Macrotech Developers Shrinks Debt Burden Below Rs. 6,000 cr by March FY24

A prominent player of Real estate, Macrotech Developers, aims to bring reduce its net debt to below Rs. 6,000 crore by March next year from Rs. 6,730 crore at the end of September quarter with the help of better cash flow.

The company markets its properties under Lodha brand and has a bright name in the markets of Mumbai Metropolitan Region (MMR), Pune and Bengaluru.

During an interview with PTI, Managing Director and Chief Executive Officer (CEO) of Macrotech Developers, Abhishek Lodha, mentioned, "We have reduced our net debt by about Rs. 540 crore in the second quarter of this fiscal to Rs. 6,730 crore. Our target would be to reduce debt to below Rs. 6,000 crore by end of this fiscal year." Their aim is to keep net debt below operating cash flow, which is estimated to be Rs. 6,000 crore during 2023-24.

According to their statement, they have showed an amazing performance during the September quarter on all important metrics -- sales bookings, collections of fund from customers against sales and acquisition of new land parcels for business development.

He further quoted that, "Our focus as a business is about delivering steady and predictable growth. The first half of this fiscal year shows that we are doing that with consistency. We have achieved 48 per cent of our sales guidance for FY24 and 80 per cent of our business development guidance and our embedded EBIDTA margin remains strong at 30 per cent."

Macrotech Developers achieved sale bookings of Rs. 6,890 crore during the first six months of this fiscal as against Rs. 6,000 crore in the same period of previous year.

They have exhibited a strong launch pipeline which fostered their confidence that they can easily achieve the Rs. 14,500 crore sales booking target fixed for the current fiscal year as against Rs. 12,070 crore in the previous year.

They have launched 3.7 million square feet area worth nearly Rs. 4,000 crore in the April-September period. They are planning to launch 8 million square feet area in the second half of this fiscal year with an estimated sales value of around Rs. 12,000 crore