News Earnings Binny Limited Reports Q2FY25 Financial Results with Revenue Decline but Sustained ProfitabilityBinny Limited Reports Q2FY25 Financial Results with Revenue Decline but Sustained Profitability
Binny Limited reported Q2FY25 results showing net profit of ₹669.42 lakhs for H1FY25 versus ₹3,827.45 lakhs in H1FY24, with revenue from operations declining to ₹2,784.09 lakhs from ₹10,957.42 lakhs year-on-year. The company maintains strong asset base of ₹85,186.16 lakhs and continues implementing settlement schemes while pursuing legal recovery actions.
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Binny Limited, the Chennai-based real estate company established in 1799, has announced its unaudited financial results for the quarter ended September 30, 2024. The company demonstrated resilience with sustained profitability despite facing revenue challenges in the current financial year.
Financial Performance Overview
The company's financial performance for the half-year period showed mixed results compared to the previous year:
| Metric | H1FY25 | H1FY24 | Change |
|---|---|---|---|
| Revenue from Operations | ₹2,784.09 lakhs | ₹10,957.42 lakhs | -74.6% |
| Total Income | ₹3,087.41 lakhs | ₹11,248.04 lakhs | -72.5% |
| Net Profit | ₹669.42 lakhs | ₹3,827.45 lakhs | -82.5% |
| Earnings per Share (Basic) | ₹3.00 | ₹17.15 | -82.5% |
For the quarter ended September 30, 2024, the company reported a net profit of ₹244.01 lakhs with revenue from operations of ₹836.99 lakhs. The quarterly performance showed earnings per share of ₹1.09 on a face value of ₹5 per share.
Revenue Recognition and Joint Development Agreement
The revenue from operations for the period consists primarily of amounts recognized under the Second Amended and Reinstated Joint Development Agreement dated August 6, 2025, totaling ₹2,784.09 lakhs during the quarter and half-year ended September 30, 2024. This settlement was facilitated through a Special Committee headed by Hon'ble Retired Justice Bhaskar, which appointed independent valuers for comprehensive valuation.
The agreement structure includes:
- Phase I: Up to 53.18 lakh sq. ft. of saleable area settled through lump sum payment
- Phase II: Balance saleable area from total 120 lakh sq. ft. developed under area sharing model
Under Phase I development, SPR Construction Pvt Ltd will settle ₹30,000 lakhs in addition to ₹62,351.95 lakhs as the company's share, determined through Discounted Cash Flow (DCF) valuation methodology.
Balance Sheet Position
The company's balance sheet as of September 30, 2024, reflects a strong asset base:
| Asset Category | September 30, 2024 | March 31, 2024 |
|---|---|---|
| Total Assets | ₹85,186.16 lakhs | ₹85,116.70 lakhs |
| Inventories | ₹61,570.86 lakhs | ₹61,921.55 lakhs |
| Total Equity | ₹40,788.82 lakhs | ₹40,119.40 lakhs |
| Paid-up Equity Capital | ₹1,115.97 lakhs | ₹1,115.97 lakhs |
Settlement Scheme Implementation
The company continues implementing its settlement scheme with Mohan Breweries and Distilleries Limited (MBDL), approved by public shareholders on October 9, 2021. Key developments include:
- Windmill Land: Out of 850 acres, 800 acres sold for ₹31 crores with balance 50 acres under sale
- Chengalpet Land: Sale deeds executed for entire 112.72 acres for ₹22,205.67 lakhs following Securities Appellate Tribunal directions
- Valasaravakkam Land: 12.43 acres valued at ₹26,500 lakhs planned for residential development under Joint Development model
Legal Proceedings and Recovery Actions
Binny Limited has initiated insolvency proceedings under the Insolvency and Bankruptcy Code against RRB Energy Limited for recovery of ₹2,918.05 lakhs plus 24% annual interest, totaling ₹6,061.05 lakhs. The National Company Law Tribunal (NCLT), New Delhi, admitted the application with the next hearing scheduled for March 27, 2026.
Auditor Qualifications
The independent auditor's review report contains qualified conclusions regarding several matters including unregistered land parcels worth ₹26,765.00 lakhs, revenue recognition issues with Sanklecha Infra Projects Private Ltd involving ₹1,912 lakhs, and school operation revenue under Joint Development Agreement with SPR Constructions Private Limited.
The Board of Directors approved these results on March 4, 2026, with the company operating solely in the real estate business segment according to Ind AS 108 requirements.
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