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Key Points

Kalpataru Ltd's revenue plummeted nearly 47% in FY24 as it launched its ₹1,590 crore IPO. The Mumbai-based developer managed to halve its net losses despite the sharp revenue decline. Major institutional investors like GIC and Bain Capital have already committed ₹708 crore as anchor investments. The company, known for projects across Mumbai, Pune and Bengaluru, currently has 40 ongoing developments.

Key Points: Kalpataru Ltd FY24 revenue drops 47% as IPO opens for bidding

  • Revenue fell 47% to ₹1,929.9 crore in FY24
  • Net loss halved to ₹113.8 crore
  • IPO aims to raise ₹1,590 crore
  • Anchor investors include GIC and Bain Capital
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Kalpataru Ltd's revenue drops nearly 47 pc in FY24; net loss stood at Rs 113.8 crore

Kalpataru Ltd reports 47% revenue decline in FY24 but narrows losses to ₹113.8 crore as its ₹1,590 crore IPO goes live

"Kalpataru narrowed its net loss to ₹113.8 crore in FY24 from ₹226.7 crore in FY23 - DRHP filing"

Mumbai, June 24

Real estate developer Kalpataru Limited, which saw its initial public offering (IPO) open for bidding on Tuesday, reported its revenue from operations decline sharply by approximately 46.89 per cent year-on-year (YoY) -- falling from Rs 3,633.1 crore in the financial year ended March 31, 2023, to Rs 1,929.9 crore in FY24, as per its Draft Red Herring Prospectus (DRHP) filing.

The company also reported a drop in total income, which fell to Rs 2,029.9 crore in FY24 from Rs 3,716.6 crore in FY23 -- a decline of around 45.38 per cent.

Despite the fall in revenue and income, Kalpataru managed to reduce its net loss during the year. The company narrowed its net loss to Rs 113.8 crore in FY24 from Rs 226.7 crore in FY23.

However, the company reported a net profit of Rs 5.51 crore for the nine-month period ended December 31, 2024, with revenues of Rs 1,624.7 crore.

Total expenses also came down significantly to Rs 2,125.2 crore from Rs 3,874.5 crore in the previous financial year.

Kalpataru’s initial public offering (IPO) opened for bidding on Tuesday. It will remain open for subscription until Thursday (June 27).

The Mumbai-based real estate company has priced its shares in the range of Rs 387 to Rs 414 per share, with a minimum lot size of 36 equity shares.

The IPO is entirely a fresh issue of 3,84,05,797 equity shares, aiming to raise Rs 1,590 crore.

Kalpataru has already secured Rs 708 crore from anchor investors by allotting over 1.71 crore shares at Rs 414 each.

The anchor book includes reputed names such as GIC, Bain Capital, SBI Mutual Fund, ICICI Prudential MF, 360 ONE Group, Aditya Birla Sun Life, and Ayushmat.

Founded in 1988, Kalpataru Limited is a real estate development company known for its residential and commercial projects, retail spaces, and integrated townships across cities like Mumbai, Thane, Pune, Hyderabad, Bengaluru, Indore, Panvel, and Jodhpur.

As of March 31, 2024, the company has completed 70 projects and has 40 ongoing ones.

Kalpataru is part of the broader Kalpataru Group, which also includes Kalpataru Projects International, Property Solutions (India), and Shree Shubham Logistics among others.

The company has allocated Rs 15.9 crore worth of shares for its eligible employees, who will also receive a discount of Rs 38 per share.

Of the total issue, 75 per cent has been reserved for Qualified Institutional Buyers (QIBs), 15 per cent for Non-Institutional Investors (NIIs), and 10 per cent for retail investors.

- IANS

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Reader Comments

R
Rahul K.
Such a massive revenue drop is concerning, but at least they've reduced losses. The real estate sector has been struggling post-pandemic. Hope this IPO brings fresh capital to complete their ongoing projects. 🤞
P
Priya M.
Anchor investors like SBI MF and ICICI Prudential show some confidence, but retail investors should be careful. The ₹414 upper price band seems ambitious given their financials. Better to wait for listing day performance.
A
Amit S.
They've completed 70 projects - that's impressive! But why such poor financials? Maybe too much expansion too fast. Need more transparency about which projects are profitable and which are dragging them down.
S
Sunita R.
As someone who bought Kalpataru apartment in Pune, I can say their construction quality is good but delivery was delayed by 18 months. Hope IPO money helps them improve execution timelines.
V
Vikram J.
The 9-month profit of ₹5.5 cr is a positive sign, but is it sustainable? Real estate is cyclical. Investors should look at long-term trends rather than short-term improvements.
N
Neha P.
With 40 ongoing projects, they clearly need funds. But ₹1590 cr seems too much for a company with ₹1929 cr revenue. Would rather invest in established players like DLF or Godrej Properties.

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