Container Corporation of India Ltd — Q4 FY26

Container Corporation of India Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=C93HUPNNbx0 Published: 3 weeks ago

0:01 1 second Ladies and gentlemen, good day and welcome to Container Corporation of India Limited Q4 FY26 earnings 0:08 8 seconds conference call hosted by DAM Capital Advisor. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you 0:17 17 seconds to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then 0:25 25 seconds zero on a touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. 0:32 32 seconds Kunal Sha from DAM Capital Advisor. Thank you and over to you sir. Over to you sir. 0:38 38 seconds Yeah. Good afternoon. Uh welcome to the 4Q6 earnings call of container corporation of India. We have the management being represented by Mr. 0:48 48 seconds Sanjay Suru the chairman and managing director. I'd like to answer the call to Sanjay sir for his opening remarks who is to execute and take up the Q&A. Over to you sir. Thank you. 0:59 59 seconds Yeah. Uh good morning to all. Uh I I am accompanied by Mr. Ajit Kumar Panda director projects and services. Mr. 1:08 1 minute, 8 seconds Vijay Kumar Singh director international marketing and operations. Mr. Vive Gupta director finance and CFO and Mr. Harish 1:16 1 minute, 16 seconds Chandra principal executive director finance and the company secretary of our company. I will just make the opening 1:24 1 minute, 24 seconds remarks and then uh I will open for question answer session. Uh I'm glad to announce that uh board of directors have 1:31 1 minute, 31 seconds uh approved the dividend of rupees 1 per share of par value rupees 5 for that is 1:38 1 minute, 38 seconds interim dividend for quarter 4. This makes the total dividend of rupees 8.6 per share which is uh 172% of the par 1:48 1 minute, 48 seconds value of share. uh this is the uh in yesterday's board of directors meeting it was approved. I would like to uh 1:55 1 minute, 55 seconds outline the challengings challenges being faced by international trade in FY2526. 2:01 2 minutes, 1 second Most of you are quite well aware of that uh there are lot of geopolitical uncertaintities which is uh due to the 2:08 2 minutes, 8 seconds international conflicts and trade tensions and this has severely disrupted the global supply chains and increased 2:16 2 minutes, 16 seconds the trade risks. there are trade restrictions and uh tariffs by United States up to 50% were were imposed 2:24 2 minutes, 24 seconds during the year and this has severely affected the volumes especially in textiles and marine products and then 2:32 2 minutes, 32 seconds there was a global economic slowdown in US Europe and parts of Asia there are currency fluctuations also exchange rate 2:41 2 minutes, 41 seconds instabilities there all these factors are impacting the exempt trade India's international trade that is merchandise 2:48 2 minutes, 48 seconds trade for was as under for the FY exports were total $441.8 2:55 2 minutes, 55 seconds billion US which was uh a growth of 0.9% over previous financial year imports 3:01 3 minutes, 1 second were 774.9 billion US which was a growth of 7.45% four five% over the previous 3:08 3 minutes, 8 seconds year. Despite these challenges, uh our company container corporation uh 3:14 3 minutes, 14 seconds achieved ever highest uh throughput of 5.58 million TUS in FY26 and this was a 3:23 3 minutes, 23 seconds growth of 9.6% in which exim growth was 8% and domestic growth was 14.6%. 3:30 3 minutes, 30 seconds Our rail trade margin increased from 25.65% from 65% to 27.16% which is quite a healthy real margin is a growth of 1.1 uh 1.51%. 3:43 3 minutes, 43 seconds Our overall operating margin increased from 29.99% to 30.89% that's a growth of almost 1%. Our 3:52 3 minutes, 52 seconds operating income increased by 2.2%. Our PAT uh suffered a decrease of 4.5%. 3:59 3 minutes, 59 seconds The main reasons for are the less demand in domestic streams uh primarily the gny bails traffic and tiles traffic due to 4:07 4 minutes, 7 seconds the geopolitical conflicts. Second reason is the shortage of tank containers because uh the ecosystem of 4:14 4 minutes, 14 seconds tank container it's a new product in our country that the ecosystem was not there due to that in last FY we could not get 4:22 4 minutes, 22 seconds a good supply of tank containers but now the ecosystem is quite well developed we have two three good vendors and we have 4:29 4 minutes, 29 seconds a fleet of 500 tank containers with us right now and every month we are adding 200 tank containers to this fleet 4:37 4 minutes, 37 seconds yesterday I'm glad to inform board of directors further approved the procurement of 2,000 more tank containers apart from 1,000 tank 4:45 4 minutes, 45 seconds containers approved earlier. So uh in this FY we will have a very good uh availability of tank containers which 4:52 4 minutes, 52 seconds will give us good loading of bulk cement in domestic. The uh apart from that the reason for decline in PAT was the 5:00 5 minutes challenges faced by international trade as I already highlighted the growth in double stack RAX was 1.5% 5:09 5 minutes, 9 seconds from 6302 double stack to 6396 double stacks uh RAX in this financial year and uh there is a very big development 5:17 5 minutes, 17 seconds taking place uh that already most of you may be knowing DFC connective to connectivity to J&P will be commissioned 5:25 5 minutes, 25 seconds by 1st June 2026. So we are quite ready and other last week I had a meeting with top management of DFC corporation and uh 5:33 5 minutes, 33 seconds they are quite uh you know optimistic that this uh from 1st June they will be able to run double stack trains uh to 5:41 5 minutes, 41 seconds J&P. So uh we will be uh getting a very good business from 1st June. We will be running double stack train from NCR to 5:49 5 minutes, 49 seconds JNPT and uh exam uh uh exam volumes will get a very big boost with as a result of 5:57 5 minutes, 57 seconds this connectivity. Then uh during the financial year concour signed MOU for BAB container shipping line in which we 6:04 6 minutes, 4 seconds are we have a 30% stay. We are one of the majority partners of Bhar container shipping line and as per the uh Amrit 6:12 6 minutes, 12 seconds Khal vision of honorable prime minister this shipping line will be am I mean the top 10 shipping lines of the world by 2047. 6:20 6 minutes, 20 seconds Concore contained uh containers are now going to Middle East. Of course because of the conflict this movement has 6:27 6 minutes, 27 seconds stopped. Otherwise our containers almost 700 containers have gone to Middle East under our own document that we have issued the bill of rating for these 6:36 6 minutes, 36 seconds containers. Uh we have uh we are quite bullish on infrastructure additions. We have commissioned 43 high-speed waves in 6:45 6 minutes, 45 seconds this uh financial year taking total to 423 and we have procured 47 uh 4,729 6:53 6 minutes, 53 seconds new containers taking our total fleet size to 57,746 containers of our own and uh due to the 7:02 7 minutes, 2 seconds excellent uh operation planning we uh reduce the empty running of rakes also and by in exam by 27% and in domestic 7:12 7 minutes, 12 seconds around 4% overall 10.5% uh reduction in emptying running of rakes. This has positively contributed to our bottom 7:20 7 minutes, 20 seconds line. So company is quite uh conscious about the ESG norms. We have taken lot of green logistics initiatives. We have 7:28 7 minutes, 28 seconds 230 LG trucks of our own. We have five electric RSTs and two electric vehicles which we are using for trial basis and 7:36 7 minutes, 36 seconds once and we are quite uh seeing good results. We will be procuring more of them. 7:42 7 minutes, 42 seconds Capex achieved in last financial year was one of the highest which is uh 1085.20 7:48 7 minutes, 48 seconds 20 crores and uh in this uh financial year yesterday board of directors have approved capex budget of rupees 945 7:57 7 minutes, 57 seconds crores we may be increasing the budget during the midyear review and because uh we need lot of capex for infrastructure 8:05 8 minutes, 5 seconds additions now I will briefly summarize the business scenario in exim we crossed uh rups 6,000 cr that is 60 billion 8:14 8 minutes, 14 seconds rupees uh for the first time that is revenue for the first timely in the company's history which is all-time high. Exim has performed extremely well. 8:23 8 minutes, 23 seconds We achieved 4.21 million TUS handling only through Exim which is again ever highest in the company's history. WDFC 8:32 8 minutes, 32 seconds connectivity will give a very big boost to volumes in this financial year and now from the uh coming years and we have 8:40 8 minutes, 40 seconds signed MOU with PSA that is port of Singapore Authority for dedicated services between JNPBA and Conor ICDS. 8:47 8 minutes, 47 seconds This will be a u big you know uh driver for growth of for exam in the uh coming 8:54 8 minutes, 54 seconds years. In the last financial year we achieved the export growth in of total 3% in which auto parts achieved a growth 9:03 9 minutes, 3 seconds of 17% buffalo meat 19% aluminium ingots 22% besides other commodities imports we 9:11 9 minutes, 11 seconds achieved a growth of 5.8% 8% in which auto parts contributed 38% solar panel 9:17 9 minutes, 17 seconds parts 92% and polymer products 23%. We also unveiled a liberalized DPD and 9:24 9 minutes, 24 seconds cabage policy which was very well received by trade and we saw 38% increase in our DPD volumes which is now 9:32 9 minutes, 32 seconds further going to grow in this financial year. Also in collaboration with the leading shipping line MREs, we launched the 9:40 9 minutes, 40 seconds Oshadi Express from our Hyderabad ICD, Sanatnagarat to J&P and it is also very well received. All these drugs are 9:48 9 minutes, 48 seconds normally uh usually they go to western countries, USA and Europe primarily USA. 9:54 9 minutes, 54 seconds So this is also a very good product that has been launched by us from Hyderabad and uh we are getting good patronization 10:00 10 minutes from trade. Our refer exports also saw a very good growth of 17%. It's a healthy growth and in this financial year also there is a good demand in refer volumes. 10:11 10 minutes, 11 seconds At almost all the ports we recorded growth in imports like in GNPT there were 12% growth, Mundra 8.8%, Chennai 10:20 10 minutes, 20 seconds 14% and Visak 28% growth in our imports. 10:26 10 minutes, 26 seconds Uh now I will come to domestic. Domestic uh our product that we launched bal cement transportation in tank containers is very well received by trade. We are 10:35 10 minutes, 35 seconds getting lot of demand and now the supply of 10 containers is also coming. So uh we are quite well positioned in this 10:42 10 minutes, 42 seconds financial year to capitalize on this uh new uh stream which we are going to uh and normally in domestic we are doing 14 10:51 10 minutes, 51 seconds to 15 million tons of loading and I'm uh quite positive that in this financial year itself we will be able to do at 10:58 10 minutes, 58 seconds least 1 million tons of bulk in 1910 containers in domestic. Besides that uh our trials for bulk loading of food 11:06 11 minutes, 6 seconds grains in containers along with liners has been successful and very soon we are going to start that also. Uh we are 11:14 11 minutes, 14 seconds running a short transit time train from tolakabad to Shalimar Kolkata which has 11:20 11 minutes, 20 seconds also uh contributed to increase in our volumes and several new services a short transit will be very soon announced by 11:29 11 minutes, 29 seconds Indian railways. Indian railways in fact is working on various reforms for container sector and we are uh expecting 11:38 11 minutes, 38 seconds various uh uh so many reforms from Indian railways which will be unveiled in the coming weeks which uh we will be 11:45 11 minutes, 45 seconds informing all of you in due course of time. We uh we have we are also in talks with gas authority Gale and Petronet and 11:53 11 minutes, 53 seconds we are expecting very good volumes from them that that also we'll inform you once we receive the orders. Uh apart 12:00 12 minutes from that, Gunny bails traffic which uh suffered quite uh badly in last financial year is likely to be revived 12:08 12 minutes, 8 seconds in this financial year. There are quite uh firm indications for that which will positively contribute to our domestic volume. Now going forward uh as I told 12:18 12 minutes, 18 seconds you the factors which will contribute to our business. I would like to summarize them. First is WDFC commissioning and 12:25 12 minutes, 25 seconds assured transit trains. Second is double stacks at our locations in Salawas and Charodi. Salawas is near Jhothpur. 12:33 12 minutes, 33 seconds Charodi is near Ahmedabad and Charodi will be on DFC. So these new terminals will contribute through double stacks. 12:40 12 minutes, 40 seconds We will bring to Jodpur andad already. 12:42 12 minutes, 42 seconds Of course double stack is there but we don't have a facility of double stack. 12:46 12 minutes, 46 seconds So we hope to ramp up good volumes at Shodi also. And besides that we have commissioned new terminals like 12:54 12 minutes, 54 seconds Mandelar, Kartakula near Masuru, Jajpur and Paradib which will also bring new traffic to our company. Then Nepal 13:03 13 minutes, 3 seconds traffic that is going at present to Bir Gun. We have opened another point at Rsol where we are handling the uh 13:10 13 minutes, 10 seconds containers crane handling is allowed by Indian railways. So Birg and Rapsol two points apart from that biry soon we will 13:18 13 minutes, 18 seconds be starting. So Nepal traffic also there will be good growth in this financial year. And uh lastly we are quite uh you 13:27 13 minutes, 27 seconds know positive for shipping business. We are already uh moving we were already moving to Middle East before the conflict and now Far East also we have 13:35 13 minutes, 35 seconds started moving and apart from that we are a major component of Bal container shipping line as I already informed. 13:41 13 minutes, 41 seconds This will be also a big driver in the coming years. uh I would like to now give the guidance for this financial year 27 exam I would like to give 13:50 13 minutes, 50 seconds guidance of 8% domestic I would like to give guidance of 15% overall will be 9.5% of course I'm a bit conservative 13:58 13 minutes, 58 seconds because of the various geopolitical factors which are right now present and in the mid year we will review the uh 14:06 14 minutes, 6 seconds our performance and various environment around us and we will uh go for a revision if required for this guidance 14:12 14 minutes, 12 seconds but right now it is exemp 8% domestic 15% over or 9.5%. In the present market scenario, I feel it is better not to make any long-term guidance forecasts. 14:23 14 minutes, 23 seconds So I will adhere to only this financial year guidance for subsequent years. We will tell uh when the situation stabilizes around us. Thank you very 14:32 14 minutes, 32 seconds much. This is my opening remarks. Now you can start with your questions. 14:38 14 minutes, 38 seconds Thank you very much sir. We will now begin the question and answer session. 14:43 14 minutes, 43 seconds Anyone who wishes to ask a question may press star and one on the touchstone telephone. 14:49 14 minutes, 49 seconds If you wish to withdraw yourself from the question, you may press star and two. 14:54 14 minutes, 54 seconds Participants are requested to use handset while asking a question. 14:59 14 minutes, 59 seconds Ladies and gentlemen, we'll wait for a moment while the question assembles. 15:07 15 minutes, 7 seconds First question is from the line of MKkesh Saraf from Aventas Park. Please go ahead. 15:14 15 minutes, 14 seconds Yes, good morning and thank you for the opportunity. Um, my first question is uh regarding the uh DFC connectivity from 15:20 15 minutes, 20 seconds GMPP uh starting next week itself. Uh if you could give some sense on the uh the size of the opportunity here uh say 15:29 15 minutes, 29 seconds either road moving to rail or uh say shipping lines uh calling at J&P and not say at UNRA because of this 15:37 15 minutes, 37 seconds connectivity. Now uh this will kind of uh give us some sense on on you know what kind of volumes we can kind of ship across J&P to NCR. 15:50 15 minutes, 50 seconds Uh at present the rail coefficient at J&P is uh for the last financial year it was 15.12%. 15:57 15 minutes, 57 seconds And with this connectivity uh overnight it will not increase but in this FY I'm sure from 15 at least it will go to 18 16:06 16 minutes, 6 seconds to 19%. So uh uh there are quite good indications that uh and we will be actually running timetable assure 16:14 16 minutes, 14 seconds transit train from NCR to J&P and uh secondly we will be tinkering with our uh tariff also because our company 16:23 16 minutes, 23 seconds believes that without sacrificing margins if we incur some savings we will share those savings with our customers 16:30 16 minutes, 30 seconds part of the savings. So because in uh double stack uh we have to pay less all the charges to railway. So we'll be having some saving on 45th containers. 16:39 16 minutes, 39 seconds So we will be coming out with a very competitive tariff that will be light cargo which is at present moving by rule. So transit time will will reduce 16:47 16 minutes, 47 seconds and our tariff will also at par or very competitive with road. So we are quite uh you know uh positive that lot of traffic will shift from road to rail. 16:57 16 minutes, 57 seconds Right now uh numbers I cannot give you but I'm very sure that uh this shift will be there in another 3 years time 17:05 17 minutes, 5 seconds rail proficient will increase from 15 to at least 30 or 35% at JNPT and as far as the uh 17:13 17 minutes, 13 seconds movement of from Mundra to J&P and all is concerned at at the moment I would like to not like to comment on that let 17:21 17 minutes, 21 seconds us see how the trade takes it and shipping lines and trades they will see the service levels and what advantage 17:30 17 minutes, 30 seconds they will get, what other dynamics they have and they will take a decision. Uh at present we have the service at Mundra also we have the service at JNPT also. 17:40 17 minutes, 40 seconds So and we have signed in fact an agreement with PSA at JNPT. So from our side we are able to give service to customers from both the ports. They have 17:48 17 minutes, 48 seconds to decide that where do they want to bring the cargo. Got it. Got it. That's quite clear sir. 17:55 17 minutes, 55 seconds Thank you. And uh secondly on the uh uh the tariffs you had mentioned uh aren't we are I mean what we're reading is that 18:02 18 minutes, 2 seconds road tariff is going up uh with diesel etc kind of going up um are you starting to already see some kind of a shift from 18:10 18 minutes, 10 seconds road to rail because road freight rates are going up while I guess uh Indian railways is being quite aggressive on the rail side of it. Uh if you could 18:18 18 minutes, 18 seconds talk a little more on on on the economics between road and railway. 18:23 18 minutes, 23 seconds See rail is a green mode of transport and it is environmentfriendly mode of transport. So I am a great advocate for rail transportation. We should have longd distance transportation by rail. 18:33 18 minutes, 33 seconds So definitely uh efforts should be to move more and more cargo by rail. So where whatever factors are contributing 18:41 18 minutes, 41 seconds to it and uh but the rail transportation at the end of the day should increase and uh for your information at GNP there 18:51 18 minutes, 51 seconds was a there was a very big congestion some few days back due to various reasons you may be reading and uh 18:58 18 minutes, 58 seconds because and Konpa came forward I also spoke to chairman and the top management of JN city. So we evacuated lot of 19:05 19 minutes, 5 seconds containers from JNPT to our facility at Donagiri and all this evacuation was done through rail only. We deployed the 19:12 19 minutes, 12 seconds special rakes and transportation was done between J&P and our terminal. So rail definitely helped us a lot in 19:20 19 minutes, 20 seconds easing the congestion and now J&P is having a huge uh imports now. So it's dealing with lot of volumes. So 19:27 19 minutes, 27 seconds definitely rail is the preferred mode of transport for our country as a whole. 19:33 19 minutes, 33 seconds Sure. Sure. Sure. And just one last question from my side. Uh you had mentioned about assured uh uh transit 19:39 19 minutes, 39 seconds time uh services. Uh say in F26 uh could you give us some sense on what percentage of your services are running 19:47 19 minutes, 47 seconds on shared transit time and uh what could this go up to uh say in the next year? 19:54 19 minutes, 54 seconds Okay. uh percentage wise if you compare from our overall volume it is a negligible percentage but I should say that it's a welcome beginning by Indian 20:03 20 minutes, 3 seconds railways which is welcomed by the trade so if if I go for percentage it is a very meager percentage but uh more and 20:12 20 minutes, 12 seconds more reforms in the form of various other things and assure transit more services are being announced by Indian railways because they are seeing the 20:21 20 minutes, 21 seconds benefits of that so uh these are small steps being taken and we should welcome these steps because ultimately 20:28 20 minutes, 28 seconds eventually it will again divert traffic to rail. 20:33 20 minutes, 33 seconds Got it. Thank you so much. I can thank you. 20:40 20 minutes, 40 seconds Next question is from the line of Sumit Kish from Access Capital. Please go ahead. 20:46 20 minutes, 46 seconds Thanks for the opportunity. Uh uh so if you can elaborate on your uh thoughts around the West Asia crisis which is 20:54 20 minutes, 54 seconds still ongoing uh and uh we are almost 2 months into the June quarter uh what has been the disruption in terms of volumes 21:03 21 minutes, 3 seconds for exam and domestic if you could give us a flavor and you know very difficult to give an outlook here but given you 21:12 21 minutes, 12 seconds have uh uh uh uh left us with the 8% growth guidance on exam and 15% for domestic uh you know what what kind of slow start 21:20 21 minutes, 20 seconds do you expect uh in the first half of the fiscal uh that is my first question. 21:27 21 minutes, 27 seconds See uh as far as the West Asia crisis is concerned, our volumes were uh impacted in the month of March due to which last 21:36 21 minutes, 36 seconds FY also our results were we were expecting more at at least we could not perform that much and April was also not 21:43 21 minutes, 43 seconds very good. But from the month of May, we are again seeing an upsurge in our volumes. Uh which is a good indication. 21:50 21 minutes, 50 seconds Probably the other markets like US and Europe and Far East, they are now contributing a lot and government of 21:58 21 minutes, 58 seconds India has signed various FTAs uh with various countries that is also positively impacting the business. we 22:06 22 minutes, 6 seconds are getting good uh import volumes at all the case reports and uh FDAs have a very important role to play in that and 22:15 22 minutes, 15 seconds uh I'm quite sure that uh whatever guidance I have given taking all these factors into consideration we have worked out and now we are giving this 22:24 22 minutes, 24 seconds guidance and we are quite positive to achieve this guidance. 22:27 22 minutes, 27 seconds Sure. My second question is on the domestic uh uh uh segment revenue growth uh uh uh uh decline of 4% in the March 22:37 22 minutes, 37 seconds quarter and the uh domestic uh bit margin segment debit margin uh was just2%. 22:45 22 minutes, 45 seconds So if you could help us quantify the impact that the West Asia crisis in March particularly had for the domestic business uh and what really led to such 22:54 22 minutes, 54 seconds a steep uh sort of impact in the domestic uh segment that will be useful. 23:01 23 minutes, 1 second See uh domestic actually uh affected very adversely because of the you know disturbance in our neighboring 23:10 23 minutes, 10 seconds country. Because of that we could not get the supply of jute and uh you know this gunny bales were the major 23:18 23 minutes, 18 seconds domestic loading commodity in eastern India and because of the not no supply 23:24 23 minutes, 24 seconds of jew or less supply of jude the gny bales traffic was very severely affected. This affected our uh top line 23:31 23 minutes, 31 seconds in domestic as as well as bottom line because traditionally cargo cargo goes to eastern India and in return direction 23:39 23 minutes, 39 seconds gunny bales were uh stuffed in the containers but because of there were no gny bales so these containers were running empty. So bottom line was very 23:48 23 minutes, 48 seconds badly affected. The second reason was the uh tiles industry in Mori. You must be reading in newspaper. Not almost all 23:57 23 minutes, 57 seconds the tile factories are closed because of there's no supply of gas. So these two communities are uh you know big 24:04 24 minutes, 4 seconds communities contributing in domestic and these were the reasons. Now slowly uh both the communities are getting 24:12 24 minutes, 12 seconds revived. So we are quite positive. Apart from that now this uh bulk cement will also gain traction. So that is why I am 24:20 24 minutes, 20 seconds giving a guidance of 15% domestic which uh we are quite optimistic that we will be able to achieve. 24:27 24 minutes, 27 seconds So the gy bag issue and the mori uh volumes are they back to 50% of normal or even below that right now? 24:35 24 minutes, 35 seconds Right now they are below that but they are indications that very quickly they will be increasing. 24:41 24 minutes, 41 seconds Okay. Thank you and wish you all the best. Thank you. 24:47 24 minutes, 47 seconds Next question is from the line of Adita Monga from Kotak Securities. Please go ahead. 24:54 24 minutes, 54 seconds Uh um thank you for the opportunity. Um I had a couple of questions from my side. The first one being on J&P. Um so 25:03 25 minutes, 3 seconds you talked about an 18 to 9.1 19% number and eventually 30% uh n coefficient number. Could you give us a 25:12 25 minutes, 12 seconds sense of u what are low hanging fruits over here which can make leading to 19% happen and then what needs to happen for 25:18 25 minutes, 18 seconds 30% mo to happen and why I'm also asking this question is my sense was that the entire uh movement that goes from road 25:28 25 minutes, 28 seconds uh from J&P to northern part of the country is uh you know 10 odd percent so trying to get a sense which other groups 25:36 25 minutes, 36 seconds that you're exploring maybe 15 to 30% more coefficient See actually this u you know uh change 25:46 25 minutes, 46 seconds over from road to rail will not happen overnight once these services start it will take some time to stabilize like 25:53 25 minutes, 53 seconds right now I told the rail proficient in last financial year at J&P was 15% 15 so I am expecting that in FY27 this will 26:02 26 minutes, 2 seconds reach around 19% 9% maybe it may reach 20 21% also and uh in 3 years time it 26:11 26 minutes, 11 seconds will stabilize at 30 or 35%. Because uh you know J&P uh is not serving only North India lot of traffic is going to 26:20 26 minutes, 20 seconds uh Hyderabad area to Nagpur that is central area central India and then to Bangalore also South India. So all these 26:28 26 minutes, 28 seconds places are also served by JNPT. So and all these places are not connected on Western DFC. So western DFC is 26:36 26 minutes, 36 seconds connecting uh north India that is NCR and is passing through Gujarat. So Nagpur, Hyderabad and Bangalore they 26:46 26 minutes, 46 seconds continue to be non DFC locations for J&P. So in that all locations also we are getting a good business they will 26:53 26 minutes, 53 seconds continue to move nonDFC but the benefits of DFC and all from all these locations Nagpur, Hyderabad, Bangalore we cannot 27:01 27 minutes, 1 second run double stack trains to J&P because it is not on DFC but for NCR area and uh 27:09 27 minutes, 9 seconds Gujarat they will be able to run double stack so they will uh reap the benefits of western DFC. So that is why I'm 27:16 27 minutes, 16 seconds saying that in 3 years it the rail commission will increase to 30 35%. 27:22 27 minutes, 22 seconds Um so just to clarify what you're saying is that um or maybe the clarification over here when you say on the nonDFC 27:29 27 minutes, 29 seconds roads Hyderabad Nuros so on so forth um will there be anyway impacted by uh uh 27:37 27 minutes, 37 seconds the commissioning of DFC? I mean what is reason why they would start coming on double stack to J&P versus initiate today. 27:47 27 minutes, 47 seconds So these locations like Nagpur, Hyderabad, Bangalore will not be impacted with commissioning of western DFC because double stack trains cannot be run from these locations. 27:57 27 minutes, 57 seconds Yeah. So why would they rail from u from those um over time? 28:03 28 minutes, 3 seconds So uh for these locations also we are uh running services and uh shift from road to rail is there but it is gradual shift 28:12 28 minutes, 12 seconds and it's not that uh uh quantum shift I should say that will happen as uh when DFC is commissioned uh for NCR and 28:21 28 minutes, 21 seconds between NCR and JNPT but these locations also there's a gradual shift from road to rail but not that quick. 28:30 28 minutes, 30 seconds Sure. Just a second question from my side. Um um I was intrigued by you suggesting that Indian railways um are 28:37 28 minutes, 37 seconds on uh on the angle of um talking about or announcing more reforms. Could you give us a sense of u which direction are 28:45 28 minutes, 45 seconds these reforms focused on? I mean one part is obviously assured uh traffic and assured rates but what beyond that u the focus areas for interaction. 28:56 28 minutes, 56 seconds I I cannot disclose the details of uh reforms to you but in logistics there are I can give you a hint because in 29:03 29 minutes, 3 seconds logistics there are only two things that a customer wants. First is the transit time and second thing is economically cost should be uh you know reasonable. 29:14 29 minutes, 14 seconds So railway is working on both these issues that much only I can tell you right now. 29:22 29 minutes, 22 seconds Thank you sir for those responses. I'll get back to you. Thank you. 29:29 29 minutes, 29 seconds Next question is from the line of Achalari from Noama. Please go ahead. 29:34 29 minutes, 34 seconds Yeah. Good morning, sir. Thank you for the opportunity. Am I audible? Yes, please. 29:40 29 minutes, 40 seconds Yes. Uh sir um uh first question uh you know you've talked about uh container the shipping the par container uh 29:48 29 minutes, 48 seconds investment. So if you could talk a little bit more on that in terms of what are the plans here, what kind of capital allocation or capital investment would we would that entail from our end. 30:00 30 minutes See uh what capital we have to invest in that uh it's a confidential information right now and it's going to the cabinet. 30:09 30 minutes, 9 seconds So I cannot disclose that uh information to you. I can only tell you that we are we have a 30% stake in that and it will 30:17 30 minutes, 17 seconds be a uh uh you know uh very big shipping line for our country and our country it's a pride for us that we will have a 30:25 30 minutes, 25 seconds container shipping line till now we don't have a container shipping line at all with make in India getting traction in our country and a lot of exports 30:34 30 minutes, 34 seconds being generated so it's high time that we should have a container shipping line where we should have our own ships we should have our own containers ers and 30:42 30 minutes, 42 seconds uh ports have also been made stakeholders. So uh we should be an uh very active part of global supply 30:49 30 minutes, 49 seconds chains. So this is a welcome move by government of India and container corporation with its strength in the hinterland in inland logistics and 30:58 30 minutes, 58 seconds shipping corporation of India. They are also having 30% stay. They have a good experience in the shipping sector. So 31:05 31 minutes, 5 seconds both these uh big companies have joined hands. Apart from that there are three ports JNPT uh Chennai port and Tutarin 31:14 31 minutes, 14 seconds port they are also part and Shakagar Mala development fund they are also part of this uh BCSL. So all these uh uh you 31:23 31 minutes, 23 seconds know relevant players government of India have decided that they will be part of Bah container shipping line and uh as I told you already uh as per the 31:33 31 minutes, 33 seconds Amritkal vision of honorable prime minister by 2047 this shipping line will be the among the top 10 shipping lines of the world. 31:44 31 minutes, 44 seconds Only this much I can tell you right now. 31:47 31 minutes, 47 seconds No problem sir. Uh the second question I had uh you know uh with respect to the margins so while you have talked about 31:54 31 minutes, 54 seconds the volume growth guidance can I presume you're talking about the handling volume or originating volume sir? I'm talking about handling volumes. 32:02 32 minutes, 2 seconds Okay. Uh so given that volume guidance what kind of how do we look at the margins uh you know uh especially 32:11 32 minutes, 11 seconds I mean if you could talk a little bit on that margin trend at all overall or if not even on segment 32:18 32 minutes, 18 seconds uh you people are very good in numbering we cannot match you so you can very easily do that all I can tell you is we 32:26 32 minutes, 26 seconds will maintain the AITA level between 24 to 25% as we have been doing till now in fact 32:33 32 minutes, 33 seconds Last financial year also we had an AITA of 24.33%. In FY26 by 25 it was 24.98%. 32:41 32 minutes, 41 seconds So there was hardly any drop in AITA% despite all these setbacks. So in the coming years also we will maintain AITA between 24 to 25%. 32:52 32 minutes, 52 seconds We are quite uh clear on that. 32:56 32 minutes, 56 seconds Got it. Uh sir just a quick clarification I wanted to check in with uh is in terms of the drop in the uh 33:03 33 minutes, 3 seconds segment margin for domestic uh if I look at the uh Q drop in terms of the segment 33:11 33 minutes, 11 seconds uh edit that is very very sharp is there any oneoff anything you want to call out uh I also see at the same time there is 33:18 33 minutes, 18 seconds significant jump in the other expenses so if you could call out if there are any uh oneoffs here or any expenses which have gone 33:27 33 minutes, 27 seconds See uh as I told earlier also that uh uh in domestic actually if you have to have good bottom line then you should have 33:36 33 minutes, 36 seconds minimum empty running of containers. You should have both side loaded movement. 33:40 33 minutes, 40 seconds Logistics is sustainable only if you have loaded movement from both the sides. But because of the setback of not 33:48 33 minutes, 48 seconds getting the gny bales traffic, we were forced to move empty containers from eastern India to north India and western 33:56 33 minutes, 56 seconds India because we have lot of business traffic moving from western India and north India to eastern India. Return 34:04 34 minutes, 4 seconds direction we were getting bales which was loaded from eastern India to these locations and central India also. But 34:11 34 minutes, 11 seconds now because the Dunnyville traffic stopped so we were we were forced to run empty containers out from eastern India 34:20 34 minutes, 20 seconds back to these places for getting the loading. So because of that empty running it severely affected our uh 34:27 34 minutes, 27 seconds profitability in domestic and we were not able to build any circuits. Of course we tried some triangular 34:34 34 minutes, 34 seconds movements but uh most of the cases we had to take out MTS from eastern India either to north India or to west India 34:43 34 minutes, 43 seconds sometimes to central and south India also. So this affected the profitability of domestic in a very big way in Q4. 34:51 34 minutes, 51 seconds Got it. Uh if you could help us with the originating volume sir for first quarter or full year sir. 34:58 34 minutes, 58 seconds You want for fourth quarter or full year? Ideally both but if you could get any of that that would be very because up to Q3 you may be having so 35:06 35 minutes, 6 seconds fourth quarter originating volume was exam was 549273 TUS 35:13 35 minutes, 13 seconds and uh domestic 129065 TUS total is 678338 TUS 35:22 35 minutes, 22 seconds got uh thank you I I have more questions but I'll call back in thank you thank Thank you. 35:32 35 minutes, 32 seconds Next question is from the line of Janam Sha from IQAS Capital. Please go ahead. 35:40 35 minutes, 40 seconds Yeah, right. 35:42 35 minutes, 42 seconds Uh so just one thing over here if you see our uh handling volume growth for this year was at around 9.6% total 35:50 35 minutes, 50 seconds whereas our originating growth was at around 4 and a half% and if we see our revenue growth it was mere 2%. So of course our double sticking has been increasing which is leading to a lower 35:59 35 minutes, 59 seconds realization. Of course small and last mile is also increasing which is you can say having a difference between originating and this uh what you can say 36:06 36 minutes, 6 seconds handling volumes and now we are adding let's say around 9 and a half% growth for the handling volume for next year. 36:12 36 minutes, 12 seconds How you think it will convert into the originating growth and probably to the revenue. How do we see that two numbers panning out from the handling volume growth for the FI27? 36:22 36 minutes, 22 seconds See uh it is difficult to tell you the exact uh percentage but uh if you are tracking container cooperation you may 36:30 36 minutes, 30 seconds be knowing that broadly or uniting is almost 65 or 70% 36:36 36 minutes, 36 seconds of handling that is a thumb rule and as far as earning is concerned it's a function of two things 36:43 36 minutes, 43 seconds in run railways we call net 10 kilometers it's a function of weight and distance so uh originating that is only it tell 36:53 36 minutes, 53 seconds the million tons which are million tus or million tons which are moved. So you have to multiply it with the distance 37:00 37 minutes which is the lead. So if orating is increasing by 4.47% whereas earning is increasing by 2.2% 37:08 37 minutes, 8 seconds that means our lead has come down. So if we move for less distance then uh we get 37:14 37 minutes, 14 seconds less revenue. So it's a function of uh weight and distance. So that is the thumb for that. Yeah. 37:24 37 minutes, 24 seconds Got it. So on the empty earning part that you have been highlighting on the domestic part what I see over here is that for a domestic full year I guess emptying has been down by around some 37:32 37 minutes, 32 seconds four or 5%. for the quarter the calculation that I have been doing emptying is increased from 66 cr last year 40 25 to around 73 cr and 4k 26 37:41 37 minutes, 41 seconds that is increase of around let's say 78 cr rupees on the top line of around 760 cr that we have booked for the domestic segment that is near 1% of the impact 37:50 37 minutes, 50 seconds that has eventually been there in empty running cost for the domestic part our margin used to be between let's say 5 to 8% of the margin for the domestic 37:58 37 minutes, 58 seconds segment now we have reported 2% even if you add like 1% of this empty running cost which increased over last year then the maring would have been let's say 1.2 38:06 38 minutes, 6 seconds 1.5%. So where is the gap between let's say 5 7% that we used to report versus let's say 1 and a half% even after removing the empty running cost of 73 cr 38:15 38 minutes, 15 seconds that we would have reported in 46 now uh the empty Q4 to Q4 has increased 38:23 38 minutes, 23 seconds by 11% in domestic for information from 68 to 73 cr yes yeah it was around 38:31 38 minutes, 31 seconds no it is not 63 it is 68.9 cr to 76.7 So uh that is 11.3% increase and second 38:41 38 minutes, 41 seconds thing is the lead in domestic has also gone down from 1321 to 1309. So both these things have contributed to top 38:48 38 minutes, 48 seconds line as well as bottom line. So as far as the year figure per full financial year domestic uh MP running has come 38:57 38 minutes, 57 seconds down from 291.4 to 280.35 crores that is a drop of 3.8%. 39:05 39 minutes, 5 seconds Got it sir. Got it. And of course we have not given any long-term guidance but we used to say that our handling would be 39:12 39 minutes, 12 seconds reaching to let's say 10 million use by maybe 2930. Uh how this recent crisis would have been impacted that timeline or maybe the volumes or let's say is 39:21 39 minutes, 21 seconds there any impact of our capex for future years or we'll be building on the capacities for the future growth. 39:28 39 minutes, 28 seconds See uh we are incurring expenditure on cafe because we want to be ready and of course there is lot of demand at present 39:36 39 minutes, 36 seconds sometimes you feel that when exam and domestic are firing on all cylinders and lot of demand is there we are not able 39:44 39 minutes, 44 seconds to meet the demand of our customers and customer will not wait for us so uh we we should be future ready with our 39:52 39 minutes, 52 seconds infrastructure and uh we don't know when the things will turn when the demand demand will increase and uh of course we 40:00 40 minutes have some forecasts but uh procurement of rakes, procurement of containers, it it cannot be done overnight. It will 40:09 40 minutes, 9 seconds take some time. So we have to be future ready to meet the demand of our customers because we believe in giving 40:16 40 minutes, 16 seconds them excellent service without sacrificing our margins. That has been the moto of our company. We work on that 40:23 40 minutes, 23 seconds principle. That is why we go for capeex of 10,000 crores every year. This year also 945 cr has been approved by bod 40:31 40 minutes, 31 seconds definitely midyear review will be there and uh we I think we will be touching that figure only that we did uh in last 40:38 40 minutes, 38 seconds financial year. So all these uh infrastructure additions are going to further bring in more volumes to us only. 40:50 40 minutes, 50 seconds Thank you so much for the responses. Thank you. 40:58 40 minutes, 58 seconds Next question is from the line of Priyanka from JM Financial. Please go ahead. 41:05 41 minutes, 5 seconds Uh thanks sir for the opportunity. So my first question is we have recently seen like significant uh increases in diesel 41:13 41 minutes, 13 seconds prices I mean in the past 1 month. So in that context uh I guess uh truck freight 41:21 41 minutes, 21 seconds rates should have also increased meaningfully. So in that case uh are we seeing any movement back from road to 41:29 41 minutes, 29 seconds rail uh at least on the volumes that you may have seen in the March of uh at least in the months of let's say uh 41:36 41 minutes, 36 seconds month of May. So that's the first question and if you can elaborate like uh uh how do you see uh the real model share going ahead? 41:49 41 minutes, 49 seconds We are already in the month of May. All I can say is that definitely we are seeing a good volumes in the month of May. March and April were not good for 41:57 41 minutes, 57 seconds us. So uh I cannot give you any numbers right now because I don't have with me at present. So definitely it would have 42:05 42 minutes, 5 seconds contributed to rail increase in rail share but numbers I I don't have with me right now. 42:12 42 minutes, 12 seconds So so ideally the rail motor share should have increased. I mean with this uh diesel price increases leading to 42:19 42 minutes, 19 seconds truck rates. Would that be a right understanding? 42:23 42 minutes, 23 seconds Uh see it is very premature to say that but definitely whatever you are pointing out is correct. Definitely it will be uh 42:32 42 minutes, 32 seconds uh more movement will be done by with rail only. I fully agree with you. 42:37 42 minutes, 37 seconds I said just uh adding on to that uh so we said despite you meeting up with your 42:45 42 minutes, 45 seconds exam uh volume guidance for the full year uh what I observe is despite that uh the topline growth is something like 2 and a half%. 42:55 42 minutes, 55 seconds uh so uh where is exactly the disconnect I mean ideally one should expect that if 43:01 43 minutes, 1 second you are growing uh somewhere let's say double digits so ideally the revenue growth should also be coming close to 43:09 43 minutes, 9 seconds double digits so what exactly is the issue that we are taking on the revenue 43:17 43 minutes, 17 seconds incidentally in exam we have not grown with double digit handling growth was 8% originating growth was 5% And there was 43:24 43 minutes, 24 seconds a drop in lead also as I explained earlier the earning is a function of uh weight as well as lead. So as there was 43:32 43 minutes, 32 seconds a drop of lead of 3 kilometers uh overall in the financial year that is a big drop. So it contributed to uh that 43:41 43 minutes, 41 seconds much uh not commensurate growth but definitely in exam we have done very well 6,000 K we have crossed for the 43:48 43 minutes, 48 seconds first time in our history. So this is a good growth and uh we are expecting more growth in this financial year. 43:57 43 minutes, 57 seconds Okay. And sir just squeezing one more question is uh one more question. So you used to provide uh your market share at 44:05 44 minutes, 5 seconds J&P Mumbra and Pikah and also the rail provisions. Uh if you can do that for the quarter. 44:14 44 minutes, 14 seconds I can give you for the year. I don't have for the quarter. Yes. Yes. That was a fine for the year. 44:21 44 minutes, 21 seconds Yeah. JPT rail coefficient was 15.12%. And our share was 60%. 44:29 44 minutes, 29 seconds Mundra real cofficient 24.6%. Our share is 35.4%. 44:35 44 minutes, 35 seconds Pipawa real coefficient is uh 57.5%. Our share is 48.3%. 44:44 44 minutes, 44 seconds Okay. Uh that's what we speak from. Thank you. 44:54 44 minutes, 54 seconds Next question is from the line of Vive Satia from HDFC Securities. Please go ahead. 45:01 45 minutes, 1 second Hello. Yes, please. 45:06 45 minutes, 6 seconds Yeah, just the calls are sounding repetitive. I uh I miss the initial part of the call. Uh could you please provide us with the uh provide me with the 45:14 45 minutes, 14 seconds handling volume and originating volume and uh if you could repeat the market share and coefficient which you've just repeated for the previous column 45:23 45 minutes, 23 seconds the uh handling we achieved for the financial year you want full financial year 45:30 45 minutes, 30 seconds uh quarter financials uh breakdown in terms of exam and domestic growth because Q3 you may be having already so I will tell you about Q4 Q4 handling 45:40 45 minutes, 40 seconds volumes per uh exam was 1068283 domestic 359819 45:51 45 minutes, 51 seconds total 1428102. 46:02 46 minutes, 2 seconds Yeah. Uh also if you could provide the origin uh originating Yeah. 46:10 46 minutes, 10 seconds Coordinating exam is 549273 domestic 129065 46:17 46 minutes, 17 seconds total 67838 to repeat the market share point which 46:25 46 minutes, 25 seconds you've just uh discussed share is rail coicient is 15.12% market share 60%. 46:34 46 minutes, 34 seconds Mundra uh this uh rail coefficient 24.6%. Market share is 35.4%. 46:42 46 minutes, 42 seconds If our uh real coition is 57.5%, market share is 48.3%. 46:50 46 minutes, 50 seconds 48.3. Okay. Uh yeah, that'll be it. 46:59 46 minutes, 59 seconds Thank you ladies and gentlemen. In order to ensure that the management is able to address question from all the participant in the question queue, 47:07 47 minutes, 7 seconds please restrict yourself to one question only. Should you have a follow-up question, please rejoin the queue. 47:14 47 minutes, 14 seconds Next question is from the line of Aditya Monga from COC Securities. Please go ahead. 47:21 47 minutes, 21 seconds Um uh so I just want to kind of gauge from you as in uh from costing perspective that dependencies on Indian railways where do you think there is 47:30 47 minutes, 30 seconds scope for any kind of rationalization from a concourse perspective or railways should be better? Yeah. 47:39 47 minutes, 39 seconds Can you please repeat the question? I have not heard you properly. 47:43 47 minutes, 43 seconds I'm just saying as in from the perspective of costing and that's decided by Indian railways um um u there are a few dependencies over here uh 47:52 47 minutes, 52 seconds where do you think that the that if the cost is rationalized that the demand for the rail product can go up 48:01 48 minutes, 1 second okay uh uh right now uh if you see the pointto-point cost rail cost is less 48:08 48 minutes, 8 seconds than road cost and uh the Increase in total logistics cost is because road is doortodoor and rail we have to go for 48:17 48 minutes, 17 seconds first mile last mile. Normally first mile last mile is the component which increases the transportation if we do through rail. But rail pointtooint is 48:27 48 minutes, 27 seconds still it is cheaper than road. So we have to minimize first mile last mile. 48:31 48 minutes, 31 seconds So we have to have more and more facilities more and more terminals which should be near the cargo center. So that first mile last mile comes down and transportation is done through there. 48:41 48 minutes, 41 seconds And at present the challenge being faced by trade is not the high cost that we have to incur on rail transportation. It 48:48 48 minutes, 48 seconds is the transit time. Transit time is the challenge that uh trade is facing. So uh 48:56 48 minutes, 56 seconds costwise I don't think there is not much issue. Understood sir I'll get back to you. 49:02 49 minutes, 2 seconds Thank you. Thank you. 49:09 49 minutes, 9 seconds Next question is from the line of Continia from Jeff. Please go ahead. 49:15 49 minutes, 15 seconds Yeah. Hi sir. Thanks for the opportunity sir. Uh two three questions from my end. 49:19 49 minutes, 19 seconds So firstly on the market share on the exam side. Last year you are about 55 odd% where would you be currently and how would that number correspond? I mean 49:28 49 minutes, 28 seconds at different ports have you lost or gain share anywhere? If you can speak a little bit about that. 49:35 49 minutes, 35 seconds Yeah, I will tell you the entire year. Last year in exam it was 55.2%. This year it is 53.9%. 49:44 49 minutes, 44 seconds Mhm. Domestic last year was 57.6%. This year it is 55.9%. 49:51 49 minutes, 51 seconds Overall last year it was 55.9%. This year it is 54.5%. 49:57 49 minutes, 57 seconds There is a marginal drop in market share. And uh basic reasons are uh the 50:04 50 minutes, 4 seconds we purposely avoided picking up the low margin businesses on some segments and uh some market share we lost in domestic due to various reasons. 50:15 50 minutes, 15 seconds As far as port market share is concerned already I have told for all the three ports. 50:21 50 minutes, 21 seconds Sure sir. Uh sir my second question is you know I mean with respect to the empty running for the quarter government 50:28 50 minutes, 28 seconds that is the March 26 quarter your domestic empty runninging cost went up by about 6% Y if I understood it 50:35 50 minutes, 35 seconds correctly which is similar to the Y growth in in your domestic coating volumes so therefore I mean why there is 50:43 50 minutes, 43 seconds a sharp drop in my I understand you spoke about the empty running and all that due to any bags but then the empty running cost on a Y basis is It is similar to your cargo volume load. 50:54 50 minutes, 54 seconds Therefore on a per TU basis some I mean are there any other elements which we are missing or at least is there a gap 51:01 51 minutes, 1 second in our understanding? If you can help us there please. 51:05 51 minutes, 5 seconds Now the uh if you see the Q4 Y on Y the domestic learning has increased by 11.3%. 51:12 51 minutes, 12 seconds Not by 65 or 6%. It is 11.3%. Last year it was uh 16 68.94 servers. This year it 51:20 51 minutes, 20 seconds is 76.76 crores. So that is a growth increase of 11.3% in domestic. The reason that I was telling you uh because 51:29 51 minutes, 29 seconds of the eastern side we have to move empty containers and originating volumes in domestic have increased by 1.9%. 51:36 51 minutes, 36 seconds So and then lead has also come down from 1321 km to 1309 km. So all these factors have contributed to the uh numbers in 51:46 51 minutes, 46 seconds the state. Sir, if I may ask one last question, how is the current quarter shaping up? Because with the West Asia crisis and everything, are you seeing 51:54 51 minutes, 54 seconds higher empty running or lower double stacking? I mean, how are the operations impacted? Because we understand Middle East is a key export destination. So, how is it impacting the operations now? 52:05 52 minutes, 5 seconds Not just in terms of volumes but also in terms of managing the empty running movement etc. 52:11 52 minutes, 11 seconds See now the as I told earlier also April month was not very good for us from business point of view but from May businesses really picked up quite well. 52:21 52 minutes, 21 seconds We are seeing good tendencies at ports also and exports are also picking up. 52:26 52 minutes, 26 seconds Domestic is also now gradually increasing. So from May onwards we are seeing some upurge. So uh we hope to end the quarter on a positive note. 52:37 52 minutes, 37 seconds Uh so my question is more specific to you know the operations rather than just the business because Middle East being a 52:44 52 minutes, 44 seconds key export destination. Are you seeing a potentially higher empty running or lower double stacking in the current quarter is what I was trying to 52:52 52 minutes, 52 seconds understand because there were some media articles quoting that just trying to confirm it from you. 52:59 52 minutes, 59 seconds Uh I don't have the numbers with me right now. So specific question I I cannot answer that question right now. I don't have the numbers with me for this current quarter. 53:09 53 minutes, 9 seconds Sure. Thank you very much. Thank you. 53:16 53 minutes, 16 seconds Next question is from the line of Krishna Saha from Quantum EMC. Please go ahead. 53:23 53 minutes, 23 seconds Yeah, thanks a question. Is this uh a private internet with DCFA uh having achievement 53:32 53 minutes, 32 seconds of this? that are needing from the PI then we release so in the parliament so 53:40 53 minutes, 40 seconds is it that we have to we have to make an investment of 50% of 60 69 something 53:48 53 minutes, 48 seconds right we can help you with that please sir your voice is not clear I'm not able to understand your question 53:56 53 minutes, 56 seconds can you move away from my sentence yeah because I'm not able to understand yeah Hello. 54:06 54 minutes, 6 seconds What is what is the question? What? Hello. 54:08 54 minutes, 8 seconds Yeah. Uh when I look at the refresh from PIB uh at the container drive taking 54:15 54 minutes, 15 seconds shape at the BCSL, it talks about an outlay of investment of 59,000 crores. 54:22 54 minutes, 22 seconds So uh is that unshine that we have to for 30% of that or how just try to understand this personally talks about a 54:30 54 minutes, 30 seconds large number of,000 trolls. So just want your thought on that. And the second question is on the sorry the second 54:37 54 minutes, 37 seconds question is remember sorry at the moment I cannot uh comment on what what is there on press release and 54:46 54 minutes, 46 seconds it's a confidential information how much we have to uh spend in that uh JV it's 54:54 54 minutes, 54 seconds not possible I will not use this forum to comment on that uh okay 55:02 55 minutes, 2 seconds uh just from the the bat Mumbai container of the PHA what is the reason s we have to get into an agreement with PSA isn't that container option 55:11 55 minutes, 11 seconds automatically and we get it or is that like we get the first write write a first approval or something like that is there anything more benefits us in that 55:20 55 minutes, 20 seconds manner let's try to understand that business and just last on the other expenses have increased drastically the percentage of revenue so so you just 55:28 55 minutes, 28 seconds throw some light on that it will be helpful see the PSA agreement we have signed that's a unique agreement because uh uh 55:37 55 minutes, 37 seconds for the first time the uh we will be bringing domestic containers as well as the cababotage containers also on that 55:45 55 minutes, 45 seconds train so that we have got special permission from customs that permission is for everybody anybody can use that so 55:52 55 minutes, 52 seconds we will be bringing domestic plus ex containers from their terminal and why PSA reason is that uh they have a fully 56:00 56 minutes compliant DFC yard in G&P huge yard they have uh constructed from which uh double 56:08 56 minutes, 8 seconds stack trains can be directly run so this will be domestic exam now the other terminals at J&P are also approaching 56:15 56 minutes, 15 seconds con to sign similar agreement with them we are evaluating that and very soon we may be signing with other players also 56:24 56 minutes, 24 seconds so is it like they have to give you a certain amount of volume or you have to be on time is agreement as what agreement says there has to be some 56:32 56 minutes, 32 seconds agreement. So what is is there anything what is what is the underlying uh thing which holds up the agreement if you'll shed some light on that 56:41 56 minutes, 41 seconds it's a confidential agreement I can't share it's not in public domain but all all I can say is it will bring more business to conquer 56:49 56 minutes, 49 seconds fair and the other expenses which is increased drastically according uh this thing and do you think after DC comes in full force you'll have expenses 56:57 56 minutes, 57 seconds increasing on the holiday charges because now taxes have increased everything become more competitive with 57:04 57 minutes, 4 seconds DFC operating come June. So what do you think the holers could be at this level hovering at whatever the number is right now? 57:14 57 minutes, 14 seconds I will I will I will answer your second part first and then first part I will request my principal executive director 57:21 57 minutes, 21 seconds of finance for other charges as you told for DFC uh holiday charges are same as Indian railways there's no difference at 57:29 57 minutes, 29 seconds all. So if if I run train on Indian railways or I turn run train on DFC, I have to pay the same money. There's no difference at all. 57:38 57 minutes, 38 seconds But in double stack, you may be aware that containers which are moving on upper deck, we have to pay 50% hol 57:45 57 minutes, 45 seconds charges. So I will have some savings on that. So I will share a part of that saving with my customers by tinkering on 57:53 57 minutes, 53 seconds tariffs with for containers which are moving on upper deck. So then my tariff for upper deck will become competitive 58:00 58 minutes with road tariff. So I will be able to attract business on upper deck as far as 58:07 58 minutes, 7 seconds so no I get that I was just trying to understand whether you see an increase in solid charges. I get the economics of upper and lower debt and so on and so 58:16 58 minutes, 16 seconds forth but is there do you see in the light in the recent happening of all this war and etc etc. I'm not going to 58:23 58 minutes, 23 seconds detail but do you see any increase in holiday charges as a whole for the Indian railways from the Indian rails that's what I was trying to drive that 58:32 58 minutes, 32 seconds okay okay see see that is actually that I can't comment that is a decision taken by Indian railways but at present I can 58:40 58 minutes, 40 seconds tell you there is no such move that Indian railway is going to increase the hol charges sure thing expected 58:49 58 minutes, 49 seconds yeah other charges yeah Mr. Harish Chandra our principal executive director uh I will request him to answer your question. Yes sir. Yeah. 58:58 58 minutes, 58 seconds In fact the element of rail freight and other operating expenses we have shown separately and the other expenses 59:05 59 minutes, 5 seconds normally include the expenses related to maintenance the legal expenses and the expenses related to uh security 59:13 59 minutes, 13 seconds terminals. So there has been some increase in our maintenance expenses and the AMC's which are payable for our uh 59:21 59 minutes, 21 seconds contract because we have also set up a DR site uh last year. So the material cost of that 59:28 59 minutes, 28 seconds has also gone up. So because of these elements like CSR expenses and maintenance expenses there is some increase in other during the year. So is 59:37 59 minutes, 37 seconds this a this this one, 120 or 120 crores is this a run date we look at for every year or this like business is just one 59:46 59 minutes, 46 seconds quart of phenomen no this is not one off this will be basically uh this will be a recurring expense maintenance is a recurring 59:54 59 minutes, 54 seconds expense no no what why did I arrive at so the expenses were around 3.53 so and an average this for this quarter shot up to 1:00:02 1 hour, 2 seconds 5.3 5.4 four practically 2 percentage more. So just trying to drive that whether this expenditure is normalized 1:00:09 1 hour, 9 seconds at 3.54 or is going to be at 5.4 5.5. So that takes out one and a half percentage of my epic margin. Uh so that helps you later. 1:00:18 1 hour, 18 seconds No the right no the expense for the year if you see in the other expenses it is 358 crores. 1:00:28 1 hour, 28 seconds Yeah. Yes. That's for the whole year. I'm trying for the quarter. 1:00:31 1 hour, 31 seconds Yeah. So on an average you can see uh the expenses would be around uh um you know 70 to 80 crores per quarter 80 cr 1:00:41 1 hour, 41 seconds we can say yeah yeah 1880 crores beach but but this year it is 120 1:00:52 1 hour, 52 seconds sure thank you thank you ladies and gentlemen we will take this as the last question for the 1:01:00 1 hour, 1 minute day I now have the conference over to the management for the closing comments. 1:01:06 1 hour, 1 minute, 6 seconds Yeah. Uh all I can assure my shareholders is that uh company has uh uh over the years earned a very good 1:01:14 1 hour, 1 minute, 14 seconds name in among all its stakeholders and we are able to give uh best service to the customers and uh without sacrificing 1:01:22 1 hour, 1 minute, 22 seconds our margins. We have a world-class infrastructure. We are standing on very strong fundamentals and uh all ethical 1:01:31 1 hour, 1 minute, 31 seconds working is there in our company and we have got good contacts, good relationships and with all stakeholders including various government 1:01:39 1 hour, 1 minute, 39 seconds departments, various customers and other business associates. So they value our uh company very much and this uh 1:01:48 1 hour, 1 minute, 48 seconds confidence has been uh reposed every year. We are getting more and more business. Government is also decided 1:01:55 1 hour, 1 minute, 55 seconds government decided to make our company important stakeholder when they decide to constitute Bahas container shipping line that goes a very strong testimonial 1:02:05 1 hour, 2 minutes, 5 seconds from the government for the uh good governance that is prevalent in your company. So all I can say is that we 1:02:12 1 hour, 2 minutes, 12 seconds will continue to do do that serve the uh exim and domestic trade to the best of our capabilities and we hope that uh the 1:02:21 1 hour, 2 minutes, 21 seconds coming this uh financial year will bring much much much much better results. Thank you very much. 1:02:30 1 hour, 2 minutes, 30 seconds Thank you so much sir. On behalf of Dam Capital Advisor that concludes this conference. Thank you all for joining us and you may now disconnect to your