Sobha’s Profit Jumps 68% Even As Margins Shrink

Sobha Ltd. reported net profit growth for the second straight quarter even as its margins narrowed.

Net profit in the January to March quarter jumped 68 percent to Rs 46.6 crore, according to the Benguluru-based developer’s exchange filing. Revenue increased 7.2 percent to Rs 589 crore, surpassing the consensus estimate of analysts tracked by Bloomberg.

Even as operating income grew 2.6 percent to Rs 132.7 crore, operating margin narrowed by over a percentage point to 22.5 percent.

The board has recommended a final dividend of Rs 2.5 per share.