Arihant Superstructures LimitedReal EstateARIHANTSUP
Q1 FY27 earnings callArihant Superstructures Limited
The company delivered moderate growth in sales and collections while focusing on project completions and a strategic shift into hospitality assets, but faces margin pressures from older projects and industry headwinds.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Sales Booking Value | INR 173 crores | 15% | |
| Sales Booking Area | 2.31 lakh square feet | 15% | |
| Average Selling Price (PSF) | INR 7,500 per square feet | — | |
| Average Ticket Size | INR 78 lakhs per unit | — | |
| Collections | INR 161 crores | 28% | |
| Operating Revenue | INR 132 crores | 9% | |
| EBITDA | INR 28 crores | — | |
| EBITDA Margin | 21% | — |
Financials
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹150.77 Cr+26.5% YoY+34.9% QoQ | ₹25.45 Cr+63% YoY+59.4% QoQ | ₹5.08+86.8% YoY+84.7% QoQ |
| Q2 FY25 | ₹111.80 Cr+2.7% YoY+33.6% QoQ | ₹15.97 Cr-0.6% YoY+702.5% QoQ | ₹2.75-11.6% YoY+848.3% QoQ |
| Q1 FY25 | ₹83.69 Cr-30.8% YoY-48% QoQ | ₹1.99 Cr-87.2% YoY-90.9% QoQ | ₹0.29-89.8% YoY-87% QoQ |
| Q4 FY24 | ₹160.96 Cr+146.2% YoY+35% QoQ | ₹21.92 Cr+9430.4% YoY+40.4% QoQ | ₹2.23+2.8% YoY-18% QoQ |
| Q3 FY24 | ₹119.23 Cr+3.9% YoY+9.5% QoQ | ₹15.61 Cr-21.8% YoY-2.8% QoQ | ₹2.72-23.2% YoY-12.5% QoQ |
TL;DR
- Sales bookings grew 15% YoY to INR 173 crores (2.31 lakh sq ft).
- Collections increased 28% YoY to INR 161 crores.
- Operating revenue was INR 132 crores, with PAT at INR 10 crores (7.4% margin).
- Net debt stands at INR 818 crores; net worth is INR 460 crores.
- Company received OCs for projects covering 1,495 units.
- Focus is on delivering 2,500 units in FY27 and building annuity hospitality assets.
Said on the call
“We plan to deliver 2,500 units by the end of financial year 2027.”
From the Q&A
| Topic | What management said |
|---|---|
| Demand Sustainability and Growth Outlook | Management expects similar performance for next four quarters, with slight improvement over past year but no exponential growth, citing mixed industry views. |
| Cost Reduction Potential | Cost reduction is not possible; HR costs stable, construction costs rising but offset by inventory, leading to no balance sheet impact. |
| Revenue Conversion Timeline | Pre-sales take around 90 days on average to convert to recognized revenue under the percentage completion method. |
| Land Acquisition Strategy | No new capital investments for land acquisition planned this year due to sufficient INR 14,000 crore GDV pipeline; focus is on asset-light models and implementation. |
| Project Mix and Geographic Diversification | Target mix is 40-45% premium, 30-35% middle income, 20% affordable housing. No plans for geographic diversification beyond MMR/Mumbai 3.0. |
| Margin Trajectory and Segment Breakdown | Residential EBITDA margins expected to gradually move to 30-35% as villa projects contribute. Hospitality to contribute ~INR 50 crores PAT annually after 3-4 years. |
| Capital Allocation and Debt | 90-93% of capital employed is in residential, 7% in hospitality. A total of INR 500 crores will be deployed over three years for hospitality/club projects. |
| Debt Comfort and ROCE | Debt is comfortable relative to asset values; debt-to-equity should gradually fall. ROCE is on an increasing trajectory, with affordable projects still making ~10% margin. |
Guidance
- Plan to deliver 2,500 units by the end of FY27.
- Residential EBITDA margins expected to gradually move to 30-35%.
- Hospitality segment expected to contribute ~INR 50 crores PAT annually after 3-4 years.
- Total investment of INR 500 crores planned over three years for hospitality and club projects.
- Blended PAT margins expected to exceed 20% over a run of two years.
- Debt-to-equity ratio expected to gradually come down.
- No new land acquisition programs planned for this financial year.
Source
Summary written from the transcript filed by Arihant Superstructures Limited for the call held on 10 Aug 2026; published 21 Aug 2026, 23:09 IST.