Brigade Q4 net drops 63% to Rs 27.3 crore

Brigade Enterprises has reported 63% decline in net profit after minority interest and before exceptional items at Rs 27.3 crore for the fourth quarter ended March 2018 compared with Rs 74.1 crore reported during the corresponding quarter last year.

The turnover of the Bengaluru-based real estate major has also declined 20% to touch Rs 4,477 crore compared with Rs 5,607 crore during the fourth quarter. However, the full year profit has gone up 9% to Rs 180 crore compared with Rs 165 crore in the previous year. The consolidated revenues for the year ended March 2018 stood at Rs 1,946 crore as against Rs 2,058 crore, a decline of 5.4% year-on-year.

The board of directors has recommended a dividend of Rs 2 per equity share (20%). During the year 2017-18, Brigade Group sold 1.6 million sq feet of real estate space aggregating to Rs 896 crore with an average realisation rate of Rs 5,721 per sq feet. The lease rental segment has contributed Rs 286 crore to the topline of the company in FY18 as against Rs 265 crore for FY17, showing a growth of 8%. About 6.7 million sq feet of commercial and retail lease space is currently under construction.

The group's hospitality segment revenues for the financial year stood at Rs 237 crore. The group has five operating hotels with 978 keys as on March 31, 2018, the company said in a statement.

"The financial year 2018 has been a challenging year in the light of recent policy changes like Real Estate Regulation Act and Goods and Services Tax Act in the real estate industry. We are optimistic on the future given our existing pipeline of projects across various segments such as real estate, commercial leasing and hospitality," M R Jaishankar, Chairman and Managing Director, Brigade Enterprises said.