Puravankara swings to ₹84 crore profit, helped by a ₹149 crore one-time gain

Bengaluru-based Puravankara Limited reported a consolidated net profit of ₹83.74 crore for the quarter ended 30 September 2026, against a net loss of ₹42.99 crore in the same quarter last year. The results, announced on 2 November 2026 in a stock exchange filing, show total revenue up 59% to ₹1,051 crore from ₹663 crore. The company's shares are listed on the BSE (532891) and the NSE (PURVA).

The profit came with a large one-time item. The company booked a gain of ₹148.83 crore on the sale of its wholly owned subsidiary Purva Ruby Properties Private Limited, which was completed on 30 September 2026 for ₹145 crore. Before exceptional items, the quarter was a loss of ₹54.98 crore. Standalone net profit for the quarter was ₹94.31 crore, after exceptional items of ₹144.99 crore, compared with a standalone loss of ₹36.21 crore a year earlier.

Revenue, sales and collections

The company said revenue growth came from higher handovers, better realisations and steady sales across its residential portfolio. Consolidated EBITDA rose to ₹289 crore, with the margin at 27% against 18% a year earlier. Customer collections grew 24% to ₹1,301 crore. The company handed over 1,722 units in the six months to September, compared with 1,330 units a year earlier.

Quarterly sales value was ₹2,762 crore, up 109%. That figure includes about ₹626 crore from the divestment of Purva Zentech, a commercial office asset of about 5.46 lakh sq ft, valued at ₹625.94 crore. The sale was completed on 30 September 2026 through the transfer of the company's entire shareholding in the special purpose company that owned the asset; the buyer is an entity backed by a mutual fund. Excluding the divestment, sales value was ₹2,136 crore, up 62%. In the investor presentation's ex-divestment figures, sales volume rose 22% to 1.83 million sq ft and units sold rose 12% to 1,403.

Debt and balance sheet

Net debt fell by ₹470 crore during the quarter to ₹2,366 crore, bringing the net debt-to-equity ratio to 1.26x from 1.57x in the previous quarter. Gross debt stood at ₹3,763 crore on 30 September 2026, down ₹180 crore from the prior quarter. The cost of debt eased to 10.94% from 11.12%. Closing cash and bank balances were ₹1,397 crore, up 60%. Consolidated total equity was ₹1,883.96 crore.

For the first half of FY27, total revenue rose 60% to ₹1,928 crore and profit after tax was about ₹107–109 crore, against a loss of ₹111 crore a year earlier. The company's annual sales guidance is ₹11,200 crore. It said ₹4,200.94 crore, or 37.51% of that guidance, has been achieved so far, including the Purva Zentech sale.

On the pipeline, the company added projects with an estimated gross development value of ₹8,900 crore across Bengaluru, Mumbai and Greater Noida during the quarter. It also entered the Delhi-NCR market through a 13.44-acre land parcel in Greater Noida. Managing Director Ashish Puravankara said: "Our Q2FY27 performance reflects the progress we are making in converting execution into revenue and earnings. Higher handovers, sustained sales and stronger realisations supported the quarter's growth, while net debt reduced by ₹470 crore."

Quality of earnings and risks

One market commentary noted that without the one-time income, core operating performance remains under pressure, because the company reported operating losses before exceptional items at both standalone and consolidated levels. The same commentary flagged legal and tax matters the company is contesting. These include a notice under the Benami Property Transactions Act, for which the company has made no provision, and income tax assessment disputes totalling ₹45.08 crore.

The results are unaudited. A limited review report has been completed and was released with the results, and the Audit Committee reviewed them before board approval.

What to watch

• Sales value excluding one-time divestments, against the ₹11,200 crore annual guidance
• Whether handovers and collections keep pace with the rise in realisations
• Net debt and the cost of debt in the coming quarters
• Any development on the Benami Property Transactions Act notice and the pending tax disputes