Q3FY21 Result Update - Brigade Enterprises - ICICI Direct

Key highlight of Brigade Enterprises' (BEL) Q3FY21 result was life-time high sales volume of ~1.5 million square feet (msf) worth Rs. 923 crore, up 42% and 55% YoY, respectively, driven by strong traction of newly launched project in Hyderabad along with ongoing projects. On the financial numbers, reported revenues grew 16.7% YoY to Rs. 644.8 crore, on account of strong revenue recognition in the residential segment. Reported EBITDA margins were down 520 bps YoY to 23%. BEL reported a loss of Rs. 16.1 crore.

Valuation & Outlook

The strong recovery in the residential segment aided the overall cash generation and debt reduction by ~Rs. 141 crore in residential segment while commercial leasing pick-up could be gradual, going ahead. Furthermore, full reopening of the economy is likely to boost retail and hospitality segment in FY22. BEL has comfortable debt-equity and sufficient liquidity from operational commercial assets (and likely operational assets in FY22). We maintain BUY with an SoTP target price of Rs. 320/share (Rs. 240/share earlier).

For details, click on the link below: https://www.icicidirect.com/mailimages/IDirect_BrigadeEnt_Q3FY21.pdf

Shares of BRIGADE ENTERPRISES LTD. was last trading in BSE at Rs.285 as compared to the previous close of Rs. 270.2. The total number of shares traded during the day was 32891 in over 1002 trades.

The stock hit an intraday high of Rs. 292.15 and intraday low of 270. The net turnover during the day was Rs. 9351558.

Source : Equity Bulls

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