Arvind SmartSpaces Ltd. (ARVSMART) AI Stock Analysis

• Market Cap: ₹24.48B
• Dividend Yield: 0.98%
• Average Volume (3M): 1.39K
• Price to Earnings (P/E): 23.6
• Beta (1Y): 1.56
• Revenue Growth: 13.62%
• EPS Growth: 34.30%
• Country: IN
• Employees: 415
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Development
• EPS (TTM): 6.30
• Shares Outstanding: 45,866,978
• 10 Day Avg. Volume: 1,273
• 30 Day Avg. Volume: 1,385
• PEG Ratio: 0.18
• Price to Book (P/B): 5.49
• Price to Sales (P/S): 4.60
• P/FCF Ratio: -28.43
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹750.00
• Price Target Upside: 26.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 22.55
• Revenue Forecast (FY): ₹7.56B

• Rating: 63 Neutral
• Price Target: ₹568.00 ▼(-4.41% Downside)
• Action: Reiterated Date: 10/29/25
• Date: Action: Reiterated 10/29/25

Arvind SmartSpaces Ltd. demonstrates strong financial performance with robust revenue growth and profitability, though liquidity risks from negative cash flow are concerning. Technical indicators suggest a neutral to slightly bearish trend, and the valuation appears fair with a reasonable P/E ratio. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

High gross profit margin

A 43.5% gross margin signals durable cost control and pricing power in project execution. For a developer, this margin cushions project cost volatility, supports sustained profitability on new launches, and underpins longer-term cash generation even if sales mix shifts.

Strong return on equity

An 18.5% ROE indicates the company earns solid returns on shareholder capital, reflecting attractive project economics and efficient capital deployment. Persistently high ROE enables reinvestment into new projects and can compound shareholder value over multiple development cycles.

Moderate leverage (debt-to-equity)

A debt-to-equity of ~0.48 denotes a conservative-to-moderate leverage profile for a real estate developer. It reduces refinancing strain, leaves headroom to fund project capex or secure construction finance, and lessens interest burden risk versus highly leveraged peers.

Negative Factors

Negative operating cash flow

Negative operating cash flow undermines the company’s ability to fund ongoing construction and working capital from internal receipts. Over months this raises reliance on external debt, JV monetization or equity, increasing financing costs and execution risk for project timelines and launches.

Low equity ratio / high liabilities

An equity ratio of 22.4% means assets are largely financed by liabilities, reducing the balance-sheet cushion. In a slowdown this amplifies downside risk from project delays or price corrections, limits ability to absorb write-downs, and can pressure creditor negotiations.

Pressure on operating margins (EBIT/EBITDA)

Slight declines in EBIT/EBITDA margins suggest rising overheads or construction costs outpacing pricing. If this trend persists it will erode free cash flow and reduce returns on new projects, forcing either higher pricing or tighter cost control to maintain long-term profitability.

Arvind SmartSpaces Ltd. Business Overview & Revenue Model

Company Description

Arvind SmartSpaces Limited engages in the development of real estate projects in India. It develops residential, commercial, and industrial projects located in Ahmedabad, Gandhinagar, Bengaluru, and Pune. The company was formerly known as Arvind Infrastructure Limited and changed its name to Arvind SmartSpaces Limited in November 2016. Arvind SmartSpaces Limited was incorporated in 2008 and is headquartered in Ahmedabad, India.

How the Company Makes Money

Arvind SmartSpaces primarily makes money by developing real estate projects and monetizing them through sales to end customers. The main revenue stream is recognized from (i) sale of residential units (apartments/villas) and (ii) sale of plotted developments, typically based on the company’s accounting policies for real estate (for example, percentage-of-completion or upon handing over/registration, depending on the project and applicable accounting standards). Cash flows are driven by customer booking amounts, construction-linked installment plans, and final collections at possession/registration. In addition to core sales revenue, the company can earn other operating income related to its projects such as fees/charges collected from customers (e.g., maintenance-related collections or similar project-linked recoveries) where applicable; if such line items are not separately disclosed in available information, they are not determinable. The company’s economics are influenced by its project pipeline (launches and inventory), land acquisition or development-rights structures (outright purchase vs. joint development/joint venture arrangements), construction costs, pricing/absorption in its target micro-markets, and access to project financing/working capital to fund construction until customer collections are realized. Specific, named partnerships and their quantified contribution to earnings are null if not available from provided data.

Arvind SmartSpaces Ltd. Financial Statement Overview

Summary

Arvind SmartSpaces Ltd. shows strong revenue growth and profitability improvements, with a robust gross profit margin. The balance sheet is stable with a moderate debt-to-equity ratio and strong return on equity. However, high liabilities relative to assets and negative operating cash flow pose liquidity risks.

Income Statement

Arvind SmartSpaces has demonstrated strong revenue growth, with a significant increase in total revenue over the past year. The gross profit margin is robust at 43.5%, indicating good cost management. The net profit margin has improved to 15.5%, reflecting increased profitability. However, EBIT and EBITDA margins have slightly declined, showing some pressure on operational efficiency.

Balance Sheet

The company’s debt-to-equity ratio stands moderately at 0.48, suggesting a balanced capital structure. The return on equity is strong at 18.5%, indicating efficient use of equity capital. However, the equity ratio is 22.4%, showing a relatively high level of liabilities compared to assets, which could pose a risk if not managed carefully.

Cash Flow

Cash flow from operations has turned negative, which is a concern for liquidity management. The free cash flow has also decreased significantly, indicating potential challenges in covering operational and capital expenses. Nonetheless, the company has a reasonable free cash flow to net income ratio, showing some ability to generate cash relative to its income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	6.16B	7.13B	3.41B	2.56B	2.57B	1.49B
Gross Profit	2.96B	3.10B	2.49B	1.30B	1.31B	713.77M
EBITDA	1.69B	1.91B	1.21B	504.19M	543.53M	425.02M
Net Income	922.50M	1.10B	415.71M	256.07M	250.58M	87.47M
Balance Sheet
Total Assets	27.09B	26.71B	21.02B	15.11B	11.36B	9.26B
Cash, Cash Equivalents and Short-Term Investments	2.66B	2.43B	1.66B	1.48B	1.53B	366.47M
Total Debt	1.70B	2.85B	1.10B	1.46B	301.68M	1.89B
Total Liabilities	19.07B	18.63B	14.76B	10.15B	6.59B	5.76B
Stockholders Equity	5.98B	5.98B	4.95B	4.66B	4.39B	3.11B
Cash Flow
Free Cash Flow	1.24B	-1.15B	145.68M	-1.12B	1.51B	789.15M
Operating Cash Flow	1.35B	-999.38M	305.01M	-1.01B	1.61B	910.15M
Investing Cash Flow	195.93M	-419.30M	-277.64M	-815.18M	292.93M	-420.42M
Financing Cash Flow	-1.67B	1.34B	-33.18M	952.64M	-740.09M	-194.23M

Arvind SmartSpaces Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 594.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ARVSMART, the sentiment is Negative. The current price of 594.2 is above the 20-day moving average (MA) of 530.34, above the 50-day MA of 548.07, and below the 200-day MA of 606.87, indicating a neutral trend. The MACD of -5.18 indicates Negative momentum. The RSI at 48.55 is Neutral, neither overbought nor oversold. The STOCH value of 50.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ARVSMART.

Arvind SmartSpaces Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
ARVSMART	63 Neutral	₹24.48B	23.57	―	0.98%	13.62%	34.30%
MARATHON	58 Neutral	₹28.19B	28.99	―	0.19%	-21.43%	18.96%
KOLTEPATIL	57 Neutral	₹28.89B	195.93	―	1.01%	3.05%	―
AJMERA	56 Neutral	₹21.28B	36.99	―	0.47%	-1.25%	-5.48%
ASHIANA	56 Neutral	₹30.32B	12.74	―	0.85%	24.58%	122.16%
HUBTOWN	55 Neutral	₹28.04B	39.33	―	―	64.29%	―

Arvind SmartSpaces Ltd. Corporate Events

Arvind SmartSpaces Publishes Notice on Special Window for Demat of Physical Shares

Arvind SmartSpaces Ltd. has notified the stock exchanges that it has published newspaper advertisements on February 28, 2026, in the Financial Express (all-India English edition) and its Gujarati Ahmedabad edition. The advertisements relate to a special window for transfer and dematerialisation of physical shares, in line with a recent SEBI circular on share demat and transfer compliance.

By formally documenting these publications under Regulation 47 of the SEBI Listing Obligations and Disclosure Requirements, the company is reinforcing regulatory compliance and providing clarity to shareholders holding physical share certificates. This move supports the broader market transition toward dematerialised securities and may help streamline share transfers and reduce operational and settlement risks for investors and the company alike.

Arvind SmartSpaces to Join Small Cap Showcase Conference on 16 February 2026

Arvind SmartSpaces Ltd. has informed the stock exchanges that its management will participate in the Small Cap Showcase Conference organized by Avendus Spark on 16 February 2026. The company noted that the meeting schedule is subject to change based on any exigencies from either investors or the company, signaling ongoing engagement efforts with the investor and analyst community.

By taking part in this conference, Arvind SmartSpaces is seeking to enhance its visibility among small-cap focused investors and analysts, potentially supporting its capital markets profile and valuation. The disclosure underscores the company’s adherence to regulatory requirements on timely information sharing with stakeholders.