Puravankara, a real estate developer, reported a loss of Rs 17 crore in the first quarter of FY23 on sales of Rs 323 crore, up 50 percent year on year, in a regulatory filing on August 11. According to reports, “while revenue is higher compared to last year, lower EBITDA and loss are due to increased marketing expenses for 119 percent sales growth that cannot be capitalised.” Furthermore, the additional general and administrative (G&A) expenditures incurred to support the increased business activity would be repaid in subsequent quarters through greater deliveries.”
In the quarter ended June 30, the business generated revenues of Rs 1,126 crore, an increase of 119 percent year on year, for creating 1.36 million square feet (msf). In the April-June quarter, buyer collections totaled Rs 696 crore.
“The Q1 FY24 results show a strong start to the new fiscal year.” The number of pre-orders has more than quadrupled to Rs 1,126 crore. With a solid pipeline of 15 million square feet of new launches this year, we are optimistic in maintaining our pre-sales growth pace,” said Ashish Puravankara, Managing Director of Puravankara Limited. In Q1 FY24, average price realisation climbed by 11% to Rs 8,227 per sq ft, up from Rs 7,436 per sq ft the previous year.
Operating cash inflows were Rs 866 crore, up more than 30 percent year on year, but EBITDA fell 46 percent year on year to Rs 75 crore. Net debt amounted at Rs 2,119 crore in the first quarter of FY23, with a net debt to equity ratio of 1.07 in Q1. Net debt has decreased by Rs 89 crore compared to the previous quarter. Balance receipts from sold units (finished and continuing) in all launched projects remained at Rs 3,052 crore, while the total expected surplus from completed and ongoing projects is Rs 6,730 crore.
According to the business, fresh releases in Q1FY24 brought the total amount of unsold inventory to Rs 5,528 crore. In the first quarter, Puravankara sold over 64,500 residential units. The business is aiming to generate a topline of Rs 18,000 crore from these launches over the course of the next three years. This year, it plans to launch new projects totaling more than 15 msf in Bengaluru, Chennai, Kochi, and Coimbatore.
