Brigade Enterprises - Continued Momentum Across Business Segments: ICICI Securities
We model for residential sales bookings of Rs 36.5 bn in FY23E, Rs 43.4 bn in FY24E, Rs 51.1 bn in FY25E.
BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
ICICI Securities Report
We expect Brigade Enterprises Ltd. to see continued traction across business segments over H2 FY23-FY25E. With another 13.2 million square feet of residential launches lined up mainly in Bengaluru (11.3 msf of apartments and 1.9 msf of plots), over H2 FY23 and FY24, we model for sales bookings of Rs 36.5 billion in FY23E, Rs 43.4 billion in FY24E and Rs 51.1 billion in FY25E.
Further, we expect Brigade Enterprises to clock 20% rental net operating income compound annual growth rate over FY22-25E to Rs 6.8 billion driven by incremental leasing in Tech Gardens, Bengaluru and World Trade Centre, Chennai.
With the Indian hotel industry seeing buoyant demand, we estimate the company to clock hotel Ebitda of Rs 1.2 billion in FY23E, Rs 1.5 billion in FY24E and Rs 1.6 billion in FY25E with the hotel portfolio capable of clocking Rs 1.8 billion of stabilised annual Ebitda beyond FY25E.
Key risks are weakness in office leasing and slowdown in residential demand.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.