Phoenix Mills shares fall 6% after Q1 miss; Nomura sees 16% downside

Post Q1 results, Nomura has maintained its 'Neutral' stance on Phoenix Mills, saying the Q1 earnings came softer than expectations. It has kept the target price unchanged at ₹1,700

Phoenix Mills share price today: Shares of Mumbai-based real estate developer Phoenix Mills declined over 6 per cent in intraday trade on Wednesday after the company reported its June quarter (Q1FY27) results.

 

The stock opened lower at ₹1,989.90 and extended losses as the session progressed, slipping to an intraday low of ₹1,896 as investors reacted negatively to the earnings.

 

As of 12:30 PM, the counter traded 5 per cent lower at ₹,920 on the National Stock Exchange (NSE). 

 

In comparison, the benchmark Nifty 50 index was trading 1per cent higher at 24,230.  Phoenix Mills Q1 results 

 

For the quarter ended June 30, 2026, the company has reported a 23 per cent Y-o-Y growth in its net profit at ₹393.55 crore. It had earned a profit of ₹319.92 crore in the corresponding period of FY26. READ MORE

 

 

Its revenue rose 12.8 per cent Y-o-Y to ₹1,074.94 crore in the June quarter, compared with ₹952.99 crore clocked in the June quarter of the previous fiscal.

 

Ebitda grew by 13.83 per cent Y-o-Y to ₹642 crore in the reporting three-month period from ₹564 crore in the year-ago period.

 

On a sequential basis, Phoenix Mills' profit declined 18.98 per cent, falling from ₹485.72 crore in Q4 FY26. Ebitda also came down 14.4 per cent QoQ from ₹750 crore in Q4 FY26. Likewise, revenue too fell on a QoQ basis by 12.83 per cent (₹1,233.20 crore in Q4).

 

The developer said that its expenses increased by 8 per cent Y-o-Y in Q1, reaching ₹622.76 crore.

 

Phoenix Mills: Nomura stays 'Neutral'  Post Q1 numbers, Nomura has maintained its 'Neutral' stance on Phoenix Mills, saying the Q1 earnings came softer than expectations. It has kept the target price unchanged at ₹1,700, implying a downside of 16 per cent from the previous close of ₹2,023.23. 

 

According to Nomura, Phoenix Mills' Q1 numbers missed the Street estimates primarily due to weaker retail rental income growth and lower revenue recognition from the residential segment. 

 

The retail mall segment's income growth came in at 17 per cent Y-o-Y, lagging consumption growth at 32 per cent Y-o-Y versus its estimate of 20 per cent Y-o-Y. Retail income as a percentage of consumption was 12.5 per cent in Q1 FY27 versus 14.1 per cent in Q1 FY26 and 12.9 per cent in 4Q FY26) due to the category mix effect (consumption growth was led by jewellery and electronics categories, which typically have lower revenue-sharing arrangements with mall operators); minimum guarantee-plus-revenue-share lease structure for newer malls; and a tenant churn phase at Market City malls in Pune and Bangalore.

 

Also, there was a slight delay in the opening of a new mall in Surat as the company has pushed the completion timeline from CY27E to CY27-28E.

 

The company's office portfolio, however, remained strong, with revenue and Ebitda rising 14 per cent and 31 per cent Y-o-Y, respectively. The hospitality segment's revenue remained largely flat.

 

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