Any current/future new fundraising through debt or equity?

No explicit mention of new fundraising through equity in the transcript. Management indicates a policy to keep debt-to-equity ratio between 0.5 and 1.0, targeting around 1.0 as manageable. Debt service coverage ratio is strong at 2.2, showing capacity to meet interest and repayments. Debt is likely to reduce over the next two years due to increasing equity and lower borrowing needs. Construction is mostly financed through collections; no need to borrow more currently. Leveraging is being used since cost of debt is lower than profits, but they maintain control post-pandemic lessons. No specific

Any current/future capex/capital investment/strategic investment?

Marathon Nextgen Realty is actively developing a 14-acre slum rehabilitation project in Bhandup, with ongoing construction and planned yearly launches of about 1 acre from this land bank. The company has a strong upcoming project pipeline of approximately 31.5 lakh square feet with an estimated sale value of ₹4,660 crores, targeting launches mainly in Monte South, Neo Park, and Nexzone. In 2024, they plan to launch around 9 lakh square feet across Monte South, Neo Park, and Nexzone, amounting to about ₹1,200 crores. They are also exploring redevelopment projects in prime locations like Worli,

Future growth expectations in sales/revenue/volumes?

Marathon Nextgen Realty anticipates strong growth with a healthy launch pipeline and vast land parcels across the MMR region ready for development. Planned launches in 2024 include approximately 9 lakh sq.ft across Monte South, Neo Park, and Nexzone totaling around ₹1,200 crores. The company targets launching about 31.5 lakh sq.ft of saleable area valued at approximately ₹4,660 crores over the next few years. Price increases of 5% to 7% have been realized in the past year, with expectations of another 7% to 10% price hike over the next three years for high-quality branded projects. Sales veloc

Future growth expectations in earnings/operating earnings/profits/EPS?

The company has shown strong performance in H1 FY24 with net revenues of ₹339 crores, EBITDA of ₹146 crores, PBT of ₹80 crores, and PAT of ₹78 crores, all improving significantly over H1 FY23. Optimistic about future growth driven by healthy demand, efficient project execution, and a robust launch pipeline. Over next three years, expecting 7% to 10% price increases in quality branded projects, supporting value growth. Sales velocity is good across projects, with strong bookings and collections sustaining cash flow. Launch pipeline includes approx. 31.5 lakh sq.ft. totaling ₹4,660 crores over 1

Current/ Expected Orderbook/ Pending Orders?

Marathon Nextgen Realty Limited has a strong launch pipeline with approximately 31.5 lakh square feet of saleable area upcoming. The estimated sale value of this pipeline is around ₹4,660 crores. In 2024, the company plans to launch close to 9 lakh square feet across Monte South, Neo Park, and Nexzone, valuing approximately ₹1,200 crores. The Bhandup land parcel (14 acres) includes ongoing construction of rehab buildings and plans for new sales buildings, with sales performing well in the ₹40-60 lakh ticket size range. Total pending estimated project cost to be incurred is ₹858 crores. Total e

IN US

Sale is live|00:00:00left today

Marathon Nextgen Realty LtdQ3 FY23Realty

Marathon Nextgen Realty Ltd Q3 FY23 Earnings Call Analysis

Revenue, margin, capex, fundraise and order book outlook from management commentary.

Price: ₹404P/E: 15.3Market Cap: ₹3.3K CrSector: Realty

Management growth scorecard

Revenue

Category 3

Margin

Category 3

Fundraise

Yes

Order

Yes

Capex

Yes

3 of 5 growth signals are positive.

Full analysis

Revenue guidance

Category 3

→Marathon Nextgen Realty anticipates strong growth with a healthy launch pipeline and vast land parcels across the MMR region ready for development.
→Planned launches in 2024 include approximately 9 lakh sq.ft across Monte South, Neo Park, and Nexzone totaling around ₹1,200 crores.
→The company targets launching about 31.5 lakh sq.ft of saleable area valued at approximately ₹4,660 crores over the next few years.
→Price increases of 5% to 7% have been realized in the past year, with expectations of another 7% to 10% price hike over the next three years for high-quality branded projects.
→Sales velocity is strong, e.g., Monte South is selling 15-18 units per month in the high-ticket segment.
→Debt levels are expected to remain manageable or reduce slightly over two years, supporting sustainable growth.
→The company focuses on higher sales volumes alongside price optimization rather than inventory holding for price appreciation.

Margin guidance

Category 3

→The company has shown strong performance in H1 FY24 with net revenues of ₹339 crores, EBITDA of ₹146 crores, PBT of ₹80 crores, and PAT of ₹78 crores, all improving significantly over H1 FY23.
→Optimistic about future growth driven by healthy demand, efficient project execution, and a robust launch pipeline.
→Over next three years, expecting 7% to 10% price increases in quality branded projects, supporting value growth.
→Sales velocity is good across projects, with strong bookings and collections sustaining cash flow.
→Launch pipeline includes approx. 31.5 lakh sq.ft. totaling ₹4,660 crores over 12-48 months, with ₹1,200 crores planned for launch in 2024.
→Debt expected to reduce over the next two years, improving financial health.
→Overall, management anticipates continued profit growth backed by expanding project launches, pricing power, and controlled leverage.

3 more insights locked — sign up free to unlock

Fundraise plans

Yes

→No explicit mention of new fundraising through equity in the transcript.
→Management indicates a policy to keep debt-to-equity ratio between 0.5 and 1.0, targeting around 1.0 as manageable.
→Debt service coverage ratio is strong at 2.2, showing capacity to meet interest and repayments.
→Debt is likely to reduce over the next two years due to increasing equity and lower borrowing needs.
→Construction is mostly financed through collections; no need to borrow more currently.
→Leveraging is being used since cost of debt is lower than profits, but they maintain control post-pandemic lessons.
→No specific plans for fresh debt or equity fundraising announced; focus is on sustainable debt management and equity growth through operations.

Order book

Yes

→Marathon Nextgen Realty Limited has a strong launch pipeline with approximately 31.5 lakh square feet of saleable area upcoming.
→The estimated sale value of this pipeline is around ₹4,660 crores.
→In 2024, the company plans to launch close to 9 lakh square feet across Monte South, Neo Park, and Nexzone, valuing approximately ₹1,200 crores.
→The Bhandup land parcel (14 acres) includes ongoing construction of rehab buildings and plans for new sales buildings, with sales performing well in the ₹40-60 lakh ticket size range.
→Total pending estimated project cost to be incurred is ₹858 crores.
→Total estimated revenue from unsold inventory stands at ₹1,727 crores.
→Cash collections from sold units (completed and ongoing) stand at ₹642 crores as of September 30, 2023.

Capex plans

Yes

→Marathon Nextgen Realty is actively developing a 14-acre slum rehabilitation project in Bhandup, with ongoing construction and planned yearly launches of about 1 acre from this land bank.
→The company has a strong upcoming project pipeline of approximately 31.5 lakh square feet with an estimated sale value of ₹4,660 crores, targeting launches mainly in Monte South, Neo Park, and Nexzone.
→In 2024, they plan to launch around 9 lakh square feet across Monte South, Neo Park, and Nexzone, amounting to about ₹1,200 crores.
→They are also exploring redevelopment projects in prime locations like Worli, Walkeshwar, and Pedder Road, with 4-5 proposals under due diligence, though announcements are expected two quarters away.
→The focus is on high-quality branded projects with price hikes anticipated at 7-10% over the next 3 years, supporting ongoing investments and launches.

How does Marathon Nextgen Realty Ltd rank vs peers in Realty?

Pro feature

1Marathon Nextgen Realty Ltd

Rev 3Mar 3

See full Realty sector rankings

Want more stocks like Marathon Nextgen Realty Ltd?

Build an AI portfolio filtered by sector, market cap, and growth rank. Takes 2 minutes.

Build my portfolio