RDB Real Estate - RDB Real Estate

📊 BSE: 544346 🏢 Residential, Commercial Projects 📅 Last Updated: 11/13/2025 15:25

💰 Financial Performance

Revenue Growth by Segment

The Company operates in a single primary segment, Real Estate Development and Services, which grew 14.13% YoY from INR 16.09 Cr to INR 18.37 Cr.

Geographic Revenue Split

100% of revenue is generated domestically in West Bengal, India, with key properties located in Uttarpara (Regent Star Mall) and Haldia (Millennium Towers).

Profitability Margins

Operating Profit Margin improved from 6.23% to 8.62% due to increased income. Net Profit Margin increased from 4.49% to 6.13% despite a decrease in turnover, reflecting better cost management.

EBITDA Margin

EBITDA margin was 62.79% (INR 11.53 Cr) in FY25, compared to 108.17% (INR 17.41 Cr) in FY24, with the prior year's margin inflated by significant inventory adjustments and other income.

Capital Expenditure

Capital expenditure on fixed assets was INR 0.0145 Cr in FY25, a significant reduction from INR 0.3511 Cr in FY24.

Credit Rating & Borrowing

Acuite assigned a long-term rating of ACUITE BBB | Stable on INR 11.10 Cr and a short-term rating of ACUITE A3+ on INR 13.90 Cr bank facilities. Borrowing costs are impacted by a high Debt-Equity ratio of 7.20.

⚙️ Operational Drivers

Raw Materials

Construction activity expenses (including cement, steel, and labor) represent the primary operational cost, totaling INR 11.36 Cr in FY25.

Raw Material Costs

Construction activity expenses decreased by 73.67% YoY to INR 11.36 Cr, representing 61.8% of revenue from operations, likely due to project completion stages.

📈 Strategic Growth

Growth Strategy

Growth will be achieved through expansion into Tier-II and Tier-III cities, strategic land acquisitions for future development, and targeting rising demand in premium and affordable housing segments.

Products & Services

Commercial and residential rental spaces, leasing services, plotting of land, and real estate property sales.

Brand Portfolio

RDB Group.

New Products/Services

The company recently acquired the real estate undertaking of the RDB Group through a court-approved Scheme of Arrangement to expand its portfolio.

Market Expansion

Targeting expansion in Tier-II and Tier-III cities to leverage urbanization and infrastructure growth trends.

🌍 External Factors

Industry Trends

The industry is evolving through PropTech (AI, digital site visits), ESG integration, and regulatory transparency via RERA and PMAY, positioning the company for long-term growth.

Competitive Landscape

Operates in a competitive market with Grade A office space providers and flexible workspace developers.

Competitive Moat

Moat is derived from experienced management (Mr. Vinod Dugar), long-standing relations with reputed lessees, and the established RDB Group brand name.

Macro Economic Sensitivity

Highly sensitive to interest rate cycles and government infrastructure spending (highways, metro expansion) which unlock peripheral urban growth.

Consumer Behavior

Increasing preference for home ownership in urban areas and demand for larger, better-equipped living spaces post-pandemic.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Real Estate (Regulation and Development) Act (RERA) and the Companies Act, 2013.

Taxation Policy Impact

Current tax expense for FY25 was INR 0.53 Cr on a profit before tax of INR 2.27 Cr, representing an effective tax rate of approximately 23.5%.

Legal Contingencies

The company has disclosed the impact of pending litigations on its financial position in Note 33 of the financial statements; specific case values are not provided in the snippets.