DLF expects a slowdown in the launch of luxury homes in the next 2-3 quarters. Though the mid-income housing business showed sales of c.2.74 msf, higher than 1Q FY09 (c.2.09 msf), they are not robust in comparison to the last quarter of FY08 (c.7.72 msf). A decline in sales coupled with execution delays show signs of a worsening situation. The company indicated significant slowdown in hospitality launches mainly due to funding issues.
DLF plans to focus on the ongoing projects and capital conservation rather than taking on additional risk. The company indicated that it is not driven on buying additional land and would respond to any deals with great caution.
No comments:
Post a Comment