Kalpataru Limited has announced its unaudited financial results for the quarter and nine months ended December 31, 2025, following the board meeting held on February 06, 2026. The company presented a mixed performance with standalone operations showing improvement while consolidated results reflected challenges. Additionally, the board approved significant fund raising through Non-Convertible Debentures.

Board Approves ₹350 Crore NCD Issuance

The board meeting, which commenced at 3:40 p.m. and concluded at 7:30 p.m., approved fund raising initiatives through issuance of Non-Convertible Debentures:

Security and Guarantee Structure

The NCDs will be secured through comprehensive security arrangements:

Standalone Financial Performance

The company's standalone operations demonstrated a turnaround in Q3FY26 compared to the previous year:

For the nine months ended December 31, 2025, standalone operations reported a net loss of ₹1,502 lakhs compared to a profit of ₹699 lakhs in the corresponding period of the previous year.

Consolidated Financial Results

The consolidated financial performance showed different trends with higher operational scale but increased losses:

For the nine-month period, consolidated operations reported a net loss of ₹11,391 lakhs compared to a profit of ₹442 lakhs in the previous year.

Exceptional Items and Employee Benefits

Both standalone and consolidated results included exceptional items related to new Labour Codes notified by the Government of India on November 21, 2025. The impact was ₹174 lakhs for standalone operations and ₹770 lakhs for consolidated operations, primarily affecting gratuity and leave encashment provisions due to revised wage definitions.

The company granted 15,94,100 employee stock options under the ESOS 2024 scheme at an exercise price of ₹306 per option. The utilization of IPO proceeds showed ₹1,55,863 lakhs utilized out of ₹1,59,000 lakhs, with ₹3,137 lakhs remaining unutilized.

Kalpataru has reported mixed performance metrics for Q3, with the company experiencing divergent trends across key operational parameters. The real estate developer's quarterly results highlight both challenges and strengths in different aspects of its business operations.

Q3 Performance Overview

The company's Q3 performance presents a tale of two metrics, with pre-sales facing headwinds while collections demonstrated robust growth. This mixed performance reflects the current market dynamics and the company's operational execution capabilities.

Pre-sales Performance Analysis

Kalpataru's pre-sales registered a 14% decline on a year-on-year basis during Q3. This downturn in pre-sales indicates softer demand conditions in the market segments where the company operates. The decline suggests that new customer acquisitions and booking momentum faced challenges during the quarter.

Collections Show Strong Growth

Despite the pre-sales decline, Kalpataru demonstrated strong performance in collections, which grew by 17% year-on-year in Q3. This significant improvement in collections indicates effective cash flow management and successful realization of receivables from existing customers. The robust collections growth also suggests improved customer payment patterns and the company's enhanced collection processes.

Business Implications

The contrasting performance between pre-sales and collections reflects different aspects of Kalpataru's business cycle. While the pre-sales decline may indicate near-term demand challenges, the strong collections growth demonstrates the company's ability to convert existing bookings into cash flows effectively. This performance pattern suggests that while new business generation faced headwinds, the company maintained strong execution on its existing project portfolio and customer commitments.