Sri Lotus Developers & Realty Ltd (LOTUSDEV) Q2 FY27 Earnings Call: Pre-Sales Jump 83% To Rs. 470 Cr, Adds Rs. 2,800 Cr GDV Projects

Sri Lotus Developers & Realty Ltd held its Q2 FY27 earnings call on October 15, 2026. Here's a quick read of what management said — performance, strategy, and the outlook ahead.

Strong Quarter with Margin Expansion Across H1

• Q2 FY27 pre-sales of Rs.470 crore (+83% YoY) — revenue rose 53% to Rs.269 crore, EBITDA grew 113% to Rs.107 crore (margin 39.90%), and PAT grew 91% to Rs.89 crore.
• H1 FY27 pre-sales of Rs.879 crore (+176% YoY) — revenue up 69% to Rs.401 crore, EBITDA up 95% to Rs.155 crore (margin 38.80%), PAT up 86% to Rs.134 crore with a PAT margin of 33.9%.
• Lotus Trident (Andheri West) contributed Rs.178 crore in pre-sales — its first full quarter post-launch; the luxury commercial project reached 35% sales within three months of launch.
• H1 FY27 collections of Rs.209 crore (Q2: Rs.60 crore) — management expects a pick-up as projects hit construction milestones.
• Net cash position of Rs.494 crore as of 30 Sep 2026 — with an estimated project-level surplus of Rs.9,500 crore over the development cycle, subject to execution and realization assumptions.
• Of the Rs.792 crore IPO proceeds, Rs.305 crore deployed — out of the Rs.550 crore earmarked for subsidiaries.

Three Projects Added in Q2; Four H2 Launches Nearly Approved

• Three new projects added in Q2 FY27 (LOTUS-EMPRESA, STELLA, SUPRIMUS) — located at Shivaji Park, Dadar West, Versova and Juhu, adding Rs.2,700-2,800 crore of estimated GDV.
• Total pipeline of 24 projects with aggregate GDV of ~Rs.20,000 crore — of which 19 are redevelopment-led; the surplus of ~Rs.9,500 crore is to be realized over the next 4 to 4.5 years.
• Four H2 FY27 launches planned (Aurelia, Sky Plaza, Portofino, Odyssey) — combined estimated GDV of Rs.3,500-4,000 crore; management confirmed 90% approvals are in place and expressed confidence in executing these launches.
• Project additions to be a continuous process from H2 FY 2026-2027 onwards — new projects to be added every quarter, with several societies already shortlisted.
• Prabhadevi project (JDB Rs.800 crore) showed no pre-sales contribution in Q2 FY27 — management guided results are expected in Q3-Q4 FY 2026-2027; the project features a 270-degree sea view and 200m height.
• Andheri commercial achieved 30% pre-sales in Q2 FY27 — Celestia reached 36% sales within six months of launch.

35%+ Margins Guided as Sustainable Through FY28

• EBITDA/PAT margins exceeding 35% sustained in Q2 FY27 — management guided that margins are sustainable through FY 2026-2027 and FY 2027-2028, citing net debt-free status, negligible marketing spend, a 2.5-3.5 year project cycle, and premium pricing.
• CEO guided Trident EBITDA margin in line with the company's 33-35% guided margin — guidance for FY 2026-2027.
• Balanced commercial portfolio of 5 projects — the first commercial redevelopment in the suburbs, Arc 1, was delivered in FY 2025-2026; 2-3 new commercial redevelopment projects have been added to the pipeline with management expressing confidence in achieving good margins on these.
• New projects require only 8-10% upfront cost — management consumed Rs.300 crore of its Rs.500 crore+ net cash balance in H1 FY 2026-2027 for business development, including upfront government fees.

Milestone-Linked Collections to Improve in H2 and FY28

• Analyst Siddharth S. flagged a declining collections-to-pre-sales trend — 97.5% in FY23, 92.3% in FY24, and 75.1% in FY25.
• CEO Sanjay Kumar Jain attributed the trend to the construction-linked payment plan — collection efficiency is 5-10% at launch, rising to ~25% at plinth level.
• H1 FY27 pre-sales (PCL) of Rs.800 crore against collections of Rs.200 crore (~25%) — consistent with the plinth-level milestone for launched projects.
• Collections to improve in H2 FY 2026-2027 — as 2 of 3 launched projects exit the basement phase; management expects H2 collections to be better than H1 due to construction milestones.
• For FY 2027-2028, 3 projects are expected to reach completion — driving collection efficiency to 95-100%.
• Management declined to provide FY 2027-2028 numeric guidance — and the OCF positivity timeline was not clearly guided. Collections lag remains a watch item.

Luxury Demand Anchored by End Users; Rate Hike Seen as Limited Risk

• RBI's October 2026 repo rate hike of 25 bps (to 5.5%) — management expects it to weigh on affordable/mid-income housing, but does not expect it to materially alter luxury demand in its micro markets.
• Mumbai luxury sales hit a record Rs.18,500 crores in H1 calendar 2026 — for homes above Rs.10 crores; prime residential prices rose 6.2% YoY, over twice the global average.
• Demand in Mumbai's ultra-luxury segment remains anchored by end users rather than financing — per management; with a net debt-free balance sheet, the company is well-positioned to pursue redevelopment opportunities without overstretching.
• Broad-based price appreciation across almost all existing projects in H1 FY 2026-2027 — management guided that pricing will continue to rise in H2 FY 2026-2027 as construction progresses.

FY27 Guidance Reiterated; Regulatory Delays on Two Projects

• FY27 pre-sales guidance of Rs.1,800-2,000 crores reiterated — with revenue and PAT growth of 55-60% over FY26 levels, EBITDA margins at 35-40%, and PAT margins at 25-30%; management confirmed it is well on track to meet FY27 guidance.
• Pipeline provides a foundation to sustain the growth trajectory into FY28 and FY29 — per management; specific annual guidance for FY28 and FY29 will be provided at the start of the respective fiscal year.
• Regulatory delays shifted the Lotus Monarch timeline by ~1 year and extended the Ghatkopar Salona timeline — involving society, trust, charity commissioner, and government; management expressed hope to start earlier than revised estimates.
• Gift City development planned on a 5.5-acre mixed-use parcel targeting ~1.3 to 1.5 million sq ft — commercial, retail, and residential, subject to town planning scheme approval by the Gift City authority.
• OC receipt guided for Amara (RCC completed) by Q3/Q4 FY 2026-2027 — and for Athena (RCC stage) by Q4 FY 2026-2027.
• Analyst noted an improved cap table following Capital Group's investment — a positive governance signal from the Q&A.