DLF Limited (DLF.NS) Q2 FY2026 Earnings Call Transcript & Summary

Ladies and gentlemen, good day, and welcome to DLF Limited's Q2 FY '26 Earnings Conference Call. We have with us today on the call Mr. Ashok Tyagi, Managing Director, DLF Limited; Mr. Sriram Khattar, Vice Chairman and Managing Director, Rental Business; Mr. Aakash Ohri, Joint Managing Director and Chief Business Officer; and Mr. Badal Bagri, Group CFO, DLF Limited. [Operator Instructions] Please note that this conference is being recorded. I now hand the conference over to Mr. Badal Bagri. Thank you, and over to you, sir.

Good afternoon, everyone, and thank you for joining this call. Sriram will be joining us in a few minutes from now. First of all, to begin with, I would like to wish all of you a very happy Diwali and hope all of you had a good time with your family. I'll start with the quarterly highlights. New sales booking for the quarter stood at over INR 4,300 crores, which was led by our successful maiden launch in Mumbai, The Westpark, which was extremely well received. Our momentum on super-luxury segment continues to be robust. Consequently, cumulatively, our sales for the first half of this fiscal stands at over INR 15,750 crores, which is in line with the guidance which we have provided for this fiscal. Collections were at INR 2,672 crores, which was in line with the demands raised basis the construction and payment milestones. We continue to have extremely high collection efficiency across all our launched projects. We would like to highlight that this number does not include the collections of JV, which is the Westpark, which was approximately INR 240 crores. As the construction progresses and corresponding payment plans are there, we expect the collections to inch up in the second half of this fiscal. As guided earlier, our construction is witnessing a ramp-up and consequently, we saw an increase in the outflow for construction expenses at INR 925 crores. Overall gross cash balance stood at over INR 9,200 crores, of which approximately INR 8,350 crores is in RERA accounts. We repaid INR 963 crores of debt in the current quarter, leading to our outstanding debt position as on September 30 to be INR 1,487 crores. In line with our strategy of increasing shareholder returns through higher dividend payouts, we paid INR 1,485 crores of dividend in this quarter, implying a INR 6 payout per share, reflecting a 20% growth year-over-year. Consolidated revenues stood at INR 2,262 crores, EBITDA at INR 902 crores and PAT of INR 1,171 crores on a consolidated basis. This includes a onetime impact of approximately INR 600 crores on account of the settlement done on the Tulsiwadi project, which was entered into in the previous quarter in the month of July. This has been accounted partly in other income and exceptional items. CRISIL has upgraded the credit rating of DLF Limited, and it stands at AA+ with a stable outlook, which reflects of our strong balance sheet, our healthy cash flow generation and sustained business performance. As we have highlighted in the past, apart from presales, our focus area continues to be gross margins and surplus cash generation. At the end of this quarter, as on 30th September, our gross margin potential stood at over INR 40,000 crores and surplus cash potential stood at over INR 44,000 crores. On the annuity business, our operational rental portfolio stands at 49 million square feet, which is one of the largest organically grown business. We continue to maintain extremely high levels of occupancy. On a value basis, it's around 96% and area basis, almost 94%. Non-SEZ office is over 98% and still continues to be at 97%, 98%. Over DCCDL rental income grew to INR 1,362 crores, which reflects a 15% growth year-over-year. PAT grew by 23% for the same period. DCCDL net debt stood at INR 17,335 crores as on September end, and net debt to EBITDA on an annualized basis stood at a healthy 3.1x. DCCDL has been awarded 5-star rating by GRESB for its ESG initiatives and has been awarded as the global sector leader in this space. Our presales continues to be very, very strong. Atrium Gurgaon, which is a 3.1 million square feet, our presales levels are all at 93%. Midtown Plaza, where we have received the OC, the presales pre-leasing has been at 85%. With this, I'll hand over to Michelle for Q&A.

[Operator Instructions] The first question is from the line of Akash Gupta from Nomura.

Am I audible?

Yes, sir. Please proceed.

Congratulations on good performance this quarter. My question was on your launch pipeline in the second half. Where are we on the Goa project? And then we saw a pickup in the Dahlias sales this quarter. How should we think about the Dahlias sales for the rest of the quarter? That's my first question. And then my second question is on the FY '27 launch pipeline. What projects are we looking at for launches there?

Aakash, do you want to take it?

Yes, I'll take this. So thanks, Akash. First of all, your question on the present status of Goa is all approvals are received. There is a court case that is going on in Goa which is not related to us. But I think as far as we are concerned, we are getting launch ready in Goa, which we hope to bring hopefully in this quarter, otherwise, definitely next quarter. That's Goa. Your question on Dahlias, yes, Dahlias has done well for this quarter. You may have heard the news yesterday about this big sale also that happened. Dahlias is on its track. But Dahlias is not a mass product. We take Dahlias on an invitation basis only, and that will continue. So, so far so good. We've done over 50% of sales in Dahlias and we continue our kind of a score there. With regard to launch pipeline for '27, we've got good things happening there as well. We've got the Hamilton 2 project lined up. We've got another Privana. We've got some developments in Panchkula. So we've got the next 18 months kind of clear visibility of what we want to do and how we want to do it. Right now, as Badal was saying, that our main focus right now is making sure that our construction capabilities are strengthened so that our customer commitments are on track. Akash, does that answer it?

Yes, sir. Just a follow-up question on the presales guidance. I think we have a guidance of INR 200 billion to INR 210 billion for FY '26. We have already done INR 160 billion to INR 170 billion in the first half. Is there any upside risk to the guidance for FY '26?

No. I think as far as we are concerned, we are going to be working on that particular commitment as of now. I don't think at this point in time, we'd like to overcommit ourselves. But as you know, our main focus has always been on margins. And you've seen the report, and we'd like to maintain that trajectory.

Got it. And sir, one final question on the IREO land parcel. Is that coming in FY '27?

IREO. I mean, not FY '27, maybe end of it. But at this point in time, I mean, the sequence that I've kind of mentioned to you first is how it is going to play out.

Akash, we are in process of getting the final licensing and some of those things on that. So I think Aakash [indiscernible] dealing with that now. So that -- it will come some time, hopefully, in the next 18 months. But obviously, there are some things that still need to be there to make it completely ready for the market.

The next question is from the line of Parikshit Kandpal from HDFC Securities.

Congratulations on very, very strong numbers on presales. So Aakash, my question, so I quite didn't get what is the launch pipeline for rest of the year. So what I could gather is that Goa is the next launch. So after that, any other launch for the rest of the year?

Yes, we've got the Arbour 2, the senior launch that is pending. We've got some things in Panchkula that's going to happen. Obviously, Dahlias is the next phase before we formally launch it sometime in Q1, in the main launch. But definitely in Q4, we'd be doing some more, I'd say, invitations in Dahlias. So we've got our hands full, Parikshit, right now for at least the next 1.5 quarters. So we've got these two, three things lined up.

Okay. And sequencing-wise, you said Q3 is Goa. So Goa will be upwards of like INR 3,000 crores. So what will be the gross development value of Goa? And also if you can highlight Arbour 2 tentatively, what is the timing and what kind of GDV you are expecting to release there?

Across the next 18-month cycle, we have Goa lined up. We have this Arbour 2 lined up. We have hopefully one round of Privana lined up. We have one round of what we call Hamilton 2. We have the next phase of Westpark. We have Panchkula. Across the next 5.5 quarters, how the launch will be a function of the approval cycle and the underlying demand in those places. We are a business which frankly does not ourselves disproportionately on the side into how a particular quarter is looking or not looking, frankly. It's a long cycle business. But across the next 18 months, I have broadly laid out, what earlier Aakash also laid out the sort of launches that we are looking at. And the exact timing of these will frankly be a function underlying demand and the approval cycles of each of these individual parks.

Understood, sir. Sir, second question is like, I mean, for last many series of launches, we have been seeing a complete sellout, including the Navy West. So Aakash, can you give us some flavor on the demand now in the subsequent launches. So are you seeing a similar kind of trend? Or do you think that now the thing is of past and maybe the velocity will slow down? And as the realizations have gone up and it will be more distributed now with the construction of the project?

So are you talking about new going forward, what do you...

Yes, yes, new projects, new projects which had lined up for launch.

Yes. So, Parikshit, as you know, every time there are doubts and all that and then there are certain markets which operate differently. But as DLF, we operate differently. So for us, as far as we are concerned, I think I've said it before also, for me, the world is my playing stage. So it is not concentrating on any particular geography of what I mine. Wherever there is an Indian outside, wherever there is, let's say, an investor within the country, a person who's keen, for me, it's like a continuum. Every -- we continue to market brand DLF. So as far as we are concerned, yes, we kind of get into this first day first show mostly. But again, to prepare for that, it takes time but Mumbai has been an overwhelming response. We just did our brokers rewarding recognition yesterday. It was again a full house. So all that will continue to happen. But I think, yes, if you ask me that right now going forward, we'd like to keep each launch as take it a one-time launch. And I think we'll prepare for them as we do regularly in how our processes work. I don't think we can take any launch for granted or any market for granted or any individual. But for us, as I said, we continue to mine DLF as one of the most prominent and most preferred asset class and especially in the residential offering. One thing that I can just answer this question for you is that today, my demand for DLF is not geography-specific. I'm getting responses from across the country. And that is my policy of One DLF. It doesn't really matter where you are. As long as it's an asset, as long as it's something that is giving you great returns and fantastic living value, I think that is what has driven home. That is where I have investments from every potential investor coming into a DLF property launch, whether it is in Mumbai, whether it is in Panchkula, whether it's in Gurgaon or Delhi.

Okay. So basically, my question was, are you seeing any slowdown in demand? And what I could gather is that you continue to see the strong demand and the velocities which we have seen in the past may continue to happen project by project. Is it the right assumption?

Yes, yes. DLF, I only speak for DLF right now. So yes, I just feel that we have a certain set of people we've created or have worked with for over years. And I'd like to believe that, look, we will go back to them and their kith and kin and our extended relationships. And I feel that DLF today is a very strong brand to reckon with, and it's become a good source of investment. I'm happy to tell you that the top equity brokers have also invested in the super-luxury real estate today. So I think that itself is a fantastic validation of what the residential business is doing today of DLF.

Okay. Just last question, Akash. So now Noida prices have come in line with what Gurgaon -- or either coming closer to that and also in MMR after the successful Westpark. So how are you looking at business development in these two locations going ahead to get incremental market share and growth on resales?

See, Noida, I think as and when we get a good deal in Noida, we will be there. Noida is something which has been also calling us for some time. Mr. Tyagi is sitting here. He is also listening to you. So as far as Noida is concerned, yes, we are -- if you ask me whether I'm prepared for Noida, the answer is yes. And we will come into Noida as soon as we get a good deal. We just want to make sure that -- for us, it's an opportunity cost of time and money and energy. Either you continue to spend time to clean up a land parcel or you get something which is reasonably clean so that we can get involved, we'd go with the latter. And Mumbai, the same, I think we're right now going to be busy with our Phase 2 launch. The first launch has been a very humbling experience. So we will continue to keep our head down and do our job there. And yes, as and when there are other opportunities in Mumbai, we are going to be doing that. In fact, as I speak to you, I'm in Mumbai, meeting a lot of new kind of CPs and everybody. So yes, we are excited.

The next question is from the line of Murtuza Arsiwalla from Kotak. As there is no response, we will move on to the next question, which is from the line of Pritesh Sheth from Axis Capital.

Am I audible?

Yes, sir, please proceed.

Am I audible?

Yes, sir. You are audible. Yes.

Okay, okay. So first question is on Delhi. As when you mentioned that we'll have another phase of opening before the official launch, what sort of phasing out that we would want to do in terms of our inventory? Would it be like similar to what we have done this quarter or more than that, how are we looking to phase out the rest of the inventory in the year. That's my first.

Yes. So, Pritesh, Dahlias, as you know, is like a INR 100 crore plus kind of an investment. So again, this one thing that I'm going to say, it's not going to be a mass thing, but we are getting reasonable traction and pull. Even yesterday's news, we were trending #1 in Twitter and everywhere else. So there's a good amount of attraction we've got and attention we've got actually for Dahlias, across the country, actually. What is happening, top 5, 10 families in every big city is now reaching out to us, which is, again, something that we're working very hard on. So yes, we'd like to kind of maintain what we did for one more tranche of whatever placements that we want to do. But our process of kind of meeting people and all that is continuing. And I feel we should be able to -- we are already over 50%, or 55%-odd already sold. I think our main game is going to begin after the Experience Center is ready and the whole show and tell starts, which is post April. And then, of course, the price points will substantially go up from there. So I think let me put it this way, what we had to do for Dahlias we have done. And right now, now, it has to kind of play its own game. And I feel that the game has just begun in Dahlias. Please keep watching this space. But I think we are not going to be in any hurry and kind of just offloading nor is it a product which will -- it's not that kind of -- also affordability and all that is going to play a big aspect there. Pritesh?

Sure, sure. And yes, I'm here. And just for clarification, how many units were sold this quarter, and in terms of average realization where we are in Dahlias?

Dahlias, we're about -- I think we're about close to 16,000 plus and thereabout.

We sold 18 units this quarter, Pritesh, okay? On a cumulative basis, we sold 121 units.

Yes.

And pricing?

Pricing in terms of what, per unit?

Yes, per square feet.

Yes. Per square feet it's now about -- it's over INR 1 lakh. And on carpet is about now almost about INR 1.25 lakh to INR 1.5 lakh, depending on where you are, where you're located.

So almost a Camellias kind of a pricing. Okay. Second question on the collections. I'm sort of like just trying to figure out how should I look at it. INR 2,500 crores annualized run rate of INR 10,000 crores. We have sold almost INR 15,000 crores, INR 20,000 crores every year in the last 3 years, right? Ideally, I would want the collection to catch up to that number. But alternatively, when I look at what we have sold in terms of major projects, right, Privana, Arbour and Dahlias. Cumulatively, it's around INR 46,000 crores. If that's supposed to be get realized in next 4 to 5 years, then this INR 10,000, INR 11,000 crores collection run rate is kind of enough, right? So do you expect this collection to scale up? Or I think the INR 10,000 crores, INR 11,000 crores, INR 12,000 crores annualized run rate should be a good number to look at, at least from the sales that we have done and probably incrementally once we add up more in terms of sales, then there would be growth in that collection. So just some thoughts on that.

Selection is as per schedule.

Pritesh, I think as you rightly pointed out, our average collection for the last 2 quarters have been in the range of INR 2,700 crores to INR 3,000 crores. As I also mentioned in my opening commentary that the collection is dependent on the timing of the construction, how the construction develops and it's all payment linked. Our collection efficiency remains extremely high across all our projects. In the second half, many of the milestones will come in, and you should expect uptick in the overall collections in the H2 of this financial year. On an average, I would say INR 13,000 crores to INR 14,000 crores is a number broadly going forward i think you can work on for next year.

Okay. Perfect. That's helpful. And lastly, on Atrium Place, how are you going to recognize the rentals coming from that effect into the cash flows? I think in P&L, we'll do in that one line JV item. But just in terms of cash flows, where should we look at for that number?

So Pritesh, I think as it is a JV, I think the cash flow is going to come only through either interest payout or dividend payouts in the parent company. So as of now, no cash flow has been included from Atrium. The profit will also come as a one-line pickup as we see in DCCDL as far as DLF consol is concerned.

What we can do, Pritesh, is that maybe from the quarter end in March, we can have a one pager on the operating performance of Atrium so that there's complete visibility on the rental collections, leasing percentage, all of those things from your stand.

So Pritesh, Atrium Place as an entity has a total development of 3.2 million, out of which 2.1 million, the occupancy certificate came this quarter. And this 2.1 million, around 1.9 million -- between 1.9 million and 1.95 million is already leased. Tenant fit-outs are progressing fast. And we expect the rental income to start coming in from December. But for all the three put together, the rental income will come by about April of next year. So that's far bigger money. The other data point is that the last tower of 1.1 million is under construction and is slated to be completed in May, June next year. By the way, it's already leased and it should be handed over, and then the rentals will start 6, 7 months after that.

That's helpful and [indiscernible] question.

And when all the 4 towers are rented and rentals comes in full force, I think the gross rental income is in the ballpark of INR 600 crores to INR 650 crores.

[Operator Instructions] The next question is from the line of Abhinav Sinha from Jefferies.

Sir, just following up on the previous question on the rental income. So the 3 retail assets that we have completing this year, when do you expect them to start contributing to the P&L as well as the cash flows? And what should be that number?

So the rental income should start from the coming quarter Q4 and will continue to accumulate till Q3 of next year or Q2 and end of next year. That's because the OC for Midtown Plaza [indiscernible] the OC Summit Plaza this quarter and the OC of Promenade Goa in Q4. And after the OC comes, it typically takes the next 4 or 5 months to do their fit-outs before the income starts coming. I think on a cumulative basis for the 3 malls, the rental income should be about INR 450 crores -- INR 400 crores. There's another INR 60 crores on the Summit Plaza, it's about INR 450 crores, INR 460 crores.

Okay. So that should be, say, the exit run rate in FY '27, right? INR 400 crores to INR 450 crores?

Yes, yes. Absolutely.

Okay. And I mean have we started thinking about which assets to start working on because we are almost done with this round of CapEx in DLF Limited?

Okay. So in DLF Limited, we are looking at -- [indiscernible] with Mr. Khattar and his team, the potential assets that we can take on once these 3 plazas are commissioned. And if you look at the 5-year projection that we had put out in the analyst presentation, actually that does lay out some of those assets. And -- but I think CS work on those would possibly begin by early part of next year.

Early part of next year. And if you open your notes on the 5-year projections we have given, we have definitively laid out the assets that we are going through work on and develop over the 5-year period.

Okay. Tyagi sir, on just continuing a little bit here. So we now have REIT being classified as equity very soon and there has been a bit of a run-up. So any thoughts again on considering a REIT of DCCDL?

So Abhinav, [indiscernible] said earlier also that for us, the entire strategy of Cyber City monetization, the timing and the form would largely be driven by what our partners want. And from whatever we have understood so far, at least in the next, I'd say, medium term, right now, there does not seem to be any imminent plans of there. So I'd say, at least for the next 3 years, possibly, we are not looking at anything serious. And again, [indiscernible] they are closer to making an option, we'll evaluate all the options that exist in the market at that time. [indiscernible] they were looking back, 9 months back. Who knows what the situation is in 8 months -- I mean, 18 months down the line. So [indiscernible] having a situation here. From a DLF standpoint, we are not in any hurry to monetize this entire great asset that's been created. But we have said at some stage with the partner wants a public way out, at that time, we'll definitely honor their issues.

Right. Sir, just one last bit on the Kolkata IT SEZ. I think that revenue records still pending, right? So will it conclude this year?

So the progress is good. But since it's an SEZ and there is a land parcel as part of the integrated sales, the uphold process is rather slow because it not only needs the SEZ approval but the state government approval also. So our teams are working on it. As we speak, the state government approval has come and the development commissioner has given his go ahead. So now it will go to the board approvals for final approval. And then it will go through another round of approvals for the deal notification. So I think we're still about 3 months away, 3.5 months away from monetization. But let me mention that from, I think August onwards, we -- there was a delay benefit that was attached and, therefore, every month in addition to the rental, about INR 2.5 crores keeps getting accumulated to the sales consideration. So if you look at the sales value there, the rental and the sales consideration would then take care of the opportunity cost of those funds.

We'll the next question from the line of Praveen Choudhary from Morgan Stanley. As the current participant is not answering, we will move on to the next question, which is from the line of Puneet Gulati.

This is Puneet from HSBC. My first question is if you can talk a bit about the cost of construction for Atrium Place, Summit Plaza, how much has it really costed you to build Atrium?

Yes. So we always calculate cost of construction based on gross unit of area. So Atrium Place, including the cost of approvals and [indiscernible] , it's about INR 6,000-odd crores per square foot -- sorry, INR 6,000 per square foot.

Okay. And if you add the land cost, et cetera, then how much would have it totally costed the JV entity?

So you want me to give the math. The total cost, including cost of approvals and the opportunity cost of the purchase of plan and otherwise comes to about INR 17,000 per square foot. Yes. And if you look on the other side, the average rental is about, if you say, about INR 170 plus the parking income and the [indiscernible] income. And if you try to sort of multiply that [indiscernible] whatever cap rate you like, you will see the gross profit or the value accretion that is set.

So Puneet, this includes the land, the approval, the construction costs, the capitalized interest for the last 4 years, all of those things.

Okay. INR 17,000 per square feet.

Yes.

And on the debt side, while we don't really worry about debt. And is there an endeavor to bring down gross debt to 0? Or do you think because of Atrium Place now, you'll always have a LRD kind of debt which will keep sitting here?

Which entity? DLF, DCCDL?

DLF.

So in DLF, I think, Puneet, our endeavor is to kind of go do gross debt 0. So we are already at INR 1,487 crores, as I mentioned earlier. And we are working towards making, at least at the DLF level, the gross debt to be 0. In DCCDL and Atrium Place, we'll always have a long-term loan because that's the most efficient way to operate those assets as well.

Great. That's helpful. And lastly, on the Westpark, like you talked about disclosing on the Atrium details. It will be great if you can disclose the Westpark as well because that's also separate collections which investors should know and the construction spend which is happening there.

Sure. Absolutely.

The next question is from the line of Parvez from Nuvama Group.

So one question from my side. When we talked about our potential launches over the next 18 months and which includes Goa, Arbour, Privana, et cetera, et cetera, what would be the total GDV of all these projects?

So Parvez, the way we would like to look at this is that if you look at our analyst presentation which we had made, and this also included in our quarterly presentation, we have a road map of a launch -- total launch of INR 1,15,000 crores in the next 4 to 5 years or so. And we are tracking against that. It is -- against that, we have already launched short of INR 50,000 crores. Almost INR 48,000 crores of products have already been launched between last year and this year. And we benchmark ourselves to that number. Depending on government approvals and the market situation and the demand, I think we are product ready, and we will be product ready. Depending on the market situation over the next 2 to 3 years or so, these will get fructified and these will get launched.

Sure, sir. The second question is some status of the under-construction projects, largely the Downtown in Gurgaon and Chennai would be great.

So [indiscernible] like to know about that?

What is the status of construction and likely time line for completion both in Gurgaon and Chennai?

Yes. So let me start with Gurgaon. Gurgaon is a total development of about 7.5 million square feet. It's an integrated development and going down to 6 basements. So construction is now in full swing, and we expect to complete it by mid '28. And in Chennai, Tower 4 and 5, the construction is also in full swing. And Chennai is ahead of Gurgaon by about 6 to 8 months. So we should finish construction of that by beginning of '28.

The next question is from the line of Ronald Siyoni.

This is Ronald Siyoni from ICICI Securities' iDirect. Sir, just wanted to understand on the cancellations part, like we had seen this quarter, so one of the projects getting higher cancellations than sold. So at what point of time the contractual terms do not allow cancellations? Because I believe there is an interest component also attached with respect to cancellations. So at what point of time or the agreement or the construction time plan does the project -- does the unit doesn't get cancelled?

Our philosophy over the last 2 years in the recent past at least has been that if for whatever reason, technical, commercial, personal circumstances, our customer is not happy with staying in a particular project, we don't create any artificial impediments in retaining him with any unnecessary encumbrances. And so -- and hence, currently like Aakash [indiscernible] cancellation in the last quarter. But there will always be one-off cancellations that will keep on happening because of individual customers, including at times what the expect they will get and their own [indiscernible] evolved in the 3 or 4 years of construction. And so I don't think it's anything to be alarmed about or -- and we definitely, while you obviously want everybody to abide by the contract, we don't use the contract to basically -- as I said, we'll obviously recover. We adjust pre-deposit, et cetera, but we don't like to unnecessarily keep the customers artificially encumbered because of contract. Aakash,, please.

No, a couple of things. So Ronald, first of all, this is not a cancellation. This is actually an upgrade. To what Mr. Tyagi said, the product -- actually, as the product evolved and people, it came to its fusion and handover started to happen, people realized that they needed larger and bigger apartments. So first, that is a very healthy sign actually. In fact, we can bundle -- going forward also, I think we could say cancellations, upgradation, whatever kind of clarifies further. So even if you look at the scheme of things with INR 16,000 crores of sales and all, it's of any minor kind of a thing. But these are good problems to have because people have upgraded from a 2 to a 4 or a 3- to a 4-bedroom actually and then have released their stock, which we happily take back and select present price points. The other thing what Mr. Tyagi was saying that we -- when -- the other part, which is a very important part of retaining customers is also it directly impacts our collections. So we have a very robust system, where a third party tracks it within our system, and they're responsible for collections. And should we find any red flags there. It's independent systems checking each other, which flag, such things. And generally, we avoid taking laggards and all. Generally, we give people enough time. But at no point in time, do we penalize anybody. In fact, even deposits and all that. So I think that's how we go about it. So collections is a very important factor of thing. And if you've seen, they're healthy because there are good sales. But there will always be these times where people would want to, for whatever reasons, bail out. And I think it gives -- in our part, we report these things not only, but also it gives -- I'm sure the customer and overall market get strength from how we practice this particular process because at no point in time, we hold on to people who don't want to be part of our system.

Ladies and gentlemen, that was the last question for today. I would now like to hand the conference over to Mr. Ashok Tyagi for closing comments. Thank you, and over to you, sir.

So thank you so much, gentlemen and ladies, for joining this. I mean, I think as Badal, Mr. Khattar and Aakash all took you through the various aspects of our performance not only for the quarter but also the coming medium term. I think this continues to be a good pace for us as a company and possibly for the industry as a whole, I mean, residential, retail and common office premiums, all the three verticals are continuing to do well. We continue to stay focused on responsible launches and selling, constructing with the utmost quality and with the utmost compliances and trying our best to come up to the maximum expectations of our customers be it in the commercial business or the residential business. Our own internal standards of governance, et cetera, continue to be -- we keep on trying to improve those quarter-on-quarter, year-on-year. And I think, frankly, hopefully, with all this, look forward to reconnecting with all of you with the new year. Thank you.

Thank you.

Thank you. Thank you, members of the management team. On behalf of DLF Limited, that concludes this conference. Thank you for joining us, and you may now exit the meeting. Thank you.