SUNTECKNSE22 October 2023

Sunteck Realty Limited has informed the Exchange about Investor Presentation

Sunteck Realty Limited

Sunteck Realty Ltd.

Date: 21st October, 2023

SRL/SE/48/23-24

National Stock Exchange of India Ltd Exchange Plaza, Plot no. C/1, G Block, Bandra-Kurla Complex, Bandra (East), Mumbai- 400 051 Symbol: SUNTECK

BSE Limited Phiroze Jeejeebhoy Tower, Dalal Street, Mumbai – 400 001 Scrip Code: 512179

Sub: Investor Presentation on Q2 and H1 FY24 results

Dear Sir / Madam,

Pursuant to Regulation 30(6) of SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015, please find enclosed the Investor Presentation with regard to Unaudited Financial Results for quarter and half year ended 30th September, 2023.

The Investor Presentation shall also be placed on the Company’s website.

Kindly take the same on record and disseminate to all the concerned.

Thanking You.

For Sunteck Realty Limited

Rachana Hingarajia Company Secretary Encl: a/a

5th Floor, Sunteck Centre, 37-40 Subhash Road, Vile Parle (East), Mumbai 400057. Tel: +91 22 4287 7800 Fax: +91 22 4287 7890

Website: www.sunteckindia.com CIN: L32100MH1981PLC025346 Email Id: cosec@sunteckindia.com

Sunteck Realty Limited

Investor Presentation

Q2 & H1 FY24

October 2023

NSE: SUNTECK | BSE: 512179 | Bloomberg: SRIN: IN | Reuters: SUNT.NS / SUNT.BO

Disclaimer

By attending the meeting where this presentation is made and any additional material is provided (“Presentation”) or by reading the Presentation, you (“Recipient”), agree to be bound by the following limitations. This Presentation has been prepared on the basis of the estimates of the management of Sunteck Realty Limited (the "Company“ or “Sunteck”), for the sole and exclusive purpose of providing information to the Recipient about the Company and its business, and is not and should be construed to be, directly or indirectly, an offer and / or an invitation and / or a recommendation and / or a solicitation of an offer to buy or sell any securities of the Company in any jurisdiction, nor shall part, or all, of this Presentation form the basis of, or be relied on in connection with, any contract or binding commitment or investment decision in relation to any securities of the Company. No offering of securities of the Company will be made except by means of an offering document containing detailed information about the Company. Securities may not be offered or sold in the United States unless they are registered or exempt from registration requirements under the U.S. Securities Act of 1933, as amended. There will be no offer of securities in the United States.

The distribution of this Presentation in certain jurisdictions may be restricted by law and persons into whose possession this Presentation comes should inform themselves about and observe any such restrictions. This Presentation is strictly confidential and may not be copied, published, distributed or transmitted to any person, in whole or in part, by any medium or in any form for any purpose without the prior written consent of the Company. The information in this Presentation is being provided by the Company solely for the purposes set out herein and is subject to change without notice. Further, this Presentation does not purport to be all-inclusive or necessarily include all the information that the Recipient desires in its evaluation of the Company. The Company relies on information obtained from sources believed to be reliable but does not guarantee its accuracy or completeness.

The audited consolidated financial statements for Fiscals 2016 onwards have been prepared in accordance with Ind AS and the same for prior years have been prepared in accordance with Indian GAAP. This Presentation contains statements which may pertain to future events and expectations and therefore may constitute forward-looking statements. Any statement in this Presentation that is not a statement of historical fact shall be deemed to be a forward-looking statement, and the Recipient agrees that such statements may entail known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, levels of activity, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. There can be no assurance that the results and events contemplated by the forward-looking statements contained herein will in fact occur. None of the future projections, expectations, estimates or prospects in this Presentation should be taken as forecasts or promises nor should they be taken as implying any indication, assurance or guarantee that the assumptions on which such future projections, expectations, estimates or prospects have been prepared are correct or exhaustive or, in the case of the assumptions, fully stated in the Presentation. The Company assumes no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.

The Recipient acknowledges that it shall be solely responsible for its own assessment of the market and the market position of the Company and that it shall conduct its own analysis and be solely responsible for forming its own view of the potential future performance of the business of the Company. The information contained in this Presentation is as of September 30, 2023 except as may be stated otherwise. Neither the delivery of this Presentation nor any further discussions of the Company with any of the Recipients shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since that date. The Company is not under any obligation to update the contents of this Presentation or inform Recipient of any changes in the affairs of the Company. The Company hereby expressly disclaims liability for any errors, inaccuracies, or omissions, and representations and warranties – express or implied, as provided within or in connection with this Presentation. Any clarifications, queries or future communication regarding the matters stated in this Presentation should be addressed to the Company directly. The information given in this Presentation in the form of pictures, artistic renders, areas, consideration, project details etc. should not be construed to be or constitute advertisements, solicitations, marketing, offer for sale, invitation to offer or invitation to acquire.The intention of this Presentation is not to sell or market the unit/s of any of the projects of the Company and is limited to only providing information to Recipient of the Presentation. Note The project elevations are for representation purposes only and are the sole property of the Company and may not be reproduced, copied, projected, edited in any way without written permission from the Company. All data and project related numbers are basis revenue recognition and operational performance excl. overheads for completed, ongoing and future projects respectively.

Key Strengths - Why Sunteck?

Key Strengths – Why Sunteck?

Strong Foothold in MMR market - largest & fastest growing market in India

2 Luxury portfolio in every segment & across micro- markets - from uber luxury to aspirational luxury

Strong operational cash flow visibility

Robust Financial Performance – Negligible Net D/E of 0.09x with strong operational CAGR of ~20%+

Well-timed Capital Allocation for acquisitions - Acquired more than ~50 mn sq ft & GDV of ~Rs 30,100 cr

Successful equity partnerships – Partnerships with Kotak Fund and Ajay Piramal Group and now, with IFC- World Bank Group

Snapshot

Strong Operational Foothold

One of the large developers in MMR – largest & fastest growing market

INR~30,000 cr+ of GDV from ~7 large projects

~50 MSF+ total development acquisitions

17 projects successfully delivered

Well-timed capital allocation with JDA & outright model

5 Rs 1 cr = Rs 10 mn

Strong Foothold in MMR Market – largest & fastest growing in India MMR-Focused Luxury Real Estate Developer (1/2)

By Location Volume

By Project Brands

Strong Foothold in MMR market – largest & fastest growing in India MMR is the most attractive real estate market in India (2/2)

Indian Real Estate Market is Growing

MMR commands 45%+ market share among 7 key macro markets

MMR RE Market expected to grow at 20% + in next decade

1,000

16%

15%

10%

11%

48%

200

450

1000

2031

200

2022

FY 2022

FY 2031

Delhi MMR

Bangalore

Pune

Others

India Mumbai

Increasing MMR population will mean high housing demand

2,73,43,000

30,89,000

0 0 5 7 9 9 1 1 Source: Industry Sources

5 5 9 1

5 6 9 1

0 6 9 1

5 7 9 1

0 8 9 1

5 8 9 1

0 9 9 1

5 9 9 1

0 0 0 2

5 0 0 2

0 1 0 2

5 1 0 2

0 2 0 2

5 2 0 2

0 3 0 2

5 3 0 2

Increasing Per Capita Income in MMR to aid future demand

Improving Mumbai Affordability Index

1,72,663 1,82,865

1,89,889

2,42,247

2,15,233

1,46,815

1,32,836

1,12,092

1,63,726

99,597

1.20

1.00

0.80

0.60

0.40

0.20

0.00

0.93

1.000.980.950.970.940.92

0.73

0.680.66

0.60

0.530.52

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

0 1 0 2

1 1 0 2

2 1 0 2

3 1 0 2

4 1 0 2

5 1 0 2

6 1 0 2

7 1 0 2

8 1 0 2

9 7 1 0 2

0 2 0 2

1 2 0 2

2 2 0 2

Luxury portfolio in every segment & across micro-markets From Uber Luxury to Aspirational Luxury

Premium positioning by creating different luxury brands across segments

Well-timed Capital Allocation for acquisitions Acquired more than ~50 mn sq ft & GDV of ~Rs 30,100 cr (1/2)

Well-timed Capital Allocation for acquisitions Acquired more than ~50 mn sq ft & GDV of ~Rs 30,100 cr (2/2)

Total GDV of ~Rs 30,100 cr across 7 large projects

Extended Western Suburbs

Area : ~3.6 MSF GDV : ~Rs. 4,000 Crs

Extended Western Suburbs

Area : ~1.6 MSF GDV : ~Rs. 2,100 Crs

Western Suburbs

Area : ~3.2 MSF GDV : ~Rs. 6,000 Crs

South Mumbai Area : ~0.25 MSF GDV : ~Rs. 2,500 Crs

*GDV includes unsold from launch and balance area, Area pertains to Balance Area

Vasai

Naigaon

Mira Road

Kalyan

ODC, Goregaon West

BKC

South Mumbai

Extended Western Suburbs

Area : ~7.0 MSF GDV : Rs. 5,000 Crs

Extended Eastern Suburbs Area : ~10.0 MSF GDV : Rs. 9,000 Crs

Bandra-Kurla Complex

Area : ~0.3 MSF GDV : Rs. 1,500 Crs

Rs 1 cr = Rs 10 mn

Strong Operational Cash Flow Visibility US$ 3.6 bn of GDV to be generated from the projects pipeline (1/2)

~Rs 16,000 cr of net surplus to be generated from 7 large projects

Unsold Inventory

Receivables from sales booked

Pending Costs

Net Surplus

13%

20%

77%

80%

83%

13%

11%

17%

59%

~Rs 30,100 cr

~Rs 2,250 cr

~Rs 16,350 cr

~Rs 16,000 cr

*Pending costs includes construction plus, JDA share

Rs 1 cr = Rs 10 mn

Strong Operational Cash Flow Visibility High revenue & profits visibility (2/2)

Follows Project Completion Method of Accounting wherein P&L recognition happens once the project is delivered

2 large projects will get delivered in the coming years leading to strong revenue recognition in P&L

Key Target

FY24 E

FY25 E

Projects to be delivered

Revenue to be recognised

Sunteck Maxx World, Naigaon

Sunteck City 4th Avenue, ODC, Goregaon W

Approx. Rs 750 - 850 cr

Approx. Rs 950 – 1,050 cr

*Subject to variances on account of various market factors

Rs 1 cr = Rs 10 mn

Robust Financial Performance

Amongst industry best financials

0.09x Net Debt to Equity Ratio

~22% 5-year Pre-sales CAGR

~20%+ Operating Cashflow Surplus Yield

AA- Long term credit rating from Fitch and CARE

INR 750 cr partnership with IFC – World Bank Group

Rs 1 cr = Rs 10 mn

Robust Financial Performance Net Debt to Equity @ 0.09x Sunteck’s Long-Term Credit Rating is AA- with Positive Outlook from FITCH & CARE

Particulars (~Rs cr)

Total Debt

Less: Cash, Bank, Liquid Investments

Less: Loans to JDA partners

Net Debt

Net Worth

Net Debt / Equity

Quasi-Equity and Others*

Adjusted Net Debt

Adj. Net Debt / Equity

As on 30th Sep, 23# 537

181

259

2,748

0.09x

348

0.13x

2.00x

1.80x

1.60x

1.40x

1.20x

1.00x

0.80x

0.60x

0.40x

0.20x

0.00x

> ~38.5 mn sq ft of projects acquired since

2018

> Of which, ~25.5 mn sq ft has been acquired since the onset of COVID-19 pandemic

1.04x

0.89x

0.74x

0.58x

0.75x

0.70x

0.51x

0.17x 0.17x

0.22x

0.17x 0.19x

0.10x 0.09x

1 1 Y F

2 1 Y F

3 1 Y F

4 1 Y F

5 1 Y F

6 1 Y F

7 1 Y F

8 1 Y F

9 1 Y F

0 2 Y F

1 2 Y F

2 2 Y F

3 2 Y F

4 2 Y F 1 H

*With effect from 9th March, 2020, Starlight Systems (I) LLP became a wholly owned subsidiary of SRL pursuant to the retirement of PDL Realty Private Limited (Retired Partner). The Retired Partner’s balance of current capital and fixed capital in the SSILLP, aggregating to ~910 mn have been converted into a loan. The said loan will be in the form of 1% secured Non-Convertible Debentures (NCDs), which will be redeemed at premium out of the future free cash flow from the specified projects only with a tenure of 20 years. #30th June, 23 is Provisional.

Rs 1 cr = Rs 10 mn

Robust Financial Performance Strong Operational Growth

Yearly Pre-sales (~Rs cr)

Yearly Collections (~Rs cr)

1,800

1,600

1,400

1,200

1,000

800

600

400

200

600

500

400

300

200

100

1,303

1,022

1,602

1,250

1,053

780

1,400

1,200

1,000

800

600

400

200

FY21

FY22

FY23

FY21

FY22

Quarterly Pre-sales (~Rs cr)

Quarterly Collections (~Rs cr)

387

333

395

337

396

349

352

371

537

503

272

200

176

101

285

288

331

304

270

253

207

214

141

450

400

350

300

250

200

150

100

172

FY23

404

321

330

FY21

FY22

FY23

FY24

FY21

FY22

FY23

FY24

Rs 1 cr = Rs 10 mn

Robust Financial Performance OCF Surplus Yield @~22%

450

400

350

300

250

200

150

100

Net OCF Surplus (~Rs cr)

Net OCF Surplus Yield

428

25.00%

22.00%

281

239

20.00%

15.00%

14.50%

12.21%

10.00%

5.00%

0.00%

FY21

FY22

FY23

FY21

FY22

FY23

As the company follows Project Completion Method of Accounting, OCF Surplus Yield (Net OCF Surplus / Adjusted Networth) is considered

Rs 1 cr = Rs 10 mn

Successful Equity Partnerships

Recent Partnership

• Sunteck & IFC – World Bank Group form Joint Investment Platform of up to ~Rs 750 cr

• Key highlights of the partnership

• MMR focused platform to build high-quality green urban large-scale housing projects targeting the mid-income demographic

• Up to 4 to 6 green housing projects - developing around 12,000 units

• Highlights SRL’s capability to develop high quality large-scale housing projects in the MMR

Past Partnerships

• With Ajay Piramal Group

• India REIT invested at Signature Island, BKC in 2006 and exited at >20% IRRs within ~3 years • 50:50 JV - Piramal Sunteck Realty Pvt. Ltd. (PSRPL) formed in 2007 to undertake multiple projects

• With Kotak Realty Fund

• Kotak Real Estate Fund (KREF) has invested in the listed entity in the past • KREF has done multiple PE SPV investment - Signia Isles, BKC in 2009 and Sunteck City, ODC in 2012, and exited at >20% IRRs

Rs 1 cr = Rs 10 mn

GDV - 7 Growth Engines to drive Pre-sales growth Achieved pre-sales growth of ~25% between FY21 and FY23

GDV – Gross Development Value excluding cash flows from completed & ongoing launched projects/phases

GDV – ~Rs 30,100 cr

Rs 1 bn = Rs 100 cr

Launched

Upcoming

Future

GDV – ~Rs 12,500 cr

Sunteck World, Naigaon GDV – Rs 5,000 cr

Sunteck City, ODC,Goregaon GDV – Rs 6,000 cr

Signature & Signia, BKC GDV – Rs 1,500 cr

GDV – ~Rs 18,600 cr

**Launched Towards The End of Q4 FY23 (End of March 2023)

**Sunteck Sky Park, Mira Rd GDV – Rs 2,100 cr

SBR, Vasai West GDV – Rs 4,000 cr

Sunteck World, Naigaon GDV – Rs 5,000 cr

Sunteck City, ODC,Goregaon GDV – Rs 6,000 cr

Signature & Signia, BKC GDV – Rs 1,500 cr

GDV – ~Rs 27,600 cr

Sunteck Kalyan GDV – Rs 9,000 cr

Sunteck Sky Park, Mira Rd GDV – Rs 2,100 cr

SBR, Vasai West GDV – Rs 4,000 cr

Sunteck World, Naigaon GDV – Rs 5,000 cr

Sunteck City, ODC,Goregaon GDV – Rs 6,000 cr

Signature & Signia, BKC GDV – Rs 1,500 cr

Nepean Sea Road GDV – Rs 2,500 cr

Sunteck Kalyan GDV – Rs 9,000 cr

Sunteck Sky Park, Mira Rd GDV – Rs 2,100 cr

SBR, Vasai West GDV – Rs 4,000 cr

Sunteck World, Naigaon GDV – Rs 5,000 cr

Sunteck City, ODC,Goregaon GDV – Rs 6,000 cr

Signature & Signia, BKC GDV – Rs 1,500 cr

FY2022 Pre-sales: ~Rs 1,303 cr

FY2023 Pre-sales: ~Rs 1,602 cr

FY2024E ~6 Growth Engines

FY2025E ~7 Growth Engines

ESG

> Sunteck Realty has received the prestigious 5-star rating from GRESB (Global Real Estate Sustainability Benchmark) in its second year of submission with a strong score of 95

> Sunteck Realty has been ranked 3rd rank in Asia-pacific

Diversified Office/ Residential Peer comparison

ESG Highlights

>90%

31% Women Representation in organization

Of our properties are green building pre- certified (EDGE IFC)

Sunteck Head office is LEED Existing building Gold certified

4.3 times

Increase in employee trainings hours

Zero Waste to landfill & Plastic neutrality at Signature Island, Signia Isles, BKC

32%

ISO

Recycled materials used for construction

9001:2015, 14001:2015 & 45001:2018 Certified

Green Building Initiatives

• Four projects, 4th Avenue, SunteckCity, ODC Goregaon W; Sunteck Maxxworld & Sunteck Oneworld, Naigaon and Sunteck Beach Residences (SBR), Vasai W has been awarded with EDGE (Excellence in Design for Greater Efficiencies) Pre-certifcation (IFC-International Finance Corporation -The World Bank Group).

• Three of our commercials buildings; BKC51, Icon and Crest has been

awarded EDGE –IFC pre certification

• Our HO Sunteck Centre has been awarded LEED GOLD certification by US Green building council

Q2 & H1 FY24 Highlights

Quarterly & Half Yearly Results Strong Operational Performance

• Pre-sales grew by 17.2% YoY to ~Rs 395 cr in Q2 FY24

• Collections remained strong at ~Rs 214 cr in Q2 FY24

• Pre-sales grew by 16.7% YoY to ~Rs 782 cr in H1 FY24

• Collections remained strong at ~Rs 502 cr in H1 FY24

• Net Debt stands at strong level at ~Rs 259 cr

• Net Debt / Equity has remained negligible as ever at ~0.09x

• The already-launched 5 growth engines are firing all cylinders – Sunteck Sky Park, Mira Road launch has been one

of the fastest monetization - just ~6 months!

• Gearing up to launch project at Kalyan in the coming months

• Uber-luxury project coming up at Nepean sea road

Rs 1 cr = Rs 10 mn

Operational Performance Break-up

Segment

Projects

Pre-sales (~Rs cr)

Collections (~Rs cr)

Pre-sales (~Rs cr)

Collections (~Rs cr)

Q2 FY24

H1 FY24

Uber Luxury

Signature, Signia

High Mid-income

Sunteck City, SBR, Sky Park

Low Mid-Income

Sunteck World

Others

Total

Sunteck

188

395

132

214

489

147

100

782

Rs 1 cr = Rs 10 mn

244

109

502

Strong Net OCF crosses Rs 1,000 cr in 3.5 years

Particulars (~Rs cr)

H1 FY24

Cumulative NOCF Surplus (~Rs cr)

Gross Customer Collections

Less: Project Expenses

Less: JDA Revenue Share

Gross Operating Cash Flow Surplus

Less: Other Expenses

Net Operating Cash Flow Surplus

Amount spent on BD/LO/JDA Cost

NOCF Surplus post capex

502

300

155

1038

948

1200

1000

800

600

400

200

520

281

FY21

FY22

FY23

H1 FY24

Rs 1 cr = Rs 10 mn

Strong Core EBITDA margin in P&L

• SRL follows Project Completion Method of Accounting – Direct (Attributable) Costs pertains to projects from

which revenue has been recognized in respective quarter

•

Indirect (Non-attributable) Costs pertains to expenses from which revenue recognition has not started, but booked in P&L as per accounting standards

Particulars (~Rs cr)

Q2 FY24

Q2 FY23

Q1 FY24

Revenue

Less: Direct Costs

Core EBITDA

FY 2023

362

199

163

- Core EBITDA Margin

43.2% 51.6% 42.9%

45.1%

Add: Other Income

Less: Indirect Costs

Less: Finance Costs

PBT

Less: Taxes

Reported PAT

Rs 1 cr = Rs 10 mn

(19)

(6)

(12)

(1)

(9)

(3)

(7)

101

1.4

60.00%

50.00%

40.00%

30.00%

20.00%

10.00%

0.00%

Core EBITDA Margin

51.62%

43.22%

42.91%

45.09%

Q2 FY24

Q2 FY23

Q1 FY24

FY23 27

Appendix

Experience Leadership 200+ years of combined experience across RE, banking & finance, law & compliance

Kamal Khetan Chairman & MD

~3 decades of experience in the Real Estate industry. Formulate corporate strategy, acquisition, execution & diversification plans.

Atul Poopal Executive Director

>3 decades of experience in the field of civil engineering, development regulations and project assessments.

Rachana Hingrajia Director

~2 decades of experience in corporate law compliances. Additionally, Company Secretary of Sunteck Realty.

V P Shetty Independent Director

Has held C&MD position in UCO, Canara and IDBI Bank. Over 4 decades of experience in Banking.

Mukesh Jain Independent Director

>4 decades of experience in Banking, Real Estate and Insolvency. Presently, practicing law. (Practicing legal consultant)

Chaitanya Dalal Independent Director

>3 decades of experience in audits including Statutory and CAG audits. Practicing CA. (Prominent in financial markets)

Sandhya Malhotra Independent Director

~2 decades of experience in corporate law compliances. Active involvement in human rights and CSR matters.

Case Study Sunteck projects have delivered disciplined return on invested capital (1/2)

•

Initial Investment - ~Rs 157 cr

• ~4 acres land parcel

•

Total GDV (Sold+Unsold Inventory) - ~Rs 5,300 cr

Implied Project IRRs - ~30% range

• Operating Margins - ~40%+

• ~80% sold out of launched inventory

Signature & Signia, BKC

•

Launch price - ~Rs 15,000/sq ft, current selling price is ~90,000/sq ft

•

Investment - ~Rs 450 cr

• ~23 acres land parcel

•

Total GDV (Sold+Unsold Inventory) - ~Rs 9,000 cr

Implied Project IRRs - ~22% range

• Operating Margins - ~30% - 35%+

• ~85% sold out of launched inventory

Sunteck City, ODC, Goregaon W

•

Launch price - ~Rs 12,500/sq ft, current selling price is ~Rs 30,000/sq ft

Rs 1 cr = Rs 10 mn

Case Study (2/2) Sunteck projects have delivered disciplined return on invested capital (2/2)

Sunteck World, Naigaon

•

Investment - ~Rs 50 cr

• ~150 acres land parcel

•

Total GDV (Sold+Unsold Inventory) - ~Rs 8,000 cr

• Operating Margins - ~30% range

• ~90% sold out of launched inventory

•

Launch price - ~Rs 5,000/sq ft, current selling price is ~Rs 10,500/sq ft

• Pre-leased commercial project Sunteck BKC 51 at BKC Junction

• Average rental - ~Rs 66 cr per year during the lease tenure

•

Sunteck share - ~Rs 36 cr per year

Investment – ~Rs 125 cr

• Average RoIC - ~30%

• Capital Value - ~Rs 525 cr

Sunteck BKC 51, BKC Jn. (Comm.)

•

Similar strategy to be adopted for Sunteck Icon at BKC Junction, which is nearing completion.

Rs 1 cr = Rs 10 mn

Thank you ir@sunteckindia.com

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