Realty firm Signature Global is targeting to achieve zero net debt during the next fiscal year on healthy internal cash flow supported by strong consumer demand for its residential projects in Gurugram.
The company has reduced its net debt in the October-December quarter to ₹740 crore, from ₹1,020 crore at the end of the second quarter of this fiscal year.
“We will achieve zero net debt during the next financial year,” Signature Global’s Chairman Pradeep Kumar Aggarwal told PTI.
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He said the company has reduced its net debt significantly and would continue to do so.
Signature Global’s net debt stood at ₹1,160 crore at the end of the 2023-24 financial year.
Aggarwal said the housing demand continues to be robust in Gurugram, although he agreed that the “frenzy” witnessed during the past few years has subsided to some extent.
He said the company would focus on a price bracket of ₹2-5 crore per unit. “In this price bracket there is a huge demand but limited supply.” On an operational front, the company’s collection of funds from customers has risen 54 per cent to ₹3,210 crore in the first nine months of this fiscal, from ₹2,090 crore in the corresponding period of the preceding year.
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Signature Global sold properties worth ₹8,670 crore during April-December period of this fiscal, a sharp rise from ₹3,120 crore in the year-ago period.
Average pre-sales realisation for April-December period of 2024-25 increased to ₹12,565 per square feet, compared to ₹11,762 per square feet in the entire 2023-24.
Signature Global has set a target of achieving sales bookings worth ₹10,000 crore in the current fiscal year, as against ₹7,270 crore in the preceding year.
Signature Global has so far delivered 120 lakh sq ft of housing area and has a robust pipeline of 350 lakh sq ft of saleable area in its forthcoming projects, along with 158 lakh sq ft of ongoing projects.
The company has been buying land to expand its business.