Financial Performance Highlights (Q2 FY27 vs. Q2 FY26)

  • Total Revenues: ₹272.3 crores, up 19% YoY (from ₹229.0 crores)
  • EBITDA: ₹62.4 crores, up 235% YoY (from ₹18.6 crores)
  • EBITDA Margin: 23%
  • Profit Before Tax (PBT): ₹29.6 crores (from a loss of ₹1.1 crores)
  • PBT Margin: 10%
  • Net Profit: ₹21.6 crores, up 151% YoY (from ₹8.6 crores)
  • Finance Costs: ₹31.6 crores, up 44% YoY (from ₹22.0 crores), primarily due to the impact of acquired JVs
  • Cash Flow from Operations: ₹47 crores
  • Free Cash Flow before new project investment: ₹154 crores
  • Cash & Cash Equivalents (as of quarter end): ₹357 crores
  • Net Debt: ₹761 crores, increased largely due to consolidation of ~₹300 crore debt from acquired JVs
  • Net Debt-to-Equity: 0.5x

Financial Performance Highlights (H1 FY27 vs. H1 FY26)

  • Total Revenues: ₹543.3 crores, up 11% YoY (from ₹490.5 crores)
  • EBITDA: ₹104.3 crores, up 73% YoY (from ₹60.2 crores)
  • Profit Before Tax & share of JVs: ₹46.2 crores, up 312% YoY (from ₹11.2 crores)
  • Net Profit: ₹32.6 crores, up 12% YoY (from ₹29.2 crores)

Operational Highlights

  • Q2 Sales: ₹583 crores, up 20% QoQ (0.91 million square feet)
  • H1 Sales: ₹1,067 crores (1.76 million square feet)
  • Q2 Gross Collections: ₹431 crores, up 18% QoQ and 11% YoY
  • H1 Gross Collections: ₹795 crores (highest-ever first-half collections)
  • Q2 Unit Handovers: 760 units, up 10% QoQ
  • H1 Unit Handovers: 1,450 units
  • Planned H2 Unit Handovers: 2,300 units (in line with FY27 guidance)

Strategic and Corporate Developments

  • Kolkata Initiative: The company launched 'Shriram Southbrook', marketed as Kolkata's first branded land (plots and villas). Over 70% of the inventory was sold within 90 days of launch in Q1 FY27.
  • Land Bank Monetization: The success in Kolkata raises confidence for the accelerated, development-led monetization of the company's 105-acre land bank over the next 3-5 years.
  • JV Acquisitions: The company acquired its partners' interest in five joint ventures during the quarter, converting them into wholly-owned subsidiaries. The affected projects are Shriram 107 South East, Shriram WYT Field, and Shriram 122 West. This is stated to be value-accretive and provides more control and faster decision-making.

Credit Rating and Outlook

  • Credit Rating: A(-)/Positive from CRISIL.
  • Net Debt Guidance: The company expects net debt to drop back to historical levels over the next 12 to 18 months.
  • H2 FY27 Outlook: Management expects increased sales and earnings momentum supported by a strong launch pipeline and accelerated handovers.
  • Business Development: The company is at an advanced stage of closure on several new projects aggregating ~9 msf of development potential across Bangalore, Chennai, and Pune.
  • Strategic Mission: The primary objective is to double the upcoming project portfolio size in the next 12-18 months and unlock value from the 105-acre Kolkata land bank over 3-5 years.

Management Commentary

Mr. Murali M, CMD, commented: \"Q2 FY27 was a strong quarter, marked by a solid recovery and sustained earnings momentum. A robust launch pipeline and accelerated H2 handovers give us confidence in the growth ahead. We will drive development-led monetization in Kolkata, accelerate launches across our core markets, and explore entry into newer markets to create lasting value for our stakeholders.\"