Prestige Estates Q1 Results Post Strategy:क्यों Profit में दिखा दवाब, FY25 के लिए क्या है Planning?

Summary

The video script discusses the financial results of a company, highlighting a 51% growth in EBITDA and a 12% increase in margins. Despite a slight dip in profit, the company's CMD, Irfan Rajak, expresses optimism about the future, attributing the current challenges to delays in project approvals and the RERA number. The conversation also touches on the company's strategy to maintain affordability in their projects and the importance of customer accessibility. The script also mentions upcoming launches in various cities and the company's pipeline, indicating a positive outlook for the second quarter.

Takeaways

• 📈 The company has reported a 51% growth in EBITDA, indicating a significant increase in earnings before interest, taxes, depreciation, and amortization.
• 📊 The profit margin has increased from 31% to 43%, showing an improvement in profitability.
• 📉 Despite the overall positive financial performance, there has been a slight dip in profit, which the management is addressing.
• 🏢 The company has a strong pipeline of projects ready for launch, suggesting a promising future for sales and revenue.
• 🔄 There has been a delay in project launches due to the approval process and RERA number requirements, impacting the current quarter's performance.
• 🏘️ The company has successfully launched projects in Bengaluru and is looking forward to launching in Delhi in the next quarter.
• 💡 The management emphasizes the importance of affordability and does not aim to significantly increase prices, prioritizing customer accessibility.
• 📈 The company is experiencing price appreciation in Hyderabad, indicating a positive market trend for their projects.
• 🌐 The transcript mentions a potential expansion into Gurgaon, although the company is cautious about entering the market without proper assessment.
• 🏙️ In Mumbai, the company has launched a premium project in the Town Side area, reflecting a strategy to cater to the high-end market segment.
• 📉 The Mumbai market is showing signs of price stabilization, with sales volumes indicating that the market may be reaching a saturation point.

Q & A

What was the growth in the company's net profit for the first quarter?

The net profit showed a growth of 51% in the first quarter.

How did the company's margin change from the previous quarter?

The margin increased from 31% to 43%.

Why was there a slight dip in the company's profit?

The slight dip in profit is related to the accounting system and the completed method of sales, which only allows for booking when the product is completely sold and delivered.

What is the current status of the company's sales volume?

There is a weakness in the sales volume, as indicated by a 22% decrease in pre-sales.

What is the relationship between the RERA number and project launches?

The RERA number is required after the approval process for a project to be launched, and any delay in obtaining it can affect the project launch timeline.

How many projects did the company manage to launch in the current quarter?

Only two projects were launched in the current quarter, both in Bengaluru and both were sold out.

What is the company's pipeline for the second quarter?

The company has a good pipeline for the second quarter, with many projects ready for launch, including in new markets.

Why is there a need to have stock before selling in the market?

Having stock is necessary to meet the demand and to ensure that the product is affordable for customers, without increasing the price excessively.

What is the average price increase in Bengaluru?

The price in Bengaluru has slightly increased, but the exact increase is not specified in the transcript.

What is the company's approach to pricing in Delhi?

The company is trying to maintain an affordable price in Delhi, with two major projects in Sector 150 Noida and Indirapuram, and is avoiding excessive price increases.

What is the status of the company's projects in Mumbai?

The company has launched Ocean Tower in Marine Lines, Mumbai, with 160 flats, but cannot launch all at once due to the slow approval process in Mumbai.

What was the ticket size for the Marine Lines project in Mumbai?

The ticket size for the Marine Lines project was around 25 crores.

What is the company's upcoming plan for launches in different cities?

The company is preparing for launches in various cities, including Delhi, for the next three to four months, pending approvals.