Arvind SmartSpaces Limited — Q3 FY26

Arvind SmartSpaces Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=96pxwWYEPgk Published: 3 months ago

0:01 1 second Ladies and gentlemen, good day and welcome to the Arrwin Smart Spaces Limited Q3 and 9month FY26 post results 0:10 10 seconds earnings conference call. As a reminder, all participant lines will be in the listenon mode and there will be an 0:18 18 seconds opportunity for you to ask questions after the presentation concludes. Should you need assistance during this 0:25 25 seconds conference call, please signal an operator by pressing star then zero on your touchstone phone. Please note that 0:34 34 seconds this conference is being recorded. I now hand the conference over to Mr. Ahmed 0:41 41 seconds Sharma from ad factors. Thank you and over to you sir. 0:47 47 seconds Thank you Mark. Good afternoon everyone and thank you for joining us on the Q3 and 9 month FY26 results conference call 0:56 56 seconds of Urban Smart Spaces Limited. Today on the call we have with us Mr. Kolen Lalhai chairman 1:05 1 minute, 5 seconds Mr. Kamill Singaltime Director Strategy and Investments Mr. Pri Kapoor Managing Director and CEO 1:15 1 minute, 15 seconds Mr. Amit Chamaria, Chief Financial Officer and Mr. Vikram Rajput, Head Business Development, MMR and Investor relations. 1:25 1 minute, 25 seconds Please note that a copy of the disclosures is available on the investor sections of the website of Urban Smart Spaces Limited as well as on the stock 1:35 1 minute, 35 seconds exchanges. Please do note that anything said on this call that reflects the outlook towards the future should be 1:42 1 minute, 42 seconds construed as a forward-looking statement and must be reviewed in conjunction with the risks that the company possesses. 1:50 1 minute, 50 seconds I would now like to hand over the call to Mr. Kohen Lalai for his opening remarks. Thank you and over to you sir. 1:58 1 minute, 58 seconds Thank you. Good afternoon and a very warm welcome to everyone present on this call. Thank you for joining us today to 2:05 2 minutes, 5 seconds discuss the operating and financial performance of Arvin Smart Spaces for the quarter ended December 31st, 2025. 2:13 2 minutes, 13 seconds From a broader perspective, the residential real estate sector remains on a strong and well balanced footing as we look ahead into 2026. Demand 2:22 2 minutes, 22 seconds continues to be predominantly enduserdriven, supported by favorable structural factors such as urbanization, rising disposable incomes, and lifestyle 2:31 2 minutes, 31 seconds upgrades. Inventory levels across key markets remain healthy and new supply continues to be calibrated, reflecting a more disciplined and mature market environment. 2:41 2 minutes, 41 seconds I'm pleased to share that the strategic initiatives we put into motion are now beginning to show tangible results. Over the past few quarters, our focus has 2:50 2 minutes, 50 seconds been on strengthening the organization, enhancing our leadership depth, decentralizing execution, and building sharper accountability at the city 2:58 2 minutes, 58 seconds level. We are encouraged by the early benefit of these efforts reflected in improved execution momentum, a stronger 3:05 3 minutes, 5 seconds project pipeline and increasing organizational readiness to scale. 3:09 3 minutes, 9 seconds Importantly, we believe these initiatives will continue to deliver incremental benefits as we move forward. 3:16 3 minutes, 16 seconds I would now like to address an important leadership transition at Urban Smart Spaces. After successfully leading the company through a phase of significant 3:24 3 minutes, 24 seconds growth and consolidation, Kamalvi will be stepping down from his role as managing director and taking over a broader role in the group. For over 15 3:33 3 minutes, 33 seconds years, his name has been synonymous with this company. I remember the early days in 2008 when ASL was just a budding 3:40 3 minutes, 40 seconds vision which has now become one of the most exciting platforms in the real estate space under his able leadership. 3:46 3 minutes, 46 seconds The defining moment was the pivotal de merger in 2015 when he steered ASL into becoming a standalone listed company 3:54 3 minutes, 54 seconds with its own identity and purpose. It was a move that reshaped our future by carrying forward the 128-year-old 4:02 4 minutes, 2 seconds Lalhigh legacy of integrity. ASL has not only built projects but a pan India present uh a pan India brand anchored in 4:10 4 minutes, 10 seconds trust, quality and values. From our roots in Ahmedabad to our growing presence in Bangaluru and MMR, Kamalai has scaled ASL with strategic clarity 4:19 4 minutes, 19 seconds and deep personal commitment. While he steps away from his role of managing director, it is deeply reassuring that we will continue to benefit from his 4:27 4 minutes, 27 seconds wisdom and guidance as whole-time director overseeing strategy and investments. He will also work on a broader group level mandate with the 4:35 4 minutes, 35 seconds promoters. As we look ahead, I'm very excited to announce that Priyank Kapoor will be taking over as our new managing 4:42 4 minutes, 42 seconds director. With his proven execution capabilities, extensive experience and deep understanding of the real estate business, he will build on this strong 4:50 4 minutes, 50 seconds foundation and will further scale the company to the next orbit in the coming years. In a short period of time, he has settled in wonderfully into our culture 4:58 4 minutes, 58 seconds and has worked to bring a new momentum to our growth strategy. With this I would now like to invite Kamal Bay to share a few thoughts on his journey at 5:07 5 minutes, 7 seconds Arvin Smart Spaces and his perspective as we move to the next phase. Kamal Bay over to you. 5:14 5 minutes, 14 seconds Thank you Kenb and good afternoon everyone. Uh sitting here today along with this team it feels like just yesterday that we were sitting in a 5:22 5 minutes, 22 seconds small room dreaming of what a real estate company born out of Arvin DNA could look like. It is with a heart full 5:29 5 minutes, 29 seconds of memories and a deep sense of fulfillment that I stepped down as managing director reflecting on this 15 years journey. It is deeply humbling to 5:38 5 minutes, 38 seconds see how far we have come. What began as a modest extension of Urban Limited gradually evolved into a distinct 5:45 5 minutes, 45 seconds identity shaped by purpose, resilience and conviction. The de merger was not merely merely a structural decision. It 5:53 5 minutes, 53 seconds was a defining leap that tested our resolves to ultimately validate that ultimately validated our belief that 6:00 6 minutes Lalai legacy of integrity could flourish into real estate sector. Watching ASL grow from those early foundations into a 6:08 6 minutes, 8 seconds nationally respected platform has been the most fulfilling chapter of my professional life. As ASL is poised for 6:16 6 minutes, 16 seconds a promising future, I look forward with enthusiasm to contribute at the board level working closely with Colleen and 6:22 6 minutes, 22 seconds Pri. I as I transition into the role of full-time director, strategy and investments, I do so with complete 6:30 6 minutes, 30 seconds confidence and peace of mind knowing that ASL is in exceptional hands. Pri brings with him a sharp strategic 6:38 6 minutes, 38 seconds insight, contemporary leadership and a clear vision for the future. In passing on this responsibility, I'm not merely 6:46 6 minutes, 46 seconds handing over an organization but entrusting a culture built on excellence, discipline, and deeply held values. I'm certain that under his 6:55 6 minutes, 55 seconds leadership, ASL will scale greater heights while remaining firmly anchored into the principles define define that 7:03 7 minutes, 3 seconds define Arvin ethos. To the entire team, thank you for every brick that we have laid together. The legacy is in safe hands and I'm sure that the best is yet to come. Thank you and over to you Bri. 7:16 7 minutes, 16 seconds Thank you Kamalai. Good afternoon to everyone present on the call. Thank you to Kulin and Kamarji and the entire board for the trust that you placed in 7:24 7 minutes, 24 seconds me. Over the past 6 months as full-time director and CEO, I've had the opportunity to work closely with the board and the leadership team and have 7:32 7 minutes, 32 seconds gained deep understanding of the group's brand and legacy, the company's strength and the opportunities that are ahead of us. As I assume the new role, my focus 7:41 7 minutes, 41 seconds continues to be on building a strong project pipeline, strengthening our execution capabilities so that we can delight our customers. I continue to 7:50 7 minutes, 50 seconds remain committed to build a strong foundation laid by Kamji and the team driving sustainable and long-term growth for all stakeholders. 7:59 7 minutes, 59 seconds Coming to the performance, I'm pleased to share that we have carried the momentum from the first half of the year into quarter 3. We've reported our 8:07 8 minutes, 7 seconds highest ever 9-month bookings and collections in this year. 9-month bookings improved by 5% yearon year to 8:15 8 minutes, 15 seconds 938 crores. Sales momentum during the quarter remained healthy with bookings of rupees 331 crores, a growth of 48% on 8:24 8 minutes, 24 seconds a year-on-year basis. A notable highlight of this quarter was the continued traction in sustainance sales across several of our projects. This is 8:33 8 minutes, 33 seconds in line with what we communicated during our last con call about our focus on driving sustainance performance. This reinforces our ability to maintain sales 8:41 8 minutes, 41 seconds velocity well beyond the launch phase and reflects sustained customer confidence in our product pricing and delivery capabilities. 8:50 8 minutes, 50 seconds Sustained sales are increasingly becoming a meaningful contributor to our overall bookings which adds stability and predictability to our sales and our 8:58 8 minutes, 58 seconds cash flows. We reported our highest ever 9mon collection in FY26 amounting to 9:04 9 minutes, 4 seconds rupees 744 kores up 2% on a year-on-year basis reflecting strong cash conversion 9:12 9 minutes, 12 seconds and disciplined follow-through on receivables. 9:15 9 minutes, 15 seconds Quarterly collections were also the highest ever which increased to about 38% yearonear to rupees 317 crores. On 9:23 9 minutes, 23 seconds the business development front, we continue to expand our portfolio in a calibrated and selective manner aligned with our focus on highquality micro 9:31 9 minutes, 31 seconds markets and disciplined capital deployment. Our cumulative new business development topline potential for the year stands at approximately rupees 9:40 9 minutes, 40 seconds 2,510 crores which includes two two new projects in Bangaluri and one each in Ahmedabad and Varodra. In Q3, we added a 9:49 9 minutes, 49 seconds residential high-rise project in Vatraur, Calderabad with a topline potential of rupees 400 crores and sellable area of 3.6 lakh square ft. In 9:58 9 minutes, 58 seconds quarter 3, we also added a premium residential high-rise project in Nalura Hali area of Whitefield in Bangalore with a topline potential of rupees 550 10:08 10 minutes, 8 seconds crores and cable area of 4.6 lakh square ft. Very recently in January 2026, we 10:15 10 minutes, 15 seconds have added a premium residential high-rise project in Sarjapur, Bangaluru with a topline potential of rupees 860 crores and salable area of 6.8 lakh 10:24 10 minutes, 24 seconds square ft. All these projects have augmented our vertical development portfolio. Our business development pipeline remains robust and we are 10:33 10 minutes, 33 seconds actively evaluating multiple opportunities across our core markets of Gujarat, Bangalore and Mymar. 10:41 10 minutes, 41 seconds Now moving from operational updates to the financial highlights. In 9 months we have reported revenue of rupes 409 crores as against rups 550 crores in the 10:50 10 minutes, 50 seconds last year. 9 month stood at rupees 100 crores as against rups 150 crores last year and pad amounted to rupes 59 crores 10:58 10 minutes, 58 seconds as against rups 97 crores last year. In Q3 we reported a revenue of rups 166 crores as against rups 210 cr last year. 11:09 11 minutes, 9 seconds While on sequential basis it grew 16%. 11:12 11 minutes, 12 seconds Q3 EITA stood at rupes 44 crores as against rupes 60 cr last year and an increase of 30% quarteron quarter. PAT 11:22 11 minutes, 22 seconds for the quarter amounted to rups 29 crores against rupes 50 cr last year and a growth of 38% quarteron quarter. 11:30 11 minutes, 30 seconds Our balance sheet position remains very strong despite expanding operations with a net debt of rupes 79 crores as on December 31st 2025. 11:40 11 minutes, 40 seconds A crucial parameter in real estate reflect the underlying performance quite well is the operating cash flows. 11:46 11 minutes, 46 seconds Operating cash flows during the quarter and 9mon period remained robust underscoring the strength of our business model, the quality of our 11:54 11 minutes, 54 seconds project portfolio and execution. I would like to highlight the quarterly operating cash flows were the highest ever. Operating cash flows in Q3 12:02 12 minutes, 2 seconds amounted to rupees 169 crores a 128% year-on-year growth and for 9 months it 12:09 12 minutes, 9 seconds amounted to rupes 321 crores or 16% year-on-year growth. We estimate an unrealized operating cash flow exceeding 12:16 12 minutes, 16 seconds rupees 4581 crores coming from the current pipeline of projects. This is expected to be realized over the next 4 12:24 12 minutes, 24 seconds to 5 years. Looking ahead, the residential real estate market remains on a strong and balanced footing. We are steering our smart spaces towards an era 12:33 12 minutes, 33 seconds of unprecedented scale. Yet, our DNA remains uncompromisingly rooted in our high capital efficiency and robust cash 12:40 12 minutes, 40 seconds flow generation. We will continue to deliver the win experience to our customers while maintaining the financial discipline that creates 12:48 12 minutes, 48 seconds long-term value to our shareholders. As we look towards the final quarter of FI26, we look forward to launching our projects across our targeted markets and 12:57 12 minutes, 57 seconds the year end the year on the strong note. Thank you. We can now open the floor for questions and answers session. 13:33 13 minutes, 33 seconds Thank you very much. 13:35 13 minutes, 35 seconds We will now begin the question and answer session. 13:39 13 minutes, 39 seconds Anyone who wishes to ask a question may press star and one on the touchstone telephone. If you wish to remove yourself from the question queue, you 13:48 13 minutes, 48 seconds may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will 13:56 13 minutes, 56 seconds wait for a moment while the question queue assembles. 14:00 14 minutes The first question is from the line of Isha from Access Securities. Please go ahead. 14:07 14 minutes, 7 seconds Hi, good morning and thank you for the opportunity. Uh the first question would be can I just know what is the B uh GDV 14:14 14 minutes, 14 seconds of the launches in 9 months FY26 and what is the kind of sales at launch uh proportion that we are seeing on these 14:21 14 minutes, 21 seconds launches right Isha so Isha so far among the new launches uh that we have done we did 14:30 14 minutes, 30 seconds Everland as you know which was uh launched actually in quarter 2 so that was about 500 crores of inventory and uh so far in 9 months we have had about 450 14:39 14 minutes, 39 seconds 50 odd kores of sales. So if you see we launched Everland in 3 months we have been able to sell 90% of uh the inventory in that project. Other than 14:48 14 minutes, 48 seconds that all our other launches are actually now uh lumped in this quarter 4. So what we are looking forward to is now 14:55 14 minutes, 55 seconds launching our bara project and we've also got approvals in quarter 4 in in the month of January we got approvals for orchards phase 2. So we are working 15:03 15 minutes, 3 seconds on launching Baruda Orchard phase 2 and we are also at an advanced stage of approvals for our industrial project which is coming up in Ahmedabad and we 15:12 15 minutes, 12 seconds continue to work on the Bangalore project. So so far what we've launched actually in the first 9 months is in terms of new project is Everland which 15:19 15 minutes, 19 seconds was 500 crores but we are having a very strong pipeline now which is going into quarter 4 uh right now and for Boda 15:27 15 minutes, 27 seconds we'll be launching about 400 crores of inventory that is what we are looking at which is the first phase of the 700 crores of total inventory in the project 15:37 15 minutes, 37 seconds uh for industrial we will be getting approval for our first phase which is targeted in this quarter that is approximately 600 to 650 50 kores of uh 15:45 15 minutes, 45 seconds inventory. So these are the two large inventories which are coming in. Other than this we we've already got approval for orchard phase 2 which is a smaller 15:52 15 minutes, 52 seconds quantum of inventory and we working on the two Bangalore projects. 15:57 15 minutes, 57 seconds So the total uh inventory that we'll be launching in quarter 4 if I'm not wrong will be around 1,500 crores. Am I right? 16:05 16 minutes, 5 seconds That's correct. That's correct. And uh what is the kind of sales at launch that we're expecting for these projects going forward like 90% is something which is 16:14 16 minutes, 14 seconds an euphoric uh this thing like what is the sustainable rate that we are seeing going forward. See generally if you see 16:22 16 minutes, 22 seconds all our guidance and all our project underwriting we do that 30 to 40% in the launch that is what we do fortunately we've been selling lot more than that 16:31 16 minutes, 31 seconds but today I would say uh I think we should look at what is the general underwriting norms in the market that is about 40 50% that is what I would say 16:39 16 minutes, 39 seconds will be a fair way of assessing the absorption and second it will also vary by the type of asset class so something like an industrial probably will be 16:46 16 minutes, 46 seconds slightly lower residential might be slightly Correct. Correct. And uh my last question would be on sustainance sales 16:54 16 minutes, 54 seconds run rate. Uh what is the kind of run rate? Like we are seeing good uh substant sales for the past quarter that is on buy. So what is the kind of run rate that we're seeing? Are we looking 17:02 17 minutes, 2 seconds at a 300 350 CR going forward as well? 17:07 17 minutes, 7 seconds So if you see last quarter we did uh almost 280 crores which came from sustainance excluding the eent spillover 17:14 17 minutes, 14 seconds of the launch volume. So we are actually doing quite well on the sustainance number and I think going forward we have a reasonable chance that we can maintain 17:21 17 minutes, 21 seconds this 200 cr kind of guidance on the sustainance numbers. It's also a function of the amount of inventory we are able to replace and uh get in terms 17:29 17 minutes, 29 seconds of launches but I think this is almost a 200 cr kind of a number seems fair. 17:35 17 minutes, 35 seconds Got it. Got it. Okay. That's it from my side. Thank you for asking. All the best. Thank you. Thank you. 17:44 17 minutes, 44 seconds Thank you. 17:48 17 minutes, 48 seconds The next question is from the line of Shrian Meta from Aquis. Please go ahead. 17:54 17 minutes, 54 seconds Yeah. Uh thanks for the opportunity. So just to you know just a follow up on the previous question. So how should one 18:01 18 minutes, 1 second look at the pre-sales you know we had guided for closure to 1600 and you know looking at say,000 odd crores and 18:09 18 minutes, 9 seconds assuming 70 80%. So it seems you know we'll easily surpass our guidance is that you know on top of it we'll be also having the sustainance sales. So a how 18:18 18 minutes, 18 seconds should one look at it? Second question is on the BD you know BD we were closer to 5,000 odd crores and guidance and 18:25 18 minutes, 25 seconds right now we are at 50%. So how should you know one look at that and in terms of outright deals how should one look at 18:32 18 minutes, 32 seconds BD will it be more towards GV GDA or you know towards outright these are two questions from my side 18:39 18 minutes, 39 seconds right thanks thank thanks so on sales we are maintaining a guidance which like you said was about 1 1600700 cr uh 18:47 18 minutes, 47 seconds largely because I said we have different asset classes and we are also getting our industrial project uh which is going to come in so with our absorption ratio 18:56 18 minutes, 56 seconds on residential and industry expected to be slightly slow because of the longer lead time of conversion in that particular asset. So we expect we still 19:03 19 minutes, 3 seconds want to maintain our guidance on on sales right now. Uh coming to the BD so 19:09 19 minutes, 9 seconds we have uh comp done a GDP of about 2510 crores and last time we mentioned that we are aiming for about close to about 3 19:17 19 minutes, 17 seconds and a half to 4,000 cr in terms of our uh BD guidance. we remain on track the pipeline is very very healthy but like we mentioned last time on BD it's always 19:26 19 minutes, 26 seconds binary so we of course want to lock the right kind of deals today we feel quite confident that we should be able to uh meet our uh guidance with the kind of 19:34 19 minutes, 34 seconds project pipeline that we are seeing on the BD front on your question on the mix of BD uh we so we've last few 19:41 19 minutes, 41 seconds acquisitions have been outright that is primary to balance the portfolio because we've been saying we will largely be 60 70% JD on our strategy so currently we 19:49 19 minutes, 49 seconds were actually more and last few assets were quite lucrative. So uh the Bangalore projects that we've done, they are on the on an outright basis but largely we expect to be in the same 19:58 19 minutes, 58 seconds range of doing 60 to 70% of our GDV on uh BD on a on I would say a medium-term basis. 20:06 20 minutes, 6 seconds Sure. And one last question from my side on the industry you know we've been hearing a lot of noise that there's been some slowdown know some of the 20:14 20 minutes, 14 seconds participants have also you know lowered their guidance. So a how should one look at industry and secondly Bangalore per se you know we had uh planned a few 20:23 20 minutes, 23 seconds launches but you know in in uh in the remarks you've not mentioned so Bangalore so is it because approval related issues or is it because of some 20:32 20 minutes, 32 seconds demand slowdown which we are seeing in Bangalore right uh so on overall slowdown I think we yes when we are also looking at I 20:40 20 minutes, 40 seconds would say secondary data yes we do believe I think the markets are not showing further euphoric growth from the base of the last financial year. Having 20:48 20 minutes, 48 seconds said this, the markets really expanded in this last four five year cycle. So at our base, the opportunity that we have in all the markets is still very very 20:55 20 minutes, 55 seconds huge even with stabilized market and generally what we are also noticing that there is some amount of growth coming in terms of the value growth of the market. 21:04 21 minutes, 4 seconds While the volumes could be flattish but the values are still growing and the segment that we are focusing on I think uh we feel fairly confident those 21:11 21 minutes, 11 seconds segments are actually doing very very well. So we are not seeing any worry with respect to the kind of portfolio and the markets we are in uh with 21:18 21 minutes, 18 seconds respect to any slowdown of assets approvals in Bangalore. Yes, we have actually been slower than expected. I think like you mentioned there was some 21:26 21 minutes, 26 seconds changes in the Bangalore regulatory environment and the processes are getting streamlined from a long-term basis with multiple uh municipal 21:34 21 minutes, 34 seconds corporations and authorities getting created. We believe I think that will start showing long-term advantages in the way approvals will move but in the short term it has actually yes brought 21:42 21 minutes, 42 seconds in some uh I would say unpredictability for us or slight slowdown in terms of the pace of approvals but now I understanding is a lot of these 21:51 21 minutes, 51 seconds processes and the new we're working in Bangalore is stabilized and these GBAs are getting operational so we expect to start seeing momentum now over the next 21:59 21 minutes, 59 seconds coming months on the approval front as well. 22:02 22 minutes, 2 seconds Sure. Uh so just to hop on it so you feel you know bananard gaka or any other Bangalore project could you know come into 4q or probably we are looking at you know towards next year only. 22:15 22 minutes, 15 seconds So currently when we actually looking at our launch guidance we are considering that we should be able to bring one project from Bangalore uh to the market. 22:24 22 minutes, 24 seconds So we working on in parallel on two approvals as you know in Bangalore. So we are hoping one of those will actually come to the market by the end of the current financial year. 22:33 22 minutes, 33 seconds Got it. Got it. That's it from my side. Thank you and all the best. 22:41 22 minutes, 41 seconds Thank you. The next question is from the line of Vun Jilasari from 361 Capital. Please go ahead. 22:51 22 minutes, 51 seconds Yeah. Hi, thank you for the opportunity sir. Just wanted to check like earlier we were guiding for you know 2500 to 3,000 cr of launch for this quarter. uh 22:59 22 minutes, 59 seconds so you know uh I mean what is the pos reason for you know the number going down to 1500 cr now 23:08 23 minutes, 8 seconds uh so sorry can you just repeat the question no earlier we were aiming for 2500 cr to 3,000 cr of launches for this quarter 23:16 23 minutes, 16 seconds right I mean uh now we are seeing 1 1500 cr of launch for the fourth quarter so 23:24 23 minutes, 24 seconds right so yes we we were actually aiming for about 2500 cr for the year. You're right actually and we had done only 500. 23:30 23 minutes, 30 seconds So it meant that we should have at least launched about 2,000 cr of inventory in the in the last quarter. So one reason 23:38 23 minutes, 38 seconds like you said is in Bangalore out of the two projects that we were thinking that we will get in the current year. We are going to probably get one of those. 23:45 23 minutes, 45 seconds That's our current uh best estimate on on the approval front. Second, we had also mentioned earlier that the industrial project may come in parts and 23:54 23 minutes, 54 seconds Boda also we are launching in phases. So Boda we are doing phase one. We are expecting we are putting about 400 crores of inventory and industrial we 24:01 24 minutes, 1 second are getting approval for the first phase. Uh like I said that is about 600 to 700 crores of uh total topline potential in the industrial while the 24:09 24 minutes, 9 seconds total project of industrial is actually close to about 1,500 crores. So it's also a function of this phase wise approvals phase wise strategy that we 24:16 24 minutes, 16 seconds have taken on execution that the inventory quantum is is slightly lower. 24:21 24 minutes, 21 seconds Having said this with the same inventory quantum we are maintaining the the sales guidance that we are actually uh given for the for the year. 24:30 24 minutes, 30 seconds So the launches which you mentioned we are very sure to launch this. I mean there's no a risk for a spill over to next quarter right 24:38 24 minutes, 38 seconds I would say fairly confident we're working on this but regulatory approvals uh difficult to exactly pinpoint a date and uh we have almost about 2 months to 24:47 24 minutes, 47 seconds go uh in in the year. uh we'll hope we'll assume that will come in the year but I would say whether you can be absolutely 100% confident on a 24:55 24 minutes, 55 seconds regulatory approval on the exact date slightly difficult but we are I would say reasonably confident that one of these projects in Bangalore is in the 25:02 25 minutes, 2 seconds current year boda industrial we see the risk is very low because Bodha we've already got the approval it's now in our hands to our pre-launch activities are 25:10 25 minutes, 10 seconds on and we are actually looking at launching in the current quarter orchard phase 2 in Bangalore like I said we secured the approval already so I think the only uncertainty remains on the two 25:19 25 minutes, 19 seconds projects in Bangalore out of which most likely you will get one of those in the current year. 25:25 25 minutes, 25 seconds Okay. As for next year sir, what is the kind of launch? 25:30 25 minutes, 30 seconds Uh so next year we will be discussing that guidance probably in our next call what are we looking at? But I think largely with the BD momentum being quite 25:38 25 minutes, 38 seconds strong we are quite confident and we'll be looking at a strong pipeline of launches in the next year as well. 25:45 25 minutes, 45 seconds Okay. And sir, anything on the uh redevelopment opportunities that we were exploring? Uh have we come across anything that we probably at active stage of approve I mean consideration? 25:58 25 minutes, 58 seconds Uh so you're talking specifically Mumbai? 26:00 26 minutes Yeah Mumbai. So Mumbai our pipeline remains quite strong and uh includes redevelopment projects and uh we' 26:08 26 minutes, 8 seconds mentioned some projects were at very very advanced stage and we are again seeing good momentum taking slightly longer because again multiple 26:16 26 minutes, 16 seconds stakeholders that uh we have to deal with in terms of locking those but the quality of the assets and the kind of pipeline we have built. We are very excited about it. So Mumbai our pipeline 26:24 26 minutes, 24 seconds of project has really uh moved quite well over the last few months gives us confidence that we should be looking at some uh decent amount of closures over the next two three months. 26:36 26 minutes, 36 seconds And sir on the BD which we have done for the year is there any other like land payment or cape which is spending for the uh BD which we have already concluded. 26:48 26 minutes, 48 seconds Uh so so soapur is is one land I think but we can give you the details offline if you want what is the exact this uh soapur is a land 26:57 26 minutes, 57 seconds which we have already some payments that we need to continue to make so that is one uh project I other than that I think yeah so that's the only one otherwise I 27:06 27 minutes, 6 seconds think vikram can share the details of plan with you there are nothing very significant I would say 27:13 27 minutes, 13 seconds okay so okay that that's it from thank Thank you 27:21 27 minutes, 21 seconds ladies and gentlemen. If anyone wishes to ask a question, you may press star and one on your touchstone telephone. 27:30 27 minutes, 30 seconds The next question is from the line of Amit Agava. Please go ahead. 27:36 27 minutes, 36 seconds Yeah. Good afternoon, sir. Am I honorable? 27:41 27 minutes, 41 seconds Yeah. Thank you for the opportunity and congratulations for good set of member sir. So my question is like what is the percentage marketing cost compared to the bookings? 27:51 27 minutes, 51 seconds So uh uh hi Samit and uh so your question is on marketing and uh the marketing cost as a percentage of the total topline right? 28:00 28 minutes Yes. Yes. 28:01 28 minutes, 1 second Okay. So so generally as a thumb rule while there could be cotton quarter project level variation but as a thumb rule pure marketing cost will be close 28:09 28 minutes, 9 seconds to about 1 to one and a half%. including brokerage typically what we might be incurring on our portfolio might be closer to about 3 and a half to 4%. So, 28:17 28 minutes, 17 seconds so marketing and support activities everything added about 3 and a half to 4% is what we must be spending and would it be possible for you to give 28:25 28 minutes, 25 seconds the number like what would be the percentage digital bookings? 28:30 28 minutes, 30 seconds Uh we can come back to you offline on this don't have the exact number but digital is something that has been moving up now as a as a share of our uh 28:38 28 minutes, 38 seconds booking value but I would still say channel partners that is that remains the most significant part of our business in general. 28:46 28 minutes, 46 seconds And sir, last question from my side. S in Mumbai like especially in Maharashtra like any leadership changes like you must have done any new any new appointments? 28:56 28 minutes, 56 seconds Uh you're saying from our own internal team perspective? Yes. Yes. 29:01 29 minutes, 1 second Okay. So yeah so Mumbai we continue to strengthen our team as we are now getting a strong pipeline of projects that we are working on with these various term sheets and various 29:09 29 minutes, 9 seconds discussions which are very active. So we continue to strengthen our team on all fronts. Uh whether it is sales, marketing, execution and all fronts. So 29:17 29 minutes, 17 seconds we are in process of actually scaling up and adding more and more members. So that's something which is happening on a very regular and ongoing basis. And now 29:25 29 minutes, 25 seconds the urgency like like you said is of course much higher because we are seeing a strong traction on the pipeline of projects. Amit Kamill here on team 29:33 29 minutes, 33 seconds building maybe we can put a little special focus here and it's a great question to ask at this point in time. 29:40 29 minutes, 40 seconds uh the way the team looks today as compared to how it used to look maybe one month back and then two months back 29:47 29 minutes, 47 seconds and then 3 months back. I think this is one area where Panch has really taken off and we have gotten some very very 29:57 29 minutes, 57 seconds senior levels and and some very talented people across functions in the business and this is one change which is very 30:04 30 minutes, 4 seconds very visible uh in the organization. So this is one area where where a lot of effort lot of focus of all of us have 30:12 30 minutes, 12 seconds gone into. Pri has had a very very special uh kind of effort on this that he has put in uh even Kenbai has been uh 30:21 30 minutes, 21 seconds this is one agenda that he has been personally driving and team building adding newer people making the team 30:28 30 minutes, 28 seconds future ready which is imminent as such is happening on ground and it's very clearly visible on on ground. 30:36 30 minutes, 36 seconds Thank you sir. I appreciate you answering my questions and all the best for the future. Thank you. Thank you. 30:46 30 minutes, 46 seconds Thank you. Participants who wish to ask a question may press star and one on the touchstone telephone. The next question is from the line of s from oneup fina. 30:58 30 minutes, 58 seconds Please go ahead. 31:00 31 minutes Hi uh good afternoon sir. Uh so a couple of questions. Uh so firstly what is the update on the KJAT project? Uh 31:10 31 minutes, 10 seconds please speak loudly sorry uh sorry you can't hear you very clearly possible to be slightly louder. 31:18 31 minutes, 18 seconds Is this is this better? Yes much better. 31:21 31 minutes, 21 seconds Yeah. Yeah. What is the update on the Kjat project? 31:25 31 minutes, 25 seconds Okay. So uh Rik that's a a project uh you're talking about the the Mumbai Penapoli project that uh that's there that's so that's a project where we are 31:33 31 minutes, 33 seconds working on our approvals right now. So we are actually looking at getting the approvals uh in the next few months most likely it's a launch that will come in 31:42 31 minutes, 42 seconds the next financial year but our approvals are moving very well now our uh uh process readiness pre- readiness I think all that is on track so expecting 31:51 31 minutes, 51 seconds to launch that project in the next financial year. Okay. And and Surat would also be uh in FI27. 32:00 32 minutes So Surat uh actually it is we have given an update. It is status quo as the last update we gave. So we don't see I would 32:08 32 minutes, 8 seconds say launch at least in the next couple of quarters and uh we are talking to a partner there. We should hopefully have greater clarity by the next quarter. And 32:16 32 minutes, 16 seconds if you recall last call we had mentioned that because Hudat was going slow that was the reason why we added Varodra because we wanted to really play the 32:24 32 minutes, 24 seconds Ahmedabad plus one opportunity in in the Gujarat market. So Boda we were able to add in record time. We've been able to turn around approvals very very quickly. 32:34 32 minutes, 34 seconds So we believe I think at least we've got a good project from a immediate replacement perspective and next couple of quarters I think we should be able to 32:41 32 minutes, 41 seconds give more clarity on how we are going about the project. Spotted. Spotted. And uh sir, if we look at one of your slides 32:50 32 minutes, 50 seconds where you mentioned the total operating cash flow and there there's a inventory of upcoming uh inventory of about 10,000 32:58 32 minutes, 58 seconds crores which the projects we have acquired over the last couple of years. 33:02 33 minutes, 2 seconds So what would be a you know internal timeline to launch these projects? would uh 3 years would be a reasonable 33:10 33 minutes, 10 seconds internal timeline to launch these projects or so so what is our internal estimates for that? 33:17 33 minutes, 17 seconds So so you you're talking about the projects that the entire inventory that we have actually listed right. 33:23 33 minutes, 23 seconds Yeah. Yeah. The upcoming yet to be launched inventory. 33:26 33 minutes, 26 seconds So so most of these projects they are work in progress and some of these are very very large projects. So there is a possibility some of the phases of these 33:33 33 minutes, 33 seconds projects will come in over the next one one and a half year but largely when we are looking at that kind of inventory we are looking at monetizing most of these assets over the next four to 5 years 33:42 33 minutes, 42 seconds from a launch selling and construction perspective. So that is the duration we are looking at launch depending on I 33:49 33 minutes, 49 seconds would say because some of these this is still quite Ahmedabad heavy from a inventory perspective. The launch may be also a function of the kind of 33:58 33 minutes, 58 seconds opportunity where we see but over I would say 18 months we will expect most of this inventory to start coming into the market. 34:05 34 minutes, 5 seconds Okay. Wow. Okay. So so basically FI 27 and 28 that that's what yeah that's that's the timeline but like 34:12 34 minutes, 12 seconds I said for for last projects it could be in phases. 34:15 34 minutes, 15 seconds Sure. Sure. Got it. And just one clarification you mentioned four projects uh we plan to launch in Q4. uh 34:22 34 minutes, 22 seconds what would be the GDB of these four projects if all were launched? 34:27 34 minutes, 27 seconds Uh so close to about 1,500, 1,600 kores of GDB because like I said we are launching part of the industrial and 34:34 34 minutes, 34 seconds part of the bara project. So about 1,500 to 1600 kores from these four projects that we are bringing in and orchards is also a phase. So when I'm saying four it 34:43 34 minutes, 43 seconds includes orchard phase 2 which is phase that so each would be approximately 400 odd crores of GD. purchase phase 2 is close 34:52 34 minutes, 52 seconds to about 100 crores. So it's not a very large uh phase. Okay. And boda you said is 450 crores. 34:59 34 minutes, 59 seconds Boda is close to about 400 450 odd crores in that range. That is the size of the first phase that we have. 35:05 35 minutes, 5 seconds Okay. And the industrial park is sorry just to industrial will be between 600 to 650 kores of uh inventory. Uh that is what 35:12 35 minutes, 12 seconds we getting approval for in the first phase. Got it. Okay. Okay. Uh this is helpful. 35:17 35 minutes, 17 seconds Uh thank you and all the best uh Priyank for your new role and uh thank uh thank you Kamill G and all the best. 35:25 35 minutes, 25 seconds Thank you so much. 35:27 35 minutes, 27 seconds Thank you. The next question is on the line Pak from MK Global. Please go ahead sir. 35:36 35 minutes, 36 seconds Yeah. Hi team good afternoon. So uh my first question is on your project mix. 35:41 35 minutes, 41 seconds So when I see your slide 24 uh you know even X of MMR when your projects are getting added in Gujarat and Bangalore 35:49 35 minutes, 49 seconds market your mix has moved your horizontal mix used to be 80% that has you know now moved to around close to 35:57 35 minutes, 57 seconds 70%. So even act as of MMR how are we thinking of this project mix over the medium term if you can please highlight 36:05 36 minutes, 5 seconds some of your strategy right right so overall from a medium-term four to 5 year guidance what 36:12 36 minutes, 12 seconds we've been seeing that vertical will be 60 to 70% of our portfolio so gradually the shift that you're noticing in the portfolio where horizontal is coming 36:21 36 minutes, 21 seconds down this shift is something that you will structurally see over the next uh 3 four years so something which is part of 36:28 36 minutes, 28 seconds strategy and of course as Mumbai comes in uh as a as a part of the portfolio it will automatically be able to also augment the more uh vertical development 36:38 36 minutes, 38 seconds considering the booking values of single projects are very large right understood and even your share of 36:46 36 minutes, 46 seconds luxury uh segment has moved up I think it earlier used to be around 10% now it's slowly and gradually moving up so 36:54 36 minutes, 54 seconds what are the dynamics you are seeing on ground and how do you uh you intend to pivot your portfolio across segments. 37:02 37 minutes, 2 seconds Uh so hashif I can believe I don't we are we still say that we are not focused on luxury uh as a segment too much. So 37:10 37 minutes, 10 seconds when we define our customer segment we focus on what I would say from mid- income to the higher income segment the most. So that is how we have defined our 37:19 37 minutes, 19 seconds uh strategy. So mid to higher income portfolio I think so that gives us enough flexibility and enough market size to play with. Uh so currently we 37:28 37 minutes, 28 seconds are not focused I would say on what we traditionally would want to define luxury as a as a market. 37:36 37 minutes, 36 seconds Understood. Understood. And a final question from my side. The 4,000 cr of BD that you highlighted for this fiscal. 37:44 37 minutes, 44 seconds So does that include any incremental projects from the MMR market or that would be over and above this? 37:51 37 minutes, 51 seconds So in terms of pipeline we have pipeline actually in all the three cities that we uh work in and we are quite hopeful that 37:58 37 minutes, 58 seconds uh as we are currently at 25 and as we are we are looking at adding further 1,000 to500 kores in the current year we are quite hopeful that Mumbai will 38:05 38 minutes, 5 seconds contribute but it's a function of which of those deals that are in the pipeline is able to beified first but I would say the basis the pipeline today gives us confidence that Mumbai should be 38:14 38 minutes, 14 seconds contributing to the GDV in this year. 38:19 38 minutes, 19 seconds Understood. Yeah, that's it from my side and all the best for your new role as CMD. Yeah, thank you. 38:27 38 minutes, 27 seconds Thank you. The next question is from the line of Dhanjay Mishra from Sunidi Securities. Please go ahead. 38:38 38 minutes, 38 seconds Yeah. Uh am I audible? Yes. Hi. 38:42 38 minutes, 42 seconds So cognates on uh adding on BD side highrise and that is also on outright basis. uh so we have done significantly 38:50 38 minutes, 50 seconds this quarter. Uh my question is that as you said that quarterly subsidences would be about 200 cr and now we are 38:58 38 minutes, 58 seconds targeting close to 1500 GDV uh to be launched in Q4. So if I assume 30% or 39:04 39 minutes, 4 seconds 25%. So can we do close to 500 pre-sales in Q4 or uh uh if if everything goes on that? 39:14 39 minutes, 14 seconds Yeah. So like like I said I think if you see today we have done about 9 38 crores to be close to our guidance what we need 39:21 39 minutes, 21 seconds to do close to about 700 750 odd crores what we have to do in the current quarter with the inventory and the absorption ratios we are talking about 39:29 39 minutes, 29 seconds and with sustainance I think we largely in that particular range so it's a function of which launches come in what exact date we get the approval but largely I think if you see the math that 39:38 39 minutes, 38 seconds is where it is adding to right now and next year how do you see launch uh 39:44 39 minutes, 44 seconds it will be more uh the H2 driven launches or we will see fairly uh uh distributed in H1 as well as H2. 39:55 39 minutes, 55 seconds Uh so if you look at the next year see whatever BD we are doing in the current year and also the past projects that we've logged uh we are actually quite 40:04 40 minutes, 4 seconds sure that we we are building a very decent pipeline uh for launches in the in the coming financial year. slightly difficult to be able to predict the 40:11 40 minutes, 11 seconds exact quarter at this particular stage where we would be doing the launches but our guidance are saying we will continue to grow our pre-sales at about 25 to 30 40:20 40 minutes, 20 seconds with the kind of BD we are doing we remain quite confident that is something which is quite achievable for us so that is what we'll be looking at we are 40:27 40 minutes, 27 seconds hoping that eventually we will be able to go away completely from the cotton level vagies but in my own understanding it's been something which has been slightly tough in the real estate 40:36 40 minutes, 36 seconds business I think the only way is building enough options by getting right kind of land acquisition in multiple markets which is what we are currently 40:43 40 minutes, 43 seconds focused on. So we feel quite good about the next year when we look at the pre-sales opportunity for us. So can we 40:50 40 minutes, 50 seconds expect 30% growth on FI26 given our PI? 40:57 40 minutes, 57 seconds Yeah. So I think if like we say we've guided for the next 3 four years that this is the kind of run rate we want to maintain over the next four years about 41:04 41 minutes, 4 seconds 25 to 30 and uh next year also we are looking at that. I think S is like I said approval is the only ambiguity that you factor in but today feel quite 41:12 41 minutes, 12 seconds confident that this kind of growth rate is something that we can maintain. 41:16 41 minutes, 16 seconds In terms of total investment what is the I mean till now I think in the presentation we can see uh 265 cr for 41:24 41 minutes, 24 seconds the land to be so what will be total invest uh capital investment uh for this financial year uh 41:33 41 minutes, 33 seconds uh so we when we talking about the BD pipeline there are quite a few projects which are actually either JD and many of 41:41 41 minutes, 41 seconds the projects which are outright so the number on capital for a quarter basis could just significant ificantly shift basis the the the nature of the deal. We 41:49 41 minutes, 49 seconds had committed last time that over the medium-term we are looking at investing about 700 to,000 odd crores. So that number is something that we are 41:56 41 minutes, 56 seconds continuously monitoring and uh this is the kind of BD investment that we are going to see over the next few quarters 42:03 42 minutes, 3 seconds from our end. If the outright mix is slightly more in the current uh year then you might actually see a larger outflow in the current quarter otherwise 42:10 42 minutes, 10 seconds those outflows will come in the next two or three quarters. Okay. Thank you and all the best. 42:18 42 minutes, 18 seconds Thank you so much. 42:23 42 minutes, 23 seconds Thank you. The next question is from the line of Ronald Sioni from ICICI Securities. Please go ahead. 42:32 42 minutes, 32 seconds Thank you sir for the opportunity and congratulations on strong collections and sustained sales. So firstly sir on 42:40 42 minutes, 40 seconds uh these four four projects which we have done like three were outright. So uh if you can shed some light you know 42:47 42 minutes, 47 seconds what kind of uh aita margins and you know land cost structures were there in this project. So uh this new business 42:55 42 minutes, 55 seconds developments how it uh compares with the older ones say over the last uh trailing 43:02 43 minutes, 2 seconds one year which we have been doing. So this new project acquisitions are at what kind of uh return ratios or margin profile they would be having 43:11 43 minutes, 11 seconds right? So uh we have that our average margin that we target is about aa margin is between the range of 22 to 25%. 43:22 43 minutes, 22 seconds Because the projects that we have done are what we have done recently are on outright basis. So the margin might be slightly more than 25%. But I would say 43:31 43 minutes, 31 seconds at the portfolio level still because we have JD projects also in the pipeline. 43:34 43 minutes, 34 seconds So I would say considering that considering that average of 22 to 25 will probably be more appropriate because some of these individual deals 43:43 43 minutes, 43 seconds can will will probably be higher basis the amount of investments going in. So these outright projects might be slightly higher but we have a JD pipeline. So we'll come back to that 43:51 43 minutes, 51 seconds average of 22 to 25. On IR basis also we are actually looking at similar return. 43:56 43 minutes, 56 seconds So we continue to plot 25% IR which is what we were also seeing for our historical deal. So we continue to maintain the same. So with outright 44:05 44 minutes, 5 seconds project the margin slightly more but IR terms uh similar uh that's what we are currently looking at. 44:13 44 minutes, 13 seconds Okay, great. So, and uh on this cash flow front we what we have noticed is you know there was one launch during 9 month and still you you know your 44:21 44 minutes, 21 seconds collections velocity has improved your construction velocity has improved over the trailing two quarters. So is there 44:28 44 minutes, 28 seconds some you know structurally you have done in terms of execution improvement or efficiency that has changed or if you 44:35 44 minutes, 35 seconds can shed some light on your execution capability scale up. 44:40 44 minutes, 40 seconds Understood. a good question and uh we've actually been focusing a lot like uh Kamal also mentioned we've been focusing a lot on strengthening teams so over the 44:48 44 minutes, 48 seconds last uh few quarters it's the and we mentioned in the last call we had a new CEO coming on board so the amount of energy coming in from the from a lot of 44:57 44 minutes, 57 seconds new team members who started coming in augmenting bringing all the effort so we so execution is one area where we are putting in a lot of extra effort so the 45:06 45 minutes, 6 seconds amount of uh effort going in in terms of scaling up our COC spends ensuring that we are able to construct faster and that 45:14 45 minutes, 14 seconds of course improves the connections and cash flow from the customers as well. 45:18 45 minutes, 18 seconds Second thing which also helped the the connections is also that the proportion of our sustainance sales has been slightly higher and sustainance 45:26 45 minutes, 26 seconds typically allows you more billing opportunity because as you know the project would have been launched in the past and the billing percentages are higher. So that has also helped us 45:34 45 minutes, 34 seconds actually in terms of our uh collection mix. So both execution and sustained sales where we are focused on capabilities is helping drive better 45:43 45 minutes, 43 seconds collections and better operating cash flows. 45:46 45 minutes, 46 seconds Okay. And lastly sir on the leverage part like we have taken about 110 or 11 uh you know loan draw downs to pay for 45:54 45 minutes, 54 seconds the outright uh purchases. So uh now you know what kind of out do we have any particular you know guidance in terms of the 46:03 46 minutes, 3 seconds leverage that parameter that we would not surpass that parameters in terms of say net debt to a bit or net debt to 46:10 46 minutes, 10 seconds equity something of that sort. So you know uh leverage would not go beyond this point 46:18 46 minutes, 18 seconds right. So Ronald uh on the debt equity fund while today we are actually still very low. So we are not seeing any uh 46:27 46 minutes, 27 seconds worry or any concern on that front we are at.13 and uh when we have internally drawn up our plans we have we are quite clear that we want to keep this debt equity 46:35 46 minutes, 35 seconds below 1 is to1. So that is what we want to be operating below at. Having said this like even when we are looking at a pipeline our senses I think we we 46:44 46 minutes, 44 seconds probably will not get close to this mark for a for a reasonable uh time at this particular stage because the mix of JD projects 46:51 46 minutes, 51 seconds and outright still continues uh in favor of JD at least in terms of the future. Okay sir. Yeah thank you very much. 46:59 46 minutes, 59 seconds Thank you very best of thank you. 47:04 47 minutes, 4 seconds Thank you. The next question is from the line of Akshai Shetty from Mai Assets Sher Khan. Please go ahead. 47:13 47 minutes, 13 seconds Uh good afternoon sir. Uh thank you for the opportunity. Uh my question is regarding the uh new labor codes. Uh so 47:21 47 minutes, 21 seconds do you expect the implementation of new uh labor code is expected to have any uh like impact on the cost of profit profitability going forward? 47:33 47 minutes, 33 seconds Amit I request Amit to take this. Yeah. 47:36 47 minutes, 36 seconds Uh thank you Asha for the question. So uh right now as you know the labor codes got implemented from November onwards. 47:42 47 minutes, 42 seconds So uh we have done an assessment on our side and uh we have uh taken a provision of 2.59 crores uh in our numbers for 47:52 47 minutes, 52 seconds December for quarter ending December and we continue to monitor this space and implement the guidelines as they 47:59 47 minutes, 59 seconds crystallize even further and uh the impact of this on our P&L is about 1.5% for the quarter u and the numbers are 48:08 48 minutes, 8 seconds what we discussed earlier 2.59 crores for this present quarter Okay, thank you. That was helpful. All the best. 48:18 48 minutes, 18 seconds Thank you. 48:25 48 minutes, 25 seconds The last question is a follow-up question from Amit Agihava. Please go ahead. 48:33 48 minutes, 33 seconds Uh sir my question is that uh with this IT slowdown as well as overall the stock market not doing very so do we have a 48:41 48 minutes, 41 seconds plan B as to how we will conduct the selling uh for our under construction projects and generally we have seen that 48:50 48 minutes, 50 seconds real estate uh recessions last for many years. So uh will we then at that moment be unmanable to cut prices that but yet 48:59 48 minutes, 59 seconds keep on selling or we will wait for the prices to come to our levels. 49:04 49 minutes, 4 seconds So I mean this is a very uh uh good macro question. U today when you look at our position I think we are slightly I 49:13 49 minutes, 13 seconds would say in a very unique position because one we are diversified across three markets as a company. So we are looking at uh Gujarat, we are looking at Mumbai, we are looking at in Bangalore. 49:22 49 minutes, 22 seconds So one we have a market diversification. 49:25 49 minutes, 25 seconds Second in assets also we are doing again multiple assets. So we are doing vertical as well as we are doing uh plotted. So in the customer segments the 49:33 49 minutes, 33 seconds kind of uh job and the background that these customers will come from for different asset classes are actually uh probably I would say getting their 49:41 49 minutes, 41 seconds income from different sources. So one this gives us one natural hedge. Our JD strategy also puts I would say less pressure on us to worry about cash flows 49:49 49 minutes, 49 seconds too much. If if at all there was a very tight situation and also most importantly having said this at our scale when we are with our brand when we 49:57 49 minutes, 57 seconds are actually going to any market the response that we are getting is still very very strong. So while these questions have been in and around with AI coming in, what is going to happen? 50:06 50 minutes, 6 seconds But when we are actually going to the market and testing our product acceptance and customers willingness to buy with us, I think we are still 50:14 50 minutes, 14 seconds getting a very very strong response and all the three markets that we sit actually at are that we're looking at are very very large and considering 50:21 50 minutes, 21 seconds there I think the share that we might be talking about for the next 2 three years as a share of these markets still will be a very small percentage. So I think 50:29 50 minutes, 29 seconds with a good brand with a good pedigree having strong execution and design skills we feel I think we are reasonably protected on this particular front. 50:38 50 minutes, 38 seconds I'd like to just add to this if you just step back and look at urban smart spaces as a strategy over a decade plus and 50:45 50 minutes, 45 seconds which continues to be our guiding force moving forward is that we are very very focused on selling first home ownership and land ownership to the middle class. 50:56 50 minutes, 56 seconds And I think this is a very structural story in India. It is underpinned by various macro forces. One being the 51:04 51 minutes, 4 seconds financialization of our economy where EMI as a tool for home ownership is so fundamental. There's so much of India 51:13 51 minutes, 13 seconds that still doesn't uh you know where people still don't own their first home. 51:17 51 minutes, 17 seconds So with this focused you know 1 cr to 2 cr ticket size product I think these 51:23 51 minutes, 23 seconds this market is not really a volatile uh stock market linked. It is a very structural home ownership 51:31 51 minutes, 31 seconds financializationbacked middle class lifestyle upgrade story and we will ensure that that is the core of 51:38 51 minutes, 38 seconds this company and that's a very robust uh multi-dead story in our view. 51:46 51 minutes, 46 seconds But my question still remains that uh if if there is a drying up of incomes overall uh will the custo will the 51:53 51 minutes, 53 seconds custom will the company strategy be to just complete a project sell it out totally and move on even if it means cutting prices a bit because if I be buy 52:02 52 minutes, 2 seconds a stock or a company like Arvin Smart Spaces I'm buying it for three four years outlook so I need to know as to what strategy the company will take 52:11 52 minutes, 11 seconds place in in view of different probabilities. 52:15 52 minutes, 15 seconds Yes. So we have always been with all the points that you have made and they are very valid and uh good arguments but 52:21 52 minutes, 21 seconds they are more with the past in in in mind whereas the future you know looks like a lot of the old uh structures of employment may be broken. 52:33 52 minutes, 33 seconds No. So we have always as you know been a very cash flow focused company. We believe in velocity. Our mantra is velocity. We are not the variety to bank 52:42 52 minutes, 42 seconds land and wait for market and prices to inch up. That has never been the DNA of this company. It has always been IRRa 52:49 52 minutes, 49 seconds and cash flow. So if you are in in any cycle, we will always look to having velocity of cash flow over uh you know 52:58 52 minutes, 58 seconds looking at banking and just protecting uh you know value of uh the land bank. 53:05 53 minutes, 5 seconds That is not the way we think. 53:07 53 minutes, 7 seconds Yeah, that was exactly the answer I was looking for. And uh second is there even though it's overall a commodity space 53:15 53 minutes, 15 seconds base space but we have a strong corporate logo uh is there any other way that we could differentiate the product in terms of marketing strategy or 53:22 53 minutes, 22 seconds something which uh there is some for within the company about think we as a group we have come our roots have come from being a product 53:31 53 minutes, 31 seconds company. Um you know the reason we also felt there is a space for us in this uh 53:37 53 minutes, 37 seconds real estate business uh beyond trust integrity and connect with the brand is that in whichever business we have been 53:45 53 minutes, 45 seconds in we are obsessed on on product and therefore even if you look at our tagline in real estate or our positioning it's around design to 53:54 53 minutes, 54 seconds inspire. We believe your home and the spaces you live in really opens up your minds and and releases the right sort of 54:02 54 minutes, 2 seconds energy thought process. So design is something which we believe is a a space which is very unique which we want to 54:09 54 minutes, 9 seconds operate in. And the other is customer obsession. We've we've been in the consumer business also in our other group companies. Um so for us being a 54:17 54 minutes, 17 seconds very obsessed NPS focused customer focused thought process. Again I feel this is a white space in real estate. 54:24 54 minutes, 24 seconds It's one of the most important products a person buys and the experience of real estate uh still is not bestin-class uh 54:31 54 minutes, 31 seconds in our country. There is a lot more we can do to improve the experience of buying a home and owning a home. So I 54:39 54 minutes, 39 seconds think design and customer obsession are the two spaces we which underpin our entire way of operation and our 54:46 54 minutes, 46 seconds worldview. And we hope as we progress in this business we keep redefining excellence even for ourselves on these two dimensions. 54:55 54 minutes, 55 seconds And uh do you see a prop tech helping us really selling these uh spaces easily or do you see any kind of uh uh uh 55:04 55 minutes, 4 seconds like you know other verticals like co-l livingiving or adult living sorry senior living or even for example uh stu uh 55:14 55 minutes, 14 seconds student living coming through or we adopting those models to sell our properties. 55:18 55 minutes, 18 seconds See I think many models are going to evolve as the market matures. uh we want to remain core to what we do. One of the things this company has done very well 55:27 55 minutes, 27 seconds is focus. So we will continue to focus on the structural areas we are in. But if your question is around technology, I 55:34 55 minutes, 34 seconds think there is no business in India today which does not have to reinvent itself using technology. The technology we are using to manage our projects and 55:42 55 minutes, 42 seconds velocity. I feel we working on some amazing new age approaches on how we look at project management. I think there are technologies around 55:51 55 minutes, 51 seconds construction. We even the whole online digital sales as a percentage of turnover. I think Arvin Smart spaces 55:58 55 minutes, 58 seconds remains one of the leaders in our entire digital lead generation management. That skill set we've borrowed from our other 56:06 56 minutes, 6 seconds businesses. Um we are also very very clear that uh AI is going to play a role in various use cases in real estate. 56:14 56 minutes, 14 seconds We've started projects on that as well. 56:15 56 minutes, 15 seconds So I think as a group we we gravitate to technology pretty easily and well it's been a strength and we're bringing that in this business as well. 56:26 56 minutes, 26 seconds So I really appreciate you're answering my question so well. Thanks a lot for your time sir. Thank you. 56:43 56 minutes, 43 seconds Thank you. That was the last question. 56:51 56 minutes, 51 seconds As there are no further questions, I now hand the conference over to sir Pri to sir Priyanch for the closing comments. 57:00 57 minutes Thank you everyone for participating in this earning call of Arvin Smart Spaces. 57:05 57 minutes, 5 seconds I hope we have been able to address most of your queries. However, if there there is anything missed out on any of your questions, kindly reach out to Vikram 57:13 57 minutes, 13 seconds and he will connect with you offline and clarify and give further information as may be required. Looking forward to interacting with all of you in the coming quarter. Thanks for your time. 57:24 57 minutes, 24 seconds Thank you. On behalf of Arvin Smart Space Limited, that concludes this conference. Thank you for joining us. 57:31 57 minutes, 31 seconds You may now disconnect your lines.