Borana Weaves Limited — Q3 FY26

Borana Weaves Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=hUQvr4fkc3s Published: 3 months ago

0:02 2 seconds Ladies and gentlemen, good day and welcome to Burana Vivs Limited Q3 FI26 earnings conference call. As a reminder, 0:10 10 seconds all participant lines will be in the listenon only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the 0:18 18 seconds conference call, please signal an operator by pressing start then zero on your touchstone phone. Please note that this conference is being recorded. I now 0:26 26 seconds hand the conference over to Miss Nishita Bhatt from ad factors PR investor relation team. Thank you and over to you Miss B. 0:36 36 seconds Good morning everyone and thank you for joining us on Burana Viv Limited earnings conference call for the third quarter and 9 months ended 31st December 0:45 45 seconds 2025. Today we have with us Mr. Raj Kumar Borana, executive director and chief financial officer. We will begin the call with the opening remarks by Mr. 0:55 55 seconds Raj Kumar G B G B G B G B G B G B G B G B G B G Bana on the business operations broad outlook followed by discussion on the financial performance after which 1:02 1 minute, 2 seconds the management will open the forum for the Q&A session. Before we get started, I would like to point out that some statements made or discussed on today's 1:10 1 minute, 10 seconds call may be forward-looking in nature and must be viewed in conjunction with the risk and uncertaintities that we face. A detailed statement and 1:19 1 minute, 19 seconds explanation of these risks is included in the earnings presentation which has been shared with you all earlier. The company does not undertake to update 1:27 1 minute, 27 seconds these forward-looking statements publicly. I would now like to invite Mr. 1:31 1 minute, 31 seconds Raj Kumar Borana to make his opening remarks. Over to you sir. 1:36 1 minute, 36 seconds Thank you Nishida. Good morning everyone and thank you for joining us on Borana Business Limited by Earling Calls. This 1:43 1 minute, 43 seconds mark an important milestone in our journey as a listed company and we appreciate the continued support and 1:51 1 minute, 51 seconds interest from our stakeholders. Boronav Limited is fully integrated textile manufacturing company focus on unblit 1:58 1 minute, 58 seconds synthetic gray fabric with operations spanning from fiber to fabric under one roof incorporated in 2020 and 2:08 2 minutes, 8 seconds headquarter in Surat. We operate four advanced manufacturing unit equipped with modern infrastructure and high water jet looms. 2:17 2 minutes, 17 seconds These in integrated setups enable us to maintain consistent quality, faster turnaround times and strong execution discipline at scale. 2:28 2 minutes, 28 seconds Today we have 39.21 kon meter total installed capacity. Our product 2:36 2 minutes, 36 seconds forms the essential base for dying, printing and finishing across multiple hand segment including apperals, home 2:45 2 minutes, 45 seconds burnishing and technical textiles such as tent, hospital linens and waterproof fabrics. Our growth strategy is anchored to aobility, durability and scalability. 2:56 2 minutes, 56 seconds Any attributes that align with well with rising consumption of synthetic textiles. Our journey began in Surat as 3:05 3 minutes, 5 seconds a textile business and involved into manufacturing laying the foundation for scale and integration. A key milestone in our 3:14 3 minutes, 14 seconds journey was our stock exchange listing in 2025. 3:18 3 minutes, 18 seconds Alongside the commissioning of unit 4, marking a new space of growth and transparency as a listed company. 3:26 3 minutes, 26 seconds Importantly, our integrated operating model starting from POI provides inheritant cost and processing 3:34 3 minutes, 34 seconds advantages. This allows us to execute large order efficiently, benefit from economic of scales and maintain consistent quality across the volumes. 3:44 3 minutes, 44 seconds Our margin profile is directly outcome of our operating discipline. We operate at scale that is currently unmeasured 3:52 3 minutes, 52 seconds among the companies with a similar product focus. Market fermentation particularly among the small and less 3:59 3 minutes, 59 seconds integrated players does not materally impact our operating dynamics. Instead, capacity availability, delivery, 4:08 4 minutes, 8 seconds reliability and execution capability remains the key differentiate within the organization segment. 4:15 4 minutes, 15 seconds Strong flow efficiency supported by relatively low operating cost structure across the power fuel and labor 4:24 4 minutes, 24 seconds continuously to support the margin. This is further enforced by the bulk document of raw material enhancing both cost efficiency and supply reliability. 4:35 4 minutes, 35 seconds capital allocation has been at the core of our financial strategy and this has resulted a very strong balance sheet 4:44 4 minutes, 44 seconds that is net debt free with good return ratios from the industry standpoint the outlook 4:53 4 minutes, 53 seconds of the India's man-made fiber sector remains structurally strong polyester filament yarn continuously dominate the 5:01 5 minutes, 1 second segment accounting to the close to 80% of the total man-made fabric production in the country. This is driven by its 5:10 5 minutes, 10 seconds cost efficiency, versatility and increased application across April, home textile and technical textiles. Over the 5:18 5 minutes, 18 seconds past few months, demand condition of polyester yarn has improved and pricing are stabilized reflecting the healthier and more balanced market environment. 5:29 5 minutes, 29 seconds This has reduced the volatility across the synthetic textile value chain. 5:34 5 minutes, 34 seconds improved volume visibility and support more predictable operating condition for the manufacturers. Additionally, the 5:41 5 minutes, 41 seconds government recently anti-dumping pro on the imported polyistered textured yan and imported polister 5:50 5 minutes, 50 seconds partially yan signals policy support for the domestic manufacturers. 5:56 5 minutes, 56 seconds This is positively structural development that promotes fair competition improving price discipline and strengthens the long-term outlook 6:05 6 minutes, 5 seconds for the Indian synthetic yarn and fabric industries. 6:09 6 minutes, 9 seconds Q3 FI26 deliver a strong operational and financial performance. 6:16 6 minutes, 16 seconds We maintain healthy production levels reflect stable utilization and operational efficiency. Yan says during 6:23 6 minutes, 23 seconds the quarter remain robust indicating steady customer demand and sustained market 6:31 6 minutes, 31 seconds transactions. A key strategy development during the quarter was initiated of our structure transition towards the 6:38 6 minutes, 38 seconds renewable energy. Approximate 70 to 80% of the company current reh power requirement are expected to be met through the renewable energy sources. 6:49 6 minutes, 49 seconds Our renewable energy initiates are progressing as planned with a rooftop solar project of 3.54 megawatt awarded 6:58 6 minutes, 58 seconds to Luxi Electricals on track of commissioning in Feb 2026 and the 19.79 megawatt wind hybrid solar 7:09 7 minutes, 9 seconds wind hybrid project that includes 9.89 89 megawatt solar and 9.9 megawatt wheel awarded to cleanmax envir engineer 7:18 7 minutes, 18 seconds solution limited. Expect a common operation in May 26. 7:24 7 minutes, 24 seconds These projects are aligned with the company strategy to optimize the power cost, improve energy reliability and strengthen the sustainability across the operation. 7:34 7 minutes, 34 seconds Alongside our energy initiated, we are expanding capacity with an addition of approximate 7:41 7 minutes, 41 seconds 160 highspeed water jack rooms of the 64 has already be commissioned and 7:48 7 minutes, 48 seconds transacted in over 5 kilometers of incremental and new capacity. The communication of higher capacity and the 7:57 7 minutes, 57 seconds cleaner more stable power positions are strongly to scale operational while maintaining cost efficiency. 8:06 8 minutes, 6 seconds Looking ahead, our focus remain on the discipline and sustainable growth. Our integrated model provides resilences 8:14 8 minutes, 14 seconds across the cycle while scale enables us to capture rising demand from the synthetic textile. We will continue 8:22 8 minutes, 22 seconds prioritize operational efficiency, margin stability and responsible expansion. 8:29 8 minutes, 29 seconds We already have started strategy for doubling our capacity in next two years. 8:35 8 minutes, 35 seconds Sustainability remains amended in our operation through the water recycling, zero liquid discharge system, energy 8:43 8 minutes, 43 seconds efficient equipment, responsible source of the raw material. These initiates not only assuring regulatory compliment 8:51 8 minutes, 51 seconds compliance but also strengthen our long competitiveness and corporate reputations with capacity expansion, renewable 8:59 8 minutes, 59 seconds energy integration and strong execution capabilities. We believe Borana view is well positioned to deliver consistent 9:06 9 minutes, 6 seconds and profitable growth over the long term. 9:11 9 minutes, 11 seconds Let me now take you through the our financial performance for the 9th month ended on FI26. 9:18 9 minutes, 18 seconds We delivered another strong strong quarters in Q3 FI26 with a revenue of 9:26 9 minutes, 26 seconds 111.36 cr that is 111.36 cringing a 42% year on 9:33 9 minutes, 33 seconds year growth. The performance were driven by the strong order books and healthy sales volumes. Iita for the quarter 9:41 9 minutes, 41 seconds stood at 27.09 cr registered a strong 51% Y on Y growth with a margins at 9:49 9 minutes, 49 seconds 24.32% profit after tax for Q3 FY 26 increased 9:55 9 minutes, 55 seconds to 18.55 K reflected robust 63% Y on Y growth 10:03 10 minutes, 3 seconds turning to the 9 month performance revenue stood at 287.86 86 crores registered a strong 36% Y on Y growth 10:12 10 minutes, 12 seconds driven by the higher volumes following the commissioning of the highspeed loops and improved capacity utilization. EBITA 10:20 10 minutes, 20 seconds rose by 44% Yon to 65.9 cr 10:28 10 minutes, 28 seconds in line with an revenue growth reflecting healthy operating with a margin of 22.89%. 10:35 10 minutes, 35 seconds profit after tax 9 months FY26 rose to 47.40 K marking a robust 62% Y on Y growth with pack margin of 16.47%. 10:49 10 minutes, 49 seconds This performance reflects discipline execution disciplined execution and sustainable focus on the profitable growth anchor in sustainability. 10:58 10 minutes, 58 seconds In FI25 the total man fabric manufactured by us was 18.6 6 kon m during the first 9 month of FI26 that is 11:08 11 minutes, 8 seconds April to December 25 we already produced 16.31 kon meter of gray fabric reflect a 11:15 11 minutes, 15 seconds strong capacity utilization across the units further in Q3 FI26 the total fabric manufacturer stood at 6.6 6 cr me mters. 11:25 11 minutes, 25 seconds To the conclude, we are focused on executing our strategy discipline, maintaining operational consistency and 11:33 11 minutes, 33 seconds allocating capital through prudently as we move forward. Our objective is to build durable highquality business and 11:42 11 minutes, 42 seconds create long-term value for the stakeholders. With that, I now open the forum for the question. Thank you very much. 11:51 11 minutes, 51 seconds Thank you. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touchstone telephone. If 11:59 11 minutes, 59 seconds you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies 12:07 12 minutes, 7 seconds and gentlemen, we will wait for a moment while the question queue assembles. 12:12 12 minutes, 12 seconds The first question comes from the line of Raman KV sequent investments. Please go ahead. 12:19 12 minutes, 19 seconds Hello. Can you hear me? Hello. Uh hello. 12:26 12 minutes, 26 seconds Yes. Can you hear me sir? Yeah, I'm not getting so much clear. 12:33 12 minutes, 33 seconds Uh now can you hear me? Yeah. 12:37 12 minutes, 37 seconds Uh so my first question is with respect to the margins during this quarter. I uh I have noticed that your gross margin 12:45 12 minutes, 45 seconds improved mainly because of your cost of production decrease. So can you give any 12:53 12 minutes, 53 seconds uh hint on the raw material prices for the quarter and how are therefore the uh the coming Q4 how are you seeing the 13:02 13 minutes, 2 seconds mater raw material pricing to be going forward. 13:06 13 minutes, 6 seconds Okay. So there is a marginal increase in the gross uh profit ratio if you see on Y and Y. So in our segment the raw 13:16 13 minutes, 16 seconds material cost is not that much fluctuating but looking towards this quarter we will uh think that it may be 13:23 13 minutes, 23 seconds possible to increase more gross margin because from December the government has 13:30 13 minutes, 30 seconds free the anti-dumping duty the raw material which is coming from China and we are procuring the same. So in quarter 13:37 13 minutes, 37 seconds four it seems that gross margin profit may be uh better than this one also. 13:44 13 minutes, 44 seconds So uh I didn't get to you. I mean you said there is a add imposed on the raw material coming from China. So won't 13:51 13 minutes, 51 seconds that lift the prices of the raw material up? 13:56 13 minutes, 56 seconds Uh no. Uh previously there is anti-dumping duty. There is not actually anti-dumping duty. They have quoted as a 14:04 14 minutes, 4 seconds BIS that those companies who are having BIS certificate in China they can al only export to the India. But that was 14:12 14 minutes, 12 seconds now removed in December. So many of the companies, Chinese companies are now offering our raw materials 14:22 14 minutes, 22 seconds and that is when uh cheaper from the Indian raw materials. 14:32 14 minutes, 32 seconds Uh okay sir. And sir my second question is you have mentioned in your presentation with respect to for into technical textiles. Can you give some 14:40 14 minutes, 40 seconds highlight like what's the capeex outline? How much capacity are you planning to come with and how much revenue targets are are you planning from to have from the segment? 14:50 14 minutes, 50 seconds Yeah. So in technical textile we are nowadays it's an we are adding our products which goes 14:58 14 minutes, 58 seconds for the technical textiles. So actually we are not directly doing the technical textiles but our buyers which are buying 15:06 15 minutes, 6 seconds our fabrics they are doing the quoting on that fabric and use as a technical textiles. So we are increasing our uh 15:15 15 minutes, 15 seconds capacity in the same manner slowly and gradually. 15:21 15 minutes, 21 seconds Understood sir. And uh what's the kix outline for to increase this uh testing capacity? 15:28 15 minutes, 28 seconds uh it's depend upon the demands our machines are capable to produce these all technical textile fabrics as and 15:34 15 minutes, 34 seconds when required. So as and when the demand cames we are increasing these productivity and we are also trying to 15:42 15 minutes, 42 seconds catch such buyers which are using uh are in the technical tax. 15:50 15 minutes, 50 seconds Understood sir. Answer my last question is with respect to your unit 4B capex. 15:54 15 minutes, 54 seconds What was the capex cost for adding around 160 164 water jet looms and how 16:01 16 minutes, 1 second much incremental revenue do you expect coming from because of this addition of 16:07 16 minutes, 7 seconds 164 uh water jet looms in uh on annual basis. 16:14 16 minutes, 14 seconds Okay. So it will increase our capacity annually by the 5 K of meter of the fabric and the cost of this project will 16:22 16 minutes, 22 seconds be around 35 cr and uh how much incremental revenue will it add? 16:32 16 minutes, 32 seconds It will be around uh 60 to 75,000. uh 60 to 75 uh cr 16:39 16 minutes, 39 seconds it is uh additional revenue per year right per per year around 60 to 70. 16:46 16 minutes, 46 seconds Understood sir. So uh if my understanding is right by next year you will be able to fully utilize this capacity. 16:54 16 minutes, 54 seconds Yeah exactly understood sir. Thank you sir. 17:00 17 minutes Thank you. Next question comes from the line of Disha with Safire Capital. Please go ahead. 17:09 17 minutes, 9 seconds Hello. Hello. Am I audible sir? Yeah. Hello. 17:17 17 minutes, 17 seconds Yeah, please go ahead. Yes, you are audible. Please go ahead. 17:21 17 minutes, 21 seconds Yeah. So, regarding the commissioning of the renewable energy plant, what is the sort of power savings we are expecting annually? 17:30 17 minutes, 30 seconds uh it will be we are planning to around install whatever our present utilization 70 80 70 70 to 80% will be from the 17:38 17 minutes, 38 seconds renewable right so how much power savings are we expecting uh it will be the 17:46 17 minutes, 46 seconds around yearly 18 to 20 CR okay and regarding the capeex plan for 17:54 17 minutes, 54 seconds the next two I think you mentioned that we're planning to double our capacity over next two years so what is the What is our capex plan? If you could just throw some light on that. 18:03 18 minutes, 3 seconds Uh for doubling the capacity we already initiated because around 150 rooms are already we are planning uh in the unit 18:11 18 minutes, 11 seconds 4B. So that is a part of the same. So it will be around uh we going to be around 18:18 18 minutes, 18 seconds uh 350 to 400 cr total uh investment will be there to doubling our capacity 18:26 18 minutes, 26 seconds and out of that how we've done uh around how much till now 18:34 18 minutes, 34 seconds uh we have initiated so we have planned 160 room already in unit 4B 18:41 18 minutes, 41 seconds so presently we have 1,000 uh rooms so we planning to make it double by 2,000 and the four for the same already 160 18:48 18 minutes, 48 seconds looms is being initiated right okay and for that you spend around 35 cr as 18:56 18 minutes, 56 seconds you mentioned uh pardon please and for that you spent 35 cr till now 19:04 19 minutes, 4 seconds yeah 35 cr for the unit 4 okay all right okay thank you thank 19:15 19 minutes, 15 seconds Thank you. Next question comes from the line of Pam Bura with Pina Asset Managers. Please go ahead. 19:22 19 minutes, 22 seconds Hello. Am I able? Yeah. Thank you. 19:27 19 minutes, 27 seconds Uh sir, I wanted to ask that is there are you any help from the government? 19:33 19 minutes, 33 seconds Mr. Pora, sorry for interrupting. Uh you're not clear. Can you just come in the range and talk? Uh is it better now? 19:41 19 minutes, 41 seconds Yes, please go better. 19:43 19 minutes, 43 seconds Yeah. So what I wanted to ask was are you getting any or any you know any sort of help from the government currently? 19:53 19 minutes, 53 seconds So uh at in our running production yeah yeah yeah yeah we are having enjoying uh some 20:01 20 minutes, 1 second subsidies of interest and uh power. 20:06 20 minutes, 6 seconds uh sir can you brief a little bit about those? 20:13 20 minutes, 13 seconds So in the interest we are getting around uh 3% of our 3 to 4% of the interest that 20:23 20 minutes, 23 seconds is around you can say it's an uh 30 to 40% of the interest cost we are getting subsidy and in power we are getting 20:31 20 minutes, 31 seconds around 20 to 22% of the subsidy in a percentage wise it's a 2 rupees per unit and it is it will be for the five years. 20:41 20 minutes, 41 seconds So for the unit one it will be still 2026 then in unit 2 it will be 27 unit 3 it 20:49 20 minutes, 49 seconds will be the 4 2028 but meanwhile we will uh doing these renewables so that will not affect our margin at all. 21:00 21 minutes Okay. Thank you. Thank you. 21:07 21 minutes, 7 seconds Thank you. Next question comes on the line of Ankor Gulati with Genuity Capital. Please go ahead. 21:14 21 minutes, 14 seconds Thank you sir. Q3 21:25 21 minutes, 25 seconds Hello Mr. Please speak a little 21:36 21 minutes, 36 seconds total square meter of uh textile produced 6 cr 60 lakh 21:42 21 minutes, 42 seconds number exactly so 16 rupees 90 pes per square meter 21:49 21 minutes, 49 seconds which is higher than March F2 exchange. 21:58 21 minutes, 58 seconds Exactly. Yeah. Yeah. You are correct. 22:02 22 minutes, 2 seconds As for demanding as you know there is some winters and everything so they need some higher GSM 22:11 22 minutes, 11 seconds fabric that will increase the cost of the fabric and that's why the selling rate is higher. 22:27 22 minutes, 27 seconds Definitely month. 22:48 22 minutes, 48 seconds Okay. 22:52 22 minutes, 52 seconds Any specific reason 23:12 23 minutes, 12 seconds definitely it's on the better side. 23:16 23 minutes, 16 seconds So from this point onwards over one year period is that a fair 23:33 23 minutes, 33 seconds 16 plant capacity 76.6 March purchase financial year 96% any 23:41 23 minutes, 41 seconds specific reason 24:01 24 minutes, 1 second because of these backseat fabrics and shutting fabrics. So whenever% 24:16 24 minutes, 16 seconds again at least for next one year 77 24:29 24 minutes, 29 seconds utilization 75 over next 12 months again 80 85 24:38 24 minutes, 38 seconds S other income is quarter 24:56 24 minutes, 56 seconds on other income you are eligible. 25:04 25 minutes, 4 seconds to get the subsidies and now we are booking on a regular basis. So it will remain the same for 25:13 25 minutes, 13 seconds the next income tax rate which used to be 18%. 25:25 25 minutes, 25 seconds 17.2 25 25:40 25 minutes, 40 seconds jackets industrial 25:58 25 minutes, 58 seconds like already 26:11 26 minutes, 11 seconds completely 26:30 26 minutes, 30 seconds And last question% 26:59 26 minutes, 59 seconds 25 years is life renewable. True. 27:20 27 minutes, 20 seconds All the best will fall back. Thank you. Thank you. 27:26 27 minutes, 26 seconds Thank you. Next question comes from the line of Madurati with counter sector investments. Please go ahead. 27:33 27 minutes, 33 seconds Sir, thank you for the opportunity. Uh sir, I wanted to understand sir, how is the cost of production of this gray fabric for Indian players versus the 27:41 27 minutes, 41 seconds Chinese because Okay. 27:52 27 minutes, 52 seconds can't be usedirectly over China. 28:18 28 minutes, 18 seconds Okay. Because of duty 28:35 28 minutes, 35 seconds compilies are the higher side in the China 28:46 28 minutes, 46 seconds compared to India. So we can compete easily. That is not a challenge at all. Okay. Got it. 29:02 29 minutes, 2 seconds Okay. Wind project. 29:28 29 minutes, 28 seconds Okay. CR 105. 29:34 29 minutes, 34 seconds Yeah. 125 CR or 20 on an average. 29:54 29 minutes, 54 seconds But are we planning on making very high 30:05 30 minutes, 5 seconds value added products from these groups? 30:20 30 minutes, 20 seconds Okay. Sorry. 30:45 30 minutes, 45 seconds Got it. Also just final question. 30:54 30 minutes, 54 seconds Value added value added product. 31:28 31 minutes, 28 seconds during the year around 20 to 25%. 31:47 31 minutes, 47 seconds Okay. So thank you so much and all the best. Thank you very much. 31:55 31 minutes, 55 seconds Thank you. Next question comes from the line of Park Patel with Patel Investments. Please go ahead. 32:02 32 minutes, 2 seconds Good morning sir. Am I audible? Good morning. 32:07 32 minutes, 7 seconds Uh yes, you are investment 32:17 32 minutes, 17 seconds recycling for synthetic synthetic fabric manufacturing. 32:32 32 minutes, 32 seconds And uh secondly some other noncore capital allocation 32:43 32 minutes, 43 seconds equity investment but our target is not at all. Our target will be the purely the business only. 32:54 32 minutes, 54 seconds Last point what? 32:57 32 minutes, 57 seconds Broadly we'll invest in our uh running business only. This is a just and purely equity investment nothing else. 33:07 33 minutes, 7 seconds Okay. See got it. And secondly recently uh EU has suspended the generalization 33:14 33 minutes, 14 seconds scheme. So Indian textile defense for export have gone away in this year. So 33:21 33 minutes, 21 seconds directly indirectly which volume risk or indirectly are we planning to change the 33:28 33 minutes, 28 seconds export you know countries to probably UAE, Middle East or Africa or anything like that? 33:37 33 minutes, 37 seconds Direct country. 34:06 34 minutes, 6 seconds So we are not directly concerned with an export market. 34:21 34 minutes, 21 seconds Got it sir. Got it. That is helpful. And my last question is up margin expanded 34:29 34 minutes, 29 seconds quite a lot 24.3% this quarter. Uh so I just wanted to see moving forward the unit 4K 34:37 34 minutes, 37 seconds will see an increase in ITA margin to 25 or 25.5% or should we take this as a one-off and 34:46 34 minutes, 46 seconds keep around 23 to 24% only yeah gradually it will increase 35:01 35 minutes, 1 second it is going to be increased uh from uh quarter on quarter. 35:08 35 minutes, 8 seconds Okay sir. Okay. Got it. Thank you so much sir and all the best. Thank you very much. 35:15 35 minutes, 15 seconds Thank you. Next question comes from the line of Gavaral with AB Capital please go. Hello. 35:22 35 minutes, 22 seconds Hello. Am I audible sir? Yeah yeah audible. 35:26 35 minutes, 26 seconds Sir what is the percentage of texturized yarn sales in our total sales? 35:32 35 minutes, 32 seconds It is uh around 7%. 35:36 35 minutes, 36 seconds 7%. And do we plan to enter PO manufacturing in future? 35:42 35 minutes, 42 seconds Uh after uh these uh doubling the capacity uh we can uh think over this. Okay. Thank you sir. 35:51 35 minutes, 51 seconds Thank you. 35:54 35 minutes, 54 seconds Thank you. A reminder to all the participants that you may press star and one to ask a question. Next question comes from the line of Mitange, an individual investor. Please go ahead. 36:05 36 minutes, 5 seconds Yeah. Hello. Am I audible? Yeah. Yeah. 36:09 36 minutes, 9 seconds Thank you. Thank you for giving opportunity and congratulations on good set of numbers. Thank you. My question would be like uh normally what would be 36:17 36 minutes, 17 seconds our asset to turnover ratio like say suppose if we incur a capex of 100 crores like 36:25 36 minutes, 25 seconds full capacity utilization returns like 250 crores 300 crores. 36:33 36 minutes, 33 seconds Uh can you please pardon the question? 36:37 36 minutes, 37 seconds What will be the asset to turnover ratio like for a capeex of 100 crores will yield to maximum what revenue in the 36:45 36 minutes, 45 seconds pool utilization around to two to three times. Uh is it the same in gray fabric as well as yarn? 36:56 36 minutes, 56 seconds Yarn is our just you can see it's only 7%. 37:10 37 minutes, 10 seconds side. So we are keep our keep our capacity on the additional side and we are utilizing that capacity fully. So 37:18 37 minutes, 18 seconds whatever extra yarn is being manufactured is being sold but it is not in part and part of the business to sell the yarn. 37:26 37 minutes, 26 seconds Got it. Got it. Got it. So my next question would be like we have all the four units based out in Surat. So my 37:34 37 minutes, 34 seconds question be aren't we too much concentrated in one particular geography? I mean in terms of concentration are you planning to expand 37:41 37 minutes, 41 seconds somewhere else to you know you know just stabilize or you know in case of any you know whatever you know favorable 37:49 37 minutes, 49 seconds unfavorable conditions as being in one particular geography. 37:54 37 minutes, 54 seconds Yeah as you aware the Surat is a you can say the manchester of synthetic fabrics. 38:00 38 minutes So anything which is manufactured in V1D itali synthetic that fabrics come to Sudat for the uh another process. So 38:09 38 minutes, 9 seconds this is the best geographical of place in the India to produce the synthetic fabric and we are staying here from last 38:17 38 minutes, 17 seconds more than 50 years. So we don't think that any change is required because at the last the fabric is going to come to Surat only for the processing. 38:27 38 minutes, 27 seconds Got it. It is like what you're saying similar to the diamond hub basically. 38:32 38 minutes, 32 seconds Yeah. See diamond is what diamond it's only you can say they are doing these polishing work over here. 38:38 38 minutes, 38 seconds Correct. But for the jeweler is going going to the all over the India. 38:42 38 minutes, 42 seconds But in the diamond is being mining here, polishing here uh then jewelry here just 38:52 38 minutes, 52 seconds going the finished product from Surat to all over India and world that is the difference in fabric. Correct. Correct. 38:59 38 minutes, 59 seconds Correct. And uh my only final question would be like u you know what is the 39:06 39 minutes, 6 seconds current debt on books like how much is a long-term and how much is a working capital or shortterm. 39:12 39 minutes, 12 seconds Yeah 35 cr is uh our long-term okay and 25 cr is shortterm. 39:22 39 minutes, 22 seconds Okay as good as nil I mean we are almost you can say debt free. Yeah, exactly. 39:28 39 minutes, 28 seconds Fair enough. Fair enough. Yeah. Uh and uh what will be the blended overall utilization know for controlling all the four units? 39:37 39 minutes, 37 seconds Blended uh blended utilization knowh consisting of all the four units. 39:44 39 minutes, 44 seconds Yeah, it's around 82 to 83%. 39:47 39 minutes, 47 seconds And what maximum can we get from from this? What is the maximum that we can achieve? Up to 90%. 39:55 39 minutes, 55 seconds So we are almost breached or breaching the fin maximum utilization right. 40:01 40 minutes, 1 second Exactly. Fair enough. Yeah. And what the cash on reserves? I mean how much cash do we have as of now? 40:14 40 minutes, 14 seconds Hello to 40 CR. All right. That's it. 40:18 40 minutes, 18 seconds That's it. Thanks a lot and thanks for giving me opportunity and congratulations once again. Wish you all the best. Thank you. Thank you very much. 40:27 40 minutes, 27 seconds Thank you. A reminder to all the participants that you may press star and one to ask a question. 40:34 40 minutes, 34 seconds Next question comes to the line of wine with street smart investment. Please go ahead. Hello. 40:42 40 minutes, 42 seconds Hi. Hello. Hi. Am I audible? Hi. Good morning sir. Thanks for the opportunity. 40:48 40 minutes, 48 seconds [clears throat] 40:48 40 minutes, 48 seconds Yeah, sure. 40:51 40 minutes, 51 seconds Yes. Uh so so you have an estimated uh capex you have planned an estimated capex of 350 cr uh for doubling your 41:00 41 minutes capacity. So may I know how you will fund this capex? Will it be will you be further diluting your equity 41:09 41 minutes, 9 seconds after no equity dilution is not not at all planning. 41:13 41 minutes, 13 seconds Okay. So it will be majorly funded through debts and internal majorly from the internal equals or maybe by the debt. 41:23 41 minutes, 23 seconds Okay sir. Thank you sir. Okay. 41:29 41 minutes, 29 seconds Thank you. A reminder to all the participants that you may press star and one to ask a question. Next question comes from the line of Ankur Kulati with Genuity Capital. Please go ahead. 41:43 41 minutes, 43 seconds 4B 160 will be operational any time 4B 160 42:11 42 minutes, 11 seconds land 300 42:21 42 minutes, 21 seconds So approval we can yeah approval is not a challenge at all. We can get easily but as and when we start we have to take 42:29 42 minutes, 29 seconds the approval at that same time only but we are get it that that is not a challenge at all. 42:36 42 minutes, 36 seconds Okay. Thank you. Thank you. 42:44 42 minutes, 44 seconds Next question comes on the line of Ajit Shetty with AO Quantum Solutions. Please go ahead. 42:50 42 minutes, 50 seconds Yeah, thanks for the opportunity. Sir, can you please share the road map for doubling the production capacity from,000 looms to 2,000 looms by March 28? 43:01 43 minutes, 1 second Yeah. So already we have initiated as I told that 160 loom is being uh uh 43:07 43 minutes, 7 seconds started by this uh March uh this Feb end and balance we are planning in uh coming 43:14 43 minutes, 14 seconds uh two years. So slowly and steadily we are going to increase all this capacity by March 28th. 43:20 43 minutes, 20 seconds So, so, so by end of FYI 27, so what will be our exit exit capacity for loops? Uh, if possible, can you share? 43:30 43 minutes, 30 seconds By by 27, uh, we are planning to make it up to 1500. 43:39 43 minutes, 39 seconds Okay, sir. Thank you, sir. 43:44 43 minutes, 44 seconds Thank you. Ladies and gentlemen, as there are no further questions, we have reached the end of question and ask session. I would now like to hand the 43:52 43 minutes, 52 seconds conference over to Mr. Raj Kumar Purana for closing comments. 43:58 43 minutes, 58 seconds Thank you for being a part of our madame calls for your continued support. We look forward to engage you engage with 44:05 44 minutes, 5 seconds you in quarter ahead. Thank you very much. 44:10 44 minutes, 10 seconds Thank you. On behalf of Purana Waves Limited, that concludes this conference. 44:14 44 minutes, 14 seconds Thank you for joining us. You may now disconnect your lanes.