Arkade Developers Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Arkade Developers Ltd trades at ₹122, building a base and 4 weeks into that stage. That is −7.1% against its own 200-day average. It sits at 30% of a 52-week range of ₹100 to ₹174. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 10 straight weeks.

Today the stock is building a base — week 4 of stage 1, confirmed. At ₹122 it trades −7.1% versus its 200-day average and sits at 30% of its 52-week range (₹100–₹174).

Against the market, two honest reads. Cumulative: over the last 2.0 years the stock moved −22% while the NIFTY 500 moved −6% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 10 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Arkade Developers Ltd trades at 12.8× P/E, near the bottom of its own range — cheaper only 12% of the time. Its long-run median P/E is 17.7×, measured across 2.0 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 12.8× is near the bottom of its own range — cheaper only 12% of the time, against a long-run median of 17.7× measured over 2.0 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

🚨 Why the multiple sits where it does: over the past year annual EPS moved −96.6% against a −32.2% price move — the price outran earnings, pushing the multiple UP its own range.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

Stage: Deteriorating Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Arkade Developers Ltd reads as deteriorating on its fundamental arc. Deteriorating — revenue and profit growth are shrinking (revenue growth −7.5% latest (single-quarter readings) against +50.4% at its 12-quarter best), ROCE slipping at 20.0%. The read is built from 9 quarters across 3 curves, on partial evidence.

🚨 Why it matters: falling curves mean every cheap-looking ratio below needs a discount for direction.

One or more growth curves carry a base-effect spike — a large year-on-year move off a near-zero or loss-making comparable quarter. Those spikes are capped before the classifier reads the trajectory, and shown pinned on the chart, so a single distorted quarter does not drive the stage call.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

4-Factor Sector Score

43.7/100 — rank 5 of 7 in Realty - Regional · 72% evidence confidence

Arkade Developers Ltd scores 43.7 out of 100 against the 7 companies it is compared with in Realty - Regional, ranking 5. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 9.1 + 16.7 + 11.5 + 6.4 = 43.7. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Arkade Developers Ltd reported ₹147 Cr of revenue in the Jun 26 quarter, −7.5% year on year. Over 5 years it has compounded at 50.4% a year. The last full year, FY26, came in at ₹816 Cr. The last four reported quarters add to ₹805 Cr.

FY26 revenue came in at ₹816 Cr (+19.5% on the year), capping 5 years at 50.4% compound. The latest quarter (Jun 26) printed ₹147 Cr, −7.5% year on year.

Pace check: the last four quarters averaged +15.3% growth against the decade's 50.4% — the current year is running slower than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +12.3% over the last 4 quarters against +7.4%/yr over the last 8 — accelerating.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Arkade Developers Ltd's operating margin is 19.0% in the Jun 26 quarter, −2.0 percentage points against the same quarter a year ago. Across 6 fiscal years the operating margin has ranged 23.0% to 30.0%. The current quarter is running below every full year in that window.

The latest quarter's operating margin is 19.0%, −2.0 pp against the same quarter a year ago. Across 6 fiscal years the operating margin has ranged 23.0%–30.0%.

🚨 Why the margin moved: operating margin went −2.6 pp year on year while gross margin went +0.1 pp — the loss came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Arkade Developers Ltd earned ₹19.0 Cr of net profit in the Jun 26 quarter, −34.5% year on year. Full-year FY26 profit was ₹5.0 Cr. The 5-year compound rate is −25.6%. That is 12.9% of the quarter's revenue. The same quarter a year earlier earned ₹29.0 Cr. 1 of the last 12 reported quarters were loss-making.

Jun 26 profit was ₹19.0 Cr, −34.5% year on year. On the full year, FY26 printed ₹5.0 Cr (−96.8%), and the 5-year compound rate is −25.6%.

🚨 Why profit moved: revenue contributed −7.5% and the margin −2.0 pp — the quarter was revenue-led despite a thinner margin.

Pace comparison, last four quarters: profit −120.2% vs revenue +15.3%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years −83% of Arkade Developers Ltd's reported profit arrived as operating cash — a gap worth watching. In FY26 that was ₹−119 Cr of operating cash against ₹5.0 Cr of profit. After ₹36.0 Cr of capital spending, ₹−155 Cr was left as free cash.

FY26: operating cash of ₹−119 Cr against reported profit of ₹5.0 Cr, leaving free cash of ₹−155 Cr after ₹36.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is −83% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

🚨 Why conversion sits at −83%: the cash cycle tightened 8,432 days between FY21 and FY26 — cash that used to wait in the cycle now reaches the bank sooner. Less than 70% of profit arriving as cash is the thing to watch on this page.

Router verdict: the bigger cash user is investment — capital spending ran 3.7× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Arkade Developers Ltd's cash conversion cycle runs 11 days in FY26, down from 8,443 days in FY21. Capital spending ran ₹59.0 Cr over the last 3 years. At FY26 sales of ₹816 Cr each day of that cycle holds about ₹2.2 Cr, so roughly ₹25.0 Cr sits inside the business at any moment.

FY26: debtors at 11 days, inventory at 589 days — roughly 19.4 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 11 days, tighter than FY21's 8,443.

The full loop: cash goes out to suppliers and production on day 0; stock waits 589 days to sell; customers pay about 11 days after that; and suppliers themselves are paid at 28 days — netting out to the 11-day cycle.

In money terms: at FY26 sales of ₹816 Cr, each day of the cycle holds about ₹2.2 Cr — so the 11-day loop keeps roughly ₹25.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹59.0 Cr over the last 3 fiscal years against ₹16.0 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹5.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Arkade Developers Ltd earns a ROCE of 19% in FY26. Return on invested capital clears the cost of that capital by +7.0 percentage points, so growth here adds value rather than only size. The wiring behind it is 0.6% net margin on 0.72× asset turns.

FY26 ROCE is 19%.

Why the return is what it is — the wiring (FY26): 0.6% net margin × 0.72× asset turns × 1.28× balance-sheet leverage ≈ 0.6% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 19.0% − 12.0% = a +7.0 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

Arkade Developers Ltd carries total debt of ₹99.0 Cr against shareholder equity of ₹882 Cr as of Mar 26, a debt-to-equity of 0.11 — effectively unlevered. On the annual view that ratio went from 0.22 in FY24 to 0.11 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Mar 26: total debt of ₹99.0 Cr against shareholder equity of ₹882 Cr — a debt-to-equity of 0.11. On the annual view, debt-to-equity went from 0.22 (FY24) to 0.11 (FY26). The returns on this page are earned, not borrowed.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Foreign institutions cut 4.2 points of Arkade Developers Ltd over 7 quarters, the biggest move on the register. That takes foreign institutions to 0.1% of the company. Promoters moved +0.4 points over the same window, to 71.2%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: −4.2 points over 7 quarters to 0.1%; Promoters: +0.4 points over 7 quarters to 71.2%; Domestic institutions: −0.4 points over 7 quarters to 0.1%.

🚨 Why the register moved: foreign institutions drove it (−4.2 points) — distribution into the market’s bid.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Arkade Developers Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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