Puravankara Limited has delivered a strong financial performance in Q3FY26, demonstrating robust growth across key operational metrics. The real estate developer reported significant improvements in both pre-sales and collections, while simultaneously expanding its project portfolio through strategic acquisitions.

Financial Performance Highlights

The company's Q3FY26 results showcase solid operational execution with notable growth in core business metrics:

The 17% year-on-year increase in pre-sales to ₹1,414 crores reflects strong market demand and effective sales execution by the company. Collections performance was even more impressive, with a 22% YoY growth reaching ₹1,140 crores, indicating improved cash flow generation and project delivery momentum.

Strategic Portfolio Expansion

Puravankara has significantly strengthened its development pipeline through strategic acquisitions during the quarter. The company expanded its portfolio with acquisitions carrying a substantial Gross Development Value of ₹13,900 crores.

This substantial portfolio addition positions the company to capitalize on future market opportunities and provides a strong foundation for sustained growth in the coming periods.

Market Position and Outlook

The combination of strong operational performance and strategic portfolio expansion demonstrates Puravankara's focused approach to growth in the real estate sector. The company's ability to achieve double-digit growth in both pre-sales and collections while simultaneously securing significant new development opportunities reflects effective management execution and market positioning.

The robust collections growth of 22% YoY particularly highlights the company's operational efficiency and project delivery capabilities, which are crucial factors in the real estate development business.

Puravankara Limited's shares gained momentum, reaching a day's high of ₹234.95 per share, representing nearly a 2% increase from the day's low of ₹230.95. The rally came after the real estate developer announced that its wholly owned subsidiary secured a significant construction contract worth ₹311.18 crore from Sattva Group.

Major Construction Contract Details

Starworth Infrastructure & Construction Limited (SICL), Puravankara's wholly owned subsidiary, received a Letter of Intent from Sattva Resi Private Limited for the construction of the Sattva AANGANE residential project in East Taluk, Bangalore 560049.

This substantial order is expected to provide a major boost to Puravankara's construction order book and enhance project execution visibility for the group.

Financial Performance Analysis

Puravankara's recent financial results present a mixed picture, with strong revenue growth offset by profitability challenges in Q2 FY26.

On a quarter-on-quarter basis, the company showed revenue growth of 23% from ₹524 crore, while EBITDA demonstrated robust growth of 55% from ₹67 crore. However, the net loss widened from ₹69 crore in the previous quarter.

Profitability Challenges

Despite maintaining EBITDA profitability, Puravankara has been struggling with net profitability over recent quarters. The company's financial difficulties stem primarily from high interest expenses on its debt obligations. While the strong revenue growth indicates healthy business operations, the debt servicing costs continue to impact bottom-line performance.

Company Profile and Market Position

With a market capitalisation of ₹5,526 crore, Puravankara has been shaping Bengaluru's real estate landscape for over 50 years since 1975. The company operates across multiple segments:

• Puravankara brand: Premium luxury housing
• Provident Housing: Mid-income homes
• Purva Land: Plotted developments
• Starworth Infrastructure & Construction: Construction projects
• Commercial office spaces: Office development projects

The company's operations span major metro cities including Bengaluru, Hyderabad, Chennai, Kolkata, Mumbai, Pune, and Goa. Over the past five years, Puravankara's stock has delivered returns of 175%, significantly outperforming the NIFTY 50's return of 78% during the same period.