Keystone Realtors Q1 FY27: Pre-Sales Dip Offset by Strong Collections & Land Bank Additions

Keystone Realtors (Rustomjee Group) reported its Q1 FY27 operational results, witnessing a decline in pre-sales due to a lack of new launches, though the company maintained robust cash collections and significantly expanded its land bank. Key Operational Highlights (Q1 FY27): Pre-Sales: Declined 42% YoY to INR 6.17 bn (from INR 10.68 bn), with area sold dropping 49% YoY to 0.32 mn sq ft. The slowdown was primarily due to the absence of new project launches during the quarter, with sales driven by sustenance bookings. Collections: Grew 4% YoY to INR 5.99 bn (from INR 5.75 bn), demonstrating strong cash flow realization from ongoing projects and previously sold units, thereby strengthening the company's liquidity position. Strategic & Business Updates: Land Bank Expansion: Added two new projects comprising 1.98 mn sq ft of saleable area with an estimated Gross Development Value (GDV) of INR 7.13 bn. The additions include "Utkarsh CHSL" in Goregaon East (reinforcing its cluster redevelopment leadership) and a plotted development in Igatpuri. Project Delivery: Successfully completed and handed over "Rustomjee Ashiana" at Juhu (0.07 mn sq ft). Credit Rating Upgrade: ICRA upgraded the company’s credit rating from 'A+ (Stable)' to 'AA- (Stable)', reflecting improved financial metrics and execution capabilities. CRISIL maintained its rating at 'AA- (Stable)'. Management Outlook: CMD Boman Irani highlighted that the company is well-capitalized and has a robust pipeline of new launches planned across the Mumbai Metropolitan Region (MMR). Management expects a significant pickup in sales momentum in the upcoming quarters, supported by improving macroeconomic conditions and geopolitical stability.