Aurum Proptech (NSE:AURUM) Q2 2026 Earnings Call

0:18 Ladies and gentlemen, good day and welcome to Aurum PropTech Limited Earnings Conference Call hosted by MK Global Financial Services Limited. 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 call is being recorded. I now hand the conference over to Mr. Shivank Pagla from MK Global. Thank you and over to you Shivank. Good afternoon, everyone and welcome to Q2 FY twenty twenty seven Earnings Conference Call of Aurum PropTech Limited hosted by MK Global Financial Services. We are joined today by Mr. Ashish Teera, Non Executive Chairman of Aurum PropTech Mr. Onkar Shetty, Executive Director Mr. Kunal Karan, CFO Mr.

1:03 Sheikan Chaktab, Deputy CFO and Mr. Rhijn Shah, Lead Strategy and Investor Relations at Aurum PropTech. Before we begin, I would like to remind you that certain statements made during this call may be forward looking in nature and subject to risks and uncertainties as detailed in annual report and other investor disclosures available on the website. With that, I would now like to hand the call over to Mr. Ashish Jhira for his opening amounts. Thank you, Shivang, and good evening, everyone. It is my privilege to welcome you to the twenty second earnings call of Aurum PropTech. I am delighted to share with you our performance for the second quarter of FY twenty twenty seven.

1:51 Since 2021, we have been building towards a bold idea to capture the end to end real estate value chain within our ecosystem. The addition of housing.com in Q2 of FY twenty twenty seven marks the beginning of Aurum PropTech two point zero, bringing consumer discovery at scale together with our transaction, tech and living platforms. Our vision of becoming India's AI native real estate operating system is getting deeper, and our mission to change the way India experiences homes is getting broader. Our promise to every developer, consumer and every partner is that we will deliver the best ROI in the industry, and we want to do this while ensuring that trust across stakeholders increase with every interaction.

2:45 I would like to walk you through three defining developments of this quarter that sets the launching pad for AURUM 2.0. First, profitability continues with rigorous discipline on unit economics. Q2 of FY twenty twenty seven is our fourth consecutive profitable quarter. A full year of profitability means our unit economics has been tested through the cycle and has held even in the cyclical nature of real estate. Despite Q2 being the industry's softest quarter, our PBT margins improved by 1,200 plus basis points. It gives us immense confidence that this is a great time to integrate with housing.

3:33 Housing is the largest possible opportunity in the PropTech segment. We intend to lead with a long term view and at the same time apply our playbook, ensuring discipline of unit economics on a daily basis. Second defining development of the quarter is the integration and roadmap for Aurum and housing.com to come together and compound capabilities. I would like to begin by extending a warm welcome to every member and every stakeholder of the housing team. I would also like to thank the REA Group for reiterating their faith in India PropTech and their continued support in both transactions, first PropTiger and now Housing. We are also grateful to them for a seamless transition of housing into the Aurum ecosystem.

4:24 We have learned a lot from the REA Group and we look forward to building on this relationship in the years ahead. Hauseit.com brings to this ecosystem consumer intent at scale with 58,000,000 plus visits every month. By connecting this intent with our developer, broker and transaction platforms, we see opportunities to create a seamless consumer journey while we improve lead quality, conversion and monetization across the ecosystem. We have already begun deep cost optimization and AI led initiatives at Hauseit so that we can place it firmly on the path to profitability. We are targeting to make housing.com profitable within twelve to eighteen months. I repeat, within twelve to eighteen months.

5:12 Simultaneously, we are unlocking synergies across our ecosystem spanning all three segments. At Aurum, we believe that brokers and channel partners are the lifeline of the real estate industry and our endeavor is to be broker first and enable them with a stronger ROI. On the developer side, we have a potential to extend our offerings and become a virtual partner. Third defining initiative for this quarter has been to continue to reimagine AI across functions and across consumer and customer journeys. Business value optimization continues to remain our focus. We have been improving our metrics of revenue per team member that we track very closely. We believe revenue per team member will continue to go up quarter on quarter for next ten to twelve quarters.

6:00 Using AI and various tools, our medium term goal is to create a seamless consumer layer spanning discovery, intelligence, transaction, financing and living, ensuring that every interaction makes the entire ecosystem smarter. What started as an idea to connect the stages of home buying or renting journey through our portfolio companies is now evolving to become the single largest platform with network effects. Aurum platform is becoming a partner that families, developers, and brokers can trust upon. My belief that with acquisition and integration of housing.com, Aurum has triggered consolidation in the Indian PropTech segment.

6:48 Our view is that strong business models in our sector will also move towards profitability, taking a cue from Aurum. Looking ahead to rest of FY twenty twenty seven, we will focus on three things: one, improving our financial metrics each quarter two, delivering the housing.com integration roadmap on time and three, taking AI deeper across all five layers of our business. With that, I now hand over the call to Ankara. Thank you very much. Thank you, Chairman. I will briefly cover our business performance and AI led productivity. Q2 FY27 delivered INR137 crores in total income, growing 56% year on year. Adjusted EBITDA margins expanded eight forty basis points to 11.5, while BBT margins improved twelve seventy basis points to 4.8%.

7:41 Our performance reflects improving monetization, cost discipline and increasing operating leverage. Our distribution business digitizes developers and brokers through demand generation, data intelligence, CRM and transaction services. The business delivered INR70 crores in revenue and INR11 crores in segment profit. We generated revenue by enabling developers and brokers with data analytics, sales automation and transaction management solutions. Our platform sold 170,000 leads, growing 79% year on year supported with ten thousand five and sixty active technology licenses and facilitated INR850 crores in home sales with gross commissions growing 144% year on year. Our rental business digitizes rental discovery, occupancy, optimization, and property management for property owners and consumers.

8:36 The business generated 56 crores in revenue. Co living and student living operated 16,500 beds at 82% occupancy with 137 buildings above 90% occupancy within this. Residential renters managed INR8900 signed units collecting 35 crores in quarterly rent, while AI enabled bookings grew 7.6 times quarter on quarter. Housing.com dominates app leadership in India with 45,000,000 monthly active users, 1.2 times its nearest competitor, and 52% app downloads that shared the majority leadership amongst three platforms measured.

9:23 It ranks number one across brand awareness, brand consideration and brand preference across the country. This ambitious AUROUM PropTech towards India's AI native real estate operating system accelerated with housing.com's consumer intent and digital discovery at scale, and Aurum PropTech's capabilities to convert the intention into transactions, financing and living solutions. I will now hand over to Shrikanth to take us through the financial results. Thank you, and good evening, Paul. I will take you through our financial performance for the second quarter and the first half of FY twenty twenty seven, then cover the balance sheet and cash flow. This was a quarter of two milestone. First, our operating business delivered its strongest quarter yet.

10:15 Revenue grew 64 year on year to crore and we reported a profit from continuing operations. Second, on September 29, we completed the acquisition of housing.com through Locum Solutions in an all stock transaction. That transactions roughly doubles the size of our balance sheet and reshapes the group going into the second half. Consolidated financial performance, Revenue. Revenue from operations for Q2 was INR130.2 crore, up 64% from INR79.4 crore a year ago and up 16% sequentially from INR118.8 crores.

11:05 The first half revenue was INR242 crore, up 67%. The year on year growth includes TopTiger, which we consolidated from late September twenty twenty five. So Q2 FY twenty twenty six contained only a few days of its revenue. The sequential growth of 16% is entirely organic because the group perimeter was effectively unchanged between quarter one and quarter two. Operating costs. Employee costs were 34.2 crore or 26.2% of the revenue compared with 27.9% in quarter one. Other expenses were 62.2 crore or 47.8% of the revenue.

11:53 That ratio rose from 45 in quarter one, largely because distribution grew fastest and that business carries higher variable marketing and fulfillment costs. Year on year, other expenses fell from 49.5% of revenue to 47.8%. EBITDA. EBITDA was 41 crore, a margin of 29.8 on total income. That compares with 25.1 crore and 29.6% a year ago and 37.5 crore and 31.5% in quarter one. For the half year, EBITDA was 78.5 crore at a 30.6% margin, up from 44.9 crore and 28.3% in H1 FY twenty six.

12:49 Other income is mainly treasury and deposit income. This EBITDA is reported on an end AS 116 basis. So rent on our leased co living portfolio sits in a depreciation and finance cost rather than operating expenses. Below EBITDA, depreciation and amortization was 28.1 crore and finance costs were 6.3 crore, both broadly flat on quarter one. Most of the finance costs is the interest component of these liabilities. We have almost no bank debt. Our share of profit in Integral, our associate was 0.2 crore. Profit before tax from continuing operation was INR6.8 crore against the loss of INR8.9 crore in Q2 of FY twenty twenty six and a profit of INR1.3 crore in Q1.

13:49 Tax was INR 2.5 crore, an effective rate of about 37%. The rate is elevated because profitable entities pay tax while losses in some subsidiaries are not yet recognized as a tax asset. Profit after tax from continuing operation was INR 4.3 crore of which INR 4.5 crore is attributable to the shareholders. Basic EPS from continuing operations was INR0.52 for the quarter against a loss of 1.17 per share a year ago. First half and discontinued operations, H1 net profit was INR49.5 crores, which includes forty point forty five point five crores from the discontinued operation.

14:36 That reflects the sale of our Navi Mumbai building, which closed in quarter one for INR112 crore and produced a pretax gain of INR 52.4 crore in that quarter. This is a one time item. Excluding it, H1 profit after tax from continuing operations was INR 3.9 crore against loss of INR 17.9 crore in H1F of FY twenty twenty six. Balance sheet liquidity, cash flow, balance sheet. Total assets were $16.41 crore at September 30, up from INR $9.48 crores in March. Shareholders' equity roughly doubled to INR $10.20 crore. Both increases are driven by housing.com.

15:24 We issued 1.98 crore share to REA India adding $4.58 crores to equity. Goodwill and intangible assets now totaled $9.60 crores. The housing.com purchase price allocation was prepared by an independent valuer and its provisional as in raise one zero three permits. It may be refined with the twelve month measurement period. Liquidity, cash, bank balances and current investments were 191.6 crores at the quarter end, up from 141 crores in March. That includes 22 crores of cash that came with housing.com. After the quarter, on October 13, we also received INR29.5 crore from our promoter, Aurum Real Estate Developers, as a 25% upfront payment on 51 lakh convertible warrants.

16:21 The remaining INR88.5 crores is payable when the warrants are exercised within eighteen months. Current assets of INR399 crores broadly matches the current liabilities of INR404 crores and those liabilities includes 78.3 crores of the lease payment that are matched by right of use assist. Debt, bank and other borrowings are under 1 crore, so the group is effectively debt free. Our lease liabilities of 216 crores relate mainly to co living portfolio and are matched by 196.8 crores of right of use asset. We also carry a non current deferred tax liability of INR50.4 crore.

17:07 It is a non cash accounting item, not a near term tax payment. Cash flow. Operating cash flow from continuing operations in H1 was INR60.8 crore, up from INR25 0.4 crore a year ago. Capital expenditure mostly capitalized product development was INR 8.8 crore. Lease principal payments were INR 47.8 crore. Operating cash flow therefore covered both product investment and our full lease commitments. Separately, discontinued operations generated INR24 crore of net cash reflecting the building sale proceeds net of related obligations settled. Segment highlights.

17:53 Distribution is now one of the largest segment and main driver of profit. Rental has turned profitable. Capital is small but growing. Distribution. Revenue was 69.7 crore, 54% of the group. That is up 25% sequentially and 2.6 times the year ago level with a year on year figure boosted by Proctica's first full year in the group. Segment reserve was INR 11.4 crore, a 16.3% margin compared with INR 5.5 crore a year ago and INR8 crore in quarter one. From Q3, distribution will include a full quarter of housing platform. Rented, revenue was INR56.1 crore, up 10% year on year and 3% sequentially.

18:44 The segment reported a profit of INR0.9 crore against a loss of INR4.3 crore a year ago. Capital revenue was INR4.3 crore up from INR1.6 crore in Q1 and INR1.2 crores a year ago and the segment broke even with INR0.4 crores profit. To summarize, revenue grew 64% to INR130.2 crores. EBITDA margin was 29.8% and we returned to profit from continuing operations. We generated INR60.8 crore of operating cash in the half. We were effectively debt free and we hold 191.6 crores of cash and liquid investment. With the housing.com now part of the group, we enter the second half with a larger platform and strong balance sheet.

19:36 Thank you. Now hand over the call to Yashesh. Thank you. We will now begin the question and answer session. To ask a question, please click on the raise hand icon tab available on your toolbar or on the QA tab available on your screen. Kindly turn on your mic when the operator announces your name. You may also post text questions. Take our first question from Nikhil Gupta from Bayou Capital. Please go ahead. Thank you for the opportunity. I hope I'm loud and clear. I have only one question.

20:21 So let's assume a hypothetical black swan event, which let's say we have an impact on real estate demand and the prices also fell by let's say 50% to 20% due to hypothetical scenario, what do you think how our business will get impacted in that particular scenario? I think very, very interesting question and we all plan for our risk mitigation plans. We... There are two things to it. One is, of course, there's a risk mitigation plan in place, which takes care of short term and long term events like these. What principally we will be doing in this kind of a hypothetical event is we will be focusing on our cost base, taking temporary pause in each micro market that it has affected, and then of course go back with regard whenever the markets get better.

21:19 That's one part of it. The other part of it is Black Swan events, which all of us have in our business professions, gone through in very recent times have given time and opportunity to reflect and come back with innovation and come back with more rigor and speed, back with more products, back with more offerings and back with more business to be captured in. A very recent one being COVID, which is where Aurum Group took a pause and came back with a new business model of PropTech and it has taken us where we are today. Also, Nikhil, just adding on to Ankur's point, in real estate, when sales actually are outperforming, then comes a cycle when there's a slowdown and slowdown is generally going into a calibration phase. And in that phase, we typically see spending by real estate developers increase on their sales and marketing budgets to attract more customers, to bring in more demand, which is when the spending over platform companies like Aurum actually increases a lot. So the initial phase where now we are seeing launches actually outperform the... Even sales numbers, we still feel that there are good great tailwinds coming in from the sector to us.

22:39 To add one point to what Prakhar and Priyain have already covered, look, as a as a two sided marketplace, excessive demand or excessive supply will tend to benefit Aurum in either case. So we are in a way poised and geared up to to kind of do that. Thank you. Very well explained. In addition, I also wanted to... Like, the major question was regards to which segment of our business is mostly affected by the dip in real estate prices if at all it happens whenever that happens. So which particular segment will be the most affected one?

23:34 Right. Before we move to the next question, just very quickly, we have not seen dip for last several quarters. We believe cycles are a part of the... A part of any business and there will be a demand and supply correction always in every micro market, whether it's residential, commercial, and also in every asset class and in every micro market. I think as a as I said, as a as a platform, we are pretty geared up for that as and when that happens. Thank you very much. Thank you. Thank you. We have a text question from Ruben Matthews from Equity Intelligence. The question is Congrats on a fantastic quarter and results.

24:21 Square Yards earns a significant share of revenue from its mortgage business. Does Aurum see a similar opportunity to scale its capital business? Or are there structural reasons why it will remain a smaller part of the business? What needs to change? Rubin, thank you for your compliments for the results. Look, what Square Engines has done with Urban Money is very, very admirable. They have built a very strong franchise on the housing loan and the mortgage business. Aurum has recently launched their business in the same segment with the name of Qubair X.

25:09 And Qubair X is in the month of September, they have disbursed 200 crores of loans, which means that they are at a 2,400 crores of run rate. This business has just started, so we believe that it can be scaled up to 25,000 crores of disbursement very quickly. The question is that what is... How do we distribute these loans? Do we do it directly to the consumer as within the housing brand or we do it through the through the aggregators or do directly through the developers. So as of now, this business is run by... Run within the PropTech team and at some point of time can also be called housing loans and taken directly to the consumer.

25:57 So this INR2400 odd crores of current run rate will, we believe, spiral up to INR25000 crores in next four to six quarters. Thank you. Before we take the next question, we'd like to remind participants to ask a question, please click on the raise hand icon tab available on your toolbar or on the QA tab available on your screen. You may also post your text questions. The next question is from Jayesh Patel from Patel Enterprise. Please go ahead. Mr. Jaish Patel, you are on talk mode.

26:43 Please unmute and go ahead with your question, please. Yeah. Yeah. Very good evening, sir, and congratulations to take over the housing.com. My question is this, housing.com, you can earn the money. How much percentage per year and year or or quarterly to quarterly? Give me the answer, please. Jay, sir, you cannot hear your question clearly. If it's possible, you can repeat the question. Yeah. If your question is this, first, your congratulations to aurum.com takeover to you. And my question is this, how much you can earning the money for housing.com percentage you can gain the profit?

27:37 So we have just... We have acquired it on September 30. It's still early days to give some kind of a projection on that. We, of course, have a very strong integration plan because this is our eighth acquisition in in Aurum over last four years. So we have we we have a path to profitability for the business, but it's still early days, Jaishwai, to kind of talk about the the quarter or the annual numbers on housing. Thank you. Thank you. Thank you. Next question is from Priyam Shah from Trinitra Asset Managers. Please go ahead. Am I audible?

28:25 Yes. Please go ahead. I just wanted to ask, I think you've previously alluded multiple times that... So every Indian listing platform has lost money for multiple years. If you look at the last ten, twelve years, almost all of them have been into losses for eight to ten years. Now I understand that you alluded that your intent is to do a lot of data mining and convert the leads into actual transactions and not just stop at listing. But can you just give us a clearer view on... While it's too early for numbers as you alluded in the last question, how how will this happen? And what are the kind of...

29:12 Or what are the volume of transactions that we'll see in in the next few quarters? And and secondly, while we are saying that we'll break even in the eight quarters, what what happens if the real estate cycle softens or, you know, something along that line happens? Me address the second question first. We believe that we will breakeven in four to six quarters. And irrespective of the softening of the prices in real estate, we feel that as a platform, you have an opportunity and you have an advantage to take that softening of industry and still convert that into an opportunity.

30:02 So we believe that four to six quarters is our internal target, six to eight quarters is our external target, and we believe that we will be profitable with housing before that. To answer your first question, I think you're absolutely right. We been staying away from listing for last almost three years. And the reason behind that was that we thought that listing one is a very crowded marketplace, very crowded. And second, it is... It was getting difficult to think about profitability in the marketplaces three years ago. But if you see the recent trends, another company which is public, they have come out with their numbers that they are EBITDA positives with their marketplace.

30:54 There are very clear leaders now with the space dominated by two or three marketplaces across 25, 30, 35 top geographies of India. And we believe that what housing does is housing gives us that opportunity not only to now make it very profitable, also to kind of ensure that compounding it with the other AUROM companies, the intent and the transaction can be compounded fairly well. So that's the idea. That is why now listing, now marketplace, and now housing, which to us didn't make sense a few years ago.

31:47 Does that answer your question, Priyam? Sure. Thank you. Thank you. Ladies and gentlemen, to ask a question, please use the raise hand option available on your toolbar or on the QA tab available on your screen. Give me a moment, please. Take our question from the line of Jimit Gandhi from MK. Please go ahead.

32:43 Yeah. Hi. Thanks for giving me the opportunity. So my question is more directed towards the rental segment. So I see that the rental units or beds that we may call or define has declined this quarter as well. So this is around eighth quarter of either, say, flattish or decline in rental units and similar decline sequentially for Hello World as well. So I'm just trying to understand to what extent is the rationalization or cut still pending to be done, or what is the plan rather as in when we move forward considering the rental segment? So that's the first question. Yeah. Thank you so much for... Jimit for your question. In our rental segment, we have Nest Away and Hello World.

33:34 Nest Away was a planned rationalization or consolidation actually of properties across pin codes. We had planned this, you know, optimization to make Nesta way profitable at a unit economics level, which is when you see the decline in terms of quarter on quarter reduction in rental units, but you see the revenue that we are driving from those units is increasing on a, you know, quarter on quarter on a Y o Y basis. Hello World was more one time in last quarter, which was q one FY twenty seven. Otherwise, we've been growing the number of beds by 20 to 30% on a y o y basis, and it's... It was purely one time. One time mainly from taking occupancy higher, so we actually let go of properties which are not making, not being profitable at a operating level at a building.

34:27 And now that consolidation has gone through, we are actually gonna be increasing the number of beds across both Hello World and Nest Away. So the consolidation across PIN codes is now done. We are profitable across the rental segment and now we'll be growing the number of beds in those segments. Also, know, we... When we bought this business, this was at 38 crores of revenue And now we are at around 160 plus crores of revenue. So the idea was to grow to the markets, test those markets. And now on the network level, we are at 88% occupancy. Sorry, 82% occupancy and the team has projected it to be 88% occupancy by the end of this year. So so to my mind, there's no reason to cut beds now on a net basis.

35:25 We just wanted to ensure that wanted to ensure that Hello World becomes profitable and that is why this optimization is what we did. Fair. This is helpful. Thank you so much. And just one more question with respect to the distribution segment. So can we have some sort of visibility in terms of the analytic business, say, in terms of projects or, say, in terms of the pipeline that we have, either in terms of any any KPIs that can help us understand in terms of how, you know, we are thinking... Scaling this piece of the business. So this goes for Analytica and even Seldu to certain extent. So if you can share some color on that, it would be helpful.

36:15 Thank you. Jimit, while we appreciate you segmenting this in dental and distributions and Beheev will, of course, follow-up with the numbers on this, will be crucial to look at from now on how do we increase our business across developers with these synergies between housing and Analytica and Sendu and PropTech are together. So it's not gonna be sequential, it's gonna be ex... Exponential. Iain? Yeah. So just giving some flavor to the numbers, Analytica works on two weekly projects with 134 developers and has sold 1.7 lakh leads in the current quarter. For sell. Do, it has 10,500 plus active licenses across 982 clients active within the quarter.

37:03 But as Unkar mentioned, I think now we're going more from a portfolio to a platform approach, and with that, we'll be taking those segments as developer segment, broker segment, and consumer segment, and looking at the metrics at that level because we're seeing a lot of consolidation of our products and services also happening now with housing.com. It's actually a very pivotal journey for us where we have broker offerings as a consolidated end to end marketing as well as tech suite, a developer offering which provide new project launches and marketing suites, including transaction services, and then consumer where we are more of an end to end real estate platforms from discovery to transactions to fulfilling as well as managing it. Fair. That that clarifies a lot. And just last question in terms of the synergy aspect. So are we expecting some sort of synergies to play out by, say, end of this fiscal? Or, we are, yet in the process of drawing things on the board and trying to understand in terms of how, you know, we are going to map the synergies across, the business, that we are talking about.

38:18 So we have already mapped all these synergies that different products, different services, different businesses get from each other. And we are a little bit impatient in executing some of these, and you start seeing some of the synergies in the coming two quarters. We will try to articulate that separately in different slides in the investor presentation going forward to say, look, what is organic and what is coming out of synergies. We have talked through some framework and we will try to bring that out. That's helpful. Thank you so much. Thank you. We'll take a text question from Dipesh Mehta from MK Global.

39:07 First question is, can you provide details on housing integration and plan on revenue and cost synergies? Management earlier indicated that plan to breakeven in four to six quarters. What would be biggest contributor, revenue growth or cost optimization? Second question is what kind of investments planned in AI, expected benefits on cost and revenue? Dipesh, I'll take the housing integration question first. Within the week of applying the business, we have cut costs of approximately INR120 crores from the business.

40:01 It has been two weeks. We haven't seen any revenue dip of any significant nature there. We have gone very deep with the cuts. The reason we went deep with the cuts because we wanted it to one time and we didn't want to then focus on the cost on a regular basis, we wanted to focus on the revenue. And going forward, the contributor is going to be the revenue growth more than the cost optimization. The cost optimization is already done. We believe that there will be revenue growth of another $100,150 crores over next four to four to six quarters, which will which will kind of which will kind of move housing.com to profitability.

40:52 So that's that's the that's the breakup of the revenue growth versus cost optimization for for housing. What kind of investments are planned in AI? We... So we we we have we have multiple ways that how we kind of apply AI tools. Right? One that we have been doing all the all the while is to look at business value optimization. And that kind of in a way brings out the metrics, kind of brings out that how is the revenue growing with either by optimizing cost or by increasing focusing on revenue.

41:38 So that metrics have been growing consistently, it was around 40 lakhs at some point of time, it is now around 50 plus lakhs currently. Our target is to take this up to 56 lakhs by the end of the year. So you will see a huge huge business value optimization based on AI tools that has happened. But but this is this is mostly driven from a cost point of view. What what AI is doing very interestingly now is to to kind of help us build a seamless customer journey, seamless consumer journey on the platform. And that is becoming very interesting.

42:23 We have started to invest in that now in last two quarters or so, and we are yet to see defined and tangible results on that. Thank you. Thank you. We'll take our next question from Yash Sejpal from IFC. Please go ahead. Yash, your line is unmuted. Please go ahead with your question. Hello? Yes, Yash. Please go ahead. Yeah. What the call is on the FM... I'm sorry, but your audio is not clear. Give me one second. I'll see you then. We've lost the connection of Yash. We'll take one text question from Venkatram Venkatesh from Yantur Consulting.

43:28 The question is The management has reiterated repeatedly that housing.com is the most recognizable name in the real estate discovery marketplace. Will integration of housing.com undermine any of Aurum's existing platform? Will housing.com integration dampen management's pursuit of inorganic growth in the short term? So it's a fact that it is the most recognizable name in the real estate industry. It is the largest consumer digital real estate brand in real estate. So I mean, it's a fact and think what we are reiterating is is something that a lot of surveys and research reports already show. It's it's actually it's actually going to enhance the platform capabilities in terms of brand for all the other ecosystem companies as well because they... Everybody is working as an ecosystem and that to my mind kind of helps to helps to build all brands under the housing brand if required.

44:38 One question to that. Will housing integration dampen management's pursuit of inorganic growth in the short run? Well, we believe that our hands are full in the short run. We brought PropTech last year in July, and then we did... Then we have now acquired housing in September 2026. We believe that our hands are full with the integration plan. We need to make housing profitable. We believe that that is going to take a lot of management bandwidth, a lot of ecosystem bandwidth of all business managers and business founders across every business to make this work. So we believe that we are not... We will not do something inorganic in our short run for sure. Of course, we... This company is built on inorganic acquisitions.

45:36 This company is built by by sort of acquiring the right capabilities, which helps us either do a forward integration or a backward integration. It is something very, very compelling. We are not averse to looking at it, but we are definitely not proactively looking at any acquisition in the short term. Thank you. Thank you. Next next question is from Ankit Kumar, an individual investor. The question is, first question is what kind of revenue we make on loan dispersal, which you are mentioned will be INR25000 crores annualized number? Second question is, what about the rent and education business? I believe that was the largest business at housing.com.

46:23 From industry check half, you plan to relaunch? If yes, by when? Thank you. Thank you, Amrit, for your question. On the first question, in loan disposal, when we provide that to consumers, we actually own from the bank a commission between one to 1.2% of the disbursed value. So that is the take rate that we have on the disbursed value when we are doing the home loan disbursed and 25,000 crores worth of home loans to be disbursed is a target that we are aiming for right now. On to the second question on rental and education payments, was a business by housing.com. We're currently evaluating that synergy with Nestaway's existing business because Nestaway as a business does process 35 crores of, you know, and rentals every quarter.

47:20 So we are actually planning to restart that business with housing and Nest Away together, and that should... That will be a part of the synergies that we'll be launching going ahead. Thank you. Next question is from Rahul Jain from Dollar Capital. Please go ahead. Your line is unmuted. Please go ahead with your question. I hope I am audible. Yes. Yes. Hi, thanks for the opportunity. I just have one basic question. Since we have spent some time on this new asset that we are getting in and with that inclusion of housing, we would basically have a far more wider and deeper proposition in the distribution space.

48:17 So do you think having this kind of a overall three sixty degree way of distribution model, it will change our efficacy as well as bargaining power or appeal in the mind of potential customer. So any insight on those aspect would be great to understand. Thank you. Rahul, thanks for your question. I will answer it from a different frame rather than putting it or boxing it in distribution. Housing actually widens the capabilities across all segments, and in fact, it helps us reimagine the business model completely in a different form where the intent at housing can be captured across developers, brokers, and consumers across range of monetization points across the discovery to, you know, living solution that we have been created.

49:20 What we do definitely in the search is that each touch point that the consumer consumer comes on to the housing platform, be it a rental case, be it a purchase, be it an investment, or be it property management going forward, we will be able to monetize that with our Aurum PropTech's existing capabilities on the fulfillment side. So the combination actually helps us imagine this business in a very different form and scale. And and to answer the other part of the question, yes, it does give us, but your your right to win to command a premium over all other models, platforms, or PropTech businesses that we have mapped and seen because this really brings out a very unique combination of intent plus fulfillment or intent driven into fulfillment, which increases the TAM as well.

50:25 Only just to add to what Pankaj said, that definitely gives us the pricing power. But, you know, it's it's it's not about the pricing power currently for us. It is it is about increasing the time, increasing our increasing our leadership, increasing our dominance across all three segments of of developer, broker, and consumer. So if I have to talk about the channel partners, we have some 18 to 19,000 channel partners across the ecosystem, whereas we believe the opportunity to target the channel partners is to go up to 50,000 channel partners. And what it means is that a different... Try... We have to reimagine how the pricing, packaging, and product should be for for the channel partners, for the brokers who we believe are the lifeline of the industry.

51:21 Then on on the developer side, we we are now working with around 1,300 plus developers. But we believe that within the same geographies where we operate, which is around 35 odd geographies, there is a there is a target to go up to 4,000 plus developers. Right? So there also you have an opportunity to go three x of where you are currently. Similarly, with consumer, it's a very, very large consumer piece which we already have with Nestle. And housing gets gets 58,000,000 traffic. It has 12,000,000 monthly active users. It has 50 plus million app downloads. So all this kind of feeds to the consumer landscape.

52:06 And there is huge opportunity to go 100x on consumer, if not not three, four, 5x, but 100x on consumer. So look, bargaining or a pricing power is great to have, but that is not really what we are looking at currently. As of now, we are looking to kind of increase our leadership across segments, across geographies. Basically, we would like to harness the ecosystem by getting a better lifetime revenue opportunity and improving the sales velocity in general. Absolutely. I mean, the LTV for customers will increase, the consumers will increase, the cat for all businesses have started to go down.

52:51 So that is a given, that's a byproduct. But as you start making a more and more seamless consumer journey right from... And we have discussed this earlier also, think, in one of the calls, Rahul, that if you start thinking about it from a point of view of student housing to to someone buying their second home when they are 50 or 60. So you're taking a journey from 15 to 50 or 16 to 60, and that is the LTV that you can really target now. I mean, the... How how... Housing gets all kinds of audience, and it really it really kind of depends on you, how you want to how... What you want to show to the audience, what you want to lead the audience towards. Right? So it's a it's a it's a it's a beautiful neutral marketplace, and and you can you can kind of create more and more innovative opportunities around that.

53:45 Quite interesting. Thanks for the color and best wishes for the time ahead. Thank you very much. Thank you. Next question is from Faisal Hawa from H. G. Hawaii and Company. Please go ahead. Just one question. What kind of carry forward losses will housing.com come to us with? And is it a fair statement to make that maybe because of this, for the next three to four years, we may not even have to pay any taxes in our other businesses and in Aurum PropTech itself? Azimbai, thank you very much. So one, the business comes with a INR1000 crore of carry forward losses, INR1020 crores.

54:40 This money has essentially been spent on brands. This money has been spent on the SEO, and that is why it's the top of the mind brand. That is why it's the largest digital consumer real estate brand. So and for last ten, twelve years, consistently, the owners, the shareholders have spent this made this investment on the company, and the carry forward loss that we have acquired is $10.26. On the tax planning aspect of it, it's a bit early as of now. Whether how much of this can amortized over the larger ecosystem something yet to be seen.

55:30 We'll obviously take... We are obviously taking more opinion on this on how to kind of utilize this or not utilize this. So whatever the best possible best possible optimization that can be done, we will we will try to do that. One question. If there are two things in which... Discussions have been on in the board. If there are two things which are very much going to ensure discussions in the board from the last two, what was... What were those those two things would be? And where do you feel as the founder of the company we need to be really on speed with?

56:24 So look, whenever you lose these kind of acquisitions, which are probably the largest in... That we have done yet, board obviously wants to kind of go in far more detail. So over last three Board meetings, substantial time has been spent on first understanding housing, then the proposal that we were kind of trying to bring to the to the sellers, and now today today morning for another hour, hour and half on on how we are integrating this. So so board has board has a little bit of comfort because we have done this earlier. They believe that when we when we say that we are going to cut costs, we we mean that we will cut costs. They believe that when we say we are going to boost revenue, we do boost revenue.

57:17 They believe that when we when we say that AI will be utilized to the to the best of the capability, we we try to do that. So so board on on some of these issues has has comfort. Of course, with our transaction like housing, both spent a lot of time with us to kind of understand what could go wrong, what what was... What... How are we mitigating some of those risks, where where are we going to kind of invest money, how is the capital allocation going to happen, who are the leaders that will continue to kind of run the business. So to be... I mean, both created a subcommittee to say, okay, look, this team will... These these directors will work with you on on sort of understanding understanding the larger picture.

58:10 And there was... It... I'm I'm thankful to the board. There was a lot of deliberations that happened, which really helped us to create the integration plan in a in a detailed manner. Thank you so much, sir. I appreciate you answering my questions. Thank you. Ladies and gentlemen, we'll take that as the last question for today. I now hand the conference over to Ms. Sonia Duishmukh for closing comments. Over to you. Thank you, Ashish, and thank you to everyone for joining us today. Q2 FY 'twenty seven has been a quarter of continued progress from AURUM PropTech as we build on growth momentum and strengthen our operating performance across businesses. We remain focused on driving sustainable growth, improving profitability and executing our strategic priorities with discipline.

58:56 We sincerely appreciate your continued trust and support. Should you have any further questions, please feel free to reach out to our Investor Relations team and we will be happy to address them offline. Thank you once again for your time and continued engagement. We look forward to connecting with you again next quarter. Have a wonderful day. Thank you. Thank you, members of the management team. On behalf of MK Global Financial Services Limited and AURUM PropTech Limited, that concludes this conference. Thank you all for your participation and you may now exit the meeting.