Yogi Infra Projects Ltd Management Discussions

The key issues of the Management Discussion and Analysis are given below.

Industry Structure and Developments

The real estate sector continues to be the secondlargest employment generator in India after agriculture and plays a pivotal role in economic development. The sector is projected to reach US$ 1 trillion by 2030, contributing about 13% to Indias GDP by 2025. Looking further ahead, Indias real estate market is estimated to expand to US$ 5.8 trillion by 2047, accounting for 15.5% of GDP, compared to 7.3% at present.

Rapid urbanisation remains a key driver, with the urban population expected to touch 542.7 million by 2025 and 675.5 million by 2035. Alongside, luxury housing has shown strong momentum, with sales of homes priced at ^4 crore and above rising 75% in 2023, doubling their share in overall housing sales.

The construction industry is the thirdlargest sector in terms of FDI inflows, with cumulative FDI (including construction development and activities) of US$ 60.53 billion from April 2000 to March 2024. The Governments "Housing for All" initiative is projected to attract US$ 1.3 trillion investment in the housing sector by 2025.

Indias position on the Global Real Estate Transparency Index improved by three places, moving from rank 39 to 36 between 2014 and 2022, supported by regulatory reforms, better disclosures, and sustainability initiatives. The first quarter of 2024 witnessed record residential sales of 74,486 units across major cities, reflecting healthy demand driven by economic stability, established developers, and buyer confidence.

The retail real estate market is also gaining momentum, with nearly 41 million sq. ft. of new retail developments expected to become operational across the top seven cities between 2024 and 2028.

Policy Support:

Affordable Housing: As of June 5, 2023, about 119.7 lakh houses were sanctioned, and 74.75 lakh houses completed and delivered under PMAYUrban.

FDI: 100% FDI is permitted in townships and settlement projects, with minimum capitalization norms eased to encourage participation.

REITs: Real Estate Investment Trusts (REITs) continue to deepen the market. By 2023, over US$ 9.7 billion had been raised in India through REITs and InvITs. SEBI has reduced the minimum application value to ^10,00015,000, increasing retail participation.

Green Buildings: With 6,548 registered projects, India remains among the top countries in green building adoption.

Overall, the Indian real estate sector continues to benefit from strong fundamentals, regulatory support, and evolving consumer demand across residential, commercial, and retail segments.

Opportunities and Threats

Opportunities:

Economic growth and urbanisation driving demand for residential, commercial, and retail spaces.

Supportive government policies such as RERA, PMAY, tax incentives, and Housing for All.

Strong demand in affordable and midsegment housing supported by incentives.

Increasing FDI inflows into real estate and construction.

Technologyled transformation through PropTech, AI, blockchain, and VR.

Growing demand for coworking and coliving spaces in urban centres.

Rising focus on sustainability and green buildings.

Expansion into Tier2 and Tier3 cities supported by infrastructure development.

Threats:

Economic volatility, inflation, and fluctuating interest rates impacting affordability.

Regulatory uncertainties and complex approval processes.

Rising input costs (cement, steel, labour) affecting margins.

Inventory overhang in select luxury housing segments.

Cybersecurity risks with increasing digital adoption.

Climate change risks and stricter environmental compliance.

Geopolitical developments impacting foreign capital inflows.

Workfromhome trend reducing demand for traditional office spaces.

Segmentwise Performance

The Company has initiated operations during the year and has made measurable progress. It has entered into a Joint Venture for redevelopment of residential projects and is actively pursuing infrastructure contracts to strengthen its portfolio.

Outlook

The Company remains focused on building a pipeline of longterm strategic investments in new projects, with emphasis on sustainable growth, partnerships, and prudent financial management.

Risks and Concerns

The Company is exposed to sectorspecific and macroeconomic risks, including regulatory challenges, interest rate fluctuations, and input cost escalations. A structured risk management framework is in place to identify, assess, and mitigate such risks.

Internal Control Systems and Adequacy

The Company maintains an adequate internal control system, commensurate with its size and business activities, ensuring accuracy, reliability, and compliance in operations and financial reporting.

Current Years Performance

During FY 202425, the Company has been actively positioning itself to capitalise on growth opportunities in the infrastructure and redevelopment space. At present, revenues are primarily from nonoperational activities, while management continues to pursue strategic projects. Operating expenses are being tightly monitored, and a futuristic roadmap is under preparation to drive sustainable growth.

Material Developments In Human Resources / Industrial Relations Front Including Number Of People Employed

Employee wellbeing and building a strong workplace culture continued to be the focus areas for the financial year 2025. The Company adopted sound people practices that enabled it to attract and retain talent in an increasingly competitive market, and to foster a work culture that is always committed to providing the best opportunities to employees to realize their potential.

The Company continued to prioritize business continuity as volumes stabilized. The Human Resource team undertook focused initiatives to launch employeecentric welfare programs and actively engaged with business leaders to address workplace concerns and future talent needs. Learning and Development remains a key pillar of our people strategy, enabling employees to meet job challenges effectively while staying aligned with the Companys business objectives. Additionally, specialized training is provided to the resolutions team to reinforce compliance with the Companys Fair Practice Code and to safeguard customers against any form of harassment.

Cautionary Statement:

Statements in this Management Discussion and Analysis Report, Describing the Companys outlook, projections, estimates, expectations or predictions may be "Forward looking Statement" within the meaning of applicable securities laws or regulations. Actual results could differ materially from those expressed or implied.

By the order of the Board of Directors

For Yogi Infra Projects Limited

(formerly known as Yogi SungWon (India) Limited)

Sd/

Sanjay Agarwal

Mumbai Executive Chairman

September 5, 2025 DIN: 00462902