Prestige Estates Projects (PREC.BO): 1QFY27 – Results Miss Estimates on Slow Sales Velocity; Pick-Up Expected on Strong Launch Pipeline

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Prestige Estates Projects (PREC.BO): 1QFY27 – Results Miss Estimates on Slow Sales Velocity; Pick-Up Expected on Strong Launch Pipeline

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30 Jul 2026 21:34:13 ET │ 13 pages

Prestige Estates Projects (PREG.BO)

1QFY27 - Results Miss Estimates on Slow Sales Velocity; Pick-Up

Expected on Strong Launch Pipeline

CITI'S TAKE

Prestige reported 1QFY27 results, with pre-sales significantly missing Citi Buy

estimates on slower sales velocity; launched inventory has risen to ~12

months of pre-sales (from ~8 months in 4QFY26) due to the concentration Price (30 Jul 26 15:30) Rs1,594.50

of launches in the quarter. On the outlook, management remains confident Target price Rs1,850.00↑

of meeting FY27 pre-sales guidance of Rs345–360bn (+15–20% yoy),

from Rs1,750.00supported by a Rs450bn GDV launch pipeline over the coming quarters.

Residential demand for quality products remains healthy, while raw Expected share price return 16.0%

material cost pressures are expected to be short-lived. Maintain Buy. Expected dividend yield 0.1%

Expected total return 16.1%

1QFY27 Results — Pre-sales of Rs66bn in 1QFY27 (-46% yoy, -15% qoq) missed Citi

estimates by 50%. Collections were resilient at Rs48bn (+6% yoy, -8% qoq). Market Cap Rs686,799M

Volumes of 6.04msf came at an average realization of Rs11,193/sq ft (-16% yoy, -32% US$7,178M

qoq), with the decline driven by geographic mix — Hyderabad led pre-sales at 49%.

Consolidated net debt rose to Rs119bn (vs. Rs109bn in 4QFY26),

New Launches — 3 projects were launched in 1QFY27 with total area of ~17.3msf

Price Performanceand GDV of ~Rs135bn, though sales velocity (pre-sales to launch GDV) moderated

to 0.6x (vs. 1.1x in FY26), adjusting for the unlaunched JV share in Prestige Golden (RIC: PREG.BO, BB: PEPL IN)

Grove.