Sobha Ltd stock price was beaten down on the back of very disappointing numbers for Q3FY16. Its consolidated revenue declined 12% (QoQ) and down 42% (YoY) at Rs.401 crore. Net profit declined 19% (YoY) and down 47% (QoQ)to Rs.32 crore. The company improved its EBITDA margin to 27.09% and this was mainly on account of 44% (YoY) reduction in costs and this was because the company purchased lesser project materials and lower subcontractor charges.

The company said that performance was down on account of higher volume of sales from projects which are yet to meet the revenue recognition threshold.  The company's new sales volume rose 22% (YoY) at 8.06 lakh square feet but its price realisation per sq ft fell 8.1%. During the reported quarter, no new projects were launched and the company.