Prestige Group targeting sales of Rs 20,000 cr this fiscal: Irfan Razack, MD
Prestige Group, a prominent real estate company, has set its sights on a formidable goal for the current fiscal year by targeting sales of Rs 20,000 crore. The announcement was made by Irfan Razack, the company’s Chairman and Managing Director, during the 21st CREDAI Natcon (The Confederation of Real Estate Developers Association of India’s National Convention), held in the scenic backdrop of Sharm El-Sheikh, Egypt. This ambitious target reflects not only Prestige Group’s confidence in the Indian real estate market but also its commitment to growth and leadership in the industry.
To achieve this remarkable sales goal, the company is likely to employ a multifaceted strategy. This could involve diversifying its real estate portfolio to encompass various segments, such as residential, commercial, retail, and hospitality. Innovation and differentiation may be prioritized to stand out in the competitive market. An unwavering commitment to quality, customer satisfaction, and efficient financial management will be integral components of this endeavor. Additionally, marketing efforts, compliance with regulations, and adaptability to market dynamics will play crucial roles in realizing this ambitious vision.
Irfan Razack’s announcement at the CREDAI Natcon signals Prestige Group’s determination to not only meet but exceed industry expectations. It also underscores their belief in the potential for growth and transformation within the Indian real estate sector. As the fiscal year unfolds, the industry will be watching closely to see how Prestige Group progresses towards its Rs 20,000 crore sales target, anticipating the impact it could have on the real estate landscape and the broader economy.
In a regulatory filing made on October 6, the company had already reported a significant increase in property bookings, with bookings worth Rs 7,092.6 crore, marking a more than two-fold jump year-on-year (YoY). Razack highlighted the remarkable aspect of this achievement, noting that in the first six months of the fiscal year 2023-24, they had already achieved sales of Rs 11,007 crore. This achievement is notable because it’s close to the sales figure for the entire 12 months of the previous fiscal year, FY22-23, which stood at Rs 12,931 crore. This suggests a strong demand for residential properties and robust performance by the Prestige Group in the real estate market.
Irfan Razack, the Chairman and Managing Director of Prestige Group, provided further insights into the company’s performance and upcoming projects:
The company achieved significant sales primarily driven by notable launches and strong demand in key cities. Bengaluru, in particular, played a pivotal role in their success, with substantial sales generated from their new projects, Prestige Park, and Prestige Senate. Out of the total sales of Rs 7,092 crore, approximately Rs 6,000 crore came from Bengaluru. Additionally, they witnessed good sales in Hyderabad and Mumbai, contributing Rs 500 crore each to the total sales figure.
Razack emphasized that the quality and appeal of their real estate products were key drivers of their success. Their projects mainly catered to the mid-income segment, offering units of varying sizes, ranging from 1 to 4 BHK (bedroom, hall, kitchen).
Looking ahead, the company has an ambitious pipeline for the next quarter, featuring projects in Hyderabad, Mumbai, and Chennai. They expect Bengaluru and Mumbai to continue being strong contributors to their sales figures. They have three planned launches, including Prestige City in Hyderabad, Ocean Towers in Mumbai’s Marine Lines, and Forest Hills in Mulund, Mumbai. Additionally, Prestige Group is actively involved in plotted developments in Bengaluru, indicating a diverse portfolio to meet varying customer demands and preferences.
“We had projected around Rs 16,000 crore this fiscal, but we have already done Rs 11,000 crore. The team is confident that once the approvals come in and launches happen, we should cross Rs 20,000 crore,” he said.
In this statement, it appears that the speaker initially estimated their financial performance for the current fiscal year to be approximately Rs 16,000 crore. However, they have already achieved Rs 11,000 crore in revenue or sales before the fiscal year has ended. The speaker expresses confidence that with the expected approvals and upcoming product launches, their total revenue for the fiscal year will exceed their initial projection and reach Rs 20,000 crore.
