Kalpataru Limited Earnings Summary — Q1 FY2027

• Consolidated revenue for Q1 FY2027 grew 6.5% YoY to ₹472.2 crore, though net loss stood at ₹29.04 crore compared to a loss of ₹51.84 crore in the year-ago period.
• The company reported significant sequential volatility in revenue and PAT due to the transition of 13 projects to the project completion method, which recognizes revenue only upon handover.
• Net debt stood at ₹8,106 crore as of the start of the fiscal year, with management aggressively refinancing ₹3,500 crore to achieve a 120 bps reduction in blended interest costs.
• A major delivery milestone was achieved with 1.37 million sq. ft. across multiple projects reaching completion, providing strong visibility for cash flow in upcoming quarters.
• The company successfully utilized ₹1,588.86 crore of IPO proceeds for debt repayment across the parent and subsidiaries, significantly strengthening the balance sheet.
• New business development remains disciplined, recently securing a redevelopment project in Andheri West with an estimated GDV of ₹1,400 crore.

Management expects to maintain a delivery pace of roughly 5.5 million square feet in FY2027. They target new launches totaling 5 million square feet with a Gross Development Value (GDV) of INR 7,800 crores. The focus remains on natural deleveraging as projects transition from investment to realization phases, aiming to keep the net debt-to-equity ratio below 2x.

Improving

While current quarterly figures show a net loss, the year-over-year loss has narrowed significantly. The execution engine is accelerating with a delivery pipeline double that of previous years, and successful post-IPO debt optimization is reducing interest drag.

The company has strong visibility with total future inflows across the portfolio estimated at ₹57,000 crores. Growth is expected to be driven by 20 ongoing projects and a robust launch pipeline in MMR and Pune, supported by a significant reduction in borrowing costs following strategic refinancing.