Why Did Kalpataru Shares Jump 10% Today? Check the Reason

Synopsis: Kalpataru Ltd shares jumped nearly 10 percent after the company reported a healthy operational update, highlighting strong growth in collections and steady nine-month performance. While quarterly pre-sales were slightly lower, collections rose on a year-on-year basis.

The shares of this realty stock majorly engaged in real estate development, which includes acquisition of land, planning, designing, execution, sales, and marketing of projects, jumped upto 10 percent after the company reported a healthy Q3FY26 operational update with 17 percent jump in collections.

With the market capitalization of Rs. 7392 Crores, the shares of Kalpataru Ltd has reached an intraday high of Rs. 375.65 per share, raising nearly 10 percent from its previous day close of Rs. 341.5 per share. 

Why is it up 10%

In Q3 FY26, Kalpataru reported pre-sales of Rs. 870 crore, compared with Rs. 1,008 crore in Q3 FY25, reflecting a 14 percent year-on-year decline. However, this was offset by a sharp improvement in cash inflows, with collections rising 17 percent YoY to Rs. 1,101 crore from Rs. 943 crore. 

The longer-term trend remained strong, as 9M FY26 pre-sales increased 23 percent  to Rs. 3,447 crore from Rs. 2,807 crore, while collections jumped 30 percent to Rs. 3,409 crore from Rs. 2,630 crore. The stronger growth in collections compared to sales shows better execution and faster conversion of bookings into cash, which is a key positive for the company’s financial health and was a major reason behind the sharp rise in the stock. 

Financials

Kalpataru is an integrated real estate development company involved in all key activities associated with real estate development, including the identification and acquisition of land , planning, designing, execution, sales, and marketing of its projects. The company has completed 81 projects, of which 94 percent are residential, and 6 percent of the projects are commercial. 

Around 71 percent of the projects that are getting developed come under the company-owned land, whereas JD/JV & redevelopment contributes 24 percent and 5 percent respectively. Out of the projects developed 71 percent of the projects falls under per unit price of Rs. 1 – 3 Crores, 8 percent of the project falls between  Rs. 3 to 10 Crores, 7 percent of the project falls above 10 Crore and remaining 14 percent falls below Rs. 1 Crore. 

Year on Year analysis: Revenue from operations has increased from Rs. 506.26 Crores to Rs. 793.77 Crore, up 57 percent. Operating profit has decreased  from Rs. 35.23 Crores to Rs. 5.99 Crores, down 83 percent and net profit has decreased from Rs. 27.94 Crores to Rs. 4.96 Crores, down 82 percent.

Quarter on Quarter analysis: Revenue from operations has increased from Rs 443 Crores to Rs. 793.77 Crores, up 79 percent, operating profit has turned into profit of Rs. 5.99 Crores from loss Rs. 443.2 Crores and net profit has turned into a profit of Rs. 4.78 Crores from loss of Rs. 52 Crores. 

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