Why Did Ajmera Realty's Q4 Profit Decline by 12%?
Click to start listening
Synopsis
Ajmera Realty and Infra India Limited reported a significant decline in its Q4 financial performance, with profits down 12% and revenues dropping 34.68%. This article delves into the company's financial health and future outlook, providing essential insights for investors and market watchers.
Key Takeaways
- Net profit decreased by 12% in Q4 FY25.
- Revenue fell by 34.68% to Rs 151.39 crore.
- EBITDA dropped by 33.4%, but margins remained stable.
- A final dividend of Rs 4.5 per share has been proposed.
- Stock price has seen a significant decline over the past year.
Mumbai, May 14 (NationPress) Ajmera Realty and Infra India Limited announced a decrease in its consolidated net profit and revenue for the fourth quarter of the financial year ending March 2025. The company's net profit dipped by 12 percent year-on-year (YoY), reaching Rs 25.3 crore in Q4, down from Rs 28.8 crore in the same quarter last fiscal (Q4 FY24).
Revenue experienced a significant drop of approximately 34.68 percent, totaling Rs 151.39 crore, compared to Rs 231.8 crore in Q4 FY24.
Total income from operations also fell by 34.4 percent to Rs 154 crore during the quarter.
Ajmera’s earnings before interest, taxes, depreciation, and amortization (EBITDA) saw a decline of 33.4 percent to Rs 45.7 crore, down from Rs 68.6 crore in the year-ago quarter.
Nevertheless, EBITDA margins held steady at 29.7 percent, a slight increase from 29.3 percent reported in the same period last financial year.
The board has proposed a final dividend of Rs 4.5 per equity share (face value of Rs 10 each) for the financial year ending March 31.
“This dividend is subject to approval at the company's forthcoming Annual General Meeting (AGM) and will be distributed within 30 days following the AGM,” the company disclosed in its regulatory filing.
Shares of the company decreased by Rs 4.85 or 0.6 percent, closing at Rs 810 on the National Stock Exchange (NSE).
Over the past month, the stock has fallen by Rs 29.70 or 3.54 percent. In the last six months, it has dropped by Rs 74.05 or 8.38 percent.
Year-to-date (YTD), shares have decreased by Rs 319.05 or 28.26 percent.
Dhaval Ajmera, Director-Operations and Strategy at Ajmera Realty, remarked that "FY25 showcased robust fundamentals, operational discipline, and strong demand."
Point of View
It’s crucial to recognize that Ajmera Realty's recent financial downturn is a reflection of broader economic trends impacting the real estate sector. While the decline in profit and revenue raises concerns, the company's commitment to operational discipline and robust fundamentals could serve as a foundation for recovery in future quarters.
NationPress
17/06/2025
Frequently Asked Questions
What caused Ajmera Realty's profit decline?
The decline in Ajmera Realty's profit can be attributed to a significant drop in revenue, which fell by 34.68 percent compared to the previous year.
What are the EBITDA margins for Q4?
The EBITDA margins remained stable at 29.7 percent, slightly higher than the 29.3 percent reported in the same quarter last year.
Will Ajmera Realty pay dividends?
Yes, Ajmera Realty's board has recommended a final dividend of Rs 4.5 per equity share, pending approval at the upcoming AGM.
