DLF's net sales bookings rose by 16% to ₹725 crore in the second quarter of this fiscal as against ₹625 crore in the year-ago period.
At the beginning of the fiscal, DLF had given a sales guidance of ₹2,700 crore for the entire 2019-20 financial year, the company said in a presentation.
Net debt rose to ₹4,461 crore as on September 30, 2019, from ₹3,416 crore at the end of the first quarter of this fiscal. The company borrowed over ₹2,000 crore during July-September 2019.
"It will take about four quarters to reduce our level to insignificant level," DLF's Wholetime Director Ashok Tyagi said in an investor call.
In the presentation, DLF said it is left with unsold inventory of ₹10,145 crore as against the peak of about ₹15,000 crore.
On Thursday, DLF reported a 19 per cent increase in consolidated net profit at ₹445.85 crore for the second quarter of this fiscal year and announced appointment of Vivek Anand as the group chief financial officer (CFO).
The company's net profit stood at ₹374.74 crore in the year-ago period.
Total income, however, fell to ₹1,940.05 crore in the July-September quarter of 2019-20 as against ₹2,304.9 crore in the corresponding period of the previous year.
During the second quarter, DLF's tax outgo fell to ₹74.21 crore from ₹139.31 crore in the year-ago period, while its operational expenses dropped to ₹1,827.89 crore from ₹2,031.39 crore.
The company earned an exceptional profit of ₹143.56 crore during the July-September quarter.
In a statement, DLF said that its promoters infused the last tranche of funds amounting to ₹2,250 crore into the company in the second quarter.
With a total infusion of ₹11,250 crore, this is one of the largest infusion by promoters in an Indian company. DLF has now successfully completed the entire process of transformation of its balance sheet, it added.
The company said it will now work to monetise its completed inventory as well as create the future pipeline of projects to fuel growth.
"Our strategy of build and sell has worked out to be a successful one. Given the overhang owing to numerous factors, the markets are expected to lean towards developments which are either complete or at advanced stages of completion and mitigate various risks perceived to be attached to under construction projects.
"Given this belief, the company has embarked on development of new asset build-out at select marquee locations, in both residential and commercial segments, which will enable sizeable build over the time period in which existing inventory gets sold," Tyagi said.
DLF said it plans to develop 17 million sq ft of space in commercial and residential segments. The company has started construction of Midtown, a project in the Central Delhi comprising 1.9 million sq ft. The total development potential of the project is approximately 8 million sq ft, which is expected to be developed over the next five-six years.
On its commercial project in Gurugram in joint venture with Hines, the company said the JV has now started process for procuring pre-construction approvals.
About the annuity business, the commercial business continued to exhibit good growth. "Gross leasing achieved during the quarter stood at 0.97 million sq ft, out of which 0.82 million sq ft is attributable to its JV firm DLF Cyber City Developers Ltd (DCCDL)."
DLF has finalised its plan of developing a marquee mixed use development in close proximity to its existing business district of DLF Cyber City.
The company has broken ground for the first phase of this development, approximately 3 million sq ft. The total potential of this development will be approx 11 million sq ft and will also house an ultra-modern retail destination.