Embassy Office Parks REIT’s FY26 NOI Soars 15%


NEW DELHI: Embassy Office Parks REIT (Embassy REIT) has reported a 15% increase in its net operating income (NOI) totaling ₹3,760 crore for the financial year 2025-26.

The Board of Directors of Embassy Office Parks Management Services (EOPMSPL), the manager for Embassy REIT, declared distributions of ₹6,161.31 million (or ₹6.50 per unit) for the quarter ending March 31, 2026. This distribution includes ₹132.71 million (₹0.14 per unit) as interest, ₹1,317.57 million (₹1.39 per unit) as dividends, and ₹4,711.03 million (₹4.97 per unit) toward repayment of SPV-level debt.

Amit Shetty, CEO of the company, stated, “We successfully leased 6.4 million sq ft, achieving double-digit growth in revenue, NOI, and distributions, primarily due to robust demand from GCC, with Chennai emerging as a key growth hub. We delivered a record 3.3 million sq ft of new office space and are forecasting similar double-digit growth in both distributions and NOI for FY2027.”

The company saw a significant decline of 79.16% in its net consolidated profit for FY26, reporting a profit after tax (PAT) of ₹338.54 crore compared to ₹1,624.43 crore in FY25.

The total net consolidated income for the company reached ₹4,675.84 crore in FY26, marking an 11.83% increase from ₹4,181.29 crore in FY25.

The Board has announced a net asset value (NAV) of ₹491.62 per unit for Embassy REIT as of March 31, 2026, and approved raising debt up to ₹9,000 crore.

In Q4 FY26, the net consolidated total income grew by 11.78%, reaching ₹1,228.95 crore, compared to ₹1,099.39 crore in the same quarter the previous year. However, the loss after tax increased to ₹430.02 crore from a loss of ₹242.87 crore reported in the corresponding quarter of the previous fiscal year.

The company provided guidance for expected distributions in the range of ₹27 to ₹28.60 per unit for FY27, indicating a 10% year-on-year growth at the midpoint, with occupancy expected to be between 95%-96% by value.

In FY26, the company completed leases for 6.4 million sq ft across 86 deals at 17% higher leasing spreads and delivered 3.3 million sq ft of new office developments in Bengaluru and Chennai.

The portfolio occupancy increased by 300 basis points to 94% for FY26, while the portfolio Gross Asset Value (GAV) expanded by 15% year-on-year to ₹70,540 crore.

During FY26, the company raised ₹11,200 crore, which included ₹3,400 crore from 10-year NCDs, effectively lowering the in-place cost of debt by 65 basis points to 7.25%.

  • Published On Apr 27, 2026 at 06:19 PM IST

Join the community of over 2M industry professionals.

Subscribe to our newsletter for the latest insights and analysis delivered to your inbox.

Stay updated on the ETRealty industry right from your smartphone!