Indiabulls Q1 FY27 Results (NSE: IBULLSLTD)
Signal: Loss reversed
The read
Indiabulls swung to a consolidated profit of ₹141.02 Cr in Q1FY27 from a loss of ₹1.81 Cr YoY, driven by a surge in fair value gains (₹125.06 Cr) and real estate revenue (₹104.57 Cr, from zero last year). Operating profit before tax surged to ₹160.86 Cr (vs ₹7.10 Cr). The margin inflected sharply — OPM of 44.7% from negative 7.8% YoY. However, the large impairment charge (₹50.26 Cr) and deferred tax (₹17.32 Cr) moderate headline PAT. The auditor's emphasis of matter on liability write-back and Scheme-related restatements add accounting complexity.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹359.45 Cr | 292.33% | -12.0% |
| EBIT | ₹160.86 Cr | 2165.63% | |
| Net profit | ₹141.02 Cr | N/A | |
| EPS | ₹0.64 | N/A | |
| EBIT margin | 0 |
P&L walk
Revenue of ₹359.45 Cr (+292% YoY) was driven by fair value gains (₹125.06 Cr) and real estate revenue (₹104.57 Cr, up from nil YoY). Despite a large ₹50.26 Cr impairment charge, operating profit before tax surged 22x YoY to ₹160.86 Cr. Net profit of ₹141.02 Cr vs a loss of ₹1.81 Cr last year. Margin expanded dramatically with OPM of 44.7% vs negative 7.8% YoY, reflecting the scaling of profitable segments.
Segments
The Financing segment (revenue ₹173.60 Cr, result ₹125.80 Cr) and Real Estate segment (revenue ₹106.03 Cr, result ₹39.73 Cr) were the primary profit drivers, while Asset Reconstruction (₹-12.81 Cr) and Equipment Renting (₹-1.15 Cr) reported losses, dragging group profit.
Key positives
- Revenue grew 292% YoY to ₹359.45 Cr, driven by diversification into real estate and fair value gains.
- Operating profit (PBT before exceptional items) surged to ₹160.86 Cr from ₹7.10 Cr YoY, showing earnings recovery.
- Net profit of ₹141.02 Cr vs loss of ₹1.81 Cr YoY, a strong turnaround.
- EPS improved to ₹0.64 from -₹0.01 YoY.
Key concerns
- Impairment on financial assets (net) of ₹50.26 Cr, up from a reversal of ₹12.01 Cr YoY, indicating credit stress.
- QoQ revenue declined 12% (from ₹408.53 Cr in Q4FY26), partly due to seasonality in real estate.
- Asset Reconstruction segment reported a loss of ₹12.81 Cr, dragging overall performance.
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