Suraj Estate Developers Limited has informed the Exchange about Investor Presentation
Suraj Estate Developers Limited
Investor Presentation February 2024
Safe Harbor
This presentation has been prepared by and is the sole responsibility of Suraj Estate Developers Limited (the “Company”). By accessing this presentation, you are agreeing to be bound
by the trailing restrictions.
This presentation does not constitute or form part of any offer or invitation or inducement to sell or issue, or any solicitation of any offer or recommendation to purchase or subscribe
for, any securities of the Company, nor shall it or any part of it or the fact of its distribution form the basis of, or be relied on in connection with, any contract or commitment thereof.
In particular, this presentation is not intended to be a prospectus or offer document under the applicable laws of any jurisdiction, including India. No representation or warranty,
express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this
presentation. Such information and opinions are in all events not current after the date of this presentation. There is no obligation to update, modify or amend this communication or
to otherwise notify the recipient if the information, opinion, projection, forecast or estimate set forth herein, changes or subsequently becomes inaccurate.
Certain statements contained in this presentation that are not statements of historical fact constitute “forward-looking statements.” You can generally identify forward looking
statements by terminology such as “aim”, “anticipate”, “believe”, “continue”, “could”, “estimate”, “expect”, “intend”, “may”, “objective”, “goal”, “plan”, “potential”, “project”, “pursue”,
“shall”, “should”, “will”, “would”, or other words or phrases of similar import. These forward-looking statements involve known and unknown risks, uncertainties, assumptions and
other factors that may cause the Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or
implied by such forward-looking statements or other projections. Important factors that could cause actual results, performance or achievements to differ materially include, among
others: (a) our ability to successfully implement our strategy, (b) our growth and expansion plans, (c) changes in regulatory norms applicable to the Company, (d) technological
changes, (e) investment income, (f) cash flow projections, and (g) other risks.
This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. The Company
may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any person of such change or changes.
2
Message From The Executive Director
Commenting on the performance, Mr. Rahul Thomas, Executive Director, Suraj Estate Developers, said, “A key indicator of economic vitality, the real estate sector, has displayed resilience with increased sales volumes across key demand markets and segments. With interest rates increasing by over 200 basis points from the lows of 2021, the sector has seen expansion in property values, emphasizing the robustness of demand in the housing cycle. Stabilizing interest rates will further improve affordability criteria. This also showcases the intrinsic need for people to own their homes supported by expanding affordability paradigms.
Amid this economic landscape, we have strategically positioned ourselves to capitalize on the burgeoning opportunities. We have been delivering progressively expanding operating milestones over the last few years and are continuing the momentum in FY24. Positive visibility emanates from sustained customer traction across projects.
We are delighted to add another landmark project to our portfolio of redevelopment projects in South central Mumbai market, which has been integral to company’s history. Over the years, we have successfully completed 42 projects and have provided better quality homes to 1,000+ tenants. Suraj Lumina will mark another set of happy tenants and customers.
On the operation front Q3FY24 was a strong quarter wherein we have had pre-sales of 35,537 sq ft of area translating to a sales value of ~Rs 143 crores. Our effective cost control measures led to a growth of 10% in our EBITDA thereby improving our margins by ~400 bps. We have repaid high- cost debt to the tune of Rs 285 crores in the month of December 2023 using the IPO proceeds. An additional Rs 23.5 crores of unsecured debt is repaid from gross collection proceeds, resulting in lower interest costs and strengthened balance sheet. We shall see this benefit of reduced interest costs Q4FY24 onwards”
3
Q3 & 9MFY24 Financial and Operational Highlights
Q3FY24 Operational & Financial Performance
Total Income* Rs 106.1 crs
EBITDA Rs 69.7 crs
EBITDA Margin 65.8%
PAT Rs 16.5 crs
Sales Mix (Q3FY24)
Sales Area (Sq Ft)
Sales Value (Rs cr)
35,537
143
44%
21,335
19,397
92
85
56%
Value-Luxury
Luxury
Q3FY23
Q2FY24
Q3FY24
Q3FY23
Q2FY24
Q3FY24
Collections (Rs cr)
103
67
68
Average Realisation (Rs/Sq ft)
43,342
43,933
40,101
Note : Total income and EBITDA include other income
Q3FY23
Q2FY24
Q3FY24
Q3FY23
Q2FY24
Q3FY24
5
Key Performance Indicators
9MFY24 Performance Indicators
Total Income Rs 312.7 crs
EBITDA Rs 180.3 crs
EBITDA Margin 57.8%
PAT Rs 48.0 crs
Sales Area (Sq Ft)
Sales Value (Rs cr)
142,817
Residential
Commercial
89,949
1,03,044
84,423
360
39,773
FY22
FY23
9MFY24
FY22
635
437
197
FY23
Collections (Rs cr)
346
269
361
205
9MFY24
FY22
FY23
9MFY24
Average Realisation (Rs/Sq ft)
Net Debt (Rs cr)
Sales Mix (9MFY24)
593
581
599
572
554
545
40,033
42,420
49,640
42,767
341
219
49%
51%
FY22
FY23
9MFY24
31-Mar-23
30-Jun-23
30-Sep-23
31-Dec-23
Note : Total income and EBITDA include other income
Gross Debt
Net Debt
Value-Luxury
Luxury
6
Consolidated Profit & Loss Statement
Revenue from operations
Particulars
Other income
Total income
Expenses
Operating and project expenses
Changes in Inventory of CWIP
Employee benefit expenses
Other expenses
Total expenses
EBITDA* EBITDA Margins (%) Finance costs
Depreciation and amortisation
PBT
Tax expense:
- Current tax
- Deferred tax charge/ (credit)
Total tax expense
Profit after tax
EPS
Q3FY24
106.0
0.2
106.1
71.1
-39.7
3.3
1.7
36.4
69.7 65.8% 47.0
0.6
22.1
5.7
-0.2
5.5
16.5
5.0
Q2FY24
103.5
0.2
103.7
43.2
-15.9
3.3
9.8
40.4
63.32 61.2% 39.7
0.8
22.8
7.0
-1.1
6.0
16.8
5.3
Q-o-Q (%)
9MFY24
2.4%
-9.9%
10.2%
-3.2%
-7.3%
-1.7%
311.9
0.8
312.7
142.3
-37.5
10.0
17.6
132.4
180.3 57.8% 113.9
2.0
64.3
21.5
-5.1
16.3
48.0
15.0
FY23
305.7
2.1
307.9
166.0
-31.3
11.6
8.4
154.7
153.1 50.1% 107.4
2.6
43.2
13.6
-2.4
11.1
32.1
10.1
Note : *EBITDA includes other income
7
Consolidated Cash Flow Statement
CASH FLOW FROM OPERATING ACTIVITIES
Particulars
9MFY24
FY23
Profit before taxes
64.3
43.2
Adjustments for Interest expenses/income, depreciation
Operating profit / (loss) before working capital changes
Changes in Working Capital
Direct Taxes (Paid)/Refund Received
Net Cash Generated / (Used) in Operating Activities
Net Cash Generated / (Used) in Investing Activities
Net Cash Generated / (Used) in Financing Activities
Cash and cash equivalents at beginning of the period/ year
Cash and cash equivalents at end of the period/ year
Net Increase/ (Decrease) in cash and cash equivalents
74.8
139.2
40.4
-5.9
34.4
8.5
65.9
11.8
120.7
108.9
106.7
149.9
45.0
-6.4
188.5
-27.1
-155.7
6.1
11.8
5.7
8
Suraj Estate Developers Limited was listed on the Stock Exchanges on 26th December,2023
Objects Of The Issue
Utilization Of IPO Proceeds
Particulars
Amount (Rs cr)
IPO Proceeds
Rs 400 Crs
Repayment / prepayment of aggregate outstanding borrowings of the Company and Subsidiaries
Acquisition of land or land development rights
Issue Expenses
General corporate purposes
285
35
35
45
Repaid high-cost debt to the tune of Rs. 285 crores in month of December 2023 using the IPO proceeds. An additional Rs. 23.50 crores of unsecured debt is repaid from gross collection proceeds, resulting in lower interest costs and strengthened balance sheet
10
‘Suraj’- Leading Real Estate Developer in South Central Mumbai (SCM)
1+
Million sq.ft. constructed in prime locations in the South Central Mumbai
42
Completed projects across residential & commercial segments
37
Years of experience in the real estate market of South-Central Mumbai region
16
Upcoming Projects
13
Ongoing Projects
Leading player in redevelopment scheme 33 (7). This allows to build scale in capital light business model
11
One of the Market Leaders in Redevelopment Projects in SCM*
Value Luxury 1 BHK and compact 2 BHK flats
Luxury 2/3/4 BHK flats
Sub-markets of South Central Mumbai (SCM)
ONE OF THE MARKET LEADERS IN REDEVELOPMENT
Mahim
Matunga
Dadar
Prabhadevi
Parel
263 Projects Launched in SCM sub-markets
160 (~61%) Redevelopment Projects
103 (~39)
New Projects
8%
2%
Commercial Built-to-suit model for select clientele & boutique offices
Bandra
(upcoming market)
Suraj’s Market Share
Source: Company Commissioned Anarock Report Note: *SCM sub-markets refer to Mahim, Matunga, Dadar, Prabhadevi and, Parel; Cumulative from 2016 to 2022
12
Redevelopment Expertise
Step 0
Timelines
Identification Of Land Bank (Plot Size, Title, Location, Tenant Density& FSI Scheme)
Step 1
Step 2
Step 3
Step 4
Step 5
Step 6
Step 7
Zero Date
Acquisition of land by way of Conveyance / Development Rights / JDA
4-6 Months
Obtaining 51% consent of tenants for redevelopment
3 Months
Obtaining IOD for the project
3 Months
Site vacation and demolition of old structure
3 Months
Obtaining CC and RERA registration
3-4 Years
Construction time period – 3 years for G+22 Storey Building and upto 4-5 years for high rise development from G+40 to 50 Storey
3 Months
OC and Handover of Possession
13
SCM : A Lucrative Micro Market In Mumbai
Dynamics of SCM Market
Large pool of old/dilapidated buildings
Close proximity to key locations such as BKC, Worli
sea link, Lower Parel, etc
One of the few locations which allows residential +
commercial projects to be constructed
Improving infrastructure via multiple government
projects
Note: *SCM sub-markets refer to Mahim, Matunga, Dadar, Prabhadevi and, Parel Map Not To Scale
14
Our Journey Spanning Over 37 Years
1986
1990
1992
2000
2005
Incorporated as a private limited company
Completed maiden residential project at Mahim (W)
Delivered a building at Dadar (W) to a public sector bank
Delivered ‘ICICI Apartments’ at Dadar (W) as office quarters
Delivered 14 residential apartments in Dadar (W) to CCIL as office quarters
2010
2012
2017
2018
Delivered a commercial building ‘Saraswat Bank Bhavan’ at Prabhadevi as corporate office to Saraswat Co-operative Bank
Delivered a commercial building ‘CCIL Bhavan’ at Dadar (W) as corporate office for CCIL
Entered the luxury residential segment in SCM with launch of the flagship “Palette” at Dadar (W)
Raised Rs 2000 million term loan from Piramal Capital & Housing Finance for luxury projects
Launched a sea facing luxury project ‘Ocean Star’ at Dadar (W)
2019
2021
2022
2023
2024
Forayed into value luxury segment with a project at Dadar (W). Started 1BHK apartments
Launched another value luxury project at Dadar (W)
Launched two value luxury projects at Mahim (W)
Concluded 2 commercial sale transactions with Saraswat and CCIL
Availed debt from ICICI Ventures through a subscription model towards NCD
Launched value luxury project Suraj Parkview 2 at Dadar (W)
Entered into Society Redevelopment (Asset Light Model)
Availed new debt from Axis Finance 10%
Availed New debt of Rs 175cr from IndusInd Bank
Raised Rs 400 cr via Listing on BSE and NSE
Launched a value luxury/luxury residential project ‘Suraj Lumina’ at Mahim west
15
Proven Track Record Of Delivering Residential And Commercial Projects
Timeline of completed projects
9 1,85,649
8
2,04,957
1,59,720
7
2,40,412
1,65,418
8
6
90,386
4
1990-1995
1996-2000
2001-2005
2006-2010
2011-2015
2016-2022
Developed areas
Consultant and Contractor Relationships
Architects and Structural Consultants
Civil Contractors
Residential and Commercial Projects
Mangirish, Dadar
Tranquil Bay, Dadar
CCIL Bhavan Phase I : Upto 6th floor
Saraswat Bank Bhavan Phase I : Upto 7th floor
16
Comparison Of Various Business Models In MMR Region
Parameters
Land Status
Upfront Capital Requirement
Redevelopment of Tenanted Properties (Conveyance/ DA) Under DCPR 33(7)A
Redevelopment of Society Under DCPR 33(7) B
Vacant Land- Normal Development
Conveyance / DA
Moderate
DA
Low
Conveyance / JDA
High
FSI
Land Cost
Approval Cost
Availability of Plots in MMR Region Tenant Consent for Redevelopment Project Turnaround Time & Litigation Risk Mortgage of Land for Project Finance Project Turnaround Time Property Maintenance Cost EBIDTA Margins ROE / ROCE Sacalability
No of Ongoing & Upcoming Projects Under Each Category
Inherent FSI of 3.00 +35% Fungible.
No TDR / Additional FSI Cost.
Also has FSI Upside of Clubbing Scheme notified under 33(7)
Inherent FSI of 1.33 +35% Fungible and Additional FSI of up to 1.67 + 35% Fungible by way of Payment of TDR / Additional FSI Premium depending on Road Width
Inherent FSI of l.33 +35% Fungible and Additional FSI of up to 1.67 + 35% Fungible by way of Payment of TDR / Additional FSJ Premium dependingon Road Width
Moderate
Negligible
High
Lower Cost due to Concessions
High Approval Cost
High Approval Cost
High 51%
Moderate
Yes Moderate Low High Moderate High
High 51%
Moderate
No Moderate Moderate Low High High
Low Not Applicable
Low
Yes Low High Moderate Low Low
22 Projects
3 Projects
4 Projects
17
COMPETITIVE STRENGTHS
Competitive Strengths
Diversified Portfolio Across Value Luxury And Luxury Segments
Present Across Price Points, Unit Sizes And Sub-Markets In The SCM
Marketing & Sales Strategy
High Engagement Levels Through The Customer Lifecycle Create Network Effect
Experienced Board Of Directors With A Proficient Team Committed To The Brand’s Philosophy
Established Real Estate Brand In SCM
Leading Market Position & Ability To Sell During Construction Phase
Strong Expertise In Tenant Settlement In Redevelopment Projects
Redeveloped houses for 1,011 tenants free- of-cost
Freed up considerable FSI for commercial development
Strong Project Pipeline and Cashflows
Market Opportunity
19
Established Residential Real Estate Brand in SCM
Leading Market Position & Ability To Sell During Construction Phase
60%
In terms of supply of units
1st #1
16%
13%
11%
Suraj Estate Developers #1
Developer #2
Developer #3
Developer #4-#10
60%
In terms of absorption, in units
1st #1
15%
12%
12%
Suraj Estate Developers #1
Developer #2
Developer #3
Developer #4-#10
33
Ongoing Residential Projects
Sr. No.
Project Segment
Project Developa ble Area (lakhs Sq ft)
Sale Carpet Area (lakhs Sq ft)
Area Sold (lakhs Sq ft)
Unsol d Area (Lakhs Sq ft)
Sales Achieved (Rs cr)
Avg Realisa tion (Rs cr)
Collecti ons Receive d (Rs cr)
% of area sold
1
Luxury
8.11
2.69
2.04
0.65
848.25
41,581
589.05
75.8%
2
3
Value Luxury
Value Luxury / Luxury
7.31
1.87
1.38
0.48
547.32
39,661
292.21
73.8%
4.26
1.13
0.84
0.29
175.04
20,838
96.15
74.3%
In terms of absorption value
14
13
11
10
19
5th #1
Total
19.68
5.69
4.26
1.42
1570.61
977.41
Note : Does not include Mestry House
Developer #1
Developer #2
Developer #3
Developer #4
Suraj Developers #5
Developer #6-#10
Source: Company Commissioned Anarock Report Note: Market Share among top10 developers ; SCM sub-markets refer to Mahim, Matunga, Dadar, Prabhadevi & Parel ; Cumulative from 2016 to 2023 (Q1)
20
Diversified Portfolio Across Value Luxury And Luxury Segments (1/2)
Present Across Price Points, Unit Sizes And Sub-Markets In The SCM
Ongoing Projects
Carpet Area For Sale*
7%
19%
31%
44%
Carpet Area Sold
9%
18%
30%
44%
Total 6,09,920 sq.ft.
Total 4,66,373 sq.ft.
Upcoming Projects
Estimated Carpet Area For Sale
Total 7,44,149 sq.ft.
14%
21%
5%
60%
Value Luxury Luxury
Value Luxury / Luxury Commerical
Source: Company Note : * Total Carpet Area for Sale reflects Accord Estates’ share of carpet area in project Nirvana (JDA with Runwal Realty Pvt Ltd)
21
Diversified Portfolio Across Value Luxury And Luxury Segments (2/2)
Ongoing Projects : Presence across unit sizes and price points
No. of offerings
12
6
Value Luxury Ticket Size : INR 10-30 mn
4
4
Luxury Ticket Size : INR 30-13 mn
3
2
1
1
300-400
400-500
500-650
650-800
800-950
1000-1300
1300-1500
1800-2200
1 BHK
2 BHK
43% Share of Value Luxury in Ongoing Projects (by carpet area)
61% Share of Value Luxury in Upcoming Projects (by carpet area)
3 BHK
4 BHK
Share of value luxury in new launches continues to increase
Better demand from end users
Better Sales Volume and Velocity
22
Strong Expertise In Tenant Settlement In Redevelopment Projects
Strong Track Record Of Tenant Settlement
Redeveloped houses for 1,011 tenants free-of-cost
Freed up considerable FSI for commercial development
Tenant Building – Ave Maria
Preferred Redevelopment Developer
As most land parcels in SCM are in the nature of redevelopment projects, tenant settlement is key to unlock value
13 out of 15 residential projects launched by Suraj are redevelopment projects
18 out of 21 upcoming projects are redevelopments
Source: Company Commissioned Anarock Report Note: (1) SCM sub-markets refer to Mahim, Matunga, Dadar, Prabhadevi, and Parel cumulative from 2016 to 2023 (Q1)
23
Marketing & Sales Strategies
High Engagement Levels Through The Customer Lifecycle Create Network Effect
Marketing Team ›
Identifies target market groups and uses promotional tools to attract them
Sourcing Team ›
Interacts with channel partners to drive walk-ins at the site
Customer Centric Approach Continuous customer engagement during and after sale and delivery strengthens the brand, creating goodwill
1
4
2
3
Customer Goodwill
Customer goodwill translates into significant customer referrals, expanding sales network
Sales Closing Team
› Dedicated team focusing
on deal closure
Customer Care Team
› Assists customers throughout initial booking to handover of their homes
Increasing Sales A stronger brand and wider sales network drive sales growth
24
Market Opportunity (1/2)
MMR is the top performer* in overall residential real estate activity
Supply
Absorption
35%
MMR Others
10% CAGR in value terms over a
longer term
30%
65%
70%
(No of units)
MMR
Others
One of the biggest real estate markets in India
Strong housing demand drivers, led by infra and higher disposable income
Consolidation leading to disciplined supply
Positive Pricing Outlook
2X
New launches in 2024 are likely to be almost 2 times as compared to 2021 levels and are expected to gradually increase year-on-year post 2023
<2
years
Unsold units overhang
Source: Company Commissioned Anarock Report. *Among Top Seven Indian Markets in 2022 Note : 1. * MMR – Mumbai Metropolitan Region 2. Supply and absorption data for 2022 ; others include NCR, Bengaluru, Pune, Hyderabad, Chennai ,Kolkata
25
Market Opportunity (2/2)
Redevelopment is a large, ongoing opportunity in SCM
SCM is an attractive real estate market
52,000 units Supply from redevelopment projects** from 2017 to Q1 2023 in MMR, majorly in SCM
19,642
16,502
o Aspirational value/premium product positioning
o High income, discerning customer base
Cessed buildings - buildings more than 50 years old that need redevelopment in SCM
Buildings that are more than 80 years old and need development in SCM
o High demand across multiple segments and price points
o Family expansion/nuclear family trends have generated demand for housing in
the same and neighbouring submarkets
o Benefiting from expanding segment of young, upwardly mobile professionals
with a preference for living in the island city of Mumbai
SCM Supply* (In units)
SCM Absorption* (In units)
Major Launches since 2021
Gradually improving pricing
562
3,871
423
1,953
New
8,382
Redevelopment
4,162
Suraj’s share
87% Share of redevelopment projects in Suraj’s portfolio
8% Suraj’s market share in redevelopment project launches
Supply (in no of units)
Absorption (in no of units)
2.980
2.075
982
820
864
718
423
432
613
262
2019
2020
2021
2022
2023 (Q1)
Source: Company Commissioned Anarock Report. MHADA * Combined Markets include sub-markets Mahim, Matunga, Dadar, Prabhadevi and Parel; cumulative from 2016 to 2023(Q1) ** cessed buildings redevelopment or housing societies redevelopment
26
Experienced Board Of Directors…
Rajan Meenathakonil Thomas PROMOTER , CHAIRPERSON & MD
Sujatha R. Thomas NON-EXECUTIVE DIRECTOR
Rahul Rajan Jesu Thomas WHOLE - TIME DIRECTOR
Education: B.A.
Education: B.A.
Experience : 36 Years of experience in various aspects of real estate business
Experience : 30 Years of experience in various aspects of real estate business
Education: B.Com, Corporate Finance certificate from Harvard University
Experience : 16 Years of experience in various aspects of real estate business
Sunil Pant INDEPENDANT DIRECTOR
Mrutyunjay Mahapatra INDEPENDANT DIRECTOR
Dr. Satyendra Shridhar Nayak INDEPENDANT DIRECTOR
Education: B.Sc.,LLB, M.Sc (Physics),member of the Indian Institute Of Bankers and All India Management Association
Experience : 36+ years of experience in banking
Previous Stint : Chief General Manager at SBI and consultant at Gerson Lehrman Group
Education: B.Sc.(Physics),M.Sc (Physics)
Education: M.Com, Doctor Of Philosophy
Previous Stint : Deputy Managing Director of SBI, Managing Director and Chief Executive Officer of Syndicate Bank and member of governing council of Reserve Bank Innovation Hub (RBIH)
Experience: Experience in Consulting
Previous Stint : President at Unit Trust Of India; served on the board of Bharat Wire Ropes Limited
27
Experienced Board Of Directors…
Shreepal Shah CHIEF FINANCIAL OFFICER
Shivil Kapoor COMPANY SECRETARY, COMPLIANCE OFFICER
Dipen Seth VICE PRESIDENT - SALES
Education: B.E, MBA
Education: B.Com, LLB, CS
Education: B.Com
Previous Stint : Kotak Investment Banking , P. Raj & Co.
Previous Stint : Svantantra Microfin Private Limited and Ajcon Global Services Limited
Previous Stint : Kanakia Spaces Private Limited and Oasis Lifespaces Private Limited
Gopal Barve CHIEF ENGINEER OF SUBSIDIARY OF THE COMPANY, ACCORD ESTATES PRIVATE LIMITED
Education: B.E., associate member of The Institute Of Engineers (India)
Previous Stint : Siddhivinayak Builders, Abhay Raut , Architect & Interior Designer & Others
Madanlal Jain CHIEF ENGINEER
Education: B.E (Civil), Chartered Engineer Degree
Previous Stint : General Manager (Projects) at International Knowledge Park Private Limited
28
KEY BUSINESS STRATEGIES
Key Business Strategies
1. Enhance Market Leading Position in SCM
Upcoming projects to consolidate our positioning in SCM and expand in to Bandra sub-market
240,412 sq. ft. Developable area completed from 2016 to Q3FY23
6,09,928 sq. ft. Sale carpet area under Ongoing Projects (2023-2026)
7,44,149 sq. ft. Carpet area under Upcoming Projects
Source: Company Commissioned Anarock Report Note: Upcoming and ongoing projects as of May 31,2023
2. Continue to pursue our differential product offerings in value luxury segment
Strengthen presence in value luxury segment, currently witnessing a strong demand trend, resulting in better sales volume and velocity
3. Expand Land Reserves in SCM and Other MMR Sub-markets
5. Continue to focus on redevelopment projects through asset light model
o Follow flexible land acquisition strategies (outright purchase, JVs, JDs, and development management) to benefit from emerging consolidation opportunities
o Land parcels situated at Bandra (West) and Santacruz
(East) for future development
o FSI potential of more than index 2.0
o Consolidation in the real estate industry creating
opportunities
4. Selectively develop commercial projects in the SCM region
Take advantage of increasing demand for smaller independent offices and develop commercial spaces to create value through complimentary asset classes
Follow asset light strategy to reduce upfront land acquisition costs
Capital Efficient
Reduces upfront land acquisition costs
Leverages our expertise and brand
Asset light model for redevelopment of co-operating housing society buildings under DPCR 33(7)(B)
Focus on SCM
Suraj has concluded agreements for redevelopment schemes with two co-operative societies in the recent past
Opens up significant opportunity to expand into other micro-markets in MMR
30
HISTORICAL FINANCIALS
Consolidated Profit & Loss Statement
Particulars
Revenue from operations
Other income
Total income
Expenses
Operating and project expenses
Changes in inventories of construction work in progress
Employee benefit expenses
Other expenses
Total expenses
*EBITDA
EBITDA Margin (%)
Finance costs
Depreciation and amortisation
PBT
Tax expense:
- Current tax
- Deferred tax charge/ (credit)
Total tax expense
Profit after tax
EPS
FY23
305.7
2.1
307.9
166
-31.3
11.6
8.4
154.7
153.1
49.7%
107.4
2.6
43.2
13.6
-2.4
11.1
32.1
1
FY22
272.7
1.2
273.9
180.7
-55.7
9.7
6.2
141
132.9
48.5%
93.1
3.7
36.2
10
-0.4
9.6
26.5
0.8
FY21
240
4
244
164.2
-22.3
7.6
3.9
153.4
90.6
37.1%
79.2
2.4
9
2.8
-0.1
2.8
6.3
0.2
Note : *EBITDA includes other income
32
Consolidated Balance Sheet
Particulars
ASSETS
Non-current assets
a) Property, plant and equipment
b) Intangible assets
c) Right-of-use-asset
d) Financial assets
i) Investments
ii) Other financial assets
e) Deferred tax assets (Net)
Total Non-Current Assets
Current assets
a) Inventories
b) Financial assets
i) Trade receivables
ii) Cash and cash equivalents
iii) Bank balances
iv) Loans
v) Other financial assets
c) Other current assets
d) Current income tax assets (Net)
Total Current Assets
TOTAL ASSET
FY23
FY22
FY21
Particulars
FY23
FY22
FY21
3.4
12.1
0.3
8.9
22.7
3.5
50.8
3.8
12.7
1.2
0.1
4.5
1.1
4.9
14.2
2.0
1.1
2.8
0.8
23.4
25.8
652.3
621.0
565.3
113.1
12.1
15.9
8.2
4.0
85.5
0.8
891.7
942.6
93.2
7.7
15.9
24.1
2.1
76.1
0.5
80.7
6.8
14.0
23.6
7.9
67.6
0.2
840.6
864.0
766.2
792.0
EQUITY AND LIABILITIES Equity a) Equity share capital b) Other equity - Other reserves - Capital reserve related to business combination Total Share Capital Non-Controlling Interest Total Equity Liabilities Non-current liabilities a) Financial liabilities i) Borrowings ii) Lease liabilities iii) Other financial liabilities b) Provisions Total Non-Current liabilities Current liabilities a) Financial liabilities i) Short term borrowings ii) Trade payables - Amount due to Micro and small enterprises
- Amount due to other than Micro and small enterprises
iii) Other financial liabilities iv) Lease liabilities b) Other current liabilities c) Provisions d) Current tax liabilities (Net) Total Current liabilities TOTAL LIABILITIES
15.9
15.9
6.4
71.7
-16.1
71.4 0.1 71.5
345.7 0.0 4.6 1.1 351.4
39.4
-16.1
39.2 0.2 39.4
396.6 0.4 4.5 1.0 402.5
22.9
-0.1
29.1 0.2 29.4
464.0 1.5 3.0 0.9 469.5
247.4
241.6
136.4
0.1
26.8
48.7 0.4 182.0 0.1 14.1 519.7 942.6
0.2
19.1
45.0 1.0 108.2 0.1 6.8 422.1 864.0
0.4
13.8
32.5 0.8 108.0 0.1 1.2 293.1 792.0
33
Consolidated Cash Flow Statement
CASH FLOW FROM OPERATING ACTIVITIES
Particulars
FY23
FY22
FY21
Profit before taxes
43.2
36.2
9.0
Adjustments for Interest expenses/income, depreciation
Operating profit / (loss) before working capital changes
Changes in Working Capital
Direct Taxes (Paid)/Refund Received
106.7
149.9
45.0
-6.4
93.8
130.0
-55.6
-4.6
80.3
89.4
-103.1
-1.2
Net Cash Generated / (Used) in Operating Activities
188.5
69.8
-14.9
Net Cash Generated / (Used) in Investing Activities
-27.1
-21.1
-12.3
Net Cash Generated / (Used) in Financing Activities
-155.7
-44.7
27.0
Cash and cash equivalents at beginning of the period/ year
Cash and cash equivalents at end of the period/ year
Net Increase/ (Decrease) in cash and cash equivalents
6.1
11.8
5.7
2.1
6.1
4.0
2.4
2.1
-0.2
34
ANNEXURES
Ongoing Residential Projects
The Palette
Ocean Star-I
Vitalis
Emmanuel
Suraj Eterna
• This project is in the Luxury Segment and comprises of 3 BHK sea facing apartments with just 2 units per floor with floor to floor height is 12 feet 6 Inches
•
It is strategically located in the close proximity of Dadar Beach
• This project is in Luxury
Segment and comprises of 2 BHK flats and 3 BHK flats which are sea facing apartments
• One of the main USP of this project is the floor to floor height of 12 feet 6 inches
• The development will include facilities and amenities such as clubhouse, swimming pool and landscaped garden, amongst others
•
It is strategically located between Portuguese Church and Siddhivinayak Temple
• This project is in the Value
• This project is in the Value
Luxury Segment
•
It is a 38- storey tower and comprises of 1 BHK flats and 2 BHK sea facing apartments. This project has a dedicated 7- level podium parking. It is strategically located at Lady Jamshedji Road, Mahim (West) and is in the close proximity of Mumbai's Shivaji Park
• This development will include a dedicated amenities floor admeasuring of a 1,000 square feet gymnasium, kids play area, banquet hall, jogging track, amongst others
Luxury Segment and comprises of a Ground + 20 storey tower and having 1 BHK flats and compact 2 BHK boutique sea facing apartments
•
It strategically located off Cadell Road and is in close proximity of commercial hubs at Lower Parel and Worli, malls, theatres and parks
• The development will include gymnasium and all other essential amenities
• This project is in the Value Luxury Segment. It is a 20- storey tower and comprises of 1 BHK flats and 2 BHK sea facing apartments
• This project has a separate mechanized tower car parking. It is strategically located in between the Lady Jamshedji Road and Tulsi Pipe Road, Mahim (West) and is in the close proximity to the upcoming Sitladevi Metro Station
• This development will
include gymnasium, kids play area, yoga / meditation area amongst others
36
Ongoing Residential Projects
Nirvana
Louisandra
Ave Maria
Park View
Suraj Lumina
• A value luxury/luxury
project with Top-of-the-line amenities, excellent connectivity, posh location, and peaceful homes, Nirvana has it all
• At Nirvana, all the
amenities come together to provide the residents with a blissful experience and an extraordinary lifestyle.
• A ground plus 54 storey tower at G D Ambedkar Marg near Haffkine’s Institute, Parel.
• This project is a Joint
venture with Runwal Group
• A Value luxury standalone
tower with compact units of 1&2 BHK
• The project is within minutes from the upcoming Dadar Metro Station
• Easy to invoke Lord Ganesha’s blessings at Mumbai’s iconic Siddhivinayak Temple
•
It is a ground plus 22 storey tower
• A 24-storey value luxury
residential tower in Dadar West, it is one of the city’s most coveted addresses, making it a place to live and grow
•
It is surrounded by a unique confluence of history and innovation, with the city’s finest business hubs and entertainment spots and places of worship
• Ave Maria has 1 and 2 BHK
apartments that are thoughtfully designed to add value to your lives
• A value luxury project with round the clock security, elevators, mechanized tower parking, elegant interiors and more
• Project is in the verdant
Shivaji Park neighbourhood
• The project comprises of both 2BHK and 3BHK configurations
•
•
•
It provides facilities, such as mechanized tower car parking, 24/7 security fire safety provisions, open sky garden, fitness center, rainwater harvesting system, among others. The apartments in the project have sea view
It has close proximity to some of the key landmarks such as Shivaji Park, Hinduja Hospital and Bombay Scottish School
Additionally, the project extends right blend of opportunities and offerings, be it drive to Bandra Kurla Complex for work or Palladium with friends, it is just minutes away.
37
Summary Of Ongoing Projects
Particulars
Remarks
Particulars
Remarks
Area Sold (Sq Ft)
4.66
Total Unsold Area (Sq Ft)
1.44
Average Realisation Achieved (Rs per sq ft)
37,910
Collections Received (Rs Cr)
1,060.35
Average Estimated Realisation Of Unsold Area (Rs Per Sq Ft)
52,083
Balance Receivable (Rs cr)
707.69
Estimated GDV of unsold area (Rs cr)
~750
Receivables from Ongoing Projects ~Rs 1,458 cr
38
Completion Targets For Ongoing Projects
GDV of Rs 708 cr from ongoing projects
Balance Cash flow of Rs 1,458 cr to flow from FY25-FY29E from area sold and balance unsold area
Ave Maria
Eterna
Park View
FY29
FY26
Vitalis
Ocean Star
Suraj Emmanuel
FY27
Suraj Lumina
Louisandra
Nirvana
CCIL Bhavan
The Palette
FY25
39
Ongoing Projects
Project Name
Location
Type
Status
Completion Date (As Filed with RERA)
Project Developable Area (lakhs Sq ft)
Sale Carpet Area (lakhs Sq ft)
Area Sold (lakhs Sq ft)
Unsold Area (Lakhs Sq ft)
Sales Achieved (Rs cr)
Avg Realisation (Rs cr)
Collections Received (Rs cr)
Sr. No.
1
2
3
4
5
6
7
8
9
Louisandra
Ave Maria
Vitalis
Dadar (W)
Residential
Ongoing
30-06-2024
Dadar (W)
Residential
Ongoing
30-12-2024
Mahim (W)
Residential
Ongoing
31-12-2026
Suraj Eterna
Mahim (W)
Residential Ongoing
31-12-2026
Palette
Dadar (W)
Residential
Ongoing
29-06-2024
Ocean Star-I
Dadar (W)
Residential
Ongoing
30-06-2026
CCIL Bhavan (Phase-II-Additional 2.5 floors)
Dadar (W)
Commercial Ongoing
30-12-2024
Suraj Parkview 2
Dadar (W)
Residential
Ongoing
31-12-2026
Saraswat Bank Bhavan (Additional 2.5 Floors)
Prabhadevi
Commercial Ongoing
10
Mestry House
Mahim (W)
Residential
Ongoing
Not Applicable
Not Applicable
11
Nirvana**
Parel (East)
Residential
Ongoing
30-12-2024
12
Emmanuel
Dadar (W)
Residential
Ongoing
30-12-2025
13
Suraj Lumina
Mahim (W)
Residential
Ongoing
31-12-2028
Total
0.63
1.77
3.49
0.61
4.96
2.52
0.27
0.64
0.22
0.17
3.22
0.79
1.04
20.34
0.29
0.23
0.81
0.33
1.8
0.6
0.22
0.21
0.17
0.01
0.91
0.28
0.22
6.1
0.29
0.22
0.51
0.2
1.33
0.42
0.22
0.17
0.17
-
0.84
0.28
-
4.66
-
0.01
0.3
0.14
0.47
0.18
-
0.04
-
0.01
0.07
0
0.22
1.44
99.16
34,430
84.9
38,009
84.36
73.98
204.72
39,850
100.92
72.94
37,081
36.98
571.76
42,991
394.43
177.33
41,876
110.27
89.78
40,062
8.98
75.6
44,379
107.65
61,999
-
-
175.04
20,751
109.16
39,417
-
-
18.35
73.96
-
96.15
61.97
-
1,768.03
1,060.35
40
Strong Project Pipeline and Cash Flow Trends
Sr. No.
Project Name
Location
Type
Segment
Estimated Carpet Area for sale (sq.ft)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
Kowliwadi & Kripasiddhi Building
Prabhadevi
Residential
Value Luxury
Madonna Wing B
Gudekar House & Irani Building
Dadar (W)
Dadar (W)
Residential
Value Luxury
Residential
Value Luxury
Lucky Chawl
Ambavat Bhawan
Marinagar Phase -2
Norman House
Nanabhai Manzil
Lumiere Phase 2
Girgaonkarwadi
Suraj Parkview 1
Bandra Project 3
JRU Property
Bandra Project 1
Bandra Project 2
Mahim (W)
Residential
Value Luxury
Lower Parel
Residential
Value Luxury
Mahim (W)
Residential
Value Luxury
Dadar (W)
Residential
Value Luxury
Mahim (W)
Residential
Value Luxury
Dadar (W)
Residential
Value Luxury
Mahim (W)
Residential
Value Luxury
Dadar (W)
Residential
Value Luxury
Bandra (W)
Residential
Luxury
Byculla (E)
Residential
Value Luxury/Luxury
Bandra (W)
Residential
Value Luxury/Luxury
Bandra (W)
Residential
Value Luxury/Luxury
Final Plot No 426-B
Mahim (W)
Commercial
Commercial
Total
23,887
13,660
22,919
15,351
17,010
54,747
7,074
20,150
19,672
2,00,489
53,053
34,585
21,144
45,566
89,283
1,05,559
7,44,149
41
Land Reserves
Sr. No.
Location
Name of company/entity that is the developer of the project
Company’s /Entity’s effective stake in the project (%)
Leased/ Owned/Developmen t Rights
Plot Area
Square Meters
1
2
3
4
5
6
7
C.T.S.No.918 Mount Mary, Hill Road, Bandra (W)
Accord Estates Pvt. Ltd.
C.T.S.No.930 Mount Mary, Hill Road, Bandra (W)
Accord Estates Pvt. Ltd.
C.T.S. No 917 Mount Mary, Hill Road, Bandra (W)
Accord Estates Pvt. Ltd.
C.T.S. No 929 Mount Mary, Hill Road, Bandra (W)
Accord Estates Pvt. Ltd.
C.T.S. No 931 Mount Mary, Hill Road, Bandra (W)
Accord Estates Pvt. Ltd
C.T.S. No 916 Mount Mary, Hill Road, Bandra (W)
Accord Estates Pvt. Ltd
100
100
100
100
100
100
Leasehold Rights
1,173.57
Owned
364.21
Development Rights
3,884.91
Development Rights
1,740.12
Development Rights
890.29
Development Rights
1,578.25
Total Bandra (W)
9,631.35
CS No 3429, 3430 and 3262 - Kole Kalyan Property, Santacruz (E)
Suraj Estate Developers Ltd.
100
Development Rights
728.42
Total
Total Santacruz (E)
728.42
10,359.77
42
Completed Projects
Sr. No
Project Name
Location
Type and configuration
Name of company/entity that is the developer of the project
Developed Area
Date of Occupation certificate
Occupation certificate for all floors
Company's / respective entity's stake in project
(%)
100 100
100
100 100
100 100
(square meter)
2,756.27 356.22 (FSI area) 1,038.86 (FSI area)
2,749.03 5,850
1,839.62 8,402.50
(square feet)
29,668.49 3,834.35 (FSI area) 11,182.29 (FSI area)
29,590.56 62,973
19,801.67 90,444.51
13-03-2019/17-10-2022
15-10-2011
Yes/ No
Yes
Yes
26-02-2019
Yes (Except for 4 Flats)
27-08-2019 06-12-2021
27-08-2021/29-04-2022 22-03-2006
Tranquil Bay-II Tranquil Bay-I
Dadar (W) Dadar (W)
Residential Residential
Suraj Estate Developers Suraj Estate Developers
Ocean Star-II
Dadar (W)
Residential
Suraj Estate Developers
Mon Desir
Mangirish
Dadar (W)
Dadar (W)
Commercial / Residential Residential
Suraj Estate Developers
Accord Estates
St Anthony Apartments
Mahim (W)
Residential
Suraj Estate Developers
Brahmsidhhi CHS
Prabhadevi
Residential
Suraj Estate Developers
1 2
3
4
5
6
7
8
9
Saraswat Bank Bhavan (Phase- 1-upto 7th floor
Prabhadevi
Commercial
Suraj Estate Developers
100
3,986.24
42,907.89
16-10-2010
Suraj Height -I,II,III
Goregaon (E)
10
Christina Apartments
Santacruz (E)
Commercial / Residential
Commercial / Residential
Suraj Estate Developers
Suraj Estate Developers
11
12
13
14
15
Suraj Muktiyash
Dadar (W)
Residential
Suraj Estate Developers
Suraj Sadan
Mahim (W)
Residential
Suraj Estate Developers
CCIL Bhavan (Phase-I-up to 6th floor
Dadar (W)
Commercial
Suraj Estate Developers
Godavari Sadan
Dadar (W)
Residential
Accord Estates
Rahul-1
Dadar (W)
Residential
Suraj Estate Developers
100
100
100
100
100
100
100
5,882.07 (FSI area)
408.8 (FSI area) 1,441.67 (FSI area) 499.69 (FSI area)
5,949.68 (FSI area) 773.50 (FSI area) 1,562.51 (FSI area)
63,314.60 (FSI area)
4,400.32 (FSI area) 15,518.14 (FSI area) 5,378.66 (FSI area)
64,042.35 (FSI area) 8,325.95 (FSI area) 16,818.85 (FSI area)
08-02-1996
23-04-2003
12-03-1996
19-01-1994
13-02-2012
21-07-2003
14-07-1997
Yes Yes
Yes Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
43
Completed Projects
Sr. No
Project Name
Location
Type and configuration
Name of company/entity that is the developer of the project
16
Rahul-11
Dadar (W)
Residential
17
Vinayak Darshan
Dadar (W)
Residential
18
Bobby Apartments
Mahim (W)
Residential
19
Suraj Venture-A
Mahim (W)
Residential
20
Suraj Venture-B
Mahim (W)
Residential
21
Hallmark
Wadala (E)
Residential
22
Harmony
Dadar (W)
Commercial / Residential
23
Neat House
Dadar (W)
Residential
24
Madonna Wing A
Dadar (W)
Residential
25
Our Lady of Vailankanni & OurLady of Perpetual Succour
Mahim (W)
Residential
26
Our Lady of Lourdes
Mahim (W)
Residential
27
Jacob Apartments
Dadar (W)
Commercial/ Residential
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Suraj Estate Developers
Company's / respective entity's stake in project
Developed Area
Date of Occupation certificate
Occupation certificate for all floors
(%)
100
100
100
100
100
100
100
100
100
100
100
100
(square meter)
1,278.07
(FSI area)
866.25
(FSI area)
373.75
(FSI area)
1,250
(FSI area)
1,909.89
(FSI area)
450.8
(FSI area)
370.09
(FSI area)
1,812.95
(FSI area)
995.3
(FSI area)
7,025.43
(FSI area)
1,680.48
(FSI area)
1,087.69
(square feet)
Yes/ No
13,757.15
(FSI area)
9,324.32
(FSI area)
4,023.05
(FSI area)
13,455
(FSI area)
20,558.05
(FSI area)
4,852.41
(FSI area)
3,983.65 1
(FSI area)
19,514.59
(FSI area)
10,713.40
(FSI area)
75,621.72
(FSI area)
18,088.69
(FSI area)
11,707.90
20-04-1993
03-12-1992
22-05-2003
03-11-1990
14-01-1992
30-11-2016
Yes
Yes
Yes
Yes
Yes
Yes
06-04-2010
Yes (Except for 4 Flats)
18-09-2000
07-08-1999
15-11-2003
07-10-1996
Yes
Yes
Yes
Yes
16-03-2006
Yes (Excep for 4 Flats)
44
Completed Projects
Sr. No
Project Name
Location
Type and configuration
Name of company/entity that is the developer of the project
Company's / respective entity's stake in project
Developed Area
Date of Occupation certificate
Occupation certificate for all floors
(square feet)
Yes/ No
01-04-2005
Yes (Except for 4 Flats)
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
Gloriosa Apartments
Dadar (W)
Residential
Suraj Estate Developers
Lavanya Apartments
Dadar (W)
Residential
Suraj Estate Developers
Shweta Apartments
Dadar (W)
Residential
Suraj Estate Developers
Sujatha Apartments
Dadar (W)
Residential
Suraj Estate Developers
Suraj Eleganza -1
Mahim (W)
Residential
Suraj Estate Developers
Suraj Eleganza -11
Mahim (W)
Residential
Suraj Estate Developers
Eternity Apartments Mahim (W)
Residential
Suraj Estate Developers
ICICI Apartments
Dadar (W)
Residential
Suraj Estate Developers
ICICI Apartments
Prabhadevi
Residential
Suraj Estate Developers
Diomizia Apartments
Dadar NJ)
Residential
Suraj Estate Developers
Elizabeth Apartment
Dadar NJ)
Commercial/ Residential
Lumiere
Dadar NJ)
Commercial/ Residential
Suraj Estate Developers New Siddharth Enterprises
Mahadevachiwadi CHS
Parel
Commercial/ Residential Accord Estates
Suraj Vista
Dadar (W)
Residential
Suraj Estate Developers
Elizabeth Apartment
Elphinstone Road
Residential
Suraj Estate Developers
Total
(%)
100
100
100
100
100
100
100
100
100
100
100
100
100
100
100
(square meter) 3,343.56 (FSI area) 1,610.80 (FSI area)
1,265.26 (FSI area) 800.15 (FSI area) 1,302.47 (FSI area) 1,635.36 (FSI area) 552 (FSI area) 1,333.57 (FSI area) 1,631.48 (FSI area) 1,375.61 (FSI area) 3,769.84
35,990.08 (FSI area) 17,338.65 (FSI area)
13,619.26 (FSI area) 8,612.81 (FSI area) 14,019.79 (FSI area) 17,603.01 (FSI area) 5,941.73 (FSI area) 14,354.54 (FSI area) 17,561.25 (FSI area) 14,807.06 (FSI area) 40,578.56
12-03-2003
25-04-1996
27-04-2001
25-07-2005
03-01-2007
22-04-2010
31-03-2000
30-03-2007
14-02-2011
27-03-2020
3,880.06
41,764.97
30-12-2020/29-09-2022
9,061.85
97,541.75
(FSI area) 473.3 (FSI area)
(FSI area) 5,094.60 (FSI area)
2,593.20
27,913.20
(FSI area)
(FSI area)
97,225.31
10,46,543.20
27-10-20 15
18-09-1996
23-10-1992
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
45
For further information, please contact
Company :
Investor Relations Advisors :
Suraj Estate Developers Limited CIN - L15142DL1974PLC007349
Strategic Growth Advisors Pvt. Ltd. CIN - U74140MH2010PTC204285
www.surajestate.com
Mr. Rahul Agarwal/Ms. Brinkle Shah Jariwala rahul.agarwal@sgapl.net /brinkle.shah@sgapl.net
+91- 9821438864 /+91-96193 85544 www.sgapl.net
46