Sobha LimitedQ2 FY27 Results & Financial Update
Sobha Limited: Q2 FY27 consolidated results and company financials – revenue ₹1,017.00 Cr, PAT ₹33.00 Cr. Explore reported YoY/QoQ movements, margins, business drivers and management commentary. This page does not provide a rating, target price or investment recommendation.
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Chart · Market context
Sobha price & chart
Quarter overview
Quarterly earnings analysis
On a sequential basis, revenue decreased by 20.43% from Rs. 1,278.15 crore in Q1 FY27, while PAT declined by 35.10% from Rs. 50.85 crore in the preceding quarter.
Despite the sequential moderation in reported financial revenues and net profit, the company sustained strong operational momentum in real estate sales and customer collections.
Quarterly real estate sales value reached Rs. 2,206 crore, representing a 16% year-on-year increase, driven by sustained demand for quality housing and strong responses to new project launches.
Customer collections for Q2 FY27 stood at Rs. 20.84 crore, contributing to a record half-year collection milestone of Rs. 4,009 crore for H1 FY27.
Managing Director Jagadish Nangineni noted that the performance reflects continued customer trust and brand strength, with management focusing on execution efficiency and financial discipline for the remainder of the fiscal year.
Quarterly real estate sales value reached ₹2,206 crore during Q2 FY27, representing a 16% year-on-year increase. This ongoing sales momentum contributed to a record-setting half-year performance, with H1 FY27 sales touching an all-time high of ₹5,862 crore, marking a 47.2% jump over the corresponding period of the previous year.
01 · Business model
What does Sobha do?
Sobha Limited, founded in 1995, operates as a prominent real estate developer in India, offering international quality residential homes alongside commercial and contractual projects.
The company differentiates its operating model through a backward-integration approach that encompasses in-house manufacturing units and construction capabilities designed to maintain control over quality and delivery timelines.
Sobha's project portfolio spans across multiple Indian cities, supported by a workforce of over 4,500 employees managing land acquisition, design, engineering, execution, and customer realisations.
02 · Historical context
What shaped the business before this quarter
Since its founding in 1995, Sobha Limited has cumulatively delivered 156.45 million square feet of developable area across 28 Indian cities.
03 · Financial snapshot
Current quarter vs the available comparable
| Metric | Q2 FY27 | Previous quarter |
|---|---|---|
| Revenue from operations | ₹1,017.00 Cr | ₹1,278.15 Cr |
| Profit after tax | ₹33.00 Cr | ₹50.85 Cr |
04 · Why it moved
Why the quarter looked the way it did
What drove revenue
Quarterly real estate sales value reached Rs. 22.06 bn in Q2 FY27, achieving a 16% year-on-year increase supported by sustained housing demand.
Average price realization stood at Rs. 15,522 per square foot during the second quarter of FY27.
Quarterly real estate sales value reached ₹2,206 crore in Q2 FY27, marking a 16% year-on-year increase, driven by sustained demand across existing portfolios and new project launches.
What drove margins
Reported PAT margin for Q2 FY27 stood at 3.24%, compared to 3.98% in Q1 FY27, representing a sequential contraction of approximately 73 basis points.
05 · Demand, customers & order book
Where demand is coming from
H1 FY27 sales reached an all-time high of Rs. 58.62 bn (up 47.2% YoY), while H1 collections reached an all-time high of Rs. 40.09 bn (up 4.8% YoY).
H1 FY27 sales reached an all-time high of ₹5,862 crore, representing a 47.2% year-on-year growth backed by strong customer response.
H1 FY27 collections reached an all-time high of ₹4,009 crore, reflecting a 4.8% year-on-year increase in customer cash flows.
06 · Segments, products & geography
Which parts of the business are doing the work
Segments and products
The company continues to develop residential homes alongside commercial and contractual projects, leveraging its backward-integrated manufacturing and execution model.
Geography and market mix
During H1 FY27, new project launches spanning 7.92 million square feet of saleable area were concentrated across Bangalore, Gurgaon, and Calicut.
07 · Capacity, projects & execution
What is being built, commissioned or delivered
Capacity, production and utilisation
Operational capacity is supported by in-house manufacturing units and over 4,500 personnel across offices and production facilities.
Projects, capex and execution
During H1 FY27, the company launched 7.92 million sq. ft. of saleable area across five projects with an estimated sale potential of Rs. 112 bn.
During H1 FY27, the company launched 7.92 million sq. ft. of saleable area across five projects in Bangalore, Gurgaon, and Calicut, carrying an estimated sale potential of ₹112 billion.
08 · Reported developments
What changed operationally
H1 FY27 sales reached an all-time high of Rs. 58.62 bn, representing a 47.2% year-on-year growth.
The company maintained a negative net debt position of Rs. 3.40 bn with a Net Debt-to-Equity ratio of -0.07.
Achieved highest-ever half-yearly sales value of ₹5,862 crore in H1 FY27, up 47.2% year-on-year.
H1 FY27 collections reached a record ₹4,009 crore, up 4.8% year-on-year, with Q2 FY27 collections at ₹2,084 crore.
09 · Pressure points & risks
What is not going smoothly
Reported revenue declined by 20.43% and PAT declined by 35.10% sequentially compared to Q1 FY27.
10 · Cash flow & balance sheet
Profit is one thing. Cash and funding tell another part of the story.
Robust customer collections of Rs. 20.84 bn in Q2 FY27 helped drive H1 collections to an all-time high of Rs. 40.09 bn.
Capital allocation & funding
Net debt stood at negative Rs. 3.40 bn as of September 30, 2026, resulting in a healthy Net Debt-to-Equity ratio of -0.07.
Net debt stood at negative ₹3.40 crore as of September 30, 2026, resulting in a conservative Net Debt-to-Equity ratio of -0.07.
11 · Management guidance & targets
What management is targeting from here
Management stated that it will build on the H1 momentum in the second half of the year, supported by planned project launches, a strong development pipeline, and sustained housing demand.
12 · Beyond the numbers
What changed beyond the numbers
Sustainability and Safety Recognition
The company has been recognized for implementing class-leading sustainability practices and adhering to high safety standards alongside community-focused CSR efforts.
13 · Previous-quarter changes
What changed since the previous quarter
Revenue moved from Rs. 1,278.15 crore in Q1 FY27 to Rs. 1,017.00 crore in Q2 FY27, and PAT moved from Rs. 50.85 crore to Rs. 33.00 crore over the same period.
14 · Key Q&A
The quarter, answered directly
What does Sobha do?
Sobha Limited, founded in 1995, operates as a prominent real estate developer in India, offering international quality residential homes alongside commercial and contractual projects.
What is the clearest takeaway from Q2 FY27?
On a sequential basis, revenue decreased by 20.43% from Rs. 1,278.15 crore in Q1 FY27, while PAT declined by 35.10% from Rs. 50.85 crore in the preceding quarter.
What drove revenue or demand?
Quarterly real estate sales value reached Rs. 22.06 bn in Q2 FY27, achieving a 16% year-on-year increase supported by sustained housing demand.
What mattered most for margins or profitability?
Reported PAT margin for Q2 FY27 stood at 3.24%, compared to 3.98% in Q1 FY27, representing a sequential contraction of approximately 73 basis points.
What changed operationally beyond the headline numbers?
Operational capacity is supported by in-house manufacturing units and over 4,500 personnel across offices and production facilities.
What is management guiding or targeting from here?
Management stated that it will build on the H1 momentum in the second half of the year, supported by planned project launches, a strong development pipeline, and sustained housing demand.
15 · Scenario calculator
Earnings sensitivity: what if growth and margins change?
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16 · Next filing checkpoints
What the next disclosure can confirm or change
- 01
Project Launch Execution: Monitor the execution and customer absorption of planned new project launches scheduled for the second half of FY27.
- 02
Collection and Revenue Conversion: Track the conversion of strong pre-sales and collections into statutory revenue recognition in subsequent quarters.
- 03
Project Execution: Monitor the execution and sales progress of the 7.92 million sq. ft. of new saleable area launched across Bangalore, Gurgaon, and Calicut.
- 04
Collection Momentum: Track subsequent quarterly customer collections against the ₹4,009 crore H1 FY27 benchmark.
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