Puravankara projects reports 116% on-year rise in net profit
Bangalore-based real estate firm Puravankara Projects reported 116% jump in net profit at Rs. 17 crore for the June quarter of FY17 as against the same period last year.
The company reported 11% YoY increase in consolidated revenues for the April to June quarter which stood at Rs 347 crore as against Rs 312 crores in the same quarter last year.
Ashish R Puravankara, Managing Director, Puravankara Limited, said, “We have begun the year on a solid footing with continued sales momentum especially on our ready and near- ready products, higher margins, improved profitability and a stronger balance sheet. This quarter’s performance must be seen in the context of the impact of GST, RERA and a weak demand environment. We have done well in this challenging scenario.”
EBITDA stood at Rs 87 crores; up 16% a year on year basis. Puravankara’s net debt equity ratio declined from Rs 2,187 crores in Q1FY17 to Rs 1,997 Crores in Q1FY18. The cost of debt also reduced for the Puravankara to 11.36%.
“Our focus will be on prudent capital allocation and speedy execution, as well as scaling brand Provident, as affordable housing is driving demand in terms of home sizes and ticket sizes. The Group continues to de-risk its business geographically with a growing presence in West India and Hyderabad,” said Puravankara.
The company has 21.64 msft of projects under development as of June 30, 2017.
“The Group delivered projects of 3.32 msft in the quarter ended June 30, 2017 compared to 3.49 msft in the full year-ended March 31, 2017. The focus is to accelerate the execution to deliver an additional 3 msft in the current financial year,” he added.