Thank you, Ryan. Good morning, everyone.

I, Savita Singh on behalf of Dolat Capital, welcome you all for the Q4 earnings conference call of Puravankara Limited. I would like to welcome the management of Puravankara Limited and thank them for this opportunity.

We have with us today Mr. Ashish Puravankara, Managing Director; Mallanna Sasalu, CEO of South; Mr.

Rajat... Mr.

Rajat Rastogi, CEO - West and Commercial Assets; and Mr. Neeraj Gautam, CFO for the company.

I shall now hand over the call to Mr. Neeraj Gautam for the opening remarks.

Over to you, sir.

Thank you, Savita. Thank you, Ryan.

Good morning, everyone. I am Neeraj Gautam, and I welcome you all to Puravankara Limited's earnings conference call to discuss the performance for the fourth quarter and year ended FY26.

The financial results, investor presentation, and press release have been filed with the stock exchanges and are available on the company website as well. I would also like to thank Dolat Capital for hosting today's call.

I will begin with a brief overview of the macroeconomic and sector environment, followed by the company's operational and financial performance for the quarter and year ended FY26. India's economy remained resilient during FY25-26, with a real GDP growth estimated at 7.6%, reinforcing its position among the fastest-growing major economies globally.

Growth was supported by a strong domestic demand, a stable policy environment, and continued investment activity. Looking ahead, the RBI has projected a GDP growth of 6.9% for FY26-27 compared to 7.6% in FY25-26, indicating a moderation from the current year's high base.

This expected easing is largely due to global factors, including geopolitical tension in West Asia, which may lead to higher energy price, supply chain disruption, and increased logistics cost. Despite these external challenges, a strong domestic demand continues to support the overall growth outlook.

On the residential real estate front, the market entered a phase of consolidation after sustained period of strong growth during Q4 FY26. Housing sales across the top eight cities stood at approximately 84,300 units.

Buyer preference continued to shift towards premium and high-value housing, with homes priced above ₹10 million accounting for nearly 53% of overall residential sales, reflecting a sustained demand for larger and lifestyle-oriented developments. On the commercial real estate side, India's office market maintained a strong momentum, recorded its highest-ever quarterly leasing during Q4 FY26, with gross leasing activity reaching approximately 29.9 million square feet, representing a 6 year 6% year-on-year growth.

Demand remained broad-based across key markets and continued to led by the global capability centers, which accounted for nearly 48% of total leasing activity during the quarter. The continued preference for high-quality Grade A office assets coupled with limited new supply supported healthy occupancy levels and a stable rental growth across major office markets.

Overall, the outlook for real estate sector remains positive, supported by strong macroeconomic fundamentals, improving infrastructure, a favorable demographics, and continued institutional participation. Moving to our operational performance for the quarter and financial year ended FY26, FY26 has been a landmark year for the company.

We have delivered our highest-ever quarterly and annual sales performance, supported by strong launch momentum, healthy customer demand, and improved realization across key markets. During Q4 FY26, our pre-sales stood at INR 3,547 crores, registering a strong growth of 190% year-on-year and 151% sequentially.

The performance was driven by successful new launches and sustained traction across our existing portfolio. For the full year FY26, pre-sales reached to an all-time high of ₹7,407 crores, reflecting a robust year-on-year growth of 55%.

Customer collections during Q4 FY26 stood at INR 1,213 crores, up 36% year-on-year, while FY26 collection reached to a record INR 4,258 crores, reflecting a growth of 15% year-on-year. This growth was supported by a steady construction progress, healthy conversion of sales into cash flows.

Sales volume during Q4 FY26 stood at 3.01 million square feet compared to 1.42 million square feet in Q4 FY25, reflecting a strong demand momentum during the quarter. Average realization also improved significantly by 37% year-on-year to INR 11,787 per square feet, driven by better pricing and improved product mix across markets.

For the full year FY26, total sales volume stood at 7.25 million square feet, with average realization increased by 21% year-on-year to ₹10,213 per rupees per square feet, highlighting a sustained demand for premium and higher-value offerings across the portfolio. On the execution front, we handed over 1,301 homes, aggregating to 1.67 million square feet during Q4 FY26.

This took our cumulative handover for FY26 to 3,747 homes, aggregating 4.25 million square feet, demonstrating our continued focus on timely delivery, execution excellence, and customer satisfaction. Coming to financial performance for the quarter and year, total income grew to INR 1,541 crores in Q4 FY26 compared to INR 564 crores in the same period last year, reflecting a strong year-on-year growth of 173%, driven by higher on handovers during the quarter.

For FY26, total income stood at ₹3,846 crores compared to ₹2,093 crores last year, reflecting 84% year-on-year increase. On the profitability front, we reported an EBITDA margin of 22% in Q4 FY26, reflecting a significant improvement in operating efficiency, better cost control, and operating leverage.

As a result of reported profit after tax of ₹111 crores for the quarter compared to a loss of ₹88 crores in similar quarter previous financial year. Coming to our debt, our net debt stood at INR 2,321 crores as on 31st March 2026, with a net debt-equity ratio of 1.31 times.

During the quarter, the net debt declined by INR 160 crores. Our cash and bank balance as on 31st March 2026 stood at INR 1,695 crores, indicating a strong liquidity profile and ensuring operational flexibility.

Additionally, the cost of debt also declined further to 11.05%. Now moving to the launches and business development, during the financial year, we have launched three new projects—Purva Silver Sands, Purva Northern Lights, and Purva Stella—and seven new phases of existing projects with a total developable area of 6.39 million square feet, of which approximately 3.939 million square feet came from new projects.

On the business development front, FY26 was a strong year for us. We added six new projects across key markets, including Mumbai and Bengaluru.

During the year, we added approximately over 12 million square feet of potential developable area with an estimated gross development value of around ₹15,200 crores, significantly strengthening our long-term growth pipeline. In Mumbai, we secured two redevelopment opportunities at Chembur and Malabar Hill.

The Chembur project involves eight residential societies spread across nearly 4 acres, unlocking over 1.2 million square feet of developable area with an estimated GDV of around ₹2,100 crores. The Malabar Hill project spans 1.43 acres and offers approximately 0.7 million square feet of developable potential with an estimated GDV of around ₹2,700 crores.

In Bengaluru, we continued to strengthen our presence across key micro-markets through multiple business development acquisitions during the year. We recently added a joint development project in Hennur Road with a sellable area of approximately 0.84 million square feet with an estimated GDV of over ₹1,300 crores.

We also added a joint development project in Bannerghatta in East Bengaluru with a development potential of around 0.85 million square feet for an estimated GDV of over ₹1,000 crores. Along with 53.5-acre land parcel in Happy Valley, having a development potential of approximately 6.4 million square feet and estimated GDV of around ₹4,800 crores.

Earlier during the year, we had entered into a joint development agreement with KBL Property Holdings LLP in the Northern Bengaluru near the airport with a developable potential of approximately 3.48 million square feet and an estimated GDV of INR 3,300 crores. We subsequently launched Purva Northern Lights during Q4, highlighting our strong execution capabilities and ability to quickly operationalize and monetize acquired business development opportunities.

Coming to the outlook for next financial year, going forward, we remain positive on the long-term outlook for residential real estate sector, supported by strong macroeconomic fundamentals, improving infrastructure, and sustained end-user demand, particularly in premium and well-located developments, while global uncertainties may continue to impact end sentiment, underlying demand across key markets remains healthy. For FY26-27, we would like to provide guidance for both sales performance and debt reduction.

We are targeting a pre-sales value of approximately ₹11,200 crores for FY26-27. Of the total projected number, around 48% is expected to be driven by sustainance sales, with the remaining 52% is anticipated to come from new big launches.

On the balance sheet front, we are targeting a debt reduction of approximately ₹750 crores for FY26-27, excluding any incremental borrowing undertaken for attractive business development opportunities. Thank you for your patience.

With this, we can open the floor for questions. Thank you.

Yeah. Hi.

Congratulations for very good set of operating numbers, strong guidance. Just wanted to check it out couple of things.

Firstly, if I were to look into the slide number 18 for the planned project pipeline, if you can give the broader sense in terms of the key projects like Bandra, how we are placed in terms of the launch pipeline and what would be the GDV of these projects as a whole, which we are looking out to launch in the next year?

Hi. Good morning, everyone.

My name is Rajat. The Bandra launch as of now, the vacation notice is underway.

Members are leaving. By end of June, we hope that the members will vacate.

Post which, we will demolish and start working on our launching timeline. I think we're looking at around Dussehra to Diwali as a launch period for us to launch.

The second part of the question was on the GDV. The GDV of the asset right now is around ₹2,700 crores, for our sale portion.

For the entire launch pipeline of 14 14.85 million square feet inventory as a whole, would it be fair to say this would be somewhere close to ₹20,000-odd crore kind of inventory?

₹22,547 crores, to be precise.

Okay. See, historically if I were to look from the launch pipeline point of view, there has been some slippages in terms of launching the project given I do understand there has been some delay in the approval.

Looking at the current progress of the launch pipeline, how confident are we would be launching these projects on time or how should we look into this pipeline from the next year perspective?

You're right. Maybe the previous year that we had some launches that we did which did not go through, and that's all the more reason why that we are confident that this should go through because whatever reason that, whether the e-khata or some of the changing parameters in the planning authority and also creation of the Greater Bengaluru Authority and the four or five divisions, which really took the toll, and if you look at across Bangalore, even all the entire sector in Bangalore is having difficulty in launching the projects.

Given that situation that now it's all matured, and they are all in the last steps. Also now the question here is how to space them in such a way that our entire team and the resources and everything are deployed for the successful launches of the project.

We're reasonably confident, or I should say that most of our projects will go through to the launch.

Okay. Just on the second part of the business, just wanted to check it out from the cash flow point of view.

See, we had a very strong sales momentum this time, especially in Q4, and if I were to look year as a whole. Just wanted to get the sense, if I'm looking into the sales collection numbers on the year-on-year basis, it's just a 15%, and on the quarter-on-quarter, relatively not seen significant growth, especially if I were to look on the western side region collection, which we have given in the presentation, that seems to be more or less flattish since last three quarters.

If you can give the broader sense in terms of the collection, how should we see it from the next year perspective?

Deepak, what happened if we look at our quarter-on-quarter sales, that more than ₹3,000 crores sales has come in Q4. This comes from largely because of the two big launches which we done in the quarter, which is Northern Lights in Bengaluru and Purva Stella in Mumbai.

Because this launches happened in the last quarter and, hence, collection will spill into the next financial year. That means the sales has been committed, the schedule has been committed.

All we have to convert this into the billing and collection, etc. Hence, all collection for all these sales pre-sales has done during the entire year is about 7,000, more than ₹7,000 crores, the collection will follow in the next financial year.

Also, we have given a guidance for ₹11,200 crores of sales for the next financial year. The collection from that sales also will come.

Hence, the outlook is extraordinarily positive, and there'll be sustained growth and collection which we are expecting for next financial year.

Can you please quantify the collection for the next year point of view? How should we see that as a number?

We have given a guidance for sales and the debt reduction. Collection, we are not given.

However, I'll give you estimate offline. We connect, and I'll give you an estimate what kind of collection we are looking at.

It will be reasonable to expect that it is not going to be flattish, and it is going to be in double digits. You will see that it's becoming better than what it is right now.

It's a reasonable estimate, and we may not have a proper exact number to say that. Nevertheless, and from the sales that whatever the projections that we have done and also the sales that has happened in the previous year, ₹7,400 crores of sales that happened, it's reasonable to expect that with those big launches and in the first year that we collect almost 45% to 50% of whatever the sales that might have happened.

Which should really augur well with our collections.

Okay. Just finally on the operating surplus after interest and tax and interest.

If I were to look into this year, this year we have done actually ₹270 crores versus ₹292 crores last year. On the collection part, we already had a discussion.

Just wanted to check it out another component which has seen significant increase is interest expenses, which has increased to ₹600 crores. Now, if you can give the sense, you did highlighted that next year yeah, debt will reduce next year.

One thing you have to look at is that our business if you look at business as on a going concern basis, that means the kind of inflow I am doing in the business, kind of outflow I am doing in the business, whether overall basis I'm generating the surplus after meeting all my expenses or not. If you look at not only the last two financial years, for last 4-5, more than 5-5 financial years, we have been generating continuously operating surplus.

Now, why it is, kind of this kind of number? Operating surplus is also function of kind of outflow I am doing.

Today, as we have given kind of launch pipeline, today the collections we are making not only I am investing that money on completing the construction of existing projects, we are also investing this money for making the other projects ready for launches. Hence, the money was getting deployed on the business development only.

After this all business development expenses, after the meeting the launch expenses and construction also and also paying all my interest, we are generating surplus. That is how we should look at the cash flow.

That is how we are looking at it. Interest, yes, interest is little bit has gone up because of that incremental debt which we have taken.

Though this debt we have not taken for the business operation, this debt we have taken for the business development, yet we are servicing and paying off this debt interest out of the ongoing inflows, and yet I'm generating surplus. That is how we have to look at.

See, if I were to look even at the gross debt level, which is somewhere close to ₹3,900 or ₹4,000, and if I were to look into the annual interest cost of ₹600-plus crore, that seems to be at a 15% kind of interest cost, right? How should we see this number on the absolute basis next year?

No, Deepak, you have to connect offline for this. What happens is debt is taken over a period of time.

Not that it can be overall and you calculate interest like this. Some of the processing fee also have to pay.

Some amortizing has to happen. I can give you if you connect with offline, I can give you the detailed working of how interest has been arrived at.

Okay. Finally, if you can just give a update on the commercial property portfolio, I think we have received the OC for ZenTech this time.

How should we see commercial portfolio shaping up over a period of time? Finally on the possession point of view or delivery point of view, how should we see FY27 as a whole?

If you can throw light on these two aspects, that would be really helpful.

Yeah. Deepak, on the commercial business, we have received OC for Aerocity.

The leasing process for the asset is underway. We're getting very, very good inquiries right now.

We're pretty hopeful that in Q1 we'll start leasing in Aerocity. With regards to ZenTech, we're expecting the OC to come anytime this month.

Right now I think last year was a good year for ZenTech. In fact, year-to-date also we've started leasing in ZenTech, so that asset is also picking up really well.

Overall, last year we did almost 2.6 lakh square feet of sales and leasing in our commercial assets, and that number, I think, is going to substantially increase in this financial year.

Okay. What were the delivery guidelines for the next year for FY27?

I think our two under-construction assets are both being delivered. I think we have a total of close to around 2 million-odd square feet of assets, which is delivered now.

The other assets, which are in the other stages of construction and planning, they're going to take some time for delivery.

Delivery guidance for the residential business as a whole for FY27, how should we look into it?

Deepak, we can give you the number offline.

Sure. No problem.

Yeah. Wish you all the best and congratulations for strong operating performance.

Yeah. Thank you.

Thank you.

Hello. Am I audible?

Yes, you are audible. Please go ahead.

I just have a few questions. Where was the incremental debt used for?

Incremental debt has used for the business development. If you look at, we have also mentioned about what kind of business development we have done in next 12 months.

If you go to slide number 32, we have given a detail about six six six projects which we have added of ₹15,200 crore of GDV. That is where the incremental debt has been utilized.

Partly, the money would have also gone for the working capital, for funding the launch expenses, etc., but substantial amount of incremental borrowing has used only and only for business development purpose.

Oh, okay. One more question was how much did the Lokhandwala project contribute for this quarter in pre-sales?

Lokhandwala has done slightly more than ₹800-odd crores of sales in [Q4?] .

Okay. Thank you.

That's it from my side. Thank you.

Thank you.

Thanks for the opportunity, sir, and congratulations for that. Sir, I have a query regarding on slide 25 on cash flow potential.

Total estimated surplus cash flow is ₹19,219 crore. To arrive at that number, what kind of GDVs we have included?

After this ₹19,000 crore of cash surplus, what kind of land we will remain with?

These all three are different questions in itself. See, if you go to our slide number 25, how we arrive at these surpluses are we have major component of this is about ₹8,816 crore, which is coming from the surplus from all current ongoing projects, where it's either we have launched or we are about to launch.

If I reduce all my construction and project expenses, what kind of surplus we're estimating to generate. After that, we have two commercial assets.

If we choose to exit out of those assets, what kind of surplus we're going to get, which is ₹2,131 crore. Beside that, we have given a guidance for the new launch pipeline.

If I estimate a surplus from those new launches, that will come about another ₹8,343 crore. Thereby, if adds up all three, the estimated surplus from current ongoing projects, commercial projects, and the launch pipeline, it comes to ₹19,219 crore.

Coming to that what kind of GDV we have taken, the launch pipeline GDV, we are talking about ₹22,000-odd crore. Ongoing project is not coming out of the GDV.

The ongoing project is coming from the balance collection from sold or unsold units which is remained there, and then that is how it can be calculated. I hope I have clarified your questions.

Sir, this surplus is a free cash flow to the firm after all the expenses we have arrived at?

This cash flow is we have to meet sales and marketing expenses out of it. We have to pay income tax out of it.

Of course, what are our debts sitting in our balance sheet, that debt needs to be paid out of this collection surplus.

Understand, sir. After this, how much land bank approximately we will be left with?

See, our current land asset is about 56.48 million square feet. Out of that, we have given a guidance of about 21 million square feet right now.

So 56 minus 21 is about 30 35 million square feet still land bank will remain with us.

After this ₹19,000 crore surplus generated?

Yes. That if you refer to our slide number 15 of our investor presentation, there we have given detail of what kind of land asset we have.

If I minus it from the launch guidance which we have given, this number will come.

Understand, sir. Sir, last many times I was asking about any diversification apart from residential project, and we had some on initiation or some finding out.

We have something on cards?

We have commercial business already. Two commercial assets are being developed and new, as Rajat had mentioned, Hebbal, we are coming with a new commercial business.

Rest, I think, both the CEOs are there. They can give some thought about it that any new vertical we want to explore.

Just to add to what we're doing on commercial, we're also slowly and steadily developing our retail portfolio. Like in Mumbai in one of our projects in Thane, we have almost a 3 lakh square feet of retail portfolio that we're developing over there.

Also, as a business strategy and expansion, we're looking at growth verticals like data center and warehousing, where we are looking at right opportunities to enter. From a overall business perspective, I think we are open to opportunities in terms of wherever we get our benchmark IRR rates, and then we'll explore that.

Right now, data center and warehousing and retail are the three areas that we're looking at opportunities.

Understand, sir. Any timeline you want to give like two quarter, one...

No, it all depends upon the right opportunity at the right time. We are open in the market.

We're looking at and meeting the respective partners. Right now, I think it's difficult to give any timelines.

As I said, it's the right opportunity that we'll enter.

Okay. Sir, on the Starworth front, what is the current order book size?

Any possibility we can separately start reporting with it?

Right now, Starworth is not a segment of Puravankara Limited's business. However, financial statement of Starworth is currently separately published and uploaded in our website.

It's not a listed company, hence, I do not need to stock exchange, but our website, we publish financial statement of Starworth. As of now, financial statement of Starworth is up to FY 2025 is uploaded and available.

FY26, after this financial result, we will publish the Starworth financial statement as far as publishing is concerned. Coming to the order book is concerned, Starworth today have a order book of more than ₹2,000 crore.

Fantastic. Sir, last question from my side, any geographical diversification we are looking on east side like a West Bengal or Bihar, the emerging real estate, or a possible percentage share again we are looking apart from southern belt?

We are looking at NCR as expansion strategy for our business. I think our teams are there.

Again, as I said, we're looking at right opportunities. We're looking primarily at the region of Delhi, Noida, and Gurgaon to focus on right now.

Okay. Not a Tier 2 towns or anything like kind of opportunity we are looking at?

Not as part of the strategy right now.

Okay. Thank you so much, sir.

That's all from my side. Congratulations for good set of numbers.

Thank you.

Hello. Am I audible?

Yes, you are.

Yeah. What is the update on Malabar project on the approval side and what is the price per square feet we are looking in this project?

Malabar project, I think the DA, the definitive agreement, has been completed. I think we are yet to register it, which we're going to do by next 45-odd days.

Subsequently, we're going to apply for approvals. I think the approval timeline is between 9 to 12 months.

The pricing that we're looking at is around ₹115,000 to ₹120,000 for carpet areas.

Okay. I have one more question.

Also, given the ongoing geopolitical uncertainties, and are you witnessing any change in customer behavior, particularly in delays in booking decisions from end-users, and how is the company managing the impact of rising construction costs? Do you expect any meaningful effect on project margins or demand going forward?

I think it's in two buckets that you asked the question. One is how are the NRI, non-resident Indians, or the buyers from outside, how they're behaving.

Since we had a very successful launch quarter previous quarter, that we didn't find anything that is substantially different from what it is, and in fact, we had a good sales from NRI market. As we go forward, yes, any situation like a war is not something that is desirable, and it will have the effect on people.

Whether it is a positive or negative, at this point of time, we couldn't say that, because people, yes, generally people want to invest from outside the country in India when there is distress outside the country. Also, one thing that needs to be taken into consideration is the rupee depreciation.

The rupee depreciation should encourage people to put more money into India and coupled with uncertainties. At the same time, we have to also be mindful of people may be having some uncertainties about their earning outside the country because of whatever is happening.

We're cautiously looking at it, and maybe in couple of months that things will be sorting out, I believe, and let us look at it. As part of the second part of this thing as the construction cost, at this point of time, yes, we are looking at some 6% to 7% in a construction cost going up in terms of because of the diesel prices which went up recently.

With the kind of margins and other things that are already taken into consideration and the contingencies that are developed, at this point of time, we're not unduly concerned about it. As we go forward, again, the next couple of months, we'll have to wait and watch how all these things unfold.

Sir. Thank you for the opportunity.

Thank you.

Good morning. I just want to know what is the per square feet we are charging on the Northern Lights project, and what is the broader margin on such development we can expect?

What is the contribution of this project in this quarter, pre-sales contribution?

Northern Lights, we are at around ₹10,700 per square feet and above is what is our average price realization is what we say. That's where we are at this point of time.

Usually these kind of projects make in excess of 20% to 21% gross profit margins are there in a project like this. Apart from that, the third question is that I think it contributed for ₹1,100 crore ₹1,100 to ₹1,200 crore for the quarter at pre-sales number.

Okay. I also want to know can you throw some light on the margins in the redevelopment project, as well as in Purva Orient and the Purva Land project?

On the redevelopment projects, our strategy has been clear that we want to take opportunities which are closer to 20% margin, and that's what we're following. Even the recent launch that we did in Purva Stella, I think our margins are close to 20% now, slightly upwards of 20%.

Neeraj, you want to talk Yeah.

Purva Land is, if you are referring to the plotted project, plotted project margins are 35% plus. All the plotted projects may be 40%, 35% to 40% you earn a gross profit margin in the plotted development project.

Also it's depend on the each project also, there may be some projects where we go for joint development with a partner, then maybe our margins could be a little bit lower as well. It's project-to-project specific as Neeraj spoke in at 30% to 35% on land is possible.

Got it. Thank you so much.

Thank you.

Thank you.

Yeah. Hi.

Good morning and congratulations, Ashish and team, for the strong Q4 performance. Very encouraging to see the growth guidance as well as the outlook on debt reduction.

Yeah. My first question is on the growth guidance that we have given and especially now that we are ramping up in Bangalore and Mumbai.

Particularly to Bangalore, given this narrative on the demand impact due to AI, what kind of dynamics are you seeing on ground and what are the strategies we are adopting to counter that?

I don't see that in the residential development, at least, that we're seeing any kind of a large difference. Yes, if you look at what I call the frenzy a year back, and that might have not been there.

It's a very realistic market in Bangalore being where end-user market. It's been the sales have been a steady, you can also look at some our previous launch that what we had.

We did extremely well, and we sold around 30% of our project, and also that now there are another three projects which are coming up. We're studying the market, warming up the market, and we've got some encouraging results from there as well.

Whether it is AI, and I would actually look at it as a positive thing for any place which is technology-centric simply because AI also requires work and implementation and everything else that goes along with that. With the kind of AI plus GCC that is the combination, I expect the markets to be doing better, even better, and even it's also kind of reflected in what's happening in the commercial offtake in the first quarter and what is happening in this quarter of the new year and also the last quarter of the last year.

I believe AI is a good thing to happen, and it will be good for all businesses which serve the people.

Sure. In the last 1 or 2 months, have you seen some difference in the footfalls or the conversion ratios at the projects that are ongoing, any color on that?

As I said that if you look at the last one year, one year one year before, the the the frenzy which I spoke about may not be there, but it is a very, very steady market. I've not seen any decrease in the footfall.

Maybe people sometimes take a little bit more time to decide, but we're quite comfortable with it. It is all most of the sales and the numbers are matching whatever the plans that we had to sell, quite comfortable.

Understood. I see the response at the Lokhandwala project was also very strong.

What kind of strategies we have adopted because we have seen there were players in the vicinity who have already been in the Mumbai market. What kind of strategies did we adopt to capture this market, and how do we intend to capture a higher sales velocity at upcoming projects in Mumbai?

See, Harsh, honestly, I think our brand is playing a very, very key role in the overall the numbers that we're achieving right now. Of course, not to say that we spend a lot of time in understanding the consumers, getting the right product in the market, and I think that's going to be our strategy for even the upcoming launches that we're going to be having in Mumbai.

We, as a part of the process, it is a lot of time we spend on design. I think that was one big differentiating factor.

We also spend a lot of time in identifying the asset that we want to enter, like, for example, the Lokhandwala asset, right next to Lokhandwala market and Lokhandwala circle, I think itself was, I think, a big bonus point for us. Similarly, like the other launches like that we're going to have is the Pali Hill or Breach Candy or even the Deonar, BARC launch that we're going to have planning this year, the amount of effort that we're making at each and every checkpoint—asset, product, and the sales strategy—I think that is all coming up to resulting in these kind of numbers.

Understood, sir. In terms of our expansion in the Mumbai market, how are we looking at different micro-markets and what are the kind of projects under evaluation currently?

Harsh, I think, as we've as we've always said that we want to be catered to all parts of Mumbai. We'll start from Dombivli and Thane to even the, the most expensive part of Mumbai in Cuffe Parade or even in Breach Candy.

From a from a strategy point of view, that's that's will continue to be our mantra in Mumbai's growth story. We want to be in in more in the western suburbs.

We also want to grow in the eastern side of the side city. Also, we want to grow in the Mumbai 3.0.

We will be we will be technically in all parts of Mumbai and cater to entire all consumer strata of Mumbai.

Understood. Just the portion on the commercial segment that you mentioned one of the earlier questions.

What is the kind of traction? You said that you're getting an encouraging traction, but if you can quantify or maybe give some deeper color into that, that would be really helpful.

I think the traction is phenomenal. I think if you look at the ZenTech asset, we're already almost 44% either leased or sold.

I think all the leasing is gone to Grade A companies. Even I think when the OC is expected in next 15-20 days' time.

Even before the OC, we are around 44-45% leased and sold. Similarly, on the Aerocity, I think it's a large Grade A, platinum-rated asset.

I think we are obviously talking to a lot of GCCs right now. We're talking to a lot filling a lot of RFPs.

In fact, the quantum of RFP that we build is only in excess of around a couple of million-odd square feet. We're very, very hopeful that in next couple of quarters we will be able to close a couple of large deals in Aerocity, and the traction in ZenTech is anyways going on.

I think if the momentum on the commercial business is also very, very positive.

That's really encouraging. Finally on the data center bit that you mentioned earlier.

What is the outlook there? How are we planning to enter this segment, and what is the broader roadmap to this?

Harsh, as you know that data center is a very, very micro-market-centric business, right? Mumbai is around 49% of the market followed by Chennai.

We are open to opportunities. We are talking to partners, but I cannot give any timeline in terms of when we will enter this business.

If a right opportunity basis our benchmark IRRs meets us, I think that's when we're going to enter this segment.

This will be I believe a broadly a leasing business, right? Not we won't be partnering with any data center operator or anything?

No, it will be purely on the leasing side.

Understood. Sure, sir.

That's it from my side. Again, many congratulations for the performance and the encouraging guidance.

Thank you, Harsh.

Yeah. Hello, sir.

Am I audible?

Yes, you are.

Congrats on very strong operating performance and very encouraging guidance as well. Just a quick question with respect to debt, which is not including NCD of ₹1,400 crore.

In P&L, whatever interest we are providing of ₹650 crore, are we also considering interest to be payable on NCD in that ₹650 crore or...

Yes. Yes, of course, yes, because of the accounting norm and borrowing tenders.

That debt is a payable in our debt or even if a debt which we have taken, which is a payable as a function of project also, but on a fair value accounting perspective, I have to calculate the fair value cost of that instrument, and we have to charge to the P&L. That is accounting valuation and that...

That we are not paying interest as such.

We are not paying it. Because, for example, I can give you if I taken a money from in a kind of which are today in nature, where my repayment is a function of the performance of the project, because the servicing and the repayment has been linked with the performance of the project.

Essentially, if by any chance I'm sure all our project would do well, but by any chance project doesn't do well, then my cost of debt, even for repayment of debt, will come down. For the all fair value accounting perspective, today we have to get as a had this debt continue and taken on arm's-length basis, what could have been the cost.

On that basis, we have charged to P&L, and that has been done.

Interest cost or coupon rate, whatever you say, that will be higher than the 11% of the overall book, right, on the NCD?

Of course, fair value will be more of that particular instrument. My overall book is at 11.05%.

However, that particular instrument against which we have raised money to buy a land, that particular cost will be more. Again, as I said, the cost of more or less would be the function of the performance of the project.

Today, fair value is higher than the with 11.05%.

Okay. So ₹750 crore reduction plan we have, that is on net debt of ₹2,300 crore, not the gross debt, right?

That is the same thing, no? If the net debt is after reducing cash and bank balances.

If my gross debt reduced by ₹750 crore, the same amount will be reduced for the net debt as well.

If we use our cash to reduce our gross debt, net debt will be same, no?

No, no. A, my scheduled repayment is about ₹800 crore.

This financial year ₹836 crore. What I've said in that, my debt will be reduced by ₹836 crore.

Beside that, I'll be also doing some excess collection and then some loan repayment happen from the as I said. Those repayment will happen from project every cell.

As far as cash and cash equivalents is concerned, it has multiple uses. If some cash is sitting in the RERA account, which is meant for only projects.

If still after meeting all my project cost, servicing all my interest, if there is a surplus, that can be used for even debt as well.

Okay. So ₹750 crore reduction plan on gross debt, right?

Okay.

Okay. Thank you.

Hi, sir. Firstly, I would like to thank you and congratulate you on a great set of numbers.

Sir, we have done really well in FY26 in terms of pre-sales and collection. I know we usually don't give such forward-looking guidance, but can we expect such growth going forward?

What will be the geographical split and how will it...

We have given guidance this financial year. In my opening remarks, we have mentioned that next financial year we're targeting a sales of ₹11,200 crore as a company as a whole.

Out of that, about ₹7,000 crore will come from the southern market, and remaining sales is we are expecting to come from the West and commercial business.

Sir. Sir, I would like to ask one more question that are we looking into the senior housing space, as we have seen many players from the North has entered into it?

It has a bit of higher margins. I just would like a comment on that.

Basically because we're developing large townships kind of projects, right? Now some of the projects are in excess of 2 million and 3 million, and so where we have number of towers.

Now we would like to look at it, explore the possibility of putting one or two towers into this senior living. At the same time, senior living has three different components.

That is one is the real estate, the other one is the hospitality, the other one is the healthcare. Do we want to become the service providers ourselves is another question that we are just exploring internally.

Being in there as real estate developers, and I think that that is a must for us as we go forward as the population also will age and also the people who have the affordability are becoming older. I'm sure that there is a great opportunity in this, and we will definitely participate.

Sir. That was it.

Thank you.

Thank you, everybody, for joining this conference call. I hope me myself and my colleagues have been able to answer all your questions.

For any further questions, you reach out to us on our mail ID, which is provided in investor presentation. We'll be happy to giving you information and explanation.

Thank you very much once again.