Felix Industries Ltd — Q4 FY26

Felix Industries Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=psi04v59ehI Published: 7 days ago

0:00 Ladies and gent ladies and gentlemen on behalf of investor relations team I welcome you all to the investors meeting of Felix 0:09 9 seconds industries limited today on the call from the management we have with us Mr. 0:13 13 seconds Patel managing director Mr. Dashant Nishant Sharma, director of finance and Miss Hin Sha, company secretary. As a 0:20 20 seconds disclaimer, I would like to inform all of you that this call may contain forward-looking statements which may involve risk and uncertaintities. The 0:28 28 seconds actual results may differ materially from those expressed or implied. Also a reminder that this discussion is being recorded. I now uh request the 0:37 37 seconds management to brief us about the company, its business performance, growth strategy and proposed migration from n emerge platform to the main board of n. Over to you sir. 0:48 48 seconds Good afternoon everyone and thank you for joining us. 0:52 52 seconds On behalf of the entire Felix Industries family, I welcome all our shareholders, investors and stakeholders. 0:58 58 seconds I am Riches Patil, managing director of company. Joining me today is Mr. Nishan Sharma and Miss Hinasha, 1:07 1 minute, 7 seconds we appreciate your continued trust and support as we discuss our business progress and an important milestone in our journey. The proposed migration of 1:16 1 minute, 16 seconds our company's equity shares from NC emerge platform to the main board of the national stock exchange. Before 1:23 1 minute, 23 seconds discussing our financial performance and future plans, let me briefly take you through our journey. Police Industries 1:30 1 minute, 30 seconds was founded in 10th 2010 with a vision of creating sustainable environmental solutions through innovations, rec resource recovery, circular economic 1:38 1 minute, 38 seconds practices. Since inception, our focus has been on addressing critical environmental challenges through integrated solutions in water treatment, 1:46 1 minute, 46 seconds waste waste water management, waste oil recovery, hazardous waste management, plastic recovery and resource recovery. 1:54 1 minute, 54 seconds Today, Felix has evolved into a diversified environmental infrastructure platform with operations across India 2:02 2 minutes, 2 seconds and Oman. We have successfully delivered more than 100 projects across various industries including pharmaceuticals, chemicals, textiles, food process, 2:09 2 minutes, 9 seconds power, steel, oil and gas, speciality chemicals. Our facilities currently support waste water treatment capacity 2:16 2 minutes, 16 seconds exceeding 17 MLDD, waste oil restoration capacity exceeding 40 GPD, as well as waste processing capacity is 50 TPD and targeted waste to energy initiatives. 2:29 2 minutes, 29 seconds What differentiates Felix is our ability to provide end toend enommental solutions. We operate across EPC, BO, 2:37 2 minutes, 37 seconds BOT, ONM and PPP and infrastructure development models enabling us to create both projects based and recurring 2:45 2 minutes, 45 seconds revenue streams as environmental regulations continues to become stricter and sustainable. Uh sustainability 2:54 2 minutes, 54 seconds becomes a key priority globally. We have we believe Felix is strategically positioned to capitalize on growing demand of resource recovery and environmental infrastructure solutions. 3:03 3 minutes, 3 seconds Over the past few years, we have continued to strengthen our position as diversified environmental solution provider. 3:13 3 minutes, 13 seconds A key focus area for us has been expanding our business through subsidiary and specialized verticals. 3:20 3 minutes, 20 seconds Today, our group includes multiple operating entities such as Rivita Solutions Private Limited, Felix Industries LLC Numar, Felix WNC Private Limited, Felix Prime Matters Private. 3:31 3 minutes, 31 seconds These entities allow us to participate across multiple environmental segments including waste water, waste management, metal recycling and environmental infrastructure development. 3:42 3 minutes, 42 seconds Our Roman operations continue to provide significant opportunities in waste management and oil processing, refining and recycling. The Middle East market 3:50 3 minutes, 50 seconds remains attractive due to increasing environmental regulation with strong industrial activity in in FY26. 3:59 3 minutes, 59 seconds We also continue to strengthen our recurring revenue profile through long-term BWBT O andM contracts. We 4:07 4 minutes, 7 seconds secured strategic contracts across the industrial industries, food processing, steel 4:15 4 minutes, 15 seconds plants, oil and gas sector including long duration agreements extending up to 10 years. We are also actively expanding 4:22 4 minutes, 22 seconds into several high growth opportunities through Felix Prime Metals. We are pursuing opportunity in in metal recycling and recovery from hazardous 4:31 4 minutes, 31 seconds and non-hazardous waste. In addition, our acid reclamation initiative has also shown encouraging results and provides a 4:39 4 minutes, 39 seconds technologydriven growth opportunity in significant scalability. 4:44 4 minutes, 44 seconds These initiatives are aligned with our broader vision of becoming a leading circular economy and environmental infrastructure company. 4:51 4 minutes, 51 seconds I would now request Mr. Nishan Sharma to take you through the financial performances. Nishan G please. 4:59 4 minutes, 59 seconds Good afternoon everyone and welcome to this investor meeting. Thank you Ret. Uh 26 has been a transformational year for 5:08 5 minutes, 8 seconds Felix Industries marked by strong financial performance and business expansion. 5:14 5 minutes, 14 seconds On standalone basis, the company's total revenue increased by [snorts] 144% from 33 crores in fiscal 25 to 80 crores in fiscal 2026. 5:25 5 minutes, 25 seconds The increase was primarily attributable to higher revenue from operations during the year. PAT increased by 163% from 7.5 5:35 5 minutes, 35 seconds crores in 2025 to 19 [clears throat] crores in fiscal 26 primarily driven by 5:43 5 minutes, 43 seconds growth in revenue and improved operating performance. On a consolidated basis, revenue from operations increased to 102 5:51 5 minutes, 51 seconds crores compared to 36 crores in FY25 representing again a growth of 178%. 5:59 5 minutes, 59 seconds increased from to 31 crores from 13.79 in previous year reflecting a growth of approximately 13. 6:10 6 minutes, 10 seconds Profit off stood at 18 crores compared to 9 crores in FI25 registering growth of nearly 100%. 6:19 6 minutes, 19 seconds During the fourth quarter, revenue from operating stood at approximately 37 crores while EITA stood at 9.3 crores and profit after tax was 4.34 crores. 6:30 6 minutes, 30 seconds The strong growth was driven by execution of major projects, expansion of recurring revenue streams and increasing demand across our 6:38 6 minutes, 38 seconds environmental services portfolio. Our balance sheet also remains healthy and supports our future expansion plans. 6:46 6 minutes, 46 seconds Overall we believe FY26 has established a strong foundation for next phase of growth. Retesh B over to you for the closing remark. 6:57 6 minutes, 57 seconds Thank you Nishan G. Uh thank you for the financial updates. 7:03 7 minutes, 3 seconds Looking ahead we remain optimistic about the opportunities available across our business segments. The envelopment and infrastructure sector continues to 7:11 7 minutes, 11 seconds benefit from strong regulatory support, increasing industrialization, sustainability initiatives, and growing adoption of circular economic practices 7:19 7 minutes, 19 seconds in the water and wastewater segment. The increasing zero liquid discharge requirements and water reuse mandates are creating sustainable substantial 7:28 7 minutes, 28 seconds long-term opportunities in solid waste management. government initiatives, scientific waste water treatment, uh 7:36 7 minutes, 36 seconds waste treatment requirements and investments in waste energy driving industry's growth. We also excited about the opportunities emerging in metal 7:44 7 minutes, 44 seconds recycling, waste, oil recovery, plastic recycling and asset reclamation. Our roman business continues to offer significant growth potential and we 7:52 7 minutes, 52 seconds expect increasing contribution operations over the coming years. In the same time, our growth portfolio from O 8:00 8 minutes andM BU and boot contracts is expected to strengthen recurring revenues and improve earning visibly. The proposed 8:08 8 minutes, 8 seconds migration from the main board to NSE represents another important milestone in our journey. We believe this step 8:15 8 minutes, 15 seconds will enhance the company's visibility, improve liquidity for the shareholders, broaden institutional participations and support our long-term growth aspiration. 8:24 8 minutes, 24 seconds We remain committed to delivering sustainable growth and maintaining strong governance standards and creating long-term value for our stakeholders. 8:32 8 minutes, 32 seconds Thank you once again for continued support and confidence in Philips. 8:37 8 minutes, 37 seconds Madam, thank you sir for the introduction. 8:40 8 minutes, 40 seconds We'll now we'll now begin the Q&A session. Participants who wish to ask questions are requested to raise their hand. 8:48 8 minutes, 48 seconds So we'll take the first question from Deepak Pudar. 9:02 9 minutes, 2 seconds Yes, go ahead. 9:04 9 minutes, 4 seconds Yeah, thank you very much for this opportunity. See this person wanted to understand that the oil processing our current capacity is 40 TBD. 9:16 9 minutes, 16 seconds Hello. 9:17 9 minutes, 17 seconds Yeah. So our current capacity in oil processing is 40 TBD. So just wanted to understand so how is the ramp up look 9:25 9 minutes, 25 seconds like I mean we have target to reach 100 PP so how is the ramp up look like and uh and what is the inclination level we are 9:33 9 minutes, 33 seconds seeing in ret 9:44 9 minutes, 44 seconds he's he's asking that current our oil oil capacity processing capacity is 40 tpd tons per Okay. So, how does the ramp 9:53 9 minutes, 53 seconds up from here looks like and what is the current capacity utilization? 9:58 9 minutes, 58 seconds So as of now uh as we have already booked uh certain contracts from Oman government and the large refineries uh 10:05 10 minutes, 5 seconds in Oman our capacity of utilization will be 100% uh to this year and I think uh 10:12 10 minutes, 12 seconds uh once we have 6 months or 8 months of continuous strong operations uh we can ramp it up to uh 2x scale after uh this financial year. 10:23 10 minutes, 23 seconds Mhm. And what is our capacity and 40 TPD? From 40 TPD how how we reaching 100 TPD in both the RAM and there. 10:32 10 minutes, 32 seconds So these these are uh battery uh battery wise installations that we have already these are already at place. So you know 10:40 10 minutes, 40 seconds there are multiple unit operations uh while doing such such contracts and such processing. So uh 40 TPD or 50 DPD that depends on the on the quality of input. 10:51 10 minutes, 51 seconds Uh and so maximum that we can do is 50 TPD but we understand that it should be 40 DPD and of course uh if we get if we 10:59 10 minutes, 59 seconds get certain uh more sizable uh contracts within next few months. So we will plan 11:06 11 minutes, 6 seconds for further uh incremental size to uh 40 50 to 100. So as of now 11:15 11 minutes, 15 seconds yeah I was asking more in terms of capacity so when your capacity is going to be 11:21 11 minutes, 21 seconds so what he saying is uh that currently by in the with the current orders in 11:28 11 minutes, 28 seconds hand we will be at 100% capacity utilization in next 3 to 6 months. Okay. 11:34 11 minutes, 34 seconds Then as and when we see there is an opportunity and more orders coming in we will add capacity more. So there is 11:43 11 minutes, 43 seconds enough enough place and everything available infrastructure available but as of now we have not planned any 11:50 11 minutes, 50 seconds additional capacity but if the cycle remains vibrant we will add more capacity and but with current capacity I think we 11:58 11 minutes, 58 seconds can what only four crores per month I mean at 40 TBD 4 crores per month kind of a revenue. So, so I mean 12:06 12 minutes, 6 seconds 5 crores is generally what we are looking at monthly. So that means on if we do not expand on an annual basis we 12:14 12 minutes, 14 seconds can at most do for 50 to 60 I mean we are targeting close to 75 80 right so so 12:21 12 minutes, 21 seconds so where will this gap get filled no so that is what we are saying we we are currently expecting 60 to 65 cr like 12:30 12 minutes, 30 seconds if as retention 40 we can process 50 TPT but uh we are restricting it to 40 uh 12:38 12 minutes, 38 seconds currently because of uh the availability of the imports and raw materials. But if we expand further we can go maximum 60 12:46 12 minutes, 46 seconds crores to 65 crores or maximum 70 crores. 12:50 12 minutes, 50 seconds That is what we are expecting in this current year. 12:53 12 minutes, 53 seconds So so we not targeting 75 to 80 crores this year. any effect. 12:57 12 minutes, 57 seconds No, maybe if if things look promising like the two orders that currently we have and in down the line six months 13:04 13 minutes, 4 seconds after September if we see and we can add more capacity and probably ramp up the revenue but as of now it is we are we 13:13 13 minutes, 13 seconds estimated between 60 to 70 crores that is what our roughly estimate is. So, so overall revenue also I mean we were 13:21 13 minutes, 21 seconds targeting 180 to 200 right so is there any change change that that remains constant so that is 13:27 13 minutes, 27 seconds already uh achievable with all the subsidiaries so close to 200 is our expectation for uh this coming financial 13:36 13 minutes, 36 seconds year and how how how much margins we should look at blended margins now this quarter margins are lower right and so 13:44 13 minutes, 44 seconds so the the current I beta margin that we have around 30 31 1% that will be maintained 13:51 13 minutes, 51 seconds 30 31 so you're including other in 30 31% including other income yes yes okay and uh and and what drove lower 13:59 13 minutes, 59 seconds margins in fourth quarter what what I didn't get you what what led to lower margins in fourth quarter 14:06 14 minutes, 6 seconds so we we had considerable expansion and things happening manpower cost and all those things due to which the uh there 14:15 14 minutes, 15 seconds has been a slight reduction in the margins And then uh due to liquidity issues uh our interest costs have also gone up. So 14:24 14 minutes, 24 seconds the utilization of the bank limits has also been on a higher side throughout the but no but but what I can see is the 14:31 14 minutes, 31 seconds gross margin will sell lower. I mean your gross margin itself lower I so employee cost comes quite later. 14:39 14 minutes, 39 seconds margin by if you can like if there is any gross 14:46 14 minutes, 46 seconds I'm I'm not able to understand these question I don't know why eco is coming can you explain mean he's asking there is a uh 14:55 14 minutes, 55 seconds dip in the gross margins which I don't think there is I don't it can be 1 2% there is all 15:03 15 minutes, 3 seconds across the segments we cannot go uh more than I think there whatever will be there will be. 15:11 15 minutes, 11 seconds Okay. Okay. I I got it. Okay. Yeah. I think my questions were answered. Yeah. I mean that would be from my accent. Wish. Thank you. 15:18 15 minutes, 18 seconds Thank you. 15:23 15 minutes, 23 seconds Thank you sir. Uh we'll take next question from Ashish Sony. 15:32 15 minutes, 32 seconds Hi sir. Uh this is a questions uh on slide number 19. So I think you spoke about matter recycling. So uh any 15:41 15 minutes, 41 seconds particular I saw in the slides zinc and also any what sort of recovery you are planning and what the scale you're looking in next two three years in this uh business. 15:52 15 minutes, 52 seconds So uh so metal recycling currently what we are targeting is two metals one is 15:58 15 minutes, 58 seconds zinc sulfate and copper sulfate. These are the two uh uh segments that these 16:06 16 minutes, 6 seconds are the two products that we are looking at rec uh recycling and 16:12 16 minutes, 12 seconds working on it. We acquired a unit uh in Mahasana for that which is a readymade unit and which was already operating but 16:21 16 minutes, 21 seconds they had uh operational issues. So that was an opportunity for us and we acquired that unit. That unit is now on 16:29 16 minutes, 29 seconds the verge of starting now with the minor changes that we uh were supposed to make. We have already done. So maybe in 16:38 16 minutes, 38 seconds the next month or so the unit would be fully operational. In terms of uh the 16:46 16 minutes, 46 seconds capacity it is like uh daily we can process around four tons per day copper sulfate and zinc sulfate and primarily 16:56 16 minutes, 56 seconds we are targeting anywhere between 40 to 50 crores as revenue from a metal recycling 17:04 17 minutes, 4 seconds maybe and then if again this is a new site so we are going slow on this side but there is a huge potential for uh 17:13 17 minutes, 13 seconds metal recycling. So we may go for expansion but as of now there's nothing concrete on that side. 17:20 17 minutes, 20 seconds So what's the peak potential revenue from that particular site and if at all you have to do capex how much will be that for metal recycling the same masana 17:29 17 minutes, 29 seconds unit? So uh currently I mean if we go for expansion it would be anywhere between 20 to 25 crores that would be a 17:38 17 minutes, 38 seconds requirement to uh be invested further and that would uh lead to at least in my 17:47 17 minutes, 47 seconds assumption uh go from 50 crores to 100 to 125 crores growth. British B is it correct? 17:55 17 minutes, 55 seconds Yes. Yes. Yes. You are correct. And the the potential to this business is uh uh if if we do it correctly, if if we 18:03 18 minutes, 3 seconds operate it uh well, uh so this this facility itself will give us about 150 crores of turnover uh in next financial 18:12 18 minutes, 12 seconds year and uh we can grow it to uh twice or twice of it scale. So yes there is 18:19 18 minutes, 19 seconds potential there is market and uh uh there is no uh no hurdles of as of now 18:26 18 minutes, 26 seconds but you will do only zinc and copper is what I understand you are not going to also 18:33 18 minutes, 33 seconds so other metals we are not I'm frankly I am not seen on other metals but of course magnesium can be one of the part 18:40 18 minutes, 40 seconds because it is it is attached to uh to to the the copper string so mg uh zinc and 18:48 18 minutes, 48 seconds copper. These three can be our uh uh our strong products for for the market. 18:53 18 minutes, 53 seconds Okay. And the second is the acid reclamination technology. So uh where are we? You give something but what's the potential there in terms of business in next two three years. 19:04 19 minutes, 4 seconds So this is a this is a new process that uh that we have developed and uh uh it has been very rigorous uh you know trials and testings on on this process. 19:15 19 minutes, 15 seconds Uh as of now the country does not have any acid reclamation plants where you can where you can sustain the acids and 19:23 19 minutes, 23 seconds reuse them again in the industries. So it had been I think more than a year's time now that uh uh we are we are we are 19:31 19 minutes, 31 seconds just uh uh you know we have started the operations and we are uh checking the the results and optimizing the things 19:40 19 minutes, 40 seconds and recently we found that uh the things are very good and this can turn up into a good opportunity yet we have not 19:46 19 minutes, 46 seconds structured the business yet uh but yes this can be a potential growth uh in coming years but any revenue any estimate in 2 three years on this particular. 19:57 19 minutes, 57 seconds So yet yet yet the capex and everything for the trials and everything is already done and increase and finish. So now yet 20:04 20 minutes, 4 seconds to to structure the business how and where what locations are the highest with the highest potentials and how many 20:11 20 minutes, 11 seconds clients do we get. So we are already in the process of making certain with the clients and all. uh as of now I cannot 20:19 20 minutes, 19 seconds uh comment on uh how we will uh do this business but yes uh the team is on it. 20:26 20 minutes, 26 seconds Okay. And then plastic recycling so I think you're only uh I think Ahmedabas Surasa so do you want to expand apart 20:34 20 minutes, 34 seconds from capacity do you want to get into other cities also uh across India or maybe in Gujarat itself? So as of now uh 20:42 20 minutes, 42 seconds this itself is a is a huge potential and uh I am glad I would be glad if we cater the entire capacity of this uh the size 20:51 20 minutes, 51 seconds of the plant has to be increased day in day out and uh I don't think as of now or or in short-term plans we should 20:58 20 minutes, 58 seconds increase or we should go with some more cities because you know these are these are already giants to handle and uh I 21:05 21 minutes, 5 seconds think we have enough uh feed stocks for next coming few years So we should we should try and be focused on our on our 21:13 21 minutes, 13 seconds business to uh to to uh multiply its uh capacity of production and get you get the better and better results out of it. 21:22 21 minutes, 22 seconds And uh in terms of your vision for next 2 three years consolidated revenue have you any target in mind in terms of 21:30 21 minutes, 30 seconds revenue reaching like 500 cr or something of that sort? 21:33 21 minutes, 33 seconds Yes of course. So I think we should we should cross 200 uh number uh in this financial year and I think uh we should 21:41 21 minutes, 41 seconds again have a landmark uh numbers uh in next financial year because uh the way we are progressing or the way we are our 21:50 21 minutes, 50 seconds units are being established. I don't think uh any any hurdles will be there to uh to achieve the next round of uh 21:58 21 minutes, 58 seconds you know and out of the total business uh how much is a recurring business you want to target as a strategy because I see uh 22:06 22 minutes, 6 seconds you have recurring and plastic right if I understand and the onm revenue so what's the mix you are targeting in terms of recurring revenue 22:14 22 minutes, 14 seconds so over the period of time uh the EPC business will get very small and mostly the entire business will is recurring 22:22 22 minutes, 22 seconds business. Uh, of course the productions are recurring productions. So, uh, that is not a question and wherever 22:29 22 minutes, 29 seconds technologies are concerned, uh, technologies will also be recurring business. So, ultimately the over the period of four or five years, our major 22:37 22 minutes, 37 seconds numbers should be only the recurring numbers. Of course, we cannot stop the EPC thing because it's a financial model. We cannot absolutely stop it, but the major should be recurring. 22:49 22 minutes, 49 seconds And are we taking any steps to reduce our working day cycle because it's increasing year on year whatever I see 22:56 22 minutes, 56 seconds uh mostly uh the the working cycle will get uh very optimized the be all subsidiaries and everything uh on track. 23:06 23 minutes, 6 seconds So I think this financial year uh we should be with very good numbers of working capital cycle and all 23:14 23 minutes, 14 seconds and pledging I see there's still pledging so any reason and when do you think you can get rid of that? 23:21 23 minutes, 21 seconds So there is uh there were certain uh time uh during this durations of projects uh that working capitals had to be in the system. So uh we had to take 23:30 23 minutes, 30 seconds certain steps and decisions for uh for the working capital general cycles. Of course I don't like being pledged but uh 23:37 23 minutes, 37 seconds over the period of time we will uh we'll be reducing and with your Oman business are you targeting anything on the Middle East 23:46 23 minutes, 46 seconds also for other opportunities because you would have established the name there right? 23:52 23 minutes, 52 seconds Yes. So uh this this project that we did uh in Oman uh is showing up uh in in in 23:59 23 minutes, 59 seconds is getting up into good shape now and uh and I think uh we should not stop ourselves uh with Saudi refineries and 24:08 24 minutes, 8 seconds UE refineries. So yes, we are discussing and talking with them but uh not not very concrete in in this financial year 24:17 24 minutes, 17 seconds uh to go there and expand but yes I'm trying to uh to to put up our facilities to its highest possible capacity so that 24:25 24 minutes, 25 seconds you know whatever we are doing well that's and when we expand and what's the major risk and challenges 24:33 24 minutes, 33 seconds you see for next maybe year or two in your business 24:40 24 minutes, 40 seconds uh so uh certain certain risk management are already uh done and taken place I 24:48 24 minutes, 48 seconds mean taken care of so I don't see major uh setbacks or any some anything major 24:55 24 minutes, 55 seconds in the system plus minus few things are there but it's okay it's it's it's a part of 25:02 25 minutes, 2 seconds and scaling wise are you sufficiently man uh in headcount or manpower or senior management perspective are 25:09 25 minutes, 9 seconds sufficiently a headcount you already have or you want to recruit somebody. I just want to understand that piece also once. 25:16 25 minutes, 16 seconds So uh of course uh as we are growing uh the the workload also increases the 25:23 25 minutes, 23 seconds mentor also increases as of now uh the mentor has increased substantially. Well 25:30 25 minutes, 30 seconds uh uh we are yes recruiting lot of uh fresh engineers and lot of fresh recruits for our upcoming facilities 25:38 25 minutes, 38 seconds also. So yes man power has to be increased and uh the training the the the process of uh of of people is a part 25:48 25 minutes, 48 seconds of the cycle. So it is continuous process for each of the verticals do you have you're planning for separate heads or 25:55 25 minutes, 55 seconds something of that sort. I just want to understand that piece also. 26:00 26 minutes So every vertical has their own their own management team. Of course the management teams cannot be changed. The 26:08 26 minutes, 8 seconds uh the the leaders cannot be changed but yes the team of the leaders has to be increased uh day in day out and that is how we can grow. 26:18 26 minutes, 18 seconds Okay sir. Thanks and all the best for the future. 26:22 26 minutes, 22 seconds Thank you sir. Sir now we'll take the next question from Taher s. 26:30 26 minutes, 30 seconds Hi sir uh congrats on the good set of number sir. Thank you for uh sir I have just two questions. 26:37 26 minutes, 37 seconds Firstly uh do we have any plan to raise funds via debt or equity anything 26:45 26 minutes, 45 seconds in coming future for next two years. So debt or raising debt is something which is a continuous process as in when we 26:54 26 minutes, 54 seconds need a working capital. So we do approach the bank and for working capital enhancement and all those 27:01 27 minutes, 1 second things. Equity as of now uh we haven't planned anything yet. And so as of now 27:10 27 minutes, 10 seconds we haven't planned any but working capital definitely will increase uh both in the parent as well as in the subsidiaries with Bangkok. 27:21 27 minutes, 21 seconds Okay. Okay. And one last question on the acquisition. So we are pl we were planning to do two acquisition on the metal recycling plant and plastic 27:28 27 minutes, 28 seconds recycling plant. Any updates on that? So metal recycling plant has already been 27:34 27 minutes, 34 seconds acquired and as I mentioned earlier also that the the retrofit and the modifications and 27:44 27 minutes, 44 seconds all those thing that were required to be done at the plant is in process and would be completed by this month end and 27:52 27 minutes, 52 seconds uh we may see uh revenue getting generated from next month onwards in the metal recycling. Plastic recycling is 28:00 28 minutes still under discussion. It is still not yet uh finalized. 28:06 28 minutes, 6 seconds Okay. Okay. Sir, last question on the working capital. Uh at we targeting around 200 of topline for FI27. So what 28:15 28 minutes, 15 seconds amount of working working capital will be needed for that much growth for that amount of revenue if you can. So see as 28:22 28 minutes, 22 seconds of now we are at uh around 21 crores of working capital with the current uh 28:29 28 minutes, 29 seconds revenues. Um maybe uh looking to the the debt market and the kind of requirements 28:37 28 minutes, 37 seconds of the bank maybe we can go up to 3540 crores in this coming financial year or a slightly higher. 28:47 28 minutes, 47 seconds So what sir? 28:49 28 minutes, 49 seconds Means currently we are at a date of 21 crores working capital from banks. Okay. 28:55 28 minutes, 55 seconds So in this current year we may need further but that may go up to 35 to 40 crores not more than that as of now that is in the parent like Felix industries. 29:08 29 minutes, 8 seconds In Oman we uh we are working on getting working capitals limits from there. So 29:14 29 minutes, 14 seconds that will definitely be close to uh 20 25 crores there also because as of now everything has been funded through 29:23 29 minutes, 23 seconds equity in Oman. So now we need to have uh bank limits from Oman as well. So 29:31 29 minutes, 31 seconds okay and is any amount you are planning to raise through debt in any range or something if they can provide 29:39 29 minutes, 39 seconds mean this is the debt part only which I was speaking about. Uh yes. Okay. Okay. 29:44 29 minutes, 44 seconds Okay. Okay. Sorry. Uh the yes that was from my side. Thank you. Thank you again. 29:52 29 minutes, 52 seconds Thank you sir. We'll take the next question from Nalin Sha. 30:09 30 minutes, 9 seconds Yes. Go ahead Mr. Nalin. Nalin. 30:20 30 minutes, 20 seconds Hello Nalin. 30:23 30 minutes, 23 seconds Ma'am, can you move to the next participant then? Hello. Audible. Yes. 30:30 30 minutes, 30 seconds Okay. Yeah. Myself Kiti. Uh, so sir, first of all, I would like to congratulate you on the great set of 30:37 30 minutes, 37 seconds numbers. So before my main question, can I just confirm that the company remains comfortable with the FA27 guidance of 30:44 30 minutes, 44 seconds 180 to 200 crores of revenue, a beta margin of 31 to 32% and PAT margin of 17 to 20%, right? 30:52 30 minutes, 52 seconds Yeah, please please go ahead with your question first then we'll Asha. Uh so sir, so basically as you have said there's a large opportunity in 31:01 31 minutes, 1 second the Middle East particularly through the Oman operations. So are we seeing similar opportunities from refineries in India? 31:10 31 minutes, 10 seconds So we are currently not targeting any of these. The processes that we have established in Oman are not replicated 31:18 31 minutes, 18 seconds here in India. India is majorly all water business. So we are continue 31:25 31 minutes, 25 seconds continuing to focus only on uh the respective segments and the current businesses that we have. So as of now we 31:33 31 minutes, 33 seconds we are not uh going in that direction of anything similar to Oman being done here. So no. 31:41 31 minutes, 41 seconds Okay. And uh you are sticking to the guidance right of 200. 31:46 31 minutes, 46 seconds So guidance remains uh in that line only but uh we close to those numbers definitely we are targeting those numbers. 31:56 31 minutes, 56 seconds Okay. And sir for the like FI 30 have you set some aspirational revenue FYI 30 32:04 32 minutes, 4 seconds FI 30 yeah madam that's a too long a horizon so mean aspirational we can be close to 32:13 32 minutes, 13 seconds 1,000 crores also but that is a very wrong estimate so we would not like to make that kind of a statement as of now 32:22 32 minutes, 22 seconds okay so that's it for thank you Thank you. Uh we'll take the next question from Tjas, sir. 32:34 32 minutes, 34 seconds Hello. Am I audible? Yes. 32:37 32 minutes, 37 seconds Yes. Thank you for the opportunity. Uh most of my questions are answered. Just wanted a light on uh this one. I just 32:46 32 minutes, 46 seconds wanted to understand how the war is uh affecting us or benefiting us. Uh and 32:54 32 minutes, 54 seconds yeah just that so war I mean you are asking like is war helping us or is it affecting our business? 33:02 33 minutes, 2 seconds Yeah yeah yeah yeah what is actually happening and give a light on this topic. 33:07 33 minutes, 7 seconds So basically we had he we had certain issues in the Oman operations because of the war. Obviously Oman is part of the 33:16 33 minutes, 16 seconds Middle East and everything had come to a standstill in Feb March. So there was definitely a slowdown there but now with 33:24 33 minutes, 24 seconds things coming to normalization we the work has again started things are again looking good we have orders in hand so 33:34 33 minutes, 34 seconds things are going back to normal as far as India operations is concerned there is a global liquidity challenge which is 33:41 33 minutes, 41 seconds also affecting us but we are confident that we we may not have those kind of serious liquidity problems but yes 33:50 33 minutes, 50 seconds payments are everywhere in the system or across uh companies we have seen that payments are getting delayed people are 33:59 33 minutes, 59 seconds holding on to their working capital so there is definitely an impact 100% there is an impact 34:07 34 minutes, 7 seconds okay understood just a follow-up question on this just yes is there any labor availability issues in Oman or in 34:15 34 minutes, 15 seconds India or anything like that labor no because u to 34:25 34 minutes, 25 seconds some part of our operations are like the manufacturing of the plants. We do uh get it manufactured through vendors. So a large part of it is managed by them. 34:37 34 minutes, 37 seconds As of now we do not see that challenge but yes uh skilled manpower is a big 34:44 34 minutes, 44 seconds challenge for the country as a whole. So that is definitely affects us as well. 34:50 34 minutes, 50 seconds Oman we don't see any problem as such means workforce is there is available there that is not an issue there. 35:00 35 minutes Okay understood. Thank you. That's all from my Thank you sir. Uh we'll take the next 35:09 35 minutes, 9 seconds question from Deepak sir. 35:17 35 minutes, 17 seconds No, I'm audible sir. Yes. 35:20 35 minutes, 20 seconds Okay. U just wanted to understand now debt addition you spoke about 2025 crores in Oman and 30 35 40 crores in in 35:29 35 minutes, 29 seconds Felix Tanal. So total debt addition we are looking at 60 70 crores or I mean I no no no I I didn't say that. I said in 35:37 35 minutes, 37 seconds in India Felix it may go up from 21 to 3540 and in Oman it would be additional 2025. 35:49 35 minutes, 49 seconds So addition of so addition of 10 to 15 crores in India operations on the debt side and 20 25 35:57 35 minutes, 57 seconds crores on in Oman. So around 40 crores round about addition we made. Yes. 36:05 36 minutes, 5 seconds And and and now now since you mentioned the Oman is coming back to normal. I mean in terms of margins also you will see normalized margin from one future. I 36:14 36 minutes, 14 seconds mean because P was impacted right so that your annual whatever you are targeting in terms of 30 31% will be 36:21 36 minutes, 21 seconds visible from first quarter onward mean margins mean with the impact of war I don't see any issue with the margins 36:29 36 minutes, 29 seconds because the I mean we will be able to maintain those kind of margins I don't see any issues there some slight here 36:38 36 minutes, 38 seconds and there can be there but not very major impact Okay. No because fourth quarter we saw major impact, right? I 36:46 36 minutes, 46 seconds mean that that is because of the but from first quarter onward it will be a normalized level. I mean would that be a reason? 36:52 36 minutes, 52 seconds See for us like uh always there with the end of the year coming in our revenues and all those. So some there would 37:01 37 minutes, 1 second always be skewed numbers here and there because we are into project based uh delivery. Okay. So sometimes the project 37:10 37 minutes, 10 seconds deliveries get delayed and all those things. So numbers tend to uh vary uh because of those delivery schedules and 37:18 37 minutes, 18 seconds the project completion stages and all those things. So if you go by quarter on quarter that there can be a ratio here 37:27 37 minutes, 27 seconds and there but largely we are hopeful that we will be able to maintain the margins. 37:35 37 minutes, 35 seconds I I got it. Yes. Yeah. I think that would be from my side. Thank you. Okay. 37:47 37 minutes, 47 seconds We'll take the next question from Ankurati. Hello. 37:57 37 minutes, 57 seconds Yes sir. 38:04 38 minutes, 4 seconds segment by segment or sir. 38:14 38 minutes, 14 seconds So like the total uh revenue for felix India uh 40 45 crores is like EPC and 35 38:25 38 minutes, 25 seconds 34 35 crores is uh this services. 38:30 38 minutes, 30 seconds Operation operation revenue. This is for full year of right. Ah full year. Full year. Yes. Okay. 38:37 38 minutes, 37 seconds And uh Oman is uh Oman is basically majorly oil processing only. 38:45 38 minutes, 45 seconds So that is 20 crores for the entire year. 38:49 38 minutes, 49 seconds So 27 cr revenue Q37. 38:56 38 minutes, 56 seconds So 10 increment if you can expl help us understand please quarter on quarter 39:06 39 minutes, 6 seconds miss I think that was because of EPC completion of some projects. 39:12 39 minutes, 12 seconds So that was basically we are executing a uh common effluent treatment plant uh facility that we are creating wherein we are also a partner there as well. 39:24 39 minutes, 24 seconds that contributed to the revenue growth 39:32 39 minutes, 32 seconds fourth quarter I think bad margin% compared to let's say peace% purchase 39:41 39 minutes, 41 seconds reason quarter four uh so basically uh some some overhead 39:49 39 minutes, 49 seconds costs that have gone up in because there were certain and this project this one 39:56 39 minutes, 56 seconds CP as well as another project of Hokco that we were doing. So those expenses 40:03 40 minutes, 3 seconds and sharp increase. So because of that uh there is a impact on the margins. 40:12 40 minutes, 12 seconds So 40:22 40 minutes, 22 seconds ing June June not June but July we are hopeful that we will complete that 40:28 40 minutes, 28 seconds project. So that would be operational by September or that kind of a testing and 40:35 40 minutes, 35 seconds all those things will happen. By September we are hopeful start at least Q1. 40:55 40 minutes, 55 seconds But yes, EPC plus shareholding project. 41:11 41 minutes, 11 seconds So, CTP projecting 41:36 41 minutes, 36 seconds we are expecting it would be revenue. 41:42 41 minutes, 42 seconds Okay. And so 41:49 41 minutes, 49 seconds EPC XOB there is one one order which is in what 41:56 41 minutes, 56 seconds you say PO stage that is another 15 crores. Then there are some under discussion orders. 42:06 42 minutes, 6 seconds So this is close to and then we have 42:12 42 minutes, 12 seconds WMC invenueal 42:22 42 minutes, 22 seconds CTP estim 42:50 42 minutes, 50 seconds five months practically We will test that 42:59 42 minutes, 59 seconds contract. So monthly monthly we can consider 1 cr as a revenue. Uh so 12 crime. 43:07 43 minutes, 7 seconds Okay. Okay. Uh or working capital. 43:21 43 minutes, 21 seconds There are some old things that have to be cleared up because 43:28 43 minutes, 28 seconds other than that largely it is under control. 43:42 43 minutes, 42 seconds concern area. 43:45 43 minutes, 45 seconds So that that is good for us but then that is fine. That is part of 43:53 43 minutes, 53 seconds the overall situation that it is 44:03 44 minutes, 3 seconds approximately 44:21 44 minutes, 21 seconds 100% we are a bit conservative today uh on calculating our operating cycles we 44:27 44 minutes, 27 seconds might cross these numbers to 100% okay or Oman there was some discussion 44:36 44 minutes, 36 seconds sorry I can be wrong on that but there was some discussion on second or third phase any any further insight that. 44:43 44 minutes, 43 seconds So as of now we are just trying to uh to push the the plant to its maximum capacity. 44:49 44 minutes, 49 seconds Once it is through then we will start about the expansion and the second phase. Okay. 44:57 44 minutes, 57 seconds Because we are we are right now flooded with few orders and commitments of large units. So you know we are being little 45:05 45 minutes, 5 seconds focused on the operations today. 45:10 45 minutes, 10 seconds Okay. All right. Thank you. All the best. 45:19 45 minutes, 19 seconds Thank you. Uh we'll take the next question from Abishek Agraal. Yeah. Hi. Uh am I audible? 45:29 45 minutes, 29 seconds Yes. Yeah. Thank you for taking my question. 45:32 45 minutes, 32 seconds Uh my question was uh more on the plastic recycling uh unit that we are looking to acquire a few months back. So 45:39 45 minutes, 39 seconds uh what is the update on those two three units that we were looking to uh you know acquire and um henceforth what kind 45:46 45 minutes, 46 seconds of uh revenues or you know uh business are we expecting from those units? 45:52 45 minutes, 52 seconds See that that discussion and means the shareholding and number 46:00 46 minutes that is the only thing that is pending but at the back end 46:08 46 minutes, 8 seconds but only thing number crystiz so that is where it is stuck maybe I I 46:16 46 minutes, 16 seconds can't give a date which by can tell you better 46:24 46 minutes, 24 seconds So it is the the plant is already now in in operations. We are doing our best. we increase the the numbers and uh and the 46:33 46 minutes, 33 seconds operations are increased to to our maximum capacity but I think uh we should still wait for about next two or 46:40 46 minutes, 40 seconds 3 months to to come on uh to come on our books and so that is how so are there chances can these uh deal 46:49 46 minutes, 49 seconds falter or you know we'll get through with this deal and you know start off with the no no zero zero zero aa okay so that's not it's just about time before you know that Yeah, sure. 47:00 47 minutes Uh, sure. That helps. And anything uh on the horizon that we're looking to you know acquire or you know get into uh different kind of a technology or you 47:08 47 minutes, 8 seconds know uh you know start off with operations of some kind uh anything on the horizon say maybe 6 12 month down the line. No. 47:15 47 minutes, 15 seconds So as of now as of now nothing because we have enough uh platter for next two years to right try right 47:23 47 minutes, 23 seconds sure that [clears throat] helps. Uh just wanted to confirm on that from sure that helped that was all from my side. Wish you all the very best. 47:31 47 minutes, 31 seconds Okay. 47:33 47 minutes, 33 seconds Thank you. We'll take the next question from Apurva Sharma. 47:45 47 minutes, 45 seconds Hello. Am I audible? Yes. 47:48 47 minutes, 48 seconds Yes. Congratulations sir for good set of numbers. My my questions most of them are answered just one uh the asset 47:55 47 minutes, 55 seconds reclamation plant uh in Punjab uh number one have we do we have the CPCB approval? 48:03 48 minutes, 3 seconds So these the entire trial uh unit that we had established in an in an in very 48:10 48 minutes, 10 seconds good establishment and uh as of now we are not commercially uh putting up the 48:17 48 minutes, 17 seconds uh unit as of now. So now we are working on the the the land acquisition and the 48:24 48 minutes, 24 seconds the PCB and the solution vendor boards approvals and all for the method. So it it will take some time uh for the commercial approach. 48:35 48 minutes, 35 seconds Okay. So in in last in your PPT also sir you have mentioned some encouraging results. So what what exactly 48:43 48 minutes, 43 seconds is that? You know this is this is the first time uh where somebody can successfully do acid reclamation and uh 48:51 48 minutes, 51 seconds and and uh fortunately we have patched the process. So now it is time to to 48:58 48 minutes, 58 seconds think about the commercial establishment of this. 49:02 49 minutes, 2 seconds Okay. And and the primary primary sectors companies we are targeting will be textiles and steel picking since it's Punjab. 49:10 49 minutes, 10 seconds uh mostly tax sorry mostly steel uh electroplating uh so it is not only Punjab I don't know 49:18 49 minutes, 18 seconds how well this uh Punjab came into picture but yes it is not only Punjab it is uh nationwide that there are huge 49:25 49 minutes, 25 seconds steel plants there are huge chemical plants uh which uses acids as the daily 49:31 49 minutes, 31 seconds raw material so that can be our target okay 49:40 49 minutes, 40 seconds Okay. So just one thing uh lately uh you know in water waste infra uh there are few players in India that 49:49 49 minutes, 49 seconds are also working on uh uh nano filtration and other filtration process have do we have plans in entering that 49:56 49 minutes, 56 seconds market since it's not majorly right now a big industry in India but it's it's one of the most widely accepted practices. 50:06 50 minutes, 6 seconds So we are already using these processes nan of impressions and all. Uh it is part of the processes that we do. 50:14 50 minutes, 14 seconds It is already at that place. 50:17 50 minutes, 17 seconds And going forward sir when whenever the the plant uh is commercialized what sort of revenue 50:24 50 minutes, 24 seconds uh weightage would we have from the entire uh our total Felix revenue from the asset reclamation? So I believe if 50:32 50 minutes, 32 seconds we start the SE declamation uh at a good scale it should match the standard numbers itself. 50:41 50 minutes, 41 seconds Okay. And and this asset reclamation that we are doing I mean is it is it the HCL hydro all acids? 50:49 50 minutes, 49 seconds Okay. All assets hydrochloric self and nitrate nitrate. Okay. And this is the in-house technology you are saying. So any patent we are going for? 50:57 50 minutes, 57 seconds So as of now nothing like patent has been done. A lot of processes we have but it doesn't matter 51:05 51 minutes, 5 seconds the process we didn't mind so it doesn't matter. 51:09 51 minutes, 9 seconds Okay. Okay. Thank you so much. All the best. 51:14 51 minutes, 14 seconds Thank you so now take the questions from Q&A chat box. I'll just read out the questions. 51:23 51 minutes, 23 seconds The first question is what are the timelines for mainboard migration? 51:31 51 minutes, 31 seconds Uh um uh hello madam can you answer what are the timelines? [snorts] 51:40 51 minutes, 40 seconds Yeah uh uh actually sir we are in the process of uh preparing the documents 51:46 51 minutes, 46 seconds for the prospectus. So this update uh uh on part wise part wise when the 51:52 51 minutes, 52 seconds documentations are completed no so overall what 2 months 3 months four months what it will take around five to six months. 52:03 52 minutes, 3 seconds Okay. 52:07 52 minutes, 7 seconds So the another question is our corporate uh structure has multiple different lines of recycling. Is there any way to separate the business into water, waste 52:16 52 minutes, 16 seconds and material separately? Do these business share the same capacity or are these facilities a separate line of 52:26 52 minutes, 26 seconds Is there any way to segregate the business into water and materials? Separately. 52:34 52 minutes, 34 seconds Okay. Do these businesses share uh the same capacity or these? So generally uh 52:42 52 minutes, 42 seconds like water is mostly Felix India waste oil processing it is uh Oman and again 52:50 52 minutes, 50 seconds if it is plastic so we have segregated different uh the verticals into different companies. So generally we are 52:59 52 minutes, 59 seconds not mixing up uh any of the things like Felix India doesn't felix industries doesn't do any plastic recycling and all 53:07 53 minutes, 7 seconds those things. So basically the segregation is at the company level. 53:13 53 minutes, 13 seconds Do these businesses share the same capacity or are these obviously the capacities are different? 53:22 53 minutes, 22 seconds So the next question is uh from any of your business verticles are you generating carbon credit units? 53:31 53 minutes, 31 seconds So there are multiple forms of uh carbon credits and uh uh the EPR activities that have been placed. So uh as of now 53:39 53 minutes, 39 seconds we are not generating any commercial numbers on the carbon credits but yes in future we will. 53:48 53 minutes, 48 seconds So the next question is have you secured any orders under Rajasthan's industrial water recycling mandates or CTP revival programs considering many opportunities in Rajasthan as well. 54:00 54 minutes Yes, we are in already in discussion with uh with few of the of the large uh 54:07 54 minutes, 7 seconds uh you know waste uh management companies also with the government. I don't know as of now how we will secure 54:16 54 minutes, 16 seconds it but yes uh uh we do have certain knowledge about it and our our team is actively working over it. 54:28 54 minutes, 28 seconds Okay sir. Uh thank you for such an engaging session. I now invite the management to share the closing remarks. 54:36 54 minutes, 36 seconds So thank you all for attending us and uh such a peaceful question and answer 54:44 54 minutes, 44 seconds session and uh I believe uh we are we are we are qualifying and satisfying the 54:52 54 minutes, 52 seconds most uh uh prestigious shareholders that we hold and thank you for attending. Thank you. Thank you madam. 55:00 55 minutes On behalf of Felix Industries Limited, thank you for joining today's call. You may disconnect now.