As of FY26, the company’s portfolio GDV stood at Rs 73,900 crore. Over the last six months, starting from March, the company has added redevelopment projects in MMR worth about Rs 4,300 crore to its portfolio.
The company will fund the capex required to execute its planned projects from its equity base. Jithendran said that the company’s net debt is now effectively nil after ABRE sold its pulp & paper business to ITC, which fetched roughly Rs 3,498 crore.
“We therefore have significant borrowing capacity, and our equity base is also strong. That money will largely go into planned acquisitions. Construction investments will largely be funded through customer receipts,” Jithendran told Business Standard.
The company is planning to launch residential projects with a GDV of Rs 9,600 crore in the second half of FY27 (H2FY27). It will launch projects in Pune, the Mumbai metropolitan region (MMR), and the National Capital Region (NCR) across the third and fourth quarters of FY27.
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The company has not launched any new projects so far. It reported bookings of Rs 329 crore in Q1FY27. Birla Estates’ bookings have grown at a compound annual growth rate (CAGR) of 67 per cent between FY21 and FY26.
Birla Estates is targeting annual bookings of Rs 15,000 crore in the next three fiscal years. Its FY26 bookings stood at Rs 8,136.3 crore.
According to Jithendran, profitable growth, deepening the company’s presence in its four established markets, and strengthening construction execution capabilities are the company’s top strategic priorities.
“We are investing significantly in building execution capabilities as part of our growth strategy. There is strong confidence at the group level about real estate. Real estate is a very important and focused growth segment for the group,” Jithendran added.
The Mumbai-based real estate developer is particularly upbeat about Pune. It is planning to launch the next phases of Birla Punya and Birla Evam – its premium projects in Pune – in Q4FY27, with a GDV of around Rs 1,012 crore.
Jithendran said the company has identified Pune as one of its four core markets, apart from MMR, Bengaluru, and NCR. He said that the city, considered an education hub, is seeing growth in its real estate landscape amid growing intra-city metro and road connectivity, proximity to the financial capital – Mumbai, no geographical constraints, and increased information technology (IT) and manufacturing activity.
The company has the International Finance Corporation (IFC) as a co-investor in Birla Evam, where it is selling residences at Rs 10,500 per square foot of carpet area. At Birla Punya, the company is currently selling homes at around Rs 20,000 per square foot of carpet area.
Overall, the total GDV of both projects is Rs 5,631 crore. Out of the total GDV, Birla Estates has launched inventory of Rs 2,084 crore so far and has achieved bookings of Rs 1,116 crore as of June 30, 2026.
“Price growth in Pune has not been as high as in markets such as Mumbai and NCR, but the market is stable and consistent. We are evaluating other micro-markets and looking to expand our presence in Pune. Adding more projects in Pune will be a key pillar of our growth strategy. We will be open to outright acquisitions and joint developments,” Jithendran added.
On profitability, Jithendran said that Birla Estates has now emerged as a completely focused real estate company after ABRE sold its pulp & paper business. He added that the profits will come from the company’s completed projects.
Previously, ABRE reported a loss (attributable to owners of the company) of Rs 38.55 crore in Q1FY27.
“In real estate, one has to complete a phase or a project for the profits to be booked. Until then, it sits on the balance sheet. That stage should come for us in a couple of years. We do not follow the percentage-of-completion method, as that is not what the accounting standards prescribe,” Jithendran said.
He added that the company’s projects are economically profitable. “It is a matter of time before we start recognising those profits as we deliver some of our larger projects.”
