Detailed Narrative
Q4 and Full Year FY26 Financial Performance
Ganesh Housing Limited reported Q4 FY26 revenues of ₹122 crores, marking a sequential growth of 33%. EBITDA for the quarter stood at ₹98 crores, translating to an impressive 80.7% margin, while PAT was ₹61 crores with a 50% margin. For the full fiscal year FY26, the company achieved revenues of ₹539 crores and a PAT of ₹316 crores. However, the FY26 performance moderated compared to FY25, attributed by management to external factors like the West Asia crisis and increased input material costs.
Ahmedabad Real Estate Market Dynamics
The Ahmedabad real estate market is transitioning from an affordable housing market to a premium, luxury living city, driven by infrastructure-led growth, GIFT City's ripple effect, and Metro Phase 2 expansion. Micro-markets like Vaishnodevi Circle, Ambli-Bopal Road, Shilaj, SG Highway, and Thaltej are experiencing significant appreciation. Residential launches in Q1 2026 touched 6,745 units, a 29% year-on-year increase, indicating strong developer confidence. Commercial real estate is also strengthening, fueled by BFSI, fintech, and hospitality demand.
Million Minds Tech City Progress
The Million Minds Tech City project, spanning 65 acres with a long-term development potential of over 18 million square feet, achieved a significant milestone with the inauguration of Phase 1. This phase, comprising 0.85 million square feet of leasable area, has already seen 60-65% of its space laid out or in final stages of leasing. Management expects annual lease revenues from Phase 1 to exceed the initial projection of ₹72 crores, potentially reaching ₹75-77 crores, with lease rentals commencing in Q3 FY27. Phase 2 commercial launch is targeted for Q2 FY27, followed by residential in Q3 FY27.
Malabar Retreat and One 91 Thaltej Updates
The premium residential project, Malabar Retreat, is 79% complete, with bookings and sales commitments reaching ₹175 crores against an overall project value of ₹450 crores. Management anticipates its full completion and revenue recognition by the end of FY27. The One 91 Thaltej project, with an estimated sales value of ₹2,100 crores and a cost of ₹1,500 crores, is in advanced planning and design stages, with more specific details expected in Q1 FY27. The company aims to fund this project primarily through internal accruals.
Land Bank and Future Growth Strategy
Ganesh Housing boasts a significant land bank of approximately 518 acres across high-growth corridors in Ahmedabad. The company continues to acquire new land parcels, with around 7 acres acquired in Q4 FY26, focusing on strategic locations. The monetization strategy remains flexible, combining project development with land sales, as evidenced by 46 acres of Godhavi Township already monetized at ₹14.1 crores per acre. The company projects a conservative free cash flow generation of ₹9,950 crores from its planned projects.
Capital Allocation and Shareholder Returns
The company utilized moderate project-level borrowings during FY26, including an LRD-based loan of ₹150 crores in Q4 for Million Minds, while maintaining comfortable gearing. For FY26, the Board recommended a dividend of 15% (₹1.5 per share), a reduction from 110% in FY24 and 50% in FY25. Management clarified this decision was to conserve cash for significant growth opportunities and new project developments in Ahmedabad, prioritizing long-term growth over higher immediate payouts.