Modis Navnirman Ltd company name reported a 25.81% year-on-year increase in profit after tax (PAT) to ₹8.54 crore for the first quarter of FY27. Revenue from operations climbed 27.92% to ₹58.26 crore, driven by accelerated sales momentum and the completion of key projects. The Mumbai-based real estate developer also secured a new redevelopment project, Neel Kiran Society in Santacruz West, marking its expansion into the Khar micro-market beyond its traditional western suburbs stronghold.

The results were filed pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. During the earnings conference call held on August 10, 2026, management highlighted that the company follows the percentage-of-completion method under Ind AS for revenue recognition. The unaudited consolidated financial statements reflect steady progress on ongoing projects and enhanced future revenue visibility from the expanded pipeline.

Financial Highlights

Revenue grew sequentially by 13.15% over Q4 FY26, while EBITDA expanded sharply by 54.13% quarter-on-quarter to ₹11.65 crore. Although EBITDA margin contracted slightly year-on-year from 22.33% to 19.83%, it improved significantly from 13.93% in the preceding quarter. PAT margin also recovered to 14.54% from 8.20% in Q4 FY26.

Operational Progress and Pipeline Expansion

Operational momentum accelerated with area sold surging 780% year-on-year to 44,000 sq. ft. in Q1 FY27. Construction advanced steadily across six ongoing projects:

• Rashmi Square reached the 22nd slab, with approximately 80% of inventory booked.
• Rashmi Signature completed its 20th slab, with 65%-70% of inventory booked.
• Rashmi Delight completed its 14th slab, with around 40% sold.
• Rashmi Manorath completed its 13th slab, with 20%-25% sold.
• Rashmi Icon and Rashmi Avenue remain at the plinth stage.

The company secured the Neel Kiran Society project in Santacruz West during the quarter. This brings its upcoming pipeline to five projects totaling 10.50 lakh sq. ft., with a gross development value (GDV) exceeding ₹800 crore. This complements its existing portfolio of six ongoing projects (12.11 lakh sq. ft.) and 14 completed projects (7.22 lakh sq. ft.), creating a total pipeline of 25 premium residential projects across Mumbai and adjoining regions.

Management indicated that Rashmi Paradise will commence this quarter, followed by Rashmi Gold and Sheetal in Q3, and the Khar project in Q4. The Rashmi Govind Dalvi project remains on hold due to government stays in the area. The company is also evaluating opportunities in Parle and Ghatkopar but has not finalized any deals.

What the Numbers Show

The divergence between revenue growth (27.9%) and EBITDA growth (14.3%) year-on-year indicates a temporary compression in operating margins. Management attributed this primarily to cost pressures during the quarter, citing material and labor shortages linked to geopolitical tensions. However, the sequential recovery in both EBITDA and PAT margins suggests that operational efficiencies are stabilizing as these external factors subside. The massive 780% jump in area sold points to successful marketing execution, which should translate into sustained revenue recognition in subsequent quarters as units are handed over or payments are realized. Mahek Dinesh Modi, Whole Time Director & CFO, emphasized that the asset-light redevelopment model keeps land costs low, preserving capital for construction and ensuring timely delivery, which drives word-of-mouth brand equity.

modi's navnirman reported a 27% year-on-year increase in standalone net profit to ₹861.14 lakh for the quarter ended June 30, 2026, driven by higher revenue from operations and improved operational efficiency. Revenue from operations rose 28% to ₹5,825.89 lakh, compared to ₹4,554.20 lakh in Q1FY25, while EBITDA grew to ₹1,168.17 lakh from ₹1,019.75 lakh in the same period last year.

The Board of Directors approved the unaudited standalone and consolidated financial results on August 7, 2026, pursuant to Regulation 30 and Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were reviewed by the Audit Committee and subsequently approved by the Board. Statutory auditors D G M S & Co. issued an unmodified limited review report on the financial statements.

Financial Performance Highlights

The company’s financial performance reflects strong growth in core operations, with revenue expansion outpacing cost increases. Other income declined significantly to ₹49.39 lakh from ₹279.18 lakh in the previous quarter, but this was offset by lower finance costs and stable employee benefit expenses.

Consolidated net profit stood at ₹858.07 lakh, compared to ₹679.09 lakh in Q1FY25. Consolidated revenue from operations remained at ₹5,825.89 lakh, with consolidated EBITDA at ₹1,165.10 lakh. The subsidiary, Modi's Navnirman Foundation, contributed negligible revenue of ₹0.04 lakh during the quarter.

Key Developments

The company migrated from the SME Platform to the Main Board of the Stock Exchange effective November 14, 2025, following shareholder approval. It has adopted Indian Accounting Standards (Ind AS) with effect from April 1, 2025, with comparative figures restated under Ind AS 101. The Ministry of Corporate Affairs approved the Scheme of Merger/Amalgamation on October 16, 2025, effective from April 1, 2025.

What the Numbers Show

The divergence between revenue growth (28%) and expense growth (33%) indicates pressure on operating margins, though EBITDA growth at 15% suggests some cost control measures are taking effect. The sharp decline in other income from ₹279.18 lakh in Q4FY26 to ₹49.39 lakh in Q1FY26 highlights that the profit growth is primarily driven by core operations rather than non-operating income, signaling sustainable earnings quality.