Horizon Industrial Parks Ltd's Q2 FY27 numbers came in strong. Here's a quick read of what worked, what to watch, and what management said.
Quick Details| Results date | October 29, 2026 |
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| Quarter | Q2 FY 2026-2027 |
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| Revenue (Q2) | Rs. 214.99 Cr (+29.90% YoY) |
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| PAT (Q2) | Rs. 13.93 Cr |
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| EBITDA margin | 80.70% (+230 bps YoY) |
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| EPS (Q2) | Rs. 0.06 |
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| Market cap | Rs. 13,973.62 Cr |
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| CMP | Rs. 48.38 |
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Quarter Snapshot
Horizon Industrial Parks posted its first profitable quarter as a listed entity, with revenue up 29.9% YoY to 214.99 crore on record 2.5 M sf leasing and EBITDA margin of 80.7%. Post-IPO deleveraging halved borrowings and cut finance costs 22% YoY, while all FY27 leasing and development targets remain on track. Watch items are the occupancy dip to 94%, unchanged 8.2% cost of debt pending a rating action, and the undisclosed promoter-level encumbrance.
Key Investment Insights
Key Positives
- Revenue grew 29.9% YoY to 214.99 crore, rental-led with record quarterly leasing of 2.5 M sf (H1: 4.4 M sf)
- First profitable quarter as a listed entity: owners' PAT of 15.34 crore vs a loss of 73.99 crore in Q2 FY26
- Company-basis EBITDA of 173.48 crore, +33.7% YoY, at an 80.7% margin (vs 78.4% in Q2 FY26)
- Contracted revenue run-rate rose 3.9% QoQ to 100.46 crore on 30.5 M sf, including 2.1 M sf of pre-leases; 8 new customers added, base at 130
- Finance costs fell 22.0% YoY to 115.54 crore after 225 crore of IPO proceeds repaid borrowings; net debt down to 276.51 crore-equivalent at 15% ND/EV
- Corporate overheads fell 14.3% YoY to 46.80 crore; employee costs fell 27.9% YoY
- FY27 targets on track: 68% of 6.5 M sf leasing and 45% of 6 M sf development delivered in H1; Oragadam refinance of 635 crore cut cost of debt on that asset by 71 bps
Risk Factors
- Stabilised occupancy fell to 94% from 96% in Q1, with the metric excluding 1.3 M sf of recent completions; Q2 leasing of 2.5 M sf included 1.2 M sf of re-leasing/renewals at a 12% spread
- Cost of debt unchanged at 8.2%; the guided 40-50 bps reduction remains contingent on a rating action not yet disclosed
- FCF was negative at (426.34) crore in H1 due to development capex of 717.15 crore, funded by the equity raise
- H1 effective tax rate of 46.29% is well above the statutory rate; the Q2 tax credit's one-off vs recurring components are not broken out
- Promoter-level encumbrance (100% of 75.4% promoter stake for USD 480M) is not addressed in the filing or press release