Brigade Enterprises Ltd. share price target

Q3FY23 saw BRGD clocking sales bookings of 1.5msf worth Rs10.1bn (up 27% QoQ, I sec estimate of Rs8.5bn) and for 9MFY23, the company has achieved sales worth Rs26.2bn (up 31% YTD). With another 9msf of residential launches lined up over the next 12 months of which 2.5msf is expected in Q4FY23, we model for sales bookings of Rs38.8bn in FY23E, Rs43.3bn in FY24E and Rs51.1bn in FY25E.

Growth momentum continues with in line margin

We expect Brigade Enterprises (BRGD) to see continued traction across business segments over H2FY23-FY25E. With another 13.2msf of residential launches lined
up mainly in Bengaluru (11.3msf of apartments and 1.9msf of plots), over H2FY23 and FY24, we model for sales bookings of Rs36.5bn in FY23E, Rs43.4bn in FY24E and Rs51.1bn in FY25E.

Strong performance led by hospitality

Brigade Enterprises’ (BRGD) saw traction across business segments in Q2FY23 with residential sales bookings of Rs8.0bn (flattish QoQ), while the rental business has seen 0.7msf of new leasing in H1FY23.

FY22 was another challenging year for Brigade Enterprises’ (BRGD) with Covid impacting the leasing and hospitality segments in H1FY22.

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