Oberoi Realty

Oberoi Realty hit a new 52-week high at Rs.327.70 after the company announced a 32% rise in consolidated net profit at Rs.134 crore on a 53% rise in net sales at Rs.285 crore. The company has done well due to robust demand for quality construction and the company has stated that its order book remains high. A realty company and which is almost debt free; this is a rarity in Indian realty sector. With an interest outgo of Rs.30 lakh for 9MFY13, the company has a good cash flow too.

The company currently has two major residential projects in Mumbai – Oberoi Exquisite in Goregoan East and this is priced around Rs.13,500/sq feet. The company has already sold off substantial chunk in the project through soft launches over the last 12 months. It has another project scheduled for launch in Worli- Oasis and here too soft launch is said to have taken off though the formal project launch is expected any time now. Its other project at Mulund, Exotica is yet to take off as it has not yet got the environmental clearances. Promoters holding at the end of Q3FY13 stood at 78.49% and in the coming days, given the SEBI stipulation of bringing down the holding to 75%, we could see some announcement in terms of placement of shares to bring down their stake. EPS for 9MFY13 stood at Rs.10.96 and for FY13 will be Rs.14.61.