Martin Burn Ltd Management Discussions

Annexure IV

ECONOMIC REVIEW Global Economy

The global economy was tested afresh in FY 2025-26, with growth losing momentum as an escalation of conflict in the Middle East compounded the lingering effects of trade tensions and elevated policy uncertainty. Global GDP growth for 2026 is projected at around 3.0-3.1%, a step down from roughly 3.3% in 2025, as a war-driven spike in energy prices and renewed supply disruptions weighed on activity. Advanced economies continued to expand only modestly, while emerging markets and developing economies - particularly commodity importers - bore the brunt of higher energy and food costs. After several years of steady disinflation, global headline inflation is now expected to tick up to about 4.4% in 2026 before resuming its decline in 2027, prompting major central banks to stay cautious even as some had begun to ease. Crude oil, which averaged close to USD 68 a barrel in 2025, is assumed to trade materially higher in 2026 amid supply concerns. Downside risks clearly dominate the outlook - a prolonged or wider conflict, deeper geopolitical fragmentation, a re-pricing of expectations around Al-driven productivity, and fresh trade and tariff frictions could all weaken growth, while high public debt and eroded policy buffers limit the room to respond. Even so, resilient technology investment and steady consumer spending in key economies have helped the world economy absorb these shocks better than initially feared.

Indian Economy

Indias economic performance in FY 2025-26 was once again a global standout, cementing its status as the fastest- growing major economy for the fourth consecutive year. Real GDP is estimated to have grown by around 7.6-7.7% for the year, an acceleration from 6.5% in the previous fiscal and comfortably ahead of the governments initial 6.3-6.8% projection. Growth was broad-based: the services sector expanded by over 9%, manufacturing and construction grew by about 7%, and agriculture held steady. This momentum was powered by the twin engines of robust private consumption and sustained public and private investment, even as global headwinds and elevated US tariffs tested external demand. International agencies have consistently affirmed Indias leadership - the Reserve Bank of India raised its FY 2025-26 growth forecast to 7.3%, while the IMF, World Bank, OECD and others continue to recognise India as a key anchor of global economic momentum.

Crucially, inflation fell to exceptionally benign levels during the year, providing an unusually supportive macroeconomic backdrop. Retail (CPI) inflation averaged well below the RBIs 4% medium-term target - easing to multi-year lows and touching a record of about 0.25% in October 2025 - as food prices corrected sharply and the September 2025 rationalisation of Goods and Services Tax (GST) rates fed through to consumers. This price stability allowed the Reserve Bank of India to pivot decisively towards supporting growth: the RBI cut the policy repo rate by a cumulative 125 basis points from February 2025 and injected durable liquidity, with the reductions transmitting quickly into lower lending rates - a direct positive for home-loan borrowers. An above-normal monsoon in 2025 lifted agricultural output and rural incomes, further easing food inflation after earlier volatility. The broader macro picture was equally reassuring: foreign exchange reserves crossed USD 700 billion, banking-sector gross non- performing assets fell to multi-decade lows of around 2.2%, and the current account deficit remained modest - a combination that leaves the economy well cushioned against external shocks.

Sector Overview

The Indian real estate industry has matured considerably over the past decade, adapting to a stronger regulatory framework and a more institutional operating environment. On the regulatory front, the Real Estate (Regulation and Development) Act, 2016 (RERA) is now firmly embedded, and together with the Goods and Services Tax (GST) and the Insolvency and Bankruptcy Code (IBC) it has substantially improved transparency, accountability and homebuyer confidence. The September 2025 rationalisation of GST rates and the continued roll-out of the PMAY-U 2.0 Housing for All mission have further supported the sector, while the Union Budget for 2026-27 stepped up public capital expenditure on urban infrastructure, unlocking new development corridors. Developers increasingly compete on compliance, timely delivery and corporate governance - an area where your Companys legacy of trust and transparency provides a clear competitive advantage.

Changing consumer preferences and technological advancement continue to reshape industry dynamics. The most pronounced shift has been towards premiumisation and a flight to quality: buyers are gravitating to larger, better- specified homes and to projects by established, credible developers, and the share of premium housing - units priced above T1 crore - has risen to roughly half of all sales across the major cities. Technology adoption has become mainstream, with digital sales platforms, virtual walkthroughs and AI-driven customer engagement now standard tools through which developers reach buyers and tailor their offerings. Sustainability has moved from a differentiator to an expectation - energy-efficient design, green certifications and smart-building features increasingly influence purchase decisions, and developers are embedding these into new projects rather than treating them as optional add-ons.

The sectors funding environment improved meaningfully during the year, in contrast to the tight conditions that followed the 2018 NBFC (Non-Banking Financial Company) liquidity crisis. The Reserve Banks cumulative 125 basis-point reduction in the repo rate since February 2025, coupled with ample banking-sector liquidity and record institutional investment - real estate attracted well over USD 8 billion of institutional capital in 2025 - has widened access to funding for well-run developers. The benefit, however, has been uneven: large, reputed and listed developers can now raise capital at competitive costs, whereas smaller and less-capitalised players, particularly in the affordable segment, still face constrained financing and continue to rely on private equity, structured debt or customer advances. This divergence keeps driving consolidation towards financially strong, execution-capable developers - a trend that favours established names.

Construction costs, while more stable than in the immediate post-pandemic period, remain elevated. Input prices for cement, steel and finishing materials, persistent shortages of skilled labour, and high land values in prime urban locations continue to press on margins. These cost pressures - together with strong demand at the top end - are part of what has pushed developers towards higher-ticket, premium projects that can better absorb them. To protect delivery timelines and profitability, developers are adopting newer construction methods such as prefabricated and modular systems, pre-engineered buildings and modern formwork, and are value-engineering their designs, though economy-wide adoption of these techniques is still evolving.

The Indian real estate sector has demonstrated remarkable resilience, but its recovery has become increasingly two-speed. Even as overall demand held firm and transaction values reached record levels in 2025, the affordable segment contracted sharply - new launches of lower-priced homes have shrunk to a small fraction of supply - while premium and luxury housing drove growth. The industrys consolidation phase has continued, with weaker, unorganised developers steadily edged out or absorbed by stronger, branded players, and homebuyers displaying a clear preference for credible names with proven delivery records. For a heritage developer like Martin Burn Ltd. that enjoys deep local trust and a sound balance sheet, this evolution presents a genuine opportunity to consolidate its position and emerge stronger.

Residential Real Estate Market

Segment Overview

Indias residential real estate market delivered a resilient, if uneven, performance in FY 2025-26. Across the top seven cities, unit sales moderated to about 3.96 lakh homes in calendar 2025, a decline of roughly 14% from the record ~4.60 lakh units of 2024, as the exceptional highs of the preceding boom, elevated prices and a shrinking pool of affordable supply weighed on volumes. Yet the markets aggregate sales value actually rose about 6% to over T6 lakh crore, underscoring a decisive shift towards higher-value homes. Affordability, which had been stretched by sharp price increases and higher mortgage rates, began to ease through the year as the RBI cut the repo rate by a cumulative 125 basis points and home-loan rates followed suit. Encouragingly, momentum turned up again at the start of 2026, with sales across the top seven cities rising about 8% year-on-year in the first quarter - reversing the decline seen a year earlier.

It is important to underscore that the underlying demand drivers for housing in India remain firmly intact. The moderation in volumes reflects a rebalancing towards premium homes and a temporary affordability squeeze, rather than any structural weakness in end-user demand. Interest from first-time buyers and from those upgrading to larger homes continues to be strong, and the aspiration for home ownership remains very high. Consumer confidence has been reinforced by a stable political backdrop, record-low inflation and rising incomes, while recent cuts in interest rates have improved affordability and are expected to draw hesitant buyers back to the market. With Indias economy growing at close to 7.7% and mortgage costs easing, the medium-term demand environment for housing is decidedly favourable.

On the supply side, developers stayed disciplined even as they leaned into the premium segment. New launches across the top seven cities were broadly steady in calendar 2025 - marginally below the prior years near-record level - but their composition shifted markedly towards higher-ticket housing, with supply of homes priced above T1 crore rising while affordable launches fell to only a small share of the total. Momentum in new supply then accelerated into 2026, the first quarter setting a fresh quarterly record of roughly 90,000 launches, up about 13% year-on-year. A large and growing share of this supply is being driven by big, reputed and listed developers, who have gained market share as homebuyers increasingly favour branded projects. Geographically, the Mumbai Metropolitan Region (MMR) and Bengaluru continued to anchor new supply, while Delhi-NCR stood out with an exceptional surge in launches as developers positioned for future demand.

Inventory dynamics reflected the interplay of robust supply and moderating sales. After the strong absorption of the 2024 boom, unsold stock across the top seven cities began to edge higher through FY 2025-26 as new launches outpaced sales in several markets; by mid-2026, aggregate unsold inventory had risen to a little over 6 lakh units. Even so, the overall inventory overhang - the time required to clear current unsold homes at prevailing absorption rates - remained moderate for most cities, generally within a healthy range. The picture varied by market and by segment: well-located premium projects continued to sell briskly, whereas the thinner pipeline of affordable homes meant that budget inventory, where available, cleared faster than the growing stock of higher-priced units.

Residential prices continued their upward march in FY 2025-26, propelled by strong demand at the upper end, higher input costs and the rising share of premium launches. Average prices across the top seven cities rose about 8% over calendar 2025, with Delhi-NCR the standout at over 20% appreciation and Bengaluru, Chennai and other metros recording double-digit gains; the Reserve Banks All-India House Price Index likewise rose in the quarter ending December 2025. The steepest increases were concentrated in cities and micro-markets tilted towards luxury and ultra-luxury projects. With prices elevated, buyers in the affordable and mid-income segments have grown more price-sensitive, and developers are responding with flexible payment plans, launch discounts and right-sized units. The luxury and premium segments, by contrast, have remained resilient, with high-net-worth and upper-income buyers largely undeterred by higher price points.

In summary, while Indias residential market saw volumes recalibrate in FY 2025-26, the medium-to-long-term outlook remains firmly constructive. The fundamental demand for housing - driven by end-user purchases, rapid urbanisation and the rise of nuclear families - continues to expand the market, even as its centre of gravity shifts towards quality and premium homes. The moderation in low-end volumes has instilled greater pricing and financial discipline in the sector, which should improve its long-term sustainability, though it also underscores the need to keep housing affordable across income groups. With mortgage rates easing, inflation benign and government support for housing intact, we remain optimistic that residential demand will build further momentum through FY 2026-27 - a trend already visible in the strong start to calendar 2026.

Kolkata

Launches

Kolkatas residential market maintained a steady, calibrated supply pipeline through FY 2025-26, reflecting developers measured optimism about the city. While annual new launches were modestly lower - down about 6% over calendar 2025 - activity gathered pace in the second half of the year, with new launches rising roughly 38% year-on-year in H2 2025 as confidence in end-user demand strengthened. This disciplined, back-loaded launch strategy helped keep supply and demand well balanced, a hallmark of the Kolkata market. Consistent with long- standing trends, the bulk of new launches remained in the affordable and mid-income segments: homes priced below T1 crore continued to dominate fresh supply, in keeping with the deep, price-sensitive middle-class demand pool that defines the city. Premium and higher-end launches were added selectively in pockets of proven demand, but developers remained cautious about large luxury bets.

In terms of geographical distribution, South Kolkata once again emerged as a preferred zone for new developments. Historically the South zone (encompassing areas such as Joka, Behala, Narendrapur and Tollygunge) has led new supply, and it continued to contribute a significant share of launches, aided by available land parcels and infrastructure upgrades such as metro extensions. The East - notably Rajarhat-New Town and the EM Bypass belt

- also saw meaningful new activity in integrated townships, while West Kolkata (around Howrah and Maheshtala) benefited from connectivity improvements and relatively lower land costs. The North zone, with its more congested and older fabric, witnessed selective additions through redevelopment and smaller infill projects. Overall, developers are aligning new launches with pockets of genuine demand - townships and gated communities in well-connected corridors - and are launching in phases to keep unsold-inventory build-up in check.

Sales Trend

The housing sales trend in Kolkata proved resilient in FY 2025-26, bucking the volume moderation seen in several larger markets. After a soft start to calendar 2025, demand recovered as the year progressed, with residential sales in the city rising about 7% year-on-year in the second half of 2025; in the July-September quarter alone, around 4,374 units were sold, up 2% year-on-year. Kolkata continued to account for a mid-single-digit share of pan-India urban housing sales. Crucially, the citys demand is dominated by genuine end-users rather than investors, and the recovery was underpinned by a clear flight to quality; with buyers gravitating towards reputable developers and infrastructure-rich locations. Easing home-loan rates and Kolkatas relative affordability compared with other metros helped sustain conversions through the year.

This resilience reflects the fundamentally end-user-driven character of Kolkatas housing market. Buyers here typically purchase for self-use rather than speculation, so genuine life-stage requirements - marriage, growing families, job relocations - generate steady, recurring demand that is less prone to sharp swings. Developers and channel partners reported healthy site footfalls and improving conversions through the year, particularly for well-located projects by established names. As interest rates ease further and developers continue to offer attractive schemes, we expect sales momentum in Kolkata to remain firm into FY 2026-27, supported by the citys affordability advantage and steadily improving urban infrastructure.

Analysing the zonal preferences of buyers, South Kolkata remained the most sought-after region, with a significant portion of sales concentrated in southern micro-markets such as Jadavpur, Tollygunge, Garia and Narendrapur, owing to their established social infrastructure and steady new supply. East Kolkata - the Rajarhat-New Town and EM Bypass belt - continued to attract strong interest, especially for mid-range and premium apartments in integrated townships. North Kolkata, characterised by older housing stock, recorded comparatively fewer transactions, largely driven by redevelopment and by affordable housing in the outskirts such as Madhyamgram and Barasat. West Kolkata, including Howrah, saw a smaller share, though ongoing infrastructure initiatives are gradually spurring interest there. This sales mix underscores that Kolkatas homebuyers prioritise locations with proven connectivity and daily conveniences, while purely price-driven demand gravitates to the suburbs.

Available Inventory

Kolkatas unsold housing inventory improved further in FY 2025-26, reinforcing the citys reputation as one of Indias healthiest and most balanced residential markets. Supported by steady absorption and disciplined launches, unsold inventory declined about 5% year-on-year to roughly 19,630 units by the end of calendar 2025 - the lowest level in nearly a decade. As a result, Kolkatas inventory overhang - the number of months required to clear the current stock at the prevailing sales pace - remained comfortable and compares favourably with most larger metros. This tightening of available stock, even as launches recovered in the second half of the year, indicates that supply and demand are well matched, with no sign of an oversupply overhang.

Examining the composition of unsold inventory, the affordable and mid-income segments - homes priced below T1 crore - continue to account for the largest share of Kolkatas available stock, consistent with the citys traditional focus on budget and mid-range housing for middle-income households. Encouragingly, it is precisely these sub-T1 crore categories that have seen the fastest inventory depletion, reflecting their deep and durable demand base. The premium and luxury segments (above T1 crore) form a smaller portion of inventory and, while individual higher- priced units take longer to sell, their absolute numbers remain limited in Kolkatas context. The overall improvement in inventory health has therefore been broad-based across price points.

Zone-wise, South Kolkata holds the largest share of unsold inventory, unsurprising given its high concentration of ongoing projects and new supply. East Kolkata follows, with significant stock in township projects around New Town and along the EM Bypass. North and West Kolkata carry comparatively lower unsold inventory, partly because of fewer historical launches and the smaller scale of projects in those areas. Continued infrastructure improvements - new metro lines, flyovers and road upgrades - are steadily enhancing the appeal of these micro-markets, which should help absorb inventory over time and open up new development corridors across the city.

Opportunities

In the evolving real estate landscape, your Company perceives several opportunities to drive growth and value:

• Economic Dislocation: Periods of economic uncertainty often create attractive, risk-adjusted investment opportunities in real estate. Even as global markets navigate the fallout of geopolitical conflict and volatile energy prices, returns on traditional safe-haven assets remain modest, and both domestic and international investors are actively seeking avenues to deploy capital for higher yields. Real estate - particularly in a fast- growing, reform-driven market like India - continues to be viewed as a compelling asset class for those aiming to generate alpha, a fact reflected in the record institutional capital that flowed into Indian real estate during 2025.

• I ndia Opportunity: India remains a compelling long-term story for the real estate sector. The countrys 1.4+ billion population, favourable demographics (with a median age in the late 20s), and rising urbanisation translate into deep, durable demand for housing and commercial space. There is a vast unmet need for quality homes, and rising incomes - supported by an economy growing at close to 7.7% and record-low inflation - are enabling more families to pursue home ownership. The real estate sector, which contributes around 7% of GDP today, is projected to expand its share substantially over the coming decades. Landmark reforms such as RERA, the Insolvency and Bankruptcy Code (IBC) and the Goods and Services Tax (GST), alongside continued improvement in the ease of doing business, have enhanced transparency and given institutional investors greater confidence that their capital is protected in India.

Threats & Challenges

While the outlook is positive, we remain cognizant of various risks and challenges that could impact our industry and business:

• Regulatory Hurdles: The real estate sector is highly sensitive to government policy and regulatory frameworks. Unfavourable changes in regulations, or delays in approvals and procedural bottlenecks, can adversely affect project timelines and costs. Lengthy land acquisition processes, zoning restrictions and slow sanctioning of building plans continue to pose challenges, and retrospective changes - such as alterations to development- control rules or tax policies - can affect project feasibility after investments have been committed. Compliance with an ever-evolving set of requirements (RERA, environmental clearances, and periodic changes such as GST rate rationalisation) demands significant management attention and cost. Your Company mitigates this risk through robust legal and liaison teams and by choosing to operate in segments and geographies where policy frameworks are stable.

• Manpower Shortage & Technology Constraints: Despite being one of Indias largest employers, the construction industry faces a persistent shortage of skilled manpower. A dearth of trained engineers, supervisors and specialised workers can lead to execution delays and quality issues, and the sectors continued reliance on manual labour over mechanisation keeps productivity below global benchmarks. Adopting modern construction technology is imperative, yet industry-wide progress remains gradual - constrained by the limited availability of vendors for prefab or modular construction, the high initial cost of new technology, and the need for trained personnel to operate advanced equipment. Bridging this gap remains a key priority for the industry.

• Funding Constraints: Access to funding is the lifeblood of real estate development. While the financing environment eased in FY 2025-26 - aided by the RBIs cumulative 125 basis-point repo-rate cut since February 2025, ample banking liquidity and record institutional investment - the benefit has been distributed unevenly. Large, reputed developers can raise capital at competitive costs, but smaller and less-capitalised players, especially in the affordable segment, continue to face a tight credit environment, a legacy of the caution that set in after the 2018 NBFC crisis. Such developers still lean on private equity, structured or mezzanine debt, and customer advances - each with its own limitations. Any renewed deterioration in credit availability - whether from rising financial stress, tighter norms or a growth shock - could disrupt project execution across the industry. For your Company, a lean balance sheet, prudent financial ratios and the liquidity built up through earlier asset monetisation have preserved ready access to bank and institutional funding and reduced our reliance on debt.

• Market Cyclicality: Real estate is inherently cyclical, shaped by broader macroeconomic conditions and market sentiment. GDP growth, employment trends, interest-rate cycles and inflation all influence demand. After the exceptional highs of 2023-24, the market saw sales volumes moderate in 2025 - a reminder that periods of rapid growth can give way to slower phases, inventory build-up and pricing pressure. A major economic downturn or an external shock, such as a geopolitical crisis or a renewed energy-price spike, can dampen buyer confidence and reduce transaction volumes. Your Company operates largely in the residential segment which, while more stable than speculative investor-driven markets, is not immune to these cycles; a prolonged downturn could affect new sales, project cash flows and pricing power.

Company Strengths

Martin Burn Ltd. (MBL) is a heritage real estate development firm established in 1946. Over the decades, the Company has cultivated a strong brand and a track record of excellence in Kolkatas real estate landscape. Our enduring presence and success are built upon a set of core strengths that we continually leverage:

• Brand Reputation: MBLs legacy in Kolkata is unparalleled. We have been associated with some of the citys most iconic landmarks - projects entwined with the historical and cultural fabric of Kolkata. Notably, structures like Victoria Memorial, Esplanade Mansion, and Shahid Minar bear the hallmark of our groups engineering and construction excellence, cementing our reputation over generations. This rich heritage and brand affinity give us a unique emotional connect with the local populace. Homebuyers and stakeholders trust the Martin Burn name, which often allows your Company to command a premium and achieve better market traction relative to peers. Our brand stands for quality, reliability, and architectural finesse, and that recognition significantly lowers the marketing risk whenever we launch new projects. We consider this hard-earned reputation a key asset - one that we nurture by consistently delivering on promises and maintaining honest communication with our customers.

• Transparency & Governance: Ethical business conduct and transparency are deeply ingrained in MBLs corporate ethos. We believe that long-term success in real estate can only be achieved by upholding the highest standards of integrity in every transaction. Your Company has a zero-tolerance policy towards any malpractice or non-compliance. We have instituted rigorous systems and processes to ensure that our operations remain transparent - from adhering to RERA disclosure norms and timely project updates to maintaining clear financial reporting and audit trails.

• Execution Excellence: Timely, high-quality execution is a hallmark of Martin Burn Ltd. We take pride in delivering projects on or ahead of schedule - a critical differentiator in an industry often plagued by delays. To achieve this, we adopt a collaborative approach, engaging best-in-class consultants, architects, structural engineers, MEP experts and contractors for every project. By bringing together top-tier design and engineering expertise, we ensure that our projects are meticulously planned and built to exacting standards. Our project-management teams are aligned with the Companys mission of delivering the best product for the market through rigorous planning, risk assessment and on-site monitoring - consistently meeting our commitments and, in turn, earning referrals and repeat customers in a virtuous cycle that benefits our brand and future sales.

Business Overview

During FY 2025-26, your Company remained steadfast in its strategy of sustainable, focused growth amid a shifting market environment. Martin Burn Ltd. operates primarily in the Kolkata metropolitan region, and we leveraged our deep local knowledge and brand trust to navigate the years conditions. As in the prior year, our strategic emphasis was on consolidation and financial strength rather than aggressive expansion. In line with this approach - and mindful of the industry-wide shift towards prioritising delivery over new supply - your Company did not launch any major new development projects in FY 2025-26.

Building on the balance-sheet strengthening achieved in the previous year - when we monetised select non-core commercial holdings to bolster liquidity and reduce debt - FY 2025-26 was a year of consolidating those gains. Rather than adding leverage, your Company maintained a disciplined financial posture: prioritising collections from completed and ongoing projects, keeping debt low, and preserving a healthy cash position. This conservative stance has kept interest costs contained and left us well placed to act on the right opportunities - whether land acquisitions or joint-development partnerships - as and when they meet our return thresholds. As a result, Martin Burn Ltd. closes the fiscal year with a robust balance sheet and comfortable liquidity, providing a cushion against market uncertainty.

Overall, FY 2025-26 can be characterised as another year of prudent management and patient groundwork for Martin Burn Ltd. We again chose long-term stability over short-term growth spurts - a choice we believe will yield sustainable returns for our stakeholders. Having further strengthened our financial fundamentals and internal systems, your Company is now well prepared to pursue selective growth opportunities in FY 2026-27 and beyond, confident in our ability to weather risks and create lasting value.

Financial Performance

During FY 2025-26, Martin Burn Ltd. reported profit before tax (PBT) of T 249.73 lakh, compared with T 712.03 lakh

in FY 2024-25. Operating income, measured as PBDIT, stood at ? 271.78 lakh versus ?824.73 lakh in the previous year, while net profit (PAT) was ? 189.92 lakh against ?599.24 lakh a year earlier. The Company maintained a strong balance sheet, with minimal leverage and healthy cash reserves, positioning it well for future growth

Human Resources

At Martin Burn Ltd., we firmly believe that our people are our greatest asset. The performance and success of the Company are directly linked to the talent, passion and dedication of our employees. In FY 2025-26, we continued to foster a work environment that attracts, develops and retains the best talent in the industry, investing in skill- building and nurturing a culture of accountability and collaboration in support of our long-term objectives.

Risks and Concerns

The Companys management maintains a comprehensive risk management framework to identify, assess, and mitigate various risks associated with our business. Key risks and concerns that require constant attention include:

• Market Price Fluctuation: Real estate sales realizations (the prices we can achieve for our projects) are subject to prevailing market conditions. Factors such as local demand-supply dynamics, economic growth, interest rates, and even competitor actions can cause price volatility. If property prices in our target segments or geographies were to decline due to a downturn or oversupply, it could adversely affect our revenue and margins. Conversely, rapidly rising prices could dampen sales velocity if affordability is compromised. Your Company follows a prudent business model to navigate price fluctuations - we conduct thorough market research before pricing our projects and aim for a balance where we offer value to customers while securing reasonable profitability.

• Sales Volume Variability: The volume of property sales is critical to our financial health, and it depends on multiple factors. These include our ability to design and deliver projects that meet customer preferences, obtaining necessary approvals on time to launch projects, overall consumer sentiment, and the availability of housing finance to buyers. There is an inherent risk that booking volumes may fluctuate due to factors beyond our control - for instance, an economic slowdown can make buyers more cautious, or delays in project approvals can push out launch dates and hence sales. Trust is also a major factor; customers may be hesitant to enter into purchase agreements for under-construction properties if they lack confidence in the developers delivery record.

• Execution and Delivery: Real estate development involves complex execution risks. Construction delays can arise from a variety of causes - labor shortages, raw material price spikes or scarcity, issues in obtaining utilities (electricity, water connections) on time, adverse weather conditions, or unforeseen challenges such as litigation on land titles or local disturbances. Delays not only escalate costs but also impact our reputation and can trigger penalties under RERA or agreed terms with customers. Additionally, executing multiple projects simultaneously tests our managerial and logistical capabilities. Your Company mitigates execution risk through meticulous project planning and monitoring.

Outlook

The outlook for Martin Burn Ltd. in the year ahead remains cautiously optimistic, guided by our strategic focus and the prevailing industry conditions. We anticipate that FY 2026-27 will present a mix of challenges and opportunities, and your Company is prepared to navigate both. The key elements of our outlook and strategy include:

• Focus on Mid-Market and Premium Housing in Kolkata: Real estate is fundamentally a local business, and our deep roots in the Kolkata region give us a distinct home advantage. We will continue to focus on the mid- market and premium residential segments in and around Kolkata, where we see the most consistent, end- user-led demand. The large and aspiring middle-income population of the city provides a stable demand base, and Kolkatas standing as one of Indias most affordable and best-balanced housing markets reinforces the opportunity. Our long experience and nuanced understanding of local preferences position us well to design and deliver the right products for this segment - from amenity mix and unit configurations to the pricing sweet spots that work in micro-markets such as North versus South Kolkata.

• Strengthening Partnerships and Vendor Base: To continue delivering quality projects efficiently, your Company plans to further strengthen relationships with key service providers and expand our vendor network. This involves deepening our collaborations with top architects, structural and MEP consultants,

and contractors - ensuring they are aligned with our values and timelines. We believe that early engagement with these partners during the project planning stage can lead to better design value-engineering and more accurate project scheduling. Additionally, we are developing a broader vendor base for materials and services. By empaneling multiple vendors for critical inputs (like cement, steel, fittings, etc.), we aim to foster healthy competition, which can improve pricing and reduce the risk of supply bottlenecks.

Your Company remains positive about the long-term prospects of the real estate sector and Martin Burns role within it. While we continue to tread carefully in the near term - mindful of global uncertainties and the importance of preserving financial strength - we have a clear vision for growth. Kolkata and its surrounding regions continue to hold untapped potential for quality real estate development, and as a trusted local brand, Martin Burn Ltd. intends to be at the forefront of realising that potential. We will pursue growth strategies that are scalable, sustainable and aligned with our core competencies, ensuring that we create value for our customers, shareholders and the wider community.

To conclude, the outlook for Martin Burn Ltd. in the coming year can be summed up as one of measured optimism: we are ready to seize the opportunities that arise, remain vigilant of risks, and are dedicated to strengthening our foundation. With a resilient economy, easing interest rates, supportive policies and our own internal preparedness, we believe FY 2026-27 will be a year in which your Company consolidates its gains and sets the stage for the next phase of growth.