Sri Lotus Q2 FY27 Results (NSE: LOTUSDEV)
Signal: Growth decelerated
The read
The key inflection is margin recovery: Q2 EBITDA margin reached 39.9%, up from the prior-year quarter's implied 28.4% and reversing the prior series' contraction from 53% in Q3FY25, 57% in Q4FY25, 48% in Q1FY26, 29% in Q2FY26, 35% in Q3FY26, 39% in Q4FY26 and 36% in Q1FY27. Momentum is also moving upstream, with Q2 pre-sales of ₹470 crore, up 83% YoY, and H1 pre-sales of ₹879 crore, up 176%, while three new projects added ₹2,700-2,800 crore of GDV to the pipeline.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹269 Cr | 53% | N/A |
| EBIT | ₹107 Cr | 113% | |
| Net profit | ₹89 Cr | 91% | |
| EBIT margin | 39.9% |
P&L walk
Q2 revenue rose 53% YoY to ₹269 crore while EBITDA increased 113% to ₹107 crore and EBITDA margin expanded to 39.9% from the prior-year quarter's implied 28.4%; PAT rose 91% to ₹89 crore, indicating a sharp operating recovery alongside stronger premium-project pre-sales.
Key positives
- Q2 pre-sales rose 83% YoY to ₹470 crore and H1 pre-sales rose 176% YoY to ₹879 crore, providing stronger launch and revenue visibility.
- Q2 EBITDA grew 113% YoY to ₹107 crore versus 53% revenue growth to ₹269 crore, while EBITDA margin expanded 1,150bps YoY to 39.9%.
- Three new projects and additional Lotus Insignia area added ₹2,700-2,800 crore of GDV to the pipeline, while four H2 launches carry estimated GDV of ₹3,500-4,000 crore.
- H1 revenue of ₹401 crore and H1 PAT of ₹134 crore increased 69% and 86% YoY respectively, keeping the company on track against its maintained FY27 guidance.
Key concerns
- The FY27 guidance requires H2 execution against pre-sales of ₹1,800-2,000 crore for the full year, versus ₹879 crore achieved in H1, leaving ₹921-1,121 crore to be delivered in H2.
- The filing provides no EPS, cash-flow, receivables, inventory, depreciation or project-level profitability disclosure, limiting assessment of cash conversion and earnings quality.
- The four planned H2 launches carry ₹3,500-4,000 crore of estimated GDV, creating execution and timing dependence for the maintained FY27 growth guidance.
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