Real-estate developer Prestige Estates Projects' net profits went up about 29 per cent to Rs 166.66 crore during the fiscal ended March 31, 2011, compared with Rs 129.45 crore recorded during the previous fiscal. This was achieved on the back of over 50 per cent growth in revenues at Rs 1,534.11 crore (Rs 1,024.44 crore) recorded during the previous fiscal.

The company, which was listed in October 2010 on the Bombay Stock Exchange and National Stock Exchange, also saw a three-fold increase in tax expenses at Rs 91.39 crore (Rs 28.25 crore). Its board of directors also recommended a 12 per cent dividend for the fiscal.

Prestige Estates Projects, which raised about Rs 1,148 crore from its IPO last year, informed the BSE that it has utilised about Rs 182 crore for funding ongoing projects. Mr Venkat K. Narayana, Chief Financial Officer, Prestige Group, told Business Line that the company has over Rs 280 crore unutilised funds invested in bank deposits, while it utilised “more funds to repay loans than what was mentioned in the offer document as interest costs were going up”.

The company had, in its offer document, mentioned that it planned to use Rs 280 crore for repayment of loans, but as on March 31, 2011, it has actually used Rs 343.84 crore to repay bank loans. It has also utilised Rs 76.88 crore from the IPO proceeds towards land acquisitions, as against Rs 21.84 crore it had set aside in the offer document for this purpose.

Mr Narayana said the company would be launching 15 million sq.ft development during the current fiscal; it has already paid for land for these projects. Of these, about 75 per cent would be in the residential space. “Planning for these projects is over, and we are awaiting approvals,” he added.

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