Sobha Ltd

Meeting Details

• Date: July 21, 2026; exact start time not disclosed.
• Type/Mode: Group earnings conference call; virtual participation.
• Event/Organizer: SOBHA Limited Q1 FY '27 Earnings Conference Call (hosted by ICICI Securities).
• Key company participants: MD and CFO.
• Purpose: Discuss Q1 FY '27 operational and financial performance.
• Availability: Transcript published; investor presentation available on SOBHA website.

Financial highlights

• Q1 FY27 revenue rose 48% YoY to ₹13.30 bn.
• PAT rose 274% YoY to ₹0.51 bn.
• Collections stood at ₹19.24 bn, up 8% YoY.
• Net debt stood at ₹-6.59 bn with net debt-to-equity of -0.14x.

Sales and operations

• Quarterly real estate sales value ₹36.56 bn, up 76% YoY.
• Average price realization ₹15,655 per sq ft.
• New area sold: 2.34 mn sq ft, up 62% YoY.
• Saleable area launched: 6.89 mn sq ft across three projects in two cities.

Governance

• No leadership changes disclosed in the update.

Outlook

• No explicit financial guidance issued in the update.

Business Overview

• SOBHA is Bengaluru-based real estate developer with backward-integrated end-to-end model across design, manufacturing, construction.
• Core segments: Real Estate, Retail, Contracting, and Manufacturing.
• Entered Greater Noida and Mumbai with SOBHA Aurum & SOBHA Inizio.

Operational Highlights

• Q1 FY27 Total Revenue ₹13.30 Bn.
• EBITDA ₹1.30 Bn; margin 9.7%.
• PAT ₹0.51 Bn; margin 3.8%.
• Sales value ₹36.56 Bn; new launches 6.89 Mn sft.
• Real estate cash inflow ₹17.56 Bn; net op cashflow ₹3.12 Bn.
• Inventory: Completed 0.26 Mn sft; Ongoing 10.18; Forthcoming 20.77.
• Gross debt ₹11.10 Bn; cash ₹17.69 Bn; net debt ₹(6.59) Bn.
• Credit rating AA- (Ind-RA); ICRA AA- Stable.
• Regional mix: Bangalore 56.5%, NCR 37.9%.

Financial Performance

• Total income FY26 ₹53.84 Bn.
• Real estate revenue ₹44.20 Bn.
• EBITDA ₹5.033 Bn; margin 9.3%.
• PAT ₹1.934 Bn; margin 3.6%.
• Total assets ₹202.43 Bn.
• Total equity ₹47.71 Bn.
• Current liabilities ₹149.52 Bn.
• Cash & equivalents ₹17.69 Bn.
• Rights issue proceeds FY26 ₹12 Bn.
• Revenue to be recognized from sold units ₹205.53 Bn.

Capital Structure & Liquidity

• Net debt ₹(6.59) Bn; net cash positive.
• Average interest cost 7.62%.
• Rights issue proceeds not in Q1-27; FY26 proceeds ₹12 Bn.

Strategic Priorities & Outlook

• Expansion anchored by stable footing; record sales; strong balance sheet.
• Forthcoming launches: 20.77 Mn sft; sale potential ₹295.57 Bn.
• Target project-level EBITDA margin >30%.
• ₹205.53 Bn revenue to be recognized from sold units.
• ₹194.81 Bn marginal cashflow from current and forthcoming projects.

Governance & Leadership

• Chairman: Ravi PNC Menon.
• MD: Jagadish Nangineni.
• Independent Directors: Srivathsala K Nandagopal, Raman Mangalorkar, Subba Rao Amarthaluru, Gopal B Hosur.

Issue Overview

• Rights issue of equity shares; total size and net proceeds disclosed.
• No revision or undersubscription reported.
• Repayment or prepayment of borrowings.
• Funding project-related expenses for ongoing and forthcoming projects.
• Purchase of equipment and machinery.
• Funding acquisition of unidentified land parcels and general corporate purposes.

Utilisation of Proceeds

• Utilisation aligns with offer document; no material deviation observed.
• Actual unutilised proceeds as of 30 June 2026: 167.379 crore.
• Unutilised funds parked in fixed deposits and a monitoring account.
• Repayment of borrowings fully utilised.
• Funding for ongoing/forthcoming projects: partial utilisation; funds remain idle.
• Issue-related expenses: fully utilised.

Governance and Compliance

• No material deviation from objects; utilisation in line with offer document.
• Management-confirmed approvals; no adverse regulatory actions noted.
• Progress on all objects reported as on schedule; no delays.
• No additional material events disclosed that could affect objectives.

General Corporate Purpose

• GCP allocations totaled 658.092 crore across multiple sub-heads.
• Headwise GCP items include corpus repayment, employee expenses, land purchases, IT, marketing, deposits.
• Board approvals for GCP allocations are not explicitly detailed.

Rights-issue fund utilisation deviation

• Purpose: Report deviation/variation in funds from the rights issue.
• Mode of fund raising: Rights Issue.
• Amount raised and date: not disclosed in this filing.
• Deviation in use of funds: Yes.
• Nature and reason: Deviation from original objects; reason not disclosed.
• Shareholders approval: Not applicable.
• Audit Committee comments: Not applicable.
• Auditors comments: Not applicable.
• Monitoring agency involvement: Applicable; agency not named.
• Status of fund utilisation: Partly utilised; remaining unutilised.
• Table: Summary of original vs modified allocations and utilisation; numbers not reproduced.

Financial results

• Standalone unaudited quarterly results for quarter ended 30 June 2026 approved (Limited Review).
• Consolidated unaudited quarterly results for quarter ended 30 June 2026 approved (Limited Review).

Capital action and dividend

• NCD issue up to ₹1,000 crore in tranches via private placement approved; terms to be finalized.
• Investments and Borrowings Committee authorized to determine terms; details to be disclosed later.
• Final dividend of ₹6 per equity share (total ₹642 million) approved at AGM on 18 July 2026.

Regulatory and legal disclosures

• ED PMLA provisional attachment of land parcels valued at ₹2,016.05 million; ongoing proceedings; recoverability uncertain.
• Income tax Department search in March 2023; demand orders totaling ₹842 million; appeals filed; no adjustments expected.
• Note on JDA/JOA with landowners and TDPL; provisional PMLA attachments; recoverability uncertain.
• SAPL contract termination disputed; management expects no adverse impact; no provision required.
• Fire clearance issues resolved; interim stay prevents revocation; no impact on results.

AGM Details

• AGM held July 18, 2026 at 9:00 AM IST via VC/OAVM.
• Remote e-voting: July 14–17, 2026; cut-off July 11, 2026.
• Shareholders on record: 126,580; VC attendees: 5 Promoter Group, 43 Public.

Key Resolutions

• Resolution 1: Ordinary, adopt standalone and consolidated financial statements.
• Resolution 2: Ordinary, declare final dividend on equity shares.
• Resolution 3: Ordinary, re-appointment of Ravi PNC Menon as director liable to rotation.
• Resolution 4: Ordinary, ratify remuneration to Cost Auditors for 2025-26.
• Resolution 5: Ordinary, re-appoint Jagadish Nangineni as Managing Director for five years.
• Resolution 6: Special, re-appoint Raman Mangalorkar as Non-Executive Independent Director for second term.
• Resolution 7: Special, issue of Non-Convertible Debentures on private placement basis.

Voting Results

• Resolution 1 passed with 99.99% in favour.
• Resolution 2 passed with 99.99% in favour.
• Resolution 3 passed with 99.84% in favour.
• Resolution 4 passed with 99.99% in favour.
• Resolution 5 passed with 98.20% in favour.
• Resolution 6 passed with 99.77% in favour.
• Resolution 7 passed with 99.99% in favour.

Dividend

• Final dividend on equity shares approved.

Director/Management Changes

• Ravi PNC Menon re-appointed as director liable to retirement by rotation.
• Jagadish Nangineni re-appointed as Managing Director for five years.
• Raman Mangalorkar re-appointed as Non-Executive Independent Director for second term.

Auditors

• Cost Auditors' remuneration ratified for FY 2025-26.
• No change in statutory auditors indicated.

Material Related Party Transactions

• No material related party transactions approved.

Other Approvals

• Approval granted for private placement of Non-Convertible Debentures.

AGM details

• Date: 18 July 2026, 9:00 AM IST
• Mode: VC/OAVM
• 48 members attended via video conferencing
• Remote e-voting: 14–17 July 2026; cut-off July 11

Dividend

• Dividend declared: ₹6 per equity share

Key resolutions

• Item 1 (Ordinary): Adopt standalone and consolidated financial statements for FY 2025-26
• Item 2 (Ordinary): Declare dividend of ₹6 per share
• Item 3 (Ordinary): Re-appoint Ravi PNC Menon as director liable to retire by rotation
• Item 4 (Ordinary): Ratify remuneration payable to Cost Auditors for FY 2025-26
• Item 5 (Ordinary): Re-appoint Jagadish Nangineni as Managing Director for five years
• Item 6 (Special): Re-appoint Raman Mangalorkar as Non-Executive Independent Director
• Item 7 (Special): Issue of Non-Convertible Debentures on private placement

Voting status

• Voting results pending; to be disclosed by exchanges and company website

Directors & key management

• Ravi PNC Menon re-appointed as director liable to retire by rotation
• Jagadish Nangineni re-appointed as Managing Director for five-year term
• Raman Mangalorkar re-appointed as Independent Director

Auditors

• Statutory auditors present; cost auditor remuneration ratified

Meeting Details

• Date and time: July 21, 2026, 17:00 IST.
• Type and mode: group conference call (analysts and institutional investors), virtual.
• Event: Q1FY27 Results Conference Call.

Participants

• Company participants: Managing Director and Chief Financial Officer.

Purpose

• Purpose: brief Q1 FY27 operational and financial performance for quarter ended June 30, 2026.

Additional Notes

• Recording/presentation availability: not specified.