#1Cyber Park Gurgaon DLF Limited Q3FY21 Results Presentation DLF#201 Overview AGENDA 02 20 DLF Limited: Business Update 03 DCCDL: Business Update DLFA 2#3OVERVIEW: DLF Group Business Track Residential Apartments/Plotted/ Townships/Low-rise 75 record Years of experience in real estate development Scale Organization Retail Offices MALL Cyber City/Cyber Parks/IT SEZ 150+ Real estate projects developed DLF Other Business Service & Facility Management/Hospitality 330 msf+ Area developed 100 msf+ Deliveries since IPO 215 msf+ Developmental potential (Devco & Rentco) Strong brand DLF⭑ ~35 msf Operational Rental portfolio Focused on Safety, Sustainability & Governance ~39 msf New Products Pipeline (Devco & Rentco) Strong Leadership with experienced teams ~INR 60 bn Completed Inventory Strong Promoter commitment 3#4I ESG Update DLF Member of Dow Jones Sustainability Indices Powered by the S&P Global CSA DLF Limited recognized as an index component of Dow Jones Sustainability Index (2020) in the Emerging markets category. * Demonstrates DLF's focus on Environmental, Social and Governance initiatives. 93rd Percentile Overall score in Environment, Social and Governance parameters GRES B I I I I I 100th Percentile Environment reporting; I Social reporting; and I Social Integration & regeneration T I I I I 18th out of 250 I I I I DLF ranks 18th amongst 250 companies globally for its ESG practices Leadership position DLF is the only real estate company from India, to be included in this index. Joins the ranks of just 11 companies from India. 72 Overall score achieved by DLF 82 DCCDL Score for Development (Overall Score for Standing Investments being 74)- Debut year of participation for DCCDL Score of 100 across a) Policies, b) Risk Management, c) Data Monitoring & review 1 | I T I I I I I I | I I I I | I#5Key Recognitions INTERNATIONAL WELL BUILDING INSTITUTE™ DLFA World's first organization to achieve "WELL Health & Safety Rating", by IWBI at Group level. Across Offices, retail & residential complexes, DLF has the largest number of properties across the world to achieve this certification. The certification demonstrates focused approach on operational policies, maintenance protocol, stakeholder education & engagement to address a post Covid- 19 environment & broader health & safety issues. LEADERSHIP ENERGY T VIRONMENTAL DESIGN LEED PLATINUM ☐ ~31 msf of portfolio is US Green Building Council LEED Platinum certified testament to our focus on sustainability a | LEED(Leadership in Energy & Environmental Design) is the most widely used green building rating system in the world. | BRITISH SAFETY COUNCIL + Sword of Honour BRITISH SAFETY COUNCIL COVID 19 Assurance Statement ☐ 16 Sword of Honour awards from British Safety Council; first & only organization globally to win this number of awards in a single year ☐ Our Offices & Malls have been accredited with BSC's Covid-19 Assurance; recognition of our efforts in taking stringent risk control measures against the spread of Covid-19 infection □ Upgrading air-filtration technology to state of art air filtration MERV 14 Technology I I I I I I | | I I I I I |#6Business Update DLFA Club Ultima, New Gurgaon DLF Limited CLUB เช ULTIMA 9#7Outlook Industry DLF ☐ The economy is exhibiting signs of recovery; Consumer sentiments showing consistent improvement over the past few months Consolidation & increase in market share for large & credible developers being witnessed ☐ Initiatives by the Government & Central bank helping speedy revival: ✓ Keeping interest rate low; Maintaining sufficient liquidity in the economy. ✓ Real estate sector specific measures such as stamp duty cut, levies cut and development supporting policies Pick up in residential demand; inquiries exhibiting an uptrend; strong sales momentum ☐ Affordability, quality supply & improved consumer sentiments leading strong demand recovery Company ☐ Collections in Office business continue to be resilient. Leasing activity is expected to increase with rise in site visits post a successful vaccination drive. ☐ Retail segment pacing towards normalcy with increasing footfalls and better spend per footfall 1 I I I I I I I I I 1 I I I I#8Strategy Remain committed and confident in delivering our business goals Development Business: New Products ☐ Revamping Premium/Mid-income housing Liquidity: ☐ Strong Liquidity position: Maintaining sufficient liquidity in both development and rental business. Rental Business: ☐ Scaling up launches of Continued focus on growth through better yields and new product ☐ Timely delivery of on- going projects. monetization of finished. inventory ☐ Focused Approach: Leaner, agile & a far more efficient organization. Tight control on cash flows Continued focus on Land Bank: DLF ☐ Core land bank to be developed for sustainable growth ☐ Balance land to be monetized through scaling up launches/divestments GOALS: | Steady Free Cash Flow Generation | Increasing ROE | Sustainable and low risk growth | 8#9Development Potential Strategically located land bank at low carrying cost; will enable steady & sustainable growth Location DLFA Development Potential¹ (in msf) Gurgaon Delhi Metropolitan Region Chennai Hyderabad Chandigarh Tri-City Region Kolkata Maharashtra (Mumbai/Pune/Nagpur) Bhuvaneshwar Gandhi Nagar Other Cities TOTAL Identified Pipeline of New Product Launches DLF 5/DLF City New Gurgaon 104 24 81 32 12 13 3 16 2662 F 16 11 187 35 Balance potential 152 ~ 20% Land Bank monetization through scaling up launches over the medium term Note: The potential is based on best estimates as per the current zoning regulations; excludes TOD/TDR potential#10Development Update New Products; key tenets to the next growth cycle Scaling Up: ✓ ~ 35 msf of New Products planned in medium term ✓ Established locations with infrastructure in place Diversified Offerings: ✓ Products across multiple categories catering different target segments; Low-rise developments including independent floors & commercial Plotted developments. High rise developments. ✓ Better value proposition by offering quality products at attractive pricing ☐ Faster Execution ✓ Significant volumes of Low-rise/plotted developments enabling faster execution ✓ Shorter Cash Conversion Cycle ☐ Cash Flow Generation ✓ Self-sustained financing as a result of well-structured payment plans ✓ Significant Free Cash flow generation DLFA 10#11Development Update Identified Pipeline of New Products - Launch Calendar of 35 msf DLF Area in msf ~ Project ~ Project Size (~ in msf) Sales Potential H2 FY21 H1 FY22 H2 FY 22 FY22-23 FY23-24 Beyond FY24 ( ~ in Rs crore) DLF-GIC Residential JV, 8 12,000 - 15,000 2.03 6.0 Central Delhi DLF Hines/ADIA Offices JV, 3+ 6,000 - 7,000 3.0 Gurgaon Value Homes, 10 5,000 1.70 4.00 4.30 Gurgaon/Tricity Commercial, DLF 5/ New 2 2,000 0.30 0.70 0.15 0.85 Gurgaon/Delhi NOIDA IT Park 3.5 2,000 2,500 0.30 3.2 Premium/Luxury 8.5 9,000 3.00 0.70 0.80 4.00 Housing 36,000 - TOTAL 35 msf 3.30 3.10 2.18 5.95 8.30 12.20 40,000 crore#12Identified Pipeline of New Products Diversified Offerings across geographies & segments 48% Commercial I Value Homes Premium/Luxury 2% Geographical Diversity 8% (% of Total Area) 5% 18% 10% 24% Segment Diversity 34% (% of Total Area) 24% 29% 38% I DLF 5/DLF City ■New Gurgaon ■ Delhi ■ NOIDA ■Chennai Goa ■ Chandigarh Tri-city Product Diversity (% of Total Area) 8% DLFA 55% High Rise ■ Low Rise Plotted 12#13Highlights - Q3FY21 Pick up in New Sales continues Net Sales Booking Rs 1,022 crore Possession Letters Issued 462 units Pipeline New Products Launch New Products 35 msf Independent Floors launched DLF Operating Cashflow Positive Operating Cashflow: Rs 115 crore Net Debt Rs 5,100 crore 13#14Sales Booking : Q3FY21 Significant growth in New Sales - Rs 1,022 crore Y-o-Y comparison 731 cr 40% Q3FY20 DLF 5 & DLF City, Gurgaon: ܀ New Sales of Rs 750 crore. Sold 11 units of Camellias 1,022 cr Q3FY21 I Launched Independent Floors/Plots in DLF City I Q-o-Q comparison 1,022 cr 20% 853 cr Q2FY21 Q3FY21 DLFA National Devco: New Sales of Rs 267 crore Encouraging response for DLF Samavana in Kasauli. I I 14#15Sales Booking : Q3FY21 New Sales booking of Independent Floors 2 Rs 350 crore from Independent Floors Concept image; Not an actual image DLF Product Details: ✓ New Sales: ~ Rs 350 crore ✓ Total launch (Q3) 0.31 msf ✓ Area sold (Q3): 0.31 msf Avg. ticket size: Rs 3.6 - 4.5 cr Product Attributes: ✓ Established location -DLF City ✓ Supporting infrastructure already in place ✓ Phased Launches I Product cycle: ✓ Low-rise development ✓ Stilt + 4 structure Project cycle: 18-24 months Payment Plans: ✓ Attractive payment plans ✓ Self-sustained financing I I I I I I I I#16Q3FY21 Results Strong Financial Performance during the Quarter Revenue stood at Rs 1,668 crore, reflecting a Y-o-Y growth of 9% DLFA EBITDA at Rs 624 crore, reflecting a Y-o-Y growth of 49%. EBITDA margins improved to 37% due to product mix (LY-27%) PBT at Rs 387 crore, reflecting a Y-o-Y growth of 182%. Net Profit at Rs 452 crore, reflecting a Y-o-Y increase of 9%. Positive operational cashflow of Rs 115 crore Revenue (in Rs crore) EBITDA (in Rs crore) PAT (in Rs crore) 1,668 cr 1,533 cr 9% 624 cr 49% 452 cr 413 cr 9% 419 cr Q3FY20 IQ3FY21 Q3FY20 Q3FY21 Q3FY20 Q3FY21 16#17Consolidated Profit & Loss Q3 FY21 Revenue growth of 9% Y-o-Y, Net Profit up by 7% Y-o-Y Particular Q3 FY21 Q2 FY21 % Change Q3FY21 - Vs Q2FY21 Q3 FY20 % Change Q3FY21 - Vs Q3FY20 9M FY21 9M FY20 DLF % Change 9MFY21 - Vs 9MFY20 || 111=(1-11) IV Income a) Revenue from operations 1,543 1,610 (4%) 1,342 15% 3,701 4,388 (16%) b) Other income 125 113 11% 191 (34%) 337 626 (46%) Total Income 1,668 1,723 (3%) 1,533 9% 4,038 5,014 (19%) Expenses a) Cost of Sales 731 883 (17%) 768 (5%) 1,979 2,422 (18%) b) Overheads 111 127 (12%) 175 (36%) 335 610 (45%) c) Other expenses 202 136 47% 171 17% 423 538 (21%) Total Operating Expenses 1,044 1,147 (9%) 1,114 (6%) 2,738 3,570 (23%) EBIDTA 624 576 8% 419 49% 1,301 1,444 (10%) EBIDTA% 37 33 12% 27 37% 32 29 12% d) Finance costs 198 226 (12%) 238 (16%) 662 1,192 (44%) e) Depreciation 39 40 (2%) 45 (12%) 121 140 (14%) PBT before exceptional items 387 310 25% 137 182% 518 112 362% Exceptional items (net) 0 (96) 231 -96 671 PBT after Exceptional Items 387 214 81% 368 5% 421 783 (46%) Tax(deferred) 104 100 4% 141 (26%) 203 225 (10%) PAT 283 114 148% 227 25% 219 558 (61%) Profit from Cyber/other JVs/Other 169 121 39% 186 (10%) 397 713 (44%) Comprehensive Income PAT after JV Profits 452 236 92% 413 9% 616 1,271 (52%) 17#18Finance cost 95 bps reduction achieved YTD December in line with guidance 9.8% 9.7% Q4FY20 Q1FY21 2 95 bps 9.1% 8.9% Q2FY21 ☐ Targeting further reduction of 30-40 bps Recent funding cost 8-8.25% ~ ☐ Annualized savings of Rs 75 - 80 crore Q3FY21 DLFA 18#19Cash Overheads Reduction on track inline with guidance 2 Targeted reduction ~ 30-35% 619 cr 328 cr 9MFY20 ■9MFY21 775 cr FY20 FY21 E 475 cr Initiatives DLFA □ Zero based budgeting exercise done for the first time □ Significant cut in discretionary spends; ~ 50% achieved ☐ Tight control on cash flows □ Transforming the Organization: ✓ Lean and right size ✓ New Leadership with diversified backgrounds & subject expertise ✓ Enhancing capabilities across functions. ✓ Improving Systems & processes leading to increased efficiency 19#20Residual EBITDA as on 31.12.2020 Project DLF EBIDTA to be recognized from sales EBIDTA to be recognized from Inventory done till 31st Dec-20 as on 31st Dec-20 Camellias DLF 5 2,715 2,755 180 20 New Gurgaon 285 70 National Devco 560 640 New Products (launched during Q3). 185 TOTAL 3,925 3,485 Total EBITDA to be recognized in next few years Rs 7,410 crore 20 20#21Completed Inventory Q3FY21 Till 31st Dec-20 Sales Project Total Area (msf) Booking Sales Booking Sales Booking (in msf) (in Rs crore) (in msf) Sales Booking ( in Rs crore) Revenue |recognized till date DLF Receivables/Completed Inventory Balance Receivable Value Area (in Rs (in msf) (in Rs crore) crore) Camellias 3.6 0.1 283 2.2 5,840 1,678 742 1 4,120 DLF 5 0.0 23 4,043 3,840 107 0 33 New Gurgaon 18.1 0.0 6 21 9,879 8,526 798 0 138 National Devco 37.9 0.8 267 33.4 15,912 14,058 864 5 1,744 TOTAL 59.6 0.9 579 56.6 35,674 28,102 2,510 6 6,035 21#22Consolidated Cash Flow - Q3FY21 DLFA Particulars Q3FY21 Q2FY21 Inflow Collection from Sales 645 541 Rental Inflow (DLF Limited) 48 40 Sub-Total Inflow 693 581 Outflow •Construction (Net) 232 207 Government / Land Charges 31 16 •Overheads 93 125 ☐ •Marketing / Brokerage 20 39 Sub-Total Outflow 376 387 Operating Cash Flow before interest & tax 317 194 Finance Cost (net) 128 138 Q-o-Q improvement in collections Higher spend on Government charges to bring New Products to the market Tax (net) 8 -7 ☐ Overheads under tight control Operating Cash Flow after interest & tax 181 63 Capex outflow / others 65 36 •Tax outflow-Interim Dividend 0 17 Net surplus/ (shortfall) 115 10#23Consolidated Balance Sheet Particulars As on December 31, 2020 (Unaudited) DLFA As on March 31, 2020 (Audited) ASSETS Non-current assets Property, plant and equipment Right-of-use assets Capital work-in-progress Investment property Goodwill Other intangible assets Investments in joint ventures and associates Financial assets Investments Loans Other financial assets Deferred tax assets (net) Non-current tax assets (net) Other non-current assets Total non-current assets Current assets Inventories Financial assets Investments Trade receivables Cash and cash equivalents Other bank balances Loans Other financial assets Other current assets Total current assets Assets classified as held for sale Total assets 944 1,177 304 88 319 89 2,571 944 2,595 944 147 151 18,393 18,023 164 110 372 667 225 330 1,362 1,339 1,278 1,357 1,381 1,335 28,173 28,437 21,477 22,486 673 433 585 720 676 1,615 280 805 1,138 864 959 980 597 726 26,386 417 54,975 28,630 163 57,230 23#24Consolidated Balance Sheet As on December 31, 2020 (Unaudited) DLF As on March 31, 2020 (Audited) EQUITY AND LIABILITIES Equity Equity share capital Warrant Other equity Particulars Equity attributable to owners of Holding Company Non-controlling interests Total equity Non-current liabilities Financial liabilities Borrowings Trade payables (a) total outstanding dues of micro enterprises and small enterprises 495 34,368 495 33,952 34,863 20 34,883 34,447 18 34,465 3,189 3,890 (b) total outstanding dues of creditors other than micro enterprises and small enterprises Other non-current financial liabilities 795 595 794 631 51 60 Long term provisions Deferred tax liabilities (net) Other non-current liabilities Current liabilities Financial liabilities Borrowings Trade payables 1,758 1,586 68 69 6,455 7,030 2,315 2,439 (a) total outstanding dues of micro enterprises and small enterprises 28 29 (b) total outstanding dues of creditors other than micro enterprises and small enterprises Other current financial liabilities 1,375 1,027 1,740 2,183 Other current liabilities Provisions Total liabilities 7,998 9,936 88 13,545 87 15,701 Liabilities directly associated with assets classified as held for sale Total Equity and Liabilities 93 54,975 34 57,230#25Debt Update – Q3FY21 - Net Bank Debt Particulars Q3FY21 Q2FY21 ECB, 404 cr Gross opening debt (Net of IndAS adj.) 6,714 7,496 NCD, 1,000 cr HDFC/Others 1,563 cr Less Debt repaid during quarter (294) (1,152) Add New Borrowing during Qtr. 0 370 Less Cash in Hand* Net Debt Position (1,320) (1,499) > 3 Yr, 3,136 cr 5,100 5,215 ~ 54% funding from Banks; ~50% of scheduled repayment is greater than 3 years Sources Repayment Schedule DLFA Banks, 3,452 cr <1 Yr, 1,270 <3 Yr <1 Yr, 2,013 cr 25#26Debt Management Committed to bring down debt in medium term Particulars DLF⭑ Amount (in Rs crore) Net Debt as on 31.12.2020 Receivables (including New Products) Construction Payables (including New Products) Other Recoveries/Refunds Residual Net Debt Completed Inventory (5,100) 2,835 (1,100) 750 (2,615) 6,035 ☐ Completed Inventory & Project receivables sufficient to discharge all current liabilities ☐ New Products to generate healthy cash flows; Surplus Cash generation in the medium term after meeting near term construction outflows 26#27Rental Portfolio Snapshot (DLF Limited) - Q3FY21 Leasable Leased Vacant Weighted DLF Current/M Area Area Area Building % Leased Area rate Average Rental arket Rentals WALE GAV¹ (in msf) (in msf) (in msf) (in Rs psf) (in Rs psf) (months) (in Rs crore) DLF Center, Delhi 0.2 0.1 0.0 83% 367 400 65 1,044 DLF5 0.5 0.5 0.0 100% 48 122 8 817 IT Sez, Kolkata 1.0 0.9 0.1 92% 35 30 84 916 Gateway Tower, 0.1 0.1 0.0 98% 121 122 22 205 Gurugram Sub-Total: Offices 1.8 1.7 0.1 94% 2,982 Chanakya, Delhi 0.2 0.2 0.0 94% 165 95 384 Capitol Point, Delhi 0.1 0.1 0.0 100% 382 28 328 South Square, Delhi 0.1 0.1 0.0 93% 59 65 50 86 Sub-Total: Retail 0.3 0.3 0.0 95% 799 Total: Operational Portfolio 2.1 2.0 0.1 94% GAV:As per C&W valuation Report basis data as on March 31,2020; Retail Weighted average rental rate is based on rental scheme offered to tenants 3,781 27#28One Horizon Center, DLF 5, Gurgaon = DLFA IDFC zomato ANZ DCCDL Business Update 28#29Acquisition - One Horizon Centre(OHC) DCCDL entered into definitive agreements to increase its ownership of OHC to 100%, for a purchase consideration of INR 780 Crore(subject to closing adjustments). ~ Transaction Closing expected in February 2021 Gross Leasable Area: 0.8 msf; includes 65k sq. ft. of retail plaza ☐ Occupancy: ~ 95% ☐ Annualized Rental Income: ~ Rs 150 crore LEED Platinum certified building at marquee location - DLF 5 DLF Marquee Tenants: AMERICAN EXPRESS ORACLE ANZ Coca-Cola Uber 29#30REIT Update Favorable market indicators for REIT listing ✓ Enough liquidity in capital markets ✓ Low interest rate regime ✓ Efficient listing framework by the regulator ✓ Successful listing of 2 REITS □ Consultants have been appointed: ✓ Legal Advisor: Shardul Amarchand Mangaldas & Co ✓ Banker: Morgan Stanley ✓ Financial/Tax Advisor: KPMG Deliberations being done on key points: ✓ Corporate structure ✓ Capital structure ✓ Asset perimeters DLFA □ Completion expected in ~ 12 months 30#31Outlook & Key Updates DLF Office business steady; Retail picking up; Long term outlook remains positive Offices Retail • Collections continue to be robust, c. at ~ 98% levels • Gross leasing of 1.7 msf achieved; Vacancy contained within 10% • Our office buildings are expected to have vastly better indoor air quality as a result of an initiative to complement and upgrade our air filtration systems; significant completion by Q1, FY22 I I I I A successful vaccination drive is expected to draw tenants back to offices by Q1 of 2021 Collections for retail portfolio have been robust at 99% for Q3 I Footfall levels (Q3 exit) at ~60% vs same period last year, with sales at ~70%, buoyed by focused shopping resulting in higher spend per footfall I I I Luxury segment witnessing an encouraging spend/footfall pattern, vs same period last year All malls operate with added protocols to ensure heightened patron safety Key Updates We have been able to maintain our focus not only on the core commercial aspects of our business, but have also outperformed ourselves in terms of safety and sustainability recognitions 31 |#32Portfolio Snapshot - Q3FY21 DLF Leasable Area Leased Area Weighted Average Vacant Area % Leased Rental rate Current/Market Rentals WALE GAV¹ Building Area (in msf) (in msf) (in msf) (in Rs psf) (in Rs psf) (months) (in Rs crore) Cyber City 10.2 9.2 1.0 90% 111 121 63 15,817 Cyber Sez 2.9 2.7 0.2 95% 84 102 60 4,060 Cyber Park Silokhera Sez 2.6 2.3 0.2 91% 119 125 113 4,120 1.9 1.1 0.8 56% 68 65 69 1,803 Chennai Sez 7.0 6.8 0.2 96% 68 76 66 6,782 Hyderabad Sez 2.9 2.7 0.2 94% 53 58 58 2,244 Kolkata IT Park 1.3 1.1 0.2 87% 38 35 77 694 Chandigarh IT Park 0.6 0.5 0.1 84% 57 53 78 506 Sub-Total: Office 29.5 26.5 2.9 90% 36,026 Mall of India, NOIDA 2.0 2.0 0.0 99% 105 117 87 2,953 Emporio 0.3 0.3 0.0 90% 346 384 34 1,346 Promenade 0.5 0.5 0.0 98% 189 210 59 1,186 Cyber Hub 0.5 0.4 0.0 94% 122 136 57 912 DLF Avenue 0.5 0.4 0.1 84% 157 174 98 1,053 City Centre 0.2 0.1 0.1 73% 28 31 101 100 Sub-Total: Retail 3.9 3.7 0.2 95% Total: Operational Portfolio 33.3 30.2 3.1 91% 7,550 43,576 Under Construction Downtown Gurugram 1.5 0.5 1.0 31% 129 125 Downtown Chennai 2.1 0.8 1.3 37% 84 84 Chennai Block 12 0.3 0.2 0.1 67% 76 66 Total -Under Construction 3.9 1.5 2.5 37% 179 179 Grand Total 37.3 31.7 5.6 1 GAV:As per C&W valuation Report basis data as on June 30, 2020; Total GAV of development potential of Cyber City land, Downtown-Gurgaon & Downtown, Chennai is Retail Weighted average rental rate are ~ 90% of pre Covid FY21 Budgeted rental level ~ Rs 10,665 crore 32#33- Result Highlights – Q3FY21 Offices business resilient; Retail gaining momentum Rental Revenue Operating Cashflow Net Debt DLF Rs 817 crore Rs 411 crore Rs 18,090 crore Operational Portfolio 33.3 msf Rating Gross Leasing ICRA AA (-) (Stable) 1.7 msf 33#34Historical Performance: Office DLF Particulars 9MFY21 FY20 FY19 FY18 Area(msf) - Completed 29.5 26.4 26.4 25.5 - Under 3.9 6.6 3.3 4.2 Construction Total area 33.3 33.1 29.7 29.7 Occupancy % - Completed 90% 95% 94% 94% New Leases (msf) 1.2 1.5 2.1 1.5 Re Leasing (msf)* 1.1 1.3 1.9 3.1 Re Leasing MTM (%) 44% 38% 35% 18% Note: 1. Cyber Park & Chennai- Block 11 considered as Completed in 9MFY21 *2.Re-leasing of Term Completion renewals only. 3. Includes latest pre-leasing at Downtown Chennai 34#35Re-leasing Potential Cyber City, Gurugram Total Annualized incremental revenue¹ 2 INR 64 crore Cyber City, Chennai Total Annualized incremental DLF revenue ~ INR 40 crore Rates in INR psf/month Rates in INR psf/month 134 121 128 80 85 76 92 90 95 FY 21 FY 22 FY 23 Wt. Avg-Termination Lease Projected Rate-Releasing 58 60 56 FY 21 FY 22 FY 23 Wt. Avg-Termination Lease Projected Rate-Releasing 1Annualised incremental revenue impact has been calculated on rent rate differential multiplied by gross leasing area coming up for renewal Re-leasing Potential assumes reaching pre-Covid levels in next few quarters 35#36Mark-to-Market Potential Cyber City, Gurugram 10% Cyber Sez, Gurugram 22% DLF Cyber City, Chennai 12% 102 121 76 111 84 68 Weighted Avg. Rental Market Rental Note: Weighted Average Rentals is the weighted base rental for leased area Market rent means weighted average rate for new leases entered till Dec '20 Weighted Avg. Rental Market Rental Weighted Avg. Rental Market Rental 36#37Office Portfolio - Tenant Mix Tenant % of Revenue Cognizant 5% IBM 3% KPMG 3% Concentrix 2% American Express 2% BA Continuum 2% TCS 2% BT Global 2% EY 2% Delloitte 1% Total 24% DLFA ■ Well diversified & balanced portfolio ■ Tenants Profile: Predominantly IT/ITES companies, financial/engineering services, etc. Lower concentration risk as Top 10 tenants contributing only 24% of Gross revenues 37#38Development Update ~ Project Project Size Downtown, Gurugram 11 msf Current Status Phase-I (~1.5 msf) under development Latest Update Block 2 & 3 under construction Pre-leasing: ~0.5 msf Downtown, Chennai 6.8 msf Phase I (~2 msf) under development Pre-leasing: 0.77 msf Block-12, Cyber City, Chennai 0.3 msf Construction underway Pre-leasing 0.2 msf TOTAL 18.1 msf ~ 4 msf under construction currently DLF⭑ 38#39Q3FY21 Results Strong Financial performance in the Quarters ☐ Revenue at Rs 1,122 crore, remained flat as compared to last year. ✓ Offices rental growth of 19% Y-o-Y driven by Cyber Park, Chennai Block 11 and renewals/escalations ✓ Retail revenues improving month-on-month, Y-o-Y drop of 38% due to pandemic in current fiscal ✓ Services & Other Operating Income down by 24% due to lower CAM costs. □ EBITDA at Rs 894 crore; 7% growth Y-o-Y DLFA PAT at Rs 249 crore, as compared to Rs 278 crore in Q3FY20; primarily due to unamortized cost written off-Rs 50 crore, increase in Tax expense due to expiry of 80IA tax benefits & tax provision reversal in Q3FY20. ☐ Operating Cashflow of Rs 411 crore generated during the quarter Revenue (in Rs crore) EBITDA (in Rs crore) PAT (in Rs crore) 1,131 cr 1% 1,122 cr 7% 894 cr 278 cr 249 cr 836 cr 10% Q3FY20 Q3FY21 ■Q3FY20 Q3FY21 Q3 FY20 Q3FY21 39#40- DCCDL Consolidated Financial Summary Q3FY21 % change Particulars Rental Income Q3FY21 Q2FY21 Q3FY20 Q-o-Q 817 718 14% 759 DLF % change Y-o-Y 8% Office 722 667 8% 604 19% Retail 95 51 87% 155 (38%) Service & Other Operating Income 242 252 (4%) 319 (24%) Other Income 63 70 (10%) 53 20% Total Revenue 1,122 1,040 8% 1,131 (1%) Operating Expenses 228 237 (4%) 294 (22%) EBITDA 894 803 11% 836 7% Finance cost¹ 463 462 0% 426 9% Depreciation PBT Tax² 139 136 2% 130 7% 292 205 43% 280 4% 50 41 22% 9 Share of profit/loss in JV Other Comprehensive Income Total Comprehensive Income 6 6 6 -1 0 249 171 46% 278 (10%) ¹Unamortised finance cost written off on account of replacement of existing loans with new loans at lower interest rates. Q3FY21 -Rs 50 crore, Q2FY21 - Rs 27 crore 2DCCDL(Standalone) 801A tax benefits expired from March 31,2020 & tax provision reversal in Q3FY20. Overall Tax Rate-17.5% (LY 9.6%-Annualized) 40#41DCCDL Consolidated Cash Flow Abstract Particulars Q3FY21 DLF Q2FY21 Q1FY21 Operating Cash flow before Interest & tax 848 707 646 Interest Expense (435) (407) (401) Interest Income 47 58 18 Tax (net)* (49) (24) (65) Operating Cash flow after Interest & tax 411 334 198 Capex Net Surplus/Deficit (267) 144 113 117 (221) (81) * Note: includes income tax refund received in Q3FY21 & Q2FY21 41#42DCCDL Consolidated Balance Sheet Abstract Particulars Non-Current Assets Current Assets Total Assets As on 31.12.2020 27,412 2,083 DLF⭑ As on 31.03.2020 27,042 1,783 29,495 28,825 Equity 5,597 5,311 Non-current Liabilities 18,573 20,478 Current Liabilities Total Liabilities 5,325 3,036 29,495 28,825 42#43DCCDL Consolidated - Debt Update Particulars Q3FY21 Q2FY21 Gross opening debt (Net of IndAS adj.) 19,488 19,361 Banks, 12,054 cr Less Debt repaid during quarter (2,153) (172) Add New Borrowing during Qtr. 2,400 300 Less Cash in Hand* Net Debt Position (1,645) (1,222) > 3 Yr, 16,482 cr 18,090 18,266 2 ~ 60% funding from Banks; ~ 84% of scheduled repayment is greater than 3 years Sources DLFA HDFC/Others, 6,934 cr NCD,746 cr Repayment Schedule < 1 Yr, 882 cr <3 Yr <1 Yr, 2,371 cr 43#44DCCDL Consolidated – Interest rates YTD Reduction of 115 bps inline with guidance 8.90% 8.64% Q4FY20 Q1FY21 2 115 bps 8.46% Q2FY21 7.75% Q3FY21 Targeting to achieve 7.5% (exit FY21). Annualized savings of ~ Rs 270 - 280 crore Latest funding happening at 7% - 7.30% Debt levels to hold in the short term; expected significant reduction post REIT listing DLFA 44#45Disclaimer DLF This presentation contains certain forward-looking statement concerning DLF's future business prospects and business profitability, which are subject to a number of risks and uncertainties & the actual results could materially differ from those in such forward-looking statements. The risks and uncertainties relating to such statements include, but are not limited to, earnings fluctuations, our ability to manage growth, competition, economic growth in India, ability to attract & retain highly skilled professionals, time & cost overruns on contracts, government policies and actions related to investments, regulation & policies etc., interest & other fiscal policies generally prevailing in the economy. The Company does not undertake to make any announcements in case any of these forward-looking statements become incorrect in future or update any forward-looking statements made from time to time on behalf of the Company. Area represented in msf within the presentation above should be read with a conversion factor of ~ 1 msf = 92,903 sq. meters. 45#46Club Ultima, New Gurgaon DLF THANK YOU 45