Real estate firm Prestige Estates Projects has reported a 55.19% increase in quarterly net profit as timely completion and delivery of projects helped push up sales. Net profit for the September quarter increased to Rs 149 crore despite the recent inflationary escalations and interest rate hikes, the Bengaluru-based company said.
During the quarter, the company’s net revenue increased by 9.63% from a year ago to Rs 1,474 crore. The company's EBIDTA margin recorded a growth of 0.8% during the period. For the second quarter, the company registered property sales of Rs 3,511 crore, up by 66% YoY, and collections of Rs 2,602.9 crore up by 68% YoY. The sales during this period is attributed to a 4.55 mn sq ft volume with an average realisation of Rs 7,711 per sq ft. The company sold 3,210 units in the quarter.
“We have also been consistent in our completions and deliveries, which is reflected in our strong financial results,” said Irfan Razack, Chairman of Prestige Group. “Further, our pipeline of ongoing and upcoming projects keeps us in good stead for new launches and sales in the upcoming quarters.”
“We have also been consistent in our completions and deliveries, which is reflected in our strong financial results,” said Irfan Razack, Chairman, Prestige Group. “Further, our pipeline of ongoing and upcoming projects keeps us in good stead for new launches and sales in the upcoming quarters.” For the first half of FY23, the company registered sales of Rs 6,523.1 crore (up by 129% YoY) and collections of Rs 4,749.3 crore (up by 85%).
“Our focus remains to consistently deliver on our commitments without pushing price escalations or time extensions to our customers. We are well-placed to achieve a robust overall performance during the fiscal year ‘23 and plan to launch projects spanning 10 million sq ft area in the second half of the year,” said Venkat K Narayana, Chief Executive Officer.
The group has completed 272 projects, spanning a developable area of 154 million sq ft, and has 52 ongoing projects across segments, with a total developable area of 78 mn sq ft. Another 47 projects spanning 79 million sq ft are under various stages of planning.
The company also operates more than 1,300 keys under its hospitality portfolio. Prestige also holds a land bank of over 400 acres. The company has been accorded a developer grading of DA1+ by CRISIL and also commands a credit rating of [ICRA] A+ stable. For the quarter that ended September 2022, its net debt stood at Rs 4047 crore, with a debt-equity ratio of 0.41.
