ABRELNSEQ2FY26October 29, 2025

Aditya Birla Real Estate Limited

7,240words

137turns

15analyst exchanges

5executives

Download PDF ↗ABREL stock page →

Management on call

R.K. Dalmia

MANAGING DIRECTOR – ADITYA BIRLA REAL ESTATE LIMITED

K.T. Jithendran

MANAGING DIRECTOR AND

Snehal Shah

CHIEF FINANCIAL OFFICER – ADITYA BIRLA REAL ESTATE LIMITED

Keyur Shah

CHIEF FINANCIAL OFFICER – BIRLA ESTATES PRIVATE LIMITED

Karan Khanna

AMBIT CAPITAL

Key numbers — 40 extracted

7.8%

environment in India has remained supportive during the quarter under review. India's GDP grew by 7.8% in the second quarter of calendar year 2025, exceeding expectations, prompting the Reserve Bank o

6.5%

ectations, prompting the Reserve Bank of India to revise its full-year growth outlook upward from 6.5% to 6.8%. Inflation eased to 7.21% in August 2025, supported by lower commodity prices and monetar

6.8%

s, prompting the Reserve Bank of India to revise its full-year growth outlook upward from 6.5% to 6.8%. Inflation eased to 7.21% in August 2025, supported by lower commodity prices and monetary easing

7.21%

Bank of India to revise its full-year growth outlook upward from 6.5% to 6.8%. Inflation eased to 7.21% in August 2025, supported by lower commodity prices and monetary easing. The stability of the I

INR10 million

The luxury and premium housing categories continue to outperform with sales in units priced above INR10 million growing by 13% year-on-year and now constituting over half of all transactions. Price appreciatio

13%

using categories continue to outperform with sales in units priced above INR10 million growing by 13% year-on-year and now constituting over half of all transactions. Price appreciation has been part

19%

Price appreciation has been particularly strong in NCR and Bengaluru, with recorded increases of 19% and 15%. Projects with the right product, the right location, and a trusted brand name are contin

15%

ppreciation has been particularly strong in NCR and Bengaluru, with recorded increases of 19% and 15%. Projects with the right product, the right location, and a trusted brand name are continuing to

INR890 crore

the Birla Estates brand. I'm happy to report that we had a very strong quarter with bookings of INR890 crores, up by 111% against the previous quarter. Despite the absence of launches, operational traction

111%

nd. I'm happy to report that we had a very strong quarter with bookings of INR890 crores, up by 111% against the previous quarter. Despite the absence of launches, operational traction remained heal

INR320 crore

flagship projects. Birla Niyaara in Mumbai and Birla Evara in Bengaluru recorded robust sales of INR320 crores and INR326 crores, respectively, reflecting continued customer preference for our brand and prod

INR326 crore

. Birla Niyaara in Mumbai and Birla Evara in Bengaluru recorded robust sales of INR320 crores and INR326 crores, respectively, reflecting continued customer preference for our brand and product quality. As

Advertisement

Guidance — 20 items

Akash Gupta

“Sir, my first question is with respect to your project in Thane.”

Akash Gupta

“I think we have been waiting for approval for this project for quite some time.”

Akash Gupta

“My question is what is the current status of approvals for your project in Thane, and how confident are we that we will be able to launch it in the second half?”

Akash Gupta

“And our collections -- our project development cost was INR10 billion while collections were INR9 billion.”

K. T. Jithendran

“And with that, all those funding gaps, about INR600 crores of healthy cash flows are coming in, and we expect a solid cash flow collection of about INR2,000 crores in this quarter.”

Keyur Shah

“And number two, the project development cost, which is shown in the cash flow, also includes the land purchase prices paid.”

K. T. Jithendran

“So hopefully, in March, we should be able to launch this project, Tower C.”

Akash Gupta

“So is there any risk of getting it pushed next year because March is like, it's like a touch and go, right?”

K. T. Jithendran

“So as soon as the launch happens, all these collections will come and the debt will be covered, all of this.”

K. T. Jithendran

“So if you look at this after maybe 3 months or so, the situation will be entirely different.”

Risks & concerns — 2 flagged

On the sustainability front, I'm delighted to share that Birla Niyaara and Birla Tisya have won the prestigious Sword of Honour from the British Safety Council, demonstrating excellence in the management of health and safety risk at work.

— R. K. Dalmia

So is there any risk of getting it pushed next year because March is like, it's like a touch and go, right?

— Akash Gupta

Advertisement

Q&A — 15 exchanges

Congratulations on good performance in the second quarter. Sir, my first question is with respect to your project in Thane. I think we have been waiting for approval for this project for quite some time. My question is what is the current status of approvals for your project in Thane, and how confident are we that we will be able to launch it in the second half? That's my first question.

K. T. Jithendran

Yes. So that we all know, Akash, the NGT ruling, which prevented state authorities from issuing the environmental clearances. But that is gone now. And we have already had our hearing at the MoEF committee. We are expecting the minutes of the meeting any day, and we are expecting the RERA to be achieved this quarter itself. So we are all set for the launch in Q4. Got it. And sir, my second question is with respect to your operating cash flow. In the first half, our operating cash flow was negative, minus INR4 billion. And our collections -- our project development cost was INR10 billion while

Sir, I have three questions. First is on the net debt. We saw, I think, a quarter-on-quarter minus increase in net debt by INR2.8 billion. And there have been no new land deals. And even if you -- even if the PE funds have been classified as debt, they should be offset against corresponding PE cash inflow. So I'm just wondering what led to this increase in net debt by INR2.8 billion.

Keyur Shah

So, Biplab, as K.T. mentioned, we've got some of our collections that were done in October. We further have another tranche of collections coming up in November for Niyaara Tower 2. So almost INR500 crores of cash flow would be coming in, in October and November. So that's one aspect. Otherwise, from the overall debt perspective, we are very comfortable. We had to incur payments for FSI premiums and all of that. So it's part of the ordinary cost. And because the payment milestones are linked to the -- collections are linked to payment milestones, there can be a small mismatch. If you see from

First question is on launches, INR14,000 crores worth of launches planned for second half. I can see in few of the projects we are probably not launching the full potential of that project, especially Sector 71 in Gurugram, Manjri project in Pune. Just wanted to know it's just some strategic decision of launching it in phases to have a better price appreciation in the second phase. Or are we okay -- if we see a better demand we are okay to open up a little more inventory than we are planning to launch actually in these phases? Yes. So that's my first question.

K. T. Jithendran

Yes, Pritesh. Thanks for that question. So Sector 71, we are -- we may -- I mean, depending on the EOIs we get, we may perhaps think of launching the entire phase, I mean, the entire project, because it's not very large, about INR1,400 crores top line. So, depending on the situation. So we have given muted guidance. I think we may -- current situation looks like we may go after the full phase, I mean, the full project at one go. Birla Evam at Manjri, that's a pretty large project, which is about 2 million -- how much is that? 3 million So that essentially, we'll have to do it in phases, and we

Yes. So thank you very much for the opportunity, and congratulations, sir, on an impressive performance in sustaining sales. My first question is regarding the Pune project itself, for which you have already given some clarification. But basically, this project, we got the RERA approval in June and July, yet it has not been launched so far. Typically, we launched within a month of approval. So is there any specific reason for the project getting postponed? And second, how we are positioning the pricing versus neighbouring projects and if any indicative ticket size for the projects, it will be

K. T. Jithendran

So there was a -- the RERA which came, that came in the name of the previous owner. So there were some challenges there. Now we've got that rectified. The EOI collection is in full -- going on. The channel partner meet happened. It's been very successful. The UI buildup is happening very strongly and aggressively, and very soon we'll start booking the -- the bookings will be done. So -- I mean, very clearly, this quarter itself. Yes. So we are pretty confident of having very strong bookings here. So INR700 crores and largely ranging from about INR50 lakhs to INR1.5 crores, and roughly about IN

Yes. So Amit, are you there?

Amit Srivastava

Yes, sir. Yes, sir. Yes. So, have I answered your question or any part of the balance? So I was asking, sir, that INR4,500 crores GDV you have calculated based on the current prevailing price of Birla Niyaara Phase 2. Yes. I mean, we've broadly said. Now that we have fine-tuned the pricing, we will do it closer to the launch, depending on the demand, supply, and the buildup. Sure. And sir, next is in terms of -- other than Pune projects, two projects which are expected to launch, any other project possible to launch in Q3? Q3, we are looking at Punya, which is at Pune. Then, of course, Manjri

So first of all, it's good to see the sales momentum back at Worli. So my question is, have we started running some interest checks for the third tower? I mean, and I know you have commented that it's early to talk about the project configuration, but any broad range of the ticket size that we are thinking for this particular phase?

K. T. Jithendran

Too early to comment, Harsh. We'll disclose it closer... Okay, okay. And sir, in terms of realization, for most of the projects, we have seen realizations are up on a sequential basis. So -- and particularly for the Worli project, I mean, have you taken some particular price increase? Or it's just a function of higher floor sales, something like that? No, we have taken a price increase now. From now on, we've taken a price increase. It will be more like on average about INR1,10,000. Sure. And sir, lastly, in terms of the ITC deal, is it on track? And by when do we expect that to conclude? ITC

So firstly, you did mention that Niyaara Tower C, we are planning around March and Thane in Q4, and Sector 71 and Pune projects in Q3. Regarding the other projects, do you -- they are also on track for Q4? Or is there a possibility of some of them going into Q1 next year?

K. T. Jithendran

So, in addition to whatever I mentioned, Mr. Doshi, we are going to launch Boisar plotted in Q4, we're going to launch Birla Arika in Gurgaon, Phase 2 in Q4. We're also planning to launch new phases of Birla Punya in Q4. And in addition to that, we are also launching Trimaya in Bengaluru Phase 4 in -- again, in Q4. So all of these launches are planned. Okay, okay. And one more question is on Page 17, where we have given the full pipeline. So there, let's say -- just let's say, Thane project, the GDV for FY '26 is INR1,630 crores. So this is the entire GDV, right, and not the 56%. This is the e

All my questions are answered.

Management

I hope I'm audible. It's regarding the clarification you made on the collections, like there was some kind of spillover that happened during this quarter. So what was that amount? Was that INR500 crores or INR900 crores?

K. T. Jithendran

So as I mentioned, it's INR260 crores plus INR350 crores -- INR250 crores, INR350 crores, about INR600 crores, INR600-odd crores. Got it, sir. And sir, my second question is related to Slide number 27, where you have articulated the cash flow potential. So if I understand it correctly, then it is relating to like your FY'26 kind of already launched projects and to be launched in the pipeline projects, right, like the GDV, and what is the... We have only considered the projects that we have launched so far. The projects that are not yet launched, like, for example, Thane, are not included. Pune

Congratulations on good sales run rate. On the collections front, as you mentioned that INR2,000 crores would be the cumulative till December. So from Q4 onwards, should we see the collection run rate quarterly run rate to range in about INR700 crores to INR1,000 crores? Or it would still revert back to around INR500-odd crores quarterly run rate?

Keyur shah

No, we would be having a strong cash flow because there are two aspects to the collections. One is the launches, where there is a chunky collection, which comes in when we launch a project. And second is the milestone-based collection, which will be coming in. So we expect to grow as compared to the collections that we did last year. And secondly, on this INR30,000 crores BD, which you're eyeing. So, can you shed some light on what share would be the own projects? Or are you looking purely on a JV basis? So in terms of capital allocation going ahead, so are we eyeing for more own projects? Wha

Hi, K.T., I just wanted a broad vision for our company in the next 3 to 5 years? Where do you see yourselves going in terms of the sales in the next 3 to 5 years? Can we foresee that we can be like a INR20,000 crores top line company in the next 3 to 5 years?

K. T. Jithendran

Of course, no doubt about it, but we will be among the -- one of the largest real estate companies in the 5 years to come. But not only just size, size is one very critical aspect, but also in terms of reputation and customer centricity, we want to be the most reputed and the most customer-centric company with a deep focus on design, customer-centric design. So that's the vision we are having as a company in 5 years' time, it should be at the forefront of sustainability, at the forefront of operational excellence, no delays in execution, timely delays, best in quality, so those go hand-in-hand

My question was regarding the INR10 billion debt that we are raising. Is it mostly for BD, or is it related to this cash flow mismatch?

Keyur Shah

It's mainly for business development, Akash. Okay, okay. And sir, my second question is about our execution capability. Now we are launching like four projects simultaneously in three to four cities. Could you give us some understanding, like how we are building our execution strength in these four cities? So Akash, we did about 6 million square feet of construction last year. We are building 11 million this year, 35 million next year and then scaling up to 50 million. So the idea is, of course, we have, of course, expanded our team. We were about 300, 400 people. Now we're almost 700 plus, an

Sir, my first question is on the -- some of these developers are delivering fairly large projects in 3 to 4 years. And if I check our RERA delivery dates for some of our ongoing projects, I notice the delivery timeline is so stretched, like 5 years, 6 years. So, just wondering why this significant difference? Or is it the normal? Because it's not that we are seeing any challenges in sales. We are selling very fast and selling well. So why is it taking so much time to deliver a project, which is fairly sold out?

K. T. Jithendran

So, Biplab, I'll be very excited and eager to understand who these people are who are delivering 3 to 4 years. My data says very different. The kind of delivery that we are doing, we would like to believe, we are the fastest and among the best in the industry. Look at Worli, the time taken for all the deliveries which has happened for various projects. And I mean, look at ours. So I see a very different picture; we're ahead of most of the other competition here. But I'll be very keen to understand and also learn from the people who are delivering in 3 to 4 years, large projects, because I'm su

Just one query regarding the new Worli land parcel of 2.6 million square feet. So are we -- because for FY '25 to achieve precise growth, we should -- this project to be launched would be very much important. So, will this project be launched in '27? And if yes, then will it be in phases or the entire project? Just a view on that.

K. T. Jithendran

Yes. Good question, Ronald. So yes, so after the launch of Tower C, we are already in the planning for that phase. So we will then work on that, and hopefully, maybe that year or the year after that, we'll launch this. So we are now focusing on Tower C. Depending on how Tower C... It will go to '28. Yes. We would rather do it next year itself, but we will take that call once we see the performance of Tower C.

Thank you all for participating in this earnings con call. If you have any further questions or would like to know more about the company, please reach out to our IR managers at Valorem Advisors. Thank you so much, and good day.

Management

Speaking time

K. T. Jithendran

Moderator

Keyur Shah

Biplab Debbarma

Amit Srivastava

Akash Gupta

Dixit Doshi

Hitaindra Pradhan

Himanshu Jhaveri

R. K. Dalmia

Advertisement

Opening remarks

Karan Khanna

Thank you, moderator, and very good morning, everyone. And on behalf of Ambit Capital, I welcome you all to the 2Q and 1H FY26 earnings call of Aditya Birla Real Estate. In today's call, we have with us the management of the company represented by Mr. R.K. Dalmia, Managing Director, Aditya Birla Real Estate; Mr. K.T. Jithendran, Managing Director and CEO, Birla Estates; Mr. Snehal Shah, CFO, Aditya Birla Real Estate; and Mr. Keyur Shah, CFO, Birla Estates. Without further ado, let me hand over the call to Mr. Dalmia, post which, we can set the floor open for Q&A. Thank you, and over to you, sir.

R. K. Dalmia

Thank you, Karan. Good morning, everyone, and welcome to the earnings conference call for the second quarter and half year of the financial year 2026. As many of you know, at Aditya Birla Real Estate, we are in a strategic transformation shaping the company into one of India's most focused and future-ready real estate platforms. The broader macroeconomic environment in India has remained supportive during the quarter under review. India's GDP grew by 7.8% in the second quarter of calendar year 2025, exceeding expectations, prompting the Reserve Bank of India to revise its full-year growth outlook upward from 6.5% to 6.8%. Inflation eased to 7.21% in August 2025, supported by lower commodity prices and monetary easing. The stability of the Indian economy, underpinned by resilient domestic consumption and continued public capital expenditure, has reinforced positive sentiments across both the residential and commercial real estate segments. Under this backdrop, the Indian real estate mar

Advertisement

← All transcripts ABREL stock page →

Aditya Birla Real Estate Limited

Market Movers