Brigade Enterprises Limited · NSE:BRIGADE
Brigade Enterprises — 9M FY21 Earnings Presentation
39 slides from Brigade Enterprises's earnings presentation, Feb 4, 2021
Slide 1: Investor Presentation 9M FY21
World Trade Centre, Chennai BIFC, Gujarat BRIGADE ENTERPRISES LIMITED Investor Presentation 9M FY21 (CIN: L85110KA1995PLC019126) 1
Slide 2: Brigade – A brand that puts values first
Brigade – A brand that puts values first Who we are Our presence • Leading property developer in South Indian real estate market with over three decades of experience • Reputation of developing Grade A properties • Business Portfolio of Residential, Lease Rentals and Hospitality projects • Consisten
Slide 3: Segments highlights and share of business by revenue
Segments highlights and share of business by revenue Real Estate – On Sale Basis • Achieved an all-time high quarterly sales of ~ 1.53 Mn sft with a sale value of INR 9,232 Mn Revenue Share % • Real estate sales are up 60% from previous quarter by sale value • Collections from residential sales was
Slide 4: Summary: Ongoing Projects
Summary: Ongoing Projects Area in Mn sft Projects Project Area Co Share LO/JV share Total Project Area 1% Real Estate projects for sale 7.87 5.57 2.30 Brigade Orchards * 1.82 0.91 0.91 29% Real Estate Brigade Cornerstone Utopia* 4.00 2.66 1.34 Lease Rentals Brigade Residences at WTC Chennai* 0.57 0.
Slide 5: Contents
Contents 1 Real estate sales at all time high 2 Stable rental portfolio 3 Hospitality performance improving but remains subdued 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 5
Slide 6: Highlights: Real Estate - Q3 FY21
Highlights: Real Estate - Q3 FY21 - Achieved all time high pre-sales of ~1.53 Mn sft in Q3 FY21 - Real estate sale is 60% up from the previous quarter by value - Average selling price at INR 6,022 per sft in Q3 FY21 - Sales realization increased by 3% from previous quarter Strong pipeline of upcomin
Slide 7: Sales Performance – Real Estate
Sales Performance – Real Estate Q-o-Q Sales Area ('000 Sq Ft) Q-o-Q Sales Value (INR Mn) 9,232 1,533 60% 1,132 55% 6,512 1,082 1,054 5,933 6,035 997 988 5,760 5,288 134% 130% 421 2,499 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FY 2020 FY 2021 FY 2020 FY 2021 Achieved all time high pre-sales of ~1.53
Slide 8: Group Sales Snapshot
Group Sales Snapshot Quarterly Nine Months Q3 FY21 on Q3 FY21 on 9M FY21 on Particulars Q3 FY21 Q2 FY21 Q3 FY20 9M FY21 9M FY20 Q2 FY21 Q3 FY20 9M FY20 Area Sales (‘000 sft) Residential 1,478 970 979 52% 51% 2,842 3,032 (6%) Commercial 55 18 103 205% (47%) 100 179 (44%) Total 1,533 988 1,082 55% 42%
Slide 9: Consolidated synopsis of Real Estate Projects
Consolidated synopsis of Real Estate Projects Ongoing BEL Ongoing SPV Particulars Stock Sales Total Projects Projects * In Mn sft BEL SPV Total super built-up area of projects on sale basis 13.57 2.39 1.00 0.20 17.16 Less: Landowner share 3.64 - - - 3.64 Company share of saleable area 9.93 2.39 1.00
Slide 10: Contents
Contents 1 Real estate sales at all time high 2 Stable rental portfolio 3 Hospitality performance improving but remains subdued 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 10
Slide 11: Our Leasing Portfolio: Operating Assets
Our Leasing Portfolio: Operating Assets Area in Mn sft Retail 1.05 0.26 Leased Out Office 2.46 1.01 To Be Leased Out Particulars Leasable Area Leased To be Leased Brigade Tech Gardens Phase 1 1.24 0.80 0.44* WTC Bangalore 0.62 0.62 - Brigade Opus 0.30 0.21 0.09 Brigade Bhuwalka Icon 0.19 0.19 - WTC
Slide 12: Our Pre-Leasing Portfolio
Our Pre- Leasing Portfolio: Area in Mn sft Particulars Leasable Area Leased Hard option To be transacted Brigade Tech Gardens Phase 2 1.76 0.19 0.01 1.56 WTC Chennai 2.01 1.37 0.31 0.33 Brigade Southfield 0.35 0.35 - - Total 4.12 1.91 0.32 1.89 Artist’s impression of Brigade Southfield Artist’s impr
Slide 13: Capex Commitment: Commercial
Capex Commitment: Commercial (INR Mn) Projects Estimated cost Incurred Balance^ Commercial Lease Brigade Southfield 1,144 801 343 Brigade Tech Gardens* 11,900 10,908 992 WTC Chennai* 8,000 7,043 957 Brigade Twin Towers 5,999 747 5,252 Total Commercial Lease 27,043 19,499 7,544 Artist’s impression of
Slide 14: Contents
Contents 1 Real estate sales at all time high 2 Stable rental portfolio 3 Hospitality performance improving but remains subdued 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 14
Slide 15: Hospitality performance improving but remains subdued
Hospitality performance improving but remains subdued • Occupancy has improved to 27% from 15% last quarter • GOP of INR 41 Mn recorded in this quarter. GOP Margin stood at 16% vis-à-vis (45%) last quarter • Holiday Inn Express & Suites, Bengaluru OMR started operations with 129 keys & has achieved
Slide 16: Hospitality Business Performance
Hospitality Business Performance Portfolio ARR (INR) Portfolio GOP (INR Mn) & GOP Margin % 3,097 3,085 41 2,874 16% Q1 FY 21 Q2 FY 21 Q3 FY 21 Portfolio Occupancy rate % (45%) 27% 15% (55) (139%) 11% (84) Q1 FY 21 Q2 FY 21 Q3 FY 21 Q1 FY 21 Q2 FY 21 Q3 FY 21 Witnessing improvement in occupancy Q-o-Q
Slide 17: Capex Commitment: Hospitality
Capex Commitment: Hospitality (INR Mn) Planned Number Projects Estimated cost Incurred Balance of Keys Ibis Style Mysore* 730 206 524 151 Total Hospitality 730 206 524 151 Artist’s Artist’s impression Artist’s impression of of Holiday of Ibis Style, impression Inn Inn Express, Mysore Holiday Express
Slide 18: Contents
Contents 1 Real estate sales at all time high 2 Stable rental portfolio 3 Hospitality performance improving but remains subdued 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 18
Slide 19: Consolidated Financials: Snapshot
Consolidated Financials: Snapshot (INR Mn) 9M FY21 on Q3 FY 21 on Q3 FY 21 on Particulars 9M FY21 9M FY20 Q3 FY 21 Q2 FY 21 Q3 FY 20 9M FY20 Q2 FY 21 Q3 FY 20 Revenue 11,895 20,372 (42%) 6,537 3,221 5,686 103% 15% EBITDA 3,140 5,691 (45%) 1,575 986 1,719 60% (8%) Finance costs 2,568 2,598 (1%) 856 8
Slide 20: Business Segment Performance: 9M FY21
Business Segment Performance: 9M FY21 (INR Mn) Particulars Real Estate Hospitality Lease Rental Total % of Revenue Revenue 8,809 588 2,498 11,895 100% as % of Total 74% 5% 21% 100% Direct Expenses 6,316 88 54 6,458 54% Admin Expenses 236 339 407 982 8% Selling Cost 210 20 50 280 2% Employee cost 539
Slide 21: Consolidated Cash Flows
Consolidated Cash Flows (INR Mn) Particulars Q3 FY21 Q2 FY21 Q1 FY21 Q3 FY20 9M FY21 9M FY20 Operating Activities Total Collections 6,819 5,359 3,757 7,362 15,935 18,201 Direct Cost/Construction Cost (2,676) (2,145) (1,859) (3,698) (6,680) (9,747) Landowner Payments (524) (353) (358) (341) (1,235) (
Slide 22: Capital Allocation: Segment-wise as of 31st December 2020
Capital Allocation: Segment-wise as of 31st December 2020 (INR Mn) Operating Capital Capital Employed % D/E Ratio PBD*/ Capital EBITDA/ Segment Equity (A) Debt (B) Employed (A/B) Equity % Employed OCE % (A+B) (OCE) 13% Real Estate 17,991 6,084 24,075 0.34 7% 24,075 9% 33% Hospitality 3,627 5,738 9,3
Slide 23: Consolidated Debt Profile
Consolidated Debt Profile (INR Mn) Particulars As on Dec-20 As on Sept-20 As on Dec-19 Real Estate 6,084 7,495 6,975 Hospitality 5,738 5,575 5,387 GOP Securitised 4,257 4,302 4,173 Capex 1,481 1,273 1,214 Leasing 31,169 30,341 25,800 Securitised Lease Rental 17,193 17,010 12,417 Capex 13,976 13,330
Slide 24: Debt Profile
Debt Profile Segment wise debt Reduction in Average Cost of Borrowing 2% 3% 10% 9.62% 9.57% 9.56% 9.23% 9.00% 7.90% 7.75% 12% 7.00% 7.00% 7.00% 40% 33% Commercial - LRD Commercial - CAPEX Real Estate - CF Hospitality - LRD Hospitality - CAPEX Commercial - CF Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 SBI 1-
Slide 25: Standalone Financial Statements
Standalone Financial Statements (INR Mn) 9M FY21 on Q3 FY 21 on Q3 FY 21 on Particulars 9M FY21 9M FY20 Q3 FY 21 Q2 FY 21 Q3 FY 20 9M FY20 Q2 FY 21 Q3 FY 20 Turnover 9,922 15,154 (35%) 5,515 2,598 3,830 112% 44% EBITDA 3,197 4,983 (36%) 1,514 1,020 1,431 48% 6% Finance costs 1,522 1521 - 506 515 509
Slide 26: Contents
Contents 1 Real estate sales at all time high 2 Stable rental portfolio 3 Hospitality performance improving but remains subdued 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 26
Slide 27: Brigade's Land Bank
Brigade’s Land Bank Land Area (in acres) as on 31st December 20 9 2 14 16 Bengaluru 18 Chennai Kochi 42 Mysore GIFT City Thiruvananthapuram Hyderabad GIFT City Hyderabad 264 Bengaluru Mysore Chennai Total Land Area Cost of Land Amount Paid Balance Payable Kochi (Acres) (INR Mn) (INR Mn) (INR Mn) Thi
Slide 28: Developable Area Details
Developable Area Details Product Project Area in Mn sft BEL Share in Mn sft Project Area: Location Residential 30.1 21.7 1% 3% 2% Commercial-Sale 1.2 0.7 6% Commercial-Lease 7.2 6.5 10% Hotel 0.4 0.4 Total 38.9 29.3 Location Project Area in Mn sft BEL Share in Mn sft Bangalore 30.7 23.4 Chennai 3.9
Slide 29: Agenda
Agenda 1 Real estate sales at all time high 2 Stable rental portfolio 3 Hospitality performance improving but remains subdued 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 29
Slide 30: Projects Launched: 9M FY21
Projects Launched: 9M FY21 Project Area Project Product City Quarter Launched (Mn sft) Brigade El Dorado – Jasper Block * Residential Bengaluru 0.62 Q1 Brigade Twin Towers * Commercial Bengaluru 1.30 Q1 Brigade Xanadu Cluster 2 – E, F & L Blocks Residential Chennai 0.40 Q3 Brigade Citadel – A1 & A2
Slide 31: Upcoming Launches
Upcoming Launches Total Area Brigade Economic Interest Segment (Mn sft) (Mn sft) Residential 2.62 1.94 Leasing 0.76 0.50 Total 3.38 2.44 Artist’sArtist’s impression of Brigade impression Gem Gem of Brigade Artist’s impression of ofBrigade Artist’s impression El Dorado Brigade Cornerstone Utopia 31
Slide 32: Awards and Accolades
Awards and Accolades 12th Realty Conclave & Excellence Awards Brigade Group Brigade Tech Gardens Developer of the Year – Residential Commercial Project of the Year 32
Slide 33: Awards and Accolades
Awards and Accolades REMAX Estate Awards Brigade Utopia Brigade Tech Gardens Brigade Orion Mall @ Gateway Smart Project of the Year – Residential Commercial property of the year Retail Property of the year – 1 to 10 (National) (South) Lac Sqft (South) 33
Slide 34: Shareholding Pattern
Shareholding Pattern As on December 31, 2020 Others 20% Promoter Group 48% Mutual Funds 20% FIIs and FPIs 12% 34
Slide 35: Board of Directors
Board of Directors Dr. Venkatesh M. R. Jaishankar Aroon Raman Lakshmi Venkatchalam Pavitra Shankar Panchapagesan Chairman and Managing Director Independent Director Independent Director Independent Director Executive Director • Masters in Business Administration • MBA from Wharton School, • MBA from
Slide 36: Ongoing Residential Projects
Ongoing Residential Projects Artist’s impression of Brigade Orchards, Kino Artist’s impression of Brigade Citadel 36
Slide 37: Ongoing Commercial Projects
Ongoing Commercial Projects Artist’s impression of Brigade Senate Artist’s impression of Brigade Deccan Heights 37
Slide 38: Completed Projects
Completed Projects Brigade Signature Towers Arcade, Brigade Orchards 38
Slide 39: Thank you
Atul Goyal Chief Financial Officer atulgoyal@brigadegroup.com Om Prakash P Company Secretary omprakash@brigadegroup.com Rajiv Sinha Dy. General Manager - Finance rajivsinha@brigadegroup.com Brigade Enterprises Limited 29th & 30th Floor, World Trade Center Brigade Gateway Campus, Dr Rajkumar Road, Ma