– Anant Raj Limited

Q2 FY2025 Concall Highlights

Financial Highlights:
Revenue from operations for Q2 FY25 stood at INR 524 crores, up 54% YoY.
EBITDA for Q2 FY25 stood at INR 124 crores, up 40 % YoY.
PBT for Q2 FY25 grew 50% YoY to INR 114 crores.
Profit After Tax in Q2FY25 jumps by 75 % YoY to INR 106 crores.
Net debt ending Q2 FY25 stood at INR 96 crores vs INR 220 crores in Q1 FY25.
Plan to be debt free by December 2024. 95 cr, debt as of 30 Sept. 2024.
6 MW contributed 8 crores in revenues this quarter.

Data centre:
Operationalized 6 MW of IT load at Manesar, with progress on track to complete additional 15 MW IT Load at Manesar and 7 MW IT Load at Panchkula by FY25, totalling a capacity of 28MW IT Load by FY25 end.

Moat is Anant Raj started from 2019. Building are strength wise high requirement.
No entry barrier from government.

Cloud Services:
Successfully launched cloud services platform on 0.5 MW IT Load, initially to provide Infrastructure as a Service (IaaS) in association with Orange Business.

Plans to further expand cloud infrastructure, focusing on IaaS, co-location services, and AI-enabled solutions to enhance its offerings in collaboration with Orange Business.

Single stop shop for any service related to data. Iaas, Paas, and finally to Saas, which will take time.

Out of 63 MW 14 will be cloud service, which is better cash flow and profitability compared to co-location.
Anant raj will be one of the largest cloud service player in India. Revenue start coming in cloud service from day one.

1 MW of cloud service require additional investment of 100cr. In addition to 26cr. cost of building colocation data centre.
0.5 MW get very good response, comparable to world leaders.
0.5 MW can generate 75cr/year. as Iaas which is basic level. As move higher in value chain, it will be more.
14 MW by March 2026. 4 MW will be March 2025.
Running cost 2 cr/month. 24 cr/year per MW. EBIDTA: 126/150= 84%
Server life is 5 year. It can be upgraded as when required.
Demand is high, first come first serve between private and government.

Fund Raise:
2100 cr. Promoter will put 100 cr.
Entire amount is for data centre mainly for cloud services.
28 MW will be funded by internal funds.

Land acquisition:
20 cr. per acre. cost to Anant Raj. It will be developed by Company. Partnership land. It will be 3mn sq. ft development area for next month. Anant Raj share will be 2mn. sq. ft.

Real Estate:
101 acre in Delhi is eligible for all category, housing, hotel etc. Completely paid. Waiting for draft master plan of Delhi to publish.
Next 4 year focus will be in 63A sector, Gurgaon.
Group Housing 2 will be launched in Jan 2025 as Haryan was under election and code of conduct.
12.5 cr/quarter. rental income from real estate.
Coming 2 years, revenue will be 2.5 to 3 times from current rental income.

12 acres court matter, newspaper will be rectifying it, it was falsely reported, it is about 1000 sq. yard third party rights can not be given, which company anyhow not going to do. No license is cancelled.

Conclusion:
In addition to real estate income, data centre can have following projections:
Co location Revenue per MW as per previous concall was 10.8 cr/year.
Cloud service Revenue per MW as per this concall is 150 cr/year.
March 2026:
Col-location Revenue: 49 MW x 10.8 cr/year: 529 cr.
Cloud Service Revenue: 14 MW x 150 cr/year: 2100 cr.
Total: 2629 cr. potential revenue with more than 80% EBIDTA.

Always take projections with pinch of salt, in real estate and data centres very high possibility of delay due to obvious reasons.

Investor Presentation:
https://www.bseindia.com/xml-data/corpfiling/AttachLive/f92356ca-e039-47be-bbae-102132e76fd7.pdf

Conference Call Audio: