Keystone Realtors Limited

Keystone Realtors reported a strong performance for Q4 and full-year FY25, surpassing its presales guidance. FY25 presales reached ₹3,028 crores, marking a significant 34% increase over FY24. Collections for FY25 stood at ₹2,327 crores, with a collection efficiency of 77%. The company's operational strategy and growth trajectory were reinforced by these results, highlighting impressive achievements across key performance metrics.

The aspirational and mid-mass segments were key drivers, contributing 60% to the FY25 presales. For Q4 FY25 alone, presales were ₹854 crores, slightly up from ₹843 crores in Q4 FY24, demonstrating sustained quarterly momentum. Collections in Q4 FY25 increased by 11% YoY to ₹747 crores from ₹670 crores in Q4 FY24, underscoring strong operational discipline and cash flow generation.

In FY25, Keystone Realtors launched seven projects with a total estimated Gross Development Value (GDV) exceeding ₹5,000 crores, significantly strengthening future revenue visibility. The business development pipeline was further enhanced by adding three new projects in Q4 FY25, totaling ₹1,487 crores in GDV. Overall, FY25 saw the addition of nine projects with an estimated GDV of ₹4,783 crores, surpassing the annual BD guidance by 2x the FY24 presales.

For FY25, revenue from operations reached ₹2,004 crores. EBITDA saw a substantial 104% year-on-year growth, rising from ₹163 crores to ₹332 crores, and PAT increased by 69% YoY to ₹188 crores. The company maintained a strong liquidity position with total free cash of ₹874 crores at the end of Q4. Gross debt stood at ₹316 crores, resulting in a net debt of Zero and a gross debt to equity ratio of 0.12:1, well within guidance.

The company's asset-light model and focus on redevelopment in the Mumbai Metropolitan Region (MMR) continue to drive sustained growth. Management noted a favorable market with inventory overhang reduced to 15 months and significant consolidation benefiting larger developers. The infrastructure boom in MMR, including projects like the Atal Setu and new airport, is expected to fuel continued demand and job creation, supporting the company's growth strategy.

Execution remains a key pillar, with two RERA-registered projects completed in Q4 FY25, totaling 0.26 million sq ft. The company is also accelerating construction pace, exemplified by casting five slabs within a single month at Rustomjee Cleon. Significant strides were made in ESG, including the registration of a Carbon Net Zero project, completion of ESG audits, and the launch of a merit scholarship program for engineering students.

Keystone Realtors has made a small foray into the Nagpur market, driven by impressive infrastructure development and the city's strategic location as the 'Zero Mile' of the country. Management sees Nagpur as a strong market with low-cost entry and limited presence of branded developers. The initial launch of projects in Nagpur is anticipated around November this year, which will inform further expansion decisions in this new geography.