homereal estate NewsAs Puravankara turns for the year so far, CEO says the sales momentum is here to stay
As Puravankara turns for the year so far, CEO says the sales momentum is here to stay
Abhishek Kapoor, CEO, of Puravankara expressed his optimism regarding the real estate market's performance. He emphasised that the first quarter's demand is looking healthy, and he does not foresee any slowdown in the near future.
The demand for real estate across the board continues to remain buoyant. That is the word coming from Abhishek Kapoor, CEO of Puravankara Ltd, one of India's leading real estate developers. Speaking to CNBC-TV18, he expressed his optimism regarding the real estate market's performance. He emphasised that the first quarter's demand is looking healthy, and he does not foresee any slowdown in the near future.
“We see the demand across the board continuing to be buoyant. As far as demand is concerned even this quarter and on the ground what we are seeing demand is looking pretty good, very healthy and continuing to grow. So we are seeing no slowdown of any manner occurring across Puravankara, Provident or PurvaLand.”
One of the key highlights of the interview was Kapoor's expectation of achieving a margin of 27-30 percent for the affordable housing segment. This projection demonstrates Puravankara's strategic focus on catering to the affordable housing market while ensuring profitability.
He said, “If you look at Provident Housing, our mid-income and affordable housing, the margins are anywhere between 27 to 30 percent EBITDA. If you look at Puravankara, it would be anywhere between 30 and 35 percent and if you look at PurvaLand, it will be in excess of 35 percent.”
Puravankara Press Release - Operational Updates - Q4FY24Additionally, Kapoor stated that the blended margin is likely to fall within the range of 25-30 percent, further highlighting the company's commitment to maintaining healthy profit margins.
Kapoor also addressed the pre-sales numbers, assuring that they will continue at the same pace. “From pre sales point of view, we will do about 50 percent of the sales will come from Provident and the balance will come from the new launches, and the balance will come from Purvankara and PurvaLand. I think in terms of pre sales with 14 million square foot, we are quite optimistic that the numbers will continue to look very, very great,” he added.
Looking ahead, Kapoor expressed an expectation of 9-12 percent price appreciation in the future.
Kapoor said, “Realistically speaking, I think you would expect anywhere between 9 and 12 percent appreciation year-on-year basis for sure the way we are seeing it right now.”
Also Read | Average flat sizes increase in NCR, Hyderabad; Mumbai, Chennai see decline in bigger homes
At 12:30 PM, the stock was trading at Rs 93.75 on the NSE, up by 6.17 percent.
(Edited by : C H Unnikrishnan)
First Published: Jun 14, 2023 1:22 PM IST
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