EFC (I) Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript EFC (I) Ltd filed with BSE on 03 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
EFC India reported consolidated FY26 revenue of Rs 10,367 million, up 58% year-on-year, with EBITDA growing 43% to Rs 4,683 million and PAT rising 67% to Rs 2,347 million. Management attributed the growth to broad-based performance across its Leasing, Design & Build and Furniture verticals, with Design & Build revenue up 66% and Furniture revenue up 200% year-on-year. Management also discussed a rights issue completed during the year and outlined plans for FY27 including seat additions, segment growth targets and working capital management.
Numbers mentioned
Consolidated revenue from operations: 10,367 million (FY '26)
p. 8
“For the full year, FY '26, consolidated revenue from operations stood at 10,367 million compared with 6,567 million in FY '25, representing year-on-year growth of 58%.”
Uday Vora, page 8 of the filed PDF · View the filing
EBITDA: 4,683 million (FY '26)
p. 8
“EBITDA for FY '26 stood at 4,683 million compared with 3,277 million in FY '25, reflecting a strong growth of 43%.”
Uday Vora, page 8 of the filed PDF · View the filing
Profit after tax: 2,347 million (FY '26)
p. 8
“Profit after tax stood at 2,347 million compared with 1,408 million in FY '25, registering a strong growth of 67%.”
Uday Vora, page 8 of the filed PDF · View the filing
PAT margin: 22.6% (FY '26)
p. 8
“Our PAT margin improved from 21.4% in FY '25 to 22.6% in FY '26.”
Uday Vora, page 8 of the filed PDF · View the filing
Return on capital employed: 33% (FY '26)
p. 8
“The return on capital employed stood at 33% in FY '26 compared with 30% in FY '25.”
Uday Vora, page 8 of the filed PDF · View the filing
Revenue from operations: 2,929 million (Q4 FY '26)
p. 9
“Revenue from operations in Q4 FY '26 stood at 2,929 million compared with 2,110 million in Quarter 4 FY '25, representing growth of 39% year-on-year.”
Uday Vora, page 9 of the filed PDF · View the filing
EBITDA: 1,436 million (Q4 FY '26)
p. 9
“EBITDA for the quarter stood at 1,436 million compared with 1,093 million in Quarter 4 FY '25, registering a growth of 32%.”
Uday Vora, page 9 of the filed PDF · View the filing
Profit after tax: 689 million (Q4 FY '26)
p. 9
“Profit after tax for Q4 FY '26 stood at 689 million compared with 480 million in Quarter 4 FY '25, reflecting growth of 45%.”
Uday Vora, page 9 of the filed PDF · View the filing
PAT margin: 23.5% (Q4 FY '26)
p. 9
“The PAT margin for the quarter improved to 23.5% from 22.7% in Q4 FY '25.”
Uday Vora, page 9 of the filed PDF · View the filing
Design & Build revenue: approximately 437 crore (FY '26)
p. 6
“In FY '26, Design & Build revenues stood at approximately 437 crore, growing 66% year-on-year.”
Nikhil Bhuta, page 6 of the filed PDF · View the filing
Furniture revenue: more than 63 crore (FY '26)
p. 7
“In FY '26, Furniture revenue stood at more than 63 crore, growing 200% YoY.”
Nikhil Bhuta, page 7 of the filed PDF · View the filing
Rental revenue: approximately 5,356 million (FY '26)
p. 9
“Full-year rental revenue stood at approximately 5,356 million compared with 3,722 million in FY '25, representing growth of around 44%.”
Uday Vora, page 9 of the filed PDF · View the filing
Design & Build revenue: approximately 4,378 million (FY '26)
p. 9
“The Design & Build business delivered revenue of approximately 4,378 million in FY '26 compared with 2,636 million in FY '25, reflecting growth of around 66%.”
Uday Vora, page 9 of the filed PDF · View the filing
Furniture revenue: approximately 632 million (FY '26)
p. 9
“The Furniture business delivered revenue of approximately 632 million in FY '26 compared with 209 million in FY '25, registering growth of around 202%.”
Uday Vora, page 9 of the filed PDF · View the filing
Total assets: approximately 26,751 million (as of March 31, 2026)
p. 9
“Total assets increased to approximately 26,751 million as of March 31, 2026 compared with 16,992 million as of March 31, 2025.”
Uday Vora, page 9 of the filed PDF · View the filing
Total equity: approximately 8,137 million (as of March 31, 2026)
p. 9
“Total equity increased to approximately 8,137 million compared with 5,811 million in the previous year.”
Uday Vora, page 9 of the filed PDF · View the filing
Earnings per share: 16.87 (FY '26)
p. 10
“Basic and diluted earnings per share for FY '26 stood at 16.87 compared to 10.35 in FY '25.”
Uday Vora, page 10 of the filed PDF · View the filing
Average enterprise client tenure: about 51 months
p. 5
“Our average enterprise client tenure is about 51 months, which reflects the strength, trust and stickiness of our client relationship.”
Nikhil Bhuta, page 5 of the filed PDF · View the filing
Top 10 client revenue contribution: around 24%
p. 5
“the contribution from the top 10 clients has reduced to around 24%, reflecting lower concentration risk and hence better diversification.”
Nikhil Bhuta, page 5 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Leasing seat addition — 18,000 to 20,000 seats · FY '27
stated firmly by Nikhil Bhuta
p. 16
“we are expecting that we will continue to grow at least by adding about 18 to 20,000 seats year-on-year and this year also we are expecting to add about 18 to 20,000 seats which is already most of it is visible to us as we have already stepped into this new financial year.”
Nikhil Bhuta, page 16 of the filed PDF · View the filing
Design & Build growth rate — around 40% growth rate · FY '27
stated conditionally by Nikhil Bhuta
p. 16
“we are expecting that about around 40% growth rate is fairly achievable considering the kind of orders, businesses which are already in hand or already under pipeline from various”
Nikhil Bhuta, page 16 of the filed PDF · View the filing
Furniture growth rate — over 50% growth rate · FY '27
stated as an aspiration by Nikhil Bhuta
p. 17
“we would be able to grow over 50% growth rate under the Furniture vertical as well.”
Nikhil Bhuta, page 17 of the filed PDF · View the filing
Furniture EBITDA margin — anything around 25% EBITDA
stated as an aspiration by Nikhil Bhuta
p. 12
“we are very categorically clear that this business should generate to us anything around 25% EBITDA.”
Nikhil Bhuta, page 12 of the filed PDF · View the filing
Central level EBITDA margin — 30% plus EBITDA
stated firmly by Nikhil Bhuta
p. 18
“we are very clear that at the central level we will be able to achieve 30% plus EBITDA and that we continue to achieve even for this financial year and going forward as well.”
Nikhil Bhuta, page 18 of the filed PDF · View the filing
CAPEX — no substantial new CAPEX · FY '27-'28
stated firmly by Nikhil Bhuta
p. 18
“in terms of new CAPEX per se, immediately as we speak, we don't have any plans to kind of increase heavily on any CAPEX side.”
Nikhil Bhuta, page 18 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said Leasing underperformance is almost ruled out due to long-term contracts, and Design & Build risk is mitigated by being among top bidders, while any impact would be limited given Leasing's revenue share.
Answered by Nikhil Bhuta
Asked by Bharat: If one vertical underperforms, how would that impact consolidated margin?
p. 11
“the likelihood of underperforming my annuity business, which is my Leasing business is very low because my annuity business is very certain.”
Nikhil Bhuta, page 11 of the filed PDF · View the filing
Management said margins are the same regardless of internal or external sales since transactions are at arm's length, and they expect around 25% EBITDA from the business.
Answered by Nikhil Bhuta
Asked by Bharat: What is the sustainable margin for the Furniture business and the captive vs third-party split?
p. 12
“independent of whether it is an internal purpose or for external, obviously, the margin profile remains the same, because every transaction has to be carried out at arm's length.”
Nikhil Bhuta, page 12 of the filed PDF · View the filing
Management argued AI would create employment and demand rather than reduce it, comparing it to past fears about computers and automation.
Answered by Umesh Sahay
Asked by Mohan Kumar: Could AI reduce office space demand from IT/ITES/BFSI clients?
p. 13
“AI will give growth in the same way that manufacturing automation did, but people, especially the new generation, will definitely need to upskill themselves.”
Umesh Sahay, page 13 of the filed PDF · View the filing
Management said large enterprise/GCC clients contribute about 70% of Leasing revenue, with seat growth of 18-20,000 annually and roughly equal contribution expected from West, NCR and Southern zones.
Answered by Nikhil Bhuta
Asked by Mohan Kumar: How much revenue comes from GCC and MLC clients and what is the pipeline?
p. 14
“it is about 70% of our revenue comes from this large enterprise customers that we are talking about or referring to.”
Nikhil Bhuta, page 14 of the filed PDF · View the filing
Management explained that Design & Build and Furniture businesses are working capital intensive and funds are needed to sustain the current pace of growth.
Answered by Nikhil Bhuta
Asked by Hassan: Why was capital raised for working capital despite strong profitability?
p. 15
“the working capital is certainly to really fuel the growth that we have targeted for ourselves”
Nikhil Bhuta, page 15 of the filed PDF · View the filing
Management said they prioritized existing loyal shareholders for this smaller capital requirement and plan to use QIP for larger institutional capital needs tied to future CAPEX.
Answered by Nikhil Bhuta
Asked by Hassan: Why choose a rights issue over QIP or debt?
p. 16
“we thought that going to our existing set of loyal customers, shareholders would really take care of the requirement and that was specifically the reason why we have just gone to the existing, adopted the right issue route over the other available options under the market.”
Nikhil Bhuta, page 16 of the filed PDF · View the filing
Management clarified there was no shortfall, explaining that 18,000-20,000 refers to revenue-generating built seats while 25,000 refers to total added capacity.
Answered by Nikhil Bhuta
Asked by Fenil Brahmbhatt: Was the 18,000-20,000 seat guidance a downgrade from an earlier 20,000-25,000 target?
p. 17
“18,000 to 20,000 is those build seats which are revenue generating seats. 25,000 seats are those seats which have really added up to our overall capacity.”
Nikhil Bhuta, page 17 of the filed PDF · View the filing
Management said average rent increased from about 7,000-7,250 last quarter to 7,250-7,500 this financial year and expects further increases.
Answered by Nikhil Bhuta
Asked by Fenil Brahmbhatt: What is the average rent per square foot trend?
p. 18
“This financial year, on an average, we have already achieved 7,250 to 7,500, and we are hopeful that this is likely to go upwards only”
Nikhil Bhuta, page 18 of the filed PDF · View the filing
Management said debts are asset-backed at around 7.5-7.75% interest with no immediate repayment pressure due to long tenures.
Answered by Nikhil Bhuta
Asked by Fenil Brahmbhatt: What is the average interest rate on debt and any major debt expiry expected?
p. 19
“all of our debt are primarily asset backed debts right now which is an LRD or a kind of property backed transactions which are not even, it is all around 7.5 to 7.75 kind of range interest rate that we are talking about”
Nikhil Bhuta, page 19 of the filed PDF · View the filing
Risks flagged
Working capital requirements have increased as the business scales, particularly in receivables and inventories
p. 10
“As the business scaled across verticals, working capital requirements increased particularly in trade receivables, inventories and other financial assets.”
Uday Vora, page 10 of the filed PDF · View the filing
Design & Build and Furniture verticals are more project and contract based, making them relatively more exposed to underperformance than Leasing
p. 12
“we believe that any underperformance from one particular vertical, which is likely only to be with the Design & Build and Furniture, because that is more project based and contract based”
Nikhil Bhuta, page 12 of the filed PDF · View the filing
Increased lease liabilities and borrowings alongside expansion of operating footprint
p. 10
“Lease liabilities and borrowings have increased in line with the expansion of our operating footprint and business scale.”
Uday Vora, page 10 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.