Q2 2024 Aurum Proptech Ltd Earnings Call

Participants

Ashish Deora

Hiren Kumar Ladva; EVP of Investment; Aurum PropTech Limited

Kunal Karan; CFO; Aurum PropTech Limited

Onkar Sunil Shetye; Whole-Time Director; Aurum PropTech Limited

Vanessa Fernandes; IR Officer; Aurum PropTech Limited

Bhavik Mehta

Darshil Jhaveri

Devang Chokhany

Satyen Kanoria

Alpesh Thacker

Rajesh Shah

Presentation

Operator

Ladies and gentlemen, good day, and welcome to the Aurum PropTech Limited Q2 and H1 FY '24 Earnings Conference Call. (Operator Instructions) Please note that this conference is being recorded. I now hand the conference over to Ms. Vanessa Fernandes from Investor Relations. Thank you, and over to you, ma'am.

Vanessa Fernandes

Thank you, Rio. Good evening, everyone, and a warm welcome to the Q2 and H1 FY '24 earnings call of Aurum PropTech Limited. Joining us on the call today, we have Mr. Ashish Deora, the Founder and CEO of Aurum Ventures; Mr. Onkar Shetye, Executive Director, Aurum PropTech; Mr. Kunal Karan, CFO, Aurum PropTech; and Mr. Hiren Ladva, EVP Investments, Aurum PropTech.
Today, we shall take you through our quarterly and half yearly performance for the period ended September 2023, as well as our future outlook. Before we proceed, I would like to remind everyone that the forward-looking statements we may discuss are subject to risks and uncertainties that are detailed in our prospectus and the annual report. We encourage you to review these documents, which are available on our website, to fully understand the risks associated with any future projections or statements made.
We shall now begin the call with Mr. Ashish Deora.

Ashish Deora

Thank you, Vanessa. Good evening, everyone. It is my privilege to welcome each one of you to this 10th earnings call of Aurum PropTech.
We are now in our third year having committed to bring digital transformation to the real estate sector and creating an integrated proptech ecosystem. This quarter has been super special because Aurum has now become the largest residential rental management platform in India.
We are managing more than 27,000 plus rental units being HelloWorld and NestAway. And it's indeed our delight to share that both teams have been integrated and are working efficiently. Our efforts to transition NestAway to a lean and flat enterprise are showing results already. We are delighted to share that NestAway restructuring is progressing as per the plan, and we are confident to turn around the business by the end of this financial year.
We remain excited to double our capacity of rental units under management to 50,000 beds over the next few quarters to ensure that we continue our dominance in the residential rental market, which, in our estimate, is at an annual recurring business of USD 25 billion.
As our co-living brand, HelloWorld, crossed the important benchmark of INR 100 crores in the ARR last quarter, we believe that our team's determination, along with disciplined execution across functions and across products will lead all our other services and all our other products to be in the INR 100 crore club sooner than planned.
Moving on, EBITDA as a metric continues to be our North Star. We are ensuring that growth is sustainable and not at the cost of unit economics. We have focused on building capacities across our business offerings in the first half of the year, and we expect the second half to reap the benefits of these expanded capacities.
Our target is to double the revenues of Aurum Analytica and Aurum WiseX from current quarter to Q4 FY 2024. As the residential sales cycle picks up in the festive period of Q3 and Q4, we also expect BeyondWalls to have substantial growth over its current quarter.
At the strategy level, we challenge ourselves daily to ensure that our products and services are aligned with a single objective of meeting the needs of tech, capital and services within the real estate value chain. At Aurum, we are gradually transitioning our journey that began in July 2021, with a strategy of acquisitions and inorganic growth to now deepen our ecosystem through organic growth. We believe that we have built a well-equipped ecosystem to benefit all the stakeholders of the real estate industry.
I would now like to conclude by throwing some light on our second edition of Aurum Neev Seva Fortnight that was held from September 17 to October 2. 250 Aurum team members came together to volunteer towards our core initiatives of tree plantation, service of nutritious meals, beti padhao, medical interventions, and safe man hours for construction workers. With this, I now hand it over to Onkar to take this further. Thank you, everybody.

Onkar Sunil Shetye

Thank you, Mr. Deora. We continue to make substantial progress on tech upgrade, operational alignment, and customer experience initiatives at all our businesses.
The 3 areas manifest our 3 focus areas and show up in our core day-to-day work, which results in integrated alignment of our 800-plus employee effort across India. Our business within the technology, capital and services space continued to show robust growth quarter-on-quarter across our businesses.
Across the ecosystem, we had 16,000 plus active RaaS customers and 520 plus active SaaS customers. Our tech platforms enabled active 60,000-plus homebuyers and 10,000-plus renters explore their real estate purchase and rental needs.
This quarter, we have completed integration of NestAway into Aurum PropTech's ecosystem and have commenced to calibrate it's user experience, operational excellence, and upgrade its data-driven technology offerings for demand and supply matching of rental real estate.
From a financial standpoint, post acquisition, we are focused on restructuring and turnaround of the business. Key initiatives implemented have been exit from nonprofitable cities, rationalizing tech and infra cost, organization restructure, refined performance marketing, and addressing customer grievances. With this, we have significantly brought down the losses of NestAway, whereas at the same time, increasing occupancy rates by 11% during this quarter. These are some big wins for us and set us on the path to achieve our first milestone of wiping out losses at NestAway by December 2023.
HelloWorld Technologies' revenue stood at an ARR of INR 107.04 crores for the quarter, showing a 25% quarter-on-quarter growth. Additionally, quarter-on-quarter, there was 13% increase in operational beds and 20% in tenants serviced. We also made gains of 17% in revenue per employee.
Aurum Analytica, our data analytics business, has now hit a 235% year-on-year growth with 61,000-plus prospects identified with our data analytics suite. We now have more than 100 projects signed on the platform across India.
BeyondWalls continues to hold leadership position in Pune market with INR 283 crores worth of inventory invoiced on the platform. MonkTechLabs, 13% quarter-on-quarter growth and processed USD 6 million worth of transactions for rental real estate across the globe on its platform.
Integrow Asset Management and Aurum WiseX did a joint GTM by launching a tech-enabled real estate PMS. This quarter, 5,800-plus new users were added to the Aurum WiseX platform, demonstrating traction in the Neo-realty platform that it poses.
As we move forward into the year, we would like to reiterate our continued commitment to further scale up PropTech's business with tech services and capital integrated play.
I will now hand over to Kunal Karan, CFO, Aurum PropTech.

Kunal Karan

Thank you, Onkar. Good afternoon, all. The Board has approved the results for the quarter and H1 ended September 30, 2023, at its meeting held on October 23, 2023.
I will take this opportunity to take you through some of the numbers for this quarter. Revenue from operations for the quarter was INR 52.77 crores as compared to INR 44.16 crores in the previous quarter, increased by 19%. And compared to corresponding quarter previous year that increased 86%.
The total income for the quarter was INR 57.53 crores as compared to INR 47.71 crores in the previous quarter, increased by 18%, and for the corresponding quarter previous year that increased 87%. Loss for the quarter is INR 23.89 crores as compared to INR 16.12 crores in the previous quarter.
Segment results. SaaS and RaaS revenue for the quarter was INR 6.25 crores and INR 46.52 crores respectively. Revenue from operations for the H1 was INR 96.93 crores as compared to INR 42.94 crores in the corresponding period previous year, increased by 126%. Total income for H1 was INR 105.2 crores as compared to INR 46.56 crores in the corresponding previous quarter -- sorry, previous year, increased by 126%.
Loss for H1 was INR 40 crores as compared to INR 18 crores in the corresponding previous year. The segment revenue, SaaS and RaaS revenue of H1 was INR 11.97 crores and INR 84.96 crores, respectively.
With this, I will pass on to Hiren to take you on the -- sorry, with this, I will pass on the call to the operator to open the floor for question-and-answer session.

Question and Answer Session

Operator

(Operator Instructions) The first question is from the line of Darshil Jhaveri, Crown Capital.

Darshil Jhaveri

Congratulations on a great of results. Sir, I just wanted to know -- with our various, now, businesses, how soon can we expect maybe positive EBITDA and PAT? Like what would be our timeline for it?

Hiren Kumar Ladva

Yes, Darshil. This is Hiren this side. On EBITDA and PAT, as we have maintained in the previous quarterly updates as well, we are looking at the next 4 or 5 quarters where bulk of our cost optimization initiatives, et cetera, will start showing results. As Mr. Deora and Kunal have already pointed out, this quarter and the previous quarters have been more about capacity building, and we see a stabilization of a lot of our costs in the coming quarters.

Kunal Karan

So Darshil, if you see only the EBITDA numbers, I will not say EBITDA, maybe adjusted EBITDA, maybe (inaudible) we are already positive. So in case EBITDA positive, we don't see a challenge. But definitely, PAT, we'll take couple of more quarters to be PAT positive.

Darshil Jhaveri

Okay, sir. And sir, with regards to our major 5, 6 segments of business. I think last quarter, we were saying around 2 are already PBT positive. So is that the same this quarter too? Or have more businesses now started becoming PBT positive?

Hiren Kumar Ladva

If you see the 2 businesses that we said they are positive and they have already crossed the breakeven, but definitely, we have to build up our revenue considering the next 2 quarters are very important in the real estate sector. So we are trying to build up capacity, and for that, we have taken some additional cost from this quarter to build up that base.
So otherwise, if we are on a steady operation, so there is no problem in terms of tax for those profitable companies. And mostly, the companies which are contributing 60% to 70% of our revenue, they are all, in that sense, positive if we see a constant kind of position. But we definitely want to grow, and that much of additional investment we are doing for the businesses to grow, both in terms of revenue. And definitely, it will give results continuously going ahead.

Darshil Jhaveri

Okay. Sir, there's 2 more questions, if I may?

Ashish Deora

Yes. Yes, Darshil. Please go ahead.

Darshil Jhaveri

Yes. Yes, yes. So just wanted to -- our other expenses have increased. So just wanted to know the variability of our expenses right now, if we could? So as the revenue will grow, what point operating leverage will kick in? Like current, our expenses, how much percentage employee cost will be increasing more? And -- so how much of other expenses would now -- have we reached the stabilization of employee and other expenses is what I mean to say, so that now the additional revenue will directly flow through? Or do you think we need some more other variable expenses that will also be a part, that will become more costly for us? So that's one question.
And do we stand by our INR 100 crore target for Q4 FY '24?

Hiren Kumar Ladva

So I will take the first one. So definitely, with our current expense base, and it is spread around 7 to 8 businesses. And based on the current performance, so the variable expense varies from, I would say, unit-wise, from say 24% to around 90% in some case, but at the overall level, with the current expense, it is more or less 50% of the expense is variable and 50% is fixed. But it varies from unit to unit. So that is very difficult to answer that how much is variable and how much is fixed. So you can keep this fixed cost as a base and we can move ahead then.

Darshil Jhaveri

Okay, sir. And with Q4, will we be able to reach INR 100 crore revenue? And would that be possible, sir?

Ashish Deora

Darshil, this is Ashish here. First on, just to add to what Kunal and Hiren already said on our numbers, NestAway, which was losing INR 40 crores annually, now is looking to get profitable. And that is the kind of discipline we bring with capital and unit economics is what we believe here. And that's across all the businesses, all the brands, all the products.
On the INR 100 crores number, we are well geared to get close to INR 100 crores. Obviously, with the acquisition of NestAway, the management team and the capital and a lot of our energy has gone into reorganizing the NestAway, integrating that with HelloWorld and vice versa, and also to make the largest central management platform in the country.
So while organically we believe that the revenue will get close to INR 100 crores, I think the focus really is to kind of get profitable at the earliest, be EBITDA positive in each and every product, and ensure that we continue our dominance in the rental management platform.

Operator

The next question is from the line of Bhavik Mehta from Roots Ventures.

Bhavik Mehta

So my primary question was around the SaaS and the RaaS business that we report. So do we actively track the retention rates, the quarter-on-quarter or annual retention rates on these recurring businesses? And also what part of it is driven by cross-selling products given that now we have complete end-to-end service and tech offerings? So are we able to cross-sell across our products? And if yes, what the contribution of that?

Hiren Kumar Ladva

Thank you, Mr. Bhavik. So firstly, on Saas and RaaS. So definitely for SaaS, as well as RaaS, we definitely track retention more so where the businesses are B2B in nature, right? So for example, retention is not actually really applicable for the rental business, but for rest of our businesses, yes, we do track retention at individual business levels. And within SaaS itself, we have, at an aggregate level, maintained more than 100% net retention over the last 3, 4 quarters for all the businesses, which is both sell.do as well as the couple of products from MonkTechLabs.
In terms of cross-sell, yes, where 1 part of the activity, which has been taken up for the last couple of quarters is actively building capacity, which is helping us to cross-sell. And there are several initiatives that we have already called out in the past. Notably, for example, between Integrow, WiseX, and Aurum Analytica; or between Aurum Analytica and WiseX; or between Aurum Analytica and HelloWorld; as well as between BeyondWalls and Integrow, right? So there are various such interactions where not only customer connects, but the relationships are also leveraged, and hence, we are able to bring the same customer through multiple touch points within the entire life cycle.

Bhavik Mehta

Sure. So what part of our INR 57 crores revenue would then be B2B versus B2C? Although you've already mentioned broad company-wise data. But if you were to evaluate it from that lens, what part of our revenue would be B2B?

Hiren Kumar Ladva

I would say, of the INR 57 crores, I think roughly INR 30 crores would be B2C. I'm giving a very rough number, but we can get back to you with a more exact number. But it's roughly around that, which would be B2C and the balance would be B2B.

Bhavik Mehta

Sure. So I think the -- next question is that given the tailwinds around the real estate sector across the country. So do we think that our B2B segment is growing commensurate to that? Or is there some missing element that -- now that we have enough quarters of data with us, so do we think there are some bottlenecks or some acquisitions which are not yet streamlined as you would have imagined, given that we are -- although INR 100 crores was an aggressive target, but we are not getting closer to that. I'm sure it will be a bit short. So what is your opinion that are we growing commensurate with the industry? Or certain segments that have lagged behind and certain that have outperformed?

Hiren Kumar Ladva

So let me take it in 2 parts. One is, how have we grown related to the industry? I think I can confidently say that when we are growing at an aggregate level close to 100% year-on-year, and kind of when you compare current quarter to previous year's quarter, or you compare the trailing 12 months to the year before, we have demonstrated more than 100% growth consistently as we see over the last 3 quarters, right?
And why I'm saying only last 3 quarters is that's where bulk of our businesses have consolidated together and hence that gives a more appropriate and relevant view as you were -- right? So yes, in that sense, yes, our growth rates have been, I would say, much higher than the market growth rates.
Secondly, in terms of the tailwinds. There are predominantly 2 sectors that we can look at where we are present from a larger revenue base point of view. There are 2, 3 other segments which are kind of growth areas, but I'll talk on the first 2 parts. One is the rental market, which Mr. Deora already kind of talked about being a $23 billion, $24 billion market as of today, and within that, living and the rental space, we have now become the market leaders and the growth will continue.
This is a B2C business. So the growth rate here will be kind of -- we have seen, for example, HelloWorld started with an ARR of roughly INR 38 crores, March 2022. And today, we are at INR 108 crores as we speak today, right? So that's the kind of growth that we have seen in this business. And we feel that if not 100%, we'll be in a fairly good territory of upwards of 50%, 60% and more over the next 12 months.
As far as the other business is concerned in terms of tailwinds, which is the transaction business, which I believe we are referring to in the residential side. So there, both Analytica as well as BeyondWalls and sell.do, plus our in-house businesses like Aurum KuberX as well as instaHome, all 5 of these businesses will see a good performance in Q3 and Q4. And that's where our capacity building activities have also happened in the current quarter, right?
So we definitely feel that the tailwinds are going to have a positive impact on the performance in the coming quarters.

Bhavik Mehta

Sure. So if you were to speak of HelloWorld specifically. So do we categorize it as a non-tech business offering for now? Because it although is growing at a very fast pace, but primarily, would we categorize it as a tech business because that is more on the co-living rental piece. And the NestAway acquisition that we've done, we could categorize it more as tech? Is that the correct understanding?

Onkar Sunil Shetye

So both businesses will fall under the tech category. NestAway will fall under the discovery plus fulfillment category and so will HelloWorld. Both are dealing with 2 different types of assets and both are tech solutioning both sides, supply and demand as well. At HelloWorld, you are solutioning with tech on the supply side by the way of giving a rental management software to the landlord of the property, who is able to then manage his MIS, building P&Ls, tenant experience and so on. And on the demand side, you are able to give the discovery platform and also various other value-added services on the HelloWorld app. Similarly, NestAway also follows the same journey. So we would definitely categorize both as tech-enabled businesses in the rental real estate space.

Bhavik Mehta

Sure. And -- although we've mentioned that the NestAway losses have reduced. So has that come at the cost of lower revenues for us at this point -- this quarter, given I think that the time that we had announced the acquisition, the ARR would have been much higher?

Hiren Kumar Ladva

Yes, Mr. Bhavik. Actually, there has been a very marginal impact on the monthly revenue, simply because what the team has done is they have taken an exit from cities which are not contributing to the top line at all, but contributing significantly to the cost structure, right? So that's one reason why the cost structures have gone down significantly, but at the same time, they have not impacted the top line in a big way.
Secondly, during the quarter, while we were looking at all the cost optimization measures, the team was actively working on customer experience and ensuring that the brand visibility remains, as well as there is a positive understanding of how NestAway is transforming, and which we saw that in the 5 or in the 6 cities that we are currently present in, the gross addition of tenants has actually been positive, right? So net-net, the revenue impact has been there, but it's very marginal in terms of revenues per month.

Bhavik Mehta

So would it be possible to share Q-o-Q numbers or Y-o-Y numbers for NestAway? So it's INR 7 crores this quarter. What would have that been on a comparative basis last year or maybe even the previous quarter?

Hiren Kumar Ladva

From an ARR point of view, for example, NestAway in Q1 of FY '24 was around INR 35.5 crores. This is from ARR point of view. And this quarter, Q2, it has gone down to INR 32 crores.

Bhavik Mehta

Okay. Understood. And my last question is around the PMS that we have launched. So does that mean that the data that we are gathering around the various properties, we would utilize that and target specific projects via PMS or the AIF route. Is that the next step in that direction? Or how are we planning to utilize the PMS in this context?

Hiren Kumar Ladva

So it definitely provides -- this definitely provides us an opportunity to leverage the neo-realty PMS across our other products like BeyondWalls, sell.do, Analytica, and so on. However, first, the idea is to have this PMS operate independently on a stand-alone basis. And once we have gathered enough traction to it, then we start integrating other businesses as well. The route to PMS is, of course, converting that to a financial instrument and then rolling it out as a PMS. So that journey also needs to be taken care of, where the supplier or the property owner or the landlord is also to be considered.

Bhavik Mehta

Okay. So there is no identified property or regions that you've defined within the PMS?

Hiren Kumar Ladva

Since this is only the launch phase, we have not yet gone on to synchronize all our micro markets onto the PMS. The first phase of PMS will operate on a standalone basis, where we will build acquisition and distribution capabilities at Aurum WiseX, and once that has gained traction, we will start onboarding other ecosystem assets also.

Bhavik Mehta

Sure. So my last question is again from what the previous question -- from the previous caller that would we be in line to touch INR 75 crores to INR 100 crores in Q4? Or we'll have to watch it quarter by quarter?

Ashish Deora

Bhavik bhai, this is Ashish here. So revenue is organically getting close to INR 100 crores is our indication. As we talked about the growth percentage that we have seen over the last 3 quarters, over year-on-year, quarter-on-quarter, I think we have seen a steady growth. The challenge really to grow with keeping unit economics in mind. Challenge really is to grow with disciplined capital behavior in mind, right? So while we are all very enthused about getting close to INR 100 crores revenue in Q4, but we will keep a very, very keen eye on the unit economics and capital behavior.
Having said that, focus has moved a little bit in this quarter from aggressive growth to becoming the largest central management platform in the country. And that pivot has happened because of NestAway -- because of the acquisition of NestAway, and because of the results that we are seeing at HelloWorld and NestAway. However, as we all talked, the numbers of Analytica, the numbers of WiseX, they are all looking to grow to 2x of what it has been in this quarter to Q4. That is what we are expecting...

Operator

(Operator Instructions) The next question is from the line of Devang Chokhany from Devang Management.

Devang Chokhany

So my question was from NestAway. So we have seen NestAway grow at a valuation of INR 1,810-odd crores at its peak. So do we see NestAway being scaled up that hugely in the near future?

Ashish Deora

Devang, there are enough reference points that we can feel confident about with respect to NestAway's valuation in the future once we start getting efficiency in its management practices and also operations and unit economics. One big reference point is a company in Brazil by the name QuintoAndar. QuintoAndar manages 80,000-odd rental units in Brazil and is valued at USD 3.5 billion in a market which is behaving similar to India, in a demographic that is similar to India, and even the real estate assets behave similar to India. So that gives us confidence with respect to NestAway's future valuation. It also had a similar investor base that we saw in NestAway. Some of the prominent names like [Goldman, Tiger] were a part of the investors.

Devang Chokhany

Sure. Also, could you throw some light on the TAM of the rental market? Do you have any assessment on the same?

Hiren Kumar Ladva

Devang, Hiren here. You are referring to the TAM of the NestAway, right?

Devang Chokhany

Of NestAway and the rental market as a whole.

Hiren Kumar Ladva

So yes, see, rental market right now, one as Mr. Deora called out, it's a very large opportunity with a $24 billion to $25 billion of rental money transacted on an annual basis. There are various ways to cut and dice the market. But if we even look at the top metros, top 15 to 20 cities, then probably 60%, 70% of the market will be sitting there. Now within that, the promising segment or the promising trend, which over the last couple of quarters has been getting good bit of coverage in terms of the changing needs of the younger generation, right?
So there are 3, 4 things which are happening. One, large companies, not just IT companies, but large tech companies have started setting up shop in India, specifically in -- not just -- beyond the IT companies, in the sector of semiconductors, et cetera, so electronics manufacturing. Plus, followed by, there is a big trend of global capability centers being set up in India. So all these setups and infrastructure addition is leading to growth of white collar jobs in the top -- in the metro cities, and there's going to be huge amount of recruitment from the campuses and the young working professionals are going to throng to the cities. And they would be needing these housing needs, which are kind of modern, which are standardized, are much more hygienic, are much more organized.
And this kind of tenant base is obviously very net savvy and they need solutions which are not just enabled by tech for discovery, but also during the consumption cycle, right? So entire tenant experience, the housing renting experience, et cetera, has to be digitized. And that's where lies the opportunity of growth for the new segment within the rental market, which is the shared accommodation and the shared unit, right? And that's where we see an exponential growth happening in the said accommodation segment.
And this market is, I would say, a fraction of the overall rental opportunity right now, but it's going to grow significantly. So that's broadly our assessment of rental TAM. And I hope that gives you a fair idea, Devang.

Onkar Sunil Shetye

Devang, I think it will be a $15 billion market by 2025, we should have, and then maybe (inaudible) it should have a size of around 4.5 million consumers looking for a rental solution -- 5.7 million consumers acquiring rental solutioning in top 30 metro cities in the country.

Devang Chokhany

Okay. That looks like a huge opportunity.

Operator

The next question is from the line of Alpesh Thacker, who's an individual Investor.

Alpesh Thacker

This is more on the transaction business side, which is BeyondWalls. So what...

Operator

Sorry to interrupt you, but your voice is a little muffled. If you are on a -- I request you to use the handset.

Alpesh Thacker

Sure. So this was regarding...

Operator

Please go ahead, Alpesh. I think I have lost the line for Mr. Alpesh. We move to the next question. The next question is from the line of Satyen from PGP Limited.

Satyen Kanoria

I was just going through all the presentations made by Aurum briefly because I just want to understand what's the company's plan towards this capital segment, which covers Aurum KuberX, Integrow, and WiseX?

Hiren Kumar Ladva

So Mr. Satyen, even the capital segment what we are looking at is where we can play a tech-led role as far as investment and financing is concerned. To start with, KuberX is directly addressing the financing journey in the real estate sector, which happens to be mostly in the housing sector, right? And the idea is to leverage our presence through businesses like BeyondWalls, instaHome, and then other businesses which are allied to the transactions journey, so that we can offer attractive financing solutions to the homebuyers, which could be both in primary as well as secondary sale market, right?
And what we have done here is in the tech platform, which helps in distribution of the financing products through tie-ups with leading banks in India. So that's 1 segment. The other 2 businesses are on the institutional side, wherein Integrow Asset Management Company, in a very simple model, it enables attractive financing to a developer through a tech platform, which helps in not just underwriting of the project, but also tech-enabled monitoring of the project. And this adds a very differentiated layer of transparency to potential investors who want to invest in these projects, right?
And how we do that? We do it through the AIF group, wherein we have a couple of funds addressing both the residential and commercial market, invest and to gain out of the attractive returns that they get. And the developers, on the other hand, get access to a more institutional and diversified capital to finance their projects.
Now the third business, which is WiseX. That is a tech platform that we have built what we call as the neo-realty platform, which enables distribution of this financing products to a much wider net beyond just the institutional financings or NBFCs, right? So there are HNIs who want to participate in this journey -- journey of investment into property sector, which is not just in the development space, but it could be in kind of leverage assets or products like LRDs, et cetera, right? So this platform enables the investors to gain access to investment products in this particular sector, right? So that's broadly the business models of the 3 plays that we have in the capital segment.

Satyen Kanoria

Okay. So I even wanted to understand, does the company in future plan to even have a product something like a REIT?

Hiren Kumar Ladva

At the moment, that's not on the radar. We are focusing on the products that we have launched, and the idea is to grow and build these products. Having said that, yes, SEBI has kind of launched a consultation paper on what was known as fractional ownership. And that should be implemented through an MSME REIT is what they are proposing. But we are awaiting -- we await the formal announcement of the regulation from SEBI and then we can respond better to that.

Operator

Next question is from Darshil from Crown Capital.

Darshil Jhaveri

I just wanted to ask maybe like our journey, I think you started in the last 3 years, you achieved a lot. So maybe even 6 quarters down the line, we'll achieve profitability. But as we're such a unique company, maybe beyond the 6 quarters that we see, maybe in FY '26, how would profits move like in so many diverse sectors? Could you just give some kind of color on what kind of margin would be -- what our company could have, something that could maybe help us that is the target that can happen, like that is the company's potential.
Because we've grown at a tremendous rate and we have so many diverse products. So something that could help people, who are not in this field, understand, okay, 6 months -- we'll take this much time to reach profitability, but after that it's going to be a very nonlinear growth and explosive growth in profitability. So something along those lines of color. Maybe not just a fixed number, but just some kind of color or anything would be very helpful.

Hiren Kumar Ladva

Darshil, I think the answer to your question is in your question itself that it's going to be very difficult to put a fixed or even a range around that at the moment. And why is also kind of -- you have also called out the why. But broadly, how we see it is, there are different businesses. As you rightly -- as you understand it very well, they'll have their different sets of profitability. But our minds and our energies right now are focused on growing some of this business over the next few quarters, keeping in mind that we have a good tab on the overall operational efficiencies and hence the profitability, right?
Once -- for example, NestAway is a classical example where we have taken that focus for the next -- for the previous quarter as well as the next quarter to first reach the unit economics level and then see what is the reasonable way to kind of grow this product both from a handsome growth point of view, but at the same time, not losing or not compromising on the unit economics, right? So that will remain our kind of direction.
But at the same time, you'll have to give us a few more quarters to give what could be the range in terms of the profitability at the consol level that we could expect.

Darshil Jhaveri

No, no. I understand that, sir. Just what I was curious about. But sir, are we decently sure that maybe in FY '25, we'll be able to be breakeven on consol level? Is that a fair assumption, sir?

Hiren Kumar Ladva

Mr. Darshil, I'm sorry, I couldn't get you on the -- if you could repeat your question.

Darshil Jhaveri

No, no. I was asking on -- like maybe in FY '25, we will be able to have like a positive PBT, maybe? Like is that a fair assumption? Or maybe that also we could maybe come to in the next 1 or 2 quarters. Just some color on that, if that would be it, sir.

Hiren Kumar Ladva

Yes, all our efforts are in that direction, right? However, (inaudible) the next 2 quarters pan out and we'll have a better clarity on, one, exactly this quarter, and exactly what next.

Operator

(Operator Instructions) The next question is from Alpesh Thacker, who is an individual investor.

Alpesh Thacker

Sorry I got (technical difficulty) under BeyondWalls platform?

Hiren Kumar Ladva

Mr. Alpesh, we couldn't hear you very clearly.

Alpesh Thacker

What was the PCV (technical difficulty) in this quarter?

Operator

Alpesh, your voice is breaking. If you're in an area that has no network, I request you to move to a better network area. We seem to have lost the line for Alpesh, again. We'll move to the next question. The next question is from Rajesh Shah, who's an individual investor.

Rajesh Shah

Yes. Actually, I was referring to the investor presentation slide and just wanted to understand the Aurum operating model that has been highlighted this quarter. If you could just throw some light on how we are working with the different companies in terms of NestAway and what is the ecosystem collaboration that's happening over there?

Hiren Kumar Ladva

So I recollect the slide you are talking about, right? So that's broadly our guiding principle, how we engage with all the businesses that we have under our ecosystem fold as of now, right? And it does not apply to 1 specific company. It actually applies to all the businesses, right? So in the interest of time, I'll try to summarize it very quickly. But at the high level what we at Aurum PropTech level here focus is on some of the things which are very given in terms of the governance and the risk, the (inaudible) as we call it, from a strategic oversight point of view, how the fields are aligned, how they are reviewed, et cetera.
And then what is there with the partner companies is more on -- or the business is more on the execution, the ownership over the product, the ownership over the customer and the go-to-market strategy, right? So these are all things that they individually take care of. Now what is common and where the collaboration happens is where we bring in the shared services like, for example, which we have done not just for NestAway, but for K2V2, for Analytica, for HelloWorld, is to have a centralized team, which works on the financing and accounting side, which works on the legal and compliance side.
HR specifically, the culture part, the processes part, et cetera, are kind of individually owned by the business heads. But at the central level, there are certain policies, code of conduct, the HR compliance part, right, which are guidelines set up by -- at the Aurum PropTech level.
Now where the business collaborations happen is what we call as the Aurum Ecosystem Collaboration, right, where we bring in, let's say, all the marketing excellence across different businesses and we kind of provide a platform where all the leaders, marketing leaders of all the businesses can come and meet each other, discuss joint strategies and exchange notes, et cetera, right?
I am just taking marketing as an example. But the same applies for tech and engineering teams, the product teams, and what we do apart from that is to have certain initiatives, right, which are engaging with the business heads of each of these companies to bring together joint go-to-market strategies. There are initiatives on how we make best use of the data that we are collecting and building as we build the individual businesses together.
And there are a lot of things which happen on the software side, which is to recognize great talent across all different businesses, right? So when we give them a common platform for recognizing some of the best performances and the excellence in various fields across the different businesses, right? So there's a different level of motivation that percolates all the way down to all the businesses, right? So that's where the collaboration starts happening, right?
But at an operational level, at the business operations level, all the individual businesses take care of their day-to-day kind of activities themselves, right? So that's broadly how our kind of the operating model that we have illustrated works.

Rajesh Shah

Got it. And another question was mainly that because we have couple of businesses catering to similar business models, example, BeyondWalls and Analytica doing something similar in terms of residential sales or HelloWorld and NestAway being similar in terms of models pretty much. Do we see consolidation of businesses happening in the future?

Hiren Kumar Ladva

Actually, they -- for example, NestAway and HelloWorld, right? So they cater to 2 different renting needs, right? So HelloWorld, for example, caters to shared accommodation, co-living, whereas NestAway predominantly focuses on family living, right? So there is a small overlap between the target customer segments, but the supply time is fairly different, right?
So that way, yes, some of the synergies and operational efficiencies will arrive out of the customer side and the GTN side between HelloWorld and NestAway. Between BeyondWalls and Analytica, again, the operating models are different, right? So end of the day, yes, you are addressing a developer's need to take their product to the market, which we call as the distribution. But the ways and means that we do is different because the developer community is also not a homogeneous community, right?
So one, there are geographical segments, but beyond that, there are also different needs that developers have across the distribution needs, right, which is some developers may need just the digital marketing side of it, and whereas there are certain developers who actually give AOPs and mandates for tech-driven companies like BeyondWalls to enable the transactions completely, right? So the business models are different, though kind of the life cycle of the distribution may feel similar across the 2 businesses.

Operator

(Operator Instructions) Well, actually that was the last question in queue. I would now like to hand the conference back to Ms. Vanessa Fernandes for closing comments.

Vanessa Fernandes

Thanks, Rio. Thank you, everyone, for taking the time out to join us on this call. We wholeheartedly appreciate your continued interest in Aurum PropTech, and we look forward to having you in the next call again. Have a good evening ahead.

Operator

Thank you very much. On behalf of Aurum PropTech Limited, that concludes the conference. Thank you for joining us. Ladies and gentlemen, you may now disconnect your lines.