Clean Max Enviro Energy Solutions Ltd — Q4 FY26

Clean Max Enviro Energy Solutions Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=wb7yLlutdhg Published: 13 hours ago

0:01 1 second Ladies and gentlemen, good day and welcome to the CleanMax Q4 and FI26 earnings conference call. 0:08 8 seconds As a reminder, all participant lines will be in the listenonly mode and there will be an opportunity for you to ask questions after the presentation 0:16 16 seconds concludes. Should you need assistance during this conference, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. 0:28 28 seconds I now hand the conference over to Mr. 0:31 31 seconds Kulib Jen, founder and managing director at CleanMax for his opening remarks. 0:37 37 seconds Thank you and over to you sir. 0:42 42 seconds Thank you. Hi everyone. This is Kuba. Uh should we just wait a little while to see if we have all you know a quorum of participants and then we join? 0:52 52 seconds uh I don't know where we can monitor the number of people or the operator can give us any guidance and then we can start when most people are 1:29 1 minute, 29 seconds So I think we have 77 participants who have joined. So we will begin and um you 1:36 1 minute, 36 seconds know uh what we the format is we've just uh announced our results yesterday. Uh I'm Kep. I'm uh the founder and chairman 1:45 1 minute, 45 seconds and managing director of clean. Uh this is Nikunja CFO and uh we we will run through a presentation. I'll take the 1:53 1 minute, 53 seconds first business section. Nikun will take some financial highlights and then we will pause for Q&A. Right? That's the uh 2:01 2 minutes, 1 second format. So this is uh uh this is that I'll get going with the presentation. 2:10 2 minutes, 10 seconds So highlights for FY26. So we're trying to cover more first the highlights for the full financial year. uh which we will go through right now. 2:21 2 minutes, 21 seconds So clean match is India's largest CNI renewable energy provider. A few highlights of the year, operational 2:28 2 minutes, 28 seconds highlights of the year for you. Uh first is as of 1st April 2026 at the uh so at 2:35 2 minutes, 35 seconds the end of last fiscal we have 5.7 gawatt or 5,700 of contracted renewable 2:42 2 minutes, 42 seconds energy sales capacity. So we've contracted assigned PPAs for 5,700 megawatt as of the end of the fiscal. Uh 2:51 2 minutes, 51 seconds as of the end of the fiscal we have 3.1 gawatt operational out of this and 2:58 2 minutes, 58 seconds therefore 2.6 gawatt is contracted but in the process of being executed and in the last fiscal which is financial year 3:06 3 minutes, 6 seconds 2526 we have added new capacity of about 1,400 megawatt. Right? So that's the new 3:14 3 minutes, 14 seconds capacity addition that we have had in the last week. 3:20 3 minutes, 20 seconds Now operational highlights on financial highlights for the year. Our agenda is 1295 crores uh up about I think 28% from,5 crores for last fiscal. 3:33 3 minutes, 33 seconds Another dimension is uh leverage cost which is important in our business. It's uh reduced due to efforts of mikundian team from 9.2% 2% to about 8.5%. 3:45 3 minutes, 45 seconds Our consolidated profit after tax uh PAT has grown from about 19% in fiscal 2425 3:54 3 minutes, 54 seconds to 86 crores sorry 19 crores in 2425 to 86 crores in 2526 4:03 4 minutes, 3 seconds and these are receivable days remains broadly the same at about 25 26 days. 4:10 4 minutes, 10 seconds Some other financial highlights but now concentrating more on the quarter. Uh we 4:16 4 minutes, 16 seconds had a 350 cr rupee eida number um and 32% eida kagger over the last 3 years. 4:25 4 minutes, 25 seconds Again the consolidated PAT was 45 crores versus 17 crores in the last quarter of last year and the uh you know three-year revenue kagger is about 26%. 4:35 4 minutes, 35 seconds A couple of other business highlights is one is our 42% of our contracted 4:43 4 minutes, 43 seconds capacity is with data and AI. So out of the 5,700 megawatt of capacity that we have about 42% is for data and AI 4:52 4 minutes, 52 seconds customers. Uh to give you as in as investors or potential investors a sense of transition two years ago i.e. on 1st April 2024 this number was about uh 14%. 5:06 5 minutes, 6 seconds So in two years it's grown from 14% to 42%. But our overall business has grown 5:13 5 minutes, 13 seconds and as a result in megawatt terms this has grown nearly 10 times from about 240 5:20 5 minutes, 20 seconds megawatt to 2,400 megawatt. So 240 megawatt of data and AI contracted capacity in April 2024 has risen to 5:30 5 minutes, 30 seconds about uh uh 2,400 megawatt uh as of April 2026. So 2 years 10x for data and 5:38 5 minutes, 38 seconds AI. Uh and the other metric which we consistently monitor is that we continue 5:46 5 minutes, 46 seconds to have nearly 3/4 or 74% of new volumes that we contracted this past year was 5:53 5 minutes, 53 seconds with uh existing clients. So it's sort of our repeat business rate and it has for many years been consistently in that 6:00 6 minutes 75% type mark. uh so you know a lot of satisfied clients uh data and AI being 6:07 6 minutes, 7 seconds big uh uh part of part of our growth so that is one broad thing uh some more 6:15 6 minutes, 15 seconds details one is we added 1400 megawatt of capacity what this page gives you is where this capacity was added sort of in 6:23 6 minutes, 23 seconds which state and so on and therefore it starts with April 2025 start of the fiscal shows the capacity we added in 6:30 6 minutes, 30 seconds each year and looks at at the end uh March 2026 and therefore uh uh you know the the split there and one thing I 6:38 6 minutes, 38 seconds would like to highlight is if you look at where we are we have an extremely diversified set of growth engines in 6:46 6 minutes, 46 seconds terms of the number of states in which uh we are doing uh this business. In addition to uh state specific what we 6:55 6 minutes, 55 seconds call STU connected plants which supply green power to corporates we also have what you see as point number six which 7:02 7 minutes, 2 seconds is CTU connected projects uh which is 17% of capacity but I think about 12 13% 7:08 7 minutes, 8 seconds of our run rate a bit uh which supply big tech companies with uh IRC type solution and we have on-site solar which 7:17 7 minutes, 17 seconds is about 13% of capacity and I think maybe slightly more of our run rate aida. Uh so you know we have a very very 7:24 7 minutes, 24 seconds diversified uh pool of growth engines and a number of clients is the message I would like to highlight. The other thing 7:31 7 minutes, 31 seconds to highlight here is at the start of the year we had about 1,700 megawatt at start of last year we had 1,700 megawatt 7:41 7 minutes, 41 seconds of operational capacity. So it took us whatever 10 12 years to get to this number and in one year which is the same year when we did an IPO we added about 7:50 7 minutes, 50 seconds 1,400 megawatt of capacity ending the financial year at about uh 3,100 megawatt of operational capacity in the 7:59 7 minutes, 59 seconds re sales uh power sales segment. 8:04 8 minutes, 4 seconds The um the full book that we show is is in the following way. We have two business 8:11 8 minutes, 11 seconds segments as you're all aware. One is renewable energy power sales where we have long-term power purchase agreements. There the operational 8:19 8 minutes, 19 seconds capacity is about 3,100 megawatt as we see here. We saw on the last page the the spread. Then there's contracted and 8:26 8 minutes, 26 seconds yet to be executed capacity of another 2600 megawatt. Right? And the first two numbers are really where those numbers 8:34 8 minutes, 34 seconds were over the last two years to give you all a sense of the growth and the trajectory. And therefore the total re 8:41 8 minutes, 41 seconds power sales business is 5.7 gawatt of contracted capacity right as of 31st March 2026. 8:49 8 minutes, 49 seconds Um the second thing is we have an services business. This is really where uh we build plants for customers who 8:57 8 minutes, 57 seconds want to own the assets on their books and then typically have a lifetime of revenues from maintaining servicing and allowing them to uh to avail of our uh 9:06 9 minutes, 6 seconds common infrastructure and power transmission. Uh this was operational capacity of 555 megawatt but a lot of 9:13 9 minutes, 13 seconds under construction another 215 megawatt is under construction in this segment. 9:19 9 minutes, 19 seconds uh and therefore if you add both of these segments the total portfolio is about 6 and a half gawatt if you want to 9:26 9 minutes, 26 seconds focus only on the re power sales which is a PPA contracted sales is 5.7 uh gawatt 9:35 9 minutes, 35 seconds then some of the financial result highlights uh uh one in revenues are sort of grown by about uh 28% both on a 9:44 9 minutes, 44 seconds uh fiscal and almost similar number on a quarter uh bas basis. Our EIDA has uh 9:51 9 minutes, 51 seconds again grown by a similar 28% from about,5 crores to about 1295 crores. Um and the 10:01 10 minutes, 1 second margins you know in we have two business segments with very different margin profiles but we are glad to report that 10:08 10 minutes, 8 seconds margins have improved in both of our business segments. So business segment number one is renewable energy power sales where we sell power under the 10:16 10 minutes, 16 seconds long-term PPA. There the AIDA margins have improved from about 82% last fiscal to 83.5% in FY 2526. 10:27 10 minutes, 27 seconds Right? This is predominantly due to operating leverage. As capacities grow the operating expenses or SGNA does not 10:35 10 minutes, 35 seconds grow at the same pace. So the gross margin remains similar but you have an improvement in EIA margin. The second business line is AR services which has 10:44 10 minutes, 44 seconds grown from about 14.4% AIDA margin to about 19.6% AIDA margin. Uh so both 10:52 10 minutes, 52 seconds business segments have seen a uh good growth in the AIDA margin and a 28% growth in revenues overall translating 10:59 10 minutes, 59 seconds into a 28 uh% or so growth in Eida as well. uh and the reported PAT has then 11:07 11 minutes, 7 seconds seen a massive leap uh of about 4.4 times from slightly below 20 crores for 11:14 11 minutes, 14 seconds fiscal 25 to slightly in excess of 85 crores in fiscal 26. So that has been 11:21 11 minutes, 21 seconds the growth in the uh reported VAT as well. Um the other metric we always 11:29 11 minutes, 29 seconds point to in our business is run rate aida. Let me explain what is run rate AIDA. Uh run rate AIDA means as of uh 11:38 11 minutes, 38 seconds that point in the financials in this case 31st March 2026. 11:43 11 minutes, 43 seconds What is the run rate of the plants already commissioned if they operated for the full year right? So that run 11:50 11 minutes, 50 seconds rate EIDA number is about 1,870 cr rupees. Right? This grew from a 11:57 11 minutes, 57 seconds starting point run rate a bida of about 1140 cr rupees in uh you know as of 1 April 2025. 12:08 12 minutes, 8 seconds Now as as a rule we do not as a company give a e aida forecast or guidance for next year right but what we have 12:16 12 minutes, 16 seconds historically seen is that the reported eida is about 1.1 times the run rate 12:23 12 minutes, 23 seconds eida as you can see the reported eida here was um uh 11 11 12:31 12 minutes, 31 seconds uh5 crores uh which is about uh 1.1 950 crores And the reported EIDA here is 12:39 12 minutes, 39 seconds 1295 crores which is again 1.1 1140 crores run rate AIDA right so so that's the the way it happens which is at the 12:49 12 minutes, 49 seconds start of the financial year whatever is the run rate aida you should make that much maybe slightly more right that's 12:56 12 minutes, 56 seconds how the uh thing works but again it's not a forecast we're just telling you uh what has happened in the past so our run 13:04 13 minutes, 4 seconds rate abita at the start of the current fiscal again is 1,870 crores. Right? So 13:11 13 minutes, 11 seconds that's uh the the number we have uh right here. Now uh there are few things which we pointed out as what could be 13:20 13 minutes, 20 seconds either positive or negative around whether this run rate aida translates fully into the reported AIDA or not 13:28 13 minutes, 28 seconds right what are the if you will the upsides and downsides to it. So there are three points which we wanted to explain about our business. 13:37 13 minutes, 37 seconds The first is post any cood like you achieved a commissioning or you're ready to begin operations it takes about 3 to six months for revenue stabilization. 13:47 13 minutes, 47 seconds This happens due to various factors. 13:49 13 minutes, 49 seconds Technical plan stabilization. Some documentation may happen. Some regulatory final final approval may take time. There may be a ramp up phase. So 13:57 13 minutes, 57 seconds all of that is one thing. Second is we have a 525 megawatt CTu project in 14:04 14 minutes, 4 seconds Rajasthan. This is about 12% of our run rate aida. And Rajasthan CTU projects as 14:12 14 minutes, 12 seconds you're all aware have been facing some grid backdown. 14:16 14 minutes, 16 seconds uh so there is some risk in full realization of this to the extent of the backdown but in terms of quantifying 14:23 14 minutes, 23 seconds that risk it applies to about 12% of our run rate right so if the backdown is uh the grid 14:32 14 minutes, 32 seconds believes that backdown will continue for another 6 months and if it is say 40% then uh the the risk is only 12% of our 14:41 14 minutes, 41 seconds aida for 6 months to that 6% and 40% of that so that's on 2 and a half% of AIDA it continues for the whole year and back 14:50 14 minutes, 50 seconds down is 50% then the risk is 6%. So you know that's how we would think about it and quantify. 14:57 14 minutes, 57 seconds Uh the last point is that however uh you know there there are assets which we have so we keep adding assets so that 15:06 15 minutes, 6 seconds would be a sort of upside uh to it right. So, so that's the um uh basis of these numbers. 15:18 15 minutes, 18 seconds Now, we the other thing we wanted to highlight is that look, we have a huge diversity in terms of our growth uh 15:28 15 minutes, 28 seconds levers and we'll show you how our pie chart has shifted. Often I get questions from uh potential investors about uh 15:36 15 minutes, 36 seconds concentration of risk in different states or different clients and so on. 15:40 15 minutes, 40 seconds And we always like to highlight that we are both very diversified and if you see the movement over a period of time you 15:47 15 minutes, 47 seconds will realize that the level of diversity of uh this uh risk has only improved. So you know we have various types of 15:55 15 minutes, 55 seconds projects which are ST projects um we we've broken them up into the state of Karnataka ST projects state of Gujarat 16:02 16 minutes, 2 seconds and others there projects they're on-site rooftop solar projects. So if you look at 1st April 2023 16:10 16 minutes, 10 seconds uh you know Karnataka this is again three years ago was a lion share about 60% and on-site solar was 30%. So you 16:18 16 minutes, 18 seconds could say 10% is everything else. This is as of three years ago. Then if you see the very next year, Gujarat became a 16:26 16 minutes, 26 seconds bigger share became about uh uh you know uh uh 36%, Karnataka was 43% and on-site 16:34 16 minutes, 34 seconds solar was 17%. Uh but again this keeps diversifying over time. If you look at the start of last fiscal, this is how 16:42 16 minutes, 42 seconds that pie chart look. And if we look at it now, 1st April 2026, uh you know the other states put together is is now quite chunky. It's 16:51 16 minutes, 51 seconds about 14% for the other states and this share will keep growing as we have a lot more capacity coming up in these states. 16:59 16 minutes, 59 seconds In addition, we've got CTU as a growth segment. Now, as you can see here, it's about 12 or 13% of our run rate. 17:09 17 minutes, 9 seconds uh and therefore it's looking more and more diversified. Now within each of these states, these are not contracts 17:16 17 minutes, 16 seconds with government offtakers. Each of these states has a lot of diversification within it. As an example, if you look at 17:24 17 minutes, 24 seconds Karnataka, which is now 33% of our run rate in Karnataka alone, I'll draw your attention to the footnote, which is this 17:33 17 minutes, 33 seconds is spread across six sites, 55 customers with 71% of the capacity in solar and 17:40 17 minutes, 40 seconds 29% in wind, right? Is extremely diversified across sites which are physical generating locations. That is 17:49 17 minutes, 49 seconds important because um you know if you have unitary risk all your production is in one site anything happens to the site or there's backdown or there's any 17:57 17 minutes, 57 seconds technical issues then you have an issue here we are across six sites. Second is customer diversification is important. 18:04 18 minutes, 4 seconds Our average PTA is about 12 to 13 megawatt. So you know we have 55 customers and wind and solar 18:11 18 minutes, 11 seconds diversification is also important. So you will see last year we had slightly lesser generation from solar but a lot 18:18 18 minutes, 18 seconds more generation in wind. This year uh people are talking about the El Nino weather effect. El Nino typically 18:26 18 minutes, 26 seconds corresponds with lower wind output, right? But you'll have less rainfall, less winds. So you'll have more solar 18:33 18 minutes, 33 seconds out. So that diversification is is uh important as well. And that's only in one state and then we have so many states. So I want to highlight that in 18:41 18 minutes, 41 seconds our business model. We have a lot of diversification which is great from a risk perspective. 18:47 18 minutes, 47 seconds We it also means we have a lot of growth engine. So we have a diversified pool of growth engines and a diversified away risk uh framework. 18:58 18 minutes, 58 seconds Then we have some uh key unit economics provided. I will not touch upon these but uh we went through these in our last 19:05 19 minutes, 5 seconds analyst presentation as well. Um uh you know one thing to highlight we consistently operate at very profitable 19:14 19 minutes, 14 seconds levels uh in terms of our investment economics. If you look at our tariff for 2,600 megawatt which is contracted and 19:22 19 minutes, 22 seconds under execution, right? 2,600 megawatt contracted and under execution which will come up in fiscal 26 27 and 2728. 19:33 19 minutes, 33 seconds These are contracted at an average tariff of about 3.85 rupees per unit of 19:39 19 minutes, 39 seconds power. And this is uh about 70% solar, 30% wind and uh no real not much battery 19:48 19 minutes, 48 seconds storage within very very minuscule amounts of battery storage. So I would say this is fully uh no storage is one way to put it 3.85 is the average tariff 19:57 19 minutes, 57 seconds of portfolio with uh for growth in the next two years for portfolio with 70% solar and 30% wind. 20:06 20 minutes, 6 seconds Right? So that is what I would highlight in terms of economics. Um and I will request Nikush now to present the next few pages which I have to do. 20:15 20 minutes, 15 seconds Uh you can do that. So I've just been instructed I have to tell these so I'll continue. Um so okay we'll come to a few 20:23 20 minutes, 23 seconds more business updates. Uh again here we want to talk about the fact that data and AI we've seen tremendous growth. is 20:31 20 minutes, 31 seconds 42% of our total contracted capacity up from 14% 2 years ago and as a result 20:38 20 minutes, 38 seconds it's grown from about 240 megawatt to 2400 megawatt. Um a lot of these have happened in the last one year in data 20:46 20 minutes, 46 seconds and AI space but we are delighted to have got first few you know have have 20:52 20 minutes, 52 seconds got an inroad uh 01 account into uh Princeton digital group and Iron Mountain which are very important and 21:00 21 minutes growing players in the data center space and we're delighted to be able to publicly report that we have a lot of repeaties with customers like STD data 21:09 21 minutes, 9 seconds as well. Uh in addition in terms of what is conventional industries which is really everyone has consu power. We've 21:15 21 minutes, 15 seconds contracted a lot of volumes um and you know uh done it across industries and sectors but yeah uh big players to talk 21:25 21 minutes, 25 seconds about are in cement and auto components um uh tire manufacturing chemicals and so on. 21:34 21 minutes, 34 seconds So our contracting run rate is very strong. So as of uh the start of this fiscal we have 2600 megawatt contracted 21:41 21 minutes, 41 seconds yet to be executed. Um uh we last year we built 1.4 gawatt. We also fully 21:48 21 minutes, 48 seconds replenish that pipeline by having 1.4 gawatt of contracts. Um the guidance we are giving we we don't give guidances on 21:57 21 minutes, 57 seconds financial numbers for next uh fiscal but our guidance on new capacity addition is that we will have at least 1,500 uh 22:06 22 minutes, 6 seconds megawatt or 1.5 gawatt of re power sales capacity addition in financial year 2627 22:14 22 minutes, 14 seconds uh right and we we are very confident of being able to achieve uh these numbers uh few other uh 22:23 22 minutes, 23 seconds operating parameters around that one is uh repeat business rate continues to be very high about 75% of new volume. So if 22:30 22 minutes, 30 seconds we say we contracted 1.4 4 gawatt uh 3/4 of that 75% is uh with existing 22:37 22 minutes, 37 seconds customers. Um we continue to serve the biggest and best corporates from day one of founding. This has been our core 22:45 22 minutes, 45 seconds purpose and something which has caused us to do very very well which is clean serves the biggest and best companies. 22:53 22 minutes, 53 seconds 82% of our volumes are with clients who are credit rated double AAA or multinationals. another 14% is with A 23:00 23 minutes rated and therefore 96% with with credit rated A and above and 82% is double AAA M and C and the the numbers on the top 23:09 23 minutes, 9 seconds and bottom half are uh correlated because if you do a great job of serving the biggest and best customers they are 23:17 23 minutes, 17 seconds the ones who are growing and have a lot of facilities so you get a lot of new opportunity to to add capacity uh with 23:23 23 minutes, 23 seconds with them. A few other numbers our PPA tenor remains very robust. We have about 23:30 23 minutes, 30 seconds 23 years is our average PPA tenure. It is no less than the utility players. Uh but it is at a very profitable tariff 23:39 23 minutes, 39 seconds without storage. It is 3.85 again as I said for a mix which is 70% solar and 23:45 23 minutes, 45 seconds 30% wind. uh we have 588 customers and we're consistently adding more states in 23:52 23 minutes, 52 seconds which we are doing renewable energy power sales. Uh we are currently dispatching power in more than seven states and I think this year uh we are 24:00 24 minutes looking forward to add a number of new states. We currently have under construction in states like Rajasthan and Andhra Pradesh uh and Uttarakhand. 24:10 24 minutes, 10 seconds So you know we are adding new states to this uh mix. 24:14 24 minutes, 14 seconds The other aspect in our business is execution discipline. This is u uh very very core uh in our kind of business. 24:25 24 minutes, 25 seconds So first is in terms of growth. 24:28 24 minutes, 28 seconds If you look at the total capacity we added across both re power sales as well as services segment we added about 1471 24:37 24 minutes, 37 seconds megawatt of capacity compared to less than 500 in the last year. So in our IPO year we grew the amount of capacity 24:45 24 minutes, 45 seconds being commissioned by 3X. The other thing is if you're building plant are you able to build them in time and 24:52 24 minutes, 52 seconds within budgets right we are very proud that over the last four years consistently we have executed our plans 25:00 25 minutes and capacities uh within the budgets and that's the tip of the iceberg kind of metric because you can't have that if 25:07 25 minutes, 7 seconds you did not have uh robust project development in terms of land and permitting if you did not have good project management if you did not have 25:15 25 minutes, 15 seconds good supply chain management good financial discipline um you know if you did not take care of your ro and transmission issues in time so all of 25:24 25 minutes, 24 seconds this factors in to deliver a robust uh so of achieve cost to budgeted number and I would like to highlight that it's 25:33 25 minutes, 33 seconds a multi-year thing it's not just a one-time aspect charging 25:45 25 minutes, 45 seconds the uh third thing is uh we we have a uh grid uptime. You know, one of the factors people talk about is uh uh what 25:53 25 minutes, 53 seconds is the grid uptime um that you're facing because the uh the um particularly for plants in CTUs there is a lot of uh 26:03 26 minutes, 3 seconds issues with backdowns and curtailment risk. So our achieve grid uptime continues to be well in excess of 99%. 26:11 26 minutes, 11 seconds So therefore it indicates almost a no curtainment scenario because 99.25 is really the remainder 0.75% 26:19 26 minutes, 19 seconds is uh not even curtainment is really the expected downtime or um maintenance time that grids also need for their lines and 26:28 26 minutes, 28 seconds substations. Uh and this is largely because our is fully into STUs. So uh last year we had no curtisement as I 26:37 26 minutes, 37 seconds said in my commentary earlier. Yes, 12 to 13% of our run rate and bida is CPU project which has just commissioned and 26:45 26 minutes, 45 seconds for that project to that extent we extract some to see some more curtailment but curtailment is a very CTu issue and really not an STU issue as 26:55 26 minutes, 55 seconds evidenced by these numbers. Then if you look at the PLF of our plants uh you know last financial year was a great year in terms of wind power generation. 27:03 27 minutes, 3 seconds So we saw wind PLF rise from 32% to 35% uh but but the solar offside PLF I think 27:12 27 minutes, 12 seconds this is hidden by decimal points but is slightly lower because the radiation was slightly lesser. So technically both our wind and solar plants continue to do 27:21 27 minutes, 21 seconds very well in terms of uptime and technical performance. But yes in terms of resource availability last year was a 27:28 27 minutes, 28 seconds good year for wind slightly less of a good year for solar and that reflects in the PLF. Now 27:35 27 minutes, 35 seconds uh there was a press announcement last week which we put out. These are some snippets from that of our joint venture with Apple. uh under that joint venture 27:45 27 minutes, 45 seconds uh uh Chainmax owns 51% and Apple India Private Limited owns 49%. 27:52 27 minutes, 52 seconds Apple is investing 104 crores of equity for a 49% equity stake in 150 megawatt of projects. These are three different 28:01 28 minutes, 1 second uh projects. They they actually do not supply the power to Apple but uh these are their uh financial uh investments 28:08 28 minutes, 8 seconds and projects uh with us. And this is our second joint venture with Apple. We had uh one which was announced in 2024. Um 28:16 28 minutes, 16 seconds and this builds upon that. So this is just one other announcement I want to make. I'll hand over to Nikush to take us through the financial. Uh thank you 28:24 28 minutes, 24 seconds Khalif. Uh uh so we have the quarterly and uh yearly numbers here Q4 and full year. I think the revenue and patenta 28:33 28 minutes, 33 seconds could be already touched upon. The only point id like to highlight here is that both segment which is power sales and re 28:40 28 minutes, 40 seconds services continues to do well and both have seen the uh 30% 28 to 30% kind of a 28:47 28 minutes, 47 seconds growth uh and primarily on the balance sheet numbers the gross block and capital work in progress reflect the the 28:56 28 minutes, 56 seconds capacity addition which we have done and are also doing and the net debt number of 9,600 crores approximately 29:05 29 minutes, 5 seconds uh for the end of the year is broadly in line with uh what the capacity addition is and then broadly in the metrics of 29:13 29 minutes, 13 seconds the net to bid which we track and total liquidity does reflect now the IPO proceeds. So there are the key messages 29:20 29 minutes, 20 seconds on this slide. Uh the the specifics of covered earlier. So I'd rather move to the next slide. 29:32 29 minutes, 32 seconds uh revenue from operation u u uh both segment if you see the uh power sales 29:39 29 minutes, 39 seconds and the uh we have two segment which is power sales and services we've seen the growth in both the segment and the 29:47 29 minutes, 47 seconds margin expansion uh if we if I draw your attention to the margin uh comparison for power sales and the services the 29:55 29 minutes, 55 seconds gross margin profile for power sales remains consistent at around 92 to 93 3% 30:02 30 minutes, 2 seconds but there is a margin expansion there because of the operating leverage with the scale of operation and I services 30:10 30 minutes, 10 seconds business we had uh very healthy year last year compared to previous year and the both gross margin and the margin 30:17 30 minutes, 17 seconds expanded uh and what is other parameters beyond margin which we should spend some 30:23 30 minutes, 23 seconds time on is u is is uh the uh cash flow profile of the business and the leverage 30:30 30 minutes, 30 seconds against So this one metrics which we very carefully uh monitor is that how the cash flow and the net debts are 30:38 30 minutes, 38 seconds building up. Uh and here is the uh the the word of waterfall which we see wherein the cash flow in our business 30:46 30 minutes, 46 seconds when the assets get stabilized which typically takes a 9 months to 12 months then the debt against it becomes fully 30:54 30 minutes, 54 seconds self sustaining. So that's why this metrics of what are the projects operational for more than a year and what is the IBIDA generated which is a 31:02 31 minutes, 2 seconds proxy of the cash log in those project and that is around if you look at that number on the left hand side which is 31:07 31 minutes, 7 seconds the dark green bar is is around 4.3x net debt to that is well beyond well below 31:15 31 minutes, 15 seconds our target of 5 to 5.5 range. So once the assets stabilize they become fully self sustaining and of course we added lot of capacities last year. So there 31:24 31 minutes, 24 seconds was a additional net debt which get added but those assets are still uh just recently got commission or still under 31:31 31 minutes, 31 seconds construction. So that's very important to understand in terms of the buildup of the cash flows and the net debt and that's what we tried to provide which 31:38 31 minutes, 38 seconds would not just visible on the face of the balance sheet. uh 31:47 31 minutes, 47 seconds uh the other uh and this is for our power sales segment because 90% of the IIDA comes from the power sales which is 31:54 31 minutes, 54 seconds more run than an NUB business. Uh here what we're trying to explain is that there is a consistent increase into the 32:02 32 minutes, 2 seconds IIDA margin though the gross margin remains flat at around 93% because it's a very high gross margin business that's 32:10 32 minutes, 10 seconds very stable and predictable 92 to 93% gross margin which is visible over 5 23 32:17 32 minutes, 17 seconds 25 26 or four years uh but the the increase initiatives merely the SGNA 32:24 32 minutes, 24 seconds compressing as a percentage of total income from 18% to 9% which is what the operating leverage now getting reflected 32:31 32 minutes, 31 seconds on the IIDA and uh and we believe that we are now reaching to the critical mass. It's not that ADC will we will 32:40 32 minutes, 40 seconds continue to just reduce the SDNA at the same pace but happy to see that the numbers are reaching uh to the more critical mass level. 32:54 32 minutes, 54 seconds The other important aspect of our business, it's a high capital intensive business and we have to take leverage uh for our growth and to fund our capital 33:03 33 minutes, 3 seconds expenditure and that is why the cost of financing is a very important uh metrics for us to track look at and see what we 33:12 33 minutes, 12 seconds should do on a consistent basis to keep it uh uh on a reducing trend or or keep it uh very much in line. Uh uh in last 3 33:21 33 minutes, 21 seconds years we've been able to consistently reduce it from 9.4 4 to 8.5%. 33:26 33 minutes, 26 seconds This primarily because of the mix of refinancing of the portfolios once they get matured and then able to bring down 33:34 33 minutes, 34 seconds the cost of financing on that also a strategy of moving on a regular basis some debt to the fixed debt or a fixed 33:41 33 minutes, 41 seconds rate debt which then not subjected to significant interest rate risk. uh so for example as on March 2026 40% of our 33:50 33 minutes, 50 seconds portfolio is fixed rate uh financing and that remains constant so once we 33:57 33 minutes, 57 seconds refinance we try to do that that helps and then other thing is that is the 34:03 34 minutes, 3 seconds leverage profile self sustaining so the DACR which is the debt surface coverage ratio it was 1.3x for the FY26 for the 34:13 34 minutes, 13 seconds project which are stabilized and been operating for more than 12 months and also the asset liability uh management 34:20 34 minutes, 20 seconds that if PPS tenure is 23 years we always ensure that the weighted average loan is less than that. So as the weighted 34:29 34 minutes, 29 seconds average loan profile is 19 years and the cash flow contracted is more than that that also gives the visibility on the regular servicing and of course the net 34:38 34 minutes, 38 seconds debt to embida and the credit rating profile of the company uh that that is another two parameters we consistently track and monitor. 34:48 34 minutes, 48 seconds So we we'll stop here in terms of our presentations to you all and uh we are on for questions now. Thank you. 34:59 34 minutes, 59 seconds Thank you very much. If you can just open it. 35:03 35 minutes, 3 seconds Certainly sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone telephone. 35:12 35 minutes, 12 seconds If you wish to remove yourself from the question Q, you may press star and two. 35:16 35 minutes, 16 seconds Participants are requested to please use handsets while asking a question. Ladies and gentlemen, we will now wait for a moment while the question queue assembles. 35:26 35 minutes, 26 seconds Our first question is a text question from Venit Jen from Verdein. 35:40 35 minutes, 40 seconds What impact do you see on your business due to ongoing Iran war and supply constraints? Any impact on rate of interest or increase in project capex module cost due to FX movement? 35:56 35 minutes, 56 seconds We have not yet seen any material adverse movements in terms of either availability 36:04 36 minutes, 4 seconds of equipments or in terms of material movement in uh capital costs. Right? 36:12 36 minutes, 12 seconds This is what uh I would say. Uh so we not yet seeing any material movements uh which could be attributed to the uh war 36:21 36 minutes, 21 seconds in Iran and so on. Uh that said, of course, it's a volatile situation. So, you know, uh with with that caveat, this is what I can share. 36:33 36 minutes, 33 seconds Thank you. Next question. 36:35 36 minutes, 35 seconds Our next question is from the line of Mohit Kumar from ICIC Securities. Please go ahead. 36:42 36 minutes, 42 seconds Hi, good afternoon and thanks for the opportunity. My first question is how much of your under construction capacity 36:49 36 minutes, 49 seconds which is of around 2.6 is cloud I believe is under C2 connection and how do you think about the curtailment for 36:57 36 minutes, 57 seconds the new capacities and does your PPA provides for any protection? Yeah. 37:05 37 minutes, 5 seconds So uh Mo in the next year as we had said earlier so firstly Mo welcome nice to uh have you on our call thank you uh so as 37:15 37 minutes, 15 seconds we've said uh we will have a minimum of 1500 met being added every year uh uh so 37:23 37 minutes, 23 seconds for FI 2627 we've given a guidance that the company will add a minimum of 1500 meowatt 37:30 37 minutes, 30 seconds uh 530 megawatt is the size of one CT project they adding with your question was specifically in CPU and this is 450 37:39 37 minutes, 39 seconds megawatt of wind and about 80 megawatt of solar uh in a substation called Kop right so this is in Karnataka state 37:48 37 minutes, 48 seconds m uh so it's predominantly wind capacity being being added uh this year and I think in in in uh generating profile of 37:57 37 minutes, 57 seconds wind hours in south India I think containment has been relatively minimal is what I'm I'm um uh hearing in 38:06 38 minutes, 6 seconds the industry. So so we are hopeful on that. I think the containment issue is much more CPU and much more concentrated 38:13 38 minutes, 13 seconds on Rajasthan and Gujarat. Um of the remainder capacity about a gawatt we 38:20 38 minutes, 20 seconds will add in SQU maybe more let's see uh and on those we don't see curtailment kind of uh challenges. So that's part 38:28 38 minutes, 28 seconds one of your question in terms of CPU capacity. Um and and every year the way I would say is every year we adding 38:35 38 minutes, 35 seconds about one project in CPU which is 500 megawatt and the remainder which is 1 gawatt in SD right and at the start of 38:45 38 minutes, 45 seconds uh or or out of 3100 megawatt about 12% of our run rate every was CPU. So we have a small starting point and 38:53 38 minutes, 53 seconds therefore honestly compared to other players of the industry the CT containment issues are less for us right because because of this diversification 39:02 39 minutes, 2 seconds of risk and a dominantly uh uh or 100% CNI 88% STU uh or rooftop 39:12 39 minutes, 12 seconds portfolio uh as of 1 April 2026 you know these these backdown issues impact us less that's that's what I would Uh what another aspect of question? 39:28 39 minutes, 28 seconds Uh do the PPS provide protection for that? uh as in look not in a way that if 39:35 39 minutes, 35 seconds the grid is curtailed I'll still pay you which is I think where your question is going that you know uh people you know 39:43 39 minutes, 43 seconds because obviously corporate customers do not uh have paper for performance contracts and if for whatever reason internal or external uh you are unable 39:51 39 minutes, 51 seconds to generate the power they're not liable to understood uh my second question is how do you think about the impact of the new 39:59 39 minutes, 59 seconds deviation mechanism Of course I think is most likely to impact the CTU connect C2 connected projects but how can it impact 40:08 40 minutes, 8 seconds your revenues if it goes through in current form and what are the mitigation which is available to us. Yeah. 40:18 40 minutes, 18 seconds So uh Mo we don't have a final decision on that yet uh but I'll tell you what our current state of play of thinking is 40:27 40 minutes, 27 seconds and by when we expect to have a final decision. Okay. So one is for the benefit of again everyone uh that the DSM roots came in I think a few weeks 40:36 40 minutes, 36 seconds ago um and uh because they seemed quite ownorous on power producers and apply really to all power producers. It's not 40:44 40 minutes, 44 seconds about us it's about the entire industry uh they were probably taken by to court and even just yesterday the M&R minister 40:51 40 minutes, 51 seconds had a statement about constant meetings between MRE and Ministry of Power to try to find a uh solution to this issue. So 40:59 40 minutes, 59 seconds firstly it is not a settled issue in itself right it is both subjudice as well as the government has openly said that we are trying to resolve it and 41:07 41 minutes, 7 seconds it's an industrywide issue is is one way of uh thinking about it. Uh second is honestly the impact is relatively recent 41:16 41 minutes, 16 seconds or or the announcement is relatively recent and therefore our own internal calculations of impact are not mature 41:24 41 minutes, 24 seconds enough to share with an external investing audience yet. Right? So it's not like they're not working on it but you know it's not yet mature enough 41:32 41 minutes, 32 seconds where we are sure that this is the estimated impact and the uh it is complicated because what you will need 41:41 41 minutes, 41 seconds to do the whole industry will need to do is improve their forecasting system. 41:47 41 minutes, 47 seconds But how much improvement do we think we can bring about right because we've not yet started doing it is is the 41:54 41 minutes, 54 seconds assumption which we all have to work on in uh these kind of mechanisms exists all over the world and in other 42:01 42 minutes, 1 second geographies people have invested in and improved their ability to forecast very accurately the power generation outcomes 42:09 42 minutes, 9 seconds of solar and wind power plants. So you know to that extent uh that has to be done. Now the big mitigation for this is 42:17 42 minutes, 17 seconds can we look at energy storage to do two things. One is to limit the downside from DSM or 42:27 42 minutes, 27 seconds curtailment kind of issues. So that's a limit the downside benefit of energy storage but there's also capture value 42:34 42 minutes, 34 seconds on the upside because store data and power and uh pump it into the night when the tariffs are higher. Um so that's the 42:43 42 minutes, 43 seconds thing we are looking at but this will also have to be blended in with our customer contracts. So we expect that in 42:51 42 minutes, 51 seconds three or four months time we will be able to make a proper announcement uh to to investors in terms of what we are 42:59 42 minutes, 59 seconds doing in terms of what investments we are doing in storage and what um that impact is on both DSM curtailment and 43:06 43 minutes, 6 seconds revenue side but it it is uh you know we we haven't yet made a uh decision right 43:13 43 minutes, 13 seconds but there is definitely work underway understood sir thank and best of luck thank Thank you. 43:24 43 minutes, 24 seconds Our next question is from the line of Gorav Bermiwal with Access Mutual Fund. Please go ahead. 43:30 43 minutes, 30 seconds Uh hello sir, thank you so much for giving me this opportunity. Uh so two questions. Uh one, can you throw some light on what is this cash flow hedge uh 43:39 43 minutes, 39 seconds on which we booked a below patite 414 crores of gains pre-tax? Uh that's one. 43:46 43 minutes, 46 seconds Second, can you just uh help me understand uh why do we have loss for uh minority interest uh in non-controlling 43:54 43 minutes, 54 seconds interest? I think that when we attribute the pack uh between uh our our own company and uh minority investors uh I mean minority interest for our FB. 44:07 44 minutes, 7 seconds So could you I'll take both the questions. Uh so uh first one is the cash flow hedge is uh nothing but a 44:14 44 minutes, 14 seconds accounting uh uh entry which is there against our uh VPBA uh or or uh IRA 44:21 44 minutes, 21 seconds contracts uh wherein the uh it's a contract for difference whereas the power has to be sold on the exchange but 44:30 44 minutes, 30 seconds there is the the derivative portion is paid as a contract for difference. So based on the power curve analysis and power price projections of 25 years you 44:39 44 minutes, 39 seconds have to account it. So it has a both side entry which is uh it the one side which sits uh particularly on these both 44:48 44 minutes, 48 seconds side on the balance sheet one sits on the uh your financial asset if you see which is on the current other financial 44:55 44 minutes, 55 seconds asset and on the liability side it sits on the hedge reserves. So that's nothing but the accounting treatment of those 45:02 45 minutes, 2 seconds kind of a contract. Uh and it just offset each other on the balance sheet. 45:07 45 minutes, 7 seconds Um and uh uh I think your other question was why minority interests are negative. 45:13 45 minutes, 13 seconds So uh minority interests are uh typically at the SPV level where the power generating assets are there right 45:22 45 minutes, 22 seconds when let's say there is a 26% off taker it still is a minority interest and needs to be accounted for. Uh given that 45:30 45 minutes, 30 seconds our average age of our asset is very young it's less than two years at asset core level the profitability which is 45:38 45 minutes, 38 seconds profit after tax only comes after fourth or fifth year. We've explained it also in our in uh letters to shareholder in detail. So that's why at the asset core 45:47 45 minutes, 47 seconds level if you look at it or the SPV level there is a negative fat. There is lot of cash flows but the fats are negative because of the interest and the 45:55 45 minutes, 55 seconds depreciation in initial years. So the minority interest at initial years are negative and that's why it reflected the letter negative on the overall 46:03 46 minutes, 3 seconds portfolio. It's a function of the average age of the uh asset or the fleet. I hope it answers both the question and if you any follow on you 46:12 46 minutes, 12 seconds can uh yeah thank you this is very helpful just a small clarification on the first bit so in a very simplistic way let's 46:20 46 minutes, 20 seconds say if the average rate of power on the exchange moves up we'll be booking a end to end gain which is which is discounted in to present value terms and hence we 46:29 46 minutes, 29 seconds will book gains and let's say in a case where uh the converse happens where where the uh power price on the exchange goes down we'll be booking a loss That's right. 46:40 46 minutes, 40 seconds No, no, there is no just to clarify, Dor, there is zero PNLN impact. The 46:47 46 minutes, 47 seconds reason there is zero PNN impact is our tariff is a fixed and guaranteed tariff over a 25 year contract duration. 46:59 46 minutes, 59 seconds Right? So again, these are balance sheet items given the nature of the contract. 47:03 47 minutes, 3 seconds That's the accounting standard. So they feature on both asset and liability with zero P&L impact. 47:10 47 minutes, 10 seconds Fair enough. Understood. Thank you. Thank you. Thank you. 47:18 47 minutes, 18 seconds Our next question comes from the line of Neil Oswal with PGIM India Asset Management. Please go ahead. 47:25 47 minutes, 25 seconds Uh hi sir, congratulations on a strong set of numbers. Uh out of our total uh contracted capacity uh does any project 47:33 47 minutes, 33 seconds also include BESS and uh what would the CN tariffs I mean broadly look like for projects with uh BESS 47:46 47 minutes, 46 seconds the uh so honestly out of 2,600 47:53 47 minutes, 53 seconds megawatt of capacity the quantum of best is about 57 megawatt. So honestly I 48:01 48 minutes, 1 second don't think you could really um you know I would not say that that tariff is inclusive in in best contracts. The 48:10 48 minutes, 10 seconds these are again dominantly if the scale is 2600 megawatt and your bed size is 578 megawatt I I would not uh then try 48:20 48 minutes, 20 seconds to break break up uh the tariff between the two. 48:26 48 minutes, 26 seconds Understood sir. Uh thank you. Thank you. Thank you. 48:34 48 minutes, 34 seconds Our next question comes from the line of Abhel with Singularity AMC. Please go ahead. 48:41 48 minutes, 41 seconds Uh hello sir, just two questions from my end. So with domestic module prices going to be elevated with ASCM now going 48:48 48 minutes, 48 seconds to be coming in from June 26. How are you seeing the project IR evolve in the CNI segment? Sir is the pricing margin 48:56 48 minutes, 56 seconds uh pricing pressure going to be absorbed by you guys or the customers or the model maker through higher tariffs. So 49:06 49 minutes, 6 seconds uh so the the way our industry works is really we all calculate and we all IR seekers and historically what we've 49:14 49 minutes, 14 seconds always seen is uh tariffs adjust upwards or downwards to reflect changes in module prices 49:23 49 minutes, 23 seconds right and and reasonably quickly because obviously a competitive industry so it adjusts upwards or downwards reasonably quickly to take uh that into account I can say with confidence for ourselves. 49:34 49 minutes, 34 seconds We've generally priced uh with the same target irr in mind. Uh and obviously 49:41 49 minutes, 41 seconds therefore the implication is if the module cost goes up because of 49:48 49 minutes, 48 seconds um making sales in India then that passes on to a customer in terms of higher tariffs. That said, I would also 49:58 49 minutes, 58 seconds hasten to add that it the implication is that the total saving to customer sort of uh falls only marginally. So if they 50:08 50 minutes, 8 seconds were saving 30 to 35% on their power bill, they are now saving maybe 22 to 25%. 50:16 50 minutes, 16 seconds Uh and the range is because it varies by state, it varies by wind plus solar mix and so on. 50:22 50 minutes, 22 seconds um you know so so in that range people are still enthusiastic buyers of green power so uh no impact on margins no real 50:31 50 minutes, 31 seconds impact on volume so but do you see like in terms of ordering from the CNI segment specifically with ASM coming in how is 50:40 50 minutes, 40 seconds that playing out are people waiting till this actually comes in to you see how it plays or are they already started 50:47 50 minutes, 47 seconds assuming this and placing orders uh 50:55 50 minutes, 55 seconds what what always happened see as as a industry we've had two three rounds of this you know earlier solar models were 51:02 51 minutes, 2 seconds 0% import duty then we had import duty then they went from oh you can import to now you can only do make in India that causes the cost to go up and now there's 51:11 51 minutes, 11 seconds a third round right so what we've seen the last two cycles of this is yes you have accel accelerated buying because 51:19 51 minutes, 19 seconds even customers say oh if we are on the fence on a decision which is managerially they are sort of could do 51:27 51 minutes, 27 seconds it now could decide after 3 months typically they'll decide very quickly because you know internally the conversation will be array the cost is 51:35 51 minutes, 35 seconds going to go up so let's ensure we make a decision quickly uh so I'm sure some of that will get reflected when we all discuss in uh end July or early August 51:44 51 minutes, 44 seconds about our uh April to June 2020 26 quarter capacity addition numbers. Some 51:51 51 minutes, 51 seconds of that enthusiasm of customers to to uh uh have a tariff reflecting uh domestic 51:59 51 minutes, 59 seconds modules and not domestic sales will get reflected in those capacity additions. 52:04 52 minutes, 4 seconds Uh but if those customers miss that part they are still looking at later in the year and they are then signing contracts. 52:13 52 minutes, 13 seconds Notice thank you so much sir. Thank you. Congratulations once again. Thank you. Thanks. 52:21 52 minutes, 21 seconds Thank you. Our next question comes from the line of Aurva from Canada Bank Securities. Please go ahead. 52:29 52 minutes, 29 seconds Hello sir. 52:31 52 minutes, 31 seconds Uh as you said 42% hello as you said 42% is through data 52:38 52 minutes, 38 seconds centers and AI and it's on the megawatt basis it's a 10x grade comp to 40 to 2400. So do you think the data centers 52:46 52 minutes, 46 seconds will be the largest incremental driver of the redable CNI and also you have the collaborations with iron mountain and SP 52:55 52 minutes, 55 seconds data centers. So what does the future pipeline looks like in this particular data center sector? 53:05 53 minutes, 5 seconds Um so you're right 42% share of data and AI is fairly massive and of customer 53:12 53 minutes, 12 seconds segments we we see that as uh a big dominant uh uh segment uh and personally 53:20 53 minutes, 20 seconds I'm astounded by the kind of power consumption growth numbers they are exhibiting on the ground uh when they 53:28 53 minutes, 28 seconds start putting in AI chips right so once uh uh people start deploying the AI 53:35 53 minutes, 35 seconds chips and AI compute workloads in India and we've seen that in a few of our clients each building uh which houses AI 53:44 53 minutes, 44 seconds chips consumes 10 times the amount of power of the next building so it may be the same number of buildings that a data center had but suddenly the power 53:52 53 minutes, 52 seconds consumption growth is uh fantastic and uh you know so we see a lot of continued growth from data and AI that is true and 54:01 54 minutes, 1 second the advent of uh AI workloads beginning to move to India uh is a big big 54:09 54 minutes, 9 seconds uh future driver within that if you see what kind of power do data centers need and where do they need it uh it is 54:17 54 minutes, 17 seconds dominantly today in the states of Maharashtra and Tamil Nadu in both states we are quite strong right because the cable landing points are are Mumbai 54:26 54 minutes, 26 seconds and Chennai and uh the second order data center states are states like Karnataka and maybe in a couple of years Andrah 54:34 54 minutes, 34 seconds will start coming up but we have a fair bit of capacity there. So you know we are quite well positioned to continue a strong performance from our side uh in 54:43 54 minutes, 43 seconds the data and AI uh space and these are in the nature of strategic partnerships with customers holding 26% equity 54:52 54 minutes, 52 seconds because even the data center operator knows that their clean energy partner has to invest hundreds of crores uh to 55:00 55 minutes ensure that the data center has cheaper greener power. Right? So it's a uh it's a strategic collaboration a tier one 55:10 55 minutes, 10 seconds partnership so to speak rather than just an also ran vendor right so that so that's why it's a uh CEO level decision 55:18 55 minutes, 18 seconds on both sides uh so we're very confident that we will be able to continue our leadership in this data and AI segment 55:26 55 minutes, 26 seconds uh and this is not just with India based data centers this is also with global big tech so if you uh just run a public 55:34 55 minutes, 34 seconds search on people who on big tech who have talked about the work they they have talked about the work they're doing with us the names include the likes of 55:43 55 minutes, 43 seconds Apple, Meta, Google and Amazon. Uh so we are not just very well entrenched with the data centers in India but also with 55:52 55 minutes, 52 seconds the global big tech who are obviously very big players globally in the uh you know AI landscape. 56:02 56 minutes, 2 seconds Okay. Thank you. Thank you sir. Thank you. 56:08 56 minutes, 8 seconds Our next question is a text question from Nupa Dadup from Swan Investments. 56:16 56 minutes, 16 seconds What is the reason behind the lower IBITa margin on RE sales portfolios compared to utility scale players who 56:23 56 minutes, 23 seconds post 89 to 91% of margin? Is there any specific costs which CNI players have to incur as compared to utility scale players? 56:35 56 minutes, 35 seconds Yeah. Uh so you're right at a gross margin level uh our gross margins is quite similar. Gross margins is around 56:44 56 minutes, 44 seconds 92 and a half 93%. For a wind plus solar portfolio uh most players would have a similar gross margin. If it's pure solar 56:52 56 minutes, 52 seconds it may be a slightly higher gross margin portfolio for other players. But why is our EIDA margin at about 83% slightly 57:01 57 minutes, 1 second more than uh you know the the EIDA margin of uh other players? It's two factors. Uh one is case and the second 57:10 57 minutes, 10 seconds is genuinely higher operating cost of uh selling and building at 13 megawatt at a 57:17 57 minutes, 17 seconds time. Right? So let me explain this. So first uh in terms of scale uh you know in terms of our Aida numbers I think 57:25 57 minutes, 25 seconds compared to some of the larger listed players they are much larger than us. So there's natural operating leverage uh 57:32 57 minutes, 32 seconds but at the same time there's some genuinely higher costs because uh we have to have a large uh business 57:39 57 minutes, 39 seconds development organization and capability multiple offices projects across multiple states 13 megawatt PPA size. So 57:48 57 minutes, 48 seconds you know uh that also creates certain uh overhead burden. So naturally speaking I think even with scale I would think that our EIDA margin would be slightly lower. 58:02 58 minutes, 2 seconds uh we believe and can I can even say we would be confident in saying that 3 to four years out this AIDA margin goes 58:10 58 minutes, 10 seconds from about 83% today on AI power sales uh to nearly 86% give or take a little 58:18 58 minutes, 18 seconds bit so you know there will be some rise but we may still be a couple of percentage points at scale we may still remain a couple of percentage points 58:27 58 minutes, 27 seconds below uh very large pure utility uh play. 58:37 58 minutes, 37 seconds Thank you. 58:39 58 minutes, 39 seconds And I would I would hasten to add though if I may just add a last point that 2 to 3% of a beta margin that you sacrifice 58:48 58 minutes, 48 seconds in slightly higher operating costs is more than made up in a fantastic tariff you get in this business model. As we 58:56 58 minutes, 56 seconds saw our weighted average tariff of 2.6 6 gawatt which is under construction was about 3.8 rupees. So you know you more 59:05 59 minutes, 5 seconds than make it up there and that creates a high ROI and cash roe for us compared to utility pay. 59:17 59 minutes, 17 seconds Thank you. Our next question is from Punit Gulati. Please accept the prompt on your screen. 59:25 59 minutes, 25 seconds Unmute your audio and proceed with your question. 59:30 59 minutes, 30 seconds Uh yeah, thank you so much uh uh congrats on good performance. My first question is on your interest cost. Uh do you see room for further reduction in interest cost from where you are? 59:43 59 minutes, 43 seconds Thanks PI good to uh see you again on this call. Uh interest rate cost P is a 59:50 59 minutes, 50 seconds tricky number to give a prediction on right now. uh because yes we do see some 59:58 59 minutes, 58 seconds potential upside which is lowering of interest rate uh due to company specific and uh performance factors. What are 1:00:07 1 hour, 7 seconds these? These are in the likes of you know we'll have a new set of projects to refinance the cost on that should come down and our detailed numbers give the 1:00:16 1 hour, 16 seconds break up that under construction projects have a higher interest rate compared to fully built projects. So we see some uh potential benefit there. uh 1:00:25 1 hour, 25 seconds and uh you know so that effort on refinancing and lowering interest cost is always on and that's company specific 1:00:33 1 hour, 33 seconds but we are also in an macro environment I think we would all recognize of uncertainty and potentially rising 1:00:42 1 hour, 42 seconds interest rates given the global uh and India macroeconomic environment including on our FX rate interest costs 1:00:50 1 hour, 50 seconds uh and so on uh so we're not very sure how these internal ability to reduce it 1:00:56 1 hour, 56 seconds will balance with the macro factor of increasing and therefore given that uncertainty we would uh hesitate to make any bold bets on what we can achieve. 1:01:09 1 hour, 1 minute, 9 seconds Okay, understand. uh on your 525 CU project while you talked about you know uh curtailment and difficult to predict 1:01:18 1 hour, 1 minute, 18 seconds what sort of curtailment what are you experiencing in last one and a half two months 1:01:24 1 hour, 1 minute, 24 seconds in that uh about 30% in that substation uh the curtainment number is about 30% 1:01:33 1 hour, 1 minute, 33 seconds today uh there's a 30% of power produced yes power injected uh 30% of that is being curtailed in beacon 82. 1:01:43 1 hour, 1 minute, 43 seconds That is the uh and it's not just our number. We know the number for the uh substation um you know and and everyone else in it. 1:01:54 1 hour, 1 minute, 54 seconds Right. And and when is the full uh you know uh substation likely to come here? Any update on that? 1:02:01 1 hour, 2 minutes, 1 second The grid the grid has forecasted the end of backdown by September of this year. 1:02:08 1 hour, 2 minutes, 8 seconds uh but it's their number. I would not I please do not take it as a company number. I would say it's a unknown 1:02:16 1 hour, 2 minutes, 16 seconds unknown. It's an externality beyond our control. And I would uh while I to answer your question, I'm saying that their greatest forecast is September. 1:02:25 1 hour, 2 minutes, 25 seconds But I would also hasten to add for the benefit of everyone else uh that uh this is a very tough thing to do. you know 1:02:33 1 hour, 2 minutes, 33 seconds they're building very large power transmission networks and naturally speaking delay 1:02:41 1 hour, 2 minutes, 41 seconds so you know uh I would urge everyone to be more conservative than what the grid has officially stated 1:02:50 1 hour, 2 minutes, 50 seconds understood that's helpful and lastly on your new PPA with Apple 150 megawatt uh 104 crore of investment 1:02:58 1 hour, 2 minutes, 58 seconds it's not a PPA for me it's a joint venture it's a co-investment it's not a PPA Yeah. Yeah. So, so for this co-investment, what sort of multiple have they come in? 1:03:09 1 hour, 3 minutes, 9 seconds If you can talk a bit about that. 1:03:12 1 hour, 3 minutes, 12 seconds Uh Pun, we we are bound to disclose only as much as is there in our price really. 1:03:19 1 hour, 3 minutes, 19 seconds So bear with us on that. 1:03:21 1 hour, 3 minutes, 21 seconds Sure. Sure. Understood. And lastly any what sort of uh you know uh solar module prices are you seeing for the contracts 1:03:29 1 hour, 3 minutes, 29 seconds which you will be commissioning uh post June 2026. 1:03:37 1 hour, 3 minutes, 37 seconds So we've not yet started buying for Apple. 1:03:41 1 hour, 3 minutes, 41 seconds Okay. Because the reality is uh what what has been the consistent um 1:03:48 1 hour, 3 minutes, 48 seconds uh prior experience in these uh shifts from you know importing to ALM era has been 1:03:57 1 hour, 3 minutes, 57 seconds till the effective date of transition you don't know if you're going to transition or if you're going to have an extension 1:04:04 1 hour, 4 minutes, 4 seconds right so this is the reality um and and therefore uh you know everyone sort of waiting 1:04:12 1 hour, 4 minutes, 12 seconds that we will see what happens. And you're all aware of the um uh 1:04:19 1 hour, 4 minutes, 19 seconds uh fair points on both sides of the argument of whether to immediately implement it or to give it some breather and some time extension. Uh but till the 1:04:29 1 hour, 4 minutes, 29 seconds government does not make a decision, uh you know, we're not really contracting actively for that. 1:04:36 1 hour, 4 minutes, 36 seconds Understood. And does that not create any risk of project delays for which there could be liability or that's already discussed with the customer? 1:04:44 1 hour, 4 minutes, 44 seconds Well, it's already uh done and dusted from that perspective. Punit as I explained earlier uh the natural buyer 1:04:52 1 hour, 4 minutes, 52 seconds behavior is u those who a couple of quarters ago were on the fence in terms 1:05:00 1 hour, 5 minutes of their business decision made a decision rather quickly saying Lagalo because it'll be cheaper so we're going to have 1:05:08 1 hour, 5 minutes, 8 seconds high amounts of volumes in this quarter and the way we also having seen this whole story pan out before uh planned 1:05:17 1 hour, 5 minutes, 17 seconds today is that we don't have much solar commissioning in the July to September quarter. We said look let's keep that quarter light on commissioning right 1:05:26 1 hour, 5 minutes, 26 seconds anyway it's rainy season it's not that easy to build there'll be some amount of wind commissioning there and we will start building solar again you know uh 1:05:36 1 hour, 5 minutes, 36 seconds getting taking module deliveries really uh from September or October so that's how we also planned it given we've seen 1:05:43 1 hour, 5 minutes, 43 seconds this play out before and we know the uncertainty it comes understood that's very helpful thank you so much and all the best 1:05:51 1 hour, 5 minutes, 51 seconds thank you punit Thank you. 1:05:55 1 hour, 5 minutes, 55 seconds Our next question comes from the line of Atul Tari from JP Morgan. Please go ahead. Yes sir. Thanks for the opportunity. 1:06:03 1 hour, 6 minutes, 3 seconds Sir, my question is on the pipeline that is building for new contracts for FI27. 1:06:10 1 hour, 6 minutes, 10 seconds So you have you know signed new contracts what 1400 megawatt. So how is the pipeline shaping up 4527 and also 1:06:18 1 hour, 6 minutes, 18 seconds will it have the same skew towards data center and AI at say 40 to 45%. 1:06:27 1 hour, 6 minutes, 27 seconds So um hi um and thanks for the question. 1:06:32 1 hour, 6 minutes, 32 seconds Um so if we think about what we are adding as a company in FI 2627 the current 1:06:39 1 hour, 6 minutes, 39 seconds fiscal capacity that we will add is already contracted. 1:06:46 1 hour, 6 minutes, 46 seconds So at the start of the fiscal we have 2,700 megawatt contracted yet to be built. Uh or was it 2,600? So sorry 6 1:06:56 1 hour, 6 minutes, 56 seconds 2,600 not 700. 2600 megawatt contracted yet to be built. And we gave a guidance 1:07:02 1 hour, 7 minutes, 2 seconds saying at least 1,500 megawatt we will build this year. Right? So uh at the 1:07:10 1 hour, 7 minutes, 10 seconds start of the fiscal 100% of the capacity expected to come up this year is already contract. That's point number one. 1:07:18 1 hour, 7 minutes, 18 seconds Point number two is sort of how are you fairing as a company on renewing your pipeline because obviously you 1:07:26 1 hour, 7 minutes, 26 seconds contracted something which you will build again but you have to keep renewing that so that you also uh take care of future growth. So if you look at 1:07:34 1 hour, 7 minutes, 34 seconds the last financial year FYI 2526 uh we had those numbers earlier uh at 1:07:41 1 hour, 7 minutes, 41 seconds that we built or commissioned about 1,400 megawatt of energy sale contracts. 1:07:48 1 hour, 7 minutes, 48 seconds We also had new contracting of 1,400 megawatt. So in that sense you could say that uh you know there's an order book 1:07:57 1 hour, 7 minutes, 57 seconds if you will or a pipeline and from that you build but you also have to refresh 1:08:03 1 hour, 8 minutes, 3 seconds or renew it and we do think that uh um uh from what we are seeing it's not a projection guys but from what we have 1:08:11 1 hour, 8 minutes, 11 seconds seen we don't see any real reason for either the mix of wind and solar or the share of data and AI within this 1:08:20 1 hour, 8 minutes, 20 seconds pipeline to change. We don't see that right as of now. Of course, we are not solving for a particular percentage. We are trying to sell to everyone. So, let's see in the end where we uh get to. 1:08:31 1 hour, 8 minutes, 31 seconds But if you just look at the last financial year, uh even at the start of the fiscal 42% of contracted capacity 1:08:38 1 hour, 8 minutes, 38 seconds was data and AI and at the end of the fiscal also 42% was data and AI. 1:08:46 1 hour, 8 minutes, 46 seconds Okay sir. And so my second question is on you know the organization's capability to commission project. So 1:08:52 1 hour, 8 minutes, 52 seconds obviously FY26 was a great year. You ended up commissioning 1.7 gawatt which obviously all of us realize is on par or 1:09:02 1 hour, 9 minutes, 2 seconds even higher than some of the much larger and wellestablished and older electricity and IPs. So congratulations 1:09:09 1 hour, 9 minutes, 9 seconds on that. But how repeatable this performance is uh you know going ahead and can you ramp it up even further to 1:09:16 1 hour, 9 minutes, 16 seconds say 2 gawatt or 2.5 gawatt. I'm not asking about guidance for one year's commissioning but just in terms of organizations capabilities and 1:09:25 1 hour, 9 minutes, 25 seconds availability of resources like land and connectivity etc. 1:09:31 1 hour, 9 minutes, 31 seconds I think it's an excellent question at uh deserves a very uh fair and 1:09:38 1 hour, 9 minutes, 38 seconds transparent response. Uh so so I would say that uh uh you know while we had a 1:09:47 1 hour, 9 minutes, 47 seconds 1,400 megawatt commission last year in our energy sales uh business about two you know well before that so about two 1:09:55 1 hour, 9 minutes, 55 seconds years ago we started saying and thinking internally that look we are seeing a lot of growth so let's make the right 1:10:02 1 hour, 10 minutes, 2 seconds investments in both team what you called organizational capability as well as project development investments which is 1:10:10 1 hour, 10 minutes, 10 seconds really land an evacuation to be able to capture this flow. So that journey which really started maybe in um uh you know 1:10:18 1 hour, 10 minutes, 18 seconds sometime in uh uh maybe uh Janu Feb 2024 we started saying it you know with a 1:10:26 1 hour, 10 minutes, 26 seconds lead time last year we were able to uh uh start commissioning that which effort 1:10:34 1 hour, 10 minutes, 34 seconds started two years ago you know so so so the and the point of the effort was not to do it one time to do it on a sustainable basis and therefore if you 1:10:42 1 hour, 10 minutes, 42 seconds see In our annex we show in each state we have a lot of brownfield capacity expansion which makes it easier to expand uh you know and that's how we've 1:10:51 1 hour, 10 minutes, 51 seconds planned our growth. We have a number of uh super sites uh which which uh uh you 1:10:59 1 hour, 10 minutes, 59 seconds know we we keep expanding in states like Maharashtra, Karnataka uh and so on and and we try to build our state level 1:11:07 1 hour, 11 minutes, 7 seconds sites as large as possible. Uh so yes honestly uh when we were doing 500 megawatt every year and thought about 1:11:15 1 hour, 11 minutes, 15 seconds doing 1500 megawatt every year it felt like a real stretch right um uh but I'm I'm hopeful uh that the number will will 1:11:25 1 hour, 11 minutes, 25 seconds uh grow over time but again that is not something which we are either projecting or forecasting right now. 1:11:34 1 hour, 11 minutes, 34 seconds Great sir thanks. 1:11:38 1 hour, 11 minutes, 38 seconds Thank you. Our next question is a text question from Kesha Agarwal from Canada Robeco Mutual Fund. 1:11:47 1 hour, 11 minutes, 47 seconds If you could help us understand VPPA environment, attributes, purchases, agreements and contract for different contracts. 1:11:56 1 hour, 11 minutes, 56 seconds How do we see things this being a growth driver for the company given that 2.4 gawatt of the capacity is towards data 1:12:04 1 hour, 12 minutes, 4 seconds center and AI business. Are the contract economics any different under a VPPA versus supply power? And we have a follow-up question after that, sir. 1:12:17 1 hour, 12 minutes, 17 seconds So, so um uh thanks, thank you Kesha for for joining and asking. Um 1:12:26 1 hour, 12 minutes, 26 seconds so firstly uh let let me dimension what is the size of our contract for different business and then I'll also explain what it is. 1:12:35 1 hour, 12 minutes, 35 seconds So out of the 5,700 megawatt of contracted capacity about 1:12:42 1 hour, 12 minutes, 42 seconds um 1,600,700 megawatt something in that range is the size of our CFD bill right um so this is 1:12:53 1 hour, 12 minutes, 53 seconds one dimensioning right uh so it's it's not small but it's not a huge size 1:13:01 1 hour, 13 minutes, 1 second uh almost all of this capacity is what is called a contract for difference. Let me explain what that is. The contract 1:13:08 1 hour, 13 minutes, 8 seconds for difference basically means that the uh that your customer uh like a global 1:13:14 1 hour, 13 minutes, 14 seconds big tech is not actually offtaking the power but buying the green attribute from that renewable energy power plant. 1:13:25 1 hour, 13 minutes, 25 seconds But why is it called a contract for difference? because they are contracting to pay you the difference between 1:13:33 1 hour, 13 minutes, 33 seconds assured tariffs that they assure you in the contract and the realized tariffs that you're realizing on the energy 1:13:42 1 hour, 13 minutes, 42 seconds exchange by selling your power as ground power on the uh ex right so uh 1:13:49 1 hour, 13 minutes, 49 seconds commercially what it implies for us is whatever is the contracted value let's say it is 3.4 4 rupees. I'm making up this number. Suppose it's rupees 3.4. 1:14:01 1 hour, 14 minutes, 1 second Whatever is the value uh 3.4 rupees we we should get and we will get uh but it comes to us in two parts. One, we sell 1:14:10 1 hour, 14 minutes, 10 seconds the power as we produce it on the energy exchange. Let's assume we got 2 rupees for that power. Then we get 1.4 rupees 1:14:17 1 hour, 14 minutes, 17 seconds as the contract for difference. Our revenue at the end of the month is both what we got for the uh power on exchange as well as what we got for the 1:14:26 1 hour, 14 minutes, 26 seconds environmental attribute. In my example, if that 2 rupees on the exchange became 3 rupees, we will get 40 pes. So our 1:14:34 1 hour, 14 minutes, 34 seconds revenue is the same 3.4. If we got 5 rupees, we have to give them 1.6. So again, our revenue is the same, which is 1:14:41 1 hour, 14 minutes, 41 seconds 3.4. Right? So that's why it's called a contract for difference. I know it sounds like a novelty but it's a very 1:14:48 1 hour, 14 minutes, 48 seconds common contracting type all over the world. Uh and even now I think techie recently came out with some thoughts on they will start doing contract for 1:14:56 1 hour, 14 minutes, 56 seconds differences for some other purpose. So you know this is a very common contracting uh structure. So it's all contract for difference. So we are not 1:15:04 1 hour, 15 minutes, 4 seconds really taking a merchant price exposure is what I would like to highlight. Uh we have a firm price and it's all about 1.7 1:15:13 1 hour, 15 minutes, 13 seconds 1.8 8 gawatt out of 5.7 gawatt cost right so that's what we would like to uh explain but we'd also um you know 1:15:23 1 hour, 15 minutes, 23 seconds suggest that we could catch up uh uh with you at your balia office and you know the team could go through with this 1:15:30 1 hour, 15 minutes, 30 seconds in more uh detail uh if there are further follow questions from your end 1:15:39 1 hour, 15 minutes, 39 seconds thank you will move to our next questioner in the queue the next Question comes from the line of Vishal Perry from PL Capital. 1:15:47 1 hour, 15 minutes, 47 seconds Please go ahead. Uh yes sir thanks uh Jinity. 1:15:54 1 hour, 15 minutes, 54 seconds Yeah. So, so my uh question is I think I if I have missed this number at a you did mention like you know at a beacon 1:16:01 1 hour, 16 minutes, 1 second the curtailment is 30 odd% at a company level this number could be how much and uh second parallel to this is when we 1:16:09 1 hour, 16 minutes, 9 seconds give a run rate a bid of 1870 cr uh so does this factor curtailment or doesn't 1:16:16 1 hour, 16 minutes, 16 seconds factor cailment so uh two answers to your question at a 1:16:23 1 hour, 16 minutes, 23 seconds company 7 in the last fiscal year uh we had no curtainment because if you see this number here FI26 our grade up time 1:16:32 1 hour, 16 minutes, 32 seconds was 99.24% 24% so indicating no curve right this was for FY26 1:16:40 1 hour, 16 minutes, 40 seconds right just around that cusp of that fiscal we've commissioned our plant in beacon air and I cannot give you specific to ask but that substation has 1:16:48 1 hour, 16 minutes, 48 seconds roughly 30% containment again it's not a projection but it's a fact we know 1:16:55 1 hour, 16 minutes, 55 seconds the um other aspect of your question was what the run rate is adjusted for the run rate epida is not adjusted for 1:17:04 1 hour, 17 minutes, 4 seconds curtainment. So 1870 crores is the run rate aida uh which is not adjusted for curtainment. It has when you calculate 1:17:13 1 hour, 17 minutes, 13 seconds estimated generation there is always a up to one or I think 1 and a half% grid downtime that is assumed in your 1:17:22 1 hour, 17 minutes, 22 seconds estimate of power output which is not what you guys would describe as the active attainment which is happening nowadays. This is really what you would 1:17:29 1 hour, 17 minutes, 29 seconds expect as part for course uh grid downtime for standard maintenance and any technical issues they may periodically. 1:17:39 1 hour, 17 minutes, 39 seconds Okay. Okay. Got it. Got it. And uh one parallel to this is like you know when you do 1870 K aida and then almost like 1:17:48 1 hour, 17 minutes, 48 seconds three kind of capacity. So this works out to be like 60 lakh per megawatt sort of run at a bida level. uh u so I think 1:17:56 1 hour, 17 minutes, 56 seconds though at a data centers and then we have a good spread over u the customers that we get uh so so at a aida level uh 1:18:06 1 hour, 18 minutes, 6 seconds the numbers it looks like I mean it is similar to what like you know the utility other players get in the market though we may get a better spread but 1:18:13 1 hour, 18 minutes, 13 seconds eventually at aida it is largely similar or maybe in that range that's fair to understand right 1:18:22 1 hour, 18 minutes, 22 seconds no that's that is not true you They're giving you a uh DC number. So our megawatt is on DC basis. Someone else 1:18:29 1 hour, 18 minutes, 29 seconds may be calculating it on AC basis. So please adjust it for that. You will find that on a per megawatt basis we would be 1:18:36 1 hour, 18 minutes, 36 seconds I think 30 to 35% superior on aa per megawatt. 1:18:42 1 hour, 18 minutes, 42 seconds Okay. Okay. Got it sir. And and thank you very much for the answer sir. Thank you. 1:18:49 1 hour, 18 minutes, 49 seconds Thank you. Our next question comes from the line of Mahesh Patil with ICICI securities. Please go ahead. 1:18:57 1 hour, 18 minutes, 57 seconds Yeah. Uh thanks for the opportunity sir. 1:19:00 1 hour, 19 minutes Question is on the PPA. Uh so the uh new PPA that we're sending right for example the 1.5 gawatt that we have done in 1:19:07 1 hour, 19 minutes, 7 seconds effort 26. Uh what kind of uh PPA or the contract timelines are we getting uh for 1:19:14 1 hour, 19 minutes, 14 seconds the entire portfolio it's 23 years. So have you seen any change over the last few years or the PPA or the contract timeline? 1:19:27 1 hour, 19 minutes, 27 seconds We we've largely thank you for your question. We've largely seen this to be a very stable number. So we've always 1:19:34 1 hour, 19 minutes, 34 seconds contracted uh ultra long-term PPAs with our corporate customers. 1:19:39 1 hour, 19 minutes, 39 seconds So we've not seen much uh any material movement in this uh 10our duration of PPA contract. 1:19:48 1 hour, 19 minutes, 48 seconds And sir uh second related question is on the uh lock in period under uh so so for instance 1:19:56 1 hour, 19 minutes, 56 seconds uh sorry you can later refer to page 28 of the presentation we've put out this year the average PPA tenure is 23.17 1:20:05 1 hour, 20 minutes, 5 seconds years last year which is 2025 the number was 22.73 years the year prior to that it was 1:20:13 1 hour, 20 minutes, 13 seconds 21.54 years. So it's really uh you know I would not even try to say it's a improvement. It sounds like 21 to.54 1:20:22 1 hour, 20 minutes, 22 seconds became 23 but it's ultra long-term uh you know 20 plus years like 22 or 23 is very similar. 1:20:31 1 hour, 20 minutes, 31 seconds Okay got it. Uh so the seconded question is uh on the locking period right under 1:20:38 1 hour, 20 minutes, 38 seconds the CPA. So would we have a number in terms of what is the average uh locking period? I understand it can vary from 10 1:20:45 1 hour, 20 minutes, 45 seconds years to 20 years for uh CNN and our DRHP as well. 1:20:53 1 hour, 20 minutes, 53 seconds You're like I understand the question. 1:20:55 1 hour, 20 minutes, 55 seconds So if you look at our DRHP as well which is of course uh updated uh as of March 2026 1:21:03 1 hour, 21 minutes, 3 seconds uh you know we would have a average lock in period of I think 17.85 years let's say 18 years. So contract tenure 23 years lock in duration 18 years. 1:21:17 1 hour, 21 minutes, 17 seconds Okay. Okay. There there is some compensation laws as well right penalty laws in the PPS for in case of early 1:21:24 1 hour, 21 minutes, 24 seconds termination. Uh so that way we are secured let's say for even for a minimal percentage of our capacity if it happens 1:21:33 1 hour, 21 minutes, 33 seconds that way we are getting compensated right. 1:21:40 1 hour, 21 minutes, 40 seconds Uh yeah, I mean obviously every contract has certain different types of uh contract performance dimensions linked 1:21:47 1 hour, 21 minutes, 47 seconds to that compensation dimensions either by power producer or power consumer. Um but but uh suffice to say the good news 1:21:56 1 hour, 21 minutes, 56 seconds is we have uh more than 1100 contracts for it's a huge number more than 1100 1:22:04 1 hour, 22 minutes, 4 seconds contracts and we don't have a single ongoing client dispute you know uh and the second thing I would say is that the 1:22:12 1 hour, 22 minutes, 12 seconds the diversity of clients and uh contract size is also a inherent risk mitigation 1:22:21 1 hour, 22 minutes, 21 seconds right so yes could You argue that there could be a issue with any client you yeah you could uh but it's limited to 1:22:30 1 hour, 22 minutes, 30 seconds average PPS size is 13 megawatt per client and portfolio is 3,100 megawatt and uh in so many years of business uh 1:22:39 1 hour, 22 minutes, 39 seconds you know we don't have a single client dispute. Okay thank you and all the best. 1:22:49 1 hour, 22 minutes, 49 seconds Thank you. 1:22:50 1 hour, 22 minutes, 50 seconds Thank you. Our next our next question comes from the line of Sha Goodle with SBI Life Insurance Company Limited. 1:22:58 1 hour, 22 minutes, 58 seconds Please go ahead. 1:23:00 1 hour, 23 minutes Hello, sir. How uh congratulations on great setup numbers. Am I audible? You are audible, sir. 1:23:07 1 hour, 23 minutes, 7 seconds Yes, of course, you are. How are you? 1:23:09 1 hour, 23 minutes, 9 seconds I am fine. I'm fine. So, sir, I just wanted to understand about the contracted uh capacity of 2.6 GW. what 1:23:16 1 hour, 23 minutes, 16 seconds you discussed is uh of the next year capacity addition 1.5 gawatt it is PPA tied up so what what's the weight on the 1:23:24 1 hour, 23 minutes, 24 seconds balance uh 1 uh is it 2 gaw uh the capacity out of that 2.6 six contracted because when I'm looking at the uh slide 1:23:33 1 hour, 23 minutes, 33 seconds number seven in the presentation it is given the capacity for which either PPA or LOI has been signed. So what's the update on the balance capacity? 1:23:46 1 hour, 23 minutes, 46 seconds So the uh so if you have 2600 megawatt at the start of the fiscal which is contracted with customers 1:23:53 1 hour, 23 minutes, 53 seconds um you know obviously our set of that would come within this fiscal fi 2627 and our guidance there is minimum 1500 1:24:02 1 hour, 24 minutes, 2 seconds we try to do more uh and the remaining will come in the next fiscal that's how you should think about it 1:24:10 1 hour, 24 minutes, 10 seconds okay okay yeah thanks Thank you 1:24:17 1 hour, 24 minutes, 17 seconds ladies and gentlemen. We will now take our last question which will be from the line of Jes Sha from OHM portfolio equ. 1:24:26 1 hour, 24 minutes, 26 seconds Hello. Hi. Thanks for the opportunity. I had a very basic question. uh I see your 1:24:33 1 hour, 24 minutes, 33 seconds cash ROI I see and reported ROI see in the range of 8 to 12% which is roughly 1:24:40 1 hour, 24 minutes, 40 seconds in line with your interest cost on projects. So I was wondering h how do I look at operational IRRs and what is the 1:24:49 1 hour, 24 minutes, 49 seconds value chain? What do you keep and how much you pass on to the customers and your clients as unit economics? I'm 1:24:57 1 hour, 24 minutes, 57 seconds sorry I've just recently started covering the stock. So maybe my question is very busy. Thanks. 1:25:08 1 hour, 25 minutes, 8 seconds Yeah. Yeah. So um you know uh cash ROIC we see in a shareholder letter our cash 1:25:17 1 hour, 25 minutes, 17 seconds ROIC is about 14%. So I was a little alarmed when you gave single-digit numbers. I wanted to ensure that uh we 1:25:24 1 hour, 25 minutes, 24 seconds have the same set of numbers. So on page 11 of our shareholder letter, it shows our uh three-year average cash ROIC um 1:25:33 1 hour, 25 minutes, 33 seconds uh you know being being about 13.95% in the previous fiscal in the last fiscal is around 13%. And cash roe uh return on 1:25:43 1 hour, 25 minutes, 43 seconds equity um has uh was 16.81% in FI 2425 has risen to about 17.42% 42% in FI2526. 1:25:57 1 hour, 25 minutes, 57 seconds Right? So those are the precise numbers. 1:25:58 1 hour, 25 minutes, 58 seconds So let's say about 13% for uh cash ROIC and about 17% for cash ro RO and uh so 1:26:08 1 hour, 26 minutes, 8 seconds that's just in terms of the number itself. Uh but you know I would also encourage you J if you've just started covering let's uh why don't we have you 1:26:17 1 hour, 26 minutes, 17 seconds over at our office and explain the business in more detail. uh because it'll be tough to really uh go through 1:26:24 1 hour, 26 minutes, 24 seconds uh the nuances of uh how to think and look at ROI and ROE in our business particularly because we have a lot of projects under construction as well. 1:26:35 1 hour, 26 minutes, 35 seconds Sure. Appreciate that. Thank you. I'll get in touch. Yeah. All right. Thank you. 1:26:42 1 hour, 26 minutes, 42 seconds Thank you. I would now like to hand the conference over to the management for closing comments. Over to you, gentlemen. 1:26:51 1 hour, 26 minutes, 51 seconds Thank you very much everyone. Uh uh you know we we are constantly trying to learn. This was our second uh earnings call. We felt more comfortable than our 1:27:00 1 hour, 27 minutes first uh uh earnings call. Uh and uh uh we we would uh um also just u u you know 1:27:10 1 hour, 27 minutes, 10 seconds encourage you all to to reach out directly to us and or our IR uh team. Uh Nikki, would you like to speak? Yeah, 1:27:18 1 hour, 27 minutes, 18 seconds sure. We have uh Rahul Mistri uh just joined us uh yesterday uh as our head of IR. He's also on the call and uh I'll 1:27:27 1 hour, 27 minutes, 27 seconds just request R to say hi to everyone and he would be reachable uh to all the shareholders as well for 1:27:35 1 hour, 27 minutes, 35 seconds any first level of questions, meaning clarification. 1:27:40 1 hour, 27 minutes, 40 seconds Uh hi, thank you. Thank you. Uh I'm looking forward to interact with all of you individually and uh look welcome you 1:27:47 1 hour, 27 minutes, 47 seconds all uh know to any question that you guys may have. I happen to help. 1:27:53 1 hour, 27 minutes, 53 seconds Thank thank you Raal. So we want to introduce you all to uh Rahul. He's uh new new to our team but uh I'm sure not 1:28:01 1 hour, 28 minutes, 1 second new to many of you. You all know he came from JSW energy. So uh he may know some of uh you uh from that time. Uh please 1:28:09 1 hour, 28 minutes, 9 seconds do reach out to us. We'd be delighted to continue meeting and interacting with all of you. 1:28:20 1 hour, 28 minutes, 20 seconds Thank you. 1:28:22 1 hour, 28 minutes, 22 seconds Thank you. On behalf of CleanMax, that concludes this conference. Thank you all for joining us. You may now disconnect your lines.