Genus Power Infrastructures Limited — Q2 FY26

Genus Power Infrastructures Ltd Q2 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=tTlL5eMFZR0 Published: 6 months ago

0:01 1 second Ladies and gentlemen, good day and welcome to U2 FI26 earnings conference call for 0:08 8 seconds Genius Power Infrastructure Limited hosted by Kaviriad Securities. As a reminder, all participants line will be in listenonly mode and there will be an 0:17 17 seconds opportunity for you to ask question after the presentation concludes. Should you need any assistance during the conference call, you may signal an 0:25 25 seconds operator by pressing star then zero on your touchstone phone. I now hand the conference over to Mr. Abhijit Purohit 0:32 32 seconds from Kavir Securities. Thank you and over to you sir. Good evening ladies and gentlemen. 0:38 38 seconds Kavirat Securities extends its festive greetings and welcomes you all to the Q2 and H1 FY26 earnings conference call of Genus Power Infrastructures Limited. 0:49 49 seconds Today on the call we have with us Mr. Kalash Agarwal, Vice Chairman and Mr. 0:55 55 seconds Jitendra Agarwal, joint managing director. 0:58 58 seconds I now hand over the call to Kasir for his opening remarks. Post that we can open the floor for Q&A session. Thank you and over to you sir. 1:09 1 minute, 9 seconds Thank you Aijit. 1:11 1 minute, 11 seconds Good evening ladies and gentlemen. A very warm welcome to Q2 FY26 earning call of Genus power. The results 1:19 1 minute, 19 seconds investors presentation and press release are uploaded on the stock exchanges and company website. I hope everybody has a 1:26 1 minute, 26 seconds chance to look at it. I am pleased to share that Q2 FY26 was another strong quarter for Genus Power. We continued to 1:34 1 minute, 34 seconds build on the momentum of the past few quarters driven by steady execution, disciplined operations and continued progress across our smart metering programs. 1:45 1 minute, 45 seconds In Q2 FY26, our standalone revenue stood at 1149 crores. A sharp 136% increase over rupees 487 crores in Q2 FY25. 1:57 1 minute, 57 seconds This sharp increase was supported by healthy progress across our large MISB projects particularly as more of them are now transitioning into the operational phases. 2:07 2 minutes, 7 seconds In beta more than tripled yearonar to rupees 244 crores with margins improving 456 basis points to 21.3 2:16 2 minutes, 16 seconds added by operating leverage cost control and overall execution efficiency. 2:21 2 minutes, 21 seconds Profit after tax from continuing operations grew by 162% to rupees 148 crores translating into a pat margin of 2:29 2 minutes, 29 seconds 12.9% reflected improved operating performance and better absorption of fixed cost despite higher finance expenses. 2:37 2 minutes, 37 seconds For the first half of FI26, revenue stood at rupees 291 crores, up 132 yearonear while IITA grew 2:46 2 minutes, 46 seconds over a threefold to rupees 444 cr with margins improving to 21.2%. 2:53 2 minutes, 53 seconds PAT rose to rupees 277 crores, an increase of 185% compared to the same period last year. This consistent 3:01 3 minutes, 1 second performance across quarters reflects our continued focus on execution excellence and financial discipline even as we scale up rapidly. 3:10 3 minutes, 10 seconds The total meter requirement envisaged under RDSS scheme is approximately 25 cr 3:17 3 minutes, 17 seconds me mters out of which 15 cr smart meters have already been awarded by different state utilities and remaining 10 cr 3:25 3 minutes, 25 seconds smart meters are broadly pending from state like Gujarat, Kerala, Madhya Pradesh, Punjab, Tamil Nadu, West 3:33 3 minutes, 33 seconds Bengal, Hana, Delhi putting a total number of 10 cr. So out of 25 cr mters 15 crores have already been awarded and 3:42 3 minutes, 42 seconds 10 crores has to be awarded and out of these 10 cr mters approximate 10 cr 3:49 3 minutes, 49 seconds mters three tenders are live one from Tamil Nadu that is of 3.05 05 cr one one 3:56 3 minutes, 56 seconds from Delhi BS around 50 lakh m and one from Punjab 26 lakh m remaining remaining approximately 6 6 and 1/2 cr 4:05 4 minutes, 5 seconds me mters are expected the tenders are expected to come in next 12 to 18 months so next 12 to 18 months we are expecting 4:13 4 minutes, 13 seconds another 10 cr me mters which are live or will be tenders will be coming uh to be finalized and company is very hopeful in 4:22 4 minutes, 22 seconds maintaining its run rate company has a run rate in earlier tenders out of that 15 crores also. So the same run rate we hope that we will maintain even even 4:31 4 minutes, 31 seconds after these 10 cr me mters few large states like Karnataka, Telangana have yet not taken the drive under RDSS. So 4:39 4 minutes, 39 seconds out so these states are out of these 25 cr me mters. So if we add these states also which we are very hopeful that 4:46 4 minutes, 46 seconds these states also will be coming uh under the RDSS uh or they will take the drive of RDS in next 1 2 years. So if we 4:55 4 minutes, 55 seconds add that number also the number of meters required will come to 30 crores 31 crores. So put together if we say we 5:02 5 minutes, 2 seconds can say that a total out of total requirement of 30 cr mters 31 cr me mters 15 cr mters has only finalized 5:10 5 minutes, 10 seconds yet. So almost 50% meters that is 15 cr me mters are yet to be finalized and those tenders or live tenders will be finalized in say next 1 to two years. 5:23 5 minutes, 23 seconds Out of 15 cr me mters which has already been awarded 4.5 cr smart meters have been installed in the country till today out of 15 crores which has been awarded. 5:36 5 minutes, 36 seconds So this this is the picture I just want to give you on the market size or the the meters already has been awarded and now the remaining meters that has to be 5:45 5 minutes, 45 seconds awarded in next one or two years. Now I I uh come to uh the cash flows and 5:51 5 minutes, 51 seconds working capital of the company being we are in a AMIP business where initial three years are the phase of installation and completion of projects. 6:02 6 minutes, 2 seconds Thus a lot of inventory is required at different sites of different projects. 6:05 6 minutes, 5 seconds Every company's working on almost 15 projects, 20 projects. Out of those 20 projects, every every project has a 6:13 6 minutes, 13 seconds different different sites, many many sites. So every site we have to keep a inventory, we have to keep finish meters and so a a large inventory is required 6:21 6 minutes, 21 seconds at different sites. Once these projects are streamlined and and start operating in full swing, the inventory will also 6:28 6 minutes, 28 seconds start reducing. the data the datas day have already started coming down and have reduced from 187 days as on 31st 6:36 6 minutes, 36 seconds March 2025 to 126 days on 30th September 2025. So there is a reduction of almost 6:44 6 minutes, 44 seconds 61 days in data days but the inventories remain same because again new projects are being started new areas are being 6:53 6 minutes, 53 seconds started but we are we are hopeful that in coming time inventory days will also come to a reduction. We are very hopeful 7:00 7 minutes that every every 6 months you will see a reduction of 40 to 50 days in working capital cycle. Say uh in 26 uh by March 7:09 7 minutes, 9 seconds 26 another reduction of 40 50 days. Then next 6 months to 12 months another reduction of uh uh 40 to 50 days. So by 7:19 7 minutes, 19 seconds by end of 27 uh we are very hopeful that our working capital cycle from here also will go up to a 160 170 days which we 7:28 7 minutes, 28 seconds have uh earlier told to the investors as on 30th September 2025 company had a 7:38 7 minutes, 38 seconds total gross debt of 1744 crores which is about 400 crores more than the gross 7:44 7 minutes, 44 seconds debt that was on 31st March 2025. The increase in gross debt is primarily from short-term loans and this will start reducing from middle of FY28 onwards. 7:55 7 minutes, 55 seconds The expected peak borrowing by the company will go to maximum of INR 2,000 crores to 2,100 crores. So basically we 8:03 8 minutes, 3 seconds are saying that whenever we will reach to a a revenue uh expended revenue in 27 8:10 8 minutes, 10 seconds 28 but the that will not go above 2,00 or 2,100 crores 8:18 8 minutes, 18 seconds as on 30th September 25 company had a cash and cash equivalent of approximately INR 600 crores. So when we 8:25 8 minutes, 25 seconds say 600 crores cash and cash equivalents in the form of fixed deposits the gross debt is 1744 and the net debt will come 8:33 8 minutes, 33 seconds net de that actually is 1100 crores 1150 crores as on 30th September 25 the company had 8:41 8 minutes, 41 seconds invested approximately 318 crores in the joint venture platform and SPV of joint venture platform with 8:49 8 minutes, 49 seconds GIC company expects investment of another INR7 700 to 800 crores in the 8:57 8 minutes, 57 seconds joint venture platform in next 3 years that is over financial year 26 27 and 28. So put together the company's 9:04 9 minutes, 4 seconds investment in the platform where we are a 26% partner will go to a level of 1,000 crores 1100 crores not more than that. 9:13 9 minutes, 13 seconds The company at the the company estimates revenue of INR 4,500 crores for 9:18 9 minutes, 18 seconds financial year 26 and INR 5,500 to 6,000 crores for financial year 27 with an 9:26 9 minutes, 26 seconds IITA margin of 20%. So the company is revising its guidance for FY 26. Earlier we have given a guidance of 4,000 crores 9:34 9 minutes, 34 seconds and 18% IITA. Now we are giving a guidance of 4,500 crores for FY26 with 9:40 9 minutes, 40 seconds IIT of 20%. And for FY27 around 5,500 to 6,000 crores with a bit of 20%. 9:48 9 minutes, 48 seconds In H1 FY26 company manufactured around 90 lakh meters. So last 6 months company has manufactured around 90 lakh meters 9:57 9 minutes, 57 seconds out of which 50% meters have been supplied to government utilities and private utilities which are buying 10:04 10 minutes, 4 seconds non-smart meters also and to the other MISPs also. balance about 50% of the meters have been supplied to the joint 10:11 10 minutes, 11 seconds venture platform with GIC as on 30th September 2025 the company had a total order book of INR 28,758 10:21 10 minutes, 21 seconds KES net of taxes for about 3.6 6 m cr me mters for supply to utilities other 10:28 10 minutes, 28 seconds AMISPs and to the joint venture platform in H1 FY26 the company also received orders from different utilities of INR27 10:37 10 minutes, 37 seconds crores for approximately 9 lakh meters which are non-smart meters so these are the regular meters which we were doing earlier we were supplying earlier these 10:45 10 minutes, 45 seconds are the regular meters which utility buys on urgent basis and are for meter supply only and then these are non-smart meters the these are the regular meters 10:54 10 minutes, 54 seconds Out of 24 MISP uh projects which we are implementing 13 projects totaling uh two 2.10 cr meters have received 11:04 11 minutes, 4 seconds operational go live certificates from utilities. Remaining 11 projects are expected to achieve operational go live status in the December 2025 January 2026 time frame. 11:16 11 minutes, 16 seconds Further companies also setting up a new injection molding plant in Kputi Rajasthan. In first phase, we are willing to install 40 machines which are 11:24 11 minutes, 24 seconds expected to be operational by end of financial year 26. This unit will supplement our capacity to supply plastic molding components or meters manufactured by us. 11:36 11 minutes, 36 seconds So basically this I have tried to give you a data on the market size the debt of the company the investment of the 11:43 11 minutes, 43 seconds company uh in the platform and and the order book. Now I open the floor for the question answers. 11:51 11 minutes, 51 seconds Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press 11:58 11 minutes, 58 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 12:07 12 minutes, 7 seconds requested to use handsets while asking a question. 12:11 12 minutes, 11 seconds Ladies and gentlemen, we will wait for a moment while the question assembles. 12:20 12 minutes, 20 seconds The first question is from the line of Dyanch Takur from Fentress Capital. Please go ahead. 12:28 12 minutes, 28 seconds Uh sir, congratulations on the great result. I'd like to ask that uh what uh 12:36 12 minutes, 36 seconds what are the uh how many meters have been installed in uh quarter 2 of this fiscal year? 12:45 12 minutes, 45 seconds Hello. Hello. Can we hear you? Uh uh hello sir. Yes sir. 12:54 12 minutes, 54 seconds Yes sir. Please go ahead. 12:58 12 minutes, 58 seconds How many meters have been installed in quarter two? Uh yes sir. 13:03 13 minutes, 3 seconds So quarter two we have installed around 19 lakh meters. 13:10 13 minutes, 10 seconds And sir, how are we planning to uh reach the target of 80 to uh 90 lakh uh meters that we had given the guidance of? 13:17 13 minutes, 17 seconds So the in the first half yearly we have installed around 36 lakh m and we are confident of the guidance what we gave 13:25 13 minutes, 25 seconds earlier around 80 plus lakh meters we will install because November to March is the best period for the installation 13:32 13 minutes, 32 seconds of meters historically also. So we are more than confident of achieving the target what we have set earlier for ourselves. 13:42 13 minutes, 42 seconds Thank you sir. Thank you very much. 13:48 13 minutes, 48 seconds Next question is from Bhavin Cheda from Inarm Holdings. Please go ahead. 13:54 13 minutes, 54 seconds Uh congratulations sir. Overall very good performance on the operational and uh also the revising the guidance. Uh 14:02 14 minutes, 2 seconds sir how many uh meters are on OGL have operational gone live? 14:07 14 minutes, 7 seconds So as on date out of 3.62 cran m we installed it total 80 lakh m out of 80 14:14 14 minutes, 14 seconds lakh m 42 lakh m sat has been done and out of this 42 lakh m 40 lakh m has achieved the operation go live. 14:25 14 minutes, 25 seconds So uh sorry so till date you said till date we have installed 80 lakh m till date we have installed 80 lakh mters out 14:32 14 minutes, 32 seconds of which 42 lakh m has been sat has been done the reason I'm giving the detailed answer is so that other participants 14:41 14 minutes, 41 seconds don't need to ask the same thing again so 80 lakhs has been installed out of that 80 lakhs 42 lakhs site acceptance 14:49 14 minutes, 49 seconds test sat has been done and out of that 42 lakhs 40 lakhs have achieved the operation go live. 14:58 14 minutes, 58 seconds Uh so we have started receiving monthly revenue on 40 lakh m right? So this 40 15:05 15 minutes, 5 seconds lakh m we have started receiving the monthly revenue because monthly revenue starts after the 45 days of achieving of OG. 15:14 15 minutes, 14 seconds Okay. Okay. And uh you mentioned the uh manufacturing of 90 lakhs in H1. How much was in the quarter? 15:27 15 minutes, 27 seconds this quarter for the quarter exact number I don't have it offended with me but around 50 lakh meters you 15:34 15 minutes, 34 seconds can take around 50 lakh m so basically 15:40 15 minutes, 40 seconds uh if I see on a per day basis uh you have achieved almost uh 15:48 15 minutes, 48 seconds 50,000 right hello Yeah. 15:57 15 minutes, 57 seconds Hello. 15:59 15 minutes, 59 seconds Yes. Yeah. So on a I was just looking on a per day basis basically on a 16:06 16 minutes, 6 seconds it is almost 50,000 m per day. 50 m per 50,000 m per day. 16:11 16 minutes, 11 seconds Yeah. So how how is the ramp up on a per day basis uh now planned going ahead? 16:18 16 minutes, 18 seconds So currently we are very comfortable in the current capacity and whatever the requirement we have ahead of us current 16:26 16 minutes, 26 seconds capacities are capable of handling it and if you need to ramp up we can add some more shifts so it's it's very well 16:33 16 minutes, 33 seconds taken care in the current market scenario right right on and on the s volume front 16:41 16 minutes, 41 seconds I think previous guidance was 75 lakh for 26 now you're saying 80 lakhs obviously on a revenue revenue number 16:48 16 minutes, 48 seconds also uh absolute revenue number also you are of the guidance. So next year we are looking at over 1 cr uh based on uh the 16:58 16 minutes, 58 seconds revenue number what you have guided installation. Yes. Okay. Okay. Thank you sir. Yeah. 17:06 17 minutes, 6 seconds Thank you. Thank you very much. 17:09 17 minutes, 9 seconds Anyone who wishes to ask a question may press star and one. 17:14 17 minutes, 14 seconds Next question is from Ishwar from I thought PMS. Please go ahead. 17:20 17 minutes, 20 seconds Hi sir. Uh thank you for taking my question. So question I had was uh what degree of indigenization do we have in 17:28 17 minutes, 28 seconds our uh smart meters. Uh why I'm asking this question is uh for context uh our competitor HPL electric they have 17:36 17 minutes, 36 seconds partnered with the Chinese company to develop relay manufacturing in India and another uh player called permanent 17:43 17 minutes, 43 seconds magnets they have also like invested in latching capacity to through a licensing agreement and they are also be beginning production the second half of this year. 17:53 17 minutes, 53 seconds So what is our capability in that side and how much uh percentage of a smart meter is indigenized 18:01 18 minutes, 1 second there? So just to give you a understanding on this smart meters is already in the category one of 18:08 18 minutes, 8 seconds manufacturing in India. So more than 60% of the value addition has to happen in India. Smart meters are already in this 18:16 18 minutes, 16 seconds category and Genus very comfortably is part of this category being the largest meter manufacturer in the country. 18:23 18 minutes, 23 seconds lot of people are doing different kind of partnerships. I don't want to comment upon them but yes we are comfortably category one and whatever the 18:32 18 minutes, 32 seconds requirement of make in India or made in India comes in future genus is very well placed in taking care of that. 18:40 18 minutes, 40 seconds Wonderful. And uh this latching relay capacity do we also have it in house and do we plan to supply it outside to other 18:48 18 minutes, 48 seconds players players as well because small smaller meter manufacturers they primarily procure parts from China. So 18:56 18 minutes, 56 seconds do we have plans to we are not as genuine latching relays we are buying it from 19:04 19 minutes, 4 seconds our suppliers. So and we don't intend to manufacture matching lies in the future also. 19:12 19 minutes, 12 seconds Okay. We are we buying it from China. 19:16 19 minutes, 16 seconds It is being imported from China also. It is being made in India also. There are multiple manufactur manufacturers based 19:24 19 minutes, 24 seconds in India who are also supplying us latching with this. Understood. Understood sir. Thank you. 19:29 19 minutes, 29 seconds That's all the questions I have. Thank you. Thank you. 19:32 19 minutes, 32 seconds Thank you very much. Next question is from Daral Javiri from Crown Capital. Please go ahead. 19:42 19 minutes, 42 seconds Hello. Uh good evening sir. Thank you so much for taking my question sir. Uh sorry sir I joined a bit late. I couldn't get the revenue guidance and 19:51 19 minutes, 51 seconds the margin guidance that we've could you reiterate please sir. 19:56 19 minutes, 56 seconds So revenue guidance for FI for FI 26 is 4500 crores and for FY27 is 5500 to 6,000 crores with IITA margin of 20%. 20:09 20 minutes, 9 seconds Oh that so IA margin for both the years right is 20% right? Yeah. 20:15 20 minutes, 15 seconds Oh okay. Okay that's that's great to hear sir and I just wanted to know like as you said a lot of tendering from Tamil Nadu and all these states have 20:24 20 minutes, 24 seconds started to come up. So what kind of an order flow are we targeting right now sir like in terms of uh value how 20:32 20 minutes, 32 seconds muchever how much can we you know expect in this year or next year sir so we have always I have given this all 20:40 20 minutes, 40 seconds things in my opening speech so it's it's malab let us take it uh your question afterwards because there there might be 20:47 20 minutes, 47 seconds many other questions coming on the same thing and the clear clear uh numbers have already been given in my opening speech 20:54 20 minutes, 54 seconds Uh sorry apologies uh for that. I'll come back in the clue. 21:00 21 minutes Thank you. Next question is from Mahesh Patil from ICICICI security. Please go ahead. 21:08 21 minutes, 8 seconds Yeah. Hi sir. Uh so my first question is on the open tenders that you highlighted the Tamil Nadu Delhi and the other one totaling around 4 cr smart matter site. 21:18 21 minutes, 18 seconds So would like to know the status of this especially the Tamil Nadu one and have we bid for all the projects uh with Tamil Nadu. 21:27 21 minutes, 27 seconds Just to give you a heads up on this there are six projects in Tamil Nadu two in Delhi and five in Punjab totaling 21:36 21 minutes, 36 seconds around 4 cr me mas has quoted all 13 projects and uh the status of Tamil Nadu is it is under technical evaluation. 21:46 21 minutes, 46 seconds status of Delhi is it is under technical evaluation Punjab 26 lakh meters has been quoted today 21:56 21 minutes, 56 seconds okay sir answer my second question is on the guidance that you have given on the margin so in H1 we have achieved more 22:03 22 minutes, 3 seconds than 21% you have guided for 20 and historically over the last year Q4 have been the best quarter in terms of uh 22:12 22 minutes, 12 seconds margin So I guess in F5.6 we definitely crossing uh 21 22% right. 22:23 22 minutes, 23 seconds So basically guidance is this we want to be a little conservative on the guidance. Uh let's see. 22:30 22 minutes, 30 seconds Okay. Okay. And sir uh if you can just elaborate on what is leading to this uh you know better margins you highlighted 22:37 22 minutes, 37 seconds some uh cost measures etc. You can elaborate your can you sorry come again with your question. Your voice is not clear. 22:48 22 minutes, 48 seconds Sir on the margins you mentioned that you have taken some measures for uh uh you know between the margins like some 22:55 22 minutes, 55 seconds cost uh improvements cost efficiency these are basically operational efficiencies that is coming that is it's it's mainly because of the operational 23:04 23 minutes, 4 seconds efficiencies uh mainly it goes to that and sir what is the difference uh in 23:11 23 minutes, 11 seconds terms of margins for the meters that we supply to third parties and uh uh does it that that that number we don't that number we don't share. 23:22 23 minutes, 22 seconds Okay. Okay sir. Understood. Thank you. 23:29 23 minutes, 29 seconds Thank you ladies and gentlemen. If you wish to ask a question you may press star and one. 23:37 23 minutes, 37 seconds Next question is from Mah from Agility Advisor. Please go ahead. 23:46 23 minutes, 46 seconds Yeah. Hi sir. Am I audible? Yes, please. Go ahead. 23:52 23 minutes, 52 seconds Yeah. So, thank you so much for the opportunity. Congratulations for a good share of numbers. So, just wanted to know your thoughts on the export market 23:59 23 minutes, 59 seconds as well as the smart meter for the gas and water. So, what are your views and how are we approaching that area as well? 24:11 24 minutes, 11 seconds So, uh we have been talking about it earlier also. So, I'll go one by one on the export market. Genus is working 24:18 24 minutes, 18 seconds strategically on some in some markets they take their own time. So if you'll see historically also Gina reached a 24:26 24 minutes, 26 seconds good three figure turnover in terms of exports but then because of COVID it slowed down. So again we have started working on some strategic market and you 24:34 24 minutes, 34 seconds will see very meaningful numbers coming from the export business in next two to three years. Currently it is pretty small but you will see them growing year 24:43 24 minutes, 43 seconds on year because perfect work is happening in some of the markets. When it comes to gas meters in 24:50 24 minutes, 50 seconds India there's a requirement of around 12 to 14 cr gas meters as per the latest reports which will be required to be 24:58 24 minutes, 58 seconds installed in next 5 to 6 years. So genus is definitely going to play important role in that market and we also and we 25:06 25 minutes, 6 seconds say in future gas meter also takes a route of IDSS because at the end of the day they have to become prepayment for a 25:14 25 minutes, 14 seconds right metering and taking a gas meter reading entering into a house is not easy. So government is already talking about and thinking of the prepayment gas 25:23 25 minutes, 23 seconds meters. So we see that as a good opportunity but yes on the ground currently it is a opportunity where 12 cr meters has to be installed in next 5 25:32 25 minutes, 32 seconds years whether they will be prepared or whether they will go to the RDSS route or they will be simple uh typical electronic electricity meter kind of a 25:41 25 minutes, 41 seconds business that only the time will tell there's no clarity on it today when it comes to water meter we see water meters 25:48 25 minutes, 48 seconds as a very very large opportunity as big as or even bigger than the electricity meter meters where it has started coming 25:55 25 minutes, 55 seconds up. Currently we have done some very small projects with some municipal cooperations. Things have started rolling out in the country and even in 26:03 26 minutes, 3 seconds the international market. Water meters are going to be a big opportunity. Four years to 6 years down the line we see 26:11 26 minutes, 11 seconds water meter business to be as large or even larger than electricity meter business. Uh so this is what our 26:18 26 minutes, 18 seconds understanding and thinking about the water meter in the gas meter market. 26:24 26 minutes, 24 seconds Okay, understood. So basically we are targeting those areas but it will be one to down the line. Is that 26:32 26 minutes, 32 seconds I could not hear you properly. I'm sorry. 26:38 26 minutes, 38 seconds What I'm trying to say is uh these are our area of focus but it will take some time to put data into the Mr. Mahik uh your voice is not clear. 26:49 26 minutes, 49 seconds Can you please be more out? Hello. 26:52 26 minutes, 52 seconds Yeah, I understood you are saying yes, it will take some time for gas meter, water meter and export meter business to 26:59 26 minutes, 59 seconds be of a meaningful revenue. 2 to 3 years down the line, you will see a very meaningful revenue coming from these 27:06 27 minutes, 6 seconds sectors. I hope I answered your Yeah. Yeah. Understood. And sir, uh so uh one more question was on the tender 27:14 27 minutes, 14 seconds side. So we have participate for three and a half cr meter tenders and it has been in technical evolution I think from 27:21 27 minutes, 21 seconds the last two quarters is what I remember. So when can we expect the order to be finalized and when can we 27:29 27 minutes, 29 seconds receive some positive news from them very very very difficult to say these are large tenders electricity boards 27:37 27 minutes, 37 seconds take their own time to evaluate. So right now technical evaluation is going on. It may take 30 days, it may take 90 27:44 27 minutes, 44 seconds days. Very difficult to uh put any number onto it. 27:48 27 minutes, 48 seconds But but JK hopefully we can say that in this financial year this will be finalized. 27:52 27 minutes, 52 seconds Yeah. This financial year I'm pretty sure this will get defected. Yeah. By by Yeah. 28:00 28 minutes Understood. Okay. And one last question was one of our competitor Kimberal Technology. So what are your views? how how are they doing and how are they 28:09 28 minutes, 9 seconds going so fast as come any views or any comments on that side as well you could please help 28:16 28 minutes, 16 seconds I don't want to comment on any company you know everybody is doing their own work every company is doing a good job this is what I can say 28:25 28 minutes, 25 seconds okay okay not an issue thank you so much thank you very much next question is from Prjel Mukidra from Growth Ventures 28:34 28 minutes, 34 seconds Limit please go ahead Uh hello Fran audible. Yes sir please go ahead. 28:43 28 minutes, 43 seconds Uh yeah sir so congratulations on a great set of numbers. Uh so I have a couple of questions. Uh the first question is on this target that you've 28:51 28 minutes, 51 seconds given for 80 lakh meter uh installation target. So may I ask which states are uh we expecting the execution to happen uh for this target? 29:00 29 minutes All 24 projects all 24 projects are up and running. So these 80 lakhs will be achieved every every project is up and running right now. 29:09 29 minutes, 9 seconds But some majority of the volumes. 29:13 29 minutes, 13 seconds So it is according to the order book. If the Rajasthan has the large orders of more numbers will come from Rajasthan. 29:21 29 minutes, 21 seconds So it is according to the order book. 29:24 29 minutes, 24 seconds Right. So Abi uh do we have a meaningful stake in the state of Maharashtra? What do you mean by meaningful? 29:33 29 minutes, 33 seconds uh I mean like uh no no we don't we don't have very big number in Maharashtra in comparison to the total number of meters awarded we have good number 29:42 29 minutes, 42 seconds the percentage is percentage is not very high sure so sir are you uh because you're present in the state I are you again 29:50 29 minutes, 50 seconds seeing some sort of slowdown on the execution front in the state because of municipal elections which state 29:58 29 minutes, 58 seconds Maharashtra so it is these are ongoing project issues. So there's nothing very specific. 30:08 30 minutes, 8 seconds Yes, currently there is a little bit of slowdown and then it picks up again. So this keeps on coming and going. We I I 30:16 30 minutes, 16 seconds won't say it is a very such a problem which is not uh I don't know how to put a right word 30:23 30 minutes, 23 seconds onto it. So these are natural field issues. I don't see them as a major problem. 30:31 30 minutes, 31 seconds uh sir any uh development on on the customer outreach uh that we're like trying to do as an AMISP along with the 30:38 30 minutes, 38 seconds utility uh and with the governments uh you know just to uh sort of provide a better messaging for smart meters in the market. Any update on that? 30:48 30 minutes, 48 seconds No, it is a regular process. All the RDSS projects they there has to be a consumer outreach to be done jointly by 30:56 30 minutes, 56 seconds the utility and the AMISP and all of us all the AMISBs which are working on the field in their respective projects are 31:04 31 minutes, 4 seconds doing this outreach and you will see consumer assistance in most of the states has neutralized most of the people are welcoming smart meters if you 31:13 31 minutes, 13 seconds see the numbers in last 3 four months the installation rate has increased almost everywhere across the country So that is the it consumer outreach is one 31:22 31 minutes, 22 seconds of the major reasons where people have started understanding the value of smart meters. Not only 31:29 31 minutes, 29 seconds consumers are accepting smart meter very welcomingly they're also doing lot of uh app downloads and they have been 31:37 31 minutes, 37 seconds becoming more and more demanding from the AMISP and from the utilities which is even good that means people are understanding the value of smart meters. 31:47 31 minutes, 47 seconds Sir could you please specify the medium of this outreach? I mean are we are we doing this through pamphlets, advertisements like how are we trying to you know sort of educate the depends on the utility to utilities. 31:57 31 minutes, 57 seconds Some utilities are focusing on the uh uh BTL most of some utilities want some uh 32:04 32 minutes, 4 seconds outreach through media. So it depends on the utility what mode they want more from the AMISP to be focused with. 32:13 32 minutes, 13 seconds There's not a specific one way of doing it. Every utility has its own way. Even some points look to be done. So every 32:20 32 minutes, 20 seconds utility has its own way of reaching the consumers. 32:25 32 minutes, 25 seconds Sure. And so finally I just wanted to understand like if there is any development of the software piece. Are we uh looking into some new products 32:32 32 minutes, 32 seconds that we that we want to develop or generally like how is this business doing? 32:37 32 minutes, 37 seconds So currently we are focusing on our own HS and FDM that is a fairly large opportunity with us and definitely the 32:44 32 minutes, 44 seconds purpose of building with this software sell in future this has to get monetized into further more services to the customer and the consumer. 32:57 32 minutes, 57 seconds All right sir thank you thank you for giving me this opportunity and all the best for future results. Thank you. 33:04 33 minutes, 4 seconds Thank you. Anyone who wishes to ask a question may press star one. 33:10 33 minutes, 10 seconds Next question is from Dash Solanki from Access Securities. Please go ahead. Yeah sir. Thank you for the opportunity. 33:19 33 minutes, 19 seconds So my first question is uh so the currently the your voice is not clear Mr. D. Your voice is not clear. 33:28 33 minutes, 28 seconds Uh yes is it better now? 33:31 33 minutes, 31 seconds Yeah. So uh so my question as s mentioned in his opening remarks that 31 cr is the market size that we are looking at that the RDC scheme may go up 33:39 33 minutes, 39 seconds to 31 cr and out of which 15 crores have been awarded till it. So I just wanted to understand the balance uh the 16 cr 33:48 33 minutes, 48 seconds for which the tendering some of which tendering has already happened. Uh so what is the market share that we are looking in this order like what would our share in this balance orders? 33:59 33 minutes, 59 seconds So in the opening remark itself I have mentioned that we feel that we will maintain the our run rate 34:07 34 minutes, 7 seconds and uh can you like what is the ballpark what is the current uh percentage in terms of the market share. 34:18 34 minutes, 18 seconds So uh you have to understand it simply that currently we have been maintaining around 25% market share and we 34:27 34 minutes, 27 seconds definitely will try to maintain the same market share or even do better but putting any number for the tendering business is very difficult. 34:37 34 minutes, 37 seconds Understood sir. Thank you. Uh business policy we participate in each and every tender as I just clarified earlier also. 34:46 34 minutes, 46 seconds Got it. So got it. Uh and my next question is a bit of a long-term question. So uh one one like this 30 cr 34:54 34 minutes, 54 seconds order is I think you had mentioned last call that they are expected by 2032. So and as you mentioned in the previous uh 35:01 35 minutes, 1 second question that uh you are expecting a huge uh the growth from the export and water se meter segments in two three 35:09 35 minutes, 9 seconds years down the line. So would it be right to say that once the smart meters RDSS scheme has reached its target and it has moved to the O andM phase the 35:18 35 minutes, 18 seconds revenue of the business would be driven more by export and water business. 35:25 35 minutes, 25 seconds Yeah, next five six years I see uh no problem with the electricity meter business and definitely uh five six 35:33 35 minutes, 33 seconds years down the line it won't have the same numbers on these 32 cr meters have been installed then definitely there 35:40 35 minutes, 40 seconds will be lot of replacement meters coming lot of new service connections coming but not as large as replacement of 35:48 35 minutes, 48 seconds meters so there will be a good revenue source from the electricity meters and yes and lot of revenue source will come from exports water meters and gas meters. 35:58 35 minutes, 58 seconds Understood? Okay. So, so here here it's it has to be understood that 5 years there is a clear 36:05 36 minutes, 5 seconds path we can see a clear path for 5 years with these RDSS electricity meters and say in 2000 after 5 years 6 years this 36:14 36 minutes, 14 seconds is this is over this RDSS replacement of all meters into smart meters is over then there is a life of every meter. So 36:23 36 minutes, 23 seconds these meter the the initial meters which has been installed in say 23 24 they their life the the normally we say the 36:30 36 minutes, 30 seconds life of a meter is 10 years 12 years. So a a lot of replacement business of those meters will be coming number one. Number 36:37 36 minutes, 37 seconds two the new connections every uh every year there are increase in connections that is happening a business of that will be coming 30 crores mters which 36:46 36 minutes, 46 seconds will be installed already will will be installed there there will be on and monthly business of that. So on and m 36:53 36 minutes, 53 seconds all meters have to be maintained monthly basis which we are doing right now. So there is a full-time business of that 37:00 37 minutes also 30 cr meters uh has to be managed from that time and then the 37:09 37 minutes, 9 seconds export market then the water meter market and then the gas meters. So put together this will be the revenue coming after say uh 31 32 and if and then if 37:18 37 minutes, 18 seconds company goes in any other thing they are it's a lot of time five years six years company can see many other products coming 37:26 37 minutes, 26 seconds understood and apolog thank you next question is from Sanatu 37:35 37 minutes, 35 seconds Chatar G from Mount Infra finance please go ahead 37:41 37 minutes, 41 seconds sir and congratulations for uh the line for Mr. Chhattaj has been 37:49 37 minutes, 49 seconds disconnected. We will proceed with the next participant. The next question is from Cal Barat from Access Securities. 37:56 37 minutes, 56 seconds Please go ahead. 37:58 37 minutes, 58 seconds Thank you for the opportunity. Uh actually all the answers were asked by my colleagues. So there might be no 38:05 38 minutes, 5 seconds question from my side. So I've got the clear answers from the questions. So yeah, that's it from my side. 38:26 38 minutes, 26 seconds Hello. Yeah. Hello. Hello. Am I audible? Okay. Thank you. Thank you. Yeah. 38:33 38 minutes, 33 seconds So we can take next question please. 38:38 38 minutes, 38 seconds Uh sir, the next question is from Kel Bar. Yeah. Hello. Please go. 38:45 38 minutes, 45 seconds Am I audible? Yeah. Yeah. 38:49 38 minutes, 49 seconds Yeah. So, uh actually all the questions uh that I needed to ask has been already questioned by my colleagues. So, I have no further questions to be asked. 38:59 38 minutes, 59 seconds Okay. Thank you. Thank you. Thank you. 39:04 39 minutes, 4 seconds We have next question from Akillesh Gupta. Please go ahead. 39:19 39 minutes, 19 seconds We have Prangjal Mukhija from Growth Sphere Ventures. Please go ahead. 39:26 39 minutes, 26 seconds Mr. Pranch, your line has been unmuted. Please go ahead with your question. Yeah, I'm audible. 39:33 39 minutes, 33 seconds Yes sir, please go ahead. 39:36 39 minutes, 36 seconds Yeah sir, I don't have a question but I have a small request sir. Uh I think we also asked this in one of the previous uh corn calls. If possible sir could you 39:44 39 minutes, 44 seconds please organize a plant visit to to the Harido facility. I think that would be really insightful and we'll be able to understand the uh you know the the uh the new facility better. 39:56 39 minutes, 56 seconds So you you connect to SGA or investor relations uh they will they will make it Okay sir. 40:07 40 minutes, 7 seconds Thank you very much. Next question is from Santanoon Chatter Gi from Mount Infra Private Limited. Please go ahead. 40:15 40 minutes, 15 seconds Thank you for this opportunity and uh congratulation for great fatal numbers. 40:20 40 minutes, 20 seconds Uh my question is on cash flow. uh as uh uh you have given prediction or guidance 40:28 40 minutes, 28 seconds uh for FI26 that task on call you said that uh we can become uh cash flow positive within 40:35 40 minutes, 35 seconds FI26 are uh are we still on this uh on the same page or uh we want actually um 40:45 40 minutes, 45 seconds we thinking that uh we can become cash positive in FI27. 40:52 40 minutes, 52 seconds So, so basically uh cash flow positive may take some more time what we were saying in 5526 because the projects have started and lot lot of entry inventory 41:01 41 minutes, 1 second is needed in that all 24 projects have different different sites hundreds of sites are open and all every site has needs some inventory on that so 41:10 41 minutes, 10 seconds inventory number is increasing and the data's numbers is going down so put together as I told in my opening remarks also that every uh last 6 months we we 41:18 41 minutes, 18 seconds the working capital cycle has come down by 50 50 days another 6 months it will be coming down. So, so it may take some more uh time for cash flows to become 41:27 41 minutes, 27 seconds positive. But we are very hopeful that in financial year 27 for sure we will be cash flow positive company because in one thing we have to understand that 41:36 41 minutes, 36 seconds AMI3 business initially for first three years need a lot of lot of investment because all meter installation meter manufacturing our software everything 41:45 41 minutes, 45 seconds has to be happening first three years and because of inventory this is going up but uh we are hopeful of becoming cash flow positive uh by next year. 41:55 41 minutes, 55 seconds That's correct. And uh uh another one uh uh just want to clarify um uh about your 42:02 42 minutes, 2 seconds business uh cycle that uh after achieving OGL status 42:10 42 minutes, 10 seconds uh is there any uh uh escrow account from where we are getting money or uh 42:19 42 minutes, 19 seconds we we are getting uh uh directly uh from the state electricity board itself. 42:26 42 minutes, 26 seconds No, there is a account which is called DDF. There's a separate account being open DDF account and the money flows from the DDF account. 42:39 42 minutes, 39 seconds Okay. Okay. Thanks a lot, ma'am. Thank you. 42:47 42 minutes, 47 seconds Anybody who wishes to ask a question may press star and one on their touchstone telephone. 42:57 42 minutes, 57 seconds Next question is from Chandesh Malani from NVH. Please go ahead. 43:05 43 minutes, 5 seconds Hello. Hello. Yeah, we can hear you. 43:10 43 minutes, 10 seconds Yeah. Yeah. Thank you for the opportunity sir and congratulations. Uh sir my question is on the investment that you mentioned about the JV 43:17 43 minutes, 17 seconds platform. So I I think you mentioned about 1100 or 1200 odd per but in our earlier uh calls uh the investment was 43:27 43 minutes, 27 seconds uh I think the investment was about 1,600 to 1,700 odd per so is there any change over our uh 43:34 43 minutes, 34 seconds so we we committed we committed we we have a commitment for the joint venture of $210 million but now seeing uh the 43:42 43 minutes, 42 seconds requirement we we can envisage that uh it won't go up to 1,600 crores it will not go more than 1100 crores. So 43:49 43 minutes, 49 seconds basically 1,600 crores was the maximum committed to joint venture from Genus power. But due to good cash flows coming 43:57 43 minutes, 57 seconds to uh the joint venture and execution cycle we feel that the maximum investment will go up to 1100 crores. It 44:05 44 minutes, 5 seconds won't go up to 1,600 and uh that doesn't have anything to do with the stake and obviously the 44:12 44 minutes, 12 seconds exclusivity contract. No no no no no absolutely that that has nothing to do with the stake nothing to do with the exclusivity the requirement so so we 44:20 44 minutes, 20 seconds have to investment invest as per the requirement only so requirement we initially projected that there will be a requirement of around 1,600 crores 1 44:28 44 minutes, 28 seconds 1700 crores from Venus power for the same business but but now it has come down to 1100 crores that for the same business uh we won't go more than 1100 44:36 44 minutes, 36 seconds crores that won't be required okay sir thank you Thank you very much ladies and 44:45 44 minutes, 45 seconds gentlemen. We will take that as our last question for the day. I would like to hand over the call to Kash Agarwal for closing comments. 44:55 44 minutes, 55 seconds Thank you everyone for taking time to join us today and for your continued interest in genus power. We can assure you uh that company is doing extremely 45:04 45 minutes, 4 seconds good and it will be do uh doing great in coming times also next five years there is a clear-cut visibility to the company 45:12 45 minutes, 12 seconds that where the revenue will be going and how the margins will be coming and uh the company is going to do excellent there is no doubt on that. Thank you very much. 45:22 45 minutes, 22 seconds Thank you everybody. Thank you. Thank you very much sir. 45:26 45 minutes, 26 seconds Thank you very much sir. On behalf of Kavir security that concludes this conference call. You may now disconnect your line. Good night.