Dynamic Cables Ltd — Q4 FY26

Dynamic Cables Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=TkohyytzOv8 Published: 1 day ago

0:00 Ladies and gentlemen, good day and welcome to Dynamic Cables Limited Q4 FI26 earnings conference call hosted by Philip Capital India Private Limited. 0:12 12 seconds As a reminder, all participant minds will be in the listen only mode and there'll be an opportunity for you to ask questions after the presentation 0:19 19 seconds concludes. Should you need assistance during this conference call, please signal an operator by pressing star then 0:26 26 seconds zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Panesha from Philip Capital. 0:36 36 seconds Thank you and over to you Mr. Sha. 0:40 40 seconds Thank good afternoon everyone. On behalf of Philip Capital, I welcome all of you to the fourth quarter and FI26 earnings 0:48 48 seconds conference call of Dynamic Cables Limited. From the management side, we have Mr. Ashish Mangal, managing director, Mr. Mural Podar chief 0:56 56 seconds financial officer and Mr. Govin Sabo IR advisor. I request the team to give their opening remarks post which we 1:03 1 minute, 3 seconds shall open the floor for Q&A. Thank you and over to you sir. 1:13 1 minute, 13 seconds Good afternoon everyone. I Ashish Manuel managing director of dyn. 1:20 1 minute, 20 seconds I am pleased to report a steady operational and financial performance for the quarter and the full financial year. Despite a volatile macroeconomic 1:27 1 minute, 27 seconds environment and continued uncertaintity in the global markets, the company delivered a healthy performance during this year reflecting disciplined execution, operational resilience and 1:36 1 minute, 36 seconds prudent financial management. Also, there was a marked reduction in financial cost resulting from continued financial discipline and lower interest 1:43 1 minute, 43 seconds charges driven by credit rating enhancement. During the financial year, we remain focused on our core value added products which contributed to 1:50 1 minute, 50 seconds improved profitability and stronger operating performance. Our order book continues to witness healthy traction during the quarter supported by strong 1:58 1 minute, 58 seconds customer relationship and sustained demand across key power limited segments. This reinforces our confidence in the long-term opportunities emerging in the Indian power TND ecosystem. 2:08 2 minutes, 8 seconds During the year, company further strengthened its industry positioning to enhance product capabilities, new customer approvals and continued focus on quality and execution standards. 2:20 2 minutes, 20 seconds These efforts will enable us to participate in higher value opportunities across key business segments. On the capacity expansion front, project implementation has picked 2:29 2 minutes, 29 seconds up pace following receipt of key statuto approval. While the project implementation witnessed delays due to approval related timelines and 2:36 2 minutes, 36 seconds disruption in imported machinery deliveries arising from the ongoing Iran war related logistics situations. The new capabilities will be available ahead 2:45 2 minutes, 45 seconds of the seasonally stronger second half of FY27. 2:49 2 minutes, 49 seconds She remain focused on discipline execution, profitability and produ prudent capital allocation. With a healthy order book, stronger customer 2:57 2 minutes, 57 seconds relationships and a robust execution stand up, we are confident in our ability to capitalize on the long-term opportunities in the sector, sustain 3:05 3 minutes, 5 seconds steady growth and create long-term value for all stakeholders. With that, I now invite our CFO, Mr. Podar, to share the financial highlights for the quarter. 3:16 3 minutes, 16 seconds Good afternoon to all. We are pleased to report a healthy financial performance achieving our ISO revenue and profitability during FI26. 3:25 3 minutes, 25 seconds Revenue grew by 17% Y while operating profit increased by 23% to reveal 130 cr 3:32 3 minutes, 32 seconds supported by improved operating years and a better product mix. Operating margin improved to 10.8% reflecting 3:39 3 minutes, 39 seconds enough operational efficiency. Profit after take rose by 30% to 84 cr driven by discipline, education, strong 3:47 3 minutes, 47 seconds business momentum and student financial management. Customer wise contribution in FI 26 was around government sales 13%, private sales 80%, export 7%. 4:00 4 minutes Product wise contribution FI 26 was HBK 64%, LBK 30%, conductor 6%. As of 30 4:09 4 minutes, 9 seconds mark 2026, our order book stand at Hayana 808 providing a strong revenue visibility. Thank you and we are now open for questions. 4:20 4 minutes, 20 seconds Thank you very much. We now begin with the question and answer session. Anyone who wishes to ask a question may press R and one on the Western telephone. 4:30 4 minutes, 30 seconds If you wish to remove yourself from the question key, you may press R2. 4:36 4 minutes, 36 seconds Participants are requested to use handsets while asking a question. 4:41 4 minutes, 41 seconds Ladies and gentlemen, we will wait for a moment while the questions use. 4:50 4 minutes, 50 seconds First question is from the brand of Push Silva Dani from Sundra Mates. Please go ahead. 4:58 4 minutes, 58 seconds Yes. Hi sir, thank you for the opportunity. Uh so my first question is on the growth for fourth quarter which 5:05 5 minutes, 5 seconds looks on the software side. Can you help me understand how much has been the volume growth in this quarter and how much has been the realization growth? 5:18 5 minutes, 18 seconds Uh I think there is some disturbance uh from your side maybe. 5:24 5 minutes, 24 seconds Uh is this better? Can you hear me? Just one second. Hold on. 5:31 5 minutes, 31 seconds There is some heat actually coming. 5:46 5 minutes, 46 seconds Yeah. Now is it better? 5:49 5 minutes, 49 seconds Yeah. We are able to It's clear sir. Yes sir. 5:51 5 minutes, 51 seconds Yes. Yes. Yes. So uh yeah. So basically uh just to give a context of growth 5:58 5 minutes, 58 seconds which you were uh you were asking. So in Q4 uh our core product growth has been 6:04 6 minutes, 4 seconds 20%. uh whereas the growth which we overall growth of 7% during the quarter 6:13 6 minutes, 13 seconds the largely the where we the difference between 7% and that is uh basically our 6:21 6 minutes, 21 seconds low value uh low voltage conductors and railway signaling cables which we have discontinued this year. So if you access 6:28 6 minutes, 28 seconds these two items and our core products which are our power cables, renewable cables, LVHV cables which and our nish 6:36 6 minutes, 36 seconds conductors which we manufacture uh other niche products. So if you adjust that it is around 20%. 6:44 6 minutes, 44 seconds And uh in with regard to the uh price growth uh I mean the composition of volume versus uh price increase 8% 6:54 6 minutes, 54 seconds growth is attributable to the uh material price inflation and balance is basically volume growth. So this is what 7:01 7 minutes, 1 second is the composition of our growth and so sorry so 8% is for the full year for quarter 4 it is 12%. 7:13 7 minutes, 13 seconds So for the quarter 12% is the realization growth and 8% volume growth for the 7:22 7 minutes, 22 seconds and we and you are saying that we have discontinued uh this conductor and railway cables going forward 7:31 7 minutes, 31 seconds railway cables we have discontinued for now because as we have been always uh discussing this over last three four 7:39 7 minutes, 39 seconds five quarters that railway signaling We feel that competitive intensity is very high and it is better to move on to uh 7:47 7 minutes, 47 seconds our power cable products where demand scenario is much better and margin profile is much better. So it is better 7:54 7 minutes, 54 seconds to kind of uh dedicate our operating facility and uh uh production capacity to higher margin products where 8:03 8 minutes, 3 seconds profitability is high rather than the low value at the low profitable products which are the low voltage conductors and relay signaling cables. 8:17 8 minutes, 17 seconds Uh so how much was contribution for this RA cables for full year FI26 and like how do we plan to compensate for that going forward? 8:27 8 minutes, 27 seconds Yes. So FI26 the relay signaling cable was zero. Okay. 8:34 8 minutes, 34 seconds And in FI25 it was 4% contribution. 8:41 8 minutes, 41 seconds You are saying this for fourth quarter right? Fourth quarter it was zero full year. full year it was you. 8:49 8 minutes, 49 seconds Okay. 8:54 8 minutes, 54 seconds Sure. Uh and so just on the sc which has been delayed uh so now we are expecting that to come 9:02 9 minutes, 2 seconds in the second half. So how should we think about growth in FY27? Would it be largely flatters in first half and 9:12 9 minutes, 12 seconds growth to resume in second half or so? Yes. So basically uh first of all 9:20 9 minutes, 20 seconds let me give you uh I mean there has been a delay in the capex so there is no uh two doubts about it and the the the 9:29 9 minutes, 29 seconds growth the it is I mean the new plant is going to start its production uh in September 27. So September 26, I'm so 9:39 9 minutes, 39 seconds sorry, September 26, it will start the production. So when the uh the heavy half which is 9:47 9 minutes, 47 seconds seasonally heavy half uh is the second half. So we will be having our capacity which uh in the second half of our of 9:54 9 minutes, 54 seconds the financial year uh and I think H1 growth we'll be managing from our existing uh facility. So this is the 10:03 10 minutes, 3 seconds growth I mean this is the growth outlook which we can give uh as of today 10:09 10 minutes, 9 seconds but any guidance for fi on this talent so I I mean we have never been giving 10:16 10 minutes, 16 seconds yearly guidances we have always been uh giving a long-term guidance of uh 18 to 20% growth which we have uh also 10:25 10 minutes, 25 seconds delivered in the past and uh we still believe that uh you know for a long medium to long term 10:32 10 minutes, 32 seconds the company uh will deliver the same kind of growth in future also. 10:39 10 minutes, 39 seconds I'm asking because our order book also has only grown by 18%. 10:44 10 minutes, 44 seconds uh and given the pricing increase I'm assuming volume growth is not there 10:53 10 minutes, 53 seconds any reason for this case so I I that's what in FI25 our core product growth has been 25% 11:01 11 minutes, 1 second and if we uh adjust the 78% of uh inflation growth uh we get around 17 18% 11:10 11 minutes, 10 seconds of volume growth of our core products Oh, I was asking about audiobook. 11:17 11 minutes, 17 seconds Audiobook also has grown only by 11%. But that looks slightly on. Absolutely. 11:24 11 minutes, 24 seconds So, so basically uh because of this price volatility. So in typically in the industry there is some deferment of uh 11:32 11 minutes, 32 seconds order booking or kind and kind of uh sales booking or order booking uh when there is such a sudden increase in our 11:40 11 minutes, 40 seconds raw material prices. So you we all know what has happened in the month of March and so there has been a deferment of 11:47 11 minutes, 47 seconds order booking uh from March uh in in the month of March because of the sudden spike in uh uh in the in the prices of 11:55 11 minutes, 55 seconds aluminium and uh PVC which are which are our key raw materials. 12:03 12 minutes, 3 seconds Okay. 12:05 12 minutes, 5 seconds Sure. Uh so just last question uh in this quarter we have also seen gross margins going down. Any specific reason for that? It's 17.9. 12:16 12 minutes, 16 seconds So gross margin I mean you have to look at uh operating profit is the right measure actually because gross profit 12:24 12 minutes, 24 seconds may there is lot of there are lot of elements which uh come and go by and it all depends on the product makes customer makes uh which market we are 12:33 12 minutes, 33 seconds selling to. So there is lot of uh there may be slight variation here and there uh in the gross profits but at the 12:40 12 minutes, 40 seconds operating profit level I think we have been steady and uh we have always guided an operating profit of anywhere between 12:48 12 minutes, 48 seconds 10 and a half to 11% uh all throughout the year and that is what we have delivered also. 12:57 12 minutes, 57 seconds Yeah. Uh that's clear. Uh that's it from my side. Thank you sir and all the best. Yes. Yes. Thank you. 13:05 13 minutes, 5 seconds Thank you. Next question is from the line of Yash from Origa Capital Advisors. Please go ahead. Uh hi. Thank you for taking my question. So 13:14 13 minutes, 14 seconds over the last four years, I can see the capeex intensity has gone up. What you spent in nearly 3 years you spent in 13:21 13 minutes, 21 seconds FI26. So will this trajectory of higher capex continue for FI27 and the medium-term? 13:29 13 minutes, 29 seconds So FI26 I uh yes we as you know that we had initiated uh setting up of a green 13:37 13 minutes, 37 seconds field plant and whenever there is a green field uh plant which is being set up you get the initial capex is always 13:44 13 minutes, 44 seconds high. uh brownfield uh expansions typically uh uh typically are kind of uh less 13:53 13 minutes, 53 seconds heavy on the capeex side and uh that is what is the reason for increase in the capex of in FI26 14:00 14 minutes going forward in FI27 or probably in the medium term you can say there would be uh there would be cap capital 14:09 14 minutes, 9 seconds expenditure uh each and every year because growth will demand capex it may not be as intense as it was in FI26 but 14:18 14 minutes, 18 seconds yes relatively probably because the base is also increasing so to keep up the growth numbers we'll have to uh we'll 14:26 14 minutes, 26 seconds have to uh continue our kex okay so because uh if you see the 14:33 14 minutes, 33 seconds figures every year they are reporting bigger and bigger keex and even they're talking about bigger capex so uh I presume it should be the same case for 14:41 14 minutes, 41 seconds you as well because you're still at around 85 90% utilization. 14:46 14 minutes, 46 seconds Yes, that's what I was saying that because uh at the industry level only the base has increasing and to keep up with the growth uh trajectory we'll have 14:55 14 minutes, 55 seconds to maintain our KEX program or we have to continue with our KEX program year on year. 15:05 15 minutes, 5 seconds Okay. And on the plan s there's been significant delay in Q4 FI25. You mentioned that you're on track to commission it in Q2 FI26 15:14 15 minutes, 14 seconds and you also mentioned that you can set up new capacities within 9 to 18 months but year there has been delay of around 15:21 15 minutes, 21 seconds 15 months since what you targeted. So can you speak more about it? Can you speak more about it? Uh what the reasons for the delay has been? 15:32 15 minutes, 32 seconds Right. So basically there are three major reasons for the delay. One is that uh there were some government uh uh 15:39 15 minutes, 39 seconds basically regulatory body approvals which uh which were delayed and that uh basically uh delayed the off I mean 15:48 15 minutes, 48 seconds starting of the project implementation itself and um secondly there there were some uh import machineries which which 15:56 15 minutes, 56 seconds was got delayed because of this uh freight related issues of late after this Iran war. And uh thirdly there are 16:04 16 minutes, 4 seconds some there was some uh there were some uh compliance requirements which uh from the ERB board which we need to kind of 16:13 16 minutes, 13 seconds comply with and uh so these all reasons compounded for for the delay of this plant. Uh but I'm happy to report I 16:21 16 minutes, 21 seconds think that we the plant is now in in in in uh in the final implementation 16:28 16 minutes, 28 seconds stages. uh and we have got uh uh most of the machines and uh civil work getting 16:36 16 minutes, 36 seconds done and probably next 3 4 months we would be uh we would be in a position to kind of start our trial productions. 16:45 16 minutes, 45 seconds Okay, thank you. I'll get that. Yes, thank you. 16:51 16 minutes, 51 seconds Next question is from the line of Nathan Jen from Fair Value Equity Advisors. Please go ahead. 16:57 16 minutes, 57 seconds Yeah, thank you for the opportunity. Uh, my first question is around the revenue. 17:01 17 minutes, 1 second Sorry to interrupt you. Can you speak through the handset please? Hello. Can you hear me now? Yes, go ahead. 17:09 17 minutes, 9 seconds Yeah. Yeah. So, my first question is on the revenue growth. Uh, as you can see it is like uh the slowest in many quarters and as you have clarified the 17:17 17 minutes, 17 seconds railway cables have been discontinued for uh more than a year now. uh besides we had an order book starting order book 17:24 17 minutes, 24 seconds of around 790 course at the beginning of Q4 so what exactly is the reason of the slow execution 17:35 17 minutes, 35 seconds I didn't understand the question so you are saying that no I'm saying that the revenue growth has been slowest in uh last many 17:44 17 minutes, 44 seconds quarters right and and uh you pointed out that railway uh cables has been discontinued for a 17:52 17 minutes, 52 seconds year now, right? 17:55 17 minutes, 55 seconds Yeah. So, what what is the reason of uh the slow execution this quarter? 18:01 18 minutes, 1 second So, basically there are two three reasons. uh uh Nitin I would like to I would like to just kind highlight that 18:10 18 minutes, 10 seconds uh I mean if you look at quarterly basis it is really uh uh difficult to kind of 18:16 18 minutes, 16 seconds uh do because last quarter we started this quarter with a very heavy base uh with a very high base so I think last 18:23 18 minutes, 23 seconds year Q4 our growth was around 38 39% kind of so it was it was a very heavy 18:31 18 minutes, 31 seconds base we started off it. Uh second reason was as I told you that uh there was lot 18:37 18 minutes, 37 seconds of uh disruptions and deferment of uh supplies due to immediate rise in uh raw material prices and that is why that is 18:47 18 minutes, 47 seconds what led to deferment of sales and order booking which I have already clarified uh uh in our earlier discussion also 18:55 18 minutes, 55 seconds with the earlier participant and if you adjust and third impact was if you adjust the low voltage with conductors 19:03 19 minutes, 3 seconds and uh railway signaling cables our Q4 growth would be 20 is 20%. Uh so that is 19:10 19 minutes, 10 seconds what that these are the uh kind of um uh explanations for for for your question. 19:19 19 minutes, 19 seconds Right. So just uh follow up on that uh the volatility and the supplies that you mentioned uh has it improved now or has 19:27 19 minutes, 27 seconds it worsened because the the situation is still the same like what it was in February and March. 19:34 19 minutes, 34 seconds So yes, so basically the prices have not come down as we all know. Uh aluminium prices are elevated, PVC prices are 19:42 19 minutes, 42 seconds elevated but uh uh but but what what happens is that acceptance of the market gradually kick starts kicking in. So 19:51 19 minutes, 51 seconds that is what happens when whenever there is such uh a disruption because u u uh 19:59 19 minutes, 59 seconds so that that that is kind of the reality which we have to face. So whenever there is a start of such disruption of of such 20:09 20 minutes, 9 seconds uh magnitude uh at the start of the disruption there is definitely a fear and scare or deferment which leads to 20:17 20 minutes, 17 seconds deferment of uh uh of consumption but gradually it it uh the acceptance also starts kicking in. So these are the two 20:26 20 minutes, 26 seconds factors which which are being observed in the market at present. 20:32 20 minutes, 32 seconds Okay, my next question is on the net debt. Uh as you have clarified in the press release, it has jumped up significantly quarter on quarter. So 20:41 20 minutes, 41 seconds what is and this is very difficult to can you please be handset? 20:49 20 minutes, 49 seconds Yeah. Just a minute. Yes. Yes. Yes. Hello. 20:57 20 minutes, 57 seconds Yeah. Yeah. It is. Yeah. Can you hear me? Okay. Okay. 21:00 21 minutes Yeah. That's clear right. Uh so sir uh our capacity expansion has not gone live yet but uh our net debt has increased significantly 21:09 21 minutes, 9 seconds quarter on quarter. So what what is the reason for that and uh as a result of this should we see a jump in finance costs again going forward? 21:19 21 minutes, 19 seconds The entire borrowing which you look at is the is our working capital borrowings. So it all depends on the 21:27 21 minutes, 27 seconds seasonality. March is a heavy quarter uh for the for all the cable manufacturers and so there has been a slight increase 21:34 21 minutes, 34 seconds of uh of of debt in our in our uh uh in our u books and also if you look at our 21:44 21 minutes, 44 seconds on books debt it has kind of reduced from 66 crores to 40 crores. So nothing too kind of it's a very routine kind of 21:53 21 minutes, 53 seconds uh thing which happens right but should we see a jump in finance cost now going forward 22:00 22 minutes I don't think so okay and uh sir management has uh like uh 22:08 22 minutes, 8 seconds clarified in the past that you have 100% pass through of costs uh as far as raw material costs are concerned but uh 22:15 22 minutes, 15 seconds still uh this quarter there is a significant margin drop at the gross margin levels So uh what would you ascertain this to? 22:23 22 minutes, 23 seconds So again sir I'm again uh redising this part uh that you have to look at you have to look at the operating profit 22:31 22 minutes, 31 seconds level uh because there are lot of uh components uh those are in the in the at the gross level. So there can be one or two% variation on a quarteronquarter basis. 22:41 22 minutes, 41 seconds So that's not the right way to look at it because our revenue mix keeps on changing each quarter. So this that that that is not the right parameter to look 22:50 22 minutes, 50 seconds at. So there is free and other components which kind of come and go uh based on the customer based on the market based on the product and all the 22:58 22 minutes, 58 seconds other things. Uh so this is this is I think it uh and with regard to pass 23:06 23 minutes, 6 seconds through we still believe that uh we I mean we again uh restate our our uh 23:13 23 minutes, 13 seconds original uh u conversation that uh uh most of our orders uh are are having 23:22 23 minutes, 22 seconds price variation and it is a part of customers. There are uh certain orders which are on at the front 23:31 23 minutes, 31 seconds price basis also but those front price basis we kind of had that raw material at the time of order booking itself. So 23:38 23 minutes, 38 seconds largely the price volatility uh doesn't have a much bearing on our uh in our business model our raw material price 23:46 23 minutes, 46 seconds volatility does not have much bearing on our business model. 23:52 23 minutes, 52 seconds And my last question is uh on the capacity extension sir. So uh we know that order booking and uh capacity 23:59 23 minutes, 59 seconds expansion are uh interlin. So uh the fact that our capacity expansion is being postponed is it uh one of the 24:06 24 minutes, 6 seconds reasons why our order book growth has also slowed down uh quarter on quarter. 24:12 24 minutes, 12 seconds I don't think this is the right way to look at uh order booking. Uh order booking is largely I mean again I have to repeat the same thing again and 24:20 24 minutes, 20 seconds again. uh since March month per se there was a large volatility uh in in our 24:28 24 minutes, 28 seconds materials and therefore our uh pricing also uh increased suddenly increased and 24:36 24 minutes, 36 seconds that is why a lot of our customers kind of uh uh take a step back and defer their purchases. It's a it's a normal 24:45 24 minutes, 45 seconds phenomena and uh that to that does happen uh whenever there is such kind of uh uh volatility in the market we are 24:54 24 minutes, 54 seconds into the B2B market and uh where there is always an option with the customer to kind of time its purchases according to the scenario demand requirement. 25:06 25 minutes, 6 seconds Okay, just a follow up to that sir. So there is no uh definite date of go line for the capacity expansion this time. So 25:13 25 minutes, 13 seconds uh but there's no definitive date but yes we are uh we are we are 25:21 25 minutes, 21 seconds kind of uh guiding that uh based on the developments at the site level at the plant level we should be able to zoolize 25:30 25 minutes, 30 seconds by September right but what you have uh ascribed the this thing the reason for importing the 25:37 25 minutes, 37 seconds machinery the Iran war the situation is still same sir like in the Asia So why do you think we will be able to go live 25:45 25 minutes, 45 seconds this time uh like by before the second half? 25:49 25 minutes, 49 seconds Because I mean uh we that's what I was saying that based on the site developments the way the work is going 25:56 25 minutes, 56 seconds on the implementation is going on uh this time we are guiding or we believe that we should be able to go live by September. 26:06 26 minutes, 6 seconds Okay. Thank you. Thank you. 26:12 26 minutes, 12 seconds Next question is from the line of Nikl Puro from Sweden asset management. Please go ahead. 26:20 26 minutes, 20 seconds Hi uh am I audible? Yeah. Yeah. 26:24 26 minutes, 24 seconds Yeah. Thanks for the opportunity. Uh so what was the volume growth separately in cables and conductors? Separately. 26:33 26 minutes, 33 seconds In cables and conductors. 26:36 26 minutes, 36 seconds So conductors as I told you that there was a degrowth uh uh which which we have discussed in the past also on cable 26:43 26 minutes, 43 seconds standalone basis I think on a yearly basis it was around 18%. 26:50 26 minutes, 50 seconds And quarter four quarter four it should be around uh uh 26:58 26 minutes, 58 seconds high uh single digit kind of in cables in cables. Yes. 27:04 27 minutes, 4 seconds Okay. And what percentage you mentioned that low voltage conductors have been discontinued. Railways were already discontinued. So what percentage of 27:12 27 minutes, 12 seconds sales is low voltage conductors in the total revenue for the entire year? FI26, right? 27:18 27 minutes, 18 seconds I think it is now uh sub 5% kind of uh 5% last year. Yeah. Yeah. Last year it was 27:26 27 minutes, 26 seconds I think 8 9% which has now come down to sub 5%. 27:30 27 minutes, 30 seconds So there was around 50 60% 50% kind of uh uh volume uh decrease in our low cost conductors. 27:42 27 minutes, 42 seconds Okay. Okay. And just understanding on the capacity utilization side so you were at 75% 75 to 80% in quarter 3. You 27:50 27 minutes, 50 seconds were quite comfortable with that position in March also. Now of course there have been order delays like like you've mentioned earlier but for H1 FI27 27:59 27 minutes, 59 seconds do we see any uh problems in in terms of capacity because we're already at at one 28:06 28 minutes, 6 seconds of the peaks I mean how will we able to uh get growth in H1 and 527 yeah we have managed the seasonally uh I 28:15 28 minutes, 15 seconds mean the high season Q4 and Q3 last year and so I think we have quite confident 28:22 28 minutes, 22 seconds to manage the Q1 and Q2 also. Uh bases our order book and u I think that in 28:29 28 minutes, 29 seconds then when the peak season kind of kicks in uh in Q3 and Q4 we would be ready with our capacity with our new 28:37 28 minutes, 37 seconds capacities as well. So that is how exactly so H2 is H2 is okay because September 2026 the capacity ideally 28:45 28 minutes, 45 seconds should come on but for H1 then we are already at at the close. 28:49 28 minutes, 49 seconds So what I'm saying is that our current capacities are sufficient for uh kind of our H1 order book and H1 business 28:57 28 minutes, 57 seconds projections or growth which we are kind of anticipating. 29:01 29 minutes, 1 second Okay. Okay. And this last question on the other expenses how did we uh control these to such an extent just 4.1% of 29:08 29 minutes, 8 seconds sales and also on the employee expenses we had indicated that the last quarter generally has higher incentives higher bonuses given out but here also there's 29:16 29 minutes, 16 seconds a decline here on here if you could explain these how do we understand we going to survive perfect no problem so first I'll take 29:24 29 minutes, 24 seconds the employee expenses so employee expenses I as I told you that uh I'm I have not told you but I'm telling you 29:32 29 minutes, 32 seconds that last year there were some uh one time uh bonus and incentives which were declared in the month of March itself. 29:40 29 minutes, 40 seconds So that booking uh was there in the base which which was rationalized during this year and it was kind of amotized during 29:49 29 minutes, 49 seconds the year. So that is why uh it's it's not a decline as such it is just uh proper way of accounting the 29:57 29 minutes, 57 seconds expenditure. So that is what uh has led to uh employee expenditure. Optically this looks as a decline but there is no 30:06 30 minutes, 6 seconds uh uh no decrease in our workforce as well as our employee uh uh I mean employee salary or employee uh 30:15 30 minutes, 15 seconds compensation as such. It is just that the accounting of uh uh expenditure. So if you look at the last year last year 30:23 30 minutes, 23 seconds quarterly break up of employee expenses there was a sudden spot in Q4 which has now been normalized in the current year. 30:30 30 minutes, 30 seconds So that is that is the reason for employee benefit and other expenses. uh we have I mean we have been discussing 30:36 30 minutes, 36 seconds that there is always a uh trade-off between gross profit margin and other expenses based on the product mix, market makes, geography mix and all 30:45 30 minutes, 45 seconds those things which kind of happening because there are lot of direct expenses uh like freight and other components 30:52 30 minutes, 52 seconds which sometimes uh in some business uh contracts are born by us and in some contract it's born by the customer. So 31:00 31 minutes it keeps on varying on that part. So it is better to look at our company's uh operating performance at a operating 31:07 31 minutes, 7 seconds profit or aida level rather than uh gross profit and expense level. 31:13 31 minutes, 13 seconds Got it sir. Okay. Thank you. 31:18 31 minutes, 18 seconds Thank you. Next question is from the line of pranov Jen from Ageless Capital. Please go ahead. 31:25 31 minutes, 25 seconds Hi sir. Thanks for the opportunity. I hope I'm audible. Sir uh with respect to the TS conductor cor announcement that 31:32 31 minutes, 32 seconds we put out can you talk more about that uh what what are what the commotions look like what kind of incremental 31:39 31 minutes, 39 seconds revenues can we possibly get from that uh approvals uh how much time will they take for the hls virus just a little 31:47 31 minutes, 47 seconds more on that yes yes I mean we have uh given quite a detailed 31:54 31 minutes, 54 seconds press release on this TS conductors development uh with our company. So it is basically stepping stone or basically 32:02 32 minutes, 2 seconds a starting step to venture into this high voltage conductor uh market uh for 32:09 32 minutes, 9 seconds our company because the carbon core technology which is uh which has recently got adopted by the utilities 32:18 32 minutes, 18 seconds and is now uh we believe that uh the in in future can become uh quite relevant in the entire transmission ecosystem of 32:27 32 minutes, 27 seconds our country and to initiate our entry into this high voltage conductor market. 32:32 32 minutes, 32 seconds Uh which again there are very very few players who have uh such kind of tires core tires because it the core 32:40 32 minutes, 40 seconds technology is limitedly few players only in in across the globe. Uh so there are very few players manufacturers in India 32:48 32 minutes, 48 seconds who have such kind of tire and with this tire now in place we can actually go to our customers uh take our product 32:57 32 minutes, 57 seconds approvals or take our uh take the approvals do testing of our products and 33:03 33 minutes, 3 seconds uh basically uh convert them into some some orders and serious business sales revenue. So it is a it is a starting 33:12 33 minutes, 12 seconds step into that that direction. uh there is no hard timeline that what what uh 33:20 33 minutes, 20 seconds what what would when then when then when 33:22 33 minutes, 22 seconds then when then when then when then when 33:31 33 minutes, 31 seconds it is the it is it is it is a it is a very niche I mean a futuristic product 33:38 33 minutes, 38 seconds and which would be adopted uh by the utilities as a solution to this uh vertical uh expansion in the power infrastructure. 33:50 33 minutes, 50 seconds So just to understand how did we uh end up you know getting this uh agreement or getting into this agreement with DS conductor corporate like how did it come to be? 34:01 34 minutes, 1 second So it is so we have been uh in the search for such kind of tie-ups uh and 34:08 34 minutes, 8 seconds uh we uh I mean our team was in touch uh in in with with uh uh with these 34:16 34 minutes, 16 seconds technology providers and finally we got a breakthrough with the conductor. Initially the agreement is for a year. 34:24 34 minutes, 24 seconds So do can we expect anything to happen within a year's time or uh most of the it has a I mean it is it has a renewable 34:34 34 minutes, 34 seconds clause so that's not a very big challenge because initially uh it's just that whether the product uh we are able 34:42 34 minutes, 42 seconds to manufacture the product that we get a positive tight test of the product which is manufactured. So all that process will take around a year's time. 34:52 34 minutes, 52 seconds Got it. All right. So that's it for me. Thank you. Thank you. 35:01 35 minutes, 1 second Next question is from the line of Anojara from Interglobe Services. Please go ahead. 35:07 35 minutes, 7 seconds Um, hi. My questions are continuing the previous participants question. So for the TS conductor partnership, do we need 35:15 35 minutes, 15 seconds to incur any additional capeex? Let's say once the products get approved 6 months one or one year down the line do 35:22 35 minutes, 22 seconds we need to incur any additional capex to manufacture the products? 35:26 35 minutes, 26 seconds Not much not much because our existing facility uh can be used to uh much of the extent for the manufacturing of the 35:34 35 minutes, 34 seconds actual conductors. uh if if some slight uh technological advancement or updates updations need to be done, it is not a 35:43 35 minutes, 43 seconds very big uh it will not be a very big effect incrementally. 35:49 35 minutes, 49 seconds Okay. Um and and you have mentioned before that we have approximately 17 to 20,000 square meters of land available. 35:56 35 minutes, 56 seconds So could you just give a brief idea on the next capex that we plan to do? Will it be more than the 40 crores that we are incurring right now or it'll be on the same scale or lower scale? 36:07 36 minutes, 7 seconds So we are now basically concentrating on uh completing our existing cipex because we are already delayed uh in that on 36:16 36 minutes, 16 seconds that part. The next set of cipex is not crystallized yet. So it it will not be uh in all fairness it's not right to 36:23 36 minutes, 23 seconds kind of give any guidance. uh but yes as I have guided to uh or we have discussed with earlier participant also that there 36:31 36 minutes, 31 seconds would be incremental kex which would be coming up to uh keep pace of our growth momentum. 36:38 36 minutes, 38 seconds So that is the intent is there uh directionally there would be additional capex but how much when where these 36:46 36 minutes, 46 seconds things uh currently are not decided and and I think it is it will be difficult for us to discuss. 36:54 36 minutes, 54 seconds Okay. Uh just another if if you will just give me the breakup basically in quarter 4 of FI26 and throughout the year FI26 could you just give me the percentage of fails from solar cables? 37:07 37 minutes, 7 seconds I have a full year number as of now. Uh I Okay. 37:11 37 minutes, 11 seconds I uh full year number is around 18%. 37:18 37 minutes, 18 seconds Okay. And what was it last year? If you could just tell me. 37:22 37 minutes, 22 seconds Last year it was 105 crores. Uh so basically in percentage terms it was 10%. 37:28 37 minutes, 28 seconds Okay. Okay. And and this year based on the based on F27 numbers do you expect the share to increase or remain the same? 37:37 37 minutes, 37 seconds I think it should increase marginally. 37:39 37 minutes, 39 seconds Uh so from 18% it can go up to anywhere between 22 37:45 37 minutes, 45 seconds 23% kind of should be the should be the incremental share which should come. 37:52 37 minutes, 52 seconds Got it. And my and my final question is around basically as you mentioned that there was some deferment of order booking in the month of March which is quite obvious but let's say in the first 38:00 38 minutes 40 to 45 days of this financial in April and May are you seeing a change in mindset of people where customers are going ahead with order booking or what's the territory you're seeing right now? 38:11 38 minutes, 11 seconds Yes, there is there is an acceptance which we discussed uh with earlier participant also. There is an acceptance of the higher raw material prices and I 38:20 38 minutes, 20 seconds also feel that there is some uh I mean given the criticality of the power infrastructure uh it cannot be deferred 38:28 38 minutes, 28 seconds beyond a point. So uh because because the power consumption is increasing particularly in the summer where uh uh 38:36 38 minutes, 36 seconds grid has become heavy the distribution infrastructure is under under stress. So it cannot be u uh deferred for a very 38:44 38 minutes, 44 seconds long time. That that is that is the sense uh which we have uh from the market. 38:51 38 minutes, 51 seconds Okay. Okay. Thank you. That will be also my Thank you. 38:58 38 minutes, 58 seconds Next followup question is from the line of Yash from Ora Capital Advisors. Please go ahead. 39:05 39 minutes, 5 seconds Hi, thank you for taking my question again. I wanted to ask that when would this uh new capacity be ramped up at full utilization levels. 39:16 39 minutes, 16 seconds We would like to ramp up as early as possible. Uh again it's very very difficult to kind of give a give a very 39:23 39 minutes, 23 seconds hard timeline uh because presently it has not come live. So uh to kind of uh 39:31 39 minutes, 31 seconds envisassage uh would would not be is very very difficult but yes I think we would like to uh uh once it is live we 39:41 39 minutes, 41 seconds would like to ramp it up as as soon as possible. 39:45 39 minutes, 45 seconds So the market opportunity ah so opportunity wise I don't think there is a problem uh because uh the the EDM 39:53 39 minutes, 53 seconds technology which is being uh which which which facility which which the new facility will have and the renewable 40:01 40 minutes, 1 second cable or solar cables which we are the market is huge uh DC cables and all those things. So basically on on on all 40:08 40 minutes, 8 seconds all the sites there the there is no depth of opportunity and we would like to ramp it up as soon as possible. 40:17 40 minutes, 17 seconds Okay. Last one. I do see that you've got a corporate guarantee from Indoor Crates and also in your PPT you've mentioned 40:24 40 minutes, 24 seconds that uh Mr. Mangal is solely focused on managing dynamic cables. So just to confirm uh Mr. Mangal is not looking 40:32 40 minutes, 32 seconds after any other business and dynamic cable is only a focus area. 40:36 40 minutes, 36 seconds Yes. So basically Indocrat is just a property holding company. It is it does not have any operations as such any 40:43 40 minutes, 43 seconds business operations and also that gu guarantee is also now 40:49 40 minutes, 49 seconds withdrawn. So basically no to the bank. 40:56 40 minutes, 56 seconds Okay. Thank you. Thank you. 41:04 41 minutes, 4 seconds Next question is from the line of Kosal Sha from Nexus Equity. Please go ahead. 41:10 41 minutes, 10 seconds Hello. Yeah. Uh thanks for the opportunity. So sir uh uh so uh uh I have mentioned some of the future guidance and so basically you just 41:19 41 minutes, 19 seconds mentioned that you we should be able to uh commence the operation of the new plant in the second half of this year. 41:26 41 minutes, 26 seconds So uh so just uh to look at the numbers. 41:29 41 minutes, 29 seconds So in H1 of this uh FIR 27 so would we able to see growth reserve with uh comparing the same number to H1 of F26. 41:40 41 minutes, 40 seconds So H1 FI27 versus H1 F26 and then SW on the 4 year guidance uh for FI 27. 41:49 41 minutes, 49 seconds So we have we don't have a practice of issuing any guidance uh short-term guidances uh in a medium to long term we 41:58 41 minutes, 58 seconds have been growing uh at 18 to 20% growth rate which uh in the past also and which 42:04 42 minutes, 4 seconds should continue in the future also. So we don't uh we don't have any practice of giving any short-term guarant. 42:13 42 minutes, 13 seconds Okay. Thank you. Thank you. 42:19 42 minutes, 19 seconds Next follow-up question is from the line of Nikil Puroh from Freed and Asset Management. Please go ahead. 42:29 42 minutes, 29 seconds Hi. Am I on? Yes. 42:32 42 minutes, 32 seconds Yeah. So thanks for the opportunity again. Uh not clear. Not clear. Not clear sir. Not clear. Is it clear now? 42:40 42 minutes, 40 seconds Yeah. Yeah. Much better. 42:42 42 minutes, 42 seconds Yeah. So, so if just on the gross margin side, I I'm aware you said uh you look at the AITA, but uh if our core products 42:49 42 minutes, 49 seconds have grown 20%, then gross margin should improve year on year right considering these are higher margin products versus something like lower value conductors 42:58 42 minutes, 58 seconds which we have actually discontinued even railway cables. Why why the gross margin? Well, I'm that's what I'm saying sir. 43:06 43 minutes, 6 seconds Again and again, we should not look at a quarter on quarter. Uh it's very very difficult to kind of provide any kind of explanation on a quarteronquarter basis. 43:15 43 minutes, 15 seconds If you look at on on our yearly numbers, you will see the improvement at the gross profit level also and a corresponding improvement at the 43:24 43 minutes, 24 seconds operating profit level also because again uh there there is I mean it's I 43:31 43 minutes, 31 seconds mean it's very very difficult to explain uh half a percent or 1% variation at the gross profit level and operating 43:39 43 minutes, 39 seconds facility or the other expenses level because both are interchangeable. There are a lot of direct expenses which go 43:46 43 minutes, 46 seconds into our expenses and when we do our pricing or when we do our costing uh in 43:53 43 minutes, 53 seconds that some part of our direct expenses and our raw material expenses both are included. 44:02 44 minutes, 2 seconds Okay. Um just last question we continue to expect 1.5 times industry growth in FI27. 44:10 44 minutes, 10 seconds Should be we should be able to do it. So our long-term 18 to 20% remains intact. Yes. Yes. Yes. Yes. 44:20 44 minutes, 20 seconds All right. Thank you. Thank you. 44:27 44 minutes, 27 seconds Next question is from line of Kadija Mantri from KP Global. Please go ahead. Hello. 44:36 44 minutes, 36 seconds Yes. Go ahead. Uh uh sir I just wanted to know that in FI26 did we have any substantial exports and going forward 44:44 44 minutes, 44 seconds also we will be focusing on exports or given the uh that we have capacity constraint in the first half we would 44:52 44 minutes, 52 seconds ideally be focusing on domestic markets only. 44:57 44 minutes, 57 seconds export was I mean uh export was there was a slight degrowth in FI26 exports uh 45:04 45 minutes, 4 seconds as compared to FI25 again the reason was um in this March quarter in the March month 45:13 45 minutes, 13 seconds the exports were were typically zero non-existent and that was the reason why 45:20 45 minutes, 20 seconds uh there was a degrath in our export uh value as well our focus on export is always there and will be there. Uh we 45:28 45 minutes, 28 seconds are we are we have uh uh we have always maintained that we intend to grow our 45:35 45 minutes, 35 seconds share of export uh uh within our overall revenue contribution. However, uh 45:42 45 minutes, 42 seconds because of unfortunately in FI26 earlier there was some tariff problem which kind of delayed our US plans uh US 45:50 45 minutes, 50 seconds entry plans uh which we are now reestablishing uh again and that should have a critical that should give a uh 45:59 45 minutes, 59 seconds give a critical boost to our export uh program and u also the domestic market scenario is very very conducive as of 46:08 46 minutes, 8 seconds now. So uh it's always I mean we want to catch the lowhanging fruits first rather 46:15 46 minutes, 15 seconds than to do on the export front. So yes but but we believe that uh our export share uh on on a long-term basis should 46:24 46 minutes, 24 seconds uh hit 10% and should increase uh to 15% kind of level in the long medium to long term. 46:33 46 minutes, 33 seconds Okay sir. And also this capex of 40 K what is the peak revenue potential? It would be uh five times asset turn you can assume. 46:42 46 minutes, 42 seconds Yeah I think we gradually we typically do six to seven times our asset terms. 46:46 46 minutes, 46 seconds So yes five times is a very uh uh I mean reasonable assumption to have. 46:54 46 minutes, 54 seconds Okay. And sir also for this HDLS uh conductor uh do we have capacity to 47:01 47 minutes, 1 second cater to this segment in FI27 in case if there is any opportunity? 47:08 47 minutes, 8 seconds So there is the problem is not of capacity. It is more uh related to the type testing and approvals which will 47:17 47 minutes, 17 seconds have its own uh process time and we are we which we will have to navigate as we go into restart into FI27. 47:27 47 minutes, 27 seconds Okay. So assuming that we get the the products get type tested in FI27 maybe in the first half then we will be able 47:34 47 minutes, 34 seconds to deliver it from our uh current capacity in the second half. 47:40 47 minutes, 40 seconds Yeah. Yeah. Yeah. So if I mean if appro are there and if you are competitive in the bids uh so it's funible the capacity is funible 47:48 47 minutes, 48 seconds that is what I wanted yes the process is almost the same the core changes that's okay okay 47:56 47 minutes, 56 seconds the core technology changes yes sure yes yes okay so 18 to 20% growth that we are guiding it's a value growth or it is uh 48:05 48 minutes, 5 seconds largely in terms of volume growth I mean we typically give a value growth guidance only. So that is what it is and 48:14 48 minutes, 14 seconds it's not a single year guidance. So it is a multi-year guidance. 48:18 48 minutes, 18 seconds Okay, I understand. Thanks and all the rest. Yes, please. Thank you. 48:27 48 minutes, 27 seconds Next question is from the line of Nan Jen from Fair Value Equity Advisor. Please go ahead. 48:33 48 minutes, 33 seconds Yeah, thank you for the follow opportunity. 48:38 48 minutes, 38 seconds table. What kind of margins do we have there? Are they above company average or in line with the company average? How is it? 48:45 48 minutes, 45 seconds In line with the company average. 48:49 48 minutes, 49 seconds And uh regarding the PGC approval uh how is it helping us uh increasing the addressable market like will it help us 48:57 48 minutes, 57 seconds in bigger order or how exactly it's beneficial to the company? 49:03 49 minutes, 3 seconds So I as I was telling you that these are all stepping stones or I mean uh starting steps uh for us to enter this 49:11 49 minutes, 11 seconds high uh voltage conductor market whether it is the PBCL approval or whether you look at this uh uh technology core 49:20 49 minutes, 20 seconds technology tie up all these things are starting steps for us to explore this high voltage conductor market because we 49:28 49 minutes, 28 seconds believe that the the in the future it is going to be the vertical expansion of the power TND is going to be a huge 49:37 49 minutes, 37 seconds opportunity for uh product manufacturers like us and if you are able to supply the right kind of product in the market 49:46 49 minutes, 46 seconds at the right time it would uh be very attractive for us as a company. So this is these are all uh uh this is the idea 49:55 49 minutes, 55 seconds and I would say the uh thought process behind all these things behind all the development. 50:02 50 minutes, 2 seconds All right. And uh last question is on the US opportunity uh now that uh the tariff situation is more or less behind 50:09 50 minutes, 9 seconds us. It has dropped from 50% to about 20% now. How are we exploring this opportunity? Is it through the TS conductor tie up or is there anything else uh that we're looking at? 50:20 50 minutes, 20 seconds A TS conductor is not for US market. Uh it is more to do with the domestic market. uh US market has to we are 50:29 50 minutes, 29 seconds reestablishing our links with the distributors because it is completely distributor market in the in the US and 50:37 50 minutes, 37 seconds we are uh and because of this tariff uh uh related disruption we there was a gap 50:45 50 minutes, 45 seconds of around 6 to 8 months in between where uh all the interest uh of the US distributors to procure from India had 50:53 50 minutes, 53 seconds dried up. So now when the tariffs have gone away and now there is some policy policy stability in the US uh from the 51:02 51 minutes, 2 seconds US government uh we are trying to reestablish our US connects uh and with the distributors and trying to uh 51:10 51 minutes, 10 seconds basically we we have to start a fresh in in terms of our go to market strategy or we have started a fresh I should say. 51:20 51 minutes, 20 seconds Okay. You have started a fresh already. 51:23 51 minutes, 23 seconds Yes. Yes. Yes. Should we see any contribution in FI27 from this or too early to 51:30 51 minutes, 30 seconds I mean there there should be some contribution how much it would be it's too early for us to comment on correct 51:38 51 minutes, 38 seconds thank you and all the best thank you 51:45 51 minutes, 45 seconds next follow-up question is from Mora Capital Advisor please go ahead. 51:51 51 minutes, 51 seconds Uh hi so you recent rec recently mentioned about getting into wire res for B2B business only. Uh I understand that there are many players in Ver 52:00 52 minutes business already. So how will you be standing out? 52:05 52 minutes, 5 seconds Yes. So basically again B2 there are two differences wire manage in the wire business there are two kinds of market. 52:13 52 minutes, 13 seconds One is a B2C distributionled market and one is a B2B market uh which is a principle to principle market. We uh 52:21 52 minutes, 21 seconds again it is I mean again we I would like to clarify that we do not wish to focus on the B2C distributionled 52:29 52 minutes, 29 seconds uh wire market. we'll confine ourselves to the B2B wire market and leverage our our uh 52:38 52 minutes, 38 seconds uh our existing DNA because in Kers uh we are already a B2B supplier uh 52:44 52 minutes, 44 seconds tradition of the B2B and would like to leverage those relationships those markets those uh uh institutional supply 52:53 52 minutes, 53 seconds cap capabilities to uh so it's just an additional add-on product which we have introduced in our bouquet of cables 53:03 53 minutes, 3 seconds margins and ROC profile would be similar to what your existing business too early too early but yes it should I 53:11 53 minutes, 11 seconds mean uh given our given our intent to be fin to maintain our discipline it it should remain 53:19 53 minutes, 19 seconds okay that's all thank you thank you next question is from the line of J Mata 53:28 53 minutes, 28 seconds from Alios Financial Service Please go ahead. Okay. 53:35 53 minutes, 35 seconds Jay, can you hear us? Yeah, I can hear you. Can you hear me? Yes. Yes, please. 53:42 53 minutes, 42 seconds Uh, so I I want to know what is the capacity utilization right now? 53:48 53 minutes, 48 seconds So, we I mean capacity wise we have guided for uh the peak capacity utilization to be around uh 135 crores a 53:57 53 minutes, 57 seconds month. That is that is the turnover capacity which we have guided at our peak level. Optimumly we being a 54:04 54 minutes, 4 seconds cyclical business uh we are and and also a customized production uh 54:11 54 minutes, 11 seconds product we have we are manufacturing we are we should be able to optimally utilize around 85 to 90% of our 54:18 54 minutes, 18 seconds capacities. So this is this is the uh this is the idea which which I can give. 54:27 54 minutes, 27 seconds So that uh the 135 C number which you gave at that time the commodity prices 54:34 54 minutes, 34 seconds were um um last year were like what 50% lower than current right so the 54:41 54 minutes, 41 seconds commodity prices are lien like exponential in the last 7 8 months so 54:48 54 minutes, 48 seconds won't that won't that number change yeah it should change I mean again I'm what I'm trying to say is that that but 54:56 54 minutes, 56 seconds we don't kind we can't reassess our capacities uh now and then largely uh 55:03 55 minutes, 3 seconds and it's very very difficult to kind of uh predict the commodity prices. So uh it it would have in that number might 55:11 55 minutes, 11 seconds have increased but uh at the time of last assessment which we did it was 135. 55:20 55 minutes, 20 seconds Okay. So uh okay so for the green field u I I believe you did cex of roughly 40 55:26 55 minutes, 26 seconds odd cr and uh for that you were guiding 6x turnover la in last quarter in last 55:35 55 minutes, 35 seconds to last quarter maybe right since then also the commodity prices are 55:44 55 minutes, 44 seconds low so by 50%. Is it reasonable to assume that again again sir I have no prediction of 55:52 55 minutes, 52 seconds the commodity price it has increased by 50% it can decrease by 50% by the year end so I have no clue on the commodity 56:00 56 minutes price what we do but I was saying what the idea which I can give you is that amongst all the commodity cycles in last 56:08 56 minutes, 8 seconds 10 years we have been able to our average asset turn has been around six times that is that is the guidance which I can give you for future also. 56:20 56 minutes, 20 seconds Now for some quarter it can be higher for other quarter there is no clue which anybody has on the commodity prices or the movement of commodity prices. 56:31 56 minutes, 31 seconds Correct. And sir there was some R&D you you mentioned about on the data center cables you were in discussion with uh few subcontractors and things like that. 56:42 56 minutes, 42 seconds So any update on that? 56:46 56 minutes, 46 seconds So that is an ongoing process and we discussed in the last call also that it's not a one quarter or two quarter 56:53 56 minutes, 53 seconds phenomena because data center has a lot of uh other uh things to other other 57:02 57 minutes, 2 seconds parameters also or evolving. Yeah, it is a very very uh starting phase of the industry and there is lot of 57:09 57 minutes, 9 seconds evolutionary uh challenges which they are facing. So it will take time uh and it's it's it's 57:16 57 minutes, 16 seconds really uh uh difficult quarterly guidance or a quarterly update on such kind of uh uh trends. 57:28 57 minutes, 28 seconds Thank you ladies and gentlemen. We will take that as the last question. 57:34 57 minutes, 34 seconds I now hand the conference over to the management for closing comments. 57:41 57 minutes, 41 seconds Thank you. Thank you all the investors and thank you faith and trust in us. So we look 57:48 57 minutes, 48 seconds forward to hear from you soon. With all my assurances, thank you. 57:55 57 minutes, 55 seconds Thank you very much. On behalf of Philip Capital India Private Limited, that concludes this conference. Thank you for joining us and you may now be listening. 58:04 58 minutes, 4 seconds Thank you.