India's Brigade Enterprises posts three-fold surge in Q4 profit on strong real estate demand

Oberoi Realty

28/05/2024 14:12

May 28 (Reuters) - Indian real estate developer Brigade Enterprises  BRIG.NS  reported a nearly three-fold surge in
fourth-quarter profit on Tuesday, easily beating analysts' expectations, due to strong real estate demand.
    Its consolidated profit attributable to shareholders surged to 2.06 billion rupees ($24.8 million) in the quarter, from 692.5 million
rupees last year, which included a pandemic-related impairment loss of 170 million rupees.
    Analysts, on average, had estimated the company would post a profit of 970.6 million rupees, as per LSEG data.
    Brigade Enterprises' revenue surged two-fold to 17.02 billion rupees, it reported.
    
    KEY CONTEXT 
    The Indian real estate sector has been seeing growing demand for home ownership in the luxury segment despite higher property prices.
Nearly half of Brigade Enterprises' revenue comes from selling residential houses, mainly luxury and premium ones, with commercial and
office spaces accounting for the rest of its revenue.
    Rival Oberoi Realty  OEBO.NS  also beat profit estimates on strong demand for luxury projects.
    
    PEER COMPARISON
                                   Valuation (next     Estimates (next 12              Analysts' sentiment           
                                     12 months)             months)                                                  
                       RIC         PE      EV/EBIT  Revenue      Profit       Mean      # of      Stock to price     Div Yield (%)
                                           DA       growth (%)   growth (%)   rating*   analysts  target**           
 Brigade Enterprises    BRIG.NS     54.65    22.73     17.59        55.01     Buy             12        1.18         0.16
 DLF                    DLF.NS      59.39    72.47     19.87        25.26     Hold            15        0.96         0.48
 Sobha                  SOBH.NS     51.59    27.80     24.91       296.67     Hold            12        1.11         0.15
 Oberoi Realty          OEBO.NS     28.59    21.23     24.33        14.00     Hold            19        1.26         0.39
 * The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT
    
    JANUARY-MARCH STOCK PERFORMANCE  
    
    
-- All data from LSEG 
-- $1 = 83.1658 Indian rupees
    

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BRIGADE JAN-MARCH PERFORMANCE    https://tmsnrt.rs/3KhvFcG
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 (Reporting by Anisha Ajith in Bengaluru; Editing by Savio D'Souza)
 ((anisha.ajith@thomsonreuters.com;))