1. At a Glance – Blink and You’ll Miss the Punch
If corporate India had a “career reboot” button, Aditya Birla Real Estate Limited smashed it hard in FY25–FY26. From being a confused textile-paper-real estate cocktail, the company is now aggressively dumping the paper business (₹3,498 Cr slump sale to ITC) and yelling “Real Estate hi future hai!”
Market cap sits at ₹14,632 Cr, stock price ₹1,310, while the balance sheet is carrying ₹5,490 Cr of debt like a gym bag nobody wants to lift. Q3 FY26 was ugly on paper: ₹81 Cr revenue, ₹75 Cr loss, margins at -112% OPM (yes, minus). ROE is -2.45%, ROCE -0.16%, and the stock has corrected ~31% in 3–6 months.
But under the bloodbath lies a strategic pivot: real estate bookings are alive, land banks are prime, IFC is co-investing, and the paper business exit could clean up the mess. Is this a phoenix moment or just another “promise phase” realty story? Keep reading.
2. Introduction – From Textile Looms to Luxury Towers
Once upon a time, this company made towels, paper, and yarn. Today, it sells ₹2–5 crore apartments in Worli and Bengaluru. That transition is never smooth—and ABREL proves it.
The legacy businesses bled capital, real estate sucked in capital, and profits went missing like socks in a washing machine. FY25 ended with ₹208 Cr loss, and TTM EPS stands at -₹21.9.
Yet, promoters still hold 50.2%, pledges are zero, institutions haven’t fled, and global capital (IFC) is writing cheques—not memes.
Question
for you: Do you judge a real estate company by quarterly EPS… or by land, launches, and cash collection cycles?
3. Business Model – WTF Do They Even Do?
Think of ABREL as three personalities in one body:
A) Real Estate (Birla Estates)
Luxury + premium housing across Mumbai, Bengaluru, NCR, Pune.
Revenue potential: ₹63,350 Cr (management’s number, not vibes).
Key projects include Birla Niyaara (Worli), Birla Trimaya, Birla Navya, and plotted developments like Boisar (70 acres).
B) Paper & Pulp (Soon to be Ex)
India’s largest single-location paper plant (4.45 lakh MTPA). Profitable, boring, cash-generating—and now sold to ITC for ₹3,498 Cr.
C) Textiles (RIP)
Shutdown after years of losses. FY23 alone burned ₹89 Cr.
So yes—this is now a pure real estate transition story with legacy hangover.
4. Financials Overview – Numbers That Need Therapy
| Metric | Latest Qtr (Dec-25) | YoY Qtr (Dec-24) | Prev Qtr (Sep-25) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 81 | 204 | 98 | -60% | -17% |
| EBITDA (₹ Cr) | -91 | -18 | -74 | NA | NA |
| PAT (₹ Cr) | -75 | -42 | -18 | NA | NA |
| EPS (₹) | -6.52 | -3.63 | -1.41 | NA | NA |
Annualised EPS (Q3
