Brigade Group Records Strong Financial Performance In Q3 FY24

Brigade Group, a leading real estate developer, has reported robust financial results for the third quarter of the fiscal year 2024 (Q3 FY24), showcasing significant growth across its business verticals.

The company announced a total revenue of Rs 1,208 Crores and a Profit After Tax (PAT) of Rs 56 Crores for Q3 FY24. Notably, the real estate segment witnessed net bookings of 1.7 million square feet (sft), amounting to a sale value of Rs 1,524 Crores. Collections for the quarter stood at Rs 1,394 Crores.

Pavitra Shankar, Managing Director of Brigade Enterprises, expressed satisfaction with the company's performance, stating, "We have witnessed healthy growth across our business verticals. The momentum in the Residential business continues to exhibit healthy growth both in terms of pricing as well as volume and continues to look positive with a strong pipeline of launches for Q4 FY24. Our Office segment recorded the best leasing quarter post-COVID, and we are hopeful of finishing the financial year stronger. Furthermore, our Retail business has seen good leasing traction, and Hospitality has seen improvements across the board."

The company outlined its future plans, indicating that the Residential segment would witness launches of approximately 10.8 million sft with an estimated gross development value of around Rs 10,000 Crores in the next four quarters. 

Additionally, about 5 million sft of Office and Retail projects are planned to be launched during the same period, with an estimated annualised exit rental of Rs 500 Crores. The Hospitality segment aims to commence construction of about 1,000 rooms across four projects in the next year.

Real Estate

In the Real Estate segment, Brigade Group achieved its strongest performance ever for the third quarter of a financial year, boasting sales of 1.7 million square feet (sft), valued at Rs 1,524 Crores. 

This impressive figure reflects a substantial growth trajectory, with revenue for the quarter standing at Rs 839 Crores, marking a remarkable 50 per cent increase compared to the same period in the previous fiscal year. 

The segment also reported a robust EBITDA of Rs 73 Crores for the quarter, underscoring the company's strategic initiatives and operational efficiency in driving profitability and growth within the real estate sector.

Leasing

In the leasing segment, Brigade Group reported significant achievements for Q3 FY24, leasing 0.49 million square feet (sft), including hard options, and achieving an impressive 95 per cent occupancy rate across its overall portfolio. 

This accomplishment underscores the company's strong market presence and appeal to tenants. Revenue for the quarter in the leasing segment reached Rs 247 Crores, demonstrating a robust growth of 24 per cent compared to the corresponding period in the previous fiscal year. Moreover, the segment recorded a notable EBITDA of Rs 179 Crores, reflecting sound financial performance and operational efficiency in the leasing business.

Hospitality

In Q3 FY24, Brigade Group's hospitality segment witnessed a remarkable surge in revenues, achieving a growth of 22 per cent to reach Rs 123 Crores. This substantial increase reflects the effectiveness of the company's strategies and the resilience of the hospitality sector amidst evolving market conditions. 

Additionally, the average room rate (ARR) experienced a notable uptick of 7 per cent, indicative of improved pricing dynamics and enhanced value proposition for guests. Moreover, occupancy levels showed a commendable rise of 5% compared to Q3 FY23, underlining the segment's ability to attract and accommodate guests effectively. 

With an EBITDA of Rs 45 Crores, the hospitality segment demonstrated sound operational performance and profitability during the quarter, reaffirming its importance within Brigade Group's diversified portfolio.

In Q3 FY24, Brigade Group delivered robust consolidated financial performance, demonstrating substantial growth across key metrics. Revenue surged by an impressive 41 per cent to reach Rs 1,208 Crores compared to the same period in the previous fiscal year, reflecting the company's ability to capitalise on market opportunities and execute its business strategies effectively. 

EBITDA witnessed significant growth, increasing by 20 per cent to Rs 296 Crores, indicative of enhanced operational efficiency and profitability across the organisation. 

Moreover, the Profit After Tax (PAT) stood at Rs 56 Crores, marking a notable 31 per cent increase over Q3 FY23, highlighting the company's strong bottom-line performance and financial resilience. 

Brigade Group's stellar financial results underscore its strategic focus, robust business model, and adaptability to changing market dynamics, positioning it as a leading player in the real estate sector.