Brigade Enterprises Limited · NSE:BRIGADE
Brigade Enterprises — FY2021 Earnings Presentation
37 slides from Brigade Enterprises's earnings presentation, May 18, 2021
Slide 1: Brigade Enterprises Limited Investor Presentation - FY21
Brigade Tech Gardens, Bangalore Brigade El Dorado, Bangalore BRIGADE ENTERPRISES LIMITED Investor Presentation - FY 21 (CIN: L85110KA1995PLC019126) 1
Slide 2: 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 3: Segments highlights and share of business by revenue
Segments highlights and share of business by revenue Real Estate – On Sale Basis • Achieved sales value is INR 27,667 Mn during FY21, an 16% increase from INR 23,768 Mn in FY 20 Revenue Share % • Corresponding sales volume stood at ~4.60 Mn sft in FY21, an 8% increase from 4.26 Mn sft in FY 20 6% •
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 8.45 5.81 2.64 8% Brigade Orchards * 1.82 0.91 0.91 Real Estate Brigade Cornerstone Utopia* 4.89 3.25 1.64 Lease Rentals Brigade Residences at WTC Chennai* 0.57 0.2
Slide 5: Contents
Contents 1 Real estate sales and collections at all time high 2 Stable rental portfolio 3 Hospitality – Improvement in Q4 but impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 5
Slide 6: Highlights: Real Estate - Q4 FY21
Highlights: Real Estate - Q4 FY21 • Achieved all time high pre-sales of ~1.66 Mn sft in Q4 FY21 and 4.60 Mn sft in FY21. CAGR for last 3 years stands at 43% • Real estate sale increased by 58% from Q4 FY20 by sale value • Average selling price at INR 6,128 per sft in Q4 FY21 • Sales realization incr
Slide 7: Sales Performance – Real Estate (Annual)
Sales Performance – Real Estate (Annual) Sales Area ('000 Sq Ft) Sales Value (INR Mn) 27,667 23,768 4,602 4,265 16,440 2,965 8,964 1,566 FY 18 FY 19 FY 20 FY 21 FY 18 FY 19 FY 20 FY 21 Achieved all time high pre-sales of ~4.6 Mn sft in FY 21 despite business being significantly affected by COVID-19
Slide 8: Group Sales Snapshot
Group Sales Snapshot Twelve Months Quarterly FY 21 on Q4 FY21 on Q4 FY21 on Particulars FY 21 FY 20 Q4 FY21 Q3 FY21 Q4 FY20 FY 20 Q3 FY21 Q4 FY20 Area Sales (‘000 sft) Residential 4,470 3,976 12% 1,628 1,478 944 10% 72% Commercial 133 289 (54%) 33 55 110 (41%) (70%) Total 4,602 4,265 8% 1,660 1,533
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 15.62 2.39 0.95 0.18 19.13 Less: Landowner share 4.28 - - - 4.28 Company share of saleable area 11.34 2.39 0.9
Slide 10: Contents
Contents 1 Real estate sales and collections at all time high 2 Stable rental portfolio 3 Hospitality – Improvement in Q4 but impacted by 2nd wave 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 1.11 0.20 Leased Out Hard Option Office 4.03 0.61 2.60 To Be Transacted Particulars Leasable Area Leased Hard Option To be transacted Brigade Tech Gardens 3.00 1.05 0.30 1.65 WTC Chennai 2.01 1.39 0.31 0.31 WTC Bangalore 0.62 0.61 - 0.01
Slide 12: Our Pre-Leasing Portfolio
Our Pre - Leasing Portfolio: Area in Mn sft Particulars Leasable Area Leased To be Leased Brigade Southfield 0.35 0.35 - Total 0.35 0.35 - Artist’s impression of Brigade Southfield 12
Slide 13: Capex Commitment
Capex Commitment Commercial Lease (INR Mn) Estimated cost Incurred Balance^ Brigade Southfield 1,144 824 320 Brigade Twin Towers 5,999 1,092 4,907 Total Commercial Lease 7,143 1,916 5,227 Hospitality Projects Estimated cost Incurred Balance^ Planned No. of Keys Ibis Style Mysore* 730 206 524 151 Tot
Slide 14: Contents
Contents 1 Real estate sales and collections at all time high 2 Stable rental portfolio 3 Hospitality – Improvement in Q4 but impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 14
Slide 15: Hospitality – Improvement in Q4 but impacted by 2nd wave
Hospitality – Improvement in Q4 but impacted by 2nd wave • Occupancy improved to 43% in Q4FY21 vs 27% last quarter however ARRs continued to be under pressure having reached 60% of pre-Covid levels • GOP of INR 73 Mn recorded in this quarter. GOP Margin stood at 22% vis-à-vis 16% last quarter • F&B
Slide 16: Hospitality Business Performance: Quarterly trends
Hospitality Business Performance : Quarterly trends Portfolio Occupancy rate % Portfolio GOP (INR Mn) & GOP Margin % 43% 27% 73 15% 11% 41 16% 22% Q1 FY 21 Q2 FY 21 Q3 FY 21 Q4 FY 21 Portfolio ARR (INR) (45%) 3,097 3,085 2,921 2,874 (139%) (55) (84) Q1 FY 21 Q2 FY 21 Q3 FY 21 Q4 FY 21 Q1 FY 21 Q2 FY
Slide 17: Contents
Contents 1 Real estate sales and collections at all time high 2 Stable rental portfolio 3 Hospitality – Improvement in Q4 but impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 17
Slide 18: Consolidated Financials: Snapshot
Consolidated Financials: Snapshot (INR Mn) Q4 FY21 on Q4 FY21 on FY 21 on Particulars Q4 FY21 Q3 FY21 Q4 FY20 FY 21 FY 20 Q3 FY21 Q4 FY20 FY 20 Revenue 8,209 6,537 6,443 26% 27% 20,104 26,816 (25%) EBITDA 2,183 1,575 1,435 39% 52% 5,323 7,126 (25%) Finance costs 900 856 805 5% 12% 3,468 3,403 2% Pro
Slide 19: Business Segment Performance: FY21
Business Segment Performance: FY 21 (INR Mn) Particulars Real Estate Hospitality Lease Rental Total % of Revenue Revenue 15,255 1,137 3,712 20,104 100% as % of Total 76% 6% 18% 100% Direct Expenses 10,736 140 69 10,945 54% Admin Expenses 684 510 682 1,876 9% Selling Cost 310 34 108 452 2% Employee c
Slide 20: Consolidated Cash Flows
Consolidated Cash Flows (INR Mn) Q4 FY 21 Q3 FY 21 Q2 FY 21 Q1 FY 21 FY 21 FY 20 Operating Activities Total Collections 11,184 6,819 5,359 3,757 27,119 25,385 Direct Cost/Construction Cost (4,452) (2,676) (2,145) (1,859) (11,132) (12,784) Landowner Payments (618) (524) (353) (358) (1,853) (1,288) Em
Slide 21: Capital Allocation: Segment-wise as of 31st March 2021
Capital Allocation: Segment-wise as of 31st March 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) 13% (OCE) 32% Real Estate 18,794 4,973 23,767 0.26 8% 23,767 11% Hospitality 3,459 5,858 9,317
Slide 22: Consolidated Debt Profile
Consolidated Debt Profile (INR Mn) Particulars March-21 As on Dec-20 As on March-20 Real Estate 4,973 6,084 6,919 Hospitality 5,858 5,738 5,391 GOP Securitised 4,587 4,257 4,172 Capex 1,271 1,481 1,219 Leasing 32,165 31,169 27,246 Securitised Lease Rental 21,052 17,193 12,677 Capex 11,113 13,976 14,
Slide 23: Debt Profile & Cost of Borrowing
Debt Profile & Cost of Borrowing Segment wise debt Reduction in Average Cost of Borrowing 3% 2% 10% 9.57% 9.56% 9.23% 9.00% 12% 8.40% 40% 7.75% Net Debt – 7.00% 7.00% 7.00% 7.00% 35,736 Mn 33% Commercial - LRD Commercial - CAPEX Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Residential - CF Hospitality - LRD H
Slide 24: Standalone Financial Statements
Standalone Financial Statements (INR Mn) Q4 FY21 on Q4 FY21 on FY 21 on Particulars Q4 FY21 Q3 FY21 Q4 FY20 FY 21 FY 20 Q3 FY21 Q4 FY20 FY 20 Turnover 6,448 5,515 4,781 17% 35% 16,369 19,935 (18%) EBITDA 1,957 1,514 1,366 29% 43% 5,154 6,349 (19%) Finance costs 454 506 484 (10%) (6%) 1,976 2,005 (1%
Slide 25: Contents
Contents 1 Real estate sales and collections at all time high 2 Stable rental portfolio 3 Hospitality – Improvement in Q4 but impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 25
Slide 26: Brigade's Land Bank
Brigade’s Land Bank Land Area (in acres) as on 31st March 21 14 2 1 15 19 Bangalore Chennai 41 Kochi Mysore GIFT City Thiruvananthapuram Gujarat 243 Hyderabad Hyderabad Bengaluru Mysore Chennai Total Land Area Cost of Land Amount Paid Balance Payable Kochi (Acres) (INR Mn) (INR Mn) (INR Mn) Thiruvan
Slide 27: Developable Area Details
Developable Area Details Product Land Area Project Area (Mn Sft) BEL Share (Mn Sft) Project Area: Location Residential 249 27.8 20.1 3% 6% Commercial-Sale 12 1.2 0.7 Commercial-Lease 53 6.9 6.3 11% Hotel 21 0.4 0.4 Total 335 36.3 27.5 Location Land Area Project Area (Mn Sft) BEL Share (Mn Sft) Banga
Slide 28: Contents
Contents 1 Real estate sales and collections at all time high 2 Stable rental portfolio 3 Hospitality – Improvement in Q4 but impacted by 2nd wave 4 Financial Performance 5 Land Bank 6 Projects Launched and Upcoming Launches 28
Slide 29: Projects Launched: FY21
Projects Launched: FY 21 Project Product City Project Area (Mn sft) Quarter Launched 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 Bloc
Slide 30: Upcoming Launches
Upcoming Launches Segment Total Area (Mn sft) Brigade Economic Interest (Mn sft) Residential 1.43 0.91 Leasing 1.84 1.01 Total 3.27 1.92 Artist’sArtist’s impression of Brigade impression Gem Gem of Brigade Artist’s impression of ofBrigade Artist’s impression El Dorado Brigade Cornerstone Utopia 30
Slide 31: Awards and Accolades
Awards and Accolades CNN News 18 - Real Estate & Business Excellence Awards 2021 • M R Jaishankar (CMD) – Lifetime Achievement of the Year in Real Estate 12th Realty Conclave & Excellence Awards • Brigade Group – Developer of the Year (Residential) • Brigade Tech Gardens – Commercial Project of the
Slide 32: Shareholding Pattern – March 31st 2021
Shareholding Pattern – March 31st 2021 20% 48% 19% 13% Promoter Group FIIs and FPIs Mutual Funds Others 32
Slide 33: 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 34: Ongoing Residential Projects
Ongoing Residential Projects Artist’s impression of Brigade WTC Residences, Chennai Artist’s impression of Brigade Xanadu 34
Slide 35: Ongoing Commercial Projects
Ongoing Commercial Projects Artist’s impression of Brigade Triumph Artist’s impression of Brigade Deccan Heights 35
Slide 36: Completed Projects
Completed Projects Brigade Signature Towers Brigade Brigade Tech Gardens, Opus Bangalore 36
Slide 37: 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