MAXESTATESNSEQ2 & FY26November 7, 2025

Max Estates Limited

5,031words
65turns
8analyst exchanges
3executives
Management on call
Sahil Vachani
MANAGING DIRECTOR AND
Nitin Kansal
CHIEF FINANCIAL OFFICER– MAX ESTATES LIMITED
Archit Goyal
HEAD OF INVESTOR RELATIONS
Key numbers — 40 extracted
19%
ust. The NCR is the fastest-growing residential market with headline price appreciation of almost 19% to 25% year-on-year. There are some key emerging trends and granular shifts. On a micro market ba
25%
e NCR is the fastest-growing residential market with headline price appreciation of almost 19% to 25% year-on-year. There are some key emerging trends and granular shifts. On a micro market basis, th
rs,
rket basis, the growth is not uniform. It's hyper concentrated in established high-quality corridors, for example, in Gurgaon, Golf Course Extension Road, Dwarka Expressway and the Noida Expressway in
2.5x
was earlier. On the commercial side, in the last quarter, the region's net office leasing surged 2.5x year-on- year, driven by resilient corporate demand. Global capability centers, domestic corporate
100%
emium for high-quality, sustainable and future-ready workspaces. Max Estates' ability to secure 100% occupancy across all our three assets at rents that are 25% above the micro market average is a c
INR7,500 crore
ial side, I'm happy to share that till date, Max Estates has recorded cumulative presales of over INR7,500 crores. Estate 128 fully sold, having booked INR2,700 crores has collected INR1,000 c
INR2,700 crore
lative presales of over INR7,500 crores. Estate 128 fully sold, having booked INR2,700 crores has collected INR1,000 crores as of September 2025. Estate 360 in Gurgaon recorded presales of
INR1,000 crore
,500 crores. Estate 128 fully sold, having booked INR2,700 crores has collected INR1,000 crores as of September 2025. Estate 360 in Gurgaon recorded presales of INR4,800 crores with 100% of
INR4,800 crore
has collected INR1,000 crores as of September 2025. Estate 360 in Gurgaon recorded presales of INR4,800 crores with 100% of the project sold, and we've collected approximately INR950 crores as of September 2
INR950 crore
rded presales of INR4,800 crores with 100% of the project sold, and we've collected approximately INR950 crores as of September 2025 as well. Both these projects are progressing as per plan. Estate 128 Phase
INR75 crore
ommercial side, lease rental income for the period grew significantly and stands at approximately INR75 crores for the first half of the year, driven by full occupancy across our operating assets with notabl
INR700 crore
ng law and technology firms. We are on track to achieve annuity rental income potential of over INR700 crores over the coming few years, underscoring the resilience and balance of our diversified portfolio.
Guidance — 20 items
Sahil Vachani
opening
“Estate 360 in Gurgaon recorded presales of INR4,800 crores with 100% of the project sold, and we've collected approximately INR950 crores as of September 2025 as well.”
Sahil Vachani
opening
“On the commercial side, lease rental income for the period grew significantly and stands at approximately INR75 crores for the first half of the year, driven by full occupancy across our operating assets with notable marquee tenants such as Adobe, BBC, Target and leading law and technology firms.”
Sahil Vachani
opening
“We are on track to achieve annuity rental income potential of over INR700 crores over the coming few years, underscoring the resilience and balance of our diversified portfolio.”
Sahil Vachani
opening
“Of this, we plan to launch projects in the second half of this year with a cumulative GDV of INR9,500 crores across three developments: Estate 361, Max One and Max 105 located in both Noida and Gurugram.”
Sahil Vachani
opening
“These launches all in the second half of this year are expected to drive presales of approximately INR6,000 crores to INR6,500 crores in FY26, representing a growth of 15% to 20% over the previous financial year.”
Mohit Agrawal
qa
“It will be similar or are you making a differentiation between what you're launching in 36A and 105 and Delhi One?”
Sahil Vachani
qa
“The second is going to be in January, which is Max One or Delhi One project in Noida that we took from NCLT.”
Sahil Vachani
qa
“And the third development, which is going to be in Noida, which is in Sector 105 will be in the end of January, early February, which is in final approval stages as well as we speak for both building plan and RERA.”
Sahil Vachani
qa
“I think it's going to be specifically project-linked.”
Sahil Vachani
qa
“We will see a much higher, faster appreciation within that project, whether they are in Noida or in Gurugram and that's our view moving forward.”
Risks & concerns — 4 flagged
Having said that, Mohit, our view is that it's very difficult to take a generic view across market.
— Sahil Vachani
Is that the kind of footfall that you are seeing right now as well or perhaps there is some slowdown in terms of the overall demand environment?
— Karan Khanna
And therefore, for us, we are not seeing that level of slowdown.
— Sahil Vachani
But do you see an upside risk to your, let's say, INR720 crores, INR730 crores of annuity EBITDA -- annuity revenue over the next 3, 4 years in terms of new projects that might get added here or is that a conscious strategy where now your focus will be more on the residential side and perhaps when you see the right transactions in the commercial -- right opportunity in the commercial side, you might take that up?
— Karan Khanna
Q&A — 8 exchanges
Q
Sahil, you reiterated that you will do three launches in second half. So two questions on that. What are the specific time lines for each of the launches? And if you could elaborate on what are the stage of approvals for each of them, whatever you can share? And secondly, if you could elaborate on the kind of product that we will see in each of them. It will be similar or are you making a differentiation between what you're launching in 36A and 105 and Delhi One?
Sahil Vachani
Sure. Thank you, Mohit. So we'll start with early part of December where we are planning to launch Estate 361, which is going to be a development in Gurugram. In Sector 36A, we received our building plan approvals and we are awaiting final RERA approval for this. This product will have a mix of an Antara Senior Living component and also Max Estates residential. So it's an intergenerational offering for the Gurugram market. The second is going to be in January, which is Max One or Delhi One project in Noida that we took from NCLT. We are in the final stages of building plan and RERA approval fo
Q
First question is on the business development. While we have had a good start to the year, I think three projects roughly added, we still have 20 million square feet of projects under evaluation. But given we have already achieved our target in terms of business development, should we expect any more addition this year or probably now you'll focus more on launches and project addition would happen next year only? That's my first question?
Sahil Vachani
Thank you, Pritesh. Yes, we are focused very much on our launches and sales in the second half of the year. And in terms of your question on business development, the process of business development is a long process. For example, the recent project that we acquired in Golf Course Extension Road took us almost 18 months. So I think the process of business development is ongoing. We evaluate hundreds of deals and we will continue to do that. So we are not stopping our process on business development. Yet at the same time, in the coming months, obviously, we will be focused very clearly on sales
Q
My question is on commercial rental growth that all operational CRE assets are 100% occupied. So what are the strategies in place to maintain the 20% to 25% premium rental pricing over the micro market rate when renewing the leases? And how are the target annuity rentals of INR110- plus crores for Max Square Two and INR200-plus crores for Max District expected to be achieved upon completion?
Sahil Vachani
Nitin, you want to take this. Sure. Thank you, Sahil. Let me answer that. So what is happening currently, if you see, we have entered into long-term leases with the lessees, which have a 9-year contract. And we at all points of time, continue to aspire to increase the customer experience in our buildings, which entails a regular increase in the customer experience. Just to give an example, we have also mentioned in our presentation, we have significantly upgraded our F&B offerings across our assets at Max Towers and Max House. So what we believe that continuous upgrade in the customer experien
Q
Just two questions from my side. So Sahil, first, if we look at the launches that are planned for FY '26, essentially, what kind of embedded margins are you seeing on new business development, let's say, the one that you recently announced in Gurgaon, Sector 59. I'm just curious to know if -- while the prices have gone up, even the expectations from the landowner side, that's gone up. So what kind of margins are you seeing in new business development now versus, let's say, 2 years back?
Sahil Vachani
Thanks, Karan. We are seeing similar margins for ourselves. We are underwriting conservatively as we have always consistently shared. We underwrite without assuming that prices will increase. We underwrite assuming that it's going to take us an elongated period of time to sell and we underwrite assuming very high inflation in construction costs. So with that assumption, we are continuing to be confident of 40% margins in outright and 20% margins on joint development. So we are confident of sticking to these numbers as we move forward. So just as a follow-up, given that you have about two launc
Q
In terms of the 3 launches which you have provided, if you can break down in terms of area and GDV value because like INR9,000 crores, 361 is a huge project. So what kind of GDV from that we are expecting to build up? And similarly, for the balance two projects?
Nitin Kansal
Sure, Ronald. This is Nitin. What we are expecting to do a launch of close to INR9,500 crores and across 3 assets. So in the Gurgaon, we're looking at the launch of close to INR4,500 crores in Estate 361. In terms of Sector 105, we're looking at a number of INR3,000 crores. And the Max One, a number of approximately INR2,000 crores, all totals up to INR9,500 crores. And the guidance which we have given is to achieve a number in the range of INR6,000 crores to INR6,500 crores of presales in the current financial. And in terms of this new acquisition, should we expect the 105 Noida our new acqui
Q
I have two questions, one from Mr. Vachani. As more players get -- enter the premium real estate space, what is Max Estates doing to build a strong edge, not just through design or branding, but through something deeper like a culture or operating philosophy that compounds over time and make the company truly hard to replace?
Sahil Vachani
Thank you for that. We are very clear that our product and our customer experience is going to speak louder than any marketing activity that we would do. And that is the word of mouth of our customers day in and day out in our products is what is going to be our differentiating factor. And we are focusing our entire energy of the entire organization to make sure that the product, the customer experience and the customer journey, whether it's a work well experience at Max Towers at our office project or a live well experience for our residential communities is world- class. So that's what we ar
Q
I have two questions. First being, just this was something I wanted to know, understand that New York Life is mostly invested in the commercial side of your assets. Is there any particular reason why and why are you not in the residential side of the assets?
Nitin Kansal
So they being a life insurance company, they have a preference for annuity-like business. But having said that, if you see the last couple of investments which they have done with us, they've also entered into a mixed-use partners with us. In Max One, also known as Delhi One and Estate 105. And both the projects they've entered whereby they are taking both residential and commercial participation. But at current juncture, they are not evaluating doing exclusive residential transactions with us. Okay. And are they committing to some more investments in the future? So just to give you context, N
Q
Thank you for joining and look forward to speaking to you again next quarter. Thank you.
Management
Speaking time
Nitin Kansal
15
Sahil Vachani
14
Moderator
10
Pritesh Sheth
8
Saurabh Manchanda
5
Karan Khanna
4
Mohit Agrawal
3
Ronald Siyoni
3
Sucrit Patil
2
Jayshree Bajaj
1
Opening remarks
Sahil Vachani
Thank you, and good morning to all for joining us for this Q2 and H1 FY26 Earnings Conference Call for Max Estates. Joining me today, I have Nitin Kansal, our CFO; and Archit Goyal, Head of IR and Corporate Finance, along with SGA our Investor Relations Advisor. The presentation has been issued to the stock exchanges and uploaded on our company's website. I hope you've had a chance to go through that. Let me just first share some highlights at an industry level and then business highlights for the quarter and the half year ended. On the residential side, we are seeing a flight to quality and a flight to trust. The NCR is the fastest-growing residential market with headline price appreciation of almost 19% to 25% year-on-year. There are some key emerging trends and granular shifts. On a micro market basis, the growth is not uniform. It's hyper concentrated in established high-quality corridors, for example, in Gurgaon, Golf Course Extension Road, Dwarka Expressway and the Noida Expressw
Nitin Kansal
Thank you, Sahil. Good morning, everyone, and thank you for joining us on the call. Let me provide you with the financial updates for the half year FY '26. The consolidated revenue stood at INR100 crores in half year, a growth of 24% on a year-on- year basis. The consol EBITDA stood at INR24 crores in the first half of the financial year. The consol profit before tax stood at INR29 crores and PAT stood at INR20 crores in the first half year. The total lease area in the portfolio stood at 1.3 million square feet, 100% across our operational assets. The lease rental income showed a growth of 41% year-on-year to INR76 crores in the first half of the year. The revenues from the facility arm, Max Asset Services stood at INR26 crores in first half of the year, growing 33% year-on-year. The cash and cash equivalents on the balance sheet were INR1,900 crores as of 30th September and a borrowing of close to INR1,550 crores, having a net cash balance of close to INR350 crores. These borrowings a
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