Apollo Micro Systems Limited — Q2 FY26

Ems Ltd Q2 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=_NN-JYLNoKI Published: 6 months ago

0:02 2 seconds Ladies and gentlemen, good day and welcome to EMS Limited Q2 and H1 F526 earnings conference call. As a reminder, 0:11 11 seconds all participant lines will be in the listenon only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should 0:19 19 seconds you need assistance during the conference call, please signal an operator by pressing star then zero on your touchstone phone. Please note that 0:26 26 seconds this conference is being recorded. EMS limited was incorporated in 2010 by Mr. 0:32 32 seconds Rambia Singh and Mr. Ashish Tumar and is involved in the business of seaweed solution provider water supply system 0:41 41 seconds water and waste treatment plants electric transmission and distribution road and allied works operation and maintenance of waste water scheme 0:49 49 seconds project WWSPS and water supply scheme projects WSPS for government authorities and bodies. 0:57 57 seconds Let us now begin with the introduction of the management team. We have with us today Mr. Ramir Singh, promoter and chairman of the company. Also joining 1:05 1 minute, 5 seconds with us today is Mr. Ashish Tumar, promoter and managing director. I would now like to request Mr. Ramir Singh, promoter and chairman to give his opening remarks. Over to you sir. 1:30 1 minute, 30 seconds SK IIT sector 1:38 1 minute, 38 seconds as a engineer sector. Charles. 2:13 2 minutes, 13 seconds Thank you. Thank you sir. I would now request Mr. 2:18 2 minutes, 18 seconds Ashish Tumar, promoter and managing director to share with the audience the company's performance in Q2 and H1 F526. 2:26 2 minutes, 26 seconds Thank you and over to you sir. 2:30 2 minutes, 30 seconds Good day everyone. I am Ashish Touat, managing director of EMS Limited and I warmly welcome you to our earnings call for the quarter end September 2025. 2:42 2 minutes, 42 seconds This brought us strangles largely due to unexpected high monsoon rains which 2:49 2 minutes, 49 seconds underground execution across several projects. 2:54 2 minutes, 54 seconds Uh underlying business strengths and margin remains intact. We continue to focus on 3:01 3 minutes, 1 second disciplined execution, timely delivery and restoring growth momentum in the in quarters. 3:09 3 minutes, 9 seconds Thank you for your continued trust in EMS Limited. We look forward telling more details and seeing your questions during this phone call. Thank you. 3:32 3 minutes, 32 seconds Mr. Consul, please go ahead. Yeah, I'm HK consult and uh recently uh has been 3:39 3 minutes, 39 seconds inducted as CEO of the company though I was associated with the company uh in different roles uh since last uh one and 3:48 3 minutes, 48 seconds one and a half year. So now I am CEO and uh I would like to draw your attention that uh the company was a private 3:56 3 minutes, 56 seconds limited company since 2013 and uh in FY13 we were around 1 107 4:03 4 minutes, 3 seconds revenue uh we did the 107 cr revenue and in 2009 that is in 6 years we did it 4:11 4 minutes, 11 seconds around 320 that was three times of the revenue and again in 2025 again after 6 4:18 4 minutes, 18 seconds years we completed it around 970. So in every 6 years we have tripled the revenue and that gives an average CAGR 4:27 4 minutes, 27 seconds of every six year 20%, and even in 12 years we have given the 20% CAGGR with PAT from 17 to 19%. 4:36 4 minutes, 36 seconds Uh so this is about our company as far as the this quarter is concerned in this 4:42 4 minutes, 42 seconds quarter uh we have a decline of uh about uh 26 27% in our figures 4:52 4 minutes, 52 seconds uh because of the obvious reason of pan India rains basically we are operating in six states and in all the six states 5:02 5 minutes, 2 seconds we are having the sea bridge and pipeline works in abundance So that has been the tendency of every 5:10 5 minutes, 10 seconds company who is dealing with the digging works that the Q2 is generally poorer than the Q1. In recent 12 years we had 5:18 5 minutes, 18 seconds faced it nine times uh consecutively from 2013 to 2022 that Q2 was a bit 5:26 5 minutes, 26 seconds weaker than Q1 but this year Q2 is uh much higher uh in lower side because we 5:34 5 minutes, 34 seconds couldn't continue the digging work at all as you people can understand that once the sea is laid yeah we have to dig 5:42 5 minutes, 42 seconds first and then we have to lay the sea after digging if it is raining Even after 3 days then we have to stop the work because of the collap collasping of 5:51 5 minutes, 51 seconds the uh arcs and of the nearby civil structures like building and electrical structures. So practically we could only 6:00 6 minutes perform the works which are over the ground that is like sew treatment plants buildings that is administrative buildings, water treatment plant 6:09 6 minutes, 9 seconds buildings or anything which is over the road but under the road works are practically remain hampered. Although we 6:17 6 minutes, 17 seconds use that time in planning and getting the drawings approval from the for the EPC projects from the concerned 6:24 6 minutes, 24 seconds government authorities and even the procurement of the works but that procurement couldn't be converted into 6:31 6 minutes, 31 seconds revenue because there are item rate contracts supply and laying if it is completed only then billing is done and 6:39 6 minutes, 39 seconds receivable or the amount is received. So we have done the work and uh we are intact with our projections. As far as 6:47 6 minutes, 47 seconds annual projections are concerned, we are still uh promising for the delivery of 6:53 6 minutes, 53 seconds the 18 20% annual growth in comparison to FY25. 6:59 6 minutes, 59 seconds So this is from our side and now I invite the questions from the pupil who are interested to ask the 7:07 7 minutes, 7 seconds questions and hopefully I will try to give the answer for that. Thank you. 7:13 7 minutes, 13 seconds Thank you. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on your touchtone telephone. If 7:22 7 minutes, 22 seconds you wish to remove yourself from the question cube, you may press star and two. Participants are requested to use handsets while asking a question. Ladies 7:30 7 minutes, 30 seconds and gentlemen, we will wait for a moment while the question Q assembles. 7:36 7 minutes, 36 seconds The first question comes from the line of Raman Ki with Sequent Investment. Please go ahead. Uh hello sir, can you hear me? 7:46 7 minutes, 46 seconds Yeah. Hello. 7:48 7 minutes, 48 seconds Yes sir. So uh my main question is uh our margins have comparatively gone down 7:54 7 minutes, 54 seconds during the quarter uh to 21%. So can you give us the reason for this and uh also 8:03 8 minutes, 3 seconds if if you can provide some light on the full year guidance with respect to the market. Definitely definitely that is a 8:10 8 minutes, 10 seconds relevant question because we have lowered down our Q2 revenue and now you can understand I was giving the reason 8:17 8 minutes, 17 seconds uh it will be elaborately coming into your mind that we have given the reason that rain was the main culprit and the 8:25 8 minutes, 25 seconds pan India rain was very high. Now you can imagine once my labor is deployed and there is raining they are sitting 8:32 8 minutes, 32 seconds idle. So we are wasting money to preserve that labor TNP and everything and we are not getting output in terms 8:40 8 minutes, 40 seconds of revenue. So definitely margins will shrink but even then our margins have shrinks only with 2% for this quarter 8:48 8 minutes, 48 seconds not more than that. So I think this makes justified thing that our labor is wasted, our resources are wasted and 8:56 8 minutes, 56 seconds even our supervisory staff are wasted because the revenue which is expected in that quarter couldn't be realized due to 9:05 9 minutes, 5 seconds that continuous raining season. So even then we preserved our revenue by our tactics and that is only 2% shrink. 9:14 9 minutes, 14 seconds I think uh I'm able to give the answer of your question. 9:17 9 minutes, 17 seconds Yes sir. So for the full year uh for the full year of FI26 what will be the margin base? 9:26 9 minutes, 26 seconds Our margins have remained historically intact that is from 17 18 19% or we can 9:32 9 minutes, 32 seconds say 18 plus minus uh 1% type of thing because this is civil engineering and in civil engineering sometimes you have to 9:39 9 minutes, 39 seconds take the work in stiff competitions sometimes you have to select the work which are giving you the higher margins. 9:45 9 minutes, 45 seconds So our average margin with the history of 12 years had remained around 19%. So we are still because margin is still 9:52 9 minutes, 52 seconds intact. We have lower down the revenue in quarter two but margins are not that much lowered. Margins are just uh two 2 10:01 10 minutes, 1 second and a half% down than the other quarters. So margins are still intact and we are very sure and we are giving 10:08 10 minutes, 8 seconds the guidance that we will intact this margin uh throughout the year means whichever our history suggest that will be our margin in the near future also. 10:18 10 minutes, 18 seconds So that's it. So margin we have not we have not much compromised on the margins till now even though the quarter revenue 10:26 10 minutes, 26 seconds is definitely down with the obvious reasons not due to some unknown reasons. 10:31 10 minutes, 31 seconds It is very very obvious reasons that underground work cannot be performed keeping in view the safety security of 10:38 10 minutes, 38 seconds the structures and the human beings but margins are narrowly linked. No, I understood sir. So, but historically 10:46 10 minutes, 46 seconds when I'm looking at the margins, we have done in the previous 3 four years we did around 24 to 25%. Now you are saying 19 to 18 to 19% plan. 10:57 10 minutes, 57 seconds Yes. So I just want to understand what changed uh led to this margin drop from 25%. What happens? What what happens in 11:06 11 minutes, 6 seconds government EPC projects once you are having larger volumes you may have some more competition in the business 11:15 11 minutes, 15 seconds sometimes and there are some selections and some difficulties which are reducing to since last three four years I think we are giving the margins around 20% 11:23 11 minutes, 23 seconds only that margin is only 20% understood sir on on on operations on operation based 11:32 11 minutes, 32 seconds margins basically and if there is some other income income suppose interest income if you add that that may say that it is 2122 otherwise uh oper operational 11:41 11 minutes, 41 seconds margin is around 20% only so that is a very big margin uh comparing the with the other peers of the water sector 11:50 11 minutes, 50 seconds companies I think uh we are one of the best margin givers because we select the projects on the basis of merit and on 11:59 11 minutes, 59 seconds there are so many reasons if you want to go in detail I can tell you what are the reasons that we are giving good margins No, no, you were talking about pat margins or bitter margins. 12:08 12 minutes, 8 seconds I am talking about pet margins. Okay, understood sir. Thank you. 12:13 12 minutes, 13 seconds [clears throat] 12:18 12 minutes, 18 seconds Thank you. A reminder toipants that you may press star and one to ask a question. Next question comes from the 12:26 12 minutes, 26 seconds line of Divanch Takur with Fresh Capital. Please go ahead. 12:32 12 minutes, 32 seconds Uh so thank you for the opportunity and congratulations on the result. So I wanted to ask about the 25 to 30% 12:39 12 minutes, 39 seconds year-on-year growth on a standalone basis like which will translate around to one uh 1,250 K to,300 K. So if we 12:48 12 minutes, 48 seconds look that in the first half we had done around 411 K. So we need to almost do 12:54 12 minutes, 54 seconds 830 to 890 odd crores in the second half of the year. So is it still intact? Do 13:01 13 minutes, 1 second we see that being achieved uh in this uh year? 13:05 13 minutes, 5 seconds Yes, Mr. Dian. Uh I think I am audible to you. 13:11 13 minutes, 11 seconds Traditionally you are audible. what what happens in H1 we gives around 40% of the 13:17 13 minutes, 17 seconds uh revenue and in H2 we gives around 60% of the revenue except uh last two years 13:24 13 minutes, 24 seconds otherwise the history says that 40% in H1 and 60% in H2 this year because of this Q2 we couldn't do that revenue so 13:34 13 minutes, 34 seconds we will definitely give twice of the revenue what we have achieved in H1 means 33% in H1 and 66% in H2 too. So 13:43 13 minutes, 43 seconds that will be around 1150 and again it will be 20% growth uh annually. There is no doubt about that. We have planned 13:50 13 minutes, 50 seconds that we have we have ramped up the progress and uh that will be visible in Q3 and maximum in Q4 that you will see 13:59 13 minutes, 59 seconds but annually we will give the same uh growth which we were giving since our 14:05 14 minutes, 5 seconds inception. That's no doubt about that because we have we couldn't do the digging that is why we couldn't get the 14:13 14 minutes, 13 seconds revenue because revenue is generated only after supply and laying but we have procured lot of material for which we 14:20 14 minutes, 20 seconds have not received anything because from government department supply and laying is the only item. So we are going to ramp up this. We have rammed it up since 14:29 14 minutes, 29 seconds October or the rains stopped whenever it happened and now it is dead short that we will give it in December and in March 14:38 14 minutes, 38 seconds quarter. December we will go very good numbers and March we will uh we will cover everything to finally end with the 14:46 14 minutes, 46 seconds 20% growth in comparison of FY25. Okay sir that's that's really helpful. 14:54 14 minutes, 54 seconds Uh sir I also also wanted to know about the update on the bridge bayari uh company like there was I read the phone 15:02 15 minutes, 2 seconds call in the last call there was some issue regarding depreciation and like any any update on that side would be 15:09 15 minutes, 9 seconds really great bridge Bihari has been renamed as EMS 15:19 15 minutes, 19 seconds industries and it is already a subsidiary of EMS limited Hello Mr. 15:32 15 minutes, 32 seconds I think uh I think I have answered it. 15:34 15 minutes, 34 seconds Probably you haven't heard it. Braj Bihari is the EMS industries now and it is a 15:42 15 minutes, 42 seconds wholly owned subsidiary of the EMS limited. Subsidiary of the EMS limited. 15:49 15 minutes, 49 seconds Okay sir. Okay. Thank you. That's really good. Next question. Thank you. 15:57 15 minutes, 57 seconds A reminder to all the participants that you may press star and one to ask a question. Next question comes from the line of Yeshuanti, an individual investor. Please go ahead. 16:09 16 minutes, 9 seconds Yeah, thank you sir. Uh as you explained we understand it is basically a cost overrun because we have to yet to 16:15 16 minutes, 15 seconds realize in terms of the revenues. Uh so we expect what uh I just want you to understand the first thing what is our 16:23 16 minutes, 23 seconds uh outstanding order book and of that how much we expect to realize in the revenue uh by FI26. 16:32 16 minutes, 32 seconds Uh madam our unexecuted order book is precisely 238 uh CR which we are having in our hand 16:42 16 minutes, 42 seconds and we have the tenders in pipeline of about 4,000 K and we are expecting minimum 500 600 K rupees further orders 16:51 16 minutes, 51 seconds to be added in this financial year and we are also eyeing some big projects in Madhya Pradesh and uh if it turns in 16:59 16 minutes, 59 seconds this financial year or the uh next quarter first quarter of the next year that will be around 1,000 cr rupees more 17:06 17 minutes, 6 seconds in some districts of Madhya Pradesh. So order book is quite rich. We are still 2.5 times of order book unexecuted order book of FY25. 17:17 17 minutes, 17 seconds And in this typical civil engineering industry if the uh whatever is the order book we can easily expect uh 50 45 to 17:26 17 minutes, 26 seconds 50% of the execution because the completion period is usually 2 years. So if I am having the order book of 2,400 17:33 17 minutes, 33 seconds KES I can give you the revenue of 1100 to 1200 KES that is the status of FY25N 17:40 17 minutes, 40 seconds and now we are adding into it so we will be able to deliver that growth of 20% which we are consistently giving since 17:48 17 minutes, 48 seconds last 12 years after the inception of EMS private limited so I think I have answered this. 17:55 17 minutes, 55 seconds Yes. So in that case sir as we are seeing the materializing the revenue so what kind of a FI26 margin we understand 18:02 18 minutes, 2 seconds you are talking about a 20 to 25% on the topline growth so uh is can we expect the margin to move upward uh uh an 18:10 18 minutes, 10 seconds upward bias uh I think what I have understood you wanted to know know the market size in 18:18 18 minutes, 18 seconds India for the water and wastewater sector is it right no I'm talking about a margin sir operating margin you said that operated 18:25 18 minutes, 25 seconds operating margin our PAT is intact around 18 plus - 1%. So that will remain intact. 18:32 18 minutes, 32 seconds Yes. So yes yes definitely definitely it is even even we have low revenue generation in 18:39 18 minutes, 39 seconds Q2 with the obvious reasons I have already told our margins are intact slightly shrked by 2% or something due 18:47 18 minutes, 47 seconds to you can understand due to wastage of labor they are waiting to rain to stop then to work and that is not stopping 18:55 18 minutes, 55 seconds otherwise our margins are very well very well within 18% uh that is intact 19:02 19 minutes, 2 seconds Okay. So, I just wanted to understand like how is our winning rate uh whenever we bid for the contract. 19:09 19 minutes, 9 seconds I think usually of our size company or our ticket size uh we understand that around 15% is the winning rate. Suppose 19:18 19 minutes, 18 seconds we are bidding for 4,000 K to we can very well expect that 600 K rupees order 19:25 19 minutes, 25 seconds we will win and sometimes it is more sometimes it is less due to obvious reason it is a competitive market we have to do the competition but uh if we 19:32 19 minutes, 32 seconds look forward uh by the history of our company it is usually 15 17 18% of the 19:39 19 minutes, 39 seconds uh winning strike rate whatever we uh you know apply for. 19:46 19 minutes, 46 seconds Okay. And in that case sir who would be our close competitors uh which can be a threat to us. I think now in listed 19:53 19 minutes, 53 seconds companies uh there are no u very much uh our competitors but in unlisted sectors 20:02 20 minutes, 2 seconds there are many 8 10 sectors of our size 8 10 companies of our size two three from Mumbai Ahmedabad [clears throat] 20:09 20 minutes, 9 seconds and one two company in Uttar Pradesh and all that but in listed sector in our ticket size there are I think vatk wawag 20:16 20 minutes, 16 seconds used to be but they are now confined only in you know se water treatment plant and recycle recycling plants and in which sector we have not yet entered. 20:25 20 minutes, 25 seconds So Vekwabag is not really our competitor in that way and one is the Vishnu Pugalya from Jodpur that is also a 20:33 20 minutes, 33 seconds listed company in water sector but they are mainly in Jaljivan mission in water supply. So we are not into Jaljivan mission because we are doing only urban 20:42 20 minutes, 42 seconds works in water supply and uh uh water sector and waste water sector. So I don't find we don't find wherever we uh 20:51 20 minutes, 51 seconds do the bidding. So usually we don't face the competition from these two companies and one another company is VIP limited 21:00 21 minutes that is also in water and waste water sector but their ticket size is much less than ours. So we have not uh I mean 21:07 21 minutes, 7 seconds rarely we have encountered their competition otherwise they are uh they are in the same sector but the retic size is less. So but in unlisted sector 21:16 21 minutes, 16 seconds there are eight 10 nine companies which are uh our competitors and uh which are in the market. 21:24 21 minutes, 24 seconds Okay. So in that case if there are many unorganized company and in the sense which are not listed companies uh are 21:32 21 minutes, 32 seconds there any there are no entry barriers to enter into the business or how the business goes just to understand like uh even going forward what can be the 21:40 21 minutes, 40 seconds competitor's strength and what can be the hurdle for our business growth. 21:44 21 minutes, 44 seconds uh you wanted to know how we are different with the other companies and what is the strength of our company. I think this is your question right? 21:51 21 minutes, 51 seconds Yes. And what are basically the entry barrier? How do you uh how this uh sector restricts the growth of any new entrant? 22:00 22 minutes Actually uh I will take two three minutes because your question is a bit more descriptive uh type of thing. 22:08 22 minutes, 8 seconds Actually once there is a new player every player every player who has to enter in any of the sector let it be 22:15 22 minutes, 15 seconds highway sector let it be water sector he has some eligibility condition. 22:20 22 minutes, 20 seconds Eligibility conditions include two three four things. What had been his turnover in last four five years? What is his solveny? What is his general condition? 22:29 22 minutes, 29 seconds And what is his experience of work? 22:32 22 minutes, 32 seconds Because if suppose you have to take 500 cr bidding, you want to do 500 cr rupees bidding, you must have completed at least one work of 300 cr rupees. So that 22:41 22 minutes, 41 seconds is a technical eligibility criteria and he must have certain amount depending upon the state to state and program to 22:49 22 minutes, 49 seconds program. If it is Amrat tender, if it is a jaika tender, there are certain things that you must have that much solvency 22:57 22 minutes, 57 seconds that much. So every company has to go through a particular size of tender only. They can't enter into a thousand 23:04 23 minutes, 4 seconds cr rupees work. Recently we have got a one biggest order of around 700 cr rupees in Kolkata that is under Nami 23:12 23 minutes, 12 seconds Gang. So every company cannot come there only three were the three biders were there in that because they were having 23:19 23 minutes, 19 seconds the only eligibility condition. So every player cannot enter into every ticket size. Uh suppose there is a company who can enter into 100 cr rupees of work. 23:28 23 minutes, 28 seconds There is a company who can enter into 200 cr rupees work and these are the higher figures. The pupil even go for the 20 cr rupees work. If someone is 23:37 23 minutes, 37 seconds doing on the municipal corporation level they can even go for 10 cr rupees work 5 cr rupees work. So their eligibility depends how they have grown up. If there 23:46 23 minutes, 46 seconds is a person who has done 100 cr rupees work he can apply for the 150 cr rupees work. Eventually if he has got 150 cr 23:54 23 minutes, 54 seconds rupees work and uh uh he to 30 250. 23:59 23 minutes, 59 seconds Yeah. Yeah. So that depends upon because uh 60% uh uh work he should have completed successfully uh including its 24:08 24 minutes, 8 seconds operation maintenance defect liability period and all that. So that is how the eligibility grows. So no company I think 24:16 24 minutes, 16 seconds can double its revenue. So that we call in our terms that is a organic growth. 24:22 24 minutes, 22 seconds The organic growth of any company is around 20 25 to 30%. Otherwise there are so many other complications debt may be 24:30 24 minutes, 30 seconds there. Working capital crisis could be there. So 20 25 30% growth is the organic growth in which any company is giving its 100% they can do the work. 24:41 24 minutes, 41 seconds Your second part was how we are different. So I am just telling you that EMS limited is different in so many ways. 24:52 24 minutes, 52 seconds It's the company's founder himself served as 22 years as engineer in public health engineing department that is UP 24:59 24 minutes, 59 seconds Jingham in the capacity of engineer. He knows how to execute the water supply and seage work and how to design it, how 25:08 25 minutes, 8 seconds to operate it. And another distinguished thing in our company is that we do the in-house engineering, in-house 25:16 25 minutes, 16 seconds procurement, in-house installation, in-house basic engineering packages, in-house operation and maintenance. So 25:24 25 minutes, 24 seconds generally these other companies what they are doing mostly I'm not saying for every company and I have no right to comment on the working of other company 25:32 25 minutes, 32 seconds but they are getting these things outsourced. Basically suppose design they have to do they do it from some 25:39 25 minutes, 39 seconds consultancy firm that is outsource but in our team of around 7578 engineers who are structure engineers hydraulics 25:48 25 minutes, 48 seconds engineers and they are trained we have developed our softwares also just to enhance the capability of our design. So 25:56 25 minutes, 56 seconds that makes us different and that gives some more margins to our company. So that is why some sometimes the questions 26:04 26 minutes, 4 seconds are asked that other companies are giving PET of 12%, 11% how you are able to deliver 17 18% 19% PAT. So these 26:13 26 minutes, 13 seconds three four factors which I have told they contribute for another 6 7% of the pet mark then I think I have spoken more 26:22 26 minutes, 22 seconds than your question was okay thank you Mr. Ashwanti please rejoin the queue for more questions. 26:31 26 minutes, 31 seconds Reminder to all the participants that you may press star and one to ask a question. Next question comes from the line of Nandini Agarwal with Globe Capital. Please go ahead. 26:44 26 minutes, 44 seconds Good morning sir. Thank you so much for this opportunity. I just want to understand that in the quarter one 26:52 26 minutes, 52 seconds concour also we know we had an issue uh due to monsoon in the first 15 days and the quarter 2 has also been quite soften 27:01 27 minutes, 1 second because of it. So can we what what kind of risk measures can we expect in the coming quarters or can we see uh some 27:09 27 minutes, 9 seconds slight business segment change from wastewater management towards civil engineering projects? 27:17 27 minutes, 17 seconds Ma'am uh may I ask you one thing? Have you heed other answers or uh you were not hearing anything what I have spoken 27:25 27 minutes, 25 seconds so far? Just to know because I will give the answer keeping in my mind that way. 27:31 27 minutes, 31 seconds No sir, I've listened to all those answers. You have not. 27:36 27 minutes, 36 seconds No, I I've listened to all of those answers. 27:38 27 minutes, 38 seconds All those answers. So Q2 is sloppy. uh I think uh I have given the reason that it 27:45 27 minutes, 45 seconds was heavy rains and uh most of the 50% work we have to do the underground digging after underground digging so 27:52 27 minutes, 52 seconds digging was not possible because uh if it is raining for a day and for 2 days we are waiting to dry it up and to start 27:59 27 minutes, 59 seconds the digging work again again it started raining and it happened all over India you all are aware and particularly in those six states which we are working 28:07 28 minutes, 7 seconds Rajasthan we are working and it was very very heavy rain so the reason for the flop copy Q2 number is very very obvious 28:15 28 minutes, 15 seconds and uh next thing is that uh I think you have asked about the what what are the scope of uh this field 28:23 28 minutes, 23 seconds in civil engineering that that that was your question. 28:27 28 minutes, 27 seconds Yes sir. My question was more on the lines of uh we are constantly seeing monsoon patterns shifting in India and 28:34 28 minutes, 34 seconds if this continues are there any stringent lift uh uh insurance like insurance measures or uh what are we 28:43 28 minutes, 43 seconds thinking about it to uh you know uh to avoid situations like this further that 28:49 28 minutes, 49 seconds uh we uh lose time due to uh monsoon that's what that was my question 28:56 28 minutes, 56 seconds madam what we do in monsoon. Uh that can be utilized in two three things the monsoon period which we can ramp up in 29:05 29 minutes, 5 seconds uh Q3 and Q4. One thing is the we are doing the EPC projects only. So in EPC project we have to take approvals after 29:13 29 minutes, 13 seconds designing from the concerning government department. So we use that 3 months or the rainy season let it be 2 months or 2 29:22 29 minutes, 22 seconds and 1/2 months. This this year it was 3 and 1/2 months. So we used to get those approvals. Number A number though we try to procure some critical materials. 29:32 29 minutes, 32 seconds Suppose there are materials which we have to wait. So we don't wait for the quarter to end. We start procurement of the work but eventually that is not 29:41 29 minutes, 41 seconds realized that revenue because item is consolidated that is uh supply and laying or supply and installation of the 29:48 29 minutes, 48 seconds work. So we use that type of thing uh in our quarter and that procurement and 29:55 29 minutes, 55 seconds that approvals of design will turn into revenue and execution in Q3 and Q4 that is general practice of this type of 30:02 30 minutes, 2 seconds civil engineering projects uh which we are having that is water supply and several and underground digging. So that 30:09 30 minutes, 9 seconds is from my side if anything left I think you can repeat uh the portion of your question I will be happy to reply for that. 30:18 30 minutes, 18 seconds No, you've answered my question, sir. Thank you so much. Thank you. 30:25 30 minutes, 25 seconds Thank you. A reminder to all the participants that you may press star and one to ask a question. 30:38 30 minutes, 38 seconds Thank you ladies and gentlemen. As there are no further questions, we have reached the end of question and answer session. I would now like to hand the conference over to the management for closing comments. 30:49 30 minutes, 49 seconds Okay. So I'm leaving it with the with the repeating the things that our uh our growth of the revenue and our margins 30:58 30 minutes, 58 seconds will remain intact for FY26 also. Now I'm handing over it to Mr. Damir Singh for final comment. 31:08 31 minutes, 8 seconds [clears throat] 31:12 31 minutes, 12 seconds company. projection MQ. 31:43 31 minutes, 43 seconds Thank you. 31:44 31 minutes, 44 seconds I think now over to Mr. Ashish Tomear, managing director of the company for his final remarks and comments. 31:51 31 minutes, 51 seconds Ashish, if you are hearing, please do. 31:54 31 minutes, 54 seconds Yes, sir. Yeah. I'd like to thank everyone for joining us today and uh thank you for your continued trust in 32:02 32 minutes, 2 seconds EMS Limited. We appreciate your support and remain committed to delivering long-term value. Thank you once again and have a great day. 32:13 32 minutes, 13 seconds Thank you on behalf of EMS Limited. That concludes this conference. Thank you for joining us. You may now disconnect your lines.