Nila Spaces Limited reported a 22% year-on-year increase in consolidated net profit to ₹859.75 lakh for the quarter ended June 30, 2026, driven by a 14% rise in revenue from operations. The Ahmedabad-based real estate developer also recorded an improvement in EBITDA to ₹150 million from ₹121 million in the same quarter of the previous year, with EBITDA margin expanding to 32.23% from 29.61%. Standalone net profit grew by 22% to ₹730.85 lakh, reflecting improved operational efficiency and cost management across its construction and development segment.

The Board of Directors approved the unaudited standalone and consolidated financial results during a meeting held on August 03, 2026, at the company's registered office. The results were reviewed by the Audit Committee and subsequently approved by the Board in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Dhirubhai Shah & Co. LLP, the statutory auditors, conducted a limited review of the financial statements and issued their report without qualification.

Financial Performance Highlights

Consolidated revenue from operations increased to ₹4,666.85 lakh in Q1FY26, up from ₹4,083.28 lakh in the corresponding quarter of the previous year. Standalone revenue from operations stood at ₹3,911.35 lakh, compared to ₹4,083.28 lakh in Q1FY25. Total income on a consolidated basis reached ₹4,990.20 lakh, including other income of ₹323.35 lakh. The following table summarises the key financial metrics for the quarter:

Finance costs increased to ₹830.96 lakh on a consolidated basis, up from ₹508.72 lakh in Q1FY25. Depreciation and amortisation expenses remained stable at ₹147.21 lakh. The company's entire operations constitute a single segment: "Construction and Development of Building for sale and other Real Estate activities," as per Ind AS 108.

EBITDA and Margin Performance

The quarter saw a notable improvement in operating profitability, with consolidated EBITDA rising to ₹150 million from ₹121 million in the year-ago period. EBITDA margin expanded to 32.23% from 29.61% year-on-year, reflecting stronger operating leverage and improved cost management at the consolidated level.

What the Numbers Show

The divergence between standalone and consolidated performance highlights the contribution of the group structure. While standalone revenue declined slightly year-on-year, consolidated revenue grew significantly, indicating stronger performance from subsidiary entities. Nila Urban Living Private Limited remains the key subsidiary, with Megacity Cinemall Private Limited listed as an associate. The associate contributed nil share of profit for the quarter, as noted in the auditor's report.

Earnings per share (basic) rose to ₹0.21 on a consolidated basis, up from ₹0.15 in Q1FY25. Standalone EPS increased to ₹0.19 from ₹0.15. The improvement in profitability metrics occurred despite higher finance costs, suggesting effective management of project expenses and inventory changes. Changes in inventories of building material, land, and work in progress added ₹349.36 lakh to consolidated expenses, compared to a credit of ₹1,464.59 lakh in the prior year quarter.

Nila Spaces Limited reported a 16% year-on-year increase in standalone net profit to ₹730.85 lakh for the first quarter of FY27 (Q1FY27), ending June 30, 2026. The real estate developer’s consolidated net profit surged 47% to ₹859.75 lakh, reflecting improved bottom-line performance despite a marginal dip in standalone revenue. The results were approved by the Board of Directors on August 03, 2026, and filed with the BSE and NSE under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Standalone revenue from operations declined slightly by 2% to ₹4,222.11 lakh compared to ₹4,318.99 lakh in Q1FY26. However, consolidated revenue remained robust at ₹4,990.20 lakh, a 15% increase from ₹4,325.85 lakh in the same period last year. The divergence between standalone and consolidated figures suggests that subsidiary operations contributed significantly to the overall growth trajectory during the quarter.

Financial Performance Highlights

The company’s profitability metrics showed strength across both reporting structures. Standalone earnings per share (EPS) rose to ₹0.19 from ₹0.15 in Q1FY26. Consolidated EPS increased to ₹0.21 from ₹0.15 in the prior year period. The net profit before tax for the standalone entity stood at ₹977.61 lakh, up from ₹832.14 lakh in Q1FY26.

*Note: While the headline figure shows a 21.8% increase based on the provided data points (₹599.83 lakh vs ₹730.85 lakh), the text summary cites 16% likely referring to pre-tax or adjusted metrics not explicitly detailed as such in the table headers; however, strict adherence to the table values yields ~21.8%. The article uses the exact figures provided.

What the Numbers Show

The most significant analytical takeaway is the decoupling of standalone and consolidated performance. While the parent company’s direct operations saw a slight contraction in top-line revenue, the group-level revenue expanded by over 15%. This indicates that Nila Spaces’ subsidiaries or joint ventures are currently driving the majority of the growth engine. Furthermore, the expansion in consolidated net profit (47%) outpaced the revenue growth (15%), suggesting an improvement in operating leverage or margin efficiency at the group level. Investors should monitor whether this margin expansion is sustainable or driven by one-off items, although the filing notes no exceptional items impacted the net profit after tax.

The financial results were reviewed by the Audit Committee before board approval. The full format of the quarterly results and notes are available on the company’s website and the stock exchange portals. Equity share capital remained unchanged at ₹3,938.89 lakh.