Aurum PropTech Limited (AURUM) Q4 FY23 Earnings Concall Transcript

Aurum PropTech Limited (NSE:AURUM) Q4 FY23 Earnings Concall dated Apr. 27, 2023.

Corporate Participants:

Vanessa Fernandes — Manager- Mergers and Acquisitions

Ashish Deora — Founder and Chief Executive Officer

Hirenkumar Ladva — EVP of Investments

Kunal Karan — Chief Financial Officer

Analysts:

Rahul Shah — Individual Investor — Analyst

Pawan Kaul — Compound 26 Capital — Analyst

Aditya Sen — RoboCapital — Analyst

Mehdi — Cenkos — Analyst

Vipul Aurora — Individual Investor — Analyst

Devang Jogani — Devang Management Private Limited — Analyst

Presentation:

Operator

0:07:13 Ladies and gentlemen, good day and welcome to Q4 FY ’23 Earning Conference Call of Aurum PropTech limited. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. [Operator Instructions] I now hand the conference over to Ms. Vanessa Fernandes from Aurum PropTech Limited, Investor Relations. Thank you and over to you.

Vanessa Fernandes — Manager- Mergers and Acquisitions

Good evening, everyone, and welcome to the earnings call columns of Aurum PropTech Limited for quarter-four and financial year ended 2023. We are humble to have you all here to discuss our latest financial results. And we appreciate your continued interest and support.

Joining us today is Mr. Ashish Deora, the Founder and CEO of Aurum Ventures. Under his leadership, our company has experienced significant growth. We also have, Mr. Hirenkumar Ladva, our EVP of Investments, who will share insights on our PropTech ecosystem. Followed by Mr. Kunal Karan, our Chief Financial Officer who will touch upon the financial highlights of the company.

Before we dive into the details, 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 [Technical Issues] filed with SEBI and the subsequent 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. We shall start the call with Mr. Ashish Deora perspective on our performance over the last quarter [Phonetic]. Over to you sir.

Ashish Deora — Founder and Chief Executive Officer

Thank you, Vanessa. Good afternoon, everyone. I am glad to connect on this investor call for the eight quarterly call under order management. It gives me great pleasure to speak with all of you today and share our journey of exponential growth during the financial year 2023. I’m happy to announce that our team’s focus has led to incredible growth in the last year. We clocked revenues of INR139 crores in the year, which reflects our commitment excellence and the execution of our well thought strategy. PART-1 Strategy. I would like to highlight two points to this effect. Firstly, we had projected our Q4 revenue to be INR50 crores. I’m glad to state that we have to surpassed the projection. What is important is that the target of INR50 crores was made at the beginning of last year when our revenue was to the tune of INR14 crores. Secondly, exponential growth is slowly becoming the mantra and DNA of Aurum PropTech. We feel that we can now aggressively project and consistently achieve. This remarkable achievement is a testament to the team’s relentless efforts and unwavering commitment to our shared vision of creating a future-ready company. Our revenue growth momentum demonstrates our leadership in the prop tech center. This also gives us confidence to execute with discipline, what we believe with a well thought strategy. With our strong positioning cutting edge technology an unwavering focus on customer experience, I have no doubt that we will surpass our current targets and continue to drive database, growth and innovation in the industry. Moving from revenue growth, I would now like to take a few minutes on our strategy. At Aurum, we pride ourselves on using cutting-edge technology to equip real — real-estate consumers with innovative products and solutions for customer experience. We are committed to continuing this approach by investing in new and cutting-edge technologies along with the strategic acquisition to further enhance services, while providing exceptional value to our customers and setting us apart from the competition. Aurum’s leaders focused on its core competencies that as driven innovation and growth in the industry. As we look to the future, analyzing data and then increasing good services and capital keeps us challenged on a daily basis. We remain committed in our pursuit of excellence and in achieving our vision of becoming the top real-estate tax-based services company in the industry. Further, our belief that digital products, require an entrepreneurial mindset is getting even more reaffirmed with every quarter. And with that in mind, we continue to deepen our engagement with entrepreneurs to create a robust ecosystem. The integration of that tech, data, capital and services along with an entrepreneurial mindset is the engine of growth for the next few quarters. I am confident in our future prospects and the steps we are taking to achieve our ambitious revenue goals and pivot on our pioneering position. Thank you all for your continued interest and commitment to Aurum. As we move forward, I’m excited to share more insights with you and discuss our profits. I now request Hiren to kindly take-over for the next segment of the call.

Hirenkumar Ladva — EVP of Investments

Thank you, Mr. Ashish, and good evening, everyone. Let me take a few minutes to walk you through our Aurum PropTech performance over the last quarter in the year gone by. First, I’m happy to report that tool for partner companies HelloWorld and K2v2 Technologies have crossed more than INR50 crores each in revenue in the financial year FY ’23 on a stand-alone basis.

Second, if we look at the partner companies FY ’22 revenue, they have collectively more than doubled the revenues in FY ’22. As you would recall, most of these companies were not under Aurum PropTech in FY ’22. HelloWorld, has clocked 93% Y-o-Y growth and K2v2 has delivered 140% Y-o-Y growth. Aurum Analytica which got acquired at the beginning of October 2022, has delivered INR7.6 crores in H2 of FY ’23 compared to INR3.9 crores in FY ’22 H2. This is a significant achievement, as it highlights, not only the intrinsic growth potential of this venture, but also the strength of our ecosystem.

We are witnessing a heavy increase in customer acquisition as well as their engagements on our platform of transactions enabled projects served or back fronted [Phonetic]. We are thrilled to see the value delivered to our customers and their continuous trust in us. Profitable growth is in our DNA and this gets reflected in how we are scaling within comfortable zones of profit margins while some of our competition has update for scalability without sound business viability.

Now, I shall quickly touch-based on a growth opportunity for the upcoming quarters. For our connected living segment, we have increased our presence in cities where rental demand and prices are growing. For example, in Bangalore. And we should benefit from the overall spike in rentals across all formats there. Additionally, we have added new supply in the student living segment in places like Kota well before the start of the new academic year. Our properties provide comfortable and a safe living as well as a study environment who are student tenant. This is what will enable us to remain leader in the same.

In our investment finance cluster, Integral Asset Management has garnered further fine commitments of INR60 crores, taking the total to INR207 crores. We will be augmenting our ecosystem portfolio with the launch of a new investment platform for coming quarters. Groundwork for the same is underway and we will be taking the products to the market in the month of May ’23. Within the enterprise efficiency cluster Sell.Do a realistic SaaS CRM product continues to be the market-leader in India with more than 500 active real-estate clients and around eight thousand-plus licenses. We have more than doubled our licenses during the year gone by. At the end of Q4 FY ’23, Aurum Analytica’s order book grew 2.5 times the number of projects that had at the end of Q3 FY ’23.

We continue to meet exciting ventures on prop tech ventures on investment front and we will update you on any transaction as and when they materialize. To conclude, we are committed to build and grow our SaaS as well as RaaS products and the upcoming quarters promises to be an exciting — exciting ones for our growth trend.

Thank you for your continued support and we look-forward to sharing some updates with you soon. More updates with you soon, I will correct myself. I’m pleased to hand over the call to Mr. Kunal Karan, our CFO, to provide an update on the financial performance of Aurum PropTech.

Kunal Karan — Chief Financial Officer

Thank you, Hiren. Thank you everyone for taking out time to join us on this call today. Today, the Board of Directors has approved the audited results for the quarter ended — year ended 31st March 2023. I will take you through the summary results of the company. Results for the quarter ended March 31st, 2023, first. The revenue from operations for the quarter was INR45.36 crores as compared to INR38.56 crores in the previous quarter up by 17.60%. The total income for the quarter was INR50.33 crores as compared to INR41.15 crores in the previous quarter, up by 24.73%. EBITDA for the quarter was INR4.25 crores, that is 9.4% of the revenue as compared to INR1.96 crores [Phonetic] in the previous quarter. Loss for the quarter was INR9.83 crores as compared to INR10.4 crores in the previous quarter.

Results for the year ended March 31st, 2023. Revenue from operations for this year was INR126.87 crores as compared to INR18.79 crores in the previous year, by 703%. Total income for the year was one INR139.04 crores as compared to INR21.01 crores in the previous year up by 561%. EBITDA loss for the year was INR209.4 crores [Phonetic] as compared to a loss of INR13.08 crores in the previous year. The total loss for the year was INR40.30 crores as compared to INR13.27 crores in the previous.

Now to the balance sheet as of 31st March 2023. Total assets were INR391.77 crores as of March 31, 2023, as compared to INR221.7 crores at the end of March 31, 2023. Total liabilities were INR156.94 crores as compared to INR31.83 crores at the end of March 31, 2022. Equity attributable to the equity shareholders to INR222.54 crores as compared to INR168.08 crores at the end of March 31, 2022. Cash flow or cash used in operating and investing activities during the current financial year was INR50.06 crores and INR45.46 crores respectively. And cash generated from financing activities was INR79.98 crores. The cash at the end-of-the year was INR20.27 crores. Other liquid investments at the end-of-the year was INR29.95 crores.

With this I will now pass the — pass on the call to Vibha [Phonetic] open the floor for question-and-answer session. Thank you very much and I appreciate your continued interest.

Questions and Answers:

Operator

Thank you very much. We will now begin the question-and-answer session. [Operator Instructions] The first question is from the line of Chirag Shah [Phonetic], Individual Investor. Please go ahead. Hi team, congratulations on the amazing growth on the great numbers, it looks like we’re heading to a great — for the next financial year and I wanted to ask you the question that — currently, the interest-rate environment as such that it’s affecting all companies and industries. It also is impacting a lot of infrastructure companies and being real-estate, one of the heavy capital businesses, do you think it will have a ripple effect on real-estate as well as prop tech industry? And what measures Aurum is taking to tackle the thing?

Ashish Deora — Founder and Chief Executive Officer

Thank you, Rahul. This is Deora. I will attempt to answer your question. We agree that the economic overall had slightly shifted towards the high interest. environment where in the RBI came with a series of interest hikes. However, we have also seen that on the previous revision RBI has taken a pause and we’ll wait-and-watch what new direction that the RBI give on this.

Having said that, I’ll answer the question in two-parts, one is overall impact on the real-estate front and secondly, the impact on profit itself. Now despite the interest hike, there has been a continuous uptick in real-estate transactions, as reported by multiple media and sources in terms of the bookings and when you track real-estate developers, even the listed ones, you see a significant uptick in the bookings and the sales that have happened. So that is whenever such a sales transactions have happened, there is a follow-through demand in terms of a light property services and that is one area, we the prop tech company would expect to benefit from.

Second is that as I said since RBI has taken a pause, inflation being its primary concern we believe that, there shouldn’t be a very long-term impact in terms of sales transaction. There could be a momentary pause or [Indecipherable]. But at the same time coming to the second part where it’s where I talk about impact on — on us, we actually see that whenever there is — there is such interest-rate hikes, or whenever there is a bigger challenge for developers to distribute or offload their inventory, that’s where some of our services, which are inched [Phonetic] on enabling developers to reach faster and sharper to the — to the target clients that’s where our offerings, that’s where our partner companies actually our able to deliver value and hence we as a company, benefit from that.

Right. So, our services are in a way quote unquote hedging against this — this interest-rate cycle, not by design and by virtue of the offerings that we — we take to the developer community. So, in that sense — that is one aspect. The second aspect of the impact on our companies that we are not aligned only to the — the retail sale transactions specifically of the residential rate realistic market. As a prop tech company, our services our tech-enabled services catered to the rental, the co-living aspect also significantly and hence that’s, that’s a more or relatively more recession-proof or interest-rate revision proof business as — as you may call it and hence, the impact gets further subdued because of that. I hope I was able to answer to you.

Rahul Shah — Individual Investor — Analyst

Yeah, yes, thank you so much.

Operator

Thank you. The next question is from the line of Pawan from Compound 26 Capital.

Pawan Kaul — Compound 26 Capital — Analyst

Hello?

Ashish Deora — Founder and Chief Executive Officer

Hi.

Pawan Kaul — Compound 26 Capital — Analyst

I have couple of questions, the first one was, we provide with the break up of revenue business-wise for the quarter?

Ashish Deora — Founder and Chief Executive Officer

So, we provide the break up of revenue under the segments as in rare. The revenue — caps [Phonetic] revenue for this quarter was INR6.04 crores and the last revenue was INR39.32, so total INR45.66 [Phonetic].

Pawan Kaul — Compound 26 Capital — Analyst

And underwrites [Phonetic] you have K2V2 and BeyondWalls and HelloWorld so…

Ashish Deora — Founder and Chief Executive Officer

Yes.

Pawan Kaul — Compound 26 Capital — Analyst

So, would it be possible to get like what’s, what’s the major component out there? What was the major driver out there?

Ashish Deora — Founder and Chief Executive Officer

You will definitely have HelloWorld and BeyondWorld business. So, if you ask for the numbers HelloWorld has made INR52 crores in this, post the date of acquisition that is what we have concentrated in — in the numbers. Total revenue that they have made during the 12 month is INR63 crores [Speech Overlap] about the quarter of INR39 crores and HelloWorld INR17 crores.

Pawan Kaul — Compound 26 Capital — Analyst

HelloWorld has INR17 crores and…

Ashish Deora — Founder and Chief Executive Officer

BeyondWorld has done around INR12 crores.

Pawan Kaul — Compound 26 Capital — Analyst

Okay. Got it. The second question was the status of the sale of the residential building. I think we’ve been talking about that for a couple of quarters, is that something that’s being contemplated?

Ashish Deora — Founder and Chief Executive Officer

Sorry, I couldn’t get you please.

Pawan Kaul — Compound 26 Capital — Analyst

What is the status — Can you hear me now?

Ashish Deora — Founder and Chief Executive Officer

Yes, Pawan this a better.

Pawan Kaul — Compound 26 Capital — Analyst

Yeah, we — have we seen in the last couple of quarters about sale of two buildings?

Hirenkumar Ladva — EVP of Investments

So, look, we have got two-buildings. One is around 120,000 square feet. Another around 30,000 square feet. So right now, that bigger building, we have already put it on lease. And a smaller building is still available with us. So, we are still expecting the market to grow little bit more, so we are waiting for that. We are not in a hurry, though there is two or couple of opportunities that came to us, but we have not gone ahead. So, we are just keeping those things on-hold because right now, the buildings are profitable and that’s why in the cash-flow.

Pawan Kaul — Compound 26 Capital — Analyst

Okay, understood. Thanks for that. I’ll come back-in the queue.

Operator

Thank you. [Operator Instructions] The next question is from the line of Rahul Shah, Individual Investor.

Rahul Shah — Individual Investor — Analyst

Hello, two questions, first, immediate [Phonetic] product offerings you’re planning, be it for RaaS or SaaS in either of them, and the second question will be on your outlook near-term, first quarter for this FY ’24 and even long term like which — which areas in this business do you think will work the best going ahead? Any challenges you foresee? And if you can resolve it with any guidance or outlook in January [Phonetic], which factors will drive growth for the business? Thank you.

Ashish Deora — Founder and Chief Executive Officer

Rahul you’ll have to help us with your first question, we couldn’t quite get the line. Second, we have understood.

Rahul Shah — Individual Investor — Analyst

Sure, sure. The product offerings. So, you have — so in that, are you planning on developing new products for the market?

Ashish Deora — Founder and Chief Executive Officer

So, just to rephrase, so that I understand your question clearly, the first question more specifically. You are looking for some understanding in terms of our product offerings in future, or in new offerings specifically? Is that correct.

Rahul Shah — Individual Investor — Analyst

Yes, yes, in the RaaS or the SaaS divisions which you operate?

Hirenkumar Ladva — EVP of Investments

Oh, I’ll take the SaaS first. As you know, we have two major, or the two large contributing SaaS products, one is in the co living segment here, there is in transaction segment [Indecipherable], per se. So, there we are continuously upgrading our product features in-line with the feedback that we continuously keep receiving from the developers who are our client payment customers and seeing what further integration that we can do with other SaaS products or EIP that developer might be having. So that’s the more of product augmentation plan that we have, which is continuous flattening to it.

The second, as far as the other B2B SaaS product that we have in our portfolio in the form of the House Monk there we are right now catering to property managers, property owners in the residential or the co living segment. There we have two-three — two-three product ideas, which are as of today under POC or a with seven to eight clients in the commercial space. And once the POC is over in the next two to three months, we will be launching them further at the — to a wider client base.

Third, we have we also have under the hood an ERP or CRM — CRM SaaS product in the name of Kailash which has without significant investments in go-to-market efforts already clocked more than 1,000 odd clientele and we are very excited about the growth of this product — particular product, so that once again, this is right now in the POC stage only, and we are not monetizing it heavily, right once — once the POCN will take this product to the market. So, this is as far as the SaaS is concerned.

As far as the RaaS services concerned, in the cooling segment as of now, we are focusing on around 10 major cities maybe, cities where we aim to have leadership positions. From a segmentation point-of-view, we are in the mid segment view of things, going towards the premium side as well. And the third sub-segment, would be the Student Living Segment, where we are also one of the market leaders there. So, we will continue to focus there on the supply-side — supply acquisition side in-line with where we — where the demand is coming from. So that’s where, that has been our forte and that’s what we’ll continue to focus on.

Then, as of the other RaaS offerings, I think we have BeyondWalls which got introduced to the market almost over a year back. I think we are now in a position to take this more from a new market point-of-view rather than specifically new offerings, continued product development, addition of features, etc., would continue under the BeyondWalls overall product, but now the time is for the product to be taken to a wider market and that’s what we will be focusing out there. I hope that kind of gives you an idea of our product strategy.

Rahul Shah — Individual Investor — Analyst

Yes, yes, definitely. And on the second part of my question? Based [Phonetic] on the outlook, if you can?

Ashish Deora — Founder and Chief Executive Officer

Hi, this is Ashish here. I think the financial year 2023 has been a defining year for Aurum PropTech because we did — we did INR139 or INR140 crores of revenue in this — in this year. With last quarter being INR51.25 crores or something I don’t remember. We think that, the way — the way we look at the upcoming year is that there is — there is tremendous discipline in execution. This tremendous focus today with all the companies and all the products that — that we have in the market in terms of development, the products that are getting in and the features that are getting into the market are almost on schedule. So, it kind of gives us tremendous conviction that we should be on a strong growth momentum going-forward that quarter-on-quarter. I guess, at this stage, that is what we can, we can share in terms of guidelines and outlook.

Rahul Shah — Individual Investor — Analyst

It is okay, but at least you can say that from here it will be upwards in terms of trajectory of your growth.

Hirenkumar Ladva — EVP of Investments

Hello? We again couldn’t catch your [Indecipherable].

Rahul Shah — Individual Investor — Analyst

So, what I get from your explanation is we can at least expect a good upwards trajectory in terms of growth, even topline and EBITDA both?

Ashish Deora — Founder and Chief Executive Officer

That is for sure. That is for sure, that we are on a great growth trajectory. There is no reason, there is no reason for us to, there’s no reason for us to kind of slow-down on that. Also, another factor that has been very encouraging is that our expense to income ratio has come down from 1.6, the 1.2 from quarter one of last year to quarter-four of this year. So, we are also keeping key keen eye on the expense to income ratio. While we are keeping very strong focus on — on growth momentum. So, you know it is that much easier to grow the fee, if we don’t look at expense information. So, the balance of that is the challenge and that is what we are all focused upon. But I think the last year, the last year has given us that conviction and the outlook [Phonetic] that can grow exponentially and you can still be on the path to profitability.

Rahul Shah — Individual Investor — Analyst

Okay, okay. Thank you, Ashish and wish you all the best.

Operator

Thank you. The next question is from the line of Aditya Sen from RoboCapital. Please go ahead.

Aditya Sen — RoboCapital — Analyst

Hi team. So, it is really phenomenal to see how the company is growing and also that how we are matching our guidance. So, we have already achieved the INR50 crores — INR200 crores that we targeted earlier. So, I would like to continue with the previous question, the question has already been asked. That is, we can you please help us with the revenue of different business segments that we have, that is the K2V2 [Indecipherable] etc., because if you get to know these, then only we can understand the business fairly well.

Hirenkumar Ladva — EVP of Investments

So, look Aditya, it is difficult to call-out, all the numbers but because you are asking very specifically the numbers, it will definitely come out when we publish our annual — annual report. So, it does give you the numbers, the breakup of the INR126.87 crores of revenue from operations company-wise. The Aurum — the companies under Aurum has done around 17, yet [Technical Issues] has done 51. And Aurum Analytica has done 6.79.

Aditya Sen — RoboCapital — Analyst

[Technical Issues] Okay. Okay, so this will help us and we will have the details in the annual report, right.

Hirenkumar Ladva — EVP of Investments

Yeah, so as the annual report comes out, we will get those details, because that is [Technical Issues] publishing.

Aditya Sen — RoboCapital — Analyst

Okay, that works. And also, I believe that the company must-have some vision for, let’s say, upcoming three, four, or five years. Some aspirational target that we are looking-forward to in terms of revenue and EBITDA, at least five down the line.

Ashish Deora — Founder and Chief Executive Officer

So, this is Ashish here. Aditya 3-year forecast is difficult to kind of give on the call, but what we are clearly seeing is that the company, as I said earlier, is on a tremendous growth trajectory. We are very focused on being conservative with capital. We think that we have put in the right financial prudent. We think that we are able to now scale-up products. Our management is able to work with companies, or integrate them, bring them to a collaborative. In fact, get them to work together. Our technology, data, capital and services all four are integrating well along with — along with the entrepreneurial setup that we have and things like that. So, while — while of course we have the 2026 internal revenue which are very, very aggressive, but I think we need to we need to take it, by the by the quarter and kind of play that out.

Aditya Sen — RoboCapital — Analyst

Okay, okay, that works for us. Thank you. And you guys are really doing a great job. Thank you.

Ashish Deora — Founder and Chief Executive Officer

Thank you, Adi.

Operator

Thank you. The next question is from the line of Mehdi [Phonetic] from Cenkos. Please go ahead. Hello Mehdi. Your line is unmuted, you could speak now.

Mehdi — Cenkos — Analyst

Yeah. So just wanted to know, what do you think about the future prospects and the expected market size of your Prop tech space. And any new company acquired, or any new product or service developed during the FY ’23?

Hirenkumar Ladva — EVP of Investments

Thankfully you have asked about Prop tech and not Aurum PropTech. So, a little easier to answer, because with Aurum PropTech we have limitations on making forward-looking statements. But as far as the sector is concerned, we have continuously maintained and stated how bullish we are and then we drive our vision from 2030 projection of the Indian economy if which if you take 10% actually it is around 13% as the property sector, as a percentage, GDP and within that, if you take the prop tech as a segment that would be another 10%, that itself is — is roughly a $100 billion-dollar opportunity in the next seven to eight years now right now.

Within that, the way we broadly see is that fortunately or unfortunately, the adoption of technology has been lagging compared to many other sectors for example retail or any other manufacturing or logistics sector for example right where tech adoption has been faster than it has been in property and that gives us a huge opportunity to scale-up at the juncture we are in. And this — this adoption is happening across the entire lifecycle of any property, unit consumption be it commercial real-estate or residential real-estate which starts from conceptualization of the residential or the commercial project to its construction, to its delivery to the sales and marketing part of it eventually consumption part of it, which could be in terms of leasing, renting out, and then there are tremendous opportunities for tech play to make life simpler, easier, efficient for the entire ecosystem, right.

And that’s what you’ll see if you look around in terms of prop tech there are — there are many exciting propositions and startups coming up and we have as a prop tech have been fortunate enough to have the right presence already marked and where we could grow further from here in terms of for example, A: the transaction space, right now we are focused, focusing on the residential part. B: the rental and living where through HelloWorld and co living segment, we have a very good position to grow further and then, I’m talking about long-term so seven to eight years, the opposite will be very-very large. And C: the other wider segment is where the capital services come in where the efficiency play comes in for enterprises right.

So, when we try to bring the cameras prop tech, one it’s exciting simply because of the amount of growth prospects presents, at the same time, it’s even more exciting with the applications of tech and more so now with AI ML the use of big data at the at the bottom of it and — and then the adoption opportunity that is presented by the property sector in India itself, right. So, subtotal this [Phonetic] operator, I think we continue to remain excited and motivated by the opportunity that prop tech has.

Mehdi — Cenkos — Analyst

Okay, so and sir, could you I give a detail about top products across SaaS and RaaS. And the most revenue-generating products?

Hirenkumar Ladva — EVP of Investments

So, we partly covered in the previous question, but I’ll reiterate as far as, as SaaS products are concerned, we have, Cell.Do under K2V2 the other is TheHouseMonk under Monk Tech Labs, right. These are the two main SaaS product as of now. There are a couple of other products which are under the EOC or the development stage and their revenues have not yet started clicking in material way. Then moving on to the RaaS services we have Yellow Ones co living business. Second, K2V2, is beyond BeyondWalls business. And then Integrow Asset Management, then followed by Aurum Analytica in no order particular, but Analytica was the last transaction that we got it. So Aurum Analytica is also part of the RaaS software.

Mehdi — Cenkos — Analyst

Okay, thank you.

Operator

Thank you. [Operator Instructions] The next question is from the line of Vipul Aurora [Phonetic] an Individual Investor. Please go ahead.

Vipul Aurora — Individual Investor — Analyst

Thank you, everyone. So, my question is to B2C segment. So, I learned that Aurum in the last few months introduce some of the B2C products like Aurum KuberX, Instahome and AurumLiv. So, all those products are typically for the consumer side. So being — acquiring the customer is a costly as well as retaining is also pain. So, my question is because those are the new products and we have a couple of competitors as well, with the good balance sheet. So, they are also in this same-space. So, my question to Mr. Ashish ji, sir could you please share your thoughts and give us some light about your planning about the products that we recently introduced, especially into the B2C segment?

Ashish Deora — Founder and Chief Executive Officer

Of course, Vipul Ji, this B2C segment is always the tough segment. The gap with what is becoming higher and higher with time. Effectively to garner INR1 of revenue companies are spending more than INR1, that sometimes INR10 to garner INR1 of revenue. We definitely — we definitely do realize that and while, while realizing that we have products in [Technical Issues] but also our own philosophy and DNA doesn’t allow us to spend a lot on the on the consumer acquisition cost which is typically something to. So, if you look at the KuberX, for us KuberX is a loan [Phonetic] navigation product. If you look at Instahome, with Instahome, we are trying to solve the secondly homes market, which according to us nobody has been able to until now. And with AurumLiv, we are trying to solve the primary segment market.

To my mind, The AurumLiv is that much easier with lesser customer acquisition costs. Then comes the KuberX and then comes Instahome. What we are getting is a tremendous amount of support and feedback and [Technical Issues] of videos of own company which we integrate with this B2C products and then we kind of rollout the body. So, for example, KuberX can also work with [Technical Issues] AurumLiv home buyers because 0, 0 TAC, because whoever is buying homes on AurumLiv and — and BeyondWalls also generally home loan. And that is why connect between KuberX and BeyondWalls and so on and so forth. So, this is the way we are building the B2C — B2C products. Our ramp up on B2C products will be not as fast as the other products. But it will definitely be more sustainable, with more, more cash — cash conservative approach then the other companies. This is what our strategy has been on the two products.

Also, we are now in-process of launching data products which is called Aurum DataHub, which is again a B2C data product, which we think brings tremendous value for our home buyers and whether it is primary or secondary and that also helps, KuberX, Instahome and AurumLiv because of the knowledge that Aurum DataHub will provide to the potential homebuyers or people who are also wanting to rent home. So, we have — we have I think a 360-degree strategy on how to keep the [Technical Issues] low and at the same point of time, run this B2C digital products. These are early days, we feel very confident, but I think these are early days on how we kind of approach this.

Vipul Aurora — Individual Investor — Analyst

Okay, makes sense. And the second part of my question is now, we have couple of partner companies and the synergies will definitely be like working each other. So, are you going to face any kind of challenges to being the managing the particular founders at the same place with the same mindset that you have in your mind, especially with the partner companies?

Ashish Deora — Founder and Chief Executive Officer

Vipul, look, there are always challenges, right. Whenever there will be people involved there will be challenges. Even — even with all team members, they can be challenges. So, I can’t say that there are no challenges or zero challenges. But maybe that we are being able to bring value to be to our partners, or to the founders or to our management team or not, that’s it. And the good thing about the tech business is that it can be collaborative. It can be very [Foreign Speech] scenario. So, for example, BeyondWalls, which was the first — first company that we had worked with and we partnered with, now they end up working with us for — also for along with KuberX, right. Also, they are now working with, they are helping the companies Shriram Properties to come into Pune because Aurum also acquired 16% in Shriram properties not Aurum PropTech, but the holding company of Aurum also acquired 15% per second Shriram Properties. So, they are also now kind of working with Shriram Properties in Pune.

So, this is — this is the ecosystem that we talk about. I think if the founders and the management team is busy more-and-more challenges than they are, that challenges we pose for each other. And that is what we are trying to work.

Vipul Aurora — Individual Investor — Analyst

Okay. alright. Especially you just pointed out, like the clients especially Shriram Properties as well Aurum Analytica has great client base. So, are we also trying to cross-sell the products which indefinitely matching to the clients? Are we able to cross-sell in some point of time, maybe not today or coming future as well?

Hirenkumar Ladva — EVP of Investments

Yes, that’s definitely still the plan. Having said that, yes we are very cautious about the right securities. So, one key element and in the previous synergies, we have called the about platform called Aurum Entrepreneur Forum where we actually get these founders to — to talk about those synergies common go-to-market strategies and plans. So, they are already including for Aurum Analytica as well as other organizations. Those — and those synergies, are those joint go-to-market plans [Technical Issues] have been called out, ironed out and then the POC are underway. So that’s definitely there on the cards, that’s one of the pillars of the ecosystem collaboration that we have. So, you’re right. Yes, we are working on those. Well, thank you. One request to [Speech Overlap]…

Ashish Deora — Founder and Chief Executive Officer

Also, what we are doing is we are keeping a keen eye on numbers. What it does is that is effectively, we have seen that companies growing two to three times in 18 to 24 months. That is what we have seeing from the time that we have acquired, or invested, started to partner with them. And — and we are just kind of ensuring that the growth trajectory is continuing with each product, with each company, with each B2C product exactly. And I think — I think that — that growth focus without losing too much capital instead of getting everybody together to help each other in that collaborative fashion, which we done through automatic forum, which Hiren was talking about.

Vipul Aurora — Individual Investor — Analyst

Definitely, yes really mix such kind of platform which basically collaborates by [Technical Issues]. Just one request to management if possible, sir can you please, can you even though in a not today, but future you can invite the investor, so that we can meet you as to face to face would be really great. Thank you.

Ashish Deora — Founder and Chief Executive Officer

Yeah, sure. We will try our best. Thank you, Vipul.

Operator

Thank you. The next question is from the line of Devang Jogani [Phonetic] from Devang Management Private Limited [Phonetic]. Please go ahead.

Devang Jogani — Devang Management Private Limited — Analyst

Good evening, everyone. My question is for the Aurum Instahome. So, how can we compete competitors like 99acres and the pre-established people in the sector with Aurum Instahome app. Are we planning to beat them or are we planning to build a different consumer base altogether?

Hirenkumar Ladva — EVP of Investments

Thanks, Devang, for the question. Just to clarify, we actually do not within sounds [Phonetic] we do not compete with 99acres. They offering is completely different. They are listing platform. Yes, potential buyers able to meet potential sellers, right. It could be C2C. It could be B2C. Whereas Instahome is a pure C2C transaction platform that we are aiming to build, right where somebody who wanting to sell their inventory sell their residential unit is able to reach-out to a potential buyer, right and that’s the offering there. And so in a way we do not compete in 99acres. Having said that, in the C2C residential sales market as Mr. Ashish was pointing out earlier, it’s a problem that remains to be solved. And that’s the opportunity that we are actively trying to create platform solving for various fundamental challenges in this space, be it in the form of trust or the amount of time it takes to either sell or buy residential property in secondary sales. These are some of the challenges that we are aiming to solve it with our tech platform.

Devang Jogani — Devang Management Private Limited — Analyst

Okay.

Vanessa Fernandes — Manager- Mergers and Acquisitions

[Technical Issues] idea, so the primary residential market generally app in India averages to around 2.5 lakh units being sold on a yearly basis. If you take of [Technical Issues] and assume a 2% growth on that the primary market accounts were about a INR4,000 crores markedly on an yearly basis. So, we are taking a similar number for the secondary market or if it’s a 4,000 crore brokerage market available for everybody and they just started on the updates.

Devang Jogani — Devang Management Private Limited — Analyst

Okay, thank you. I had another question for the HelloWorld which we are having. So, HelloWorld is being a star performer for us for a very long-time since we have acquired it. So are we planning to make it available in more cities like it’s available in 15 cities as of now, right?

Hirenkumar Ladva — EVP of Investments

Right.

Devang Jogani — Devang Management Private Limited — Analyst

So are we expanding — expanding it in different cities or are we planning to have more of it in the current cities only? Like more branches of it in the current cities that are already existing or tapping new cities altogether.

Ashish Deora — Founder and Chief Executive Officer

This is Ashish here. On-boarding a [Technical Issues] for any of the companies including HelloWorld is a major decision. Because it’s very easy to expand and very difficult to maintain, and then even more tougher to shut our operations that are there. Because we believe that, I think we are in a very sweet spot with the 15 odd cities that — that HelloWorld currently operates in. Of course, we review this on a monthly basis. You might see one or two cities kind of being replaced by two or three cities, this 15 number might become 16, 17 or 18, but it definitely — there is definitely no plan or strategy to be present in more than 20 cities, even in next two or three years.

The reason behind that is that it is an operations heavy business, it does have a brand that is put upon that. So, we want to be very careful on what kind of value are we providing to the users of HelloWorld. And if you expand into more cities, then that we believe can get a little diluted. So, we’ll go slow. I think 15 cities, in any case you — you are covering a very large, large part of the country per say from our point-of-view of the total [Indecipherable] that we have. And I think — I think we at, HelloWorld, are at sweet spot-on that.

Hirenkumar Ladva — EVP of Investments

To add to that, our choice of supply, which is not just at the city-level, but also at the locality level is to ensure that you have critical mass of properties, as well as tenants. End-of-the day, it’s all about unit economics and the operational efficiency, right. So, signal unit in our large micro locality or very few units in a — in a smaller city with — in a city with smaller potential, I think those are the kind of equation that we do not want to get into, and that’s why we are very cautious and that’s why the choice of 15 cities at the moment. The moment we see that the demand of co living as a segment, right, starts growing in particular city, where there is tremendous employment generation of the right target segment that we have, we will definitely keep our eyes open.

Devang Jogani — Devang Management Private Limited — Analyst

Okay, thank you so much. That answers my question.

Operator

Thank you. As there are no further questions, I would now like to hand over the conference over to Vanessa Fernandes for closing comments.

Vanessa Fernandes — Manager- Mergers and Acquisitions

We thank all the participants who have joined us today and you all have kept on continuously tracking us over the past four quarters. We thank you for your continued interest and we look-forward to seeing you again in the next call. Thank you very much. Have a good evening ahead.

Hirenkumar Ladva — EVP of Investments

Thank you, so much.

Ashish Deora — Founder and Chief Executive Officer

Thank you.

Hirenkumar Ladva — EVP of Investments

[Operator Closing Remarks]