Stock Snapshot
Price Performance
Recommendation Rationale
Strong growth outlook supported by record bookings and strategic expansion plans.
Basis of our Recommendation
Arvind SmartSpaces concluded FY26 with record bookings and a robust project pipeline, positioning itself for significant growth in the residential real estate sector. Management is optimistic about achieving a 35-40% growth in booking value for FY27, supported by strategic expansions and a disciplined asset-light approach. However, potential execution complexities and rising commodity prices pose risks that need monitoring.
Why We Like This Stock
- Record annual booking value of INR1,550 crores, representing 22% YoY growth
- Plans for 6 new launches in FY27 with a total inventory potential of INR3,000-3,500 crores
- Strong project pipeline with 57.9 msf under execution and significant capital backing
Things To Watch Out For
- Potential project execution complexities, particularly noted with the Surat project withdrawal
- Need to monitor sustained increases in commodity prices impacting margins
Key Parameters
Financial Snapshot
| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 341 | 713 | 564 | 714 | 881 |
| Profit Before Tax (Cr.) | 69 | 153 | 135 | 164 | 203 |
| PBT Margin | 20.3% | 21.5% | 23.9% | 23.0% | 23.1% |
| Net Profit (Cr.) | 49 | 115 | 97 | 111 | 137 |
| EPS | 8.6 | 23.1 | 19.7 | 24.2 | 29.9 |
Company Overview
Show Company Profile
Arvind SmartSpaces Limited, together with its subsidiaries, engages in the development of real estate projects in India. The company develops residential, commercial, industrial, and hospitality projects, including villa townships, apartment complexes, plotted developments, commercial hubs, and industrial parks. It serves individual retail clients and corporate entities. The company was formerly known as Arvind Infrastructure Limited and changed its name to Arvind SmartSpaces Limited in November 2016. Arvind SmartSpaces Limited was incorporated in 2008 and is headquartered in Ahmedabad, India.