Modis Navnirman Limited held its Q2 FY27 earnings conference call on October 26, 2026, chaired by Mr. Mahek Modi, Whole-Time Director and Chief Financial Officer. The call discussed the company's unaudited financial results (standalone and consolidated) for the quarter and half year ended September 30, 2026.
Financial Performance
Q2 FY27 Performance:
- Revenue from operations: ₹69.38 crore (up from ₹58.26 crore in Q1 FY27)
- Total income: ₹69.54 crore
- EBITDA: ₹14.5 crore (25% quarter-on-quarter growth from ₹11.63 crore in Q1 FY27)
- EBITDA margins (including other income): 20.96% (improved from 20.00% in Q1 FY27)
- Profit after tax: ₹10.54 crore (compared to ₹8.54 crore in Q1 FY27)
- PAT margins: 15.16% (improved from 14.54%)
- Basic earnings per share: Increased from ₹5.34
H1 FY27 Performance (Year-on-Year):
- Revenue from operations: ₹127.64 crore (53% growth from ₹83.39 crore in H1 FY26)
- EBITDA: ₹26.19 crore (63% growth from ₹16.05 crore in H1 FY26)
- Profit after tax: ₹19.08 crore (59% growth from ₹12.00 crore in H1 FY26)
- Year-on-year increase of ₹44.25 crore in revenue, ₹10.14 crore in EBITDA, and ₹7.08 crore in PAT
Sales and Operational Metrics
- H1 FY27 sales: 78,560 square feet
- Sales value: ₹202 crore
- Average realization: ₹25,724 per square feet (improved)
- Ongoing projects sales book: Approximately ₹202 crore as of September 30, 2026
- Revenue yet to be recognized from committed sales: ₹156 crore
- Estimated potential value from unsold units: ₹505 crore
- Total revenue potential from current projects: Approximately ₹661 crore
Project Portfolio
Completed Projects:
- 14 projects completed covering 7.22 lakh square feet
Ongoing Projects (6 projects covering 12.11 lakh square feet):
- Rashmi Square: 80% completed
- Rashmi Signature: 61% completed
- Rashmi Delight: 55% completed
- Rashmi Manorath: 51% completed
- Rashmi Icon: 7.5% completed (started in H1 FY27)
- Rashmi Avenue: 9% completed (started in H1 FY27)
H1 FY27 Sales by Project:
- Rashmi Signature: 18,500 square feet
- Rashmi Icon: 22,000 square feet
- Rashmi Square: 13,500 square feet
Upcoming Projects (5 projects covering approximately 10.5 lakh square feet):
- Rashmi Paradise (Malad)
- Rashmi Sheetal (Borivali)
- Rashmi Royale (Kandivali)
- Rashmi Aurea (Khar)
- Govind Dalvi Nagar
Business Strategy and Outlook
- The company focuses on redevelopment partnerships with housing societies rather than MHADA and SRA projects
- Maintains asset-light approach to manage land-related capital expenditure
- Geographic presence in micromarkets including Kandivali, Borivali, Malad, Goregaon, Dahisar, and Khar
- Targets adding upwards of ₹500 crore GDV projects annually
- All five upcoming projects are residential-cum-commercial
- Company maintains debt-free status and expects to remain self-sufficient for upcoming projects
Project Specific Updates
- Rashmi Paradise launch targeted for October 30, 2026 with expected realization of ₹27,000-30,000 per square feet
- Occupancy Certificate application for Rashmi Square expected in December 2026
- Rashmi Signature completion targeted by March 2027
- Development agreements for three upcoming projects to be signed post-Diwali
Cash Flow and Inventory
- Reported negative operating cash flow of approximately ₹16.51 crore in H1 FY27
- Negative cash flow attributed to inventory buildup in ongoing projects
- Expects to become cash flow positive in FY28
- Major inventory in Rashmi Icon and Rashmi Avenue projects (approximately ₹300 crore unsold inventory)
Margin Outlook
- EBITDA margins expected to improve going forward
- Margins vary across projects depending on location, government benefits, and ready reckoner rates
- Average EBITDA margins maintained at 19-20%
- No significant cost overruns or project delays reported
Market Competition
- Competes with both large-scale and regional developers
- Focuses on projects larger than 5,000 square meters (more than an acre)
- Selective in project procurement based on location, yield potential, and healthy margins