Cube Highways Trust (543899) Q1 26/27 earnings summary

Executive summary

• Achieved a landmark transition from a privately listed to a publicly listed InvIT via a ₹5,000 crore (INR 50,000 Mn) offer for sale, becoming India's largest public listed InvIT with over 17,000 unit holders and broad institutional ownership.

• Delivered strong Q1 FY27 results with 19.3% year-on-year revenue growth and 11.5% year-on-year toll revenue growth, supported by robust traffic and macroeconomic tailwinds.

• Portfolio comprises 27 road assets across 13 states/UTs, with 2,005 km under management and an average residual concession life of 17.8 years.

• Declared Q1 FY27 distribution of ₹3.95 per unit (₹531 crore/INR 5,309.08 million), with cumulative distribution since listing at ₹38.81 per unit.

• Recognized for operational excellence and ESG initiatives, with multiple industry awards in asset management and smart highway solutions.

Significant events and developments

• Oversubscribed public listing (9.42x) marked a major milestone, broadening the investor base.

• Initiated acquisition of four new assets, with two having completed all key conditions and two pending one key condition each; unit holder approvals for preferential issuance expected by end of August or early September.

• Raised ₹637 crore (INR 6,370 million) via 7.3925% fixed rate NCD, extending debt maturity profile.

• Credit ratings for borrowings reaffirmed at AAA/Stable by multiple agencies in April and June 2026.

• Multiple awards for asset management, digital technology, and O&M practices.

Segment performance

• Q1 FY27 saw 9.3% year-on-year traffic growth and 11.5% year-on-year toll revenue growth, with comparable operating day toll revenue growth at 12%.

• Toll revenue growth led by key assets in Ghaziabad, DA Toll Road, NAM Expressway, Tamil Nadu corridors, and others posting double-digit growth.

• Annual pass adoption among private cars averaged 32%, with ₹108 crore (INR 1,081 million) compensation recognized.

• Annuity and HAM assets provided stable cash flows; all scheduled annuities for Q1 FY27 received.

• Impairment reversal of ₹1,421 million recognized in the quarter.