Lodha Developers Ltd. · NSE:LODHA
Lodha Developers — Macrotech Developers Limited (Lodha) — Q4 FY2025 Earnings Presentation
65 slides from Lodha Developers's earnings presentation, Apr 24, 2025
Slide 1: Stock exchange cover letter for investor presentation
April 24, 2025 BSE Limited Scrip Code: 543287 Debt Segment – 975115, 975192, 975560, 976262 National Stock Exchange of India Limited Trading Symbol: LODHA Dear Sirs, Sub: Investor Presentation on Audited Financial Results for the quarter and year ended March 31, 2025 Pursuant to Regulation 30 of the
Slide 2: Lodha
=LODHA
Slide 3: Investor Presentation Fourth Quarter FY2025
Investor Presentation Fourth Quarter FY2025 | 24 April 2025 2
Slide 4: Disclaimer
Disclaimer Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like regulatory changes, local political or economic developments, technological risks, and many other factors that could cause our actual
Slide 5: Table of Contents
Table of Contents Particulars Page no. Highlights 9 Growth Drivers 16 Performance Update 28 Financials 40 Company Overview 43 Annexures 52 4
Slide 6: Lodha – India's leading real estate developer
Lodha – India’s leading real estate developer Leading Residential Platform Strong Financial Profile Multiple Growth Drivers Amongst India’s Largest Real Estate Strong operating cash flow generation giving Targeting consistent growth of ~20% p.a. Developers in housing ability to grow & de-lever in ta
Slide 7: FY21-25: Brand and operational strength enables growth as well as deleveraging
FY21-25: Brand and operational strength enables unique combination of growth as well as deleveraging INR bn Pre-sales Net Debt 176 160 ~31 % CAGR 145 121 93 71 90 30 40 60 3.5x 0.8x 0.6x 0.2x 0.2x FY21 FY22 FY23 FY24 FY25 FY21 FY22 FY23 FY24 FY25 x Net D/E Along with new project additions INR ~785bn
Slide 8: '20:20' Action Plan
‘20:20’ Action Plan Focus to deliver ~20% Pre-sales CAGR & 20% RoE with net debt ceiling of 0.5x D/E INR bn Pre-Sales Annuity Income* 500 1,500 ~20 % CAGR 6x 176 250 FY25 FY31 FY25 FY31 Embedded EBITDA of ~33% for FY25 with RoE of ~20%. 7 * Basis exit rental as of Mar-25 and area already leased
Slide 9: Guidance for FY26
Guidance for FY26 INR bn FY25 Actuals FY26 Guidance Pre-Sales 176 210 Operating Cashflow 66 77 New Project Additions 237 250 Net Debt/Equity 0.20x < 0.5x 8
Slide 10: Highlights
01 HIGHLIGHTS World Towers, Ballroom 9
Slide 11: Key Performance Indicators – Q4FY25 and FY25
Key Performance Indicators – Q4FY25 and FY25 ✓ INR 48.1bn ( 14% YoY) in Q4FY25, best ever quarterly pre-sales Pre-sales ✓ INR 176.3bn ( 21% YoY) in FY25, best ever year surpassing our FY25 guidance of INR 175bn Embedded EBITDA Margin1 ✓ ~32% for Q4 and ~33% for FY25 ✓ Two projects in Pune with INR 4
Slide 12: FY25 - Other Operating Highlights
FY25 - Other Operating Highlights Price growth Launches 9.8 msf with GDV 4% Average1 of INR ~137bn; only 30% of pre-sales from new launches Handovers Net debt INR 39.9bn • Net D/E at 0.2x, well below our 0.5x ceiling 6,793 units • Avg. cost of debt at 8.7% (down 70 bps YoY) • Upgraded to AA (Stable)
Slide 13: Q4FY25 - Other Operating Highlights
Q4FY25 - Other Operating Highlights Price growth Launches 4% Average 3.4 msf with GDV YTD price growth1 of INR ~33bn Handovers Net debt INR 39.9bn 2,557 units • Reduction of INR 3.1bn QoQ • Avg. cost of debt at 8.7% (down 10 bps QoQ) 12 1 On like to like pre-sales
Slide 14: Cash Flow
Cash Flow INR bn Q4FY25 FY25 ‘For Sale’ Collections 43.9 143.4 Net Collections1 40.0 130.7 Op. Expenses 16.8 65.4 ( - ) Const. Exp 11.2 42.2 ( - ) SG&A 4.2 17.4 ( - ) Taxes 1.4 5.8 Operating cash flow 23.2 65.3 ( - ) Interest payments 1.2 5.3 Surplus for Growth & Capital Providers 22.0 60.0 ( - ) Gr
Slide 15: Lodha Foundation (LF) – Contributing to nation building
Lodha Foundation (LF) – Contributing to nation building • LF now owns ~1/5th of MDL, endowed by gift valued at INR ~200 bn (as of Oct 24) from Lodha family • One of the largest philanthropic entities in India; Will enable India to benefit directly from MDL’s success • Focused on helping India become
Slide 16: Conclusion of dispute on Lodha brand with HoABL
Conclusion of dispute on Lodha brand with HoABL The brand dispute with HoABL has been resolved through filing of consent terms in the Hon’ble Bombay High Court. Key Highlights • Macrotech Developers Ltd. (“MDL”), is the owner of, and has the exclusive right to use, the brand names ‘Lodha’ and ‘Lodha
Slide 17: Growth Drivers
02 GROWTH DRIVERS Palava 16
Slide 18: Palava at the epicenter of MMR infrastructure upgrades
Palava is at the epicenter of Mumbai Metropolitan Region (MMR)’s infrastructure upgrades Towards Ahmedabad Palava Palava Katai Naka Bullet Train Station ~40 min Drive Airoli Katai Naka Corridor Palava to ~10-15 mins ~5 mins Palava Airoli Tunnel Through ~20 mins Parsik Hills Airoli – To BKC Navi Mumb
Slide 19: Mulund-Airoli-Palava Freeway to open by FY26-end
Mulund- Airoli –Palava Freeway to open by FY26-end Part A is significantly progressed ✓ Airoli as well as Mumbai to come closer to Palava with Mulund-Airoli-Palava freeway ✓ This freeway is a three part project o Part A (Mulund - Airoli) - Completion by Q2/Q3FY26 o Part B (Airoli to Kalyan Shil Phat
Slide 20: Value scale up at Palava has commenced
Value scale up at Palava has commenced ✓ Two global large data centre player checks into Palava with land transaction at @ INR ~210mn/acre ✓ Palava to undergo paradigm shift in value unlocking with o Ongoing significant traction from high-value add economic activities o Launched premium housing deve
Slide 21: Palava: Large housing price arbitrage compared to Mumbai's core suburbs
Palava: Large housing price arbitrage compared to Mumbai’s core suburbs. Substantial growth in revenues and margins to come over next 5 years. Palava 10k Thane 16k-21k BKC Airoli 50k-65k 18k-22k Goregaon 32k -40k Mulund 22k -26k Palava & Upper Thane set to deliver US$175-200 bn of sales over next 3
Slide 22: Significant headroom for our growth in existing markets
Significant headroom for our growth in existing markets INR Bn MMR Pune Bangalore ~10% ~5% ~2% FY24 market share ~2,350 ~850 ~950 ~10 % ~10 % ~10 % CAGR CAGR CAGR Market Size ~350 ~400 ~1,000 FY22 FY31 FY22 FY31 FY22 FY31 Likely market share by decade end ~20% ~15% ~12% FY31 Pre-sales potential ~470
Slide 23: Robust launch pipeline for FY26
Robust launch pipeline for FY26 New Projects New Phase of existing projects Total Own/ JDA Micro-market Project Area Est. GDV No of Area Est. GDV No of Area Est. GDV No of (Mn .Sq.ft) (INR bn) Projects (Mn .Sq.ft) (INR bn) Projects (Mn .Sq.ft) (INR bn) Projects MMR - Eastern Suburbs Own - - - 0.2 3.
Slide 24: Gradually building annuity income pool
Gradually building annuity income pool ◼ Focus on developing premium high street retail as adjunct to residential developments ◼ Select high quality offices ◼ 3.1 msf area with rental potential of INR Office & Retail 5.6bn by FY31 ◼ Growing facilities management business ◼ Have a captive base of ~70
Slide 25: Strong visibility of rental income from already acquired assets
Strong visibility of rental income from already acquired assets Potential Annual Rental Already invested Balance investment Annuity Asset Type Total Area (msf) Area leased (msf) income (FY31) (INR bn) (INR bn) (INR bn) Highstreet Retail 1.7 0.1 3.0 4.8 8.5 Completed 0.2 0.1 0.4 1.2 0.0 Ongoing 1.1 -
Slide 26: Retail – Annuity stream adjunct to our core resi. business
Retail – Annuity stream adjunct to our core resi. business ✓ Creating portfolio of High Street retail across our developments o Significant contributor to our annuity stream o Enhance quality of our developments ✓ Additionally, Xperia Mall (Palava) with 0.4 msf gross leasable area ✓ Potential to gen
Slide 27: Digital Infra. – Steady growth potential
Digital Infra. – Steady growth potential ✓ Acquired ~33 acres of land in NCR and ~45 acres of land in Chennai in FY25, now present at five locations ✓ Further increased our stake in Digital Infrastructure platform ✓ Net leasing of 0.8 msf in FY25 o Added marquee names like Zomato, DP World & DHL etc
Slide 28: Facility Management – Steady growth potential
Facility Management– Steady growth potential ✓ Growing facilities management business on the back of rising number of households staying in Lodha developments o Captive base of ~70,000 households o Strong understanding of consumers and their spending patterns ✓ Added digital layer to already establi
Slide 29: Performance Update
03 PERFORMANCE UPDATE Upper Thane 28
Slide 30: Operational Performance
Operational Performance INR Bn 14% 21% 176.3 48.1 Pre-Sales 42.3 145.2 Q4FY24 Q4FY25 FY24 FY25 Collections 26% 29% 44.4 144.9 35.1 112.6 Q4FY24 Q4FY25 FY24 FY25 29
Slide 31: Pro-forma P&L (basis operating performance)
Pro-forma P&L (basis operating performance) FY25 FY26E Particulars INR Bn % INR Bn % Pre-sales 176.3 210.0 Embedded EBITDA 59.0 33% 69.3 33% D&A 2.7 2.6 Finance Cost 5.1 5.5 PBT 51.3 29% 61.2 29% Taxes (assumed rate: 25.2%) 12.9 15.4 PAT 38.4 22% 45.8 22% RoE ~20% ~21% 30
Slide 32: Financial Performance
Financial Performance INR bn 42.2 137.8 40.2 5% 34% Revenue 103.2 Q4FY24 Q4FY25 FY24 FY25 49.6 14.6 9% 13.4 Adj. EBITDA 45% 34.3 33% 35% 33% 36% Q4FY24 Q4FY25 FY24 FY25 9.2 27.7 38% 71% 6.7 16.2 Adj. PAT 16% 21% 15% 20% Q4FY24 Q4FY25 FY24 FY25 FY25 Adj. PAT Margin expands on operating and financial
Slide 33: Micro-market performance for FY25
Micro-market performance for FY25 INR bn Average Sales Price Micro-markets Pre-Sales1 Collections2 Construction spends (INR psf) MMR - South & Central 52.6 36,336 45.1 11.0 MMR – Thane 10.7 11,246 10.4 5.0 MMR - Extended Eastern Suburbs 28.0 7,247 24.3 13.0 MMR - Western Suburbs 24.5 34,272 10.3 3.1
Slide 34: Micro-market performance for Q4FY25
Micro-market performance for Q4FY25 INR bn Average Sales Price Micro-markets Pre-Sales1 Collections2 Construction spends (INR psf) MMR - South & Central 14.6 37,716 15.0 3.4 MMR – Thane 3.0 11,357 2.5 1.3 MMR - Extended Eastern Suburbs 6.3 7,408 5.6 2.9 MMR - Western Suburbs 2.4 18,458 4.4 0.7 Pune
Slide 35: Launches in FY25
Launches in FY25 New Phase of existing New Project / Location Total projects Own/ JDA Micro-market Project Area (Mn Est. GDV No of Area (Mn Est. GDV No of Area (Mn Est. GDV No of .Sq.ft) (INR bn) Projects .Sq.ft) (INR bn) Projects .Sq.ft) (INR bn) Projects MMR - South & Central Own - - - 0.1 6.6 1 0
Slide 36: Launches in Q4FY25
Launches in Q4FY25 New Project / Location New Phase Total Own/ JDA Micro-market Project Area (Mn Est. GDV No of Area (Mn Est. GDV No of Area (Mn Est. GDV No of .Sq.ft) (INR bn) Projects .Sq.ft) (INR bn) Projects .Sq.ft) (INR bn) Projects MMR - Extended Own 0.9 6.5 1 0.2 1.5 2 1.1 8.0 3 Eastern Subur
Slide 37: Business Development FY25
Business Development FY25 Micro-market Period Added Saleable Area (msf) Est. GDV (in INR bn) MMR – Western Suburbs Q1-25 1.1 77 MMR – Western Suburbs Q1-25 0.2 16 Pune - West Q1-25 1.4 18 Bangalore – North Q2-25 2.1 24 Bangalore – South Q2-25 1.1 14 Pune – South West Q2-25 0.3 4 Pune – Pimpri Chinch
Slide 38: Micro-market wise supply
Micro-market wise supply Planned Inventory Launches Residual Collections Ready Ongoing In next 12 months1 12 to 60 months Land Micro-markets from Sold unsold unsold Bank units JDA JDA Own Land Own Land Projects Projects INR bn Mn. Sq. ft. Largest land bank MMR - South & Central 45.7 0.7 1.1 0.5 2.0
Slide 39: Market wise completion plan for ongoing 'for sale' projects (1/2)
Market wise completion plan for ongoing ‘for sale’ projects (1/2) Mn. Sq. ft. FY26 FY27 FY28 FY29 Sold/ Micro-market Total area Unsold1 Own JDA Own JDA Own JDA Own JDA Sold-PCM 0.02 - 0.11 0.06 - - - - MMR - South & Sold-POCM 0.39 - 0.10 0.57 0.16 - - - Central 2.55 Unsold 0.09 - 0.06 0.56 0.43 - -
Slide 40: Market wise completion plan for ongoing 'for sale' projects (2/2)
Market wise completion plan for ongoing ‘for sale’ projects (2/2) Sold/ FY26 FY27 FY28 FY29 Micro-market Total area Unsold1 Own JDA Own JDA Own JDA Own JDA Sold-PCM - 0.11 - 0.25 - 0.11 - - MMR - Eastern Sold-POCM - 0.13 - 1.18 - 0.32 0.24 0.16 Suburbs 4.88 Unsold - 0.06 - 0.98 - 0.20 0.47 0.65 Sold
Slide 41: Financials
03 Financials Lodha Amara. Clubhouse 40
Slide 42: Financial highlights for Q4FY25
Financial highlights for Q4FY25 INR bn Particulars Q4FY25 Q4FY24 Growth % FY25 FY24 Growth % Revenue 42.2 40.2 5.1% 137.8 103.2 33.6% Adj. EBITDA1 14.6 13.4 8.9% 49.6 34.3 44.6% Adj. EBITDA (%) 34.6% 33.4% 120bps 36.0% 33.3% 270bps Adj. PAT2 9.2 6.7 38.3% 27.7 16.2 71.2% Adj. PAT (%) 20.9% 16.3% 460
Slide 43: Consolidated Summary Balance Sheet
Consolidated Summary Balance Sheet INR bn As at As at As at As at EQUITY AND LIABLITIES ASSETS 31-Mar-25 31-Mar-24 31-Mar-25 31-Mar-24 Equity Share Capital 10.0 9.9 Tangible Assets 10.2 7.2 Other Equity 191.8 164.7 Intangible Assets 3.5 4.6 Non-Controlling Interests 0.7 0.6 Investments 12.5 25.0 Tot
Slide 44: Company Overview
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Slide 45: Empowered Board of Directors (1/2)
Empowered Board of Directors (1/2) Mukund Chitale, Independent Director and Chairman ◼ Formerly Director on the Board of L&T ◼ Former President of ICAI and Chairman of Ethics Committee of BSE Rajinder Pal Singh, Non-Executive Director ◼ Formerly Director on the Board of Maruti Suzuki ◼ Former Chairm
Slide 46: Empowered Board of Directors (2/2)
Empowered Board of Directors (2/2) Rajendra Lodha, Whole-Time Director ◼ 30+ years of experience in all facets of real estate development ◼ Bachelor's degree in civil engineering from M.B.M. Engineering College, University of Jodhpur Raunika Malhotra, Whole-time Director, President - Marketing and C
Slide 47: Decentralized Org. structure – High quality management team
Decentralized Org. structure – High quality management team Shaishav Dharia Sushil Kumar Modi Rajesh Sahana CEO – Extended Eastern Suburbs & Executive Director – Finance Chief Customer Officer Rental Assets Director – Lodha Formerly worked at GMR, Aditya Formerly worked with Globacom, Green Digital
Slide 48: Best-in-class globally on measured ESG performance
We are best-in-class globally when it comes to measured ESG performance S&P Global Corporate Sustainability Assessment 2024 MSCI ESG Rating Sustainalytics Included in the DJSI Emerging Markets & Received relative rating ‘A’ (from AAA- Received ESG Risk Rating of 13.2, was selected for S&P Sustainabi
Slide 49: Governance
Our Strategy: Do Good, Do Well We recognize ESG issues as long-term risks that also present opportunities for value creation when strategically addressed. Our strategy enables us to identify initiatives that amplify our impact and foster collaboration with our diverse stakeholders on this journey De
Slide 50: Our Environmental Strategy: Resilience & Decarbonisation
Our Environmental Strategy: Resilience & Decarbonisation Our environmental sustainability strategy rests on two fundamental pillars: decarbonisation and resilience. While we actively pursue DECARBONISATION measures to reduce our footprint and transition towards net-zero, we also prioritize making ou
Slide 51: Our Social Strategy: Creating impact through business & philanthropy
Our Social Strategy: Creating impact through business & philanthropy We drive significant social impact through both our business operations and philanthropic efforts. Within our business, we engage with our stakeholders, including customers, residents, employees, workers and value chain. In our phi
Slide 52: Our Approach to Governance: Philosophy, Pillars & Goals
Our Approach to Governance: Philosophy, Pillars & Goals PILLARS OF GOVERNANCE OUR GOVERNANCE FRAMEWORK Diverse Board which plays a crucial role in 1 overseeing and safeguarding long term interests of stakeholders Responsible Integrity and Transparent procedures and practices and 2 Business Conduct T
Slide 53: Annexure
06 Annexure World Towers
Slide 54: Palava & Upper Thane set to deliver US$175-200 bn of sales
Palava & Upper Thane set to deliver US$175-200 bn of sales over next 3 decades with ~50% EBITDA margins 3 mega trends shaping Palava & Upper Thane to become sought after suburbs 1. Mumbai – World’s densest metropolis, sea restricts expansion in West and South 2. India going through once in a country
Slide 55: Ongoing infra projects to supercharge Palava's growth
Ongoing infra projects (Airport, Metro, Bullet Train etc.) to supercharge Palava’s growth Virar Extended Eastern Mumbai – Ahmedabad Suburbs High-Speed Rail (CY28/29) Virar – Alibaug Multimodal 1st station after BKC at Extended Western Corridor (CY30) Palava, travel time -20 mins Suburbs Puts Palava
Slide 56: Establishing presence across MMR through 'Supermarket' strategy
Establishing presence across MMR through ‘Supermarket’ strategy 4. Thane 1. Extended Western Suburbs Vasai Added 2 projects with GDV of INR Naigaon 15bn Bhayander Potential growth market for Lodha 1 Absorption: INR 135bn Absorption: INR 85bn Mira Road Ghodbunder 4 Kalyan 5. Extended Eastern Suburbs
Slide 57: Pune – Will contribute to growth in a sustainable manner
Pune – Will contribute to growth in a sustainable manner Accelerating growth in INR 550bn market by establishing presence across multiple locations 1. Pimpri-Chinchwad 4. Central Pre-IPO, had 1 project Added 1 projects with GDV of INR ~4bn With annual sales potential of INR >2bn Absorption: INR 15bn
Slide 58: Bengaluru – Entered growth phase, aiming ~15% market share
Bengaluru – Entered growth phase, aiming ~15% market share in medium term 1. North Added 2 projects with GDV of INR 36bn Absorption: INR 125bn 4. East Potential growth market for Lodha 2. West Absorption: INR 170bn Potential growth market for Lodha Absorption: INR 40bn 5. South Added 3 projects with
Slide 59: 75-100 mn new households to become 'home ownership capable'
75-100 mn new households to become ‘home ownership capable’ this decade Annual 2021 2030 HH HH GDP: USD 3tn GDP: USD 7-8tn Income Category HH: 296mn HH: 386mn Per capita income seen rising (INR mn) ~2.5x over FY20-32 Per Capita Income > 2.8 High 23mn (6%) (USD) 9mn (3%) 6,000 5,000 4,819 Upper 68mn
Slide 60: Supply side consolidating – unlikely to keep pace with demand
Supply side consolidating – unlikely to keep pace with accelerating demand …has led to market share gains for listed and leading Consolidation wave due to policy reforms and liquidity crisis… non-listed developers >50% 33% 60% Incremental supply from 2x Developers count branded developers 17% • Rema
Slide 61: Mortgage an enabler, not inducer of demand
Steady as it goes: Mortgage an enabler, not inducer of demand • Conservative Central Bank, low risk mortgage market: LTV <85%, no teaser rates Mortgage as % of GDP 89% • Rate cycle on downward trajectory 68% • Strong performance of 52% mortgages through all parts of 39% 44% 45% the cycle - Intense c
Slide 62: Low risk to margins from construction cost inflation
Low risk to margins from construction cost inflation ✓ Construction costs typically forms 25% to 45% of the sales price • Of which, one-third is related to low skilled and semi-skilled labor: plentiful supply through migration from rural areas (250+ mn people estimated to be ‘underemployed’ in agric
Slide 63: Moderate construction cost inflation
Moderate construction cost inflation Mar’21 to Mar’25 Commodity/Component % Share in total cost % Change Weighed Impact Steel 11.7% -7.7% -0.9% Flooring materials 5.2% 19.1% 1.0% Electrical 3.9% -1.8% -0.1% Plumbing 2.2% 2.2% 0.0% Labour 34.0% 18.0% 6.1% External Windows 3.3% 11.6% 0.4% RMC 12.3% 14
Slide 64: Multiple benefits of consistent housing price increase below wage growth
Multiple benefits of consistent housing price increase below wage growth ✓ Improves affordability leading to increased volumes ✓ Leads to significant wealth creation for home owning middle class (‘Wealth Effect’) • Boosts consumption as consumer confidence increases • Housing is a vehicle for genera
Slide 65: Thank You!
Thank You! For any further information, please write to investor.relations@lodhagroup.com 64
Macrotech Developers Limited (Lodha) — Q4 FY2025 Earnings Presentation on 6ix