May 30, 2013, 01.12 PM | Source: CNBC-TV18
Purvankara aims to raise revenue worth Rs 1600 crore for FY14. The company targets a guideline of 4.5 million square feet of sales for the current financial year.
Jackbastian Nazareth (more)
Group CEO, Puravankara Proj |
The company's cash flows from its recent offer-for-sale issue will help in accelerating momentum on construction, Nazareth said. Puravankara raised Rs 115 crore from the OFS, which was priced at a discount to market price.
The company's net profit for the quarter ended March rose 71 percent year-on-year to Rs 78.70 crore.
Below is the verbatim transcript of Jackbastian Nazareth's interview on CNBC-TV18
Q: With regards to your offer for sale (OFS), you chose to give a fairly steep discount to the market price to get that done did you need to do that because the market price also followed that OFS price and came off quite sharply?
A: We spend a lot of time looking at what options we had when it came to an Institutional Placement Programme (IPP) and OFS. Market determines the price. We take cognizant of the fact that it was heavily discounted.
Q: You had a very good year in FY13 revenues went up more than 50 percent, what is the outlook for FY14 now on the higher base?
A: What you have seen the whole of last year has been the work of the last three years. Our focus remains on execution. We have sold close to 4 million square feet, 3.96 million to be precise a combination of ready to move in apartments, new launches and robust sales and the new launches has helped us to get this momentum.
We are in a comfortable position,today, where our cash flows from the sales that we have done in the markets are helping us in accelerating momentum on construction. For real estate companies, now, we need to look at ourselves as an engineering company and focus on the execution. We would be clocking close to about Rs 1600 crore in terms of revenue for FY14. We have set ourselves a guideline of 4.5 million square feet of sales for the current financial.