Income Tax Department Conducts Search at Prestige Estates Projects Offices

Real estate firm Prestige Estates Projects announced on Tuesday, February 25, that the Income Tax Department has launched a search operation at its registered office and various branch offices starting February 25, 2025.

Company Confirms IT Search, Assures Full Cooperation

In a regulatory filing, Prestige Estates Projects stated “We hereby inform that the Income Tax Department is searching for the Registered Office and other branch offices of the Company from February 25, 2025. The company is fully cooperating with the authorities, providing them with all necessary information and support.”

The company further noted that at this stage, the details of the investigation, as well as any potential financial or operational impact, remain uncertain.

Q3 FY25 Performance

The search operation comes at a time when the real estate firm is experiencing a downturn in its financial performance. For the third quarter ending December 31, 2024, the company reported a sharp 84.8% decline in consolidated net profit, which fell to ₹17.70 crore, compared to ₹116.30 crore in the same period last year.

Revenue also took a hit, declining by 7.9% YoY to ₹1,654.50 crore, down from ₹1,795.80 crore in Q3 FY24.

However, despite the drop in profit and revenue, EBITDA rose by 7% to ₹590.10 crore, with margins improving to 35.7% from 30.7% in the year-ago period.

Stock Performance

On February 27, 2025, Prestige Estates Projectsshare price traded 3.32% lower at ₹1,152.85 at 9:39 AM (IST). Prestige Estates Projects’ share price reached a 52-week high of ₹2,072.75, and a 52-week low of ₹967.10. As per BSE, the total traded volume for the stock stood at 4042 shares with a turnover of ₹46.98 lakhs.

At the current price, Prestige Estates Project shares are trading at a price-to-earnings (P/E) ratio of 210.40x, based on its trailing 12-month earnings per share (EPS) of ₹5.48, and a price-to-book (P/B) ratio of 4.24, according to exchange data.

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