Shriram Properties Reports Robust Q2 Performance, Strong Sequential Growth Trends

Bengaluru, November 13, 2025: Shriram Properties Limited has announced its financial results for the quarter and half year ended September 30, 2025, achieving sales volumes of 1.1 million square feet (MSF)- up +39 per cent quarter-on-quarter (QoQ), valued at INR 685 crore (+55 per cent QoQ) during the quarter. Cumulative sales stood at ~2.0 MSF (+13 per cent year-on-year), valued at INR 1,126 crore (+19 per cent YoY) in H1FY26. This strong momentum was driven by healthy traction in new launches. The company has launched three new projects so far and all of them have received encouraging responses, reaffirming our brand strength, mid-market / mid-premium housing segments and the positive sector outlook. The Company has achieved ~40 per cent of its annual target and second half of the year is seasonally strong in the region. With multiple launches lined up for the remainder of the year, the company expects further acceleration in pre-sales momentum in the coming quarters.

Gross collections stood at INR 388 crore (+15 per cent QoQ) in Q2 and INR 725 crore in H1 (+6 per cent YoY). The company handed over 760+ units in Q2 and 1,500+ units in H1, notwithstanding transient impact of the regulatory transition in Bangalore.

Quarterly financial performance moderated due to temporary deferral of customer handovers and revenue recognition, on delayed receipt of OC/CC and eKhata, driven by regulatory transition issues. All delayed OCs (except one) is now received, and eKhata process has begun already. The Company thus expects to deliver robust performance during H2 FY26.

On the business development front, FY26 has been an active year. The Company has added five new projects to its portfolio, with 2.3 MSF aggregate development and GDV of INR 2,350 crore so far in FY26. The company is at an advanced stage of finalizing another five or six projects with over 6.0 MSF development potential during H2FY26. Projects with over 20+ MSF potential are under active evaluation already.

Highlights of Q2 | H1 FY26 results

• Revenue from Operations at INR 205 crore (+46 per cent YoY) and Total Revenues at INR 229 crore (+48 per cent YoY) in Q2FY25, driven by continued handover momentum in earlier completed projects. This is despite the deferment of handovers and income recognition from Q2 to H2, due to delays in receipt of Occupancy Certificates (OC) and eKhata in recently completed projects.
• Project profitability trends remained healthy, as reflected in 30+ per cent gross margin levels in Q2.
• On a half yearly basis, overall financial performance is satisfactory. Total Revenues grew 34 per cent YoY to INR 490 crore in H1FY26. EBITDA has remained stable at ~INR 70 crore and pre-tax earnings have grown strong to INR 20.8 crore (+87 per cent YoY) in H1. Reported earnings stood higher at INR 29.2 crore, up 75 per cent YoY in H1FY26.
• Cash flows from operations more than doubled sequentially to INR 52 crore in Q2 and stood at INR 76 crore for H1. The company deployed INR 143 crore in new projects and ended the period with cash & cash equivalents of INR 286 crore, reflecting strong liquidity.
• Net debt stood at INR 407 crore, reflecting a Net Debt-to-Equity of 0.29x, amongst lowest in the sector. This offers significant headroom for funding growth needs, as necessary.
• CRISIL reaffirmed the Company’s credit rating at A (-)/Positive, a recognition of the Company’s sound governance, prudent financial management, and stable outlook.

Outlook

The company has reported satisfactory performance for the quarter and the first half. With the regulatory environment normalizing and project approvals/OC’s gaining momentum, the company expects to recoup deferred ground and deliver robust handover and revenue recognition during H2FY26. This is expected to lead to a strong rebound in financial performance in the coming quarters.

A robust pipeline of upcoming launches and continued additions to the business development portfolio provide solid visibility for growth. With over 80 per cent of ongoing projects already sold, the company’s focus remains on swift execution and timely handovers, which will drive accelerated revenue recognition in the medium term as well.

The company remains focused on its stated mission and is making steady progress toward its 3-year strategic objectives, supported by a favorable industry cycle, strong operating fundamentals, and disciplined execution. The company remains confident of delivering mission objectives, in turn generating sustainable growth and value for stakeholders.

Commenting on the performance, Gopalakrishnan J, Executive Director & CEO of Shriram Properties said: “Q2 has been an encouraging quarter operationally, with strong sequential and year-on-year growth. Financial performance was muted a bit, but with transitionary issues easing, we expect a healthy rebound in H2. Supported by a strong launch pipeline and execution focus, we are confident of delivering stronger H2 and meeting full year targets. Our focus remains on expanding the project pipeline and accelerating execution to unlock cash flows and enhance value creation. We are on the right path towards delivering on our 3-year mission objectives.”