Embassy REIT third quarter profit declines 15% to Rs 215 crore

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Embassy Office Parks REIT on Friday reported a 15 per cent decline in consolidated net profit to Rs 214.79 crore for the third quarter ended December and announced Rs 2,300 crore investment over the next three years to develop nearly 6 million sq ft of commercial space.

It also declared a distribution of Rs 431.29 crore to its unitholders for the quarter.

The net profit fell to Rs 214.79 crore in the third quarter of this fiscal from Rs 253.45 crore in the year-ago period. Total income, however, rose to Rs 595.94 crore from Rs 568.12 crore, according to a regulatory filing.

The net operating income for the third quarter increased by 3 per cent year-on-year to Rs 478 crore.

The declared distribution is Rs 4,31.29 crore/Rs 4.55 per unit for the quarter ended December 31, 2020, Embassy REIT said.

"As India's outlook steadily improves with a continued downward trend in active COVID-19 cases and the encouraging progress on vaccine roll-out, we remain optimistic that Indian office leasing demand will continue to increase as occupiers accelerate their return-to-work programs," said Michael Holland, Chief Executive Officer of Embassy REIT.

Additionally, he said, the recent successful Rs 9,780 crore acquisition of Embassy TechVillage in Bengaluru cements its position as a landlord of choice for the world's top companies.

Embassy REIT Deputy CEO and COO Vikaash Khdloya said the company will be investing Rs 2,300 crore over the next three years to develop 5.7 million sq ft of commercial space.

He said the company would also be looking at inorganic growth opportunities in cities like Bengaluru, Pune and Hyderabad.

Embassy REIT is India's first publicly listed Real Estate Investment Trust.

It owns and operates a 42.4 million square feet portfolio of eight infrastructure-like office parks and four city-centre office buildings in India's best-performing office markets of Bengaluru, Mumbai, Pune, and the National Capital Region.

The portfolio comprises 32.3 million square feet completed operating area and is home to over 200 of the world's leading companies. The portfolio also comprises strategic amenities, including two operational business hotels, four under-construction hotels, and a 100 MW solar park supplying renewable energy to tenants.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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