Brigade Enterprises is back in the black with a consolidated net profit, attributable to shareholders, for the quarter ended September (Q2) at Rs 12 crore. The company had registered losses of Rs 40 crore and Rs 17 crore in the June quarter and year-ago period, respectively.
Revenue in Q2 grew 141 per cent to Rs 776 crore from Rs 322 crore in the corresponding quarter last year. Brigade saw Rs 831 crore in sales value in Q2, up 73 per cent year-on-year, with net area sales of 1.3 million sq ft. The residential business, with contributions from the Bengaluru, Chennai and Hyderabad markets, continued to drive the performance of the group.
The firm registered overall collections of Rs 937 crore in Q2. Furthermore, cash flows from operating activities for the quarter was Rs 213 crore, which is 37 per cent higher than the preceding quarter. In the office business, Brigade leased 170,000 square feet during Q2 with an active pipeline of 10 lakh square feet.
The overall sales of Brigade’s retail business recovered to 90 per cent of pre-Covid levels in the quarter. Its hospitality portfolio occupancies improved to 45 per cent in Q2 from 23 per cent in Q1. The company has also reduced its average cost of borrowing to an all-time low of 7.92 per cent.
M R Jaishankar, chairman and MD of Brigade, said: “Led by strong sales and significant growth in our residential business, we have had another strong quarter as the pandemic wanes. We have a strong pipeline of residential projects that will help continue the momentum.”
“There are promising signs of revival in our office business, supported by increased enquiries, physical site inspections and closures. At present, our high probability pipeline constituting large, medium, and small tenant enquiries is in Brigade Tech Gardens, Bengaluru; World Trade Center, Chennai and Brigade International Financial Centre, GIFT City, Gujarat,” he added.