Marathon Nextgen Realty Q2 FY27 results: net profit down 32.1% to ₹45.19 crore, revenue up 10.4%

How did Marathon Nextgen Realty perform in Q2 FY27?

Marathon Nextgen Realty reported consolidated revenue of ₹128.95 crore for the quarter ended September 30, 2026, against ₹116.85 crore in Q2 FY26 and ₹197.50 crore in Q1 FY27. Total income was ₹144.70 crore, down 6.7% year on year from ₹155.06 crore and down 33.3% from ₹216.99 crore in the previous quarter.

EBITDA was ₹45.09 crore, with an EBITDA margin of 35.0%. That compares with ₹42.02 crore and 36.0% a year earlier, and ₹46.52 crore and 23.6% in Q1 FY27, so margin widened by 11.4 percentage points sequentially but was 1.0 percentage point lower year on year.

Profit before tax was ₹59.72 crore, down 23.2% from ₹77.77 crore a year earlier and 8.0% from ₹64.94 crore in Q1 FY27. Net profit was ₹45.19 crore, down 32.1% year on year and 13.8% sequentially, with basic EPS of ₹6.70 against ₹9.80 and ₹7.78. On a standalone basis, revenue was ₹62.04 crore and net profit was ₹47.79 crore.

What changed in Marathon Nextgen Realty's costs and profit?

Total expenses for Q2 FY27 were ₹84.97 crore, up 9.9% from ₹77.29 crore in Q2 FY26 and down 44.1% from ₹152.06 crore in Q1 FY27. Cost of materials was the largest cost line at ₹99.13 crore, up 29.1% year on year from ₹76.79 crore and up 31.1% from ₹75.64 crore in the previous quarter.

Employee cost rose 18.5% to ₹7.82 crore from ₹6.60 crore a year earlier, while other expenses rose 10.1% to ₹9.35 crore from ₹8.49 crore. Finance costs fell 65.2% to ₹0.72 crore from ₹2.07 crore and depreciation was ₹0.38 crore against ₹0.39 crore.

Other income fell 58.8% to ₹15.74 crore from ₹38.21 crore a year earlier and fell 19.2% from ₹19.49 crore in Q1 FY27. Tax expense rose 28.6% to ₹18.06 crore from ₹14.04 crore, and there was no exceptional item in the quarter.

The filing does not state a reason for the lower other income or the higher cost of materials. On the reported figures, the fall in other income was larger than the rise in operating expenses, which is what separated the higher EBITDA from the lower profit before tax.

How did the first half of FY27 go?

For the first half of FY27, consolidated revenue was ₹326.45 crore, up 26.7% from ₹257.67 crore in H1 FY26. Total income was ₹361.69 crore, up 4.5% from ₹345.98 crore, and profit before tax was ₹124.66 crore, down 14.7% from ₹146.21 crore.

Net profit for the half year was ₹97.62 crore, down 23.8% from ₹128.11 crore in H1 FY26, and basic EPS was ₹14.48 against ₹21.22, a fall of 31.8%.

What do the balance sheet and cash flow show?

As of September 30, 2026, total assets stood at ₹2,810.33 crore against ₹2,759.63 crore as of March 31, 2026. Total equity rose to ₹2,420.92 crore from ₹2,329.74 crore, while borrowings rose to ₹136.42 crore from ₹99.38 crore.

Cash fell to ₹13.46 crore from ₹83.29 crore at the previous balance sheet date. Inventories declined to ₹796.04 crore from ₹837.10 crore, trade receivables rose to ₹89.74 crore from ₹57.25 crore, and trade payables were ₹55.65 crore against ₹54.64 crore.

For H1 FY27, operating cash flow was negative ₹42.55 crore against positive ₹83.53 crore in H1 FY26. Investing cash flow was negative ₹62.94 crore compared with negative ₹421.06 crore, and financing cash flow was positive ₹35.66 crore against positive ₹350.23 crore.

How has Marathon Nextgen Realty done over the last 8 quarters?

Revenue rose in each of the last two quarters year on year, and the quarterly sequence shows the current quarter at ₹128.95 crore against ₹197.50 crore in Q1 FY27. Revenue peaked at ₹197.50 crore in Q1 FY27 and was at its lowest at ₹113.55 crore in Q4 FY26 in the period covered.

Net profit was ₹45.19 crore in Q2 FY27, down from ₹52.43 crore in Q1 FY27. Over the same eight quarters, profit was highest at ₹66.54 crore in Q2 FY26 and lowest at ₹32.73 crore in Q3 FY26.

The EBITDA margin moved to 35.0% in Q2 FY27 from 23.6% in Q1 FY27, close to the 36.0% recorded in Q2 FY26. The margin had earlier fallen to 20.1% in Q3 FY26 after 29.5% in Q3 FY25, and has since moved higher.

What did Marathon Nextgen Realty's management say?

In the investor presentation dated November 4, 2026, management said Q2 FY27 pre-sales were ₹154 Cr and collections were ₹127 Cr. Management said residential pre-sales rose 70% QoQ on broad-based demand, while Grade-A commercial demand in Mumbai remained strong and the balance sheet was net debt-free.

Management said the company expects to acquire the 60% stake held by Adani Realty in Monte South for a consideration of ₹335 Crore, moving from 40% ownership to 100% ownership post-acquisition. Management said the company's share of Monte South unsold GDV is expected to increase ~2.5x from ~₹2,600 Cr to ~₹6,500 Cr post-acquisition.

Management said the proposed amalgamation, subject to requisite approvals, is expected to further expand the pipeline, adding 418 acres of land and 4.20 Cr sq. ft. of developable/unsold area. Management also listed the Monte South Commercial launch at 7.5 lakh sq. ft. and ₹3,400 Cr Gross Development Value, Monte South Residential Tower D as a future launch at 4 lakh sq. ft. and ₹1,800 Cr GDV, and the Marathon Neo Series as a future launch at 15.82 lakh sq. ft. and ₹2,792 Cr GDV.

Management gave no formal sales, revenue or margin target, and the deck set no closing or launch timetable for the Monte South acquisition, the announced and future launches, or the Panvel, Dombivli and Bhandup monetization plans. Management flagged that the proposed amalgamation and the associated pipeline additions are explicitly subject to requisite approvals, and that the 34%-owned Projects in Kanjurmarg showed no area sold, booking value or collections in the Q2 FY27 project synopsis.

How did Marathon Nextgen Realty shares react?

The results were announced after market on October 21, 2026. From the price when the filing appeared, the stock was up 5.1% after 5 minutes, 2.7% after 15 minutes and 2.3% after 30 minutes. On the reaction day it was up 3.4% from the previous close of ₹353.35.

By the next day's close the stock was up 4.3% from its pre-results close, and by the fifth day it was up 6.1%. The Residential Commercial Projects industry median moved down 0.7% on the reaction day and down 3.6% by the next day, while the Nifty Microcap 250 was down 1.0% and down 3.3% over the same closes. The stock's excess return against the industry was 4.1 percentage points on the reaction day, 7.8 percentage points by the next day and 6.3 percentage points by the fifth day.

Earlier results-day moves were mixed: the stock fell 2.1% on August 7, 2026, fell 5.6% on May 27, 2026, fell 2.9% on February 13, 2026, rose 0.4% on November 11, 2025, fell 3.6% on August 11, 2025, rose 0.1% on May 21, 2025 and was unchanged on January 13, 2025.

How did other Residential Commercial Projects companies do?

Thirty-five Residential Commercial Projects companies filed results this quarter, with a median revenue growth of 27.1%. Of those peers, 15 grew revenue more slowly than Marathon Nextgen Realty and 20 grew faster than the company.

Twenty-one of the 35 peers reported higher profit, on a comparison base of 35 companies. Marathon Nextgen Realty's consolidated revenue growth of 10.4% for the quarter was below the industry median of 27.1%.