Man Infraconstruction Limited (533169) Earnings Call Transcript & Summary

So yes, good afternoon, everyone, and thank you for joining us today. So on behalf of Go India Advisors, I'd like to welcome you all to this virtual analyst meet of Man InfraConstruction Limited to discuss the company's Q1 performance and the growth outlook. Before we begin, a quick note that this call is being recorded. I'd also like to remind participants that some of the statements made during this call may be forward-looking and actual results could differ from these statements. Format for today's session, we'll have a short presentation from the management, covering the company's performance and the growth story following which we'll start with the Q&A. So anyone who has a question can raise the hand functionality or use the chat box to submit their questions. Now I'll hand over the call to Mr. Yashesh Parekh from MICL. So over to you, sir.

Thank you, Rajat, and thank you to India for hosting MICL. So we have today with us Mr. Manan Shah, the Managing Director of MICL Group. We also have with us Mr. Ashok Mehta, the Director and Group CFO. Before starting the discussion, I would like to inform that we will keep this discussion strategic in nature. And any kind of questions you have, which is data-related or data specific, you can get back to me post the concall. I would like to hand over to Mr. Manan Shah for his discussion. Thank you.

Good afternoon, everyone. And thank you for joining us today for our -- one of the first Zoom discussions that we are having for the conference call for the first quarter of FY '27. I would like to start and mention that the first quarter of FY '27 started on a very strong note. And MICL Group has delivered across various parameters regarding the project execution, new launches and also securing approvals for many of its upcoming projects. The company has also delivered a strong quarter 1 financial performance. I shall elaborate that in the upcoming speech. And while continuing to strengthen its balance sheet as well. So let me first begin by sharing in some key highlights of the quarter. I would be addressing this as per our India and overseas portfolio. And in India, MICL's real estate portfolio is spread across Mumbai spanning across Western Suburb, Central Suburb, Eastern suburb and South Mumbai as well. So starting off with our Western Suburb portfolio, with our Mira Bhayandar project, we have now expanded deeply into the Mira location by delivering the first project, which we did a couple of years back, which was Aaradhya HighPark. Then soon, we had launched the Phase II, which is called Aaradhya Parkwood and in Aaradhya Evoq Parkwood we have achieved a significant milestone in this quarter where 50% of the project of Aaradhya Parkwood, which is Tower C and Tower D has received its occupation certificate. And this project is near Dahisar check Naka. And it's a 35-story residential tower where there were 4 towers in total, out of which 2 have been delivered now. Aaradhya Parkwood's development comprises of in total 5.3 lakh square feet carpet area and it's spread over 1,000 units. And the sales potential was around INR 925 crores and we have witnessed exceptional response over these past couple of years where 90% of the inventory in this project has already been sold which was driven through thoughtful designs and strong trust, which the customer holds in our brand. The construction of the balance 2 towers is underway, and we shall be completing the project by next year and -- so this marks a significant milestone for us at Mira Bhayandar where the first 6 towers at the Phase 1 was delivered, which was Aaradhya HighPark and now 2 more towers have been delivered at Aaradhya Parkwood and the rest, the final 2 towers shall be delivered by next year and 90% inventory of the overall sales has been achieved of all 4 towers. Moving on towards our Vile Parle project, which is JadePark, 1 of the first and flagship projects of SV Road Vile Parle to become a gated community and get approvals under the cluster redevelopment policy. This is spread across 3.5 lakh square feet of carpet area. And here also, we are happy to announce that we have already sold more than 60% inventory of the total project. This project is under execution as per its schedule, and it's moving steadily. By next year this time, we would be completing almost 100% RCC of JadePark Project, and the customers' response have been very, very strong, and the momentum is constant regarding the JadePark project at Vile Parle. Moving forward towards our Bandra portfolio. Another important highlight of the quarter, which happened was we successfully launched our ultra-luxury portfolio project called as Marina Vista, which is located at Pali Hill. And this would also be part of our MS collection, which is the ultra luxury portfolio of Man Infraconstruction Limited's real estate project division. And this project received an overwhelming response at launch. And within a short period of time after we receive RERA the projects has already sold 30% of its total inventory. We just launched this project in June. So in just 2 months' time, we have received 30% bookings. And the total potential of this project is approximately around INR 500 crores. Marina Vista makes MICL's second project launch in Bandra market after it was followed by our BKC project, which is called as Artek Park, which was earlier launched this year in the start of 2026 and we have also received a good response from the homebuyers at this project as well, where we have sold more than 25% of the total inventory at the BKC project as well. Such sales velocities demonstrates that the constant demand has been there in the market and the trust which the homebuyers have been placing on to us. So we believe that the Bandra micro market is commanding a good momentum by the customers, and we want to continue increasing our portfolio in this location. So after the encouraging response -- so as I was stating that Bandra has been a location where we've received good response starting from BKC and Pali Hill where -- so MICL's brand journey continued forward. And in this quarter, we even secured a brand-new project at Mt Mary, and we've already received IOA for the same, which is intimation of approval for the project. The project is called as Berkeley House, which is again an ultra luxury project under the MS collection of MICL Group and which is located off Bandstand at Mount Mary. And this project has a significant potential with over INR 1,000 crores of GDV and this approval marks an important milestone for the company, where we would be soon start to demolish the existing building and the members have started to vacate already. That's the current update for Berkeley House. And this project is going to be an add-on to the portfolio of Bandra. So right from Pali Hill to Mount Mary to BKC, MICL has got its flags established at all of these locations. Moving forward from western suburb to eastern suburbs, our portfolio currently is in Mulund West, where, again, we had delivered Phase 1 atmosphere, a couple of years back, then we had launched a project called Atmosphere O2 and we also launched in this quarter a new project called O2 High Street, which is a commercial building. This is the last phase of the atmosphere project in the Mulund West location. The project located at the prime location on the Goregaon-Mulund Link Road, it's also providing an excellent highway connectivity. And we have witnessed success in the recent deliveries named the project where the project was called Gateway. And we yet -- again, we are coming up with another tower called as the O2 High Street. Our other ongoing project, which is part of the same gated community, which is the final tower of Atmosphere, which is called tower G. It's having a potential of 3.2 lakh square feet carpet area. And this project also is significantly sold by -- and we have achieved 75% of the total sales potential already. The project execution is going as per schedule, and we are likely to deliver this project by December 2027. Moving forward towards the central suburb portfolio, we are currently operating at Ghatkopar. The project is called as Aaradhya Onepark, where the total potential is 5.3 lakh square feet of carpet area, and again, in such a short span of time, the company has achieved more than 60% of the total sales and the project comprises of 11 towers in total and we are expecting to deliver this project before the end of this financial year, that's March 2027. The buildings -- the structure is already completed. The finishing is going on currently. The podiums, the clubs are getting completed. And we are seeing an excellent upward trajectory of customers working in now because this is, again, 1 of the only central suburb Ghatkopar's gated community, which has been offered exclusively by MICL. So over the past few years, MICL has also made its significant entry in -- towards South Mumbai, where we had launched Aaradhya Avaan project, which is Tardeo. This would be one of the tallest towers of the country, surging over 306 meters tall. And it is having a potential of 6.5 lakh square feet carpet area. And we launched this project 1.5 years back. And this is also 1 of the fastest selling projects in South Mumbai and being 1 of the tallest skyscrapers, where we have achieved more than 60% of the total sales already. Year this project, we would be splitting into 2 phases, where we would be delivering half of the building, which is -- we are calling it as Phase 1 comprising up to approximately around 32 habitable floors, which we would be delivering as soon as March 2028. As per the RERA time lines, we had committed customers December 2030. And we are very proud to say that this project would not just be 1 of the tallest skyscrapers in the country, but 1 of the fastest constructed skyscreepers of the country as well where we would be delivering this project nearly 2 years prior to schedule than what is committed. We also acquired another project that's South Mumbai at Tardeo location. It's currently code named as Tardeo 2.0. The name shall be unveiled soon as we reach closer to launch. And this is also going to be 1 of our exclusive ultra-luxury skyscrapers of the of our portfolio, where the potential is more than INR 2,000 crores of GDV. And we are happy to announce that we have also received the IOA for this project as well. Members have started vacating already and soon demolition of the existing structure shall happen. The launch is expected to happen in the first quarter of FY '28. But the way the things have progressed, we are happy to announce that we would be launching this project within this financial year itself only. Looking forward, we are also entering one of the most exciting phases in the MICL's growth journey, where 1 of the largest launches of MICL Group is planned this year. This comprises of nearly 1.1 million square feet, 11 lakh square foot of carpet area and over INR 6,600 crores of estimated GDV in total. We have already launched 2 projects, 1 at Pali Hill and other 1 at Mulund and a few more to follow this year, which consists of Mount Mary and Tardeo 2.0 as well. Alongside this, we would also be launching our Marine Drive project in this financial year. Over and above this, what we intend to do is that each of these developments, which is Berkeley House at Mount Mary Tardeo 2.0, Marine Lines, they are strategically located that it will continuously help MICL grow and fulfill the demands which we have experienced. The demand is very, very strong from the homebuyers, especially towards these micro market pockets. And we've also seen a sense of trust which the customers have always shown in an under-construction property by MICL. The current launch pipeline provides significant sales visibility for us in the upcoming years and which is going to lay a strong foundation for our next phase of growth. Similarly to our robust launch pipeline, we have also delivered over delivery of over 1 million square feet carpet area that has been planned. A couple of our ongoing projects, which is like Aaradhya OnePark at Ghatkopar and Aaradhya Parkwood at Dahisar with its remaining 2 towers are rapidly getting constructed, and we hope to finish both of these projects well before the schedule has been planned. Both of these projects have already achieved significant sales, like I mentioned before, and they are on the verge of healthy collections. And over the coming quarters, we will also see an improved cash flow coming in from these projects. Coming to our sales performance. We have already done more than presales of 85, 000 square feet in this quarter, which translates to around INR 290 crores across the portfolio. And the mega launches are planned in the upcoming quarters where we will be launching like I said, 1.1 million square feet of carpet area, which is contributing to around INR 6,600 crores of overall group level GDV. Now let me jump into the financial performances. During the first quarter, the consolidated revenue from operations grew by 8% year-on-year to INR 218 crores. And the profit after tax attributable to shareholders grew by 29% year-on-year to INR 72 crores. These numbers reflect healthy profitability across our business and our balance sheet at a consolidated level continues to remain 1 of the biggest trends. As of June 2026, our cash and cash equivalents surge to INR 768 crores, a compared to INR 686 crores at the end of the financial -- previous financial year. This increase has been achieved despite continued investments towards newly acquired projects as well. At the same time, our total borrowing remained modest at INR 78 crores with liquidity of INR 768 crores against such limited debt. MICL continues to remain a net debt-free company, providing us significant financial flexibility to pursue future growth opportunities at [ Machis. ] As we shared during our Vision 2031 presentation earlier this year, we remain committed to building a development portfolio with a gross development value of over INR 35,000 crores by 2031. We continue to evaluate several attractive opportunities across Mumbai and U.S.A. marking marquee projects and we continue our advanced stages of negotiations and due diligence with various landowners and societies. We are confident that this GDV will further strengthen our development pipeline and increase our existing portfolio. Based on the progress we are making, we remain optimistic about achieving our long-term vision, well ahead of the schedule. Coming to our outlook of FY '27, we continue to maintain our guidance of delivering over 25% growth in profit after tax over FY '26. We believe we are well positioned to deliver this and strive and achieve this at the right time with our stated guidance. From a sales perspective, as we had communicated earlier, we continue to target cumulative presales of INR 5,000 crores over the next 2 years, driven by our robust launches of pipeline and the projects that we've acquired. The demand across all our ongoing projects is continues strong, and we are executing across Mumbai's various premium residential markets. And we believe that this journey has just begun. So we are confident that our overall GDV of INR 35,000 crores at the group level by 2031 shall be achieved much, much prior as we always have delivered our residential and commercial projects also before time, we are confident on delivering you this GDV before time. To conclude, we believe that the growth story of MICL is just now begin, and I will now hand over the call to the moderator, and we'll be happy to take your questions further. Thank you.

So yes, thank you, Manan, sir, for your opening remarks. So we already have a few questions.

First one, we'd like to unmute and you can go ahead with your questions. Yes, Vansh?

So my first question is like as we moved on from affordable housing to luxury housing now, now portfolio comprises of many luxury projects. So my question is like going forward, as of now, all our luxury projects are in joint ventures. So going forward, will all the luxury projects will be in joint ventures or we'll have some of our own projects to like as 100% stake.

See, the whole philosophy of the company is not just for the luxury projects. If you see, we have land owners as our partners. Sometimes we have investors as our partners, sometimes they have friends and family as partners. So the whole logic is rather than deploying all the cash flow to 1 project, we dilute some equity and derisk ourselves in every kind of a project and we increase our portfolio strength. And we do not like taking debt. So if you see right now also, the INR 78 crores that you see, majority of that is the contribution from partners in the form of debt. It is not an actual borrowing, which has been done. It is the money which has been utilized for the cash flow of the project. It's not an external borrowing from institutional vendors ideally. So what is the whole purpose of doing it in a joint venture, it allows us to secure and acquire a lot more projects. And right now, if you see -- there are a lot of redevelopment projects, which are happening in the city where every developer has been bidding. So we have a simple fundamental that rather than fighting in and reducing the margins on the project I would rather make my competitor as my partner and increase my margins and do the project together and enjoy a better brand in both of us. But yes, for the future, every project of ours may not have partners as well. If we feel there's a need of a partner or if we feel that it's a business call where we would want to introduce someone, we will be keeping that flexibility.

Okay. That was helpful. Second question is like currently, all our projects are in the MMR region. So going forward, as you stated that your vision is to cross INR 36,000 crores of gross development value by 2031. Do you wish to like step into any another city apart from the MMR region like Pune or Delhi or any other city?

See, currently, for the next couple of years, our intention is not to step out for 2 major reasons. One reason that the margin that we make per square feet in Mumbai, sometimes it's not even the sale price in these cities. Very limited projects, in fact, 1 of the projects in Delhi or 2 products in Delhi have just been getting highlighted but if you see and compare the pricing with the rest of the city in the Delhi region or Pune region, that is not even quantifying to the per square feet profit margin, which we would be making in our Berkeley House project or maybe Avaan project, for example. So the intention is to not just churn volumes. The intention is basically to have significant bottom line like this year's projection, also, we have given a 25% growth we are seeing comfortable happening at the bottom line level. It would be possible only if I have a good ticket size product with a healthy margin. And eventually, I have seen the other cities drying up soon, whenever there is a cycle change of economy happening where the market's been slow or for instance, for the last couple of months, you've been seeing the U.S. and the UAE stuck into the war situation with Iran because of that, what is happening is the global pipeline dries up, the fund starts pulling out the money outside the country. And eventually, these other cities apart from Mumbai have always seen affected. But Mumbai is 1 of the significant pioneers since the inception of, in fact, I would say Bharat converting to India in 1947 where Mumbai has always been a hot favorite city for the past many, many decades. So we are very confident and robust about Mumbai. And currently, we have no intention of moving outside the city. Vansh do you have any follow-up? Or shall we take the next one?

Can I have 1 last follow-up?

Please go ahead. Yes.

Sir, any commentary on the EPC part, like any projects or tenders are we bidding on?

We shall soon -- we are almost in the final verge of negotiations for 1 of the significantly large order for EPC. It's under discussion. And hopefully, in the next 2 quarters, we will be announcing some great numbers on the PC side as well. To give you a forward note on the EPC sector, we are very strong on the port side. It's almost on the verge to get completed. But if you see the overall in-house portfolio that we have, it's going to be a total construction worth around INR ,9,500 crores, INR 10,000 crores of construction area that we will be executing it in-house. So whether I give an order to my in-house company or that individual company executes the order and sales that money of the EPC margin, eventually the money is going to be earned by MICL. So we have a INR 9,000 crores to INR 10,000 crores of future order book of our own residential and commercial portfolio that we have been doing under the real estate sector.

Okay. Sir, before we take the next question from [ Midden, ] we have 1 from [ Kedar ] as well. So he's asking that for the next couple of years, we have set a target of INR 5,000 crores of sales. But for the Q1 sales, Q1 FY '27, we had INR 290 crores of sales, which is actually much lower than we -- what we achieved in FY '26 as well. So how do you see -- are we still confident in terms of achieving the sales over the next couple of years, the target that we have set of INR 5,000 crores.

Unfortunately, the problem of real estate is that people try to quantify the projected number divided by a number of months. And a lot of times people expect that I would be doing same sales every month, like it's a Netflix subscription. What happens is in real estate, whenever I launch a project, at times, I'm doing INR 1,000 crores of presales in 1 month also. So basically, in the first quarter, I have not yet launched a marine lines project, which is a INR 3,000 plus crores of GDV. My Berkley house project, which is a INR 1,000 crore plus of GDV project, plus -- what we are going to achieve is significant sales in my ready-to-move in projects, which is Ghatkopar and Dahisar project. With these projects coming in on board with Pali Hill just been launched. And if you see in 2 months, we've achieved 30% with our Artek, we've achieved 25%. This has just begun. By December, you will see a significant turnaround with 2 project launches. And by March, also you would see, and that is the reason I had given a cumulative number of INR 5,500 crores to INR 5,000 crores of presales in the next 2 years' time. So do not quantify that just dividing it into 24 months or this thing. We are confident on achieving -- in fact, we might even surfs the INR 5,000 crore numbers if the markets are going to be strong. We're just waiting for the right time for the projects to be launched, and they are all due. We have received the IODs also for 2 of our significant projects. In fact, Tardeo 2.0 also is a project which is about INR 2,000 crores of GDV. So if you do the math and even if you consider just 50% of sales in the next 2 years, you have your number.

Hello?

I would suggest if you can wait for your opportunity.

Just [indiscernible] this question at chat box. [indiscernible].

Yes, please go ahead, sir.

I have sent a question in chatbox. Please reply those questions. If you've not received, I'll just repeat again, if you want to...

Yes. If you can ask it be more easier for the audience to here.

How much area is contributed for coming financial years and the [indiscernible] gearing ratio for all the products, like all the -- like how much projects you have. So what is your thoughts for coming financial year? Rest, thank you very much for allowing me to speak. Thank you, sir.

So he's asking how much more area is contributing for the coming financial years, so in terms of launches and sales. The profit sharing ratio as well, yes.

Mr. [ Dyaneshwar, ] can we get back to this question after the con call, that would be helpful.

Yes, No problem, sir. As you wish sir.

Now sir, the next question we'll take from [ Mithin ]

The question which I would like to highlight is regarding this U.S. operations, this Miami, Florida, what is indicated in the presentation. So if you can please highlight regarding this property development, I mean, what exactly are we doing with the business Cantos over there as such?

So we have currently completed 1 large villa in Miami. We are also starting construction for our branded residences by Ritz - Carlton. That's a residential property. And we've also just invested in another significantly large residential tower on the ocean. The operations from U.S. has basically begun 1.5 years back. where we have completed the first 2 villas out of which 1 is already sold. The other 1 is standing over there. That's currently on hold, we are not currently selling the second villa. We would be selling that Villa maybe by next year, March or something. That's currently being treated as an iconic show how so that we can showcase of our portfolio. That's the reason you're not seeing the sale of the second villa happening at Florida. The third well is just constructed. We are expecting a sales value of around nearly $15 million for that particular villa, very beautifully constructed part of our ultra-luxury portfolio of Miami. So that is up for sale. There are viewings which are happening by customers. And soon, we shall have some concrete offers for the same as soon as that is done, we would be selling that villa as well. Regarding the Ritz - Carlton property, we've done nearly presales of around $25 million up till now for that project. And the momentum is strong. We have launched that project in the market. And that project is expected to be completed by 2030 December. So once we have received significant sales, then we can begin the construction for that property as well. We have some substantial liquidity in the U.S., which will be utilized in the existing cash flows of these projects. Currently, no further liquidity, we intend to repatriate to Miami. But by 2031, we shall have 100% principal been accrued back with some significant profit as well. And of course, the intention is not just to hold that money. The intention is to keep on replowing that money back. into the U.S. market and grow that money. But we are receiving some significant opportunities also right now, like we've just invested I think, around $5 million in 1 of the ocean front properties as well.

I mean the reason why I've been asking is that predominantly, if you see all the real estate players or EPC players in India, they would diversify in different geographies, having predominantly in say, like in our case, it is MMRD area in terms of real estate, preferably try to diversify in different geographies within India itself. I mean, what made this decision to tap into U.S. geography, especially in Miami, Florida, and how is the cash flow over there? And or -- how would the margins with respect to what we would basically be that we are doing it in Mumbai as such? Kindly elaborate regarding. And what is typically the ForEx hedging policy as such, if you can just elaborate on that?

See, the most important factor to we understood is when MICL started repatriating money from India to Miami, the dollar used to be INR 75. Today, the dollar is INR 95. By the time if I want to bring back the money, even if I would have kept the money lying idle over there, any mutual fund or any kind of FT growth rate would have not given me this kind of growth which would have been there in keeping it in Indian marketing. Second, regarding margins of the project, the margin is equivalent and sometimes even more than the Indian projects. So for us, whether I'm doing projects in Mumbai or I'm doing projects in Miami, it does not make a difference because the money is growing at an equal or maybe at a better rate, plus I'm enjoying the benefits of the currency appreciation over there. So on a year-on-year basis, the average growth, if you see, has been 5% to 6% of dollar rate -- and also, we have derisked ourselves completely by having local JV partners who are currently the brand face for selling in the Miami. So it's not that we are taking the task purely on our head, MICL has a local partner, which understands the bylaws also where the customers trust also. And because of that, we are confident that every egg may not be placed into the same basket. Apart from Mumbai, we are already spread across sectors. So you're mentioning MMRD and all, they are already spread across MARA and SRA and private developments [indiscernible] developments also and opportunity has always been open and cash flow is also ample that I don't have to pick and choose whether I can do projects in India or Miami, I can do both the projects, whether it is MMRDA, buying of land, redevelopment or more.

Got it. Good. And how does the cash flow looks like from that region?

Like I said, in the next 4 years' time, the money, whatever we have transferred, we have transferred approximately anything around $35 million. up till now, the entire money would be back with our U.S. venture in our U.S. account where either if we see a good opportunity, we would further deploy it over there. And if we feel that India is outperforming U.S., we would definitely get the money back in the bank.

Got it. And just 1 more question and I'll come back in the queue. Last fiscal, we saw a slight negative cash flow as compared to the previous years, which are quite healthy as such. Any particular reason for that? And how do we see in FY '27 going ahead? Will it return back to positive cash flows?

The only reason was there was new money invested in the acquisition of the significant portfolio which I have announced that we will be launching this year. And lot of projects were under the initiation of construction, which required deployment of further working capital when the market was slow last year slightly in terms of the sales, but we have already recovered that. And if you see the upward trajectory has already begun for the first quarter, if you see the profit after tax, what we've achieved this year. And we also have a significant pipeline of launches in this financial year, where we are absolutely confident from marine lines to Tardive to Mount Mary to Pali hill, BKC. There are so many projects under the launch portfolio. And we've always seen healthy results coming in and healthy [indiscernible] coming in. So we are not away from the upper trajectory? And last year was a year of acquisitions where -- and that is the reason you saw a dip in the bottom line coming in. But this year, the upward side is already beginning.

Thanks for being so candid. Really appreciate it.

So sir, we have 1 question in the chat box as well from [ Bhimal- ji ] He is asking would you prefer to remain debt-free or -- is there any plan to raise funds through equity offerings for your projects?

See, currently, we are sitting on a cash flow of more than INR 700 crores at a group level. We do not require debt to acquire any of the projects or refinance any projects, to be honest. Construction finance is negligible, which happens in the landowners book in our RDM projects. which again does not come into our books. So we are very stable and, in fact, strong and we have excess liquidity, which we are continuously deploying to acquire these projects. And the intention is just to remain debt-free because adding on to debt without adding on to debt, we are able to acquire significantly larger projects and continuously increased portfolio. So compared to last year, if you see the portfolio has already doubled. And the intention is to keep on growing at a 25%, 30% growth rate of adding new projects. But maybe by next year, things looks very positive where we are on the final verge of negotiating with a lot of landowners, a lot of societies in the Mumbai region. And you might see a double portfolio of what you're currently seeing in the next year's book as well. But for that, I don't require any new debt. All fundraising is also not required.

Okay. Now there is another interesting one.

I would like to add 1 more thing. In the next 3 years' time, the company would be generating INR 3,000 crores of its cash flow which again gives me significant money and dry powder to run through and acquire significantly larger projects. So on an average portfolio basis, if I have INR 200 crores with me, I'm comfortably adding INR 2,500 crores to INR 3,000 crores of GDV with every INR 200 crores, which I have, which is yielding us a comfortable 20% to 25% of bottom line.

Correct. So okay, before I take the next one, I'll ask -- [indiscernible], if you can -- sorry, if you can unmute and you can ask your question.

Sure. First of all, thank you so much for organizing this, and congratulations on the quarter. My question is around the projects that are upcoming. These are ultra luxury products that you're bringing to the market. What kind of margin profiles are you looking at in those projects? Are these going to be substantially different from what you have done before or ballpark in similar lines?

No. Definitely, the margins are much higher compared to like a Dahisar project because the ticket size is INR 1 lakh per square feet and beyond at Mount Mary and Pali Hill. And Dahisar's somewhere around INR 20,000, INR 25,000 on a square feet depending on the inventory to inventory. So the margin, definitely, on a per square feet basis, is sometimes more than the ticket size of Dahisar inventory. So ultra luxury portfolio definitely has better margins. But -- when you compare the gated community projects, it's all about volume. So the bottom line in terms of percentage has remained nearly similar in our case because we do EPC also in-house. We save the money via by not taking debt and investing in our own projects. So we save the interest cost also. So for us, the bottom line usually remains same. It differentiates in the case of a DM project and a redevelopment project, where in the DM project, we've given a case study in the past where the DM project margins are nearly 2.5 to 3x of the money that we have invested.

Got it. Also about your upcoming launches this year, we are still targeting marine lines this year.