Marathon NextGen Realty Achieves Record Profit of INR 206 Crore in FY26, Becomes Net Debt-Free

Marathon NextGen Realty has reported its highest-ever annual profit after tax (PAT) for FY26, with consolidated PAT rising to INR 206 crore. This remarkable achievement is a testament to the Mumbai-based developer's strategic focus on strengthening its balance sheet, expanding its development portfolio, and achieving a net cash position during the financial year.

The company reported total income of INR 639 crore for FY26, while EBITDA stood at INR 261 crore. The quarterly profit after tax for Q4 FY26 came in at INR 46 crore on total income of INR 152 crore. Notably, PAT margins remained strong at 32% during the year.

Chetan Shah, the company's CEO, stated that FY26 had been a transformational year for Marathon NextGen Realty. Operational efficiency improvements, balance sheet strengthening, and portfolio expansion were key contributors to the record profitability. Shah added that the company made significant progress in simplifying its corporate structure and enhancing long-term growth visibility.

Pre-sales remained healthy during the year, particularly driven by the commercial project Marathon Futurex in Lower Parel. This project recorded a 30% year-on-year growth, supported by strong leasing activity and space absorption. Annual collections stood at INR 781 crore, primarily driven by construction progress across projects such as Monte South, Nexzone, and Bhandup developments.

During FY26, Marathon NextGen launched Nexzone Phase 3, with an estimated gross development value (GDV) of INR 600 crore, and a new residential project in Bhandup under the Neohome portfolio carrying a GDV of INR 370 crore. Both launches received an encouraging market response, further solidifying the company's market position.

The company completed a Qualified Institutional Placement (QIP) raising approximately INR 900 crore during the year. Around INR 340 crore from the proceeds was utilized towards debt repayment. Combined with project collections from developments like Marathon Futurex and Nexzone, the capital infusion helped the company achieve a positive net cash position.

Marathon NextGen also received “no adverse observations” from both the BSE and NSE regarding its proposed scheme of amalgamation and arrangement, marking progress in its ongoing restructuring process.

As part of its expansion strategy, the developer acquired controlling interests in three real estate entities, adding six residential projects in the Kanjurmarg micro-market with an estimated GDV exceeding INR 840 crore. A substantial portion of these projects is expected to be launched over the next 12 months. Several acquired project components have been earmarked for the Permanent Transit Camp (PTC) segment, which the company believes could support faster monetization and improved capital efficiency.

Additionally, Marathon NextGen acquired a 90% stake in Sunset Spaces Private Limited during the year to strengthen its presence in the Mumbai Metropolitan Region (MMR) redevelopment market and expand its future development pipeline.

Operationally, the company reported area sales of 2,28,593 sq ft and a booking value of INR 576 crore for FY26 under its existing portfolio. On a post-merger basis, area sold stood at 3,04,963 sq ft with a booking value reaching INR 832 crore. Collections under the post-merger portfolio stood at INR 1,048 crore during the year.

The developer stated that infrastructure projects across the Mumbai Metropolitan Region, including the Mumbai Trans Harbour Link, Navi Mumbai International Airport, metro network expansion, and the broader Mumbai 3.0 development plan, continue to support demand in micro-markets where the company maintains a development presence. These areas include Lower Parel, Byculla, Mulund, Bhandup, Thane, Dombivli, and Panvel.