Bengaluru-based real estate developer Prestige Estates Projects disclosed that its residential pre-sales reached ₹6,579 crore in the first quarter of the financial year 2026-27 (Q1FY27). This figure represents a decline of 45.74 percent year-on-year (YoY), which was attributed to a high sales base recorded in Q1FY26.
In the first quarter of the financial year 2026-27, the company's sales volume amounted to 6.04 million square feet (msf), which is 36.75 percent less compared to the same period last year. The company sold 3,337 units in Q1FY27, whereas 4,718 units were realized in Q1FY26.
Despite the overall decline, collections increased by 6.2 percent. Furthermore, in Q1FY27, Hyderabad became the largest source of sales for Prestige, contributing almost half of the total sales volume, while Bengaluru contributed 27 percent, and Mumbai contributed 12 percent. NCR contributed 7 percent, and other markets accounted for 5 percent.
The average revenue per apartment in Q1FY27 was ₹11,193 per square foot, a decrease of 16.08 percent year-on-year. The average revenue for plotted developments increased by 9.53 percent, reaching ₹8,043 per square foot. The company noted that the geographical distribution of sales mainly reflected in these figures, especially after the successful launch of Prestige Golden Grove in Hyderabad.
Total collections for the quarter reached ₹4,802.2 crore, demonstrating a growth of 6.17 percent YoY, attributed to sustained customer demand and efficient project execution. During the quarter, Prestige launched three residential and one commercial project, with a total area of 20.16 msf across Bengaluru, Mumbai, and Hyderabad. The Gross Development Value (GDV) of the residential projects is estimated at approximately ₹12,000 crore.
In its office portfolio, the company registered gross leasing on an area of 1.5 msf for the quarter. As of June 2026, the effective rental rate for the commercial portfolio stood at ₹756 crore. Prestige's retail portfolio recorded a Gross Turnover (GTO) in malls of ₹737 crore, corresponding to an 18 percent YoY growth. During the quarter, the company's malls hosted 5.2 million visitors, indicating sustained consumer demand and confidence among retailers. As of June 2026, the effective rental rate for the retail portfolio was ₹277.6 crore.
Additionally, the company's hospitality business showed healthy operational results, demonstrating competitive Average Room Rates (ARRs) and high occupancy levels, supported by the ongoing growth in business and travel demand. As of March 2026, Prestige Group had executed 316 projects totaling 212 msf and has 135 projects in its portfolio covering 227 msf.
Irfan Razak, Chairman and Managing Director of Prestige Group, expressed satisfaction with the strong start to FY27, highlighting the excellent response to Prestige Golden Grove in Hyderabad. He added that several major launches are planned for the upcoming festive season in Mumbai, NCR, Bengaluru, and Chennai, which he believes will strengthen the growth momentum. Razak also expressed confidence in achieving outstanding results for the year due to healthy collections and stable performance in the annuity model business.
Tyre manufacturer Ceat, which is owned by RPG Group, reported a significant decline in its net profit for the first quarter of the financial year 2026-27 (Q1 FY27). The net profit plummeted by 96.4 percent year-on-year (YoY), reaching ₹4 crore.
The main reason for such a sharp decrease was an impact of nearly ₹50 crore caused by the depreciation of the Sri Lankan rupee against the US dollar in the debt obligations of the foreign subsidiary. Additionally, the company incurred losses from recently acquired enterprises related to investments in new warehouses, infrastructure, and lower initial operating figures.
Despite the drop in net profit, revenue from operations increased by 22.4 percentage points year-on-year, reaching ₹4,318 crore. Arnab Banerjee, Managing Director (MD) and Chief Executive Officer (CEO) of Ceat, noted that the first quarter was challenging for the industry. The company responded to the situation with a moderate price increase to partially offset the negative impact while maintaining focus on market share and demand. He added that despite the pressure, CEAT demonstrated confident double-digit revenue growth, supported by high capacity utilization and stable demand across all segments. Banerjee emphasized that entering the second quarter, the company will maintain a disciplined approach to pricing, focusing on profitable growth.
On a sequential basis, net profit declined by 98.4 percentage points, while operating revenue grew by 2.3 percentage points. Kumar Subbia, CFO of Ceat, stated that the standalone business suffered due to the increased cost of raw materials, which the company could only partially pass on to buyers. He specified that because not all the increase in raw material costs was passed on to consumers, the gross margin decreased by approximately 5.8 percentage points. Subbia forecasts that raw material costs may rise another 6-7 percent during the second quarter, although prices are likely to stabilize from the third quarter with an improvement in geopolitical and commodity conditions.
The company stated that demand for tire replacement remains resilient despite price increases and does not expect an immediate drop in demand. Nevertheless, it acknowledged the possibility of weakening demand in the medium term, especially if competitors adopt different pricing strategies. The board of directors approved an investment of ₹1,205 crore to expand two-wheeler production capacity in line with future development plans. The results were announced after the market close, after which Ceat shares rose by 0.9 percent, closing at ₹3,829.30 on the BSE.
