Max Heights Infrastructure Ltd Management Discussions

Max Heights Infrastucture Limited (referred to as Max or the Company) is a Real Estate Company that operates under the management control of experienced promoters with a wealth of knowledge in the Real Estate Sector. However, the Company faces numerous internal and external challenges that contribute to a complex and demanding operating environment.

Max Heights Infrastucture Limited has been established with the aim of providing high-quality real estate solutions to its customers. The Company specializes in developing residential, commercial, and mixed-use properties that cater to the evolving needs of its clients. With a commitment to excellence and a customer-centric approach, Max Heights Infrastucture Limited has gained a reputation for delivering projects that embody innovation, sustainability, and contemporary design.

In the dynamic landscape of the real estate industry, Max Heights Infrastucture Limited confronts various internal challenges that impact its operations. These challenges include managing the internal processes efficiently, maintaining a talented workforce, ensuring effective communication within the organization, and adapting to the changing market trends. The Company recognizes the importance of addressing these internal challenges to streamline its operations and maximize its performance.

Furthermore, Max Heights Infrastucture Limited also faces external factors that significantly influence its business environment. These external challenges consist of regulatory changes, market fluctuations, economic conditions, and competitive pressures. The Company must navigate through these complexities by staying updated with regulatory requirements, implementing robust risk management strategies, and continuously innovating to stay ahead of the competition.

Moreover, economic conditions play a crucial role in shaping the operating environment for Max Heights Infrastucture Limited. Economic factors, such as GDP growth, employment rates, and disposable income, can influence the purchasing power and demand for real estate properties. During economic downturns, the Company may experience a slowdown in sales and face challenges in project nancing. To mitigate these risks, Max Heights Infrastucture Limited must maintain a robust financial position, diversify its revenue streams, and explore strategic partnerships to withstand economic fluctuations.

Additionally, competitive pressures in the real estate industry pose a constant challenge for Max Heights Infrastucture Limited. The sector is characterized by intense competition, with numerous players vying for market share. The Company must differentiate itself by offering unique value propositions, maintaining a strong brand image, and delivering superior customer experiences. Continuous market research and analysis are essential to identify emerging trends, consumer preferences, and competitor strategies, allowing Max Heights Infrastucture Limited to adapt and stay ahead in the competitive landscape.

To address these challenges and succeed in the complex operating environment, Max Heights Infrastucture Limited employs a multi-faceted approach. The Company emphasizes the importance of efficient internal processes and has implemented robust systems and procedures to streamline its operations. This includes leveraging technology solutions for project management, customer relationship management, and financial controls. By optimizing internal processes, Max Heights Infrastucture Limited aims to enhance productivity, reduce costs, and improve overall organizational efficiency.

The Financial Statements have been prepared in compliance with the requirements of the Companies Act, 2013, Regulation 33 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (SEBI Listing Regulations) and the Indian Accounting Standards (Ind-AS) in India. Our Management accepts responsibility for the integrity and objectivity of these Financial Statements, as well as for the various estimates and judgments used therein. The estimates and judgments relating to the Financial Statements have been made on a prudent and reasonable basis, so that these Financial Statements reflect in a true and fair manner the form and substance of transactions and reasonably present our state of a airs, profits and cash flows for the Financial Year 2024-25.

I. ECONOMIC OVERVIEW

Global Economy

Despite the monetary headwinds and continued economic uncertainty around the world, there is a widespread view that in ation is moderating and interest rates may have peaked, and greater clarity on monetary policy since the turn of the year has brought a measure of relief. However, industry leaders across all three regions acknowledge that the geopolitical backdrop to investment is fraught with uncertainty (particularly in this year of elections) and may yet override the more stable monetary situation.

Indian Economy

Indian economy remained resilient with robust 6.5% growth rate of GDP in FY 2024-25 Indias growth is expected to remain rangebound, 6 - 6.5% in next couple of years. The robust growth will be driven by public and private sector investment and improvement in consumer demand.

The Indian real estate market has changed significantly in the last few years, becoming one of the most vibrant economic sectors. The industry currently accounts for around 7% of Indias GDP, and by 2030, it is expected to reach a market size of $ 1 trillion.

II. INDUSTRY GROWTH AND ANALYSIS

? Real estate sector in India is expected to reach US$ 1 trillion in market size by 2030.

? The Indian real estate market is projected to experience a substantial increase, potentially reaching a value of US$ 5-7 trillion by the year 2047, with the possibility of surpassing US$ 10 trillion.

? The volume of sales also exhibited a strong growth trajectory, with a 36% rise to 379,095 units sold.

? In 2023, demand for residential properties surged in the top 8 Indian cities, driven by mid-income, premium, and luxury segments despite challenges like high mortgage rates and property prices.

? Indias physical retail landscape is poised for a substantial boost, with nearly 41 million sq. ft of retail developments set to be operational between 2024 and 2028 across the top 7 cities, encompassing projects in various stages from construction to planning.

? For the first time, gross leasing in Indias top 7 markets surpassed the 60 million sq ft mark, reaching an impressive total of 62.98 million sq ft, marking a substantial 26.4% increase compared to the previous year. Notably, the December quarter emerged as the busiest quarter on record, with gross leasing hitting 20.94 million sq ft.

? Technology companies held the highest share in leasing activity at 22% during first quarter of 2024. Engineering and manufacturing (E&M) companies accounted for 13%, and banking, financial services and insurance account for 12%. Flexible space operators increase by 48%, showcasing their notable contributions.

(Source: https://www.ibef.org/industry/real-estate-india)

India Real Estate Market Trend

Increasing Demand for A ordable Housing

? Growth of Tier-II and Tier-III cities is expected to drive significant rural and semi-rural migration

? EY forecasts a 25% CAGR in a ordable housing between 2022 and 2027.

? 10 states, including Maharashtra, Karnataka, Andhra Pradesh, Tamil Nadu, and Gujarat, together account for over 75% of Indias a ordable housing demand

? Over the past decade, Indias urban population has grown by 14% (2013 2023), compared to the global average of 8.4%. As one of the worlds fastest-growing economies expanding at approximately 7% annually the country is poised for even faster urbanization in the years ahead. Today, roughly 36% of Indias 1.4 billion people reside in urban centers; by 2030, this gure is expected to reach 40%, according to the Economic Survey 2023 24. Much of this growth will occur in Tier II and Tier III cities as migrants from rural and semi-rural regions seek better economic opportunities, creating a pressing demand for a ordable, well-located housing.

? Indias a ordable housing nance market has expanded rapidly. The aggregate outstanding loan size in this segment stands at INR10.6 trillion nearly 34% of the total housing nance market. This scale underscores growing investor con dence and signals ample room for further growth, particularly as policymakers continue to incentivize low-cost housing through interest rate subsidies and dedicated credit lines.

(Source: Insight into the present and future of Indian a ordable housing EY - India)

O ce Market Overview 2024-25

The officemarket has sustained its record-breaking momentum, with annual transaction volumes surpassing 71.9 million sq ft the highest on record. A shift in occupier demand is noteworthy, with Global Capability Centres (GCCs) and India-facing businesses taking centre stage. The robust growth of ex spaces, which saw a 52% YoY rise, highlights the demand for versatile workplace solutions. Despite challenges on the supply side, rental growth and declining vacancy levels underscore the strong fundamentals of the Indian officemarket.

Residential Market Summary

The residential market also scaled new heights, achieving a 12-year high in annual sales with 350,612 units sold in 2024 a 7% year-on-year (YoY) increase. Homes priced above 10 million accounting for nearly half of the total sales. The governments focus on housing for all, infrastructure development, and pro-business policies provides a strong foundation for growth across asset classes.

III. DYNAMICS OF REAL ESTATE IN INDIA

In India, the real estate sector is the second-highest employment generator, after the agriculture sector. The real estate sector in India is expected to reach US$ 1 trillion in market size by 2030, up from US$ 200 billion in 2021. By 2025, it will contribute 13% to the countrys GDP. The emergence of nuclear families, rapid urbanisation and rising household income are likely to remain the key drivers for growth in all spheres of real estate, including residential, commercial, and retail. Rapid urbanisation in the country is pushing the growth of real estate.

The Indian real estate market is projected to experience a substantial increase, potentially reaching a value of US$ 5-7 trillion by the year 2047, with the possibility of surpassing US$ 10 trillion. In FY23, Indias residential property market witnessed with the value of home sales reaching an all-time high of Rs. 3.47 lakh crore (US$ 42 billion), marking a robust 48% YoY increase. The volume of sales also exhibited a

strong growth trajectory, with a 36% rise to 379,095 units sold.

In 2023, luxury home sales in India priced at Rs. 4 crore (US$ 481,927) and above

surged by 75%, doubling their share in total housing sales.

Indian real estate attracted Rs. 35,300 crore (US$ 4.15 billion) in Private Equity (PE) investments in 2024, marking a 32% annual increase, according to Knight Frank Indias Trends in Private Equity Investment in India 2024 report.

The Indian real estate sector witnessed strong Private Equity investments in Indias

real estate sector, stood at US$ 3 billion in the first half of 2024.

Private market investor, Blackstone, which has significantly invested in the Indian real estate sector worth Rs. 3.8 lakh crore (US$ 50 billion) is seeking to invest an additional Rs. 1.7 lakh crore (US$ 22 billion) by 2030. Global Real Estate Market Experts JLLs 2024 Real Estate Transparency Index shows that India has moved into the transparent zone for the first time, ranking 31st out of 89 countries.

(Source: https://www.ibef.org/industry/indian-real-estate-industry-analysis-

presentation )

IV. INDUSTRY STRUCTURE AND DEVELOPMENT

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 officespace 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.

In India, the real estate sector is the second-highest employment generator, after the agriculture sector. It was also expected that this sector will incur more nonresident Indian (NRI) investment, both in the short term and the long term. Bengaluru was expected to be the most favoured property investment destination for NRIs, followed by Ahmedabad, Pune, Chennai, Goa, Delhi and Dehradun.

GOVERNMENT INITIATIVES

Government of India along with the governments of respective States has taken several initiatives to encourage development in the sector. The Smart City Project, with a plan to build 100 smart cities, is a prime opportunity for real estate companies. Below are some of the other major Government initiatives:

? In the Union Budget 2024-25, under PM Awas Yojana Urban 2.0, housing needs for one crore urban poor and middle-class families will be met with a Rs. 10 lakh crore (US$ 120.16 billion) investment, including Rs. 2.2 lakh crore (US$ 26.44 billion) in central assistance over the next 5 years.

? In the 2024-25 Interim Budget, Union Minister of Finance, Ms. Nirmala Sitharaman announced a boost for Indias a ordable housing sector by adding two crores more houses to the agship scheme PMAY-U.

? In the Union Budget 2023-24, the Finance Ministry announced a commitment of Rs. 79,000 crore (US$ 9.64 billion) for PM Awas Yojana, which represents a 66% increase compared to last year.

? Under the Union Budget 2021-22, tax deduction up to Rs. 1.5 lakh (US$ 2,069.89) on interest on housing loan, and tax holiday for a ordable housing projects have been extended until the end of scal 2021-22.

? The Atmanirbhar Bharat 3.0 package announced by Finance Minister Ms. Nirmala Sitharaman in November 2020 included income tax relief measures for real estate developers and homebuyers for primary purchase/sale of residential units of value up to Rs. 2 crore (US$ 271,450.60) from November 12, 2020, to June 30, 2021).

? Government created an A ordable Housing Fund (AHF) in the National Housing Bank (NHB) with an initial corpus of Rs. 10,000 crore (US$ 1.43 billion) using priority sector lending short fall of banks/ financial institutions for micro financing of the HFCs.

? As of December 31, 2022, India had formally approved 425 SEZs, and as of January 2023, 270 SEZs are operational. Most special economic zones (SEZs) are in the IT/ BPM sector.

(Source: https://www.ibef.org/industry/real-estate-india )

ROAD AHEAD

The Securities and Exchange Board of India (SEBI) has given its approval for the Real Estate Investment Trust (REIT) platform, which will allow all kind of investors to invest in the Indian real estate market. It would create an opportunity worth Rs. 1.25 trillion (US$ 19.65 billion) in the Indian market in the coming years. Responding to an increasingly well-informed consumer base and bearing in mind the aspect of globalization, Indian real estate developers have shifted gears and accepted fresh challenges. The most marked change has been the shift from family-owned businesses to that of professionally managed ones. Real estate developers, in meeting the growing need for managing multiple projects across cities, are also investing in centralized processes to source material and organize manpower and hiring qualified professionals in areas like project management, architecture and engineering.

The residential sector was expected to grow significantly, with the central government aiming to build 20 million a ordable houses in urban areas across the country by 2022, under the ambitious Pradhan Mantri Awas Yojana (PMAY) scheme of the Union Ministry of Housing and Urban A airs. Expected growth in the number of housing units in urban areas will increase the demand for commercial and retail officespace.

The current shortage of housing in urban areas was estimated to be ~10 million units. An additional 25 million units of a ordable housing are required by 2030 to meet the growth in the countrys urban population.

References: Media Reports, Press releases, Knight Frank India, VCEdge, JLL

Research, CREDAI-JL, Union Budget 2021-22, Union Budget 2023-24, 24-25, 25-

26

V. INDUSTRY STRUCTURE

Structure of the Real Estate Industry:

The real estate industry in India comprises various stakeholders involved in the development, sale, purchase, and management of properties. These stakeholders include developers, builders, construction companies, real estate agents, brokers, financial institutions, investors, and buyers.

Developers and Builders:

Developers are the key players in the real estate industry. They acquire land, obtain necessary permissions and approvals, and undertake construction projects to develop residential, commercial, and mixed-use properties. Builders are responsible for executing the construction work as per the design and specifications provided by the developers.

Developers and builders can be classified into different categories based on their scale of operations. Large-scale developers undertake mega projects and are often publicly listed companies. They have the resources, expertise, and track record to execute projects of significant magnitude. On the other hand, small and medium-sized developers focus on niche segments or specific geographic areas. They may specialize in a ordable housing, luxury projects, or commercial properties.

Real Estate Agents and Brokers: Real estate agents and brokers act as intermediaries between buyers and sellers. They help buyers in nding suitable properties and negotiate transactions on their behalf. These professionals earn a commission based on the value of the property transaction.

Real estate agents and brokers play a crucial role in connecting buyers and sellers in the real estate market. They provide market insights, facilitate property visits, assist in price negotiations, and help in the documentation process. Some agents specialize in specific segments, such as residential, commercial, or industrial properties, while others offer comprehensive services across multiple property types.

Regulatory Authorities: The real estate sector in India is regulated by various authorities at the central and state levels. The key regulatory authority is the Real Estate Regulatory Authority (RERA), established in 2016. RERA aims to protect the interests of buyers, promote transparency, and regulate the real estate industry through registration of projects, disclosure of information, and resolution of disputes.

RERA mandates developers to register their projects with the regulatory authority, provide detailed project information, adhere to timelines, and maintain a separate escrow account for each project to ensure that the funds collected from buyers are utilized for that specific project. The authority also provides a platform for grievance redressal and dispute resolution between buyers and developers.

Apart from RERA, other regulatory bodies such as the Reserve Bank of India (RBI), Securities and Exchange Board of India (SEBI), and Competition Commission of India (CCI) also have roles in overseeing specific aspects of the real estate industry, such as nancing, real estate investment trusts (REITs), and competition regulations.

VI. OPPORTUNITES AND THREATS

Positive Indicators and Opportunities:

The real estate sector in India is witnessing a wave of optimism fueled by robust market growth and government initiatives. Reports indicate a steady upward trend, with stable interest rates and escalating property prices driving demand, particularly in the residential segment. The governments Housing for All initiative exempli es its commitment to accessibility and stability, aiming to address the housing de cit while stimulating economic activity through construction projects. Moreover, sustainability measures like the Green Rating for Integrated Habitat Assessment (GRIHA) signify a shift towards eco-friendly practices, aligning the industry with global trends and consumer preferences.

Challenges and Considerations:

While we are favorably positioned to capitalize on the growth prospects within the Indian real estate sector, there are potential challenges that the industry might need to navigate in the near to medium term.

? Increase in housing prices greater than wage growth

? Economic slowdown for an extended period

? Disruptions in job creation because of arti cial intelligence making certain roles redundant

? Job creation not keeping pace with the aspirations of the skilled workforce

? Geopolitical risks causing shocks in commodity prices and supply-side disruption

? High interest rates, affecting purchasing power of the middle class

The management actively monitors potential trends in the external environment and

remains agile in implementing strategies to mitigate any emerging risks.

Market Size and Growth Projections:

Indias residential real estate market has rebounded sharply in the post-pandemic period. From FY 2019 to 2025, total residential sales in major cities have surged by nearly 77% per cent, underscoring buyer con dence from FY 2019 to FY 2025. Primary transactions, comprising under- construction homes sold by developers, accounted for 57% per cent of the total transactions in FY 2025. Secondary transactions, involving the resale of properties, made up the remaining 43% per cent, showing a notable shift from the 38% per cent share recorded in FY 2019.

Indias residential market maintained its upward momentum in FY2024-25, though trends varied by price segment. A ordable housing saw mixed results sales fell 9% YOY in Q1 2025, but unsold inventory reduced by 19%, indicating gradual absorption. Growth remained restricted due to limited new launches and a developer shift toward premium housing. Despite a ordability challenges, steady end-user demand helped clear inventory.

Luxury housing (above INR 1 crore) surged from 2019 to 2025, driven by higher

incomes, lifestyle changes, and targeted developer efforts.

The industrial and warehousing sector maintained its growth, driven by 3PL players, e-commerce, Make in India, and rising logistics needs for shifting consumer and supply chain dynamics.

O ce leasing rebounded sharply in FY2025, hitting record levels. Demand surged due to GCCs, IT/ITES, e-commerce, and exible workspaces, especially in Tier 1 cities and emerging Tier 2 hubs. Indias officemarket shows strong absorption and positive rental growth.

(Source: India Real Estate Report FY 2025-26: Trends, Insights & Forecasts by

Grant Thornton)

SWOT ANALYSIS

Strengths

Discover the inherent strengths that position Real Estate Agency Services as pillars

of success in the dynamic real estate market.

? Expertise and Industry Knowledge: Real estate agents possess specialized knowledge, enabling them to provide clients with valuable insights and navigate complex transactions.

? Established Network and Relationships: Successful real estate agencies have a well-established network of industry connections, including mortgage brokers, inspectors, and legal professionals.

? E ective Marketing Strategies: The ability to craft and execute effective marketing strategies helps real estate agencies showcase properties and attract potential buyers or tenants.

? Local Market Insights: Real estate agents possess valuable local market insights, enabling them to advise clients on property values, neighborhood trends, and investment opportunities

Weaknesses Identifying weaknesses is essential for real estate agencies to address challenges and continually improve their services.

? Dependency on Market Conditions: Real estate agencies are highly dependent on market conditions, and economic downturns can impact property demand and sales.

? Intensive Competition: The real estate sector is highly competitive, and agencies may struggle to differentiate themselves from numerous competitors.

? Vulnerability to Economic Trends: Economic uncertainties and interest rate fluctuations can impact homebuyers purchasing power and overall market stability.

Opportunities

Identifying and capitalizing on opportunities positions real estate agencies for sustained success in a dynamic market.

? Digital Transformation: Embracing technological advancements, such as virtual tours and online platforms, enhances property marketing and client engagement.

? Global Expansion Opportunities: Expanding services to international markets or collaborating with global real estate networks opens avenues for increased business.

? Strategic Partnerships: Collaborating with complementary businesses, such as home staging companies or interior designers, enhances service offerings.

Threats

Anticipating and mitigating threats is vital for real estate agencies to sustain success

and adapt to changing market conditions.

? Legal and Regulatory Changes: Evolving housing regulations and legal requirements may pose challenges and require adjustments to business practices.

? Economic Downturns and Recessions: Economic downturns can impact housing demand, leading to reduced property transactions and commission income.

? Technological Disruptions: Rapid technological advancements may render certain traditional real estate practices obsolete.

? Changing Consumer Preferences: Shifts in consumer preferences, such as a preference for online transactions, may require real estate agencies to adapt their service delivery.

VI. RESIDENTIAL REAL ESTATE

Residential Real Estate in India Market Analysis

The India Residential Real Estate Market size is estimated at USD 399.11 billion in 2025, and is expected to reach USD 639.28 billion by 2030, at a CAGR of 9.88% during the forecast period (2025-2030). Demand is rising on the back of technology-sector hiring, government housing incentives, and lifestyle shifts toward larger dwellings in peripheral micro-markets. Faster approvals under PMAY-U and SWAMIH Fund deployment have unlocked stalled supply, while the June 2025 repo-rate reduction has lowered effective home-loan rates below 8%, improving a ordability. Western India continues to lead transaction volumes, but East India is expanding fastest due to new infrastructure links and relatively low land costs. Developers are capturing suburban demand through township launches that pair apartments with plotted villas, indicating a decisive return to scale in the India residential real estate market.

(Source:https://www.mordorintelligence.com/industry-reports/residential-real-

estate-market-in-india )

Residential Real Estate in India Market Trends

This section covers the major market trends shaping the India Residential Real

Estate Market according to our research experts:

Residential real estate demand is anticipated to sustain its momentum, driven by the mid-income and premium segments, while a ordable housing may face ongoing a ordability pressures. Developers are expected to strategically pivot towards well-connected suburban hubs and Tier-2 cities, leveraging infrastructure-led growth corridors. Cities like Jaipur, Bhubaneswar, Nagpur, and Vishakhapatnam are becoming growth hotspots due to increased government focus on regional development and rising employment opportunities outside of traditional metros. Developers are shifting focus from high-end to volume-based a ordable projects that offer greater sales velocity and cater to the aspirations of Indias growing middle class. At the same time, the concept of "live-work play" communities self-sustained townships offering integrated amenities is gaining momentum among urban homebuyers.

Commercial Real Estate in India Market Trends

Commercial real estate will likely remain robust, fuelled by the continued expansion of global capability centres (GCCS), technology sector leasing, and growing tenant demand for exible, ESG-compliant Grade A officespaces. Digitalisation, tenant experience upgrades, and smart asset management will become increasingly critical for maintaining occupancy and rental growth. O ce spaces will not disappear but will evolve to become more exible, collaborative, and technology-enabled. The demand for Grade A o ces, tech parks, and managed co-working spaces is expected to remain strong, especially in IT hubs like Bengaluru, Hyderabad, Pune, and Chennai. Further, India is fast becoming a global hub for data centres, thanks to the exponential rise in digital consumption, which is attracting heavy investment from technology rms and global investors.

(Source: India Real Estate Report FY 2025-26: Trends, Insights & Forecasts by

Grant Thornton)

Central and State Governments Pushing Toward A ordable Housing Driving

the Market

? India A ordable Housing Market was valued at USD 3.17 billion in 2024 and is expected to reach USD 9.46 billion by 2030 with a CAGR of 19.80% during the forecast period. Government initiatives have been pivotal in stimulating the India A ordable Housing Market. The Pradhan Mantri Awas

Yojana (PMAY), launched in 2015, stands out as a agship program aimed at providing a ordable housing for all by 2022. PMAY offers substantial subsidies and incentives to both developers and homebuyers, particularly in the economically weaker sections (EWS), low-income groups (LIG), and middle-income groups (MIG). These subsidies include interest rate subsidies on home loans, direct financial assistance for construction, and tax benefits for developers undertaking a ordable housing projects.

? Government initiatives and policy support play a pivotal role in driving the growth of Indias a ordable housing market. Over the past decade, the Indian government has introduced several schemes and policies aimed at promoting a ordable housing and improving housing accessibility for low and middle-income groups.

? One of the key initiatives is the Pradhan Mantri Awas Yojana (PMAY), launched in 2015, which aims to provide a ordable housing for all by 2022. Under this scheme, the government provides financial assistance in the form of interest subsidies on home loans, construction grants, and incentives for developers to build a ordable housing units. This has spurred significant investment and activity in the a ordable housing segment, attracting both developers and homebuyers.

? Regulatory reforms such as the Real Estate (Regulation and Development) Act, 2016 (RERA) have brought transparency and accountability to the real estate sector. RERA mandates that developers register their projects and adhere to strict guidelines regarding project timelines and quality standards. This has increased consumer con dence and boosted demand for a ordable housing units.

? Tax incentives and subsidies offered by the government further incentivize developers to invest in a ordable housing projects. For instance, Goods and Services Tax (GST) rates for a ordable housing projects were reduced,

making it more nancially viable for developers to undertake such projects.

(Source: https://www.techsciresearch.com/report/india-a ordable-housing-

market/4800.html)

VII. OUTLOOK

Indias real estate market in 2024-25 was characterized by strong sales growth, surge in new project launches, and robust price growth across both residential and officesegments, supported by strong economic fundamentals, shifting consumer preferences, and the agility demonstrated by developers in responding to evolving market demands.

In the residential sector, the management aims to cater to the increasing demand for housing and create vibrant communities. They envision the development of well-planned townships that offer a range of housing options to suit different needs and preferences. This includes the construction of villas, penthouses, studio apartments, and other types of residential units. By providing diverse housing choices, the management aims to address the requirements of different segments of the population.

Additionally, the management recognizes the importance of commercial development in driving economic growth. They plan to focus on constructing commercial complexes that offer modern officespaces, retail outlets, and other amenities. These complexes will provide a conducive environment for businesses to thrive and contribute to the overall development of the region.

By undertaking these land development and construction projects, the management aims to create quality infrastructure and contribute to the growth of the real estate sector. They anticipate that these projects will not only meet the growing demand for residential and commercial spaces but also stimulate economic activity

and generate employment opportunities.

Overall, the management is optimistic about the prospects of their projects and looks forward to making a positive impact on the real estate landscape by delivering high-quality developments that meet the needs and aspirations of individuals and businesses alike. etc.

VIII. RISKS & CONCERNS

As an infrastructure company, there are several risks and concerns that the company needs to address in order to ensure its smooth operations and sustainable growth. These risks include credit risk, market risk (including liquidity and interest rate risk), operational risk, legal risk, competition risk and risks associated with investment management and the operating environment.

In addition to these general risks, the company is exposed to specific risks related to its investments and the overall operating environment. It closely monitors government policies and measures that may impact its business operations, and takes necessary actions to mitigate any associated risks.

Overall, the company recognizes the importance of understanding, measuring, and monitoring the various risks it faces. It has established policies and procedures to mitigate these risks as far as reasonably and practically possible, ensuring the companys resilience and adherence to best risk management practices.

IX. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

Maxheights is a system-driven company. Our effective internal control system plays a crucial role in our efficient daily operations. The Company follows a systematic method of financial reporting of various transactions, efficiency of operations, structured audit system is an on-going process. It forms a basis for reviewing the

adequacy of internal control systems.

The Company maintains a well-documented internal control system aligned with its scale and complexity. The Internal Auditor reviews operations and reports directly to the Audit Committee. No material weaknesses were observed during the year. Compliance with statutory and regulatory requirements was regularly monitored.

X. DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO

OPERATIONAL PERFORMANCE

Operations & Financial Review (Standalone)

(Amount in lakhs)

Particulars	For the Financial Year Ended
	31.03.2025	31.03.2024
Revenue
Revenue from Operations (net)	457.96	2,220.53
Other income	3.97	69.23
Total Revenue	461.93	2,289.76
Expenditure
Purchase of stock-in-trade	816.82	328.13
Changes in inventories of finished goods, work-in- progress and stock-in-trade	427.76	1,782.08
Employee benefits expense	33.19	37.92
Finance costs	21.11	38.46
Depreciation and amortisation expense	20.00	23.33
Other Expenses	38.24	37.31
Total Expenses	501.60	2,247.22
Pro t / (Loss) before exceptional and extraordinary items and Tax	(39.67)	42.54

 

Particulars	For the Financial Year Ended
	31.03.2025	31.03.2024
Exceptional items	-	-
Pro t / (Loss) before extraordinary items and tax	(39.67)	42.54
Extraordinary items	-	-
Pro t / (Loss) before Tax	(39.67)	42.54
Tax expense
Current tax	-	11.32
Earlier years tax	-	-
Deferred tax	0.31	0.41
Total Tax Expense	0.31	11.73
Pro t / (Loss) from continuing operations	(39.98)	30.81
Pro t / (Loss) for the year	(39.98)	30.81
Earnings per equity share
Basic	0.00	0.20
Diluted	0.00	0.20

The silent features of the financial performance are:

? The total revenue has decreased from Rs. 2,289.76 Lakhs to. Rs. 461.93 Lakhs

? The expenses of the company has also subsequently decreased from 2,247.22 Lakhs to. Rs. 501.60 Lakhs

? The company has su ered a loss of Rs. 39.67 Lakhs during the year 2024-25.

? Segment-wise or product-wise performance-as detailed in Boards Report.

XI. MATERIAL DEVELOPMENTS IN HUMAN RESOURCES OR INDUSTRIAL

RELATIONS FRONT INCLUDING NUMBER OF PEOPLE EMPLOYED

Max recognizes that human resources are the foundation of its business success. The company places a strong emphasis on attracting and retaining top talent, as it understands that skilled and motivated employees are crucial for achieving its goals.

The Company has undertaken employees development initiatives, which have very positive impact on the morale and team spirit of the employees. The company has continued to give special attention to human resources and overall development.

XII. DETAILS OF SIGNIFICANT CHANGES IN KEY FINANCIAL RATIOS:

Particulars	FY 2024-25	FY 2023-24	% change
Debtors Turnover	143.56	677.47	(78.81%)
Inventory Turnover	0.19	0.76	-(75%)
Interest Coverage	0.07	2.71	(97.42%)
Ratio
Current Ratio	91.84	21.59	325.38%
Debt Equity Ratio	0.21	0.04	425%
Operating Pro t
Margin
Net Pro t Margin	-	1.94	-(100%)
Return on Net Worth	-	2.45	-(100%)

The Return on Net Worth (RONW) for Maxheights, an infrastructure business, experienced a significant change in the financial years 2023-24 and 2024-25. In 2023-24, the RONW was 2.45%, while in 2024-25, it goes down to NIL. This represents a change of 100% in RONW.

The decrease in RONW can be analyzed by considering various factors. One possible reason for the decline is loss in incurred by Maxheights during the financial year. This could be due to factors such as market forces or operational challenges faced by the company.

It is crucial for Maxheights to thoroughly analyze the reasons behind the decrease in RONW and take appropriate actions to address any underlying issues. This may involve implementing cost control measures, improving operational efficiency, exploring new business opportunities, or reevaluating financial strategies.

The change in RONW highlights the need for Maxheights to focus on enhancing pro tability and optimizing the utilization of its net worth. By addressing the factors that led to the decrease in RONW, the company can strive to improve its financial performance and strengthen its position in the infrastructure business.

Cautionary Statement

This Management Discussion and Analysis contains forward-looking statements regarding the Companys objectives, projections, estimates, and expectations. These statements are subject to various risks and uncertainties, and actual results may differ significantly or materially from those expressed or implied in such statements.

The Company cautions that there are important factors and developments that could affect its operations and financial performance. These factors include, but are not limited to, the potential downward trend in the real estate sector, significant changes in the political and economic environment in India or key financial markets abroad, changes in tax laws, potential litigation, labor relations issues, fluctuations in exchange rates, and fluctuations in

interest rates and other costs.

The Company advises readers to carefully consider these factors and to not unduly rely on forward-looking statements. These statements are based on current expectations, assumptions, and projections, and the Company disclaims any obligation to update or revise any forward-looking statements based on new information, future events, or other factors.

Investors and stakeholders should be aware that actual results may differ from the forward-looking statements and should exercise caution and judgment when making investment decisions based on such statements.

By Order of Board of Directors
For Max Heights Infrastucture Limited
Sd/-	Sd/-
Naveen Narang	Mansi Narang
Managing Director and CFO	Director
DIN: 00095708	DIN: 07089546
Max Heights Infrastucture Limited
	Date: 12 August, 2025
Regd. O .: SD-65, Pitampura, New Delhi-110034	Place: Delhi
CIN:L67120DL1981PLC179487
E-Mail ID: maxinfra1981@gmail.com, cs@maxheights.com