Grovy India Limited reported a net profit of ₹190.11 lakh for the first quarter ended June 30, 2026, marking a 73% increase from ₹109.69 lakh in the corresponding period of the previous year. This significant profitability improvement was driven by a robust surge in revenue from operations, which rose to ₹2,749.93 lakh from ₹825.36 lakh in Q1FY26, primarily due to strong performance in its Realty Division. The growth underscores effective project execution and heightened demand in the construction sector during the period.

The Board of Directors approved the unaudited financial results at a meeting held on July 23, 2026, in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Ajay Rattan & Co., the statutory auditors, issued a limited review report stating that nothing came to their attention to suggest the financial statements contained material misstatements or failed to comply with Ind AS 34. The figures for the quarter ended March 31, 2026, are balancing figures between audited full-year figures and unaudited year-to-date figures up to December 31, 2025.

Financial Performance

Revenue from the sale of constructed properties and other development activities rose sharply to ₹2,749.93 lakh from ₹825.36 lakh in Q1FY26. Other income increased slightly to ₹8.50 lakh from ₹4.29 lakh in the prior year quarter. Total expenses stood at ₹2,504.38 lakh, compared to ₹682.60 lakh in Q1FY26, largely due to higher cost of land and constructed properties offset by changes in inventory. Profit before tax reached ₹254.05 lakh, up from ₹147.06 lakh.

Earnings per share (basic) were ₹1.43, up from ₹0.82 in Q1FY26. Total comprehensive income for the period was ₹199.06 lakh, including a net gain of ₹8.95 lakh from other comprehensive income items such as fair value changes in FVOCI equity instruments.

Segment-wise Results

The Realty Division contributed ₹2,749.93 lakh to segment revenue, compared to ₹825.36 lakh in Q1FY26. The division’s earnings before interest and tax (EBIT) were ₹292.71 lakh, up from ₹168.15 lakh in the previous year. The Trading of Securities segment recorded no revenue in Q1FY27, having generated ₹4.04 lakh in Q1FY26.

Segment assets for the Realty Division increased to ₹8,579.55 lakh from ₹5,275.58 lakh in Q1FY26, reflecting ongoing project investments. Total segment liabilities rose to ₹6,171.98 lakh from ₹3,234.34 lakh in the same period last year.

Strategic Outlook and Sequential Growth

According to the investor presentation released alongside the results, Grovy India delivered strong sequential performance in Q1FY27. Revenue grew 249.40% quarter-on-quarter (QoQ) from ₹789.48 lakh in Q4FY26, while Profit After Tax (PAT) rose 114.02% QoQ from ₹88.82 lakh. EBITDA grew 80.84% QoQ to ₹277.23 lakh. Annualized Return on Equity (ROE) improved to 7.59% (+3.74 percentage points QoQ), and annualized Return on Capital Employed (ROCE) improved to 4.86% (+1.69 percentage points QoQ).

Chairman PC Jalan highlighted strong demand in the South Delhi real estate market, describing it as a resilient premium residential market with strong long-term potential. The company noted its strategic collaboration with Golden Growth Fund and believes it is well-positioned to achieve a 2-3x increase in project development over the next few years. Three new premium residential projects totaling approximately 50,000 sq. ft were acquired in Q1FY27 across South Delhi.

What the Numbers Show

The significant rise in revenue and profit is almost entirely attributable to the Realty Division, which accounted for over 99% of total revenue. The increase in segment assets and liabilities suggests active project development and potential leverage usage to fund these initiatives. While trading activities remained dormant, the core construction business demonstrated substantial growth momentum in Q1FY27. The strong sequential growth in PAT and EBITDA, coupled with improved ROCE, indicates enhanced capital efficiency and operational scalability as the company executes its pipeline in high-value micro-markets like Greater Kailash, Hauz Khas, and Defence Colony.

Grovy India Ltd shareholders approved a final dividend of ₹0.1 per share for the financial year ended March 31, 2026, at its 41st Annual General Meeting held on July 08, 2026. The meeting, conducted via video conferencing, sanctioned key corporate actions including a preferential allotment of equity shares and the re-appointment of senior management. These decisions underscore the company's focus on capital restructuring and shareholder returns as outlined in its growth plans for the real estate sector.

The Board of Directors presented the financial results for FY 2025-26, which were adopted by the shareholders. Alongside the financial statements, the members approved the re-appointment of Mrs. Anita Jalan as a director liable to retire by rotation. The meeting also authorized the appointment of Mr. Prakash Chand Jalan as Managing Director cum Chairperson for a period of five years effective from June 12, 2026, and Mr. Ankur Jalan as a Non-Executive Director.

A significant outcome of the AGM was the approval to increase the authorized share capital of the company and alter the capital clause of the Memorandum of Association. Consequently, the shareholders sanctioned the issuance of up to 41,69,433 equity shares on a preferential basis to proposed allottees. This move is expected to bolster the company's capital base to support its future expansion initiatives.

The remote e-voting facility, provided by CDSL, was open from July 05, 2026, to July 07, 2026, allowing shareholders to cast their votes electronically. E-voting was also available during the meeting and for 30 minutes after its conclusion. The meeting, which commenced at 03:00 PM and concluded at 03:22 PM, was attended by 20 shareholders, including four from the promoter group and 16 from the public.

Resolutions Passed at the 41st AGM

The proceedings were overseen by Mr. Akshit Gupta, serving as the Scrutinizer, to ensure transparency. Key attendees included Mr. Nishit Jalan, Chief Financial Officer, and representatives from the statutory auditor Ajay Rattan & Co. and the secretarial auditor M/s APMG & Associates. The combined results of the remote e-voting and the AGM e-voting are scheduled to be announced on or before July 10, 2026.