Brigade Enterprises Limited · NSE:BRIGADE
Brigade Enterprises — Q1 FY22 Earnings Presentation
50 slides from Brigade Enterprises's earnings presentation, Aug 5, 2021
Slide 1: Board Meeting Decisions, Investor Presentation and Press Release cover letter
Brigade Enterprises Limited Corporate Identity Number (CIN) : L85110KA1995PLC019126 Registered Office : 29th & 30th Floor, World Trade Center Brigade Gateway Campus, 26/1, Dr. Rajkumar Road Malleswaram - Rajajinagar, Bengaluru - 560 055, India T : +9180 4137 9200 BRIGADE E : enquiry@brigadegroup.com
Slide 2: Cover letter continuation
=z are —— BRIGADE Building Positive Experiences The trading window of the Company was closed from 1** July, 2021 and shall open on 8" August, 2021. The above information is also hosted on the website of the Company at www.brigadegroup.com Kindly take the same on your records. Thanking you, Yours fai
Slide 3: Auditor's Review Report on Consolidated Results
SR. BATLIBO! & ASSOCIATES LLP HOBO eanlsarcs Block No. 24, Vittal Mallya Road Bengaluru - 560 001, India Tel : +91 80 6648 9000 Chartered Accountants independent Auditor’s Review Report on the Quarterly Unaudited Consolidated Financial Results of the Company Pursuant to the Regulation 33 of SEBI (Li
Slide 4: Auditor's Review Report (continued)
S.R. BATLIBOI & ASSOCIATES LLP Chartered Accountants aA ii) Based on our review conducted and procedures performed as stated in paragraph 3 above and based on the consideration of the review reports of other auditors referred to in paragraph 7 below, nothing has come to our attention that causes us
Slide 5: Unaudited Consolidated Financial Results Q1
ELEN, E Corporate Identity Number (CIN): L851 WKAIIISPLCOUI 26 af Reyd Olles: 26/1, 29h & 3inh Floor, World Trae Center, De Rajkumar Rose. 7 Matleswaraa-Rajajinagar, Bangalore $60 035 == Phone: 494-86-41779200, 2221 7017-18 Faxin9-MC.2221 O7R4 — Email. enquinyéa brigadegcoup cam — Website: wnew-brip
Slide 6: Notes to consolidated financial results
Noles to the unandited consolidated finanrist results for the quarter ended June 30, 2021 t The sbove consolidated Gnencial cesults of Brigade Enterprises Limited (‘the Company") and its subsidienes (waether referred to as “the Group") and its associties has been reviewed by tht Audit Comnuites on A
Slide 7: Notes to consolidated financial results (Covid-19)
Notes tothe unaudited consolidated financial results for the quarter ended June 30, 2021 7 ‘The outbreak of Covid-t9 pansemie plobally and in India has caused significant disturbance and slowdown of cconomve activites, especially in retzil leasing and hospitality to the lockdows by the Gi the Grouy'
Slide 8: Auditor's Review Report on Standalone Results
12th Floor S.R. BATLIBOI & ASSOCIATES LLP in a ener sce No. 24, Vittai Maliya Road Chartered Accountants Bengaluru - 560 001, India Tel : +91 80 6648 9000 Independent Auditor’s Review Report on the Quarterly Unaudited Standalone Financial Results of the Company Pursuant to the Regulation 33 of SEBI
Slide 9: Auditor's Review Report (continued)
S.R. BATLIBOI & ASSOCIATES LLP Chartered Accountants 6. The accompanying Statement of quarterly interim standalone financial results includes the reviewed financial results in respect of 2 LLP’s whose interim financial results and other financial information reflect total revenues of Rs 258 lakhs, t
Slide 10: Unaudited Standalone Financial Results
BRIGADE ENTERPRISES LIMITED Corporate Identity Number (CIN): L8S110KA1995PLC019126 Regd. Office: 29th & 30th Floor, World Trade Center, Brigade Gateway Campus, 26/1, Dr Rajkumar Road, Malleswaram-Rajajinagar, Bangalore 560 055 Phone: +91-80-41379200, 22217017-18 Email: enquiry@brigadcgroup.com Fax:
Slide 11: Notes to standalone financial results
Notes to the unauilited standalone financial results for the quarter ended June 30, 2024 1 Theabove standalone financial results of Brigade Enterprises Limited (‘the Company’) hus been reviewed by the Audit Committee on August 04, 2021 and approved by the Board of Directors of the Company at their r
Slide 12: Notes to standalone financial results (Covid-19)
Notes to the unaudited standalone financial results for the quarter ended Jume 30, 2021 ? The outbreak of Covid-19 pandemic globally and in India has caused sigoi Beant disturbance and slowdown of economic activities, especially in the retail leasing segment. Due to the lockdown announced by che Gov
Slide 13: Brigade Enterprises Limited – Q1 FY 22
World Trade Center, Bangalore Brigade Tech Gardens, Bangalore BRIGADE ENTERPRISES LIMITED Investor Presentation – Q1 FY 22 (CIN: L85110KA1995PLC019126) 1
Slide 14: Capital Raise and Rating Update
Capital Raise and Rating Update Capital Raise – QIP • Brigade raised INR 5,000 Mn through a QIP during the quarter Investor Profile Investor Geography • The issue was oversubscribed by 6.25x 7% 25% • Proceeds will be used for – ⁻ Capex – Acquisition of land or land developmental rights ⁻ Investing i
Slide 15: Brigade – A brand that puts values first
Brigade – A brand that puts values first About us 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 • Consistent EBIT
Slide 16: Segments highlights and share of business by revenue
Segments highlights and share of business by revenue Real Estate – On Sale Basis • Achieved sales value of INR 4,800 Mn during Q1 FY22, a 92% increase from INR 2,499 Mn in Q1 Revenue Share % FY21 • Sales volume was ~0.76 Mn sft in Q1 FY22, an 82% increase from 0.42 Mn sft in Q1 FY21 5% • Average rea
Slide 17: Summary: Ongoing Projects
Summary: Ongoing Projects Area in Mn sft Projects Project Area Co Share LO/JV share Total Project Area 8% Real Estate projects for sale 8.74 5.81 2.93 Brigade Orchards * 1.02 0.51 0.51 Real Estate Brigade Cornerstone Utopia* 4.89 3.25 1.64 Lease Rentals Brigade Residences at WTC Chennai* 0.57 0.29 0
Slide 18: Contents
Contents 1 Real estate performance remains resilient 2 Stable rental portfolio 3 Hospitality impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 6
Slide 19: Highlights: Real Estate - Q1 FY22
Highlights: Real Estate - Q1 FY22 • Achieved pre-sales of ~0.76 Mn sft in Q1 FY22 • Real estate sale increased by 92% from Q1 FY21 by sale value • Average selling price at INR 6,275 per sft in Q1 FY22 • Q1 FY22 sales realization increased by 5% from Q1 FY21 and 2% from Q4 FY21 Strong pipeline of upc
Slide 20: Group Sales Snapshot
Group Sales Snapshot Q1 FY22 on Q1 FY22 on Particulars Q1 FY22 Q4 FY21 Q1 FY21 Q4 FY21 Q1 FY21 Net Area Sales (‘000 sft) Residential 751 1,628 394 (54%) 91% Commercial 14 33 27 (58%) (48%) Total 765 1,661 421 (54%) 82% Net Sale Value (INR Mn) Residential 4,688 9,897 2,233 (53%) 110% Commercial 112 2
Slide 21: Sales Performance – Real Estate (Quarterly)
Sales Performance – Real Estate (Quarterly) Net Area Sales ('000 Sft) Net Sales Value (INR Mn) 1,661 10,176 1,533 9,232 988 5,760 765 4,800 421 2,499 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Pre-sales of ~0.76 Mn sft in Q1 FY22, registering a growth of 82% from
Slide 22: 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 16.53 1.59 0.76 0.66 19.54 Less: Landowner share 4.57 - - - 4.57 Company share of saleable area 11.96 1.59 0.7
Slide 23: Contents
Contents 1 Real estate performance remains resilient 2 Stable rental portfolio 3 Hospitality impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 11
Slide 24: Our Leasing Portfolio: Operating Assets
Our Leasing Portfolio: Operating Assets Area in Mn sft Retail 1.14 0.17 Leased Out Hard Option Office 4.12 0.61 2.51 To Be Transacted Particulars Leasable Area Leased Hard Option To be transacted Brigade Tech Gardens 3.00 1.07 0.30 1.63 WTC Chennai 2.01 1.39 0.31 0.31 WTC Bangalore 0.62 0.61 - 0.01
Slide 25: Capex Commitment
Capex Commitment Commercial Lease (INR Mn) Project Estimated cost Incurred Balance^ Brigade Southfield 1,144 896 248 Brigade Twin Towers 5,999 1,157 4,842 Total Commercial Lease 7,143 2,053 5,090 * Through SPV ^ As of June’21 Artist’s impression of Brigade Twin Towers Artist’s impressionofofWTC Arti
Slide 26: Contents
Contents 1 Real estate sector remains resilient 2 Stable rental portfolio 3 Hospitality impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 14
Slide 27: Hospitality impacted by 2nd wave
Hospitality impacted by 2nd wave • Occupancy was 23% in Q1 FY22 vs 11% in Q1 FY21 • Cost optimization strategies have been implemented which will improve margins even post future recovery • F&B business in our hotels also registered gradual improvement with increased footfalls in our restaurants • D
Slide 28: Contents
Contents 1 Real estate sector remains resilient 2 Stable rental portfolio 3 Hospitality impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 16
Slide 29: Consolidated Financials: Snapshot
Consolidated Financials: Snapshot (INR Mn) Q1 FY22 on Q1 FY22 on Particulars Q1 FY22 Q4 FY21 Q1 FY21 Q4 FY21 Q1 FY21 Revenue# 3,915 8,209 2,138 (52%) 83% EBITDA 1,200 2,183 579 (45%) 107% Finance costs 1,132 900 891 26% 27% Profit before depreciation 68 1,283 (312) (95%) (122%) Depreciation 845 660
Slide 30: Business Segment Performance: Q1 FY22
Business Segment Performance: Q1 FY22 (INR Mn) Particulars Real Estate Hospitality Lease Rental Total % of Revenue Revenue# 2,595 201 1,119 3,915 100% as % of Total 66% 5% 29% 100% Direct Expenses 1,689 24 15 1,728 44% Admin Expenses 172 110 158 440 11% Selling Cost 120 8 14 142 4% Employee cost 242
Slide 31: Consolidated Cash Flows
Consolidated Cash Flows (INR Mn) Particulars Q1 FY22 Q4 FY21 Q1 FY21 Operating Activities Total Collections 7,172 11,184 3,757 Direct Cost/Construction Cost (3,488) (4,452) (1,859) Landowner Payments (619) (618) (358) Employee and Admin Expenses (738) (692) (370) Sales & Marketing Expenses (222) (45
Slide 32: Capital Allocation: Segment-wise as of 30th June 2021
Capital Allocation: Segment-wise as of 30th June 2021 (INR Mn) Capital Employed % Operating Capital D/E Ratio PBD*/ Capital EBITDA/ Segment Equity (A) Debt (B) Employed (A/B) Equity % Employed OCE % (A+B) 11% (OCE) 33% Real Estate 21,206 4,668 25,874 0.22 9% 25,874 12% Hospitality 3,069 5,575 8,644
Slide 33: Consolidated Debt Profile
Consolidated Debt Profile (INR Mn) Particulars June-21 March-21 As on Dec-20 Real Estate 4,668 4,973 6,084 Hospitality 5,575 5,858 5,738 GOP Securitised 4,686 4,587 4,257 Capex 889 1,271 1,481 Leasing 31,964 32,165 31,169 Securitised Lease Rental 22,441 21,052 17,193 Capex 9,523 11,113 13,976 Less:
Slide 34: Debt Profile & Cost of Borrowing
Debt Profile & Cost of Borrowing Segment Wise Gross Debt (INR Mn) Net Debt to Equity and Avg. Cost of Borrowing 42,996 42,207 39,556 10.39% 5,858 5,574 9.63% 9.57% 9.21% 5,391 8.40% 33,395 8.14% 29,570 5,202 4,387 21,773 3,002 27,246 32,165 31,964 17,265 21,344 1.17 1.15 9,550 1.05 0.85 0.89 0.86 9,
Slide 35: Standalone Financial Statements
Standalone Financial Statements (INR Mn) Q1 FY22 on Q1 FY22 on Particulars Q1 FY22 Q4 FY21 Q1 FY21 Q4 FY21 Q1 FY21 Turnover 2,670 6,448 1,808 (59%) 48% EBITDA 902 1,957 663 (54%) 36% Finance costs 394 454 501 (13%) (21%) Profit before depreciation 508 1,503 162 (66%) 214% Depreciation 199 227 202 (1
Slide 36: Contents
Contents 1 Real estate sector remains resilient 2 Stable rental portfolio 3 Hospitality impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 24
Slide 37: Brigade's Land Bank
Brigade’s Land Bank Land Area (in acres) as on 30th June 21 14 3 1 15 18 Bangalore Chennai 33 Kochi Mysore GIFT City Thiruvananthapuram Gujarat 238 Hyderabad Hyderabad Bengaluru Mysore Chennai Total Land Area Cost of Land Amount Paid Balance Payable Kochi (Acres) (INR Mn) (INR Mn) (INR Mn) Thiruvana
Slide 38: Developable Area Details
Developable Area Details Product Land Area Project Area (Mn Sft) BEL Share (Mn Sft) Project Area: Location Residential 236.0 26.5 19.1 3% 6% Commercial-Sale 11.7 1.2 0.7 Commercial-Lease 53.3 6.9 6.3 9% Hotel 20.7 0.4 0.4 Total 321.7 35.0 26.5 Location Land Area Project Area (Mn Sft) BEL Share (Mn S
Slide 39: Contents
Contents 1 Real estate sector remains resilient 2 Stable rental portfolio 3 Hospitality impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 27
Slide 40: Projects Launched: Q1 FY22
Projects Launched: Q1 FY22 Project Area BEL Economic Interest Project City (Mn Sft) (Mn Sft) Brigade El Dorado – K Block Bengaluru 0.62 0.62 Brigade Xanadu Cluster 3 Chennai 0.77 0.47 Total 1.39 1.09 Artist’s impression of Brigade El Dorado, Bangalore 28
Slide 41: Upcoming Launches
Upcoming Launches Segment Total Area (Mn sft) Brigade Economic Interest (Mn sft) Residential 1.91 1.10 Leasing 1.84 1.01 Total 3.75 2.11 Artist’s impression of Brigade Northridge – Phase 2, Bangalore Artist’s impression of Brigade Gem, Bangalore 29
Slide 42: Awards and Accolades
Awards and Accolades Great Place To Work • Brigade Group - Top 100 Companies to Work for, 11 years in a row • Brigade Group - Best Place to Work in Real Estate • Brigade Hospitality - 1st Rank amongst India’s Great Mid-Size Workplaces • Brigade Hospitality - 4th Rank in Small and Medium Workplaces i
Slide 43: Shareholding Pattern – June 30th 2021
Shareholding Pattern – June 30th 2021 18% 44% 23% 15% Promoter Group FIIs and FPIs Mutual Funds Others 31
Slide 44: Board of Directors
Board of Directors Lakshmi Dr. Venkatesh Pavitra Shankar M. R. Jaishankar Aroon Raman Venkatchalam Panchapagesan Chairman and Managing Director Independent Director Independent Director Independent Director Executive Director • Masters in Business Administration • MBA from Wharton School, • MBA from
Slide 45: Ongoing Residential Projects
Ongoing Residential Projects Artists Impression of Brigade WTC Residences, Chennai Artist’s impression of Brigade Orchards - Kino, Bangalore 33
Slide 46: Ongoing Commercial Projects
Ongoing Commercial Projects Artist’s impression of Brigade Senate, Bangalore Artist’s impression of Brigade Deccan Heights, Bangalore 34
Slide 47: Completed Commercial Projects
Completed Commercial Projects Brigade Tech Gardens, Bangalore Brigade Signature Towers, Bangalore 35
Slide 48: Thank you
Email:investors@brigadegroup.com Brigade Enterprises Limited 29th & 30th Floor, World Trade Center Brigade Gateway Campus, Dr Rajkumar Road, Malleswaram-Rajajinagar, Bangalore 560055 Thank you Disclaimer: The information in this presentation contains certain forward-looking statements. These include
Slide 49: Press Release
PRESS RELEASE BRIGADE RECORDS 92% GROWTH (YoY) IN Sales IN Q1 FY 2022, Credit Rating upgraded to At Bengaluru, August 5, 2021; Brigade Enterprises Ltd reported a 92% growth in new sales for its Real Estate business with a total value of Rs 480 crores in Q1 of FY 2022 as against Q1 of FY 2021. The co
Slide 50: Press Release: Lease Rental and Hospitality
Lease Rental The office segment of the commercial business of Brigade remains stable and positive with around 99% collections; overall, there was increased momentum in terms of leasing enquiries, RFP releases and site inspections. Retail malls were impacted because of the lockdown during the 2nd wav