Emami Realty Limited

Real Estate — Real Estate - Development · NSE

₹68.50−₹0.30 (−0.44%)

DalalBaazaar Score

19 / 100

🔴 Poor

Verdict

HIGH RISK

Risk

Very High

Driven by negative shareholders' equity — the company owes more than it owns, negative free cash flow, the company is currently loss-making.

In simple words: The company owes more than it owns — years of losses have wiped out its net worth, but sales are shrinking. Solvency — whether it can keep funding itself at all — is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:59 pm

Understanding the Business

Company site ↗

The 60-second version of Emami Realty Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Emami Realty Limited engages in the real estate development business in India. Its portfolio includes residential, commercial, and mixed-use developments. The company was formerly known as Emami Infrastructure Limited and changed its name to Emami Realty Limited in October 2018.

IndustryReal Estate - Development

SectorReal Estate

Employees144

Annual revenue₹92 Cr

How does it make money?

Turns over ₹92 Cr a year. Of every ₹100 of sales, about ₹-207 reaches shareholders as profit, with ₹66 left at the operating level before interest, tax and depreciation. Each of its 144 employees supports ₹63.6 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹63.6 lakh

Who are its competitors?

The closest listed comparisons in its industry are DLF LIMITED, GODREJ PROPERTIES LTD, OBEROI REALTY LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of -9.6% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE10.3%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved -2% while net margin moved +401% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect-2%

Margin effect+401%

DalalBaazaar Score

19/ 100

Poor

Weighted across six categories. Every point is explained below.

✗ Shareholders' equity is negative — accumulated losses exceed the capital in the business

Quality vs. Valuation

Company Quality

18/ 100

Weak

How good the business is, ignoring the share price entirely.

Valuation

30/ 100

Expensive

What you are being asked to pay, ignoring how good the business is.

Weak on business quality and not cheap enough to compensate.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

Multiples unreliable — equity base is negative

EV/EBITDA

38.8x

PEG

—

Red Flags

8 items require attention · 5 high · 3 watch

🔴Negative shareholders' equityFinancial
Liabilities exceed assets — accumulated losses have wiped out the company's net worth.
🔴Thin interest coverageFinancial
Operating profit covers interest only -0.3x — little room if earnings dip.
🔴Free cash flow negative for 3 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴The company is lossmakingFinancial
Net profit of -₹189 Cr in the latest reported year.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 13.1 points, from 79.3% to 66.1%.
🟡Debt is increasingFinancial
Total debt is up 26% over 3 years.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 0.2x to -0.3x.
🟡Inventory building faster than salesFinancial
Inventory up 41% against revenue up -2% — stock may not be moving.

Investment Thesis

🟢 Bull CaseWhat could make this work?

No clear supporting case emerges from the available numbers.

🔴 Bear CaseWhat could go wrong?

Solvency comes before everything else
Liabilities exceed assets. Until net worth is rebuilt, the equity is a claim on a business that owes more than it owns, and further losses or a funding squeeze can leave shareholders with nothing.
Margins are being competed away
EBITDA margin has fallen from 79.3% to 66.1%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
The debt load needs earnings to hold up
Debt is 33.0x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1EBITDA margin holds above 64%✓ 66.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Debt / EBITDA falls below 3x✗ 33.0x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
3Free cash flow remains positive✗ -₹198 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 3x✗ -0.3x
How much operating profit can fall before interest stops being comfortably covered.

Investment Checklist

3 / 10 checks passed

✗ Shareholders' equity is positive (assets exceed liabilities)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✗ Revenue growing year-over-year
✗ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

0 good · 4 neutral · 7 weak

Market Cap

₹356 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

Not available

No data

Source didn't return this field

EPS (TTM)

₹-34.9

Loss-making

Negative earnings per share — the business is losing money

ROE

Not meaningful

Negative equity

Return on equity can't be read when equity itself is negative

ROCE

-9.6%

Distorted

Distorted by the negative net worth — read this alongside the solvency flag, not on its own

Debt/Equity

Not meaningful

Negative equity

Shareholders' equity is negative, so this ratio can't be read

Revenue Growth (YoY)

-5.7%

Shrinking

Sales are contracting

Profit Growth (YoY)

-50.1%

Falling

Profits are shrinking

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹198 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

-84.1%

Weak

Thin margins leave little room for error

Net Margin

-167.5%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.16

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.47

Defensive

Steadier than the market

52W Range Position

30%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

68.2 / 69.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

50.6

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹93 Cr	₹60 Cr	₹80 Cr	₹92 Cr	-0.7%
EBITDA	₹74 Cr	-₹15 Cr	₹28 Cr	₹61 Cr	-6.5%
EBITDA Margin	79.3%	-25.4%	34.6%	66.1%	—
PAT (Net Profit)	-₹39 Cr	-₹123 Cr	-₹126 Cr	-₹189 Cr	—
EPS	₹-10.21	₹-32.48	₹-33.36	₹-43.47	—
ROCE	7.4%	-1.8%	3.3%	-9.6%	—
Total Debt	₹1,587 Cr	₹1,916 Cr	₹1,905 Cr	₹2,002 Cr	+8.0%
Free Cash Flow	₹72 Cr	-₹37 Cr	-₹76 Cr	-₹198 Cr	—

🟡 Revenue has been broadly flat over 3 years (-0.7% a year).

🔴 EBITDA has shrunk at 6.5% a year over 3 years.

🔴 EBITDA Margin has fallen from 79.3% to 66.1% over 3 years (-13.1 pts).

🔴 ROCE has fallen from 7.4% to -9.6% over 3 years (-17.0 pts).

🔴 Total Debt has grown at 8.0% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹72 Cr to -₹198 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹2,302 Cr

Total Liabilities

₹2,550 Cr

Cash & Equivalents

₹10 Cr

Operating Cash Flow

-₹196 Cr

Capex

-₹2 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

77.0%

Peer Comparison

Company	P/E	ROE
DLF LIMITED	36.6x	10.3%
GODREJ PROPERTIES LTD	30.2x	8.4%
OBEROI REALTY LIMITED	23.5x	14.7%

Recent News

1 mixed5 general

Emami Realty accepts resignation of sales head effective Jan 2027

scanx.trade, 13 Oct

Emami Realty Share Price Forecast: 3 Year Outlook to 2030

Univest, 10 Jul

Sebi imposes Rs 2 lakh penalty on Emami Realty for regulatory lapses

The Economic Times, 11 Sept

Emami Realty promoters transfer 8.88 lakh shares

scanx.trade, 02 Jun

Emami Realty Q1 Results FY27: Net Loss Rs 16 Cr, Revenue Rs 5 cro

Univest, 14 AugResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Emami Realty Share Price: Buy, Hold or Sell

Univest, 02 Sept

Watch Items

Revenue growth is negative (-5.7%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

WeakBusiness Quality · Financial Health · Growth · Profitability · Valuation · Risk

Points for each in the Score ↑

Avoid until solvency is resolved

Emami Realty Limited owes more than it owns. Whatever the operating numbers show, the equity is a residual claim on a business with negative net worth, and that question has to be settled before any of the rest is worth weighing. 5 high-severity red flags sit above this conclusion and should be read first.

3 of 4 tripwires tripped — Debt / EBITDA falls below 3x; Free cash flow remains positive; Interest cover stays above 3x · see Key things to watch ↑