EID Parry India Limited — Q4 FY26

EID Parry (India) Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=aJBnq7cEOWM Published: 3 weeks ago

0:00 Ladies and gentlemen, good day and welcome to aid Perry India Q4 FI26 earnings conference call hosted by Dan Capital Advisor Limited. 0:11 11 seconds As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation 0:18 18 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 touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Abhishek Mera from DA Capital. 0:36 36 seconds Thank you and over to you sir. 0:40 40 seconds Hello everyone and a warm welcome on behalf of DA Capital advisers to the Q4 and FI26 earnings call of e parry. We 0:48 48 seconds thank e par's management for giving us the opportunity to hold this call. On the call today we have Mr. We have Mr. 0:55 55 seconds Muta Murugapan wholetime director and CEO along with the senior management team of Eid Perry. I hand over the call to the management for opening remarks 1:04 1 minute, 4 seconds followed by a Q&A session. Thank you and over to you sir. 1:08 1 minute, 8 seconds Thanks Abhishek and good morning to everyone. It gives me a great pleasure to be a part of the analyst call to share an update uh on the global as well 1:17 1 minute, 17 seconds as the Indian scenario and explain further on Q4 performance and FY26 performance of our company. I'll start 1:25 1 minute, 25 seconds with the global scenario. Global sugar markets are softening with a clear downward price trajectory and a shift back to surplus conditions. White sugar 1:34 1 minute, 34 seconds prices have corrected from USD $500 per ton levels uh to about in 2025 to about USD420 per ton levels by early 2026. 1:46 1 minute, 46 seconds While raw sugar has declined from about 80 cents per pound to about 14 cents per pound in the same period. This reflects 1:53 1 minute, 53 seconds improving global supply with total production of 196.7 million tons 1:59 1 minute, 59 seconds exceeding demand of 193.8 8 million tons in 2526 led by higher output in India 2:07 2 minutes, 7 seconds and Thailand partially offsetting mixed trends in Brazil and the EU. Overall, global balances are moving from deficit 2:15 2 minutes, 15 seconds to surplus and exerting downward pressure on prices and limiting export attractiveness. 2:21 2 minutes, 21 seconds On the India front, sugar year 2526 estimates are as follows. Gross production 31 million tons. Diversion 2:29 2 minutes, 29 seconds for ethanol 3 million. Domestic consumption 28 million exports of.7 and closing stocks of 4.25 million tons. 2:39 2 minutes, 39 seconds Domestic sugar trends indicate a recovery in production led by key states with an all India output net ethnol diversion reaching 27 million tons as of 2:48 2 minutes, 48 seconds March 31st driven primarily by Maharashtra and Karnataka which grew in excess of 20%. 2:55 2 minutes, 55 seconds While Uttar Pradesh remained flat at a balance sheet level, internal consumption has revised has been revised downwards to 28 million tons keeping the 3:04 3 minutes, 4 seconds overall availability comfortable despite the 3 million diversion to ethanol and limited exports of 75 million. Further 3:12 3 minutes, 12 seconds exports have been banned uh till September 30th. Recently the trend reflects a shift towards the western and southern states which are driving 3:20 3 minutes, 20 seconds incremental output while up remains stable but not the primary growth driver. 3:26 3 minutes, 26 seconds I now hand the call over to Mr. Weslu our CFO to take you to the operating and financial performance of the company. 3:35 3 minutes, 35 seconds So [snorts] thank you Mu and good morning to all participants. It's a great pleasure to be part of the enlist and to share the key information of the 3:42 3 minutes, 42 seconds operational and financial performance of the company. I would like to shade uh share with you the key operating parameters of each of the segment sugar 3:50 3 minutes, 50 seconds operations. The crushing operations in Karnataka and Tamil Nadu and uh we have completed in the Q4. So on an average we 3:58 3 minutes, 58 seconds have run about 77 days against the 76 days of the corresponding quarter of the previous year. 4:05 4 minutes, 5 seconds As far as the cane crushing is concerned we crushed about 17.75 lakhs metric tons against 17.62 62 lakhs metric tense of 4:13 4 minutes, 13 seconds the corresponding quarter of the previous year. As far as the recoveries is concerned for the current quarter we are at 11.19 against the 10.89 of the 4:22 4 minutes, 22 seconds corresponding quarter of the previous year. 4:25 4 minutes, 25 seconds As far as the sugar production is concerned in the current quarter we produced about 1.74 lakh metric tons of sugar against the 1.55 lakhs metric tons 4:34 4 minutes, 34 seconds of the corresponding quarter of the previous year. So gaining cost for the current quarter is 4087 per metric ton 4:42 4 minutes, 42 seconds as as you see [clears throat] 3,768 per metric t of the corresponding quarter of the previous year. This increase is mainly on account of the FRP increase 4:50 4 minutes, 50 seconds about 150 rupees per metric t which is announced by the uh government. As far as the sugar volumes is concerned, uh as 4:58 4 minutes, 58 seconds far as the bio fuel division is concerned, we sold about 97,000 metric tons which includes the about 6,000 metric tonses of the exports against the 5:06 5 minutes, 6 seconds 73,000 metric tons of uh the corresponding quarter of the previous year. As far as the sugar realizations 5:14 5 minutes, 14 seconds is concerned, we are for the current quarter it is a 39 rupees 28 as the 39 rupees 22 based of the corresponding quarter of the previous year. So we 5:22 5 minutes, 22 seconds maintained at the closing stock at 1.92 lakhs metrics for the current quarter which is valuated as 39 rupees per per 5:30 5 minutes, 30 seconds kg against the 1.83 lakh metrics of the corresponding quarter of the previous year. As far as revenue from the sugars is concerned about 466 crores for the 5:39 5 minutes, 39 seconds current quarter as against the 48 crores uh of the corresponding quarter of the previous year registering an increase 5:47 5 minutes, 47 seconds about 14% on account of the exports and the higher release quarter for the current quarter. 5:53 5 minutes, 53 seconds So as far as the coen operations is concerned we generated about 1,499 lakhs units of units as 1,450 lakhs units in 6:01 6 minutes, 1 second the corresponding period of the previous year. As far as the power exports is concerned, we exported about 845 lakhs 6:09 6 minutes, 9 seconds unit as against the 732 lakhs units in the corresponding period of the previous year. As far as the power tariff is concerned, we could able to realize the 6:18 6 minutes, 18 seconds 4 rupees 57 pes per unit for the current quarter as against the 4 rupees 38 pes per unit in the corresponding period of the previous year. As far as the 6:26 6 minutes, 26 seconds revenues is concerned for the current quarter about 66 crores as against 58 crores in the corresponding period of the uh previous year. 6:36 6 minutes, 36 seconds As far as the dist operations is concerned we produced about 4 45 42 lakhs liters during the quarter as against 438 lakhs liters of the 6:45 6 minutes, 45 seconds corresponding quarter of the previous year. As far as the sales is concerned 44 lakhs liters we have sold the current 6:52 6 minutes, 52 seconds quarter as against the 389 lakhs liters in the corresponding previous quarter. 6:57 6 minutes, 57 seconds So the composition of 4 4 lakh lit consist of 150 lit of 54 lakhs lit of 7:04 7 minutes, 4 seconds ethanol. As far as the price relation is concerned, average relation is at the 64 25 for the current quarter. As a 64 7:13 7 minutes, 13 seconds rupees 98 per liter as compared to the corresponding period of the previous year. As far as the revenue is concerned 7:20 7 minutes, 20 seconds for the current quarter, we have achieved about 275 crores uh revenue as 268 crores during the corresponding 7:27 7 minutes, 27 seconds period of the previous year. As far as the neutral operations is concerned, uh we achieved a turnover of about 13 crores in the current quarter. as August 7:35 7 minutes, 35 seconds 9 crores in the corresponding period of the previous the increase is due to the more exposed to the US as the US RF got 7:42 7 minutes, 42 seconds settled at the 10%. At a consolidate level turnover was about 50 crores as well as 60 crores in the corresponding period of the previous year. 7:51 7 minutes, 51 seconds So next is a like a consumer product group CPG division. The consumer product group has achieved a turnover of 115 crores during a Q4 as against 195 crores 8:01 8 minutes, 1 second of the corresponding period of the previous year registering a decline of about 48%. The decreases in CPG revenues stem from a purposeful operating model 8:10 8 minutes, 10 seconds recalaboration with a deliberate shift towards the better channel optimization and an improvement in the margin profile of the business. I'll move on to the uh 8:18 8 minutes, 18 seconds refinary uh uh operations. We prod with the production in the refineries for the current quarter is about 1.69 lakhs 8:26 8 minutes, 26 seconds metric tons uh against 1.17 lakhs metric tons in the corresponding previous year. 8:33 8 minutes, 33 seconds As far as the sales is concerned, we sold about 2.3 lakhs metric tons. The same was in the previous corresponding quarter was about 2.05 lakhs. As far as 8:42 8 minutes, 42 seconds revenue is concerned the current quarter about 106 crores 106 crores against the 1,19 crores in the corresponding 8:49 8 minutes, 49 seconds previous year quarter loss for the current quarter after accounting of the uh other cost about 293 crores against the loss of 99 crores in the corresponding previous year quarter. 8:59 8 minutes, 59 seconds Interpret deposits are uh as far as external borrowings is concerned 593 crores. 9:08 9 minutes, 8 seconds I also wanted to update the status on the PSP the closing operations uh because uh we have intimated to the 9:15 9 minutes, 15 seconds stock exchange by the EAD bar and the statute authority uh as on 31st March about the uh closure of the operations. 9:24 9 minutes, 24 seconds So at the same time we are also operated informed to all the statuto authorities in the first week of April. As far as 9:31 9 minutes, 31 seconds the labor setment, labor settlement is concerned, the final statement for all the management stuff is completed on the 1st of April 2026. 9:39 9 minutes, 39 seconds The remaining contractors are completed by 15th 15th April also. 9:45 9 minutes, 45 seconds The next activity what we taken is on the SCZ exit. This the unit is located in the 9:51 9 minutes, 51 seconds SCJZ. So we obtained a SCZ exit principal exit SC letter from the SCZ authorities on the 20th April. exit 9:59 9 minutes, 59 seconds formalities are commenced and expected to be completed by 30th September 26. As far as the bank loan uh payments is 10:08 10 minutes, 8 seconds concerned um so 49 million equivalent to the 460 crores paid to the banks as on 24th April. This was funded through 10:16 10 minutes, 16 seconds funded through uh ED equity infusion about 338 crores and the cash available with the BSR applan 31st March 26. the 10:25 10 minutes, 25 seconds further payment uh to the banks on the 15th May 2026 about 29 million equivalent of INR that grows uh this 10:33 10 minutes, 33 seconds entire thing is funded through investments from the EA car. So with these two stages of the investment E has increased so far by 15th of May about 10:42 10 minutes, 42 seconds 600 crores into the payment obligations of the PSPL. 10:47 10 minutes, 47 seconds So another 1.4 million scheduled for the payment in June 26. This will be funded through internal um receivables from the uh PSR. 10:55 10 minutes, 55 seconds So the liquidation uh with the above all the loans obligations of PSR will get completed by 24th by 30th of June 26. As 11:04 11 minutes, 4 seconds far as the liquidation of the plant and mission is concerned discuss discussions are initiated with the vendors and also exploring to call for the vendors from the interested parties and the 11:13 11 minutes, 13 seconds missionaries which is required. Thanks an I think we we've also uploaded the presentation uh quarterly presentation 11:20 11 minutes, 20 seconds on the BS and NS and hope you would have chance to go through that. Uh we are now open for questions. 11:30 11 minutes, 30 seconds Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press 11:37 11 minutes, 37 seconds star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are 11:46 11 minutes, 46 seconds requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question Q assembles. 12:25 12 minutes, 25 seconds The first question is from the line of Gautam from Nalanda Securities. Please go ahead. Yeah. Hi, thanks for taking my question. 12:34 12 minutes, 34 seconds So the first question is on the consumer goods business. So now going ahead what's the plan over there in terms of 12:43 12 minutes, 43 seconds so we have the sweetener division and now you are focusing on some adjacencies. So what would uh those 12:50 12 minutes, 50 seconds products look like and uh basically when you say value added what should we define the margin profile of those 12:57 12 minutes, 57 seconds products as as opposed to the rice and pulses that we were doing. 13:04 13 minutes, 4 seconds So Gautam uh thanks uh thanks for the question. Um so going forward on the CPG side the u the strategy is to to have a 13:12 13 minutes, 12 seconds stronger margin profile on the business model. I think as you indicated some of the uh uh you know rice and pulses etc 13:21 13 minutes, 21 seconds are are pretty low margin products uh and we have u you know defocused to some extent we're focusing on those products 13:29 13 minutes, 29 seconds only in sort of few few channels uh but in terms of the margin accretive products and value added products um 13:37 13 minutes, 37 seconds they will be more on the browns uh browns line which is you know jaggery um a couple of variants of brown sugar uh 13:44 13 minutes, 44 seconds premium whites um so This is all in the realm of sweeteners and newer product launches also in the realm of sweet 13:51 13 minutes, 51 seconds products um which are being planned for later in the year. Um a lot of these value added products move the business into the 30 plus% gross margin level. 14:03 14 minutes, 3 seconds Um and this is really the the intent in terms of how we want to move forward. 14:09 14 minutes, 9 seconds Okay. And we were looking at some acquisition also right you mentioned in the last call. Has there been any progress made on that or and are we 14:17 14 minutes, 17 seconds still looking at it or there's a shift in strategy for that also? 14:21 14 minutes, 21 seconds So Gautam I think on the last call we had um sort of outlined that we will specify the uh sort of segments within 14:29 14 minutes, 29 seconds the food FMCD space uh which we're going to be looking at. I think the investor presentation covers that as we talking about ethnic snacking and culinary 14:36 14 minutes, 36 seconds convenience. These are segments which we are looking at further in terms of how to enter these segments. These are 14:44 14 minutes, 44 seconds conversations which which we are having as well. But these are the segments of focus which we look at beyond the uh the sweet products and sweeteners. Well 14:53 14 minutes, 53 seconds okay. And secondly on the neutra division. So now how should we look at this division? So there are two three products that we are focusing on. So 15:01 15 minutes, 1 second what would be the scaleup strategy over there and what would be the general margin profile of this business once everything stabilizes? 15:09 15 minutes, 9 seconds So u gotham on the neutra piece neutra India continues. There are no new product launches planned. We obviously 15:16 15 minutes, 16 seconds have the the algae processing and exports which we do uh that will continue. I think they had a reasonable performance and I think we will continue 15:25 15 minutes, 25 seconds now with some of the tariff issues being settled. We'll continue to progress that piece. Um I think there will be more action on the Valencia front where we 15:33 15 minutes, 33 seconds have also um communicated two uh product launches and one on the prostrate side as one uh as well as one on the derm 15:41 15 minutes, 41 seconds health side. So this scale up will uh happen in Valencia going forward. I think what we will see in Valencia is an expansion of top line as well as 15:50 15 minutes, 50 seconds stronger bottom line performance. Um as mentioned we have uh you know reoriented the strategy a little bit. We've also 15:59 15 minutes, 59 seconds had some u organ management restructuring. A stronger operating team is in place right now and they're driving this mandate forward. 16:07 16 minutes, 7 seconds Okay. And just one last question. So just like how we've seen the West Asia crisis post that have you all seen any 16:15 16 minutes, 15 seconds change on the ethanol division when you're interacting with some government bodies in terms of either improving the 16:22 16 minutes, 22 seconds mandate from E20 or in terms of pricing also. Do you see anything positive happening this year? 16:30 16 minutes, 30 seconds Uh good morning. This is Hashik. I head the sugar and bofuels division. Um obviously most of the news uh around 16:38 16 minutes, 38 seconds this is in the public space. Uh the good development has been the government sharing their intent through the BAS spec for E30. 16:48 16 minutes, 48 seconds Uh we would uh uh we have been telling this for the last uh four to five quarters. expect positive action from 16:57 16 minutes, 57 seconds the government. Um uh it will become visible during the allocations that will come up in the new 17:04 17 minutes, 4 seconds ethanol year. Uh we re uh we remain firmly positive that uh the crisis one 17:12 17 minutes, 12 seconds uh silver lining would be the uh improvement in ethanol blending percentages because it's good for the 17:19 17 minutes, 19 seconds fuel security of the country. Is there any uh talks you've had on pricing revisions? 17:27 17 minutes, 27 seconds Um government would uh our last sweep of the situation was that there may not be 17:36 17 minutes, 36 seconds too much action on pricing but there will be an action on uh increase in uh uh blending percentages. 17:45 17 minutes, 45 seconds Okay. Thank you so much. Thank you. 17:52 17 minutes, 52 seconds Next question is from the line of Russia from RBS investments. Please go ahead. 17:58 17 minutes, 58 seconds Uh post the restructuring that has happened. I just want to understand for the say rupees every rupees 100 rupees that you know operating cash generated. 18:06 18 minutes, 6 seconds How do we allocating capital now across the existing segments? If you could just share some thoughts and where are you doubling down more and also is there any 18:14 18 minutes, 14 seconds strategic divestments left or looking to continue all the existing businesses? 18:20 18 minutes, 20 seconds Uh so Rashad thanks for your question. I think uh now we will post the restructuring at the at the refinery. I think we will be continuing with the uh 18:29 18 minutes, 29 seconds existing sugar and bofuel operation, the CPG as well as the the neutral operation. So I think that's the that's the plan. Um in terms of capital 18:38 18 minutes, 38 seconds allocation, um there will be a focus on the the CPG segment. A lot of the investment there really goes into the A 18:45 18 minutes, 45 seconds and SP program. uh there's no real capex as such. Uh the only capex that we're doing this year is largely the new Jagy 18:53 18 minutes, 53 seconds facility that's about a 45 uh oddcore capex which we're doing. Um there are no other capex plans. I think it is a just 19:02 19 minutes, 2 seconds given the industry situation, given perhaps the more macroeconomic situation, I think we will hunker down and you know run for cost and efficiency 19:11 19 minutes, 11 seconds in terms of the core business. Uh and in terms of the u CPG business of course invest in brand building uh expansion of 19:19 19 minutes, 19 seconds distribution uh and strengthening of the marketing mix in terms of the consumer products just 19:28 19 minutes, 28 seconds you know followup I think you have very calibrated strategy of you know focusing more on the higher margin segments. So is it reasonable to assume that as since 19:36 19 minutes, 36 seconds you have been in this segment since quite a while now so at least in the next 3 to four years can we assume a significant share of profits or revenue shares 25% coming from this segment or 19:46 19 minutes, 46 seconds how should one look at the segment scaling up now or it is too early to say or to the intent is to break even within the 19:53 19 minutes, 53 seconds next 6 to 8 quarters and exit this decade with a good single digit percentage at the top on this business. 20:02 20 minutes, 2 seconds Okay. Okay. Thank you. 20:08 20 minutes, 8 seconds Thank you. Before we take the next question, a reminder to all the participants, if you wish to ask a question, please press star and one. 20:18 20 minutes, 18 seconds We will take our next question from the line of Raja Kumar Vanatan from RK and West. Please go ahead. 20:26 20 minutes, 26 seconds Yeah, good morning. Can you hear me? Yes, we can. 20:30 20 minutes, 30 seconds Yeah, thanks for the opportunity. Uh so just couple of questions. So the first one is there was an recent app till uh 20:37 20 minutes, 37 seconds you know September 2025 tariff ruling which many of the Tamad sugar companies have taken advantage of. Just want to 20:45 20 minutes, 45 seconds know is that award not applicable to EA T. Can you repeat the question? 20:54 20 minutes, 54 seconds No, no, no, no. I think like some of the others took benefit some of the other uh 21:00 21 minutes not supplying power through time applicable to us because largely our power exports are through 21:09 21 minutes, 9 seconds some of our peers have taken benefit of it. You're right. 21:13 21 minutes, 13 seconds Because I saw even was mentioned in the uh tribunal order as a co-licant. So that's reason I'm not 21:25 21 minutes, 25 seconds [clears throat] 21:27 21 minutes, 27 seconds You want to comment? 21:29 21 minutes, 29 seconds Maybe you have done it in the past like it's not now maybe because this order is applicable I think way back 201 21:36 21 minutes, 36 seconds something like 2010 com exporting mostly on exchanges but 21:43 21 minutes, 43 seconds the the t what are also predates so we had some units where power purchase agreement we may get little benefit for those periods but you are able to assess 21:52 21 minutes, 52 seconds that those years okay but any reason you are not taking cognizance of the benefit in this quarter because other companies have uh 21:59 21 minutes, 59 seconds already accured that benefit. That's the reason I'm asking. 22:03 22 minutes, 3 seconds We have not taken cognition of those things. Okay. But is it a substantial amount? 22:09 22 minutes, 9 seconds I don't need a substantial amount. 22:13 22 minutes, 13 seconds Oh, got it. So the second question is uh what is the outlook for uh the sugar planting uh in Tamil Nadu sugar mills? 22:23 22 minutes, 23 seconds uh we have planted roughly about uh uh we are looking at about uh 10 to 15% increase in the planting. 22:34 22 minutes, 34 seconds Okay. And even the recovery is better right in the current year compared to the previous years. Uh we had a good upside on recovery. Yeah. 22:43 22 minutes, 43 seconds If your question is relevant to Tamil Nadu, we had about a.5% improvement in recovery and that I think is uh endemic 22:50 22 minutes, 50 seconds across multiple sugar units in TN because we have had a good weather dunal weather. Karnataka also had a good 22:58 22 minutes, 58 seconds upside in recovery. So those two are big positives for us. 23:04 23 minutes, 4 seconds And do you expect this momentum to continue the upcoming years? Do you see a increase in planting uh based on the previously good performance? 23:14 23 minutes, 14 seconds Tamil Nadu will be constrained because of uh uh attractiveness of the other crops. The government has been focusing 23:22 23 minutes, 22 seconds on paddy per se as you are aware. Having said that we look at a uh portion of improving from where we are in terms of 23:31 23 minutes, 31 seconds planting and also ex expect some upsides on recovery. 23:36 23 minutes, 36 seconds Okay. And lastly uh any word on this uh if the uh the fuel blending if it goes 23:43 23 minutes, 43 seconds beyond 20% so what would be the impact for uh uh please and particularly ADP par will be will we participate on the 23:51 23 minutes, 51 seconds upside and what what is your outlook on that? 23:55 23 minutes, 55 seconds uh any increase in the ethanol blending uh percentage would benefit the sugar industry and and our base assumption is 24:04 24 minutes, 4 seconds that government would want to support the sugar industry. Uh we will benefit by higher allocations in 24:12 24 minutes, 12 seconds Karnataka from the OMC's. Uh what it would translate is probably increase the capacity utilizations. 24:20 24 minutes, 20 seconds uh we as Mutu pointed out in the earlier thing we would have we have produced about 16 cr liters uh we would probably 24:29 24 minutes, 29 seconds tend towards 17 cr liters if there's a improvement in ethanol blending percentage 24:36 24 minutes, 36 seconds oh and lastly any word on MSP for sure you have heard anything 24:42 24 minutes, 42 seconds uh not really I think given the inflationary pressures uh uh that we uh that looks unlikely Okay, thank you so much. 24:58 24 minutes, 58 seconds Thank you participants. You may press star and one to ask a question. 25:15 25 minutes, 15 seconds Next question is from the line of Vanjan, an individual investor. Please go ahead. 25:22 25 minutes, 22 seconds The company has a grand vision of diversifying into a food company but uh other than sugar I don't see any growth 25:30 25 minutes, 30 seconds anywhere no significant operation either yet when do you think parry will turn 25:38 25 minutes, 38 seconds profitable actually yes sugar and refineries refinery sugar refinery has gone that is one big uh uh stone off the 25:47 25 minutes, 47 seconds neck but other divisions are also not showing much improvement. 25:54 25 minutes, 54 seconds Yeah. So, thank you uh thank you for the question. So, um maybe let me u let me start with your first the first point which you made in terms of product line. 26:04 26 minutes, 4 seconds It's largely sweetener focused. I think that is um obviously a core competency and that's how we've uh you know gotten 26:11 26 minutes, 11 seconds started on the CPG business. So, I think we are really doubling down. We have we're the we are the market leader there. I think it makes uh makes sense 26:20 26 minutes, 20 seconds to strengthen that position. Um we as you know launched into the staples category. We've recalibrated the 26:28 26 minutes, 28 seconds strategy there to focus on certain channels. Uh there's also uh more products on the sweet products and sweeteners realm which we are looking at. 26:37 26 minutes, 37 seconds Um I also spoke um in in response to an earlier question around newer categories which we're looking at which is ethnic 26:45 26 minutes, 45 seconds snacking as well as culinary convenience. So there certainly is a broader vision but you're right for now I think the um the revenues are really 26:53 26 minutes, 53 seconds focused around the uh the speed segment where we're consciously uh doubling down uh you know with the intent of 27:00 27 minutes strengthening the uh business model and strengthening the uh the margin margins on the business uh but over time uh and 27:07 27 minutes, 7 seconds I think doing so will enable us to really um uh attract that capital uh to grow uh the business out further. So I 27:16 27 minutes, 16 seconds think that's the intent uh from a CPG perspective. Now in a broader sense I think you have pointed out um you know 27:24 27 minutes, 24 seconds uh from a profitability standpoint um the refinery was of course a constraining um element we have 27:32 27 minutes, 32 seconds addressed it um there was some conversations around the TN operations and I would put AP into that as well 27:39 27 minutes, 39 seconds where Ken has been dwindling this has been a drag. uh so we're really running here for um u you know we are running very tightly on cost and efficiency so 27:48 27 minutes, 48 seconds over time I think we will have to manage this piece better uh bring cost down uh you know improve our working capital management uh to stem the losses which 27:57 27 minutes, 57 seconds are coming from this uh this segment uh I think our kanakar operations remain a very very critical and core area of 28:03 28 minutes, 3 seconds focus um they are uh you know very positive generating we've looked at the metrics and they certainly compare to 28:11 28 minutes, 11 seconds best-in-class in the industry and I think we will continue to focus on Karnataka which will drive the the core part of the company in terms of profits uh and cash flows. 28:23 28 minutes, 23 seconds I have two more questions significant questions. 28:28 28 minutes, 28 seconds Uh number one is whether you know like are we looking at acquisitions in the food business or snacking business to grow the product line. 28:41 28 minutes, 41 seconds So as I mentioned there are two areas of interest for us. One is ethnic snacking and culinary convenience and we are 28:48 28 minutes, 48 seconds working out how best to launch into these u these spaces. But I will reiterate that I think strengthening the 28:55 28 minutes, 55 seconds uh the current business model is very very important in order to build a stronger business model and also to attract uh capital for growth. This is really why we're focused on that. 29:06 29 minutes, 6 seconds The biggest concern for the Murapa group is that uh Coramandal and EAD Perry both have become vulnerable for takeover. 29:15 29 minutes, 15 seconds Uh look at Coramandal's uh market cap. 29:19 29 minutes, 19 seconds We hold 56% of it in EA Parry. Look at our market cap. 41% of the equity in AD 29:26 29 minutes, 26 seconds is held with public. Don't you think uh we are under a takeover attack? 29:34 29 minutes, 34 seconds So look, I mean uh yeah, so now I this is not something which um you know I uh I would like to comment on here. I think 29:42 29 minutes, 42 seconds we're here to really uh discuss the the e operations. 29:46 29 minutes, 46 seconds I'm sorry to interrupt sir uh your voice is breaking. Yeah. 29:54 29 minutes, 54 seconds Yeah. Um so sir to your question uh I think I will refrain from commenting on this because this is not really in the context of the uh discussions here uh 30:02 30 minutes, 2 seconds today uh which is really to focus on the a par operation don't add anything 30:09 30 minutes, 9 seconds I'm talking of a par survival sir par 40% held by 60% public so 56% 30:19 30 minutes, 19 seconds held by how can it be take over street anyway this forum is not put on that I don't think there is any such takeover 30:27 30 minutes, 27 seconds threat I don't know I think you know like a strong player acquiring some 30:34 30 minutes, 34 seconds considerable portion of the public equity can influence some insur in u 30:40 30 minutes, 40 seconds institutional investors to swing also and concern I'm talking out of concern 30:47 30 minutes, 47 seconds I'm not uh u casting as persons I'm worried about the ferry and it existence 30:55 30 minutes, 55 seconds that a concern for every public limited companies because as per se regulations only 25% should be held by the promoters 31:05 31 minutes, 5 seconds anyway if you are satisfied I have nothing to get worried about getting stronger sir we uh we're not concerned uh as you 31:14 31 minutes, 14 seconds know this promoter group has uh you know owned and run these businesses for a very long time we've seen multiple cycles we've also seen a very 31:22 31 minutes, 22 seconds challenging restructuring which you've just done of the refinery. Um so I think you know we are very very long-term players so we are not seeing a concern. 31:31 31 minutes, 31 seconds Um you're free to voice this uh but we're not seeing a concern but I as I said I would refrain from further discussing it here because we are here to talk about the ID performance. 31:42 31 minutes, 42 seconds As a shareholder I'm concerned about when we will resume paying the dividends. 31:49 31 minutes, 49 seconds So as I said sir I think we're working towards a strengthening of the business model. uh you have seen actions that 31:56 31 minutes, 56 seconds we've taken through the year and I think it's in our endeavor to strengthen the business operations 32:03 32 minutes, 3 seconds going forward or next year possibly 32:14 32 minutes, 14 seconds sir as I said I think it's in our endeavor to strengthen the business operations of the company going forward uh I I can't really give you any 32:21 32 minutes, 21 seconds timelines on Okay, 32:29 32 minutes, 29 seconds thank you. I remind you to all the participants, anyone who wishes to ask a question may press star and one. 32:55 32 minutes, 55 seconds Participants, you may press star and one to ask a question. 33:14 33 minutes, 14 seconds A final reminder to all the participants, if you wish to ask a question, please press star and one. 33:31 33 minutes, 31 seconds As there are no further questions from the participants, I now hand the conference back to the management for closing comments. 33:47 33 minutes, 47 seconds Thank you all for uh logging into the Q4 and FI26 conference calls. We look forward to connecting again uh at the end of Q1. 33:58 33 minutes, 58 seconds Thank you very much on behalf of Dam Capital Advisor Limited. That concludes this conference. Thank you all for joining us today.