Wednesday, 25 May 2011 11:31
MUMBAI: India's top listed real estate developer DLF missed analysts' estimates with a 19 percent fall in quarterly profit, and warned that the central bank's actions to tighten liquidity will likely temper sector growth in the current fiscal year.
The weak results pushed the stock down nearly 5 percent in early trade on Wednesday, to its lowest level in two years. DLF shares were down 4 percent at 210.40 rupees.
DLF also plans to divest assets worth 60 billion to 70 billion rupees over the next two to three years as it looks to reduce debt, the company said in an analyst presentation.
Property prices in major Indian cities like Mumbai and New Delhi have more than doubled over the past 18 months, spurred by rising incomes and a firm stock market, but sales volumes are down by a third from a year ago as high prices and rising borrowing costs deter buyers.