Puravankara shares rally up to 13% after Q1 revenue jumps 62% YoY; EBITDA margin expands to 25%

Puravankara shares rallied up to 13% to hit a day’s high of Rs 245 on Monday after the real estate developer reported a 62% year-on-year jump in revenue for the quarter ended June, while EBITDA margin expanded to 25%.The company, in its exchange filing, said it had a strong start to FY27, supported by improved realisations and disciplined execution across its residential and commercial portfolio.Puravankara reported a consolidated Profit After Tax (PAT) of Rs 25 crore in Q1FY27, compared with a loss of Rs 69 crore in the year-ago quarter. EBITDA margin also improved sharply to 25% from 15% in Q1FY26.Also Read |Listed developers eye Rs 1.82 lakh crore pre-sales in FY27 as housing demand holds firm: ReportTotal revenue for Q1FY27 stood at Rs 877 crore, up 63% YoY from Rs 539 crore in Q1FY26. Operating inflows for the quarter stood at Rs 1,423 crore, against operating outflows of Rs 1,078 crore, resulting in an operating surplus of Rs 345 crore.The company handed over 745 homes covering 0.94 msft during the quarter, up from 667 units in Q1FY26, sustaining the execution momentum built through FY26. In the quarter that ended in June, the company recorded pre-sales of Rs 1,439 crore, up 28% year-on-year, on sales volume of 1.36 million sq. ft. across 1,017 units.The average sales realisation was recorded at Rs 10,589 per sft, up 18% year-on-year and the collections were recorded at Rs 1,199 crore, up 40% year-on-year. As of June 30, 2026, 3.20 msft of completed inventory (2,777 units) is pending revenue recognition.The gross debt stood at Rs 3,942 crore as of June 30, 2026, reduced by Rs 74 crore during the quarter even as the company deployed Rs 574 crore towards land payments, advances and deposits.The net debt stood at Rs 2,836 crore, with a net debt-to-equity ratio of 1.57 for Q1FY27 and the cost of debt stood at 11.12% as of June 30, 2026.The company completed 1.72 msft across ten towers and phases during the quarter: 1.00 msft in Goa (Provident Adora De Goa, Phases VIII to XI), 0.51 msft in Pune (Emerald Bay Towers B-2 and B-3, and Purva Aspire) and 0.21 msft in Mumbai (Purva Clermont, Wings A, D and E).As of June 30, 2026, the total estimated surplus from ongoing projects stands at Rs 8,976 crore. The estimated surplus from commercial projects is Rs 2,220 crore. The estimated surplus from pipeline projects is Rs 8,636 crore. The overall estimated surplus across all categories stands at Rs 19,831 crore over the next three to five years.In Q1FY27, Puravankara announced four land transactions in Bengaluru spanning approximately 41.93 acres, with a cumulative development potential of around 4.23 msft - Mandur, Doddagubbi, Sarjapura and Sanna Ammanikere.The company has 20.48 msft of planned launches across the Southern and Western markets, with an approximate GDV of Rs 27,300 crore, with the majority of the pipeline concentrated in Bengaluru and Mumbai. The estimated future cash flow potential from total new launches (excluding new phases) is around Rs 8,636 crore. The pipeline is supported by a redevelopment portfolio of five projects in Mumbai, representing 2.23 msft of saleable area on the company's share.Also Read | Realty developer Puravankara acquires 9.73-acre land parcel in north BengaluruAccording to the filing, Purva Zentech, Bengaluru entered into a definitive agreement with ICICI Prudential AMC for the sale of the commercial property at an enterprise value of Rs 625.94 crore. Of the total consideration, Rs 145 crore will be received through the sale of shares of the SPV, while the balance will be realised through agreed balance sheet adjustments in accordance with the transaction structure.In the past one month, the stock went up 1.09% and nearly 4.25% in the past one year. The stock went up 41.35% in the last three years.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)