Bagmane REIT raises September payout to Rs 1.55 per unit

Bagmane Prime Office REIT declared a Rs 1.55-per-unit distribution for the quarter ended 30 September 2026, aggregating Rs 527 crore against Rs 531.29 crore of net distributable cash flows at trust level. The board of the manager declared the distribution on 2 November 2026, after the quarter ended.

What distribution did Bagmane REIT declare for September 2026?

Bagmane REIT declared Rs 1.55 per unit for the quarter ended 30 September 2026, comprising Rs 0.33 per unit as interest and Rs 1.22 per unit as dividend. The distribution aggregates to Rs 527 crore across 340 crore units, according to the net distributable cash flow, or NDCF, disclosure.

The September payout was Rs 0.05 per unit above the Rs 1.50 declared for the quarter ended 30 June 2026. Aggregate distribution increased by Rs 17 crore from Rs 510 crore, while the interest component rose from Rs 0.1252 per unit to Rs 0.33 and the dividend component declined from Rs 1.3748 to Rs 1.22.

How much distributable cash did Bagmane REIT report?

Bagmane REIT reported Rs 531.29 crore of NDCF at trust level for the quarter ended 30 September 2026. Cash flows received from the holding company and asset special purpose vehicles, or SPVs, supplied Rs 550.783 crore, while the trust recorded negative operating cash flow of Rs 1.227 crore and finance cost of Rs 18.648 crore.

The Rs 531.29 crore of September-quarter NDCF exceeded the Rs 527 crore declared distribution by Rs 4.29 crore. Treasury or investing income added Rs 0.382 crore, and the trust-level calculation showed no proceeds from asset sales, debt repayment, reserve creation or capital expenditure deductions for the quarter.

For the half year ended 30 September 2026, Bagmane REIT reported Rs 1,041.327 crore of NDCF, including Rs 374.110 crore distributed from surplus cash reserves. NDCF including surplus reserves was Rs 510.037 crore in the June quarter, so the September-quarter figure was Rs 21.253 crore higher despite having no surplus-cash-reserve distribution.

Where did Bagmane REIT’s distributable cash come from?

Bagmane REIT’s September-quarter distributable cash principally came from remittances by its holding company and SPVs rather than operating cash flow at the trust. The trust received Rs 550.783 crore from those entities during the quarter, compared with negative trust operating cash flow of Rs 1.227 crore.

For the half year ended 30 September 2026, the trust received Rs 680.804 crore from Bagmane Developers Private Limited and Rs 8.960 crore from Bagmane Green Power Private Limited. These receipts total Rs 689.764 crore, matching the cash-flow receipts from the holding company and SPVs shown in the trust-level NDCF statement for the six-month period.

At the holding company and SPV level, NDCF for the September quarter was Rs 543.132 crore before surplus reserves. This comprised operating cash flow of Rs 510.779 crore, SPV distributions of Rs 41.105 crore and treasury income of Rs 5.772 crore, offset by finance cost of Rs 14.524 crore.

How did the underlying SPVs contribute to Bagmane REIT’s NDCF?

Bagmane REIT’s two reported September-quarter underlying entities generated different NDCF amounts: Bagmane Green Power Private Limited reported Rs 23.528 crore and Bagmane Rio Private Limited reported Rs 30.776 crore. The latter figure reflected Rs 37.573 crore of operating cash flow and Rs 0.001 crore of treasury income, offset by Rs 6.798 crore of finance cost.

For the half year ended 30 September 2026, Bagmane Rio Private Limited reported Rs 61.126 crore of NDCF including Rs 21.501 crore of surplus cash reserves. Bagmane Green Power Private Limited reported Rs 23.528 crore for the half year, while its predecessor, Bagmane Green Power LLP, reported Rs 20.995 crore from 8 May 2026, its acquisition date, to 30 June 2026.

Bagmane Developers Private Limited, the holding company, reported NDCF of Rs 543.132 crore for the September quarter and Rs 1,056.223 crore for the half year including surplus cash reserves. Its half-year NDCF distribution schedule showed Rs 638.184 crore distributed through 30 September 2026 and Rs 416.730 crore distributed subsequently.

What changed in Bagmane REIT’s financial profile during the quarter?

Bagmane REIT reported net operating income of Rs 684.395 crore for the September quarter, up from Rs 395.132 crore in the June quarter. Profit after tax rose to Rs 398.645 crore from Rs 57.851 crore, and earnings per unit, not annualised, increased to Rs 1.17 from Rs 0.29.

The source distinguishes these accounting measures from NDCF, the cash-flow measure used in the distribution disclosure. The September-quarter distribution was supported without the Rs 374.110 crore of surplus cash reserves included in June-quarter trust-level NDCF, as remittances from the holding company and SPVs increased from Rs 138.981 crore in June to Rs 550.783 crore in September.

Bagmane REIT reported total borrowings of Rs 2,459.802 crore at 30 September 2026, compared with Rs 2,333.724 crore at 30 June 2026. Cash and cash equivalents fell to Rs 725.140 crore from Rs 743.290 crore, taking net borrowings to Rs 1,734.662 crore from Rs 1,590.434 crore.

The net borrowings ratio was 4.16% at 30 September 2026, compared with 3.94% at 30 June 2026. The ratio uses net borrowings against the reported value of REIT assets, which increased from Rs 40,396.950 crore to Rs 41,748.180 crore over the quarter.

Why is there no earlier comparable NDCF statement for Bagmane REIT?

Bagmane REIT did not prepare trust-level NDCF statements for periods through 31 March 2026 because its initial formation transactions were completed during the half year ended 30 September 2026. Those transactions included the issuance of unit capital and acquisition of subsidiaries, according to the disclosure.

The source therefore does not provide a comparable NDCF statement for the period from 30 May 2025 to 30 September 2025. It also records Rs 510 crore of distributions to unitholders in the half-year cash-flow statement, matching the June-quarter distribution, while the Rs 527 crore September distribution was approved on 2 November 2026 after the reporting date.

Conclusion

Bagmane REIT increased its quarterly distribution to Rs 1.55 per unit for the September 2026 quarter, with Rs 527 crore declared against Rs 531.29 crore of trust-level NDCF. The cash-flow disclosure shows that receipts from the holding company and SPVs, rather than trust-level operating cash flow, were the principal source supporting the distribution.

The next distribution disclosure will indicate whether remittances similar to the Rs 550.783 crore received in the September quarter continue without surplus-cash-reserve support. Investors can also monitor future updates on borrowings after total borrowings reached Rs 2,459.802 crore and the net borrowings ratio reached 4.16% at 30 September 2026.