1. Opening Hook
If Indian real estate had an Olympics, Sobha just won gold in sales sprinting—and then tripped right before the profit podium.
Q3 FY26 was peak Sobha energy: record bookings, packed launches, happy customers, and analysts nodding vigorously.
Then came the villain of every developer’s life: OC delays.
Sales were flying, cash was pouring in, but reported profits politely refused to show up on time.
Management insists this is just “procedural delay,” not structural pain—basically profits are late, not lost.
Between Bengaluru going berserk, NCR holding steady, Mumbai getting its Sobha debut, and ₹18,600 Cr of revenue waiting backstage, this call had enough masala to keep investors hooked.
Read on—because the real margin story begins after the handover keys are received. 😏
2. At a Glance
- Sales ₹2,115 Cr (Q3): New quarterly high, Bengaluru clearly didn’t get the slowdown memo.
- 9M Sales ₹6,097 Cr: All-time record—Sobha casually broke its own ceiling.
- Avg realization ₹14,500/sq ft: Prices up 8%, buyers still saying “take my money.”
- EBITDA ₹78 Cr: Sales partied hard, profits went home early.
- PAT ₹15 Cr: Accounting said “OC nahi mila.”
- Net cash positive: Rare species spotted in real estate.
3. Management’s Key Commentary (Decoded 😏)
“First 9 months have been truly exceptional with sales of ₹6,097 Cr.”
(Translation: Demand is alive, breathing, and buying 3BHKs.)
“Bengaluru achieved its highest ever quarterly sales of over ₹1,500 Cr.”
(Translation: IT jobs > macro worries.)
“₹500 Cr revenue couldn’t be recognized due to OC delays.”
(Translation: Profits stuck in government inbox.) 😐
“Unrecognized revenue stands at ₹18,600 Cr with ~30% project margins.”
(Translation: Future earnings loading… please wait.) 😏
“Margins will expand meaningfully as completions accelerate.”
(Translation: Trust us, the good stuff is in the next few quarters.)
“We have net negative debt.”
(Translation: Banks need Sobha more than Sobha needs banks.) 💪
4. Numbers Decoded
| Metric | Q3 FY26 | Decoded Meaning |
|---|---|---|
| Sales | ₹2,115 Cr | Demand engine in top gear |
| Cash inflow | ₹1,985 Cr | Customers paying faster than expected |
| EBITDA margin | ~8% | OC delays killed the vibe |
| Unrecognized revenue | ₹18,600 Cr | Profit backlog bigger than order book |
| Gross debt | ₹997 Cr | Practically pocket change |
| Cash balance | ₹1,790 Cr | Balance sheet flex 💼 |
