Prestige Estates reports ~77.4% decline in Q2 net profit

30 Oct 2024 , 10:41 AM

Prestige Estates Projects reported a 77.4% year-on-year fall in net profit to ₹192.2 Crore for the second quarter. This was primarily due to a ₹106 Crore deferred tax impact from recent tax code changes, particularly the elimination of indexation benefits on capital gains.

The company’s revenue increased by 3% to ₹2,304.4 Crore from ₹2,236.4 Crore in the same quarter of the previous year, indicating continuous growth despite larger headwinds.

The operating profit, or EBITDA, climbed by 6.5% to ₹631.3 Crore from ₹592.5 Crore in the previous year. The EBITDA margin improved slightly to 27.4% from 26.5%.

Prestige Estate Projects offers a diverse business model that includes residential, office, retail, hospitality, property management, and warehouses, with activities in over 12 key areas across India.

Prestige Estate Projects has bought an estimated 17.45 acres of property in Whitefield, Bengaluru. The projected acquisition cost is ₹462 Crore.

The company intends to build a residential complex on the bought site. The project will cover an estimated 2.68 million square feet of development area. This significant acquisition demonstrates the company’s dedication to creating revolutionary environments. It also easily integrates with their previous developments, ensuring long-term value for both communities and stakeholders, according to Irfan Razack, Chairman and Managing Director of the Prestige Group.

For feedback and suggestions, write to us at [e-mail]