Knowledge Realty (KRT) investor relations material

Executive summary

• Q1 FY27 revenue was ₹12,430.56M and NOI ₹11,117M, each up 15% YoY; committed occupancy reached 93%, with WALE of 7.9 years.

• Gross leasing totaled 1.4 msf, including 0.7 msf of new leases and 0.7 msf of renewals; average leasing spread was 31%.

• Distribution was ₹1.695 per unit, totaling ₹7,516.31M, up 5% QoQ; 84% was tax-efficient.

Financial highlights

• EBITDA was ₹10,720.73M, up 13% YoY; net profit was ₹2,507.96M, compared with ₹1,073.69M in the previous quarter.

• Trust-level NDCF was ₹7,519.85M; operating margin was 89.43% and earnings per unit was ₹0.57.

• 84% of Q1 distributions were tax-efficient; ~80% is expected to remain tax-efficient in FY27, ±1%, with dividends above 50%.

Outlook and guidance

• Management expects occupancy to reach 94%-95% by FY27-end, noting this is not official guidance; DPU is expected to remain on track with RHP numbers, without formal guidance.

• NOI accretion is expected over the next three years from lease-up, developments and mark-to-market realization; portfolio MTM potential is 25%.

• Drivers include rent escalations, occupancy gains, developments, ROFO assets and potential acquisitions; acquisitions are expected within 12-24 months.

• Economic occupancy was 87% at quarter-end and 88% currently; phased tenant take-up is expected to narrow its gap with committed occupancy to ~3% by Q4.

• Ongoing developments of 1.2 msf are expected to go live in FY27.