CARE Ratings Reaffirms CARE A+; Stable Credit Rating for Raymond Realty; Subsidiaries Rated CARE A-; Stable
Credit Strength Reaffirmed
CARE Ratings Limited assigned a Credit Rating of CARE A+; Stable for Long-term Bank facilities to Raymond Realty Limited, while Ten X Realty West Limited and Ten X Realty East Limited received CARE A-; Stable ratings. This assessment arrived as the developer completed its first full fiscal year as an independent, publicly listed entity.
Post-Demerger Confidence
FY2025-26 marked the company's demerger from Raymond Limited and subsequent listing on BSE Limited and the National Stock Exchange of India on July 1, 2025. The rating reaffirmation underscores stability despite this significant corporate restructuring. The rating derives strength from strong operational performance supported by healthy booking status in the intermediate stage of execution, consistent improvement in annual bookings and collections of the company, and favourable market position, particularly in Thane real estate market.
Financial Position and Liquidity
Collections increased by 47% to ₹550 Cr, while total borrowings rose to ₹1,097 Cr, resulting in a net debt of ₹827 Cr. The company held liquidity of ₹270 Cr as of June 30, 2026. The rating factors in the company's strong financial risk profile marked by current net debt free status and healthy committed receivable coverage position.
Operational Momentum
Raymond Realty Limited reported a 129% year-over-year increase in pre-sales to ₹700 Cr for Q1 FY27, driven by strong demand in the Mumbai Metropolitan Region without new project launches. During the year, the company launched seven projects across BKC, Wadala, Sion, and Thane, leveraging its capital-efficient owned land and Joint Development Agreement (JDA) model. These projects include Invictus by GS (BKC), The Address by GS (Wadala), The Address by GS (Sion), The Address by GS Season 3 (Thane), Invictus by GS Tower B (Thane), Park Street (Thane), and TenX District 9 (Thane).
Portfolio Scale and Strategic Growth
Following its demerger from Raymond Limited and listing as a pure-play entity on July 1, Raymond Realty had achieved a gross development value (GDV) pipeline exceeding Rs 40,000 crore, supported by strategic land assets and joint development agreements. The company operates through five wholly owned subsidiaries, with Ten X Realty Limited, the material subsidiary, registering a Gross Revenue of ₹728.55 Crores and a Profit after Tax of ₹40.80 Crores. Ten X Realty East Limited recorded Gross Revenue of ₹168.22 Crores and Profit after Tax of ₹7.40 Crores. Ten X Realty West Limited posted Gross Revenue of ₹491.94 Crores but incurred a loss of ₹6.31 Crores.
Margin Guidance and Financial Outlook
The company reaffirmed its EBITDA margin guidance of 17% - 19% for FY27. The company maintained that its Net Debt/Equity ratio remains below its internal ceiling of 1.0x.
Promoter Support and Market Position
The rating factors in the presence of resourceful promoter group and experienced management profile which provides healthy financial flexibility to the company, being part of Raymond Group. On a consolidated basis, RRL has seven ongoing projects in Thane and Bandra, spanning over 45 lakh square feet (lsf).