Shares of Prestige Estates Projects Ltd. are in focus on Friday, May 30, after the company reported a weak set of fourth quarter earnings after market hours on Thursday.
The stock has been in the green for five consecutive trade sessions, gaining nearly 5% over five days, ahead of the earnings announcement.
Its fourth quarter revenue declined 29% to ₹1,528 crore from ₹2,164 crore in the previous year. It also declined 8% sequentially from the third quarter's ₹1,654 crore.
While Prestige Estates' net profit for the fourth quarter declined 82% to ₹43 crore from ₹236 crore in the previous year, it gained 35% from the ₹32 crore it reported in the third quarter of the financial year 2025.
Prestige Estates' earnings before interest, taxes, depreciation and amortisation (EBITDA) declined 35% to ₹541 crore in comparison to the ₹828 crore it reported in the fourth quarter of the previous fiscal. It also declined 7% sequentially from ₹583 crore in the previous quarter.
The company's EBITDA margin contracted by 285 basis points to 35.4% from 38.25% in the year-ago period. However, it was up 16 basis points from the EBITDA margin of 35.25% in the third quarter of FY25.
In its operational update shared earlier, Prestige Estates' new sales declined 19% to ₹17,023.1 crore from the previous fiscal. This was the impact of deferred launches amid approval delays. The company had guided for new sales to be between ₹23,000 crore and ₹24,000 crore.
Its sales volume too declined 38% from the previous year to 12.58 million square feet.
Collections increased by a percent to ₹12,084 crore from the previous year but were lower than the guidance of ₹16,000 crore.
The real estate company launched 26.28 million square feet worth of space in FY25 with a combined gross development value of ₹26,222.8 crore.
The average realisation for apartments, villas and commercial products was at ₹14,113 per square foot, which was up 36% from the previous fiscal. Its plot sale realisation too witnessed a 50% increase ₹7,167 per square foot.
Bengaluru contributed 45% to Prestige Estates' total sales, followed by Mumbai at 30%, Hyderabad at 23% and other markets by 2%.
Prestige Group's chairman and managing director Irfan Razack said that despite the delays in the project approvals that deferred a few key launches into the next level, the final quarter saw strong traction in sales and an encouraging uptick on realisations.
On Thursday, May 29, Prestige Estates and Valor Estate Ltd signed the framework agreement to form SPV. The two company's will jointly-develop the property in Mumbai, owned by Valor's subsidiary Esteem.
The total leasable area karea is around 1.5 million square feet, with gross development value of ₹4,500 crore.
On Wednesday, May 28, Prestige Estates said it completed three landmark projects in Mumbai, delivering over 800 units aross 2.8 million square feet.
On Tuesday, May 27, it said it launched Prestige Gardenia Estates in Bengaluru, which sold out immediately. The project spans 47 acre, with total development area of over 1 million square feet and has a revenue of 80- froe.
On April 30, 2025, Prestige Estates entered the NCR market with the launch of its Indirapuram project with a total gross development value of over ₹12,000 crore.
Shares of Prestige Estates ended 3.86% higher at ₹1,507.8 crore on Thursday, May 29. It has gained 9.65% in the past month.
Also Read: June F&O Series: Recent history has been kind to the Nifty this month
The stock has been in the green for five consecutive trade sessions, gaining nearly 5% over five days, ahead of the earnings announcement.
Its fourth quarter revenue declined 29% to ₹1,528 crore from ₹2,164 crore in the previous year. It also declined 8% sequentially from the third quarter's ₹1,654 crore.
While Prestige Estates' net profit for the fourth quarter declined 82% to ₹43 crore from ₹236 crore in the previous year, it gained 35% from the ₹32 crore it reported in the third quarter of the financial year 2025.
Prestige Estates' earnings before interest, taxes, depreciation and amortisation (EBITDA) declined 35% to ₹541 crore in comparison to the ₹828 crore it reported in the fourth quarter of the previous fiscal. It also declined 7% sequentially from ₹583 crore in the previous quarter.
The company's EBITDA margin contracted by 285 basis points to 35.4% from 38.25% in the year-ago period. However, it was up 16 basis points from the EBITDA margin of 35.25% in the third quarter of FY25.
Operational update
In its operational update shared earlier, Prestige Estates' new sales declined 19% to ₹17,023.1 crore from the previous fiscal. This was the impact of deferred launches amid approval delays. The company had guided for new sales to be between ₹23,000 crore and ₹24,000 crore.
Its sales volume too declined 38% from the previous year to 12.58 million square feet.
Collections increased by a percent to ₹12,084 crore from the previous year but were lower than the guidance of ₹16,000 crore.
The real estate company launched 26.28 million square feet worth of space in FY25 with a combined gross development value of ₹26,222.8 crore.
The average realisation for apartments, villas and commercial products was at ₹14,113 per square foot, which was up 36% from the previous fiscal. Its plot sale realisation too witnessed a 50% increase ₹7,167 per square foot.
Bengaluru contributed 45% to Prestige Estates' total sales, followed by Mumbai at 30%, Hyderabad at 23% and other markets by 2%.
Prestige Group's chairman and managing director Irfan Razack said that despite the delays in the project approvals that deferred a few key launches into the next level, the final quarter saw strong traction in sales and an encouraging uptick on realisations.
Recent Developments
On Thursday, May 29, Prestige Estates and Valor Estate Ltd signed the framework agreement to form SPV. The two company's will jointly-develop the property in Mumbai, owned by Valor's subsidiary Esteem.
The total leasable area karea is around 1.5 million square feet, with gross development value of ₹4,500 crore.
On Wednesday, May 28, Prestige Estates said it completed three landmark projects in Mumbai, delivering over 800 units aross 2.8 million square feet.
On Tuesday, May 27, it said it launched Prestige Gardenia Estates in Bengaluru, which sold out immediately. The project spans 47 acre, with total development area of over 1 million square feet and has a revenue of 80- froe.
On April 30, 2025, Prestige Estates entered the NCR market with the launch of its Indirapuram project with a total gross development value of over ₹12,000 crore.
Shares of Prestige Estates ended 3.86% higher at ₹1,507.8 crore on Thursday, May 29. It has gained 9.65% in the past month.
Also Read: June F&O Series: Recent history has been kind to the Nifty this month
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