1. At a Glance – Blink and You’ll Miss the Revenue
Grovy India Ltd is that microcap real estate stock which quietly sits at ₹46, flaunting a ₹62 Cr market cap, pretending to be a “boutique luxury developer” while delivering ₹3 Cr quarterly revenue and asking the market for ₹40 Cr fresh money.
Q3 FY26 numbers look like a Delhi winter morning — foggy and confusing. Sales fell 84.7% QoQ, profits slipped 70% QoQ, yet the stock trades at 27.9× P/E, almost matching giants like DLF and Godrej Properties who sell entire townships, not single buildings.
ROE is 9.1%, ROCE 7.6%, debt sits at ₹16.5 Cr, and inventory days resemble a real estate yoga pose — permanently stretched. Promoters hold a comfy 73%, no pledging, and returns over five years look great only if you squint hard and ignore volatility.
This is not a boring company. This is entertainment with balance sheets. Curious? You should be.
2. Introduction – From Construction Company to “Alternate Asset Dreams”
Grovy India was incorporated in 1985, which technically makes it older than most Indian real estate cycles combined. But age does not equal scale. The company operates as a real estate developer + consultant, mostly in South Delhi luxury micro-projects.
Recently, Grovy decided plain vanilla real estate is too mainstream. So it amended its MOA to allow:
- Sponsorship & management of AIFs
- Strategic collaborations
- Regulatory-compliant partnerships
Translation: “We might become a fund sponsor if SEBI allows and investors trust us.”
Sounds ambitious? Yes.
Execution risk? Also yes.
Before dreaming of AIFs, one must survive quarterly
revenue whiplash, auditor exits, and negative operating cash flows.
So is Grovy evolving… or improvising?
3. Business Model – WTF Do They Even Do?
Grovy operates through three models, all common in Delhi NCR real estate:
1) Outright Model
Grovy buys land → builds → sells.
High risk, high capital, high stress.
2) Collaboration Model
Landowner brings land, Grovy brings construction expertise, profits are shared.
Low capital, medium margin, Delhi-special strategy.
3) Turnkey Model
Client pays, Grovy designs and constructs.
Low risk, but low excitement for investors.
Projects are small-ticket luxury residential units, not mega townships. We’re talking 20,000–36,000 sq ft projects, not acres.
So the business works like a boutique tailor, not a mass garment factory.
Question is: Can a boutique command a 28× earnings multiple?
4. Financials Overview – Numbers That Change Mood Every Quarter
Quarterly Performance (Q3 FY26)
Figures in ₹ Crores
| Metric | Latest Qtr | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 3.00 | 19.65 | 14.96 | -84.7% | -79.9% |
| EBITDA | 0.17 | 2.40 | 0.37 | -92.9% | -54.1% |
| PAT | 0.54 | 1.82 | 0.38 | -70.3% | +42.1% |
| EPS (₹) | 0.40 | 1.36 | 0.28 | -70.6% | +42.9% |
Yes, revenue collapsed.
Yes, profits are volatile.
Yes, other income saved the quarter.
And yes, this is normal
