MANINFRANSEQ4 FY25May 23, 2025

Man Infraconstruction Limited

6,917words
80turns
11analyst exchanges
3executives
Management on call
Manan Shah
MANAGING DIRECTOR
Ashok Mehta
WHOLE-TIME DIRECTOR AND CHIEF FINANCIAL OFFICER
Yashesh Parekh
DGM – INVESTOR RELATIONS AND CORPORATE FINANCE
Key numbers — 40 extracted
50 basis point
gether, enhancing the sector's momentum. The Reserve Bank of India has reduced the repo rate by 50 basis points in last few months, bringing it down to 6%, leading banks to offer home loan interest rates at a
6%
ank of India has reduced the repo rate by 50 basis points in last few months, bringing it down to 6%, leading banks to offer home loan interest rates at about 8%. This has meaningfully improved affo
8%
last few months, bringing it down to 6%, leading banks to offer home loan interest rates at about 8%. This has meaningfully improved affordability for homebuyers and encouraged purchase decisions,
1.41 lakh
urchase decisions, particularly in the premium and luxury housing segment. Mumbai recorded over 1.41 lakh property registrations in the calendar year of FY 2024, the highest in the past 13 years accordin
11%
e highest in the past 13 years according to a report shared by Knight Frank. This represents an 11% growth over 2023 year, while stamp duty collections rose by 12% year-on-year, totalling over ₹12,
12%
Knight Frank. This represents an 11% growth over 2023 year, while stamp duty collections rose by 12% year-on-year, totalling over ₹12,000 crores. The property registrations continue to scale new hig
₹12,000 crore
11% growth over 2023 year, while stamp duty collections rose by 12% year-on-year, totalling over ₹12,000 crores. The property registrations continue to scale new highs even in the first 4 months of the calend
6.5%
Lastly, the macroeconomic outlook remains favourable with the GDP growth for FY'25 projected at 6.5% to 7% and CPI inflation expected to moderate to 4.8% by March 2025, creating a conducive environm
7%
, the macroeconomic outlook remains favourable with the GDP growth for FY'25 projected at 6.5% to 7% and CPI inflation expected to moderate to 4.8% by March 2025, creating a conducive environment fo
4.8%
e with the GDP growth for FY'25 projected at 6.5% to 7% and CPI inflation expected to moderate to 4.8% by March 2025, creating a conducive environment for long-term investments in real estate. Movin
₹2,251 crore
t, in terms of sales performance, for the full year, we have achieved a record breaking number of ₹2,251 crores, which is about 3x higher than FY'24 sales of ₹744 crores, marking the highest ever annual sales
3x
ce, for the full year, we have achieved a record breaking number of ₹2,251 crores, which is about 3x higher than FY'24 sales of ₹744 crores, marking the highest ever annual sales in MICL's history,
Advertisement
Guidance — 20 items
Manan Shah
opening
“The infrastructure projects such as Mumbai Trans Harbour Link, Coastal Road project and upcoming metro corridors have significantly improved regional connectivity and are unlocking a new growth micro-markets.”
Manan Shah
opening
“The Coastal Road project could certainly help our projects in South Mumbai.”
Manan Shah
opening
“Lastly, the macroeconomic outlook remains favourable with the GDP growth for FY'25 projected at 6.5% to 7% and CPI inflation expected to moderate to 4.8% by March 2025, creating a conducive environment for long-term investments in real estate.”
Manan Shah
opening
“Amid this supportive macro backdrop, FY'25 has been a year with new milestones for Man Infraconstruction Limited, where we've not only achieved record breaking sales, but also sharpened our focused strategies, launched new projects and continued to strengthen our financial position further.”
Manan Shah
opening
“To come down to the carpet areas sold, in the year of FY'25, we sold a total carpet area of approximately 8 lakh square feet, up from 3 lakh square feet in FY'24, again a growth of more than 160% year-on-year.”
Manan Shah
opening
“While in the quarter 4 of FY'25, we sold 3.2 lakh square feet of carpet area, more than double the 1.5 lakh square feet sold in the quarter 4 of FY'24.”
Manan Shah
opening
“Jumping down to the project performances, our projects like Aaradhya OnePark in Ghatkopar and Aaradhya Avaan at Tardeo, launched in 2024, have been significant contributors, totally selling over more than ₹1,600 crores in inventory till date and achieving about 40% of total sales potential.”
Manan Shah
opening
“During the quarter 4 of FY 2025, we also launched a mid-luxury to luxury project, JadePark at Vile Parle West, which is also one of the largest and one of the first kind of cluster development projects on S.V.”
Manan Shah
opening
“The balance two towers of Aaradhya Parkwood, which is near Dahisar toll naka, was also launched in Q4-FY25, where also we received an overwhelming response and more than 50% inventory is sold over there.”
Manan Shah
opening
“Our recent delivered projects such as Aaradhya Evoq, which is one of the most luxurious project of Juhu while Aaradhya OneEarth, which is the mid-housing to luxury project at Ghatkopar East, are now 100% sold out.”
Risks & concerns — 1 flagged
Like you're saying, yes, we intend to go ₹18,000 crores to ₹20,000 crores, which doesn't look very difficult and that's the reason this money is going to be required for -- to increase the portfolio strength.
— Manan Shah
Advertisement
Q&A — 11 exchanges
Q
First of all, congratulations on a great set of sales numbers. I have a couple of questions. The first would be, what are the drivers of our pre-sales numbers that we clocked for the financial year? Which projects are the major drivers, if we can quantify them as well? And my second question would be on guidance for the coming years, both for real estate pre-sales as well as for the EPC revenue that we're expecting in FY '26-'27?
Manan Shah
So, Eesha, the pre-sales number which contributed was majorly from our two projects. One is the project at Tardeo, which is part of our luxury to ultra-luxury portfolio that nearly clocked around ₹950 crores to ₹1,000 crore approximately. And a significant number also came in from our 60 Feet project, which is at Ghatkopar East, which is Aaradhya OnePark. And the residual came in from the multiple projects, which is across our Juhu project, Ghatkopar there was another project, Mulund Atmosphere project. So this combined to a good pre-sales number. Also, this year is actually the year for launc
Q
And first of all, many congratulations to winning the award for -- residential developer award for the MICL and you and your team. So coming to the numbers. So, like, we have reached -- I mean, delivered in terms of guidance pre-sale number and delivered for this particular year. But when I look at your -- and previous question's answer, you said ₹950 crores to ₹1,000 crores coming from the Tardeo project, which is -- I think it's a DM project, right? So, why we are including that number? Because in which case, we are giving the DM -- we will be getting the DM fees in that. So, should we look
Manan Shah
So, Manish, when you're seeing the pre-sales number, it does not matter which operating model it is - whether it's a JV, DM or JDA. Your pre-sales number is the number achieved by the developer and we are selling that. So, irrespective whether it is a DM or not, yes, we are going to make a DM margin on the profit side of it. But it is a pre-sales number which we have clocked and on basis of this pre-sales number the progress is seen. The financial consolidation happens of the project so that's why it's included as part of it. It also includes as a major contributor to cash flow of that individ
Q
So, all my questions are answered, just one question with respect to Goregaon project. So we have not included in our launch pipeline for this year. So any specific reason, even Phase 1 is not getting launched in this year?
Manan Shah
So, to share an update on the Goregaon project because it's a large land parcel and it's a slum redevelopment project, we are doing it in a phase wise manner where we are first constructing partially the rehab component. And once the rehab component is up, we shall have a significant plot vacant, which shall allow us to create sale towers over there and that is when the sales pipeline will be generated in that project. So, we are trying to go a little bit on a conservative side rather than making the rehab and the sale building on the same plot to get a better visibility. The customers also pa
Q
My first question is towards our EPC business. Currently, the order book, particularly for the EPC, has been diminishing and a lot of EPC work is going in for our own real estate projects. So do we plan to scale up the external EPC revenues once available in FY'26?
Manan Shah
So regarding working for the other developers, no, we would like to focus and use all our capex onto the own real estate side of it. But regarding the infrastructure projects, we are definitely keen. Like I said, we are working on a port project already and we are eyeing on the new port which has been announced by the government. So, we will be focusing on the port sector. But regarding working for other developers, we would not be doing that at this moment. And also the guidance for FY'26, this year on the standalone basis, we did a healthy EBITDA margin of 22% to 23%. Do we continue to incre
Q
I have a couple of questions. First is, with over ₹13,000 crores in sales visibility and new launches lined up, what is your early outlook for revenue growth for FY '26 and '27? And how do you see the margins pan out over next year?
Manan Shah
So, I think this question I've already answered in the past. But just to repeat again. Like I said, this year there are 3 projects minimum that we are launching BKC, Pali Hill and Marine Lines. We are in talks to add a couple of more projects this year in various locations across the city. And this year also the momentum remains strong for us. And I believe that we should be able to surpass this year's pre-sales numbers also if the market is supportive and depending on the launch. So, the visibility for FY'26 is what we are bullish about. How do you positioning yourself for upcoming launches i
Q
So with 7.4 lakh square feet of carpet area for the launch in FY '26 across Marine Lines, BKC and Pali Hill, how are you sequencing these launches? Like what would be the sequence? And plus what drives the timing strategy? So could you please elaborate on how the product configuration is being tailored to each of these micro markets to ensure differentiation in market share?
Manan Shah
So in terms of sequencing, it honestly purely depends on which permission comes in first for which project. So we are at a far advanced stage at BKC project where we've already received the intimation of Disapproval (IOD) of this project. The IOD is already received for the project. So we are waiting for the existing members to vacate and once we demolish, we shall receive the Commencement Certificate (CC) as well. So that launch is going to be in a very short span of time. Similarly, we have received IOD for our Marine Lines project as well. And there also the similar progress is going on whe
Q
Thank you for the opportunity. Sir, my first question is, the two projects launched in Q4, they already achieved ₹700 crores in sales out of ₹1,600 crores potential. What factors are driving the strong initial traction and how confident are you in sustaining momentum to monetize this project over the next few quarters? Do you expect this to be sold in another couple of quarters or so how it's? That's my first question?
Manan Shah
So, to answer the question, like I said, the brand philosophy is such that I personally make sure that I have been through every wall to wall when the product is getting designed. The kind of facilities and amenities that we provide in each area, we are wanting to become the lifestyle creator of Mumbai and not just become a builder. So we never call ourselves as a builder. We've always termed ourselves as a service provider, in fact, which is a lifestyle service provider, where if you buy an apartment over here you are always going to be living a healthier life, you're going to live better wit
Q
My question is regarding projects like Aaradhya Avaan, which contributes only DM fees, while others like Atmosphere Tower G contributes EPC and PMC margin. As you scale up, how are you thinking about the optimizing or blended margin pool across model? And does that affect - - influence how you prioritize future projects, sir?
Manan Shah
So, Atmosphere doesn't just contribute towards PMC margin. We are holding nearly around 33% equity -- 30% equity, sorry. And that contributes -- the profits are going to be starting to come soon because we are near completion of the entire project. So we are seeing good profitability hitting furthermore of what has already been accrued from. Over and above this -- see, DM project is an asset light model where acquiring a development right is far more easier compared to a typical redevelopment project where you get into the bidding process, tendering process and it takes slightly more time. DM
Q
Thank you so much and congratulations on a very good quarter. You are a truly unique business model in this space in terms of margins, of course, and obviously the quality of projects that you're building. So, congratulations on that.
Manan Shah
Thank you. My question is more around your U.S. business. If you could -- I do not want specifics, more around what's your strategy, if you could just paint some color. Like, are you really trying to test your waters in the Southern Florida market and then you plan to expand in other regions or you just want to hyper focus on the Miami market? If you could just add some more color on the strategy on the U.S. market? See U.S., we started the research nearly 7 years back. We went a couple of times. We identified a lot of pockets right from Texas to New York to California, Florida as well. When w
Q
In terms of number, how will be the quarter 1 of the financial year 2025?
Yashesh Parekh
Rushin, we usually do not give guidance on any financial performance of the company. We are going. Okay no problem. We are not going to give numbers. You can get in touch with us post the conference.
Q
Thank you, participants for participating in the earnings call of Man Infraconstruction Limited. Thank you.
Management
Speaking time
Manan Shah
26
Moderator
13
Yashesh Parekh
7
Shuboh Mukherjee
7
Manish Ostwal
4
Majid Ahamed
4
Eesha
3
Dhananjay Mishra
3
Disha
3
Rohan Baranwal
3
Advertisement
Opening remarks
Yashesh Parekh
Good evening, everyone and a warm welcome to each one of you attending the earnings call of Man Infraconstruction Limited for the period of Q4 and FY '25. Today we have with us Mr. Parag Shah, Chairman Emeritus of the company; Mr. Manan Shah, the Managing Director of the company and Mr. Ashok Mehta, the Whole-Time Director and CFO of the company. I would request the participants to keep the con-call discussion strategic in nature. If you have any specific data related questions, I would request you to get in touch with us post the con-call. Thank you. Now, without taking much time, I hand over the con-call to Mr. Manan Shah, who will take you to the company's performance. Over to you, Mr. Shah.
Manan Shah
Good evening, everyone. Thank you, Yashesh, and a warm welcome to all participants joining us today for the earnings call of Man Infraconstruction Limited for quarter 4 of FY '25. It's a pleasure to connect with you all again, and I truly appreciate your time and continued interest in our journey. Before we dive into company's operational and financial performance, I would like to briefly set the stage by touching upon the broader macroeconomic landscape that has provided a strong foundation for the real estate and infrastructure sectors in India. Mr. Parag Shah, Chairman Emeritus, had some unfortunate meeting come up, so he has to leave, so we would be continuing the meeting without him. Macroeconomic tailwinds driving growth for the year FY '25 has been a defining year for the Indian economy and by extension, for the real estate industry. Several positive macro indicators have come together, enhancing the sector's momentum. The Reserve Bank of India has reduced the repo rate by 50 ba
Advertisement
← All transcriptsMANINFRA stock page →