Arkade Developers , a prominent real estate company, has reported a significant insider transaction involving its promoter and Managing Director, Amit Mangilal Jain. The company disclosed that Jain has increased his stake in the firm through a substantial share acquisition.

Transaction Details

Amit Mangilal Jain acquired 100,000 equity shares of Arkade Developers, representing 0.05% of the company's total paid-up capital. The shares were purchased through market acquisition on the National Stock Exchange at an average price of Rs. 179.77 per share. The total transaction value amounted to Rs. 17,977,000.00.

Impact on Shareholding

Following this acquisition, Jain's shareholding in Arkade Developers has increased from 66.60% to 66.65% of the company's equity. This move demonstrates the promoter's confidence in the company's future prospects and aligns his interests further with those of other shareholders.

Regulatory Compliance

The transaction was executed in compliance with the Securities and Exchange Board of India (SEBI) regulations. Arkade Developers promptly filed the necessary disclosures under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, and Regulation 7(2) read with Regulation 6(2) of the SEBI (Prohibition of Insider Trading) Regulations, 2015.

Company Secretary Statement

Sheetal Solani, Company Secretary and Compliance Officer of Arkade Developers, confirmed the transaction details in official communications to both the BSE Limited and the National Stock Exchange of India Limited.

This insider buying activity often signals management's positive outlook on the company's valuation and future performance. However, investors are advised to conduct their own research and consider multiple factors before making investment decisions.

Arkade Developers continues to be a notable player in the real estate sector, with its promoter demonstrating increased commitment through this latest share acquisition.

Arkade Developers Limited, a prominent real estate developer in Mumbai Metropolitan Region (MMR), has reported robust financial performance for Q1, marked by significant revenue growth and strategic expansion plans.

Financial Highlights

• Revenue surged to Rs. 165.00 crores, a 32% year-on-year increase from Rs. 126.00 crores in the same quarter of the previous year.
• Pre-sales reached a record high of Rs. 142.00 crores, up 17% year-on-year.
• Collections rose to Rs. 170.00 crores, showing a substantial 42% year-on-year growth.
• EBITDA stood at Rs. 34.00 crores with a 22% margin.
• Profit After Tax (PAT) was Rs. 29.00 crores, maintaining a 17% margin.

Maiden Interim Dividend

In a move to enhance shareholder value, the Board of Directors has declared a maiden interim dividend of 10%. Notably, the company's promoters have chosen to forego their dividends, further reinforcing their commitment to shareholder interests.

Strategic Expansions

Arkade Developers has made significant strides in expanding its project portfolio:

1. Filmistan Property Acquisition: The company has acquired a prominent four-acre land parcel in Goregaon West, currently leased to Filmistan Private Limited. This project has a projected Gross Development Value (GDV) of Rs. 3,200.00 crores and will mark Arkade's entry into the uber-luxury segment.

2. Thane Market Entry: Arkade has strategically entered the Thane market by acquiring land parcels, targeting a GDV of Rs. 2,000.00 crores.

Operational Performance

• The company achieved its highest-ever pre-sales of Rs. 142.00 crores, up 17% year-on-year.
• Collections reached Rs. 170.00 crores, reflecting a 42% increase.

Market Outlook and Strategy

The management expects major revenue acceleration when the Filmistan and Thane projects become operational. While EBITDA margins declined due to increased competition in redevelopment projects and plateaued property price appreciation, management expects margins to improve through the year.

Conclusion

Arkade Developers Limited's quarterly results demonstrate the company's resilience and strategic positioning in the competitive MMR real estate market. With a strong project pipeline and focus on premium housing segments, Arkade is well-positioned to capitalize on the evolving consumer preferences for aspirational living spaces in Mumbai's high-demand areas.