Ducon Infratechnologies Ltd — Q3 FY26

Ducon Infratechnologies Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=vS5FnRwimI8 Published: 3 months ago

0:01 1 second Ladies and gentlemen, good day and welcome to Dukan Infra Technology Limited Q3 and 9 months FIFA 26 results earnings conference call hosted by Kiran Advisors. 0:11 11 seconds This conference call may contain forward-looking statements about the company which are based on beliefs, opinions and expectations of the company as on date of this call. These 0:20 20 seconds statements are not guaranteed for future performance and involve risk and assertities that are difficult to predict. As a reminder, all participants 0:28 28 seconds line will be in listen only mode and there will be an opportunity for you to ask question after the presentation concludes. Should you need assistance during this conference call, please 0:37 37 seconds signal an operator by pressing star then zero on your touchstone. Please note that this conference is being recorded. 0:44 44 seconds I now hand the conference over to Miss Sakib and Jiara from Kirin Advisers. Thank you and over to you ma'am. 0:52 52 seconds Good day everyone. On behalf of Kin Advisers, I welcome you all to the Q3 and 9M FI26 conference call of Dukan 1:00 1 minute Intro Technologies Limited. From the management team, we have Mr. Arun Goville, chairman and managing director and Mr. Haris Seti, Chief Financial 1:08 1 minute, 8 seconds Officer. Now, I hand over the call to Mr. Arun Gov for the opening remarks. Over to you, sir. 1:15 1 minute, 15 seconds Thank you, Sakshi. Uh good day everyone and thank you all for joining us today for our Q3 and 9 months fiscal year 26 1:25 1 minute, 25 seconds earnings call for. So right now I'm just going to give you a little introductory remarks and tell you what we have been 1:32 1 minute, 32 seconds doing. So let me get started. Uh at Dukon, we have consistently positioned ourselves as a technology-driven EPC 1:41 1 minute, 41 seconds company operating at the intersection of environmental engineering, clean energy, industrial infrastructure, and process 1:49 1 minute, 49 seconds industries. Over the last few years, we have consciously strengthened our capabilities across advanced emission 1:57 1 minute, 57 seconds control systems, clean energy solutions, digital optimization platforms, and now carbon capture technologies. 2:06 2 minutes, 6 seconds The current macro environment strongly supports our strategic direction. 2:12 2 minutes, 12 seconds India's industrial capex cycle continues to strengthen driven by infrastructure expansion, energy transition 2:20 2 minutes, 20 seconds investments, tightening environmental norms and increasing industrial compliance requirements. 2:27 2 minutes, 27 seconds Thermal power plants, steel producers, cement companies, refineries and chemical manufacturers are going 2:36 2 minutes, 36 seconds undergoing pressures to adopt advanced environmental control systems. 2:41 2 minutes, 41 seconds At the same time, grid reliability requirements and rising AIEL data center demand are driving incremental power generation and moderation needs. 2:53 2 minutes, 53 seconds In parallel, the government of India's recent budgetary allocation of 20,000 cr towards carbon capture, utilization and 3:02 3 minutes, 2 seconds storage marks a structural shift in decarbonization framework. 3:10 3 minutes, 10 seconds This policy validation aligns clearly with our early investment into solventbased carbon capture R&D which we 3:17 3 minutes, 17 seconds initiated well ahead of formal policy packing. 3:22 3 minutes, 22 seconds We believe this proactive positioning provides Dukon with meaningful technological optionality as the CCUs 3:29 3 minutes, 29 seconds ecosystem evolves from intent to implementation. 3:35 3 minutes, 35 seconds During the quarter, we also strengthened our digital and AIEled offerings with the launch of our AI IQ Energy AI 3:42 3 minutes, 42 seconds platform designed to improve operational efficiency, optimize plant operation performance, 3:49 3 minutes, 49 seconds reduce downtime and support utilities managing and support utilities managing rising demand from AIdriven data centers and industrial loan. 4:02 4 minutes, 2 seconds This reinforces our strategy of combining core EPC capabilities with technology enabled life cycle services. 4:10 4 minutes, 10 seconds Our long-term strategy remains anchored on three pillars. 4:15 4 minutes, 15 seconds technology differentiation through proprietary systems, process engineering know-how and early stage innovation such 4:22 4 minutes, 22 seconds as carbon capture R&D execution excellence leveraging our EPC experience across environmental and 4:30 4 minutes, 30 seconds industrial projects life cycle services and digital integration expanding beyond 4:37 4 minutes, 37 seconds installation into operations maintenance and performance optimization. 4:43 4 minutes, 43 seconds We believe these pillars position Dukon not only to benefit from the domestic industrial upcycle but also to capture emerging opportunities in clean energy and decarbonization. 4:55 4 minutes, 55 seconds Now coming to our consolidated financial performance for Q3 fiscal 26. 5:01 5 minutes, 1 second Total income for Q3 fiscal 26 stood at 94.31 crores. 5:08 5 minutes, 8 seconds Ibida was 5.84 A4 crores with an IBIT margin of 6.19%. 5:16 5 minutes, 16 seconds Net profit for the quarter was 2.31 cr with a net profit margin of 2.45%. 5:23 5 minutes, 23 seconds For the 9 months ended fiscal 26. Total income stood at 321.18 5:30 5 minutes, 30 seconds crores. Ibida was 20.82 crores translating into an IBIDA margin of 6.48%. 5:39 5 minutes, 39 seconds Net profit stood at 9.1 cr with a net profit margin of 2.84%. 5:47 5 minutes, 47 seconds Business outlook and strategic positioning. Looking ahead we see multiple structural growth drivers 5:55 5 minutes, 55 seconds tightening emission standards across thermal power and industrial sectors. Accelerating industrial capex across steel cement refining. 6:07 6 minutes, 7 seconds Digital modernization of utilities and process industries. 6:12 6 minutes, 12 seconds Emerging CTUs opportunities backed by fiscal support. 6:16 6 minutes, 16 seconds Continued demand for reliable base load power supporting environmental retrofits. 6:22 6 minutes, 22 seconds India's carbon capture and storage market is projected to grow at a healthy CGR over the next 5 years supported by regulatory push and fiscal incentives. 6:33 6 minutes, 33 seconds Given our early R&D investments and EPC capabilities, we believe Zukan is well positioned to participate in this next wave of industrial carbonization. 6:44 6 minutes, 44 seconds Our focus remains on improving execution velocity, strengthening margins, maintaining financial discipline, and selectively 6:53 6 minutes, 53 seconds investing in high potential technological segments. 6:56 6 minutes, 56 seconds We believe Yukon is entering a structurally favorable phase where policy tailwinds, industrial demand, and 7:04 7 minutes, 4 seconds our internal capability building efforts are beginning to converge. We remain confident about our long-term growth 7:11 7 minutes, 11 seconds trajectory and our ability to create sustainable value for stakeholders. 7:16 7 minutes, 16 seconds With that, I would now like to request moderator to open the floor for any question. 7:25 7 minutes, 25 seconds Thank you very much sir. We will now begin the question and answer session. 7:29 7 minutes, 29 seconds Anyone who wishes to ask a question may press star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you 7:37 7 minutes, 37 seconds may press star and two. Participants are requested to use answers while asking a question. Ladies and gentlemen, we will 7:44 7 minutes, 44 seconds wait for a moment while the question Q assembles. 8:04 8 minutes, 4 seconds The first question is from the line of Vaj Sha from Sha Infra. Please proceed. 8:20 8 minutes, 20 seconds Yes, please go ahead. Are you there on the line now? 8:28 8 minutes, 28 seconds Sir, as as there is no response from this line, can we move further? Yes. Hello. Okay. 8:37 8 minutes, 37 seconds The next question is from the line of Udit Gupta from NGA Stop. Please proceed. 8:42 8 minutes, 42 seconds Hi, good afternoon everyone. Uh am I audible? Yes. Yes. Good afternoon. Yeah. Uh yes. 8:50 8 minutes, 50 seconds So my first question is regarding the 5 cr investment disclosure the company has given. So uh could you please explain uh 8:59 8 minutes, 59 seconds in which uh company this investment has been made. 9:05 9 minutes, 5 seconds Yeah. Uh this is Harish. I'm CFO. Now uh see this particular investment was made in a company called Gpati Indra. 9:15 9 minutes, 15 seconds Basically uh you know uh you would be aware this uh Dukon is a uh you know resultful company of a demo chain uh which has happened in 2018. 9:26 9 minutes, 26 seconds So there were two companies one is Dukon technologies India private limited and the second one is uh Dacons Technologies 9:33 9 minutes, 33 seconds uh uh limited. So uh now uh since you have taken uh the entire uh you know balance sheet of Dinoon technologies as 9:42 9 minutes, 42 seconds part of the demo scheme uh certain long-term uh you know assets and liabilities have come along with that and this is one of them. 9:51 9 minutes, 51 seconds So as rightly highlighted by the auditors. So you know we have considered that as the you know cost uh even though 9:59 9 minutes, 59 seconds uh like you know we have in fact uh uh one or two years back one last year I 10:05 10 minutes, 5 seconds think we have taken the uh uh you know uh CS certificate about uh the earnings 10:13 10 minutes, 13 seconds from this particular investment. But uh you know we have maintained the overall investment at the cost. 10:21 10 minutes, 21 seconds Okay. Okay. Uh and my next question uh is regarding the revenue breakup from FGD systems and bi material handling. 10:29 10 minutes, 29 seconds Can you please give a like a percentage split because you have reported it in uh like industrial EPCs but you generally 10:37 10 minutes, 37 seconds in your investor presentations and uh general communication from the company it shows you are mostly dealing in FGD and bulk handling 10:46 10 minutes, 46 seconds right well we we don't really give a breakdown as per se because it's all part of the infrastructure group uh because they do 10:55 10 minutes, 55 seconds require a lot of turnkey work both type of projects material handling and all that. Sometimes there's civil work, steal or action work and all that. So, 11:04 11 minutes, 4 seconds as a company, we really don't break it down into separate categories. 11:09 11 minutes, 9 seconds Oh, okay. Uh like any any like estimates or uh any percentages or just a vague figure. 11:18 11 minutes, 18 seconds Well, what is your intent? What is your purpose behind that? Because they are both very uh you know highly 11:25 11 minutes, 25 seconds technological uh businesses. they are not like road building or electrification. Uh what we do in material handling is is high profit 11:34 11 minutes, 34 seconds margin and so is FGD. So that's why we don't there's not like a substantial difference. So whether we are doing FGD 11:42 11 minutes, 42 seconds or material handling for us it's the same thing because many of the clients could be the sim same clients who are also looking for similar projects. 11:50 11 minutes, 50 seconds Oh okay. So both of them are offered like a package to a client right? Yeah, because they may have a boiler and which 11:59 11 minutes, 59 seconds requires an FGD system and they have a material handling system requirement also for coal handling or ash handling as well, you know. So things like that. 12:08 12 minutes, 8 seconds Yeah. 12:09 12 minutes, 9 seconds Okay. Thank you sir. And uh just just the last question uh can you um just give a like estimation of the current audio book of the company? 12:20 12 minutes, 20 seconds That is also we have never talked about that. uh we don't uh release that information. Uh we have never done that 12:29 12 minutes, 29 seconds um as a company policy. So we have a healthy order book log uh backlog. Uh we 12:36 12 minutes, 36 seconds have a lot of repeat business from uh established customers. So uh it's it's 12:42 12 minutes, 42 seconds an ongoing you know we very we feel good about our current situation. 12:49 12 minutes, 49 seconds Okay. Okay. Thank you very much sir. back to you. Thank you. 12:56 12 minutes, 56 seconds The next question is from the line of RV Malotra, an indiv individual investor. Please proceed. 13:03 13 minutes, 3 seconds Hello. Uh am I audible? 13:05 13 minutes, 5 seconds Yes ma'am. Uh so on carbon capture R&D, have we completed lab validation or are we already at pilot stage testing? 13:17 13 minutes, 17 seconds uh we have done lab validation and we are right now currently doing pilot testing. 13:28 13 minutes, 28 seconds Okay. So are we developing the solvent technology inhouse or through external technical collaboration? 13:36 13 minutes, 36 seconds Uh no this is something that we are doing ourselves. Uh we are working with a research lab where we are conducting this research. So this is this would be 13:46 13 minutes, 46 seconds our own technology. We are not collaborating with anybody. Okay? 13:52 13 minutes, 52 seconds Because because you see we are in air pollution control. So carbon dioxide is also one of the gases like sulfur 14:00 14 minutes dioxide, hydrogen chloride, nitrogen oxide, so many gases. And Dukon has been around since 1938 and we have thousands 14:08 14 minutes, 8 seconds of projects and experience how to handle these gases. So we have a lot of expertise in house and over the years we 14:16 14 minutes, 16 seconds have been working internally to have the solvent. So we we tested those solvents on lab scale and now we are doing um in 14:26 14 minutes, 26 seconds a pilot unit and we are already actually working on a design which will be a small industrial size unit that we will 14:34 14 minutes, 34 seconds work with one of our clients and have a demonstration plant set up. So that will be the next thing that we will be doing. 14:43 14 minutes, 43 seconds Okay. So s like what kind of uh client profile is showing early interest power cement or uh refineries? 14:53 14 minutes, 53 seconds Well see they they everybody is showing interest and we are working with even chemical industries, oil companies and cement plants. Yeah. 15:07 15 minutes, 7 seconds Okay. Okay. So sir would uh CCUs projects require higher upfront working capital compared to standard EPC? 15:18 15 minutes, 18 seconds Uh what is your question again? 15:20 15 minutes, 20 seconds Would CCU projects require higher upfront working capital compared to standard EPC? 15:29 15 minutes, 29 seconds Uh well see it all depends on uh uh the size of the project. Uh and generally uh 15:38 15 minutes, 38 seconds as we grow in our size we will need more working capital but uh initial projects would be an investment made by uh the 15:48 15 minutes, 48 seconds client itself you know we uh and then we try to work on the payment terms that minimize the working capital requirement 15:55 15 minutes, 55 seconds for us you know so it's it's depends on project by project basis uh uh so we it's difficult to say at this Right. 16:07 16 minutes, 7 seconds Okay. So realistically when can this vertical start contributing to revenue like FI27 or later? 16:18 16 minutes, 18 seconds Well, it's uh we hope that it happens soon but it's difficult to I I cannot give uh a specific uh timeline but uh we 16:27 16 minutes, 27 seconds are moving in that direction and uh and then we are confident with the government's uh uh budget that they have 16:34 16 minutes, 34 seconds allocated 20,000 crores uh of uh investment. So which would also help our clients. So we are very confident that uh this will happen sooner than later. 16:48 16 minutes, 48 seconds Okay. Okay sir. Thank you. Thank you for answering my questions. 16:55 16 minutes, 55 seconds Thank you. The next question is from the line of Faraj Sha from Shra Infra tower. Please proceed. 17:05 17 minutes, 5 seconds Okay. Uh good afternoon. Uh so I have some couple of questions. So uh for the 9 month revenue stands at uh 321 crores. 17:14 17 minutes, 14 seconds Uh how much of this uh was from carry forward orders like versus from uh fresh executions from what is the question again? 17:26 17 minutes, 26 seconds Uh yeah uh so my question is 9 month revenue stands at 321 crores. Okay. And how much of this was from carry forward 17:35 17 minutes, 35 seconds uh orders versus fresh executions? 17:41 17 minutes, 41 seconds Well see our projects run very long cycles you know they can be two years three years projects uh we are not uh 17:50 17 minutes, 50 seconds you know in a big project sometimes there is engineering can last 6 months so uh it it's it's when you say 17:58 17 minutes, 58 seconds freshwater it's not like we are taking something and delivering it right away uh these are large uh turnkey projects 18:06 18 minutes, 6 seconds so uh lot of the revenue that comes you So some of it could be a small portion from new orders and different another 18:14 18 minutes, 14 seconds bigger portion from existing orders. You you follow what I'm saying? Yeah. 18:19 18 minutes, 19 seconds Uh yes. Yes. Uh and uh if they are large in orders then uh uh can you say that 18:26 18 minutes, 26 seconds have we seen any execution delays in Q3 that could uh shift into Q4? 18:33 18 minutes, 33 seconds Oh yes. So there are always uh you know each project depends on a client uh because sometimes we are doing work and then there are let's say civil work is 18:41 18 minutes, 41 seconds done by someone else lt could be doing and they are delayed which delays our because our equipment goes on top of 18:48 18 minutes, 48 seconds that so each item and sometimes our equipment has to interact interface with some other equipment in the plant and 18:56 18 minutes, 56 seconds that equipment is not ready so there are many factors so uh each project equipment I mean sometimes there delays 19:04 19 minutes, 4 seconds and uh so it's quarterly we cannot really look in our business on a quarterly basis. Sometimes uh we are not able to do the billing because the 19:12 19 minutes, 12 seconds client is not ready. So there are many factors such as that uh you know it's it's very difficult to uh quantify in a 19:21 19 minutes, 21 seconds you know it's not like a single project or something like that. 19:26 19 minutes, 26 seconds Okay. Okay. Great. And can you also uh tell about some execution as well like what is the typical uh execution cycle for emission control projects currently? 19:39 19 minutes, 39 seconds Yeah. Let's say we I mean I'm just giving an example for a industrial client suppose it's a 20 cr project uh 19:46 19 minutes, 46 seconds it could be one year you know but if we get a 100 cr or 150 cr for a power plant uh it could be 2 years 2 and a half 19:54 19 minutes, 54 seconds years. So it all depends you know if we get a very small order which is a modification of uh some existing item 20:02 20 minutes, 2 seconds which is uh five or 10 cr that could be done in uh you know 5 6 months. 20:10 20 minutes, 10 seconds So it all it all depends on the size of the project. 20:14 20 minutes, 14 seconds Okay. Okay. Uh so uh at the end uh can you also uh speak on uh like uh can you give some clarity on your uh conversion 20:23 20 minutes, 23 seconds timelines like uh are tender conversion timelines uh actually improving compared to last year sir? 20:32 20 minutes, 32 seconds uh tender conversion. 20:35 20 minutes, 35 seconds I wish I could say that but uh uh but you know it all depends on uh uh 20:42 20 minutes, 42 seconds government has its own issues, private sector has their own issues and uh they do you know fortunately there are enough 20:50 20 minutes, 50 seconds projects because of the space that we are in and we are not dependent on one particular 20:57 20 minutes, 57 seconds uh you know market and uh and that's one of the areas where we are also now uh getting into newer areas. as you know 21:05 21 minutes, 5 seconds with this carbon capture and also we are getting into the digital uh we are developing a platform AI platform. So we 21:13 21 minutes, 13 seconds are hoping to uh have a uh accelerated revenue in the coming years with additional uh you know uh uh sources of revenues that we will have. Yeah. 21:26 21 minutes, 26 seconds Okay. Okay. Uh thank you so much sir uh uh for giving the clarity about the business. Uh so yes that's all from my side. Thank you once again sir. 21:38 21 minutes, 38 seconds Thank you. 21:41 21 minutes, 41 seconds The next question is from the line of Anojak from Oakland Capital Management LLP. Please proceed. 21:48 21 minutes, 48 seconds Yeah. Uh thank you for the opportunity sir. Uh so so your Q3 beta margin uh was 6.19%. 21:59 21 minutes, 59 seconds So was there was this due to any specific uh kind of project mix? 22:09 22 minutes, 9 seconds Yes, you're absolutely right. It all depends on u some projects uh mix also. 22:15 22 minutes, 15 seconds Yes. uh each uh even though we are in a you know as I said earlier profitable margin but still some margins may vary 22:24 22 minutes, 24 seconds because we work with large clients and sometimes uh we have to help them out because of their budget constraints and all that we have a lot of repeat 22:32 22 minutes, 32 seconds business uh and uh so it's a function of that uh and then timing issues 22:40 22 minutes, 40 seconds uh I don't know Harish if you can add anything to that yeah yeah uh basically ally uh sir uh now um 22:48 22 minutes, 48 seconds as you know like you know we have two major EPC uh segments the margin varies and uh now I cannot say there is a 22:56 22 minutes, 56 seconds standard margin in both the segments uh even within the segments even project wise margin varies and even within the 23:03 23 minutes, 3 seconds project the billing wise also margin varies because see uh as you would be aware being a UPC company we work on bok 23:10 23 minutes, 10 seconds basis now uh you know certain things the the you know cost varies uh slightly during the time of billing. Uh I'm 23:19 23 minutes, 19 seconds talking about the procurement cost uh and and in some cases we get uh you know better margin and it's and and the 23:26 23 minutes, 26 seconds margins are like when we prepare the B it's not uniformly uh know applied throughout the thing. So uh it varies uh you know uh depending upon that. 23:38 23 minutes, 38 seconds Okay. So sir if you could just uh elaborate on your fix to versus variable cost at revenue scale uh it would be helpful. 23:49 23 minutes, 49 seconds Yeah, see actually in our business our fixed cost is variable cost is basically for the project and the direct cost for 23:57 23 minutes, 57 seconds that project and uh so if our revenue grows then our bottom line will increase 24:05 24 minutes, 5 seconds also because we won't need that much many same engineers that we have same staff can handle a lot more projects. So 24:12 24 minutes, 12 seconds uh and we are not like doing any manufacturing ourselves so we don't have huge capex also. So uh it's a matter of 24:20 24 minutes, 20 seconds uh growing the top line and then profitability would be substantially higher. 24:26 24 minutes, 26 seconds Yeah, I would like to add to that. Uh basically like uh you know substantial portion of our uh you know expense are 24:34 24 minutes, 34 seconds variable cost fixed uh wise like you know in fact uh you know uh very bare minimum thing like uh the employee cost 24:42 24 minutes, 42 seconds or maybe the you know even we have our own feases and everything and site 24:48 24 minutes, 48 seconds setups we uh we do the site setups after the receipt of the order. So, so the 24:56 24 minutes, 56 seconds component of fixed cost is very less in our case. 25:01 25 minutes, 1 second Okay. Okay. Also, sir, uh are we executing any low margin uh legacy contracts uh which 25:10 25 minutes, 10 seconds are which could be weighing on the blended margins? 25:15 25 minutes, 15 seconds Uh no, we we used to do uh some of those projects in the past but as of right now we are not doing any such projects. 25:27 25 minutes, 27 seconds Okay. Okay. Uh so one last question I have is uh so uh so our margin 25:34 25 minutes, 34 seconds improvement is more dependent on scale or or is it better project selection? 25:44 25 minutes, 44 seconds Uh what what could you repeat your question? Uh sorry. Yeah. Uh I was asking if if our margin improvement is 25:52 25 minutes, 52 seconds more dependent on scale or or or on better project selection. 25:57 25 minutes, 57 seconds It's both both items. Yes. Okay. 26:05 26 minutes, 5 seconds Okay. Thank you for answering the question. Yeah. Thank you. 26:14 26 minutes, 14 seconds The next question is from the line of Udit Gupta from Northern Genius Exhibition Corp. Please proceed. 26:24 26 minutes, 24 seconds Hello. Am I audible? Yes sir, you're audible. Please proceed. 26:30 26 minutes, 30 seconds Uh yes. Uh so thank you for the followup. Uh uh actually I had one more question regarding the IQ Energy AI 26:38 26 minutes, 38 seconds platform that the company launched in October I guess. Uh so could you please uh share like how's the response on that 26:47 26 minutes, 47 seconds and are we seeing any revenues from that segment? 26:52 26 minutes, 52 seconds Uh we are still in the launching phase because uh we are we have not actually uh we announced it in October. Uh and we 27:02 27 minutes, 2 seconds are still uh training you know what we do with the data training our AI model. 27:07 27 minutes, 7 seconds We are working on that and uh we will be actually going out full uh maybe in another 27:17 27 minutes, 17 seconds couple of months uh where we will be actually soliciting customers. But uh right now we are still testing it and uh 27:26 27 minutes, 26 seconds working with the one of one or two of our existing clients and uh and and 27:32 27 minutes, 32 seconds using their data to to figure out the optimize the the platform. 27:39 27 minutes, 39 seconds Oh okay. So in a couple of months we can see the actual product launching right? 27:46 27 minutes, 46 seconds Yeah, it will take time obviously uh but uh you know how we but we have an existing uh database of customers 27:54 27 minutes, 54 seconds because Dukon we also have globally you know Dukon is a global company we going to be using customers uh foreign 28:02 28 minutes, 2 seconds customers we will also be in Indian customers so we'll be you know reaching out to globally customers so we hope you 28:09 28 minutes, 9 seconds know it will be a big thing because power and energy is definitely in big demand and with the data centers 28:16 28 minutes, 16 seconds And uh you know uh taking and so much energy demand uh the existing facilities 28:23 28 minutes, 23 seconds want to optimize every uh megawatt they are generating and using you know the industrial plants. So any savings would 28:32 28 minutes, 32 seconds be a big saving and uh so that would be we are very very excited about this this platform. 28:39 28 minutes, 39 seconds Okay. Thank you very much sir. Thank you. 28:47 28 minutes, 47 seconds The next question is from the line of Puja Mishra from JK Capital. Please proceed. 28:56 28 minutes, 56 seconds Hello. Hello. Yes ma'am. Mhm. 29:04 29 minutes, 4 seconds So my first question is what is the current focus of reconation segment or other material landing project? 29:15 29 minutes, 15 seconds We can't can't hear her. Please could you repeat speak up louder? 29:18 29 minutes, 18 seconds Yes. Yeah sure. So can you tell me about what is the current focus of air pollution segment or other DPC and material handling project? 29:30 29 minutes, 30 seconds Yeah, we are our focus is uh on larger projects. Uh we work on uh you know uh 29:38 29 minutes, 38 seconds projects which are in uh almost uh million normal cubic meters per hour for 29:45 29 minutes, 45 seconds 50 megawatt 20 megawatt up to 4 500 megawatt uh in size uh for air pollution 29:52 29 minutes, 52 seconds control which is sulfur dioxide and uh uh and and uh you know particulates as 29:59 29 minutes, 59 seconds well. And then uh uh that's in big demand here because uh even for now that government is talking about CO2 capture 30:08 30 minutes, 8 seconds carbon capture uh to do carbon capture you must first remove other pollutants 30:14 30 minutes, 14 seconds also. So regardless they would companies would need to do that. So we are very 30:21 30 minutes, 21 seconds active. Uh everybody knows of Dukon because Dukon is one of the initial companies which had uh a seawater air 30:29 30 minutes, 29 seconds pollution control system uh operating uh in India and also a limestone generating 30:35 30 minutes, 35 seconds gypsum at Udupi power plant. So and in in material handling we are one of the 30:42 30 minutes, 42 seconds premier companies for where we do work with uh uh aluminina handling which is uh uh very very important aspect where 30:52 30 minutes, 52 seconds we work with the companies such as Nalco, Vanta and in Hindalco and then we 30:59 30 minutes, 59 seconds are also very active in um u uh you know ash handling systems and uh other uh raw material handling systems. 31:10 31 minutes, 10 seconds Okay. So my uh last question is uh where we can see Yukon in the next five years. 31:18 31 minutes, 18 seconds Well, we hope to be much bigger in size and uh uh and in many many areas which 31:26 31 minutes, 26 seconds are cutting edge technologies and that's where we are expanding. So, Yukon will be keep growing and we are confident that 31:35 31 minutes, 35 seconds we can achieve great success in the next coming 5 years both in the top line and in profitability. 31:45 31 minutes, 45 seconds Okay. Uh thank you sir. That is from Michael. 31:51 31 minutes, 51 seconds Thank you ladies and gentlemen. Anyone who wishes to ask a question may press star and one 31:58 31 minutes, 58 seconds on their touchstone telephone. I repeat, to ask a question, please press star and one now. 32:14 32 minutes, 14 seconds The next question is from the line of Singhar Raju Ram from Omriti Holdings. Please Rotir. 32:24 32 minutes, 24 seconds Hello sir, am I audible? Hello sir. 32:31 32 minutes, 31 seconds Yeah sir, we have a net plug of only 3 crores which is very low for a 32:38 32 minutes, 38 seconds technology company. So please clarify does the Indian entity own the IP for 32:45 32 minutes, 45 seconds the CCU solvents or does the patents to belongs to the user US parent and also 32:53 32 minutes, 53 seconds any royalties involved that we are paying sir? 32:58 32 minutes, 58 seconds Uh I I'm not able uh to understand your question sir. Could you repeat slowly? 33:04 33 minutes, 4 seconds Sir, we are having a net lo of only three crores. 33:08 33 minutes, 8 seconds Net plug of only 3 crores we are having sir which is very low for a technology company. 33:15 33 minutes, 15 seconds So please clarify does the Indian entity own the IP that is patents for the CCS 33:22 33 minutes, 22 seconds technology or does the presence patents belong to the US parent and also any 33:30 33 minutes, 30 seconds royalties involved that we are paying to US parent sir? 33:35 33 minutes, 35 seconds No we are not paying any royalty to anyone. There is no royalty being paid. 33:40 33 minutes, 40 seconds Okay. Free technology and as we said yeah go ahead. Yeah. 33:48 33 minutes, 48 seconds Then the IP belongs to whom sir? Indian resident 33:58 33 minutes, 58 seconds property technologies belongs to whom sir uh I'm not sure uh but uh I think we 34:06 34 minutes, 6 seconds addressed the the profitability and the profit margins earlier in our call. So 34:13 34 minutes, 13 seconds uh I hope you were able to uh you know you were there at the time we talked about that it's a question of product mix and the projects that we are 34:21 34 minutes, 21 seconds executing and it's a question of both the type of projects and the scale. 34:28 34 minutes, 28 seconds Yeah, we have we have a network of free siri. 34:40 34 minutes, 40 seconds Can you understand what he's saying? Can you tell a net of three cr which is very low for a technology company? 34:50 34 minutes, 50 seconds So how much of intellectual property we own the technology for the CCS 35:00 35 minutes or that and that that technology belongs to the US bank. 35:09 35 minutes, 9 seconds Yeah, I I'll answer that. Uh see uh uh as uh the chairman said there is no technology fee or the royalty which is 35:18 35 minutes, 18 seconds being paid by Dukon. So under both uh like uh or meta handling uh so we are not paying any technology fee or 35:27 35 minutes, 27 seconds royalties uh and as far as the profitability is concerned it has already been clarified key you know it is uh you have seen 35:36 35 minutes, 36 seconds higher margins earlier and it varies like you know it's not like you know quarter to quarter we getting the same uh percentage what factors we have already explained. 35:46 35 minutes, 46 seconds Okay. Yeah. Yeah. Sir then sir, our cash flows home from operations remains negative and receivables are also very 35:56 35 minutes, 56 seconds high. When do you see this trend reversing? 36:03 36 minutes, 3 seconds Yeah. Uh so the uh you know as you're aware EPC uh the business model itself is like that key you know there are payments which are coming on the 36:11 36 minutes, 11 seconds milestone basis. So uh till that final uh you know handing over happens the last payment also you know uh gets 36:20 36 minutes, 20 seconds retained in the receivables. So that is the root cause. So uh routinely whenever we complete the projects we realize those amounts. 36:31 36 minutes, 31 seconds Okay sir. Then my next question is regarding the sorry to interrupt sir as there are more participants left in the queue. Can you please rejoin the queue? 36:42 36 minutes, 42 seconds Okay. Thank you sir. 36:46 36 minutes, 46 seconds The next question is from the line of Tak and individual investor. Please proceed. Hello. 36:54 36 minutes, 54 seconds Yes. Hello. Yes sir. You audible please proceed. 36:59 36 minutes, 59 seconds Yeah. Yeah. So my question was in regards to the company's business like FGB seems to be a big for passing portion of the company's business and 37:07 37 minutes, 7 seconds from what uh we understand with calls and many other companies bigger companies they said like the FGD business is almost reducing now so like 37:16 37 minutes, 16 seconds what's the management take on that uh yeah yeah go 37:23 37 minutes, 23 seconds yeah uh see uh FGD uh like you know uh it is not going away even though there is a duplication on uh you know uh 37:32 37 minutes, 32 seconds certain uh uh relaxation for certain categories. Uh as of now like you know 37:39 37 minutes, 39 seconds uh uh there is no impact at all and uh that was a temporary uh kind of relief given to the power plants because they 37:47 37 minutes, 47 seconds have to spend a huge amount huge capex uh for the uh installation of FGDs and 37:54 37 minutes, 54 seconds the uh the basic requirement of removal of sulfur uh you know arresting the carbon uh like 38:02 38 minutes, 2 seconds you know carbon capture that uh you know itself shows that FGD is here to stay and uh considering India's uh you know 38:11 38 minutes, 11 seconds commit commitment to the global community uh so uh this is going to stay for a very long time. 38:20 38 minutes, 20 seconds Can you can give some light on the order book situation of the company? 38:26 38 minutes, 26 seconds See as far as order book is concerned we had in fact answered similar question same question. 38:31 38 minutes, 31 seconds So maybe I was not there in the call if possible. 38:33 38 minutes, 33 seconds Yeah. So basically you know uh the nature of business our business and uh you know the competition uh in this 38:42 38 minutes, 42 seconds narrow uh you know segments it doesn't permit us to you know disclose the order books and all. 38:48 38 minutes, 48 seconds Okay. So like last final question I had like our company is listed for quite some time and our company has just started this con call this quarter after 38:57 38 minutes, 57 seconds a long time maybe sometime five six years seven years back they had done con like what transpired for this change like is there anything happening in the 39:05 39 minutes, 5 seconds company that is like the management wants the investors to know or like because we are not doing conqu for last several years now. No, you you're right. 39:14 39 minutes, 14 seconds We are not because we are getting into a lot of new areas which we are very excited about and confident. Uh so we 39:21 39 minutes, 21 seconds are expanding our capabilities also. So these are that's why we are u now trying to reconnect with the you know with the 39:29 39 minutes, 29 seconds investors and the investing community and and let them know what we're doing. 39:36 39 minutes, 36 seconds Yeah. We we want the communications to happen. That was the basic reason so that there is better understanding from both. 39:42 39 minutes, 42 seconds Okay. So we'll have every quarterly now good pulse. Yes. Okay. Thank you so much. 39:50 39 minutes, 50 seconds Thank you. 39:52 39 minutes, 52 seconds The last question is from the line of Ronit and individual investor. Please proceed. 39:59 39 minutes, 59 seconds Hello. Thank you for the opportunity. Uh sir, I wanted to ask if there's any update about the arbitration case 40:05 40 minutes, 5 seconds between Dukon and BHL. I think there was a news in early 2025 about this. 40:13 40 minutes, 13 seconds Yeah, that that is uh is still going on uh arbitration. Uh it's uh in you know 40:19 40 minutes, 19 seconds in arbitration so we can't uh go in too much detail because uh uh but uh we are 40:27 40 minutes, 27 seconds very confident uh you know in our position currently the arbitration is going on. 40:35 40 minutes, 35 seconds It is an international arbitration and uh uh you know it's being represented by both the parties. So it's going on. 40:44 40 minutes, 44 seconds Yeah. 40:45 40 minutes, 45 seconds Thank you. I just one more quick question. Uh actually these are two questions but going to be quick. Uh one is in the future are you planning to 40:53 40 minutes, 53 seconds raise your stake in the company? Like currently it's 38%. Everything looks really great on the balance sheet and overall the only thing that bothers me 41:01 41 minutes, 1 second is the shareholding of the promoter and uh second question is about the debt level. Are you planning to reduce it or take further debt in the future to expand? 41:12 41 minutes, 12 seconds Okay. So the shareholding promoter shareholding you know it was very high at one time uh when I had 70% a lot of 41:20 41 minutes, 20 seconds people used to say your holding is very high you need to have more public investors. So uh it's it's still quite 41:28 41 minutes, 28 seconds substantial you know it's not a low percentage compared to many other companies. So uh it can I can we can 41:36 41 minutes, 36 seconds definitely increase it at any time that's not a problem. And what was your second question? 41:41 41 minutes, 41 seconds Uh the debt levels are you planning to reduce it or uh planning to like take more to expand further in the future? 41:48 41 minutes, 48 seconds No, no, we have actually already reduced our existing debt quite a bit and uh and we our effort is to continue to keep reducing the debt in the future. 42:04 42 minutes, 4 seconds Thank you ladies and gentlemen. That was the last question for today. I now hand over the conference to Mr. Sakib and Jiara from Kirin Advisers for closing comments. 42:15 42 minutes, 15 seconds Thank you and over to you ma'am. 42:21 42 minutes, 21 seconds Thank you everyone for joining the Intra Technologies Limited. If you have any further queries you can write to us at the reportadvises.com. 42:30 42 minutes, 30 seconds Once again thank you everyone. Thank you Aron. Thank you Har sir. Have a good day. Thank you very much. Yeah. Thank you all. 42:38 42 minutes, 38 seconds Thank you. 42:40 42 minutes, 40 seconds Thank you on behalf of Kirin Advisor Private Limited. That concludes this conference. Thank you for joining us and you may now disconnect your lines.