300% jump since listing: This realty firm has reported 255% YoY jump in Q1 pre-sales, Rs 180 crore drop in net debt

Signature Global, a Delhi-NCR based real estate firm, has been buzzing on Dalal Street due to its superlative performance since listing in September 2023 and robust business update.

Shares of the company, which scaled their all-time high of Rs 1,559.15 on July 8, have rallied over 300% against the issue price of Rs 385. The scrip got listed on bourses on September 27, 2023.

The company in a regulatory filing on July 7 said that it has achieved pre-sales of Rs 3,120 crore in Q1 FY25, up 255% on year-on-year basis (YoY). More than 30% of the FY25 guidance of Rs 10,000 crore in pre-sales was achieved in Q1FY25.

“The company has successfully entered the premium housing market and launched two group housing projects in Gurugram, both receiving an overwhelming response, during the last two quarters,” Signature Global said in a release.

The company’s collections in Q1FY25 grew by 102% to Rs 1,210 crore. Meanwhile, net debt reduced significantly by 16% to Rs 980 crore at the end of Q1FY25 in comparison to Rs 1,160 crore as at the end of FY24.

Commenting on the company’s performance, Pradeep Kumar Aggarwal, Chairman and WholeTime Director, Signature Global said, “Signature Global continues to ride a high growth trajectory, showcasing robust pre-sales and collection figures for the third consecutive quarter. We ended the last fiscal year on an exceptional note, exceeding our guidance by a substantial margin in both pre-sales and collections. This fiscal year, we have set an ambitious target of achieving Rs 10,000 crore in pre-sales. Remarkably, in the first quarter alone, we have already surpassed 30% of this target.”

Brokerage ICICI Securities in an earlier report set the target price of Rs 1,707 for Signature Global.
“Given its strong launch pipeline of projects with a cumulative GDV of more than Rs 40,000 crore over FY24-27, we estimate Signature to clock 19% sales booking CAGR over FY24-27, with sales booking ranging between Rs 10,000-12,000 crore annually over FY25-27 at average realisation of over Rs 13,000/psf,” ICICI Securities said. 

As of March 2024, the company has a strong portfolio of 48.6 msf of saleable area across ongoing and forthcoming projects.