NBCC (India) Ltd

Good morning, ladies and gentlemen. I'm Madhuri, moderator for the conference call. Welcome to NBCC Q2 FY24 Results Conference Call. As a reminder, all participants will be in listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need any assistance during the conference call, please signal an operator by pressing * and then 0 on your touchtone telephone. Please note this conference is recorded. I would now like to hand over the floor to Mr. Dhananjay Mishra. Over to you sir.

Thank you, Madhuri. Good morning. Welcome to you all for Q2 FY24 results conference call of NBCC Limited. We are happy to host the management of NBCC Limited. From the management side, we have Shri K. P. Mahadevaswamy, Chairman cum Managing Director; Smt. B. K. Sokhey, Director Finance; Shri Saleem Ahmed, Director Projects; Shri Rajendra Chaudhuri, Senior Executive Director Engineering; Smt. Reshma Dudani, Executive Director Engineering; and also Investor Relations, Balkishan Singla. So now I hand over the call to the management to give initial remark on results and current business outlook. Over to you, sir.

Good morning to all. I am thankful to the Government of India & you, that is investors, shareholders, for giving me an opportunity to serve as CMD NBCC India Limited.

First of all, I wants to thank you all the shareholders and particularly you, investors, who strongly believe on NBCC had helped us to climb the share price INR 72.5 few days back and this place was before five years. Even in February, when I took the responsibility of Director Commercial, it was around INR 35 and now it is around double. And I assure you as a CMD of this company, in coming years our performance will elevate multi-fold.

In the next one week, similarly another advanced technology (precast technology) that is neutral technology, shall be used in construction of around INR 1,500 crores work, which shall be started in this month only, the completion period is 24 months. We are also targeting to achieve excellent rating, so that NBCC regain the position before COVID era as per MOU parameters. When it comes to solving problems of halt stalled projects, NBCC is the first who solved the Amrapali's home buyer’s issue, out of total more than 4.2 lakhs of stuck investors in major metro cities and particularly Delhi and NCR. There is a say that, give the control to private company when PSU don't work like Air India, it must revive, but here we turned the table.

The biggest builder of NCR failed to deliver the homebuyers to even last 10 years, we deliver the homes around 15,000 homebuyers in just three years, and we shall deliver another 20,000 before March 2025. When it comes to selling of the spoiled project inventories carrying bad names that is Amrapalli, we sold INR 1,300 crores inventory in last six months, which is more than last complete year sale of INR 1,331 crores. And I am sure we sold remaining inventory that is INR 1,600 crore, Ambrapali flats, in next two quarters. This model shall be replicated in NCR and Mumbai who is facing such big problems, primarily.

When come to selling of commercial unsold inventory, after its construction, very proudly, we can share that in the last six months we sold INR 2,650 crores commercial space that is in World Trade Center, which is more than the sale of last year, which is INR 2,024 crores. Before March 2024, we'll be able to sell remaining units after its construction. And I'm also confident that we will fetch around INR 200 crores to INR 300 crores real estate inventory by selling all available unsold inventory pan India basis that is owned by NBCC. We are also expanding the real estate sector in two Tier cities. Regarding our subsidiaries, HSCC, HSEL, and NSL. When it comes to performance, our subsidiary HSCC, HSEL, NSL are performing well and I assured you the performance shall be better in coming years.

Business development - when it comes to business development, NBCC already achieved secured INR 7,100 crores business in last six months, which is more than last year business achievement of INR 6,500 crores, and we are comfortable to achieve another INR 10,000 crores during the financial year.

Redevelopment- It is fair to say that NBCC established in reliable construction PSU for redevelopment work after delivering Moti Bagh, Kidwai Nagar, WTC through different models of development. Even Bharat Mandapam is also developed after demolition of existing building and G20 was organized there (international level of appreciation we gained).

WHO headquarter, another such kind of work, recently 11 country's Health Minister attended the Plantation Ceremony in the presence of Honorable Health Ministers. Kerala Housing Board is another variety of redevelopment model. This model shall be repeated for PSUs across pan India and more than 3,000 acres land parcel they have in all major cities. Step in overseas. We already step-up concrete foot in overseas, particularly African countries, Maldives, Mauritius. The social housing work is in full swing in Maldives. We are hoping that we'll tap some business in Arabia and Africa in coming months.

Technology- we are using advanced construction technology in housing works in India as well as in overseas. This has not only speed of the progress but improves quality at the highest level. This shall also reduce much more dependence on labor workforce. NBCC is also working on top to put place some 3D printing technology construction for better and quicker constructions. Composite structures work also be done in small level by NBCC, but HSCL has exclusively presence in steel infrastructure developments. Similarly, HSCC is exclusively in hospital sectors. So currently doing three to six AIIMS across India, even NBCC has very strong presence in hospital sector.

Post construction maintenance, when it comes to post construction maintenance and interior works of office space, NSL is increasing its presence in pan India, even in Kidwai Nagar, Moti Bagh, NBCC exclusively handling the operation and maintenance of work 30 years of O&M, and it also plays in case of ongoing GPRA reconstruction, Sarojini Nagar, Netaji Nagar and WTC.

Diversification - We are also taking some steps in to diversify NBCC roads, highways, overseas metro stations, solar, irrigation projects, water supply sectors. Some good news in this regard is expected

soon. At last, I shall greet you for a Happy and Prosperous Deepawali to you and your loved ones.

Thank you. Now forum is open for the question.

Q&A

Thank you, sir. Ladies and gentlemen, we will now begin the question-and-answer session. If you have a question, please press * and 1 on your telephone keypad and wait for your turn to ask the questions. If you would like withdraw your request, you may do so by pressing * and 1 again. So, the first question comes from Dixit Doshi, Whitestone Financial Advisors Private Limited. Please go

Thanks for the opportunity. Sir, my first question is, what is our current outstanding order book, including all the subsidiaries and Amrapali and all the redevelopment projects?

Around INR 55,000 crores consolidated level.

Okay. And of this INR 55,000 crores, how many projects the work is already started?

Almost, Amrapali, all the projects already awarded except one Tech Park, out of 25 projects, 24 are already awarded, one project yet to be awarded that is Tech Park. Whereas in seven GPRA, almost eight projects already awarded, rest projects, we were awarding. It is in process.

So, in terms of value of this INR 55,000 crores.

In terms of value, already awarded around INR 20,520 crores.

INR 20,500 crores. Okay. Now my second question, you said about in the opening remarks about how much order we have received this year in H1. If you can mention it again and how much we are targeting?

We have received so far INR 7,094 crores, that is INR 7,100 crores we have received so far during this financial year.

Okay. And we are targeting another INR 10,000 crores.

Another INR 10,000 crores. Amrapali is still another INR 8,000 crores to INR 9,000 crores we have, that it will come during this year. And we have lots of PSUs, railways which require of their land parcels.

Okay. And broadly this INR 55,000 crores order book will be around 8%, 9% margin?

Approximately around 6% to 8%.

6% to 8%, okay. Now, in terms of our real estate business, our own real estate. How much is the ready inventory we haven't composed that?

Around INR 800 crores is ready to move inventory we have, some projects, one or two projects will be completed in this quarter only. So, total INR 812 crores inventories are available.

Okay. And how much will be extra land bank post this?

INR 670 crores land bank parcel we have. That we’ll bring to start the…

Okay. And typically in our own real estate, what kind of margins we expect?

Around 20% to 25%.

Okay, fine. That's it from my side. I'll join back in the queue. Thank you.

Thank you, sir. The next question comes from Vasudev Ganatra from Nuvama. Please go ahead.

Yes. Thank you for the opportunity, sir, and also congratulations on a great quarter. And sir, it was very good to see the opening remarks was so brief in details. So, sir my first question is that, this INR 7,900 crores of order intakes, which you said that was on standalone or consolidated basis?

It is on consolidated basis. NBCC secured INR 4,600 crores, HSCL some INR 300 crores, and HSCC INR 1,900 crores. So, totalling up INR 7,094, it is consolidated basis.

Okay. And so then, sir, this INR 55,000 crores of order book which you sell. So, would it be possible to split between the PMC and the redevelopment?

We can say 42% in redevelopment, 58% on PMC.

Okay, sir. And, sir, if you can give us that on the consolidated basis, how much projects we've awarded in Q2 and how much are we still planning in the H2?

We have already awarded the INR 4,333 crores work order and we are planning to award INR 5,300 crores during this year. In total, it will be around INR 9,600 something like that.

Okay. And so, now that our margins are back on track, so how much do we plan to do for the full year, like, our EBITDA and PAT margins?

EBITDA, around 5% to 5.5%.

Okay.

During this year, EBITDA will be around 5% to 5.5%. Next year, we are planning 5.5% to 6%.

Okay.

And next year, business development, we are targeting around INR 20,000 crores and tenders will be around INR 12,000 crores.

Okay, sir. And what are the PAT margin that you're looking for FY24?

Similar range. PAT margin same, almost 5% to 5.5%.

Okay. And what is the real estate inventory that we sold not till date?

Till date, around INR 54 crore of real estate we booked during this year. So, expected another INR 100 crore to INR 154 crore will be booked during this quarter only. There are two prospective buyers are in the line. And by December, I think we will go to sell another INR 100 crores.

Okay. And sir lastly, if you can give the status update on the seven GPRAs calling work?

Seven GPRA, already we are working in various packages. So for Nauroji Nagar, this value will be, almost 91% we have already completed and balance will be going to complete by before March.

March, we will complete in all respect, Nauroji Nagar. And regarding sale also, we already sold around INR 8,750 crores. And during this year, INR 2,650 crores already sold out and the balance will be another only INR 5,000 crores, that I think we're going to sell before March.

Regarding Netaji Nagar's construction, the general GPOA, the work is in full swing, almost 42% we have already completed. By upcoming July, we’re going to complete this also. Regarding other projects, Type 6, Type 4, another Type 2 quarters, so the work is going on in full swing.

Okay, sir. And Sarojini Nagar is fully completed, when?

Sarojini Nagar, around 3,600 work in progress, that is Type 2 quarter INR 890 crores commercial almost completed, 92% already completed in commercial near metro stations. Type 5 quarters already we have started and Type 4 also we have started. Yesterday, we had Bhumi Pujan for Type 4 and Type 5, valuing of around INR 1,700 crores. Type 6 quarters we're going to award today or tomorrow. So, that also we're going to start immediately. And one local shopping centre already in progress, multi-level car parking also in progress.

Okay. And sir, what was seed money in total and how much is the pending interest on that?

Madam please.

B.K. Sokhey, Director (Finance)

Good morning. The seed money outstanding as on date is INR 1,011 crores, which comprises of principal amount of INR 775 crores. We have received back the principal amount of approximately INR 200 crores from the ministry because we have not enough money from the sale of the Nauroji Nagar project and we have also received the interest during this quarter to the extent of INR 69 crores and the balance outstanding interest is now INR 235 crores.

Okay, ma'am.

B.K. Sokhey, Director (Finance)

Am I clear, or do you want anything else?

No, I'm clear on that. Just one question on this, NBCC green project, so now we have to demolish the entire project. What are the steps we are taking to ensure that such kind of thing does not again repeat in future in any other projects?

The quality, we have created in-house quality department and we are engaging third-party in all the projects and personally Directors and including CMD top officials are monitoring. So in future, that type of things will never happen. So, we have taken all precautions. And for quality control, we are sending the materials directly by NBCC officers. Earlier, contractor used to send the samples. And all the sites, we have installed the RO plants, the quality majorly problem in water or sand.

These two materials, other materials are tested by the laboratory as well as manufacturers. But these two, we have already taken care and we are addressing these two issues. And apart from that, we have issued so many technical circulars to our officers and we are personally monitoring this quality. The quality division created at HO level, in regional offices levels. And I think in future, and one more thing, we had changed the technology. So, we are using now MIVAN Technology or Precast Technology, so the quality part, I think in future, zero tolerance on quality.

Okay. That was all.

Thank you, sir. The next question comes from Rohit Natrajan, Antique Stock Broking. Please go

Thank you for this opportunity. Sir, now that the new CMD as a role that you have taken up, what exactly do you have in mind roadmap for the next five years? Where do you see NBCC's execution net profit going to? Will it be like INR 20,000 core revenue, INR 1000 crore net profit, that kind of a vision and if you could share, it would be really helpful?

Definitely. Next five years, our target is around, the top line is around INR 25,000 crores and the bottom line, that is PAT will be around INR 1,000-1,200 crores. This is our roadmap for which we wish to do diversification also which includes redevelopment of metro cities. Now, presently our existence is only Delhi. However, we have secured INR 2,000 crores redevelopment work in Cochin.

Similarly, we are expecting some projects in Mumbai, Bangalore and other metros, Kolkata. And in Delhi also, we are going to get another two projects on redevelopment model. So, our top line will be around INR 25,000 crores, bottom line INR 1000-1200 crores.

Okay.

And we wish to start our real estate projects. There, we can get good margins, some 20%, 25% margins. We have few land parcels. So, during this year, we’re going to start Jaipur, Coimbatore. And of course, Patna we have one land parcel. So that also we’re going to start these to ensure top end as well as bottom line.

Sir, I'm given to understand that you have an expertise in turning around stressed assets like Amrapali project, for instance. What is your roadmap to take this redevelopment portfolio that you have, almost like INR 22,500-odd-crores? I understand that you have done multiple round of commercial monetization, three auction route. And so far, you have got close to INR 8,700-odd- crores. But what my point here is that, this monetization pace is not really moving up. Look, for

instance, our target in the last round of monetization was almost like INR 5,700 crores, but we could fetch only 25% of it. What seems to be the disconnect, sir?

Now, all the real estate properties, the rates are also increasing. Just example, Amrapali, we started the selling of the rate in some X rupees. Now the rate is X plus 40, around 40. So, 40% increased and still increasing and we have already sold around 4,500 units which was the largest including any private sector in Amrapali and we have fetched around INR 2,500 crores value. So, the inventory is very less now in Amrapali. Additional FAR, we are waiting for the court direction. Once we receive the FAR decision, so we can do construction there as well. So that, each and all homebuyers should get their home. They have waited for long 8 to 12 years. So, the waiting period is over. Now, before 2025, we're going to complete all the projects in Amrapali that is in span of three to four years we have completed INR 8,000 crores value and around 38,000 homebuyers will going to get their home.

Sir, I appreciate your comments on Amrapali, but my question was more to do with the 1.47 million square feet which we were planning to sell on 23rd October 2023 through E-auction. The site was at WTC in Nauroji Nagar. Ideally speaking, this is a prime location, and you are already selling at almost like INR 40,000 per square feet as such, but you could manage only 0.39 million square feet, that is almost like 26% of the target and could regain only INR 1,500 odd crores kind of number. What seems to be the disconnect? Like, here the number, the figure that initially you were looking.

Disconnect is nothing. Actually, earlier we used to sell this property to government agencies, government. Now, that is almost banned. So, we are selling to only private agency and PSUs only.

The Nauroji Nagar property has to be sale as per the recent directive, only private and PSU. The last auction, we sell it to HDFC one full tower. So, valuing of around INR 1,100 crores. Similarly, we have some other buyers in PSU. Petronet, also we sold around three floors. So similarly, before March we will go and sell it.

Earlier, it was only INR 200 crores to INR 300 crores sale, now we reached 1500 crores last auction, we reached, before that last auction INR 822 crores, out of which INR 550 crores we sell to private agency. Similarly, last auction, we sell it around INR 1,500 crores, out of which INR 1,200 crores only private agency. Private agency, basically they want to purchase the property. They can go for Noida or Gurgaon, still they are purchasing in World Trade Centre. There is no miscommunication, there is no gap rather. So, another one or two auction, we'll going to well it all the properties.

Got it, sir.

Now, they're inquiring and they have to come through auction. I think next section, it will be, I think we can sell around INR 2,000 crores, already in the pipeline, they are in the pipeline.

Got it, sir. So, just to harp on this particular topic, that is Nauroji Nagar. Let's assume you are already selling it at INR 40,000 per square feet. Given that you want to do much bigger volume is the price discretion, that is to reduce the price from INR 40,000 to say a reserve price of lower reserve price and then go call for E-auction. Is that option or flexibility do you have with you?

Not necessary. We're going to sell all the properties in one or two auctions. Now, the market, real estate markets are also increasing. Not necessary. Reducing, of course, it has been approved by the cabinet, it is not easy to reduce the reserve price.

Okay. Got the point, sir. Thank you. That's it from my side.

Thank you, sir. The next question comes from Venkatesh Subramanian, LogicTree Consultants Private Limited. Please go ahead.

Yes. Good morning, Mr. Mahadevaswamy. Wish you a very Happy Diwali.

Thank you. Wish you the same.

And, you’re bubbling with profitability and optimism, which great to hear from NBCC after a very long time, sir. Congratulations. So that's one. Two questions, sir, a lot of my questions, Rohit and Dixit has asked. So one is, you talked about the big plans that NBCC have, and you're talking about using PSU land banks and then there are some other projects of metros, et cetera. Can you give us

some color on what kind of project, because even the Prime Minister has been talking about urban development and making India housing for all et cetera. Will we be participating in such projects?

Regarding metro, we have already discussed with our Delhi Metro. So, they are going to participate the construction of metros and across world. So there, we are going to sign a MOU with them. And regarding internal metro, that is Kochin Metro, we are already working with them. So, they wanted to construct around 20 metro stations. So NBCCs, they're having the vast experience in building metros. However, as the metro line will be done by Kochin Metro, and metro station, we are in a mutual understanding with Kochin Metro.

And regarding PSUs, lot many PSUs, example, I don't want to put their name presently, because it will be confidential. But lots of PSUs having their vast land parcel in the city area. And they are paying huge interest on their loan amount. Once we did the redevelopment model, so they can get their money more than what their land cost, because the construction is done by us and we will going to charge the PMC. So, by that, they can pay their loans and that company can get profit. This is our main idea.

Okay. So, when you're talking about these projects, so all this is part of your INR 20,000 crore top line that you're projecting for next year.

Rather INR 25,000 crores next year.

INR 25,000 crores. Okay sir. The next question is, you're talking about various projects on one side Amrapali, EPC. Sir, NBCC as an organization and you also want to expand into a bit into Africa, Maldives, Arabia. Do we as an organization have the manpower and the team to execute? Do we have the execution bandwidth to achieve such numbers?

I am talking about NBCC's current manpower, around 723, we have technical qualified engineers and the 125 CA, ICWA, 73 MBA in HRM. So, we have full strength. So, to take up any value of projects, whether it is in India or abroad. Since, we already completed so many projects in abroad, Maldives, Mauritius, and the Dubai Expo also done by NBCC. So, we have all expertise and I think there is no short fall in manpower as far as manpower is concerned.

Right sir. Yes. Just two last questions from my side. One is, you said, there is something prospective that we could be looking forward to in terms of announcement. Would that be in the infrastructure side or on the housing particulars? Because I'm trying to align with the government's objective for the sector, housing sector.

No, housing is also there, housing and infrastructure and we wanted to do some diversification also.

Irrigation projects, since NBCC has successfully completed a VIDC irrigation project at Nagpur, so we are focusing on irrigation projects as well as railway redevelopments. All the railway stations in the metros, they have very good land parcel and they're unable to do their maintenance and all. So, it is old structures in depleted conditions. We wanted to redevelop that also. So, we are thinking to diversify also, as well. So, they around 2,000-acre land parcel. We had an initial discussion with them. So, at the earliest, we are going to give good news to you.

Okay. Right, sir.

Once it is approved.

Right sir. Last question, sir, which is, you are under the Ministry of Urban Development. Is that right, sir?

Yes.

And the Ministry also in terms of that we obviously need a lot of Central Government support and because like the Defense Ministry, defense stocks have done well, rail stocks have done well. Are we aligned with the Ministry in terms of vision for achieving these things?

Definitely. We are at talk with the Ministry, Defense also. We wanted to do redevelopment of defense as well as. So, I don't want to disclose their names presently because our competitor reach there and we may face some problems. That's why I don't want to disclose their names.

I understand. I won't query you on that. Sir, this year’s top line you're projecting approximately INR 11,500 crores, sir, broadly?

Yes, around INR 11,000 crores to INR 11,500 crores.

Okay. Right, sir. Wish you all the very best, sir. Thank you so much.

Thank you. sir. Dear participants if you have any question, please press star and one on your telephone keypad. The next question comes from Akshaya Patil, Individual Investor. Please go

Akshaya Patil

Hello. Am I audible?

Yes. You are audible.

Yeah. First of all, congratulations to K.P. Swamy sir for being appointed as CMD. We as shareholder have great faith in his execution. So, first question, provisioning of INR 65 crores has been done in this quarter. As of now, any further provisioning is required for NBCC Greenview, or is this the final one?

I think this is the final one, but what is happening, somebody wants to refund, somebody wants reconstruction. So, due to this, we are unable to finalize. Otherwise, we wanted to close this issue as early as possible, because of two-three groups we are unable to settle their issues. And, our main focus is, we wanted to settle this issue during this financial year itself. We are creating provision, but so far, we have not dispersed, because there is no unity between the groups, existing homebuyers, because of that we are unable to settle.

Earlier, we are offered for 5000 run rate buybacks that only few people accepted, and the second offer, we have thrown them is 6% interest. So, for which we have created this provision. Anyhow, I think during this year, this issue also we are going to resolve, because only 200 homebuyers are there. In Amrapali, we have resolved around 38,000 homebuyer issues and this issue, I think, very small issue, but still it is a very concerned area. We are focusing on this and we're going to settle at that earliest. Don't worry.

Yes. And all the best for that. And next thing is, the case has been filed against Ramacivil Company for recovery of INR 750 crores, I guess. Sir, can you enlighten more on this one?

It is under subjudice. So, once court decisions will come, then definitely we'll revert back to you.

Okay. And one more query, what will be the impact of ban on constructions in Delhi on revenues and profitability in this coming quarters?

No. There will not be. I think, for only few days, the construction ban will be there. Of course, we have already planned. Internal work we can do, only concreting and earthwork that cannot be done.

I think today with the grace of god, rain already came at. I think it will be going to lift the ban. So, there will be no impact on our quarter results. Only during this month for a few days, we have problem, but it is very good season. I think we'll come out with this. We already planned some activity in the banned area period.

Okay. And, can you enlighten us on the impact of land monetization national infrastructure pipeline on order book revenues and profitability NBCC?

That's what I'm saying. Actually, we are focusing two, three PSUs. They are already discussing with us. So, they are paying their interest, every year they're paying INR 200 crores, INR 300 crores interest. By this, they cannot earn the profit also, they are running in loss. So, we had a discussion with some PSUs. So, they are ready to, willing to do the redevelopment model. So once it is approved, our top line as rightly I already told you, that during this year the turnover won't come, but of course, the tender and all that part can be completed. From next year onwards, we can do construction in full swing and they can pay the interest as well as the principal amount also. So, by doing the redevelopment model, I think, they can repay their payment.

Yes. Your words have giving me the faith that NBCC goes back to the golden days, which it was and I think three year back.

Definitely.

Congratulations to you, sir, once again.

Thank you. That's all for my side.

Thank you, sir. The next question comes from Dhananjay Mishra, please go ahead.

Hello, sir. So, regarding your provision, you have done in the Gurgaon Sector 37D. And till date, we have done about 224 crores of provisions. And also, we have filed claim of amounting INR 700 crores. So, against whom we have filed this claim and what is the expectation within this claim?

The claim against that contractor that is Ramacivil Infrastructure INR 750 crores. It is under subjudice. And this is only provision for making the payment and settle the homebuyers.

Okay. So, till this settlement happens, we will be making quarterly provisions or is it the last one?

I think this is the last one.

Okay. And also, sir, I had recently visited NCR region and we have seen prices has put up close to 40% in Noida, Gurgaon. So, are you also, in your project, you are seeing same kind of price?

Yes, definitely. The market rate has increased in, of course Amrapali, last February we started to sell the inventory. Now, we have increase in the same project, the rates are increased more than 40%, 45%. Similarly, Gurgaon has increased more than 50%, 60%. So, we're going to fetch ample amount in 37D once the issue resolved. That I can ensure you. Whatever provisions we are making that will going to recover in a year, year or so.

So, any specific region you see for such a 40%, 45% movement in a last one year?

Because after COVID, once again, the business started gaining and everybody wants to buy their home, some investors are also investing. So, this is the reason, investors as well as homebuyers.

They have confidence on NBCC. After waiting eight years, they're getting their homes, all the homebuyers are sharing their views. They booked 10 years back, now they're getting their home. So that is the one confidence, not only NBCC, in the whole Noida area redevelopment, because all the private players they're not giving their homes in time. Whereas NBCC is giving in time as well as quality products. That is the confidence on NBCC.

And you said that, now you will make sure that our project quality will be at par with the other player, and that you will ensure, because our project is still at discounts, I said the prices, compared with the other projects and we are still at, I think, 10%, 15% discount when I'm comparing projects in surrounding area.

Yes. Definitely. That's why we are changing our technology also. So earlier, you used to do brick and mortar and column, so the quality could not be achieved. Now we are going to monolithic construction and in one of the recent project in 7 GPRA that is precast technology.

So, precast technology, the quality can ensure that the slabs, beams, stake, everything is captured at the yard and simply erected at site. So, we can get good quality. So that is the reason. We are focusing on quality. So, we have introduced new technology. And, of course, in our real estate also we wanted to do with the MIVAN shuttering, that is aluminium shattering. So that we can ensure the better quality and we wanted to put richer specification. Nowadays, the homebuyers want good quality and richer specification. So, for same thing we are incorporating in our tender conditions.

Okay. Thank you, sir. I wish your team are very Happy Diwali and prosperous New Year. Moderator, take the next question.

Okay, sir. The next question comes from Vasudev Ganatra, Nuvama. Please go ahead.

No, all my questions are answered. Thank you.

So, the next question comes from Dixit Doshi from Whitestone Financial Advisors Private Limited. Please go ahead.

Yes, thanks for the opportunity again. Just one clarification, in Amrapali project we'll be getting the PMC fee, right? Any price increase or the upside is not for us?

It won't come to us. We are getting fixed PMC 8% and 1% on marketing. Apart from channel partners they are selling that PMC, that marketing fees also we are getting. So, 9% we are getting overall on Amrapali projects. Whatever increase that will be going to Supreme Court that is Court receiver.

Okay. That's it from my side. Thanks.

Thank you, sir. There are no further questions. Now, I hand over the floor to the management team for closing comments.

Once again, thank you all the investors and shareholders and wish you Happy Deepawali in advance.

And I think in next quarter, we can come with good results and good news. Thank you.

Thank you, sir. Ladies and gentlemen, this concludes your conference for today. Thank you for your participation and for using Door Sabha's conference call service. You may disconnect your lines now. Thank you and have a pleasant day.

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