Anarock Property Consultants Limited IPO

Real estate sector performance and cyclicality across asset classes: Our business is exposed to the performance and cyclicality of the real estate sector across residential, office, retail, land, investment banking, industrial and logistics, hospitality and other real estate activities. A broad or asset-class-specific slowdown could adversely affect demand for our services and our results of operations.

Transaction and contractual milestone timing: A significant portion of our revenue is linked to successful completion of transactions, achievement of performance thresholds or contractual milestones. Delays in achieving such milestones may move revenue into a subsequent quarter or Fiscal and adversely affect our revenue, cash flows and results of operations for the relevant period.

Trade receivables and collection risk: Our business has significant trade receivables and collection cycles may be extended. As at March 31, 2026, March 31, 2025 and March 31, 2024, our trade receivables were Rs.4,642.09 million, Rs.3,159.99 million and Rs.2,771.29 million, respectively. A portion of overdue receivables may become difficult to collect and may require legal recovery action, settlement or write-off.

Client relationships, concentration and repeat business: Our business depends on maintaining and deepening relationships with a diversified client base. During Fiscals 2026, 2025 and 2024, our top 10 clients represented 27.57%, 24.03% and 31.07% of our revenue from operations, respectively. The loss of, or reduction in business from, one or more significant clients could adversely affect our business and results of operations.

Revenue seasonality and quarterly phasing: Our revenue and results may fluctuate between periods because of the timing of project launches, transaction completions, achievement of targets for incremental fees, contractual milestones, construction activity and technology deployments and interim results may not be indicative of full-year performance.

Exclusive-mandate replenishment: Our residential exclusive mandates are for fixed term, typically ranging between 9 to 24 months, may terminate or expire, and must be replenished by new or repeat mandates. If we are unable to win new mandates on commercially acceptable terms, our Transaction Advisory business could be adversely affected.

Channel-partner dependence: We depend upon a large network of third-party channel partners over whom we have limited control. Any inability to maintain and engage this network, or misconduct or noncompliance by channel partners could adversely affect residential sales, Anarock Channel Partner ("ACP") and our reputation.

Scaling newer businesses and margin profiles: Certain of our newer or scaling businesses, including Management Services, Anacity and Anarock Channel Partner ("ACP"), have different operating histories, margin profiles, working-capital requirements and execution risks. If they do not scale as intended, our growth and diversification strategy could be adversely affected.

Technology and Artificial Intelligence / Machine Learning (AI / ML) model risk: Our Transaction Advisory and certain Technology Solutions businesses increasingly rely on technology, artificialintelligence and machine-learning tools. If we are unable to continue developing and appropriately using these capabilities, or if they produce inaccurate or unintended outcomes, our operations and growth prospects could be adversely affected.

DSP Design acquisition: Our acquisition of a controlling interest in DSP Design Associates Private Limited ("DSP Design") and the proposed acquisition of its remaining shareholding expose us to transaction-specific integration, performance-linked consideration, retention and execution risks.