Horizon Industrial Parks Q1 Revenue Hits INR 200 Crore

Revenue grew 23% YoY to INR 200 crore; EBITDA surged 36% to INR 161 crore.

Reader Takeaway: Strong operational leasing growth and deleveraging support profitability, though pending litigation in Delhi remains a key monitorable.

What just happened

Horizon Industrial Parks Ltd reported strong operational gains for Q1 FY27, with revenue rising to INR 200 crore. Although the company recorded a net loss of INR 12 crore, management characterized this as driven by non-cash charges like depreciation. The pro forma cash PAT stands at INR 116 crore, signaling underlying operational strength.

Why this matters

Investors are watching for the company's shift toward net profitability, which management anticipates by the second or third quarter of FY27. A key factor in this transition is a reduction in interest expenses, supported by a significant deleveraging effort that has brought net debt down to INR 2,500 crore.

Operational Performance

The company leased 1.9 million sq. ft. during the quarter, onboarding nine new customers. Its total platform now spans 61 million sq. ft. across 9 states. Development remains active, with a target to reach 35 million sq. ft. of operational area by the end of the fiscal year.

The In-City Strategy

Management is prioritizing its 6 million sq. ft. in-city portfolio, which commands rental rates 2.5x to 3x higher than standard big-format parks. Pune is slated for its first delivery under this strategy in Q4 FY27.

Risks to watch

A legal challenge regarding a tender for 13 in-city warehouses is currently pending before the Delhi High Court. While management remains confident in its position, this sub judice matter remains a focal point for shareholders.

What to track next

Watch for progress on the 6.5 million sq. ft. leasing target for FY27 and the scheduled delivery of the Pimpri in-city asset in the fourth quarter.