Prestige Estates Projects (NSE:PRESTIGE) Q2 2027 Earnings Call

0:00 Ladies and gentlemen, good day, and welcome to the Prestige Estates Limited Q2 FY 'twenty seven Investors Conference Call hosted by AXIS Capital. As a reminder, all participant lines will be in the listen only mode, And there will be an opportunity for you to ask questions after the presentation concludes. Please note that this conference is being recorded. I now hand the conference over to Mr. Prestige Estates from AXIS Capital. Thank you, and over to you. Thank you. Yes. Good afternoon, everyone. And on behalf of Axis Capital, I welcome you all to the call, and thanks for joining.

0:49 From the management of Prestige Estates, we have Mr. Ilhan Razaq, Chairman and Managing Director Mr. Zed Noman, Executive Director and Mr. Amit Moor, Chief Financial Officer. I'll now hand over the call to the management for their opening remarks. Thank you, and over to you, sir. Good afternoon, everyone. Thank you all for joining in. Firstly, let me wish all of you a very happy Diwali and all the best for the New Year and may this festival of life bring shares to everyone. With this, I request Zed Rahman to give his opening comments. Thank you, sir. Thank you all for joining us for this quarter's and first half earnings call. I would like to wish everybody a very happy festive season as well, and I hope the season brings you happiness and prosperity to all of you and your families. Coming to our performance, we've had a very healthy first half of the financial year 2027 with continued momentum across all our verticals, be it residential, office, retail, hospitality or property management. Let me start with the residential segment, which continues to be our key growth driver for the company.

1:59 We recorded sales of INR 7,225 crores during Q2 this year, representing a 20% year on year growth. Sales volume during the quarter stood at 5,840,000 square feet with 3,910 units sold. This takes our first half sales to INR13804 crores with sales volume of 11,880,000 square feet and 7,247 units sold. Our geographical diversification continues to be an important strength with Bangalore contributing 41%, Hyderabad at 32%, Mumbai at 12%, Chennai at 8% and the balance 7% coming from our other markets. Realizations have also remained healthy.

2:44 Average realization during Q2 stood at 12,375 per square foot, while the first half average realization was INR 11,618 per square foot. Collections continued to remain strong with INR 5,294 crores collected during Q2 and INR 10,096 crores collected during the first half. This continues to provide good visibility on cash flow and reflects healthy customer demand as well as execution across our projects. On the launch front, we launched three residential projects during the quarter with a combined developable area of 5,910,000 square feet and a GDV of approximately INR 4,020 crores. For the first half as a whole, residential launches aggregated 23,140,000 square feet with a GDV of over INR 16,200 crores. We also continue to make good progress on construction and delivery.

3:35 During the quarter, we completed a residential project aggregating 4,270,000 square feet, taking residential completions for the first half to 5,000,000 square feet. Moving to our office segment. Our portfolio continued to demonstrate stable performance supported by sustained leasing activity and healthy occupancies across our key assets. We recorded leasing of 1,700,000 square feet during the first half, while exit rentals for the commercial portfolio stood at INR $8.84 crores as of September 2026. During Q2, we also commenced construction on three commercial projects aggregating to 2,000,000 square feet across Chennai and Kochi. In addition, we completed Prestige Trade Center in Delhi, Aero City, spanning 800,000 square feet.

4:20 Our retail portfolio continued its operating momentum, strong operating momentum with gross turnover across our malls at INR $7.21 crores during Q2, representing a 10% year on year growth. Footfalls during the quarter were INR 5,200,000, while occupancy remained very strong at 99 as of September end. Exit rentals for the retail portfolio stood at INR $2.78 crores. We also commenced construction on 401 OMR in Chennai, spanning 1,390,000 square feet. Hospitality also delivered a healthy operating performance during the first half. Portfolio occupancy stood at 70% with an average room rate of 15,143, supported by continued demand across both business and leisure travel. During the quarter, we commenced construction on two hotel projects, JW Marriott in Satishpur and Moxxi One OMR in Chennai, adding three thirteen keys across 770,000 square feet.

5:20 A particularly important development during the period was our strategic partnership with CPP Investments in Prestige Hospitality Ventures. CPP Investments, as you know, the Canadian pension fund has committed INR 3,000 crores for an approximately 20% stake in the platform. Of this, the first tranche of INR 1,500 crores has been received in October 2026. This partnership provides us with additional capital to support the expansion of our hospitality portfolio, execute our planned development pipeline and pursue further growth opportunities in this segment. At the overall development level, during Q2, we launched our construction on nine projects across residential, office, retail and hospitality business, covering around 10,000,000 square feet. This takes the total launches and construction commencement for the first half to 13,000,000 square feet. We also completed 5,000,000 square feet during the quarter, taking total completions for the first half to 9,000,000 square feet. Our property management and services segment continued to perform well, recording a revenue of INR $4.60 crores and EBITDA of INR 51 crores. Coming to the financial performance.

6:27 Revenue from operations for Q2 stood at INR 2,222 crores with EBITDA of INR $10.88 crores and PAT at INR $2.56 crores. For the first half, revenue record stood at INR 5,057 crores with EBITDA at 2,108 crores and PAT at INR $5.27 crores. We've generated very healthy cash flow during the period with operating cash flow of INR 2,679 crores in the second quarter and INR 4,168 crores for the first half. This coupled with strong corrections in the residential business and continued performance of our annuity assets provides a healthy foundation as we move into the second half of the year. As far as ESG is concerned, we secured a five star rating with a score of 99.9 out of 100, advanced to a strong PRESTIGE ESG rating and won the British Safety Council's award of honor for safety excellence across four projects, validating our sustainability and safety standards.

7:29 Looking ahead, we have a substantial launch pipeline of over INR45000 crores planned across Bangalore, Mumbai, NCR, Chennai, Goa and Hyderabad over the next two years the next two quarters. We will be commencing with launches such as the Falcon City in Thane, Prestige Bogan Villa Gardens in Sector 150 Noida, Prestige Avon in Bangalore and Prestige Springwood in Bangalore and Prestige Seascapes in Goa. This will be followed by some of our larger developments such as Chambers 51, Sarkis City Reserve, Prestige Meadows and few developments in Chennai in Hyderabad. This diversified pipeline spanning multiple markets in project segments gives us a strong launch calendar for the second half of FY twenty twenty seven and positions us well to sustain our sales momentum.

8:18 Overall, we remain encouraged by the underlying demand environment, the strength of our project pipeline and progress across our business verticals. We'll continue to remain focused on execution, timely launches and construction while maintaining discipline on cash flows and capital allocation. With this, I'd like to hand over to the moderator for Q and A. Thank you, sir. We will now begin with the question and answer session. If you wish to remove yourself from the question queue, you may press star and then 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue is assembled.

9:17 We have the first question from the line of Puneet from HSBC. Please go ahead. Congratulations on great performance for the quarter. My first question is with respect to the CPPID transaction. You talked about INR 1,500 crore received in October. When should we expect to get the balance? And how would the stake change take place? You'll give them 20%. Has 10% already been attributable to them? If you can just talk about how this transition will take place over some period. Yes. Hi, Puneet. The total deal size is 3,000, of which 1,500 has been received in tranche one. Of the $1,509.50 has been received by way of secondary sale that is the capital has been received in the holding And $550,000,000 we have received in the PHVL for their future The balance 1,500,000,000 we are expecting in two tranches over a period of one to two years of $7.50. One to two years?

10:22 Yes. So in one year, $7.50 and the next tranche after two years, $7.50. How much we had this will be entirely received by the hospitality segment for the future growth. So as in when the projects are progressing, it's for that purpose. And attributable ownership, how would that change? What is it now? Right now, it is close to 16%. And once both the tranches are received, we move to 27%. 27%. Okay. Yes, 27%. Okay. Secondly, if you can also talk about your recent acquisitions on retail side, what is the stage of construction completion potential?

11:10 Yes. See, this asset is ready and at the same time, not ready in the sense that the interiors and the finishes have to get done. I believe that if the teams really get their act together and work hard, we can bring this to market in about nine months on a very optimistic note, twelve months on pessimistic note between nine months because even the occupancy certificate is in place. So it's a question of finalizing the tenants and then seeing all the interiors are done and refreshing the entire asset and bringing it in line with that Forum South. So it's going to be called the Forum South 2. And it's connected from one metro station to the next metro station. It's just one metro station array.

11:56 Of course, the team is working on the tenancies. It's going to be definitely a different set of tenancy that will come there. So it will be a huge offering on retail, and I believe it will really be relevant for the retail environment in that space, in that area. So how big is it likely to be in potential of 9.3000 square feet is the overall leasable area. Okay. And rental expectation? I think around INR130, average. INR130. Okay. Because you'll have the high rent, low rent all put together, but I think average recovery, we should in our current mall also, we have a similar number.

12:47 So I believe that that's the way to go. Of course, this is you have to add up the revenue share and the Manila shops will go up to 225%, then it's average that we have to take the anchor versus whatever. And we are trying to keep the anchor space much less here. So obviously, the realization will be much more. So it's like a INR13 crores per month bottom line that we get from this monthly. Understood. That's very clear. And lastly on the construction spend, while your collections have reached up, the construction spend has not reached up quarter on quarter. How should one think about that? If you see last quarter, the construction spend was little higher because generally what happens, the contractors, they submit their bills because of year end, they submit at the closure.

13:41 And those all will get paid in the first half. So if you see historically, that has been the trend. The construction trend generally is higher in Q1 and it papers down in Q2. So you should see a similar run rate of Q2 in the coming quarters well. So 2,500 crores also. Then we're talking about only close to 10,000 crore of construction spend versus Yes. That's we have guided. Yes, that's what we have guided. Construction spend will be around INR 10,000 to 11,000. Maybe in the second half, it will be slightly higher because we are planning some large launches in the second half. So because of that, the initial approval fees and the initial works what we need to do are prescribed because of it to be little higher. So that's what we have guided for the entire year, construction spend at INR 10,000 to INR 11,000.

14:37 And collections, what should be an unassume? So collection also should improve quarter on quarter. So Q1 was a little lower because of which has picked up in Q2. So overall and for the entire year, we expect the total gross collections to be in the range of INR24000 crores, INR25000 crores. And operating cash flows will be in the range of INR 9,000 crores. Free cash flows what we'll get will be in the range of INR 9,000 crores. Operating cash flows. Okay. And business development spend should remain in current trajectory or you expect to increase sales? It should be in the range of four and up 5,000 for the entire year.

15:27 Okay. Perfect. Thank you so much, and all the best. Thank you. A reminder to all the participants, you may press star and one to ask a question. You you have the next question from the line of from Abbott Capital. Please go ahead. Yeah. Hi. Thanks for the opportunity. First question is on the guidance. The... With Vonage booking value at about 13,800 crores and nearly half of that coming from new launches. And with 46,500 crores of launches slated into it, isn't the INR 36,000 crore number a very conservative number? Would you want to revise this upwards? And then with the project that you've signed in FY 'twenty seven, how are you thinking about FY 'twenty eight as well?

16:15 We will stick to the 36,000. We don't want to overpromise under deliver. If something extra happens, we'll be happy, you'll also be happy. The thing is, it's if I have the product, I can bring it to market anytime, but it's also about approval, regulatory, getting the RADAR. So all of this is like a pump for us. We are trying hard. Now fortunately, we have done enough of BD. There is a lot of pipeline that is already developed. Now as soon as the approvals happen and the RADAR comes, we launch, obviously, it will convert to sales, and there is a good demand for our product. And I believe that, yes, we have potential to do more. We won't stop ourselves from doing more. But as of now, we'll stick to our 36,000.

17:08 Sure. And on FY 2028 or do you want to take it perhaps in the next call when you have more See clarity on FY '20 how we close this year and then we'll go to the next step by step. Sure. My second question is on the commercial annuity portfolio. I'm looking at slide number 32. The exit rentals have reduced meaningfully for FY 2029 and also marginally for FY 2028 versus what was estimated in 1Q. While FY 'thirty one exit rental estimates at about INR 4,900 crores has seen a meaningful increase. So can you explain what's driving this reduction in 'twenty eight, 'twenty nine? The annuity portfolio, what we have guided how to ramp up over the years is even including the upcoming portfolio.

17:57 So in some of the cases, the approvals are slightly delayed. Because of it, we have just revised the completion time line. So if you see the ongoing portfolio, there is no delay in construction. We are expecting the projects to be completed, we have guided. It's only the upcoming portfolio, there has been a couple of projects, there has been changes in the time line. And as far as FY 'thirty one, the increase in the rental is because there was a project in a land bank. We had acquired a land in Hyderabad in Vaidork, which now we have moved to upcoming pipeline. So that project itself is adding close to INR $2.50 crores plus to the revenue projection.

18:45 Sure. And last question on Falcon City Thane Phase 1. How is the initial response that you're receiving from the channel partners for the project? And will phase two launch depend on response for phase one and is likely to be launched in FY '28, or you could potentially push it to FY '29 as well depending on the response to phase one? Sorry to interrupt. In between On this FalconStreet, just got the approval two days ago. We still have to get the CC in hand and then we have to get RERA. Of course, like we do this survey, we had done a survey, and we were trying to see what the response in the market will be for this area and for this product, and it's been phenomenal.

19:43 But now we don't want to get overexcited once the era happens and when people really have to pay 10% deposit and book, then only we'll know the whole story. And of course, if it sells off very well, definitely we'll go to the Phase II. Again, it's further investment on TDR and other things. We at Prestige are known to do things all in one go, but let us see how it pans up. And I don't want to get particularly excited, but hopefully it should do well. Great. Thank you, Mr. Radhakar, and season greetings for everybody on the call. Thank you, season greeting too. Thank you. A reminder to all the participants, We have the next question from the line of from AXIS Capital. Please go ahead.

20:36 Yeah. Thanks for the opportunity. First one on I mean, this quarter, we saw a very good sustenance contribution. So anything specific we did in terms of pushing the sales or probably for the last couple of quarters, there were concerns and we know that pent up demand led to this sales and any schemes, etcetera, we have to offer to lower this demand at these customers. So that's my first question. As a policy, we don't believe in schemes because those only give agony in the end. Only what we would have probably done is that some projects are coming to near completion. They would have said, okay, pay so much on the balance at the time of delivery, say 75% now and 25% in delivery, something like that, but no particularly schemes because schemes always lead to a lot of item in data.

21:35 Sure. So it was just a general push from Sustenant side that we did this quarter to have higher contribution? Yes, yes, it's basically general push and probably a lot more effort from the team. Sure. Okay. Okay. And in general, like how are you seeing demand across the markets, specifically Hyderabad, where a couple of our peers have launched projects not so successful. So how are you leading all the markets that you are presenting and specifically Hyderabad? This all depends on location, size of the product, the overall ticket size, the pricing. Certain micro markets are a little oversupplied, certain micro markets there is demand. And now we did this Prestige Golden Grove in Hyderabad.

22:27 Fortunately, there was nobody else there. And though it was a very large project, it met with instant response. And of course, it was priced sensibly too because we had got the proper decent deal from the landowner, we could afford to do that. So that's how it is. It's a matter of positioning. It's a matter of what type of product, when and where. So we'll have to be very, very intelligent in how we work. I do believe that Hyderabad is still a very strong market, good market. But because of this free FSI policy, there will be a lot of inventory that keeps coming. So we need to be careful. Sure. Got it. And just coming back on launches, as you mentioned about few of them in your initial commentary.

23:18 So Q3, you said like Hane, Noida, a couple of projects in Bangalore and one project in Goa. These five would come in Q3 and rest in Q4? Or there are chances for other larger projects also to come in Q3? So these five are why we have confidence is these are already approved. It's only about getting RERA. And one month of the quarter has already gone by. Now if the RERA comes for all these five projects, I think all these five can be launched in this quarter. If there's a slip on the RERA, then it's a different story. But I think in all with all taking our practical approach, all these can come and should come in this quarter for launch and they could be exalted.

24:06 One from the I mean, I think two in Bangalore and maybe one more in Hyderabad. In fact, there will be one more project is approved in Senegal also, which is Park Street, but we don't want to launch it till our CEC is ready because it's a luxury project. So we want to show it in its full glory and then try and get the customers. We don't want to have a false start. Okay. Got it. So Chambers 51, Meadows will be likely in Q4? Same as 51 is Q3 only. Same as 51 is the office project. That also will be in this quarter only. Okay. Okay. Got it. Got it. One last on the hospitality side.

24:54 What will be the pending CapEx for hotels, both including like ongoing and the upcoming ones? And how should we think about the stabilized revenue once all of these hotels are delivered? Vijay, the pending CapEx will be in the range of INR 5,000 crores. And is the revenue maybe I'll get back to you on that. Got it. Got it. And just one last, sorry. What would be the portion of debt, which is not consolidated in this INR 12,000 crores, the debt which is in the JV put JV assets?

25:45 JV assets, Prestige share of debt, which is not consolidated, is in the range of INR 2,400. Okay. Okay. Got it. Okay. Thank you. That's it from my side. All the best and happy Diwali to the whole team. Thank you. Thank you. We have the next question from the line of Harsh Patak from Motilal Oswal Financial Services. Please go ahead. Yes. Hi, sir. Good afternoon. My question is on the launch pipeline. So in your rest of the year launches, we are seeing lots of projects in the mid segment and one, two projects in the entry entry segment also.

26:34 So from the next two to three years perspective, how are you seeing market evolving? Maybe if you can highlight specific to the larger markets like MMR, Bangalore, NCR, Hyderabad. How are you reading, and which is the segment you would like to play, you know, or maybe, like like to focus the most upon? Or even if some ticket range that you may like to quote depending on the micro markets? So we are very, very confident in the demand scenario. We feel that given the last few years, the way the market has responded, the absorption for a good quality product at a good price remains even if the realization has slightly increased.

27:21 So that's why we are focused mainly on our core cities, our G1 cities of Bangalore, Hyderabad, Chennai, Mumbai and NCR. I think excluding Mumbai, most of the markets remain very strong and along the same affordability bracket. Hence, it's more of a ticket price play there while delivering a quality and differentiated product. When it comes to Mumbai, I think there are two segments over there. One is the luxury segment, which is in the South Mumbai area And then you have the suburbs, which is another segment. Here as well, I think it's about getting a quality luxury product for the South Mumbai where the ticket price is extremely high.

28:10 And same thing for the suburbs, giving them a quality product. But more than anything, the key differentiator is how do you size the products and it's an entire mix, how do you give them that product. I think that if we continue to get that right, that formula right, anybody will succeed. And the mid segment to the higher segment, there is it's always evergreen. And we'll continue to sell regardless of where we are in the cycle. And for the next two, three years, we're pretty confident that things will sustain, but your guess is as good as mine. Things can change anytime, but we're always prepared for any eventuality.

28:59 We always believe in pricing the product such that we sell most of it in the first few months as well. And that's what our past performance has also shown. So that way our cash flows are secured. Sure. So any particular ticket range that you may you know, want to focus more upon with this one to specify MMR in the rest of... Sorry, x of MMR? So MMR, think, would be about 2 crores upward. That's where I think the range begins. That's where we would like to focus on in the MMR region, upwards of that. And then of course, in other markets, some of that number.

29:47 As land is available at price is much lower than MMR. These are other reasons. We're able to build a product and sell it at that price. Sir. Sir, my next question is on the business development side sales. You know, we are going towards that closer to 40,000 crores of presales range. How should we see business development evolving? What should be the likely spend... The annual spend over the next two, three years to, you know, keep the growth and returning? And, specifically, how do we see the NCR market since now we are seeing lots of national players go in that region? So how are you thinking of Prestige growth in that region per se? Yeah. Wherever there's success, everybody will follow. That's the usual trend.

30:38 And we have been highly successful in our first launch in Prestige City, Indrapuram, where we have sold 90% plus of our inventory. We've got three new projects. One is the Prestige BoganWilch, which should come this quarter. Then we've got the Meadows and we've got the Falcon City. Once these three get launched and see, we'll see and watch and view the type of response we get. Based on that, there are many opportunities that are knocking on the door, but we really don't want to take too much of risk in the sense that once these three also become successful, then I think there's a lot of opportunity. Land is available. It depends on what terms, how, what's the cash flow, and then we'll take a call. There is opportunity.

31:27 There's no doubt about it. Yeah. And on the business development spend, annual business development spend for the next two, three years, how should we see that? It's all work in progress. It's a present continuous tense. See, it's already every time when there's an opportunity, we have to take a decision, but the teams have to decide on how much to invest where. And after all, land is the what I would call is the raw material for us. And as and when we extinguish our raw material, we have to make sure that we get more and more new one. And it's trying to see how we can manage cash flows and without really stressing ourselves too much.

32:15 Okay, sir. Yes, thanks a lot for taking my questions and wish you greetings to the entire team. Thank you. Happy Diwali. Thank you. We have the next question from the line of Parviz Khasi from Navama Group. Please go ahead. Hi. Good afternoon, and thanks for taking my question. So my first question is about a mall that we have acquired. If I'm not correct, it's already constructed. So have we acquired it in the bankruptcy court or through NCLT? See, this was bought by another company and a entity under NCLT. It's called GloWind and Tarun Realtors. It was done by a fund called Dickey Fund. And then once they went through that whole NCLT process and got that asset, we were approached and we showed interest because it was a debate whether to invest further in the same area more detail, but our teams felt that there is potential.

33:17 So we did the due diligence and we found that it will be quite sensible to put our money there. So that's how we bought it. But then it's not a ready mall in the sense the buildings are ready, occupancy is there, but there's a lot of work and money to be spent to bring it to trading level, which will happen, as I said in my earlier remarks, which will take us between nine to twelve months. The earliest we are trying to push it to do it as early as possible. Let's see how it pans out. Sure. And any update on the office projects either in terms of construction timelines or preleasing progress would be great, especially for the Mahalakshmi, the VJT and the Dial project? Thank you.

34:06 Yes. I think Dial is ready. Occupancy is busy. We are only waiting for one last clearance, which is recast, which should come in a week or so. And Dial will be also ready to hand over the key by this month end to the operator. Then from then on, let them decide when they want to start the hotel to be trading. So we are the last mile. As far as other office projects, which are under construction, which is Mahalakshmi, BKT, these are the two big ones that are happening in terms of both capital value and rental value. Work is progressing very briskly, and we are very confident that things are happening in the right direction and the asset is also turning out well. And I believe by end of twenty seven, these two assets will really look shaped up and completed.

34:56 And in terms of leasing, that question is also there. I think we are after leasing out about 1,500,000 square feet in BKC X, the teams have been asked to pause a bit until they get some really top class tenants. So that's where we are. And Mahanashmi also, we have leased out around 400,000 square feet already. And they are also discussing with some very top end customers. Let's see what comes out of it. So by when do we expect the rents for the rail project to start? Rail project, I think there's some free period and other things. Are in now November 26. I think rent should start fully yielding latest by April 27.

35:46 Sure, sir. Thank you and all the best. Thank you. We have the next question from the line of Ritesh Shed from Axis Capital. Please go ahead. Yes. Hi. Just a few clarifications. Firstly, JV debt INR 2,400 crore that Amit you mentioned is our share of debt or total debt in the JV entities? That is our share of debt. Okay. Fair Sure. Sure. Got it. And this 1,500,000 square feet leased in BKC, that's actually half of the asset almost. That number is right. I mean, percent pre leased already? Yes. Number is right. It's not half because BKC is almost BKCX is 2,500,000.

36:35 BKCY, we have an addition hotel there. So that also will be about 2,000,000. So it's a pretty Sure. Large Okay. Okay. Got it. Got it. And just one last again, pushing on launches a bit, but like this INR 46,000 crore of pending launches, how should we that get split between the two quarters, like equal split? And any project that seems likely to be pushed out to next year? I didn't understand the question. What is that split you talked about? 46,000 crore of launches for second half. How would you split between the two quarters, Q3 and Q4? See, I think the numbers they haven't actually assigned to each of those assets.

37:23 I think Zai has some number he'll give to you. Otherwise, we can take it offline. Can each asset has a separate GDV. And I believe that out of 40,000, at least 20,000 will be launched in this quarter itself. Got it. Thank you. Thank you. That's it from me. Thank you. We have the next question from the line of Yash Gupta from HSBC. Please go ahead. You paid for it? And is... Has the money already gone out of your account as of September end? Uh-huh. Uh-huh. Sorry. We didn't capture what you said. This this new asset, retail asset, how much have you paid for it? And as the money... Is the money already reflecting in your balance sheet as of this point of time?

38:16 Yes. It's already been paid. It's reflecting in the balance sheet as of September 30. And and what is the price? I paid for it in a sense we had paid the fund and then of course ultimately get converted now in this quarter as purchase of asset. And how much did you pay for it? 520 crores. 19 to be exercised. $5.19. 500. Okay. That's all from me, sir. Thank you so much. Thank you. We have the next question from the line of from. Please go ahead. Good afternoon, everyone. Sir, my first question is on when we can expect a soft launch of hotel of Dial?

39:04 Yeah. I said, no. November 28, we're handing over the key to the management, and then they will evaluate and get their systems in place, and they will decide when they want to open the bookings for the hotel, maybe about three, four weeks later. Okay. Sir, in Mumbai, now we have two, three more projects to be launched. How you are reading at the market as of now because we have big projects in Thane and Valshoba. How your sense on the Mumbai market? So I had just explained this some time back. Right now, we have prepared the we've got approvals in place. We are building the CEC. So we haven't really marketed Tane, but from what we know of the market, there's a good buzz.

39:55 And I think we should get a good reception and absorption once we launch the project. We'll only know that in a few weeks once we launch it. Thank you. Ladies and gentlemen, that was the last question. And with that, we conclude the question and answer session. I now hand the conference back to the management for the closing comments. Over to you, sir. Thank you very much all of you for your proactive questions. I hope we've been able to answer your questions. But nevertheless, and Amit and Chizra or Dainak are available for any questions that you have, any clarifications that you have. Most importantly, wish you all a very, very happy Diwali and a very prosperous and exciting New Year.

40:49 With this, thank you very much again for participating. Thank you, members of the management. On behalf of Axis Capital, we conclude this conference. Thank you, everyone, for joining with us today, and you may now disconnect your lines. Thank you.