Godrej Properties Ltd

I hope this message finds you and your loved ones well. FY 24 has been a significant year for Godrej Properties, with remarkable success across different areas. Our strong performance shows our commitment to delivering value while prioritizing environmental sustainability, social responsibility, and good governance. These values have consistently guided us on our journey and continue to define our approach to business.

We are proud to announce that Godrej Properties recorded its highest-ever annual sales, cash collections, earnings and project deliveries in FY24. We concluded the year with sales bookings of '22,527 Cr., marking an 84% increase compared to the previous year. In fact, the fourth quarter alone achieved a booking value of '9,519 Cr. which was more than the booking value we achieved in the entire FY22. FY24 and Q4FY24 were both the best ever annual and quarterly sales achieved respectively by any listed real estate developer in India. This strong outcome was underpinned by substantial volume growth of 31%, translating to 20 million ft². of area sold through the sale of over 14,310 homes as well as a change in the project mix with more premium projects being launched during the year. Your company received an extremely strong customer response to some of our new launches during the year. Godrej Zenith in NCR achieved a booking value of '3,008 Cr. and Godrej Reserve in MMR achieved a booking value of '2,693 Cr. Both of these projects were the best ever launches for GPL in the respective markets. In FY24,

4 projects including Godrej Aristocrat with a booking value of '2,877 Cr. and Godrej Tropical Isle with a booking value of '2,098 Cr. crossed '2,000 Cr. in value of sales achieved at launch. GPL's bookings in NCR in FY24 grew 180% to '10,016 Cr. and GPL's bookings in MMR grew 114% to over '6,545 Cr. The strong sales performance led to record collections of '11,436 Cr., a 27% growth from our previous best ever year.

Our reported financial results were strong, with total income surging by 43% to reach '4,334 Cr., and net profit increasing by 27% to '725 Cr. for FY 24. This was backed by strong project completions of over 12.5 million ft² for FY 24. We expect this strong growth momentum to continue in coming years given our FY 2024 sales booking performance, which will be recognised in the P&L in next 3-4 years as the projects which were sold during the year get completed and delivered to customers. The booking value achieved in FY24 is expected to yield over '6,000 Cr. EBIT and '3,300 Cr. net profit in due course. Additionally, our pursuit of sustained growth was evident through the addition of 10 new projects, with an estimated revenue potential of approximately ~'21,225 Cr.

We have a strong launch pipeline that will help us build upon the growth momentum achieved in FY24. We believe that the residential real estate sector in India will continue to grow rapidly in the coming years, providing opportunities for leading developers to participate in sectoral growth while also gaining market share. These projects will play a crucial role in ensuring that we meet our goal of growing our sales at 20% per year while also providing us with the opportunity to expand our margin in line with our objective of achieving an ROE of 20%. We expect to achieve the 20%+ ROE goal by FY27. An important focus area for the upcoming year will be to exceed ?27,000 Cr. in booking value while continuing to deliver another record year for cash collections and project deliveries.

Customer satisfaction remains paramount to our success.

In FY 24, we achieved an encouraging Net Promoter Score (NPS) of 68%, reflecting an improvement from 65% in FY 23. This reinforces our commitment to delivering quality across all our projects. To further enhance our operational standards, we have implemented an Integrated Quality Management Framework aimed at strengthening our processes and governance standards.

Our company understands that the world is currently facing climate change risks and environmental degradation. Therefore, we believe that our responsibility to bring joy to our customers extends beyond providing them high-quality homes. We are committed to running a sustainable business and will continue to strengthen our ESG performance across our operations to make a positive impact on the environment. Our focus on long-term sustainability is not only good for the planet, but also for our customers' well-being. We are dedicated to addressing climate change through prioritized measures involving mitigation, resilience, transparency, and collaboration. Our goal is to systematically address climate-related risks and leverage emerging opportunities for the real estate sector.

Godrej Properties Limited has received approval for our near-term targets from the Science-Based Targets initiative (SBTi). Our commitments include reducing scope 1 and 2 GHG emissions by 72.6% per square meter area by FY2035 (compared to FY2021) and ensuring that 88.5% of our suppliers have science-based targets by FY2026. Moreover, we have reinforced our environmental compliance efforts by implementing the ISO 14001:2015 Environmental Management System (EMS) across all our project locations. We rank among the top 15% in the REM Sector on the

Dow Jones Sustainability Indices (DJSI) and have earned recognition as a member of the Sustainability Yearbook.

GPL has successfully utilized 100% of its CSR funds in FY24. Through our Building and Other Construction worker registration programs, 84,743 construction workers benefitted and ?235 Cr. of Government funds were unlocked. By diverting over 43,000 tonnes of waste from landfill in FY 24 through our solid waste management projects and by recycling 98% of the construction waste at source, GPL is a Net Zero Waste organisation. With our interventions, we've already transformed 29 villages by managing 4,929 hectares of land to avoid stubble burning, thereby averting 3,566 tonnes of CO2 emissions, and effectively managing 24,648 tonnes of crop residue.

We are committed to the health and safety of our employees and all stakeholders. GPL's Safety Management System is based on a proactive PDCA (plan-do-check-act) cycle with leadership commitment, consultation, and participation at all the levels and functions to achieve our ‘Score Zero' aspiration. All our projects are in compliance with standard safety requirements and are certified with ISO 45001:2018 for Occupational Health and Safety Management System (OH&SMS).

I am grateful to the team at Godrej Properties for their exceptional resilience, commitment, and ambition. We would like to express our gratitude to our customers, joint venture partners, and business associates for their continued support. Finally, we extend our thanks to our shareholders for their continued confidence in Godrej Properties.