Cube Highways Trust reported a 28% year-on-year increase in revenue from operations to ₹4,239 crore for the financial year ended March 31, 2026, driven by strong traffic growth across its portfolio. The Net Asset Value (NAV) per unit rose to ₹145.8, up from ₹142.7 in the previous quarter, supported by operational efficiency and robust toll collections. The Investment Manager, Cube Highways Fund Advisors Private Limited, announced these figures during an investor call held on May 27, 2026.

Financial Performance and Distribution

The Trust’s total consolidated income stood at ₹4,359 crore, with EBITDA growing by approximately 30% year-on-year to ₹3,092 crore. Average Daily Collection in Q4 was ₹9.95 crore. The board declared a distribution of ₹3.57 per unit for Q4, taking the total annual distribution to ₹13.77 per unit, the highest since listing. Cumulative distributions since listing reached ₹34.86 per unit, delivering a total return of ₹77.09 per unit over three years.

Operational Highlights and Portfolio Expansion

Traffic growth for the full year was 8.1% year-on-year, translating to a 10.6% increase in toll revenue, outperforming projected revenue by 3.2%. The Trust has signed definitive agreements to acquire 3 toll and 1 annuity asset from its sponsor, with an aggregate enterprise value of ₹7,292.5 crore. This acquisition is expected to improve NAV by over ₹3.0 per unit and reduce Net debt to AUM to 44.8% on a pro-forma basis. Additionally, the Trust has filed a Draft Offer Document with SEBI to transition to a public InvIT, proposing an Offer for Sale of ₹5,000 crore.

Debt Profile and Future Outlook

The weighted average cost of debt improved by 66 basis points to 7.53% due to the issuance of fixed-rate instruments. The portfolio maintains a AAA rating from CRISIL, ICRA, and India Ratings. For FY27, the Trust has moderated its GDP growth assumption to 6.5% and projects traffic growth of 3%, with expected toll revenue growth of around 6.4% across 17 assets. The Trust has also negotiated a Right of First Offer (ROFO) for three additional sponsor assets with aggregate FY25 revenues of approximately ₹880 crore.

Cube Highways Trust has appointed Ernst & Young LLP as its internal auditor and Ernst & Young Merchant Banking Services LLP as its valuer for the financial year 2026-27. The appointments were approved by the board of Cube Highways Fund Advisors Private Limited, acting as the investment manager to the trust, during a meeting on May 27, 2026. The decision to appoint Ernst & Young Merchant Banking Services LLP as valuer is subject to approval by the unitholders at the ensuing annual meeting of the InvIT.

The board's decision follows recommendations from the Audit Committee and consultations with Axis Trustee Services Limited, the trustee of the InvIT. The appointments were made in compliance with the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014, and the Securities and Exchange Board of India (Listing Obligations & Disclosure Requirements) Regulations, 2015.

Ernst & Young LLP, bearing LLP Registration No AAB-4343, has been appointed as the internal auditor for FY 2026-27. Ernst & Young Merchant Banking Services LLP, holding IBBi registration number IBB I/RV- E/05/2021/155, will serve as the valuer for the same period, pending unitholder approval.

The following table details the appointments made:

Axis Trustee Services Limited is the designated trustee for the InvIT, while Catalyst Trusteeship Limited serves as the debt security trustee. The compliance officer and company secretary for Cube Highways Fund Advisors Private Limited is Richa Gupta Rohatgi.