1. At a Glance
Anant Raj Ltd (NSE: ANANTRAJ, BSE: 515055) just dropped its Q2FY26 results like a real estate flex reel – and oh boy, it’s packed with both concrete and cloud. The ₹22,307 crore market-cap developer from Gurugram reported quarterly revenue of ₹631 crore, up 23% YoY, and PAT of ₹138 crore, up 30.8%. For a company once synonymous with cement dust and approval delays, this transformation into a “data center plus developer” hybrid is the kind of glow-up that makes even DLF look twice.
The stock trades at ₹620 with a PE of 45.2x, EV/EBITDA of 35.5x, and a book value of ₹128 per share — meaning investors are paying roughly ₹4.8 for every rupee of net worth. Yet, there’s reason: a debt-light balance sheet (D/E 0.13), ₹563 crore borrowings, and a ₹1,100 crore QIP freshly fueling expansion into a ₹1,200 crore data-center revenue dream by FY27.
Anant Raj’s quarterly EPS of ₹4.02 gives an annualized ₹16.1 — translating to an earnings yield of 2.6%. The company’s return on equity (10.9%) and ROCE (11.2%) scream “respectable middle-aged success,” but its ₹100 crore-per-MW data-center capex plan shouts “midlife tech crisis.”
So, is this Gurugram builder turning into the AWS of NCR or just building fancy sheds with air-conditioning and calling it “cloud”? Let’s find out.
2. Introduction
Once upon a Delhi summer, when real estate meant “plots, permits, and politicians,” Anant Raj Ltd was a modest clay-products business from 1985. Fast forward to 2025, and it’s morphing faster than your favorite influencer’s niche — moving from brick-and-mortar to bits-and-bytes.
From developing 20+ million sq. ft. of residential and commercial properties, the Sarin family’s empire now dabbles in data centers, hospitality, and office spaces across NCR. Imagine if DLF and CtrlS had a baby — that’s the new Anant Raj.
But before you picture sleek server racks and nerdy engineers replacing site supervisors, remember: this is still Indian real estate. For every MW of data-center power, there’s likely a 50-page RERA document, 3 site visits, and a chai break.
The company’s new-age narrative — “Cloud is the new Land” — might sound buzzwordy, but numbers back it up. Sales are up 26% TTM, profits are up 42%, and debt has collapsed from ₹1,691 crore (FY20) to ₹386 crore by Q2FY25. When a realty firm starts deleveraging, you know it’s either grown wise or scared of interest rates.
And now, with ₹1,100 crore freshly raised via QIP, the management’s message is clear: “We’re done just selling homes. Now, we’ll host your Netflix.”
3. Business Model – WTF Do They Even Do?
Anant Raj operates across three main verticals:Real Estate Development,Leasing/Rentals, and the newly sexyData Centers.
- Real Estate Development (96% of FY24 Revenue):This is the bread, butter, and biryani — group housing, villas, DDJAY plots,
- affordable housing, and commercial complexes across Delhi NCR. Think 12.09 MSF of ongoing projects where cement meets ambition.
- Rental and Services (4% of FY24 Revenue):The recurring income bit — malls, offices, hotels, and IT parks. Small today, but crucial for valuation multiples (investors love “annuity income,” even if it’s from a half-empty mall).
- Data Centers (Future Engine):Currently 6 MW operational with 22 MW under construction (Manesar + Panchkula). The target? 307 MW within six years — which, if pulled off, could make Anant Raj the “DLF of Data.” Their new “Ashok Cloud” platform offers IaaS and co-location services in partnership with Orange Business.
Every MW needs ₹100 crore capex — that’s ₹30,000 crore over time. But with a mix of QIPs, rentals, and cash flow from property sales, the firm hopes to fund it smartly.
Basically, they’re turning landbanks into server farms. The classic real estate “jugaad”: if it doesn’t sell, plug in a data rack and call it tech.
4. Financials Overview
| Metric (₹ Cr) | Q2FY26 | Q2FY25 | Q1FY26 | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 631 | 513 | 592 | 23.0% | 6.6% |
| EBITDA | 168 | 113 | 151 | 48.7% | 11.3% |
| PAT | 138 | 106 | 126 | 30.2% | 9.5% |
| EPS (₹) | 4.02 | 3.09 | 3.67 | 30.2% | 9.5% |
Annualized EPS = ₹16.1P/E = 620 / 16.1 =38.5x(Screener says 45.2x; our calculator says “same neighbourhood, different chaiwala”).
Commentary:When your operating margin hits 27%, your construction sites are either efficient or on vacation. With interest coverage at 53.7x, Anant Raj can practically nap through rate hikes. QoQ PAT growth of 9.5% shows they’re building momentum — literally.
5. Valuation Discussion – Fair Value Range (Educational)
Let’s decode how “fair” ₹620 really is.
Method 1: P/E Method
- Annualized EPS: ₹16.1
- Industry P/E: ~40x
- Fair Range: 30x–45x = ₹483 – ₹725
Method 2: EV/EBITDA Method
- TTM EBITDA: ₹594 Cr
- EV = ₹22,493 Cr
- EV/EBITDA = 37.8x (yikes).Fair EV/EBITDA for real estate: 25x–30x→ Fair EV range = ₹14,850 – ₹17,820 Cr→ Implied Fair Value per Share ≈ ₹400 – ₹480
Method 3:
1 thought on “Anant Raj Ltd Q2FY26 – Real Estate Mogul Turns Data Center Rockstar with ₹631 Cr Sales, 27% OPM, and 30% PAT Surge”
thanks and keep it up. very easy to understand postmortem of results.