"During Q1FY26, Puravankara recorded a revenue of Rs 539 crores, while new land acquisitions amounted to a whopping Rs 6,400 crores in terms of gross development value"

"During Q1FY26, Puravankara recorded a revenue of Rs 539 crores, while new land acquisitions amounted to a whopping Rs 6,400 crores in terms of gross development value"

Puravankara Limited, a trusted Indian real estate developer, has announced its financial results for Q1FY26, demonstrating steady growth and a positive outlook for the future.

Financial Highlights

• Total collections for Q1FY26 stood at Rs 857 crores, with sales for the same period amounting to Rs 1,124 crores, marking a 6% year-on-year increase.
• The average realisation for Q1FY26 rose 9% to Rs 8,988 per sq. ft., reflecting the strong demand for premium housing.
• Total area sold in Q1FY26 was 1.25 million square feet, while sales volume reached 1.25 million sq. ft.
• Net loss for the quarter was Rs 69 crores, with net debt standing at Rs 2,825 crores, resulting in a net debt-to-equity ratio of 1.68.

Project Developments

During the quarter, Puravankara launched 1.16 million square feet across various phases of ongoing projects. Out of the planned handovers, 3.65 million square feet (3,015 units) have been completed and Occupancy Certificates (OC) received.

The company also entered into a joint venture for a 24.59-acre land parcel near Bengaluru International Airport, with a Gross Development Value (GDV) of over Rs 3,300 crores. Additionally, Puravankara signed a Joint Development Agreement (JDA) for a 5.5-acre parcel in Balegere, East Bengaluru, with a GDV of over Rs 1,000 crores.

Estimated Surplus and Debt

The overall estimated surplus across all categories exceeds Rs 15,427 crores. The estimated surplus from commercial projects is Rs 1,934 crores, while the estimated surplus from pipeline projects is Rs 5,578 crores. The weighted average cost of debt has reduced to 11.35% as of June 30, 2025, compared with the last quarter.

It's important to note that the cost considered for surplus calculation does not include sales & marketing costs, corporate overheads, income tax, and future repayment of debt.

Market Outlook

India's real estate sector is projected to sustain strong growth potential in FY26, driven by robust demand across residential (especially luxury), commercial office leasing, and rental segments. The overall sector growth is expected around 6-9% CAGR.

The residential real estate sector is expected to grow driven by urbanization, increasing home prices, and demand for luxury homes. Commercial real estate, particularly Grade A office leasing, is expected to exceed 50 million sq. ft. by FY26, growing at a compound annual rate of 7-9%.

Established players like DLF are targeting housing pre-sales of ₹20,000–22,000 crore in FY26 and launching high-end projects to meet aspirational market demand, indicating a thriving premium segment.

Strong micro-market growth in cities such as Bengaluru, Hyderabad, Noida, and Pune has been supported by infrastructure development and job creation, leading to substantial capital appreciation and rental yields.

Positioning for Growth

Puravankara, as a significant residential developer with a focus on quality delivery and market responsiveness, is well-positioned to capitalize on these opportunities through its strong project pipelines and the rising demand for premium housing.

Like peers such as DLF and Oberoi Realty, Puravankara’s ability to deliver projects timely, maintain healthy financials, and expand into high-growth micro-markets will enable it to benefit from the expected 6-9% rise in new launches and sustained pricing power forecast for FY26.

In conclusion, India's real estate market in FY26 offers robust growth potential fueled by strong residential and office demand, rising luxury housing sales, and improving rental yields. Puravankara Limited, with its focus on residential projects catering to evolving market demands and urban expansion, is well-placed to capitalize on these growth opportunities.

1. Puravankara Limited, despite reporting a net loss for Q1FY26, views the financial results positively due to a 6% year-on-year increase in total collections and sales.
2. The booming environment for premium housing is evident in the 9% rise in the average realisation for Q1FY26, as reported by Puravankara Limited.
3. In terms of business expansion, Puravankara Limited entered into a joint venture for a 24.59-acre land parcel near Bengaluru International Airport, estimated to have a Gross Development Value (GDV) of over Rs 3,300 crores.
4. The health of the Indian real estate industry is predicted to remain strong in FY26, with growth accelerated by rising demand for luxury homes, increasing office leasing, and robust rental segments.
5. Investors looking for profit opportunities in the real-established industry, like Puravankara Limited, are advised to closely monitor the growth potential of high-demand micro-markets such as Bengaluru, Hyderabad, Noida, and Pune.

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