DLF

Delhi Land and Finance

CONTENTS
Introduction
History
Balance Sheet
Profit and Loss Statements
Economic Ratios
Financial Statistics and Analysis
Porter’s 5 Forces Model Analysis
SWOT Analysis
Future Projects
Other Developments
Gallery
INTRODUCTION
DLF- Delhi Land And Finance

India’s biggest real estate developer

BUILDING INDIA- Mission and vision of company

Founded as Raisina Cold Storage and Ice Company

Current chairman- Mr. Kushal Pal Singh – world’s richest

property developer- world’s 98th richest man according to
forbes
HISTORY
Founder- Mr.Raghuvendra Singh on 16 March 1946

Starting developments in Delhi like Krishna Nagar, Greater Kailash

Company acquire land on outskirts like Gurgoan

Awards
Most trusted brand By reader’s digest- 2008

Real estate excellence in 2008- Best IPO of the year

Most diversified real estate developer award by CNBC – 2007

Major milestones
Balance Sheet
Balance Sheet 2009 2008
Source of Funds
Shareholders 1,237,482.37 1,126,914.63
Loan funds 961,496.90 838,640.75
Deferred tax 5,832.90 2,894.99
Application of Funds
Fixed Asset 347,325.76 325,615.92
Investments 295,631.50 183,983.00
Current assets, loans and 1,871,177.69 1,834,158.12
advances
Less : Current liabilities 309,322.78 375,306.67
and provisions
Net Current Assets 2,204,812.17 1,968,450.37
Profit & Loss Account
Profit & Loss 2009 2008
INCOME
383,904.46 605,845.95
EXPENDITURE
202,817.64 294,053.72
Profit before Tax 181,086.82 311,792.23
Tax Expense 26,100.42 54,352.18
Net Profit 154,777.03 257,459.04
Balance available for 328,273.11 284,386.04
appropriation
APPROPRIATION 328,273.11 284,386.04
Earnings Per Share 9.09 15.48
Economic Ratios
RATIOS Mar '05 Mar '06Mar '07Mar '08 Mar '09
Current Ratio 1.21 1.51 1.75 2.34 2.96
Quick Ratio 0.74 1.91 1.36 3.28 3.83
Debt Equity Ratio 1.65 4.67 10.37 0.74 0.78
Inventory Turnover Ratio 0.67 2.43 0.33 -- --
Debtors Turnover Ratio 7.53 62.46 11.00 9.96 4.95
Earnings Per Share 192.98 60.22 2.65 15.10 9.08
Fixed Assets Turnover Ratio 1.56 1.88 1.44 -- --
Dividend Per Share 4.00 4.00 2.00 4.00 2.00
Operating Profit Per Share (Rs) 191.34 81.18 4.31 18.02 10.34
Net Operating Profit Per Share (Rs) 1,175.12 252.45 7.20 32.24 16.59
Liquidity Ratio
4.5
4
3.5
3
2.5
Current Ratio
2 Quick Ratio
1.5
1
0.5
0
Mar '05 Mar '06 Mar '07 Mar '08 Mar '09
Market value ratios
Earnings Per Share
250

200

150
Earnings Per Share

100

50

0
Mar '05 Mar '06 Mar '07 Mar '08 Mar '09
Raw Material Costing
Date Revenue Raw material cost
30.6.07 1207.11 192.08
30.9.07 3249.24 768.56
31.12.07 3651.25 896.93
31.03.08 4372.36 1134.84
30.06.08 3846.34 1118.41
30.09.08 3744.39 1180.56
31.12.08 1366.67 185.61
31.03.09 1122.32 491.36
30.6.09 1649.86 558.26
30.09.09 1750.94 384.34
31.12.09 2025.77 673.3
 Raw material cost
1400

1200

1000

800
Raw material cost

600

400

200

0
30.6.07 30.9.07 31.12.07 31.03.08 30.06.08 30.09.08 31.12.08 31.03.09 30.6.09 30.09.09 31.12.09
Sales Vs Cost
Date Revenue Expenditure
30.6.07 1207.11 250.92
30.9.07 3249.24 968.26
31.12.07 3651.25 1097.03
31.03.08 4372.36 1523.64
30.06.08 3846.34 1466.17
30.09.08 3744.39 1577.85
31.12.08 1366.67 673.46
31.03.09 1122.32 1019.38
30.6.09 1649.86 971.15
30.09.09 1750.94 913.69
31.12.09 2025.77 1262.46
5000

4500

4000

3500

3000

2500 Revenue
Expenditure
2000

1500

1000

500

0
30.6.07 30.9.07 31.12.07 31.03.08 30.06.08 30.09.08 31.12.08 31.03.09 30.6.09 30.09.09 31.12.09
Expenditure Variations
Date Employee cost Revenue Expenditure
30.6.07 23.08 1207.11 250.92
30.9.07 60.62 3249.24 968.26
31.12.07 60.86 3651.25 1097.03
31.03.08 141.15 4372.36 1523.64
30.06.08 102.47 3846.34 1466.17
30.09.08 58.24 3744.39 1577.85
31.12.08 120.97 1366.67 673.46
31.03.09 137.46 1122.32 1019.38
30.6.09 73.42 1649.86 971.15
30.09.09 117.93 1750.94 913.69
31.12.09 128.93 2025.77 1262.46
1800

1600

1400

1200

1000
Expenditure
Worker cost
800

600

400

200

0
30.6.07 30.9.07 31.12.07 31.03.08 30.06.08 30.09.08 31.12.08 31.03.09 30.6.09 30.09.09 31.12.09
Profit Analysis
Date Net Profit
30.6.07 579.27
30.9.07 2018.55
31.12.07 2144.08
31.03.08 2176.82
30.06.08 1863.97
30.09.08 1935.35
31.12.08 670.79
31.03.09 159.05
30.6.09 396
30.09.09 439.74
31.12.09 467.89
 Net Profit
2500

2000

1500
Net Profit

1000

500

0
30.6.07 30.9.07 31.12.07 31.03.08 30.06.08 30.09.08 31.12.08 31.03.09 30.6.09 30.09.09 31.12.09
Market Capital
Market Cap. Sales Turnover Net Profit Total Assets
 
DLF 56,402.81 2,827.90 1,547.77 21989.88
DB Realty 10,953.94 - - -
HDIL 9,673.22 1,719.29 830.43 8,610.98
Indiabulls Real 6,998.83 45.03 16.56 5,296.28
Sunteck Realty 3,994.58 2.17 9.57 218.08
Anant Raj Ind 3,927.73 413.78 365.84 3,349.15
Ackruti City 3,802.63 440.99 263.78 2,036.17
Godrej Property 3,511.71 - - -
Sobha Developer 3,165.01 974.7 109.7 3,001.65
Parsvnath 2,548.42 744.04 113.04 3,756.32
 Market Cap. (Rs. cr.)

4% 3% 2% DLF
4% 4% 3%
DB Realty
HDIL
7% Indiabulls Real
Sunteck Realty
54% Anant Raj Ind
Ackruti City
9% Godrej Property
Sobha Developer
10% Parsvnath
 Porter’s 5 Forces Model Analysis
Potential
New Entrants

Bargaining Intra-Industry Bargaining

Power Rivalry Power
of Suppliers Strategic Business Unit of Buyers

Substitute
Products
and Services
Threat of new entrants

Decrease in profitability due to increase in number of

entrants.
Real Estate Sector needs high working capital.
This results in high entry barriers.
Existing firm has an edge over the others due to more
industrial experience.
Threat Of Established Rivals

DLF has 54% of the Market share in the Real Estate

Sector.
High competition in the sector.
Established rivals are a threat to upcoming players.
DLF ,Unitech and Ansals are the major players in this
sector.
Bargaining Power Of Suppliers

Bargaining power of suppliers is low.

Supplier’s margins have been stagnant despite strong
growth in volumes.
Large number of suppliers are available
This leads to shift of contracts when a supplier tries to
increases the price.
Bargaining Power of Buyers

Bargaining power of the buyers is low.

Difficult to predict the direction and magnitude of
price movement on real estate.
Forces of demand and supply would always apply
Price movement would follow accordingly
Threat Of Substitute Product
 No substitutes to the basic product

So,
No threat of substitute products.
SWOT Analysis
Strength Weakness

Opportun
ities
Threats
Strength

DLF has a very good market share of about 54%


Brand Value


Huge supplier base ensures a fixed raw material cost


A well established and firm base in north India
Weakness
Little or no projects in the other parts of India

No parallel products to support during times of bad

economy
Opportunities
Expansion of business in other parts of India

It can invest more in Power generation projects like

Hydroelectric or Wind power

Investment in raw material – Backward Vertical

Integration
Threats

Competitors may try to get more market share

through improved techniques
FUTURE PROJECTS
1. India's largest Exhibition and Convention Centre to be built by DLF in
Sector 24, DWARKA, NEW DELHI by 2010.
2. Mall of India is an under-construction shopping mall in Gurgoan,
India- area of 4,500,000-square-foot (418,100 m2)- the largest mall ever
built in India-one of the largest in the world- estimated cost $ 298
million( 1500 crore INR).
3. DLF Corporate Greens -located next to NH 8, in the upcoming Sector
74A, Gurgaon -Spread over sprawling 25 acres-the project is to be
developed on the lines of district centre comprising premium
Commercial , Retail and IT spaces.
4. DLF Plaza – Lucknow - catering to office, retail, leisure, entertainment
requirements- also internationally acclaimed Hilton Garden Inn hotel-
area of 69677 sq mts (approx)- will have 2 levels of basement parking to
accommodate approx 800 cars-24 hour security surveillance- equipped
with modern fire fighting systems.
OTHER DEVELOPMENTS
Wind Power projects

DLF group is the largest owner of wind power plants in India with an installed
capacity of 228.7 MW.

Project Locations
1. 150 MW wind power project in Kutch, Gujarat.
2. 11.2 MW wind power project in Gadag, Karnataka.
3. 33 MW wind power project in Osisan and Ratan Ka Baas, Rajasthan.
4. 34.5 MW wind power project in Elavanthi and Panapatti, Tamilnadu.
Gallery
DLF Constructions
Gurgaon , Haryana
DLF Gateway Tower

Gurgaon
Plaza Tower
SkyLine
Gurgaon
SkyLine
New Delhi
Thank You