Company Results
Mahindra Lifespaces Q2 Bookings Rise 41% as Motilal Oswal Keeps BUY, Rs 470 Target
Mahindra Lifespace Developers reported Q2 FY27 bookings of INR 10.6 billion, up 41% year on year, with growth concentrated in the Mumbai Metropolitan Region and Pune. Motilal Oswal kept its BUY rating and a target price of Rs 470 on the stock.
| Results approved | 22 October 2026, board meeting (unaudited Q2 and H1 FY27) |
|---|---|
| Q2 FY27 bookings | INR 10.6 billion, up 41% year on year |
| Q2 FY27 consolidated sales | INR 1,126 crore, up 32% year on year |
| Q2 FY27 residential pre-sales | INR 1,063 crore, up 41% year on year and 15% quarter on quarter |
| H1 FY27 residential pre-sales | INR 1,988 crore, up 66% from INR 1,200 crore in H1 FY26 |
| Brokerage view | Motilal Oswal: BUY, target Rs 470, about 34% upside per the note (dated 23 October 2026) |
| FY27 pre-sales guidance | INR 4,500 crore to INR 5,000 crore, maintained by management |
| Share price, 22 October 2026 | Day high INR 359.50, up 5% after results and investor presentation |
What was announced
On 22 October 2026, the board of Mahindra Lifespace Developers approved unaudited standalone and consolidated results for the second quarter and the half year ended 30 September 2026. Mahindra Lifespace Developers is the real estate development business of the Mahindra Group.
Second quarter bookings were INR 10.6 billion, up 41% year on year. Motilal Oswal said the figure was in line with its own estimate. The brokerage kept its BUY rating and set a target price of Rs 470, which it says implies about 34% upside.
Where the bookings came from
Growth was concentrated in the Mumbai Metropolitan Region (MMR) and Pune. According to Motilal Oswal's breakdown by project:
- Beaconhill (MMR): INR 2.8 billion, about 26% of bookings
- Citadel (Pune): INR 2.0 billion, about 19% of bookings
Both projects were driven by new launches. The company also launched Lakewoods Phases F and G in Chennai during the quarter. Management said it is seeing strong demand in its core residential markets of Mumbai, Pune, Bengaluru and Chennai, even though broader housing sentiment has softened.
Sales, profit and the balance between them
Consolidated sales for the quarter were INR 1,126 crore, up 32%. Residential pre-sales were INR 1,063 crore, up 41%. For the half year, consolidated sales were INR 2,101 crore, up 48%, and residential pre-sales were INR 1,988 crore, up 66%.
Quarterly profit moved the other way. Consolidated profit after tax (PAT) for Q2 FY27 was about INR 16 crore, compared with about INR 48 crore in Q2 FY26, a decline of about 66%. Standalone figures for the quarter were total income of INR 24,713 lakh and profit after tax of INR 12,743 lakh.
Revenue from the company's integrated cities and industrial clusters (IC&IC) business was INR 63 crore in Q2 FY27, with a total leased area of 36.9 acres.
Brokerage view and share reaction
Motilal Oswal values the residential business on a discounted cash flow (DCF) basis, using a weighted average cost of capital of about 12.3%, which gives a value of INR 78 billion. The brokerage maintains a forecast of a 27% compound annual growth rate in pre-sales over FY26 to FY28E, and expects collections to grow at a 29% CAGR to INR 35 billion over the same period.
The note carries a caveat that the sector remains sensitive to regulatory approvals, construction execution and interest-rate changes. On 22 October, the shares reached a day high of INR 359.50, up 5%, after the company released its results and investor presentation.
What it means for home buyers
The reported figures cover bookings, sales and launch timing. They do not give unit prices, configurations or unit counts for the new projects. Buyers considering the launches named below should check the registration and approval status of each project with the relevant state RERA authority.
The company says it holds RERA registration for its Mahalunge project in Pune, and that market activity there has started.
Launch schedule and what comes next
Management maintained FY27 residential pre-sales guidance of INR 4,500 crore to INR 5,000 crore. Against H1 pre-sales of INR 1,988 crore, that implies H2 sales of about INR 2,500 crore to INR 3,000 crore. The planned launches named in the investor presentation are:
- Rivenza, Mahalunge, Pune: expected in early December 2026
- WestEra, Santacruz (MMR): targeted within two to three months
- Sai Baba Nagar, Borivali (MMR): approvals expected by end of Q3 or mid-Q4 FY27
- Navrat (Bengaluru) and a second greenfield Bengaluru project: both expected in H2 FY27
Coverage of the results describes the Mahalunge Phase 1 project in Pune as recently launched, while management places the Rivenza launch in Mahalunge in early December. The Mahalunge Phase 1 project is expected to contribute meaningfully to pre-sales from Q3 FY27.
Strategy, pipeline and balance sheet
The company says it is focusing on depth in three core markets: the Mumbai Metropolitan Region, Pune and Bengaluru, in premium and mid-premium segments. It is exiting the affordable housing segment. The company points to a 2017 joint venture with HDFC Capital Affordable Real Estate Fund-1 as an earlier affordable housing platform, which is now outdated given that exit.
In the first half of FY27 the company added INR 7,100 crore of gross development value (GDV), up 36.5% from a year earlier. It added two society redevelopment projects in MMR, in Chembur and Borivali, with combined GDV of INR 15 billion in Q2. The residential GDV pipeline is about INR 504 billion after adding three projects in H1. Full-year FY26 residential pre-sales were INR 3,405 crore, up 21%.
The company remains net cash, with a net cash-to-equity ratio of 0.28x.
Mahalunge context
Mahalunge in western Pune is reached through the Mumbai-Pune Expressway and the Nande-Balewadi road. Nearby roads include NH 48 and Baner Road. A 618-acre high-tech park, an upcoming ring road and proposed metro links are expected to shift the area from the city's edge toward its centre. These growth claims are the views of the developer and of the publication that carried them, not independent forecasts.
Frequently asked questions
How much did Mahindra Lifespaces book in Q2 FY27?
Bookings were INR 10.6 billion in the second quarter of FY27, up 41% year on year. Residential pre-sales for the quarter were INR 1,063 crore, up 41%.
What is Motilal Oswal's view on the stock?
Motilal Oswal kept its BUY rating and set a target price of Rs 470, which the note says implies about 34% upside. The note is dated 23 October 2026.
Why did profit fall if bookings rose?
Consolidated profit after tax for Q2 FY27 was about INR 16 crore, down from about INR 48 crore a year earlier. Pre-sales and profit are recognised on different bases, and the company's profit figures move with accounting timing. Sales growth and reported profit do not move together in the same quarter.
Which projects drove the bookings?
Motilal Oswal attributes INR 2.8 billion (about 26%) to Beaconhill in the MMR and INR 2.0 billion (about 19%) to Citadel in Pune. Both were driven by new launches.
What is the company's full-year sales target?
Management maintained FY27 residential pre-sales guidance of INR 4,500 crore to INR 5,000 crore. That implies H2 sales of about INR 2,500 crore to INR 3,000 crore.
When are the next launches expected?
Rivenza in Mahalunge, Pune, is expected in early December 2026. WestEra in Santacruz is targeted within two to three months. Sai Baba Nagar in Borivali is awaiting approvals expected by end of Q3 or mid-Q4 FY27.