Umiya Buildcon Limited, a diversified player in India's infrastructure and technology sectors, has announced a robust financial performance for the first quarter of fiscal year 2025-26 (Q1 FY26), reinforcing the success of its unique hybrid revenue model. The company reported a significant 17% year-on-year increase in revenue from operations, reaching ₹12.82 crore, alongside a remarkable 745% year-on-year growth in adjusted EBITDA, which stood at ₹42.12 crore.

This impressive growth in profitability was largely driven by strategic asset monetization initiatives and improved operating efficiencies. A key highlight of the quarter was the successful divestment of a non-core manufacturing property located in Electronics City, Bengaluru, which unlocked ₹40.5 crore in value. This move is part of Umiya Buildcon's broader strategy to reallocate capital towards high-growth areas within both its primary business verticals: real estate and telecom/networking solutions.

Aniruddha Mehta, Chairman and Managing Director of Umiya Buildcon Ltd, expressed his satisfaction with the results. "It has been a remarkable first quarter for Umiya Buildcon. The successful closure of our asset monetisation is not just a financial milestone but a strategic move that strengthens our capital position and accelerates our roadmap across both real estate and Telecom/Networking," Mehta stated. "We are confident that the hybrid model we've built, spanning two distinct and high-potential revenue streams, will continue to unlock long-term shareholder value."

The proceeds from the asset sale are strategically earmarked for several growth initiatives. A portion will be used to establish a new, more cost-efficient manufacturing facility, designed to enhance operational capabilities and improve access to skilled talent. The remaining funds will be reinvested into real estate projects and further research and development (R&D) within its telecom and networking solutions segment. This commitment to in-house R&D underscores Umiya Buildcon's focus on innovation and developing proprietary solutions.

Umiya Buildcon's hybrid revenue model strategically leverages two distinct yet synergistic business engines. The first is high-margin real estate, which includes the development and leasing of commercial properties. The company has already demonstrated success in this area, with a fully occupied property in Hebbal, Bengaluru, generating substantial lease rental revenue from April 2024, partly from prominent tenants like HDFC Bank and a Tata Group company. This provides a stable, long-term revenue stream.

The second engine is telecom and networking solutions, backed by its in-house R&D. This segment provides essential infrastructure and services in the rapidly expanding digital connectivity space. The company holds annual contracts with Tier 1 Internet Service Providers (ISPs) and Telecom Service Providers (TSPs) like Tata Tele-Services and Vodafone Idea, for its switches and routers. It also offers system integration services, currently managing, operating, and maintaining four projects, with a new BSNL order further expanding its operational footprint to nearly 1200 links across three Network Operations Centres. This segment's growth is tied to India's burgeoning digital infrastructure needs.

By strategically balancing these two revenue streams, Umiya Buildcon aims to achieve sustainable growth and maximize shareholder value. The Q1 FY26 results clearly demonstrate the initial success of this integrated approach, positioning the company for continued expansion in India's dynamic real estate and telecom sectors.