Embassy Developments Limited announced its unaudited financial results for the quarter and nine months ended December 31, 2025, revealing significant losses across both standalone and consolidated operations. The Board of Directors approved these results at their meeting held on February 09, 2026, pursuant to Regulation 33 of the SEBI Listing Obligations and Disclosure Requirements Regulations.

Standalone Financial Performance

The company's standalone operations showed a marked deterioration in Q3FY26 performance compared to the previous year:

The company reported a standalone loss of Rs 739.63 millions for Q3FY26, a significant decline from the profit of Rs 28.97 millions recorded in the corresponding quarter of the previous year. Revenue from operations dropped dramatically by 86.3% to Rs 405.22 millions from Rs 2,948.33 millions in Q3FY25.

Nine-Month Performance Analysis

For the nine-month period ended December 31, 2025, the standalone results showed:

The nine-month period reflected similar challenges, with the company posting a loss of Rs 2,032.46 millions compared to a profit of Rs 3,114.68 millions in the corresponding period of the previous year.

Consolidated Financial Results

The consolidated financial performance for Q3FY26 demonstrated the broader impact across the group:

On a consolidated basis, the company reported a loss of Rs 2,337.17 millions for Q3FY26, significantly higher than the loss of Rs 265.47 millions in the corresponding quarter of the previous year.

Corporate Restructuring Impact

The financial results reflect the impact of a major corporate restructuring. The National Company Law Appellate Tribunal approved the scheme of amalgamation of Nam Estates Private Limited and Embassy One Commercial Property Developments Private Limited with Embassy Developments Limited on January 7, 2025, with the scheme becoming effective on January 24, 2025.

This transaction was treated as a reverse acquisition for financial reporting purposes, with Nam Estates as the accounting acquirer. The company allotted 609,105,999 equity shares of Rs 2 each to existing shareholders of Nam Estates and changed its name from Equinox India Developments Limited to Embassy Developments Limited.

Share Capital and Warrant Activities

During Q3FY26, the company received Rs 1,551.76 millions as share warrant money, with corresponding shares being allotted. However, certain warrant holders holding 47.53 million convertible warrants did not exercise their conversion rights within the prescribed period. Consequently, Rs 1,324.95 millions in upfront warrant subscription money was forfeited and transferred to Capital Reserve.

The paid-up equity share capital stood at Rs 2,780.07 millions as of December 31, 2025, compared to Rs 1,271.74 millions in the corresponding period of the previous year.

Legal Proceedings Update

The company faces ongoing legal proceedings related to a Corporate Insolvency Resolution Process initiated by the National Company Law Tribunal on December 9, 2025. However, the NCLAT stayed this process on December 11, 2025, pending appeal adjudication. The matter is scheduled for hearing on February 19, 2026. Management expects no material impact on the company's operations based on legal advice.

Regulatory Compliance

The results were submitted under Regulation 33 of the SEBI LODR Regulations, with the Board meeting commencing at 3:15 P.M. and concluding at 4:53 P.M. on February 09, 2026. The trading window for dealing in the company's securities remains closed until February 11, 2026, in compliance with insider trading regulations.

Embassy developments has successfully completed the allotment of non-convertible debentures worth ₹250 crores on January 30, 2026. The company's duly constituted board committee approved this significant fundraising initiative under the first tranche of a larger ₹400 crore issue through private placement.

Debenture Allotment Details

The allotment comprises 25,000 non-convertible debentures, each carrying a face value of ₹1,00,000. These Tranche A NCDs represent the first phase of the company's total planned issue size of ₹400 crores, executed in compliance with the Companies Act, 2013 and applicable regulatory frameworks.

Security Features and Terms

The debentures are structured as senior, secured, redeemable, unrated, and unlisted instruments. They carry an attractive coupon rate of 11% per annum, with quarterly interest payments scheduled after an initial moratorium period of 6 months. The securities are backed by a charge on identified assets of the company as per the Debenture Trust Deed.

Repayment Structure

The NCDs have a tenure of 42 months commencing from the end of the allotment month. The repayment schedule includes a principal moratorium of 4 quarters, followed by 10 equal installments. Embassy Developments retains flexibility for partial or full prepayment before maturity using surplus funds.

Regulatory Compliance

The allotment was conducted pursuant to Regulation 30 of the SEBI LODR Regulations and follows the disclosure requirements under SEBI circulars dated November 11, 2024 and December 31, 2024. The debentures will not be listed on any stock exchange, maintaining their private placement status.

This fundraising initiative represents Embassy Developments' strategic approach to capital management and provides the company with substantial resources for its operational and growth requirements.