Overview

Puravankara Limited (NSE: PURVA | BSE: 532891) announced a strong start to FY27, delivering a revenue of ₹877 crore, which represents a 63% year‑on‑year increase from ₹539 crore in Q1FY26. The company posted a Profit After Tax (PAT) of ₹25 crore, reversing a loss of ₹69 crore in the comparable quarter last year, and its EBITDA margin expanded to 25% from 15% previously.

Financial Performance

Operating inflows for the quarter were ₹1,423 crore, while operating outflows amounted to ₹1,078 crore, generating an operating surplus of ₹345 crore. Pre‑sales reached ₹1,439 crore, up 28% YoY, on a sales volume of 1.36 million sq ft across 1,017 units. Average realisation improved 18% to ₹10,589 per sq ft. Customer collections rose 40% YoY to ₹1,199 crore, marking the highest first‑quarter collections in three years.

Project Execution

The company handed over 745 homes covering 0.94 msft during Q1FY27, compared with 667 units in Q1FY26. As of 30 June 2026, 3.20 msft of completed inventory (equivalent to 2,777 units) remained pending revenue recognition. Completed construction during the quarter totaled 1.72 msft across ten towers and phases: 1.00 msft in Goa (Provident Adora De Goa, Phases VIII‑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).

Land Acquisitions and GDV

Puravankara added ₹5,200 crore of Gross Development Value (GDV) through four land transactions in Bengaluru, covering approximately 41.93 acres with a cumulative development potential of about 4.23 msft. The parcels are:

  • Mandur, Bengaluru: 14.57 acres, GDV ₹2,300 crore, development potential 1.8 msft.
  • Doddagubbi, North Bengaluru: 11.23 acres, GDV >₹1,100 crore, saleable area 0.74 msft.
  • Sarjapura, Bengaluru: 6.4 acres, GDV >₹1,000 crore, saleable area 0.8 msft.
  • Sanna Ammanikere, North Bengaluru: 9.73 acres, GDV ≈₹800 crore, saleable area 0.89 msft.

A definitive agreement was also signed with ICICI Prudential AMC for the sale of the commercial property Purva Zentech at an enterprise value of ₹625.94 crore; ₹145 crore will be received via share sale of the SPV, with the balance to be realised through agreed balance‑sheet adjustments.

Debt, Surplus and Cost of Capital

Gross debt stood at ₹3,942 crore as of 30 June 2026, reflecting a reduction of ₹74 crore during the quarter. Net debt was ₹2,836 crore, yielding a net debt‑to‑equity ratio of 1.57. The cost of debt was 11.12%.

Projected Cash Flows and Surplus

The company estimates an overall surplus of ₹19,831 crore over the next 3‑5 years, broken down as ₹8,976 crore from ongoing projects, ₹2,220 crore from commercial projects, and ₹8,636 crore from pipeline projects.

Launch Pipeline and FY27 Guidance

Puravankara has 20.48 msft of planned launches across Southern and Western markets, primarily Bengaluru and Mumbai, representing an approximate GDV of ₹27,300 crore. The estimated future cash‑flow potential from these new launches (excluding new phases) is around ₹8,636 crore. The company reaffirmed its FY27 sales guidance of ₹11,200 crore.

Accounting Note

Under Ind AS 115, revenue and profit from residential projects are recognised only upon handover, not at the point of sale, creating a lag between sales performance and reported earnings.

About Puravankara Limited

Puravankara Group, headquartered in Bengaluru, operates across nine cities with 97 completed projects totaling ~59 msft. The group’s total land bank is ~38 msft, with ongoing projects adding up to 35.14 msft. Subsidiaries include Starworth Infrastructure and Construction Limited (SICL) for technology‑enabled construction and Purva Streaks for interior design.