Note: This is a preliminary transcript and may contain inaccuracies. It will be updated with a final, fully-reviewed version soon.
Brigade Enterprises Limited (NSE: BRIGADE) Q4 2026 Earnings Call dated May. 07, 2026
Corporate Participants:
Pavitra Shankar — Managing Director
Yogesh Patel — Chief Financial Officer
Pradyumna Krishna Kumar — Executive Director
Analysts:
Aditya Chaturvedi — Analyst
Karan Khanna — Analyst
Girish Choudhary — Analyst
Parvez Qazi — Analyst
Pritesh Sheth — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to the Q4FY26 earnings conference call of Brigade Enterprises Limited. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing 10. 0 on your touchstone. I now hand the conference over to Ms. Pavitra Shankar, managing director of
Pavitra Shankar — Managing Director
Brigitte Enterprises Limited. Thank you. And over to you, ma’. Am.
Operator
Thank you. Good afternoon everyone and thank you for joining us. For Brigade Enterprises Limited’s Q4FY26 earnings call, I am joined by the management of Brigade Group. Our Chairman Mr. Mr. Jaishankar. Joint Managing Director Ms. Nirupa Shankar, Executive Directors Mr. Roshan Matthew, Mr. Amar, Mysore and Mr. Pradyumna Krishna Kumar. And our CFO Yogesh Patel. FY26 has been marked by steady operating performance for Brigade with demand conditions across our core markets remaining supportive. I will take a few more minutes today to share a more detailed perspective before handing it over to our CFO for the financial details.
The residential sector for our key markets of Bangalore, Chennai and Hyderabad grew 6% year on year in calendar year 2025, increasing their share from 32% to 37% across the top seven cities in India. For Brigade, FY26 pre sales was rupees 7424 crores which is 5% lower than FY25. This was primarily on account of delays in obtaining approval with many project launches pushed to the latter half of Q4 and some moving into FY27. New launches contributed to 43% of full year presales despite being concentrated in the back end of the year.
Specifically for Q4, we launched 4 million square feet which resulted in presales of rupees 2,521 crores. A Q on queue increase of 44% by value. Successful launches in Q4 include Brigade Lumina which was almost fully sold out. Brigade Belvedere Phase 1 boats in Bengaluru, Brigade Stellaris in Chennai and Brigade Manor and Enclave in Hyderabad. We ended the year with 8.3 million square feet of new launches in FY26 versus a plan of 12 million square feet around square feet that got pushed into FY27 was in Chennai including the second phase of 1 million square feet in Brigade Morgan Heights.
Sustenance sales contributed 57% for the year but was also impacted by a regulatory issue. Port launch in Brigade Morgan Heights CH Chennai requiring a pause on sales of Phase one. While this issue was disposed by Madras High Court in favor of Brigade in February itself, we chose to wait until Q1FY27 and after state elections were concluded in order to resume sales. We are in process of relaunching. In this quarter our FY26 average realization increased 9% year on year to 12,109 per square foot.
This was achieved with disciplined pricing increases in our existing projects and a positive shift in our product mix towards higher value homes. We continue to see healthy site visits with consistent conversions of 10 to 12% across cities and projects with a broad customer base spanning multiple sectors. NRI buyers have remained stable at around 10% of the presale value for FY27. The residential launch pipeline stands at 11.6 million square feet with a GDV of 11,900 crores. We expect to launch 4.5 million square feet in Bengaluru and 3 million square feet each in Chennai and Hyderabad this year.
We are aiming to pull in some of the launches before H2 on approvals in both Bengaluru and Hyderabad. The share of SY27 sales from new launches in mid segment can be more front ended whereas in Chennai and ultra luxury projects in general, the sales absorption is generally evenly distributed throughout the construction life cycle. While we are watchful of the macroeconomic uncertainty due to geopolitical tensions in the Middle east and the broader implications of AI, the fundamental demand drivers in our core markets remain intact.
If the current sentiment and market conditions hold up, our outlook is that demand on ground will support a pre sales outlook of at least 20% growth on our FY26 numbers and aiming for 9,000 crores from a business development perspective for the residential segment, we added 15,000 crores of GDV across 13 million square feet in projects during FY26. The addition was predominantly in Bengaluru and Hyderabad at 60% and 30% respectively. The Indian office market sustained strong momentum through Q4FY26 with GCC’s tech and BFSI remaining the primary demand drivers.
Brigade’s commercial leasing portfolio delivered stable performance in FY26 with cumulative leasing of approximately 1.1 million square feet across new leases, renewals, investor leasing and managed office transactions with sustained occupier preference for Grade A, amenity rich and technology enabled assets during the year. We launched 1.3 million square feet during FY26 with 4.5 million square feet planned for FY27 while our rental collection sustained at 99%. GCCs account for 58% of our leased portfolio while traditional IT and ITES accounts for 26% of the leased portfolio and the balance spread across consulting, BFSI engineering, healthcare and flex operators.
Tenant concentration is also well managed. Large anchor tenants above 1 lakh square feet account for 65% of the lease portfolio at an average of approximately 3 lakh square feet each providing revenue predictability. The remaining 35% is distributed across mid size and smaller tenants limiting single tenant risk. We have a pipeline of approximately 10 million square feet to be launched over FY27 and FY28. The capital expenses towards the construction of this 10 million square feet will be approximately 6000 crores spread over the next four years ranging between 1200 to 1700 crores per annum.
Looking ahead, the office market outlook remains constructive supported by GCC expansion, growth in flexible working spaces and rising institutional participation. While global macro uncertainties and cost pressures persist, a diversified occupier base and adaptive supply pipeline provide resilience. Turning to retail, the Orion Malls portfolio continue to see healthy operating momentum. During FY26 the three Orion malls collectively churned approximately 1.5 lakh square feet of leasable area and onboarded multiple new tenants strengthening the overall mall vibrancy.
This activity translated into improved footfall and sales performance during the quarter. Key performance highlights include 7% year on year growth in footfall during Q4FY26, 25% year on year growth in retailer sales for all three malls combined in hospitality for Q4FY26, geopolitical developments during the period impacted foreign tourist arrivals and led to some MICE cancellations. Despite this, the Indian hotel industry continues to benefit from ADR growth supported by strong domestic corporate travel.
Brigade’s hospitality portfolio delivered a resilient performance during the quarter supported by disciplined rate management while occupancy growth remains stable at 78% compared to Q4.25 due to external disruptions. Revenue and Revpar showed steady improvement on the back of ADR growth with 8% and 13% growth over the previous quarter. FY26 saw a 15% increase in revenue and EBITDA compared to FY25. RevPAR growth of 6% was driven by a 7% improvement on ADR. Demand for FY27 remains strongly anchored in domestic travel with international travel expected to recover gradually.
With that, I will now hand over the call to our CFO Mr. Yogesh Patel to take you through the financial performance for the quarter in detail.
Yogesh Patel — Chief Financial Officer
Thank you Parija. Good afternoon everyone. Further to operational highlights shared by Parija I’ll just highlight a few financial highlights here. Q4 of FY26 was a quarter of positive momentum translating into strong sequential growth. The positive sales performance for the quarter of 2,521 crores and with demand fundamentals remaining steady, we are strongly positioned to capitalize on the momentum led by new project launches. To start with Group’s revenue updates for FY26 the consolidated revenue for the financial year stood at 5,909 crores, an increase of 11% over FY25 with an EBITDA of 1638 crores.
EBITDA margin for the year stood at 28%. The real estate segment clocked a turnover of 4002 crores, an increase of 11 percent year on year. On FY25 with an EBITDA Of 525 crores. The leasing segment clocked a turnover of 1303 crores with an EBITDA of 906 crores, also an increase of 12% and 18% respectively. The hospitality segment clocked a turnover of 604 crores, an increase of 13% over FY25 with an Ebitda of Rupees 207 crores. Consolidated PAT stood at 725 crores which is a growth of 7% over FY25.
Spat after minority interest for FY26 is at 644 crores coming to group’s performance for the quarter. For FY26 our consolidated revenue for fifth quarter stood at 15. 23 crore with an EBITDA of Rupees 430 crore. EBITDA margin for the quarter as well was at 28%. The real estate segment Clocked a turnover of 1026 crores with an EBITDA Of 142 crores. The leasing segment Clocked a turnover of 337 crores in the quarter and an EBITDA of 228 crores. The hospitality segment turnover was at 160 crores and an EBITDA of 60 crores on that consolidated pack stood at 190 crores for the quarter that after minority interest for quarter four is at 145 crores.
To touch upon cash flow performance primarily linked with sales performance in the initial quarters of the year. Our overall collections for the year remained at levels similar to FY25 at 7,476 crores. Cash flow from operating activities have moderated due to increased construction spend where the total area under construction is higher by about 4.5 million square feet in this year. Our cash flow and collections will continue to be robust as they will be further supported by the new product launches and sales.
Collections from real estate Segments stood at 5,480 crores. Leasing segment stood at 1,298 crores. And Hospitality segment contributed 698 crores collection. Net cash flow from operating activities stood at 1411 crores. On debt and liquidity, we continue to have adequate liquidity and undrawn credit lines from banks and financial institutions to support our growth plans. Our average cost of debt has reduced meaningfully in the year by 110 basis points which now stands at 7.57% as of March 26 which was 8.67% as of March 25.
Gross debt for the group stood at 5231 crores. The cash and cash equivalent balance as of March 31, 2026 stands at 2009, 53 crores. Consequently, the company’s net debt outstanding as of March end was 2,278 crores. Of this, Del’s Brigade share is 1679 crores. It’s noteworthy to mention 88% of the debt pertains to our commercial portion which is backed by lease rentals itself. The debt equity ratio for the year stood at 0.27. With this, I’ll now hand it back to the moderator to initiate the questions.
Questions and Answers:
Operator
Thank you very much, sir. Ladies and gentlemen, we will now begin with the question and answer session. Anyone who wishes to ask questions may please press Star and one on the Touchstone phone. If you wish to withdraw yourself from the question queue, you may press Star and two participants are requested to use only handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Adidev Chattopadhyay from ICICI Securities.
Please go ahead.
Aditya Chaturvedi
Yeah. Good afternoon everyone. Thank you for the opportunity. My first question is on the World Trade Center Bengaluru. So I believe it may be Amazon which is exiting there. That’s why you see a drop in the area under lease. So this help us understand how we intend to fill this space up. We already have someone lined up or it will take a little bit longer. That is the first question.
Operator
Hi, good afternoon. This is Niropa here. Yes, Amazon has vacated that space. They had about 630,000 square feet that they vacated. We have leased a couple of floors. So we’ve leased close to 100,000 square feet of that and line of sight. There are A lot of client interactions and the idea is to help is to lease it out over the next couple of quarters. So there are very high potential client visits that are happening on a regular basis. What we expect is that there may not be one single client that comes to pick up the entire space.
And we’re expecting, expecting the leasing to happen either floor wise or maybe two to three floors at a time.
Aditya Chaturvedi
Okay. And just to follow up, are we expecting the rates also to be much higher considering Amazon was an older tenant? So I guess some of the rates will be marked to market right now. Right. So could we see some uptick in the leasing rate overall?
Operator
Yeah, I think with the way the current market condition is, you should definitely. We should look to expect between anywhere between 10% to 15% in some cases. If it’s a half a flow, it’s gone up to even 20%. But taking larger transactions of two floors, etc. I think a normal increase of 10 to 15% is expected.
Aditya Chaturvedi
Okay, fair enough, Fair enough. Thank you. And my second question is mainly pertaining to our residential business. Some more broader questions if you could help us understand currently the land bank and projects we have. What is the cumulative GDB which is available for launch for the next few years and considering you’re targeting close to 9,000 crores of sales rise in the coming year, what is your land bank replenishment strategy of the next few years? More broader level questions if you could address that.
Yeah, thank you.
Operator
Yeah. So from an overall standpoint, we normally talk about our four quarters on a rolling basis. For that we are looking at 11 and a half million square feet for the coming year. And that GDV is around 11.9 to say 12,000 crores. GDV from an overall land bank perspective, you know, we have 57 million square feet of that. Residential is around 75% as a portfolio. So in terms of, you know, replenishment, naturally every we launch we aim to replenish, focusing on increasing the presence in Bangalore and Hyderabad and moderately in Chennai based on opportunities available.
Aditya Chaturvedi
Sure, sure. Fine. That’s it from my side. I’ll come back in the queue if I’ve got more questions. Thank you and all the best.
Pavitra Shankar
Thank
Operator
You. The next question is from the line of Karan Khanna from Ambit Capital. Please go ahead.
Karan Khanna
Yeah, hi, good afternoon and thanks for the opportunity. Just a couple of questions from my end. Firstly, Pavikra under pre sales guidance of 9000 crores. If I look at the unsold inventory of around 10,000 crores and sustainance sales track record of around 55%. Is it safe to infer your building sales from new launches at around 3500 crores? And if that’s the case, isn’t this a very conservative number considering historically you have seen 35 to 40% sales in new launches and you’re guiding for a 12,000 crore launch pipeline for FY27.
Operator
Hi Taran. Yes, in some ways it is a little conservative but also we’re looking at the mix of the new launches of the number that I mentioned. 11.5 million square feet from Chennai as we’ve seen in the past Chennai in terms of throughput from the launch to that same financial year itself, we tend to see the contribution to be more evenly spread throughout the construction life cycle rather than being front ended. So this is one of the reasons why that number may look a little conservative. The other aspect is that launches in general, sometimes we do see them shifting out.
So if it shifts out maybe into H2 or towards the end of H2, the amount of time that we have to make those pre sales happen within the same financial year is showing to be less. This is one of the reasons why in FY26 also we experienced a lower number. So right in terms of how much we have in terms of opening inventory. And that’s an area that we’ll be trying to push further because that’s inventory that we have in hand. So looking at both that as well as trying to advance some of the launches so we have better visibility and as the quarters come through in this financial year we’ll be able to update on that
Karan Khanna
And on the launch guidance of 12 million square feet. So if you can just give some color in terms of what are the current status in terms of approvals and any indication on quarter wise breakup for the 12 million square feet of launches.
Operator
So I think like the previous year, part of the launches will come in H2. We anticipate if I just go by market for example for Hyderabad, we’re anticipating about or so million square feet to be coming in Q3 and another million square feet to be coming in Q4. Hopefully we will get some of that in. From a Q3 number and we’ll be expecting another million square feet in Q4. Morgan Heights, as I mentioned earlier, there is a million square feet of the phase of the project that we’ll be launching now or relaunching one.
The other projects in Bangalore I think will still be pushing to Q2 and Q3.
Karan Khanna
And secondly lastly on the partnership with Brain, can you talk About. Yeah,
Operator
I’m sorry to interrupt you, sir. Sir, I think we should connect the management line again because there is a disruption when ma’ am was speaking. So allow me few seconds please. I’ll call the management line. It. Ladies and gentlemen, thank you for patiently holding the management’s line has been reconnected. You may proceed.
Karan Khanna
Question for you, Nirupa. If you can talk a bit about the partnership with Bain and as part of the deal, will you also be evaluating more opportunities besides the 2 million square feet office asset and hotel in Whitefield? And what are the timelines for completion of this project?
Operator
Yes, thank you for the question. Yes, so this is for a 10.8 acre project right opposite ITPL in Whitefield and Bangalore. A very strong location. It’s a 5050 joint venture partnership. So they’re pure equity partners with us in this project. We have the potential to develop about 2 million square feet of office. And we’re also planning around a 250 key hotel for the project. It’s a five star hotel as well. Yes, this is, I mean this was the first we decided that you know, we do one project first and we are definitely open to looking at more partnerships with them.
Karan Khanna
And then timelines. And
Operator
The timeline, as you said, we’re expecting to complete the project around 40 months. In about 40 months.
Aditya Chaturvedi
Thank
Karan Khanna
You.
Operator
Thank you. The next question is from the line of Girish Chaudhary from Evan Duspark. Please go ahead.
Yogesh Patel
Yeah, Hi. Thanks for the opportunity. Have a question on the cash flow. How should we look the trajectory going ahead? Because what we have seen is the construction cost have seen a material increase which is understandable given you also mentioned about a significant increase in the area. Right. So on the collections, any reasons why they have
Girish Choudhary
Been flattish for the year and when do you expect this to pick up?
Yogesh Patel
So the collections for the year, obviously, I mean if you see from a residential perspective, I mean for the new launches, give us a certain amount of collection upfront. The sustainance collection, as the milestone of construction gets completed, they can convert it into milestones which then gets built and collected. So the reflection of the flattish collection which we talked about is primarily because of the initial part or initial part of the year where the launches were deferred. That kind of getting materialized is converting into cash is ongoing right now.
So from here as the launches are getting planned, the cash flow of them will continue to increase. While sustainable cash flow comes based on milestone growth itself. At different stage of each project, the construction intensity differs and that’s what’s reflected in the extra construction cost. So the operating cash flow generation continues to be positive and it will improve as new launches take
Pradyumna Krishna Kumar
A faster pace.
Yogesh Patel
I understand. How should we look at the collection trajectory going ahead? Because this year we have seen impact to our operating cash flow in the sense we have seen a decline yoy so can we expect material or a significant increase in your overall operating cash flows for the year? So we should see an increase for sure. I mean it should come in percentage terms pretty close to the way we look at our sales growth as well. Few hundred basis points, probably lower from there given the timing per se.
But that’s what would be the trajectory in terms of cash cash flow generation.
Girish Choudhary
And
Yogesh Patel
My second question, if you can give us some updates on your Chennai project, specifically the Baila Cherry project, how has been the response what sales absorption we have seen? And also for the year fiscal 27 you mentioned about three launches in the Chennai market, right? So which are these projects?
Operator
Yeah, so the project is Brigade Stellaris that we just launched in Q4. That is a pretty high end project. It’s 284 units and each unit is around 6 crores plus. So so far in Q4 what we did we sold around 30 units and I think we are pretty pleased with that performance. We expect to be fairly stable over the course of the three to four year construction life cycle and so are also pretty good after the launch quarter. In terms of square feet coming up in Chennai, 1 million square feet of that is part of Morgan Heights.
So Morgan heights overall is 2 million square feet project. We launched 1 million of that last year. As I mentioned earlier we had to pause it. We are launching the entire project as a full scale relaunch in Q1 FY27. So basically within the next two months we are doing that. So that is square feet of that is what is being counted. We have two more projects that we are talking about. One is part of a larger multi phase township that is 3 million overall. But we would only be launching 1 million of that in the coming financial year.
So both of those have visibility towards H2, Q3 and Q4 respectively.
Parvez Qazi
Thank you.
Pavitra Shankar
Thank you. The next question is from the line of Biplath Devarma
Operator
From MK Global. Please go ahead.
Yogesh Patel
Good afternoon everyone. So my first question is on the approval related issues that we face in FY26. So in your view has all the issues related to approval resolved and do you anticipate any any challenges in FY27?
Pradyumna Krishna Kumar
So hi, this is Prajumna here. So I Think the primary issues of approvals are now behind us. And as Pavitra also mentioned, We’ve launched about 4 million square feet in the last couple of months and we are on track as far as approvals go from a comparative perspective. So I think we are behind other issues that we faced earlier.
Yogesh Patel
Well that’s great. And secondly, I don’t know whether I have heard it. So you said that around 10 million square feet of commercial projects to be launched in next two years. Is that correct?
Operator
Yes, that’s right. So the moment we start construction we consider it as launch. So while we next year we have said that in FY27 we’ll be launching about four and a half million. The balance will come in FY28. But from a sense of completion it will take about four years by the time the entire project is up and running with OC etc. So that’s what we have clearly said. We have already tied up lands for about 10 million square feet for commercial.
Yogesh Patel
So Ma’, Am, 10 million square feet upcoming and around 3 million ongoing. So from this 13 million square feet, how much rental once they become operational? How much rental brigade share do you anticipate?
Pradyumna Krishna Kumar
See what I would say is between what is currently ongoing which is getting completed and the 4.5 million square feet that will come up, it will be about 800 crores. That is something that we have already estimated. And for the balance five and a half million square feet, we will come up with a number soon.
Yogesh Patel
Okay. Okay, that. No, that’s great. Thank you. Thank you sir.
Operator
Thank you. The next question is from the line of Saurabh Gilda from GM Financials. Please go ahead.
Yogesh Patel
Yeah, hi, I’m audible.
Operator
Yes sir, please proceed.
Yogesh Patel
Yes, sure. So firstly on the commercial bit, our commercial monetization run rate has increased significantly to 550 crore annually now. So how should one think about this standard going ahead given the fact that we are launching a sizable amount of portfolio for the next two years?
Operator
See, ideally we would like to grow our annuity income portfolio. The idea is to hold on to many of the projects as much as possible. But sometimes based on how demand is for a particular project, in this particular year you saw the additional of 100,000 square feet sold mainly because of the twin tower project. So for us we take it on a case to case basis and with the, you know, if there are smaller projects and if the commercial is part of larger mixed use townships and is not a very large project, in some cases we might decide to sell.
So the strata sale Is very project dependent by and large as a company we want to enhance our annual income portfolio. So the larger projects we would like to hold onto it. And maybe some of the smaller commercial projects or joint development ideally don’t get into the strata sale perspective. So we’ll have to look at this on a case to case basis. Especially when for instance for twin towers, while we would have liked we saw that there was much more demand for end user ownership so we had to take it based on that.
Yogesh Patel
So got it. So just. And lastly on the your leasing income of 1300 crore, can you please share any bifurcation between the office and rental and also the contribution of few of the large office assets.
Operator
Yeah. So if you look at the 1300 crores 877 crores was from office. We had about 220 crores from retail and 206 crores from the management business. And of course hospitality was separate at 605
Aditya Chaturvedi
Crores.
Yogesh Patel
Got it. Thank you so much.
Operator
Thank you. The next question is from the line of Pritesh Seth from Access Capital. Please go ahead.
Pritesh Sheth
Yeah, thanks for the opportunity. Just firstly on clarification in terms of timeline of launches you were cracking up in between. So just wanted to clarify both all the Hyderabad projects would largely be in second half Chennai also largely second half barring Morgan heights and Bangalore should be in Q2. Q3 if I heard you correctly. Is it?
Operator
I’m sorry sir, the line for the management has been disconnected. Please hold the line while we reconnect.
Pavitra Shankar
Sam.
Operator
Ladies and gentlemen, thank you for patiently holding the line for the management has been reconnected. Mr. State, you may proceed with the question.
Pritesh Sheth
Sure. So just repeating the question. Just wanted some clarification on the timelines of launches. If I heard you correctly, you said Hyderabad launches largely in second half Chennai also second up barring Morgan Heights which would be launched in first quarter and Bangalore would be in Q2 Q3 is it?
Operator
Yeah, yeah, that’s right. Hyderabad. I had said 1 million in Q3. That project is actually 2 million square feet. But yes, timing wise you’re right.
Pritesh Sheth
Okay. Okay, got it. And if you can highlight the key projects in Hyderabad and Bangalore which one should look forward to. You know Chennai you already highlighted. But you know same for Hyderabad in Bangalore.
Operator
Yeah. So in Hyderabad we have the 2 million square feet is the second plot that we purchased in Cocapet in Neopolis. So that is the one we’re hoping to launch in Q3. And then there is another project in northern Hyderabad that we are looking at launching in Q4 that is 1 million square feet in Bangalore we have a couple of projects that should be like a Q2, Q3 launch and we do have upcoming launches in East Bangalore as well in the OMR corridor again in the Q3 time frame.
Pritesh Sheth
And Bangalore launches also include the large project in North Bangalore and the recently the JDA that we signed, which is again a 39 acre probably I think conversant. Utopia 2, is that also included in the launch plans for this year?
Operator
So the North Bangalore project, there was some approval change or some bylaw changes that we’re still working on and we’ll see if we can work on that for the financial year, but some of the bylaws changed so we’ve had to redesign. In terms of the new JDA that we signed, we’ve just now signed it. I think it will take some time in terms of design and approvals if it’s possible to bring it into this financial year. We’ll definitely be looking forward to that and we’ll update in the next couple of quarters.
Pritesh Sheth
Sure, got it. And just on the balance sheet side, while we are now looking forward to 3,000 6,000 crore worth of capex, how should one think about the debt trajectory? Will the commercial debt continue to increase and residential capex would largely be funded through the accruals or what’s the thought process and how should we look forward to?
Yogesh Patel
Yes, that’s right. From a model perspective, residential generates its own cash during the tendency of the construction itself. So it gets kind of self funded. From that perspective, what we have invested into is our own capital asset which is the leasing asset and towards which for construction and to create that project itself. The debt augmentation has been as I kind of detailed earlier, I mean our next debt as of end of the year stands at about 2,200 crores. And that net debt number, I mean as these commercial assets which have been launched commence or progress, we would see sudden addition coming in there.
However, from a debt equity perspective, which is 0.27 for us, I think we would not would be pretty lower than 1x as well.
Pritesh Sheth
Sure. Just on CapEx, you know, will everything be funded through debt or you know, since the portfolio is already generating the rentals, you know, so portion of the capex would be funded to those cash flows.
Yogesh Patel
So it will be a mix of both for sure. I mean obviously we would continue to optimize our cost of finance per se as well as look at maximizing the return on equity.
Parvez Qazi
Got it. Fair enough. Okay, that’s it for my Parent. All the best. Thank
Operator
You. Thank you. Ladies and gentlemen. In order to ensure that the management will be able to address questions from all the participants in the conference, kindly limit your questions to only two per participant. Should you have a follow up question, please rejoin the queue. We’ll take the next question from the line of Parve Qazi from Nuvama Group. Please go ahead.
Yogesh Patel
Hi, good afternoon team and thanks for taking my question. So my first question is what was the GDP of launches that we did in Q4 and also a similar number of for FY26 would be great.
Operator
Yeah. Overall FY26 we launched 8.3 million square feet with the GDV of 10,000 crores. In Q4 we launched 4 million square feet with around 4,500 crores of GDP. Sorry, what was the second part of the question?
Yogesh Patel
You answered the second part. My second question is what was the contribution of launches to our Q4 FY26 briefing?
Operator
The overall launches for the year which was predominantly in Q4, it was around 43% of the total sales number.
Aditya Chaturvedi
Possible to get a Similar number for Q4.
Operator
Only for Q4?
Aditya Chaturvedi
Yeah.
Operator
Oh, the percentage is only. Yeah, the percentage is around 55%.
Yogesh Patel
Sure. Just one more question from my side. For the roughly 12,000 odd crore of launches that are planned for FY27, what would be a broad ticket size split? I mean let’s say less than 3 crore, 3 to 5 crore and 5 crore plus. What would be a broad split of this? 12,000 odd crore in this respect?
Operator
Yeah. So it’s around. See overall we look at our portfolio as the affordable is up to 75 lakhs. Then mid segment to 1.5 cr. Then our premium portfolio is what we look at up until 3cr and then above that is our ultra luxury portfolio. So far it’s been around 30% and it will come down a little bit over the next financial year in terms of mix.
Yogesh Patel
Sure. And last question. Of the 10 million square feet office projects which are planned over FY27 and FY28, what would be this plate in terms of the three cities where we are present? Thank you.
Operator
Yes. So currently the portfolio is maybe 60% in Bangalore, 27% in Chennai and then 10% in Kochi and a little bit in Mysore. I think once the 10 million comes up it will be somewhat similar with Bangalore still holding about 55% of the portfolio, Chennai about 22%. But we are adding two more cities. We are adding Trivandrum which will have about 7% of the portfolio. We will Be adding Hyderabad. That will have about 5% of the portfolio. And of course Kochi and Ahmedabad as well will have about 6 and 4%.
So we are expanding our base. So we will be adding a couple
Aditya Chaturvedi
Of more cities to the commercial portfolio.
Yogesh Patel
Thanks and all the best.
Aditya Chaturvedi
Thank you.
Operator
Thank you. A reminder to all the participants that you may please press star and one to ask questions. The next question is from the line of Heath Vora from Monarch aif. Please go ahead.
Pavitra Shankar
Yeah, hi ma’, am, this is Heatha here. I had a couple of questions. Firstly, could you share the current inventory level in million square feet?
Operator
It is seven and a half million square feet.
Pavitra Shankar
Ms. Vora,
Operator
Any further question? Yes,
Pavitra Shankar
Yes, I do have. And in Q4, FY26. Could you please share the previous geographical split?
Operator
Yes, Yeah, sure. So in Q4 65% came from Bangalore. Actually this is the same for full year as well. Actually the numbers for Q4 and FY26 just happen to be around the same. So 65% Bangalore, 20% Hyderabad and 15% from. Sorry, sorry. 20% from Chennai, 15% from Hyderabad.
Pavitra Shankar
Could you please help us with the average ticket size for the launches planned for FY27? Is it all monthly still in ultra luxury?
Operator
No, no it’s not. Actually we are on an APR basis It’s more like 10,000 crores. In terms of what we will be looking. Sorry, 10,000 rupees per square foot. In terms of what we will be launching predominantly most of the ticket sizes will be below the three. The three crores. While we still have some of this higher than 3 crores ticket size in our ongoing stock and one or two of the launches, some of the larger units as part of those projects.
Pavitra Shankar
Okay, okay. Just lastly, what is what million square feet of projects will be completed on the leasing segment? 5. 27. Not the launches, the completion for FY27 on the leasing segment.
Operator
Yeah. So currently we have about 3 million square feet of projects that should come into the portfolio and. Or we are expecting the OC for that. So ideally when we look at the budget, you know we would like to lease out the entire portfolio that is coming into the market. But of course it could take six quarters instead of four quarters. But we are aiming to at least double what we did in FY26.
Pavitra Shankar
Okay, Thank you.
Operator
Thank you. The next question is from the line of Abhishek Khanna from Kotak Securities. Please go ahead.
Girish Choudhary
Hi, I just wanted to check while you answered this part. But on the 4 million square feet of launches that you did in fourth year. I just wanted to understand when were some of these larger projects in Bangalore like Alumina Delgado launched like the ones in Hyderabad, the ones we had in TAM and Manok. And what was the response like in terms of the take up in the launch quarter itself? Was it like a 40, 50%? Any specific details that you could share on these would be helpful. And the hyperbole launches?
Operator
Sure, sure. So of that 4 million square feet we launched Luminar, that is in West Bangalore and Kumk, that project, although it came from an approval standpoint towards the end of March we were still able to do a very high number. In fact we almost sold out. So it was more than 85% sold at the launch itself. I think a lot of this was because we were expecting the approvals to happen much earlier in the year. So there was some awareness of the project. So by the time we launched, given the micro market has historic under supply, Metro connectivity, all those things, the project did extremely well at a much higher rate than expected.
Also Belvedere also came towards the end again like in the last week of March. So there we did not have that luxury of time to sort of build up the market. It has done well initially and also continuing into the first part of the Q1, the projects in Hyderabad actually came in. There are two small projects. One came in in January which has, the response was good. The second one again came in only, you know, early March. That is still, you know, taking some time as it’s just recently been launched.
But overall I think the response in Hyderabad has also been quite good considering it’s not, it’s not a west market, West Hyderabad sort of market. It’s a core central part of Hyderabad market. So we’re still quite happy with the response.
Girish Choudhary
Any number that you would like to share for Belvidere? What was the take up in the month of March in terms of session?
Operator
Yeah, so we basically sold around 150 units. The overall project size is 760 units. So 150 we sold.
Girish Choudhary
Okay, thanks a lot. The second question that I had was on the weakness in your recognized margins, both residential and even. Of course I’ve been in the low teens or mid teens and annuity at the high 60s, low 70s. When can we expect an improvement? What’s been causing this weakness? Have you given some elements earlier? But when can we expect an improvement in both of these businesses in terms of the reported margins?
Yogesh Patel
So from a margin perspective on the, on the C part, I think it’s obviously a mix of projects which kind of come up for revenue recognition which is upon completion and handover the way recognition standards work. So this is kind of reflective of the mix of project which would have come up during the during the year for recognition. And traditionally this would be some of them which have been sold much earlier and wouldn’t have taken the increases which kind of the market grew with over the last three odd years.
So that’s a reflection of that. And the current margins what we see on operations basis they continue to run in the higher 20s which we have kind of.
Girish Choudhary
Can we expect that to reflect India reported margins in FY27
Yogesh Patel
On the operation the POCM basis we continue to see this in that 30% range of EBITDA itself. On the leasing piece the EBITDA margins continue to be 80% and above. What you see on a reported basis primarily is a section where a certain amount of. Certain amount of fit outs were recovered on annuity basis which kind of diluted the overall margin from a reporting perspective for quarter four. If you are looking at specifically there was an accounting gross up done for the full year in quarter four from a accounting perspective.
So that’s kind of further diluted. But the full year number would give you a reflection of what. And in addition to that what explained our leasing revenue also have facility management component of about 200 crores there on annual number. So that piece also runs at about 15% margin. So that kind of blended basis would dilute as well.
Girish Choudhary
Annually you have to retain a facility management revenue at 15% which brings on the blended numbers.
Yogesh Patel
Yes.
Girish Choudhary
And when you said there were certain sit outs that were recovered which was over and above this facility management revenue visit. How much is that number for
Yogesh Patel
Normalizing for all these leasing income comes at margin of above 80% of.
Girish Choudhary
Sure. This is one last one. What was that fit out revenue that you would have recognized in the year
Yogesh Patel
Would be around 35 crores.
Girish Choudhary
Okay. All right,
Operator
Thank you participants, you may please press star and one to ask questions at this time. The next question is from the line of Parve Kazi from Nuvama Group. Please go ahead.
Yogesh Patel
Hi, thanks for taking up my follow up question. So two questions. One, we still have some space left in twin towers. So what’s our thought process that I mean we want to lease it or we can convert it into sale models. And the second is on pricing on the housing side. I mean what is the situation now in the market and what kind of price increase if at all we are building for FY27. Thank you.
Operator
Regarding the first question with respect to twin towers. The idea is to just sell the project. There is only maybe a hundred thousand square feet that of common amenities that we plan to hold
Aditya Chaturvedi
On to, but the balance we plan to sell. So we hope to complete and exit that project in the coming months in Korea.
Operator
Yeah. On the residential pricing side, while we are looking at an APR increase year over year of a 13%, a lot of that is due to the product mix as well. If you look at a like to like basis, what we’ve been able to take across various projects is high single digits. So like 8 to 9% year over year and we still feel this is fairly healthy. So when we come into the market, depending on the project, expect to sell at the time of launch. That’s a fairly fully priced number. It’s not really a price discovery at this point.
So after the launch we will look at an annual price increase of around 7 to 9% based on that micro market. If we look at our upcoming launches as well there I had mentioned earlier, the average or the APR for that portfolio is around 10,000 rupees per square foot. If you look at our current portfolio available as inventory, that number is north of 12,000 rupees per square foot. So what it signals is that the product mix itself is going to be changing in our upcoming launches as well. So that’s something to be planning for while we are still priced sort of at the higher end in terms of any of the submarkets in which we are present.
It’s a unit mix and a product mix that we’re going to see shifting back towards mid segment, upper mid segment and away from ultra luxury over the next financial year.
Yogesh Patel
Thanks and all the rest.
Pavitra Shankar
Thank you. Thank you.
Operator
Ladies
Pavitra Shankar
And gentlemen, this will be
Operator
The last question for today from the line of Hita Vora from Monarch aif. Please go ahead. Miss Vora, I have unmuted your line. Please proceed.
Pavitra Shankar
Yes, hi, am I audible now?
Operator
Yes, ma’. Am.
Pavitra Shankar
Yes. Thank you so much for the follow up question. I wanted to understand what percentage of the BIOS would be from the IT and IT services segment and in terms of the leasing segment, what percentage of our portfolio is leased out to you know, IT and IT Services sector?
Operator
I can start with the leasing portfolio. So basically we’ve said that about 58 to 60% of our portfolio is from the GCC segment and it and its is about 26% of the leasing portfolio and the
Aditya Chaturvedi
Balance
Operator
Comes from CFSI consulting, engineering,
Aditya Chaturvedi
Healthcare and Flexible Operator.
Pavitra Shankar
Okay. On the residential side.
Operator
Yeah, on the residential side, since we are in three different markets. In Bangalore it’s around is split between GCC and IT. So GCC is around 30%, it services around 20 to 25%. The rest is again BFSI and startup predominantly in Hyderabad also that number is around 45 to 50% where again it’s split equally between GCC and IT and the remainder again from BFSI. There is some customer demographic coming from pharma and life sciences as well. In Hyderabad and in Chennai it’s a slightly lower percentage.
Pavitra Shankar
I’m sorry ma’, am, can you please repeat your last line? We missed on the numbers?
Operator
Okay, so for Chennai GCC is around 15%, it around 20%, BFSI around 20% and there is a higher contribution from say automobile and manufacturing in Chennai around 15 to 20%.
Pavitra Shankar
Okay, and are we seeing any softness in, you know, the walk ins or the EOS from any of these cities due to the, you know, expected layoffs coming in in the market?
Operator
No, as I mentioned earlier, actually we were really happy with the performance of the launches. Especially in a luminar situation. All of the projects have really healthy walk ins. Even in terms of inquiries, it’s there, it’s more skewed towards end user where I’d say in the last few years we were seeing a lot of enquiries from speculators in terms of conversions. The conversions are still healthy at 10 to 12%. But what is happening is that in some markets it takes a little longer than usual in terms of the conversion cycle.
So that is where we are seeing some of the increase in time. But in terms of percentage overall it is still healthy and something that we consider positive.
Pavitra Shankar
Thank you.
Operator
Thank you.
Pavitra Shankar
Thank you. As that was the last question, I would now like to hand the conference over to Ms. Nirupa Shankar, joint Managing Director for closing comments. Sankan, over to you ma’. Am.
Operator
Thank you. Before we wrap up, we’d like to highlight a few key achievements beyond this quarter’s financial performance. We marked an important development milestone with the completion of Brigade Cornerstone Utopia in Vartur, a 6 million sq ft mixed use development now home to over 10,000 residents and a key landmark in the Whitefield Saljaipur corridor. Orion Mall at Brigade Gateway completed 14 years of operations marking a significant milestone to one of our earliest malls. Holiday in Chennai completed nine years of operations and Grand Mokyo Mysore completed 10 years, marking another milestone in our hospitality portfolio.
The World Trade Center Bangalore became the first development in India to receive the Wired Core Platinum certification, reinforcing our focus on digitally enabled workplaces. Wtc Kochi earned the WT Premier Accreditation Certificates reflecting strong alignment with the global WTC standards. Brigade Gateway Hyderabad was awarded the Mixed Use Project of the year at the Reality Plus Excellence Awards 2026. Our facility management arm, Orea, achieved a great Place to Work certification, underscoring our emphasis on employee engagement and workplace culture.
We were recognized by Business World as one of India’s most sustainable corporates, ranking third in the real estate space and 44th overall.
Aditya Chaturvedi
With that, we wrap up our Q4 earnings call. Thank you all for joining and see you next quarter.
Operator
Thank you members of the management on behalf of Brigade Enterprises Ltd. That concludes this conference. We thank you for joining us and you may now disconnect your lines. Thank you.