Electronics Mart India Limited — Q3 FY26

Electronics Mart India Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=OctxMSgs_XM Published: 3 months ago

0:02 2 seconds Ladies and gentlemen, good day and welcome to Electronic Smart India Limited Q3 NFY 26 earnings conference 0:09 9 seconds call. As a reminder, all participants line will be in the listenon 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 and then zero on your touchtone phone. 0:27 27 seconds Please note that this conference is being recorded. This conference call may contain forward-looking statements about the company which are based on the 0:35 35 seconds beliefs, opinions, and expectations of the company as on the date of this call. 0:40 40 seconds These statements are not the guarantees of the future performance and involve risks and uncertainties that are difficult to predict. I now hand the 0:48 48 seconds conference over to Mr. Karan Baj, CEO and promoter. Thank you and over to you, sir. 0:57 57 seconds think we'll start with that. Good evening and a very warm welcome to everyone present on the call. Along with me, I am Mr. Premid Debra, our chief 1:04 1 minute, 4 seconds financial officer. We have uploaded our result and investor presentation for the quarter and 9 month ended 31st December 25 on the stock exchanges in the 1:11 1 minute, 11 seconds company's website. Hope everyone has a chance to go through it. 1:16 1 minute, 16 seconds The quarter began on a positive note with a festive season with Diwali falling in October alongside the implementation of the GST rate cut during the period. While our sales mix 1:25 1 minute, 25 seconds remained broadly in the same line with the same period last year, demand across categories particularly large appliances was supported by the GST deduction and further aided by festival consumption. 1:35 1 minute, 35 seconds Importantly, on festival to festive comparison, we delivered a robust growth of approximately 25%. Indicating a strong underlining demand. At the same 1:43 1 minute, 43 seconds time, we saw operating leverage play out resulting in an improvement in operating margins. Despite the continued additions of new stores overall uh the absence of 1:52 1 minute, 52 seconds a prolonged festive season we delivered a steady growth performance with the GST card providing an additional tailwind to consumption trends. During quarter 3 2:01 2 minutes, 1 second FI26 we added four new stores two in NCR region and two in Andhra Pradesh. I would like to highlight that our Andra Pradesh market has seen a strong 2:09 2 minutes, 9 seconds recovery delivering approximately 14% growth in quarter 3 and we continue to grow our market share. Over the last two years, we have added nearly 100 stores 2:18 2 minutes, 18 seconds which now accounts for approximately 50% of our total store portfolio. As a result, a significant portion of our network is relatively young and still in 2:25 2 minutes, 25 seconds the early stages of maturing yet to reach optimal throughput. Constantly fixed cost and such as manpower, marketing and promotional spends are not 2:33 2 minutes, 33 seconds yet fully absorbed while finance cost and depreciation remains elevated partly due to INDS 116 adjustment. 2:41 2 minutes, 41 seconds This has this has uh had a short-term impact on an overall profitability. As these stores continue to ramp up and move up the maturity curve, we expect 2:49 2 minutes, 49 seconds operating leverages to play out leading to a gradual improvement in profitability and ROEC as they mature. 2:56 2 minutes, 56 seconds To give a clear perspective on our store portfolio for 9 months FI26, we operate 219 stores out of which 83 stores are 3:04 3 minutes, 4 seconds over 4 years old and 136 stores are less than 4 years old. In the first 9 months of FI26, the matured store base generated product revenue of 3:12 3 minutes, 12 seconds approximately 3523 crores while the newer contributed to around 1528 crores. 3:19 3 minutes, 19 seconds From a profitability standpoint, the matured stores continue to demonstrate strong performance with an EBA margin of 7% whereas the new stores are currently operating an EBATA margin of 3%. 3:29 3 minutes, 29 seconds I would like to highlight our geographical performance. We witnessed a broad-based recovery in demand across our key clusters during this quarter. In quarter 3 FI26, our core market of 3:38 3 minutes, 38 seconds Hyderabad delivered a year-on-year revenue growth of 6.4% with SSG of 3.3% supported by the revival of real estate 3:45 3 minutes, 45 seconds projects across Hyderabad which has impacted performance in FI25s. In the Telangana market revenue grew at 2%, and Pradesh reported a strong performance 3:54 3 minutes, 54 seconds with a revenue growth of 18.2% and an SSG of 4.9%. 3:58 3 minutes, 58 seconds Lastly, our NCR cluster continued to scale up well recording a revenue growth of 30% along with an SSG of 7.1%. 4:06 4 minutes, 6 seconds Turning to cluster wise profitability, we continue to maintain a healthy AITA margin of around 6% in our southern cluster despite 70% of our new stores 4:14 4 minutes, 14 seconds being added across and Pradesh and Telangana in the past 2 years. We are also pleased to share that our NCR operations remain a bit positive on a 9-month basis delivering an AITA margin 4:23 4 minutes, 23 seconds of around 0.5% translating to around 2 cr rupes. This performance would have been stronger for the 9 month ended that if we have experienced normal summer 4:30 4 minutes, 30 seconds season up north. We expect margins in the region to improve further as we continue to enhance store level throughput which will drive better absorption of fixed costs such as manpower marketing rentals. 4:41 4 minutes, 41 seconds Moving to category specific performance in terms of contribution larger appliances accounted for around 42% revenue in quarter 3 FI26 and around 43% 4:50 4 minutes, 50 seconds in the 9 months FI26. A positive trend we are observing at the store level following the DSC reduction is a gradual 4:57 4 minutes, 57 seconds shift in consumer preferences toward large televisions and high value appliances such as front loading washing machine and dishwashers. 5:06 5 minutes, 6 seconds Notably washing machines were demand uh had remained stagnant over the last four quarters registered a growth of approximately 11% during the current 5:14 5 minutes, 14 seconds quarter. We are also seeing uh an increased action in new categories such as dishwashers, air coolers and other categories. This growing presence of 5:22 5 minutes, 22 seconds premium products has helped us sustain our average selling price during quarter 3 FI26. 5:27 5 minutes, 27 seconds Coming to the mobile categories, mobile contributed to around 42% of our total revenue in both quarter 3 FI26 and the 9 months of FI26. The mobile phone segment 5:35 5 minutes, 35 seconds recorded a growth of approximately 10% in quarter 3 FI26. Looking ahead, we believe that the category is entering the next stage of demand driven by upcoming technologies, upgrades, and 5:44 5 minutes, 44 seconds feature enhancements. Several OEMs are actively working on the next generation AI enabled devices which we expect will 5:51 5 minutes, 51 seconds further stimulate consumer interest and support growth in both ASPs and volumes. 5:56 5 minutes, 56 seconds This positions us well to benefit as the replacement and upgrade cycle gains momentum. We believe the broader environment remains supportive. GST 6:04 6 minutes, 4 seconds rates have become down and the government also reduced income tax laps previously which is expected to boost disposable income. Together, these factors are likely to create a 6:12 6 minutes, 12 seconds compounding effect on consumption and drive long-term structural demand for consumer durables. Several categories in our portfolio continue to remain unpenetrated, often significant growth 6:21 6 minutes, 21 seconds potential. As our newly opened stores mature and reach steady state performance, we expect margins to progressively normalize setting a strong 6:28 6 minutes, 28 seconds foundation for sustained and profitable growth in the years to come. With this, I request Mr. Princess Draonda, our CFO, to update you on the financial performance. Thank you all. 6:39 6 minutes, 39 seconds Thank you Karan sir. Good evening and warm welcome to all the participants. 6:44 6 minutes, 44 seconds Now moving on to the financial performance of Q3 and 9 months of FI26. 6:51 6 minutes, 51 seconds First I would like to start with Q3 FI26 performance. Our revenues for the quarter stood at rupees 1939.7 7:01 7 minutes, 1 second cr versus rupees 1805 cr in Q3 FI25. a 7:07 7 minutes, 7 seconds growth of 8%. EIA for Q3 FI26 stood at rupees 119 cr versus 102 crores in Q3 7:18 7 minutes, 18 seconds FI25 witnessing a growth of 17%. EITA margin for Q3 FI26 stood at 6.1% versus 5.6% of the last year. 7:31 7 minutes, 31 seconds Pre-index AIA uh for Q3 FI 26 stood at rupees 82 crores with a margin of 4.2%. 7:44 7 minutes, 44 seconds That including exceptional items for Q3 FI 26 stood at rupees 30 cr. Same store sales growth for Q3 FI26 was 2.54%. 7:56 7 minutes, 56 seconds Now moving on to 9 months of FI26 financials. Our revenues for 9 months of 8:04 8 minutes, 4 seconds FI26 stood at rupees 5270 crores versus 5067.1 cr in 9 months FI25 a growth of 4%. 8:16 8 minutes, 16 seconds AITA for 9 months FI26 stood at rupees 311 crit margins for 9 months FI 26 stood at 5.9%. 8:27 8 minutes, 27 seconds Pre-index AITA for 9 months FI26 stood at rupees 204 crores with a rate of 3.9%. 8:37 8 minutes, 37 seconds Pat including exceptional items for 9 months FI26 stood at rupees 67 cr 8:44 8 minutes, 44 seconds for 9 months FI26 trips stood at 0.19%. 8:51 8 minutes, 51 seconds ROC and roe on an annualized basis for 9 months FI26 stood at 11% and 5.8% 9:00 9 minutes respectively. The working capital days as on 31st December 25 stood at 60 days. 9:07 9 minutes, 7 seconds Pre-index cash flows from operations as on 31st December for the 9 month period 9:13 9 minutes, 13 seconds stood at rupees 500 cr. With this now I open the floor for question. Thank you. 9:22 9 minutes, 22 seconds Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone 9:29 9 minutes, 29 seconds telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a 9:38 9 minutes, 38 seconds question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. 9:48 9 minutes, 48 seconds The first question is from the line of Adita Bhartya from Invest. Please go ahead. 9:55 9 minutes, 55 seconds Um, hi good evening sir. So my first question is on uh SSSG growth in uh in 10:01 10 minutes, 1 second up country Telanga uh wherein it appears to be uh uh a little on the weaker side. 10:07 10 minutes, 7 seconds I think there's been a slight decline on an SSSG basis. Uh and uh even uh I mean from a slightly longer term perspective 10:14 10 minutes, 14 seconds we are not really seeing that business scaling up that that part of the business scaling up uh very sharply. uh so what's the outlook uh uh in in that 10:23 10 minutes, 23 seconds region and uh what what do you attribute uh the SSSG decline to hi uh so if you actually look at the 10:31 10 minutes, 31 seconds number uh it is uh when we look at category wise sales or if you look at the overall number firstly the revenues are up but with a marginal 2% up 10:40 10 minutes, 40 seconds including the new six seven stores that we opened up compared to last year quarter three uh but if you look at the overall demand uh there there's a little 10:49 10 minutes, 49 seconds slowdown So I would not attribute or you know be at uh uh uh you know uh a spot 10:57 10 minutes, 57 seconds where you know we won't things are under control we are not losing market share you know how's the productivity person going on so if you look at the overall 11:05 11 minutes, 5 seconds sentiment of the market is a little weaker compared to the other cluster that we operating in today so I would attribute that uh deg growth to that but 11:13 11 minutes, 13 seconds if you look at overall number uh there was a good positive sign uh in January as well uh in that cluster uh uh and 11:20 11 minutes, 20 seconds this is uh predominantly the other categories the cooling products start is not started yet at the full pledge but looking at the big days of January 11:28 11 minutes, 28 seconds looking at the festival there of Srantri Pongal and the 26th of January did really perform well there uh so I think 11:37 11 minutes, 37 seconds uh it is a matter of time so we will definitely see a positive SSG in the quarter four there 11:46 11 minutes, 46 seconds perfect uh and my next question was on on on the demand trends that you are seeing uh in in January um pretty much 11:54 11 minutes, 54 seconds across the country uh and and how things shaping up between north and south uh uh clusters in in in in January. 12:02 12 minutes, 2 seconds So uh things look good for now. No complaints. I think we have finished the bad quarters that we had in the last financial year. Uh and I think we're really looking for the positive upside 12:11 12 minutes, 11 seconds coming in the coming quarters. uh especially with the AC base being or the cooling product base being quite low uh in the last quarter the last few 12:19 12 minutes, 19 seconds quarters I think the coming summer quarters are going to be good so no complaints of that we already started buying and you know started uh sheling 12:28 12 minutes, 28 seconds our stores with uh the newer inventory for the new rating as well so I think we are quite optimistic on the upcoming season 12:36 12 minutes, 36 seconds perfect sir thank you thank you thank you thank Thank you. Participants who wish 12:43 12 minutes, 43 seconds to ask a question may press star and one at this time. 12:48 12 minutes, 48 seconds To ask a question, please press star and one. Now the next question is from the line of 12:57 12 minutes, 57 seconds Sedat S from Vita Mani. Please go ahead. Sedhhat, you can go ahead. 13:06 13 minutes, 6 seconds Hello. Thanks a lot for the opportunity here. So I would just like to understand that you know this could be an you know uh previous you know two three quarters 13:15 13 minutes, 15 seconds and I'm just taking you through the you know previous two three quarters. So it was said that you know since there was a lot of you know credit scrutiny going around there was a lot of you know uh 13:23 13 minutes, 23 seconds issues or the sanctions of the credits that was you know issued as a proportion of 100 was going lower because banks were rejecting a lot of you know uh what 13:32 13 minutes, 32 seconds do you say the the EMI eligibilities of customers due to strict underwriting policies. Just wanted to understand how is the you know uh how is the outlook on 13:41 13 minutes, 41 seconds that or how is it you know going on right now because most of the credit most of the sales that's being you know done or you know sanctioned by you is 13:48 13 minutes, 48 seconds going to be credit scales only and this could be an important factor you know impacting the sale. We just want to understand uh that note and uh how would 13:58 13 minutes, 58 seconds the you know uh since you since you guys have been on you know and you know very good of you know expansions and there has been a lot of expansion that's been 14:05 14 minutes, 5 seconds you know going on how would you give us give us an outlook in terms of you know how the future expansions is going to be and uh when are these stores 14:13 14 minutes, 13 seconds respectively you know going to contribute to the you know revenues respectively as majority of the stores right now are nonmaturity stores. So 14:22 14 minutes, 22 seconds correct. Hi. Uh to answer your first question, uh usually every year after the two big seasons of festival and the summer season, we would see a little 14:30 14 minutes, 30 seconds slowdown uh in approval rate from the NBFCs. Uh that is a normal trend in industry. So definitely after Diwali, we did see that trend going a little slower 14:38 14 minutes, 38 seconds but then it usually once like the Christmas days always starts off well and now they are you know they already would get ready with the upcoming summer 14:47 14 minutes, 47 seconds season. So that is a trend that we see always where the approval rates go a little lower not too low but uh uh you know I think going back again to the 14:56 14 minutes, 56 seconds summer coming upcoming season we'll have a higher approval rate coming back on all through all the NBFCs so that is how it works for them and uh for your second 15:05 15 minutes, 5 seconds question on future expansion uh currently uh we are looking at opening the set number of stores in NCR AP and 15:13 15 minutes, 13 seconds Telangana that are lined up already in the pipeline yet to open up So by uh 31st March or maximum second week of 15:21 15 minutes, 21 seconds April, we'll have additions of new stores in this geography which were already under construction or already for which we've signed up and uh as we 15:29 15 minutes, 29 seconds stick to our plan of further expansion into a new territory that probably after the quarter one is when we would venture out into the new geography that we are 15:38 15 minutes, 38 seconds currently uh you know looking into could be Orisa, could be western UP and some of the newer markets are exploring right 15:46 15 minutes, 46 seconds now. So between me and the teams we are looking at um a further uh newer cluster that we will definitely add up uh in 15:53 15 minutes, 53 seconds probably the quarter two or the quarter three of FI27. 15:57 15 minutes, 57 seconds Okay. Okay. Got it. So I just I just get some clarity on this. I just have to follow questions on the you know same right. So the next thing would be a 16:05 16 minutes, 5 seconds majority of you know makes up you know it is made up of you know white goods and electronics. So the thing is that 16:12 16 minutes, 12 seconds you know when we you know look at AC as in you know uh good in terms of the sales they there is some reports or there there is some studies suggesting 16:21 16 minutes, 21 seconds that this summer is not as sought as it is expected to be in the you know previous years going ahead. How would you think you know that would impact the 16:29 16 minutes, 29 seconds ACC of the company in general or what is your outlook from you know on uh you know as an opinion of yours or something? So that's one question from 16:37 16 minutes, 37 seconds my end. The next thing is that there is a lot of uh talks going around in terms of you know the increase in RAM prices which going to which is going to 16:44 16 minutes, 44 seconds translate into a higher uh say you know final sale price of the you know mobiles and other electronics since electronics also makes up a huge mix of your you 16:52 16 minutes, 52 seconds know uh books at the moment sales books at the moment. What do you think is going to be the impact in general uh that that can be attributed to the price 17:01 17 minutes, 1 second increase in the electronics and uh slower than expected you know uh summer uh this quarter which will essentially 17:08 17 minutes, 8 seconds how can it have an impact on the AC sales as well. 17:12 17 minutes, 12 seconds Okay. So uh uh I wish what you said is not true that the summer sales are not going to be good. Uh let's not hope for 17:20 17 minutes, 20 seconds that. But what we experienced last year in the quarter 1 or say mid of March we got the flavor of uh the weather not 17:28 17 minutes, 28 seconds supporting us for the season. Uh but uh being that being a low point I would still put in the base at that level and 17:37 17 minutes, 37 seconds expect at least some growth from that number from there on. I think if that is also delivered at a higher number from the last year's base I think we're 17:45 17 minutes, 45 seconds sorted. We don't need to look at a 70 80% kind of a jump right. So we are still optimistic on the category because the penetration is still very low. Uh 17:52 17 minutes, 52 seconds the new rating has also come in. We don't see a drastic increase in pricing from the AC brands. It is a nominal price increase and that to get mitigated 18:00 18 minutes with the EMI offers and the cash back that the brand provide during the summer period. So I think we're looking at an 18:06 18 minutes, 6 seconds optimistic sale and we are ready to you know go ahead for the season and we've aligned our inventory accordingly so 18:14 18 minutes, 14 seconds that you know sorry just to start with that so you're also cost to in terms of how the underwriting is going to be from the 18:21 18 minutes, 21 seconds NBFCs and banks right coming up on the you know quarters as well. Yeah. Yeah. 18:27 18 minutes, 27 seconds Absolutely. So, so the NBFCs are also ready. So, so currently all the NBFCs that you work with IDFC, Badacher, SDB, so all are lined up and get up for the 18:35 18 minutes, 35 seconds season as well. So, uh you know, so they're also looking forward because uh cooling products on a whole contributes to a bigger book size for them as well. 18:44 18 minutes, 44 seconds Yeah. Yeah. Correct. So, you expect them to have some softer underwriting colleges in general unlike how it was you know multiple quarters. Absolutely. Absolutely. 18:52 18 minutes, 52 seconds Yeah. Yeah. Got it. So, I did get some. 18:54 18 minutes, 54 seconds So in general you're also positive on how the AC sales is going to roll out in general considering the fact that you know we're not going to hopefully not 19:02 19 minutes, 2 seconds see you know worse season in terms of the you know slowdown in the AC segment. 19:07 19 minutes, 7 seconds Correct. Correct. Correct. Because January is not high last year but the January also seen a positive uptrend in the category. uh you know but last year 19:16 19 minutes, 16 seconds if I actually attribute the AC sale in quarter 4 it was majorly uh February and couple of weeks in the March month that 19:23 19 minutes, 23 seconds did well but then after that after March 20th we definitely saw a downfall up till May so usually that is the peak 19:31 19 minutes, 31 seconds season for us for AC sellout AC and cooling product sellout but hopefully this year uh we do though we might have a longer winter in place but so we 19:40 19 minutes, 40 seconds expect a longer summer going forward or at least summer with no range in between. 19:47 19 minutes, 47 seconds Got it. Got it. Got it. Next, as a followup, as I you know, already re I just like to reiterate on the question of how do you feel the you know RAM prices which as an expectation they're 19:56 19 minutes, 56 seconds saying the mobile and the electronic prices in general is expected to go by 8 to 10%age and there's a lot of you know proxy companies and the companies which 20:03 20 minutes, 3 seconds is you know directly you know that can be impacted where the you know sales is expected to see some slowdown. How do you view that and uh what is your 20:10 20 minutes, 10 seconds outlook in general of how how we going to navigate or how the numbers are going to play out for the electronic segment in general? 20:18 20 minutes, 18 seconds Right now we don't see a drastic change in the pricing from any OEMs right now. 20:23 20 minutes, 23 seconds It could be a minuscal change going forward but as I told you earlier EMI schemes are available after 24 months. 20:29 20 minutes, 29 seconds Brands are forwarding that there are cashback offers. There are one EMI off, two EMI off coming in from the OEMs as well. So eventually the price is going 20:37 20 minutes, 37 seconds to be in line with what it is currently operating at. So there would be a major jump there as well because a lot of these OEMs do absorb the cost as well. 20:44 20 minutes, 44 seconds So not necessary that they always keep on increasing the price to the end consumer. 20:49 20 minutes, 49 seconds Okay. Okay. Okay. Understood. So in general it's expect it is also expected to have a good view. And uh just to catch you on the last point there, 20:57 20 minutes, 57 seconds you're also saying that apart from the soft underwriting there is also a lot of you know uh customer friendly uh policies that's going to come up like cash back and lot of you know offers in general to incentivize the customer. 21:08 21 minutes, 8 seconds Absolutely. So until there is a new technology change for example if it is like a 4K technology moving toward 8K you know or something better in any 21:15 21 minutes, 15 seconds phone devices with the AI coming in. So if there is a new add-on on the technology definitely the price goes up but apart from that there is no uh price increase for a light to light product. 21:25 21 minutes, 25 seconds Yes. No I just asked it on the front of you know the memory and RAM price which is the existing same technology of you know uh electronics just upgrading due 21:34 21 minutes, 34 seconds to the you know RAM price hike in general which was you know observed and which is a hot talk that is going around in market. So yeah I get 21:43 21 minutes, 43 seconds definitely sure understood as a last question I'd like to know which are the major NBFC's partners or you know major bank partners 21:50 21 minutes, 50 seconds that you guys are tied up with and in terms of who basically you know let let's take account of funded and uh you know there is going to be critic sales 21:58 21 minutes, 58 seconds of you guys in general which NBSC or banks takes up the major you know uh major portion of the customers of yours 22:07 22 minutes, 7 seconds who are avail for the EMI service engine as a mix I'd like to understand that for some better clarity that so the NBFC that are prevalent in our 22:15 22 minutes, 15 seconds industry consumer durables are bad out they're the biggest players so our share or any retailer share is in line with 22:23 22 minutes, 23 seconds what they are as market leaders number one number two would be IDFC uh then 22:29 22 minutes, 29 seconds would be HDB ICI and you know TVS finance especially for mobile phones in a few of the markets So that IDFC is 22:38 22 minutes, 38 seconds not present in a lot of our country stores for example. So then it is where it is Bajage and HDB TVs you know. So it all depends on the market rejob these 22:45 22 minutes, 45 seconds NDFCs would have but predominantly the four five companies that are prevalent in the market across all all retailers. 22:52 22 minutes, 52 seconds Okay. Okay. Can you just take me through who that SDBs? I I'm unaware. I'm unaware of all the other parties of HDFC Bank. HDB is a subsidiary of HDFC Bank. 23:03 23 minutes, 3 seconds Oh okay. Okay. Okay. Got it. Got it. 23:05 23 minutes, 5 seconds Sure. Sure. Okay. So yeah, so thanks a lot of thanks a lot for the clarity product from your end and uh I'm looking 23:11 23 minutes, 11 seconds forward you know for the upcoming uh I mean you know business to go well and yeah hopefully it is expected to do so. 23:18 23 minutes, 18 seconds Thank you. Thank you. Just pray for pray for the summer to go well. Sure. Definitely. Thank you. 23:25 23 minutes, 25 seconds Thank you. The next question is from the line of Aves Bakshi from Sundar Sundaram Mutual Fund. Please go ahead. 23:34 23 minutes, 34 seconds Hi sir, thank you for taking my question. Am I audible? Yes please. 23:39 23 minutes, 39 seconds Uh sir, just first question on the pricing side. Uh you mentioned that the newb pricing are in. So what's the differential sir right now versus the earlier SKUs? 23:50 23 minutes, 50 seconds Uh I think I think it's not much. It is it is like one 2% plus or minus not more than that. 23:56 23 minutes, 56 seconds Okay. Uh so just one uh you know follow up here. Given that the price differential is not much versus others uh wouldn't it somewhere affect the sale 24:05 24 minutes, 5 seconds of existing uh you know nonbe products in our portfolio what's your sense of so uh so like so if the difference on 24:14 24 minutes, 14 seconds pricing is not much but the rating and you know so if you're comparing it the lineup right now is still in the 24:21 24 minutes, 21 seconds transition of having a complete range of the new be rating on the storefront because it is hardly a month in because the production plus the the stock are 24:30 24 minutes, 30 seconds not completely available across all brands. So so and then we also are left with some older inventory. So we started buying the newer ones now but we are left with some older inventories also. 24:40 24 minutes, 40 seconds So by say uh and the summer season is not picked up yet. So if I look at second week of March that is when we'll 24:47 24 minutes, 47 seconds have a complete transition of the newer models on the floor store front. So by then it'll be hardly you know left with some 10 20,000 units that we'll uh sell through the summer period after that. 24:58 24 minutes, 58 seconds Okay. And so just one question here on the overall inventory. What would be the AC inventory right now uh in our system? 25:06 25 minutes, 6 seconds Right now AC we've already picked up for the season, right? So we are already at the same current levels of usually what we would have for our beginning of 25:12 25 minutes, 12 seconds summer season. Uh so a little upwards of uh 300,000 units. 25:20 25 minutes, 20 seconds No, sorry. One second. No. Uh one second. One second. 25:30 25 minutes, 30 seconds Yeah. So, in terms of units, we are around 250,000 units ready for the summer season. 25:36 25 minutes, 36 seconds 250,000 units. Got it. And this will be more or less the older uh uh non norms, right? 25:46 25 minutes, 46 seconds Sorry, sorry, I didn't get your question. 25:48 25 minutes, 48 seconds These these uh 250,000 units, this will not be the new PE normal, right? This would be no almost 50% of this inventory is the new rating. 25:59 25 minutes, 59 seconds Okay, understood. Uh also just one more question in terms of discounting intensity this quarter, what was the status coming in from say the September quarter to December? Any changes there? 26:11 26 minutes, 11 seconds Sorry, I didn't hear you. Can you repeat your question please? 26:13 26 minutes, 13 seconds Sure. In terms of discounting intensity, September we had a higher instant of discounting right given the GST etc. So 26:20 26 minutes, 20 seconds is that continued in December or that intrinsically a cool offer? 26:26 26 minutes, 26 seconds Not no. So uh that was up till the Diwali would end up probably the first week of October that's when Diwali ended 26:33 26 minutes, 33 seconds up and then after that we did see a increase in pricing again or the discounting was reduced to the minimal during that period again. 26:42 26 minutes, 42 seconds Understood sir. Those were the questions from my end. Uh thank you. Thank you. 26:48 26 minutes, 48 seconds Thank you. Anyone who wishes to ask a question may press star N1. The next question is from the line of Dwanchu Bansel from MK Global. Please go ahead. 26:59 26 minutes, 59 seconds Yes. Hi Karan. Uh thanks for the opportunity. Uh Karan uh Hyderabad uh cluster has seen a good pick up over 27:07 27 minutes, 7 seconds last couple of quarters. So wanted to check uh what is the confidence on sustainability of this uh growth uh uh 27:14 27 minutes, 14 seconds for this cluster. uh you did mention that uh some of the real estate projects are picking up but uh if you could give some confidence on the sustainability of this trend. 27:26 27 minutes, 26 seconds Uh hi. So uh uh if you look at definitely there's no store edition in this cluster much. You know we've already captured the market here. Uh the 27:34 27 minutes, 34 seconds market would organically grow from here on but uh the newer product categories like dishwashers you know audio has picked up here. A series are doing 27:42 27 minutes, 42 seconds really well. The attachment has definitely gone up especially in mobile phones and televisions and post the cut down on GST we have definitely seen an uptrend on the sellout on televisions. 27:52 27 minutes, 52 seconds So looking at that number I think uh going forward but not a big uh jump from here on I think it will be in line with what the numbers are for these clusters. 28:00 28 minutes SG would remain under 3 4% kind of a number. Uh so I think uh that on such a big base that kind of an SSG with without new store opening all mature 28:08 28 minutes, 8 seconds stores I think it is a good sign that you know it is sustainable for the coming quarters as well. 28:14 28 minutes, 14 seconds Fair enough. Fair enough. And from uh Delhi perspective sir uh the growth is uh a tad lower right 7 8% SSG while uh 28:23 28 minutes, 23 seconds this cluster particularly should see very high SSD right just because the majority of source is relatively uh 28:30 28 minutes, 30 seconds lower uh what's your expectation from this cluster uh maybe going into FI27 what what is the kind of growth minimum 28:39 28 minutes, 39 seconds we should see in this cluster so uh if you actually see Delhi would also have an extended uh uh you know 28:48 28 minutes, 48 seconds cooling product sale which we didn't see this year at the level that we would see in the previous year would attribute a little uh SG growth slowdown to that as 28:56 28 minutes, 56 seconds well but overall if you see our contribution on the premium is definitely increasing there the ASPs are going up the ticket sizes are going up 29:04 29 minutes, 4 seconds uh Y on Y and especially for the new stores that we opened up are in the major clusters like Janakpuri Pamura uh 29:12 29 minutes, 12 seconds and GF coast road so I think In Faridabad we opened a store recently. So uh so the new stores that are there actually are more prevalent in more 29:20 29 minutes, 20 seconds bigger clusters. Uh so the SG that you see a drop in especially for older markets like you know Dagans, Karol B or 29:28 29 minutes, 28 seconds in Punjabi bag where the market size is not increased much you know because there all there's no new construction in that area. So the market size remains 29:36 29 minutes, 36 seconds muted there uh the growth in the market size. So overall I think if you look at the number it is up by 30%. But I think 29:43 29 minutes, 43 seconds uh in the coming quarters you'll definitely see a higher uh uh growth coming in from this region because on a daily level when we look at the sales say January also did very well for us in 29:52 29 minutes, 52 seconds that cluster or every weekend that we look at the sales from every productive store it's growing by on so we're quite impressed on the growth coming in but 30:00 30 minutes definitely Delhi would need another year or so to stabilize further uh and at the same time a good summer season would boost the sales from there on because it 30:08 30 minutes, 8 seconds would create a huge customer base for us during the summer period as well. 30:12 30 minutes, 12 seconds So just to better understand are you indicating that maybe FI27 would also be like a a break even kind 30:20 30 minutes, 20 seconds of a year for Delhi market or we will see some kind of a profitability uh in in definitely we will we will definitely 30:27 30 minutes, 27 seconds see a profitable FI27 in Delhi but what I was suggesting was that if you have a great summer in that region then you will see a a better profitable margin for that cluster. 30:39 30 minutes, 39 seconds Fair enough. Fair enough. And sir uh lastly I noticed that uh the inventory levels are about 15 days higher uh 30:46 30 minutes, 46 seconds versus last year. Uh you did mention that you stocked up for the upcoming season but uh that would be the case 30:53 30 minutes, 53 seconds last year as well right. So uh I wanted to check as in uh because in the channel also every player would be having higher 31:01 31 minutes, 1 second inventory uh this time around. So uh any u uh opinion in terms of say competitive 31:09 31 minutes, 9 seconds intensity uh from sale of uh these cooling products uh in the upcoming season can that impact uh our margins uh to some extent? 31:21 31 minutes, 21 seconds So the margins uh just to answer your first question yes uh you would definitely see an increase in number of days of inventory uh but uh you know 31:29 31 minutes, 29 seconds that is in line with what we had planned especially with the television stocks because we picked up a lot of uh television stocks post Diwali as well 31:36 31 minutes, 36 seconds because the sellout was good and uh we were seeing uh of course a drop in GST uh there was a shortage of the stock so we had to pick up a little more stocks 31:44 31 minutes, 44 seconds there and definitely yes we were sitting on a higher inventory of uh air conditioners uh but compared to that particular year quarter on the uh in 31:53 31 minutes, 53 seconds FI25 we would not see uh you know the inventory of ACS at that level. So ACS of inventory were lower but the purchase would start off in January or so. So 32:01 32 minutes, 1 second that is why you would see uh that number coming in quarter 4 rather than quarter 1 for cooling products. So uh so this 32:08 32 minutes, 8 seconds would include a little bit of uh ACS that were still stuck from the summer of FI25 quarter 1. 32:18 32 minutes, 18 seconds No. Anything on the competitive intensity sir? Do you foresee there may be some extra discounts that we may have to offer uh to liquidate? 32:25 32 minutes, 25 seconds Absolutely not. So that is in line. So that is in line. So whatever wherever it is needed to discount especially to liquidate the stocks of ACS that we whatever support we got additionally from the brand is what were passed on. 32:36 32 minutes, 36 seconds So we didn't go ahead and discounting a lot from our end 1% here or there in terms of gross margin for that product category but everything else remains intact. 32:44 32 minutes, 44 seconds I know. So just to summarize uh so FI27 ideally if summer goes well should see return of double digit growth in the 32:53 32 minutes, 53 seconds business right hopefully hopefully okay okay fair enough thank you 33:01 33 minutes, 1 second thank you thank you the next question is from the line of Ankit Kadia from Philip Capital please go ahead 33:10 33 minutes, 10 seconds uh color you mentioned that you know festive saw 25% growth but exfestive uh the growth would have been uh pretty 33:17 33 minutes, 17 seconds much flat or low single digit. So what happened in X festive days that the growth was so dismal while in festive is 25% growth if I add quarter to quarter 3 together. 33:27 33 minutes, 27 seconds So uh so firstly there was see there was 9 10 days of split between uh quarter 2 and quarter 3 in terms of the festival 33:35 33 minutes, 35 seconds sale. Dera up to Navaratri and all went up to the quarter 2 whereas the beginning of Dera till Diwali was in 33:42 33 minutes, 42 seconds quarter 3 and by the first week of November we were done with the season. 33:47 33 minutes, 47 seconds So post that November definitely saw a huge drop uh you know which we usually see. So it was not no surprise to us but 33:55 33 minutes, 55 seconds uh the recovery which was say two weeks or 3 weeks down of slowdown of sale went up to almost second week of December that's when we started seeing an uptrend 34:04 34 minutes, 4 seconds coming back again and then the Christmas and uh new year sales were really fantastic. So that why that is what you would see usually as a trend but there 34:13 34 minutes, 13 seconds were no external factors for us to push the sales back especially after uh uh the festival period when they grew at 25%. And the offers were really great. 34:21 34 minutes, 21 seconds So they were really on the televisions and appliances as a categories. They were a huge discounts, cashbacks, freebies, 34:29 34 minutes, 29 seconds offers from the manufacturers which ended up by the first week of November. 34:32 34 minutes, 32 seconds Right? So definitely you would see a lot of free pawn sale also getting booked during that period for the offers that were on the floor from the 34:40 34 minutes, 40 seconds manufacturers. So these are these are normal trends. uh but uh but I think uh the recovery was a week later 10 days 34:48 34 minutes, 48 seconds later in uh November December transition and picked up after second week of December that's when we saw the uptrend in uh all categories pushing up to the 34:56 34 minutes, 56 seconds first week of January but even quarter 2 quarter 3 together is just 12% growth right uh and if festive 35:04 35 minutes, 4 seconds is 25% growth that to because of the GST push which came in uh and uh you know going forward if summers is just normal 35:13 35 minutes, 13 seconds and not uh very harsh. Uh do you think double digit growth rate can come back? 35:20 35 minutes, 20 seconds So if you look at the trend that is going on right now, there is nothing that is going to stop us from that or the market trends that would have seen for quarter 1, quarter 2, quarter 3, 35:28 35 minutes, 28 seconds FI25 versus what we anticipate going forward is quite positive than what has happened in the past. And as and if I look at the base on the cooling product 35:37 35 minutes, 37 seconds categories uh Feb and March last year uh was you know very normal sale that I would look at that is very organic that 35:45 35 minutes, 45 seconds we would do uh rather than you know not attributing it to a double digit or a higher number of growth uh because if I 35:53 35 minutes, 53 seconds break up and give you that number January last year was 38 crores February was 104 crores March was 168 crores so 36:00 36 minutes it was around 340 350 odd crores in quarter four which we see that that's going to definitely grow on uh in the 36:07 36 minutes, 7 seconds quarter four this year and going forward you know April was really bad again and there was no sale practically in May and June again in quarter 1 last year so I 36:17 36 minutes, 17 seconds think we're quite positive uh and same thing with regulators or air coolers they were practically uh you know next to zero in terms of what we would 36:25 36 minutes, 25 seconds deliver during that period so we're quite optimistic on how the season is going to pan out but this time a little cautious on inventory pile up so that 36:32 36 minutes, 32 seconds you know even if the season goes at a double digit growth we still don't need to uh you know suffice our need for uh high inventory risk that we had uh 36:42 36 minutes, 42 seconds throughout the fi 25 year my second question is on the Delhi market it's been 3 years for the first 36:49 36 minutes, 49 seconds six stores which we open uh right uh or we will complete 3 years now uh when do you think uh would be the right 36:58 36 minutes, 58 seconds trajectory for us to achieve company level margins uh from a Delhi market perspective. I'm not looking at the full break even because obviously you're 37:06 37 minutes, 6 seconds continuing to expand stores in the region but at least uh the earlier stores which we have opened the first 10 12 stores where do you think they can break even? 37:15 37 minutes, 15 seconds Uh so the uh so if I look at those numbers they're quite quite optimistic and quite positive on the the throughput that you would expect from them. uh so I 37:24 37 minutes, 24 seconds think if you look at uh I think if if we do this same question at the end of quarter 1 I think we'll have a better answer for this because we'll have a 37:32 37 minutes, 32 seconds good summer and hoping that the Delhi is going to have a good summer this year you know then we'll have a you know we'll understand how the contribution of cooling product in Delhi as a market can 37:40 37 minutes, 40 seconds change the whole game compared to what it happens in the southern market so the throughput is going to be you know surprising the need for a few quarters there so that is how it's going to be 37:49 37 minutes, 49 seconds and hopefully by quarter two fi27 we should see that numbers going up in terms of profitability from that region. 37:58 37 minutes, 58 seconds So from a store economics perspective earlier you had clearly mentioned that it takes 3 years for the store to break even right or uh and more than that 38:07 38 minutes, 7 seconds actually to achieve company level margins. Now do you think as a unit economics given the competitive intensity and the season change which is 38:14 38 minutes, 14 seconds more frequent now and dependence on season change is much higher do you think that unit economics doesn't hold true today for the new stores opening or 38:23 38 minutes, 23 seconds you still stick your neck out and say no in three years for the new stores we can even company level margin we stick to the same concept and the same numbers 38:32 38 minutes, 32 seconds are they still prevalent if you look at the numbers if I break down Delhi in terms of the first 6 to8 stores that we opened up uh you August 22 they are in 38:41 38 minutes, 41 seconds line with you know the same number but then the attribution majorly in Delhi as a region if you look at comes at the depreciation and interest level because 38:49 38 minutes, 49 seconds the cost is a little higher because we did a lot of capital investment in buying out properties there but if I look at the sole level EITA or if I look at the so-le performance for these 38:57 38 minutes, 57 seconds stores the store economics for these set of eight stores in fact the other ones that we opened up also are showing up results much sooner than expected so you 39:05 39 minutes, 5 seconds know uh so the burn is much lesser the marketing cost is all divided absorbed between all the stores. So if I look at the revenue going up there, it is a 39:12 39 minutes, 12 seconds matter of the delta coming through which is which definitely you will see not only for the set of eight stores which are 3 years old but even for the newer 39:20 39 minutes, 20 seconds ones that we recently opened up in the coming quarters. 39:24 39 minutes, 24 seconds Sure. Uh Kin I don't know if you answered this question on stores opening uh I joined late. I just wanted to know uh for this year and for next year what 39:32 39 minutes, 32 seconds is the store opening guidance we are giving? 39:36 39 minutes, 36 seconds So this year uh this quarter we've ended up opening another four more stores. Uh so the store count definitely from 219 39:44 39 minutes, 44 seconds will by if I if I finish the making of the stores which summer is usually when we if you if you remember every uh 31st or 30th of March every year we add up at least 78 stores. Uh so that is in line. 39:55 39 minutes, 55 seconds So in case we finish making the stores both up north and down south we will add up another five to six stores by the end 40:03 40 minutes, 3 seconds of March. That is the plan probably if not in first week of April delay but uh once uh the quarter ends the first 40:11 40 minutes, 11 seconds quarter ends in FI27 that's when we plan to venture out to a new geography either could be Orisa could be western UP and we'll we are evaluating couple of more 40:18 40 minutes, 18 seconds areas there up north also. So if things work out we'll definitely uh after the good summer season we'll definitely venture out to a new geography as well. 40:26 40 minutes, 26 seconds So this year the stores opening is lower than last year uh on gross basis also if not met. Um 40:34 40 minutes, 34 seconds is this a conscious call because of summer being poor this year? Uh absolutely. 40:42 40 minutes, 42 seconds So we have to we have to make sure that you know uh is that the store count that were added last year we were seeing no at the same time see Delhi was a new 40:50 40 minutes, 50 seconds market for us. So if you look at Delhi tier three four towns where we were not present currently we are all present in 40:58 40 minutes, 58 seconds the markets that we look at. So organically if you look at there are one two markets left in AP and Telangana where we adding up stores and uh not 41:07 41 minutes, 7 seconds just to increase the store per se this number but we have to evaluate the market make sure the markets are big enough in fact after a very long time Hyderabad might see another two or three 41:15 41 minutes, 15 seconds stores coming up in the next couple of quarters. We are looking at areas in the fif freeze of Hyderabad to add up new stores because that is where the market would demand them and uh right now if 41:24 41 minutes, 24 seconds you look at the stores which are in pipeline there will be similar number of stores but a lot of these stores especially the stores in Delhi took a longer time to finish because of the 41:33 41 minutes, 33 seconds graph again there which happens every year. So we got delayed with the stores. 41:37 41 minutes, 37 seconds So if you see Faridabad second store and Budyar is what we were able to end up opening up. But if I look at the pipeline there again we have six to 41:44 41 minutes, 44 seconds seven stores in the pipeline in Delhi which are getting ready which will open up in the coming time. So so the overall 41:51 41 minutes, 51 seconds expansion plan that we had is in line uh with around say 20 odd stores that we opened up this year another 10 probably 41:59 41 minutes, 59 seconds will add up in the next couple of months. So I think definitely we were cautious after the 42:07 42 minutes, 7 seconds bad summer that went through we were cautious not to otherwise by now we'd have been into a new geography and automatically you've seen a much higher addition of store count with a new geography as well. 42:18 42 minutes, 18 seconds So if the summer is poor this year the new geography can get delayed further. 42:22 42 minutes, 22 seconds No no no irrespective of how the summer pans out we ready to expand further. Sure. No, because last year you delayed. 42:30 42 minutes, 30 seconds So I'm just thinking that this year again could you delay if the summer is bad? 42:33 42 minutes, 33 seconds No. No. Irrespective of how the summer pans out, we ready for it. And we and we hope that all of you also pray that you know the summer goes well because uh you 42:42 42 minutes, 42 seconds know uh an optimistic uh you know mindset will definitely change the weather for us. 42:50 42 minutes, 50 seconds uh and u from OISA or Western UT between the two clusters uh which you would plan 42:57 42 minutes, 57 seconds to add um where do you think is the biggest opportunity and when where is the less competition for you? 43:04 43 minutes, 4 seconds Uh so sir apart from this we we are definitely evaluating a lot of other regions in and around our southern market as well as someh 43:13 43 minutes, 13 seconds markets as well. So because we have time on hand, we've got one more quarter to go. So we are uh because Western UP will 43:20 43 minutes, 20 seconds be more organic because we already are present in NOA, greater NOA from there on expanding into Western UP is much easier. But both Odysa and Western UP will not be more than a more than a 10 43:29 43 minutes, 29 seconds store count that will increase our footprint in the geography. So apart from that because we'll be ready to expand further by the quarter 3 next 43:38 43 minutes, 38 seconds year. So we wanted to make sure that we at least uh enter one more new geography uh on on a newer uh cluster altogether 43:48 43 minutes, 48 seconds and obviously there will not be ownership model like we went in Delhi right because I don't think they would have such flagship location we would need to invest on 43:55 43 minutes, 55 seconds exactly exactly and most of the market would have lower enters longer leases available uh until unless you know there 44:02 44 minutes, 2 seconds is an opportunity for us uh but majority of them are going to be in in fact in Delhi as well also If you see now the peripheries bud we opened Faridab has 44:11 44 minutes, 11 seconds one more store all our own rental only that we are planning to open apart from the stores that we already procured which are under construction like s is under construction two stores in go two 44:19 44 minutes, 19 seconds store in gura are under construction scratch we bought the land out apart from that there's no further acquisition 44:26 44 minutes, 26 seconds up north as well um my last question if I may uh on the 44:32 44 minutes, 32 seconds average uh you know a ticket size um do you think the price cuts taken or the discounting given is you know u 44:41 44 minutes, 41 seconds impacting SSG growth overall or do you think volumes today are good enough for us to sustain the drop or you know uh 44:49 44 minutes, 49 seconds the promotions which are being offered by the brands uh definitely the volumes are good enough that's right so more than the 44:56 44 minutes, 56 seconds value trend we definitely see a very constant volume growth as well across all categories so that is an upside 45:03 45 minutes, 3 seconds right but then I as a technology seller that how do you upscale your product value as well in case the values remain constant or the values keep degrowing 45:11 45 minutes, 11 seconds that's what we always keep discussing that we push customers to more premium especially after post GST drop in the televisions uh in even in tier three 45:18 45 minutes, 18 seconds four town cities we've seen uh the penetration of 75 in and above also growing drastically uh front loading growing front loing had nothing to do 45:26 45 minutes, 26 seconds with washing machine also have seen a drastic change from semi-automatic automatic towards front loading dishwashers have become prominent dishwashers though the category is small 45:34 45 minutes, 34 seconds but since the drop in we've month we've seen 100% growth in the category though the base was very small but overall we 45:41 45 minutes, 41 seconds see a good volume demand setting up across all categories so that is a good positive 45:48 45 minutes, 48 seconds shar thank you so much I'll come back in the queue thank you 45:58 45 minutes, 58 seconds uh ladies and gentlemen you are requested to limit your questions to two per participants the next question is 46:05 46 minutes, 5 seconds from the line of nim Nisha from Fortune Finance. Please go ahead. 46:11 46 minutes, 11 seconds Hi, this is Namisha here. I had a question which uh doesn't relate so much to the operations but uh just a very quick one. You know about 18 months back 46:20 46 minutes, 20 seconds you know you had uh or 16 or 18 months back you had offloaded the family had offloaded equity at around 220 230 46:26 46 minutes, 26 seconds rupees to SBI and Mai or some such fund you know the stock price has not reached that level then for variety of reasons 46:34 46 minutes, 34 seconds and we won't go into that at a price of 100 you know don't you think uh you all should be doing some form of creeping acquisition to at least for tokenism or 46:43 46 minutes, 43 seconds for confidence building measures for shareholders who have stuck Uh Nimish uh good evening and uh uh I 46:52 46 minutes, 52 seconds think you have uh raised a point where we not only today but uh every month every investor meet every quarter CFO me 47:01 47 minutes, 1 second the team dad everybody keeps discussing it but uh I mean I don't know what is right or what is wrong because we get a mixed review on this of giving uh uh you 47:11 47 minutes, 11 seconds know uh you know news out in the market that we would be picking up something or you know continue the same way. So it is always a mixed review that we've got. 47:19 47 minutes, 19 seconds But just to answer your question personally, I would say 65% of the companies still own by us. So that 47:24 47 minutes, 24 seconds itself is uh you know a good uh app no I I understand. Sorry for uh butting in 47:32 47 minutes, 32 seconds but I understand where you're coming from. I know 65% is a very very robust and a very very healthy equity stake. So your skin is completely in the game. I'm 47:40 47 minutes, 40 seconds not taking away anything from that. You know my only point but if you if you guarantee me that if I put some money in the table tomorrow if it's going to you know help somebody or 47:48 47 minutes, 48 seconds you know give out a positive uh Yeah. Yeah. 101% 101% you know at 225 a lot of other people 47:56 47 minutes, 56 seconds when I discuss that I mean like tell me one thing on that no no no current let's let's let's cut this chase you know tell me one thing 48:03 48 minutes, 3 seconds how will it harm anybody if you buy your own shares maybe two lakh shares or three lakh shares at at 100 rupees it just gives me confidence of the promote 48:11 48 minutes, 11 seconds I bought at 225 okay the price has not reached that level today the promoter sold at 225 today the price is 100 48:18 48 minutes, 18 seconds promoter feels that If he's promoted buying at 100, so obviously he sees some value at 100, it just inspires me to buy more at 100, you know, that's about it, you know. 48:26 48 minutes, 26 seconds No, I I do agree. 48:28 48 minutes, 28 seconds It just cannot harm. You can we can ask 100 ML. I've been in this business since 40 years, you know, in investment banking at Fortune, you know. So I don't 48:36 48 minutes, 36 seconds if you let me complete, I'll answer your question. I would love Please, please, please, please, sorry, sorry, sorry, please go ahead. All yours, you know, but if you let me answer. No, no, no. All yours. Yeah, please. 48:45 48 minutes, 45 seconds After that, see, it is it is a number that we also have lost. So whenever we it's been four quarters since the time you know uh we have discussed this with 48:53 48 minutes, 53 seconds multiple investors. So I usually it is like you know the promoters that's what I also had an intent of picking up something but then always a confusion 49:01 49 minutes, 1 second statement that I got that sir it would create a confusion out in the market but as you said correctly if you feel that like you a lot of other people have said 49:09 49 minutes, 9 seconds yes but a lot of other ones that I spoke to also said no. So I always had a mixed review of whether to go ahead with that or not. So because the the money that we've raised is still lying with us. You 49:17 49 minutes, 17 seconds know it's not that I've invested in 10 other companies where I have lost money or doing something else or I'm into real estate. This is the only business that we do. So the money is lying with us. I 49:25 49 minutes, 25 seconds can definitely pick up a stake back to give the confidence to the market and if time permits I will definitely take in you know uh once we finish a couple of 49:33 49 minutes, 33 seconds more investor rounds uh investor meetings in the coming months I would definitely take a call and much sooner than that probably before the end of 49:40 49 minutes, 40 seconds quarter one result we would definitely have a positive news on this as well. 49:45 49 minutes, 45 seconds Yeah it's just you know tokenism it's a confidence building. 49:48 49 minutes, 48 seconds I I get your point. I get your point. I get your point. Yeah, you know and you know it's you nothing to do with so it has to see it 49:55 49 minutes, 55 seconds is it is personal to me but nothing to do with you know what signals the market takes it positive or negative but it is just a token of appreciation to the market that we are still there with you 50:03 50 minutes, 3 seconds and we are going to you know turn things around definitely work harder from where we are today and you give a positive sign to the market absolutely something the owners of this 50:12 50 minutes, 12 seconds restaurant also eat here you know it just helps us you know okay you know that's it's just about that 50:20 50 minutes, 20 seconds else you know it won't move the needle if you buy four five lakh shares you know that's it definitely definitely point taken on that and all the best in your endeavors you 50:28 50 minutes, 28 seconds know thank you thank you very much thank you thank you ladies and gentlemen that was the last question I would now like to 50:36 50 minutes, 36 seconds hand the conference over to the management for closing comments I would like to thank you all for 50:43 50 minutes, 43 seconds joining the call I hope that you were able to answer all your questions and for any further queries you may get in touch with us or our SGA team, we will be happy to 50:52 50 minutes, 52 seconds address all your queries. Thank you once again. 50:57 50 minutes, 57 seconds On behalf of Electronic Smart India Limited, that concludes this conference. 51:01 51 minutes, 1 second Thank you for joining us and you may now disconnect your lines.