Oberoi Realty Reports Record FY26 Annual Net Profit of ₹2,507 Crore; Q4 Net Profit Jumps 62% YoY

Record Full-Year Earnings as Project Completions Accelerate

Oberoi Realty's Board of Directors, at its meeting held on May 8, 2026, approved the audited consolidated and standalone financial results for the year ended March 31, 2026. The Mumbai-based premium real estate developer's net profit for the fourth quarter of financial year 2026 grew 62.35 per cent year-on-year to Rs 703.28 crore on the back of strong revenue growth.

Net profit came in at Rs. 2,507.43 crore, the highest in the company's listed history, up 12.7 percent from Rs. 2,225.51 crore in FY25. Consolidated revenue from operations grew 13.7 percent to Rs. 6,009.06 crore in FY26, from Rs. 5,286.27 crore in FY25.

Quarterly Performance Exceeds Estimates

On a quarterly basis, consolidated net profit surged to Rs 70,328 lakh in Q4 FY26 from Rs 43,317 lakh in Q4 FY25, while revenue from operations grew to Rs 1,74,983 lakh from Rs 1,15,014 lakh year-on-year. The profit in Q4FY26 beat the Bloomberg analysts' poll estimate of Rs 649.73 crore.

EBITDA margin expanded to 54.88% from 53.74% over the same period. The stronger-than-expected performance reflects accelerated project deliveries in the final quarter, a pattern consistent with real estate revenue recognition using percentage-of-completion or transfer-of-control accounting, so deliveries and project milestones create lumpiness.

Capital Deployment and Balance Sheet Strengthening

The Board declared a 4th interim dividend of Rs 2 per share for FY25-26, with record date May 14, 2026 and payment on or before May 22, 2026. This marks the fourth interim dividend distribution during the fiscal year, underscoring the company's confidence in cash generation.

The company's balance sheet has improved substantially. The debt equity ratio improved to 0.16 and Rs 1,50,000 lakh in NCD proceeds were fully utilised without deviation. Finance costs fell to Rs. 240.63 crore from Rs. 265.23 crore, as NCD balances were progressively reduced.

Revenue Segment Mix and Operating Performance

The group operates two reportable segments: real estate, which contributed Rs. 5,811.08 crore to FY26 consolidated revenue, and hospitality (The Westin Mumbai Garden City and Oberoi Mall), which contributed Rs. 197.98 crore. Real estate accounted for approximately 97% of consolidated revenue.

The filing's reported full-year operating margin came in at 55.50 percent, against 58.70 percent in FY25. This margin compression reflects cost pressures from the project mix rather than operational deterioration. Land, development rights, construction and other costs rose 46.7 percent to Rs. 3,001.71 crore, faster than the 13.7 percent revenue growth. This reflects a project mix with higher absolute construction costs at this stage. Oberoi's ongoing developments are large-scale and premium, where fit-out and delivery costs are proportionally heavier in later phases.

Pre-Sales and Booking Activity

Oberoi Realty's bookings for FY26 stood at Rs 5,447 crore, up 3.14 per cent YoY. However, the number of units booked declined 24.86 per cent YoY to 698. Carpet area booked during the same period also decreased 10.61 per cent YoY to 1,147,557 square feet. The lower unit and area numbers reflect a shift toward larger, higher-value units in the portfolio mix, consistent with the company's premium positioning.

Capital Raising and Future Funding

The company's board of directors on Friday also approved raising funds of up to Rs 4,000 crore through the issuance of non-convertible debentures (NCDs) on a private placement basis. This funding authorization follows the company's major land acquisition in February 2026. In February 2026, Oberoi Realty emerged as the highest bidder for an RLDA land parcel in Bandra East (a 99-year lease on approximately 11 acres with 19.5 lakh sq ft of Floor Space Index) at Rs. 5,400 crore.

Developer Context

Incorporated in 1998, Oberoi Realty Limited develops premium residential, commercial, retail, hospitality, and social infrastructure assets in Mumbai. Promoter Vikas Oberoi holds 67.71 percent, unchanged since FY20. The company is listed on both BSE and NSE, with FIIs and domestic institutional investors holding material stakes.

Oberoi's portfolio spans multiple micro-markets across Mumbai, Thane, and Gurgaon. Current developments include residential towers in Thane (Forestville, Jardin at Oberoi Garden City), luxury residential and commercial projects in central Mumbai, and ultra-luxury residential developments in Gurgaon's Sector 58. The company also operates retail assets through Sky City Mall in Borivali and commercial office space through the Commerz platform.

Audit and Compliance

The statutory auditors, S R B C & CO LLP, issued their audit reports with an unmodified opinion on both the consolidated and standalone financial results. The results were prepared in accordance with Indian Accounting Standards (Ind AS) as prescribed under Section 133 of the Companies Act, 2013.