Are Jamshri Realty latest results good or bad?

Jamshri Realty's latest financial results for the quarter ended September 2025 reveal a company facing significant operational challenges despite achieving some revenue growth. The company reported net sales of ₹1.93 crores, reflecting a quarter-on-quarter increase of 4.89% and a year-on-year growth of 8.43%. This marks the seventh consecutive quarter of positive year-on-year revenue growth, indicating resilience in its core operations. However, the absolute revenue remains low, raising concerns about scalability in a competitive market.
On the profitability front, Jamshri Realty experienced a net loss of ₹0.03 crores in Q2 FY26, a reversal from a modest profit of ₹0.15 crores in the previous quarter. This decline in profitability was primarily attributed to high interest costs and depreciation charges that significantly impacted the bottom line. The operating margin, while still relatively healthy at 27.98%, contracted from 30.98% in the prior quarter, suggesting rising operational costs and challenges in maintaining profitability.

The balance sheet presents a concerning picture, with negative shareholder equity of ₹5.18 crores and a book value per share of negative ₹12.86. The company’s debt burden remains substantial, with long-term debt at ₹44.53 crores, which is significant relative to its revenue base. This financial distress is compounded by a lack of institutional investor participation and a declining promoter stake, which fell from 71.00% to 67.39% over the past year.

Overall, while Jamshri Realty has shown some revenue growth, the underlying financial metrics indicate serious challenges, including persistent losses, a high debt burden, and negative net worth. The company saw an adjustment in its evaluation, reflecting these ongoing operational and financial difficulties.