Brigade Enterprises Limited · NSE:BRIGADE
Brigade Enterprises — H1 FY22 Earnings Presentation
54 slides from Brigade Enterprises's earnings presentation, Nov 11, 2021
Slide 1: Board Meeting Decisions 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 BRIGADE T: +91 80 4137 9200 E: enquiry@brigadegroup.com
Slide 2: Cover letter continuation
Cc BRIGADE Building Positive Experiences The trading window of the Company was closed from 1* October 2021 and shall open on 147» November 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, Company Secr
Slide 3: Independent Auditor's Review Report (Consolidated)
S.R. BATLIBOI & ASsOcIATES LLP Gucny Canberrs BOCK Chartered Accountants No. 24, Vittal Mallya Road Bengaluru - 560 001, India Tel : +91 80 6648 9000 Independent Auditor’s Review Report on the Quarterly and Year to Date Unaudited Consolidated Financial Results of the Company Pursuant to the Regulati
Slide 4: Auditor's Review Report (Consolidated), continued
S.R. BATLIBOI& ASSOCIATES LLP Chartered Accountants i) 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 t
Slide 5: Consolidated statement of profit and loss
Corporate Identity Number ( Regd, Office: 26/1, 29th & 30th Fl Phone: +91-80-41379200, 2221 7017-18 (CIN): L851 10KA199SPLC019126, , World Trade Center, Dr Rajkumar Road, Malloswaram-Rajajinagar, Bangalore 560 055 Fax+91-80-2221 0784 Email: enquiryd@brigadegroup.com — Website: www-brigadegroup.com l
Slide 6: Consolidated Balance Sheet
B. Balance Sheet (Rs. In Jakhs) ‘As at 30.09.2021] As at 31.03.2001 Particulars [Unaudited] [Audited} A JASSETS 1 |Non-Current Assets (a) Property, plant and equipment 95,502 99,381 (b) Capital work in progress 50,182 49,491 (c) Investment property 400,968 400,341 {(d) Goodwill on consolidation 430
Slide 7: Consolidated Statement of Cash flows
C, Statement of Cash flows (Rs. In jakhs) Particulars ‘Six months |” Six months ended ended 30.09.2021 | 30,09,2020 wu [Unaudived) [Cash flows from operating activities Profit before tax (9,71)] (12,498) Adjustments: Depreciation and amortization expense 17,265 11173 Finance cost 22,596 17,125 Inter
Slide 8: Notes: segment-wise revenue and results
‘Notes: 1 ae The above consolidated financial results of Brigade Enterprises Limited (‘the *) and its, s (together referred to as “the Group") wd its associates have been reviewed by the Audit Committee on November 10, 2021 and approve: carried out limited review of the above results. Details of seg
Slide 9: Notes to consolidated results
Notes; ‘+ In accordance with the indian Accounting Standard (IND AS)- 33 Eamings Per Share, specified under Section 133 of the Companies Act, 2013, read with relevant rules issued thereunder, ‘he impact of employee stock options which are ant diloive im nature, bave been ignored in the computation o
Slide 10: Independent Auditor's Review Report (Standalone)
S.R. BATLIBOI & ASSOCIATES LLP Chartered Accountants 12th Floo “UB City” Canberra Block 4, Vittal Mallya Road \galuru - 560 001, India Tel : +91 80 6648 9000 Independent Auditor’s Review Report on the Quarterly and Year to Date Unaudited Standalone Financial Results of the Company Pursuant to the Re
Slide 11: Auditor's Review Report (Standalone), 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 assets of Rs 2,340 lakhs as
Slide 12: Standalone statement of profit and loss
Corporate Identity Number (CIN): L85110KA199SPLC019126 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, 2221 7017-18 Fax:+91-80-2221 0784 BRIGADE Email: enquiry@brigadegroup.com — W
Slide 13: Standalone Balance Sheet
B, Balance Sheet (Rs. in lakhs) As at As at Particulars 30.09.2021 31.03.2021 [Unaudited] [Audited] IA |ASSETS 1 |Non-Current Assets (a) Property, plant and equipment 2,132 2,362 (b) Capital work in progress 407 398 (c) Investment property 142,627 136,031 (a) Other Intangible assets i 127 \(c) Finan
Slide 14: Standalone cash flow statement
P ciara pis fide catalase é seit (Rs. In lakhs) Particulars Six months [Six months ended ended 30.09.2021 | 30.09.2020 (Unaudited) [Unaudited) Cash flows from operating activities Profit before tax 14,079 2,595 Adjustments: Depreciation and amortization expense 4,232 4,076 Finance cost 1,563 10,161
Slide 15: Standalone notes and segment results
Notes: 1 The above standalone financial results of Brigade Enterprises Limited (‘the Company’) have been reviewed by the Audit Committee on November 10, 2021 and approved by the Board of Directors of the Company on November 11, 2021 at their Tespective meetings. ‘The statutory auditors have carried
Slide 16: Standalone notes
During the quarter ended September 30, 2021, the paid-up equity share capital of the Company has increased from Rs.22,962 lakhs to Rs, 22,985 lakhs pursuant to allotment of 231,209 equity shares on exercise of stock options by employees The outbreak of Covid-19 pandemic globally and in India has cau
Slide 17: Brigade Enterprises Limited – H1 FY22
Brigade Tech Gardens, Bengaluru World Trade Center, Chennai BRIGADE ENTERPRISES LIMITED Investor Presentation – H1 FY22 (CIN: L85110KA1995PLC019126) 1
Slide 18: 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 35 years of experience • Reputation of developing Grade A properties • Business Portfolio of Residential, Lease Rentals and Hospitality projects • Consistent EBITDA ma
Slide 19: Segments highlights and share of business by revenue
Segments highlights and share of business by revenue Real Estate – On Sale Basis • Achieved sale value of INR 8,306 Mn during Q2 FY22, a 73% increase from INR 4,800 Mn in Q1 Revenue Share % FY22 • Sales volume was ~1.31 Mn sft in Q2 FY22, a 72% increase from 0.76 Mn sft in Q1 FY22 • Average realizat
Slide 20: Summary: Ongoing Projects
Summary: Ongoing Projects Area in Mn sft Projects Project Area Co Share LO/JV share Total Project Area 7% Real Estate projects for sale 8.75 5.86 2.89 Real Estate Brigade Orchards * 0.54 0.27 0.27 Lease Rentals Brigade Cornerstone Utopia* 5.03 3.40 1.63 93% Brigade Residences at WTC Chennai* 0.57 0.
Slide 21: Contents
Contents 1 Real Estate performance remains resilient 2 Rental Portfolio remains stable 3 Hospitality showing strong signs of recovery 4 Financial Performance 5 Land bank 6 Projects launched and upcoming launches 5
Slide 22: Highlights: Real Estate - Q2 FY22
Highlights: Real Estate - Q2 FY22 • Achieved pre-sales of ~𝟏.31 Mn sft in Q2 FY22 • Real estate sale increased by 73% from Q1 FY22 by value • Average realization increased by 8% YoY to INR 6,322/sft in Q2 FY22 • Real estate debt reduced by INR 1,217 Mn during Q2 FY22 due to improved sales and…
Slide 23: Group Sales Snapshot
Group Sales Snapshot Q2 FY22 on Q2 FY22 on H1 FY22 on H1 Particulars Q2 FY22 Q1 FY22 Q2 FY21 H1 FY22 H1 FY21 Q1 FY22 Q2 FY21 FY21 Net Area Sales (‘000 sft) Residential 1,294 751 970 72% 33% 2,045 1,364 50% Commercial 19 14 18 36% 8% 33 45 (26%) Total 1,313 765 988 72% 33% 2,078 1,409 48% Net Sale Va
Slide 24: Quarterly Sales Performance – Real Estate
Quarterly Sales Performance – Real Estate Net Area Sales ('000 Sft) Net Sales Value (INR Mn) 1,661 10,176 1,533 9,232 1,313 8,306 988 5,760 765 4,800 421 2,499 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Pre-sales of ~1.31 Mn sft in Q2 FY22, regist
Slide 25: 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 16.68 1.11 0.52 0.70 19.01 Less: Landowner share 4.53 - - - 4.53 Company share of saleable area 12.15 1.11 0.52
Slide 26: Contents
Contents 1 Real Estate performance remains resilient 2 Rental Portfolio remains stable 3 Hospitality showing strong signs of recovery 4 Financial Performance 5 Land bank 6 Projects launched and upcoming launches 10
Slide 27: Our Leasing Portfolio: Operating Assets
Our Leasing Portfolio: Operating Assets Area in Mn sft Retail 1.14 0.17 Leased Out Hard Option Office 4.44 0.51 2.44 To Be Transacted Particulars Leasable Area Leased Hard Option To be transacted Brigade Tech Gardens 3.00 1.18 0.20 1.62 WTC Chennai 2.01 1.39 0.31 0.31 WTC Bengaluru 0.62 0.62 - - Bri
Slide 28: Capex Commitment
Capex Commitment (INR Mn) Project Estimated cost Incurred Balance^ Brigade Twin Towers 5,999 1,327 4,672 Total Commercial Lease 5,999 1,327 4,672 * Through SPV ^ As of September’21 Artist’s impression of Brigade Twin Towers Artist’s impressionofofWTC Artist’s WTC Chennai Artist’simpression impressio
Slide 29: Contents
Contents 1 Real Estate performance remains resilient 2 Rental Portfolio remains stable 3 Hospitality showing strong signs of recovery 4 Financial Performance 5 Land bank 6 Projects launched and upcoming launches 13
Slide 30: Hospitality showing strong signs of recovery
Hospitality showing strong signs of recovery • Occupancy was 45% in Q2 FY22 vs 23% in Q1 FY22 boosted primarily by leisure and resumption of corporate travel • ARR increased by 12% in Q2 FY22 from Q1 FY22; Company remains focused to improve ARR’s to pre-Covid levels Grand Mercure, Mysore Holiday Inn
Slide 31: Contents
Contents 1 Real Estate performance remains resilient 2 Rental Portfolio remains stable 3 Hospitality showing strong signs of recovery 4 Financial Performance 5 Land bank 6 Projects launched and upcoming launches 15
Slide 32: Consolidated Financials: Snapshot
Consolidated Financials: Snapshot (INR Mn) Q2 FY22 on Q2 FY22 on H1 FY22 on Particulars Q2 FY22 Q1 FY22 Q2 FY21 H1 FY22 H1 FY21 Q1 FY22 Q2 FY21 H1 FY21 Revenue 7,761 3,915 3,221 98% 141% 11,676 5,359 118% EBITDA 2,157 1,200 986 80% 119% 3,357 1,565 115% Finance costs 1,128 1,132 821 - 37% 2,259 1,71
Slide 33: Business Segment Performance: H1 FY22
Business Segment Performance: H1 FY22 (INR Mn) Particulars Real Estate Hospitality Lease Rental Total % of Revenue Revenue 8,579 613 2,484 11,676 100% Direct Expenses 5,863 76 29 5,968 51% Admin Expenses 396 266 422 1,084 9% Selling Cost 295 28 44 367 3% Employee cost 536 198 166 900 8% EBITDA 1,489
Slide 34: Consolidated Cash Flows
Consolidated Cash Flows (INR Mn) Particulars Q2 FY22 Q1 FY22 H1 FY22 H1 FY21 Operating Activities Total Collections 9,369 7,172 16,541 9,116 Direct Cost/Construction Cost (3,712) (3,488) (7,200) (4,004) Landowner Payments (939) (619) (1,558) (711) Employee and Admin Expenses (1,059) (738) (1797) (89
Slide 35: Capital Allocation: Segment-wise as of 30th Sept 2021
Capital Allocation: Segment-wise as of 30th Sept 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) 12% (OCE) 31% Real Estate 20,337 3,451 23,788 0.17 14% 23,788 15% Hospitality 2,824 6,100 8,924
Slide 36: Consolidated Debt Profile
Consolidated Debt Profile (INR Mn) Particulars September-21 June-21 March-21 Real Estate 3,451 4,668 4,973 Hospitality 6,100 5,575 5,858 GOP Securitised 5,015 4,686 4,587 Capex 1,085 889 1,271 Leasing 31,725 31,964 32,165 Securitised Lease Rental 23,564* 22,441 21,052 Capex 8,161 9,523 11,113 Less:
Slide 37: Debt Profile & Cost of Borrowing
Debt Profile & Cost of Borrowing Segment Wise Debt (INR Mn) Net Debt to Equity and Avg. Cost of Borrowing 3% 12% 9.63% 9.57% 8.40% 7.92% 8% Gross Debt – 41,276 Mn 57% 1.17 1.15 20% 1.05 0.83 Commercial - LRD Commercial - CAPEX Real Estate - CF FY 19 FY 20 FY 21 Q2 FY22 Hospitality - LRD Hospitality
Slide 38: Standalone Financial Statement
Standalone Financial Statement (INR Mn) Q2 FY22 on Q2 FY22 on H1 FY22 on H1 Particulars Q2 FY22 Q1 FY22 Q2 FY21 H1 FY22 H1 FY21 Q1 FY22 Q2 FY21 FY21 Turnover 6,046 2,670 2,598 126% 133% 8,716 4,406 98% EBITDA 1,685 902 1,020 87% 65% 2,587 1,683 54% Finance costs 362 394 515 (8%) (30%) 756 1,016 (26%
Slide 39: Contents
Contents 1 Real Estate performance remains resilient 2 Rental Portfolio remains stable 3 Hospitality showing strong signs of recovery 4 Financial Performance 5 Land bank 6 Projects launched and upcoming launches 23
Slide 40: Brigade's Land Bank
Brigade’s Land Bank Land Area (in acres) as on 30th September 21 14 2 1 15 Bangalore 18 Chennai 28 Kochi Mysore GIFT City Thiruvananthapuram Gujarat Hyderabad Hyderabad 233 Bengaluru Mysore Chennai Total Land Area Cost of Land Amount Paid Balance Payable Kochi (Acres) (INR Mn) (INR Mn) (INR Mn) Thir
Slide 41: Developable Area Details
Developable Area Details Product Land Area Project Area (Mn Sft) BEL Share (Mn Sft) Project Area: Location Residential 225.0 25.8 18.6 Commercial-Sale 11.7 1.2 0.7 3% 6% Commercial-Lease 53.3 6.8 6.2 9% Hotel 20.7 0.4 0.4 Total 310.7 34.2 25.9 Location Land Area Project Area (Mn Sft) BEL Share (Mn S
Slide 42: Contents
Contents 1 Real Estate performance remains resilient 2 Rental Portfolio remains stable 3 Hospitality showing strong signs of recovery 4 Financial Performance 5 Land bank 6 Projects launched and upcoming launches 26
Slide 43: Projects Launched: H1 FY22
Projects Launched: H1 FY22 Project Area BEL Economic Interest Project City Segment Quarter Launched (Mn Sft) (Mn Sft) Brigade El Dorado – K Block Bengaluru Residential 0.62 0.62 Q1 Brigade Xanadu Cluster 3 Chennai Residential 0.77 0.47 Q1 Brigade Gem Bengaluru Residential 0.18 0.14 Q2 Brigade Northr
Slide 44: Upcoming Launches
Upcoming Launches Segment Total Area (Mn sft) Brigade Economic Interest (Mn sft) Residential 2.18 1.25 Leasing 1.84 1.01 Total 4.02 2.26 laguna KH Ivory Artists Impression of Brigade Orchards – Ivory Block, Bengaluru Artist’s impression of Brigade Atmosphere-Phase 2, Bengaluru Artist’s impression of
Slide 45: Awards and Accolades – H1 FY22
Awards and Accolades – H1 FY22 ESG India Leadership Awards 2021 • Leadership in Green Product and Service, presented by Acuite and ESG Risk Investments and Mergers 16th Construction World Awards 2021 • 1st Place - India’s Top Builders category Great Place To Work • Brigade Group - Top 100 Companies
Slide 46: Shareholding Pattern – 30th September 2021
Shareholding Pattern – 30th September 2021 19% Promoter Group 44% FIIs and FPIs Mutual Funds 23% Others 14% 30
Slide 47: 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 48: Ongoing Residential Projects
Ongoing Residential Projects Artists impression of Brigade Cornerstone Utopia – Paradise Block, Bengaluru Artists impression of Brigade Woods, Bengaluru 32
Slide 49: Ongoing Residential Projects
Ongoing Residential Projects Brigade Seven Gardens , Bengaluru Artists impression of Brigade Sapphire, Bengaluru 33
Slide 50: Ongoing Commercial Projects
Ongoing Commercial Projects Artist’s impression of Brigade Triumph, Bengaluru Artist’s impression of Brigade Deccan Heights, Bengaluru 34
Slide 51: Completed Commercial Projects
Completed Commercial Projects World Trade Center, Chennai Brigade International Financial Centre, Gujarat 35
Slide 52: Thank you
Email:investors@brigadegroup.com Brigade Enterprises Limited 29th & 30th Floor, World Trade Center Brigade Gateway Campus, Dr Rajkumar Road, Malleswaram-Rajajinagar, Bengaluru 560055 Thank you Disclaimer: The information in this presentation contains certain forward-looking statements. These include
Slide 53: Press Release: Q2 FY22 sales value up 73%
PRESS RELEASE Q2 FY 2022: BRIGADE REGISTERS 73% INCREASE IN SALES VALUE FROM Qi FY22 Bengaluru, November 11, 2021: Brigade achieved Rs. 831 Crore in sales value in Q2 FY22, an increase of 73% over Q1 FY22, with net area sales of 1.3 Mn sft in Q2 FY22. The residential business, with contribution from
Slide 54: Other Highlights
Other Hi ighlights ESG India Leadership Award 2021 for Leadership in Green Product and Service presented by Acuite and ESG Risk Investments and Mergers Among the top 100 best places to work by the Great Place to Work Institute for 11 yearsina row ~ best in industry Brigade Hospitality Services Limit