Company Update : Keystone Realtors Ltd by JM Financial Services Ltd
Solid start to FY26
Keystone Realtors (Rustomjee) announced 1QFY26 pre-sales of INR 10.7bn (+75% YoY, +25% QoQ) which was above our estimates of INR 9.5bn. The company achieved quarterly collections of INR 5.8bn (+19% YoY; down 23% QoQ). During the quarter, Rustomjee launched 3 projects, “Rustomjee Balmoral” at Chembur, “Rustomjee Crescent” at Pali Hill and “Rustomjee Cliff Tower” at Bandra. These three projects cumulatively have a saleable area of 0.9msf and an estimated GDV of INR 40bn. With these launches, the company has already achieved 57% of its full-year FY26 guidance. Rustomjee has exceeded its full-year business development (BD) guidance of INR 60bn. During the quarter, it has added three new redevelopment projects with an estimated GDV of INR 77.3bn. We expect this strong momentum to continue in the near term and project pre-sales to grow at 34% CAGR over FY25-28E. We maintain BUY with a TP of INR 855.
* Strong quarter: Rustomjee reported 1QFY26 quarterly pre-sales of INR 10.7bn (+75% YoY; +25% QoQ) which was above our estimates of INR 9.5bn. Area sold for the quarter stood at 0.6msf (+159% YoY; +9% QoQ). Rustomjee recorded quarterly collections of INR 5.8bn (+19% YoY; down 23% QoQ), 14% lower than our estimates of INR 6.0bn.
* Other operational updates: During the quarter, Rustomjee launched 3 projects, “Rustomjee Balmoral” at Chembur, “Rustomjee Crescent” at Pali Hill and “Rustomjee Cliff Tower” at Bandra. These three projects cumulatively have a saleable area of 0.9msf and an estimated GDV of INR 40bn, thus achieving 57% of the full-year FY26 guidance. During the quarter, Rustomjee has added three new projects (“GTB Nagar” at Sion, “Lokhandwala Cluster” at Andheri West, “Swarganga CHSL” at Dindoshi Nagar Cluster, Goregaon East) with an estimated GDV of INR 77.3bn; all the three projects are redevelopment projects. With these three transactions, the company has exceeded its fullyear business development (BD) guidance of INR 60bn.
Please refer disclaimer at https://www.jmfl.com/disclaimer
SEBI Registration Number is INM000010361
