NCR foray boosts Indian developer Prestige's first-quarter profit

Prestige Estates Projects

05/08/2025 16:00

Aug 5 (Reuters) - India's Prestige Estates Projects PREG.NS reported a higher first-quarter profit on Tuesday, boosted by strong demand for launched apartments in the National Capital Region (NCR).

The Bengaluru-based developer said its consolidated net profit rose 26% year-on-year to 2.93 billion rupees ($33.4 million).

Revenue rose 24% to 23.07 billion rupees, helped by record quarterly sales from its expansion into NCR, which accounted for 59% of the company's quarterly bookings.

For further earnings highlights, click here.

KEY CONTEXT

Indian real estate developers have benefited from a post-pandemic shift in buyer preferences towards larger, amenity-rich apartments.

This has prompted aggressive land deals and faster project launches. Prestige's land costs in the reported quarter jumped 47% to 11.34 billion rupees.

However, as demand stabilises, developers are diversifying into newer geographies and timing their launches as per shifts in demand, analysts have said.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
Prestige Estates Projects
PREG.NS
45.72
18.09
46.31
89.13
Buy
18
0.90
0.11
Sobha
SOBH.NS
34.17
24.54
18.45
117.69
Buy
15
0.83
0.19
Brigade Enterprises
BRIG.NS
25.17
13.72
23.42
27.99
Strong Buy
9
0.71
0.25

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL-JUNE STOCK PERFORMANCE

-- All data from LSEG

-- $1 = 87.7990 Indian rupees

PREG.NS Q1 https://tmsnrt.rs/4lkv22s

 (Reporting by Hritam Mukherjee in Bengaluru; Editing by Vijay Kishore)

 ((Hritam.Mukherjee@thomsonreuters.com; Twitter: @MukherjeeHritam;))