Brigade Enterprises (532929) Q1 26/27 earnings summary

Executive summary

• Q1 FY27 consolidated revenue was INR 1,179 crores, down 12% YoY, with PAT rising 37% YoY to INR 217 crores and EBITDA at INR 425 crores; realization per sq ft rose 21% to INR 14,256, driven by pricing discipline and higher-value homes.

• Residential sales declined 6% YoY to INR 1,061 crores, while leasing revenue grew 9% YoY to INR 328 crores and hospitality revenue increased to INR 144 crores.

• Collections totaled INR 1,856 crores, a 7% YoY increase.

• The relaunch of Brigade Morgan Heights was delayed due to environmental clearance issues; affected buyers were refunded and legal proceedings are ongoing.

• Exceptional gain of INR 36.6 crores at PAT level due to subsidiary investment reclassification and Bain Capital investment.

Financial highlights

• EBITDA margin improved to 36% from 28% YoY, and PAT margin increased to 18% from 12% YoY.

• Real estate segment revenue was INR 707 crores, EBITDA INR 150 crores (45% YoY increase), margin at 21%; leasing segment revenue INR 328 crores, EBITDA INR 230 crores, margin at 70%; hospitality segment revenue INR 144 crores, EBITDA INR 45 crores.

• Net cash flow from operating activities at INR 354 crores (10% YoY growth); net cash outflow for the period was INR 282 crores due to investment and financing activities.

• Exceptional items of INR 43 crores impacted PBT, which rose 47% YoY to INR 285 crores.

• Basic and diluted EPS (consolidated) for Q1 FY27: ₹6.14, adjusted for bonus issue.

Outlook and guidance

• FY27 pre-sales guidance maintained at INR 9,000 crores, with launches expected to be back-ended; launch pipeline for next four quarters is 16.4 million sq ft (12.4 million residential, 4 million commercial), GDV of INR 13,400 crores.

• 9.36 million sq ft of launches targeted for the remainder of FY27, with 3 million sq ft rolling into Q1 FY28.

• Hospitality portfolio expansion with ~1,700 keys in the pipeline.

• Continued focus on geographic diversification, especially in Chennai and Hyderabad.

• Sales velocity expected to accelerate from Q2 onwards as launches ramp up.