MUMBAI — Shares of Indian real estate developer Signature Global (India) Ltd. have fallen nearly 37% since the beginning of 2026, reflecting investor concerns over slowing property sales despite an improvement in quarterly customer collections.
The company’s stock has declined 36.91%, or 416.65 rupees, on a year-to-date basis. Shares were trading at 711.75 rupees Wednesday, down 0.98%, or 7.05 rupees, during the session.
The weakness extends beyond the current year, with the stock losing 33.61% over the past 12 months. Shares have also declined 17.12% over six months and 6.58% during the past month, although they have gained a marginal 0.32% over the last five trading sessions.
The prolonged decline comes as the real estate developer reported mixed operating results for the second quarter of fiscal 2027, with higher customer collections but weaker property pre-sales.
According to an operational update released October 10, Signature Global collected 10.1 billion rupees during the July-September quarter, up 51% from 6.7 billion rupees in the preceding quarter.
Collections also increased 9% from 9.3 billion rupees in the corresponding quarter a year earlier, indicating improved cash inflows from customers.
However, the company’s pre-sales, a key indicator of future revenue for real estate developers, declined 9% to 18.3 billion rupees from 20.2 billion rupees in the same quarter last year.
The slowdown was more pronounced over the first six months of fiscal 2027, when pre-sales fell 18% to 38 billion rupees, compared with 46.6 billion rupees in the year-earlier period.
Other operating indicators also presented a mixed picture.
The number of housing units sold during the second quarter more than doubled from the preceding quarter, rising to 454 from 226. The total area sold increased 22% sequentially to approximately 880,000 square feet.
However, performance remained substantially weaker on a year-over-year basis.
During the first half of fiscal 2027, the company sold 680 housing units, down 49% from 1,338 units in the corresponding period last year.
The total area sold during the six-month period declined 46% to 1.6 million square feet, underscoring the slowdown in overall sales activity.
Customer collections for the first half also weakened, falling 10% to 16.8 billion rupees from 18.6 billion rupees a year earlier.
Despite the decline in several operating measures, Signature Global Chairman and Whole-Time Director Pradeep Kumar Aggarwal highlighted the improvement in second-quarter collections as evidence of progress in the company’s operations.
“Collections rose significantly during the quarter, reflecting sustained customer confidence in our projects,” Aggarwal said.
He described the July-September period as one of strong execution and financial progress for the company.
The contrasting performance highlights the challenges facing Signature Global as it seeks to maintain sales momentum while improving cash collections from existing projects.
Although stronger quarterly collections may support the company’s financial position, the decline in pre-sales, housing units sold and overall sales area indicates continued pressure on new business activity.
The company’s stock performance suggests investors remain cautious about its near-term growth prospects, with attention likely to remain focused on whether property sales recover in the coming quarters. (Source: IANS)
