Nirlon Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Nirlon Ltd filed with BSE on 29 May 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
Nirlon reported Q4 FY26 total income of Rs. 174 crores, up 9% year on year, with EBITDA of Rs. 136 crores and PAT of Rs. 71 crores, up 32% year on year. For the full year FY26, total income was approximately Rs. 683 crores with PAT of Rs. 346 crores, which included a one-time Rs. 69.5 crore benefit from re-measurement of deferred tax liability following the company's move to the new tax regime under Section 115BAA. Management announced a final dividend of Rs. 15 per share and discussed occupancy levels, cash balances, fixed deposits, and the HSBC loan repayment schedule during the Q&A.
Numbers mentioned
Total income: Rs. 174 crores (Q4 FY26)
p. 4
“For the 4th Quarter, the company reported a total income of Rs. 174 crores which grew by 9% year on year.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
EBITDA: Rs. 136 crores (Q4 FY26)
p. 4
“The EBITDA was reported at Rs. 136 crores representing an 8% growth year on year.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
EBITDA margin: 77.85% (Q4 FY26)
p. 4
“EBITDA margins were about 77.85%.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
Profit after tax: Rs. 71 crores (Q4 FY26)
p. 4
“Profit after tax for the quarter stood at around Rs. 71 crores which also grew by 32% year on year.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
PAT margin: 40.5% (Q4 FY26)
p. 4
“While PAT margins reported at 40.5%.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
Total income: approximately Rs. 683 crores (FY26)
p. 4
“For the Financial Year 2026, the company reported a total income of approximately Rs. 683 crores, a growth of 6% year on year.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
EBITDA: Rs. 535 crores (FY26)
p. 4
“EBITDA stood at Rs. 535 crores, an increase of 5% year on year.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
EBITDA margin: 78.36% (FY26)
p. 4
“EBITDA margins stood at 78.36%.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
Profit after tax: Rs. 346 crores (FY26)
p. 4
“Profit after tax was Rs. 346 crores, an increase of 59% year on year and representing a PAT margin of 50.64%.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
One-time deferred tax adjustment: Rs. 69.5 crores (FY26)
p. 4
“Please note that the FY26 profit after tax includes a one-time adjustment of Rs. 69.5 crores due to re-measurement of deferred tax liability.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
PAT growth excluding one-time item: 27% (FY26)
p. 4
“the profit after tax growth would be 27% year on year, excluding this item.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
Average occupancy rate: 99.7% (Q4 FY26)
p. 4
“the average occupancy rate for the company as a whole comprising NKP and Nirlon House stood at 99.7% for the 4th Quarter of the Financial Year 2026.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
Vacant area: approximately 8000 sqft (as of 31st March 2026)
p. 4
“As of 31st March 2026, approximately 8000 sqft were vacant of NKP and Nirlon House combined.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
Final dividend: Rs. 15 per share (FY26)
p. 4
“We are pleased to announce that the Board proposes a final dividend of Rs. 15 per share for FY26 subject to approval by the shareholders in the forthcoming AGM.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
FD interest rate: Approx 5.5%
p. 6
“Approx 5.5%. 5.5%?”
Rahul V. Sagar, page 6 of the filed PDF · View the filing
NKP asset valuation: 6,650 (approx.) (March 2026)
p. 11
“Yes, okay, so I think last year March 25 was 6,500, and this year it's 6,650, approximately.”
Rahul V. Sagar, page 11 of the filed PDF · View the filing
PBT: 371 crores (March 2026)
p. 11
“Okay, so just to tell you first, the PBT in March 25 was 338 crores, the PBT in March 26 is 371 crores”
Rahul V. Sagar, page 11 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.
HSBC loan repayment — 5% in May 2027 · May 2027
stated firmly by Rahul V. Sagar
p. 6
“Yes. As per the terms of the agreement, 5% in May 2027.”
Rahul V. Sagar, page 6 of the filed PDF · View the filing
HSBC loan repayment schedule — 5% per annum for five years followed by bullet payment · starting May 2027
stated firmly by Rahul V. Sagar
p. 13
“So, there's 5% every year for five years and then there's a bullet payment.”
Rahul V. Sagar, page 13 of the filed PDF · View the filing
Dividend payout — near future
stated as an aspiration by Rahul V. Sagar
p. 5
“As you can see, we have moved to the new tax regime which has enabled us to distribute, which will hopefully enable us to distribute significantly higher dividends in the near future potentially.”
Rahul V. Sagar, page 5 of the filed PDF · View the filing
Capex — maintenance and A-grade asset upkeep
stated firmly by Rahul V. Sagar
p. 11
“whatever additional and incremental capex and capex-related modifications we have to do to maintain an A-grade asset, we are happy to do and we are going to keep doing to increase the sustainability aspect.”
Rahul V. Sagar, page 11 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 they aim for consistency in dividends and did not commit to specific plans for the remaining cash.
Answered by Rahul V. Sagar
Asked by Harshit: Why was the dividend increase only to Rs. 15 despite a large cash balance, and what will happen to the remaining cash?
p. 4
“we want to be consistent also with the dividend. It is not that we don't want to pay but when we are paying out the dividend, we have to also ensure that one year we don't go to a very high number and then we are not able to sustain the number as well.”
Rahul V. Sagar, page 4 of the filed PDF · View the filing
Management said there was nothing significant to report given multiple owners are involved.
Answered by Rahul V. Sagar
Asked by Harshit: What is the status of the Nirlon House sale?
p. 5
“there are almost 12 or 13 owners in the building. And in that sense, if you look at so many transactions, etc., etc., when you are trying to do something, when there are 12, 13 plus owners in the building, these take a significant amount of time.”
Rahul V. Sagar, page 5 of the filed PDF · View the filing
Management said there were no concrete plans to repay debt from existing cash balances beyond following the existing loan agreement terms.
Answered by Rahul V. Sagar
Asked by Ashok B. Jain: Given FD returns are lower than loan interest cost, is using cash to repay the HSBC loan an option?
p. 6
“there is nothing concrete or no concrete plans to pay back any debt from the existing cash balances.”
Rahul V. Sagar, page 6 of the filed PDF · View the filing
Management gave the valuation figures directly, noting a modest increase from 6,500 to approximately 6,650.
Answered by Rahul V. Sagar
Asked by Satinder Singh Bedi: Can a similar valuation increase to peer REITs (15-22% NAV growth) be expected for NKP assets in the FY26 valuation?
p. 11
“Yes, okay, so I think last year March 25 was 6,500, and this year it's 6,650, approximately.”
Rahul V. Sagar, page 11 of the filed PDF · View the filing
Management said there was nothing significant being done regarding new structures and that moving to the new tax regime was seen as the most efficient option at this time.
Answered by Rahul V. Sagar
Asked by Satinder Singh Bedi: Was a REIT restructuring considered before deciding to move to the new tax regime?
p. 9
“We just felt that the best thing to do would be to move to the new tax regime at this point and optimize whatever, to the best possible extent, whatever efficiencies we had at this point in time.”
Rahul V. Sagar, page 9 of the filed PDF · View the filing
Management said buyback is not being considered at this point in time.
Answered by Rahul V. Sagar
Asked by Satinder Singh Bedi: Is a buyback being considered as an alternative to dividends?
p. 10
“Not at this point in time, for various reasons.”
Rahul V. Sagar, page 10 of the filed PDF · View the filing
Management attributed growth to escalating contracted license fees and new transactions at higher prices, with a marginal reduction in finance costs, and said there were no significant changes to capex plans.
Answered by Rahul V. Sagar
Asked by Piyush Goyal: What drove the growth in bottom line before tax adjustments, and are there changes to capex plans?
p. 11
“the growth in the business is of course from the existing contracted license fees and new licenses, etc., which are escalating and sometimes new transactions which are at higher prices.”
Rahul V. Sagar, page 11 of the filed PDF · View the filing
Management said they would need to look into the specific detail and would respond separately.
Answered by Rahul V. Sagar
Asked by Satinder Singh Bedi: Why are 40% of other financial liabilities classified as current when there are minimal lease expiries in the next 12 months?
p. 13
“We just need to look into that. It's a little bit specific to answer on this call now immediately.”
Rahul V. Sagar, page 13 of the filed PDF · View the filing
Management acknowledged the point and said they would look into the reason and respond.
Answered by Rahul V. Sagar
Asked by Satinder Singh Bedi: Why did EBITDA margin decline slightly given expenses grew faster than income?
p. 13
“A point is well taken and we will take a look and there will be a reason for this and we can let you know.”
Rahul V. Sagar, page 13 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.