Raymond Realty Q2 FY27 Results (NSE: RAYMONDREL)
Signal: Margin expansion
The read
The operating trajectory improved after Q1FY27: consolidated EBITDA margin rose to 15% from the prior-series 13% and EBITDA grew 14% YoY, but the thesis is increasingly dependent on subsidiaries and financing discipline because standalone revenue fell 28.5% YoY, finance costs rose 70.0%, PAT declined 11.8%, and H1 operating cash flow was negative ₹14,702 lakh.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹748.52 Cr | +7.4% | +42.1% |
| Net profit | ₹53.06 Cr | -11.8% | |
| EPS | ₹7.97 | -11.8% | |
| EBIT margin | 15% |
P&L walk
Consolidated revenue rose 7.4% YoY to ₹74,852 lakh and EBITDA grew 14% to ₹11,500 lakh as the company cited optimized product mix, sustained sales velocity and steady price realization; PAT nevertheless fell 11.8% to ₹5,306 lakh because finance costs increased 70.0% to ₹4,353 lakh.
Segments
The group is being lifted by subsidiaries: consolidated revenue grew 7.4% YoY to ₹74,852 lakh and PAT was ₹5,306 lakh, while standalone revenue fell 28.5% to ₹27,995 lakh and standalone PAT fell 28.9% to ₹4,155 lakh; the filing reports Real Estate as a single operating segment.
Key positives
- Consolidated revenue from operations rose 7.4% YoY to ₹74,852 lakh despite no new project launches, with management citing sustained sales velocity and steady price realization.
- EBITDA increased 14% YoY to ₹11,500 lakh and EBITDA margin expanded 100bps YoY to 15%, supported by an optimized product mix.
- Consolidated gross margin expanded 256bps YoY to 30.3% as net property-development cost declined to 69.7% of revenue from 72.2%.
Key concerns
- Standalone revenue fell 28.5% YoY to ₹27,995 lakh and standalone PAT fell 28.9% to ₹4,155 lakh, indicating that consolidated growth is being driven by subsidiaries rather than the parent.
- Finance costs increased 70.0% YoY to ₹4,353 lakh, causing PBT to decline 5.4% and PAT to decline 11.8% despite EBITDA growth.
- H1FY27 operating cash flow was negative ₹14,702 lakh while consolidated inventory rose to ₹4,99,847 lakh from ₹4,28,087 lakh at March 2026, highlighting cash absorption in development inventory.
Research and educational content only. Not investment advice.