Ganesh Benzoplast Ltd — Q3 FY26

Ganesh Benzoplast Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=aO7hNSvLFVQ Published: 2 months ago

0:01 1 second Ladies and gentlemen, good day and welcome to Ganesh Benzoplast limited Q3 and FI26 earning conference call. As a 0:09 9 seconds reminder, all participant line will be in the listenon mode and there will be an opportunity for you to ask question after the presentation concludes. Should 0:18 18 seconds you need assistance during the conference call, please signal an operator by pressing star then zero on your touchdown phone. Please note that 0:27 27 seconds this conference is being recorded. I now hand the conference over to Mr. Rishi Pilani, chairman and managing director 0:34 34 seconds at Ganesh Benzoplas limited. Thank you and over to you sir. 0:40 40 seconds Uh good afternoon everybody. Uh thank you so much for joining us for the Q3 FY26 conference call. We will initiate 0:49 49 seconds the call by taking you through the business highlights for the period under review. After which we will open the forum for question and answers. I hand 0:58 58 seconds over the call to Mr. Ramar Kamra the GM finance and tax taxation to share the quarter numbers with you. 1:05 1 minute, 5 seconds Yeah. Hi, good afternoon everyone. So I will share the brief about the numbers of this quarter. On console basis during 1:13 1 minute, 13 seconds the quarter Q3 of financial year 26 the company achieved a total revenue of 1053 million as compared to 892 million for 1:22 1 minute, 22 seconds the corresponding quarter in the previous year with an increase of 18% Y on Y. The company earned a profit after 1:29 1 minute, 29 seconds tax of 162 million as against 184 millions for the corresponding quarter in the previous year in spite of substantial increase in lease rental 1:37 1 minute, 37 seconds provision for J&P terminal. For 9 month ended financial year 2026, the company achieved a turnover of 29 million as 1:47 1 minute, 47 seconds compared to 2744 million in the corresponding period in the previous year with an increase of 9% Y on Y and 1:54 1 minute, 54 seconds the profit after tax increased to 580 million as compared to 513 million in the corresponding period in the previous year with an increase of 13% Y on Y. 2:04 2 minutes, 4 seconds During 9 months of this current year, the turnover of chemical business of the company increased to 139 million as against 1254 million in the 2:12 2 minutes, 12 seconds corresponding period in the previous year with an increase of 11% Y on Y and the profit before tax increased to 187 2:20 2 minutes, 20 seconds million as compared to 137 million in the corresponding period in the previous year with an increase of 36% Y on Y and 2:28 2 minutes, 28 seconds the EPS for 9 month of current year increased to 8.06 06 as compared to 7.12 in previous year on standalone basis 2:37 2 minutes, 37 seconds during the Q3 of financial year 26 the company achieved a total revenue of 68 million as compared to 550 million for 2:44 2 minutes, 44 seconds the corresponding quarter in the previous year with an increase of 25% Y on Y. The company earned a profit after 2:51 2 minutes, 51 seconds tax of 141 million as against 161 million for the corresponding quarter in the previous year in spite of substantial increase in lease rental 2:59 2 minutes, 59 seconds provision for G&P terminal. For current year's 9 months, the company achieved a turnover of 1874 million as compared to 3:07 3 minutes, 7 seconds 1578 million in the corresponding period in the previous year with an increase of 19% Y on Y and the profit after tax 3:14 3 minutes, 14 seconds increased to 490 million as compared to 46 million in the corresponding period in the previous year with an increase of 5% Y on Y. This is in spite of 3:23 3 minutes, 23 seconds substantial increase in the lease rental. APS for 9 month of current year is increased to 6.82 as compared to 6.47 47 of last year. So this was the highlight for Q3 of financial year 26. 3:35 3 minutes, 35 seconds Now I would like to open the forum for question and answer. 3:39 3 minutes, 39 seconds Thank you so much sir. Ladies and gentlemen, we will begin with the question and answer session. Now anyone who wishes to ask a question may press 3:46 3 minutes, 46 seconds star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are 3:54 3 minutes, 54 seconds requested to use handsets while asking a question. Ladies and gentlemen, we'll wait for a moment while the question queue assembles. 4:07 4 minutes, 7 seconds Our first question come from the line of Bhavesh Patil from Patel Investment. Please go ahead. 4:13 4 minutes, 13 seconds Uh hi, thank you for the opportunity and uh congratulations on good set of numbers. Uh the question first question 4:21 4 minutes, 21 seconds that I have is now that the LPG joint venture with BWLPG has been terminated and uh Ganesh Benzu has reclaimed that 4:30 4 minutes, 30 seconds 4.5 hectares of land at JNPD. Can you please provide me a definitive timeline for the plant whatever 150 200 cr capex 4:40 4 minutes, 40 seconds plant that we have and are we specifically prioritizing high uh margin products like ammonia or cryogenic storage. 4:50 4 minutes, 50 seconds So um thank you Bavesh. Um so the work has already started on the 4:57 4 minutes, 57 seconds construction. We are expecting that the first phase will be ready in the first 5:04 5 minutes, 4 seconds quarter of uh FY uh 27 26 27 2627 5:13 5 minutes, 13 seconds and the entire construction will be completed with commissioning uh in a by the end by the beginning of FY 2728. 5:27 5 minutes, 27 seconds Okay, that's great. Uh and and the next question is around that uh new and and again very happy and pleased that we 5:35 5 minutes, 35 seconds have received 51.33 crore order from Reliance Industries for that carbon fiber project uh that we have now. Do we 5:43 5 minutes, 43 seconds want to uh pivot our uh infraineering subsidiary into a large larger EPC firm 5:51 5 minutes, 51 seconds uh especially with uh because you know newer ports and uh closer to Mumbai we have Vadwan port with almost 75,000 cr 6:01 6 minutes, 1 second outlay so would that uh both from a storage as well as uh EPC for storage uh 6:09 6 minutes, 9 seconds for at such ports uh can be considered for are substantial uh increase in the revenue for uh subsidiary of uh GBL Infra. 6:21 6 minutes, 21 seconds Uh see the subsidiary like I have always uh explained in my earlier calls we do a 6:29 6 minutes, 29 seconds lot of and we prefer to do lot of customer and strategic uh EPC works 6:37 6 minutes, 37 seconds rather than uh going in the market to do works. So you are right if there are opportunities to work on port port 6:46 6 minutes, 46 seconds related uh infrastructure tank farms then yes this EPC will be will get involved in it. 6:56 6 minutes, 56 seconds Um okay okay and and again a question which is at our mind which is uh Q3 7:03 7 minutes, 3 seconds auditors report was very clean regarding the unauthorized transactions. Can we now consider this legacy issue as closed 7:12 7 minutes, 12 seconds while the court case continues or is there any other pending contingency that the balance sheet needs to have and we as investor needs to be aware of? 7:23 7 minutes, 23 seconds See the event happened in financial year 2324. So for that particular financial year auditor has already given their comment and it's shown as a contingent 7:31 7 minutes, 31 seconds liability in the balance sheet. So obviously that is a one-time activity and it cannot be continued as a ongoing 7:38 7 minutes, 38 seconds next year's audit para and all these things and obviously uh Rishi will give 7:45 7 minutes, 45 seconds the brief about the what's going on. So see the thing is that we have always 7:51 7 minutes, 51 seconds maintained that there is absolutely no liability that can come on the company 7:58 7 minutes, 58 seconds based on this since the company has not authorized any transactions in their 8:04 8 minutes, 4 seconds official capacity ever and I uh and I agree with you that as far as we as management can see there is 8:13 8 minutes, 13 seconds absolutely no chance of any liability coming on the company because of is yes the court cases will continue and we continue to u address them legally. 8:26 8 minutes, 26 seconds Great thank you Rishi and and probably the last question any specific action we're taking for increasing Goa 8:34 8 minutes, 34 seconds utilization while uh both Kochi and JMPD is doing great. 8:40 8 minutes, 40 seconds Uh yes we are uh taking certain approvals to uh handle a different uh 8:47 8 minutes, 47 seconds type of petroleum product there. The approvals are in process right now. So if if uh we get the approvals and we 8:56 8 minutes, 56 seconds subsequently get the contracts based on those approvals then yes Goa utilization will also start looking up. 9:06 9 minutes, 6 seconds Fantastic. Thank you very much and best wishes. 9:09 9 minutes, 9 seconds Thank you very much. Thank you very much. Thank you. 9:15 9 minutes, 15 seconds Our next question come from the line of Anuk from Invit. Please go ahead. 9:20 9 minutes, 20 seconds Yeah. Hi sir, thanks for the opportunity. Uh sir, I had first question on our margins front. Uh sir, why have a margins on the gross level? 9:28 9 minutes, 28 seconds If you can just uh clarify that margin on 9:37 9 minutes, 37 seconds margins on the gross level are gross margins have declined. 9:43 9 minutes, 43 seconds So see on standalone basis you can clearly see uh there is no decline in the rental income of the company. There 9:50 9 minutes, 50 seconds is increase in the rental income of the company. the margin has been declined due to the increase in the lease rental compar. 10:00 10 minutes Yeah. So if you will compare so on stand on console basis I will give the example like the December 2025 console basis the 10:09 10 minutes, 9 seconds revenue is 1053 million as against there there was a revenue of 10:15 10 minutes, 15 seconds 892 million in corresponding quarter of last year. So uh there is increase in the revenue at the same time there is 10:25 10 minutes, 25 seconds increase in the profit after tax. If we exclude the uh substantial increase in the lease rental then the profit of tax 10:34 10 minutes, 34 seconds would be around 19 cr instead of 15.17 cr. So we have maintained that uh numbers. It's not a declining one 10:41 10 minutes, 41 seconds because this lease was due and it uh this year we have taken the provision of that lease rental substantial lease rental increases there. So uh there is a 10:51 10 minutes, 51 seconds means if you exclude that thing then obviously there is a increase in the profit only. So there is no decline. 10:57 10 minutes, 57 seconds Actually chemical is also well because you can see the segment wise chemical 11:05 11 minutes, 5 seconds has performed well from 14 cr it went to 18 cr in the 9 month period and this LST 11:12 11 minutes, 12 seconds division also it is able to maintain the profit even though there is a substantial increase in the lease rental. 11:20 11 minutes, 20 seconds Got sir. So if you can just quantify uh how much of the provision have we taken in? 11:25 11 minutes, 25 seconds Yeah. So previously we were taking a lease rental provision of 2 cr for the full year for one of the plot old plot 11:35 11 minutes, 35 seconds and now that has been reset to some 24 crores. So there is an increase of almost 22 cr for the full year and this 11:42 11 minutes, 42 seconds is the first year where such a substantial increase has happened. So that is the contest. 11:49 11 minutes, 49 seconds Uh I think last call you mentioned that uh 8 cr hit we had taken uh for for the increase in lease expense and uh so how 11:58 11 minutes, 58 seconds much have we taken in for this quarter particularly. 12:03 12 minutes, 3 seconds So for total year it's a 24 cr. So proportionately for 9 months we have taken that amount like 17 18 cr which 12:12 12 minutes, 12 seconds was previously 2 cr for full year. So this is the difference between the lease rental of previous year and the current year. 12:21 12 minutes, 21 seconds Understood sir. So sir uh so will this epida margins of 21 22 odd% will this be the new normal going forward or will it inch up further? 12:32 12 minutes, 32 seconds See beta margin almost we are we are maintaining on the similar level like 50 51% for rental income for chemically 12:41 12 minutes, 41 seconds beta margin is around 15%. So obviously that trend will continue. 12:45 12 minutes, 45 seconds See we are obviously the increase in lease rental does not mean that there is 12:51 12 minutes, 51 seconds a uh there will be a small period where you will have to catch up your rentals 13:00 13 minutes uh which is your income rental to catch up with the increase in the lease rentals. So that process is going on. We 13:08 13 minutes, 8 seconds this year we are uh pushing our customers to increase the rentals even more than what they usually do so that 13:17 13 minutes, 17 seconds uh you know we can start covering up this increase in what has happened in the lease rentals. 13:21 13 minutes, 21 seconds That's why that's why you are seeing the that even after providing this 17 cr of extra liability still there is no much difference between the pat 13:30 13 minutes, 30 seconds some one or two crores lesser than the corresponding 9 months period of last year. So that is covering up but but still what you're uh what you're 13:39 13 minutes, 39 seconds uh saying is correct that the the catchup cannot be overnight. It will be 13:45 13 minutes, 45 seconds over time but I would not expect the AITA margins to remain where they are. 13:52 13 minutes, 52 seconds They I would expect that again they will slowly slowly slowly start climbing up to the previous levels. 14:01 14 minutes, 1 second I hope that answers your question. 14:03 14 minutes, 3 seconds Yes. Yes definitely definitely sir. So one more question I had that we had recently taken a reliant EPC work. So uh 14:12 14 minutes, 12 seconds is reliance uh offering lower margin business or how are the margins on dash? 14:19 14 minutes, 19 seconds So in any EPC business you expect a margin range of anywhere between 5 to 14:26 14 minutes, 26 seconds 10%. Usually that's the norm and we expect that this contract will be in those lines also. 14:38 14 minutes, 38 seconds Okay. So uh this being a low margin so why have we taken this uh work like anything you can uh tell me about this? 14:48 14 minutes, 48 seconds I I've I I if you go through my previous calls, what we do is we use these 14:55 14 minutes, 55 seconds opportunities very selectively to create different type of uh requirements and uh 15:03 15 minutes, 3 seconds things for the infra business to support. Reliance is um uh storing a lot 15:10 15 minutes, 10 seconds of products with us. uh they are looking to expand their storage business with us 15:16 15 minutes, 16 seconds and uh as a as a support to them to understand uh you know build better 15:24 15 minutes, 24 seconds customer relationships you you take these calls I mean as long as you make some money you don't make every money 15:31 15 minutes, 31 seconds but you every business cannot make the same money but as long as you're making money and you're building better 15:38 15 minutes, 38 seconds relationships with your clients what's the harm Got it sir. So like are we expecting uh 15:47 15 minutes, 47 seconds any sort of good more work order from Reliance going forward? Like will it get in a good synergy for us? 15:55 15 minutes, 55 seconds I mean that's what we hope. Is there anything committed on paper? No. 16:01 16 minutes, 1 second But you always have this thing that you know when you are working with a company on multiple levels 16:09 16 minutes, 9 seconds then obviously you become their first choice for storage and that is what we aim for. 16:18 16 minutes, 18 seconds Got it sir. Got it sir. So uh when you had mentioned that uh that the margins would inch up to to the previous level. 16:26 16 minutes, 26 seconds So any specific timeline as to when this will in preferably in one year's time or two years time if we can decide like that. 16:34 16 minutes, 34 seconds Uh ideally I would like it to inch up tomorrow if but 16:41 16 minutes, 41 seconds um but very difficult to say this is not how hello. 16:50 16 minutes, 50 seconds Yes. Hello. 16:53 16 minutes, 53 seconds Hello. So very very very difficult to say whether it is uh one year or 2 years 17:00 17 minutes but all we would imagine that uh it should we our hope would be that within 2 years we catch up to those margins. 17:13 17 minutes, 13 seconds Got it sir. Uh uh lastly sir I have few questions on the capeex front. uh so 17:20 17 minutes, 20 seconds what's the progress of our capex on a class tanks that we started with uh and when will the numbers start reflecting 17:27 17 minutes, 27 seconds for this I I answered this same question on the first call I said that we are 17:33 17 minutes, 33 seconds expecting that uh we should uh get a 50% uh the of the capacity ready we are 17:42 17 minutes, 42 seconds approximately expanding by 1 lakh kl so we are expecting that about 50% to 40 to 50% of the capacity should be ready by 17:50 17 minutes, 50 seconds the first quarter of next year and the balance should be ready by first quarter of the year after that. 18:02 18 minutes, 2 seconds Understood. And sir, uh what is the incremental revenue we are expecting from this? 18:09 18 minutes, 9 seconds So our estimate is that we should be once the full uh capacity is 18:16 18 minutes, 16 seconds commissioned we should have a range of approximately uh 18:23 18 minutes, 23 seconds 45 to 50 crores of additional topline due to this. 18:33 18 minutes, 33 seconds And what would be the margins for for this incremental revenue? 18:38 18 minutes, 38 seconds I mean we are since we are expanding on the same site we would expect that the EIA margins for this one would be close to 65 to 70%. 18:49 18 minutes, 49 seconds In fact I can expect up to 75% also more than 75%. Okay. Okay. Understood sir. Understood. 18:59 18 minutes, 59 seconds And this last question uh uh like we also had capex plans for ammonia or for bullets uh any updates on that I think 19:08 19 minutes, 8 seconds we had planned for around 400 500 crores capex for this any any updates on that 19:14 19 minutes, 14 seconds no so we've kept a land aside uh uh in uh J&P for looking at these 19:20 19 minutes, 20 seconds opportunities but as of now there is no no plan for that. 19:27 19 minutes, 27 seconds All right got it sir. Yes, that's answer my question sir. Thank you so much. Thank you. Thank you Anubul. 19:34 19 minutes, 34 seconds Thank you. 19:36 19 minutes, 36 seconds Our next question come from the line of Rea Multani from Sunil and Reika Associates and Company. Please go ahead. 19:43 19 minutes, 43 seconds Yeah. Hi. Um as one of the minority shareholders who have 60% in the company. I wanted to circle back on the 19:50 19 minutes, 50 seconds dividend question. Uh you mentioned on your last call that you confirm on this call on the dividend payout. Um just checking back on that. 20:01 20 minutes, 1 second Yeah. So we have uh uh we are looking at starting uh dividend payouts from uh the 20:10 20 minutes, 10 seconds first quarter of next year. So that means in the quarter of April to June 20:17 20 minutes, 17 seconds from that uh uh we are going to start dividend. uh we are thinking on that because there are practical difficulties also like 20:25 20 minutes, 25 seconds physical shareholding and all these things. So we are sorting out all those things and then obviously in the coming upcoming AGM we will take that agenda and definitely we we are thinking on 20:34 20 minutes, 34 seconds that but you should expect uh that from that quarter we should start uh giving some dividend. 20:42 20 minutes, 42 seconds So it will be a quarterly dividend is that or is it like a obviously it it will be yearly only but we're going to start from that quarter. 20:50 20 minutes, 50 seconds Yeah. 20:51 20 minutes, 51 seconds Okay. So for the for the 25 26 financial year that's the dividend payout that you are talking about. 20:57 20 minutes, 57 seconds Correct. Correct. So obviously you know that uh in the No no no not for 25. So what we are saying is that the dividend will kick in from 2627. 21:08 21 minutes, 8 seconds So but you will expect that from that quarter the dividend scheme will start. 21:12 21 minutes, 12 seconds Actually actually you know what is the procedure in the audited accounts you need to provide the dividend thing. 21:17 21 minutes, 17 seconds Correct? then there should be a approval of shareholder for the approval and that AGM happened generally in September 2026. 21:26 21 minutes, 26 seconds So ideally if we are planning for the dividend of the of current year then it's to be approved in the AGM of 2026 21:34 21 minutes, 34 seconds September. So that that is the logic actually. 21:37 21 minutes, 37 seconds So that's what you're saying right 2526 dividend which is approved in September. 21:43 21 minutes, 43 seconds No no so Raika G I just would like to clarify what we are saying is that the dividend 21:51 21 minutes, 51 seconds will start from next year and it will be for the next year but it will start from next year onwards. 22:03 22 minutes, 3 seconds Yeah. 22:10 22 minutes, 10 seconds Thank you. Our next question come from the line of Gautam Gupta, an individual investor. Please go ahead. 22:18 22 minutes, 18 seconds Yeah. Hi, thank you for allowing me to speak. Firstly, I'd like to thank Mesh Palani G for his services over the years 22:25 22 minutes, 25 seconds to the company. I wish him uh strength and wellness. So, uh Ri to the company I want to ask a few questions uh about the 22:34 22 minutes, 34 seconds strategy of the company. I have been attending the call for the past three quarters and there hasn't been much improvement because we have been saying 22:43 22 minutes, 43 seconds that we'll do something for the land that we that was allotted to us. So as uh firstly I'd like to know on the strategy of the company. Our honorable 22:52 22 minutes, 52 seconds PM addressed the nation and he himself said that uh the they want to shift the country's energy needs and reach a 23:01 23 minutes, 1 second target uh of 15% from LNG and he quote unquote mentioned that there will be a big opportunity for uh shipping vessels 23:09 23 minutes, 9 seconds and terminal operators. So what are we doing on that? Secondly, I'd like to say that two quarters back I mentioned that 23:16 23 minutes, 16 seconds Reliance Industries annual report is filled with uh green hydrogen and now Carla uh port has been selected and 23:24 23 minutes, 24 seconds there has been uh production and export uh for green hydrogen will be start uh 23:31 23 minutes, 31 seconds starting next year and this week only uh the uh the prices for green hydrogen 23:38 23 minutes, 38 seconds came at around $3 per kg. So are we looking to tap that opportunity also? 23:47 23 minutes, 47 seconds Uh Gautam G first uh first we have to understand that uh your company is not an LNG business. 23:58 23 minutes, 58 seconds So while while u uh there may be a shift to LG I'm sure and there may be 24:05 24 minutes, 5 seconds opportunities uh in that sector. I'm not denying that but we are not a LG focused 24:11 24 minutes, 11 seconds company that's a totally different uh set of uh investors and in a set of companies who run that. 24:21 24 minutes, 21 seconds Uh secondly regarding green hydrogen see we are not into production or distribution of green hydrogen also the 24:29 24 minutes, 29 seconds best we can do is we can store um liquid products or gaseous products and yes if 24:37 24 minutes, 37 seconds there is any opportunity where uh something opens up for hydrogen storage 24:43 24 minutes, 43 seconds somewhere and uh we see an opportunity in that yes we can always look at that but The price of green hydrogen coming 24:53 24 minutes, 53 seconds in at $3 per kg is not material to us because we don't trade or manufacture green hydrogen. That's not our business. 25:01 25 minutes, 1 second No, I mean that uh if uh the prices go down then there must be uh shift in the 25:08 25 minutes, 8 seconds market also that uh we'll be we'll be using the industry will be using green hydrogen or shifting to green hydrogen or green ammonia. So there will be a need for terminals for that also. 25:19 25 minutes, 19 seconds Exactly what I mean. 25:21 25 minutes, 21 seconds Yeah. Yeah. Definitely. No, if you mean that then there is a uh that's why if you if you know I've already said that 25:28 25 minutes, 28 seconds we've kept a land aside for that but all these are long gestation periods 25:34 25 minutes, 34 seconds uh uh and uh we are always looking out for opportunity that if there is a way to get uh ammonia uh tank or cryogenic 25:43 25 minutes, 43 seconds tank for uh LPGN that's that's that we have not lost that vision if that's what your question Yes. 25:52 25 minutes, 52 seconds Okay. My one another question is uh I don't want to name the company. Okay. 25:57 25 minutes, 57 seconds But the industry leader is going really fast. They are uh following the policy of pearls of terminals uh along the vast 26:05 26 minutes, 5 seconds coastline of India. But we are not looking at that. We are just focusing on G&P. That is good also. But uh do we 26:13 26 minutes, 13 seconds need uh at the board level have you discussed that we need to bring a strategic strategic partner to strengthen the balance sheet so that we 26:20 26 minutes, 20 seconds can also do some acquisitions uh of already constructed uh terminals or or ask for new uh land at different ports so that we can expand at a rapid pace. 26:34 26 minutes, 34 seconds No, as of now there's no not been any such discussion at board levels. 26:41 26 minutes, 41 seconds Okay, thank you. That's it for my Thank you. 26:50 26 minutes, 50 seconds Thank you. 26:52 26 minutes, 52 seconds Next question come from the line of our next question come from the line of Vishal Prasad from VP Capital. Please go ahead. 27:03 27 minutes, 3 seconds Hi, good good afternoon. So Rishi question. 27:08 27 minutes, 8 seconds Hi. So I have seen that EPC we are we have got two projects recently. So are 27:14 27 minutes, 14 seconds we uh and planning to focus on EPC or it's just one off? 27:23 27 minutes, 23 seconds See Vishal G may um I just answered this question that we look at EPC is a very 27:29 27 minutes, 29 seconds very uh strong component to support our uh uh LST division. So if you see that 27:37 27 minutes, 37 seconds the projects that we do are I with our customers and related to our u or they 27:43 27 minutes, 43 seconds are related to our um liquid space. So as of now that's the only focus this company has 27:52 27 minutes, 52 seconds right and what kind of margin we are looking at in these uh projects. 27:58 27 minutes, 58 seconds So usually it's between 5 to 10% margins. 28:02 28 minutes, 2 seconds Five to 10. Okay. And second question is so u I was trying to figure out uh the area of the two lands that we have in 28:10 28 minutes, 10 seconds the NPT somehow I could not find it for the uh the old land that we have. So can you help me with the total area of the old land? 28:22 28 minutes, 22 seconds Uh you what do you mean old land? I mean there are two lands that we have. 28:27 28 minutes, 27 seconds one was uh uh uh we bought recently and one one we have been exploring for so so 28:34 28 minutes, 34 seconds the approximate area of the parcels that we have before is 19 acres okay and the new one is approximately 11 28:42 28 minutes, 42 seconds acres 11 okay thank you that's all thank you 28:52 28 minutes, 52 seconds thank you next question come from the line of bhavish Patil from Patil Investment please go ahead. 29:00 29 minutes Uh thank you for the opportunity again uh Rishi G. My question is about uh currently yeah currently we are almost debtree 29:09 29 minutes, 9 seconds so basically our funding of the capex should not be problem but in case you have any ideas on that and then are we 29:15 29 minutes, 15 seconds looking at any other further increasing the debt so as to do large strategic 29:23 29 minutes, 23 seconds projects or anything that you're thinking at the board level for the next 2 three years. 29:29 29 minutes, 29 seconds So yes, see we always uh increasing the debt is not uh is something that we can 29:37 29 minutes, 37 seconds do. Uh depending or if we see the opportunity to do that and um and uh and 29:45 29 minutes, 45 seconds get a acquisition that gives a good ROI then yes definitely we can look at increasing debt in the company. 29:54 29 minutes, 54 seconds Sure. But at this point in time you don't see significant uh large expense uh coming up for the next uh foreseeable future. 30:02 30 minutes, 2 seconds Yeah. As of now uh we have this new expansion coming and as of now we are uh 30:11 30 minutes, 11 seconds we are uh as of now the target is to try and compete it with our internal resources. 30:17 30 minutes, 17 seconds But if you have something the board and the management feels that no it's better to keep some debt also against it. So we may do that but as of now the plan is not there. 30:27 30 minutes, 27 seconds All right. No I appreciate it and again I think it's it's great that we are in this strong balance sheet situation but that also gives us opportunity in case 30:36 30 minutes, 36 seconds something comes up. So that was that was the reason. Thank you. Thank you. Thank you. Thank you. 30:49 30 minutes, 49 seconds Next question come from the line of Ketan chair of an individual investor please go ahead. 30:54 30 minutes, 54 seconds Hi uh thank you for the opportunity. Um Arishi first I'd like to just uh reconfirm what you mentioned uh previous uh couple of participants that the 31:03 31 minutes, 3 seconds expansion that you're planning is for one lakh kilometers uh of which the phase one uh which is approximately 50% would be completed by Q1 of 20 50%. 31:13 31 minutes, 13 seconds Yeah. Yeah. Yeah. 31:14 31 minutes, 14 seconds Yeah. And this um the entire one lakh KL capacity will give us an additional revenue of approximately 45 to 50 crores. 31:24 31 minutes, 24 seconds Yes. 31:25 31 minutes, 25 seconds Okay. And uh what is the capex if you could just confirm for the entire capacity that we have? 31:31 31 minutes, 31 seconds It's it's approximately one uh 160 to 170 crores. 31:38 31 minutes, 38 seconds 160 to 170 crores. And this we would do entirely for our internal rules. As of now the plan is that yes. 31:47 31 minutes, 47 seconds Okay. Okay. And any update on the the uh other uh type of stoages that we were looking at uh you know be LPG or ammonia or hydrogen or something else? 31:57 31 minutes, 57 seconds I yeah like I said we have kept a land aside for that but as of now we don't have a contract in place to start building those. 32:08 32 minutes, 8 seconds No. So yeah. So my my question is because for the past two to three quarters we've been discussing uh and we are telling that we are exploring 32:16 32 minutes, 16 seconds multiple opportunities and looking at various options and we are doing the due diligence and all these things. So in that respect like you know the any 32:25 32 minutes, 25 seconds options that seem viable to us at this point in time. 32:29 32 minutes, 29 seconds No, as of now, no. Because uh because what we have a very clear condition that whoever we tie up with has to give us a 32:39 32 minutes, 39 seconds backto-back guarantee for the next 15 years minimum to use the tank and we always do a work in phase manner 32:46 32 minutes, 46 seconds like these first these capacity will completed then obviously we'll start the another one. It's not uh feasible to 32:54 32 minutes, 54 seconds start all the things at one place after two three months we start. No. 33:01 33 minutes, 1 second Sorry, I I didn't catch. 33:03 33 minutes, 3 seconds No, no. So, so, so what that's what I said that we have a very very clear thing that uh we whoever we tie up with 33:13 33 minutes, 13 seconds for such a high value project, they have to give us a like a 10 to 15 year commitment for tank utilization. 33:22 33 minutes, 22 seconds And there are not many companies out there who are willing to do that. So, it it's taking its own time. 33:29 33 minutes, 29 seconds Okay, because then if it is taking such a long time then on the other hand you're also going to end up paying rentals as well to gain the port right so in a way it's kind of not really 33:38 33 minutes, 38 seconds meaning while we have the land which is valuable but then we are not able to monetize that properly and incuring cost on that 33:46 33 minutes, 46 seconds and and I hope that as your management we we 33:53 33 minutes, 53 seconds don't uh end up losing you too much money uh for this decision but but uh but just 34:02 34 minutes, 2 seconds to let you know that yes that that part is cognizant for us also and that's why 34:09 34 minutes, 9 seconds if you see that a large part of that land is already under development for expansion 34:16 34 minutes, 16 seconds so we are we are taking a very very um I would say from our side a very very 34:23 34 minutes, 23 seconds calculated call to make Make sure that you don't use up the land and then 34:29 34 minutes, 29 seconds reverse it uh somehow and also you don't uh make sure that the amount of money 34:36 34 minutes, 36 seconds that goes into that is a very small amount as compared to the entire land. 34:43 34 minutes, 43 seconds No, I mean I think in the last call I appreciated you know that you are trying to uh take your own time to do the due 34:49 34 minutes, 49 seconds diligence uh uh and u take the right uh steps after considering all the pros and cons. uh but uh the only point I was 34:59 34 minutes, 59 seconds trying to drive is like you know because now that uh while we want to be prudent you know but at the same time that you 35:05 35 minutes, 5 seconds know we are also the it's an opportunity cost for the the company uh but um I understand your position so the next 35:14 35 minutes, 14 seconds query I have is that you know with approximately 400 crores in this financial year and you know in India 35:22 35 minutes, 22 seconds maybe a year or so you'll add up another 10 to 12% on your expansion Where will the next growth lever will 35:30 35 minutes, 30 seconds come for us now then? Because as of now if you see like you know this the expansion that we are doing is going to 35:37 35 minutes, 37 seconds kind of you know give us an incremental growth of about uh 10 to 12%. And then again we will have some growth which 35:44 35 minutes, 44 seconds will be equivalent to the inflation. Um so you know is there a lever where we can kind of you know increase the growth 35:53 35 minutes, 53 seconds beyond beyond the inflation meeting as well. 35:59 35 minutes, 59 seconds Yeah. See um Ketan G the thing is that uh we are very very focused on the fact 36:06 36 minutes, 6 seconds that whatever growth we do we want to we are little bit we do a safe growth that 36:13 36 minutes, 13 seconds we don't just expand for the sake of expansion. 36:17 36 minutes, 17 seconds We want to make sure that there is a viable business there. there is a long-term business there and it is 36:24 36 minutes, 24 seconds something that uh in the end the money and the returns come back to shareholders. So so yeah while while we 36:34 36 minutes, 34 seconds may be expanding in the same uh pace as maybe some of the other businesses and 36:41 36 minutes, 41 seconds industries but we like we like to do this secured kind of a expansion. 36:48 36 minutes, 48 seconds So do I have a lever right now that suddenly this 400 can go to 800? No, I don't. 36:58 36 minutes, 58 seconds Okay. Um and and the uh dividend that you just answered another uh participant 37:05 37 minutes, 5 seconds uh on the dividend. So which means now like going forward uh we would start giving out dividends on a regular basis. 37:12 37 minutes, 12 seconds Is is that what you're uh uh Yes. from next. So, so starting next year, right? 37:20 37 minutes, 20 seconds That's that's the plan. Yes. 37:22 37 minutes, 22 seconds Okay. But we would be consistent like you know once once we start next year whenever we start then after that we would be consistent in paying the dividends. Is that uh what you're 37:32 37 minutes, 32 seconds intenting at or next year off kind of a thing? I just want to get a clarification on that. 37:39 37 minutes, 39 seconds No. No. I I I don't think the intent is to make it a one-off kind of a thing. No. 37:46 37 minutes, 46 seconds Okay. Okay. Thank you so much. I wish you all the best. Thank you. Thank you. Thank you. 37:53 37 minutes, 53 seconds Thank you. Ladies and gentlemen, due to the time constraint, that was the last question for today. I would like to hand the conference over to Mr. Rishi Pilani 38:01 38 minutes, 1 second for closing comments. Thank you and over to you. 38:05 38 minutes, 5 seconds Uh thank you everybody for joining us for our Q3 FY26 call. Um and uh if there 38:13 38 minutes, 13 seconds are any further questions please feel free to reach out to us. Have a good evening. Thank you. Thank you all. 38:21 38 minutes, 21 seconds Thank you ladies and gentlemen. On behalf of Ganesh Benzoplast limited that conclude this conference. Thank you for 38:30 38 minutes, 30 seconds joining us. And you may now disconnect your lens.