Ajmera Realty & Infra India Limited (AJMERA) Q4 2026 Earnings Call Transcript

Ladies and gentlemen, good day and welcome to the Ajmera RLT and Infra India Limited Q4 and FY26 earnings conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star and then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Gaurang Chautalia, Head of Investor Relations. Thank you, and over to you, sir.

Thank you. Good evening, everyone, and a warm welcome to you all. On behalf of the company, I would like to thank you all for participating in Ajmera Reality and Infra India Limited's earning call for the quarter ended 31st March, 2026. The call will commence. With the opening remarks by our Director of Corporate Affairs, Mr. Dhawal Ajmera, and will be followed by the business performance discussion by our CFO, Mr. Nitin Bhavishi. We have already shared the operational update of the quarter in the second week of April 2026, the investor presentation and the press release based on the financial results. Adopted by the Board have been uploaded on the Stock Exchange website and can be downloaded from our company website. Please do note that some of the statements in today's discussion may be forward-looking in nature, reflecting the company's outlook and may involve certain risks and uncertainties that the company may face. I would now like to hand over the call to our Director, Mr. Daval Ajmera. Thank you and over to you, sir.

Thank you. Good evening, everyone, and thank you for joining us today. I will begin the discussions by giving the overall sector updates thereafter, taking you over our performance of the company over the financial year, and thereafter, we will take forward specific questions. So reflecting on the sector updates, I would like to say the year has gone by, you know, pretty volatile in terms of exceptional complex landscape, where we began the year by managing the regional ripples of the India-Pakistan war-like situation, followed closely by the volatility of the U.S. tariffs, uncertainty, and more recently, the intensifying geopolitical tensions in the Middle East. While these escalations have injected... Thank you. This stability is anchored by strong domestic, fundamental, and decisive policy support. The RBI's shift towards a growth-supportive stance alongside the government's aggressive infrastructure spending and GST rationalization has significantly blastered affordability and buyers' confidence. Despite a global backdrop, the supply side continues to consolidate around trusted, branded developers, and we believe that these structural drivers are not just temporary tailwinds, but foundation for a long-term expansion as India transitions into a mid-income economy. While all these global turbulences which are there, obviously there has been disruption in the supply side where costs have escalated, but we as a company are resilient and working towards the best possible ways to ensure we continue our growth the way we envisaged. Moving towards the residential side, the India's residential market in FY26 was defined by a strong presumption with luxury housing, branded residences, and township developments driving demand across key urban markets, while the mid-income housing remains resilient on the back queues of end-user demand, and affordable housing continues to face supply pressure amid elevated land and construction costs. The office market, while on the other side, the office market recorded its strongest year on record, led by sustained demand from global capacity centers and flex space operators. Falling vacancies, rising rentals, and growing participation from domestic institutional capital reflected a structurally mature and resilient commercial real estate ecosystem. Overall, just to give an outlook, the real estate sector has been optimistic as we are transforming from a post-pandemic growth phase and entering more matured and calibrated cycle where market growth is starting to normalize. Consequently, our primary focus for FY27 will be centered squarely towards discipline, execution, and financial prudence. Though we maintain absolute confidence in market underlying structural demand, but we are moving with a highly calibrated approach. I'm very happy to say that the past five years has marked a transformation period of growth and operational excellence for us at Ajmera Realty. Since the year FY21, we have achieved a staggering 5.1x, that is five times growth in our increase in our net profit, reaching to $150, a phenomenal 38% CAGR. Alongside a 3.1x surge in revenue, that is about 1,098 crores, and 3 times EBITDA growth, that is about 306 crores. The robust top line and bottom line expansion is a direct result of our enhanced market positioning reflected in our average realization, which is scaling to 25,000 rupees, 25,770 rupees a square feet in FY26 from 12,083 rupees in FY21. Most importantly, we achieve this aggressive growth while maintaining strict financial discipline. We successfully deleveraged our balance sheet, reducing our debt-to-equity ratio from 1.13x down to highly resilient 0.53x. These metrics are a testament to our robust business model and our unwavering commitment to sustainable long-term value creation for our shareholders. Now, speaking for our operational performance for the year FY26, We are very happy that Ajmera Realty has done a stellar performance, and it has been, we have got our highest achieving pre-sales number of 1,701 crores, surpassing our guidance of 1,600 crores, which is marking a phenomenal 57% growth year on year. This strong performance was driven by an overwhelming market response to our four new launches during the year, contributing to nearly 82% of our pre-sales. Furthermore, our record-breaking collections, 1,103 crores, which was up 71% year-on-year, reflect our strong execution capabilities. To further strengthen our growth pipeline, the company undertook business development of 2,433 crores across five projects during the financial year 26, which are asset light in nature. We continue to prove our unwavering commitment to aggressive growth coupled with strict financial discipline. Discussing the progress for our newly launched projects in FY26, Ajmera Manhattan 2, our luxury offering in Wadala, had witnessed an encouraging customer response with 48% of its inventory sold. Our commercial launch in Bandra 3315 has also seen a steady transition with 17.17% of our inventory sold, while Solis at Vikroli delivered an exceptional demand in Phase 1, enabling us to achieve 86% of our inventory absorption. Building on this success, we further expanded our Mumbai's premium residential market with a launch of one by Ajmera in Varsova during the quarter four, FY26, our first premium luxury collective project, marking our entry into another marquee luxury micro market that is Varsova. These redevelopment projects constantly... Make us strong and validate our asset-life strategy and our ability to successfully scale and dominate across new high-potential micro-markets. Amongst our ongoing projects, our flagship luxury development in Ajmera Manhattan 1 has achieved around 90% sales with construction progressing and up to completion of RCC in Tower A and Tower B. The next phase of Ajmera Greenfinity has recorded a 94% sales with MEP finishes and work in progress, and we are hoping to get its OC very soon. Ajmera Vihara in Bhandoop has reached 81% sales with 21st floor slab cast in the rehab building and 4th floor slab cast under the sale building. In Bangalore, our mid-micro-market portfolio continues to perform strongly. And Ajmera Iris has already achieved around 88% sales, while Ajmera Marina, launched in quarter four, has seen a robust demand with 69% sales and first-floor slap in progress. Looking ahead, our near-term growth strategy will be spearheaded by unlocking the immense remaining potential of our strategic Vardala Land Bank, which holds an estimated GDV of 13,194 crores. Coupled with a robust FY27 launch pipeline of 6,324 crores, which is total with which we are looking at a massive collection in GDV of overall of 19,518 crores. Complemented by steady value realization from our existing sustainability portfolio, building on FY26 performance momentum, we are setting a pre-sales target of around 2,200 crores for FY27. To maintain this growth, we are targeting 1,800 crores of highly selective project additions. As a result, you will see our debt-to-equity guidance move to 1x. Ultimately, we are perfectly positioned to accelerate our growth momentum and scale new heights this year. With this, I would like to now hand over to our CFO, Mr. Nitin Bhavasi, who will take you through the financial and operational highlights. Thank you very much.

Very good evening, you all, and very thankful to you all for joining us on this quarter 4 and F526 post-heartening call. Before we move on to Q&A session, allow me to summarize the consistent operational and financial performance we have delivered for quarter 4 and F526. Ajmera Realty delivered a landmark F526 performance, achieving its highest ever annual sales and collections. Sales value surged 57% YOY to 1,701 crores, surpassing the company's annual guidance. While collection rose sharply by 71% YOY to an all-time high of 1,103 crores. In terms of volume, the company recorded sales value of sales of 60,000 carpet area measures, reflecting 11% YOY growth. Driven by strong market absorption across new project launches and sustained execution momentum across projects. Coming to financial performance, F.26, the company achieved its highest ever total sales revenue of 1098 crore, registering a robust growth of 46% YOY. Driven by strong project execution and healthy momentum across key launches. Reflecting the key strength of our operational performance, EBITDA grew by 25% by YOY to 306 crore, while PET increased by 24% by YOY to 157 crore, underscoring the operational efficiency and discipline execution. Our collection efficiency improved to 65% up from 60% in FY25, providing the liquidity to significantly outperform our leverage targets. As a result, we achieved the date equity ratio of 0.53x, well below our annual guidance of 0.85x. The company maintained a robust financial discipline with a total debt student 737 crore as on March 31, 2026. Moreover, our weighted average cost of debt stood at 11.15% in FY26 versus 12.20% in FY25, highlighting our enhanced credit profile and disciplined financial management. Our revenue visibility further strengthened, driven by exceptional sales from recent launches and steady progress across ongoing and OCRSU projects. The total visibility from these projects stands now at 4,108 crore, comprising 1,837 crore from committed sales and Rs. 2,270 crore from available inventory to sell. Additionally, our upcoming launch pipeline is expected to contribute about 6,324 crore, taking our overall revenue visibility to a robust 10,432 crore, reflecting strong growth momentum ahead. The estimated net cash flow pre-tax post-debt from our OC received and ongoing portfolio is expected to be estimated to be around 3,150 crore. With this concise summary of our business highlights and financial performance, I now invite your questions and look forward to further interaction. Thank you all.

Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and then 1 on their touch-down phone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Again, to register, please press star and 1. Your first question comes from the line of Appuru with Whitestone Financial Advisors. Please go ahead.

Thank you, sir, for the opportunity.

So, my first question is that we were planning to convert the Kanjumak land from leasehold to freehold. So, by when we will do that? And is there any timeline before which we have to do that? Well, the conversion process is on. We have already applied for the conversion, but since it's a regulatory process, it takes a little while, and there are issues which we need to resolve within the regulatory framework, which we are constantly doing. We are hoping to resolve this in the next quarter or so. Okay, got it. And so, what is the timeline for launch of first project on 11-acre plot of Kansur Mark?

Earlier, we were planning in Q4-FI26, then in Q1-FI27. So, what is the status as of now?

Well, we are still under process, but, you know, as a mark of line-up strategy for the larger project, we are first trying to finish off the conversion regulatory process, and once that is done, probably we will try and also see if we can launch this project. While we have already started construction for the process and the regulatory work which we had to do, that is the police housing, but for our sale momentum, we are just awaiting the conversion process to finish and then take that forward.

Yeah, sir, just to follow up on this, sir, we were earlier told that we

can launch the project even on leasehold land, but then we have changed our thought and, like, just want to know what went to this thought,

like, why didn't we launch on the leasehold land?

Well, we can definitely launch this project in leasehold and there is no barring to this and definitely we can do. But, you know, as the overall customer mindset when it comes and when we feel that the customers feel more comfortable if the land is completely converted and it's a freehold land and that is what we've got as a review from the market. And that is why we are trying to first do the conversion and then launch the project.

Okay. So, can we expect in Edge 2, the launch can be there?

We are trying. Hopefully, yes, because after the conversion, there will be other regulatory process of IOD environment and other things which we need to clear, which is what we are working. Hopefully, by Edge 2, we should be able to do that.

Okay. And so, my next few questions are on the Vardala side.

How much have we sold in Vardala this quarter? How was the response and demand if we can throw some light?

So, Vadaala, if you refer the slide, you know, the project breakup kind of a thing, the Manhattan 1 and 2 both are showing the, you know, good traction. Manhattan 2, which we launched during FY26, we have almost about half of the inventory sold out. And Manhattan 1, which is cumulatively about 90% sold out. So, that's where the Vadaala stands. In terms of the another project which is ongoing, which is the Greenfinity project, which is also, you know, contributing to the overall sales at Vadaga.

Okay, and sir, my last question, what is the timeline for launch of boutique offices in Vanala and Manhattan phase 3?

So, boutique office, as we have guided in our launch pipeline, something which is the quarter 3 event, and we are working towards that, particularly in timelines.

And Manhattan 3, phase 3?

Marathon 3, as we have guided, it is a part of the further launches, the Boutique office, and which is the very, very significant value proposition, and which is what we are aiming to bring into the launch within FY27.

Okay, got it. Thank you, sir.

Thank you. The next question comes from Klein of Tanishk with MK Global. Please go ahead. Thank you for the opportunity. Am I audible?

Yes, sir.

So, actually, we have two big launches in FI27, Votek Offices and Vodewali DWS9. What is the status of both? Have we received the IoT and all, and can we expect this in Q3?

As the Vadala location, we have the sequential, you know, the phases which is coming up. So, there is not much relatively speaking about the regulatory permission challenge kind of a thing. We have started and we are working in that particular timelines to get the launch within the, you know, quarter three F527. In terms of the Borivali project, it is also a part of the quarter 3 when we have started working on the plans of this particular project and we will keep updating as we move forward on quarter 1 and 2 as well on interactions.

Okay, thank you. That's from my side.

Thank you. The next question comes from the line of John V. Shah with Share India Securities. Please go ahead.

Hello. Hi. Congratulations on such good results. I just had one question on the Vrstoa project. As to, we have seen a very good traction in the Vrstoa project that we just launched. The same thing with the commercial project we launched in Mandra. But at the same time, in the Vrstoa side, I saw that during the launch, we did not sell much. The track is not that great. Why is the case and what is our outlook on the same?

So, this project is a luxury project, and it is not, you know, normal mid-income housing project. So, where the traction is pretty fast, when this is a luxury project, the micro market obviously demands that kind of, you know, size and detrising. But at the same time, we will have to, you know, we go by the entire requirement of the demand supply, And that is where we were mindful that we will not see good numbers or, you know, great velocity of sales coming. But during the lifestyle cycle of the project, we will see the actions coming for the sales. So that's how we are working. And that's the strategy which we had adopted from day one.

And as well to update on to the timelines, Bandara project 3315 and Solis both were earlier than the one. Varsova project was just launched at the 4th of the financial year. So few weeks performance already sitting on to this and we are pretty confident moving ahead with better numbers.

Sure, sure, sure. I am pretty sure that we will do the same thing because we have a history in Lokhandwala as well.

Yeah, so because this is, you know, in a luxury micro market, we anticipate that we have anticipated certain numbers and strategy and that is how we are moving in that entire micro market. So it will continue as a steady growth and not as a sludge of sales coming at one shot.

Sure, sir. And just like another question on the business development that we did this year, what is going to be the timeline on that case? Like, when are we planning to launch them?

So, we have done the, you know, five projects as a business development of 2,500 crores, and all are under asset-light strategy, and frankly speaking, the asset-light strategy, the redevelopment, and such kind of a project, it takes a while to bring. We'll keep updating you while we go forward on the quarter one and two discussions.

Okay. Thank you so much.

Thank you. Your next question comes from plan of Saurabh Sadhwani with Sahasrara Capital. Please go ahead.

Hi, good afternoon, everyone. I had one question on the demand side. So we are looking at how AI has, you know, sort of disrupted the job market. It might have, it might not be giving, you know, benefits as such, but it has disrupted a white-collar job market. So, I believe the real estate demand would get hampered in some way. So, I was just wondering, what do you think of that?

Well, AI, you know, is definitely taking over a lot of demand or the work efficiencies within the working culture. But at the same time, what we see is that real estate housing and sales of flat is more towards, you know, looking at actual usage from customers. We see this disruption coming in our working efficiencies and making it better. But I don't see, you know, we will have a lot of disruption coming for sales. In fact, I feel with the growing efficiencies, I think demand for real estate will also continue to grow with the AI coming in place. I feel people will become more efficient and with that growth will also become better. So that way, at least the real estate market will start looking good.

But in the near term, do you see, do you sense that people are deferring their real estate purchases?

Uh, right now people have become cautious with the current geopolitical scenario. It has got nothing to do with AI, but it is more with the current geopolitical scenario. People have become cautious and they are trying to analyze and assess and take their decisions accordingly. Uh, but, uh, you know, we are seeing inherent in demand. Uh, let's say if a person was coming today and, uh, you know, within 30 days or 45 days, there would be a conversion for the flat. It is now moved or pushed from 40 days to 50 or 60 days. But we are still continuing to seeing good demand coming from the customers. But the timeline in terms of closure is just getting a little pushed.

All right. Okay.

Thank you.

Thank you. The next question comes from the line of Irish Punjabi. An individual investor, please go ahead.

Thank you for taking my question, and also for congratulations for taking the top numbers. So can you please tell us about the EBITDA margins going to sustain for the next 5-6 years, and what was your KPEX plan?

So, going forward, you know, our guidance in terms of the pre-sales and as well the cash generation from this particular, you know, launch pipeline, which is 6,300 crores and about 1,400 plus crores of the cash generation from that. So, that particular number really indicates and gives us a confidence that, you know, EBITDA margin is a sustainable number going forward as well.

Okay, my second question is, can you please share the figure of unsold inventory?

So as on March 26, we have about 2,200 crore worth of the unsold inventory, both from OC completed projects and as well ongoing projects. And that is something which we have indicated and explained on our portfolio expansion slide in the presentation.

Okay. Thank you. That's it for myself.

Thank you. The next question comes from the line of Nilesh Sharma with Anantanath Skycon Private Limited. Please go ahead.

Thank you so much, sir. And my question is, how much is the current revenue visibility backed by committed sales? Though, you just mentioned, I'm sure it meant it around 2200 crores, right?

Yes.

Sir, may I know the number of committed sales?

So, committed sales on the ongoing projects, which is on which the revenue is pending, which is about 1,800 crore, and which is mentioned on the slide 31 of the investor presentation, and OC received and completed projects, which is around 40 crore. So, both put together about 1,850 crore worth of the revenue from the committed sales position.

Okay. How much revenue we can expect in next 12 to 18 months? Oh, we can say Felicilate 18.

That is something which is the, you know, function of the execution and the life cycle of the project. But as we have been demonstrating, it is almost like, you know, 50% jump over the last year's number in terms of revenue. And as well, the further the revenue visibility, which is further expanded to 10,500 crore, which is having about four and a half to five years of the, you know, life cycle. So that really leaves us a very good headroom for the, you know, top line or the revenue growth kind of thing.

Okay. And sir, is there any speed that we get in terms of lag between the booking and revenue recognition across all key projects that we are working as of now?

So typically that it's a project specific kind of a thing because there are specified criterias to become project to become eligible for the revenue recognition, which is 25% on completion. So as we complete the 25% faster and collection being more than 10% and things of that sort, the project becomes eligible and then the accounting revenue starts coming into the income statement.

Okay. Last question from my side. After the legal clearance for Kanjurma project, how much time it will take for us to project launching?

As we mentioned earlier, that once the regulatory approvals and everything are in place, we will take another three to four months for the project to launch or probably look at some monetization or whatever we want to, we are currently under discussion. So, I think once we have certain clarity from the regulatory processes, we will be able to go, but on the overall side, around three to four months post the regulatory clearances.

Any probability that we can expect for this financial year?

We are looking at more conversions and regulatory processes to get cleared and clarified in this year. And moreover, we are focusing on the overall master planning and discussion of the project and thereafter launching it. So we are trying to see if we can probably towards the end of this year or next financial year where we will see official launch of commercial, residential, retail, all towers coming together over there.

Okay. Okay. Thank you, sir. Thank you, and all the best.

Thank you. Before we take the next question, a reminder to all the participants, you may press star and then 1 to ask a question. Our next question comes from the line of Karan Bhatelia with MAIQ Capital. Please go ahead.

Hi, good evening and congratulations to the team for the great chat of results. I wanted to get an idea about one Ajmera project. So what would be the average carpet size of the project?

The average carpet size in one is around 1,700 square feet. We have larger four bedrooms of around 2,000 square feet, but we also have some three bedrooms, but overall is about 1,700 to 1,800 square feet flat.

Do we have any unit below 1,500 square feet by any time?

We have a few, but there is very minuscule because of the planning and all, but mostly it is larger 4 bedrooms, which is around 2,000 square feet.

Why I am asking you this question is because on slide number 10, I got a little confused on the sales volume of the project, which is 3,000 square feet, and we sold three units. So, I just wanted to understand, is it the recognition of stage volume is something different, or how do you recognize that?

So, basically, those are, you know, one, two flats which are sold at a, what do you call it, a lesser area. Like, those are the smaller area flats. We have some one or two, two-bedroom apartments. We have about a few three-bedroom and larger four-bedroom apartments. So, these were the flats which we sold, you know, these three flats were a little off numbers, and that is what we have sold right now, currently, during the last month of the financial year. But larger of our inventory is a four-bedroom apart.

Understood. Good morning, everyone. Also, another thing I wanted to get an idea of, if it's possible for you to give a breakup of the property plant and equipment, as I could see, it has doubled from 35 crores from previous year to 64 crores. So, what is, like, what has led to the increase?

It's more of a granular kind of a thing, I'll park and clarify the later on of this.

I'm sorry, I...

It's more of a granular. I'll park and I'll just later on on to this call, I'll clarify.

All right. All right. Okay. Thank you.

Thank you.

Participants, you may press star and want to ask a question. Our next follow-up question comes from Apoorva with Whitestone Financial Advisors. Please go ahead.

Yeah. Hi. Thanks, sir. How is the business development pipeline and how much we are planning in FF27? We are currently shortlisted. We have given our inventory that we will be doing new business development, but currently we are looking at more new project launches, and we are also looking at existing projects which we have taken into our portfolio. And but the new one are around 1500 to 1800 crores where we currently are targeting with the existing dialogues which are currently going on, which is about two or three projects. And while the year passes by, once we have a few opportunities coming in, some close-up tie-ups coming in, we will add those on. But as of today, we are looking and targeting around 1800 crores. But more importantly, we are also looking at existing projects to steadily get launched and move towards execution phase.

Okay, got it. Thank you.

So, in terms of your question regarding the additions to PPE, the significant part of the PPE is pertaining to the MI1 slidings, which we have capitalized, and for multiple projects. So, that is what it is moved from about 35 crores to 60 plus crores.

Apulva sir, does that answer your question?

Yeah, actually, the answer was for the previous participant. Yeah, I'm there with my questions. Thank you.

Thank you. Participants, if you wish to register for a question, please press star and then one now. Your next question comes from the line of Abhisha, an individual investor. Please go ahead.

So, I have one question. What is the increase in price in Manhattan 2? And what we can expect increase in prices in all the projects we are launching and existing projects are there in the pipeline. So, what incremental increase in price we can expect in future?

See, currently in Manhattan, we are selling on an average of 30 to 35,000 rupees a square fee, depending upon the floor and, you know, the view and everything. Going forward, we are looking to launch different projects or different towers within Manhattan at an incremental rate of at least 10-15% plus year on year. With the existing demand and the supply which is being loaded, we feel that we will be able to steadily achieve at least 10-15% growth minimum year on year.

Okay, and regarding the Manhattan 2, have you increased any prices with Raymond actually coming in? So, do you face any competition and due to which you have increased any prices regarding Manhattan 2 in Vadala?

So, we have increased prices in Manhattan from our launch. While, of course, there is competition which is coming around, but we are confident with our project which has been, you know, because it is a township development project with a lot of amenities and facilities being around, people are ready to pay a premium and we are seeing at least 8 to 10% premium coming in the project over the last few years. And we will continue to do that. So our main, what do you say, the plus point or the highlight for the people is amenities and the township development, which is helping us get this kind of demand and also helping us in making it as a value proposition and increasing the price year on year.

Just to support on to the number, depending on the visibility of the project, Maniton 1 last quarter average sales price was about 37,000 plus and Maniton 2 it was 35,000 plus.

Okay, and do you have any competition like from Raymond? Like, is it a steep competition from Raymond? And also, can we see that around 10 to 15% price increase every year?

See, competition is there, but as I said, we get the benefit and our project is more of a township development. So when I look at a larger township development with more than about 6-7 acres of podium and different towers and car-free podium with entire amenities, then we have narrowed down or probably we are the only player in the micro market or probably Thank you.

But when we heard about Raymond Concoles, Raymond has sold more than what you are selling right now. So I think so you are facing a steep competition over there.

No, see, launch, everyone does. So, even if you look at the launch, when we did our Manhattan 2 launch, we've sold more than about 40% during our launch praise itself, which is about 700 odd crores of sales we did in one particular, like, 15 days or 20 days. So, and that's how every launch will be a successful launch. But as the overall sustenance mode, do we sell better? My answer would be yes. With the amenities and surrounding, definitely we are seeing great numbers coming in. And as a part of our strategic move, we do not want to just push numbers, but we also want to increase the value for our customers and for our project. And we are continuing to increase price, and as we said, 37,000 in Phase 1 and 35,000 in Phase 2 is what we are currently averaging out, and which we feel that over year on year, we will continue to steadily grow this at a 10-15%.

Okay, thank you.

Thank you. A reminder to all the participants, you may press star and then 1 to ask a question now.

The next question comes from the line of Samir

Baisiwala from Sakman Capital. Please go ahead.

Yeah, hi. Thank you. Good evening, Dhawan. So, a quick question on Kanjur. Mark, you mentioned about certain issues which are holding back the conversion. So, is it possible to talk about that, and can that delay beyond the timelines that you just mentioned?

No, no, there are no issues, but it is a regulatory framework and the procedure which we need to do for conversion of the land, and that is what we have already applied, and we are awaiting some approvals to come in soon. Hopefully, that should happen, you know, in the next quarter or so, in the next three to four months, and we are targeting or awaiting those clearances to come in. So, as such, there are no challenges in terms of approvals, but it is a regulatory framework which, you know, we have to abide by it, and that's what we are continuing to do so.

Okay, got it. And after that, EC and IOD, can that be secured within three, six months, or the timelines would be longer?

No, no, it should be. In fact, we are already done with the planning and we have already appointed, if you look at our slide in Kanjurmak, we have already appointed a master planner, which is from US. The master planning is completed. We have also, you know, started construction of the police housing, which is one of the requirements as a part of the regulatory framework. And other processes also been parallelly started. So, we are not even currently, you know, sitting idle, even though we do not have the conversion, but we are, all the back-end process is what needs to be done in terms of all the structuring, we are continuing to do so.

Okay. No, that's great to hear. And you mentioned about once all approvals are ready, then you alluded to residential, commercial, retail. So would you be starting all of them together or what's the plan?

Yes, that's the strategy where we are currently working on, where residential, commercial, and probably the retail front, we will all continue to start together because we want to launch this project, and our aim is to make this as a landmark launch for the Mumbai city, and that's how our strategic planning is about.

Okay. And now I'm just curious because all of this, including conversion, would require a fair bit of upfront capital. So are you thinking of any equity raise or how do you plan to bridge this?

Well, we are already in discussions with some funds and other people where we are trying to do a tie-up for the conversion process, and we are having positive approvals for the same. So, we are not too worried on the requirement of funds, which is already almost on the verge of tie-up.

This is at the SPV 11 or

the SPV 11?

I'm sorry.

SPV level.

SPV level.

Oh, I see. Okay, that would be great because then that probably will sort of unlock the value.

Yeah, absolutely, because if you see the entire potential value of this property and the doing at the, you know, top level makes, it is, you know, kind of devaluing our entire project and that is where we are very confident with the existing discussions what we are doing and we would be doing at an SPV level and not at the top FOLCO level.

Okay, then I was just curious, why would the gearing move up from 50% to 100% if you are going to fund this at the SPV level through equity partners?

Sorry, I didn't get you. What?

You mentioned that your net gearing for the listed company will move from 0.5 to 1. So why would that be if you are funding a conjure mark through SPV-level equity raise?

So, while giving the guidance, we have considered and taken the conservative approach alongside, you know, the land conversion as a part of the financial leverage and as well the further aid projects which we are aiming to launch in FY27. So, those all things culminating into the, you know, 1x as a guidance of the debt equity. But as well, we are working towards the, you know, SPV level as, you know, Dabalbhai mentioned, and it would be more conservative approach while giving the guidance as such.

Yes, I get it. Okay. Great. Thank you so much and all the best.

Thank you.

Thank you. Participants, you may press star and then want to ask a question. The next follow-up question comes from Abhisha, an individual investor. Please go ahead.

Thanks for the follow-up. I have one question regarding that we have heard that you are selling 7-acre land outright in Kanjurmar. So, is it true or is it just a rumor?

Well, there are obviously offers coming on the table, discussions happening. We have not yet narrowed down unless we get a better offer and if we feel in the overall scheme of things of our value proposition adding to it, we are open to it, but we have not yet closed down on anything. We are currently working as if we are only going to develop and the approval processes are going ahead accordingly. But when you have such a clean and clear land available, obviously people will come with offers and if we get an offer and if we feel the overall it is complementing with our growth and development, we are absolutely open to the same.

What kind of price can we expect and when will it happen, the outright sale?

Well, I can't reveal on the call right now. It is all under discussion, and there is no timeline that we will probably close in a month or two months or three months. It is just active discussions, but not narrowed down to a serious discussion. So, the moment it happens or it is getting narrowed down, we'll keep you updated.

Okay. Thank you. Thank you.

As there are no further questions from the participants, I now hand the conference over to the management for closing comments.

Thank you, everybody, for participating in Q4 and FY26 interaction, and we look forward to continue our interactions going forward. Till then, stay safe, stay happy. Thank you. Thank you.

Thank you. On behalf of Ajmera Realty and Infra India Limited, that concludes this conference. Thank you, everyone, for joining us and Human Outers Connect Alliance.