New Delhi,Parsvnath Developers Limited Fourth Quarter Numbers
Consolidated Total Income for Q4FY10 at Rs 360.95 crore up 1398%
Consolidated Net Profit at Rs 34.72 Crore up 199%
Particulars
Q4FY10
Q4FY09
Growth
Total Income
360.95
24.09
1398%
EBIDTA
89.79
34.33
162%
Net Profit
34.72
11.61
199%
EPS
1.75
0.63
Particulars
FY10
FY09
Growth
Total Income
988.18
729.21
36%
EBIDTA
297.93
238.47
25%
Net Profit
134.86
112.91
19%
EPS
7.05
6.11
Note: All figures in this release are consolidated numbers unless stated otherwise
All figures in Rs Crore unless stated otherwise.
Major Highlights of the year:
1. Successfully completed construction of Akshardham metro station on BOT basis which was inaugurated by Honorable Minister for Urban Development, Sh. Jaipal Reddy, while inaugurating the Yamuna Bank NOIDA section in the august presence of Honourable Chief Minister of Delhi, Smt. Sheila Dikshit. The integrated shopping mall cum metro station was completed within a time frame of just 24 months.
2. The company announced the launch of Parsvnath City, Saharanpur, spread over 107 acres offering plotted development, independent Floors and expandable villas at affordable rates. First of its kind project in Saharanpur will offer independent floors in the affordable price range starting from Rs 9.50 lakh.
3. Received Letter of Intent (LoI) for grant of licence from Director, Town and Country Planning, Haryana, Chandigarh for developing approximately 118 acres of Integrated Township in Sector 33 A, Rohtak, Haryana.
4. Received license for approximately 3.4 acre land in extension of the existing Integrated Township, Parsvnath City in Dharuhera which is a residential use land.
5. Received license for an addl. land of approximately 51.55 acres in the existing Integrated Township, Parsvnath City in Sonepat.
5. Received license for 50.56 acre land in Integrated Township, Parsvnath City in Karnal.
6. Received license for 5.34 acre land, a commercial project at Gurgaon.
New Delhi, April 29, 2010: Parsvnath Developers Limited (PDL), Indias one of the leading real estate and infrastructure company has announced audited Q4 and annual results for FY10.
Financials:
For Q4 FY10, PDL recorded consolidated revenues of Rs 360.95 crore, a growth of 1398% from Rs 24.09 crore in Q4 of last fiscal. EBIDTA stood at Rs 89.79 crore, a growth of 162% from Rs 34.33 crore in the fourth quarter of FY09. The net profit for the period was Rs 34.72 crore, a growth of 199% from Rs 11.61 crore in Q4 FY09. The non-annualized EPS for the quarter was Rs 1.75.
Company reported consolidated revenues of Rs 988.18 crore for the year ended March 31, 2010, up by 36% from Rs 729.21 crore for FY09. EBIDTA stood at Rs 297.93 crore, up by 25% as compared to Rs 238.47 crore in the corresponding period last year. Net profit was at Rs 134.86 crore, a growth of 19% from Rs 112.91 crore. The EPS for FY10 stood at Rs 7.05 as compared to Rs 6.11 for FY09.
Industry Revival
The good times are back, industrial growth is up, markets are moving north, as per government estimates, the Indian economy is projected to grow at 8.5% in 2010-11, compared to 7.2% in last fiscal, depicts that the economy is on the growth path and real estate sector is not different. In fact the rise is based on solid economic fundamentals. The fact that Index of Industrial Production is up also substantiates that the real estate sector will also get back to the old glorious days. Increased supply, optimism related to real estate prices, and conservatively low rates of interest on home loans as compared to earlier years, seems to be encouraging consumers to firm up their home purchase decisions.
PDL Strategy Proposition
The companys prime focus is on the execution of its ongoing projects and handing over possessions and also to get all the sanctions related to the other land bank so as to launch and execute the projects at an appropriate time. The companys residential business showed significant growth over the previous year on account of strong end user demand realizing into sales. The completion schedule of various projects in residential categories has also been accelerated in line with market requirement and customer commitments.
The company adopted a strategy which allowed itself to be liquid, whilst it tested the right market conditions where it could attract significantly larger number of end customers and has focused on affordable housing and in particular on development of integrated townships which are also modeled on affordable housing concept as well as it also provides flexibility of selling plots thereby improving the cash flows from the project. Value proposition being a key element of the strategy and company has demonstrated its capabilities in timely execution of projects. The companys diversified business model also helped the company to contain the economic slowdown impact.
Debt Reduction and Fund Raising
In line with PDLs strategy to reduce debt, the company also initiated a strategic and comprehensive portfolio review of its real estate assets, with a view to exit the non-strategic assets. One such exercise - was monetization of some of its assets which were not in line with long term strategic growth of the company and exited from projects like Mahim & Kurla project in Mumbai, Vejalpur and Vastrapur projects in Ahmedabad & two group housing projects in Pune.
Not only this, PDL has managed to stay afloat with funds raised from qualified institutional placements and raising funds at project to project level through PE investments which supported PDL in strong execution of the project. Post second quarter of the last fiscal company has successfully raised Rs 168 crore through QIP in the month of October 2009 and later raised Rs 190 crore at SPV level (Rs 75 crore in Parsvnath Exotica, Gurgaon Project (being developed in 27 acres) and Rs 115 crore in Parsvnath La Tropicana, Delhi project (spread over 16.8 acres)) by selling minority equity stake in these premium residential projects in Delhi, NCR. Thus company has been successful in reducing debt from the above sources along with strong internal accruals.
Commenting on the companys performance for the fourth quarter and entire fiscal, Mr. Pradeep Jain, Chairman, PDL said, Our results reflect the improved outlook in the real estate business. With improved market confidence we are expecting a healthy rise in demand for our affordable residential properties as well as other offerings. Real estate prices, since October 2009 onwards, have shown upward trend on account of renewed confidence by the buyers. Given the strong fundamentals, we believe that real estate prices should remain firm at the current levels in the near term. With intense cost control measures undertaken by us during the last few years and certain other fresh initiatives currently underway for faster delivery of on-going projects, we believe that the company will be able to improve its margins substantially while at the same time bring better returns to the shareholders. We believe that with the improved liquidity and financial market stability, new project launches will start originating and we are geared up within all our businesses, to capitalize such opportunities.
More information about the company is available on www.parsvnath.com
Notes to Editor
verview of Parsvnath Developers Limited:-
With more than 2 decades of experience in real estate development, having completed 39 projects with an area of 11.82 mn sq ft. PDL is currently working on 54 projects with a total area of 81.49 mn sq ft. out of which approx 40 mn sq ft. is already pre booked. While having PAN India presence the company has land reserves of ~ 194.74 mn sq ft. which is spread over 45 cities and 16 states. The companys business portfolio includes residential, commercial (office and retail), DMRC Projects, Hotels, SEZs, IT Parks, third party construction.
Forward Looking Statement
Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like regulatory changes, local political or economic developments, technological risks, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward looking statements. PDL Limited will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances.
