Puravankara shares hit 52-week high as Street cheers strong Q3 business update by Bengaluru-based property developer

Puravankara (PURVA) shares zoomed on Wednesday after the Bengaluru-headquartered real estate development company said its sales bookings grew 56 per cent on a year-on-year basis to Rs 1,241 crore for the quarter ended December 2023, driven by strong volumes in the housing segment. The stock jumped by as much as Rs 22.8, or 10.3 per cent, to a 52-week high of Rs 243.9 apiece on BSE. 

At 1 pm, the stock was up 4.5 per cent for the day at Rs 231 apiece on the bourse, trading with high volumes. As many as 3.5 lakh Puravankara shares changed hands for the day so far, as against a daily average of 1.7 lakh recorded in the past two weeks, according to provisional exchange data.

In a business update, released within the first hour of trade, the realty firm said that its bookings increased 60 per cent, in terms of area, 1.63 million square feet. Positive economic conditions have generated "an unprecedented demand for quality residential real estate, and we are clearly observing it in the sustenance sales of our ongoing projects. We are optimistic about maintaining this sales momentum," the company said. 

The company's quarterly average sales realisation, however, declined two per cent to Rs 7,610 per square foot.

For the first nine months of the financial year, which ends on March 31, 2024, Puravankara's sale bookings grew 89 per cent to Rs 3,967 crore and 80 per cent to 5.01 million square feet, according to the update. Its average sales realisation for the nine months grew five per cent to Rs 7,916 per square foot.

“The first nine months of FY24 has seen exceptional pre-sales... Achieving our highest-ever collection of Rs 2,515 crore for 9MFY24 and Rs 941 crore for Q3FY24 is a testament to our significant progress in construction while affirming our commitment to excellence in quality," said Ashish Puravankara, Managing Director, Puravankara. 

The company launched two projects during the courter, one each in Chennai and Bengaluru: 

Puravankara has completed more than 80 projects covering 46 million square feet of area in nine cities: Bengaluru, Chennai, Hyderabad, Coimbatore, Mangaluru, Kochi, Mumbai, Pune and Goa.

Puravankara shares: Past performance

Puravankara shares finished the December quarter 42.2 per cent stronger, outperforming gains of 10.7 per cent and 36 per cent in the Nifty50 and Nifty Realty indices, respectively.   

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