DLF Limited (DLF) Q1 2027 Earnings Call Transcript

Ladies and gentlemen, good day, and welcome to DLF Limited's Q1 FY27 earnings conference call. We have with us today on the call, Mr. Ashok Thyagi, Managing Director, DLF Limited, Mr. Sriram Kattar, Vice Chairman and Managing Director, Rental Business, Mr. Akash Ohri, Managing Director and Chief Business Officer, and Mr. Badal Bagri, Group CFO, DLF Limited. 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 this conference call, please signal an operator by pressing star than zero on your dashed on phone. Please note that this conference is being recorded. And now in the conference, over to Badal Bhagri. Thank you, and over to you, sir.

Good evening, and thank you for joining us today. We are pleased to report a resilient performance during the first quarter. This performance continues to reflect the underlying asset quality, disciplined execution, our brand strength, and prudent capital allocation across a well-diversified mix of development and annuity businesses. I'll briefly talk about the operating highlights and thereafter the financial highlights. Overall collection for the current quarter stood at 2,406 crores. Operating cash flow continues to be strong at over 1,300 crores in the quarter. Consequently, our net cash position at the end of the first quarter stood at 15,200 crores, of which close to 11,000 crores is sitting in the RERA 70% S2 accounts. New sales booking for the quarter was 657 crores. Reflecting the time impact of deferment of our launch of Areva, our senior living product. We are awaiting the final approvals and expecting them to be received over the next few weeks. Our rental portfolio stands at over 50 million square feet. And continues to operate at an industry-leading occupancy at over 95% in terms of space and over 97% in terms of value. Our revenue stood at 1,605 crores, yielding an EBITDA of 476 crores for the quarter. Net profit for the quarter was 794 crores versus 766 crores in the same period last year. It's important to reiterate here that given the current applicable laws and standards, we continue to follow a conservative practice of Completed contract method of accounting, which reflects the recognition of revenue and profits from the projects once it's completed in that relevant period. We strongly believe that FI28 would be an inflection point from a reporting perspective, wherein all our large products, starting from the arbor, We'll start to contribute to the P&L, and consequently, we will start to unlock the significant gross margin potential that we have been highlighting over the last several quarters now. Just to remind, the gross margin potential as it stands today is approximately 39,000 floors. It's important to highlight that in the month of July, we also got the operation certificate for our mall in Goa. With this, all three malls in DLF Limited will be operational in the current financial year, leading to a significant increase in run rate of rental business within the DLF entities itself. As a result, From the current quarter, we have started reporting segment financials in DLF Limited, depicting individual performance of both development and rental businesses. We have also added one slide in our presentation to show the combined scale of our rental business across DLF, DCCDL, and HLM from this quarter. Moving to DCCDL, our consolidated revenue stood at 1,970 crores, reflecting a growth of 10% year over year, yielding an EBITDA of 1,474 crores. Net profit continues to be a strong performance of 770 crores, a growth of over 20% year over year. With this, I hand it over to Sriram to give you details of the annuity business.

Good evening. I'll very quickly take you through the rental businesses. I'll start with offices. Last two quarters, there has been a fair amount of debate on the impact of AI on the hiring of the various multinationals and GCCs and how it is impacting. And from February onwards, the war between Iran and US and the ever-changing dynamics there. These two did slow down the decision-making of the global companies, because as you, investors and analysts will appreciate, no one likes uncertainty. But last about four or five weeks, I personally see the green shoots of... The international companies coming back and making inquiries and starting to take decisions. And I believe that Q2 and Q3 will be good quarters from that point of view. Badal has just explained to you the vacancy levels are very low, and fortunately for us, our newer projects, which is Cyber Park, Atrium Place, Downtown Gurgaon, Downtown Chennai, are nearly 100% leased. Our CAPEX program on downtown Gurgaon phase two and downtown Chennai phase two are going at full speed. And the leasing here in Gurgaon is about 40%. The leasing in Taramani pre-leasing is at about 17-18%. But as I said, we will see reasonable momentum in Q2 and Q3. The rentals in the portfolio grew by about 8.5-9% from Q1 of FY26. In retail, as Badal mentioned, the three new malls, they are getting operational slowly. The one in Midtown Plaza is now fully operational. It's about 85% open with more than 97%, 96% leasing. The Summit Plaza, we did the Puja, opening Puja and soft launch yesterday. We think it will come to its full bloom in the next two, two and a half months. That is also about 90% leased. In Goa, while we have got the OC, the finishing works are in progress, leasing is in progress, and we are targeting to open them all in either end of this year or early next year. The retail business, the consumption in the first quarter and the spend have been good. We have done as per our budgets are slightly better and the growth from previous year continues is about 13 and a half, 14%. We continue on our journey of sustainability and green. This is something which there is a relentless effort to do so in addition to having zero tolerance to safety and compliance. Our profit path for the quarter in BCCDL was 717 crores. It's a growth of more than 20% from the path of Q1 of FY26. It is slightly lower than Q4, and that's because there was one-time entries of DTA and such other entries which sort of bumped up the profit to about 780 crores. Our rating from Crystal and Ikra continue to be crippling, and we have a reasonably fine rate of borrowing at the portfolio level. Our borrowing is for this quarter at a rate of 7.14. I'll be happy to answer any queries as the analyst would have. Thank you.

Thank you very much.

We will now begin the question and answer session. Participants connected to the audio bridge may please press star and 1 on the touchstone telephone. 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. Participants connected on the webcast may click on Ask a Question tab and accept the prompt via Zoom. Post which you may click on the raise on icon to ask your question. Participants, please announce your company name before proceeding with your questions. First question is from the line of Puneet, kindly announce your company name and proceed with your question.

Yeah, thank you. This is Puneet from HSBC. My first question is on the pre-sales. While we understand you didn't launch anything, but how should one think about the sustain in sales for Dalias? That used to be almost, you know, 12 to 15 units every quarter. It seems this was a lower number this time. Is there a deliberate slowdown or how should one think about this?

Okay, so... Mr. Therese, should I take that? Yeah, yeah, of course, Akash. Okay. So, Puneet, see, we did about 34 Delia's last quarter. Please understand that Delia's has been the biggest success so far in the last 18 months. We are almost about 65% sold. We have... The call has created history in terms of the first nine weeks of sale, as well as if you see the kind of collections that are going on, plus the price realization of Delia's is now over 1 lakh rupee a square foot, and on higher flows about touching 120, 125 a square foot and selling. So, there is a certain amount of momentum. And also because the Experience Center now is going to be unveiled sometime after Diwali. So what we have done is that I won't say it's a slowdown of sorts, but we have consciously kind of presentations and all that are aware to that because as the algorithm of Delia's states that the price increases now are going to be reasonably, So the entry level of dahlias is now 100 crore plus. And therefore, it requires that kind of an attention and time. Also, the good thing, let me tell you, is that we have interests from all over the country and outside for Delhi As Now. Almost over 25 to 30% of our business now is coming from rest of India and outside, which is NRI. As I speak, I'm in Kolkata for one of those important visits and meetings. So there is a considerable amount of interest for Delia's all across. And I can assure you that. So that's where we are. But there is a process to Dahlia's. It can't be sold like any other, say, even $500,000 or $600,000 kind of a product. It requires a reasonable amount of time and attention.

Look, completely understand, Akash. Completely understand. But you guys have been doing a phenomenal job of it. So the expectation was similar. But should one assume that till the time experience center opens up, the sales momentum should be a tad slower than what you've delivered in the past.

Well, I'll tell you what, it's about, as I said, it's about per unit realization now. The prices of devias are going to be, the lower floors are 100 crores. And it goes up to almost about 160, 70 odd crores right now. So that is what the new price points are. And I think The people are getting used to that also. We have recorded some more sales this quarter, but obviously I'd like to hold them on till I finish the paperwork. You will hear some very, very exciting news very soon. Some very new and good benchmarks being set, but you'll hear about that soon. Just give me a little more time.

Understood. All the best for that. On the cost side, we are seeing a tad slowdown on a Q&Q basis for construction cost. But on the land acquisition side, things are picked up. How should one read that?

So, Puneet, I think our cost from a construction perspective continues to be very, very stable and strong. Our average cost versus last year has definitely increased, and our momentum and trajectory remains very, very strong. On the land, as we have always maintained, that as and when we come out with reasonable parcels which are of interest, we will definitely evaluate, and we are in discussions from that perspective, yes, we have made some advances. On land in the previous quarter, where we have got into some kind of an agreement with them, which is going to fructify over the next three or four quarters.

So you spent about 545 crores in the last two quarters. Anything you can call out on the quantum quality of this land acquisition?

So, Puneet, you know, I mean, in all fairness, apart from, of course, contiguous land parcels, which could be an acre here and acre there, we are pursuing a couple of, you know, slightly more strategic parcels within Gurgaon. And I think some of the advances have been towards that. There was also 80-odd crores, which was a deposit for a certain auction, you know, in the NCR region, which hasn't fructified yet. I mean, the auction hasn't happened yet, but the 10% EMD of 80 crores was deposited. So that's also being counted in this 545 of land. I think as some of these land parcels fructify in the next one to two quarters, and we report them out, hopefully you will see these translating into additional GAVs.

Understood. That's very helpful. And last thing, Khatavdi, on the Goa side, what is the leasing status?

So, we are at the moment about 64% leased as we speak, say, 31st July. And the momentum is pretty strong. There are a number of brands who have not. Experienced the Goa market and therefore are taking a little longer to come. But we are quite hopeful that we will cross 85-90% leasing in the next 6-8 weeks. And the anchor fitout should start later part of this month. And what are the rentals you are seeing? The rentals, I dare say, are fairly healthy. The rentals are very different from cinema, anchors, from retail, and F&B. These are the four and FEC. Five categories have different rentals. But if you take the mall as a whole, which is 705,000 square feet, on a super area, we should earn a rental of about 170 to 175 rupees.

That's wonderful. Thank you so much and all the best.

Thank you. Thank you very much. Next question is from the line of Abhin of Sena. From Jefferies, please go ahead.

Hi. Thanks for taking my question, and good to see the steady cash generation. Kattas, our first question for you on the CAM charges. Have you seen any impact of the recent revisions which have happened on the minimum wages, and is there some pushback from the tenants on that?

Yeah, there has been a marginal impact on that. I would tend to think it's about two, two and a half percent of camp cost, which has gone up. There has been no pushback from the tenants because this is a national law and they themselves are facing these issues. And they realized that what is there and our transparent system in which we charge it, I don't think we are having any issues at all. To remind you, we are probably among the few companies who get the CAM charges audited annually and share it with our tenant partners and either give a refund or take the extra depending on what the audited certificate says. So it's really a pass-through that we have.

Okay, and so you mentioned on some improvement in the leasing activity that you're now seeing. So, this is the GCC clients or, you know, some other sort of demand that we are seeing now?

Yeah, so this is basically the GCC and other multinational companies who probably were waiting for some signs of the Iran-Iraq, Iran-U.S. war to sort of give some indications and then start making their decisions. This is where we are seeing the thing. The local Indian companies and normal ongoing expansion of the existing tenants have continued during this period. But the big boys who come where, say, 250,000 plus, 300,000 plus are the ones which have now started moving.

Akasa, just a question on the launch activity that we can expect. So, on Hamilton 2, have you sort of identified the product that we are going ahead with? And also, if you can update us on the status of Arbor 2. Thank you.

Okay, thanks. So, first, Oreva. Oreva, as you know, is a retirement policy. Scheme, which is that we are going to be launching soon. This is in process now. As soon as we get the data, we will make those announcements accordingly. And that is something that we're looking forward to most immediately. The other one that you mentioned is still on the drawing board. Happy to let you know that there is a reasonable amount of excitement in the market for the same. But I'd like to leave it there. And as and when we finalize the product, we'll definitely come back to you all and talk about it. As of now, both have a good level of interest going.

But just to reiterate, this is in line for the second half of the year, right? Yeah. Okay. Thank you.

Thank you. Next question is from the line of Akash Gupta from Namora. Please go ahead.

Hi, am I Ardun?

Yes, sir. Go ahead.

Hi, congrats on a steady set of numbers. So my first question is on our land parcel on both the DLF side and DCCDL side. I think some of your peers are expanding very rapidly into the data centers side of the business. Just wanted to understand, is there any thought process where we are seriously evaluating data centers so that we can monetize our land parcels a little faster? So that's my first question.

I'll take that question, Akash. The data center business is a business of three different components which come together. One is real estate, the second is power, and the third is technology of the racks and how you efficiently store the data. Now, as DLF, we have decided to focus only in the business of real estate, and we are constructing data centers for the companies as real estate developers, but not getting into the business of buying the technology and running the data centers ourselves, and we don't intend to do so.

Understood. Sir, my second question is, what is the status of our Goa project? And are we still on track for the 200 billion guidance in the event that the Goa project doesn't come through in FY27?

Okay, so the Goa mall project is definitely on stream, as Shiram pointed out to you. I think your question is obviously on the Goa residential project. So, yes, the Goa residential project, as you know, is involved in some sort of, you know, PIL form of litigation, which is not uncommon in that part of the country. But in the morning, only Akash and I did a recce check with each other. And I think we are on track to hopefully meet the plan that we had laid out at the beginning of the year. And I think that the 20 billion number should ballpark still be on track.

I'll just come in here, Aakash. See, we've got all our approvals for Goa, as Mr. Tyagi mentioned about the PIR. We, as a company, I think. We choose to be on the side of caution more than anything else. And nothing stops us from launching, but I think that is something before we create third-party interests and all that, we need it to be very clear as to what path we're going to be taking. Goa itself, as you all know, When it started, it's created, you know, a huge excitement in the market. In fact, everybody else has kind of benefited with the potential prices that DLF was supposed to come in with. And whereas we choose to be first absolutely clear with our approvals and, you know, wherever this PIL is going before we actually, you know, accept the customer's payment. I think that's a call that this company has taken. It's always a customer-first approach.

Thank you, sir. Thank you so much, sir. That's all the question I had.

Thank you. Next question is from Lando Rahul Jain from Ilara Capital. Please go ahead.

Hi, sir. Thanks for the opportunity. So just one question on your Mumbai strategy. How should we look at it in the medium term? Is it your presence is going to be confined to just one micro market? Or is there any active discussions that are ongoing that you are evaluating today in Mumbai, which could be in advanced stages? So just color on that front. Thank you.

So, thank you Rahul. You know, in Mumbai, as you know, we, I mean, Akash had a spectacular launch last year, and we should be hopefully coming up with a follow-through of that launch, you know, definitely within this fiscal year, possibly even within the calendar year. So, I think that is on track. Overall, the way the stars are aligning around that development, we believe it has the potential to be more than a 5 million square feet development over the next few years. So, I mean, that will be a sizable development in itself. To your second question, yes, we are alive to other possibilities in Mumbai. We have looked at some, we are exploring some as we speak. And if there's something interesting that does come up, we'll obviously report it. But, I mean, this project was supposed to be a dipping toes into water project for us. It's done very well for us. We do feel more enthused and more confident about being able to work out in Mumbai. But we'll be obviously very, very selective in terms of taking projects where we believe we can truly add value in that sense. So, I mean, Mumbai continues to be a part of our medium and long-term strategy.

You've got it, sir. Thank you.

Thank you. Next question is from the Lionel Pritesh State from Access Capital. Please go ahead.

Yeah, thanks for the opportunity. A couple of questions. First one, again, on the Goa residential project. So if in case if it doesn't happen this year, and while we have reiterated our 20,000 crore guidance, you know, do we have some other launches which can be replaced with that? Or we are comfortable with whatever launches we have planned and can manage the sales target based on that itself?

So, look, the Goa component of the 20,000, if at all, was just about a couple of thousand. So, I mean, it was around 10% of the guidance. If at all, it was a part of that guidance. I think, you know, hopefully we should be able to swing it very comfortably, you know. So, I don't think we should be losing any sleep on that number.

Sure. Got it. That's helpful. And a couple of questions on the annuity part. Firstly, on the group-level rental income that I see, roughly 1,600 crore for the quarter, is that the stabilized number for whatever operational that we have? I know, I mean, there's promenade Goa, which will contribute, there's 1 million square feet of your atrium place, which will also come up. But at least whatever is operational, is that the steady rent rate or there is some more ramp up to go?

So, there is a little bit of ramp up because the two malls, Midtown Plaza and Summit Plaza, are just about starting. We expect both the malls to get into steady rental state by the Q4 of FY27, and Goa to stabilize by about May-June of… Next year. So that's one part. Secondly, you very rightly pointed out that Atrium placed one tower for which we expect the OC in the month of September. We will get into steady state rental for that one full tower that is there. And the anything. No, but other than that, it's otherwise a steady state, and we expect this to be there. Sure, got it. There will be one more add-on. One will be the data center 3 in Noida, which will also add to the rentals sometime in March, April of next year.

Got it. Got it. That's helpful. And just second on the commercial piece. So now that we are starting to see signs of recovery coming back in terms of leasing. What are our plans to start the next 11 million square feet of development that we have lined up on the commercial plus retail side, more so specifically on the commercial side where we have a large office coming up in Hyderabad and first phase in Cyber City too. So when should we start building those into our numbers?

Let me answer that. We expect that downtown 2 in phase 2 in Gurgaon should finish by about end of 29. And then in addition to that, we have one iconic tower, which we call one downtown, where we have a multi-level car park and the cars will then get, the car parks will get consumed in the phase two basements that are there. And then that tower is there. And similarly, in Chennai, the Tower 4 and 5, which are coming up for 3.5 million, will get over by the beginning of 28. So we have a sort of a runway to do. We have leasing of about 3.5, 4 million to do in these two new projects. So, whilst it is on our radar to start the construction in Hyderabad or in Cyber City, I think it is sometime next year that we will start planning for that.

Perfect. That's all. Thank you. And that's it from my side. All the best.

Thank you. Next question is from the land of Samir Jasuja from PE Analytics. Please go in.

Hi, Sriram, sir. Just two questions I had. One is that, you know, we hear a lot about Cyber City 2. I don't know whether it's been answered clearly. When is the likely commencement of projects starting to roll out over there in the Cyber City 2 project? And the second question to you was that, do you have a sense of the weighted average price of rentals, say, on 100,000 or 200,000 square feet for the last three years? What has been the kind of price increase in Gurgaon specifically?

Or on your portfolio. Thank you, Sabeer. I'll take the first question first. I presume you are saying about Cyber City 2, you're talking about the SPR. SPR. Yes, yes. So, we have consolidated 70-80 acres of land there, and it is still on the drawing board. We have not yet taken a final call on either the sizing or the start of launch there. I think this decision also will be taken sometime in the next year. But it is definitely on the horizon. It's only a question of timing. Thank you. On the rentals in Gurgaon, if you take the newer buildings, which is downtown 4 and atrium place, atrium place rental weighted average is about 175 rupees and downtown 4 is about 150, 155 rupees. The leasing that we are doing in phase 2 is now averaging 200 rupees.

If you could tell me a building, typically, say, seven years old and new building, what's the rental gap between them?

Yeah, so the rental in Cyber City is now between 140-150, and the rate in a newer building, which will come up after two years, is about 210-220. So you have a 30% gap, but a rental that will come two years later. So on a like-to-like basis, the gap is about 20%.

Thank you so much. One question for Akash. Sir, there's one question that I had with respect to Dahlia's was what is your visibility of, say, selling the balance stock in a time period of how much time period and that will lead to phase two opening up, right? So just to get a sense of that, I'd really appreciate to get to know that.

Okay. So, Sameer, as you know, that our targets for the areas... Three and a half years, we did in about 15, 16-odd months. And as you know, the trajectory has been that the price increase of daily hours because we have, and this is an algorithm-based price increase, which increases with a certain quarter-based and, of course, inventory typology-based. So what happens in Delia's right now, as we stand, is that we have done almost as, you know, All the lower and mid floors of south are gone. Most of the mid and low floors of north are gone. Some high floors have gone. So right now, for the trajectory, as we have planned it, it is going to be, we have another three years to go in the areas. And Delia's is also right now, as I see it, the demand is such that, you know, I don't want to speculate, but post the experience center, I feel that there will be another spurt. And as of now, also, there are some good conversions that have happened, which I had said previously also will be reported soon. So, I think it's a bit there. I think we have surpassed the expectation of at least the sales velocity of Superluxury so far. Otherwise, there was a five-year process to selling dailys, year-on-year, basically about 20% a year. But since we are now over 60% sold in this time, I think, and also people have to kind of get used to the new price points of that area. So, you know. There is, I'll give you a small example. There are two brothers who are living in the golf links right now. One bought Delia's about 10 months back at a certain price. The other didn't. He passed that opportunity, but he wants to do it now. And there is already, say, about a 30, 35 crore upside there. And that particular thing is a question for him. So, you know, as the process goes on, I feel the price will settle down. People will kind of get used to these kind of price points now, because it is not only about the price, but the amazing amount of value that it brings with it. And since people have experienced the Camellias and, of course, Aralias and Magnolias, the future of the DLF Golf Links, it is, and I say it emphatically, it is the Beverly Hills of India. And it will continue to create that demand going forward. Our business is coming from not only within the Delhi NCR, but also from the rest of India and the rest of the world. So, this is a choice of, it has become a choice of destination for people, and I feel that we will sell out sooner than later, but we don't want to compromise the price realization to velocity, Samir.

Yeah, so just to follow up on that question, that was my precise question going forward. Since we have been very fortunate, thanks to you and DLF, we've been able to achieve a great price appreciation that was unexpected in the last 15 months in Daliad itself. Now that we've got a very good price appreciation, are we going to compromise on sales velocity to price appreciation and try to take the prices higher? Or it's going to be the other way around now that the project has got literally revalued, right? So the profitability would have also increased substantially. So going forward, since we have two more phases left here, we can look at a higher sales velocity or we're going to look at holding off a higher sales velocity because of further price increases.

So, Samir, two points. One is, I don't think there's a direct binary, at least in DQI. Hello, can you hear me?

Yeah, yeah, I can hear you. There's no correlation is what you're saying.

No, I'm not saying there's no correlation. I'm saying there's no direct binary, you know, in that sense. So it's not like a one is to one. I mean, it's not Y is equal to FX, you know. Yes, there is some correlation, obviously, but I mean, there is a price matrix that has been planned. And there's a pace of sales that's been planned. And obviously, it's an iterative process. The second thing about the next phase, as you are saying, you know, that is not just dependent on the sales. I mean, there's a small matter of constructing daily ads also, you know, and that is a process that will take between three and a half years to, you must have seen the site, it's still, you know, coming up to the last level. So I think the next phase, you know, as and when it happens, will be a function of both where the physical progress of daily ads is and where the commercial progress of daily ads is. So, I think, clearly, to Akash's point, we are looking at at least a three-year cycle before we are able to completely sell out Delhi as well in that sense.

Okay, perfect. Thank you so much.

Thank you.

Thank you very much. Next question is from Parveskazi from Nuama Group. Please go ahead.

Hi, good afternoon, and thanks for taking my question. So two questions. First one for Akash. By when do we expect the next phase of launch in the Privana ecosystem? And a related question, do we have plans to do some plotted development there also?

Yeah, so Privana pervays right now will definitely be early next year. And if not last quarter, I think it will be early next year. The Privana ecosystem is coming out pretty well. We've got some southwest and now north, as you know, it's all sold out. Not only that, some very encouraging news coming from the Privanas is that there is a good amount of appreciation. I mean, again, that is not something that I'm saying it for the point of view, because there is even demand in the secondary sale, which is between 2,500 to 4,000 rupees a square foot already. That entire ecosystem with its infrastructure and everything has come out pretty well. As you know, it abuts a 10,000 hectare of a green lung. So as far as a contiguous nature of a project is concerned after DLFI, this is the next big thing. And therefore, I'd like to bring out the fourth phase once we kind of move on with construction and everything else, which also, thankfully, is going on pretty well. But I see that happening. Early next year for Privana. As far as plotted is concerned, those were some arrangement that we had with what you may be referring to. There isn't going to be a plotted scheme, if you're asking. That is a separate arrangement that we had with some collaborators. I think right now, you will expect the next Privana to be maybe taller or more evolved one than the North, and that is the process as we moved on. But so far, so good. It's got a very eclectic mix of people who bought into the Privana, and you've seen our collections there, you've seen the progress. So, it's high on demand as far as the investors are concerned.

So, again, just to reiterate, Parvays, Privana continues to be a high-res scheme. The small plotted enclave there, if at all, will be only for some collaborator obligations, nothing else.

Sure, sir. Thanks. And second question for Kharter, sir. What would be our exit rentals for FY27?

So, the exit rentals for FY27 for…

At a group level, I mean, you don't need to go into DLF plus…

At a group level, they will be between 7,300 and 7,500.

Sure, sir. Thanks and all the best. Thank you. Thank you.

Thank you very much. As there are no further questions, I'll now like to hand the conference to Odomstah Ashok Tyagi for closing comments.

So, thank you once again for logging on to our call. I know today has been a crowded call calendar for some of you, but that's fine, you know. I mean, this quarter from a pre-sales standpoint was a muted quarter, and, you know, thank you for understanding, you know, the reason for that, and hopefully we still stick to our broad guidance for sales for the year. The focus that we have on cash flows and embedded margins and fiscal prudence, that continues. You would continue seeing some strategic, you know, land investments as the clock moves. The rental business is continuing at an excellent clip, both in the leasing and in the rental piece. The point that some of you raised, I mean, really, I was doing my maths, I think, between downtown Gurgaon, downtown Chennai, Atrium, I think we have almost in excess of 11-12 million square feet under construction. Once these are complete, there is a further million, I mean, a few million square feet in CyberCity itself. And then, of course, there's Hyderabad, there's CyberCity 2 and all of those things. So really, the RentCo has a very, very deep pipeline, you know, frankly. I think it's possibly the deepest pipeline in the rental business that exists in the country. And I think we continue to do it very strongly. And hopefully, you know, we now will regroup at the end of the next quarter. Thank you once again. Thank you.

Thank you.

Thank you very much. On behalf of DLF Limited, that concludes this conference. Thank you for joining us. And even now, disconnect your lines. Thank you all.