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Earnings Call Transcript

Embassy Developments Earnings Call Transcript: Key Takeaways

Management is attempting to pivot the narrative from legacy Indiabulls losses to future Embassy-branded launches. Reported losses and high debt levels remain significant execution risks.

Guidance and delivery
Management target Revenue FY27
Highlights
Revenue growthRevenue hit by 50% QoQ; 9M FY26 income at 1,495 Cr.
MarginsNegative EBITDA due to legacy cost drag; new project margins 47%.
Order bookGDV of 19,000 Cr in launch pipeline; presales guiding 5,000 Cr.
Demand visibilityStrong traction in Bengaluru core market and premium Mumbai luxury segments.
Management confidenceHighly optimistic, using brand equity to mask current reported financial losses.

Growth

Q3 presales reached 1,392 Cr, up 240% QoQ, but earnings are masked by legacy Indiabulls project costs.

Outlook

Targeting 5,000 Cr presales for FY26 and 41,000 Cr GDV launches over next three years.

Risks

High net institutional debt of 3,700 Cr and persistent legacy project losses hitting the P&L.

Last quarter's promises, checked

Delivered

  • FY26 Presales Guidance 5,000 Cr → delivered 4,631 Cr (~93% achieved) (= BEAT)
  • Launch GDV 16,300 Cr → delivered 16,300 Cr across 6 launches (= BEAT)
  • Net Debt Target 3,000 Cr → delivered 3,000 Cr (= BEAT)

Partly delivered

  • FY26 Collections Guidance → delivered 1,673 Cr (marginal shortfall vs implied run-rate) (= PARTIAL)

Missed

  • Bangalore Launch Timeline → delivered Delayed to Q1 FY27 (= MISS)
Source

Earnings Call Transcript filed with BSE, NSE: EMBDL. Summary written with AI assistance from the document.

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Embassy Developments Ltd: key numbers

Share price
₹58.07
Market cap
₹8,075 Cr
Revenue (annual)
₹1,732 Cr
Net profit (annual)
₹-872.6 Cr
P/E (TTM)
-8.6×Sector 35.8×
Promoter holding
42.65%+0.00% QoQ
FII holding
23.43%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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Embassy Developments Debt & Borrowing: ₹105 Cr

Embassy Developments allotted secured, unlisted non-convertible debentures aggregating to Rs. 105 Crore on a private placement basis, maturing in September 2028.

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Value
₹711.0 Cr
From
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Embassy Developments Debt & Borrowing: ₹160 Cr

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Value
₹160.0 Cr
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Embassy Developments Board Meeting Date

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