Note: This is a preliminary transcript and may contain inaccuracies. It will be updated with a final, fully-reviewed version soon.
Oberoi Realty Limited (NSE: OBEROIRLTY) Q3 2026 Earnings Call dated Jan. 20, 2026
Corporate Participants:
Vikas Oberoi — Chairman and Managing Director
Saumil Daru — Director, Finance
Analysts:
Puneet Gulati — Analyst
Kunal Lakhan — Analyst
Unidentified Participant
Unidentified Participant
Pritesh Shah — Analyst
Karan Khanna — Analyst
Akash Gupta — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to Oberoi Realty Q3FY26 earnings conference call. We have Mr. Oberoi, the chairman and Managing Director of the company and Mr. Soumil Daru, Director of Finance of the company with us for the call. Please note that this call will be for 30 minutes and for the duration of this conference call all participant lines will be in the listen only mode and this conference call is being recorded and the transcript for the same may be put up on the website of the company.
After the management discussion, there will be an opportunity for you to ask questions. Should anyone need assistance during the conference call, you may signal the operator by pressing Star then zero on your touchstone phone. Before I hand the conference over to the management, I would like to remind you that certain statements made during the course of this call may not be based on historical information or facts and may be forward looking statements including those relating to general business statements, plans, strategy of the company, the future financial condition and growth prospect.
The forward looking statements are based on expectations and projections and may involve a number of risks and uncertainties and other factors that could cause actual results, opportunities and growth potential to differ materially from those suggested by such statements. I now hand the conference over to Mr. Oberoi, the chairman and Managing Director of the company. Thank you. And over to you, Mr. Oberoi.
Vikas Oberoi — Chairman and Managing Director
Thank you. Good morning, good afternoon, good evening to all of you as per the time zones from which you have logged in and welcome to the conference call. Q3FY 2026 results and business Update thank you all for taking the to attend this call. Before I begin, I would like Before I begin I’d like to share with you a few quick business updates. We have received full occupation certificate for Turnia. We have also entered into a development agreement for redevelopment of land in Mapinsi Road360 west continues to attract strong inquiries.
Our office portfolio front commerce 2 occupancy is about 100%. Commerce 3 is also at 90%. Sky City Mall continues to scale up well on strong leasing demands and for retail tenants while Oberoi Mall continues to occupy continues with an occupancy of 99%. We continue to actively pursue attractive land opportunities and we remain optimistic about the year ahead supported by strong development pipeline. With this I will now open the floor for question and answer and both Somil and I’ll be happy to take your questions.
Thank you.
Operator
Thank you. We will now begin the question and answer session. Anyone who wishes to ask a question may press Star and One on your touchstone telephone. If you wish to remove yourself from the question queue you may press star. And two participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question comes from the line of Puneet Gulati with hsbc. Please go ahead.
Questions and Answers:
Puneet Gulati
Thank you so much. My first question is if you can talk a bit about the launch plan for this quarter and for next year. How should we think about the phasing of launches and potential sizes?
Vikas Oberoi
Hi Puneet. So Puneet, firstly we have our own Goregaon Walmore tower launch. We have additional higher floors that need to be launched. We have Boriwali which also has one tower. And when I talk about one tower these are like 6 to 8 lakh square feet towers with revenue of revenue potential of more than 3000 crores. We have both towers in Thane Forestryl as well as the Pokran road. We have Pedder Road coming up. We have. Ncr, we have Gurugram coming up. So lot of project launches. In fact we were expecting at least one of the few to be done in the third quarter which ended up slipping into now the fourth quarter and first quarter next year.
So lot of launches planned, lot of business development activities happened in this quarter and happening in the next quarter.
Puneet Gulati
So which one should we pencil in for this quarter?
Vikas Oberoi
You know we are desperately trying to get see Goregaon and Borivali are very much in our control. We will do Borivilli and Goregaon both. And we are desperately trying to get NCR within this quarter. In a worst case scenario it will be probably first quarter next year.
Puneet Gulati
And how do you view the market demand environment in the current context? So market volume and pricing both.
Vikas Oberoi
So again you know we have increased pricing when it comes to Goringa and Borivilli both. We have kept pricing in Thane stable for now. But these two markets have seen an upward price increase and I mean and there is no shortage of traction. In fact this quarter we’ve opened higher floors and we’ve seen great response even for the higher flows at a higher price. So I don’t see that there will be any issue going forward in terms of demand and pricing. Pricing continues to either stay put and if let’s say the product exceeds people’s expectation like what they did in Borivli we ourselves never expected today, you know some of our apartments are going beyond 50,000 rupees a square foot on carpet.
So this clearly shows that the product or the Project is an outlier and people have just loved the way it’s come about. I mean, you know, I don’t really need to say or sell anything about that. That’s anyway a super established location again there we are doing ready apartments are selling upward of 50,000. Some of them are selling at 60,000 rupees on carpet, like probably 30, 35% premium over market. And there is no resistance when we increase price. And so this is how the market is.
Puneet Gulati
Okay. And lastly, when should we expect 100% occupancy for the Sky City mall?
Vikas Oberoi
I think Max, another two quarters. Very large deals have been. We’ve done, Lois. We’re just waiting for the agreement to be done. And once agreements are done, then we will cross that threshold also. And you know, hopefully February, Apple also opens its store there. So even that kind of, you know, will again, I must say the footfalls in Sky City are literally double of Oberoi Mall even within the first six to nine months of its operation. So, I mean, you know, we are pleasantly surprised. It’s doing exceptionally well.
Puneet Gulati
Okay, that’s very helpful. Thank you so much and all the best.
Vikas Oberoi
Thank you.
Operator
Thank you. A reminder to all the participants that you may press star and one to ask a question. Next question comes on the line of Kunal Lakhan with clsa. Please go ahead.
Kunal Lakhan
Hi,
Vikas Oberoi
Kunal.
Kunal Lakhan
Hi, Vikas. Just quickly on the timelines for Burley.
Vikas Oberoi
The new project.
Kunal Lakhan
Yeah,
Vikas Oberoi
Okay. So expecting IUD any given day and then you know, the regular time that it takes for their approval. This and the other again, this also, you know, if everything goes right, that this gets pushed into the first quarter, next year, next financial year.
Kunal Lakhan
Okay. Q1 FY27.
Vikas Oberoi
Correct.
Kunal Lakhan
Okay. Okay. And secondly, just a question for Somil. Our operating cash flow this quarter kind of tapered off, right, Compared to like last quarter and even the previous year’s quarter. What was driving this? Hello? Hello. Yes, please. Yeah,
Unidentified Participant
I’m here.
Kunal Lakhan
Hello.
Unidentified Participant
Sorry, the question was for Somil or for me?
Kunal Lakhan
It was a Somil because. Yeah,
Unidentified Participant
Okay.
Vikas Oberoi
I don’t know whether Somil is having trouble in his audio.
Operator
We cannot hear the speakers.
Kunal Lakhan
Sure, sure. Okay. Just because. Just one, one last question. Just stepping back a couple of quarters. Right. We had at the beginning of the year, we had highlighted quite a few launches, greenfield launches for this year. Case in point, like the Gurgaon project, Worli project, and also couple of launches, couple of towers in Thane and Burvali and Gurega. We did launch Guregao Tawati but barring that, I think there is some slippages there in terms of launches. Are you facing any issues in terms of approvals or on the regulatory side?
Vikas Oberoi
You know, not at all. In fact, you know, we, it’s more to do with the way we want the design to be. We’ve really worked multiple times even on ncr. We’ve taken feedback from people with regards to, you know, what should be the depth of the deck. You know, we were, we started with 8ft and then we said no, 8ft probably would be too little. We pushed it to 10 and then 12 and so on and so forth. And so literally like, you know, when you’re trying to perfect a product and not really looking at what the market expecting you to do, it kind of, you know, brings you in a situation like where we are today.
But let me tell you, you know, it’s a dream to work in Gurgaon. Approvals are a breeze. Very, very, you know, I think like a state which really helpful in terms of approval. It’s just that we kept, you know, bettering our product, which we do all the time. And that goes for even our Pedar road project. You know, we created a plan. We first thought we will make podiums with ramp and then we realized that ramps would take a long time to go up. And then we replaced them with elevators. So we had to change our plans.
And you know, these days it’s not like, you know, you can simply launch. There is so much of process until you get commencement certificate. You can’t even apply for RERA if you can’t apply for RERA. You know, RERA takes 30 to 45 days and it just kind of stacked up. We were, we just got it wrong. You know, to be very honest, we just got it wrong. We could have easily got these in like maybe at least in the third quarter. But like I said that, you know, we kept perfecting the product which will of course pay us and help us in the long run and all of that.
But yeah, I mean, you know, it’s a missed quarter and a missed opportunity.
Kunal Lakhan
Sure. And lastly, if you can give some color on the timeline for Nepenthood
Vikas Oberoi
The. New one again, I mean, you know, this is, this is just the da. It should take at least nine months, you know, before we can actually see anything. I mean, given my past experience, I know that once the DA sign, it takes a lot of time to make sure you hit ground.
Kunal Lakhan
Okay. And just a follow up, you know, you look at FY27 now with the kind of Spillovers that we’ll see of the projects. So it looks like a very. Like a big year in terms of newer launches, right?
Vikas Oberoi
Absolutely. You know, whatever. It looks like a very promising year for ORL because now all the hard work that was required to be done has been done. Few of these should have actually been in 26, but they’re getting spilled into 27. But you know, like whatever is lost in 26, we get covered in 27. And it will look like a much bigger year for us
Kunal Lakhan
In terms of managing bandwidth. Are we ready for handling these many number of launches for next year?
Vikas Oberoi
Absolutely. You know, I mean, this is one thing I can say that as a company we have now really cracked the code as far as scale goes and as far as quality goes, we’re really able to do that. I mean, in fact, I must say that today I saw a presentation by our contractor for a good ground project. And really I must say that it’s something that you know, like people be proud of and we will be proud of having done that. So again, execution, no issue. Launches, absolutely no issue. We have a great team.
We are, we have, we, we have the bandwidth to build scale and scale with quality. We have that confidence. It’s just that, I mean, you know, we, you know, we lost track of time perfecting our product. And you know, sometimes it’s. It’s all right to be less perfect but to be, you know, on time then trying to completely, you know, perfect a product and bring it into the market. We realized that in the last one month that, you know, we pushed ourselves too much in that direction.
Kunal Lakhan
Sure, sure. Vikas, if Somal is available then
Saumil Daru
You. Can hear me now.
Kunal Lakhan
I can hear you. Somalia.
Saumil Daru
Yeah. Sorry about that. There are some technical issues. So I think we have got it sorted out. Yeah. In your question about operating cash flows, so basically we had about close to 300 crores going into payments for, you know, FSI and what we can say, related acquisition rights. So that’s where. And obviously that just goes out as pure operating cash flow. Correspondingly, those projects are not yet producing the revenues. So while they do not have any impact on the P and L per se, as far as cash flows are concerned, you will see the operating cash flows, you know, net of that amount.
Kunal Lakhan
Understood. Thanks. Thanks.
Saumil Daru
Thanks, Manal.
Kunal Lakhan
Thank you.
Operator
Thank you. Next question comes from the line of Gaurav Khandelwal with JP Morgan. Please go ahead.
Vikas Oberoi
Hi Gaurav.
Unidentified Participant
Hi. Hi Vikash. Hi, Samuel. Thanks for taking my questions. I have two questions. I take those one by one. My first question when I was looking at your presentation. So prices quarter on quarter for some of the projects seem to have come down at 360 at LSEN at Jordan. Can I understand if this is something to do with the configuration of the flats or is there a genuine decline in prices, what’s happening there? So
Vikas Oberoi
Prices are a factor of read into the floor. So if the, if the apartments on a lower floor then you will get lower realization. The apartments on the higher floor that you get higher realization. In fact, if at all, we’ve only increased prices and like I said in the earlier statement, we’ve neither reduced nor increased prices in Dhane. So that’s how it is.
Unidentified Participant
Got it. Thanks. That’s very clear. And my second question is a broader question, right? With the recent municipal changes, has there been any early industry wide discussions that for the areas where the municipality has jurisdiction, are they talking to developers that this, are they going to make any changes in terms of allowing FSI timeline on approvals or anything of the sort, any early color?
Vikas Oberoi
You know, frankly there is no change. I don’t know what change you are referring to. There is absolutely no change as far as corporation goes barring these elections that have taken place. But they have zero bearing on any of these issues. So it’s the state government and the urban development department that decides the policy of approvals. And there is really no change after the DCR came into play. There is really no new rule or regulation that kind of either enhances or decreases fsi.
Unidentified Participant
Got it. So it should be business as usual. It is business
Vikas Oberoi
As usual. Absolutely.
Unidentified Participant
Got it. And if I can just ask one more rather housekeeping question. So the one off employee expenses that have been booked, how many months of arrears are accounted for in that 23 crore figure?
Saumil Daru
So basically, yeah, Gaurav Samuel here. So basically when we calculate this, you know, this is calculated and the reason it comes as an exceptional item is it’s basically a true up for, you know, the period till date. So essentially the calculation takes into account the life of the employee. So from their joining date to today. So that’s about it. This is a one time cost which is taken after here it will be business as usual and you know, whatever is the amount that will regularly go, will go. And because this is a true up for you know, a relatively large period of time, that’s why it appears as an exceptional item.
Vikas Oberoi
And moreover also I also want to add that this is just a ballpark number and to its maximum once the the regulation with regards to this is out then the amount can vary and it can lower a bit. So.
Unidentified Participant
But in terms of normalized expenses, does it have any meaningful read on the cost of construction that we do?
Vikas Oberoi
No, no, not at all. This is a one time provision made for gratuity for the entire period. An entire period from the time anybody has joined ORM till today. That’s it.
Unidentified Participant
That’s very helpful. Thank you so.
Operator
Much. Thank you. Next question comes from the line of Pritesh Seth with Access Capital. Please go ahead.
Vikas Oberoi
Hi Pritesh.
Pritesh Shah
Yeah. Hi Vikas. Hi Soman. Thanks for the question. Just a couple of them. So first on Gurgaon launch, you know, by, you know, when should we be applying for RERA to be able to launch this project in time, this quarter? What would be the timeline?
Vikas Oberoi
We, we are awaiting, we are awaiting our plan approvals and I am told that we will get that in the next 30, 35 days or 40 days. Once we have that in our hand, we will immediately apply for ERA and once we have our ERA approved, we’ll immediately launch. So that’s, that’s what I can actually say. So really it’s like a touch and go for us. We are desperately trying to speed up and get things going.
Pritesh Shah
Sure, got it, got it. And in terms of commencement of the worldly commercial project, you know, when should we hit the ground there?
Vikas Oberoi
So you know, maybe we had already done some excavation in the past, we started securing the site again. We are on a design mode but as we speak again, I mean your work is happening at brisk speed there also.
Pritesh Shah
Got it, got it. Just a follow up on Gurgaon, you know, as for the feedback that you are getting from the authorities or market there, how much time generally it takes to get the rera? So you know, if we still, if we are able to apply for RERAN in the beginning of March, would we be comfortable launching the project, you know, in, in this quarter itself?
Vikas Oberoi
So again like I said, it’s going to be a touch and go. We are trying to get it done but it will be your touch and go. So between today and applying for ERA and getting RERA permission, we have our plans to get approved which we’ve applied for and then immediately we will go in for ERA approval. But like I said, it’s a touch and go. Hopefully we will be able to get through.
Pritesh Shah
Sure, sure. Okay. That’s pretty helpful. Thank you. All the best.
Vikas Oberoi
Thanks.
Operator
Thank you. Next question comes from the line of Karan Khanna with Ambit Capital. Please go ahead.
Karan Khanna
Thanks for the. Hi Vikas, Just A couple of questions from my side. First if you look at the business development so far you’ve only done Nipiancy Road this quarter. So how should one think about business development guidance let’s say for over the next 12 to 15 months. And any update on Versova and you recently emerged as a top bidder for an 11 acre land parcel in Bandra as well. So how should one think of business development going into FY27?
Vikas Oberoi
So let me tell you three large deals like you know, large deals we are working on and hopefully either we will announce this quarter or the first quarter next financial year and you will see let’s know like the bump up in terms of BD and railway land. I mean I can only say we bid, let’s see the outcome. We are very excited. If you get it, it’ll be great but too early to say anything until. Unless we get that in our hand.
Karan Khanna
Sure. And just to follow up, are these three large transactions in Mumbai MMR or are you also looking at opportunities outside Mumbai?
Vikas Oberoi
No, these are three in Mumbai. We are looking at other land parcels also but these are like near finishing line and all.
Karan Khanna
Sure. Secondly on Sky City where you know your current leasing stands at 56% and I think a couple of quarters like you mentioned, 90 by end of this year. So can you just provide an update as to you know how one should think about leasing here? Is it slowing or are you cautious, you know, trying to be maximize the rentals here and hence going slow in terms of leasing of the, of the mall?
Vikas Oberoi
No. So both are almost correct. We actually have signed three large leases. Once that gets affected or rather the agreements are signed, we will be in a position to tell that this is leased and we see great traction. I told you earlier that the footfall in Buriwali is phenomenal. The social media also has taken it to another level and it’s an outlier of a mall. Very excited about it and yeah, so we are also in a position to maximize it.
Karan Khanna
And then lastly on Jardin Thane, given the pace of sustainance sales that you’re seeing here, when do you expect to exhaust the current inventory and when are you looking to launch subsequent places here?
Vikas Oberoi
So you know in, in all high rise buildings the, the lower and the middle apartments get sold first for two reasons. One, of course they are cheaper because you don’t have to pay flow rise and we sometimes don’t even launch the higher flows. So in this case also we still have inventory which is on the higher floor. We are going to Launch one tower, which will actually help us in the sustenance because we have inventory of lower floors, which is something that people like to buy because of its cost advantage.
And so that’s going to be the only reason why we will launch a new tower for sales. But otherwise, we’ve kind of mapped Thane and its speed. The next thing in Thane will be the mall. We are doing a hotel and we are doing a school building. So these three, you know, things we launch and this will also stir the market because we are trying to position it as Oberoi, Garden City Thane. And that will also, you know, give them a clear signal what the market in Thana, what we are trying to build in Thana in terms of a market.
So JW Marriott hotel, the mall, and probably one of the best international schools being designed by a design firm based out of Boston. And again, like really a unique sculptural building being done there. So, like really, you know, change the way people perceive our location. We’re trying to build another Gorega out of that.
Karan Khanna
Sure. Thank you. Because. And all the best.
Vikas Oberoi
Thanks.
Operator
Thank you. Next question comes on the line of Akash Gupta with no Mura. Please go back.
Akash Gupta
Thank you for taking my question. So my question is on the real estate demand. Like, listening you, I, I don’t see a lot of pessimism, but then again, if I look at the third quarter PCA number, it is still the lowest over the last nine quarters. And also the.
Vikas Oberoi
Thanks for asking this question. Frankly.
Akash Gupta
Yeah,
Vikas Oberoi
I, you know, like I said that I, I said it in as many words. I said it in as many words. I said it in as many words. Sorry, are you able to hear me? Hello?
Akash Gupta
Yes, I can hear you, sir.
Vikas Oberoi
Okay. I said, I said it in as many words that we missed this opportunity to launch a project and that’s kind of hurt us in our third quarter. Otherwise you’ll see the numbers to be very different. We have projects which are actually, you know, at a stage where we simply sell and we can, you know, recognize revenue out of that. So it’s just, you know, like just one of those quarters where we were not able to time it properly. That’s about it.
Akash Gupta
Yeah. But then just on the thoughts on the real estate demand and with the equity market going down, like, are you seeing any slowdown? Not considering the launches, just on the sustainance,
Vikas Oberoi
Really? Not really. Because like I said that, you know, we’ve increased prices in Goregaon, we’ve increased prices in Burglary, and we don’t see any slowdown. There at all. So it’s developer specific, it’s location specific and it’s product specific. All three and we tick all the boxes, I think.
Akash Gupta
Got it, sir. That’s the only question I answer. Thank you.
Vikas Oberoi
Thank you. Thank you.
Operator
Thank you. Ladies and gentlemen. That was the last question for today. We have reached the end of question and answer session. I would now like to hand the conference over to Mr. Oberoi for closing comments.
Vikas Oberoi
Thank you all for taking time out of this call. We look forward to hearing from you on a regular basis. Please feel free to reach out to any of Please feel free to reach out to our investor relationship team as and when you have any questions. Thank you. Once again, thank you for attending this call.
Akash Gupta
Thank you everybody.
Operator
Thank you on behalf of Audrey Realty Ltd. That concludes this conference. Thank you for joining us. You may now disconnect your line.