The third quarter of fiscal year 2026 presented a mixed bag for India's top listed real estate developers, with performance heavily reliant on new project launches. While companies like Sobha Ltd reported record-breaking pre-sales, others faced a quieter quarter due to delayed launches, pushing significant activity into the critical final quarter.
Q3 Performance: A Tale of Launches and Sales
Sobha Ltd emerged as a clear standout, achieving its best-ever third quarter with pre-sales soaring to ₹2,115 crore. This marked a substantial 52% year-on-year jump, driven largely by its stronghold in Bengaluru. The developer's aggressive launch strategy was key, with new projects like the luxury Sobha Magnus in south Bengaluru, its Mumbai entry with Sobha Inizio, and Sobha Strada in Gurgaon's sector 106. For the first nine months of FY26, Sobha's pre-sales reached a record ₹6,097 crore, with average realizations climbing to ₹15,436 per square foot from ₹13,663 a year ago.
Godrej Properties Ltd also demonstrated robust demand, according to estimates from Nomura Global Markets Research. The firm's Q3 pre-sales are projected at around ₹7,600 crore, a 40% year-on-year increase, bolstered by launches including the high-profile Godrej Trilogy in Mumbai's Worli, Godrej Woods in Bengaluru, and projects in Pune and Panipat.
Similarly, Lodha Developers Ltd is poised for its strongest-ever quarter, with Nomura estimating Q3 pre-sales of ₹5,500 crore. The company launched two projects in the quarter—one residential in Jogeshwari and a commercial venture in Worli. Its first-half pre-sales of ₹9,020 crore have already met 43% of its full-year guidance.
In contrast, developers like Prestige Estates Projects Ltd, Oberoi Realty Ltd, and DLF Ltd had limited or no new launches in Q3, making them reliant on sales from existing inventory to drive their pre-sales numbers for the period.
The Spillover Effect: Q4 Set for a Launch Frenzy
A significant trend from the quarter is the spillover of planned launches into the January-March period (Q4FY26). Delayed approvals have shifted the timeline for several major projects, making the next quarter pivotal for developers to meet their annual growth targets of 18-20%.
As noted by Antique Stock Broking, "A few of the Q3 launches by most of our coverage companies have spilled over into Q4. The fourth quarter is expected to see a further surge in launches."
The launch pipeline for Q4 appears substantial. Sobha is likely to unveil projects in Greater Noida and the second phase of Royal Pavilion in Bengaluru. Godrej Properties has a large lineup including its Greater Noida Sigma 3 project, more Bengaluru launches, and Upper Kharadi in Pune. Oberoi Realty is expected to launch projects in Gurugram, on Peddar Road, and a new tower in Sky City Borivali. DLF could also see the launch of its Goa project and a new phase of The Arbour.
Market Headwinds and the Affordability Challenge
Despite the strong pre-sales from some players, early signs of market strain are emerging. A report from Nuvama Research highlights that the Mumbai Metropolitan Region (MMR) has entered a mid-cycle stage. While supply has surged and demand volumes have surpassed previous peaks, further absorption growth now hinges on improved affordability amid elevated home prices.
The broader market sentiment was reflected in the Nifty Realty index's underperformance in 2025, falling roughly 17% even as the Nifty 50 posted double-digit gains. Nuvama suggests that slower job growth, influenced by global tariff wars and a K-shaped economic recovery, could weigh on housing demand in the near term, potentially keeping realty stocks range-bound.
In summary, the third quarter underscored the direct link between launch activity and pre-sales success in the real estate sector. With a packed launch calendar now deferred to Q4, the final quarter of FY26 will be decisive in determining which developers meet their ambitious annual guidance amidst evolving market affordability dynamics.
