Bangalore: Prestige Estates Projects Ltd’s net profit for the December quarter more than tripled from a year ago as it registered record home sales.
Net profit jumped to Rs.92 crore in the fiscal third quarter from Rs.28.07 crore a year earlier, as revenue jumped 185% to Rs.511 crore.
Prestige’s top management said the December quarter was a game-changer, considering the company typically reports quarterly revenue of Rs.250-260 crore.
“The pre-sales for this fiscal so far have not only been unprecedented but the sales mix has also been very good, with numbers coming from all the product categories such as mid-income, premium, luxury and commercial and from all the geographies,” said Venkat K. Narayana, executive director and chief financial officer.
About 90% of the revenue came from home sales, he added.
Sequentially, revenue and net profit grew 96% and 101%, respectively.
Prestige also gained from mid-income housing projects launched over the past year.
In January, the Bangalore-based developer raised around Rs.364 crore from investors through an institutional placement of shares as part of lowering the promoter shareholding from 80% to the mandatory 75%.
Narayana said both domestic mutual funds and foreign institutional investors subscribed to the issue.
The developer sold 3,061 units in the nine months ended 31 December, totalling 6.05 million sq. ft and translating to about Rs.3,076 crore of sales, it said in a statement.
Other Bangalore developers such as Sobha Developers Ltd and Puravankara Projects Ltd, which declared results last month, also fared well in the third quarter, primarily on the back of good home sales.
The company announced its results after market hours. Its shares rose 2.59% to Rs.179.90 on BSE on Tuesday, while the Sensex went up 0.52% to 19,561.04 points.