Eldeco H1 FY27 PAT rises 290.1% as EBITDA margin hits 31.2%

Eldeco reported H1 FY27 profit after tax of ₹22.5 crore, up 290.1% year on year, as earnings before interest, tax, depreciation and amortisation margin increased to 31.2% from 16.6%. The first-half profit was ₹1.8 crore below Eldeco’s ₹24.3 crore profit for all of FY26.

How did Eldeco’s H1 FY27 profitability change?

Eldeco’s H1 FY27 profitability increased sharply from H1 FY26, with total income rising 55.8% to ₹103.2 crore and profit after tax, or PAT, rising 290.1% to ₹22.5 crore. Earnings before interest, tax, depreciation and amortisation, or EBITDA, increased 193.2% to ₹32.2 crore. Profit before tax, or PBT, rose 250.2% to ₹30.6 crore from ₹8.7 crore a year earlier.

Eldeco’s reported H1 FY27 PAT of ₹22.5 crore was ₹1.8 crore below the ₹24.3 crore earned during the whole of FY26. H1 FY27 total income of ₹103.2 crore was also more than half of FY26 total income of ₹175.7 crore. The comparison shows that first-half profit was substantially higher than in the comparable half, while the presentation does not provide a full-year FY27 earnings target.

What changed in Eldeco’s margins in H1 FY27?

Eldeco’s EBITDA margin expanded by 1,464 basis points to 31.2% in H1 FY27 from 16.6% in H1 FY26. A basis point is one-hundredth of a percentage point. Over the same periods, PBT margin increased by 1,645 basis points to 29.6%, while PAT margin rose by 1,309 basis points to 21.8% from 8.7%.

The H1 FY27 EBITDA margin of 31.2% was above Eldeco’s 23.6% full-year FY26 margin, though it was below the 40.1% reported in FY24 and 51.0% in FY22. PAT margin followed a similar direction, increasing from 13.8% in FY26 to 21.8% in H1 FY27 after reaching 27.7% in FY24 and 37.0% in FY22. Finance cost declined 33.0% year on year to ₹1.2 crore in H1 FY27 from ₹1.8 crore.

The income increase was accompanied by higher construction activity. Construction spending grew 53.8% to ₹117.7 crore in H1 FY27 from ₹76.6 crore in H1 FY26, according to Eldeco’s consolidated operational table. That table records 177 unit deliveries and 2,06,764 square feet delivered during the half year, compared with 191 units and 2,03,892 square feet a year earlier. Units delivered declined 7.3%, while delivered area increased 1.4%.

How did Eldeco’s second quarter compare with recent quarters?

Eldeco’s Q2 FY27 PAT was ₹7.4 crore, lower than ₹15.1 crore in Q1 FY27 but higher than ₹2.6 crore in Q2 FY26. Q2 FY27 EBITDA was ₹13.6 crore, compared with ₹18.7 crore in Q1 FY27 and ₹5.5 crore a year earlier. Quarterly EBITDA margin therefore declined to 25.6% from 37.1% in Q1 FY27, while remaining above 15.7% in Q2 FY26.

Q2 FY27 total income was ₹52.9 crore, up from ₹50.3 crore in Q1 FY27 and ₹35.3 crore in Q2 FY26, but below ₹64.3 crore in Q4 FY26. PAT margin was 14.0% in Q2 FY27, versus 30.0% in Q1 FY27 and 7.5% in Q2 FY26. The first-half margin improvement therefore combined two quarters with materially different profitability levels rather than a sequential increase in Q2 margins.

Booking volumes also moderated in the second quarter. Area booked was 1,21,102 square feet in Q2 FY27, down from 1,25,917 square feet in Q1 FY27 and 1,45,153 square feet in Q2 FY26. Average realisation was ₹7,840 per square foot, below ₹8,391 in Q1 FY27 but above ₹6,069 in Q2 FY26. Eldeco management attributed moderated booking performance to the absence of new project launches.

What do Eldeco’s sales, collections and pipeline indicate?

Eldeco reported H1 FY27 booking value of ₹200.6 crore, down 35.1% year on year, while area booked fell 48.7% to 2,47,019 square feet. The booking decline contrasted with a 51.7% increase in collections to ₹256.8 crore in management commentary. Management said collections and profitability improved despite moderated booking performance, and that upcoming launches are expected to support sales momentum.

The presentation reports different collections figures in its management commentary and consolidated operational highlights table. Management commentary gives Q2 FY27 collections of ₹125.6 crore and H1 FY27 collections of ₹256.8 crore, while the operational table reports ₹120.4 crore and ₹251.6 crore, respectively. The operational table compares these figures with ₹91.3 crore in Q2 FY26 and ₹169.4 crore in H1 FY26, but Eldeco does not explain the difference in the supplied material.

Eldeco acquired 9.72 acres during Q2 FY27 to expand its land portfolio for future development. Eldeco City Courtyard, a commercial project covering 1.68 acres with 37,342 square feet of saleable area, was more than 45% sold as of Q2 FY27. The ongoing-project schedule lists expected completion of Eldeco City Courtyard in March 2028, Eldeco Latitude 27 in November 2027, and several other projects between June 2028 and June 2029.

Conclusion

Eldeco’s H1 FY27 results combined higher income, EBITDA and PAT with a 14.64-percentage-point increase in EBITDA margin to 31.2%. First-half PAT of ₹22.5 crore approached FY26’s full-year ₹24.3 crore, even as booking value fell to ₹200.6 crore and booked area declined to 2,47,019 square feet. The figures distinguish improved reported profitability and collections from lower new booking activity.

Next, investors can watch whether the upcoming launches cited by management translate into booking growth, and whether the 9.72-acre land addition advances Eldeco’s development pipeline. The expected November 2027 completion of Eldeco Latitude 27 and March 2028 completion of Eldeco City Courtyard are disclosed milestones. Eldeco’s next disclosures may also clarify why management commentary and the operational table report H1 FY27 collections of ₹256.8 crore and ₹251.6 crore, respectively.