Ansal properties experiences a drop in the business
The Ansal Properties group and Infrastructure today has reported a 17.14 percent decrease in the consolidated net profit for the quarter ended June 30 at Rs 7.20 crore, mainly due to lower sales volume and decline in price realisation.
The company had reported a net profit of Rs 8.69 crore in the corresponding quarter of the last fiscal, a release issued here said. Its total sales for the April-June quarter stood at Rs 282.17 crore against Rs 353.21 crore a year-ago, registering 20.11 percent decline.
During the quarter, the company sold 1.90 million sqft aggregating to sale value of over Rs 200 crore and the average realisation (including FSI sales) was Rs 1,055 per sqft against Rs 1,224 per sq ft during Q1FY14.
The report in the decrement in the sales is mainly because of the inflation and rise in property prices. Also there is an increase in the building of lot of property sites and people are likely opting houses at more affordable prices now. Some also opt for affordable houses even if they have to do away with the location benefits. This might have hampered the business.
Source: The Economic Times
