Horizon Industrial Parks Limited

Real Estate — Real Estate - Development · NSE

₹48.03−₹0.39 (−0.81%)

DalalBaazaar Score

54 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by moderate debt load, the company is currently loss-making, small-cap size, which brings sharper price swings.

In simple words: The company is currently losing money, with both sales and profits growing well. Thin profit margins are the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:03 pm

Understanding the Business

Company site ↗

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

What does this company do?

Horizon Industrial Parks Limited engaged in the business of developing, operating, and maintaining industrial and warehousing parks in India. It offers industrial and logistic parks, fulfillment centers and industrial facilities, and in-city centers.

IndustryReal Estate - Development

SectorReal Estate

Annual revenue₹671 Cr

How does it make money?

Turns over ₹671 Cr a year. Of every ₹100 of sales, about ₹-27 reaches shareholders as profit, with ₹87 left at the operating level before interest, tax and depreciation.

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 2.6% 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?

Sales and margins have both contributed to where profit is now. Over 3 years revenue moved +81% while net margin moved -64% 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+81%

Margin effect-64%

DalalBaazaar Score

54/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative
✓ ROE has improved by 9.5 points over the period

Quality vs. Valuation

Company Quality

57/ 100

Average

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

Valuation

25/ 100

Expensive

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

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

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

No P/E — the company is lossmaking

EV/EBITDA

34.6x

PEG

—

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 63.7% to 87.1% over 3 years.
Cash generation is improving
Free cash flow is up 420% over 3 years.
Return on equity is rising
ROE has improved from -12.8% to -3.4%.
Return on capital is rising
ROCE has improved from -0.2% to 2.6%.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

4 items require attention · 3 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 53% over 3 years, from ₹4,513 Cr to ₹6,906 Cr.
🔴Thin interest coverageFinancial
Operating profit covers interest only 0.6x — little room if earnings dip.
🔴The company is lossmakingFinancial
Net profit of -₹184 Cr in the latest reported year.
🟡Low reported insider holdingOwnership
Reported insider holding is 1.2%. For Indian companies this field is an unreliable proxy — check the official promoter shareholding in the exchange filing.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 63.7% to 87.1%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 11.8x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Size brings its own risk
Small 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.
Several serious flags at once
3 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

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

1Revenue growth stays above 16% a year✓ 22.0% CAGR
Latest reported year was 55.9%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 85%✓ 87.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 11.8x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
4Interest cover stays above 3x✗ 0.6x
How much operating profit can fall before interest stops being comfortably covered.
5Free cash flow remains positive✓ ₹464 Cr
Profit that never becomes cash eventually stops being profit.

Investment Checklist

6 / 10 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✗ Manageable leverage (Debt/Equity < 1.0)
✓ 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

Price history

Quick Metrics

3 good · 4 neutral · 4 weak

Market Cap

₹13,847 Cr

Small 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

2.08x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹-0.58

Loss-making

Negative earnings per share — the business is losing money

ROE

-3.4%

Weak

Weak capital efficiency

ROCE

2.6%

Weak

Low return on total capital employed

Debt/Equity

1.18x

Moderate

Moderate leverage

Revenue Growth (YoY)

55.9%

Healthy

Healthy top-line growth

Profit Growth (YoY)

18.8%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

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

Free Cash Flow

₹464 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

42.1%

Good

Healthy core-business profitability

Net Margin

-19.7%

Weak

Very little revenue reaches the bottom line

Current Ratio

4.28

Comfortable

Healthy short-term liquidity

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

RSI (14)

39.5

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹370 Cr	₹447 Cr	₹560 Cr	₹671 Cr	+22.0%
EBITDA	₹236 Cr	₹309 Cr	₹470 Cr	₹584 Cr	+35.3%
EBITDA Margin	63.7%	69.0%	83.8%	87.1%	—
PAT (Net Profit)	-₹280 Cr	-₹271 Cr	-₹227 Cr	-₹184 Cr	—
EPS	₹-2.06	₹-2.04	₹-1.68	₹-0.95	—
ROE	-12.8%	-14.6%	-11.0%	-3.4%	—
ROCE	-0.2%	1.5%	2.8%	2.6%	—
Total Debt	₹4,513 Cr	₹5,480 Cr	₹6,720 Cr	₹6,906 Cr	+15.2%
Free Cash Flow	₹89 Cr	₹119 Cr	₹235 Cr	₹464 Cr	+73.3%

🟢 Revenue has grown at 22.0% a year over 3 years.

🟢 EBITDA has grown at 35.3% a year over 3 years.

🟢 EBITDA Margin has risen from 63.7% to 87.1% over 3 years (+23.3 pts).

🟢 ROE has risen from -12.8% to -3.4% over 3 years (+9.5 pts).

🟢 ROCE has risen from -0.2% to 2.6% over 3 years (+2.9 pts).

🔴 Total Debt has grown at 15.2% a year over 3 years.

🟢 Free Cash Flow has grown at 73.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹13,306 Cr

Total Liabilities

₹7,639 Cr

Cash & Equivalents

₹565 Cr

Operating Cash Flow

₹464 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

83.9%

Insider Holding

1.2%

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

6 general

HORIZON INDUSTRIAL PRKS L Share Price

Upstox, 16 Oct

Compare Nesco with

Equitymaster, 16 Oct

Horizon Industrial Parks shares list flat at IPO price of Rs 60 on BSE, NSE

The Economic Times, 24 Aug

Horizon Industrial Parks IPO Opens: 77% Revenue Growth, But Why Is GMP Just Rs 4?

NiftyTrader, 17 Aug

Horizon Industrial Parks IPO: Size, Date, P/E Ratio & How to Apply

INDmoney, 21 Aug

Horizon Industrial Parks IPO: Price band set at ₹57- ₹60 per share; check key dates, issue details

Livemint, 12 Aug

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
Reported insider holding is low — cross-check the official promoter shareholding % in the company's exchange filing.

DalalBaazaar Thesis

StrongGrowth

MiddlingBusiness Quality · Financial Health · Risk

WeakProfitability · Valuation

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 3 high-severity red flags sit above this conclusion and should be read first.

2 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Interest cover stays above 3x · see Key things to watch ↑