Raymond Realty lifts margin as revenue growth outpaces costs
Consolidated net profit rose 295.09% QoQ, while management linked 98% pre-sales growth to existing projects rather than new launches.
Filed 27 Oct 2026, 17:51 IST · after market close · Raymond Realty Ltd (RAYMONDREL)
Key takeaways
- Consolidated Q2FY27 operating margin expanded 2.59 percentage points QoQ to 14.20% as revenue grew 42.12% while expenses grew 37.97%.
- Net profit rose 295.09% QoQ, but the 19.99% tax rate was 8.52 percentage points higher and other income contributed 13.53% of pre-tax profit.
- Q2FY27 pre-sales rose 98% YoY to Rs 902 cr without new launches, management said, driven by sustained sales in the existing Address by GS portfolio.
Price around the results
Existing projects drove Q2 growth
Consolidated revenue rose 42.12% QoQ, while operating profit grew 73.73%, showing operating leverage in the quarter. Management said pre-sales reached Rs 902 cr, up 98% YoY, without any new project launches; it attributed the increase to sustained sales velocity in the existing Address by GS portfolio. Net profit growth was also helped by lower interest and depreciation costs.
Slower cost growth expanded the margin
Expenses grew 37.97% QoQ, below the 42.12% revenue increase, lifting operating margin by 2.59 percentage points. Interest fell 7.72% and depreciation declined 31.51%, supporting the increase in profit before tax. Profit quality was partly supported by other income, which accounted for 13.53% of pre-tax profit, while the tax rate rose 8.52 percentage points to 19.99%.
Margin moved above the peer median
The quarter marked a clear improvement from Q1FY27, when operating margin was 11.61% and net profit was Rs 13.43 cr. At 14.20%, Raymond Realty's margin was 1.58 percentage points above the 12.62% median for the 56 Consumer Discretionary peers that had reported. The available quarter-on-quarter direction was therefore positive, although there is no year-on-year financial comparison in the reported figures.
Management points to a larger launch pipeline
Management said the upcoming launch pipeline totals 8.23 million square feet with an estimated booking value of Rs 24,000 cr. It said Mahim-2 residential is planned for Q3 FY27 and Parel residential for Q2 FY28, with estimated completion dates of FY31 and FY36 respectively. Management also said JDAs represent 36% of portfolio area but 52% of portfolio GDV, while percentage margins may be lower than those of own-land Thane projects.
Results were filed after market close
The company filed its consolidated Q2FY27 results after market close on 27 Oct 2026. No same-day post-results price response is available to compare with the stock's reaction history.
Q2FY27 at a glance
Consolidated figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹749 cr | ₹527 cr | +42.12% |
| Other income | ₹9 cr | ₹9 cr | -0.77% |
| Expenses | ₹642 cr | ₹466 cr | +37.97% |
| Operating profit | ₹106 cr | ₹61 cr | +73.73% |
| Operating margin (%) | 14.20% | 11.61% | — |
| Interest | ₹44 cr | ₹47 cr | -7.72% |
| Depreciation | ₹5 cr | ₹8 cr | -31.51% |
| Profit before tax | ₹66 cr | ₹15 cr | +337.18% |
| Tax | ₹13 cr | ₹2 cr | +662.07% |
| Net profit | ₹53 cr | ₹13 cr | +295.09% |
| EPS (₹) | ₹7.97 | ₹2.02 | +294.55% |
Operating margin of 14.20% compares with a Consumer Discretionary sector median of 12.62% across 56 peers that have reported Q2FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- Q2 FY27 pre-sales rose 98% year on year to ₹902 crore.
- Growth during the quarter came without new project launches and was driven by sustained sales velocity in the existing Address by GS portfolio.
- The company attributed its Q2 FY27 EBITDA margin of 15% to an optimized product mix.
Guidance & outlook
- The overall project portfolio is estimated to generate over ₹14,375 crore in net surplus project-level cash flows.
- Realizations are expected to improve as new launches are planned in prime micro-markets such as Mahim and Parel.
Expansion
- The company has an upcoming launch pipeline totaling 8.23 million square feet with estimated booking value of ₹24,000 crore.
- Mahim-2 residential is planned for launch in Q3 FY27 and has an estimated completion date of FY31.
- Parel residential is planned for launch in Q2 FY28 and has an estimated completion date of FY36.
- The company says JDAs account for 52% of portfolio GDV despite representing 36% of total area.
Competition
- The company says it is positioned among the top 10 real-estate players in the country.
Problems & risks
- The company says percentage margins may appear lower than those of own-land Thane projects.
What to watch
- Whether operating margin holds above 14.20% as the project mix changes.
- Whether pre-sales remain above Rs 902 cr without new launches.
- Whether management's planned 8.23 million square feet launch pipeline progresses, including Mahim-2 in Q3 FY27.