Shriram Properties has submitted its Business Responsibility and Sustainability Report (BRSR) for FY26 to the stock exchanges. The filing, signed by Company Secretary K. Ramaswamy on September 3, 2026, discloses key operational metrics and sustainability initiatives for the period ending March 31, 2026.

Financial and Operational Overview

The company reported a consolidated turnover of ₹1,26,741 lakh for FY26, up from ₹82,344 lakh in the prior year. Standalone turnover stood at ₹19,398 lakh. The entity operates across five states with six offices and manages 23 sites under construction or development.

What the Numbers Show

Energy intensity improved significantly alongside revenue growth. Total energy consumption from non-renewable sources rose marginally from 20,747 GJ in FY25 to 21,460 GJ in FY26. However, because turnover expanded by over 54%, the energy intensity per rupee of turnover fell sharply from 0.252 GJ/₹ lakh to 0.169 GJ/₹ lakh. This divergence indicates that the company scaled its operational output more efficiently than its energy usage during the year.

Environmental Metrics

The company reported total Scope 1 and Scope 2 greenhouse gas emissions of 3,618 metric tonnes of CO2 equivalent in FY26. Scope 1 emissions increased to 319 metric tonnes from 188.35 metric tonnes, while Scope 2 emissions declined to 3,299 metric tonnes from 3,538.07 metric tonnes. Water withdrawal remained entirely from third-party sources, totaling 1,06,203 kiloliters.

Human Capital and Governance

As of March 31, 2026, the company employed 663 permanent staff, comprising 488 males and 175 females. An additional 2,400 to 3,000 workers were engaged through contractors across project sites. The employee turnover rate for permanent staff decreased to 24.92% in FY26, down from 26.85% in FY25 and 39.10% in FY24.

The board consists of six directors, with one female director representing 16.66% of the composition. No fines, penalties, or regulatory actions were recorded during the financial year. The company reported 1,254 customer complaints received, with only eight pending resolution at year-end, compared to 1,915 received and 114 pending in FY25.

Shriram Properties has uploaded the transcript of its investor conference call to its website and stock exchanges. The session was held on Thursday, August 13, 2026, to discuss the company's unaudited financial results for the quarter ended June 30, 2026 (Q1FY27). The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

The company reported strong operational momentum in Q1FY27, achieving its highest-ever quarterly sales of ₹484 crore, up 10% year-on-year. Sales volume reached 0.85 million square feet, a 4% increase. Collections stood at ₹365 crore, up 8% YoY, supported by execution and handovers.

From a financial perspective, revenue was recognized at ₹271 crore, up 4% YoY. This growth did not fully reflect underlying momentum due to the timing of handovers and limited new projects reaching the Occupancy Certificate (OC) milestone in Q1. Gross profit was ₹56 crore, with EBITDA at ₹42 crore and PAT at ₹11 crore. Management noted that muted margins were largely driven by product mix, with around 40% of revenue coming from relatively lower-margin legacy projects in Kolkata.

Operational Highlights

Shriram Properties launched three projects during the quarter: Shriram Stellar in Chennai, Shriram Southbrook in Kolkata, and a new phase at Green Meadows in Chennai. These launches totaled approximately 0.9 million square feet.

• Shriram Stellar: A premium residential offering in Chennai. Approximately 20% of the project was sold during the launch weekend.
• Shriram Southbrook: A branded plotted development in Kolkata. Around 55% of the inventory was sold within the first 30 days, validating the product positioning.

The company handed over 690 units during the quarter. Management highlighted that the amicable resolution with the Government of West Bengal achieved in FY26 is now translating into monetization opportunities and accelerated launches in Kolkata.

Balance Sheet and Cash Flow

The company generated free cash flow before new project investments of ₹135 crore. After investing ₹88 crore in new projects, net free cash flow stood at ₹47 crore. Closing cash balance improved to ₹219 crore.

Gross external debt as of June 30, 2026, was ₹651 crore, resulting in a net debt of ₹432 crore. Net debt to equity remained at a healthy level of 0.29x. The company's equity stood at ₹1,471 crore, supported by a CRISIL A- (positive) credit rating. Cost of debt is around 11%, benefiting from reductions in benchmark rates.

Pipeline and Outlook

Shriram Properties maintains a robust project pipeline of 33.7 million square feet, comprising 16 million sq ft of ongoing projects and 17.7 million sq ft of upcoming projects. The total GDV potential of the current pipeline is approximately ₹13,530 crore.

For FY27, the company plans to launch approximately 6 million square feet across Bengaluru, Chennai, Pune, and Kolkata. Revenue visibility is strong for the second half of the year, with over 2,900 units representing more than ₹1,560 crore of revenue potential scheduled for handover and recognition in the balance of FY27.

Management reaffirmed its FY28 mission targets: sales value of ₹5,000 crore, revenue of ₹2,500 crore, and PBT of ₹250 crore. CEO Gopalakrishnan stated that the PBT margin is expected to stabilize around 10% by FY28, driven by product mix changes and premiumization strategies.

What the Numbers Show

The divergence between sales growth (10%) and revenue growth (4%) highlights the typical lag in real estate revenue recognition, which depends on project completions rather than bookings. However, the strong cash generation (₹135 crore FCF before investment) and low net debt-to-equity ratio (0.29x) indicate that the company is funding its aggressive pipeline expansion (adding 0.7 million sq ft in Q1 alone) primarily through internal cash flows rather than excessive leverage. This balance sheet strength supports management's confidence in achieving higher-margin revenue recognition in H2FY27 as legacy low-margin projects are replaced by newer, premium offerings.