Anarock Property Consultants reported a sharp rise in profit and revenue in FY26 — but its draft red herring prospectus reveals a warning sign for IPO-bound investors: operating cash flow has slipped into negative territory, IANS reported on October 5.

According to the DRHP filed for a proposed ₹1,000-crore initial public offering, Anarock's net profit rose to ₹93.22 crore in FY26 from ₹60.78 crore in FY25, while revenue from operations increased 33.83% to ₹881.90 crore from ₹658.95 crore a year earlier. Over three years the growth is striking: FY24 revenue was ₹509.23 crore with net profit of ₹44.94 crore.

But the cash tells a different story. Operating cash flow swung to an outflow of ₹12.07 crore in FY26 from an inflow of nearly ₹93 crore in FY25 — largely because trade receivables surged to ₹464.21 crore at the end of FY26, up from about ₹316 crore a year earlier. Receivables represent payments due for services already delivered and recognised as revenue; Anarock linked the build-up partly to higher revenue and the timing of billing toward the financial year-end.

The timing is busy: on September 27, 2026, Anarock acquired a 53.68% stake in architecture and design firm DSP Design Associates for ₹64.01 crore, and filed its IPO papers just three days later.

Founded by Anuj Puri in 2017 after his exit from JLL India, Anarock has grown from a residential property advisory firm into a diversified real estate services platform spanning transaction advisory, commercial leasing, investment advisory, project management, technology-led real estate solutions and valuation advisory. As of March 31, 2026, the company had 2,192 permanent employees and operations across 15 Indian cities, plus a Middle East presence.

Why it matters for founders

Anarock's DRHP is a masterclass in one sentence: profit is an opinion, cash is a fact. Receivables growing faster than revenue is the classic red flag — if your clients pay late, your P&L can look great while your bank account empties. Founders heading toward a raise or an exit: clean up collection cycles before the paperwork, not after.

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