ATS Company Reports: Puravankara projects ltd. Access Company Reports here: http://www.adityatrading.in/Research-Reports.aspx

2. Current price BSE 65.60
Sector Real Estate
No of shares 237149686
52 week high 133.90
52 week low 63.00
BSE Sensex 28192.02
Nifty 8550.90
Average Volume 189973
BSE Code 532891
NSE Symbol PURVA
Recommendation
– BUY/HOLD
Date – 23/03/2015
Puravankara Projects Ltd.

3. Company Overview
The Puravankara Projects Limited (PPL) was incorporated on 3rd June 1986 in Mumbai as a private limited
company under the name of Puravankara Constructions Private Limited. Now it emerged as a leading real
estate developer, provides residential flats and commercial, serving the needs of a discerning clientele. The
Company's operations cover Bangalore, Kochi, Chennai, Coimbatore, Hyderabad, Mysore, Colombo and the
United Arab Emirates (U.A.E). Also have representatives in the United Kingdom and the United States. The
network of the company expanded to Bangalore in the year 1987 and commenced its operations in Bangalore
during the year 1990, also launched its first residential project.
Puravankara has the distinction of being the first developer to obtain FDI in the Indian real estate industry
through its joint venture with Singapore based Keppel Land Limited, the property arm of the 54% government
owned conglomerate, Keppel Corporation Limited. The joint venture company, Keppel Puravankara
Development Private Limited, has on-going housing projects in India.
The Company has grown from strength to strength, having successfully completed 36residential / commercial
projects spanning 7.80 million square feet. Currently, it has 29 million square feet of projects under
development, with an additional 88 million square feet in projected development over the next 7-10 years. An
ISO 9001 certification by DNV in 1998 and a DA2+ rating by CRISIL are testament to Puravankara’s
reputation as a real estate developer of the highest quality and reliability standards.
PPL was certified as an ISO 9001 compliant company by DNV in the year 1998. PPL made its foray into the
affordable housing segment and launched a 100% owned subsidiary called Provident Housing and
Infrastructure during in August of the year 2008. The current market capitalization stands at Rs 1,554.52 crore.

4. Category No. of Shares Percentage
Promoters 177,862,264 75.00
Foreign Institutions 23,507,160 9.91
NBFC and Mutual Funds 19,016,963 8.02
Other Companies 5,057,947 2.13
Foreign - OCB 4,660,598 1.97
General Public 3,964,674 1.67
Financial Institutions 2,213,033 0.93
Others 457,696 0.19
Foreign - NRI 405,431 0.17
Directors 3,920 0.00
Market Cap (Rs Cr) – 1561.63
Company P/E (x) – 13.07
Industry P/E (x) – 29.69
Book Value (Rs) – 76.36
Price / BV (x) – 0.86
Dividend (%) – 38.40%
EPS (TTM) – 5.04
Dividend Yield (%) –2.92%
Face Value - 5
Share Holding Pattern Financial Details

5. Industry Overview
The Indian real estate sector is one of the most globally recognized sectors. In the country, it is the second
largest employer after agriculture and is slated to grow at 30 per cent over the next decade. It comprises four
sub sectors - housing, retail, hospitality, and commercial. The growth of this sector is well complemented by
the growth of the corporate environment and the demand for office space as well as urban and semi-urban
accommodations. It is also expected that this sector will incur more non-resident Indian (NRI) investments in
the near future, as a survey by an industry body has revealed a 35 per cent surge in the number of enquiries
with property dealers.
The Indian real estate market size is expected to touch US$ 180 billion by 2020. The housing sector alone
contributes 5-6 per cent to the country's gross domestic product (GDP). Also, in the period FY08-20, the
market size of this sector is expected to increase at a compound annual growth rate (CAGR) of 11.2 per cent.
Retail, hospitality and commercial real estate are also growing significantly, providing the much-needed
infrastructure for India's growing needs.
Real estate has emerged as the second most active sector, raising US$ 1.2 billion from private equity (PE)
investors in the last 10 months. Foreign investors have bought tenanted office space worth over US$ 2 billion
in India in 2014, a four-fold rise compared to the previous year, in order to increase their rent-yielding
commercial assets in Asia's third largest economy.
The Indian real estate sector has witnessed high growth in recent times with the rise in demand for office as
well as residential spaces. According to data released by Department of Industrial Policy and Promotion
(DIPP), the construction development sector in India has received foreign direct investment (FDI) equity
inflows to the tune of US$ 24,012.87 million in the period April 2000-December 2014.

6. Balance Sheet
Mar '14 Mar '13 Mar '12 Mar '11 Mar '10
Income
Sales Turnover 922.68 815.26 527.57 413.01 501.24
Net Sales 922.68 815.26 527.57 413.01 501.24
Other Income 43.86 2.59 0.96 9.08 7.00
Stock Adjustments 455.74 176.67 508.71 0.00 0.00
Total Income 1,422.28 994.52 1,037.24 422.09 508.24
Expenditure
Employee Cost 67.82 54.96 37.84 16.47 14.63
Other Manufacturing Expenses 866.42 447.94 670.75 282.72 307.15
Selling and Admin Expenses 0.00 0.00 0.00 21.07 12.93
Miscellaneous Expenses 139.64 98.54 64.55 3.20 3.07
Preoperative Exp Capitalised 0.00 0.00 0.00 -140.82 -104.03
Total Expenses 1,073.88 601.44 773.14 182.64 233.75
Operating Profit 304.54 390.49 263.14 230.37 267.49
PBDIT 348.40 393.08 264.10 239.45 274.49
Interest 201.11 220.83 192.15 143.46 106.86
PBDT 147.29 172.25 71.95 95.99 167.63
Depreciation 6.32 5.44 4.27 1.37 1.26
Profit Before Tax 140.97 166.81 67.68 94.62 166.37
Extra-ordinary items 0.00 0.00 2.12 -1.47 0.00
PBT (Post Extra-ord Items) 140.97 166.81 69.80 93.15 166.37
Tax 34.93 54.53 22.41 9.30 29.81
Reported Net Profit 106.03 112.28 47.40 83.86 136.56
Total Value Addition 1,073.88 601.44 773.14 182.64 233.76
Equity Dividend 45.53 26.70 21.34 21.34 0.00
Corporate Dividend Tax 7.74 4.54 3.46 3.54 0.00
Per share data (annualised)
Shares in issue (lakhs) 2,371.50 2,134.20 2,134.24 2,134.24 2,134.24
Earning Per Share (Rs) 4.47 5.26 2.22 3.93 6.40
Equity Dividend (%) 38.40 25.00 20.00 20.00 0.00

7. Profit and Loss Account
Mar '14 Mar '13 Mar '12 Mar '11 Mar '10
Sources Of Funds
Total Share Capital 118.58 106.71 106.71 106.71 106.71
Equity Share Capital 118.58 106.71 106.71 106.71 106.71
Reserves 1,692.32 1,477.42 1,396.37 1,373.78 1,316.67
Networth 1,810.90 1,584.13 1,503.08 1,480.49 1,423.38
Secured Loans 993.75 1,348.95 899.83 1,072.86 766.92
Unsecured Loans 264.25 118.07 95.46 37.85 8.50
Total Debt 1,258.00 1,467.02 995.29 1,110.71 775.42
Total Liabilities 3,068.90 3,051.15 2,498.37 2,591.20 2,198.80
Mar '14 Mar '13 Mar '12 Mar '11 Mar '10
Application Of Funds
Gross Block 119.39 110.18 95.13 66.62 63.56
Less: Accum. Depreciation 42.83 37.60 33.68 31.53 27.90
Net Block 76.56 72.58 61.45 35.09 35.66
Capital Work in Progress 0.21 0.55 1.87 1,045.69 1,153.68
Investments 57.26 61.49 55.77 53.74 52.74
Inventories 2,218.20 1,773.11 1,600.75 1,181.08 714.94
Sundry Debtors 262.75 215.81 137.82 73.89 99.41
Cash and Bank Balance 135.75 205.38 56.36 41.65 31.20
Total Current Assets 2,616.70 2,194.30 1,794.93 1,296.62 845.55
Loans and Advances 1,221.36 1,136.53 1,176.70 401.58 433.40
Fixed Deposits 0.00 0.00 0.00 15.01 15.63
Total CA, Loans & Advances 3,838.06 3,330.83 2,971.63 1,713.21 1,294.58
Current Liabilities 841.90 384.32 559.32 227.42 309.98
Provisions 61.30 29.98 33.02 29.12 27.85
Total CL & Provisions 903.20 414.30 592.34 256.54 337.83
Net Current Assets 2,934.86 2,916.53 2,379.29 1,456.67 956.75
Total Assets 3,068.89 3,051.15 2,498.38 2,591.19 2,198.83
Contingent Liabilities 309.56 286.89 32.15 68.09 107.29
Book Value (Rs) 76.36 74.23 70.43 69.37 66.69

8. Dividend History

9. Index and Company Price Movement Comparison

10. Company Forecast

11. Symbol Value Action
RSI(14) 55.036 Buy
STOCH(9,6) 25.361 Sell
STOCHRSI(14) 100.000 Overbought
MACD(12,26) -0.060 Sell
ADX(14) 54.472 Buy
Williams %R -36.364 Buy
CCI(14) 140.8805 Buy
ATR(14) 0.1643 Less Volatility
Highs/Lows(14) 0.0964 Buy
Ultimate Oscillator 56.483 Buy
ROC 0.535 Buy
Bull/Bear Power(13) 0.1460 Buy
Technical Indicators

12. PBIT – 30.85 v/s 47.08
RoCE – 11.14 v/s 12.70
RoE – 7.86 v/s 9.57
Net Profit Margin – 10.97 v/s 13.72
Return on net worth – 5.85 v/s 7.08
D/E Ratio – 0.69 v/s 0.93
Interest Cover – 1.70 v/s 1.76
Current Ratio – 1.92 v/s 1.84
Reserves – 1692.32 cr v/s 1477.42 cr
PAT – 106.03 cr v/s 112.28 cr
Total assets – 3068.89 cr v/s 3051.15
Net sales – 922.68 v/s 815.26
Book Value – 76.36 v/s 74.23
Important Ratios (YoY)
Days BSE NSE
30 76.38 76.46
50 78.51 78.54
150 88.09 88.15
200 92.68 92.77
Simple Moving Average

13. Investment Rationalize
Puravankara Projects Ltd. is one of the most reputed player of the Indian real estate industry with sales of Rs.922 crore and
reveres of Rs.1692 crore.
In India real estate is considered as one of the most preferred investment destination and most of Non Resident Indians (NRI)
investment is being done in real estate.
Company is able to generate and increase revenue even in the adverse market situations and the cost of debt is currently at
14.8%, which is continuously decreasing in the last three years.
Improvement in economic condition along with reduction in interest rates and increase in number of nuclear families with
modern view on high quality living space will increase the sales of the company.
The inventory of the company stands at Rs.2218 crore , Puravankara will be able to capitalize of inventory when the demand
picks up.
The projects of the company are mostly located in Bangalore, Chennai, Kochi, Coimbatore, Hyderabad, etc which is quickly
becoming real estate hubs of the nation.
The time taken for completing the projects is among the lowest among the industry which adds to the competitive advantage of
the company.
The stock is trading at Rs.65 which is below the Book Value of Rs.76 and Price to sales Ratio of the company stands at 1.68,
which means the stock is available at discounted price.
Revenue from fully owned subsidiaries such as Provident Housing, which among the top player in economy housing segment
will add to the profits of the company along with its projects in Colombo and United Arab Emirates.