Active Infrastructures pre-tax profit falls 67% to Rs 2.58 crore

Active Infrastructures Limited reported consolidated profit before tax of Rs 2.58 crore for the half year ended 30 September 2026, down about 67% from Rs 7.91 crore a year earlier, while revenue from operations was nearly unchanged at Rs 39.07 crore. Operating activities used Rs 63.93 crore of cash, primarily alongside a Rs 52.21 crore inventory increase.

Why did Active Infrastructures’ pre-tax profit fall?

Active Infrastructures’ pre-tax profit fell because expenses increased while total income declined in the half year ended 30 September 2026. Total income was Rs 40.24 crore, compared with Rs 40.81 crore in the half year ended 30 September 2025, while total expenses rose to Rs 37.66 crore from Rs 32.90 crore. Profit before tax consequently declined to Rs 2.58 crore from Rs 7.91 crore.

Revenue from operations rose marginally to Rs 39.07 crore from Rs 39.02 crore, but other income declined to Rs 1.18 crore from Rs 1.78 crore. Cost of goods sold and services rendered increased to Rs 33.24 crore from Rs 28.34 crore, employee-benefit expense rose to Rs 57.69 lakh from Rs 37.42 lakh, and finance costs increased to Rs 1.88 crore from Rs 1.69 crore.

The September 2026 result was also below the immediately preceding half year ended 31 March 2026, when Active Infrastructures reported revenue from operations of Rs 57.54 crore and profit before tax of Rs 6.81 crore. The filing identifies the March 2026 half-year figures as balancing figures derived from the audited year ended 31 March 2026 and the previously published September 2025 half-year results.

Why was Active Infrastructures’ operating cash flow negative?

Active Infrastructures used Rs 63.93 crore in operating activities in the September 2026 half year, compared with a Rs 18.29 crore outflow in the September 2025 half year. Cash used in operations before income taxes was Rs 52.65 crore, versus Rs 13.27 crore a year earlier, and net income taxes paid were Rs 1.29 crore.

The largest working-capital movement was a Rs 52.21 crore increase in inventories, compared with a Rs 18.15 crore increase in the corresponding prior half. Other current assets rose by Rs 2.50 crore and other current financial assets rose by Rs 6.06 crore. These cash uses were partly offset by a Rs 13.48 crore decrease in trade receivables and a Rs 74.10 lakh increase in trade payables.

Operating profit before working-capital changes declined to Rs 4.63 crore from Rs 9.45 crore. Active Infrastructures said land, stamp duty and attributable costs for the GV Abhyuday project are carried in inventories as project work-in-progress, linking the reported inventory build-up to the project’s recorded costs.

How did Active Infrastructures’ inventory and borrowings change?

Active Infrastructures’ inventories rose to Rs 113.34 crore at 30 September 2026 from Rs 60.94 crore at 31 March 2026, while current borrowings rose to Rs 77.28 crore from Rs 44.76 crore. The increase in inventories broadly corresponds with the Rs 52.21 crore inventory-related cash outflow reported in the half-year cash-flow statement.

Non-current borrowings moved in the opposite direction, falling to Rs 30.02 crore at 30 September 2026 from Rs 35.47 crore at 31 March 2026. Financing activities included net proceeds of Rs 32.33 crore from current borrowings, a net repayment of Rs 5.45 crore of non-current borrowings and a Rs 75.08 lakh final-dividend payment.

Cash and cash equivalents declined to Rs 1.44 crore from Rs 8.24 crore over the six months. Investing activities generated Rs 22.90 crore, compared with a Rs 40.09 crore outflow in the September 2025 half year, as fixed deposits and bank balances other than cash equivalents generated Rs 33.50 crore; net loans given used Rs 8.50 crore.

Which Active Infrastructures segment changed most?

Active Infrastructures’ infrastructure segment recorded the larger year-on-year change in operating performance. Infrastructure revenue declined to Rs 37.89 crore in the September 2026 half year from Rs 39.02 crore a year earlier, while its segment result before finance costs and tax fell to Rs 3.12 crore from Rs 10.24 crore.

The real-estate segment reported a Rs 17.57 lakh segment result before finance costs and tax in the September 2026 half year. Active Infrastructures identifies Infrastructure and Real Estate as its two reportable segments under Indian Accounting Standard 108, with results reviewed by the chief operating decision maker.

Infrastructure segment assets increased to Rs 140.54 crore at 30 September 2026 from Rs 82.57 crore at 31 March 2026. Real-estate segment assets were Rs 101.79 crore, compared with Rs 106.71 crore at 31 March 2026, while real-estate liabilities rose to Rs 70.09 crore from Rs 55.95 crore.

The company said the September 2026 figures are not strictly comparable with earlier periods because Raghukul Shradha Realty LLP was formed during the half year and consolidated from its formation date. The step-down subsidiary is held through wholly owned Achievers Ventures Private Limited, with the filing stating an effective holding of 50.50%.

What did Active Infrastructures’ review conclude?

Active Infrastructures received an unmodified limited-review conclusion on its unaudited consolidated results for the half year ended 30 September 2026. The audit committee reviewed and recommended the results, and the board approved them on 13 November 2026.

The statutory auditor said nothing had come to its attention to indicate that the financial statement did not make required disclosures or contained a material misstatement. The auditor stated that a review provides moderate assurance and is substantially less extensive than an audit, so it does not result in an audit opinion.

The consolidated group includes two subsidiary companies, two subsidiary limited liability partnerships and Raghukul Shradha Realty LLP as a step-down subsidiary. Five subsidiaries had financial information reviewed by other auditors; before consolidation adjustments, they reported Rs 1.45 lakh of profit after tax and Rs 15.76 lakh of net cash inflow for the half year.

Conclusion

Active Infrastructures maintained operating revenue near Rs 39 crore in the September 2026 half year, but higher operating costs, lower other income and higher finance costs reduced pre-tax profit to Rs 2.58 crore. The cash-flow and balance-sheet statements show a parallel increase in working-capital use, with inventories rising to Rs 113.34 crore and current borrowings reaching Rs 77.28 crore.

The next reported period will indicate whether inventory recorded for the GV Abhyuday project converts into revenue and operating cash flow. Comparability will remain a disclosed consideration because Raghukul Shradha Realty LLP was created and first consolidated during the half year ended 30 September 2026.