1. Opening Hook
While India’s real estate crowd was bragging about “launching towers,” Arvind SmartSpaces quietly turned profitable buildingtrust(and villas). Q2 FY26 wasn’t skyscraper-level thrilling — revenue halved YoY, but the company’s tone? Calm, caffeinated, and very “long-term value creation.”
The MD called the sector “transparent and institutionalized,” which is corporate-speak for “we now actually pay taxes.” The CEO spoke of agility, city P&Ls, and control like a B-school TED Talk — you could almost hear McKinsey nodding. But wait till the CFO starts flexing ₹4,100 crore of unrealized operating cash flow — that’s where it gets interesting.
2. At a Glance
- Revenue ₹140 Cr (↓47% YoY)– Profitability met potholes on the Ahmedabad expressway.
- EBITDA ₹31 Cr (↓63% YoY)– Margins took the stairs instead of the elevator.
- PAT ₹18 Cr (↓58% YoY)– Not broke, just “strategically cash-flowing.”
- Bookings ₹432 Cr (↓7% YoY)– Slow start, but H2 promises caffeine shots.
- Collections ₹236 Cr (↓10% YoY)– Customers taking their sweet time paying for “smart spaces.”
- Net Debt: Negative ₹32 Cr– The CFO’s favorite yoga pose: debt-free asana.
- Operating Cash Flow ₹125 Cr (+368% QoQ)– Clearly, money does grow on land.
3. Management’s Key Commentary
“We’ve built a scalable platform with city-level leadership and clear accountability.”(Translation: Decentralized power without chaos — like Starbucks, but for plots.)
“India’s real estate sector is now transparent and institutionalized.”(Or in other words, ‘brokers are out, Excel sheets are in.’)
“We entered Vadodara with a ₹700 Cr topline potential horizontal project.”(Because Surat took too long and Baroda had better chai.)☕
“Bookings grew 147% sequentially, driven by Arvind Everland’s 954-unit blitz.”(When Gujarat buys, it buys — 82% inventory gone before the CFO finished his slide.)
“Net debt remains negative; we generated ₹152 Cr in operating cash in H1.”(That’s CFO for ‘We’re rich but cautious.’)
“We’re focused on profitability, cash flow, and design-led products.”(Basically, we’ll build beautiful things — slowly.)😏
“H2 will see 4–5 launches including Baroda, Bangalore, and Mumbai.”(H2 looks like a festival season for approvals — if the gods cooperate.)
4. Numbers Decoded
| Metric | Q2 FY26 | YoY | QoQ | Remark |
|---|---|---|---|---|
| Revenue | ₹140 Cr | -47% | +38% | “Tapered” but recovering. |
| EBITDA | ₹31 Cr | -63% | +27% | Construction costs doing push-ups. |
| PAT | ₹18 Cr | -58% | +51% | Profit crawl mode: ON. |
| Bookings | ₹432 Cr | -7% | +147% | Everland to the rescue. |
| Collections | ₹236 Cr | -10% | +23% | Cash coming in… fashionably late. |
| Net Debt | (₹32 Cr) | — | — | Still debt-free and proud. |
| Operating Cash Flow | ₹125 Cr | +4% | +368% | Free cash flowing smoother than cement. |
| Unrealized Cash Flow (Pipeline) | ₹4,110 Cr | — | — | Future CFO brag material. |
TL;DR – Slow revenue, fast launches, faster cash flow.
5. Analyst Questions (and Management Spin)
Q:“Are you still confident of 30% pre-sales growth?”A:“Absolutely. H1 was warm-up; H2 is the real show.”(Translation: We’ll sprint now that the monsoon’s done.)
Q:“Why are collections down?”A:“Quarterly variability. Don’t read too much into it.”(Because excuses are quarterly too.)
Q:“Mumbai expansion update?”A:“Evaluating ₹500–₹1,000 Cr projects at ₹30k/sqft price points.”(Translation: One wrong JDA and we’ll be in headlines, so patience.)
Q:“Any plans for new capacity or debt?”A:“We can easily raise ₹300–₹400 Cr, but we prefer staying light.”(Minimalism is suddenly in fashion in real estate.)
Q:“Vadodara — why now?”A:“Ahmedabad plus one city. Similar customers, better
