Dear Unitholders,

As we celebrated the third anniversary of Cube InvIT's listing in April 2026, it offered an opportunity to reflect on how far the platform has progressed and, more importantly, where it is headed.

Over the past three years, Cube InvIT has evolved from a recently listed infrastructure trust into one of India's largest and most diversified road InvIT platforms. Over the course of this journey, we have remained focused on a simple objective: establishing a resilient institution anchored by high-quality assets, judicious financial management, disciplined capital allocation, and a resolute allegiance to governance and long-term value creation.

The progress achieved during this period provides a firm foundation for the next phase of growth. Since listing, the Trust has expanded significantly in scale, strengthened the quality and diversification of its portfolio, delivered consistent distributions to investors, maintained AAA-rated credit quality, and established a visible pipeline for future growth. Over the same period, Net Asset Value has increased from INR 100 per unit to INR 145.77 per unit, while cumulative distributions of INR 34.86 per unit have been paid to unitholders.

These outcomes are not the result of any single acquisition, financing transaction, or financial year. They are the product of a disciplined approach to capital allocation, prudent balance sheet management, operational excellence, and a long-term commitment to creating sustainable value.

One lesson has become increasingly clear over these three years. In infrastructure investing, outcomes are rarely determined by a single quarter, acquisition, or market cycle. They are defined by discipline applied consistently over long periods. In an environment increasingly focused on short-term outcomes, infrastructure remains one of the few asset classes where patience is often rewarded. The decisions that matter most are rarely those that improve next quarter's results; they are the ones that strengthen cash flow quality, boost resilience, and enhance value over many years. That perspective continues guiding our approach to acquisitions, financing, and capital allocation.

In many ways, this reflects the essence of the InvIT model itself. Infrastructure assets generate cash flows over decades rather than quarters, making them uniquely positioned to provide investors with a combination of regular income, inflation-linked growth, and long-term capital appreciation. We believe this equilibrium between stability and growth is becoming increasingly relevant in today's investment environment. FY 2026 represented another important step in that journey.

Creating Value through Scale and Financial Discipline

The Trust has maintained a balanced mix of toll and annuity assets, providing exposure to both economic growth and predictable contracted cash flows. This combination of scale, diversification, and cash flow visibility remains one of Cube InvIT's defining strengths, positioning the platform well poised for future growth.

Delivering healthy financial performance

FY 2026 was another year of healthy financial performance. Consolidated income increased to INR 43,590 million, compared to INR 34,532 million in FY 2025, while consolidated EBITDA (i.e., Profit/(loss) before tax + Depreciation and amortisation expense + Finance costs) grew to INR 32,345 million, compared to INR 23,797 million in FY 2025. While toll revenue grew 10.6% y-o-y, traffic growth saw an increase of 8.1%, indicating the continued strength of the underlying portfolio.

Revenue growth was supported by healthy traffic growth across our toll assets, resilient toll collections, and stable performance across our annuity portfolio. Average daily toll collections reached INR 93.2 million during the year, with ETC collections at 96.93%, and all due annuity payments were received in full and on schedule.

The quality of our cash flows remains equally important as their growth. The portfolio benefits from geographic diversification, long concession tenures, inflation-linked revenue characteristics, and government-backed annuity payments.

These characteristics add to a resilient earnings profile that can enable sustainable distributions over the long term.

As an InvIT, we place particular emphasis on cash generation rather than accounting earnings alone. Metrics such as Net Distributable Cash Flow (NDCF) and Distribution Per Unit (DPU) provide a more meaningful measure of performance because they reflect the cash available for distribution after meeting operating, financing, maintenance, and regulatory obligations.

A Track Record of Value Creation

The ultimate measure of any investment platform is the value it creates for its investors. During FY 2026, Cube InvIT declared a distribution of INR 13.77 per unit, representing the highest annual distribution since its listing. We believe these outcomes reflect that infrastructure investing need not involve a trade-off between income and growth. Well-selected infrastructure assets can generate stable, predictable distributions alongside benefiting from traffic growth, inflation-linked tariff revisions, operating efficiencies, and value-accretive acquisitions.

Capital Balancing Today’s Return and Tomorrow’s Growth

At the heart of our financial strategy lies a simple but important principle: every rupee generated by the portfolio must be allocated thoughtfully. Our capital allocation framework is built around four priorities: sustaining distributions, strengthening the balance sheet, funding value-accretive acquisitions, and preserving adequate liquidity.

As the platform continues to scale, retaining the right balance between these priorities becomes increasingly important. We remain focused on ensuring that growth enhances value rather than merely increasing size

Building a Durable Balance Sheet

FY 2026 was characterized by changing interest rate expectations and transforming market conditions. Against this backdrop, active liability management remained a key area of focus.

Our weighted average cost of debt declined from 8.19% to 7.53% during the year, supported by refinancing initiatives and access to competitively priced capital. We also increased the proportion of fixed-rate borrowings, improving visibility over future financing costs and reducing exposure to interest rate volatility.

Cube InvIT ended the year with gross borrowings of INR 177.6 billion and a healthy Debt Service Coverage Ratio of 1.99** times. Equally important, we have continued to diversify our funding sources. What was once primarily a bank-funded platform now benefits from relationships across banks, insurance companies, mutual funds, development finance institutions, and capital market investors. Such diversification enhances funding flexibility, improves refinancing resilience, and promotes long-term scalability.

The reaffirmation of AAA/Stable credit ratings by CRISIL, ICRA, and India Ratings reflects the strength of our cash flows, prudent leverage philosophy, disciplined liquidity management, and governance framework.

Strong governance is not a compliance exercise; it is a cost-of-capital advantage. Investors place a premium on transparency, predictability, and trust, particularly in long-duration infrastructure assets. We believe the cost of capital is a strategic advantage. Every improvement in financing efficiency strengthens our ability to compete for assets, support distributions, and increase investor returns.

Institutionalizing the Platform

One of the most significant developments during FY 2026 was the continued progress towards transitioning Cube InvIT into a publicly listed InvIT structure. We believe InvITs will play an important role in this transformation by connecting the country’s infrastructure ambitions with investors pursuing predictable income, inflation-linked growth, and long-duration cash flows.

Over the past several years, considerable effort has been invested in strengthening internal controls, treasury processes, risk management systems, valuation governance, and reporting frameworks. These investments have helped build a platform capable of meeting the expectations of a broad and sophisticated investor base.

The opportunity ahead

India is entering a defining decade for infrastructure growth and monetization. Continued economic growth, rising freight movement, increasing vehicle ownership, expanding logistics networks, and sustained public investment within transportation infrastructure are expected to support long-term demand for high-quality road assets.

At the same time, the infrastructure monetization agenda is creating a growing pipeline of operational assets that can be recycled into InvIT structures. This structural trend is deepening the InvIT ecosystem, attracting both domestic and international capital, and reinforcing InvITs’ role as an important bridge between infrastructure growth and long-term savings.

Cube InvIT is well-positioned to capitalize on this opportunity, given its scale, operating platform, acquisition capabilities, financing flexibility, and track record of disciplined execution.

Peering Ahead

Cube InvIT enters FY 2027 from a position of strength, supported by a diversified portfolio, a visible acquisition pipeline, strong liquidity, and a solid balance sheet.

Our priorities for the year ahead remain clear: complete the transition to a publicly listed structure, execute committed acquisitions, optimize financing costs, maintain prudent leverage, strengthen governance standards, and sustain attractive distributions for our unitholders.

While market conditions may evolve, our approach will remain unchanged. Every financing decision, acquisition opportunity, and capital allocation choice will continue to be evaluated through a single lens: whether it strengthens the platform’s quality, resilience, and long-term value.

Gratitude

I want to convey my sincere gratitude to our unitholders, regulators, Board members, lenders, business partners, and colleagues for their persistent trust and support.

Infrastructure assets are measured in decades, not quarters. The roads within our portfolio will continue to facilitate commerce, connect communities, and sustain economic growth long after current market cycles have faded. The same long-term perspective guides our stewardship of capital.

The true value of infrastructure is often invisible. It lies in the commerce it enables, the communities it connects, and the opportunities it creates. As custodians of these assets, our responsibility goes beyond financial stewardship. It is to ensure that the capital entrusted to us continues to deliver sustained value to investors and society alike.

As Cube InvIT enters its next phase of growth, we remain committed to managing your capital with discipline, transparency, and integrity while continuing to build a stronger institution capable of delivering sustainable returns for many years to come.

Cordially yours,

Pankaj Vasani

Group Chief Financial Officer