Sobha Ltd (NSE: SOBHA) Q3 2026 Earnings Call dated Jan. 17, 2026
Corporate Participants:
Jagadish Nangineni — Managing Director
Yogesh Bansal — Chief Financial Officer
Analysts:
Adhidev Chattopadhyay — Analyst
Puneet Gulati — Analyst
Parikshit Kandpal — Analyst
Sucrit Patil — Analyst
Akash Gupta — Analyst
Fenil Brahmbhatt — Analyst
Biplab Debbarma — Analyst
Pritesh Sheth — Analyst
Manoj Dua — Analyst
Dhruvesh Sanghvi — Analyst
Himanshu Upadhyay — Analyst
Aayush Saboo — Analyst
Presentation:
Operator
Ladies and gentlemen, good day, and welcome to Sobha Limited Q3 FY26 Earnings Conference Call hosted by ICICI Securities Limited. [Operator Instructions] Please note that this conference is being recorded.
I now hand the conference over to Mr. Adhidev Chattopadhyay from ICICI Securities. Thank you. And over to you, sir.
Adhidev Chattopadhyay — Analyst
Yeah. Good evening, everyone. Thank you for joining us on the Sobha Limited call today. From the management, as always, we have with us Mr. Jagadish Nangineni, the Managing Director, and Mr. Yogesh Bansal, the Chief Financial Officer.
I would now like to hand over the call to the management for their opening remarks. Over to you. Thank you.
Jagadish Nangineni — Managing Director
Good evening, everyone, and wishing everyone a very happy and prosperous new year. Thank you for joining us on this quarter three FY25-26 call. Thank you, Adhidev, for organizing this.
I will briefly touch upon our performance in Q3 and our outlook for the remaining period for FY26 and beyond. Firstly, on real estate sales and new project launches, the first nine months of FY26 have been truly exceptional for Sobha with our real estate sales reaching an all-time high of INR6,097 crores in the nine-month period.
In Q3, we have surpassed our earliest highest sales with INR2,115 crores. We have achieved an average price realization of about INR14,500 in the first nine months versus last year’s of about INR13,400, an increase of about 8%.
This quarter, Bangalore achieved our highest ever quarterly sales of over INR1,500 crores, thanks to the launch of Sobha Magnus on Bannerghatta Road, which did fantastically well, selling about 80% of the project in the launch quarter itself.
NCR also has done well this quarter with the launch of Sobha Strada in Gurgaon. It is our first service apartment project. We also launched Sobha Inizio, our first project in Mumbai in December, expanding our real estate presence to 313 cities across India.
In this month, January ’26, we already received RERA for two projects, Sobha Altair in Bangalore and Sobha Woods in Trivandrum. Overall, we have launched 2.58 million square feet in the first nine months of this year.
Some of the planned launches in this year got delayed due to combination of factors. We are working towards launching three to four projects in Q4, one in Gurgaon, which is about 800,000 square feet, one in Greater Noida, which is about 2.4 million square feet, one in Chennai, which is about 1.5 million square feet, and one in Calicut at about 800,000 square feet. All of them are in various stages of approval.
If all of them come through, then we will cumulatively be launching about 8.5 million square feet for this financial year. The Q4 sales performance is partly dependent on these launches, and if they come through in time, we should be able to surpass our annual plan of 35% increase over last year at about INR8,500 crores.
Coming to our non-real estate businesses, our manufacturing, contracting, and retail businesses continue to perform steadily, further strengthening our unique backward integrated execution model that ensures world-class quality. The revenue contribution from the non-real estate businesses have been steady quarter-on-quarter and we achieved about INR575 crores in the first nine months and hope to do about INR750 crores for the year. Since we are not undertaking any new projects in civil contracts, there would be a degrowth in this segment to the extent of about INR150 crores to INR175 crores from next financial year.
Coming to project completions in real estate, we have completed 915 homes, taking cumulative deliveries in the first nine months to 2,100 homes, which is about 3.65 million square feet. We plan to complete another 1.5 million to 1.7 million this quarter and take it to a total of 5.2 million to 5.3 million square feet, a growth of about 16% to 17% over last year completions of 4.54 million square feet.
Coming to revenue recognition and margin, our revenue recognition in residential real estate has been low this quarter, affecting the overall profitability. We could recognize lower due to non-receipt of OCs in three projects. This is not due to any structural issue or any ongoing issue, but specific to this time period, which we can classify as normal procedural delays. Due to this lag, we couldn’t recognize close to INR500 crores, which would be reflected in the next quarter.
As you would have seen in various investor presentations, we have a total unrecognized real estate revenue of about INR18,600 crores. The blended net margin at project level after accounting for project interest is about 30% for this unrecognized revenue.
Projects that we have recognized revenue in this financial year and in the first nine months is about 12% when compared to that 30% number. Projects that we have completed and we are going to recognize in the next few quarters and going to complete in the next 12 to 15 months, the margin of the same would be in the range of about 18% to 19%, a 50% increase. For the projects that we would complete beyond 15 months, it would be about 24%, again, an increase of about 90%. Hence, the margin expansion is definitely going to happen in a manner as we increase our pace of completion and recognize those revenues.
With this, I hand over the call to Mr. Yogesh, our Chief Financial Officer, to provide details on the financials.
Yogesh Bansal — Chief Financial Officer
Good evening, everyone. I wish you all Happy New Year. I am pleased to share our financial performance for our quarter three and first nine months of financial year 2025-26. I will begin with our cash flow covering both quarterly and year-to-date trends and then move to P&L before opening the floor for questions.
Q3 was another strong quarter with total operational cash inflow of INR1,985 crores, representing a 34% year-on-year growth. This was driven by real estate collection of INR1,816 crores, up 37.5% over the same period last year. For the first nine months, total operational inflow stood at INR5,809 crore, recording a healthy 32% growth over last year. Real estate collection for the period grew 33.7% year-on-year, reflecting strong sale momentum and disciplined execution. As anticipated, construction cost and sales and marketing outflow were higher year-on-year, in line with our sale momentum.
Our net operational cash flow remained robust. We generated INR362 crores in Q3, an improvement of 78% year-on-year, supported by strong customer collection and project progress. For the first nine months, net operational cash flow stood at INR1,270 crores, already surpassing the full year FY25.
During the nine months, net land payments were INR872 crores, up nearly by 38%, reflecting a strengthening of our growth pipeline. We generated net cash flow of INR41.6 crore in Q3 and INR161.9 crore in nine months of FY26. We closed the quarter with a gross debt of INR997 crores and cash balance of INR1,790 crores, underscoring high solvency and strong financial footing.
Looking ahead, we have clear visibility of future cash flow expected from our ongoing and forthcoming inventory. From all ongoing projects, we expect to generate marginal cash flow of — close to INR9,000 crore sat project level post sales and marketing spend. We should be able to realize this over next four to five years.
Additionally, we expect to generate INR7,300 crores of marginal cash flow from forthcoming projects of 16.51 million square feet, which shall be launched over next six to eight quarters. With our strong foundation, we aim to further scale operational cash inflow in coming quarters, supported by new launches, sales, construction progress and sustained collections.
Now coming to P&L, total income for Q3 was INR983 crores, and for nine months, it stood at INR3,354 crores. Revenue recognition during the quarter was lower than anticipated primary due to delay in obtaining OC for certain projects.
EBITDA for Q3 was INR78 crores, and for first nine months, INR309 crores. PAT was INR15.4 crores for Q3 and INR102 crores for nine months. We have unrecognized revenue from sold units of approximately INR18,600 crores as on date. As we ramp up our project completion and recognize more revenue, we expect the profitability margin to improve.
I would like to thank you all for your participation. With this, we can now open the call for questions.
Questions and Answers:
Operator
Thank you very much. [Operator Instructions] The first question is from the line of Puneet Gulati from HSBC. Please go ahead.
Puneet Gulati
Yeah. Thank you so much and congrats on great performance. My first question is, if you can give some color on what you’re seeing on the ground in terms of demand environment. Some of your peers, at least in Gurugram, seem to be talking about a bit of softness. If you can share your experience across geographies, that would be very helpful. Thank you.
Jagadish Nangineni
Thank you, Puneet. The overall demand scenario in the operating markets that we are present, Bangalore seems to be steady in nature and Gurgaon, while there are pockets of concern, but like I was always mentioning in the previous call, the sweet spot of about — between INR4 crores to INR5 crores is still — INR4 crores to INR6 crores is still a good market for Gurgaon. And in such cases, where the demand from the short-term investors has reduced, the opportunity lies with projects and companies where there is end user or long-term investor demand. That seems to be on a continued path. From a leading indicators point of view, our site visits and opportunities that we generate for these projects, they seems to — they seem to be continuously be on a similar number month-on-month. And hence we have seen that this end user demand continues to be robust in Gurgaon. In Kerala the —
Puneet Gulati
And — yeah. Okay.
Jagadish Nangineni
Kerala, the demand seems to be steady. It’s a NRI market largely, and projects in Trivandrum, it is a combination of both NRI and end user. So they seem to be quite steady in terms of demand.
Puneet Gulati
And also Noida, and some color on how you foresee pricing.
Jagadish Nangineni
NCR as an overall market is — for us, it is a very long-term play, and immediate and in the next few quarters or couple of years, the demand side seems to be still very robust. For the whole of NCR and in fact North India, the only job-creating locations are Gurgaon and Noida, and they would produce end customer or, let’s say, end user demand. And I think that would continue. And we have been — for a long time, have attracted long-term investors and end users as our customers. So hence for projects like ours — for projects and locations like ours, that play doesn’t seem to reduce or change. But the only thing is probably due to some of these absence of some short-term or, let’s say, medium-term investors, the volume might not be as expected as what we had seen a couple of years ago where we were seeing fully sold-out project launches, but other than that, from structurally, I don’t think it is a big issue.
Puneet Gulati
Okay. That’s very helpful. Thank you. And secondly, on the cash flow side, just three questions. We’ve seen cash tax go up, advertising spend go up. Should that be the new number? And secondly, if you can comment on the nature of spends on the land payment side, INR240 crore this year — this quarter as well.
Jagadish Nangineni
Yeah. Sure. The marketing — sales and marketing spends, of course, it’s an accrual of all the sales that we have done. We pay brokerages, we pay incentives. We are doing advertisements for new project launches. So it is bound to increase in accordance with the pace of sales. Second is with respect to the tax, I think it’s advanced tax that we have paid for this — in this quarter, and hence there is a higher number there. Third, in terms of the land payments that we have done, so for projects that we have to launch, some of the pending payments that needed to be done and those reflect the majority of the outflows for that.
Puneet Gulati
Okay. So it’s not the new land parcel. It’s just preparing for the launch to some approval related spends.
Jagadish Nangineni
No, the approval related spends, we don’t take it in — as part of land, Puneet. All the land spends that we take are — the approval-related spends go towards the construction spends.
Puneet Gulati
So this is what, new land that you bought for INR240 crores or —
Jagadish Nangineni
It’s a comp — in this particular quarter, majority is towards settlement of old dues for some of the existing lands, which we are planning to launch in the next financial year, and very little component towards any new projects.
Puneet Gulati
Great. That’s very helpful. And lastly, on Hoskote, when should we expect that launch?
Jagadish Nangineni
We are in advanced stages of approval process. It’s about 48 acres of land, first phase. We are trying to launch it — launch about 5.4 million square feet. That should happen in the first quarter of next financial year.
Puneet Gulati
Okay. That’s very helpful. Thank you so much. And all the best.
Jagadish Nangineni
Thank you, Puneet.
Operator
Thank you. [Operator Instructions] The next question is from the line of Parikshit Kandpal from HDFC Securities. Please go ahead.
Parikshit Kandpal
Yeah. Hi, Jagadish. Congratulations on a good quarter, sir. My first question is on the launches in this quarter. So if you can help us with the timeline of NCR launches, so both Greater Noida and Gurugram. So what stages of approval have we filed for RERA? So if you can just update us on that.
Jagadish Nangineni
Thank you, Parikshit. The — both of them are in advanced stages. I think we should be able to apply for RERA early — late this month or early next month. So we are looking at the advances, like I mentioned, in the initial comments. Apart from these two, a couple of others. We should be able to do those towards the end of the quarter. March — mid-March is what I’m expecting to launch the projects.
Parikshit Kandpal
So when the sales will be recorded in this quarter? So from that angle, I wanted to understand whether these will get captured in this quarter or move to next quarter.
Jagadish Nangineni
Yes, if the RERA comes in time and we are — if RERA comes in time, definitely we plan to launch it in this quarter and part of the sales which will come for the project will be logged in in this quarter.
Parikshit Kandpal
Okay. And between the two, I mean, will Noida be a full-fledged launch? As you said that 0.8 million, you’re looking to launch in Gurgaon, which looks like half of the project, but Noida is full 2.4 million. So are you more confident on the Greater Noida project if you’re going for a full-fledged launch? I’m not that confident on Gurgaon. So just wanted to pick your brain on that.
Jagadish Nangineni
Yeah. Good question. Actually it’s not related to any demand side scenario, but it is more towards technical. In Gurgaon, we are launching part of the project because the remaining set of projects needs TDI, and we have phased the projects in such a manner that we launched first the base FAR and the remaining, we will launch subsequently in the next financial year. And that’s the main reason. Otherwise, we could have launched the entire project.
Parikshit Kandpal
Okay. And just the last question, Jagadish, on the pricing bit. So do you think that maybe three months back, the pricing you were thinking on both these projects and now where it actually goes to the launch, do you think that in your mind that number will be slightly lower? Given that what we’ve been hearing from the peers and the demand slowing down, do you think that there is a case you are presenting to the management — the senior management that we should rationalize the pricing which you had thought earlier?
Jagadish Nangineni
No, I think the pricing is largely stabilized in both these locations. We have not come across or not seen any rationalization of pricing. So hence — and our — the projects are of long term in nature. We are not chasing only the short-term sales or growth from a — we are here chasing both the growth and also would not like to sacrifice our margins as well. So hence, we are quite confident that we will be able to achieve both.
Parikshit Kandpal
Okay. Because on margins, still we are weak and you said that 19% for next 12 to 15 months. So from next quarter onwards, we see the margins improving, and by the year-end, we’ll be at 30%, 30%. Then for the next year, after 15, we are at 34%. So how will be the journey from every quarter from here from right now 8% EBITDA margins?
Jagadish Nangineni
Right. For Q4, specifically, it should be much better because there’s a lot of pending revenue that we can recognize. Going forward, the net margin — the company-wide margin depends on the quantum of the completions that we will do and the kind of projects that we will do. So what I can see is, in the first couple of quarters next year, would be a little tight mainly also because of increased sales and marketing expenditure that we would do, we would incur and the completions are slated towards the second half, which we have started about three years ago. All those projects will start coming in. So I think from Q3, it should be significantly better, but first two quarters also should be okay mainly apart from the fact that it is the — there would be an impact on higher sales and marketing. That’s about it.
Parikshit Kandpal
Okay, sir. Thank you. Yeah. Wish you all the best.
Jagadish Nangineni
Thank you.
Operator
Thank you. The next question is from the line of Sucrit Patil from Eyesight Fintrade Private Limited. Please go ahead.
Sucrit Patil
Good afternoon, team. Am I audible?
Jagadish Nangineni
Yes, Sucrit. Perfectly audible.
Sucrit Patil
Yeah. Thanks. So I have two questions. My first question is to Mr. Nangineni. As demand for premium housing continues to grow, how do you see Sobha balancing expansion into new cities with maintaining its reputation for quality and luxury? Over the next few years, what kind of role do you see Sobha playing in shaping the customer experience and brand positioning especially as competition in the real estate sector intensifies? This is my first question. I’ll ask the second question after this. Thank you.
Jagadish Nangineni
Yeah. Thank you, Sucrit. Currently we are present in 13 cities, and as luxury housing is increasing, in fact, we would — we have — we are — our aim is to focus far more on cities which have a continuous growth and hence — and also to make sure that the delivery of our product remains consistent to what we have been doing till now and in fact improve upon that. So as we grow in scale, the scale would — what we anticipate would be coming from lesser number of cities, not — on higher scale in each of the cities rather than spread out across multiple cities. And those — largely those cities would be, again, what we are operating in Bangalore, NCR, Mumbai, and partly from Pune and Hyderabad. Rest of the cities also would contribute, but the main focus would be on these cities.
Second is from a role what we would play, our — the whole company has been founded, and we have continuously operated on the most unique backward-integrated model where we can continuously upgrade our thoughts and always see how we can improve on our design and our ability to deliver both on time and of the best quality. And that would continue to remain our focus. And in fact, we are making significant strides towards that while attending to the matter of delivering towards scale.
Sucrit Patil
Thank you. My second question is to Mr. Bansal. With multiple projects underway, how are you thinking about balancing profit margins with a need to fund growth. As new development come into play, what steps are you taking to keep the cost under control and ensure financial discipline while still supporting Sobha’s long-term expansion plan? Thank you.
Yogesh Bansal
So Sucrit, basically we are keeping check on our capital, how to allocate capital, and how we are — and where we have to allocate so that we can get expected return from the project. And our team is fully focused on execution and controlling the cost. So we have full check on our control on cost and as well as capital allocation so that we can grow in disciplined manner.
Jagadish Nangineni
Also adding to what Yogesh has mentioned, Sucrit, that as you would have seen, we are one of the few real estate companies which has a net negative debt, which would mean that there is our ability to fund growth and also to ride over any real estate cyclicality. Both, we can achieve simultaneously.
Sucrit Patil
Just the extension to this. Just mentioned the ability to fund growth. So this funding will be internal or it will be by raising any funds from external things?
Jagadish Nangineni
As you are aware, we have actually raised INR2,000 crores as part of rights issue last financial year. So hence, we have already addressed that question of funding growth. In addition to that, we have series of new launches that we plan to do in the next 15 to 18 months. And those also, majority of them are fully paid for in terms of land. And then the incremental cash flow should be significant for us to fund any growth possibilities that we will get.
Yogesh Bansal
And we are expecting INR16,000 crores to accrue from our ongoing projects plus forthcoming projects, cash flow, in near future, five to six years.
Sucrit Patil
Thank you very much. The last part was very important. So I wish the entire team best of luck for the next quarter.
Jagadish Nangineni
Okay. Thank you.
Operator
Thank you. The next question is from the line of Akash Gupta from Nomura. Please go ahead.
Akash Gupta
Hi. Congratulations on great performance. So my first question is regarding the strategy in Mumbai. I think the project Inizio was launched in the third quarter. So could you please explain like, what’s the pricing strategy there and like how has been the reception for that project? That’s my first thought — that’s my first question.
Jagadish Nangineni
Thank you, Akash. Our plans for Mumbai, Mumbai, as a market, it’s very strategic. It’s one of the largest real estate markets in India. So it’s a measured approach in which we have started our projects in Mumbai. And I think any location that we have entered into, it has been a steady growth for us. Like — I mean, there are several examples in that because we are present in 13 cities. So it does take some time to understand the local market across various aspects of real estate development.
And to that extent, so it’s a fantastic opportunity that we have started out in Mumbai, and we would continue to invest in Mumbai as we find new projects. The first project, Inizio, the pricing, I mean, we have a similar method of pricing our projects. And I think for the kind of quality that we deliver, it’s quite — it’s little premium to the market, but that’s the premium that we do see in any of the locations that we operate in.
Akash Gupta
Got it. And sir, second question is on next year’s demand outlook. With this so much macro uncertainty and even the stock market’s not doing very well, what’s your thought on the real estate demand in the cities that you’re operating in in FY27? I wanted to know your thoughts particularly for Gurgaon and Bangalore. How are you thinking there?
Jagadish Nangineni
Frankly, Akash, I wish I know the accurate answer for that, but what I can clearly see is that there is only not in this FY27. So when we launch projects or when we have outlook for the business, we cannot operate in just one year time horizon. We’ll have to take a slightly longer-term outlook. And in that context, we see that the real estate demand is directly — I mean, the real estate demand is completely an outcome of the economic growth that we experience. And as the economy grows, the discretionary spends increase. There would be continuous demand and — in an asset class like real estate. There might be — in the last few years, there has been a significant increase in pricing and hence there has — it has attracted a lot of short-term or medium term investors, but probably that might not be the case in the near term, but otherwise, from a long-term structure point of view, the demand should remain robust, if the core assumption is that the economic growth is intact.
Akash Gupta
Yes, sir. And sir, my third and final question is with respect to your FY26 guidance. I think it’s close to INR85 billion, and we are thinking that the Gurgaon and the NCR project will be launched towards mid-March. In the event that happens, do you think there’s risk to that INR85 billion number? And second is, in addition to Hoskote in FY27, do we have any other big project to drive our growth in FY27?
Jagadish Nangineni
Good question. So in FY — I’ll take the second question first. FY27, as you have seen, there is a pipeline of about 16.5 million square feet to be launched for us. And in that, if all the launches that we have spoken in this quarter do occur, then it will — that’s about 6 million square feet. So remaining about 10.5 million square feet is in the next financial year. So apart from just Hoskote, which is about 5.5 million, there are several other projects both in Bangalore and rest of the country. One in Pune, one in — a few more in Gurgaon and in — couple of more in Bangalore as well. So we have a reasonably good visibility towards the pipeline. In addition to that, in fact, there are several other projects which are at design stage, and as we make progress towards the approval stage, we would add to this pipeline.
Coming to your question on this specific quarter, of course, like I said, the quarter four performance would be partly dependent on the launches, but I think if we are managing to launch some of — at least some of these projects which I have mentioned, then we should be able to achieve what we have set out for.
Akash Gupta
Got it, sir. Perfect. Thank you so much, sir. Best of luck.
Jagadish Nangineni
Thank you, Akash.
Operator
Thank you. The next question is from the line of Fenil from Choice Institutional Equities. Please go ahead.
Fenil Brahmbhatt
Hello. Am I audible?
Operator
Yes, you are. Please go ahead.
Fenil Brahmbhatt
Yeah, yeah. Thank you. Thank you so much and congratulations for the good quarter. So you entered into the Mumbai market first time in the last quarter. So how was the response to the Sobha Inizio? I want to understand. And what would be the expected average price realization or completion period? If you can share some detail on that project.
Jagadish Nangineni
Thank you, Fenil. The fact that as a group, we are present in — we have been a listed company for the last almost 19 years, and also the fact that our presence in Dubai has been significant as a group. The recognition towards our brand is very high. There have been a lot of inquiries, and the pricing that we have launched it at is about a little over INR50,000. And I think there is a good understanding of the customers of the brand and the location, and we seem to be in good stead on that particular project. And also, we are looking at additional projects that we would explore in the next year or so.
Fenil Brahmbhatt
Okay, okay. And could you repeat the launch schedule for 4Q26, which you have mentioned during this call at the start? Like with the square feet, like one project in Gurgaon and then Noida and Bangalore. So could you repeat that thing once again?
Jagadish Nangineni
Yes, sure. We have — I said we can launch about three to four projects. One in Gurgaon at about 800,000 square feet. Greater Noida is about 2.4 million square feet. Chennai is about 1.5 million square feet, and Calicut one is at about 800,000 square feet.
Fenil Brahmbhatt
Okay. Okay. Talking about the margin, is there any material impact or support from the recent GST reform or what the management view from that changes on the margins? Like, Sobha is getting any support or it’s impacted due to those reforms? Like, what’s the view?
Yogesh Bansal
So Fenil, if you see GST reform, okay, basically it is benefiting B2C customer more than B2B. We are consumer of like cement, they have reduced, but we are consumer of RMC. So for us, it has very limited impact on our margins. Basically, it should be reduced prices, but since we are B2 — we are in B2B segment, so we are not getting any benefit of GST reduction. So hence there is no impact on margins.
Fenil Brahmbhatt
Okay. Okay. And if we can say the same thing from the — this primary labor code, which means change on — means which come into effect on 21st November, so some labor laws change, right? So what we are expecting out of that, like, because in general, market are expecting impact from this around 8% to 12% overall. So what’s your view on this?
Yogesh Bansal
So we are expecting labor code rules, which yet to be notified by the state. We have to see impact, but gratuity and leave encashment perspective, we are already fully complied. So we don’t have any impact from that perspective.
Fenil Brahmbhatt
Okay. Got it.
Yogesh Bansal
Okay?
Fenil Brahmbhatt
Yeah, yeah. Okay. Okay, okay. So that’s all from my side. Thank you so much and all the best.
Jagadish Nangineni
Thank you, Fenil.
Yogesh Bansal
Thank you.
Operator
Thank you. The next question is from the line of Biplab Debbarma from Antique Stock Broking. Please go ahead.
Biplab Debbarma
Thank you. Good afternoon, everyone. Wish you all a very happy New Year. Sir, my first question is on Greater Noida. I — my understanding is that the project was at advanced stage, I mean, last quarter itself. And now we are seeing that it could be launched mid-March. So what is happening there? What is the issue there? It is some regulatory or some market-related decision? Could you elaborate? Because another developer also postponed its launch. So is there any issue, something that we should be aware?
Jagadish Nangineni
Thank you, Biplab. I am not aware of any other player, Biplab, but for us, it is a very specific issue or, let’s say, which is part of any new project launch or design. So we have been going back and forth. I mean, we have made some small, minor changes in our design and hence it led to a little extension of time. And only due to that is the main reason for the — for some of the timeline extension, but otherwise, I have not seen any systemic issue, Biplab.
Biplab Debbarma
Okay. Perfect. That’s perfect. And sir, congratulations on Inizio launch that is the first tower. Actually the project is nearby my — where I stay. Inizio — now after Inizio and these Greater Noida projects, what is the — can you give us some insight on the business development pipeline? What next in, say, in Greater Noida or MMR? We also read some news where you have bid for a project — railway project also. So can you give us some insight on business development pipeline in NCR and MMR? Yes sir.
Jagadish Nangineni
Yes, Biplab. Sure. Like I was mentioning previously, our focus locations are Bangalore, NCR, Mumbai and some of the other cities like Hyderabad and Pune. So the — firstly, the good news is that we already have good pipeline of projects in NCR and Bangalore, and we continue to have good business development pipeline as well. So that’s an ongoing process, and since we are located in both these locations for more than — of course, in Bangalore for three decades and NCR for almost a decade and a half, so the opportunity pipeline is quite good. In fact, it has increased quite a bit in the last six months or so. So we are seeing a lot of interesting opportunities and we will continue to deploy our capital in both these locations. However, our inventory that we can actually launch in Bangalore is much larger, but considering the various sub, micro markets in Bangalore, we are selective in some of the micro markets where our presence is lower. Other than that, we are quite good in the existing land bank that we already have.
Coming to our new cities like — new cities like Mumbai, so we — this launch has been an effort that we had undertaken about a year and a half or so. Now, during — that’s also — now that we have a full fledged presence in Mumbai and we have gone through a cycle of — from land towards — to launch of a project, our understanding of the market and our understanding of the local bylaws et cetera are fairly — are much better. And hence we are looking at opportunities and we are — wherever we find it is an opportunistic or a good opportunity, we are expressing our interest and participating in those, like you have seen that — one of the railway lands we have participated in.
Sucrit Patil
Okay, okay. And how much inventory you have sold in terms of percentage in Inizio?
Jagadish Nangineni
Still initial days, Biplab. We would definitely like to disclose that which we would do, but since we have launched towards the end of the quarter, still numbers are trickling in, and as we progress, we will — by the next quarter, hopefully we should be able to give you a clear picture for that.
Biplab Debbarma
Okay, sir. And thank you and all the best, sir.
Jagadish Nangineni
Thank you, Biplab.
Operator
Thank you. The next question is from the line of Pritesh Sheth from Axis Capital. Please go ahead.
Pritesh Sheth
Yeah. Am I audible?
Jagadish Nangineni
Yes, Pritesh. Please go ahead.
Pritesh Sheth
Hi. Yeah. Hi. Good evening. Just one question on the growth visibility side. So I think this year have been good so far and probably will end well and probably will survive the aberration that we had last year. Can — for how long we can continue this 15%, 20% kind of a growth that we have — we would have had in last two years? And in terms of city wise, probably Bangalore, we would be already doing INR4,500 crore, INR5,000 crore of pre-sales. Is there more growth possible? And apart from that, which all cities do we think we can scale up further to target that 15%, 20% growth over next couple of years?
Jagadish Nangineni
Yeah. Thank you, Pritesh. On the overall growth point of view, I think if the demand scenario continues, which is quite stable and the end user demand continues and the economic growth is intact, the basic fundamentals, if they remain the same, then the growth for us is partly led by new supply and new supply from our side. And we are seeing that, if we are able to launch projects, our — this financial year, we have seen that the response to new launches has been much better and hence we are able to achieve these better numbers despite fewer launches during the year. So hence, it gives a lot of optimism for us. And from a growth point of view, so the — our main goal would be to make sure that the current pipeline of launches are actually executed and we think the — bring those inventory into the market. If we continue to do that, then I think that the ability for us to grow is definitely there and there is a visibility for the next at least two to three years.
Pritesh Sheth
Sure, sure. And just, while you have elaborated city-wise pipeline quite well in terms of forthcoming projects and the subsequent land, but just in which city or markets you think you would continuously need some business development to be done over next six, 12 months So that your growth targets are aligned in — as a — for the company as a whole?
Jagadish Nangineni
Right. So like I said, the — if I look at my current inventory and future inventory that’s going to come in, roughly about 50% of that is still in Bangalore and about roughly 30% is in NCR, and about 10% in Kerala and remaining in the other cities. And if we have to grow in cities like — new cities like Mumbai and also increase the growth in cities like Hyderabad and Pune, then we would — we are looking at new investments there. In fact, in — we are looking at opportunities in all these places.
That said, I think there is slightly more opportunities even in NCR, even though we have a little bit of inventory there because like you would have seen, NCR is not just one city. It’s three different states. And hence we will look at opportunities specific to each of the state and the corresponding inventory that we have. So it’s an ongoing process, and thanks to our visibility of our cash flow and our capital structure that we have, there seems to be good — better opportunities now than what we had seen in some of these locations. Of course, the challenge is to make sure that there is a balance between what we are launching, generating cash flow and also deploy capital where the opportunities provide some kind of margin of safety.
Pritesh Sheth
Sure. And just presently in Noida, we had two projects, we launched — we would have launched both of those this year itself. Are there more opportunities emerging there as well or we still have to rely on Gurgaon for achieving the same number or grow on this base in NCR?
Jagadish Nangineni
No, absolutely. The fact that we have taken a plunge into Noida market, which is UP, so we are seeing opportunities across UP, not all Tier 2, Tier 3 cities, but which is Noida, Greater Noida, Ghaziabad, and in and around those. So the pool of opportunities has increased for us and we are actively looking, evaluating impact in various stages of discussion as well.
Pritesh Sheth
Sure. Sure. Okay. That’s it. That’s very helpful and all the best.
Jagadish Nangineni
Thank you, Pritesh.
Operator
Thank you. The next question is from the line of Manoj from Geometric. Please go ahead.
Manoj Dua
Am I audible? Hello.
Jagadish Nangineni
Yes, Manoj.
Operator
Yes, you are. Please go ahead.
Manoj Dua
Happy New Year, sir, and best of luck for the coming year. My most of the questions have been answered. I just want to know, how much the launch size of Hoskote, which will be coming in the next financial year, in the beginning?
Jagadish Nangineni
Yeah. Like — I had mentioned this earlier in the call. It is — we have about 5.4 million square feet project and we are trying to launch it in the first quarter of next year.
Manoj Dua
And it will be launched, how much in the beginning? It won’t be launched in the 5.4 million in the starting or we have not decided as on that?
Jagadish Nangineni
Yeah. Typically the — once — the project RERA, we would take it for the entire project, but we would launch basis the demand that we would see. And it’s a — typically for this size of the project, we generally — at the time of launch, it’s about 30% of the inventory, but if things are really good, then we would subsequently open up the entire inventory. For example, in — we had launched a large project last year around this time Sobha Townpark, Madison and Hamptons. So that was about 3.3 million square feet. Initially, we did launch about a million square feet of it. And as we speak, we have opened on — we have not opened very — couple of towers remaining every — all the other towers have been released. So of course, more than 80% to 85% of the inventory has been released. So it’s a function of the demand and also our ability to — our ability to open up that inventory is there since we have all the permissions for that.
Manoj Dua
You can have [Technical Issues] in some places. How do you feel Noida and Greater Noida as a market for coming time?
Jagadish Nangineni
No, I think it’s — we have just launched our first project. We are going to start our second one very soon. So these are still early days for us, and we — there’s a great recognition for the brand and there is bound to — in the last three to four years especially, there has been a significant growth in UP and specifically in Noida, Greater Noida, and there are a lot of positives in the development of the location. It was already known for good infrastructure, but in addition to good infrastructure, now job creation also has significantly increased. And the prospects are also looking very good with events like opening of Jewar Airport and some of the other manufacturing giants coming and setting up their units there. So overall, there seems to be very positive indications towards the economic growth in — specifically in these locations, and that should be positive for us. And in the long run, if end user demand continues to grow there, then there is no doubt that we can also grow.
Manoj Dua
Thank you and best of luck.
Jagadish Nangineni
Thank you.
Operator
Thank you. The next question is from the line of Dhruvesh from Prospero Tree. Please go ahead.
Dhruvesh Sanghvi
Yeah. Hi, Jagadish ji, congratulations. A couple of questions related to three, five years of overall growth from yours. So we are basically at INR8,500 crores probably hitting in FY26. And if we target — I mean, we have not communicated, but any direction towards INR15,000 crores, INR17,000 crores over next five, six years or four, five years? How much contribution from Bangalore will be in Q3 [Technical Issues] and it is coming from an angle that can Bangalore give you the same growth as the total company because of already having such high maturity there?
Jagadish Nangineni
Good question, Dhruvesh. First, from a growth point of view, we of course are — we have plans of how we can grow from FY26 and partly part of it is dependent on our new project launches, and we have clear visibility for that. And if I look at the — from a supply point of view, not necessarily from a demand point of view, we do have visibility for even in a number like INR15,000 crores, INR16,000 crores. So we do think that Bangalore can contribute towards anywhere between 40% to 50%. They’re already at INR5,000 crores — or close to INR4,500 crores to INR5,000 crores, and that is largely concentrated in a few locations. And if the diversity of the location improves, then definitely there should be an increase in the overall — I mean, we would be addressing a larger market size in Bangalore itself, and hopefully we should be able to grow within that. That’s number one.
Number two is, of course, for overall growth of the company, we will need to penetrate a little bit more or have a higher market share in other locations. And those are definitely coming from NCR, and if not near-term, then definitely in the longer term from places like Mumbai, but other locations like Hyderabad, Pune also can contribute. So if you really ask from overall growth point of view, we are quite positive in terms of this growth, and going for a number of INR15,000 crores, INR16,000 crores, I would not like to comment immediately, but these are the numbers that we already have in the horizon.
Dhruvesh Sanghvi
Okay. Great. And in terms of the volume, so because everywhere in the country, the prices in the last four, five years have really gone up quite a bit, especially in the key metro cities. And I don’t think anybody is now imagining big price increases. In fact, there can be a situation where there is a 5%, 7% decreases in some areas. So in light of that, how much will — I mean, we as a company are not at all focusing on high volumes in terms of square feet because we are so premium, so higher ticket sizes. Will it not come to bite us if we don’t really ramp up our supply towards the slightly lower categories also, which we already are servicing, but not in a big way?
Jagadish Nangineni
You’re right. So in fact, we — it’s dependent on our ability to size our product and not that we are addressing only one segment. Our pricing might be premium, but not — I mean, but within that itself, we should be able to address ticket size across from INR2 crores, INR3 crores to INR3 crores, INR5 crores. If you look at our investor presentation, you can see that our sweet spot has been between INR2 crores to INR5 crores, which delivers close to 80% of our sales. So within that, I think there is enough demand and even less than INR2 crores for a two-bedroom kind of product also, in some projects, particularly in larger projects, we are bringing out those in higher number to address that kind of segment. So it might not be possible in every city that we are able to do, but definitely in cities where — cities and in locations where we can do, we are actively mindful of the market size based on ticket sizes. So hence, we are designing our products also in that manner.
Dhruvesh Sanghvi
And just last comment, more than a question. So I as a shareholder really like the company, the product, et cetera, but just that I as a shareholder also feel that we are missing out on the growth that we can achieve in the country like India. So just as a feedback, do push the pedal wherever you think there is a possibility. Thank you.
Jagadish Nangineni
Absolutely, Dhruvesh. We are highly focused on growth as well, and there are quite a few things that we had done in the last few years, which have set up a good foundation for us; one, acceleration of launches, creating the right kind of process and structure within the company; second, building the capital base without risking the cyclicality of the residential cycle, and definitely there is high emphasis on growth and we would be focusing on that absolutely.
Dhruvesh Sanghvi
Thank you. If I may, just one bookkeeping. What would be the total corporate overheads with this new established structure? I remember asking this question a couple of years back, but because a lot of things have changed internally, so if we don’t go at the project level, what will be our corporate total yearly cost?
Jagadish Nangineni
That’s roughly about — for this financial year, it would be about INR320 crores to INR330 crores.
Dhruvesh Sanghvi
Sorry, INR322 crores?
Jagadish Nangineni
INR320 crores to INR330 crores.
Dhruvesh Sanghvi
Okay. Fine. Thank you, sir.
Jagadish Nangineni
Thank you.
Operator
Thank you. The next question is from the line of Himanshu Upadhyay from Steadfort. Please go ahead.
Himanshu Upadhyay
Hello. Hello. Good evening, Himanshu. We can hear you. Yeah. Good evening. Yeah. So my question was, in last nine months, we have spent significantly on land and land-related payment and JD and partner payment. Can you give some idea what would be the money we have spent for historical land consolidation and approval-related costs and — versus completely new project acquisitions, which we have done in nine months? Just the numbers, if you can give some thoughts, it will be helpful.
Jagadish Nangineni
Yeah. I mean, it’s a combination of both. I do not have the number right away for that, Himanshu, and we’ll be able to provide subsequently. We’ll — the Investor Relations will reach out and give you that number. I do not have the numbers handy immediately.
Himanshu Upadhyay
Okay. And any — not the exact amount, but let’s say the number of new land acquisitions we would have done? Can — any thoughts on that? Means business development wise, new land.
Jagadish Nangineni
It’s an ongoing process, and actively we have not been declaring new business development or, let’s say, as a metric in any previous schemes, and we don’t even intend to do that because that’s the very strategic opportunistic goal that we pursue. And hence, we have not been slowing it in the past. So right now for this breakup, what you would like, then our team will send this out to you and provide this.
Himanshu Upadhyay
And one more thing. We have this forthcoming and subsequent projects launched, the land. Some 422 acres. So should we assume that in these 422 acres, we don’t have any money to be paid for the JD JV partner or anything like that? And it would be only approval-related costs which are pending for this 422 acres?
Jagadish Nangineni
In fact there are certain pending payments to the land — towards land in this. It is not very significant given the volume of launches that we would be doing in this. So all put together, we have an estimate of about INR1,000 crores that need to be spent for, let’s say, invested towards this — towards both these — forthcoming, very minimal, but part of it is forthcoming and part of it is subsequent, but not necessarily the investment is impeding the launch of the projects. So in some cases, the investment continues post launches also.
Himanshu Upadhyay
And let’s say the — another figure what we give is 1,752 acres, which is various stages of consolidation, monetization and self use. What type of amount which will be required to consolidate and just get the — our name on those lands. Any — some thoughts on that?
Jagadish Nangineni
Yes. In fact majority of those lands, we would ideally like to monetize or bring towards the — and part of them, we will bring towards development. And even if we bring towards development, that is not as high as what we have seen in the — for the remaining 422 acres.
Himanshu Upadhyay
Does it mean that it is lesser than that 422 acres, what rough cut figure you gave of INR1,000 crores?
Jagadish Nangineni
Yes, yes.
Himanshu Upadhyay
Okay. Okay. Yeah. Thank you from my side.
Jagadish Nangineni
Thank you, Himanshu.
Operator
Thank you. Ladies and gentlemen, this will be the last question for today, which is from the line of Aayush Saboo from Choice Institutional Equities. Please go ahead.
Aayush Saboo
So I just wanted to understand, firstly congratulation on the Mumbai launch, sir, what could be the prospective pipeline that we could launch possibly in Mumbai in two to three years? Like, have you set any target or any guidance regarding that?
Jagadish Nangineni
Good evening, Aayush. Sorry, we don’t have any specific timeline or target towards that. Like I mentioned, we are looking at opportunities. In fact, we are working on the opportunities in Mumbai, but considering that we are new and also considering that there are multiple opportunities that we are pursuing, and most of the land acquisition is opportunistic. It has to fit in our framework. So it’s very difficult for us to give a target at this stage. Once we have certain lands tied up, then surely we can disclose those details.
Aayush Saboo
Okay. Thank you. All the best.
Jagadish Nangineni
Thank you, Aayush.
Operator
Thank you. Ladies and gentlemen, that was the last question for today. I would now like to hand the conference over to Mr. Adhidev Chattopadhyay for closing comments.
Adhidev Chattopadhyay
Yeah. Good evening. Thank you everyone for joining us on the call today. I’d just like to hand it back to the management for any closing comments, if any. Yeah. Thank you.
Jagadish Nangineni
Thank you, Adhidev. And thank you all for participating in the call, for your questions and patient hearing. I hope we have answered most of your questions satisfactorily. You’re most welcome to reach out to our Investor Relations team for any further clarification. Our continued focus on operational excellence, coupled with strong customer confidence in the brand, are pillars of our strength, helping us simultaneously achieve both customer satisfaction and business metrics. Our disciplined growth mindset, investment in technology and people and process improvements will see growth acceleration. Our robust balance sheet uniquely equips us to capitalize on emerging opportunities while effectively managing the inherent cyclicality of residential real estate. Wish you all a very happy weekend and the best of — for the rest of the year. Truly appreciate your support. Thank you.
Operator
[Operator Closing Remarks]
Jagadish Nangineni
Thank you.