DLF vs Lodha Developers: Who’s dominating India’s real estate business?

A pick-up in launches, sustained traction across key micro-markets and improving pre-sales momentum have kept investor attention firmly on India’s two largest listed real estate developers. While both companies are scaling their residential portfolios and expanding across markets, their quarterly operational metrics reflect sharply different drivers of performance.

DLF is one of India’s most established real estate developers with nearly eight decades of operations and a long-standing record of growth, customer focus and project innovation. The company has delivered more than 185 projects spanning around 352 million square feet and holds an additional 280 million square feet of development potential across residential and commercial segments. Its annuity portfolio exceeds 49 million square feet, and it operates two core verticals, the development and sale of residential properties and the development and leasing of commercial and retail spaces. The stock trades at a current market price of Rs. 724.30 with a market cap of Rs. 1,79,286.83 crore.

According to a report from JM Financials, DLF reported 2QFY26 pre-sales of Rs. 43 billion, which rose +6x year-on-year but declined 62 percent quarter-on-quarter, beating JM Financial’s estimates by 24 percent. Mumbai contributed roughly 53 percent of the quarter’s pre-sales, while the upside was driven by strong traction at The Dahlias in Gurugram. The project sold 18 units worth around Rs. 16 billion, taking cumulative sales to about 45 percent of inventory within three quarters. 

First-half FY26 bookings stood at Rs. 157 billion, up 122 percent YoY, and the company remains on track to exceed Rs. 200 billion in annual pre-sales, supported by demand at Dahlias and the upcoming Goa launch. Collections were Rs. 26.7 billion, up 13 percent YoY and down 4 percent QoQ, while operating cash flow was Rs. 13.5 billion, up 12 percent YoY and down 15 percent QoQ. Development capex was Rs. 1.2 billion and land payments were Rs. 0.9 billion, and along with a Rs. 14 billion dividend payout, resulted in a net cash deficit of Rs. 2.6 billion. As of 30 September 2025, the development business had a net cash position of Rs. 77 billion.

In the annuity business, office rentals from DCCDL (DLF Cyber City Developers Limited) stood at Rs. 11.2 billion, rising 16 percent YoY and 2 percent QoQ, while retail mall income was Rs. 2.4 billion, up 9 percent YoY and 6 percent QoQ. Including CAM charges, total annuity revenue was Rs. 18.2 billion, up 10 percent YoY and 5 percent QoQ, aided by the ramp-up of new assets in Gurugram and Chennai. Operational area increased 6 percent since 2QFY25, with non-SEZ occupancy at 98 percent and SEZ occupancy at 86 percent, taking overall portfolio occupancy to 94 percent.

The annuity portfolio generated operating cash flow of Rs. 8 billion, of which Rs. 7.3 billion was deployed towards capex. Net debt stood at Rs. 173 billion, flat QoQ, with an LTV of 20 percent. The company also received occupancy certificates for 2.3 million square feet, including 2.1 million square feet at Atrium Place Phase 1, taking the total operational annuity portfolio to around 49 million square feet, of which 44 million square feet is within DCCDL.

Revenue for the quarter was Rs. 16.4 billion, down 17 percent YoY and 40 percent QoQ. EBITDA was Rs. 2.8 billion, falling 44 percent YoY and 22 percent QoQ due to an approximate 8 percentage point decline in margins. Supported by Rs. 3.8 billion income from its JV, adjusted PAT was Rs. 11.8 billion, down 15 percent YoY but up 44 percent QoQ. Higher YoY taxes were partly offset by an exceptional gain of Rs. 2.3 billion.

Lodha is among India’s leading real estate companies with a strong focus on residential, commercial and digital infrastructure development. The company has delivered around 110 million square feet and is developing more than 130 million square feet across ongoing and planned projects. Its portfolio spans multiple geographies, price points and customer segments, and it builds self-contained ecosystems supported by outdoor spaces, infrastructure and digital services through its Bellevie platform. Lodha has a current market price of Rs. 1,151.65 and a market cap of Rs. 1,15,006.21 crore.

Lodha reported quarterly pre-sales of Rs. 45.7 billion, up 7 percent YoY and 3 percent QoQ, beating JM Financial’s estimate by 9 percent. Bengaluru delivered the strongest growth with pre-sales of Rs. 10.2 billion, rising 9x YoY due to strong demand for its Sarjapur launch. Pune also posted strong numbers with Rs. 11.6 billion of pre-sales, up 4x YoY. Together, these markets contributed around 48 percent of total quarterly pre-sales. First-half FY26 bookings stood at Rs. 90.2 billion, up 8 percent YoY and forming 43 percent of the company’s annual guidance.

In 2Q, Lodha launched Rs. 49 billion worth of inventory across five projects, taking total 1HFY26 launches to Rs. 132 billion. Launch momentum is expected to increase with a further Rs. 140 billion pipeline scheduled over the next two quarters. Inventory across ongoing and completed projects remains healthy at Rs. 390 billion. The company is seeing weekly sustenance sales of about Rs. 3 billion and targets Rs. 60 billion of pre-sales in 3Q. It reiterated its full-year FY26 guidance of Rs. 210 billion. 

Collections were Rs. 35 billion, up 13 percent YoY, and operating cash flow rose 26 percent YoY to Rs. 14 billion. During the year, Lodha added a cumulative GDV of Rs. 250 billion across 15 million square feet, with 45 percent coming from non-Mumbai markets. This expansion led to a Rs. 13 billion increase in net debt to Rs. 53.7 billion compared to March 2025, though net D/E remained low at 0.3x, well below its 0.5x ceiling.

At Palava, Lodha is exploring opportunities in the data centre segment and has earmarked 400 acres for this initiative. It has signed an MoU with the Maharashtra government and is evaluating development of power shells while exploring partnerships with companies that have domain expertise.

Revenue for the quarter was Rs. 37.9 billion, rising 45 percent YoY and 9 percent QoQ. EBITDA stood at Rs. 11.1 billion, up 57 percent YoY and 13 percent QoQ, with a margin of 29 percent, expanding 236 basis points YoY and 100 basis points QoQ. Bookings during the quarter had an embedded margin of 33 percent. Reported PAT was Rs. 8 billion, up 87 percent YoY and 17 percent QoQ.

Written by Manan Gangwar

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