ICICI Securities Maintains Buy Rating on Brigade Enterprises, Targets Rs 1179
Brigade Enterprises Eyes 20% YoY Growth in Sales Bookings for FY27
Brigade Enterprises, a leading real estate developer, has reported a decline in sales bookings for the fiscal year 2026, clocking INR 74 billion (down 5% year-over-year) due to delayed approvals. This slowdown is a temporary setback for the company, which is now looking to regain momentum in the upcoming fiscal year 2027.
According to the company's management, Brigade Enterprises is guiding for sales bookings worth INR 90 billion in FY27, representing a 20% year-over-year growth. Additionally, the company plans to launch projects with a gross development value (GDV) of approximately INR 120 billion in FY27. Our current model for FY27/28E sales bookings stands at INR 96/113 billion, taking into account the company's launch pipeline.
Outlook for Brigade Enterprises
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Looking ahead, Brigade Enterprises has ambitious plans to double its hotel and annuity asset portfolio over the next five years, from FY25 to FY30. The company aims to add 1,700 incremental hotel keys and approximately 10 million square feet of annuity assets to its portfolio. We have retained our BUY recommendation for Brigade Enterprises, with a revised target price of INR 1,179 based on a March 2026 sum-of-the-parts (SoTP) valuation, factoring in balance sheet adjustments.
| Fiscal Year | Sales Bookings (INR billion) | YoY Growth |
|---|---|---|
| FY26 | 74 | -5% |
| FY27E | 90 | 20% |
| FY27E (Model) | 96 | - |
| FY28E (Model) | 113 | - |
Note: The table above compares Brigade Enterprises' sales bookings for FY26 and our modelled estimates for FY27/28E.
Investor Takeaway
Investors should consider retaining a BUY rating on Brigade Enterprises with a target price of Rs 1179.
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