Prestige Estates achieves highest-ever sales; shares hit 52-week high

The Indian headline indices started the week on a downtrend, reflecting the global market’s vulnerability due to the Israel-Palestine war. While all sectoral indices were experiencing declines, the BSE Information Technology sector stood out as an exception, with all of the Sensex’s IT constituents leading the way as top gainers, bolstering overall market sentiment.

The real estate sector exhibited resilience, benefiting from the positive performance of Macrotech Developers Ltd (Lodha) and Prestige Estates Projects Ltd. On Monday, during intraday trading, Prestige Estates Projects Ltd experienced a notable surge, hitting a 52-week high of Rs 699 per share on the BSE. This uptrend came on the heels of the company’s release of its operational update for the quarter and half-year ending on September 30, 2023.

In the first half of FY24, the company touched remarkable milestones by achieving its highest-ever sales, amounting to Rs 1,10,073 million, representing a substantial year-on-year growth of 69%. Additionally, collections during this period reached Rs 53,806 million, marking a notable increase of 13% compared to the previous year. These impressive sales figures can be attributed to the sale of 10.7 million sq. ft. (30% higher than the previous year), with apartments/villas commanding an average realization of Rs 10,338 per sq. ft. (a 25% year-on-year increase), and plot sales achieving an average realization of Rs 4,825 per sq. ft. (a 17% year-on-year rise).

During H1FY24, the company successfully sold a total of 5,935 units. Furthermore, in the second quarter of FY24 alone, the company achieved outstanding sales, totalling Rs 70,926 million, reflecting an impressive year-on-year growth of 102%. During the quarter, the company launched five new projects while successfully completing three ongoing projects.

Prestige Group stands as a prominent real estate developer in the country, renowned for its diversified business model encompassing various segments within the industry. With a track record of completing 285 projects spanning a vast developable area of 170 million sq. ft., it currently has an impressive portfolio of 54 ongoing projects.

Keep a close eye on this stock for the upcoming trading sessions!

Disclaimer:This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.