Ajmera Realty Q1FY27: Higher revenue and profits, lower volumes, sharper focus on pipeline

Ajmera Realty and Infra India Ltd entered Q1FY27 with a familiar real estate mix: sales volumes softened, but value and reported earnings improved on pricing and revenue recognition. For the quarter ended 30 June 2026, the company reported consolidated total revenue of 319.5 crore, up 23 percent year on year. EBITDA rose 18 percent to 93.8 crore, while profit after tax increased 14 percent to 44.9 crore.

The quarter also carried two important signals for investors tracking execution discipline. First, deleveraging continued, with debt to equity at 0.47x as of 30 June 2026, down from 0.53x at 31 March 2026 and 0.90x at 31 March 2024. Second, the portfolio narrative is expanding from steady sell down of near completion projects toward a materially larger launch pipeline, especially around Wadala, where management is positioning a large commercial and mixed-use blueprint over multiple years.

Operationally, the quarter was defined by a sharp divergence between volume and value. Sales volume fell to 43,737 sq ft, down 31 percent year on year, while sales value rose to 146 crore, up 35 percent year on year. This was reinforced by a jump in reported realisations to 33,278 per sq ft versus 17,081 per sq ft in Q1FY26. Collections, however, declined 26 percent year on year to 173 crore. Ajmera Solis qualified for revenue recognition during the quarter, supporting the revenue line and underlining the role of project milestone timing in quarterly earnings.

Q1FY27 in numbers: stronger revenue, steady margins, higher finance cost

The consolidated profit and loss statement shows a quarter of growth in absolute earnings, but with a few trade-offs. Revenue rose 23 percent year on year, and EBITDA grew 18 percent. EBITDA margin was 29 percent, down 120 bps year on year, but up 404 bps sequentially from Q4FY26. PBT was 62.0 crore, up 8 percent year on year, while PAT came in at 44.9 crore, up 14 percent.

One line item that stands out is finance cost. It rose to 30.5 crore from 21.0 crore in Q1FY26, a 45 percent increase, and was also higher sequentially. This sits alongside a company level improvement in the debt profile over the past two years, which suggests that project stage mix and timing of interest capitalization versus expensing can influence quarterly finance costs.

The cash flow statement offers a helpful lens on operating discipline. Net operating cash flow was positive at 36.0 crore in Q1FY27 versus negative 29.9 crore in FY26. Operating inflows included collections of 172.8 crore and other operating income of 46.0 crore. Outflows were led by construction cost of 126.2 crore and admin and sales overheads of 46.4 crore. Closing cash and cash equivalents stood at 83.8 crore.

Sales and collections: pricing strength offsets softer absorption

Ajmera’s Q1FY27 operating metrics suggest that demand remained price supportive even as overall absorption slowed. The company’s sales value rose despite lower square footage sold, indicating that the mix skewed to higher priced inventory or that realisations moved up sharply. Reported realisation nearly doubled year on year.

Project level data shows sales during the quarter were concentrated in a handful of assets. Manhattan 1 delivered 63 crore of sales value on 17,925 sq ft across 20 units, and Manhattan 2 contributed 53 crore on 14,498 sq ft across 18 units. Solis Phase 1 added 10 crore of sales value on 5,706 sq ft across 11 units. 33Fifteen recorded 6 crore on 871 sq ft. The unit count for the quarter was 55.

Collections of 173 crore were lower year on year, and the project table indicates that collections were also concentrated. Manhattan 1 led with 68 crore, Manhattan 2 with 24 crore, Solis Phase 1 with 17 crore, and Greenfinity AB with 13 crore. Other projects contributed smaller amounts. Lower collections can often be a timing issue in residential real estate, tied to construction linked milestones and customer payment schedules. But in a quarter where volumes were also down, investors may track whether collections normalize as new launches and construction progress.

The presentation also highlighted 89 crore toward asset monetization in Q1FY27. While details are not expanded in the deck, the inclusion points to continued portfolio level actions to strengthen cash flows and reduce corporate leverage.

Execution and visibility: revenue potential across OC received and ongoing projects

For developers, the quality of revenue visibility depends on two things: how much is already sold and how quickly it can be converted into recognized revenue and cash. Ajmera’s disclosure splits visibility across OC received projects and ongoing projects.

For OC received projects, the total sales book as on 30 June 2026 was 725 crore, with 30 crore of balance revenue recognition on committed sales and 11 crore estimated sale value from unsold stock. Total revenue potential in this bucket was stated at 41 crore. The projects included Nucleus Commercial, Lugaano and Florenza, Prive, and Eden.

Ongoing projects are the bigger driver of medium term visibility. The sales book for ongoing projects stood at 3,755 crore as of 30 June 2026. Revenue recognised was 2,123 crore, leaving balance revenue recognition of 1,631 crore on committed sales. Unsold carpet area was 606,736 sq ft with an estimated sale value of 2,174 crore. This yields total revenue potential of 3,805 crore over the next 48 months, as presented.

Within ongoing projects, Manhattan 1 is at an advanced stage, with 91 percent completion and 93 percent inventory sold. It has a sales book of 1,506 crore and balance revenue recognition of 193 crore, with an estimated June 2027 RERA timeline. Greenfinity AB is also near completion, at 80 percent completion and 94 percent inventory sold, with an August 2027 timeline. Vihara is 54 percent complete with 81 percent inventory sold and a June 2027 timeline.

Several assets are earlier stage and carry longer dated timelines. Manhattan 2 is 36 percent complete with 50 percent inventory sold and a July 2030 timeline. 33Fifteen is 22 percent complete with 19 percent inventory sold and a May 2029 timeline. Solis Phase 1 is 41 percent complete with 85 percent inventory sold and a July 2030 timeline. Vann by Ajmera is 17 percent complete with 3 percent inventory sold and a January 2031 timeline. These longer projects can shape near term cash flows and interest costs, even if they build future sales and GDV.

From an investor perspective, the narrative is that near completion assets are helping convert booked sales into revenue, while earlier stage projects are building the next cycle of inventory.

Deleveraging: lower leverage and lower cost of debt

Ajmera’s debt profile has improved steadily. Total secured debt reduced from 780 crore in March 2024 to 680 crore in June 2026, even as project debt remains the larger component. Corporate debt fell more sharply, from 338 crore in March 2024 to 50 crore in June 2026. Debt to equity moved from 0.90x to 0.47x over the same period.

The average cost of debt also eased across the timeline shared. It was 11.98 percent in March 2024 and declined to 11.01 percent by June 2026. The repo rate over the period moved from 6.50 percent to 5.25 percent. The reduction in cost of debt supports profitability and cash flows, although quarterly finance cost still rose in Q1FY27, showing how project level accounting and stage mix matters.

Scaling the pipeline: potential launches and the Wadala blueprint

The most forward looking part of the deck is the launch pipeline and the Wadala plan. Ajmera disclosed eight projects in the FY27 potential launches table with a grand total estimated GDV of 6,508 crore and estimated carpet area of 37,68,884 sq ft. These launches span Mumbai, Bengaluru, and Pune and are scheduled across Q2 FY27 to Q4 FY27.

In Q2 FY27, the company targets three launches with a subtotal GDV of 347 crore. In Q3 FY27, a Mumbai South Central boutique office project is scheduled with an estimated GDV of 3,650 crore and 9,82,236 sq ft of carpet area. Q4 FY27 includes four projects with a subtotal GDV of 2,511 crore, including Borivali, Whitefield, Vishrantwadi in Pune, and Doddaballapur.

Wadala is positioned as the anchor for near term scale. The outlook slide sets a plan to launch Boutique Office Phase 1 in Q3FY27 with GDV of 3,650 crore and carpet area of 9.8 lakh sq ft. Over FY28 onwards in about three years, management expects to execute balance potential in phases across Boutique Office Phase 2, Ultra Luxury, and Manhattan next phases. The Wadala development categories add up to 41.7 lakh sq ft with GDV of 17,841 crore.

Alongside Wadala, the owned land bank at Kanjurmarg is presented as a multi year development roadmap. The company described a 55 acre land parcel with a mix of residential and retail, hospitality, and commercial components, and an estimated GDV of 22,618 crore. The timeline is around nine years, with ongoing work on approvals and master planning, architect appointment, and a strategic tie up for a 7 acre parcel intended to fund land conversion and initial capex. The deck also outlines the first phase launch plan across commercial, high street retail, and residential.

This matters because Ajmera’s stated scale-up plan is not only about selling the current portfolio. It is about increasing portfolio size from 2.1 msf to 5.9 msf, expanding locations from 7 to 12, and increasing project count from 9 to 17. The FY27 sales guidance is 2,200 crore, following FY26 sales value of 1,701 crore.

What to track from here

Ajmera’s Q1FY27 results show a company transitioning from a deleveraging phase into a launch-led growth phase. Earnings improved on the back of higher revenue and recognized progress, while operationally the quarter saw lower volumes and lower collections. Realisation strength helped offset the volume decline, but investors will still want to see whether volumes recover as launches pick up.

Three themes stand out from the quarter and the presentation. First, execution of near completion projects like Manhattan 1 and Greenfinity AB remains central to converting sales book into revenue and cash. Second, the balance between early stage assets and long dated timelines will shape finance costs and working capital through the cycle. Third, the visibility and ambition of the FY27 launch pipeline, especially Wadala Boutique Office Phase 1, positions the company for a step-up in inventory and GDV, provided approvals and construction progress remain on track.

The quarter’s underlying message is disciplined execution with a wider aperture on growth. Ajmera is keeping leverage in check while preparing to add scale through owned land and planned launches. If collections normalize and the launch calendar holds, the company’s focus on portfolio expansion could start reflecting more consistently in sales value and cash flows over the coming quarters.