Grovy India Ltd Management Discussions

Annexure"D"

We submit herewith our Management Discussion & Analysis Report on the Companys Business for the year ended 31st March, 2025. We have attempted to include on all specified matters to the extent relevant or within limits that in our opinion are imposed by the Companys competitive position.

ECONOMY OVERVIEW

The Indian economy continued its robust trajectory in FY 2024 25, recording a real GDP growth rate of 6.4%, as per the First Advance Estimates released by the National

Statistics Office (NSO). This growth, though slightly lower than the previous years

8.2%, was driven by resilient domestic demand, strong capital formation, and targeted government reforms. The accelerated pace of economic reforms has led to the sustainable growth of the Indian economy and strengthened its position in the world.

Indias consistent growth, even amid global headwinds, reinforces its position as one of the fastest-growing major economies. The governments continued focus on infrastructure, ease of doing business, and structural reforms is expected to sustain momentum toward its long-term vision of Viksit Bharat@2047.

INDUSTRY OVERVIEW

INDIAN REAL ESTATE SECTOR

The Indian real estate sector is a prominent contributor to the countrys economy, generating significant employment opportunities and driving growth. As the second-largest employment generator after agriculture, this sectors performance is closely linked to the overall health of the economy. The sectors growth is fueled by increasing demand for office space, urban and semi-urban accommodation, and housing. With its four sub-sectors - housing, retail, hospitality, and commercial - the real estate industry is poised for long-term growth, driven by rising GDP per capita, higher disposable incomes, and growing urbanization.

The real estate sector in India has assumed growing importance with the liber- alization of the economy. The consequent increase in business opportunities and migration of the labour force has, in turn, increased the demand for commercial and housing space, especially rental housing.

The real estate sector is one of the most globally recognized sectors. It comprises of four sub-sectors - housing, retail, hospitality, and commercial. The growth of this sector is well complemented by the growth in the corporate environment and the demand for office space as well as urban and semi-urban accommodation. The construction industry ranks third among the 14 major sectors in terms of direct, indirect and induced effects in all sectors of the economy.

Indias real estate sector demonstrated strong resilience through FY 2024 25, with deal volumes rising consistently across quarters despite macroeconomic challenges.

Indias real estate sector maintained robust activity in FY 2024 25, achieving a total of 99 transactions with a combined value of around USD 6.99 billion. Deal volumes steadily improved compared to FY 2023 24, reflecting strong investor interest despite broader macroeconomic headwinds.

The Indian real estate sector significantly contributes to the countrys economy, driving growth, employment, and investment while generating substantial revenue for governments and having a multiplier effect on industries like steel and cement, with its market size projected to reach $1 trillion by 2030.

OUR TARGET MARKET

Grovy is redefining the landscape of ultra-luxury real estate by focusing on two of

New Delhis most prestigious and high-demand zones South Delhi and Lutyens Delhi.

These areas are synonymous with affluence, exclusivity, and legacy value, and they represent some of the most sought-after addresses in the country.

What sets these regions apart is the inherent scarcity of land. In a rapidly urbanizing city like New Delhi, the finite supply of land parcels particularly in prime locations presents a powerful investment opportunity. As the population grows and urban density increases, the competition for high-quality real estate in these areas becomes fiercer, further driving up both demand and property values.

Established during the 1970s and 1980s, much of South and Lutyens Delhi represents the final phase of New Delhis planned development. While the area is well-established and fully developed, it is now witnessing a transformative wave of redevelopment. This new phase is being catalyzed by multiple factors:

- Growing Family Structures: As families expand, the need for multi-dwelling units and larger homes is becoming more urgent.

- Aging Infrastructure: Many properties are now over 40 years old. The wear and tear of time have diminished the quality of construction, making them prime candidates for reconstruction.

- Modern Construction Technologies: Breakthroughs in construction techniques allow for faster, more efficient, and more environmentally sustainable buildings, which meet modern lifestyle demands.

- Progressive Building Regulations: Recent relaxations in building bye-laws such as increased Floor Area Ratio (FAR), provisions for elevators, and better parking facilities make redevelopment not only feasible but highly attractive.

Historical trends dating back to 1980 show a clear and consistent increase in land values within these premium zones. Notably, as population density has grown, so too have property prices mirroring patterns observed in global cities like Hong Kong, London, and Singapore, where land scarcity and urban demand drive sustained appreciation in real estate values.

What truly distinguishes South and Lutyens Delhi from other parts of the National

Capital Region (NCR) is their resilience to market cycles. While many NCR localities have experienced fluctuations or even stagnation during broader real estate downturns, these core Delhi zones have remained relatively insulated. The reason, An unrelenting demand for premium residential units driven by both end-users and investors who recognize the enduring value of location and legacy.

Why Invest in Grovys Vision?

Grovys projects align seamlessly with the evolving aspirations of urban luxury buyers blending heritage value with modern living. With a keen focus on innovation, quality, and sustainability, Grovy is not just building homes its crafting future-ready landmarks in the heart of Indias capital.

ow more than ever, the convergence of limited supply, regulatory support, and rising demand makes South and Lutyens Delhi an ideal ecosystem for long-term real estate investment. For those seeking high returns, stability, and unmatched prestige, Grovy offers the gateway.

STATE OF AFFAIRS OF THE COMPANY

Grovy India Ltd., established in 1985, is a leading Real Estate, Infrastructure Development, and Consultancy company with a distinguished legacy of over four decades. With more than 100 successful projects and 500+ satisfied clients, Grovy has carved a niche for itself as a creator of ‘Boutique Properties each one uniquely designed to reflect elegance, functionality, and timeless value.

Backed by a team of highly experienced engineers, architects, planners, and young talent from premier institutions, Grovy blends experience with innovation. Our strength lies in our deep understanding of the NCR real estate market, long-standing relationships with local stakeholders, and a commitment to delivering projects with precision and excellence.

Grovys legacy is not just in its buildings, but in the trust it has earned, the lifestyles it has transformed, and the communities it has helped shape.

FUTURE OUTLOOK

he Indian real estate industry is entering a dynamic new phase one driven by technology, sustainability, and customer-centric innovation. Grovy India Ltd. is fully aligned with this transformation.

We are actively integrating cutting-edge technologies like Artificial Intelligence (AI), Internet of Things (IoT), and Virtual Reality (VR) into our operations. These advancements are revolutionizing the way we manage properties, enhance customer experiences, and streamline marketing and sales. The result is a more transparent, immersive, and efficient homebuying journey.

In addition to digital innovation, we are embracing sustainable building practices, focusing on energy-efficient designs, green construction materials, and smart infrastructure to meet the evolving expectations of the conscious luxury buyer.

We are also proud to announce a strategic partnership with the Golden Growth Fund, a reputed Category II Alternative Investment Fund (AIF). This collaboration will provide a robust financial foundation for upcoming developments, specifically focused on premium projects in South and Lutyens Delhi two of the most valuable and resilient real estate zones in the country.

With increasing demand for luxury residences, our strong brand presence, and investor confidence, Grovy is projecting a 3X growth in revenue and profitability over the next two years. The future is not just promising its transformational.

OPERATION REVIEW

During the year under review, Grovy India Ltd. has continued to demonstrate strong performance in both its core segments real estate development and trading/investment in equity markets.

For the financial year, the company reported a net profit of 179.43 Lakhs, reflecting robust operational efficiency and effective financial management. Despite broader economic challenges, our team remained agile and focused, delivering projects on time and maintaining strong financial discipline.

Looking ahead, your Directors are optimistic about the Companys prospects and expect continued growth in FY 2025 26, driven by strategic project execution, market expansion, and technological integration.

There have been no material changes or commitments post the financial year-end that could adversely affect the financial position of the Company

BUSINESS SEGMENTS:

Your Company is engaged into the Businesses listed as under:

a) Construction Business:

Residential Segment:

Project Loca- tion	Constructed Area	Project Status	Project Type
South Delhi	10,000 Sq. Ft.	Completed	Residential Project
South Delhi	15,000 Sq. Ft.	Completed	Residential Project
South Delhi	20,000 Sq. Ft.	Completed	Residential Project
South Delhi	10,000 Sq. Ft.	On-going	Residential Project
South Delhi	15,000 Sq. Ft.	On-going	Residential Project
South Delhi	15,000 Sq. Ft.	On-going	Residential Project
South Delhi	15,000 Sq. Ft.	On-going	Residential Project
South Delhi	17,000 Sq. Ft.	On-going	Residential Project
South Delhi	20,000 Sq. Ft.	On-going	Residential Project
South Delhi	20,000 Sq. Ft.	On-going	Residential Project
South Delhi	15,000 Sq. Ft.	Project in pipeline	Residential Project
South Delhi	20,000 Sq. Ft.	Project in pipeline	Residential Project
South Delhi	40,000 Sq. Ft.	Project in pipeline	Residential Project

Your company, Grovy India Limited has completed their projects and sustains credibility among its customers by providing possession on time and quality of work to all of them.