Brigade Hotel Ventures Limited — Q3 FY26

See the GST as per the new GST law if our ADR that is room rent if we are charging anything 7,500 and below the GST rate is 5%. They have reduced it from 12% to 5%. But what they have done is on the input tax credit eligibility that whichever we are charging on the proa basis we have to reverse it we can't take as an input so that is hitting our expenses which is hitting for the quarter around 1.6%.

Overall I would say yes the FNB trend was the increase was only 4% if we compare the quarter on quarter growth. However it was a one-off with one particular hotel... If I remove the one hotel the portfolio actually grew by 20%.

While our portfolio is at mid70s I do believe that at an optimum level it should be in the it should touch about 80 or low 80s... supply is growing only at 7.3% for the next 5 years whereas demand is growing at 10.1%. So we still think that there is room to grow.

Out of the nine hotels, seven have a ADR below 7 a half thousand... portfolio ADR is already now reaching 7,300 levels so we are now getting up to a level where most of our hotels will start hitting more than 7,500

Currently we have three hotels that are slated to come up in FY28. The two Fairfields and one Grand High Chennai. We've already started our construction on the two fair fields. For the Grand High Chennai, we are waiting on one approval... the CRZ approval.

Yes, we definitely expect to raise debt in order to fund our construction... we haven't yet raised that debt because we don't require it immediately but maybe in the coming fiscal year we will start to take some debt.

in terms of the coming year the capex that we need to put in could range between 400 to 500 crores for the additional nine hotels and apart from these also sort of includes your maintenance any upgradation cases for the existing property we put in about 10 crores thus far in the last 9 months.

For the Hyderabad intercontinental we've already started the construction but of course the hotel comes only after the 32nd floor... Grand Hyatt... we are awaiting one approval environmental clearance and then we're good to start the construction.

Currently if I look at it from a portfolio level about 30% comes from corporate business. 20% comes from groups and the retail business has moved quite significantly to 50%.

In our particular micro markets we don't see any major supply coming in... we are targeting better yield on the ADR which we are doing continuously for the last several quarters. So this trend we are seeing to continue... we will be able to maintain our mid-teens kind of repar growth.