Mahindra Lifespace Developers Limited (MAHLIFE.BO) Q3 FY2026 Earnings Call Transcript & Summary

Good evening, everyone. We are here for the Q3 update for the Mahindra Lifespaces. We are presenting the investor presentation for the quarter ended December '25, for financial year '25-'26. Now I will hand over to our CFO and our CEO, Mr. Amit Sinha to take out through the Q3 journey of Mahindra Lifespaces.

Yes. So this is Amit. I think, and then I'll request Sriram. So as you know, last quarter, Sriram was still coming on board to the full CFO role. So this is the first quarter where he has taken over the full CFO. So he'll be jumping on separately. Meanwhile, I will take you through the short presentation. So can you just go to the next slide? Hopefully, you can see the screen. Can you go to the next slide? I won't spend too much time on this, the strategy part, I don't -- we don't have many changes to it, but the only point to note is our GDV addition is at roughly INR 47,000 crores, which is being executed. Rest of the elements of our strategy stays consistent with the past discussions. Let me share a quick update on our overall business. First and foremost, I think on the residential side, we have reported a presale of INR 572 crores. We are roughly INR 1,773 crores, INR 1,800 crores in the 9-month period. We've had some very successful launches this year so far, NewHaven in Bangalore, Marina64 in Mumbai, Citadel in Pune and Lakewoods in Chennai. They have been successful launches. Sustenance sales have contributed a significant part of our sales so far. This time Kandivali IvyLush in Pune, Wagholi, Citadel in Pune and Green Estates in Chennai, they have given us a significant part of our presales this year. We also had a very successful launch of Mahindra Blossom in Hopefarm, Bengaluru. I'll share the details and highlights later in the presentation. It's not yet counted -- it's not counted in Q3 because the launch netting, et cetera, only happened last weekend, but it's been very successful for us. And Q4 launches, I think we've gotten, Mahalaxmi and Bhandup to the last -- to the finish line. I think the last bit of approvals on the RERA side, et cetera, are being filed as we speak. We will hopefully get the RERA in the next few days. I'm not sure how much of the presale we will recognize in this quarter, but it will set us up really well for the next quarter. On the execution side, there is a lot of momentum. BD continues to be strong. This has been a concerted effort for us over the last couple of years. GDV addition for this year so far is INR 10,600 crores, which is solid. We have very strong progress on EC for most of the projects, as you know, in the last 6 months or 5 months ECs have become a requirement before we can get RERA. So that's why some of the RERA launches are delayed, but it's a onetime correction. Future will automatically get adjusted to the new requirements. We also achieved quite a number of OCs. Overall, 6 OCs we have received in the last 45 days, some are captured in our 31st December quarter end, and there are 2 or 3, 3 are captured before 31st December and 3 are after. But most of the valuable ones are captured in December quarter. And given our discussion about derisking execution, we've also continued to invest in partnering with Tier 1, 1.5 vendors, especially for core and shell and bigger part of the project. Significant investment on the employee side, culture side, training side and culture creation side. On the IC&IC side, we see strong leasing activity in Jaipur and Chennai. These are the places where we have good amount of land that is coming for availability. The realization has been quite good, better than what we expected at the start of the year. That shows the robustness in the demand and the economy in the industrial demand. We received the Origins 2A. If you recall almost a year back, we had shared the details of our partner -- extension of our partnership with Sumitomo that has now been approved, which allows us to bring to market almost 125 plus acres of land for leasing. We are also trying to bring other locations to market such as Ahmedabad. I think we hopefully will start sharing some updates as we get all the clearances, all the approvals and leasing activity picks up in that area. Overall financials, 9-month consolidated, residential and IC, sales combined is at INR 2,135 crores. Strong PAT delivery of INR 208 crores so far. I think for this quarter, it was INR 109 crores, right? So very healthy quarter supported by some of the successful OCs and also a strong IC performance. Collections have been strong for the resi, INR 1,472 crores. And ever since we did our rights issue earlier in the year, our balance sheet continues to be quite healthy, quite conservative. I mean, net debt-to-equity ratio of minus 0.12. So we have more cash available. And cost of debt is at a very, I would say, competitive level at 6.7%. Obviously, it includes CPs as well as other [ ICDs ], et cetera, that we have. So it's a low amount of debt and whatever debt we have is at a very competitive rate. If we can move forward. I think you've seen a variant of this slide. This is everything that we have done this year. I think the latest one is extreme right column, which is a new society redevelopment, cluster redevelopment. It's roughly INR 1,000 crores. The name of the society, Lokmanya Tilak Nagar, very premium location, very well connected to the Eastern highway. And then I would say, near Shivaji Park great location, and we are very excited to have won this mandate to pursue this society. Go forward. This captures the year-to-date as well as inception to date in terms of the GDV. As you can see, current inventory as of 31st December, Blossom is included there as inventory, roughly INR 1,800 crores would be included in that from Blossom. We have Vista, IvyLush, Citadel. You have Green Estates, Nestalgia, Tathawade are small, but the first 4 are quite big. In fact, the biggest is Blossom and that gets consumed significantly in this quarter. The Part B is future phases of current projects, Citadel Phase 3, which is quite large, Citadel Commercial another big one. Marina64 is the plot A part, which is expecting the RERA anytime, Lakewoods and others together. So that's INR 2,600 crores. And then pipeline projects, which are yet to be launched, capture long list all the way from Santacruz West, which is [indiscernible] the way to Matunga, which is the recent win that we have. And then some of the other strategic projects, which are Jaipur and Murud that have significant potential, but yet we have not given them full value because we need to first get them moving and then we will extract full value through design and execution. So overall, INR 46,770 crores, INR 47,000 crores of GDV, which is with us today, and we only hope that it goes forward aggressively. This chart you have seen before in terms of how we are planning. I think this looks good if I tell you that Mahindra Blossom in the last weekend itself, one weekend where we did all the netting, et cetera, with more than INR 1,000 crores of selling. We have not captured that number because that would be in Q4. But if you add that INR 1,000-plus crores just from one weekend and then add other sustenance sales and the remaining 2 months of sales for even Blossom, I think we are looking at a healthy growth in our sales numbers. The good news is that if -- the moment we get approvals, we generally have a very strong sales performance. So given the point I mentioned earlier about EC, if we didn't have the delay, we would have seen many more RERA launches with significant time for us to prime the market and convert into sales. So Blossom has happened. Marina64 is happening right as we speak, hopefully, RERA anytime. And then BeaconHill and Bhandup, they will happen hopefully later part of this quarter, but the impact might be coming in the Q1 of our next financial year. Our march towards INR 10,000 crores vision stays healthy. You've seen the GDV INR 47,000 crores. But this [ phase ] lays out how we are thinking about our projects and how they fit into our INR 10,000 crores, INR 9,500 crores coming from resi, INR 500 crores coming from IC business. And we have a few holes to fill. I think slowly we are filling all those holes as well. And our goal is not to wait for these years to convert them into sales like Matunga, Chembur and Navy 2, a lot of efforts are already underway to move them by at least a year. So hoping that we achieve our aspiration sooner than later. IC business continues to be very healthy. We are quite pleasantly surprised with the buoyancy in the business. It's just an example, OC2A took almost a year for us to get all the approval and everything. But looking at the demand, I think we have sold almost 50% or we have already done LOI for almost 50% of that in the 30 days. And obviously, they were in the pipeline for a long time, but there is a lot of demand for strategic industrial clusters, and we have the inventory at the right place. And there is a lot of preference for our kind of industrial part than the competition. So we see tremendous growth in that. We expect that business to continue to grow at a healthy rate, even in quarter 4 given the pipeline that we have, right? So it's a good traction we are getting in our industrial business. And I'll share more update at the -- in quarter -- after the quarter 4, so we'll have full visibility of how the performance is going to be for this financial year. On this page, it shows that many of our peers in this industry have plotted, which gives them short-term profitability given the accounting rules that benefit plotted. For us, IC business is the plotted. Its industrial plot, not residential plot. So slightly different, but it shows you how much gross area and net leasable area we have which can be monetized similar to the plotted that some of our peers have in the residential side. It's not that we don't have plotted on the resi side. We're building that business, but industrial plot business gives us tremendous strong starting point as we look at the overall residential plus industrial business rather than industrial alone and residential alone. So a good amount of opportunity to be monetized from our IC business. Let me pause here and then request Sriram to jump in on the financial side.

Thanks. So on the financial side, at an overall level, we had Q3 residential sales of INR 572 crores against INR 334 crores in the prior year. And for the 9 months ended, we had INR 1,773 crores against INR 1,749 crores, which reflects a 2% growth. But as Blossom and the other sales are expected to lock in, in Jan. This number is expected to surpass the prior year numbers of INR 2,804 crores. On the IC&IC side, the performance continues to be really robust. During the 9 months period, we have grown close to 30% and the pipeline looks very strong. We have just unlocked OC2A in December '25. And we are already seeing good traction for IC leasing in our Origins Chennai location. So looking ahead for a good Q4 from the IC side. On the GDV side, we had done INR 10,560 crores. This is on the back of INR 18,100 cores we did last year. So the GDV momentum continues to be very robust. And the additions that we have made so far in this year are a good mix of redevelopment, outright transactions across Mumbai, Pune and Bengaluru, which are our core markets. The residential collections were at INR 1,472 crores, again an 8% growth over prior year. That said, the OCs that we received in December, we actually got it towards the fag end. We will expect to catch up on the residential collections in Q4 of this year. The balance sheet looks -- continues to be healthy with negative net debt-to-equity ratio of 0.12%. And the cost of debt for us is currently at 6.7% versus 8.9% a year before. So this is the segment results, which we had started publishing a few quarters back. As you can see, with the OCs coming in the December quarter, for the entire 9-month period, we have a residential PAT of about INR 43 crores. The Q3 residential PAT was almost INR 64 crores which is a reflection of the OCs that we received, which is primarily Eden Phase 1, Nestalgia Phase 1 and our project in Chennai, Happinest, those got the OCs and the profitability reflects a decent portion of how profitable these projects are. And effectively, the IC&IC business continues to be very robust. You can see there has been an increase in the acreage leased from INR 47 crores to INR 53 crores but more importantly, the realization has also been high. And the EBITDA margins and the PAT margins from the IC business continues to trend up with solid leasing activity across Jaipur and Chennai. On the cash flow side, for the 9 months ended, we did operating cash flows of roughly INR 558 crores. There was investing and financing cash flow as well of INR 250 crores. So overall, we ended with INR 724 crores of closing balance, which includes our balances under RERA accounts. On the land outflows, you would see it's INR 802 crores, compared to INR 715 crores last year during the same time, and it includes the transactions that we had done for the 9 months ending December '25. This is one slide we added based on the discussions we've had with you in the past. So we brought it back to show the cash flow potential from our existing GDV -- existing projects. It says it's about INR 13,065 crores. The big disclaimer is it does not include Thane, Pink and Murud as yet. If we include that, we could add another roughly INR 3,000-ish crores.

Pink is Jaipur.

Pink is Jaipur, Yes. Jaipur Residential.

I think for the next meeting, we'll add Thane as we are at advanced stage of design and a whole planning phase. So we'll include that.

So on the P&L side, for the quarter ended, we did about INR 109 crores of PAT. And for -- comparing this against the last quarter, which was about INR 48 crores. And Q3 of last year was negative INR 23 crores. So overall for the 9 months ended, we did INR 208 crores against negative INR 24 crores for the same 9-month period last year. Moving on to the balance sheet. As we did the rights issue in Q1 of this year, the net worth reflects the equity portion of the rights issue. The use of proceeds of the rights issue was to pay down the long-term debt, which we had done. About INR 918 crores has been completely paid out. And on the inventory side, you would see that the inventory has gone up from INR 4,400 crores to almost INR 5,600 crores. This reflects the new projects that we have added. We also had Luminare, which actually became 100% subsidiary this year. So that also got added to our inventory in this quarter. So overall, looking healthy with our balance sheet position. Yes. I think with that, we will sort of open it up for questions and take any question.

Okay. I think we'll take Parikshit's question first. So he was asking about the response for Blossom, which I think we addressed. He is asking on GDV launches and sold -- amount we sold for Blossom. And on the PD, he had said we had already done INR 10,600 crores for the 9 months ended. Where are we likely to end up in FY '26? And when is Marina64 getting launched? That's the other question.

Yes. So let's start with the bottom, Marina64, any time now Parikshit. I think it's been through the RERA approval process for a few days now. There were some questions that came up. We have addressed them, most of them. So we are expecting any time. So it should be maybe, let's say, a week to 10 days is what I'm hoping. So Marina64 but plot B and C is in healthy shape. We've captured that sales already in our presales number. That's one. Second is GDV. I think we don't -- as we have spoken in the past, we don't have a GDV target per se. I think we want it to be healthy, so that our INR 10,000 crore journey is viable -- is likely to happen in a predictable manner. And I think we have gotten quite close to that from our portfolio. Now how can we get the right GDV that gives us a right mix of geographic spread, right mix of great locations where projects are quite successful. Fortunately, we have got a large number of deals coming our way, given some of the traction we have gotten with playing in the market in the right way. When we don't like the deal, we say no immediately. When we like the deal, we take it to the logical conclusion and we move fast through it. So I think many players in the industry, landowners, partners prefer that, clarity of thought. So we have good deals to choose from. We are -- given the portfolio that we have, the pipeline we have, we will always choose deals that will be good deals for us at a great location. So that's a fundamental principle I have set for the team, and we have a good number of deals. So hopefully, some good deals will close that are in the pipeline, evaluating, but hopefully at good terms. So that's part one. And part two, and the same question is that we also see a little bit of correction moderation happening, especially on the luxury side, we see a lot happening in the NCR region where we are not playing right now from a sales perspective. So we also have a view that the -- as market slows down a little bit, our strategy is going to work out really well. We have a great customer pull because of our brand. We are not trying to play in a segment that is likely to see significant slowdown. Like affordable, you have seen in the last few years, luxury might be slowing, mid-premium, premium segment, that will continue to have good demand. And as long as we keep the ticket price, I would say optimal, I will not say the word affordable, optimal, we'll continue to have takers for our kind of brand from the organic demand that exists with the end users. And we always prioritize end users over channel partners. We want customers who are going to live there to buy our homes. And I think hopefully that allows us to continue to gain momentum. And in that context, the Mahindra Blossom is a shining example. We didn't have to do a lot. We did -- we started marketing only after we got RERA. In one weekend, we did more than INR 1,000 crores. Total GDV is INR 1,800 crores. And I think we continue to maintain the momentum at Mahindra Blossom. And our goal is not to do a sellout. I think, right now, we've gotten good traction, good velocity. Our goal was to sell 50% to 60%, and we have gotten to that level already. And we'll see how the market shapes up, how the -- as the construction, we already have EC, so we'll start the construction immediately. And hopefully, we'll have more appreciation for our customers and a fast execution to OC even for Blossom. So that's quick answer to all the questions that Parikshit asked hopefully, right?

One more question, Amit. Generally, you've been asked by everybody, the status on Bhandup, if we can highlight the approval status and how we are looking at launch and also with Lokhandwala.

Yes. So on Bhandup, I think positive news. I think concessions have happened. IOD has been -- has happened now. We have received [ ECO ] also last week or 10 days back. So now we are filed for CC, right, and then RERA. So I think it's a question of CC takes, I think, anywhere from 2 weeks to 20 days and same time for RERA, if everything is aligned. So we are looking at maybe a month, maybe March 10 is the time frame we have, which could be that when we get all the approvals on Bhandup for RERA for us to launch, including RERA. So that's Bhandup. And then Lokhandwala, I think Lokhandwala is at the design and stage of alignment with the societies. I think it will take some time because it's a marquee location, a marquee project for us. We want to invest enough time to make sure that the designs, planning, the approval process, et cetera, is in the right shape. So maybe in the next meeting when we have, I'll give more concrete details of Lokhandwala as a specific project. But I think typically, it takes anywhere from 15, 18 months to 2 years for us to launch society redevelopment projects, sometimes even longer as we have seen.

There are some questions on market. I'll bunch them up. Basically, if you can outline on what -- how we see the market? Again, if we can also outline the demand we see by cities in our core markets, how do we see the demand going there? And any sort of sluggishness that we are seeing?

Yes. So I'll give -- maybe I'll make 4, 5 points there. The first and foremost is we look at overall inventory overhang, right? Inventory overhang has gone up from roughly 13 months to now 15 months. So there is a slight slowdown that we have seen in the -- compared to last year. But still slowdown in the industry when this number crosses 30 or 36. You have 2.5, 3 years of inventory sitting and the market pickup is low. Right now, we are just over 1 year, which is still quite healthy. You could -- so that's point one. So it's slightly inventory overhang is higher. Second is, we see a slowdown. Obviously, we talked about affordable, but lately, we have started to see slowdown wherever the luxury projects are happening. And I'll give the example of Gurgaon, for example. There are very few projects, which are like you can buy a 2-bedroom, 3-bedroom for INR 2 crores to INR 3 crores, right? Most of the homes are INR 7 crores, INR 8 crores, INR 9 crores, INR 10 crores plus and we see a slowdown that's happening in that segment. It will take some time for us to see the correction, but it's important for us to note that the number of buyers for that size -- that ticket size is not as high as there is for mid-market and premium products. So we are -- when we look at the market, we not only look at the units, but also look at square foot, we also look at the pricing. So you get a true sense of what's happening. So the units actually have come down, but that's not a really bad thing because in Mumbai, for example, the approvals have delayed the number of units. In case of most of the -- in the past, the square foot actually went up because many of the places we're launching larger side homes, obviously, Bangalore, Pune, even Delhi, Gurgaon to a greater extent. And that's why it has a very big impact on the ticket size. And we believe that if you get the ticket size wrong, you'll see a sudden change to your velocity because people respond to the price velocity is not there beyond a point, right? So overall, we see slight slowdown is happening. Now in our context because we have tried to be very careful about the segmentation that we play. We're not playing in the luxury segment, right? So we don't see those kind of headwinds. But we have been affected by the slight slowdown on the approval side right? And as we just talked about Bhandup, Mahalaxmi, maybe they are all slightly slower than we would have liked it to be. It should have been a quarter or at least a couple of months faster given a full year impact. But it's a onetime correction that's happening because of the new regulations where EC is a requirement for CC, which leads into the RERA, but it will get corrected in future cycles. So I think we have been very focused on our strategy, with premium to premium. Great locations, keep the ticket size, which is affordable for a big part of that segment and make sure that you're able to get great location because at the end real estate if you find a well-connected great location, we're able to find buyers for it. You're not betting on future infrastructure, you're betting on our current infrastructure. So my takeaway from what I just said on the market is, I think we see some slowdown and more in some of the specific segments or specific markets, but we are treading the path very carefully so that we are able to manage our financial goals, our growth goals in a balanced way. Blossom, for example, is a project where we not only got the velocity, but we also got the pricing. And some of our peers are the largest players in Bangalore, we are able to get a premium even on them. So I think a good project, good segmentation helps you manage through the slowdown because of the overall buoyancy that we see towards corporate brands like us.

I think one question on IC. What is the value of potential of the 1,520 net leasable acres we had announced? And what's the period for unlocking the potential and the margins that we are seeing on the ground, it seems to be...

What was the first question, again?

Value potential of the 1,520 acres, our IC business.

1,500 acres.

1,500 acres. About INR 5,000 crores to INR 6,000 crores.

Yes, yes. I think, yes, so that slide was -- it's on an average, we've used INR 3 crores, right, INR 3 crores, INR 3.5 crores. Do you want to answer that?

Yes. So I'll take it. So overall value that we are seeing is about INR 5,000 crores to INR 6,000 crores of sales for the IC business, which covers this 1,520 acres. The PAT potential from this is roughly about INR 1,500 crores over a period of time. I think your question was also on the time line for unlocking this potential. We -- in our estimate, we think that this will take about roughly 10 years or so. If you see the 1,500 acres, roughly half of it is in Jaipur. And we also have locations like Pune, Ahmedabad and Origins Chennai. Origins Chennai Phase 2B is yet to be sort of brought to the market. But we are also working on Origins Pune and Ahmedabad as well to sort of bring that into the market. So overall that's the time line we are sort of working towards. It could be quicker as well if the demand continues to see good traction. So yes, that's the answer to this question. Amit, I think there are some questions on guidance for '27 and '28 if we can give. I think you stayed away from '28.

I think we, first, we have given a guidance of '27 at INR 4,500 crores to INR 5,000 crores of presales. I think I'll request allow us to deliver this for us to give you the guidance for the next year F '28. I think -- but our trajectory -- we are in the upward trajectory, right? We may need to think about if markets slow down significantly, but at this time, we're holding our target for next financial guidance for the next financial year between INR 4,500 crores to INR 5,000 crores.

And there is a question from [ Shaleen ] from Sears on the resi profitability. And -- which historically, that has been impacted by the legacy projects? How do we see that tracking over time? So I'll take this. On the resi profitability, we saw this quarter we had done about INR 63 crores of PAT primarily driven by 3 critical OCs we received, which is Eden Phase 1, towers A and B, Nestalgia Phase 1, towers A and C. And we also had a Phase 2 of Happinest Chennai, that also we received in December. So all of this has contributed to increase in gross margins from the residential side, which is trickling down into the profitability. So net-net, we were close to almost 10% of margins, which is a good starting point from the resi perspective. But as we see more and more residential projects that come up for completion. So we have Eden Phase 2. We have a few of the other projects coming up, Nestalgia, Alcove Luminare. So all of those are expected to contribute to our continued PAT profitability delivery over time. So that's -- I think I would -- that's where I would kind of say that it's a good situation to be in with the resi profitability turning positive from the PAT side after a long time. And with the continued OC delivery, we expect to -- the endeavor is to maintain that as we go forward. But on the IC side, I would say that, that's been a significant contributor and continues to play an important role from the overall company's profitability. One question on value of FY '26 launches and value of FY '27 launches. I think on the FY '26 launches...

Already or planned?

Yes, the launched -- GDV of the launches that we had.

So if you exclude Mahalaxmi and Bhandup, it will be roughly, how much, INR 3,000 crores, right?

INR 3,500.

INR 3,500 crores, right? Bhandup and Mahalaxmi will get launched this quarter, our estimate, but most of the sales impact would be in the next quarter. So the presales of new launches that we have done this financial year will be roughly INR 3,500 crores, excluding Bhandup, excluding Mahalaxmi.

And going into FY '27?

It will be somewhere between -- depending on our success with the launches, but our goal is to take it to somewhere between INR 5,000 crores to INR 7,000 crores, right? Because the Bhandup and Mahalaxmi itself would be quite large, depending on the phases. And then we'll have a couple of other launches to support.

I think one question from [ Johan ] on the SaiBaba development update. Any progress and update on when we are expecting to launch on that?

I think the launch will be in quarter 2, our target is quarter 2 of next financial year. Most of the groundwork has been done right now. The concessions are underway. So that's a big -- if we can get the approval, it will trigger all the other activities with the society on [ PAAA ] and the prerequisite plan sanctions towards RERA, right, and the demolition that we'll have to do, right? So quarter 2 of next financial year is something that we are shooting for on SaiBaba. Concessions are underway.

One question related to the recent budget. Are we expected to see any benefit from the CPSE real estate monetization? And if so, in what manner? So this is related to the unlocking of the real estate assets of the public sector companies.

I think we'll wait. It just came out. I think we need to understand this better. I think before we can comment, any unlocking of real estate is good, but we're also very much aware of the -- for us, getting the price under control is extremely important. The ticket size under control and then that means everything has to work seamlessly on the land prices, on cost of construction, labor costs, et cetera. So we'll wait to understand what land -- what unlocking is planned and which cities, where they are and what kind of commercials it will mean for any buyer.

So thank you, everyone, for participating in our --

If you have any other questions, please, you can type it.

Guys, there are no questions. This is generally -- it's a shorter. I hope you could hear us well. You could see the presentation. If you have any feedback, whether it's working or not, it's the second time we tried, please let us know. One question came in. Okay, we'll do that. And in the meanwhile, next, which is the end of the year, we will plan to do it in person as we have done a couple of times this financial year, right. So we'll do that. So we had to learn from you, get your feedback and make it more conversational in terms of our engagement. Sriram, you have a last question.

Just came in from Ronald from ICICI Securities. He's asking elaborate on construction execution capability scale up as we have now more and more projects coming.

Yes. That's my biggest priority. And I wish you were in our office, you could see we celebrated our project leadership team that helped us get actually those 6 OCs and a few more in the pipeline. And you'll find that half of the team is new and half of the team is old. A key part of the OCs that have come through is a lot of colleagues in the projects organization who started the project, they are there to get the OCs. So they were there from excavation, Bhoomi Pujan to all the way to get to OC and a new set of people have joined from other firms who are excited by the project outlook, the portfolio of projects we have across all the 3 cities. They are looking for growth, and we are able to attract them because we are very keen to create a meaningful impact in our organization. So first part is getting the right people. And we've added a large number of people to prepare ourself for a significant number of project sites in addition to launches that will happen. The second part is a partnership with other contractors and vendors. I think if you work with Tier 3, Tier 2 kind of contractors everywhere, the bandwidth required within the organization is significantly large. And I think we are trying to move a big part of our portfolio to Tier 1, Tier 1.5 contractors who have experience, scale, we may have to pay a little bit more for there, but they come with their benefits, which we are trying to factor in our commercial planning. So that's the second part. And the third part is overall systems to ensure safety, ensure quality, ensure progress tracking, ensure work done billing, productivity. I think you are putting small, small systems that are going to be very powerful. An example of that is how do we do snagging, de-snagging at the end of a project, right? When the OC has happened, and we are doing the handover. You could make beautiful strong apartment, but if the possession has any -- even a chip tile or a crack can really make a customer worry about the quality altogether. So we have put a 3-step process, a large number of team is involved to ensure there is a system that has been put in place, which has projects, quality and facility management teams involved. So making sure that all 3 elements: number one element is the right people, right leadership team, number two is right ecosystem with our contractors and vendors and right set of processes and technology solutions that are there to support us. All three of them are important for us to do execution really well and really want to create a name for our salesmen. If somebody walks into a Mahindra home, they should really be wowed and that experience. We were too much into affordable in the past that was getting limiting. But now we're playing in the right segment. And hopefully, we'll continue to delight our customers. Okay. Great. And thank you so much, and we remain [ clued ] into any and every feedback. If you have any comments, any suggestions, please let us know. We'll be happy to address them. Thank you so much, as always, for being there for us.

Thank you.