Sobha (SOBHA) Q4 25/26 earnings summary

Executive summary

• Achieved record real estate sales of INR 8,136 crore (₹81.36 Bn) in FY26, with 30% year-over-year growth and Bangalore and NCR contributing 85% of sales.

• Expanded into new markets, including Greater Noida and Mumbai, now operating in 13 cities across 8 states.

• Delivered 3,188 homes (5.4 million sq ft), up 19% year-over-year.

• Maintained a net-debt negative position, strengthening the balance sheet.

• Audited standalone and consolidated financial results for FY26 were approved, with unqualified audit opinions.

Financial highlights

• FY26 total revenue was INR 5,384 crore (₹53.84 Bn), up 29.3% year-over-year; Q4 income at INR 230 crore.

• EBITDA for FY26 was INR 503 crore (₹5.03 Bn, 9.3% margin); PAT was INR 193 crore (₹1.93 Bn, 3.6% margin), up 104% year-over-year.

• Net operating cash flow for FY26 was INR 1,637 crore (₹16.37 Bn), up 39.4% year-over-year.

• Gross debt reduced to INR 1,002 crore (₹10.02 Bn); cash and equivalents at INR 1,800 crore (₹18.02 Bn), resulting in a net cash position.

• Standalone net profit for FY26 was ₹3,013.09 million; consolidated net profit was ₹1,934.08 million.

Outlook and guidance

• Expect to maintain 30% sales growth in FY27, with a plan to launch 10 million sq ft and a pipeline of 20.67 million sq ft over the next 6-8 quarters.

• Projected revenue to be recognized from sales as of March 31, 2026, stands at ₹186.47 Bn.

• EBITDA margin for unrecognized revenue expected at 30%+; projects nearing completion to deliver 24-26% margins.

• FY27 net operating cash flow targeted at close to INR 2,000 crore.

• Long-term growth to be driven by Bangalore, NCR, Hyderabad, and Mumbai.