Company Overview

Kesar India Limited reported exceptional financial performance for Q2 and H1 FY2027, with significant growth in both standalone and consolidated results.

Financial Performance Highlights

Standalone Results:

  • Q2 FY2027 net profit surged to ₹181.7 crore from ₹9.9 crore in Q2 FY2026
  • H1 FY2027 net profit reached ₹45.49 crore, exceeding the full-year FY2026 profit of ₹30.00 crore
  • Revenue from operations grew substantially to ₹270.9 crore in H1 FY2027 from ₹176.5 crore in FY2026
  • EPS (Basic) for Q2 stood at ₹5.96 compared to ₹0.40 in Q2 FY2026

Consolidated Results:

  • H1 FY2027 revenue reached ₹270.9 crore with profit after tax of ₹45.7 crore
  • Overseas operations contributed significantly with revenue of ₹198.8 crore and segment profit of ₹22.7 crore

Capital Structure Changes

The company completed conversion of all outstanding 39.6 lakh warrants into equity shares through multiple tranches between May and September 2026. This increased paid-up capital to ₹32.53 crore from ₹28.57 crore and security premium reserves to ₹265.88 crore from ₹131.23 crore. Total equity including reserves stood at ₹399.03 crore as of September 30, 2026.

Significant Accounting Matters

A major accounting change reclassified ₹191.5 crore from investments to loans, resulting in a ₹4.45 crore negative impact on other income. The company provided significant interest-free loans totaling ₹30.04 crore to associate entities Trinity Buildcorp LLP, Nexa Infraspace Pvt. Ltd., and Triinfinity Realty LLP for working capital requirements.

Borrowings and Financing

Total borrowings surged to ₹98.52 crore from ₹42.00 crore in March 2026, with new secured term loans including:

  • ₹30.00 crore from Tata Capital Limited at 12.50% p.a. for 48 months
  • ₹7.00 crore from AU Small Finance Bank at 9.25% p.a. for 84 months
  • ₹2.63 crore from Central Bank of India under CGECL 5.0 Scheme at 9.00% p.a.
  • ₹11.50 crore from AMPL Capital Limited for 8 months at 10.00% p.a.

The gearing ratio (Net Debt/Equity) was 0.07 as of September 2026.

Business Segments and Operations

The company operates primarily in real estate with significant overseas operations in advertising, trading, marketing, and consultancy. Land advances totaling ₹194.82 crore were classified under Other Current Assets, while the Godrej Skyline transaction resulted in recognition of ₹297.55 lakhs as revenue in September 2026.

Regulatory Compliance and Auditing

The financial statements were prepared in accordance with SEBI LODR Regulations, Indian Accounting Standards, and Companies Act, 2013. M/s. RHAD & Co., Chartered Accountants provided an unmodified opinion on both standalone and consolidated financial results.

The results demonstrate Kesar India's substantial growth trajectory, driven by successful warrant conversions, expanded borrowing capacity, and strong operational performance across both domestic and international segments.