Share Review - DLF

India's largest real estate company DLF announced its 2Q FY 2012 numbers. The company’s net sales increased by
6.9% yoy to  Rs. 2,532 cr ( Rs. 2,369 cr), below our estimate of  Rs. 2,674 cr. EBITDA came in
at  Rs. 1,173cr, up 26.3% yoy, on the back of strong margin expansion. OPM
expanded by 711bp yoy to 46.3%, which was above our estimate of 43.0%.

PAT declined by 11.0% yoy to  Rs. 372cr, which was slightly below our estimate of Rs.399 cr.
The decline in PAT was largely due to higher tax rate during the quarter, which
increased to 28.6% of PBT in 2Q FY 2012 vs. 14.9% of PBT in 2Q FY 2011.

We continue to maintain our Neutral recommendation on the stock.

Review By Angel Broking
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