Anant Raj Ltd Management Discussions

GLOBAL ECONOMY

The global economy in 2024-25 is characterised by resilience, uneven regional growth, and significant policy challenges. According to the International Monetary Fund (IMF), global Gross Domestic Product (GDP) stood at 3.3% in 2024. Advanced economies recorded 1.8% growth, while emerging markets and developing economies (EMDEs) grew at 4.3%, underscoring regional economic disparities.

The interplay between technological breakthroughs, such as Chinas DeepSeek AI, and rising protectionism-evidenced by new US tariffs-will shape the economic landscape in the near term. Continued vigilance and adaptive policymaking will be essential to navigate the evolving risks and opportunities.

(Source: International Monetary Fund, April 2025)

Outlook

The global economic outlook for 2025 is marked by heightened uncertainty due to escalating trade tensions and rapid technological advancements. Global economic growth is expected to moderate from 3.3% in 2024 to 2.8% in 2025, before recovering to 3% in 2026. While inflation is expected to moderate, risks remain tilted to the downside, especially if trade disputes persist or intensify. (Source: International Monetary Fund, April 2025)

INDIAN ECONOMY

Indias economy maintained strong momentum, achieving a robust GDP growth of 6.5% in FY 2024-25, reaffirming its position as one of the fastest-growing major economies globally. This resilience is underpinned by sustained infrastructure development, policy-driven reforms, rapid technological adoption, and buoyant consumer sentiment.

Large-scale investments in transportation, logistics, and energy have improved connectivity and efficiency across sectors. Initiatives like Make in India 2.0 and the Production-Linked Incentive (PLI) scheme have strengthened the manufacturing ecosystem, enhanced exports, and positioned India as a rising global industrial hub. Continued efforts to streamline regulations and improve the ease of doing business have attracted both domestic and foreign investment.

Looking ahead, Indias GDP is projected to remain steady at 6.5% in FY 2025-26, even as global trade tensions and uncertainties persist. The country is on course to become the worlds third-largest economy, with a projected GDP of USD 5 trillion by FY 2027-28.

Key drivers of growth are:

• A young, growing population continues to fuel demand and innovation

• Urban and rural consumption remains strong, supported by rising incomes and improved rural spending

• Higher capital investments, particularly in infrastructure and manufacturing, are driving productivity and growth

• Proactive interventions by the government and the Reserve Bank of India (RBI) have helped moderate inflation, supporting macroeconomic stability

Indias economic trajectory remains positive, bolstered by structural reforms, resilient growth drivers, and prudent policymaking. The decisive response to security challenges and a forward-looking budget lay a strong foundation for sustainable development and global economic leadership.

The Union Budget 2025-26 reflects a strong push for inclusive growth with capital allocation increased to 11.21 lakh crore, reinforcing the governments focus on infrastructure, manufacturing, and export competitiveness. Overall, the budget aims to accelerate growth, boost exports, and strengthen social welfare, laying the foundation for Indias sustainable development.

INDUSTRY OVERVIEW

Indias Real Estate Sector

Overview and Outlook

Indias real estate sector demonstrated remarkable resilience and adaptability in FY 2024-25, reaching a valuation of USD 482 billion. The industry is projected to more than double to USD 1,184 billion by 2033, growing at a CAGR of 10.5%. This robust growth is supported by:

Rapid urbanisation

By 2026, urban areas are expected to house nearly 600 million people, contributing about 70% of the national GDP.

E-commerce expansion

The booming e-commerce market is driving demand for logistics and warehousing spaces.

Policy reforms and FDI

Initiatives like RERA have enhanced transparency and investor confidence, attracting significant foreign investment.

Technological integration

Digital adoption and sustainability are shaping the future of real estate development.

RESIDENTIAL REAL ESTATE Strong sales momentum

Home sales hit a 12-year high in 2024, with 0.35 million units sold (up 7% YoY). The trend continued into Q1 2025.

Premium segment growth

Units priced over 10 million accounted for 46% of total sales in H2 2024 and maintained this share in Q1 2025. Sales in this segment grew by 29% YoY in H2 2024 and 16% in Q1 2025, making it the major driver of overall sales growth.

Market dynamics

Mumbai, Hyderabad, and Pune led the sales growth, while NCR and Bengaluru saw slight dips due to high prices. However, the luxury segment in these cities remained strong.

Outlook

Lower interest rates and government incentives are expected to further boost homeownership and sustain demand.

COMMERCIAL REAL ESTATE

Record office transactions

Office space transactions reached 71.9 million sq. ft. in 2024, with Bengaluru, NCR, and Mumbai as key drivers.

GCCs lead demand

Global Capability Centres (GCCs) now dominate the market, accounting for 44% of transactions in Q1 2025.

Resilient Office demand

Return-to-office trends and economic optimism are sustaining momentum in the commercial market.

NCR Real Estate Market

Residential

NCRs residential market is recalibrating, with demand shifting to premium properties. Gurugram leads in both launches and sales, especially in luxury segments.

Commercial

NCR saw a 25% jump in office leasing in 2024, reaching 1.2 million sq. m (12.7 million sq. ft), led by Gurugram and Noida. Vacancy rates dropped to 8.4%, reflecting strong demand for quality office spaces. Gurugram dominated leasing activity with a 64% share, with key micro-markets like DLF Cyber City and Golf Course Extension Road remaining highly sought-after. Noida also performed strongly, while Delhis Secondary Business District saw increased activity.

Hospitality Industry

Indias hospitality industry is experiencing significant growth driven by strong domestic demand, increased investment, an policy support. The hospitality industry grew to 820 billion (USi 9.6 billion) in FY 2023-24 and is projected to reach 1.1 trillio (USD 13 billion) by FY 2026-27.

Key performance indicators,such as occupancy rates, Average Dail Rate (ADR), and Revenue per Available Room (RevPAR) showe healthy year-on-year growth, with expansion beyond metro cities

DATA CENTRE INDUSTRY

Data centres are fundamentally reshaping the Indian econom; acting as critical catalysts for the nations ambitious digita transformation. Their substantial growth is linked to the India governments strong emphasis on data sovereignty, recognisin early that data generated within India should be stored an governed under domestic laws. The market was valued a approximately USD 6.48 billion in 2024 and is projected to reac USD 10.70 billion by 2030, growing at a CAGR of 8.72%.

Growth drivers

Digital adoption, cloud migration, regulatory mandates, and majo foreign investments (e.g., Microsofts USD 3 billion commitment are fuelling data centre capacity growth.

Government support

Data localisation and infrastructure incentives are acceleratin development. The total data centre capacity is expected to reac 1,825 MW by 2027, up from 1,030 MW in 2024, markin a 77.18% growth.

Conclusion

Indias real estate sector is on a strong growth trajector driven by rapid urbanisation, economic expansion, and digita transformation. Residential and commercial markets are seem a clear shift towards premium offerings, while the hospitality an data centre segments are expanding rapidly on the back of polic support and rising demand. The outlook for FY 2025-26 remain positive, with continued focus on innovation, sustainability, an infrastructure development.

COMPANY OVERVIEW

Anant Raj Limited (ARL) stands as one of the most esteeme real estate developers in Delhi and the National Capital Regio (NCR), with a distinguished heritage spanning over fifty year; The Companys robust presence extends across real estat development, construction, and infrastructure, underpinned by diverse portfolio that includes integrated townships, group housing commercial complexes, malls, hotels, serviced apartment; warehousing, and data centres.

To date, Anant Raj Limited has successfully delivered 21 million sq. ft. of residential and commercial projects, consistently setting new benchmarks for quality and execution. The Companys ability to secure prime land parcels, obtain necessary approvals, and maintain a sharp focus on execution excellence has cemented its reputation for trust and reliability.

Strategic Land Bank and Development Pipeline

A cornerstone of ARLs strength lies in its substantial, debt-free land bank of approximately 320 acres across Delhi-NCR, much of which was acquired at favourable historical costs. This strategic reserve provides significant development potential and a competitive edge, ensuring a robust pipeline for future projects and expansion.

Anant Raj Estate in Sector 63A, Gurugram

This flagship integrated township spans 220 acres, offering luxury residences, commercial spaces, and essential infrastructure, with a huge potential in estimated real estate development, while also reinforcing its presence in the affordable housing sector.

Commercial Expansion

ARL continues to grow its footprint in premium office spaces, data centres and hospitality projects.

Diversification into Data Centres and Cloud Services

In recent years, ARL has strategically diversified into the data centre sector through its wholly-owned subsidiary, Anant Raj Cloud Private Limited. The Company has launched "Cloud", a sovereign cloud platform engineered to deliver secure, enterprise-grade services for both public and private sector needs.

Data Centre Growth

With a planned capacity of 307 MW for data centres over the next 4-5 years, ARL is leveraging its existing technology parks in Delhi-NCR to accelerate execution and optimise cost efficiency.

Cloud Service Evolution

In collaboration with Orange Business Services India, ARL is transitioning from a colocation provider to a comprehensive cloud services company, currently offering Infrastructure as a Service (IaaS), with plans to expand into Platform as a Service (PaaS) and Software as a Service (SaaS).

Compliance and Innovation

The cloud platform is fully compliant with Indias data privacy regulations, underscoring ARLs commitment to supporting the nations digital transformation and data sovereignty.

Growth Trajectory and Competitive Advantage

Following the demerger of the Anant Raj Group in FY 2020-21, the Company embarked on a new phase of growth, consistently achieving exceptional results across all business segments. ARL is among the pioneers in capitalising on the emerging opportunities in the data centre space, securing a distinct first-mover advantage.

Conclusion

ARLs enduring legacy, strategic land acquisitions, diversified portfolio, and proactive expansion into digital infrastructure position it as a leader in the Delhi-NCR real estate and technology landscape. Its forward-looking approach and commitment to quality, innovation, and compliance ensure a strong foundation for continued growth and industry leadership.

• Profit After Tax (PAT) surged from 11 crore in FY 2020-21 to 426 crore in FY 2024-25, delivering a remarkable 149% CAGR

• Revenue expanded from 250 crore in FY 2020-21 to 2,060 crore in FY 2024-25, reflecting a robust 69% CAGR

• Reduced net debt from 1,494 crore in FY 2020-21 to 50 crore in FY 2024-25

The successful 500 crore QIP in FY 2023-24 further strengthened the balance sheet, enabling continued investment in high-growth opportunities.

Anant Rajs strong performance has consistently delivered exceptional shareholder value. The Company is adequately capitalised with excellent visibility of operational cash flows. The growth plans remain firmly on track. With robust cash reserves, strong internal accruals, and healthy cash flows from core businesses, Anant Raj remains well-capitalised and fully equipped to drive its next phase of expansion for Real Estate and Data Centre Business.

The past years have seen the Company deliver on its commitments:

Real Estate Development

Residential:

• Successfully executed and sold "Ashok Estate" at Sector 63A, Gurugram

• Construction of The Estate Residences (Group Housing 1), which is sold out, has begun and work is progressing at full swing

• Addition of new land at Anant Raj Estate has expanded the current holdings in Sector 63A, Gurugram, besides getting approval for the expansion of the Township by around 12 acres of land in Anant Raj Estate

• Obtained LOI for the development of high-rise Group Housing Project under NILP policy

• Planned to launch Independent Floors "The Estate Apartments" in FY 2025-26

• Commenced construction in Anant Raj Aashray-2, Tirupati, Andhra Pradesh

• Completed construction for Birla Navya Phase 1 by a Joint Venture between Birla Estates and Anant Raj Limited. Phase 2 is in the advanced stage of completion. Phase 3 construction is in full swing. Launched Phase 4 in March 2025

Commercial:

• Commenced development and construction for the expansion of Anant Raj Center 1 in South Delhi.

• Construction at Anant Raj Center 2 in Delhi will commence after approval for an increase in FSI.

Data Centre and Cloud Services

• Operationalised 6 MW IT load data centre including 0.5 MW for cloud services at Manesar, with an additional 15 MW at Manesar and 7 MW at Panchkula on track for completion. Total combined capacity at Manesar, Panchkula and Rai, Haryana, is proposed at 307 MW IT Load.

• Signed a non-exclusive agreement with Orange Services as Technology Partner for Cloud Services. Entered into tie-ups with Bharat Sanchar Nigam Limited (BSNL) and Telecommunications Consultants India (TCIL). Entered into a tie-up with CSC Data Services India Limited (CDSIL) for colocation and cloud services.

Financial Overview

Consolidated Profit & Loss Snapshot			(. in Crore)
Particulars	FY 2024-25	FY 2023-24	YoY Change
Net Sales	2,059.97	1,483.30	39%
Other Income	40.31	37.44	8%
Total Income	2,100.28	1,520.74	38%
EBITDA	531.98	371.25	43%
Depreciation	30.46	18.06	69%
Interest	10.99	34.61	(68%)
Profit Before Tax (PBT)	490.53	318.58	54%
Profit After Tax (PAT)	425.82	265.93	60%

Revenues

The Company recorded a significant increase in its revenues, which grew by 39% from 1,483.30 crore in FY 2023-24 to 2,059.97 crore in FY 2024-25. Project sales generated almost 95.89% of the total revenue, with the remaining 4.11% from rentals and services.

Profitability and Margins

The Companys profitability saw notable improvement. EBITDA increased by 43%, rising from 371.25 crore in FY 2023-24 to 531.98 crore in FY 2024-25.

Similarly, Profit After Tax (PAT) grew by 60%, moving from 265.93 crore in FY 2023-24 to 425.82 crore in FY 2024-25. For FY 2024-25, the EBITDA margin stood at 25.82%, and the PAT margin was 20.67%.

Other Income

Other income for FY 2024-25 amounted to 40.31 crore, compared to 37.44 crore in FY 2023-24.

Consolidated Balance Sheet Analysis

Shareholders Fund / Net Worth

The Companys Shareholders fund, which includes Share Capital, Reserves and Surplus, and Non-controlling interest, saw an increase of 13.68%. This fund grew from 3,684.54 crore as of March 31, 2024, to 4,188.68 crore as of March 31, 2025. As of March 31, 2025, the Share Capital stood at 68.65 crore, representing 34,32,60,616 equity shares, each valued at 2. Reserves and Surplus amounted to 4,092.14 crore as of March 31, 2025, compared to 3,587.98 crore as on March 31, 2024.

The Companys Standalone Net Worth reached 3,702.17 crore as of March 31, 2025, an increase from 3,404.38 crore as on March 31, 2024.

Sundry Debtors

Debtors increased from 122.09 crore as of March 31, 2024, to 148.38 crore as of March 31, 2025.

The Company has consistently declared dividends. For the year ending March 2025, an equity dividend of 36.50% has been declared, amounting to 0.73 per share, subject to shareholder approval.

Debt

Net debt significantly decreased from 267 crore in FY 2023-24 to 50 crore in FY 2024-25. This was achieved through strong operational cash flows and efficient revenue generation, enhancing the financial position of the Company.

Key Ratios

Ratios	FY 2024-25	FY 2023-24	YoY Change	Reason for Change
Debt Equity Ratio	0.11	0.17	35%	Due to strong financial performance resulting in improved cash accruals and substantial reduction in debt, the Debt Equity ratio has improved substantially.
Return on Equity	10.23%	7.27%	41%	Due to strong financial and operational performance of the Company, the return on equity improved substantially, resulting in strong value addition to stakeholders.
Operating Profit Margin	0.24	0.22	9%	Higher revenues and managed operating costs have resulted in better profit margins.
Net Profit Margin	0.21	0.18	17%	Financial costs have reduced significantly owing to a reduction in Debt and administrative costs are under control, resulting in better net profit margins.

PROJECT UPDATES

Residential

Anant Raj Estate Township

Anant Raj Estate is the Companys flagship integrated township spread across 220 acres at Sector 63A, Golf Course Extension Road, Gurugram. It offers a mix of residential plots, luxury built-up villas, and independent floors, alongside commercial areas and essential social facilities such as schools, nursing homes, community centres, and office complexes.

Phase 1 of the Anant Raj Estate comprising villas, plots, and independent floors, has been successfully delivered. Now, ARL launched The Estate Apartments, offering a saleable area of 0.40 million sq. ft. which is slated for launch in January 2026.

Birla Navya - JV with Birla Estates

ARL has entered into a joint venture with Birla Estates, shaping a premium residential project within Anant Raj Estate. The " Birla Navya" development spans 47 acres and features 764 luxury independent floors. The first three phases, comprising 554 units, are fully sold out, and the fourth phase was launched in March 2025.

Ashok Estate

Ashok Estate is a plotted development spread across 20.14 acres near Golf Course Extension Road. The project comprises 320 plots, each up to 180 square yards, and is designed to foster an integrated community lifestyle. This project has been successfully sold out.

Estate Residences

The Estate Residences is an exclusive group housing project on a 5.43-acre site in Sector 63A. With a total saleable area of 1 million sq. ft., the project is sold out and under development. Group Housing 2, spread across 1.09 million sq. ft., Group Housing 3, spanning 1.33 million sq. ft., is set to launch in FY 2025-26.

Affordable Housing

Anant Raj Aashray II, Tirupati, Andhra Pradesh

Anant Raj Aashray II is ARLs affordable housing project spread over 10.14 acres in Tirupati, Andhra Pradesh, with a saleable area of 1.2 million sq. ft. Launched in November 2023, the project is under active construction and on track for completion by June 2027.

Hospitality and Commercial

Anant Raj Center 1, Chattarpur, South Delhi

Anant Raj Center 1 is a mixed-use development in South Delhi, including an operational area of 0.7 lakh sq. ft., with an additional 4.9 lakh sq. ft. under construction following FSI approval expansion from 0.15 to 1.75. The site houses Hotel Bel-La Monde, a revenue-generating asset, and is being expanded to include commercial spaces, service apartments, a motel, and banqueting facilities.

Anant Raj Center 2, NH-8, Delhi

Anant Raj Center 2 is a mixed-use development that currently offers 90,000 sq. ft. of built-up space, with Hotel Stellar Resorts operating as a key income-generating asset. The Company is planning to add 6.10 lakh sq. ft. of new space-subject to FSI approval-which will include commercial units, service apartments, and a motel with banqueting facilities.

Office Building, Sector 44, Gurugram

This LEED-certified Grade A commercial building is fully operational and 100% leased.

Anant Raj Tech Park, Manesar

Anant Raj Tech Park at Manesar is spread across 10 acres and boasts a total constructed area of 1.8 million sq. ft., strategically located and eligible for the Data Centre and Cloud Services. ARL has operationalised 6 MW of IT load data centre including 0.5 MW for cloud services, with an additional 15 MW ready to be deployed. A 29 MW IT Load is planned in subsequent years to support a total of 50 MW of IT load.

Anant Raj Tech Park, Panchkula

This project, spread across 9.23 acres with 1.0 million sq. ft. of leasable potential. In phase 1, leasable space of 4.40 lakh sq.ft. has been built. Data Centre of 7 MW IT Load capacity is under development in the existing building. An additional 5.25 acres of greenfield land is available with an FSI of 0.6 million sq. ft., wherein 50 MW IT Load capacity is planned.

Anant Raj Trade Centre, Rai

Anant Raj Trade Centre, Rai, is a 25-acre campus designed as a future-ready IT hub. With a planned development of 5.1 million sq. ft., this facility is being upgraded to support a 100 MW Tier III data centre. A further 100 MW IT load is planned as part of a greenfield expansion.

Corporate Social Responsibility (CSR)

ARL remains deeply committed to driving meaningful social impact through focussed, sustainable interventions. The Companys CSR

efforts are centred around key pillars-healthcare, education, rural development, skill and vocational training, and environmental sustainability.

At the heart of ARLs social impact mission are the Monica Sarin Foundation and the Ashok Sarin Health Centre, both of which embody the Companys core values and enduring commitment to social welfare.

Established in 2019 by Smt. Monica Sarin, daughter-in-law of Shri Ashok Sarin, the Monica Sarin Foundation serves as the dedicated CSR arm of ARL. Rooted in the belief that service is a way of life, the Foundation is committed to creating lasting impact across key areas such as education, healthcare, womens empowerment, and community development, building an inclusive and equitable future.

As part of its commitment to accessible and affordable healthcare, ARL has established a modern medical facility-Prem Chikitsa Kendra-within the Ashok Sarin Health Centre. Prem Chikitsa Kendra, a wholly-owned division of the Ashutosh Dawar Trust, offers a range of preventive and curative services delivered by qualified medical professionals. The centre provides quality healthcare at affordable costs, bringing essential medical services closer to underserved communities.

In FY 2024-25, the Company invested approximately 111.75 lakh across various CSR programmes, reinforcing its belief in sustainable development for communities.

Human Resources

ARL recognises its employees as the cornerstone of its continued success. The Company is committed to fostering an inclusive and supportive work environment that attracts, nurtures, and retains top talent. This commitment is reflected in its robust human resource policies, which places strong emphasis on employee wellbeing, engagement, and development. To support career growth and skill enhancement, ARL offers a wide array of learning and development programmes. These initiatives draw on a diverse pool of expertise, professional experiences, geographies, and industry best practices, equipping employees with the tools needed to thrive in a dynamic business environment.

Employee health and safety remain a top priority at ARL. The Company conducts regular safety drills and training sessions to ensure a culture of preparedness and awareness. Adhering to global safety standards, ARL often goes beyond regulatory requirements to implement additional safeguards, reinforcing its commitment to a secure and compliant workplace. As of March 31, 2025, ARL was supported by a dedicated team of 213 employees.

Risk Management

Risks	Impact	Mitigation Process
Economic	ARL faces potential economic risks,	To address these challenges, ARL has strategically diversified its portfolio
Risk	including a slowdown in the global economy, geopolitical tensions, and unfavourable market developments. These factors can lead to shifts in demand within the real estate market, directly impacting the Companys performance.	to include a presence across all key segments of the real estate industry. The Company has expanded into the Data Centre and Cloud sectors. ARLs strong foundation, established through skilled personnel, efficient processes, and advanced technology, strengthens its capacity to perform effectively and achieve consistent growth, even amid changing market conditions.
Interest Rate Risk	High interest rates on mortgages present a potential challenge by possibly discouraging buyers from investing in real estate properties, which could impact ARLs business operations.	Despite this, real estate prices have climbed over the past year due to rising demand. High interest rates have not negatively affected the real estate market. ARL experienced significant growth, with its business expanding by 23%. ARL successfully lowered its weighted average interest rate on mortgages to 9.29% for FY 2024-25, down from 15.01% for FY 2023-24, by repaying high-cost debt and reducing the Companys overall debt. Furthermore, the Company foresees continued growth in the upcoming period, demonstrating its adaptability in navigating economic fluctuations and interest rate challenges.
Liquidity Risk	The real estate sectors capital-intensive nature presents liquidity risks that could impact the continuity and profitability of ARLs operations.	ARL has effectively managed this exposure by acquiring its land bank at low costs. These land parcels are now being developed after securing all necessary project approvals, a strategic approach that reduces the need for substantial upfront capital. Moreover, the Companys financial performance for FY 2024-25 showed an improved position, marked by significant growth in both revenue and profitability, which demonstrates sound liquidity management.
Execution Risk	The real estate sector is highly susceptible to regulatory changes, requiring extensive approvals and strict compliance. Delays in obtaining regulatory clearances or facing labour shortages can lead to increased costs, time overruns, and setbacks in project launches.	ARL proactively manages these risks by ensuring full compliance with regulations enforced by state governments and district authorities.The Company meticulously executes projects with all necessary approvals and compliances in place. Project launches and completions strictly adhere to planned schedules, and access to a plentiful labour supply helps prevent any cost or time overruns.
Input Risk	The rising costs of construction materials and labour present a potential risk, as they can elevate expenses and consequently affect ARLs profit margins.	To address this, ARL maintains established, long-term partnerships with major suppliers. This strategy ensures a consistent, timely, and uninterrupted provision of quality raw materials at favourable prices. Furthermore, labour-related matters are primarily handled by contractors, which effectively minimises direct corporate involvement and potential operational disruptions. This approach contributes to keeping construction costs steady and safeguarding profit margins.
Credit Risk	Credit risk emerges when a borrower fails to honour their principal and interest repayment obligations to a lender, a situation that could negatively affect ARLs revenue and profitability.	ARL manages this risk effectively by maintaining a strong track record of regular loan accounts and ensuring ample cash flows. This allows the Company to meet its monthly principal and interest repayments for the foreseeable future. This financial stability ensures that credit risk does not adversely impact ARLs financial performance, enabling uninterrupted business operations.
Quality Risk	Failing to maintain high-quality standards could harm ARLs reputation and lead to unsold inventory, negatively impacting the business.	ARL adheres to leading quality control processes and systems to ensure maximum customer satisfaction. The Company is known for upholding the highest quality standards and delivering projects on time. It achieves this by utilising a skilled team of engineers, architects, designers, and other associated staff, all supported by an advanced IT platform. ARL continuously enhances its quality systems and invests in cutting-edge technologies to boost operational efficiencies, thereby reducing the chance of quality shortfalls and strengthening its market standing.
Risks	Impact	Mitigation Process
Location Risk	The success of real estate projects heavily relies on their geographical placement. An inability to secure prime, appealing development locations can result in reduced investor interest and considerable financial losses.	ARL addresses this risk by strategically concentrating on Anant Raj Estate in Sector 63A, Gurugram, which has become a key area for both residential and commercial investments. Over the past year, land prices in this sector have seen significant appreciation. This strategic location choice substantially contributed to the Companys profitability in FY 2024-25 due to increased revenue. This area is rapidly developing into a new hub within Gurugram, with both residential and commercial projects expanding swiftly, indicating strong potential for future real estate demand. ARLs approach to securing land parcels in high-demand, future-focussed areas highlights its success and mitigates location-related risks.

Cautionary Statement

This Management Discussion and Analysis includes statements that outline the Companys objectives, projections, estimates, expectations, and predictions. These are considered forward-looking statements under applicable securities laws and regulations. The Company has conducted various assessments and analyses to form assumptions regarding future business developments. However, actual outcomes may differ from these expectations due to a range of risks and unforeseen factors.

Key factors that could influence the Companys operations include macroeconomic developments within the country and improvements in capital market conditions. Changes in government regulations, taxes, laws, and other statutes, as well as other incidental factors, could also affect results. The Company is not obligated to publicly update or revise any forward-looking statements to account for future or probable events or circumstances.