Raymond Realty: Building on Strong Foundations with Ambitious Expansion

Raymond Realty Limited, a prominent player in the Indian real estate sector, has reported a robust performance for the second quarter and half year ended September 30, 2025 (Q2 & H1 FY26). The company's financial results underscore a period of strategic transition and aggressive growth, marked by significant project launches and strong market traction. Despite a dynamic market landscape, Raymond Realty has demonstrated resilience and a clear path forward, aligning with its long-term objectives.

For Q2 FY26, Raymond Realty recorded a total income of 706 crore, reflecting a healthy 20% year-on-year growth. The first half of the fiscal year saw total income reach 1,098 crore. Pre-sales remained strong, with 455 crore in Q2 and 760 crore for H1, driven by robust demand across its ongoing projects. The company also maintained stringent financial discipline, achieving collections of 409 crore in Q2 and 783 crore in H1. These figures highlight the company's operational efficiency and ability to convert sales into cash flow.

Strategic Expansion and Project Pipeline

Raymond Realty's growth strategy is deeply rooted in its asset-light Joint Development Agreement (JDA) model, enabling expansion beyond its traditional Thane land parcel into the broader Mumbai Metropolitan Region (MMR). The company has a total potential revenue pipeline of approximately 40,000 crore, with 25,000 crore from its Thane land and 14,000 crore from JDA-led projects. This strategic approach allows for significant scaling without heavy capital expenditure.

During Q2 FY26, Raymond Realty launched two new residential towers in Thane: 'The Address by GS – Season 3 (Tower F)' and 'Invictus - Tower B'. Both projects received an overwhelming market response, underscoring the strong demand for quality housing in the region. Looking ahead, the second half of FY26 is poised for heightened activity, with several new launches planned. This includes one project each in Bandra and Wadala in Q3, followed by two more JDA projects in Sion and Mahim, and two additional projects in Thane in Q4. The cumulative Gross Development Value (GDV) for these H2 launches is estimated to be around 5,000 crore.

Financial Discipline and Market Leadership

The company's commitment to financial prudence is evident in its net debt-free status, boasting a cash surplus of 48 crore as of September 2025. This strong liquidity position provides a solid foundation for funding future growth initiatives. Raymond Realty has also demonstrated exceptional execution capabilities, delivering 8 towers in its maiden project, Ten X Habitat, ahead of the RERA timeline. This track record reinforces buyer confidence and strengthens its market reputation.

Raymond Realty holds a strong market position, ranking among the top 10 listed developers in India and top 5 in the MMR. Notably, every third house sold in Thane is a Raymond Realty project, highlighting its significant market penetration and brand equity. The company's brand portfolio, including 'TENX' (Aspirational), 'THE ADDRESS BY GS' (Premium), and 'INVICTUS' (Luxury), caters to diverse customer segments, ensuring a broad market appeal.

Outlook and Investor Confidence

Management has expressed strong optimism for the second half of FY26, anticipating continued robust performance driven by the strong project pipeline and sustained demand in the MMR market. The company aims for a minimum 20% year-on-year growth in pre-sales and top line for FY26. While EBITDA margins saw a temporary dip due to the product mix and upfront investments in new launches, management expects them to normalize to around 20% on a blended basis in the long term. The company also maintains a commitment to a 1:1 debt-to-equity ratio and a Return on Capital Employed (ROCE) of 20% or more.

Raymond Realty's strategic clarity, disciplined execution, and strong financial health position it favorably for sustained growth in the dynamic Indian real estate market. The company's focus on asset-light expansion and timely project delivery instills confidence in its ability to unlock significant value for its stakeholders.