At a Glance
Martin Burn, the once-glorious name from Kolkata’s real estate history, delivered Q1 FY26 numbers that would make even a chai stall’s balance sheet look thrilling. Revenue? Zero. Operating profit? Negative. Net profit? ₹0.85 Cr, saved only by other income of ₹1.8 Cr. The stock trades at ₹71 (P/E 5.8), 35% below its high, but still priced at just 0.65x book value. Classic case of a company surviving on its legacy assets rather than actual operations.
1. Introduction
Founded in 1946, Martin Burn was a big deal in Kolkata’s construction scene. Today? It’s a relic, making more from parking its assets than building them. Sales are non-existent, margins are horrifyingly negative (OPM -3425%), and yet the company manages to report profits—thanks to other income. Investors are basically betting on asset sales and not operations.
2. Business Model (WTF Do They Even Do?)
- Core Business: Real estate development & contracts (theoretically).
- Actual Revenue: Close to nil in recent quarters.
- Survival Mechanism: Income from investments, rent, and asset monetization.
- Kolkata Focus: Projects largely limited to the city, with minimal visibility.
3. Financials Overview
Q1 FY26:
- Revenue: ₹0.00 Cr (vs ₹0.08 Cr YoY)
- EBITDA: -₹0.58 Cr (OPM absurdly negative)
- Other Income: ₹1.8 Cr (the real hero)
- PAT: ₹0.85 Cr (EPS ₹1.65)
FY25:
- Revenue: ₹0.32 Cr
- PAT: ₹6.35 Cr
- EPS: ₹12.3
Profit growth is misleading—driven purely by other income.
4. Valuation
- P/E: 5.8 (cheap, but don’t get excited)
- P/B: 0.65x (trading below book value, typical of asset-heavy shells)
- EV/EBITDA: Not meaningful (EBITDA is negative)
Fair Value Range: ₹50–₹65 considering operational emptiness.
5. What’s Cooking – News, Triggers, Drama
- Other Income Dependence: Q1 profits are fully due to non-core income.
- AGM/Corporate Updates: Mostly compliance; no big project announcements.
- High Debtors: 228 days—classic small real estate player issue.
- No Dividend: Profits hoarded, not shared.
6. Balance Sheet
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Assets | 100.2 | 100.8 | 102.2 |
| Liabilities | 40.8 | 40.3 | 45.7 |
| Net Worth | 50.9 | 45.0 | 51.0 |
| Borrowings | 10.1 | 10.0 | 0.14 |
Comment: Almost debt-free, which is its only saving grace.
7. Cash Flow – Sab Number Game Hai
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Operating | -1.3 | 3.8 | 15.4 |
| Investing | 0.7 | -2.8 | -5.4 |
| Financing | -0.5 | -0.9 | -10.5 |
Remark: FY25 saw positive operating cash but mostly from non-core activities.
8. Ratios – Sexy or Stressy?
| Ratio | FY23 | FY24 | FY25 |
|---|---|---|---|
| ROE | 3% | 5% | 11% |
| ROCE | 3.7% | 2.3% | 13.7% |
| PAT Margin | 344% | 595% | 2,543% |
| D/E | 0.2 | 0.3 | 0.0 |
Verdict: Ratios are skewed due to negligible sales.
9. P&L Breakdown – Show Me the Money
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | 0.29 | 1.99 | 0.32 |
| EBITDA | -2.8 | -3.9 | -8.1 |
| PAT | 1.0 | 1.2 | 6.3 |
Comment: Revenue has vanished; PAT only from other income.
10. Peer Comparison
| Company | Revenue (₹ Cr) | PAT (₹ Cr) | P/E |
|---|---|---|---|
| DLF | 7,994 | 4,657 | 42 |
| Oberoi Realty | 4,869 | 2,062 | 29 |
| Martin Burn | 0.32 | 6.3 | 5.8 |
Verdict: A micro speck among real estate titans.
11. Miscellaneous – Shareholding, Promoters
- Promoter Holding: 66.2%
- Public: 33.5%
- FIIs/DIIs: None
- Dividend: None, as usual.
12. EduInvesting Verdict™
Martin Burn is an asset-holding shell disguised as a real estate developer. The business model is practically non-operational, with profits coming from other income. On the bright side, it’s debt-free and trading below book value. On the dark side, there’s no growth, no dividends, and no real operations to speak of.
SWOT Analysis
- Strengths: Low debt, strong legacy asset base, low valuation.
- Weaknesses: Zero revenue, reliance on other income, no operational momentum.
- Opportunities: Monetization of land banks or JV with larger developers.
- Threats: Asset erosion, corporate dormancy, lack of investor interest.
For now, Martin Burn is like an old mansion—beautiful on the outside, empty inside.
Written by EduInvesting Team | 29 July 2025
SEO Tags: Martin Burn, Q1 FY26, Kolkata Real Estate, Asset Play Stocks
