Phoenix Mills (503100) Q2 25/26 earnings summary

Executive summary

• Revenue for H1 FY2026 reached INR 2,068 crore, up 14% year-over-year; Q2 revenue was INR 1,115 crore, up 22% year-over-year.

• Consolidated EBITDA for H1 was INR 1,231 crore, up 17% year-over-year; Q2 EBITDA was INR 667 crore, up 29% year-over-year.

• Net profit for H1 FY26 was INR 703 crore, up 16% year-over-year; Q2 net profit was INR 383 crore, up 32% year-over-year.

• Diluted EPS for H1 FY26 was INR 15.23, up 21% year-over-year.

• Growth was driven by strong retail and residential performance, with board and audit committee approval of results.

Financial highlights

• Operating cash flow for H1 was INR 981 crore, up 21% year-over-year.

• Total CapEx for H1 was INR 658 crore, mainly for ongoing project construction.

• Gross debt reduced to below INR 5,000 crore; net debt declined by INR 500 crore to INR 2,200 crore.

• Net debt-to-EBITDA ratio reduced to ~0.9x as of Sep 2025 from ~1.2x in Mar 2025.

• Average cost of debt declined to 7.68% in Sep 2025.

Outlook and guidance

• Confident of delivering double-digit growth across the retail portfolio in FY2026, supported by festive momentum and strong consumer demand.

• Office portfolio targets 80-90% occupancy across assets by end of the current quarter; occupancy improved from 67% to 77% between March and September 2025.

• Retail and office expansions in Kolkata, Surat, and Bangalore are on track for completion between 2026 and 2027.

• Land acquisition and new project pipeline to continue, aiming for 1-2 million sq ft of retail delivery annually beyond 2030.

• Ongoing merger and amalgamation process for certain subsidiaries and step-down subsidiaries filed with NCLT.