Arihant Superstructures Limited — PPTs, 26-05-2025: Investor Presentation

1. Financial Highlights:

Arihant Superstructures posted revenue of INR 1526 Mn with EBITDA at INR 222 Mn, resulting in a margin of 14.55% for the quarter. PAT was INR 113 Mn, reflecting a PAT margin of 7.4%, impacted by higher interest costs and an INR 36 Cr rise in indirect expenses for senior talent. Collections stood at INR 1387 Mn on sales of 272 units (2.49 lakh sqft) worth INR 1858 Mn. For FY25, revenue reached INR 4988 Mn with EBITDA margins at 20.91% and PAT margin at 10.97%. Gross debt is INR 7384 Mn, net debt INR 6859 Mn, net worth INR 3778 Mn, and adjusted net debt/equity ratio is 1.02.

2. Strategic Initiatives & Growth Drivers:

ASL expanded its land bank with INR 301 Cr investments, boosting GDV from INR 6500 Cr to INR 12,500 Cr without fund raising. Upcoming projects include “World Villas” (390 villas, 1 mn sqft, GDV INR 1200 Cr+) near Navi Mumbai Airport, plus a 5-star hotel (221 keys) and sports gymkhana aimed at annuity revenue. The company targets affordable to mid-income housing while growing premium luxury offerings, diversifying its portfolio to reduce risks.

3. Business Developments:

ASL acquired ~88 acres at Chowk for its luxury township, incorporating villas, hotel, and club facilities via a wholly owned subsidiary. This supports its asset creation and annuity income strategy. Multiple projects in Navi Mumbai and Jodhpur are progressing, with occupancy certificates received for some phases, driving steady revenue recognition.

4. Market Position & Competitive Advantage:

ASL leads Navi Mumbai’s affordable-mid segment with 62+ projects and 12,000+ units delivered, holding an 11% market share. It benefits from low land costs (<INR 400/sq.ft), strong brand recall, and in-house capabilities in land acquisition, design, and sales, ensuring timely project delivery and cost efficiency. A balanced mix across affordable, mid-income, and premium segments adds resilience across cycles.

5. Investor Implications:

Expansion in land bank and entry into hospitality/luxury villas point to positive growth potential backed by annuity revenue. Margin pressure from finance costs and rising expenses introduces execution risk, but location advantage near Navi Mumbai Airport and disciplined cost control support fundamentals. Investors should track project execution and collections while valuing the company’s leadership in MMR’s affordable-mid housing space.