SOBHA Posts Record FY26 Sales, Accelerates Pune Expansion

SOBHA Limited has closed the 2025-26 fiscal year on a historic high. According to its regulatory filing, the Bengaluru-headquartered developer achieved its highest-ever annual sales bookings of Rs 8,135.9 crore during FY26, up from Rs 6,276.5 crore in the previous year. The company sold 5.54 million square feet at an average realisation of Rs 14,675 per square foot, a 9% jump over FY25's Rs 13,412 per sq ft, signalling sustained pricing power in a competitive residential market.

Commenting on the performance, the company noted that despite global headwinds including trade policy shifts and geopolitical tensions in West Asia, India's residential real estate sector remained resilient, supported by robust domestic consumption and a stable home-buying environment. Bangalore remained the biggest contributor, delivering 55% of total sales value and recording its own highest-ever annual sales of roughly Rs 4,500 crore, while Delhi-NCR contributed around 30%, driven largely by the company's expansion into Greater Noida.

FY26 was also a year of geographic expansion. SOBHA entered two new markets, Greater Noida and Mumbai, taking its operational footprint to 13 cities across India. The company launched 6.04 million sq ft of new projects across nine developments in six cities during the year, with notable Q4 launches including Sobha Woods Whispering Hill in Trivandrum, Sobha Altair in East Bangalore, and Sobha Rivana in Greater Noida.

Pune features prominently in SOBHA's forward-looking plans. As part of a broader launch pipeline, the company has lined up new residential projects across Bengaluru, Mumbai, Delhi-NCR, Pune, Chennai, Calicut, Thrissur, and Thiruvananthapuram, covering roughly 16 million sq ft with an estimated sales potential of nearly Rs 22,000 crore over the following 18 months. In Pune specifically, the developer already has an active presence in Kothrud with Sobha Nesara, and early-stage projects are being lined up in high-demand micro-markets like Kharadi and NIBM Pisoli, both close to the city's IT corridors.

The financial turnaround accompanying this sales growth is equally significant for homebuyers evaluating developer stability. SOBHA's net debt turned negative at approximately Rs 800 crore, meaning the company now holds more cash than debt, a rare position among listed Indian real estate developers. Consolidated net profit for FY26 surged sharply, and the board recommended a dividend of Rs 6 per equity share for the year. Total annual collections stood at Rs 7,798 crore, a 26.1% increase over FY25, reflecting healthy execution and customer confidence in ongoing projects.

Looking ahead, management has guided for approximately 10 million sq ft of new project launches in FY27 across Bangalore, Gurgaon, Hyderabad, Thrissur, and Pune, targeting around 30% sales growth and EBITDA margins above 30%. Land acquisition spend for the year is pegged at Rs 1,100-1,200 crore, indicating continued aggressive land banking in high-growth corridors. Longer term, the company has set its sights on scaling annual sales bookings to around Rs 30,000 crore over the next four to five years, a roughly fourfold jump from current levels, funded in part by the Rs 1,984 crore rights issue completed in 2024.

For homebuyers, this record run matters beyond the headline numbers. A net-cash-positive balance sheet and rising collections typically translate into fewer construction delays and more predictable possession timelines, both critical concerns in India's residential market. SOBHA's expanding presence in Pune, alongside its established track record in Bangalore and NCR, gives buyers in the city more configuration and location choices as new launches roll out through FY27, from IT-corridor apartments in Kharadi to established addresses like Kothrud.