Skip to content

    Modi's Navnirman

    543539
    Realty·10 Nov 2025
    Management Summary

    Modi's Navnirman reported strong H1 FY26 results with significant year-on-year growth in revenue, EBITDA, and PAT, driven by its asset-light redevelopment model. The company achieved key strategic milestones including a subsidiary merger and is progressing towards a main board listing, all while maintaining a debt-free status. Management expressed confidence in sustaining growth through its project pipeline and planned expansion within the MMR.

    Highlights

    6
    • Revenue of ₹83.39 crores, up 128% YoY.

    • EBITDA of ₹16.04 crores, up 164% YoY.

    • PAT of ₹12 crores, up 165% YoY, matching previous full year's profit.

    • Successfully merged subsidiary Shri Modi's Navnirman Private Limited within three months.

    • Progressing towards migration from BSE SME to main board of BSE and NSE.

    • Maintained debt-free status and asset-light philosophy.

    Key financials

    Single quarter

    03 metrics
    1. 01Revenue₹83.39 Cr+128%YoY
    2. 02EBITDA₹16.04 Cr+1.6%YoY
    3. 03PAT₹12 Cr+1.6%YoY

    Order Book

    medium confidence

    Execution

    roughly takes around 2 years for project completion once society vacates

    Composition

    Mix2 segments
    • Residential85.0%
    • Commercial15.0%

    Share of order book by segment

    Pipeline

    other

    Ongoing work of 7.5 lakh sq ft and upcoming work of 10 lakh sq ft.

    "The company operates on an asset-light redevelopment model, focusing on timely completion and efficient fund movement, enabling a debt-free status."

    Source:
    Prepared remarks

    Capital allocation

    3
    high confidence
    CategoryHeadline
    Debt

    Gross ₹0 crores · Net ₹0 crores · 0.0x EBITDA

    M&A

    Shri Modi's Navnirman Private Limited

    merger · closed

    Liquidity

    Liquidity disclosed

    Company maintains strong liquidity through its asset-light model and timely project completion, enabling efficient fund movement.

    Guidance & targets

    4
    CategoryTargetPriority
    Profitability
    Full Year FY26 Results
    Similar to or better than H1 FY26 results (PAT of ₹12 crores)
    Medium
    Project Completion
    Upcoming Projects Completion
    All 3 upcoming projects completed
    High
    Revenue Composition
    Commercial Revenue Share
    10-15%
    Medium
    Debt
    Debt Levels
    Maintain debt-free status
    High

    What to watch in Q3 FY26

    5

    Completion of one more project

    H2 FY26
    CurrentOne project ongoing, expected to be delivered in H2 FY26.
    TargetProject completion and handover.

    Why it matters

    Direct impact on sales, revenue, and profitability for FY26.

    we are going to deliver, we are going to be delivering one more project, probably this month delivering it. So, that will create a lot of impact on the sales and everything.

    Risks & concerns

    2
    RiskSeverity

    Competition in new micro-markets

    Management believes their focus on smaller redevelopment plots (2,000-5,000 sq m) and strong execution skills differentiate them from larger players who target bigger plots and often avoid redevelopment.Analyst downplayed

    medium

    Impact of high interest rates on sales

    Management states interest rates do not significantly affect sales, as demand is driven by desire for new flats, amenities, and a post-COVID shift towards spending on self-enrichment rather than saving.Analyst downplayed

    low

    Q&A highlights

    8

    “We are planning to expand into the other regions. We have ongoing talks with different regions of MMR wherein we are placed at the top three categories and everything. So, we are planning to expand our portfolio from the western suburbs to the other areas of MMR.”

    Indicates future growth avenues and potential diversification from current concentrated areas.

    asked by Vikrant Sahu

    3 min read7 chapters

    Detailed Narrative

    01

    H1 FY26 Financial Performance

    Modi's Navnirman reported robust financial performance for H1 FY26, achieving a revenue of ₹83.39 crores, representing a 128% year-on-year growth. EBITDA surged by 164% to ₹16.04 crores, and Profit After Tax (PAT) increased by 165% to ₹12 crores. Notably, the H1 FY26 PAT of ₹12 crores matched the company's entire PAT for the previous financial year (FY25), highlighting strong operational leverage and execution.

    02

    Business Model and Project Pipeline

    The company operates on an asset-light redevelopment model, focusing on partnerships with societies rather than outright land acquisition. This strategy allows for strong liquidity and a debt-free balance sheet. Currently, Modi's Navnirman has 5 ongoing projects and 3 upcoming projects. The company has delivered over 6 lakh square feet to date, with 7.5 lakh square feet of ongoing work and an additional 10 lakh square feet in the upcoming pipeline, totaling 17.5 lakh square feet of future development.

    03

    Strategic Milestones and Debt-Free Status

    In H1 FY26, Modi's Navnirman successfully merged its subsidiary, Shri Modi's Navnirman Private Limited, into the listed entity, completing the process within three months, which is noted as a fast-track merger. The company is also in the process of migrating from the BSE SME platform to the main board of BSE and NSE, a move expected to enhance liquidity, visibility, and credibility among institutional investors. The management emphasized its continued commitment to being a debt-free company, underscoring disciplined financial planning.

    04

    Industry Outlook and Expansion Plans

    Management highlighted the Indian real estate sector's structural growth, driven by urbanization and significant infrastructure investment, positioning organized and transparent developers like Modi's Navnirman as key beneficiaries. The company plans to expand its portfolio beyond the current western Mumbai suburbs (Kandivali, Borivali, Malad, Goregaon, Dahisar) into other regions of the Mumbai Metropolitan Region (MMR), with ongoing discussions in areas like Santa Cruz, Khar, and Ghatkopar.

    05

    Project Timelines and Approvals

    The company detailed its project execution timeline, stating that once a society vacates, project completion typically takes around two years. For its three upcoming projects, two have already received all necessary approvals, and the societies vacated on November 1, 2025, with demolition expected to start this month. The third project is currently in the approval stage with the Brihanmumbai Corporation of Mumbai (BMC).

    06

    Pricing Strategy and Market Dynamics

    Modi's Navnirman employs a diversified pricing strategy across its upcoming projects. A project in Dahisar is positioned for the affordable segment, while Rashmi Icon in Kandivali targets the medium-luxury segment, and a project on the main link road of Malad is aimed at the luxury category. Management noted that high interest rates do not significantly deter sales, as demand is primarily driven by the desire for new flats, amenities, and a post-COVID shift towards self-spending.

    07

    Competition and Execution Skills

    Addressing concerns about competition, particularly from larger developers in new micro-markets, management asserted that their focus on smaller redevelopment plots (2,000-5,000 square meters) differentiates them. Larger players typically target bigger plot sizes (10,000+ square meters) and often do not engage in redevelopment. The company's 15-year track record of timely execution on 15 completed projects is cited as a key competitive advantage.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.