Australian Premium Solar Ltd — Q4 FY26

Australian Premium Solar (India) Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=ni3fOEzvYnU Published: 3 weeks ago

0:02 2 seconds Ladies and gentlemen, good morning and welcome to H2 and FY26 earnings call of Australian Premium Solar India Limited 0:10 10 seconds hosted by Confide Leap Partners. As a reminder, 0:27 27 seconds as a reminder, all participant lines will remain in listenonly mode and uh listen only mode and there will be an 0:35 35 seconds opportunity for you to ask questions after the management's opening remark and presentation. Please note that this earnings conference call is recorded. 0:45 45 seconds Before we begin, I would like to mention that certain statements made during this conference call may be forward-looking in nature. Uh these statements are based 0:54 54 seconds on current expectations, assumptions and estimates of the management and are subjected to various risks and uncertaintities. Actual results may 1:03 1 minute, 3 seconds differ materially from those expressed or implied due to several factors. The company undertakes no obligation to 1:10 1 minute, 10 seconds publicly update or revise any forward-looking statement. We represent the investor relations for Australian Premium Solar India Limited. And on 1:19 1 minute, 19 seconds behalf of Confidely partners, I extend a warm welcome to all the investor analysts and participants for joining 1:26 1 minute, 26 seconds the earnings call for H2 and FI26. We have with us Mr. Nikon Patel who's the chairman and executive director and Mr. 1:36 1 minute, 36 seconds Kalpage Vakara who is the CFO of the company. Nikon sir you may now proceed. 1:53 1 minute, 53 seconds Yes. Thank you. U good morning everyone. 1:57 1 minute, 57 seconds Thank you for joining the earning call for uh half year of uh 2026. 2:03 2 minutes, 3 seconds We are very pleased to report another strong year of growth and operational progress for APS supported by our robust 2:11 2 minutes, 11 seconds demand across our solar modules, our EPC business and solar pump business. One of the most significant milestone during 2:20 2 minutes, 20 seconds the year was successfully commissioning of our 400 megawatt topcon solar module manufacturing line at our Pratish 2:27 2 minutes, 27 seconds factory. With this APS total module manufacturing capacity has reached 800 megawatt positioning us among the 2:35 2 minutes, 35 seconds emerging domestic manufacturer with advanced topcoin capability. The remaining 400 megawatt expansion is progressing and is planned and is 2:44 2 minutes, 44 seconds expected to become operational by August 2026. 2:48 2 minutes, 48 seconds This additional capacity will support our future growth plan and help us scatter to increase demand across both 2:56 2 minutes, 56 seconds domestic and export markets. Our solar water pump business also witnessed strong traction during the year driven 3:05 3 minutes, 5 seconds by government initiatives such as PM Kusum and increasing ruler adoption. We continue to see strong demand visibility 3:13 3 minutes, 13 seconds in this segment and expect solar pumps to contribute nearly 35 to 40% of revenue by uh for uh financial year 3:23 3 minutes, 23 seconds 2027. During the year we also ex expanded our geographical presence beyond Gujarat into states such as 3:32 3 minutes, 32 seconds Maharashtra, Rajasthan, Jarkan, Bihar, Madhya Pradesh, Hana, Karnataka, Tripura and Chhattisgarh. This diversification 3:40 3 minutes, 40 seconds is helping us strong strengthen our brand visibility and reduce concentration risk. On the strategic 3:48 3 minutes, 48 seconds fund, APS is actively evaluating opportunities in BESS and captive power 3:55 3 minutes, 55 seconds solution to strengthen our integrated renewable energy offering and improve long-term profitability. 4:03 4 minutes, 3 seconds We remain focused on scaling our EPC business, improving backward integration, increasing manufacturing 4:10 4 minutes, 10 seconds efficiencies and expanding our domestic and international presence. With India's renewable energy sector witnessing 4:18 4 minutes, 18 seconds strong policy support and growing adoption across residential, agriculture and industrial sector, we believe APS is 4:26 4 minutes, 26 seconds well positioned to capitalize on the long-term growth opportunity. I will now hand over the call to our CFO Mr. 4:35 4 minutes, 35 seconds Kalpesh Vakaria to discuss the uh financial performance in a greater detail. Thank you. 4:42 4 minutes, 42 seconds Thank you Nikonai for ending over the call. A warm welcome to everyone for attending the webinar of APS financial 4:48 4 minutes, 48 seconds result FI26 and half FI26. Let me take you through the financial highlights for FI26. 4:56 4 minutes, 56 seconds Our total income for the financial year has stood at 708.74 cr as compared to 5:02 5 minutes, 2 seconds 441.14 cr in FI25 reflecting a strong growth of 60.70% 5:09 5 minutes, 9 seconds yearon year. Aida increased to 95.6 cr from 58.81 cr in FI25 registering a growth of 62.6%. 5:19 5 minutes, 19 seconds Aida margin also improved marginally to 13.49% 49% compared to 13.33 in FI25. PAT again 5:28 5 minutes, 28 seconds stood at 57.87 cr against 40.10 cr last year reflecting a growth of 44.3 percentage and earning per share has 5:37 5 minutes, 37 seconds increased from 20.31 in FI25 to 28.70 in FI26 5:44 5 minutes, 44 seconds for half to FI26 specifically the total income stood at 40405.8 5:51 5 minutes, 51 seconds 8 cr compared to 276.9 cr in H2 FI25 a growth of 46.6%age. 5:59 5 minutes, 59 seconds Aida came in at 52.32 cr against 33 uh up 33.1% 6:05 6 minutes, 5 seconds yearonear and pet has increased to 29.26 cr from 27.01 cr. 6:13 6 minutes, 13 seconds On the balance sheet side the company continues to maintain a healthy position almost debtfree position. Net worth has increased significantly to 164.28 CR 6:23 6 minutes, 23 seconds during FI26. Despite ongoing expansion initiatives, we continue to maintain a prudent leverage profile and discipline 6:31 6 minutes, 31 seconds capital allocation strategy. Thank you so much. And now the uh you know you can uh throw your questions and we can answer it. Thank you so much. 6:42 6 minutes, 42 seconds You can. 6:43 6 minutes, 43 seconds Thank you. Participants who would like to ask questions may raise hands and also may post questions on the Q&A box. 7:14 7 minutes, 14 seconds Uh we have a question from Kronal Patel. 7:17 7 minutes, 17 seconds Uh Mr. Kronal, you can uh unmute me yourself and introduce 7:38 7 minutes, 38 seconds Hello sir, am I audible? 7:41 7 minutes, 41 seconds Yes, sir. Given guidance was a 40% year-on-year basis and we achieved that growth in FY26. Congratulations for that. 7:51 7 minutes, 51 seconds Thank you very much. 7:53 7 minutes, 53 seconds Sir, uh what is upcoming guidance for financial year 27? 7:58 7 minutes, 58 seconds In terms of profitability, in terms of turnover, in terms of revenue and profit both um we are expecting 8:07 8 minutes, 7 seconds 30 to 35% growth this year and uh we are looking for little a bit better margin 8:14 8 minutes, 14 seconds than this uh this last three four to 6 months because we lose around 2% uh 8:22 8 minutes, 22 seconds margin due to some um due to war and um other situation because some of our 8:29 8 minutes, 29 seconds projects was already uh we received in month of December with certain prices and the glass price increase and then 8:38 8 minutes, 38 seconds aluminium price increase. So we are now we are we have already increased those prices. So we are expecting slightly 8:46 8 minutes, 46 seconds better margin for next financial year than um this year. Okay sir 30 to 40% guidance. Okay. 8:55 8 minutes, 55 seconds Yeah. uh solar cell policy is implemented in June 2026 almost 5 days after this conference call. 9:03 9 minutes, 3 seconds So solar cell policy is just for next two years only because in financial year 2028 9:10 9 minutes, 10 seconds we will also implement other policy for the inwards and wafers. Yes. 9:16 9 minutes, 16 seconds So after June 2028 how this only module manufacturer can impact after this 9:23 9 minutes, 23 seconds ingots and wafer. So you may already notice like as a APS 9:29 9 minutes, 29 seconds uh 60 to 70% of 50 plus% of our consumption is for our own projects you 9:37 9 minutes, 37 seconds know so we are not just depend on our manufacturing business projects 50% of sometime more than 50% of our 9:46 9 minutes, 46 seconds profit comes from our EPC and our project businesses the uh we we have a 9:54 9 minutes, 54 seconds strong stakeholder holders who support who who are supporting us from last 10 years and they are very capable 10:02 10 minutes, 2 seconds supplying uh as per the upcoming policy for APS demand for upcoming years. 10:09 10 minutes, 9 seconds So we are securing our solar cell via them and we will continue focusing on 10:16 10 minutes, 16 seconds our EPC project EPC or projects and our distribution network where we are we will be not just depend on manufacturing 10:25 10 minutes, 25 seconds profit. We will als we will get the profit from EPC uh and also and whatever 10:32 10 minutes, 32 seconds the profit we are we are generating now we are planning to add the 10:39 10 minutes, 39 seconds planning to invest those profit in ground mounting projects or upcoming technology like BESS. 10:48 10 minutes, 48 seconds Okay. Sir, uh there are lot of buzz for grid stability is that grid stability is 10:55 10 minutes, 55 seconds okay for all our pan India because grid is not ready to take all soral power in during the 9 to 5 a.m. 11:07 11 minutes, 7 seconds Yes. uh for ground mounting projects or company who are highly dependent on ground mounting projects they may have 11:15 11 minutes, 15 seconds to wait for until the grid can be more strengthened you know and BESS poly 11:22 11 minutes, 22 seconds upcoming BSS policy and requirement is based on the G grid instability first means grid could be unstable the way we 11:31 11 minutes, 31 seconds are growing so but that that is not a long-term problem that is just a short-term problem in last 12 months in 11:40 11 minutes, 40 seconds APS overall turnover maybe hardly two to 3% business we have achieved from the ground mounting projects so the grid 11:48 11 minutes, 48 seconds instability is not in solar pump business not in ground mount uh not in 11:56 11 minutes, 56 seconds residential rooftop business or CNI rooftop business it is mainly for the ground mounting projects which are like 12:03 12 minutes, 3 seconds above 4 megawatt say like on 400 KVA line or 700 KVA plus line over there 12:11 12 minutes, 11 seconds there could be there are some in certain area there are some grid instability issue but our business is not depend on 12:20 12 minutes, 20 seconds that uh that uh section at the moment. 12:26 12 minutes, 26 seconds Okay sir. Uh these coms are currently paying to IP IP players even after power loss and they are not taking that power 12:35 12 minutes, 35 seconds to that grid and this is the problem for all discoms who are play who are paying 12:42 12 minutes, 42 seconds to all IP players and it is a just lost loss of power. So how how can they these discoms are catering upcoming ground 12:51 12 minutes, 51 seconds mounting solar projects? um see the BS see if we see overall world say like including China and some overseas 13:00 13 minutes projects first transaction of solar east people install the grid system that's what we as a India have done then the 13:08 13 minutes, 8 seconds second transaction will be now BSS say example existing projects who we are we 13:15 13 minutes, 15 seconds haven't invested as a APS in any IP projects but whoever have invested now they can put some say like they have 4 13:23 13 minutes, 23 seconds megawatt solar plant and then discom say like uh 2 hours uh on 13:32 13 minutes, 32 seconds say like very sunny days then they have to plan how much they are losing and they have to add accordingly the BSS system in 13:41 13 minutes, 41 seconds their projects to save those energy. 13:46 13 minutes, 46 seconds H okay sir currently petrol and diesel price is continuously rising and silver price is also hiking so in the solar 13:55 13 minutes, 55 seconds cell we are using sol silver so how this hike is impacting power 14:01 14 minutes, 1 second then say like say in solar panel 50% say example 50% cost is solar cell 50% cost 14:10 14 minutes, 10 seconds is others out of that 15% cost like less than Say like 100 rupees 100% panel cost 14:18 14 minutes, 18 seconds less than 5% cost comes from silver and for as a manufacturer if it goes little bit say 14:27 14 minutes, 27 seconds like in 5% even it get double then overall panel cost can go [clears throat] maximum 5% up. 14:38 14 minutes, 38 seconds So 5% up is maximum 1 rupees per watt not even five one rupees per watt because say example 100 rupees can also 14:46 14 minutes, 46 seconds 5% becomes so uh in in terms of the what it becomes very minor difference and we 14:53 14 minutes, 53 seconds have already seen those price uh you know volatility in last 6 to 9 months 15:01 15 minutes, 1 second heavily and people who have like companies who have a strong balance sheet uh and the discipline investment I 15:10 15 minutes, 10 seconds think they don't because some of we are not taking so much order book in our 15:16 15 minutes, 16 seconds hand as a APS policy we just take mainly EPC projects which are maximum one or two months so our prices goes up as the 15:26 15 minutes, 26 seconds uh raw material prices goes up okay it's depends it comes down it comes down as the 15:35 15 minutes, 35 seconds prices goes down So every every month prices get revised. 15:41 15 minutes, 41 seconds Okay. There are fluctuation in raw material prices. 15:44 15 minutes, 44 seconds Yes. So based on that our selling prices also get revised. 15:48 15 minutes, 48 seconds Got it sir. Sir uh how will we enter in the BSS market because there are two markets EPC market and battery assembly 15:56 15 minutes, 56 seconds markets where we can sell the container of BSS to IP players. So in the small 16:03 16 minutes, 3 seconds small projects like uh 1 megawatt 5 megawatt where the grids instabilities are there so we can uh we can use that 16:13 16 minutes, 13 seconds uh BSS market as a PPC or a supply of assemble vsss container 16:19 16 minutes, 19 seconds um see uh currently for meat projects the policies are up to 20% we need it 16:27 16 minutes, 27 seconds from uh uh domestic content. So when we usually enter we 16:34 16 minutes, 34 seconds don't just focus on one area uh we do like a little bit shades of each area. 16:39 16 minutes, 39 seconds Even for residential also there are some demand in different state for battery with solar. So we will even do the 3 16:47 16 minutes, 47 seconds kilowatt, 5 kilow, 10 kilowatt batteries for residential market and am I audible? 17:00 17 minutes Yes. Yes. Yeah. And we will also do the megawatt like 1 megawatt and 5 megawatt 17:06 17 minutes, 6 seconds uh projects. So um and we will start from um manufacturing 17:13 17 minutes, 13 seconds uh and also in u we will do small EPC first like under 5 megawatt rather than 17:21 17 minutes, 21 seconds 100 150 megawatt because we have noticed and we we as a EPS we are very 17:28 17 minutes, 28 seconds conservative company we have even seen some of the players may done the 100 megawatt 150 megawatt orders in the past 17:37 17 minutes, 37 seconds um tenders basically most of those comes from tenders and those tenders were open 6 months ago for a 24 months time period 17:45 17 minutes, 45 seconds and some of the player have done IP player have done very aggressive pricing and maybe due to the price fluctuation 17:53 17 minutes, 53 seconds currently some of the projects are not viable you know so we until we have full 18:00 18 minutes control we don't commit some uh large investment um uh uh for those type of say for 18:09 18 minutes, 9 seconds long-term say like some we don't commit for 24 months because 24 months so 18:15 18 minutes, 15 seconds lithium price gone like even 6 months the price have varied so much so we will 18:23 18 minutes, 23 seconds go we will start small and then we go big okay sir in our solar segment in India 18:31 18 minutes, 31 seconds we only have a 20 to 25 gawatt of a cell manufacturing currently till May 2026. 18:38 18 minutes, 38 seconds So after October 2026 uh many companies are adding more like 2 G, 4 G like bigger players. So in 18:47 18 minutes, 47 seconds between June to October we should buy sell from that existing players or we 18:55 18 minutes, 55 seconds can continue with the Chinese manufacturers. These cells can we use any government or we can uh we can do 19:03 19 minutes, 3 seconds any setting from that government projects? 19:06 19 minutes, 6 seconds No no no no. Three, government policies are very clear for um wherever the government is going to pay either on IP 19:15 19 minutes, 15 seconds based or even where the government is supporting like in group captive those projects must have to be done by the local content and as per our capacity we 19:24 19 minutes, 24 seconds do have the stakeholders who are supplying us the solar cell because we are in business since last 12 to 13 19:31 19 minutes, 31 seconds years you know but the new players we have maybe started one year two years 19:36 19 minutes, 36 seconds before they may um they they may uh they may don't have the connections 19:44 19 minutes, 44 seconds or strong connections with stakeholders to get their stock you know and you are very correct currently the 19:53 19 minutes, 53 seconds capacity is 25 mega some of the old projects which are already approved before in terms of the nondcr you those 20:01 20 minutes, 1 second will be continue for next 12 months as a nondcr supply so I'm expecting say example India have done like 40 gawatt 20:11 20 minutes, 11 seconds in last year. So like 15 to like say 25% of those next year will be done in 20:19 20 minutes, 19 seconds nondcr and 30 gawatt will be done on uh DCR projects as we know like 20 to 25 20:26 20 minutes, 26 seconds gawatt capacity is already there once I think 5 to 10 gawatt more will be added which is highly 20:34 20 minutes, 34 seconds more chance in next six five six to 12 months the capacity will start like 20:42 20 minutes, 42 seconds supply and demand gap will be all almost equal say from now to maximum 18 months. 20:51 20 minutes, 51 seconds Okay sir currently currently there are so much opportunity in solar cell manufacturing 20:58 20 minutes, 58 seconds but there are more opportunity in BSS assembly as we can buy some cell from the China and simply uh that assembly 21:08 21 minutes, 8 seconds and sell into the market. So cell manufacturing is already uh already 21:15 21 minutes, 15 seconds so much investment needed. So how how we can enter into this BSS where we can uh 21:22 21 minutes, 22 seconds then use that market comparatively solar market. 21:27 21 minutes, 27 seconds See as as you already said it's first you have to um say first the certification requirement 21:35 21 minutes, 35 seconds first of all we start from the land location then certification requirement then machinery ordering then some staff 21:44 21 minutes, 44 seconds selection because you need some R&D staff here so who understand the power and electricity because it's not only 21:52 21 minutes, 52 seconds making the BSS you know just just as a battery assembly also the EMS system and R&D behind it is 22:00 22 minutes very very important. So that's where many small companies or mediumsiz company who doesn't the promoter or team 22:08 22 minutes, 8 seconds who doesn't have the knowledge of those control system they can they cannot grow 22:15 22 minutes, 15 seconds basically you know but whoever have those knowledge they will grow faster than others and also you need your brand 22:24 22 minutes, 24 seconds name and service ability which say like the companies who are working since long 22:31 22 minutes, 31 seconds time they already have some customers, some distributor, some demand from existing source and they will easy they 22:39 22 minutes, 39 seconds can easily enter. For the new player, maybe they have to work two or three times harder than the existing player. 22:46 22 minutes, 46 seconds But there will be a plenty of opportunity in a BESS market because I have personally seen the growth level of BSS 22:55 22 minutes, 55 seconds in country like Australs 23:05 23 minutes, 5 seconds demand is almost compared to that growth it's two to three times you know. So you you are very correct if for right people 23:14 23 minutes, 14 seconds the BSS growth will be very remarkable. 23:20 23 minutes, 20 seconds Okay sir. Uh in our solar solar demand. Hello. Hello sir. 23:25 23 minutes, 25 seconds Sorry to interrupt Mr. Kronal Patil. Can you join back in the queue as there are many participants to ask questions. Okay. Okay ma'am. Okay. I will be back. 23:34 23 minutes, 34 seconds Thank you sir. 23:35 23 minutes, 35 seconds Yes. Uh thank you. Participants who would like to ask questions may raise hands and you may also post questions on 23:42 23 minutes, 42 seconds the Q&A box. We have the next question from Pankach Saja. You may unmute and introduce yourself. 24:28 24 minutes, 28 seconds Hello. Yes. Yes. Yes. Thank you for the opportunity. 24:35 24 minutes, 35 seconds Firstly, great set of numbers at least on the side. Uh big time. 24:40 24 minutes, 40 seconds Congratulations for that. I have a quick question on the balance sheet side on the more especially on the working capital side. I think our dattors have gone almost like four times of what they 24:48 24 minutes, 48 seconds were in FI25. Even the number of days of dattors have gone significantly up. So would like to better understand why such 24:56 24 minutes, 56 seconds a big increase and what is our plan. It would be great to hear if you can also tell as to uh the how much we have 25:03 25 minutes, 3 seconds received out of the datas we had on 31st of March 2020. Yes. Thank you very much Bankage. 25:09 25 minutes, 9 seconds Kalpesh by I like you to answer this in a detail please. 25:14 25 minutes, 14 seconds Sure. Uh hi pank. Uh I see that why the data they have increased. I would just like to give you information because you 25:22 25 minutes, 22 seconds can see I mean uh the pump side the solar pump side we had turnover of about 25:28 25 minutes, 28 seconds 105 cr in H1 FI26 and in H2 we have almost gone by uh I mean full financial 25:35 25 minutes, 35 seconds it is more than 305 cr. So 200 CR we have added there and the cycle for that particular uh segment is about 90 to 120 25:46 25 minutes, 46 seconds days and most of the installation and everything has been taken place probably from January to April and that is why 25:53 25 minutes, 53 seconds you can see lot of datas are there and out of the datas which we had in pump segment 26:01 26 minutes, 1 second at the end of March we have received almost 30 to 40 CR during uh these two months a couple of months till date. So 26:09 26 minutes, 9 seconds we have received quite a bit of uh datas we have already received from the back from them and this cycle is always a 26:15 26 minutes, 15 seconds long cycle for pump side but the margin is really good on that side and that is why we try to focus 26:24 26 minutes, 24 seconds on pump side as well as the wholesale side so that we can maintain a balance between both of them so that we don't 26:31 26 minutes, 31 seconds have more datas but we have that much datas only where we don't have to go for uh uh more debt or anything from the bank or anybody else. 26:41 26 minutes, 41 seconds No, thank you Kesh. Uh quick question. I I think out of 160 odd crores which is sitting in the balance sheet as on 31st of March, how much we have received out of that? 26:50 26 minutes, 50 seconds 40 40 CR. 26:53 26 minutes, 53 seconds Okay. So 120 is still outanding. So 40 CR from 40 CR from pump side and the pump data is almost 140 to 145 CR out of 27:02 27 minutes, 2 seconds the 160 CR and another 10 CR we have already received about 50 CR out of 160 CR. 27:08 27 minutes, 8 seconds So what is our normal payment cycle for non-pump business? 27:13 27 minutes, 13 seconds Non-p business non-pump business is probably for retail for retail rooftop business we have 27:20 27 minutes, 20 seconds cycle of about six years and for distribution business. Yeah. 27:27 27 minutes, 27 seconds 40% 40% of the retail business that comes in within 60 days because that subsidy comes from the government. 27:35 27 minutes, 35 seconds Okay. Thank you. Thanks a lot for this. I don't have any more questions. Thank you. 27:45 27 minutes, 45 seconds Thank you. Participants who would like to ask questions may raise hands and may also post questions on the Q&A box. We 27:52 27 minutes, 52 seconds have the next question from Miss Miss Ishima Bansil. You may unmute your unmute and introduce yourself. 28:03 28 minutes, 3 seconds Hi Keshi. Hello. Many many congratulations for the number. Uh the question that I wanted to ask from you is what do you think what will be the 28:11 28 minutes, 11 seconds impact of this new ALM policy on the margins? I mean do we will we have these margins as the stable margins or we are 28:20 28 minutes, 20 seconds expecting margin shrinkage in the coming period of time. Um I would like to answer this question. 28:28 28 minutes, 28 seconds Um thank you very much Isima for your uh very good questions. Uh see in because 28:36 28 minutes, 36 seconds the DCR panels are usually more in a value compared to the nonDCR. 28:41 28 minutes, 41 seconds uh say example the nonDCR is 14 rupees then this one is like 22 rupees 20 so in percentage of the margin if we say based 28:51 28 minutes, 51 seconds on turnover there will be a overall margin will be better by selling the DCR panel compared to non DCR panel say 28:59 28 minutes, 59 seconds example if we make example 10% margin for 15 rupees is 1.5 in 22 rupees is 2.2 29:06 29 minutes, 6 seconds two. So I believe the compared to the capacity of manufacturing facility the utilization 29:14 29 minutes, 14 seconds capacity of manufacturing margin should be little in in terms of overall revenue will in should increase and also profit 29:22 29 minutes, 22 seconds overall profit should increase by DCR content. Okay. 29:31 29 minutes, 31 seconds And what is the current order book and the executable order pipeline for FI27? 29:38 29 minutes, 38 seconds Um Kalpes you like to answer the question? 29:41 29 minutes, 41 seconds Yes. So for APS solar pump I mean solar power I mean solar pump segment we have got order book of more than 150 CR right 29:49 29 minutes, 49 seconds now which is sitting with us and uh on wholesale distribution side we take business I mean for at least couple of 29:57 29 minutes, 57 seconds month for the next couple of months so that you know the price does not price cannot impact our profitability that is 30:03 30 minutes, 3 seconds why we try to book our uh uh we have try to take order for next couple of months 30:10 30 minutes, 10 seconds u and that order book is about 15 about 50 CR. So overall 200 CR plus retail rooftop is another probably 10 to 15 CR 30:19 30 minutes, 19 seconds that is around 15 to 20 CR. So that is around probably 220 CR that order book that we have. Correct. 30:26 30 minutes, 26 seconds For now right and considering the new policies which is coming uh what do you think what will be the sustainable aida margin 30:33 30 minutes, 33 seconds for us for the next couple of years for next two to three years. 30:38 30 minutes, 38 seconds So for the next two to three years I I would like to say at least for the next uh one year that what we expect that 30:45 30 minutes, 45 seconds from the three segment that we operate in pump might have the margin of about the 12 to 14%. 30:53 30 minutes, 53 seconds Wholesale that distribution side plus the project distribution would be probably in the range of about 7 to 9%age and retail rooftop and CNI sector 31:02 31 minutes, 2 seconds will have a margin of about probably 13 to 15 percentage. So this is the margins operating margins. 31:09 31 minutes, 9 seconds This is the IDA margin profit before tax. Yes. 31:12 31 minutes, 12 seconds Okay. Okay. Right. And we know uh the KPEX timeline and the business model for 31:18 31 minutes, 18 seconds best I mean which which as as previously is mentioned. So there'll be the two sides of the best one is a system 31:26 31 minutes, 26 seconds integrator one is a sell and the pack manufacturers. So which part are we will we focus and what will be the capex and the timeline for us 31:35 31 minutes, 35 seconds Nikon by if you I will answer that. Um see as I already said like we will start 31:42 31 minutes, 42 seconds uh usually 3 gawatt base assembly line will cost in terms of machinery it will cost up to 20 kores and to do the 31:52 31 minutes, 52 seconds projects um it's depend on the size of the projects but currently um we have to keep the good size you know good tier 32:01 32 minutes, 1 second one quality which is very important and I'm expecting 100 to 120 USD D per 32:08 32 minutes, 8 seconds kilowatt for the EPC cost if somebody is doing five megawatt project it will be 32:14 32 minutes, 14 seconds around so we can plan 120 maximum 120 and between 100 to 120 USD 32:24 32 minutes, 24 seconds for EPC and as a APS our plan will be to do the less than 5 megawatt projects if 32:32 32 minutes, 32 seconds we do the EPC or invest in IP by ourselves not like 50 megawatt or 150 32:39 32 minutes, 39 seconds megawatt and in terms of machinery we will divide in stage two stage we are 32:46 32 minutes, 46 seconds expecting 3 gawatt utility again for and space for the bs and we will start from 32:54 32 minutes, 54 seconds 1 gawatt and then in terms of assembly in [clears throat] terms of the timeline when can we expect this 33:02 33 minutes, 2 seconds um we'll uh we are in search of some staff and proper location for that and 33:08 33 minutes, 8 seconds maybe within a quarter we will have a more concrete time uh news with the timeline. 33:18 33 minutes, 18 seconds Understood. Thank you sir. And uh the another question that I have is in terms of the so are we considering any 33:27 33 minutes, 27 seconds backward integration into cell or the wafers over the period over the long term or will be considered towards best 33:35 33 minutes, 35 seconds uh we believe I think a wafer and in solar cell there will be no further scope for 33:43 33 minutes, 43 seconds future you know uh future enhancement because as per India requirement ment currently 40 gawatt and maybe in next 5 33:52 33 minutes, 52 seconds years it will be maybe say 60 to 80 gawatt example I believe enough companies already have started investing 34:00 34 minutes in solar cell business um and they already committed I believe in terms of commitment we if we are calculating it 34:10 34 minutes, 10 seconds is close to 80 to 100 gawatt so and the capex requirement and the time consumption and the cash 34:18 34 minutes, 18 seconds flow So required for the solar cell from now if somebody started before 2 years ago and they are in process of 34:26 34 minutes, 26 seconds establishing that will be good opportunity but we will more focus on BSS where because as a APS we like to 34:36 34 minutes, 36 seconds you know we like to invest more uh in we like to manage our risk 34:44 34 minutes, 44 seconds you know we like to invest with financial discipline Correct sir. Thank you. Thank you. 34:50 34 minutes, 50 seconds And in mean terms we do have a expectation to increase uh minimum 30% of our net asset. 34:58 34 minutes, 58 seconds Okay. 34:59 34 minutes, 59 seconds Um per year you know per year and can we have like the guidance for the next couple of years in terms of your top line and the bottom line? 35:08 35 minutes, 8 seconds So as I said um at least for next three years we are expecting minimum 30 years 35:14 35 minutes, 14 seconds net asset uh increase you know so that's our minimum goal um means that's that's 35:21 35 minutes, 21 seconds where we always focus how our net after after our asset minus liability it has to be increased in certain percentage 35:30 35 minutes, 30 seconds and I'm pretty confident it will happen for next three years sir in H2 FI26 Six which segment has 35:38 35 minutes, 38 seconds actually drove our revenue and what is the lagard in terms of the segment wise in terms of the revenue or in terms of the ROIC? 35:47 35 minutes, 47 seconds Uh you asked for the last month you are asking. Okay. Kalpish you like to answer. 35:55 35 minutes, 55 seconds Oh yes. Uh yes. So we have uh if if you just see the H2 FI26 36:02 36 minutes, 2 seconds if you want the figure then probably uh from the pump segment we have achieved a turnover of about 203 36:10 36 minutes, 10 seconds 1 CR wholesale has achieved 168.37 cr and retail has achieved a turnover of 34 cr. 36:19 36 minutes, 19 seconds Okay. So we we have grown in pump. Uh I mean as we had uh said at the start of the year that we are likely to achieve more than 250 cr in pump. We have achieved more than 300 cr. 36:30 36 minutes, 30 seconds Uh the profit margin is good. The data obviously it is just a bit of a longer cycle but the margin is good. The money 36:36 36 minutes, 36 seconds is definitely coming and uh we are hoping that we will continue this year too the same thing. 36:44 36 minutes, 44 seconds Got good. Uh that's all from our side. Kalpes Gunj. Thank you. Thank you Shimadi. 36:52 36 minutes, 52 seconds Thank you very much. Thank you. 36:54 36 minutes, 54 seconds Thank you. Uh participants who would like to ask questions may raise hands and also may post questions on the Q&A 37:00 37 minutes box. We have the next question from Tjas Kandelwal. You may unmute and introduce yourself. 37:12 37 minutes, 12 seconds Uh hi sir. Uh thank you so much for the opportunity. 37:15 37 minutes, 15 seconds So uh my question was on more of a balance sheet of a P&L side. So we have 37:21 37 minutes, 21 seconds we have done 51 KS of other expenses in H26. 37:29 37 minutes, 29 seconds So what was that? Because it it has almost doubled from first half and it is almost three and a half times from last year H2. 37:40 37 minutes, 40 seconds Yes. 37:42 37 minutes, 42 seconds Yes. Uh Tes if you can just uh come back again with the same 37:48 37 minutes, 48 seconds question please. Other talking about that 53r. Yeah. Yeah. 51 K of other expense. 37:56 37 minutes, 56 seconds Yeah. So the other expenses in term of uh like we have uh uh done if you if you 38:02 38 minutes, 2 seconds see I mean we have got uh topcon line we have done the quite a few expenses for the building and everything 38:11 38 minutes, 11 seconds which uh are just for you know the the deprecation we cannot count on the depreciation because like machinery the tiling and everything. So that is what 38:18 38 minutes, 18 seconds we have considered in this one expenses plus we have also taken quite a few senior uh personnel 38:27 38 minutes, 27 seconds and the commission and everything for the installation and everything in the pump side because the pump in 38:36 38 minutes, 36 seconds you can just send me and I can you can email me and I can send you the details. Yes. 38:41 38 minutes, 41 seconds Okay. Okay. But how how much can we expect uh in next uh in next half and in FI27 the other expense part? 38:50 38 minutes, 50 seconds Yeah. Uh in terms of the expansion of the building is already done and in terms of the upcoming machinery uh I 38:59 38 minutes, 59 seconds believe uh the loan is I think it's almost paid deposit and everything. So um if you uh I think it will be good 39:07 39 minutes, 7 seconds idea uh that questions if you want 100% detail it may be top of mind but we can send you with budget what will be it and 39:17 39 minutes, 17 seconds we can also uh uh in inform you where all those money were spent. Okay. Mainly 39:23 39 minutes, 23 seconds it most of the money was spent for the expansion of the build means utility side of the building because we were 39:30 39 minutes, 30 seconds doing 800 megawatt say like 400 megawatt already up and running in last 6 months 39:38 39 minutes, 38 seconds and then now only machinery have to be added. So all utilities are already there. 39:44 39 minutes, 44 seconds Okay. Okay. And uh have have we taken any price hike in recently in our solar models? 39:51 39 minutes, 51 seconds Uh price hike means in selling price. Yeah. 39:56 39 minutes, 56 seconds Yeah. As I said before the selling price keep changing every month. So we don't sell on fixed prices. 40:04 40 minutes, 4 seconds We don't take more than two months order on hand. 40:07 40 minutes, 7 seconds Yeah. But uh what I wanted to understand was our our raw material raw materials have uh the prices of raw materials have 40:16 40 minutes, 16 seconds gone up sharply. So or have we taken any price hike in our our products? 40:21 40 minutes, 21 seconds Yes, of course. Of course, because we say like if it cost us 100 rupees then we have to sell it in 110 rupees. So as 40:31 40 minutes, 31 seconds prices goes prices change we change our selling prices and if it comes down say 40:38 40 minutes, 38 seconds like 90 rupees then we sell it in 99 rupees. 40:42 40 minutes, 42 seconds Okay. Okay sir. and and sir uh our next 400 megawatt uh line which is going to commence in August how much how much 40:50 40 minutes, 50 seconds revenue can we expect from this in H2F27 as the minimum 40:59 40 minutes, 59 seconds as we discussed in the last question we are expecting about 30 30 to 35% 41:08 41 minutes, 8 seconds uh revenue growth in this financial year and that machinery will definitely ly support us. 41:15 41 minutes, 15 seconds Okay. Okay. That was from myself. Thank you. 41:23 41 minutes, 23 seconds Thank you. Participants who would like to ask questions may raise hands and also post questions on the Q&A box. We have the next question from Anur Sharma. 41:34 41 minutes, 34 seconds You may unmute and introduce yourself. 41:44 41 minutes, 44 seconds Good morning sir. Uh firstly very congratulations on the good certain numbers. I can see that uh we have maintained the margins and uh I wanted 41:53 41 minutes, 53 seconds to ask regarding the new facility. So what is the optimal operating leverage and you know can we expect any margin improvement from this? 42:03 42 minutes, 3 seconds Um see uh the optimum uh in terms of 42:10 42 minutes, 10 seconds maybe slightly because the labor cost and the management cost in factory 42:17 42 minutes, 17 seconds um in terms of what we have um that will be little say example we are expecting 42:24 42 minutes, 24 seconds 150 rupees or per panel you know for the factory side so that will come down by 10%. % 42:33 42 minutes, 33 seconds but it like say 10 to 15 rupees per panel but in overall profitability it 42:40 42 minutes, 40 seconds will leave little bit lower margin means it won't be substantial margin incre increment uh due to 42:49 42 minutes, 49 seconds expansion of the capacity because once you are on 800 or 1 ghawatt capacity 42:56 42 minutes, 56 seconds the you are already at your highest break even you know the best a production cost. 43:04 43 minutes, 4 seconds So I'm expecting 10 rupees or 15 rupees higher profit per panel by adding new facility. Sure. 43:12 43 minutes, 12 seconds Okay. Uh so next I wanted to ask regarding our expansion. So how is the company preparing for rapid evolution in 43:19 43 minutes, 19 seconds like solar modules uh especially in with emerging technologies beyond top. So in 43:25 43 minutes, 25 seconds top one we have about uh 550 to 650 uh range of what so that is like two 43:32 43 minutes, 32 seconds variants are there. So how are you like trying to expand in this? 43:37 43 minutes, 37 seconds Yeah. So our the top the current machinery which we have that is capable to handle M10 cells and G12 cells both 43:46 43 minutes, 46 seconds even our certification for BIS already done for 650 and it is in just um up to 43:54 43 minutes, 54 seconds 650 watt. Um so in ground mounting projects currently 44:01 44 minutes, 1 second G12 solar cells are more popular or residential and CNI M10 cells are more popular and then pump the monopark 44:10 44 minutes, 10 seconds business is more popular. So our 400 megawatt the um initial machinery 44:18 44 minutes, 18 seconds taking care of a monopark facility and our the new uh recent de 44:26 44 minutes, 26 seconds last year what we started in top one currently we are doing M10 and the new facility is G12 and both of them are 44:34 44 minutes, 34 seconds interchangeable and it takes only 6 to 8 hours to change from M10 to G12. 44:41 44 minutes, 41 seconds Okay. Okay, that's great to know. And uh so last question is I just wanted to understand what is our growth road map. 44:47 44 minutes, 47 seconds So like let's say in the next two to three years uh what are we planning for like what is the strategic priorities for our 44:55 44 minutes, 55 seconds um see in first of all we like our net asset to be increased by minimum 30%. 45:03 45 minutes, 3 seconds And we are expecting 30% plus growth for next 3 years. 45:09 45 minutes, 9 seconds Okay. And so are we planning to expand any of our existing facilities? 45:15 45 minutes, 15 seconds Um we as we start means when we started our business in 2000 means 2013 and even 45:23 45 minutes, 23 seconds when we review it again in 201820 we have decided say like India demand is 40 gawatt it 45:32 45 minutes, 32 seconds will be because that was our energy consumption figure shows and maybe in next five years it will be 70 to 80 45:39 45 minutes, 39 seconds gawatt maximum you know so in 70 gawatt even if we consider uh we like to look after uh 2% 45:48 45 minutes, 48 seconds India's market 2 to 2.5% market and so next two to 3 years we don't think we 45:57 45 minutes, 57 seconds need a further expansion in terms of the module manufacturing facility um but we 46:03 46 minutes, 3 seconds will see after 3 years um what will be the requirements okay okay great insights uh thank you so 46:11 46 minutes, 11 seconds much for the opportunity and wishing the best to whole team Australia solo. Thank you. 46:19 46 minutes, 19 seconds Thank you. Participants who would like to ask questions may raise hands and also may post questions on the Q&A box. 46:25 46 minutes, 25 seconds Participants are requested to stick to two or three questions per participant as there are many people in the queue and there is a time constraint. Uh we 46:34 46 minutes, 34 seconds have the next question from Mr. Sumit Sharma. You you may unmute and introduce yourself. 46:49 46 minutes, 49 seconds Sir, am I audible sir? Yes sir. Am I audible sir? Yes. 46:57 46 minutes, 57 seconds Hello. Okay. Uh congratulations for the great set sir. Congratulations for the great set of numbers. Sumi Sharma and 47:04 47 minutes, 4 seconds indigel investor this side. So there are only two questions from my side. As per the previous uh presentations, we have 47:12 47 minutes, 12 seconds talked about the expansion in the solar cell business that we were expanding in solar cell manufacturing in next coming two three years. So is the plan still 47:20 47 minutes, 20 seconds intact? And the second question is we have load of guidance future guidance from 60% to 30 to 35%. So is this the 47:29 47 minutes, 29 seconds solar glut being much hyped in the the social media that solar glut is coming. 47:34 47 minutes, 34 seconds So that's why we are lowering our future guidance for 30 to 35%. Is this the only reason sir? That only two question from my side. Thank you so much. 47:42 47 minutes, 42 seconds Yeah, thank you very much Sunil for closely monitoring us. Um in expansion 47:48 47 minutes, 48 seconds of solar cell we had you know done some water application and necessary application before 12 months ago. But 47:57 47 minutes, 57 seconds there are we in in last 12 months there will be there are so many changes happen you know and we believe there is a no 48:06 48 minutes, 6 seconds need for APS to enter in the solar cell business rather than that we better enter or invest our hard hardearned 48:16 48 minutes, 16 seconds money and investors invested money in the business where uh we can manage our financial discipline and future grow 48:24 48 minutes, 24 seconds growth you know in to And what we want to do is we from now our prof whatever 48:31 48 minutes, 31 seconds profit we make 50% of profit we like to invest back to APS and another profit we like to invest in a businesses where we 48:40 48 minutes, 40 seconds can grow those businesses in multiple fold in next three years you know so that's why we have considered in terms 48:48 48 minutes, 48 seconds of the turnover we have considered little less growth and invest those profit in those businesses in next 48:56 48 minutes, 56 seconds about 18 or 30 months those growth could be more substantial compared to just focusing on solar panel manufacturing 49:05 49 minutes, 5 seconds business and the EPC business and we like to we like to remain as a brand 49:12 49 minutes, 12 seconds company we are premium service uh which we are offering to our customers in terms of the um the uh in 49:21 49 minutes, 21 seconds terms of the pricing also we like to manage the what people can afford Not very less not very high. 49:30 49 minutes, 30 seconds Okay sir. So that means this best section which we are going to start in our company. So that is a better 49:38 49 minutes, 38 seconds opportunity rather than solar cells. Is it right sir? 49:40 49 minutes, 40 seconds In say in the so yes sir that's what my my personal view is. 49:46 49 minutes, 46 seconds Thank you so much sir. Thank you for the invite. Thank you sir. Thank you. Thank you so much. Thank you sir. 49:55 49 minutes, 55 seconds Thank you. Participants who would like to ask questions may raise hands and may also post questions on the Q&A box. We 50:02 50 minutes, 2 seconds have the next question from uh Mr. Rahul Sharma. Uh you may unmute and introduce yourself. 50:19 50 minutes, 19 seconds Yeah. Hi sir. So couple of things I wanted to understand. One is about trade receivables. Uh I saw that uh trade 50:28 50 minutes, 28 seconds receivables increased significantly this year. Uh so I wanted to understand what 50:34 50 minutes, 34 seconds is the current cycle and uh how do we plan to improve this working capital efficiency? 50:43 50 minutes, 43 seconds Sure. Thank you. Rahul Kalpes. Kalpes may I like you to answer this question. 50:48 50 minutes, 48 seconds Yes. Uh Rahul. U the trade receivable has increased basically because of uh our substantial uh investment in solar 50:56 50 minutes, 56 seconds pump. If you see the solar pump in the last 6 months, in the last 6 months to March 26 has uh done turnover of more 51:03 51 minutes, 3 seconds than 200 CR and it has got the pump uh segment has particularly got a cycle of 90 to 120 days and most of the 51:11 51 minutes, 11 seconds installation was done in the February and March month and that is why you see that uh there is a trade datas of more 51:20 51 minutes, 20 seconds than 160 CR out of which 150 CR is coming from only pump side right and out of 150 CR which uh was there at 51:30 51 minutes, 30 seconds the end of March. We have already received more than 40 CR until now and another 30 Kores are expected probably in the next 15 to 20 days. 51:39 51 minutes, 39 seconds Oh okay. 51:41 51 minutes, 41 seconds So the cycle for pump is always I mean because of his high margin and it comes from the government. So it is the cycle is about 90 to 120 days for that particular business. 51:50 51 minutes, 50 seconds Understood sir. And one more thing is that what percentage currently of our raw 51:58 51 minutes, 58 seconds materials are sourced domestically versus how much we are importing because there are many 52:05 52 minutes, 5 seconds fluctuations in the price also. So I wanted to understand our composition. 52:12 52 minutes, 12 seconds Yes. Uh 60 per 60 to 40 60 40 60 domestic 40 imported. 52:21 52 minutes, 21 seconds All right sir that's it from my side. 52:23 52 minutes, 23 seconds Yeah approximate and congratulations on good numbers. Thank you very much. 52:31 52 minutes, 31 seconds Thank you. Participants who would like to ask questions may raise hands and also may post questions on the Q&A box. 52:38 52 minutes, 38 seconds We have the next question from Mr. Bikas Kasuri. You may unmute and introduce yourself. 52:51 52 minutes, 51 seconds Good morning uh Nikonai. Good morning. 52:55 52 minutes, 55 seconds So my question is um that if we are not going to manufacture the cells, are we 53:01 53 minutes, 1 second going to procure the cells from an ALCM uh cell manufacturer? Is that the plan sir? That is my only question. 53:08 53 minutes, 8 seconds Uh yes Vikas. Yes. uh because we have the long-term stakeholder relationship with solar 53:16 53 minutes, 16 seconds cell supplier and that's what uh that's what we are going to do. Thank you. Thank you sir. 53:24 53 minutes, 24 seconds Yeah. 53:31 53 minutes, 31 seconds Thank you. Uh there are some questions in the chat box. Uh one is from Mr. 53:37 53 minutes, 37 seconds Shivendra Pande. uh he wanted to know inquire about the debt levels you are looking for at the foreseeable future 53:45 53 minutes, 45 seconds and you mentioned about the solar cell manufacturing which will be financed at 53:50 53 minutes, 50 seconds 70% by debt in uh previous con calls 54:00 54 minutes um so as we discuss in last question the solar cell 54:09 54 minutes, 9 seconds uh we are now putting higher bid on uh BSS rather than solar cell and solar 54:16 54 minutes, 16 seconds cell we will secure from existing stakeholders. 54:21 54 minutes, 21 seconds So I think that question will be not uh you know uh this is not going to 54:27 54 minutes, 27 seconds happen in short timeline um say at least 24 months we are not going to invest in 54:35 54 minutes, 35 seconds solar cell. So I think it uh uh that question maybe this answer itself answer that question. 54:47 54 minutes, 47 seconds Okay sir. Thank you. And one more question from Mr. Shivam Patil. At what price APS is currently procuring cells 54:55 54 minutes, 55 seconds and do you anticipate any increase in the prices of sale in coming months or any margin impact if any? 55:04 55 minutes, 4 seconds Uh can you repeat? 55:08 55 minutes, 8 seconds Uh this is a question for Mr. Shivam Patel. At what price APS is currently procuring sales and do you anticipate 55:16 55 minutes, 16 seconds any increase in the prices of sale in coming months or any margin impact if any? 55:23 55 minutes, 23 seconds uh as I said our selling price depend on our procurement price and uh we always see what are the market selling price as 55:31 55 minutes, 31 seconds well and we change our pricing based on u you know based on what we procure. So 55:39 55 minutes, 39 seconds the mar rare chance the margin will be affected unless a slight percentage here and there. If we have already committed 55:46 55 minutes, 46 seconds orders and the price some procurement haven't done and that time price increase in terms of the solar cell 55:54 55 minutes, 54 seconds procurement different solar cell can be procured at different price say like mono mono DCR 56:01 56 minutes, 1 second topcon DCR topcon M10 G12 and also nonDCR. So is there any 56:10 56 minutes, 10 seconds particular prices he likes to know or he likes to know all the pricing? 56:21 56 minutes, 21 seconds Uh yes. So uh now I would like uh request Mr. uh Nikon sir to uh address 56:29 56 minutes, 29 seconds the closing remarks as we are running short of time. So you can continue with that. Uh once again thank you very much 56:36 56 minutes, 36 seconds everyone for putting your trust and closely monitoring us which give us high 56:43 56 minutes, 43 seconds confidence and also which gives us motive to work forward you know um 56:52 56 minutes, 52 seconds means due to time u uh limit we couldn't answer all the questions but we are 56:58 56 minutes, 58 seconds always open and you can ask your queries via email to um our partners and we will answer each and every query to you. 57:08 57 minutes, 8 seconds Thank you very much. Thank you. Thank you very much. Thank you. 57:12 57 minutes, 12 seconds Thank you. Thank you. Thank you very much. Thank you Kartik. Thank you. 57:17 57 minutes, 17 seconds Thank you ladies and gentlemen. Thank you for attending Australian Premium Solar Limited H2 and FY26 earnings call 57:25 57 minutes, 25 seconds which was hosted by confide leap partners. You may now kindly sign off.