ADF Foods Limited — Q3 FY26

ADF Foods Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=ph71ReoJ7eo Published: 3 months ago

0:01 1 second Ladies and gentlemen, good day and welcome to the ADF Foods Limited Q3 and 9 month FY26 earnings conference call. 0:11 11 seconds As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to 0:18 18 seconds ask questions after the presentation concludes. Should you need assistance during this conference call, please 0:26 26 seconds signal an operator by pressing star then zero on your touchstone phone. Please note that this conference is being 0:34 34 seconds recorded. I now hand the conference over to Mr. Ravi Udeshi from EY. Thank you and over to you sir. 0:42 42 seconds Thank you Palak and good afternoon everyone. We welcome you to the Q3 and 9 months FY26 earnings conference call of 0:51 51 seconds ADF Foods Limited. To take us through the results and to answer your questions, we have with us today the top management of ADF Foods Limited 0:59 59 seconds represented by Mr. Biml Tucker the promoter, chairman, manager and CEO. Mr. 1:05 1 minute, 5 seconds Sumeir Takar, the promoter, vice president sales and strategy and Mr. 1:10 1 minute, 10 seconds Sinas Ayagari the chief financial officer. We will start the call with an overview of the business and the recent updates by Mr. 1:20 1 minute, 20 seconds Bimal Takar and then Mr. Siniwas will give his comments on the financials. As usual, the standard safe harbor clause 1:29 1 minute, 29 seconds applies while we start a call. With that said, I now hand over the call to Biml. Over to you Biml. 1:37 1 minute, 37 seconds Uh thank you Ravi. Good afternoon everyone. Firstly, I would like to introduce our new CFO Mr. Shini Ayagari 1:46 1 minute, 46 seconds on the call. I welcome him to the ADF family. 1:51 1 minute, 51 seconds On the results front, we delivered a strong performance in Q3 FI26 with consolidated revenues reaching an 1:59 1 minute, 59 seconds all-time high of 191 crores, representing a robust 29 a.5% 2:06 2 minutes, 6 seconds year-on-year growth. On a standalone basis, revenues increased by 13.3% yearonear to 137.2 crores. 2:17 2 minutes, 17 seconds The momentum was fueled by continued traction from listings secured in the past few quarters and send strengthening 2:24 2 minutes, 24 seconds our brand penetration across all our key markets. 2:29 2 minutes, 29 seconds Despite prevailing tariff challenges, our US business continues to show substantial progress, benefiting from 2:36 2 minutes, 36 seconds the enhancement of our sales force and strategic distri distributor level changes implemented at the beginning of this financial year. 2:45 2 minutes, 45 seconds Our consolidated ebidla has also reached a record of 37.1 crores with healthy margins of 19.4%. 2:55 2 minutes, 55 seconds On a standalone basis, Evita increased by 35.1% to 34.4 crores. 3:03 3 minutes, 3 seconds This was driven by an improved product mix and continued focus on cost optimization. 3:10 3 minutes, 10 seconds Our flagship brand Ashoka continues to strengthen its market presence and our mainstream brand Truly Indian has exceeded expectations with a marked acceleration in its growth trajectory. 3:22 3 minutes, 22 seconds We have successfully completed pilot runs at our upcoming Surat Greenfield facility and phase one is on track to 3:30 3 minutes, 30 seconds become fully operational by Q4 of financial year 26. 3:35 3 minutes, 35 seconds We continue to witness strong brandled traction supported by deeper penetration and with our sustained focus on 3:44 3 minutes, 44 seconds execution excellence and operational discipline. We remain cautiously optimistic in our ability to maintain the current growth trajectory over the long term. 3:54 3 minutes, 54 seconds I will now hand over to Shini our CFO who will comment on the financials. Thank you. Over to you Shini. 4:02 4 minutes, 2 seconds Thank you B. excited to be a part of the ADF family. Good afternoon to all of you. I will first share the consolidated 4:11 4 minutes, 11 seconds performance results for Q3 FI26. The consolidated revenues reached a record 4:17 4 minutes, 17 seconds high of INR 191 crores, marking a 29.5% increase yearon year and a 17.5% 4:25 4 minutes, 25 seconds increase quarteron quarter. Consolidated AIA for the quarter was a record INR 4:32 4 minutes, 32 seconds 37.1 crores which is a 40.6% increase from the previous years. Abita 4:39 4 minutes, 39 seconds margin was 19.4% which has increased by 150 bips yearonear and a decrease of 260 bips 4:47 4 minutes, 47 seconds quarteron quarter. The consolidated pad excluding exceptional items for the quarter was INR 29.2 crores. This 4:55 4 minutes, 55 seconds represents a 55.7% increase yearon-year and a 10.7% increase quarteron quarter. The resulting PAT margin was 15.3%. 5:06 5 minutes, 6 seconds This PAT excludes exceptional items of INR 6.8 crores which is a one-time charge for changes in Indian labor code. 5:17 5 minutes, 17 seconds Coming to the 9 months performance, our revenues from operations were INR 486.5 5:24 5 minutes, 24 seconds crores up 13% yearon year. EITA was INR 96.4 crores registering an increase of 5:33 5 minutes, 33 seconds 30.8% yearonear. AITA margin was 19.8% and increase of 270 BIPS yearon-year 5:42 5 minutes, 42 seconds basis. Pat excluding exceptional items was INR 70.8 crores up 31.1% with a PAT margin of 14.6%. 5:54 5 minutes, 54 seconds I now move to standalone results. In the third quarter of the physical year 2026, standalone revenues were INR 137.2 6:04 6 minutes, 4 seconds crores reflecting 13.3% year-on-year growth and a 2% sequential decrease. The company's AITA for the 6:12 6 minutes, 12 seconds quarter was 34.4 crores which is a 35.1% increase yearon year and 8.7% 6:22 6 minutes, 22 seconds sequential decrease. The AITA margin was 25.1% and increase of 400 bips yearonear pat 6:31 6 minutes, 31 seconds excluding exceptional item for the quarter was INR 27.2 crores with a pat margin of 19.8%. 6:40 6 minutes, 40 seconds As highlighted by Bimmel, the margins increased due to improved product mix and continued focus on cost optimization. 6:48 6 minutes, 48 seconds For the 9 months ended 31 March 2025, standalone result operations were INR 6:56 6 minutes, 56 seconds 377.6 crores up 9.9% yearon year. AITA was INR 94.6 crores a growth of 24.5%. 7:08 7 minutes, 8 seconds AITA margin stood at 25% an increase of 290 bits and PAT excluding exceptional item was 7:17 7 minutes, 17 seconds INR 73.9 crores up 26% with PAT margin of 19.6%. 7:24 7 minutes, 24 seconds As mentioned in the past we continue to invest in our brands and capabilities as an investment for future growth. This is 7:32 7 minutes, 32 seconds already bearing results. Our flagship brand Ashoka continues to drive growth from core and emerging markets through 7:40 7 minutes, 40 seconds focused market engagement and deeper market penetration supported by strengthened teams. As previously announced, our global mainstream brand 7:49 7 minutes, 49 seconds Truly Indian is performing extremely well with a significant ramp up in its growth trajectory. This growth is 7:57 7 minutes, 57 seconds arising from its listings in prominent supermarket chains including Whole Foods Market, Costco, Albertson Safeway, HB, 8:05 8 minutes, 5 seconds Stop and Shop, Giant Eagle, and various other chains. The brand is available in 8:12 8 minutes, 12 seconds more than 2,000 stores across the United States. 8:17 8 minutes, 17 seconds The company's capital expenditure program is on track. The Surak Greenfield plant has completed pilot runs and phase 1 is on track to be operational by Q4 FI26. 8:29 8 minutes, 29 seconds With this, I now return to Ravi Udishi to open the floor for question and answers. Thank you. 8:52 8 minutes, 52 seconds Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press 9:00 9 minutes star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are 9:09 9 minutes, 9 seconds requested to use handsets while asking a question. Ladies and gentlemen, in order to ensure that management is able to 9:17 9 minutes, 17 seconds address questions from all the participants in the conference call, please limit your question to two per participant. Ladies and gentlemen, we 9:26 9 minutes, 26 seconds will wait for a moment while the question Q assembles. 9:41 9 minutes, 41 seconds The first question is from the line of British from Lucky Investments. Please go ahead. 9:48 9 minutes, 48 seconds Yes sir. Uh few questions. uh one uh you know what explains the variability in 9:55 9 minutes, 55 seconds your revenue growth uh you know you know when you look at the 9 month versus the quarter and you know it's it's a it's it 10:02 10 minutes, 2 seconds always happens in a lot of quarters in the past also is it to do with the way this channel filling happens because you 10:10 10 minutes, 10 seconds have to send the goods uh offshore so easy is it to do with that and hence one should look at uh you know a bunch of 10:18 10 minutes, 18 seconds quarters as your number rather than looking at a particular the quarter that's first question second you are constrained by capacity but uh when I 10:26 10 minutes, 26 seconds look at this quarter number is the highest revenue so maybe you want to as absolute number uh so I was just unable 10:33 10 minutes, 33 seconds to correlate between constraining capacity and this 190 number I have this another couple of questions 10:39 10 minutes, 39 seconds but maybe you want to answer these first yeah u so uh as far as uh the quarter 10:48 10 minutes, 48 seconds and quarter performance goes. So typically uh the second quarter and the fourth quarter are where you will see a 10:57 10 minutes, 57 seconds bump up happening because of the festive season sales. So you have quarter two 11:03 11 minutes, 3 seconds typically leads into Diwali and quarter uh three or quarter four depending on 11:10 11 minutes, 10 seconds the time Ramadan comes in that's another uh period where you have a slight bump 11:17 11 minutes, 17 seconds up in sales right so I was asking you more from a Y 11:27 11 minutes, 27 seconds growth perspective and not quote unquote quote unquote I understand the seasonality but from a Y perspective when you look when you map your growth 11:36 11 minutes, 36 seconds numbers a particular quarter is a single digit number and a particular quarter is a high double digit number so there is 11:43 11 minutes, 43 seconds to do with uh the way the channel frequently tends to fill it fill itself us whereby the variability in our 11:50 11 minutes, 50 seconds numbers come no so for example this year first quarter 11:58 11 minutes, 58 seconds uh because Hello. Yes sir. 12:06 12 minutes, 6 seconds Yeah. Yeah. this year's first quarter because of our uh GPCB issues the 12:14 12 minutes, 14 seconds production was at a low otherwise the first quarter also of this year should have been much higher and some of the 12:22 12 minutes, 22 seconds variances you will find is because if there are some new listings which have taken place in some quarter you'll see a bump up in sales happening over the 12:31 12 minutes, 31 seconds previous year beyond okay and what explains the absolute and the capacity constraint. 12:41 12 minutes, 41 seconds Well, the capacity constraint is there on a few few items, few lines, not on everything else. But you know, with the 12:49 12 minutes, 49 seconds debottlenecking which we have uh been doing over the last one year, we've been able to uh overcome that. So it was on a 12:58 12 minutes, 58 seconds couple of our products where that debotting has happened. Uh so this quarter you've seen that we've been able 13:06 13 minutes, 6 seconds to uh you know grow much much more and this has been our best quarter uh so far for the company's history and now with 13:15 13 minutes, 15 seconds the Surat plant edition also coming in we will further have uh more capacity available with us. Okay. Now on the sur 13:24 13 minutes, 24 seconds plant uh you know you had a capacity just last question on the sur plant and the capacity 13:33 13 minutes, 33 seconds constraint uh you know are you adding any new products you know whereby your growth rate will look different from 13:40 13 minutes, 40 seconds what you have in the past uh a slightly accelerated growth rate or the solar plant just you know addresses your 13:49 13 minutes, 49 seconds capacity constraint and you still grow at the growth rate that you have been growing in the past and your growth rate has been you know closer to 12%. Yeah. 14:00 14 minutes Yeah. So the Surat plant is going to have two new product lines. One is getting completed in phase one. So from 14:09 14 minutes, 9 seconds uh in fact from March onwards one new product line is going to come out of the Sudat plant. 14:17 14 minutes, 17 seconds And some of the existing product capacity expansion is also happening at the Surat plant. And the second new 14:24 14 minutes, 24 seconds product line which is going to be there in the Surat plant will uh be done in Q2 of the next financial year. So it's a 14:34 14 minutes, 34 seconds combination of both that will happen. So there are two new product lines and uh some of the existing product lines for the capacity increase. 14:43 14 minutes, 43 seconds So one product line this year and one product line next year. 14:48 14 minutes, 48 seconds Correct. And what are these product links? 14:53 14 minutes, 53 seconds So these are also all frozen products which we are doing. Uh so there are some frozen breads which we have added on new 15:01 15 minutes, 1 second types which will be launched in the market soon. 15:05 15 minutes, 5 seconds Will it improve the growth rate from Sorry to interrupt you sir. Maybe request ma'am. The idea is 15:13 15 minutes, 13 seconds the idea is that uh helps us uh grow our business and uh we are able to address a 15:21 15 minutes, 21 seconds much wider uh target consumer group as well. Oh thank you very much. Thank you ma'am. 15:29 15 minutes, 29 seconds Thank you sir. Thank you. 15:31 15 minutes, 31 seconds The next question is from the line of Aish Tari from Vario. Please go ahead. 15:38 15 minutes, 38 seconds Hi uh can you uh explain the demand conditions in your end market uh how 15:45 15 minutes, 45 seconds they have been trending uh last quarter, second quarter and uh as you move in January um that will be super helpful. 15:57 15 minutes, 57 seconds Oh uh I mean you know as you all know uh America is one of our major markets and 16:06 16 minutes, 6 seconds uh I'm really happy to say that even with the tariff situation the demand has been uh fairly robust and uh overall the 16:16 16 minutes, 16 seconds demand continues to be robust for uh our products and our product line and ethnic Indian foods uh is gaining 16:26 16 minutes, 26 seconds a lot of popularity within the mainstream clientele as well which is where you're seeing the growth uh coming in for the truly Indian brand in the US. 16:35 16 minutes, 35 seconds Uh the this fourth quarter is also started off well. I mean we've had a good uh month in January as well and we 16:45 16 minutes, 45 seconds feel fairly optimistic that this will now continue to uh now with the tariff situation also getting cleared off we 16:53 16 minutes, 53 seconds feel fairly confident that we will have a good robust demand on our products. 17:00 17 minutes Second question I had was related to the tariff related pricing increase which happened and also the margin uh if we 17:08 17 minutes, 8 seconds see uh Q2 was very high and then Q3 is lower. Um so can you just combine these two uh now because the tariffs are go 17:16 17 minutes, 16 seconds they go away then the end prices comes down uh will that help you on the demand side otherwise you could have been ahead and what is what explains this margin 17:25 17 minutes, 25 seconds volatility we are seeing in Q2 and Q3 so u on the margin front if you see uh 17:35 17 minutes, 35 seconds between Q2 and Q3 our standalone sales uh if you look at the standalone revenues, the margins on the standalone 17:44 17 minutes, 44 seconds have in fact improved uh and the consolidated margins have come down because this Q3 the sales of the 17:54 17 minutes, 54 seconds subsidiaries which includes our distribution business and also uh the truly Indian brand business. It's 18:02 18 minutes, 2 seconds because of that that you've seen uh on on a consolidated basis there has been a margin reduction. Uh but otherwise on a 18:10 18 minutes, 10 seconds standalone basis the margins continue to remain strong and sorry what was the other question you had? 18:19 18 minutes, 19 seconds Now the tariff if they go away your end consumer prices will be down earlier they were up. So was there any 18:26 18 minutes, 26 seconds elasticity on demand which was observed earlier and would you expect now it to help you out? 18:33 18 minutes, 33 seconds Well, uh definitely what will happen now is you know there were a lot of new products which we wanted to present to 18:40 18 minutes, 40 seconds the supermarkets but because of the uncertainty on tariff we refrain from doing that. Now with now with the 18:48 18 minutes, 48 seconds clarity being there we will be aggressively pitching new products to the supermarkets and uh we didn't see 18:57 18 minutes, 57 seconds any kind of reduction in demand which is where you saw the growth in the Q3 business as well even with the price 19:04 19 minutes, 4 seconds increase happening uh the the consu the consumer demand continued strong and uh 19:11 19 minutes, 11 seconds now with this clarity I think uh we will have a lot more product offering ings uh to the supermarkets. So we feel uh 19:21 19 minutes, 21 seconds fairly uh confident that this is going to help us further grow our business. 19:28 19 minutes, 28 seconds Great. Thank you. Thank you sir. 19:32 19 minutes, 32 seconds The next question is from the line of Chit Malu from Genuity Capital. Please go ahead. Hello sir. Am I? 19:41 19 minutes, 41 seconds Yes sir. 19:43 19 minutes, 43 seconds Hi. I have question regarding the capacity utilization. So what was the utilization in Q3? 19:52 19 minutes, 52 seconds So you know uh in Q3 we were it again we have many products. So but at an overall 19:59 19 minutes, 59 seconds weighted weighted average I would say with the increase now uh on the debottlenecking we were probably at 20:07 20 minutes, 7 seconds about 70 75% on a weighted average and like uh this you were telling from a 20:13 20 minutes, 13 seconds 28,000 ton plant right I'm sorry I didn't hear you so like this 20:21 20 minutes, 21 seconds capacity is from the old plant and like going forward the addition that we are doing of 10,000 tons 20:28 20 minutes, 28 seconds So what kind of utilization we can expect in Q4? 20:33 20 minutes, 33 seconds Oh, the Q4 uh in fact it's just going to be in the month of March that we will start production you know in the second 20:41 20 minutes, 41 seconds week of March is when so it will just be a few weeks of uh uh shipments of that 20:48 20 minutes, 48 seconds uh new product line which we've gone it in in the next fiscal year we would uh 20:55 20 minutes, 55 seconds probably see around uh 30 to 40% capacity utilization because the there 21:03 21 minutes, 3 seconds is another product line as I mentioned which will only start in the the second quarter of next is clear. 21:12 21 minutes, 12 seconds Got it. So like I have just that calculated our realization per is it appro 2.6 lakh per 21:21 21 minutes, 21 seconds right you know I your voice is very muffled sorry I couldn't understand the question. So like I was trying 21:30 21 minutes, 30 seconds calculating the realization per turn. Hello. 21:38 21 minutes, 38 seconds Yes. So I got the number of 2.6 lakh per ton. 21:44 21 minutes, 44 seconds I calculated from the volume data and our capacity. So am I getting it right? 21:50 21 minutes, 50 seconds It it varies as per product line. Frozen generally tends to have a higher utilization. I mean a higher realization 21:58 21 minutes, 58 seconds but it completely varies as per product line spices can if possible can you quantify on broad basis 22:07 22 minutes, 7 seconds we typically don't give that information okay my last question is regarding 22:15 22 minutes, 15 seconds margin so what will be the impact of uh parents on aid the margin going forward 22:24 22 minutes, 24 seconds uh sorry I understand I can't understand your question. So uh but you know there are certain uh like 22:31 22 minutes, 31 seconds like Sumeare said uh it depend the realization on a per ton basis depends 22:38 22 minutes, 38 seconds on the product mix and we don't normally calculate based on a ton ton basis on a 22:45 22 minutes, 45 seconds weighted average on a uh so it depends on product category it depends on the product mix there are lots of variables 22:53 22 minutes, 53 seconds for a per metric ton price okay like just last One thing till now what kind of 23:00 23 minutes just one followup sorry sir please follow up your question in the question cue 23:07 23 minutes, 7 seconds okay the next question is from the line of bat s from quest investment advisor 23:14 23 minutes, 14 seconds private limited please go ahead hi thanks for the opportunity sir if you first my question is related to when 23:24 23 minutes, 24 seconds Indian librar uh where we were in investment phase. So how we are seeing and when do we really expect to it turn 23:33 23 minutes, 33 seconds a bit positive if you can [clears throat] give some guideline. 23:40 23 minutes, 40 seconds Yeah. So um you know uh based on the current trend which we are seeing 23:49 23 minutes, 49 seconds uh so if if you see our business model the the standalone company 23:56 23 minutes, 56 seconds sells the goods to the subsidiary. So there is a margin which the standalone company makes while selling goods to the 24:04 24 minutes, 4 seconds subsidiary and then there is a margin which the subsidiary makes while selling down to the supermarkets. 24:11 24 minutes, 11 seconds So when you add up both the margins uh of both the companies we will see a break even happening in about 18 months. 24:21 24 minutes, 21 seconds uh if you look at it just on a subsidiary level uh then you will see a break even after 3 years. 24:39 24 minutes, 39 seconds The next question is from the line of Hitesh Randava from CAGR Quest Capital. Please go ahead. 24:47 24 minutes, 47 seconds Am I audible? Yes sir. Please go ahead. Hi. 24:52 24 minutes, 52 seconds Okay. Yeah. Hi. So my I've got two questions. My first questions is uh is on tariffs. So in the last conqueror basically you alluded towards uh that we 25:00 25 minutes are not taking any tariff and the entire uh tariff is boned by distributors and it will be passed on to the consumers. 25:07 25 minutes, 7 seconds So now that the tariff has come down so basically my question is that does this uh can this increase our margins going 25:15 25 minutes, 15 seconds forward as far as the US business is concerned. And why I ask this is that because for example uh for a $2 product 25:22 25 minutes, 22 seconds if due to tariff you had increased the product price to say maybe $3 50% tariff and the entire tariff increase was 25:30 25 minutes, 30 seconds absorbed by the consumers. Ours is a product which is maybe closer to necessity uh our end segment target 25:38 25 minutes, 38 seconds segment consumer segment can afford to kind of absorb those prices and as well as it's not a very high ticket price 25:44 25 minutes, 44 seconds product. So uh the end price is there a possibility wherein the uh end price remains the same and the certain part of 25:53 25 minutes, 53 seconds tariff is shared between the distributor and our company and thereby increasing our margins. 26:00 26 minutes So uh firstly you know the 50% tariff doesn't translate into a 50% price 26:07 26 minutes, 7 seconds increase at the MRP level. Okay. it translates that was just an example 30 26:14 26 minutes, 14 seconds yeah I'm just clarifying that it translates to a 25% price increase and secondly we did not uh we did not 26:24 26 minutes, 24 seconds increase I mean we did not reduce our price while selling uh during the tariff time our our price to our various 26:32 26 minutes, 32 seconds distributors is a CNS price so the tariff whatever the tariff price uh whatever tariff If they paid they put it 26:41 26 minutes, 41 seconds in their selling price and it's passed on directly to the consumer. Now whether after the firstly has a two or three 26:50 26 minutes, 50 seconds month uh uh holding uh I mean stock holding which they keep uh because of the transit time. So this price 27:00 27 minutes reduction if they decide to do and of course our sales team will encourage uh the distributors to reduce the sales 27:08 27 minutes, 8 seconds price. Uh that will only start happening after two two months or so. So yes it 27:15 27 minutes, 15 seconds will uh definitely help in increasing uh sales going forward. Uh but like you 27:22 27 minutes, 22 seconds said you know our products are low price products. So if at all any reduction is there it'll be 20 25 cents uh at the 27:31 27 minutes, 31 seconds consumer end. So I don't know how much that will help in uh further uptake but it's still a positive thing. Yeah. 27:38 27 minutes, 38 seconds Yeah. Yeah. So but but but my question was different say kind of is it possible that okay we don't uh reduce the end product price and whatever benefit that 27:46 27 minutes, 46 seconds we get due to the the tariff delta reduction uh kind of the uh the distributor and the company shares it and we benefit out of it. 27:56 27 minutes, 56 seconds So as I mentioned you know uh the increase in price has happened at the distributor level not at our level right. 28:04 28 minutes, 4 seconds Okay. Our price our margins are okay. Yeah I [clears throat] get that. Yeah. 28:10 28 minutes, 10 seconds Okay. Sure. And uh the second question is around say kind of I think in your presentation you mentioned the potential to reach 1,000 crores by FYI 27 and in 28:20 28 minutes, 20 seconds in the past as well kind of uh couple of conos you have spoken about reaching 1,000 crores by FY27. So uh do you think 28:28 28 minutes, 28 seconds we would be able to achieve that uh in the coming financial year given the sur capacity increase or 28:36 28 minutes, 36 seconds so we feel see for that 1,000 cr guidance we uh we feel fairly confident of being 28:44 28 minutes, 44 seconds able to achieve anywhere between uh 925 to a,000 crores. Uh the difference is 28:52 28 minutes, 52 seconds mainly because of the domestic market but we are reooking at our whole domestic market strategy and uh by the 29:02 29 minutes, 2 seconds second quarter of next year we will have uh a much better plan for our domestic 29:10 29 minutes, 10 seconds uh market which will if everything uh goes as planned then yeah the thousand cr number seems doable but otherwise we 29:19 29 minutes, 19 seconds feel fairly confident of uh anywhere between 925 to a,000 crs. 29:25 29 minutes, 25 seconds Okay. And in terms of margins kind of do you think we will remain around current 19% odd is it uh talking about annual 29:37 29 minutes, 37 seconds uh as you know we in all these new businesses we are in a uh investment mode. We've been investing in marketing 29:45 29 minutes, 45 seconds and we've been investing in people. So yes, we will continue to be uh having uh 29:53 29 minutes, 53 seconds margins in the high teens. We feel fairly confident of that. Sure. Thank you very much. 30:00 30 minutes Thank you sir. The next question is from the line of Bharat S from Quest Investment Advisor Private Limited. 30:08 30 minutes, 8 seconds Please go ahead. Hello. Am I audible sir? Yes sir. Please go ahead. 30:15 30 minutes, 15 seconds My question I mean for this sur line that is mainly for Ashoka or will 30:21 30 minutes, 21 seconds it be uh Indian truly how can you we can understand from that 30:28 30 minutes, 28 seconds so it'll be for both the brands uh it's not just exclusively for Ashoka it will be for both brands and maybe some amount 30:37 30 minutes, 37 seconds may even be towards some private label brands as well sorry sorry last can you repeat asked you said 30:46 30 minutes, 46 seconds I said it's for both the brands and also for certain private label brands which we do. 30:53 30 minutes, 53 seconds Okay. Okay. Great. And how are you seeing uh sorry to interrupt sir your voice is breaking. 31:03 31 minutes, 3 seconds Hello. Now am I audible? Yes sir. Please go ahead. 31:07 31 minutes, 7 seconds So my question is how are we seeing the demand in European market which is contributing roughly 30% of the sales. 31:15 31 minutes, 15 seconds So how what kind of attraction are we in misaging? 31:22 31 minutes, 22 seconds Uh again in in Europe also we are seeing uh a good uptake of our products. There are new listings which we are doing 31:30 31 minutes, 30 seconds there as well. So we uh even Europe continues to grow for us. UK and Europe is also growing for us. America is 31:38 31 minutes, 38 seconds growing faster but these markets are also growing for us. 31:42 31 minutes, 42 seconds Okay. And so how do we think about I mean uh exchange gain that which might have help us in this Q3. So how much was that on account of that exchange gain? 31:56 31 minutes, 56 seconds So can I take you? 31:59 31 minutes, 59 seconds Yeah. Yeah. Yeah. M yeah uh if you look at the numbers of Q2 uh the Q2 had a 32:05 32 minutes, 5 seconds higher exchange gain rate but coming Q3 the dollar has actually uh quite balanced out. So our gain has come down 32:14 32 minutes, 14 seconds in uh Q3. What we anticipate is the dollar with the rupee now uh strengthening for the coming quarters uh 32:23 32 minutes, 23 seconds we would not be having too much of a gain in terms of our uh forex. So that's our guidance for uh the coming quarters 32:31 32 minutes, 31 seconds and Q Q3 has very negligible amount of forex in our uh revenues and can you explain our hedging mechanism. 32:42 32 minutes, 42 seconds So uh we do not do any uh hedging uh whatever contracts we had uh we have 32:49 32 minutes, 49 seconds almost squared it up and uh it's very negligible hedging at uh our level. See we are a net exporter and most of our uh 33:00 33 minutes uh FGS actually go to the US markets or the European markets. So uh the rupee 33:08 33 minutes, 8 seconds has been weakening and the dollar has been strengthening. So our strategy is not to do hedge and basically there is always a depreciation which the rupee 33:16 33 minutes, 16 seconds has. So the gains of foreign exchange actually flow into our books. So we don't we are not actively hedging as of now. 33:25 33 minutes, 25 seconds My question uh last question is pertain to I mean we have a large 10 opportunity opportunity so to really 33:35 33 minutes, 35 seconds I mean encase those opportunity before I mean competition plugin so what are exactly we are doing I mean say for in 33:43 33 minutes, 43 seconds next couple of year that what would be our strategy for that so as you can see we've been investing 33:52 33 minutes, 52 seconds in brands We've been investing in people. Uh we are increasing our consumer base by catering to the 34:00 34 minutes mainstream market. Uh within the ethnic market, we are further increasing our 34:08 34 minutes, 8 seconds depth into stores, opening up new markets. So that's a continuous process and that's why you're seeing the growth happening. So we will continue to build on that. 34:18 34 minutes, 18 seconds Okay. And last question on how much interrupt you sir I request that you return to the question. 34:27 34 minutes, 27 seconds Thank you sir. The next question is from the line of Palavi from Samika. Please go ahead. 34:34 34 minutes, 34 seconds I s just wanted to understand what would be the share of frozen food and I understand we were operating at 100% 34:42 34 minutes, 42 seconds utilization. So would that share have come down because of that cotton cotton? 34:49 34 minutes, 49 seconds No, so as I mentioned to you uh uh earlier on, we were at about 75% capacity utilization in this last 34:57 34 minutes, 57 seconds quarter on a weighted average basis and frozen food continues is is uh a 35:03 35 minutes, 3 seconds dominant uh product uh range for in our entire portfolio and it accounts for 35:10 35 minutes, 10 seconds upwards of uh it's around 40% plus of our total revenues. 35:17 35 minutes, 17 seconds All right. So there is no capacity constraint on frozen as of now for the fourth quarter. Is that right? 35:25 35 minutes, 25 seconds No. We all the investments we did in debottlenecking etc has uh given us more capacity and now with the Surat plant 35:33 35 minutes, 33 seconds coming in that will further uh free up I mean give us more capacity. 35:39 35 minutes, 39 seconds And my second question would be what is the kind of realization increase you've seen on the frozen side uh year on year? 35:46 35 minutes, 46 seconds So I'm sorry what is that about realization 35:53 35 minutes, 53 seconds increase for frozen that we would have seen realization uh as in 36:01 36 minutes, 1 second I mean rupees per like whatever you know I'm sorry you know your voice is like the previous question he was asking 36:09 36 minutes, 9 seconds rated average realization per tan I'm saying realization yeah for the frozen section it's There's been this demand 36:17 36 minutes, 17 seconds for this. You've said earlier that frozen food is very good demand. So, have you been able to take price hikes? 36:26 36 minutes, 26 seconds Okay. I apologize but I am unable to hear you clearly. Sumei, have you all heard the questions and your response? 36:36 36 minutes, 36 seconds No, not really actually. 36:38 36 minutes, 38 seconds Hello. Ma'am, can you please use your handsets? 36:44 36 minutes, 44 seconds Yeah. Is this is this better? Hello. Yes, ma'am. Can you speak something? 36:52 36 minutes, 52 seconds Yeah. Is this better? Yeah. 36:54 36 minutes, 54 seconds I wanted to Yeah. I just wanted to understand that because we getting into the large uh 37:01 37 minutes, 1 second retail chains. So, what's the kind of realization uptake we would have seen? 37:06 37 minutes, 6 seconds So, I'm just looking at it you know one category maybe frozen foods. uh what's the price um increase in realization 37:13 37 minutes, 13 seconds basically for these categories uh that we've seen and uh my last question would be which are the new uh chains that are 37:20 37 minutes, 20 seconds we expecting to add in the fourth quarter any new so uh as far as the new chains go we we 37:30 37 minutes, 30 seconds continue to keep pitching to various uh chains and our goal is to continue to increase the number of uh outlets for 37:39 37 minutes, 39 seconds for the mainstream side. So I can't really it all depends on which chain gives us an opportunity for listing but 37:46 37 minutes, 46 seconds our efforts are on for continuously looking at growing our distribution and I couldn't understand your first 37:54 37 minutes, 54 seconds question in terms of realization uh right now I'm just trying to understand only on frozen food so that I take one 38:02 38 minutes, 2 seconds category and get a sense because uh that's the predominant category in these detail chains that's going to cost etc. 38:09 38 minutes, 9 seconds So what is the kind of price increase we've been able to get due to a shift to these larger retail chains? 38:18 38 minutes, 18 seconds So we haven't a companywide frozen food increase in realization per tan for frozen. 38:24 38 minutes, 24 seconds Typically frozen food for a Shoka brand operates at about a 605% margin. Truly Indian position slightly 38:31 38 minutes, 31 seconds more premium. So that's between 65 to 70%. But if you look at it at a IBIDA level because Truly Indian is in the brand building phase right now, we're spending a lot on marketing. 38:43 38 minutes, 43 seconds But in terms of gross margins, Truly Indian would be higher than Ashoka for for frozen foods. 38:50 38 minutes, 50 seconds Right. And so till when would the elevated marketing spends continue for uh Truly Indian or another year or more? 39:00 39 minutes No. No. So this is in the if we are still from the Indian is still in the investment phase and as I mentioned 39:07 39 minutes, 7 seconds it'll be about three years uh being in the FMCG space investment in brands is a 39:14 39 minutes, 14 seconds continuous and an ongoing process. When you're launching something new you know and for it to start showing results uh it it's a three to four year uh period. 39:26 39 minutes, 26 seconds So over the next 3 years, this brand will still continue to be in an investment mode. 39:32 39 minutes, 32 seconds Great. Yeah. Thank you, sir. I'll come back in the cube for more. Thank you ma'am. 39:38 39 minutes, 38 seconds The next question is from the line of Sid Patara from Autumn Investment and Infrastructure. Please go ahead. 39:48 39 minutes, 48 seconds Hello. Yes sir, please go ahead. 39:52 39 minutes, 52 seconds Yeah. Uh just on the earlier question sorry I I missed what were the numbers for uh the the realization for the various products if you could again uh help me with that. 40:04 40 minutes, 4 seconds No, we uh uh it all depends on the product mix. There are uh different realizations for different markets, for 40:13 40 minutes, 13 seconds different categories across. So there is Yeah. 40:17 40 minutes, 17 seconds Okay. So So if I ask this differently, can I know the highest realization that you're getting as of today? You you need 40:24 40 minutes, 24 seconds not name the product and the lowest realization that you're getting today. 40:30 40 minutes, 30 seconds So the premium brand the premium brand for us in our portfolio is the truly Indian brand. So 40:39 40 minutes, 39 seconds truly Indian in terms of realization is the highest and then we have the economy brand which is aeroplane which gets the lowest uh uh realization. 40:48 40 minutes, 48 seconds Okay. Okay. Sorry just one small question again. uh in terms of uh uh you know peaking of capacities uh are we 40:57 40 minutes, 57 seconds sort of peeking out on the higher realization bands or on the lower realization. 41:03 41 minutes, 3 seconds So we were uh peeking out more on the uh in certain product categories. Okay. 41:11 41 minutes, 11 seconds which which has as mentioned with the brownfield projects we've debottle that 41:18 41 minutes, 18 seconds debottlenecking has gone and now we have not constrained with any capacities. So uh and those were for certain frozen 41:26 41 minutes, 26 seconds products which has now been taken care of. So yeah we will not have that problem anymore and those the frozen 41:34 41 minutes, 34 seconds product is a higher gross margin product category higher gross margin. Okay. And uh so finally the new products that you're 41:41 41 minutes, 41 seconds launching sir in terms of realization where do they stand in the spectrum realization and market 41:48 41 minutes, 48 seconds so they are again uh frozen they are again frozen products. Okay. 41:53 41 minutes, 53 seconds Uh so they will be at a higher realization. Okay. Thank you sir. 42:00 42 minutes Thank you sir. The next question is from the line of Priyanka from Nilal Bank Securities Private Limited. Please go ahead. 42:09 42 minutes, 9 seconds Uh thank you for the opportunity and congratulations on the Sorry to interrupt you ma'am. Your voice is very low. Please use your handsets. 42:20 42 minutes, 20 seconds Is it better? Yes ma'am. Please go ahead. 42:24 42 minutes, 24 seconds Yeah. Uh so thank you for the opportunity and congratulations on the good set of numbers. So just a bookkeeping question. Uh what would be 42:32 42 minutes, 32 seconds the uh marketing expenses to our percentage of revenue on a console level? for the quarter. 42:40 42 minutes, 40 seconds Yeah. Can uh I think yeah I'll take this uh question. Uh our growth investments in marketing have increased and 42:48 42 minutes, 48 seconds approximately 24% year on year and a quarteron quarter. As Bimmel has said, we continue to prioritize our on on 42:57 42 minutes, 57 seconds brand building and marketing across all our key markets to fully leverage the growth potential and opportunities 43:04 43 minutes, 4 seconds across uh US and uh the u uh the European markets. 43:10 43 minutes, 10 seconds Uh yeah. So uh I just wanted the number percentage of revenue for the quarter. 43:17 43 minutes, 17 seconds uh we refrain from giving absolute numbers but uh when you look at the growth it's a 24% growth year on year 43:24 43 minutes, 24 seconds and quarter on quarter so you can uh imagine the kind of investments which we are been doing on our uh mainstream 43:32 43 minutes, 32 seconds truly categories got it sir and then uh the last question is uh if I look at your margins for the 43:40 43 minutes, 40 seconds distribution business those are at around 11% uh for the for this quarter and also So for the quarter 3 FY25 43:48 43 minutes, 48 seconds it was in the same range if but if I look at the last two quarters it uh it was in the high double digit. So how should I look at the margins for this particular segment overall? 44:00 44 minutes So Viml maybe I think yeah so yeah okay so Priyanka our distribution 44:09 44 minutes, 9 seconds margins as we have been previously mentioning remains at 12 to 14% in terms of our margin on an ongoing basis we 44:17 44 minutes, 17 seconds were better off in the last few quarters due to extra promotional supports but on a steady state the margins will be at around 12 to 14%. 44:26 44 minutes, 26 seconds Okay, thank you sir. 44:29 44 minutes, 29 seconds Thank you ma'am. The next question is from the line of Ankor Gulati from Genuity Capital. Please go ahead. 44:40 44 minutes, 40 seconds Hi just a quick question. When you're doing white labeling or the margin same or the dip? 44:47 44 minutes, 47 seconds Sorry, can you repeat that please? I think that so they reduce when it comes to private label but we also don't have to spend in 44:56 44 minutes, 56 seconds marketing. So that's where the delta is but private label is at a lower margin but it's still a relatively healthy margin. 45:04 45 minutes, 4 seconds So to assume similar aa for uh private labeling as well or slightly less but similar. No not sim. 45:12 45 minutes, 12 seconds Yeah. So these are all value added products uh that we do right. So it's not like a commodity business where you work on wafer thin margins. Uh so the 45:22 45 minutes, 22 seconds like as soon mentioned the gross margins are pretty decent. Uh but obviously uh not as high as what it is for our 45:30 45 minutes, 30 seconds branded products and what percentage of the capacity is dedicated to white labeling. 45:38 45 minutes, 38 seconds So at uh at an average our B2B and private label business accounts for about 20% of our overall revenues. 45:47 45 minutes, 47 seconds Thanks. 45:49 45 minutes, 49 seconds Thank you sir. The next question is from the line of Ramen from Sequent Investments. Please go ahead. 45:57 45 minutes, 57 seconds Uh hi sir, can you hear me? Yeah. Yes sir, please go ahead. 46:02 46 minutes, 2 seconds So for the quarter uh for the quarter and 9 month ended per year can you give the figure for Ashoka brand? 46:11 46 minutes, 11 seconds uh you know Raman we don't uh sorry we don't give uh details on the brand break up 46:19 46 minutes, 19 seconds understood sir Ashoka continues Ashoka continues to remain the flagship brand and the leading brand at the moment 46:28 46 minutes, 28 seconds understood sir answer uh with respect to the frozen products what the capacity which is uh in the green field expansion 46:35 46 minutes, 35 seconds you are doing is uh is this included in the 250 270 kores green field expansion you plan to do and also I just want to 46:44 46 minutes, 44 seconds understand just a ballpark figure with respect to total percentage sale from uh your uh from uh frozen products just a ballark figure will be helpful. 46:57 46 minutes, 57 seconds So chosen as as I mentioned earlier uh is uh upwards of 40% that remains to uh 47:06 47 minutes, 6 seconds our fastest growing category for our company and uh yeah the sura plant is obviously part of the whole green field 47:14 47 minutes, 14 seconds expansion that we budgeted for. Just a follow up on this uh uh can can I get 47:22 47 minutes, 22 seconds the figure which uh was a year back just I just want to understand the trend 47:29 47 minutes, 29 seconds with respect to frozen well uh on a frozen was probably a 47:38 47 minutes, 38 seconds couple of uh so we've probably grown by about uh 10% over last year but it's on a higher uh revenue as well right So yes, this continues to grow for us. 47:50 47 minutes, 50 seconds Okay, sir. Thank you sir. 47:54 47 minutes, 54 seconds Ladies and gentlemen, in order to ensure that management is able to address questions from all the participants in the conference call, please limit your question to one per participant. 48:06 48 minutes, 6 seconds The next question is from the line of Nitan from Green Capital Single Family Office. Please go ahead. 48:14 48 minutes, 14 seconds Hi, good afternoon. Uh this is Nipan Shakar from the green capital single family office. My question pertains more to the European market. If you could 48:22 48 minutes, 22 seconds just sort of summarize the new countries that the company's exporting to any initiatives or new master distributors 48:30 48 minutes, 30 seconds appointed and any specific new product ranges that you're introducing in the European market and how will it impact 48:37 48 minutes, 37 seconds the import export uh duty structures between Indian foods going into Europe now? Thank you. 48:46 48 minutes, 46 seconds So uh you know we constantly keep adding as as part of our uh uh process there is 48:54 48 minutes, 54 seconds always continuous innovation which keeps happening looking at the consumer uh trends. So it's not just Europe but 49:04 49 minutes, 4 seconds worldwide we keep introducing new products. uh specifically for Europe, new markets that have opened up are 49:11 49 minutes, 11 seconds certain markets in uh Eastern Europe. Uh we've uh also opened up some markets 49:20 49 minutes, 20 seconds within Western Europe as well. It's service right now. We have uh a network of about 12 or 13 distributors within 49:29 49 minutes, 29 seconds Europe and we are we continuously again strengthen uh increase our penetration 49:37 49 minutes, 37 seconds within these stores. We've added on some new supermarkets uh in in the Netherlands in Germany. So it's an 49:45 49 minutes, 45 seconds ongoing process uh for for both the Ashoka brand and also the truly Indian brand is in Germany. So that also 49:53 49 minutes, 53 seconds continues to grow for us and more products are being added on. So the truly Indian brand in Germany for example did not have frozen foods. Uh we 50:02 50 minutes, 2 seconds have just launched uh this quarter certain frozen products under the truly Indian brand and now we'll be expanding 50:10 50 minutes, 10 seconds uh some more product lines in in the uh under the truly Indian brand in Europe as well. 50:18 50 minutes, 18 seconds Okay. So great. Thank you. 50:22 50 minutes, 22 seconds Yeah, with FDA coming in out there in EU as well, that will further help in you know the pricing uh being a little bit 50:30 50 minutes, 30 seconds more competitive and uh we should see more penetration there as well. Okay, thank you sir. All the best. 50:39 50 minutes, 39 seconds Thank you sir. Thank you. 50:41 50 minutes, 41 seconds The next question is from the line of Ravi Naredi from Naredi Investment. Please go ahead. 50:48 50 minutes, 48 seconds Thank you G on how much PLI incentive received in 9 months period of current year. 50:58 50 minutes, 58 seconds So we've received uh about for the first year uh we've received about uh 70% uh 51:08 51 minutes, 8 seconds of the PLI incentive. uh year two and year three are still uh under process 51:16 51 minutes, 16 seconds and we hope to get year two and the balance part of year one before the next 51:22 51 minutes, 22 seconds before September of this year 70% can you quantify the money 51:29 51 minutes, 29 seconds you sir may we request you to come back it's uh anyway it's about seven crores I 51:37 51 minutes, 37 seconds think approximately that we've received uh so Sir, one more question. 51:46 51 minutes, 46 seconds Sorry to interrupt you sir. May we request you to come in the followup? 51:50 51 minutes, 50 seconds Madam this is first question only or second question I can ask. Why are you making preventing me? 52:01 52 minutes, 1 second Okay. Go ahead. Go ahead. Go ahead sir. 52:03 52 minutes, 3 seconds Sir in 19 financial year 27 you give 1,000 cr topline. So what will be our 52:10 52 minutes, 10 seconds margin that time? Can you predict something? 52:15 52 minutes, 15 seconds So we expect to continue uh the high teams as we are doing. So we feel fairly confident that we will continue to maintain uh margins in the high teams. 52:27 52 minutes, 27 seconds Nice, nice, nice. Thank you. Thank you sir. 52:31 52 minutes, 31 seconds Thank you sir. The next question is from the line of Ashish Agarwal an individual investor. Please go ahead. 52:40 52 minutes, 40 seconds Yeah uh thanks for the opportunity. I just wanted to understand what is the volume growth that we have achieved in 52:47 52 minutes, 47 seconds this quarter and what is also the value growth if we can break it on console level. 52:56 52 minutes, 56 seconds Uh Shini do you want to get that? 52:58 52 minutes, 58 seconds Yeah. So uh basically our volume growth accounted for nearly 70% of the total growth with the balance attributable to the price growth. 53:10 53 minutes, 10 seconds So okay so volume has resulted into 70% of overall revenue growth and 30% is due 53:17 53 minutes, 17 seconds to value growth correct and that's a normal uh 53:23 53 minutes, 23 seconds trajectory that lies with plus - 10% but is that the normal range that we 53:28 53 minutes, 28 seconds normally want to keep and keep normally see this is a yi growth so basically uh 53:38 53 minutes, 38 seconds We would like to keep this at the same level and with logistics coming up the volumes definitely will go up which will result in higher growth. 53:48 53 minutes, 48 seconds Okay. And what is our current soul uh revenue run rate per month? You used to give this figure earlier. 53:57 53 minutes, 57 seconds So the soul uh as as mentioned you know soul is going the we've gone back to the drawing board. We've got a new sales 54:05 54 minutes, 5 seconds head who has joined us from December of this year. We're back in the uh you know reooking at our entire product range, 54:14 54 minutes, 14 seconds our business plan for for soul and we will have a much better uh guidance for 54:22 54 minutes, 22 seconds you all in the first quarter of next year on that. But at the moment uh soul is in only in the Bombay markets and in 54:31 54 minutes, 31 seconds limited channels and we are doing about 50 lakhs in uh our sales into the market. 54:40 54 minutes, 40 seconds Uh 50 lakhs per month right? Yeah. Yeah. Yes. 54:46 54 minutes, 46 seconds Okay. I invest in Bombay and on commerce and e-commerce and very limited modern trade. 54:54 54 minutes, 54 seconds Okay. So it's negligible as of now. It's needed to explode. Okay. Yeah. Thank you. And when do we expect truly Indian to be sorry to interrupt you sir to come 55:03 55 minutes, 3 seconds into the question queue for the followup. Okay. Thank you. Thank you and all the best. 55:11 55 minutes, 11 seconds Thank you. 55:12 55 minutes, 12 seconds The next question is from the line of Aish Tari from Vicario. Please go ahead. 55:18 55 minutes, 18 seconds Hi. If I subtract uh standard round revenue from your consulated revenue that difference uh comes to around 54 55:26 55 minutes, 26 seconds cr. This was around 23 cr last quarter uh and it was around 26 cr uh year before. So it has grown significantly 55:35 55 minutes, 35 seconds whether we compare to last quarter or year before quarter. Uh what has driven this massive increase here? 55:43 55 minutes, 43 seconds So you know all the firstly truly Indian has grown substantially for us in this last 55:50 55 minutes, 50 seconds quarter and our distribution has grown the changes we've made in our subsidiary vibrant foods that has helped grow our 55:59 55 minutes, 59 seconds business. So all the three subsidiaries led to increase 56:07 56 minutes, 7 seconds uh in in revenue and we feel fairly confident that we'll be able to continue this growth trajectory. These are all 56:14 56 minutes, 14 seconds the investments made in new sales team uh you know the brand investments which has all helped in growth uh this growth. 56:24 56 minutes, 24 seconds Okay. Thank you. 56:28 56 minutes, 28 seconds Thank you sir. The next question is from the line of Bharat Sith from Quest Investment Advisors Private Limited. 56:35 56 minutes, 35 seconds Please go ahead. Yeah sir, thanks for the opportunity. 56:40 56 minutes, 40 seconds Sir, how much new SKU have we added in this FI26 and how much we plan to with in FI27 56:49 56 minutes, 49 seconds with the the Surat plant becoming operational. 56:57 56 minutes, 57 seconds So uh you know Mr. Barat we would continue uh we add product we take out 57:04 57 minutes, 4 seconds products. So at an average uh I would say about uh uh 15 to 25 new SKUs get 57:13 57 minutes, 13 seconds added in different brands. Uh Tuli Indian had some more additions this year. Ashoka also had some additions. So 57:20 57 minutes, 20 seconds it's a continuous ongoing process. And now with the Surat plant coming in also there will be an addition of in at least 57:29 57 minutes, 29 seconds in the uh in this next financial year we will see another 10 10 to 12 more products being added out from the Sudat 57:37 57 minutes, 37 seconds plant as well. Okay great bookkeeping question may I go ahead? 57:44 57 minutes, 44 seconds Yeah please. Yeah. So what is the uh end of the December gross date and uh net date? 57:52 57 minutes, 52 seconds Uh see we refrain from giving numbers uh uh in the quarter. Uh the balance months 57:59 57 minutes, 59 seconds are September and March. So you will see the guidance in March but we uh we will give you at that point of time. 58:07 58 minutes, 7 seconds Okay. Thank you. Thank you sir. 58:13 58 minutes, 13 seconds The next question is from the line of Aish Tari from Vikaria. Please go ahead. 58:20 58 minutes, 20 seconds Hi. Uh thanks again. Uh if you can explain uh the 58:27 58 minutes, 27 seconds margins or maybe the the the profits if you compare the EIDA differences between consort and standalone uh that number 58:35 58 minutes, 35 seconds also improve what is that a salriven or any other factor? 58:42 58 minutes, 42 seconds Uh so if I if I understand the question correctly, you want the difference between AITA of console and standalone. 58:49 58 minutes, 49 seconds What is correct? That number is also significantly improved this quarter compared to last quarter or year before. 58:56 58 minutes, 56 seconds Uhhuh. So uh basically if you look at the numbers uh uh the difference uh is mostly in the growth investments which 59:04 59 minutes, 4 seconds you have the standalone will have a higher number in terms of the AITA but when you see the console the console is 59:11 59 minutes, 11 seconds a combination of both as BML said the subsidiaries where we have been investing and uh uh and the standalone 59:19 59 minutes, 19 seconds business where our uh EITA margins will be higher. So that will be a overall mixture that's why you see a consolidated number uh lower than the standalone number. 59:30 59 minutes, 30 seconds We have one more question I can just ask on this. This if I look at the IBIDA distribution between processed foods distribution and then you also report 59:39 59 minutes, 39 seconds consolidated IDA is a negative entry which comes uh after adding processed food distribution. There's some negative entry. Is it some corporate head or 59:48 59 minutes, 48 seconds corporate cost or headquarter cost which are allocated there or what what is that negative entry uh there? 1:00:03 1 hour, 3 seconds So uh basically see uh what we report in our segment revenues uh is the segmental revenues of both distribution and 1:00:11 1 hour, 11 seconds processed and preserved foods categories. are the pro uh the number which you see is a PBT level. The 1:00:18 1 hour, 18 seconds balance is a part of the unallocable expenses which basically includes the finance cost and any exceptional item. 1:00:25 1 hour, 25 seconds The this this time there has been an exceptional item of 6.83 crores uh due to labor code. The rest of it is the 1:00:33 1 hour, 33 seconds unallocable income or unallocable expenditure which is roughly around 5.6 cr. 5.6 cr per quarter. 1:00:42 1 hour, 42 seconds Yeah. for this quarter and this another expense would be more like your uh headquarter or more like a top level like what are the cost? 1:00:52 1 hour, 52 seconds Yes. Yes. mostly the the the overall cost at a profit level. 1:00:59 1 hour, 59 seconds Maybe uh last one more question if I can ask the standalone IBIDA margins last two quarters have been very good 25 this 1:01:07 1 hour, 1 minute, 7 seconds quarter 26.9 last quarter compared to typical range of uh 21 to 23%. uh is 1:01:14 1 hour, 1 minute, 14 seconds there any change this is a new normal or they will revert back to again 20 to 23% range 1:01:22 1 hour, 1 minute, 22 seconds so you know uh the margin depends on the product mix uh we I mean our uh endeavor 1:01:31 1 hour, 1 minute, 31 seconds will be to try and maintain these similar kind of ITA margins going forward uh but it it's very dependent on 1:01:39 1 hour, 1 minute, 39 seconds the product mix uh so but we we are you know uh fairly confident of being in in 1:01:47 1 hour, 1 minute, 47 seconds the 20s on the margin for a standalone basis which what is the range of margins you 1:01:55 1 hour, 1 minute, 55 seconds make different kind of products here I'm sorry what is the range of margins 1:02:01 1 hour, 2 minutes, 1 second you make in different kind of products well again we don't give uh category 1:02:08 1 hour, 2 minutes, 8 seconds wise breakdown uh so uh I'm unable to tell you that details. 1:02:14 1 hour, 2 minutes, 14 seconds Okay, great. The frozen is higher margin and the other one is lower one, right? That's how it gets worked out. Yes. Yes, absolutely. 1:02:23 1 hour, 2 minutes, 23 seconds Great. Thank you and wish you very best. Thank you. Thank you. Thank you, sir. 1:02:29 1 hour, 2 minutes, 29 seconds Ladies and gentlemen, in the interest of time, that was the last question for today. I would now like to hand the conference over to management for closing comments. 1:02:41 1 hour, 2 minutes, 41 seconds Uh thank you very much uh for the time and uh look forward to catching up in the next quarter. Thanks and all the best. Thank you very much. 1:02:51 1 hour, 2 minutes, 51 seconds Thank you sir. On behalf of ADF Foods Limited that concludes this conference call. Thank you for joining us and you may now disconnect your lines.