3 hours ago
1
The shares of this realty stock took a beating on Monday, August 6, plunging nearly 7 per cent to Rs 677.45 apiece despite reporting a robust two-fold rise in its net profit for the June 2025 quarter. The sharp fall comes amid concerns over slowing bookings, falling margins, and sustained pressure on collections.
Stock under pressure post listing
Raymond Realty, which was demerged from Raymond Ltd and listed in May 2025, has been underperforming since its debut. The stock has corrected over 25 per cent in the last one month, and nearly 32 per cent in the last six months, reflecting weak investor confidence despite positive earnings growth.
Raymond Realty Q1FY26 Earnings
-
Net profit: Rs 16.5 crore (vs Rs 7.4 crore YoY)
-
Revenue: Rs 374.4 crore (vs Rs 129.6 crore YoY)
-
EBITDA: Rs 24 crore (vs Rs 17.1 crore YoY)
-
EBITDA margin: 6.4% (down from 13.2%)
The company delivered strong topline and bottomline growth, but the sharp fall in operating margins raised concerns. The EBITDA margin nearly halved due to higher input and operational costs, denting profitability.
Booking value and collections decline
-
Booking value: Rs 306 crore (vs Rs 611 crore YoY)
-
Collections: Rs 374 crore (vs Rs 483 crore YoY)
The slowdown in bookings and collections stemmed from limited ready inventory, especially in mature projects, which capped the company’s near-term revenue visibility.
“Our performance this quarter was in line with our expectations, reflecting sales moderation owing to low inventory levels in mature projects; a steady progress in launching new ones in H2,” said Harmohan Sahni, Managing Director, Raymond Realty.
While Raymond Realty's Q1FY26 results show strong revenue and profit growth, the stock is being punished for weak margins and slowing operational metrics. With upcoming launches expected in the second half of the year, investors may watch for improvement in booking momentum and cost efficiencies before turning bullish again.
English (US) ·