Suraj Estate Developers Q1 FY27 Results

Suraj Estate Developers reported a net profit of Rs 23 crore for the first quarter of FY27, marking a 7% year-on-year increase. Total income grew by 10% to Rs 146 crore.

Reader Takeaway: Strong sales growth is a positive, but rising debt levels require monitoring.

What just happened

The real estate developer announced its financial results for the quarter ending June 30, 2026 (Q1 FY27). Key performance indicators showed positive movement:

• Total Income: Rs 146 crore (+10% YoY)
• EBITDA: Rs 55 crore (+9% YoY)
• Profit After Tax (PAT): Rs 23 crore (+7% YoY)
• Sales Value: Rs 141 crore (+74% YoY)

EBITDA margins remained stable at approximately 37.5%. The sales area also saw a corresponding 74% increase, reaching 28,834 square feet.

Why this matters

The substantial 74% jump in sales value indicates strong market demand and effective sales execution by the company. This operational momentum is crucial for supporting its ambitious project pipeline and future growth.

The backstory

Suraj Estate Developers focuses on the South Central Mumbai market, catering to both commercial and premium residential segments. Their project portfolio includes Suraj Nova in Mahim and the commercial 'Suraj One Business Bay', with upcoming residential projects like 'Shivteerth'. The Bandra project is in the land conveyance phase.

What changes now

With a Rs 1,600 crore project launch pipeline for FY27, the company is poised for significant expansion. Planned launches include approximately Rs 240 crore in Q2 FY27, a substantial Rs 800-880 crore in Q3 FY27, and Rs 480 crore in Q4 FY27. The company targets 10-15% revenue growth for the full year and expects EBITDA margins to stay between 35-37%.

Risks to watch

• Debt Levels: Net debt stood at Rs 614 crore as of June 30, 2026. Management anticipates this will rise temporarily to fund the project pipeline, making deleveraging a key monitorable.
• Project Execution: Timely conversion of land conveyances and successful launches, especially the large Q3 FY27 pipeline, are critical for achieving targets.
• Bandra Project: Progress on approvals and conveyances for the Bandra project will determine its launch timeline.

Peer comparison

(No verified peer comparison data available in the filing.)

Context metrics (time-bound)

• Net Debt (June 30, 2026): Rs 614 crore (Gross Debt Rs 646.94 crore, Cash Rs 33.03 crore)
• FY27 Launch Pipeline: Rs 1,600 crore
• Presales Guidance (FY27): Rs 700 crore

What to track next

Investors will be watching the company's ability to manage its debt levels while successfully launching and selling projects from its pipeline. Sales velocity in the upcoming quarters will be key to sustaining growth and deleveraging.