I am writing to you amidst uncertain times with the spread of globalpandemic arising due to global spread of COVID19. I sincerely hope that you your familiesand loved ones are safe and healthy and taking due care. Our top-most priority duringthese times have been safety of our workforce. More than 90% of our labourers remained onour sites during lock down and we took care of them by engaging with them and providingthem meals and safe living conditions. We constituted a COVID committee comprising ofmyself and 4 other senior members of the organisation to monitor the prevailing situationtake real time decisions when required and lay down SOPs for all the critical activities.Having a long-term view on maintenance one of the critical task was to ensure continuityof operations in all our projects. We engaged with our customers on a regular basis andensured smooth conduct of all the maintenance activities in the projects.
The year gone by was a difficult year for the sector in terms ofchallenging regulatory and macroeconomic environment and further worsened due tounprecedented impact of pandemic on our operations towards end of the year. Despite allthese challenges I am pleased to share that in the previous year we delivered a strongperformance in terms of sales clocking a robust
19.82 Lakhs sq ft (vis a vis 10.79 Lakhs sq ft in FY19) of area booked.1505 units were during the year with a sales value of Rs 672 Crores. This was primarilydue to successful launch of 4 new greenfield projects Ashiana Daksh and Ashiana Amantaranin Jaipur and Ashiana Sehar and Ashiana Aditya in Jamshedpur.
Being a customer centric organisation we have always realised theimportance of delivering delightful experience for our customers through our services. Youwill also be pleased to know that we have been ranked as No.1 Developer in NorthIndia' and No.5 Developer in India' by Track2Realty in thisyear's ratings. We have taken Customer Delight' as the theme forthe current year.
On the construction front we recorded an EAC (Equivalent AreaConstructed) of 9.85 Lakhs sq. ft. (AHL: 6.65 Lakhs sq. ft andPartnerships:3.20Lakhssq.ft).Our construction has been generally in line with ourcommitment. We have been previously selective and conservative in launch of new phases andhad kept our phase size smaller to keep the construction in line with slowdown in oursales but as we have locked in higher sales this year EAC will increase in the years tocome as we build and deliver homes to the customers.
Operational Cash Flows significantly improved vis a vis last year dueto better collections resulting from higher booking. (Positive at Rs 34.22 Crores in FY20versus Positive at Rs 16.41 Crores in FY19). Healthy response to new launches during theyear gives a strong cash flow visibility in future.
While the year gone by gave us reason to cheer on several fronts it isclear that the current year will bring in challenges more so as an aftermath of thisglobal pandemic which is an unprecedented crisis. The short term might look challenginghowever I remain confident on long term growth of the company. What gives me confidence isour strong financial position (low debt healthy liquidity position) cash flow visibilityhaving delivered strong performance in FY20 ongoing rapid consolidation in the industrywhich is attracting buyers to organised developers and increased affordability in the wakeof reduced interest rates.
I am deeply grateful to the team at Ashiana for their tireless effortsand showing sincere commitment in taking forward the vision of the organisation in ourendeavour to run business in a transparent and sustainable manner.
I along with my entire Leadership Team would like to thank ouresteemed Board members valued customers joint venture partners shareholders businessassociates suppliers and all other stakeholders for their continued support andencouragement.
With best wishes
|Vishal Gupta |
|Managing Director |