💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue from operations reached INR 21.59 Cr in Q2 FY26, representing a 6.67% YoY growth from INR 20.24 Cr. For H1 FY26, total revenue was INR 41.32 Cr, up 4.93% from INR 39.38 Cr in H1 FY25. The growth is driven by the consultancy segment including Advisory, Engineering, and Project Management Consultancy (PMC).

Geographic Revenue Split

The company maintains a country-wide presence across India to mitigate regional risks. While specific regional percentage splits are not disclosed, the company leverages regional domain experts to identify project leads and plan socio-economic impacts across various Indian geographies.

Profitability Margins

Net Profit Margin (PAT Margin) for Q2 FY26 stood at 10.76%, a significant decline from 20.91% in Q2 FY25. For H1 FY26, the PAT margin was 12.22% compared to 17.37% in H1 FY25. This compression is primarily due to strategic investments and preoperative expenses related to the SM REIT platform.

EBITDA Margin

EBITDA Margin for Q2 FY26 was 12.9%, down from 30.6% in Q2 FY25, representing a 1,770 bps contraction. Q1 FY26 EBITDA margin was 21.4% compared to 28.1% YoY. The decline is attributed to one-time preoperative expenses and foundational costs for the REIT business being recognized in the P&L.

Capital Expenditure

Not explicitly disclosed as a standalone figure in INR Cr; however, the company is making significant strategic investments in foundational support and infrastructure for the ImpactR SM-REIT platform, which are currently being treated as operational expenses in the P&L.

Credit Rating & Borrowing

Finance costs for H1 FY26 were INR 1.54 Cr, up 46.6% from INR 1.05 Cr in H1 FY25. Total finance costs for FY25 were INR 2.34 Cr. Specific credit ratings and interest rate percentages were not disclosed in the provided documents.

⚙️ Operational Drivers

Raw Materials

As a service-based consultancy, REPL does not have traditional raw materials. Its primary cost drivers are Employee Costs (INR 4.21 Cr in H1 FY26) and Direct Operating Costs (INR 25.19 Cr in H1 FY26), which represent approximately 10.2% and 60.9% of H1 FY26 revenue respectively.

Import Sources

Not applicable as the company provides integrated urban development and infrastructure consultancy services rather than manufacturing products.

Key Suppliers

Not applicable; however, the company collaborates with regional domain experts and multiple intermediaries for asset due diligence and yield assessment for its REIT business.

Capacity Expansion

The company is expanding its service capacity through the ImpactR SM-REIT platform. A term sheet for a 350,000 Sq. Ft. property in Delhi-NCR was signed in Q2 FY26. The pipeline includes 600,000 Sq. Ft. of retail malls and 20,000 Sq. Ft. of hotel space.

Raw Material Costs

Direct Operating Costs and other expenses rose to INR 25.19 Cr in H1 FY26 from INR 17.27 Cr in H1 FY25, a 45.8% increase. This increase is linked to the scaling of the REIT platform and project execution costs.

Manufacturing Efficiency

Not applicable. Efficiency is measured by project execution momentum and the percentage of completion (POC) method for revenue recognition.

Logistics & Distribution

Not applicable; service delivery is managed through regional offices and digital collaboration.

📈 Strategic Growth

Expected Growth Rate

8-10%

Growth Strategy

Growth will be achieved through the launch of the ImpactR SM-REIT, where REPL acts as the Investment Manager. Revenue streams will include a 2-3% annual management fee on gross revenue, a 1-2% acquisition/structuring fee, and a 1-2% disposal fee on listed assets. Additionally, the company is leveraging the INR 11.21 lakh crore government capex boost for infrastructure consultancy.

Products & Services

Integrated Urban Development consultancy, Infrastructure Advisory, Engineering Design, Project Management Consultancy (PMC), and REIT Investment Management services.

Brand Portfolio

REPL (Rudrabhishek Enterprises Ltd.), ImpactR (SM-REIT platform).

New Products/Services

ImpactR SM-REIT platform, which introduces new recurring revenue streams through management and structuring fees, expected to contribute significantly once assets are listed.

Market Expansion

Targeting the Delhi-NCR region with a 350,000 Sq. Ft. property acquisition and expanding into retail and hospitality asset management.

Market Share & Ranking

Not disclosed; however, the company is associated with large-scale flagship government programs.

Strategic Alliances

Collaborations with regional domain experts and large operators for asset due diligence and yield assessment for the REIT pipeline.

🌍 External Factors

Industry Trends

The infrastructure consultancy industry is shifting toward specialized investment vehicles like SM-REITs. REPL is positioning itself as an early mover in the SM-REIT space to capture management fees from fractional ownership models.

Competitive Landscape

Competes with other urban development and infrastructure consultants; market dynamics are currently favorable due to high government infrastructure thrust.

Competitive Moat

Moat is built on a strong mix of bundled services (Advisory, Engineering, PMC) and a deeply integrated presence across India. The transition to an Investment Manager for REITs creates high switching costs and recurring revenue, which is more sustainable than one-off consultancy projects.

Macro Economic Sensitivity

Highly sensitive to government capital expenditure; the 2025-26 Union Budget allocation of INR 11.21 lakh crore (3.1% of GDP) for infrastructure is a primary growth driver.

Consumer Behavior

Increasing demand for yield-based real estate investment products (REITs) among retail and institutional investors.

Geopolitical Risks

Trade barriers and global economic prospects are listed as general risks, though the company's primary operations are domestic.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to government policies on investments, fiscal deficits, and relevant urban development regulations. The SM-REIT business requires specific regulatory approvals for listing and asset structuring.

Environmental Compliance

The company integrates ESG approaches into governance, using digital portals and AI for compliance monitoring to reduce investment risk.

Taxation Policy Impact

Effective tax rate for H1 FY26 was approximately 31.4% (INR 1.57 Cr tax on INR 5.00 Cr PBT).

Legal Contingencies

As of the latest reporting period, there are no pending litigations having a material impact on the company's financial position. There are no material foreseeable losses on long-term contracts.

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the timing of the transfer of REIT operational expenses to the SPV; currently, REPL is bearing these costs, which impacted Q2 FY26 margins by approximately 17 percentage points YoY.

Geographic Concentration Risk

Revenue is diversified across India, though the new REIT focus shows a concentration in the Delhi-NCR region for initial asset acquisitions.

Third Party Dependencies

Dependency on regional domain experts for project identification and reputed firms for technical, financial, and legal due diligence.

Technology Obsolescence Risk

The company is proactively adopting AI in compliance and digital board portals to stay ahead of digital transformation trends in governance.

Credit & Counterparty Risk

Trade receivables were INR 29.22 Cr higher at the end of FY25 compared to the previous year, suggesting a need for close monitoring of counterparty credit risk and collection cycles.