of the shareholders dated July 2, 1990. In the year 1991, the status of the company was changed to a deemed public company by deletion of the word “Private” from the name of the company. Subsequently

The company was originally incorporated as Sea Breeze Constructions and Investments Private Limited on February 8,1985 under the Companies Act, 1956 with the RoC. The name of the company was changed to Godrej Properties and Investments Private Limited pursuant to a special resolution of the shareholders dated July 2, 1990. In the year 1991, the status of the company was changed to a deemed public company by deletion of the word “Private” from the name of the company. Subsequently the status was changed to a public limited company pursuant to a special resolution of the members passed at the extraordinary general meeting on August 1, 2001. The name was further changed to Godrej Properties Limited pursuant to a special resolution of the members passed at the extraordinary general meeting on November 23, 2004.

Godrej Properties is a realty firm of Godrej group, promoted by Godrej Industries and Godrej & Boyce Manufacturing Company.

Established in 1897, the Godrej group has grown in India from the days of the charkha to nights at the call centres. Its founder, Ardeshir Godrej, lawyer-turned-locksmith, was a persistent inventor and a strong visionary who could see the spark in the future. His inventions, manufactured by his brother Pirojsha Godrej, were the foundation of today’s Godrej empire. One of India’s most trusted brands, Godrej enjoys the patronage and trust of over 400 million Indians every single day.

The company entered into its first project in 1991. It initially concentrated its operations in the Mumbai Metropolitan region and later expanded to include other cities such as Pune, Bengaluru, Kolkata, Hyderabad, Ahmedabad, Mangalore, Chandigarh, Chennai and Kochi.

It is one of the leading real estate development companies in India based in Mumbai, Maharashtra. It currently has real estate development projects in 10 cities in India, which are at various stages of development. Currently, its business focuses on residential, commercial and township developments. It is a fully integrated real estate development company involved in all activities associated with the development of residential and commercial real estate. It undertakes the projects through its in-house team of professionals and by partnering with companies with domestic and international operations.

The residential portfolio of the company consists of various types of accommodation of varying sizes. In its commercial portfolio, it builds office space catering to blue-chip Indian and international companies, IT parks catering to the requirements of IT/ITES companies and retail space. Its township portfolio includes integrated townships consisting of residential and commercial developments. During the fiscal year 2009, its total revenue contribution from operation of the commercial activities, residential activities and other income operations was Rs. 167.66 crore, Rs. 59.59 crore and Rs. 23.01 crore, respectively.

The company’s total Land Reserves currently stand at 391.04 acres, aggregating to approximately 82.74 million sq. ft. of Developable Area and 50.21 million sq. ft. of Saleable Area, which includes its ongoing projects and forthcoming projects. The aforesaid Land Reserves include 64.23 acres which are in the process of being aggregated.

In addition, it has entered into memoranda of understanding with certain members of the Godrej group of companies, for developing land owned by them in various regions across the country. This land does not form a part of their Land Reserves and the memoranda of understanding do not constitute definitive agreements for the development of these lands.

Properties developed by the company:

Residential:

  • Godrej Pine, Thane
  • Godrej Edenwoods, Thane
  • Godrej Riverside, Kalyan
  • Godrej Woodsman Estate, Bangalore
  • Planet Godrej, Mumbai
  • Godrej Prakriti, Kolkata

Commercial properties:

  • Godrej Eternia, Chandigarh
  • Godrej Waterside, kolkata
  • Godrej Coliseum, Mumbai
  • Godrej Eternia , Pune

Important Events

2010
- Company has changed its name from Godrej Properties & Investments Ltd. to Godrej Properties Ltd.
- Godrej Properties Ltd has been selected as amongst India's top 10 Builders at the Construction World Architect and Builder Award ceremony held in Mumbai on August 20, 2010.
- Godrej Properties Ltd has launched its residential project Godrej Avalon in Mangalore on August 28, 2010.
- Godrej Prop - Launched Residential Project in Gurgaon.

2011
- The Company through its wholly owned subsidiary Godrej Buildcon Private Limited has signed a Development Agreement with JET AIRWAYS (INDIA) LIMITED for development of MMRDA leasehold land admeasuring 10309.58 sq. mtrs, situated at G-Block, Bandra-Kurla Complex, Bandra, Mumbai subject to conditions mentioned therein.

2012
- Godrej Properties Limited (GPL) has entered into a Development Management Agreement with R.R. Builders to redevelop a MHADA property in Byculla, Mumbai, through its wholly owned subsidiary Godrej Projects Development Private Limited (GPDPL).

2013
- Godrej Properties enters new project in Bengaluru ,May 2, 2013
- Godrej Properties launches Godrej Platinum in Alipore, Kolkata,Apr 12, 2013

2014
- Godrej Properties adds new project in Vikhroli through its agreement with Godrej & Boyce,Mar 11, 2014

Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323
Research Analyst - INH000000719

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