Laxmi Goldorna House Ltd Q2 FY26 | ₹24.8 Cr Sales (+12.6 %), ₹3.7 Cr PAT (-6.6 %), 7-for-5 Bonus, P/E 149 — Real-Estate meets Jewellery in Gujarati Multiverse
1. At a Glance
Ahmedabad-based Laxmi Goldorna House Ltd (LGHL) is the bizarre love-child of DLF and Tanishq — a company that builds flats, sells gold and still calls itself “diversified.” Q2 FY26 numbers: Revenue ₹24.8 Cr (+12.6 %), PAT ₹3.69 Cr (-6.6 %), EPS ₹0.75. Stock ₹307 with a P/E of 149 and price-to-book 20×. Book value ₹15 per share but market value ₹307 — the market thinks this is Titan meets DLF on steroids.
Market cap ₹1,536 Cr, debt ₹97 Cr, ROE 19 %, ROCE 18 %. Six-month return +46 %, one-year +154 %. Cash flow negative, but who cares — the builder announced a 7-for-5 bonus and investors started doing garba on the charts.
2. Introduction
Some companies mine gold; some build houses; and then there’s Laxmi Goldorna that does both because “why choose?” Incorporated in 2010, LGHL builds real-estate projects across Ahmedabad and manufactures gold ornaments for sale under its own brand. So yes, they lay the foundation of your flat and then sell you a necklace for the house-warming.
The firm has projects like Laxmi Sky City, Laxmi Eternia, Laxmi Villa Greens and Laxmi Ashiyana — basically every Gujarati’s retirement goal wrapped in Vastu-friendly packaging.
FY25 looked like a sweet spot — revenues touched ₹103 Cr, profits ₹10 Cr, ROE 19 %. But beneath the shine, cash flow bleeds and working-capital days of 471 show that money moves through this business slower than Sabarmati riverfront traffic on a Sunday.
3. Business Model – WTF Do They Even Do?
🏗 Real Estate Division
LGHL is a property developer and builder offering mid-to-premium residential and commercial spaces in Ahmedabad. Key projects:
Laxmi 101 (₹68 Cr project, 112 flats + 5 shops)
390 Cr Integrated Commercial-Residential Project to be completed by 2031 (through subsidiary Laxmi Infraspace)
That’s ambitious for a company whose annual revenue barely crosses ₹100 Cr — but builders never dream small.
💍 Jewellery Division
Manufactures and trades gold ornaments with or without precious stones — chains, rings, necklaces, bangles. Wholesale and retail operations under its brand; uses modern CNC and casting technology.
So, in summary: they build with cement and decorate with carats. The same Laxmi logo sits on site hoardings and on bracelet tags.
4. Financials Overview
Source table
Metric
Q2 FY26
Q2 FY25
Q1 FY26
YoY %
QoQ %
Revenue
24.85
22.08
28.64
+12.6
-13.2
EBITDA
7.51
7.31
5.18
+2.7
+45
PAT
3.69
4.10
2.20
-10
+68
EPS (₹)
0.75
0.82
0.44
-8.5
+70
Annualised EPS ₹3 → P/E ≈ 102× (vs industry ~30×).
Auditor’s note: Margins look 30 %, cash flow -100 %. Classic case where profits are made on paper and locked in inventory.
5. Valuation Discussion – Fair Value Range
P/E Method: Industry PE ≈ 30× × EPS ₹2 = ₹60 upper range. EV/EBITDA: EV ₹1,633 Cr / EBITDA ₹25 Cr = 65×; peers ≈ 15–25× → Fair ₹80–₹120 per share. DCF: Assume ₹20 Cr FCF @ 8 % growth, 12 % discount → ₹100 per share.
👉 Educational Fair Value Range: ₹70 – ₹120 per share. (Educational only, not investment advice.)
6. What’s Cooking – News & Triggers
7-for-5 Bonus Issue (Record Date Oct 10 2025) — a great way to distract investors from cash-flow charts.
