💰 Financial Performance

Revenue Growth by Segment

The Real Estate segment grew by 79.2% YoY, reaching INR 167.95 Cr (from INR 93.73 Cr). The Coding and Industrial Automation (CIAB) segment grew by 0.84% YoY to INR 31.34 Cr (from INR 31.08 Cr). Total consolidated income from operations rose 45.8% to INR 215.57 Cr.

Geographic Revenue Split

Not disclosed in available documents; however, the company operates in diverse markets and recently liquidated its European operations (Forbes Lux International AG) to focus on domestic growth.

Profitability Margins

Standalone Operating Profit Margin declined from 23% to 20% YoY. Consolidated Profit Before Tax (PBT) from continuing operations grew 84.6% to INR 40.21 Cr. Net profit was significantly boosted by INR 93.85 Cr from discontinued operations.

EBITDA Margin

Consolidated EBITDA margin stood at approximately 20.4% (INR 44.07 Cr on INR 215.57 Cr total income), reflecting strong performance in the Real Estate division despite a segment loss of INR 1.16 Cr in the CIAB division.

Capital Expenditure

The company reduced its consolidated gross block of assets from INR 14.01 Cr to INR 7.80 Cr, primarily due to the deconsolidation of Forbes Technosys Limited (FTL) which held a gross block of INR 7.95 Cr.

Credit Rating & Borrowing

CARE reaffirmed a 'CARE BBB-; Stable' rating for long-term bank facilities and 'CARE A3' for short-term facilities in November 2024. ICRA withdrew its 'BB+ (Stable)' rating in February 2025 at the company's request. Borrowing costs are minimal as the company is net debt-free with only INR 0.0369 Cr in total borrowings.

⚙️ Operational Drivers

Raw Materials

Not specifically named in documents, though 'input costs' and 'input prices' are cited as critical factors for the engineering and industrial automation segments.

Capacity Expansion

The company is focusing on scaling the Coding & Industrial Automation business to break even in FY25 and completing the Vicinia Phase II residential project in Mumbai.

Raw Material Costs

Not disclosed as a specific percentage of revenue, but the company notes that profitability is susceptible to fluctuations in input prices and cyclicality in the automotive end-user segment.

Manufacturing Efficiency

The CIAB segment reported a loss of INR 1.16 Cr, indicating a need for improved manufacturing efficiency and business scaling to reach the expected break-even point.

📈 Strategic Growth

Expected Growth Rate

Not disclosed in available documents

Growth Strategy

The strategy involves concentrating on growth-oriented businesses: Coding & Industrial Automation and Real Estate. This includes the full acquisition of Forbes Macsa Private Limited (now a 100% subsidiary) and the monetization of non-core assets like land banks and shipping vessels to maintain a lean balance sheet.

Products & Services

Industrial automation tools, coding and marking solutions, and residential real estate apartments (specifically the Vicinia project in Chandivali, Mumbai).

Brand Portfolio

Forbes, Vicinia.

New Products/Services

The company is developing new technologies in-house and with partners to respond to changing consumer trends, though specific revenue contribution percentages for new launches are not disclosed.

Market Expansion

Focusing on domestic Indian markets following the liquidation of loss-making European subsidiaries (FLIAG and LIAG) in August 2023.

Strategic Alliances

Acquired the remaining 50% stake in the Forbes Macsa Private Limited joint venture from Macsa ID, S.A. on March 31, 2025. Maintains a JV in Forbes Bumi Armada Limited (FBAL) which earned INR 74 Cr revenue.

🌍 External Factors

Industry Trends

The industry is shifting toward increased automation in manufacturing. The company is positioning itself by scaling its CIAB segment and focusing on high-value residential real estate in urban hubs like Mumbai.

Competitive Landscape

Competes in the fragmented industrial automation market and the highly competitive Mumbai luxury residential real estate market.

Competitive Moat

The company's moat is built on its 159-year legacy under the Shapoorji Pallonji Group and its prime real estate holdings in Mumbai, though high promoter pledging remains a threat to sustainability.

Macro Economic Sensitivity

The company is sensitive to India's GDP growth and interest rates, which directly impact real estate demand and industrial automation spending.

Consumer Behavior

Shifts toward rapid technology adoption in manufacturing and demand for premium residential spaces are driving the current product mix.

Geopolitical Risks

Political and global uncertainty are cited as factors that could restrict revenue growth by reducing demand in diversified markets.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Real Estate (Regulation and Development) Act (RERA) for its Vicinia project and various product safety and competition laws for its engineering division.

Environmental Compliance

The company is subject to Water and Air Pollution regulations and environmental laws, though specific compliance costs are not disclosed.

Taxation Policy Impact

Consolidated provision for taxation was INR 40.18 Lakhs for FY 24-25.

Legal Contingencies

Forbes Technosys Limited (FTL), a former subsidiary, was admitted to the Corporate Insolvency Resolution Process (CIRP) by the NCLT Mumbai Bench on March 24, 2025, leading to the suspension of its board and deconsolidation from Forbes & Company Limited.

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the financial health of the promoter group (SP Group) given the 98.25% pledge on their 73.85% equity stake in the company.

Geographic Concentration Risk

High concentration in the Mumbai region due to the significant revenue contribution (79.2%) from the Vicinia real estate project.

Third Party Dependencies

Dependency on the automotive industry as the primary end-user for the engineering segment.

Technology Obsolescence Risk

The CIAB segment faces risks from rapid technological shifts in industrial automation, requiring continuous R&D and partnership-led product development.

Credit & Counterparty Risk

Receivables management is a 'relentless focus' to maintain liquidity; debtors turnover is healthy at 15 days.