Prestige Estates Soars with 56.6% Growth, Targets Mumbai and Delhi-NCR

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    Real estate giant Prestige Estates Projects is gearing up for a strategic expansion in the Delhi-NCR market over the next year, according to a recent interview with CEO Venkat K Narayana. The move comes on the heels of the company’s impressive financial performance, boasting a 56.6% year-on-year growth and reaching a substantial ₹2,236 crore in revenue for the quarter ending September.

    In the interview with BusinessLine, Narayana unveiled the company’s commitment to diverse projects across various segments, all aimed at driving significant growth in the Delhi-NCR region. Prestige Estates’ notable success in the last quarter positions the company as a key player in the real estate sector.

    Charting Growth Trajectory

    Responding to questions about the industry’s recent trajectory, Narayana expressed a resounding affirmative. The top-seven cities recorded a sale of approximately 1,20,300 units in the last quarter, surpassing pre-Covid figures. This growth signifies a positive trend, with sales in 2019 standing at 80,000 units per quarter. Additionally, there has been a notable reduction in the number of players in the sector, indicating a consolidation phase.

    Consolidation Continues in Real Estate

    Addressing the ongoing consolidation within the real estate sector, Narayana acknowledged the evident trend but pointed out that complete filtration is a process that is still unfolding and will take time.

    Pan-India Expansion and Market Ventures

    When questioned about Prestige’s pan-India expansion plans, Narayana emphasized the significance of the Mumbai market and the company’s dedication to establishing a robust presence across all segments in the city. However, the immediate focus for the next 12 months will be on the Delhi-NCR region, where Prestige already has multiple projects in the pipeline, some under development and others awaiting approval.

    Diversification Strategy

    Discussing Prestige’s strategy to create long-term monetizable assets, Narayana highlighted the company’s commitment to a dominant, leadership position across five key segments: office, retail, hospitality, services, and residential. The aim is to play to the potential of each sector rather than adopting a generic approach.

    International Foray and Business Integration

    In response to queries about international expansion, Narayana asserted that, for now, the domestic market holds ample potential for growth. While acknowledging global opportunities, Prestige’s disciplined approach involves evaluating when and where to expand. The focus remains on understanding and maximizing the potential of the Indian market.

    Regarding business adjacencies and backward or forward integration, Narayana noted that while the industry presents numerous opportunities, the immediate focus is on growing the core business. Prestige has in-house construction and property management services, but considerations for integration may arise in 3–4 years as the market landscape evolves.

    Also Read: Prestige Group Announces Housing Projects Across Major Indian Cities

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