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A Di ifi d R l E t t C ith P I di PA Diversified Real Estate Company with Pan India Presence
Investors’ UpdateQ3FY11
11
Disclaimer02 02 2011
This presentation has been prepared by Parsvnath Developers Ltd. (the “Company”) solely for providing information about the Company. Thispresentation is confidential and may not be copied or disseminated, in whole or part, in any manner
This presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company
02.02.2011
p p p y p y p y , p ymakes no representation or warranty or undertaking, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy,completeness, fairness, correctness and reasonableness of the contents of this presentation. This presentation has not been approved and willnot be reviewed or approved by any statutory or regulatory authority in India or by any Stock Exchange in India and may not comply with allthe disclosure requirements prescribed thereof. This presentation may not be all inclusive and may not contain all of the information that youmay consider material. Any liability in respect of the contents of, or any omission from, this presentation is expressly excluded
No representation or warranty, express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness orcorrectness of such information or opinions contained herein. Neither the company nor any of its respective affiliates, advisers orrepresentatives, shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of thispresentation or its contents or otherwise arising in connection with this presentation.
The information contained in this presentation is only current as of its date. Certain statements made in this presentation may not be basedon historical information or facts and may be “forward-looking statements”, including those relating to the Company’s general business plansand strategy, its future financial condition and growth prospects, and future developments in its industry and its competitive and regulatoryenvironment. Actual results may differ from these forward-looking statements due to a number of factors, including future changes ordevelopments in the Company’s business, its competitive environment, information technology and political, economic, legal and socialconditions in India and worldwide. The Company undertakes no obligation to update forward looking statements to reflect events orcircumstances after the date thereof.
This presentation and any information presented herein are not intended to be, offers to sell or solicitation of offers to buy the Company’sequity shares or any of its other securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer,
li it ti l i l f lsolicitation or sale is unlawful.
The Company’s equity shares have not been and will not be registered under the U.S. Securities Act 1993, as amended (the Securities Act”)or any securities laws in the United States and, as such, may not be offered or sold in the United States or to, or for the benefit of, U.S.persons (as such term is defined in Regulation S under the Securities Act) absent registration or an exemption from the registrationrequirements of the Securities Act and applicable laws. Any offering of the equity shares made, if any, in the United States (or to U.S.persons) was made by means of a prospectus and private placement memorandum which contained detailed information about the Companyand its management as well as financial statements
22
and its management, as well as financial statements.
The Company may alter, modify or otherwise change in any manner the content of this presentation, without obligation to notify any personof such revision or changes.
Contents
• Real Estate Industry – Emerging Trends
• Overview of Parsvnath Developers Limited
• Key Priorities
• Continued focus on Execution of Existing Projects
• Continued focus on Affordable Housing
• Strengthening the Balance Sheet & Deleveraging
• Overview of Key Business Segments
• Real Estate Development
• Residential
• Commercial
• DMRC Projects
• Hotels
• SEZs
• IT Parks
33
• Third Party Construction
Real Estate Industry – Emerging Trends
44
The Indian Growth Story yRapid & Sustainable Economic GrowthThe expected GDP growth rate of 8 to 9% shouldgenerate demand for real estate.
GDP Growth Rate
12
Despite the global slowdown, India is expected to bethe second fastest growing economy in the AsiaPacific RegionIncreasing share of Service Sector in GDP
7.5 6.7
9.09.69.4
7.5
3
6
9
This has resulted in greater demand space demandfor commercial office, retail and hospitality
The Pan India cumulative demand for the real estateacross residential, office, retail and hospitality isexpected to be ~ 1 098 mn sq ft during 2008 - 2012
02005 2006 2007 2008 2009 10 Year
Forecast
expected to be ~ 1,098 mn sq ft during 2008 2012Residential is expected to drive the demand andcontribute ~ 63% of the total space demandbetween 2008 – 2012
Progress on infrastructure projects would generate 50 5417 18 19 2021
13 14 14 1516
200
250
. ft.
Real Estate Demand Composition
g p j gmore demand for residential and commercialprojects.Increasing urbanization and job security should drivethe growth.
125 132 136 142 152
44 47 48 50
0
50
100
150
1 2 3 4 5
mill
ion
sq.
55
Continuous FII inflows resulting in improved liquidityFIIs have infused US$ 14.61 bn. till date, since 1st
April, 2009
1 2 3 4 5
Residential Commercial Retail Hospitality
Source: Cushman & Wakefield, Economic Survey 2007 – 08, RBI
Real Estate: Key Demand Driversy
Residential Commercial: Office SpaceSt i thRising income levels
Faster urbanizationNuclear family and younger populationGrowing middle & upper class
Strong economic growthInfrastructure developmentDestination for IT/ITeS sector Government Policies to encourage i t tShift in consumer preferences
Low interest rates
investmentShortage of quality commercial space
C i l R t il H i liCommercial: Retail
• Rising consumerism• Increasing spending capacity
HospitalityShortages of quality hotel rooms
– Increase in tourismIncrease in business travel• Macro policy decisions such as allowing FDI
in single brand retailing and cash & carry formats
• Growing share of organized retail
– Increase in business travel
Government initiative to promote tourism in Tier II/ Tier III cities in India
66
Strong momentum expected in all key segmentsSource: Cushman & Wakefield
Overview of Parsvnath Developers Limited
77
Parsvnath Developers Limited: An Overviewp
Over 2 decades of experience in real estatedevelopment
Completed 43 projects having an area of
Perspective Views
13.52 mn sq ftPresently 54 projects with a total area ofaround 80 mn. sq ft are underdevelopment/ construction
Out of this, around 37 mn. sq ft is Out of this, around 37 mn. sq ft is already sold
Pan India PresenceLand reserves of 193 mn. sq ft spread over44 cities and 15 states
K B i S t i l dKey Business Segments includeReal Estate Development
ResidentialCommercial (Office and Retail)DMRC Projects
La Tropicana,Khyber pass
jHotelsSEZsIT Parks
Third Party ConstructionS C b l
8
Strong Project Execution CapabilityExperienced in-house construction andprocurement teams
Parsvnath Mall, Kukattpally, Hyderabad 8
Diversified Operationsp
Hotels
Completed Projects (Saleable Area)Projects under execution (Saleable Area)
Residential27%
Commercial
2%
DMRC 1%
Hotels1% Contracts
2%
Commercial 7%
DMRC6%
Integrated Townships
67%
Residential51%
Integrated Townships
(Plotted Area)36% Regional Mix (Based on Saleable Area)
West
Delhi & NCR38%
South19%
West11%
Our focus remains on the residential segment and in particular on development ofintegrated townships
North32%
Note: Based on the projects under execution
9
integrated townshipsThe integrated townships are also modeled on affordable housing conceptIntegrated townships also provide flexibility of selling plots thereby improving thecash flows from the project
Pan India Presence
DERABASSIMOHALIRAJPURAAMRITSAR
DHARUHERA (REWARI)FARIDABAD CHANDIGARHFARIDABADGURGAONROHTAKKURUKSHETRASONEPATPANCHKULAKARNALPANIPAT
DEHRADUN
DELHIPUNJAB
UTTARANCHALHARYANA
JAMMU
J & K
PATNA
PANIPAT
BHIWADIJODHPURJAIPUR
DELHIHARYANA
UTTAR PRADESHRAJASTHAN
MADHYA
BIHAR
JAIPUR
INDOREUJJAIN
AGRANOIDAGREATER NOIDAGHAZIABADLUCKNOWRAEBARELIMOHAN NAGAR
MADHYA PRADESH
MAHARASHTRA
GOAANDHRAPUNE
SHIRDINANDED
SANGOLDAPANJI
HYDERABADMORADABADSAHARANPURSHAHIBABADKHEKHRA
KARNATAKA
ANDHRAPRADESH
1010Presence in 44 Cities and 15 States
MYSORE COCHINPALAKKAD
CHENNAI
Diversified Business Model
SALEABLE PROJECTS NO.
SALEABLE AREA
(mn. sq. ft.)Residential 45Residential 45
Group Housing & Built up Houses 68.79
Plots 30 14 98 93Plots 30.14 98.93
Commercial/Offices/IT Parks 21 13.82DMRC (BOT Projects) 6 1.79Hotels 13 1.78SEZs 7 76.64
11
Total 92 192.96
Key Priorities
1212
Key Prioritiesy
#1 Continue focus on Execution of Existing Projects#1 Continue focus on Execution of Existing Projects
#2 Continue focus on Affordable Housing#2 Continue focus on Affordable Housing
#3 Strengthening Balance Sheet & Deleveraging#3 Strengthening Balance Sheet & Deleveraging
1313
Execution Roadmap: Residentialp
Select Projects Under Execution
Saleable Area Project Name Location Saleable Area (mn Sq ft)
Integrated Townships
Parsvnath City Sonepat 17.96
Parsvnath City Panipat 6.78
Parsvnath City Indore 5.40
Parsvnath City, Sonepat, Actual Site Photograph
Residential Group Housing Projects
LA Tropicana Delhi 2.27
Parsvnath Exotica Gurgaon 1.98 Parsvnath Exotica, Gurgaon
Parsvnath Privilege Greater Noida 3.26
Parsvnath Exotica Ghaziabad 3.14
, gArtistic Impression Actual Site Photograph
141414Parsvnath Privilege, Greater Noida
Artistic Impression Actual Site Photograph
31 Projects with Saleable Area of 74.78 mn Sq ft
Execution Roadmap: Commercialp
Saleable Area
Select Projects Under Execution
Project Name Location Saleable Area (mn Sq ft)
Parsvnath City Centre Sonepat 0.34
Parsvnath City Centre Hyderabad 0.29y y
Parsvnath Mall Rohini, Delhi 0.26
Parsvnath City Centre Bhiwadi 0.21
Parsvnath City Centre, Sonepat1
Parsvnath Square Moradabad 0.16
Parsvnath Mall Matrix Mohali 0.16
P th Cit C tParsvnath Eleganza Dehradun 0.10
10 Projects with Saleable Area of 1 81 S ft
Parsvnath City Centre, Hyderabad1 Parsvnath Mall, Rohini1
15
1.81 mn. Sq ft
Parsvnath City Centre, Bhiwadi1
Parsvnath Square Mall, Moradabad1Note: 1. Artistic Impressions
Execution Roadmap: DMRC Projectsp j
Projects Under Execution
Saleable Project Name Location Area
(mn Sq ft)
Parsvnath Metro Mall, Welcome Delhi 0.40
Parsvnath Mega Mall, Seelampur Delhi 0.55
Parsvnath Office Complex, Bhai Vir Singh Marg Delhi 0.28
Parsvnath Metro Mall, Welcome 3 Projects with Saleable Area of 1.23 mn. Sq ft
Artistic Impressions
1616Parsvnath Mega Mall, Seelampur
Execution Roadmap: Hotelsp
Select Projects Under Execution
Saleable Area
Hotel, Hyderabad
Project Name LocationSaleable Area (mn Sq ft)
Hotel Hyderabad 0.18
Hotel Mohali 0.09
Hotel Lucknow 0.07
Hotel Shirdi 0.04
Serviced Apartments Bhiwadi 0.06
Artistic ImpressionTotal 0.44
Hotel, Mohali Hotel, Lucknow
Artistic Impression
1717Artistic Impression Actual Site Photograph Artistic Impression
Possession ScheduleParsvnath City, Sonepat PlotsParsvnath City, Paliwal PlotsParsvnath City Indore PlotsParsvnath City, Indore PlotsParsvnath Exotica, GurgaonParsvnath Planet, LucknowParsvnath Regalia, Ghaziabad
Next 6 Months2.79 mn Sq ft
6 Months - 1 Year15.40 mn Sq ft
1 - 2 Years7.32 mn Sq ft
Ghaziabad
Parsvnath Narayan City, Jaipur Plots Parsvnath City, Dharuhera Pl t
Parsvanth King City, Rajpura PlotsParsvnath City, Saharanpur Plots
Parsvnath Panchvati AgraParsvnath Mall, Moradabad
Parsvnath City, Saharanpur PlotsParsvnath Royale Floors, LucknowParsvnath Palacia, Greater N id
18
NoidaParsvnath Pratibha, Moradabad
Key Prioritiesy
#1 Continue focus on Execution of Existing Projects#1 Continue focus on Execution of Existing Projects
#2 Continue focus on Affordable Housing#2 Continue focus on Affordable Housing
#3 Strengthening Balance Sheet & Deleveraging#3 Strengthening Balance Sheet & Deleveraging
1919
Continue Focus on “Affordable Housing”Parsvnath’s major focus was on mid incomeand affordable housing even before thedownturn in the real estate sector startedStrong Portfolio of mid income and affordablehousesKey affordable housing projects launched inlast 2 – 3 years includey
Parsvnath Regalia, GhaziabadParsvnath Royale Floors, LucknowParsvnath Sterling, GhaziabadP th P tibh M d b d
Parsvnath Regalia, GhaziabadParsvnath Pratibha, MoradabadElite Floors, DharuheraElite Floors, SaharanpurRoyale Floors, Panipat
g ,Artistic Impression
y p
Average sale price of apartment is betweenRs 1.4 – 3.0 million making it an attractivevalue proposition for consumers
2020
value proposition for consumersHighly successful launches as most of theprojects were sold Parsvnath Royale Floors, Lucknow
Artistic Impression
Case Study: Parsvnath Regalia, Ghaziabad
Location/AccommodationLocated on G T Road, NCR30 mins drive from Connaught PlaceProximity to upcoming metro station8 acres of landscaped society8 acres of landscaped society2 – 3 bedroom apartments/penthouses
Sales Performance Parsvnath Regalia, GhaziabadSales Performance474 flats were sold out of 480 flatsSaleable Area of 1025 sq ft (2 BHK)/1570 sq ft (3 BHK)
g ,Artistic Impression
Flats starting from Rs 2.2 million
Construction UpdateConstruction in full swing
2121
Construction in full swingExpected possession: By mid 2011
Parsvnath Regalia, Ghaziabad Actual Site Photographs
Case Study: Parsvnath Pratibha, Moradabad
Location/Accommodation9 kms from Railway Station and Main City2 – 3 bedroom apartments
Sales Performance775 flats were sold out of 808 flatsSaleable Area of 1050 sq ft (2 Parsvnath Pratibha, MoradabadBHK)/1260, 1450 & 1550 sq ft (3 BHK)Flats starting from Rs 1.3 million
Construction Update
,Artistic Impression
pConstruction in full swingExpected possession: By 2012
Parsvnath Pratibha, MoradabadActual Site Photograph
2222
Actual Site Photograph
Recent Launch: Parsvnath Royale Floors, Lucknow
Location/AccommodationSpread over 35 acres on Lucknow –Faizabad Road6 kms from Gomti Nagar2 – 3 bedroom apartments
Sales PerformanceSales Performance510 flats launched in Phase 1. Out of this 501 were sold on the date of launch itself
Parsvnath Royale Floors, LucknowArtistic Impression
Saleable Area options of 900 (2 BHK), 1135 & 1435 (3 BHK) and 1665 sq ft (4 BHK)Fl t t ti f R 1 3 illiFlats starting from Rs 1.3 million
Construction UpdateConstruction in full swingExpected possession: By 2012
2323
p p y
Parsvnath Royale Floors, LucknowActual Site Photograph
Overview of Key Business Segments
2424
Some of the Completed Projects (Residential and Integrated Township Projectsj
Select Completed Projects
Saleable Area Project Name Location Saleable Area (mn Sq ft)
Integrated Townships
Parsvnath City1 Dharuhera 1.53
Parsvnath King City1 Rajpura, Punjab 1.21
Residential Group Housing Projects
Parsvnath Prestige, NoidaParsvnath Majestic, Ghaziabad
Parsvnath Prestige Noida 1.61
Parsvnath Paradise Ghaziabad 0.79
Parsvnath Panchvati Agra 0.69Parsvnath Green Ville, Gurgaon
Parsvnath Eden, Greater Noida
Parsvnath Majestic Floors Ghaziabad 0.46
Parsvnath Platinum Towers Greater Noida 0.36
Greater Noida
25Parsvnath Paradise, GhaziabadNote: 1) Only Plotted Development has been completed
22 Projects with Saleable Area of 11.93 mn Sq ft
Some of the completed projects (Commercial)p p j ( )
Select Completed Projects
Saleable Area Project Name Location Saleable Area (mn Sq ft)
Parsvnath Mall Manhattan Faridabad 0.21
Parsvnath City Mall Faridabad 0.18 Parsvnath City Mall
Parsvnath Plaza I & II Moradabad 0.14
Parsvnath Plaza Saharanpur 0.07
Parsvnath Bibhab
Parsvnath City Mall, Faridabad Parsvnath Mall Manhattan,
Faridabad
Parsvnath Bibhab Plaza Greater Noida 0.05
Parsvnath Shoppers Den Noida 0.04
Parsvnath Paradise Arcade Ghaziabad 0.04 Parsvnath Plaza, Saharanpur
P h K h bi M llArcade
Parsvnath Arcadia Gurgaon 0.04
Parsvnath Kaushambi Mall Ghaziabad 0.02
a s at a a, Sa a a puParsvnath Kaushambi Mall, Ghaziabad
26
12 Projects with Saleable Area of 0.83 mn Sq ft Parsvnath Shopper’s Den,
Noida
Some of the completed projects(Delhi Metro Rail Corporation (DMRC))( ))
Completed Projects
Project Name Location Saleable Area (mn Sq ft)
Parsvnath Metro Tower, Shahdra Delhi 0.11
Parsvnath Metro Mall, I d l k Delhi 0.09Inderlok Delhi 0.09
Parsvnath Metro Mall, Inderlok Annexe Delhi 0.05
Parsvnath Metro Mall, Kashmere Gate Delhi 0.06
Parsvnath Metro Mall, Kashmere Gate
Parsvnath Metro Mall, Inderlok
Parsvnath Metro Mall, Tis Hazari Delhi 0.02
Parsvnath Metro Mall, Pratap Nagar Delhi 0.02
Parsvnath Metro Mall, Delhi 0 03 P h M M ll P NSeelampur Delhi 0.03
Parsvnath Metro Station, Azadpur (Part-A) Delhi 0.20
Parsvnath Metro Station, Akshardham (Part-A) Delhi 0.17
Parsvnath Metro Mall, Pratap Nagar
2727Parsvnath Metro Tower, Shadhara
9 Projects with Saleable Area of 0.75mn Sq ft
Hotels: A Diversified Portfolio
Strong Portfolio of 13 hotel properties across IndiaAll hotels to be developed in a 100%
Type of Hotel Properties
All hotels to be developed in a 100% Subsidiary, Parsvnath Hotels Limited (“PHL”)Hotels to be owned by PHL and managed by leading national and international hotel
Serviced Apartments
16%
chainsFunding for the hotel projects will be raised in the form of debt and equity in PHLMoU with Fortune Park Hotels of ITC
5 Star46%
3 Star15%
MoU with Fortune Park Hotels of ITC Welcomgroup to develop 20 ‘5-Star’, 20 ‘4-Star’ and 10 ‘Mid-Market Budget Hotels’
Fortune Park Hotels will only operate
4 Star23%
and market these hotelsJV with Royal Orchid Hotel Private Ltd to develop a new Hotel company called “Parsvnath Royal Orchid Hotels Ltd.” for developing new range of Hotels and
Parsvnath Hotels Ltd. (PHL) and ChoiceInternational have entered into MasterDevelopment Agreement to develop and manage
28
developing new range of Hotels and Serviced Apartments across India
Under this JV company, 10 hotels would be developed
p g p g100 Budget Hotels across India, under Sleep-In –PHL brand.
PDL SEZsSEZ Development is undertaken through a 100% Subsidiary, Parsvnath Infra Ltd Approval Status:
Notified: 4 SEZs at Indore, Gurgaon, Dehradun and Nanded, g ,Formally Approved: 2 SEZs at Kochi & HyderabadIn Principle Approval: 6 SEZs at Kancheepuram, Kundli, Moradabad, Agra, Pune and JaipurAwaiting Approval: 1 SEZs at Mysore
Focus is on development of Notified SEZsMaster Plan and Building Plans submittedBuilding construction to commence post requisite approvals
S.No. Location Sector Land Area(Acres) Land StatusDev. Area (Mn.
Sq. ft.)S.No. Location Sector Land Area(Acres) Land Status Sq. ft.)
1 Indore IT/ITES 83.01 Acquired 12.352 Gurgaon IT/ITES 105.53 Acquired 11.603 Dehradun IT/ITES 34.59 Acquired 3.804 Nanded, Maharashtra Pharma 370.00 Acquired 19.68
Notified
Total (A) 593.13 47.43Formal Approval
5 Kochi IT/ITES 76.01 Acquired 12.176 Hyderabad Biotechnology 25.00 Acquired 3.99
Total (B) 101.01 16.16
2929
Awaiting Govt. Approvals7 Mysore IT/ITES 118.61 Acquired 13.05
Total (C ) 118.61 13.05Total (A+B+C) 812.75 76.64
Third Party ConstructionIn order to leverage our well-established in-house construction and purchase division, we have decided to take the outside construction contracts. Following projects have been bagged.
y
S. No. Details Location
Total Built-up Area
(sq. ft.)
Value of the Contract
(Rs. Mn.)
1. Construction of SAI ASHRAM at Shri Saibaba Sansthan
Shirdi(Maharashtra)
9,00,000 900.90Saibaba Sansthan (Maharashtra)
2. Construction of Footwear Design & Development Institute
Fursatganj, Rae Bareli (U.P.)
2,80,000 470.70
3. Construction of Buildings, Multi-level Car Parkings Services and External
Patna (Bihar)
2,90,000 1,255.30Car Parkings, Services and External Development at Buddha SmritiUdhyaan
(Bihar)
4. Construction of Staff Quarters at DMRC, Mundka Depot for Phase –II
New Delhi 1,29,728 198.70
5. Construction of Station Complex at Dhaula Kuan (DMRC) Delhi Metro Rail Corporation Station.
New Delhi 194,650 294.20
Construction of Hostel Building in Fursatganj
30
6. Footwear Design & Development Institute
Fursatganj, Rae Bareli (U.P.) 50,000 104.20
Total 18,44,378 3224.00
Strong Execution Capabilityg p y
Construction
Construction of all major projects is done in-house. Selectively, we areoutsourcing the construction to reputed Contractors. We have already awardedthe construction for Bhai Vir Singh Marg Project to L & T.
T bli h d f i i i f Ci il A hi E i d Team established for construction consisting of Civil Architects, Engineers and other technical support.
Arrangements with leading Architects like Hafeez Contractor, C P Kukreja, MohitG j l Gi M th C lli (U S A ) K l S M lik K i J i At l D i &Gujral, Gian Mathur, Callison (U.S.A.), Kamal S. Malik, Kavi Jain, Atul Desai &Associates, Uppal Ghosh & Associates, Saha & Associates, Space Combine,Rajendra Kumar & Associates, Bobby Mukherjee & Associates, Grid &Associates, Ricky Mathur & Associates, Uday Kulkarni & Associates, Oracles &Associates, Habibat & Associates etc. for project concept design
Procurement of Construction MaterialIn-house team and systems in placeLong term relationship with vendors
31
Long term relationship with vendors
Ability to commit timely delivery with penalty clause
Strong Execution Capability
Area under construction/l
g p y
Development
(mn. sq. ft.)Residential
Group Housing & Built‐up Houses
Plots
51.43
23.35Plots 23.35
Commercial/Offices/IT Parks 1.81Delhi Metro Rail Corp. (BOT Projects) 1 23(BOT Projects) 1.23
Hotels 0.44
32
Contractual Business 1.84
Total 80.10
Area under Fast Track execution
Vertical Area (Mn. Sq. ft.)
Group Housing & Built‐up Houses 20.01Group Housing & Built up Houses 20.01
Plotted 22.62
Commercial 0.59
Hotels 0.26
Total 43 48
33
Total 43.48
Completed Projects
V ti l N f P j tSaleable Area (M S ft )Vertical No. of Projects (Mn. Sq. ft.)
Residential 16 7.36
Commercial 12 0.83
DMRC 9 0.75
Integrated Townships g p(Plotted Area)
6 4.58
34
Total 43 13.52
Highlights of Q3FY11
35
Major highlights of Q3FY11
• Sold 569 units, an area of 0.81 mn. sq. ft. in Q3FY11.
P i ff d f 324 it f 7 69 507 ft• Possession offered for 324 units, an area of 7,69,507 sq. ft.
• Employees strength stands at 787.
• LOA (Letter of Acceptance) received from Rail Land Development Authority(RLDA)• LOA (Letter of Acceptance) received from Rail Land Development Authority(RLDA)for grant of lease for development of plot admeasuring 38.3 acre in Sarai Rohilla,New Delhi, auctioned by RLDA. The development would consist of luxuryResidential Apartments and total developable area would be around 4 mn. sq. ft.
• No-Objection Certificate received from Airport Authority of India, for ParsvnathMall-cum-Hotel, Kukatpally, Hyderabad.
• Occupancy Certificate received from Municipal Corporation of Delhi, in respect ofOccupancy Certificate received from Municipal Corporation of Delhi, in respect ofPDL Commercial Complex at Seelampur Delhi Metro Station.
• Occupancy Certificate received from Greater Noida Industrial DevelopmentAuthority in respect of PDL Panorama Group Housing at Greater Noida.
36
y p p g
• Completion Certificate received from competent authority, for PDL City at RauKhedi, Indore, Madhya Pradesh.
Possession offered to customers in Q3FY11
S. No. Project Name Vertical Units Area (Sq. ft.)
1 P th Cit M ll F id b d C i l 4 2 2901. Parsvnath City Mall, Faridabad Commercial 4 2,290
2. Parsvnath Panchvati, Agra Residential 27 28,457
3. Parsvnath Panorama, Greater Residential 217 5,95,318Noida
4. Parsvnath Royale Floors, Jodhpur
Floors 42 60,120
5. Parsvnath City, Jodhpur Plots 13 29,250
6. Parsvnath City, Ujjain Plots 4 14,553
7. Parsvnath City, Jaipur Plots 15 33,120
8. Parsvnath City, Sonepat Plots 1 3,924
9. Parsvnath King City, Rajpura Plots 1 2,475
37
g y jp
TOTAL 324 7,69,507
Possession expected to be offered in coming months
S. No. Project Name City Vertical Units
Area(Sq. ft.)No. Project Name City Vertical Units (Sq. ft.)
1. Parsvnath City Indore Plots 212 5,32,998
2. Parsvnath Exotica Gurgaon Group Housing 103 4,33,405
3. Parsvnath Pratibha Moradabad Group Housing 111 1,55,350
4 P th Cit Ujj i Pl t 489 10 07 0554. Parsvnath City Ujjain Plots 489 10,07,055
5.Parsvnath RoyaleFloors Jodhpur Floors 67 80,150
38TOTAL 982 22,08,958
Forthcoming Launches/Bhoomi Pujans
S. No. Project Name City Area (sq. ft.)j
1. Parsvnath City Karnal 57,66,599
2. Parsvnath IT Park Gurgaon 7,00,000
h h k3. Parsvnath City Rohtak 31,21,080
4. Parsvnath Group Housing Kundli, Sonepat 8,76,645
5. Parsvnath Eleganza Commercial Mall Dehradun 98,757
39
Total 1,05,63,081
Key Prioritiesy
#1 Continue focus on Execution of Existing Projects#1 Continue focus on Execution of Existing Projects
#2 Continue focus on Affordable Housing#2 Continue focus on Affordable Housing
#3 Strengthening Balance Sheet & Deleveraging#3 Strengthening Balance Sheet & Deleveraging
4040
Strengthening Balance Sheet & Deleveragingg g g g
Key steps taken include:Focus on execution of existing projects & no further additions to landreserves
Infuse equity into the Company to execute existing projects and repaymentof debt to reduce interest burdenof debt to reduce interest burden
FDI in select projects
J.P Morgan Advisors FundingParsvnath Developers Limited (PDL) inked an agreement with leading internationalreal estate private equity fund J.P. Morgan to invest Rs. 1150 mn. for subscribing22% stake in its 16.84 acres, premium luxury residential project “Parsvnath La22% stake in its 16.84 acres, premium luxury residential project Parsvnath LaTropicana” in Khyberpass, Civil Lines, Delhi. Parsvnath Landmark DevelopersPvt. Ltd, (PLDPL) a wholly owned subsidiary of Parsvnath Developers Ltd isexecuting this project. The construction of the project has been commenced afterreceiving all requisite approvals and sanctions In addition to above J P Morgan
4141
receiving all requisite approvals and sanctions. In addition to above, J.P. MorganAdvisors India Pvt. Limited also entered into an Loan agreement with PLDPL for the sameProject amounting to Rs.1400 mn.
Strengthening Balance Sheet & Deleveraging(Cont….)g g g gRedfort Capital Funding
Parsvnath Developers Ltd has entered into an agreement with Red Fort CapitalParsvnath Developers Ltd. has entered into an agreement with Red Fort Capital,whereby later they will be investing Rs. 1200 million for subscribing 24.5% equityinterest in PDL Office Complex at Bhai Veer Singh Marg, Connaught Place,New Delhi. The construction of the project has been commenced after receiving allrequisite approvals and sanctionsrequisite approvals and sanctions.
Parsvnath Developers Ltd. has entered into another agreement with Red FortCapital, whereby later they will be investing Rs. 1100 mn. for subscribing 49%
( il d l h i ) id i lequity interest in RLDA (Rail Land Development Authority) ResidentialProject at Sarai Rohilla, Delhi.
Sun Apollo Funding
Inked an agreement with leading international real estate private equity fund SUN-Apollo an international real estate private equity fund for an investment in its
4242
Apollo, an international real estate private equity fund, for an investment in itspremium luxury residential project Parsvnath Exotica Part-II, Gurgaon. SUN-Apollo will invest Rs 750 million for a 50% stake in the project SPV which willdevelop Parsvnath Exotica Part – II, Gurgaon.
Strengthening Balance Sheet & Deleveraging(Cont….)g g g gSun Apollo Fund (Cont…)
PDL has enter into an another agreement with Sun Apollo whereby they will bePDL has enter into an another agreement with Sun Apollo, whereby they will beinvesting Rs. 1000 million for subscribing 49.9% equity interest in PDL Exotica,Arthala, Ghaziabad. The project will be executed through Parsvnath BuildwellPvt. Ltd. under SPV level. The construction of the project has been commencedafter receiving all requisite approvals and sanctionsafter receiving all requisite approvals and sanctions.
We are in the process of negotiating for Private Equity funding in some other projectsalso.
• Funds raised through QIPFunds raised through QIPPDL has allotted 1,38,56,272 shares and raised Rs. 168 Cr. through QIP route inSeptember, 2009.
F the allotted 1 90 38 113 sha es and aised Rs 270 C th o gh QIP o te in
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Further allotted 1,90,38,113 shares and raised Rs. 270 Cr. through QIP route inOctober, 2010.
Strengthening Balance Sheet & Deleveraging(Cont….)g g g g
Monetizing Assetsg
• In line with PDL’s strategy to reduce debt, the company has continued a
strategic and comprehensive portfolio review of its real estate assets, with a
view to exit the non strategic assets & monetized few of its delayed projectsview to exit the non-strategic assets & monetized few of its delayed projects.
• The company has monetized the following projects :
1. Bus Depot, Kurla, Mumbai
2. Bus Depot, Mahim, Mumbai
3. Commercial Plot, Vejalpur, Ahmedabad
4. Commercial Plot, Vastrapur, Ahmedabad
5. Two Residential Plots at Pune, Maharashtra
6 Residential Group Housing Plot at Jam Nagar Gujarat
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6. Residential Group Housing Plot at Jam Nagar, Gujarat
Financial Overview
4545
Financial Results
46
Financial Highlights(Consolidated) All Figures in Rs. Mn.g g
Q3FY11 Q2FY11 Q1FY11 FY10 FY09 FY 08KEY RATIOSEBIDTA MARGIN 33 89% 52 28% 28 12% 30 15% 32 70% 37 03%EBIDTA MARGIN 33.89% 52.28% 28.12% 30.15% 32.70% 37.03%NET MARGIN 16.81% 28.81% 15.48% 14.23% 15.47% 23.10%RETURN ON EQUITY * 5.93% *9.89% *7.00% 6.14% 5.63% 22.46%
NET DEBT EQUITY RATIO 0.55 0.65 0.65 0.66 0.83 0.74
FINANCIAL HIGHLIGHTSFINANCIAL HIGHLIGHTSREVENUE 2273.50 2009.69 2592.95 9881.82 7,292.1 18,371.2EBITDA 770.50 1050.80 729.20 2979.32 2,384.7 6,802.5PBT 560.80 858.56 535.98 1961.91 1,369.5 6,172.2TAX 178.50 279.49 134.68 555.80 241.3 1,928.5PAT 382 30 579 07 401 30 1406 11 1 128 2 4 243 7PAT 382.30 579.07 401.30 1406.11 1,128.2 4,243.7
NETWORTH 25794.20 23426.00 22968.00 22906.89 20,047.0 18,896.9DEBT 16172.00 17713.39 17126.00 17098.04 19,310.3 18,205.2CASH AND BANK BALANCE 2039 10 2429 52 2283 12 2047 13 2 709 6 4 228 4BALANCE 2039.10 2429.52 2283.12 2047.13 2,709.6 4,228.4NET DEBT 14132.90 15283.87 14843.00 15050.90 16,600.7 13,976.8NET CURRENT ASSETS 36780.80 36276.93 35339.17 35137.33 35,448.6 34,313.7
CURRENT LIABILITIES 13463.70 14618.67 13601.29 12612.84 10,362.4 12,816.6WORK IN PROGRESS 26275.72 26134.66 25308.00 24578.40 24,284.6 22,536.1
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SUNDRY DEBTORS 12927.70 14321.21 14213.00 14056.44 11,466.0 12,813.9SUNDRY CREDITORS 4107.45 4520.33 4500.00 4503.14 3864.93 3,721.0CUSTOMER ADVANCES 2171.65 2463.37 2258.08 2367.76 1,790.2 2,451.3
•Annualized
Financial Highlightsg g
Revenue (Rs. million) EBITDA & PAT (Rs. million)
2000018371
16000
18000
20000
68037000
8000
988210000
12000
14000
4244
5000
6000
7292 6876
6000
8000
10000
2385
29792551
2000
3000
4000
0
2000
40001128
1406 1363
0
1000
2000
48
0FY08 FY09 FY10 9 months
ended Dec. 2010
0FY08 FY09 FY10 9 months
ended Dec. 2010
Financial Highlightsg g
Net Worth (Rs. million) Net Debt/Equity (x)
22907
25794
25000
30000
0.74
0.83
0 660 7
0.8
0.9
1889720047
20000
0.66
0.55
0.5
0.6
0.7
10000
15000
0.3
0.4
5000
0.1
0.2
49
0FY08 FY09 FY10 As on 31st
Dec. 2010
0FY08 FY09 FY10 As on 31st
Dec. 2010
Profile and Usage of DebtAmount in Rs. Cr.
g
Consolidated Figures
Standalone Figures
Total Debt
Less : Cash & Bank balance
1617.20 1321.73
203.91 181.08
Net Debt1413.29 1140.65
Less : Self Funding Debts : Receivables of 11 DMRC Projects
Less : CCD to FDI
111.45 111.45
212.55 --
Balance Debt 1089.29 1029.20
50
Average Rate of Interest : 14.05% 13.85%
Debt Position
Debt Composition Term Loan Composition
Working C i l
Overdraft against FD
8%
Others3% Project
Related46%
5%6%
Term Loans82%
Capital7% Corporate
54%8%
81%
Term Loan Maturity Schedule (Rs. Cr.)
Note: Others include interest accrued and loans from directors
764.18
329.51 264.37 161.41 161.41 161.41200400600800
1000
51
0200
FY11 FY12 FY13 FY14 FY15 FY16
Thank You Thank You
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