Thank you, Abhiraj. Good morning, everyone.

I, Kavita Sen on behalf of Dolat Capital, welcome you all to the Q1 FY27 Earnings Conference Call of Puravankara Limited. I would like to thank the management for giving us this opportunity to host the call.

From the Puravankara management team, we have with us Mr. Ashish Puravankara, Managing Director; Mr.

Mallanna Sasalu, CEO South; Mr. Rajat Rastogi, CEO West and Commercial Assets; and Mr.

Neeraj Gautam, CFO. I now hand over the call to the management team for their opening remarks.

Over to you, sir.

Good morning, everyone. I am Neeraj Gautam, CFO of Puravankara Limited, and I welcome you to Puravankara Limited's earnings conference call to discuss our performance for the first quarter of financial year 2026-27.

Our financial results, investor presentation, and press release have been filed with stock exchanges and are available on the company website as well. Before I begin, I would like to remind everyone that some of the statements made during today's call may be forward-looking in nature.

Please refer to the applicable disclaimers in our investor presentation. I regret if we got disconnected on the technical glitch.

I repeat once again: If there is any idea we would like to take away from Q1, it is that Puravankara has entered FY27 with a stronger operating rhythm. Pre-sales and collections grew, realizations improved, deliveries accelerated, and financial performance moved in the right direction.

At the same time, we invested selectively in future growth and advanced our capital recycling agenda. The quarter therefore represents more than a set of higher numbers; it reflects better alignment between sales, execution, cash flow, and financial outcomes.

I will speak a bit about the economy. India remains one of the few large economies where domestic demand and investments provide a meaningful buffer against global volatility.

Consumption, public infrastructure, services, and manufacturing continue to support activity even as geopolitical tensions, energy prices, and weather-related risks warrant vigilance. In August, the Reserve Bank of India retained its neutral stance, maintained the repo rate at 5.25%, and projected FY27 GDP growth of 6.7% and CPI inflation of 5.0%.

For real estate, this is not a fresh stimulus; it is something equally valuable at this stage of the cycle: a more stable planning environment for homebuyers, developers, and the lenders. Coming to our operational performance for the quarter, against the industry backdrop, Puravankara delivered pre-sales of INR 1,439 crore, an increase of 28% year-on-year.

Sales volume grew 9% to 1.36 million square feet, while average realization rose 18% to INR 10,589 per square foot. This balance matters.

It shows that growth was not dependent on a single lever; we sold more space and achieved higher value, supported by quality of our locations, product positioning, and mix. Collections grew even faster, rising 40% to INR 1,199 crore.

We also handed over 745 homes, representing 0.95 million square feet. These are important markers of operating quality: pre-sales created the order book, collections turned that order book into liquidity, and handovers converted construction progress into completed homes and recognized financial performance.

Our focus is to preserve this operating chain, maintain sales velocity without compromising price discipline, keep construction moving, collect on schedule, and delivery with consistency. When those elements reinforce one another, growth becomes more predictable, customer confidence deepens, and the economies of business improve.

Coming to our financial performance, the stronger operating rhythm is visible in our financial results. Total income increased 63% year-on-year to INR 877 crore, primarily supported by higher handovers.

EBITDA margin expanded to 25% from 15% in Q1 FY26. The profit after tax was positive INR 25 crore compared with a loss of INR 69 crore in the corresponding quarter last year.

One quarter does not define an earning trajectory, particularly in a business where revenue recognition depends on completion, handovers, and project mix. The significance of Q1 lies in the direction of travel and the operating ingredients behind it: higher sales, stronger collections, and more deliveries, and better profitability.

We will continue to assess performance across this complete set of indicators rather than through any one single reported number. Coming to our balance sheet and capital allocation, as on 30th June 2026, our net debt stood at INR 2,836 crore, and net debt-equity was 1.57 times.

Gross debt declined by INR 74 crore during the quarter. Cash and bank balances were INR 1,106 crore, and our average cost of debt was 11.12%.

These figures keep balance sheet efficiency firmly at the center of our priorities. We are clear about the work ahead.

Deleveraging and the cost of borrowing remain active management priorities. The principal levers are operational, and we are addressing them directly.

Our approach has four parts: grow collections, fund construction so projects move towards delivery, refinance where there is a clear economic benefit, and recycle capital from mature or non-core assets. We will also evaluate new opportunities through the lens of upfront cash commitment, project-level cash flows, and return on capital.

The proposed Purva Grandeur transaction is a state capital recycling in action. During the quarter, we entered into a definitive agreement with ICICI Prudential AMC at an enterprise value of approximately INR 625 crore, subject to customary adjustments and closing conditions.

Upon completion, the transaction is expected to release capital and enhance our financial flexibility, allowing us to direct resources towards areas where we see the strong, steady spawning value. Coming to our growth pipeline and business development, during the quarter, we added four opportunities across Bengaluru, spanning approximately 41.93 acres with development potential of 4.23 million square feet, with estimated GDV of INR 5,200 crore.

The additions include joint development agreements at Sarjapur and Dodda Gubbi, together with land acquisitions at [Sanna Amanikere?] in the North Bengaluru airport corridor and Mandur in East Bengaluru.

Each step strengthens our presence in the micro-markets and meaningful infrastructure deployment for long-term demand drive. The JDA structure also gives us capital-efficient route to participate in that growth.

Now, how we are looking ahead. We reiterate our FY27 pre-sales guidance of INR 11,200 crore.

Q1 establishes the base, but delivery will depend on the sequencing of launches, the timely receipt of approvals, and consistent execution across the remaining quarters. Our confidence is anchored in the identified launch pipeline, available inventory, and the depth of demand in our core markets.

We intend to pursue the guidance without compromising pricing discipline and our capital allocation standards. Our agenda for the rest of FY27 is, therefore, straightforward: translate the pipeline into launches, translate pre-sales into collections, translate construction into handovers, and translate operating progress into stronger cash flows and balance sheet efficiency.

Puravankara has the brand, market presence, and the development capability to build at a scale. The task now is to make that growth increasingly valuable.

Our ambition is not merely to sell more; it is to convert growth into cash, earnings, and durable returns for all stakeholders. Thank you for joining us today.

With that, we are now open for questions. Thank you.

Yeah. Hi, good morning, team, and congratulations for good financial performance.

Just wanted to check on the couple of things. Firstly, in the cash flow statement, there is a line item land payment to the extent of 574 crore.

While I do understand there has been some business development in Q1, but just wanted to get the sense from the year perspective, how should we this line item going ahead?

See, as far as this land payment is concerned, as I mentioned in my earning call, we have completed four acquisitions during the quarter which in the Bengaluru, which is about 43 acres and 4.23 million square feet of development with the GDV of 5,200 crore. As you noticed that we have not increased any gross debt for that.

The cash and cash equivalent which is lying as of 30th 31st March 2026, we have utilized the money, and this amount has been paid to completing these four acquisitions during the quarter. As going forward basis, as I mentioned and rest of our colleagues will mention, that we'll be strategically acquiring land banks.

Yeah.

Okay. From the outflow perspective, how should we see this amount for the already committed land and any future acquisition?

No. All I'm saying is that whatever the land commitment has done, where whatever we need money for the development of those land.

Whatever land we have acquired, there's no amount remains unpaid towards acquisition of land. All the acquisition has been fully paid as far as the land cost is concerned.

However, the money which we require for development of those land and that will be done as a cost of construction and development not as a land payment per se. However, if we choose to do any new acquisition which is beneficial for the company, and then there'll be some land payment.

Okay. Secondly, just wanted to check it out on the ICICI Pru transaction.

Since now this transaction has been culminated now, how should we see cash flow coming in, and should we expect the land debt coming down to the extent of 500 crore with this transaction in the going ahead?

That transaction, as we have given update to the stock exchanges, we have signed the definitive agreement with the ICICI Prudential. We are in the process of completing the customary condition precedent to the transaction, and we are expecting that this should be happen during this month.

As soon as that be complete, the consideration mentioned will be received, and the debt about 250 crore debt sitting on that particular asset, that will be repaid out of the proceeds of that. The balance cash flow, we will evaluate judiciously where to deploy, whether we should reduce the debt, whether we invest in the whenever not to increase any debt and any business development issue where we or we reduce the money as in working capital based which is the most of optimum for the business needs.

Accordingly, we will take the decision on that.

Okay. At least 250-odd crore which was lying in that asset, that will go away, come what may.

That will, because it's part of that asset.

That's over now. Okay.

Coming to the launch pipeline, I think few of the projects, that is Westend, Hennur Road, and Cityscape / Windmills Kochi, these had been now pushed to the Q2 FY27. Just wanted to get the sense, was there any approval-related issue, or if you can just share your perspective on these projects?

Westend, Mallanna here. Westend is already, we already got the RERA approval, and we have launched the project and we have received good number of EOIs on that project.

Hennur Road, because of what is going on in Karnataka at this point of time in terms of the change in power and change in the ministries and change in officers, has led to a little bit of delay in getting the approvals. Now I think we have the clarity with all the ministry that has already been sworn in, ministers being sworn in.

I think this week onwards that we should be having a little bit more clarity. In Cityscape in Windmills, and it's just the last step, only the RERA approval is pending.

We are quite confident that it's going to be launched in this quarter as well. There is no anxiety in terms of the launches.

It's just a little bit of delay as far as the business is concerned. We will make sure that there are no impediments for getting the approvals or for the launch.

Okay. There are some other large projects which are expected to be launched in the coming quarter like Grand Hills, Bellandur, Marathahalli, and Kanakapura in Bangalore, and then Windmills 3 in Kochi.

If you can share your perspective, where we are in terms of the launch pipeline here? Is everything is on track, and approval process is on track?

If you can share your perspective on that one.

They are all on track. In fact they are ahead of the curve at this point of time.

The only challenge was, as I said, that there were some delays from the government side in having the meetings and concluding the approvals. Otherwise, all the projects that you mentioned, that is the Grand Hills, and Bellagere, and Hennur Road, and Windmills 3.

Windmills, I already spoke about that, it's already in the last step, that is the RERA approval is pending, and maybe this week we should be able to get that. All projects are in line, and there is nothing to worry about.

Okay. On the Mumbai portfolio front, similarly, if you can share your perspective in terms of the timeline of the project, that is Miami, Deccan, Apna Ghar, and Chembur project.

Are we on track in terms of launching, or where we are in the approval process at the current juncture?

Rajat, is it? Hi Rajat.

Hi. Good morning.

Miami, we got the RERA. We've already received RERA in the month of June.

I think Miami is already on for sale. Pali Hill, we've received 100% vacation now, we'll apply for RERA by end of September, and subsequently we're looking at a launch in between October and November.

That's also on track. Apna Ghar is sent for approvals, and so is Deonar, we'll be looking at a launch in quarter four.

All the four projects that we had planned are absolutely on track, and we should have these launches between quarter three and quarter four.

Okay. Finally, just wanted to double check on the guidance front, on the pre-sales guidance of 11,200 crore and debt reduction of 700 crore.

How we are seeing this internally, and how are we seeing the demand environment in each of the major micro-markets, that is Bangalore and Mumbai at current juncture, if you can share the perspective, please?

We gave the guidance in around 11,200 crore, and we've just spent one quarter so far and maybe another month after that. We continue to hold the same numbers because, as I said, that the launches that did not happen in first quarter have moved to the second quarter maybe, one or two projects.

Otherwise, everything is on track, and we should be able to reach the numbers that the guidance proposed has given.

What about the debt reduction of 700 crore which we were targeting at the beginning of the year?

Our guidance remains hold. If you look at the Q1, though we have added four new projects, and despite that we have reduced the gross debt by 74 crore.

We hold our guidance. We've just finished the Q1, and we hold our guidance on the debt reduction as well.

On this issue, it's a little bit dynamic, right? Basically what happens is that there'll always be opportunities for us to put money on.

It's just versus opportunities that we're pursuing, the cash flows are quite strong, the opportunities to pursue versus reduction of the debt. From time to time, I think that we will evaluate that.

At this point of time, as Neeraj said, we continue to hold the line that we will reduce the debt by 700 crore.

Okay. Finally, if you can share the perspective on the demand environment in major micro-markets, that is Bangalore and Mumbai region?

I'll just talk about the South. Far, we're not seeing any kind of slow down or anything like that.

It's the business is steady. As I always keep saying that this may not be 24-25 kind of growth that what we're seeing, but for the listed players, for the product which are well-priced, and the products which are well-designed and which reaches customers, and they're all doing very well.

We have not seen any slowdown, whether in sustenance or the projects that we have launched so far.

Deepak, I agree with Mallanna. I think similar situation in Mumbai and Pune.

I think the top branded players continue to gain larger market share. I think that's evident from the numbers of our quarter.

I think all the price points have been well at this point of time. In fact, our project Purva Miami in Beach Haven has received a lot of encouraging response from the ultra-luxury segment as well.

From an overall holistic point of view, I think the demand remains sustained. We see that in fact the demand is going to grow up further in the festive period the way it's going right now.

I think the branded players will continue to gain larger market share to the product center pricing, yeah.

Okay. Thank you, and wish you all the best, team.

Thank you.

Hello.

Hello.

Am I audible, sir?

Yeah.

Sir, my question was regarding the margins. What margins are we targeting for the next 2 years?

Also, if you could provide the split between the redevelopment projects, the new developments that we are doing, and the joint ventures that we are in?

Typically, as we reported EBITDA margin this quarter 25%, and we continue to hold the margin guidance between 25% to 30% at the overall portfolio level. Depending depending upon the product mix between, plotted project or the JDA project and on outright land project, redevelopment project, margins are slightly different depend upon the nature of the product.

However, upon overall basis on weighted average basis, we continue to hold the EBITDA margin of 30% in the range of 30%, 25% to 30% range.

Okay. Also, I wanted to know the pre-sales guidance, if you could provide that.

As I think we mentioned in the last quarter as well, in this quarter as Mr. Mallanna has reiterated, we continue to hold guidance of INR 11,200 crore of the sales for the financial year FY27.

Okay. Sir.

That's it from my side. Thank you.

Thank you.

Thank you.

Hi, sir. Thank you for the opportunity.

I was just curious to know how are we planning to reduce the debt in next 3 years?

This is a question that comes quite regularly. See, it's a question of, as I was saying in our previous question, that it's a question of opportunities, pursuing the opportunities versus reducing the debt.

If you really look at what has happened in the last one and a half to two years, and we've reached a portfolio size of around 58,500 crore rupees, that is because of the investments that what we are making. The free cash flows either we can invest into the available opportunities, the best opportunities available, or we can reduce the debt.

We are quite comfortable with the debt position we have, and in fact that we've given a detailed report on how the debt has been put together. It has been deployed against the portfolio size and against the business.

We do not have any such guidance towards saying that we are going to become zero debt in the next two years or three years, and we think that the debt is important part of the business. As we grow, this money will be required.

Fair enough. That answers my question.

My next question is will we be able to achieve our pre-sales guidelines of more than 11,000 crore this year?

Yes, I think as we have given that guidance, and so far we are holding that line because you just spent one quarter, and the quarter is that whatever as per our AOP plan that internally we have had, and we have met that, and so we continue to hold that line.

Thank you. That will be all.

Thank you.

Yes. Hi.

Thank you so much for the opportunity, sir, and congratulations on a good set of numbers and consistent performance to quarter-on-quarter. Just wanted to get an idea.

What is the contribution from the Estrella projects for this quarter? If I could just know the number on that front, and then I'll take my second question.

Neeraj, you want to go ahead?

Rajat, go ahead. I don't remember the exact number, I was

Okay. Estrella in the quarter contributed close to around 200 crores overall as a gross sales numbers.

I think as our portfolio level, we've done almost around 800-odd crores of sales since launch.

Got it, sir. What was the highest gross sales contributor from a project point of view, if you could just note down the top three, that would be really helpful?

That would be the top three projects

If you look at South, Northern Lights and Prominent Equinox and if I go for the West, it's Estrella.

In fact, Estrella, we got the number, that it's 272 crores.

That is right. Entire West commercial number.

Perfect. 200 crores, almost 200 crores Estrella, yeah.

That is right.

Just to clarify, the 250 is 272, right?

No. What I'm saying is if you look at our investor presentation slide number 9, that during this quarter contribution from the West and commercial business is 300 393 crore.

That includes 200 crore sales from the Estrella. That number readily was not available with me, hence Rajat has confirmed the number.

200 crore from Purva Estrella, but that is part of overall 393 crore which came from our West and commercial business. Our South business contributed 851 1,046 crore, and thereby total sales for the quarter we achieved 1,439 crore.

Noted. Perfect.

If I can just squeeze one more in. Just wanted to understand, are we in line with the project launch timeline for this year, and are we expecting any delays because of the rising costs or anything?

How are you looking at it?

Project launch is not a function of rising cost. One of the other participant also asked for this question whether we'll be able to meet our guidance or not of 11,200 crore.

All we are saying is we are not giving guidance just as a number. We are giving guidance as a project-wise.

If you go to our slide number 16 of our investor presentation, we have given project-wise guidance: how many projects we are going to launch in South, how many projects we are going to launch in West, and each project is being tracked meticulously by both of our business leaders, both our CEOs. Some of the project we have already received approval, like earlier Mallanna has mentioned for Cityscape in Kochi and Westend in Bangalore, we have already received the Westend RERA also and Cityscape received all the approvals, only we are awaiting RERA.

Similarly, for West, Rajat has confirmed that Miami have already received the RERA and this we are waiting to launch this period. Hence, we would like to reiterate that our guidance is well thought through, project-by-project backed, is meticulously being tracked, and hence we are confident we are going to achieve these numbers.

In addition to that, the guidance that we have given is around 27,300 crores. What may happen in the real world is that some projects maybe coming in Q2 may go to Q3, Q3 may go to Q4, and some may even slip.

Even otherwise, we've got another 10,000 crore rupees of sustenance projects that are going on across the country. With all of that put together and we've thought through this number, and the guidance has been given on that basis.

Noted, sir. Thank you so much.

That actually clarifies a lot. All the best to you.

Thank you.

Hi, sir. Thanks for the opportunity.

I just wanted to know, are we planning any new commercial projects in coming years, apart from the two that we have already?

I think we're scheduled to start our new commercial project on the recently acquired land at Hebbal in Bangalore. Hopefully by end of quarter four, we'll start construction at the site.

That's going to be approximately 1.3 million square feet.

Okay. Secondly, I wanted to know, are we looking at any new opportunities in the Mumbai region, like going more deep into this area?

Obviously, we're expanding quite aggressively in the Mumbai region. If you look at our Mumbai landscape now, I think we have almost 25,000 crores of GDV value spread across all price points from South Bombay to Thane to even Dombivli for that matter.

Continues to we continue to grow across our redevelopment portfolio and also looking at opportunities in JDAs and and even in plotted developments for that matter. We're very bullish about the Mumbai market not only from the fact fact that that we're getting great response, also from the fact that the from the redevelopment story.

I think today we keep on we continue to get the best assets to evaluate, and I think basis that, when they meet us our strategic guidelines, we we we enter those assets. You will see a lot of traction coming in the redevelopment space in Mumbai in the next coming quarters.

Okay. Thank you so much.

That was helpful.

Yeah. Thank you for the follow-up opportunity.

Just wanted to check it out on Purva Aerocity project. If you can just give update on the commercial development of this project of 2.2 million sq ft.

I think we are in the process of getting the OC approval for phase one. What is the lease status at this point of time, and what is the expected lease for this project?

I'm glad to share that Aerocity received the OC in the month of May. We've got OC for 1.3 million square feet.

The balance 9 lakh square feet, we've not started construction, which we will start in a phased manner over a period of time. We're getting a lot of good response from GCCs and other large players.

We've been filling RFPs. We filled in RFPs to close to approximately around 2.5 million-odd square feet now.

We weren't able to lease per se, but I think we have a very, very good traction right now for the coming quarters to lease a substantial area in Aerocity.

What is the expected lease rate we are anticipating here?

We should be getting somewhere around the NOI of between 60 to 65 rupees.

Okay. What about the phase two?

When should we expect remaining phase of 0.9 million sq ft to get handed over?

As a part of the strategy, we would like to start phase two once we've leased out at least 70% to 80% of phase one, which I think can happen in the next two quarters. We already have approved plan for the next phase, it's just a matter of first important for us to lease 70-80% of this asset and then go for phase two.

Okay. Secondly, any thoughts on the monetization of this asset, or we will look to hold this asset, or how should we see from the future perspective?

See, Deepak, if you see the location of this asset is right at the future growth center of Bangalore, right? We look at this asset as a overall larger landscape for us in North Bangalore.

Right now, I think for us, the focus is to lease this asset, get good clients, top-notch MNCs and GCCs over here, and probably at the right time, we will look at monetizing if that's required.

Okay. Thank you, and wish you all the best.

Hello.

Yeah. Go ahead, Rohit.

Thank you for giving me the opportunity. Sir, actually, in the last concall also, you hinted a bit on that you were entering into the senior living space, just wanted to get an update on that.

Mallanna, you want to answer that? I don't think, Rohit, we have spoken about the senior living as of now.

What Rajat mentioned that he's continued to evaluate that the new commercial business line like data center, warehousing, etc. If a good opportunity come, we are open to explore it.

I don't think we have said that we are starting or we are doing something about senior living as of this point of time.

Okay. Got it, sir.

Sir, apart from senior living, also what other geographies are we looking to export like other states?

Other geography, probably Rajat can answer. We are exploring, besides the South and West, we are also exploring good opportunity in NCR, probably Rajat can elaborate that.

Sir.

I think we are evaluating the growth possibilities in NCR market, more focus on Noida as a NCR market right now. We see great potential in that market for branded players like Puravankara entering.

We are hopeful that in next coming quarters, we should be able to at least get some traction in terms of the land development in Noida market.

Sir. Thank you so much for that, sir.

Thank you everybody for joining today's call, and I hope me and my colleagues has been able to answer all your questions. Beside that, if you have any further questions, please write to us.

Me and my colleagues will be available to reply and answer all your questions. Thank you so much.