Lodha Developers rides housing boom in Q2, but keeps one eye on a bigger threat

Lodha Developers is riding strong housing demand, with sales bookings rising 10% year-on-year to Rs 5,037 crore in the September quarter.

But as the real estate major expands into new markets and targets higher sales, it is keeping a close watch on a bigger threat: the geopolitical and economic fallout of the continuing conflict in the Middle East.

The Mumbai-based developer also flagged concerns around the potential impact of artificial intelligence (AI) on housing demand, even as it said the response to its latest Bengaluru project showed that demand for quality homes remained strong.


Also Read: Lodha Developers profit rises 28% YoY to Rs 1,013 crore in Sept quarter

Lodha Developers' sales bookings, also known as pre-sales, rose 7% to Rs 9,670 crore in the first half of FY27, according to its investor presentation. The company has set a sales bookings target of Rs 24,000 crore for the full financial year, against Rs 20,530 crore in FY26.

The company's September-quarter performance also reflected in its bottom line, with consolidated net profit rising 28% year-on-year to Rs 1,013.5 crore.

Lodha expects to beat FY27 profit guidance

Total income increased to Rs 4,584.9 crore in the September quarter from Rs 3,878.9 crore in the year-ago period. The company reported a profit after tax (PAT) margin of 22.1%.

Abhishek Lodha, managing director of Lodha Developers, said the company had sustained its operating and financial momentum since its initial public offering in 2021.

"We have delivered continued strong operating and financial performance in September quarter of 2026-27, building on the momentum that we have sustained since initial public offering in 2021," he said.

"Basis the strong performance in H1, we expect to easily exceed our profit guidance for the year," Lodha said.

Bengaluru expansion gains pace, Delhi-NCR launch planned

The developer is looking to build on its presence in Bengaluru, where it recorded a positive response to another project launch in North Bengaluru during the September quarter.

Also Read: Lodha Developers H1FY27 net profit soars 63%, expects to beat full-year guidance


"The strength of this response reaffirms robust underlying demand for a quality brand like Lodha and helps allay concerns around AI-led disruption impacting segments beyond affordable housing," Abhishek Lodha said.

The company is also preparing to launch its first pilot project in Delhi-NCR during the festive season. The move marks another step in its expansion beyond its established markets of Mumbai Metropolitan Region and Pune.

Middle East conflict remains on Lodha's radar

Despite the strong sales performance, the company is monitoring the potential impact of geopolitical developments and changing economic conditions on its business.

"We remain concerned about the continuing conflict in the Middle East and are tracking its geopolitical and macro-economic implications carefully. The recent rise in interest rates in India is unlikely to have a direct impact on housing demand for the segments we serve. However, we will be watching the second order impacts," Lodha said.

The company expects higher interest rates to have a limited direct impact on demand in the housing segments it serves, but remains watchful of the indirect effects of global developments.