GE Power India Limited — Q3 FY26

Ge Power India Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=cCmUYNOJcB8 Published: 2 months ago

0:00 Ladies and gentlemen, good day and welcome to the earnings conference call in respect of interalia the unodudited financial results for the quarter ended 0:09 9 seconds on 31st December 2025 hosted by Gar India Limited. As a reminder, all participant lines will be in the 0:17 17 seconds listenon mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the 0:25 25 seconds conference call, please signal an operator by pressing star then zero on your touchstone phone. I now hand the conference over to Mr. Punit Patla, managing director of Gar India Limited. 0:36 36 seconds Thank you and over to you. 0:39 39 seconds Thank you dear investors. Good afternoon, good evening. Thank you for joining today's 0:46 46 seconds call to discuss G power India Olympics performance for the third quarter and the 9 months ended December 2025. 0:54 54 seconds I'm joined today by our CFO and WTD Mr. 0:57 57 seconds Ashish Gh to update you on our financial performance across the business and to address any queries you may have. We 1:05 1 minute, 5 seconds trust that you have had the opportunity to review our financial results and the investor presentations which have been made available on our website as well as on the stock exchanges. 1:17 1 minute, 17 seconds Would like to touch upon quickly a brief context on the broader macroecon economic and the sectoral environment into which we continue to operate. 1:26 1 minute, 26 seconds Before moving to the highlights of our quarterly performance against challenging backdrop of global 1:34 1 minute, 34 seconds economy, India's macroeconomic fundamentals remain resilient as per the economic survey 2025 2026. 1:43 1 minute, 43 seconds Real GDP growth for 2026 is projected at around 7.4%. 1:49 1 minute, 49 seconds Supported by broad-based demand, improving rural consumption and strengthening industrial activities. 1:56 1 minute, 56 seconds This momentum is expected to continue into FY27 with real GDP growth projected in the range of 6.8 to 7.2%. 2:07 2 minutes, 7 seconds Inflation pressures have moderated to 1.7% and monetary conditions remain supportive amid easing policy rates. 2:16 2 minutes, 16 seconds These trends coupled with robust capital expenditure provide a constructive backdrop for investment in infrastructure and energy sectors including power. 2:27 2 minutes, 27 seconds The government signal continued strategic support for energy and related sectors which underscores a balanced energy outlook for India ensuring 2:36 2 minutes, 36 seconds reliable base load supply while progressively scaling renewable and cleaner technologies. 2:44 2 minutes, 44 seconds Recent policy developments further reinforce this balanced approach to India's revolving energy landscape. In the union budget for FY27 presented on 2:53 2 minutes, 53 seconds in February 2026 in panel the ministry of environment forest and climate revised the 3:01 3 minutes, 1 second notification limiting SCD installation to about 30 gawatt of India's thermal power station by December 27 and 3:07 3 minutes, 7 seconds December 2028 progressively while taking category C about 70 gawatt out of the scope of the policy. Your company is 3:15 3 minutes, 15 seconds watching this very carefully as how to how does the market momentum of the new order builds up on this segment in the coming months while the market is also 3:23 3 minutes, 23 seconds witnessing the termination of few awarded orders as we move ahead. Your company has played and continue to play 3:31 3 minutes, 31 seconds a critical role in delivering reliable affordable electricity to communities accompanying our customers in their energy transition endeavors. 3:41 3 minutes, 41 seconds In the third quarter ended December 2025 within 9 months the interventions done by your company to keep the electricity 3:49 3 minutes, 49 seconds reliable affordable and sustainable goes to the tune of 14 gawatt assets. 3:55 3 minutes, 55 seconds Very happy to state this work has been essentially to lifting the quality of the life of the million of people. We are proud this mission and the impact it 4:03 4 minutes, 3 seconds has had. Now turning towards our business performance of this quarter. I am pleased to share that the strategic reset undertaken over past 4:12 4 minutes, 12 seconds few years continues to translate into sustained operational and financial progress as we approach the end of FY 2026. 4:22 4 minutes, 22 seconds Revenue remains resilient and losses have continued to narrow and the profitability across the core service portfolio has improved sequentially 4:30 4 minutes, 30 seconds providing clear momentum as we progress on. 4:35 4 minutes, 35 seconds Our deliberate shift towards the high margin shorter cash cycle and lower capital intensive opportunities alongside a calibrated 4:43 4 minutes, 43 seconds scaling back from long destation projects has further strengthened the business stability over the period as you will see it in the results. 4:52 4 minutes, 52 seconds The success of such typical business comes from the operational excellence with better and allrounded project management along with the consistent order intake. 5:02 5 minutes, 2 seconds Core order the backbone has risen by 21% from December 2024 along with the revenue for the same period witness 4% upside. 5:14 5 minutes, 14 seconds Execution discipline and operational excellence have continued to drive meaningful margin expansion across our core services and business upgrades. Our 5:22 5 minutes, 22 seconds sustained focus on strengthening capabilities and the product offerings for both Japil and non-Japil assets 5:29 5 minutes, 29 seconds cases has translated into healthy and consistent order inflow during the year for core. 5:36 5 minutes, 36 seconds This quarter your company has booked about 53% from non-Japanese assets in the overall coal services order. As of 5:43 5 minutes, 43 seconds December 2025, company's order book stand at 1,671 crores providing visibility to close to 5:51 5 minutes, 51 seconds around 2 years of execution from the continuing operations. 5:57 5 minutes, 57 seconds As already informed last quarter, we also had made important progress in strengthening the balance sheet. Legacy receivables including BHL outstanding 6:06 6 minutes, 6 seconds have progressed into structure settlement and collection phases during this quarter. Team has successfully conducted record 11 PG tests during last 9 months. 6:18 6 minutes, 18 seconds The strategic de merger of Kurapur facility to GSW energy effective July 1st 2025 as shared 6:26 6 minutes, 26 seconds as shared in the last quarter is moving with the correct pace and direction. 6:31 6 minutes, 31 seconds This transaction will streamline our portfolio reduce fixed cost exposure and sharpen our focus on asset like service 6:39 6 minutes, 39 seconds netled opportunities while ensuring continuity of the supply and the services support for the customer through appropriate commercial agreements. 6:48 6 minutes, 48 seconds At the results of disciplined cash ash management and portfolio realization, our standalone network 378 cr remain 6:55 6 minutes, 55 seconds significantly stronger as of December 2025, reflecting the benefit of these strategic actions and improving working capital discipline. 7:06 7 minutes, 6 seconds We are moving into the end of 2026 with a sharp focus on financial prudence and stronger operational discipline. With 7:14 7 minutes, 14 seconds focused portfolio, improving margins and a healthy order book, we are very well positioned. I will now hand over to 7:21 7 minutes, 21 seconds Ashish who will walk you through the financial performance in much greater detail. Over to you Ashish. 7:30 7 minutes, 30 seconds Thank you Punit. Good evening everyone. 7:33 7 minutes, 33 seconds Thank you for taking time to join today's open call. Uh I would like to build on the commercial updates which 7:40 7 minutes, 40 seconds has just shared and share few insights on the financial performance of the quarter. Starting with commercial updates during the current quarter your 7:48 7 minutes, 48 seconds company secured orders worth 141 cr compared to 461 cr in the corresponding period of the previous year. 7:57 7 minutes, 57 seconds Now while primise this is a steep quarteronquarter decline. However, the prior year's figures included a single 8:05 8 minutes, 5 seconds significant order for India CH turbine upgrade valued at rupees 348 kums. 8:12 8 minutes, 12 seconds Notably, your company's pivot to margin and cash accretive core services is on the right track with orders increasing 8:20 8 minutes, 20 seconds from 112 crores in December 2024 to 136 cr in December 2025. 8:28 8 minutes, 28 seconds This marks a 21% quarteron quarter increase. 8:32 8 minutes, 32 seconds Core services is poised to build on its momentum and deliver double digit year-over-year growth again in this 8:39 8 minutes, 39 seconds year. As of December 31st, 2025, your company has an order backlog of rupees 1,671 8:48 8 minutes, 48 seconds crores, which is down from 2,662 cr as of March 31st, 2025. 8:57 8 minutes, 57 seconds This reduction is driven by termination of two HGD contracts JPVLPA and NIGRE which collectively is rupees 775 crores worth. 9:09 9 minutes, 9 seconds Coming to the financial performance now revenue for the quarter ended December 2025 stood at rupees 386 cr driven by 9:19 9 minutes, 19 seconds core services up from 317 cr in the corresponding quarter last year marking 9:25 9 minutes, 25 seconds a 32% increase again profit before tax and exceptional item from the continuing 9:32 9 minutes, 32 seconds operation of the business for this quarter stood at rupees 131 crores this is a significant increase when you 9:40 9 minutes, 40 seconds compare with rupees 23 cr in the quarter ended 31st December 2024. 9:46 9 minutes, 46 seconds This reflects sustained efforts in improving the operating performance of the company. This cheap quarter quarter 9:54 9 minutes, 54 seconds on quarter profitability increase is also complemented by a certain one-off items like reversal of 10:01 10 minutes, 1 second ECL provision for the BHL collections that we have done in the quarter amounting to 37 crakur 10:09 10 minutes, 9 seconds extension of time received and LD settlement done and provision reversal of 22 crores and JP Bina and full and 10:17 10 minutes, 17 seconds final settlement with 25 crores of uh positive impact. I would also like to update our investors that pursuant to 10:26 10 minutes, 26 seconds the settlement agreement with PHL signed earlier this year, we as on reporting date have received rupees 2,216 crate. 10:38 10 minutes, 38 seconds Additionally, during the current quarter, we received rupees 25 cr from JP as full and final settlement. With 10:45 10 minutes, 45 seconds this the settlement with GP has been successfully concluded and both parties stand fully discharged with no further 10:54 10 minutes, 54 seconds obligation outstanding on these super following the notification of new labor codes. We have recorded a provision of 11:02 11 minutes, 2 seconds rupees 42 crores including rupees 15 cr for discontinued operations based on the draft rules issued by Ministry of Labor 11:10 11 minutes, 10 seconds and Employment. Given it is regulatorydriven and non-recurring in nature, this has been classified as an exceptional item in the financials. 11:21 11 minutes, 21 seconds We continue to closely monitor further regulatory developments and will assess any incremental impact if applicable. 11:29 11 minutes, 29 seconds Your company has taken few critical steps in the last nine months such as filing of settlements with BHL and JP 11:37 11 minutes, 37 seconds plus filing of de merger transaction for Durkapur with DHB energy. These actions are decisive and reflect our commitment 11:45 11 minutes, 45 seconds to continue to reduce financial exposures, optimize operational cost and march towards sustained profitability at 11:53 11 minutes, 53 seconds the back of course and maintain the disciplined execution at site and this quarter performance is 12:01 12 minutes, 1 second another testament to this effectiveness of this strategy. 12:06 12 minutes, 6 seconds Despite the challenges posed by the limitations on FG installations, we have managed to maintain a solid financial 12:12 12 minutes, 12 seconds footing from operation. Our ability to secure key core orders and a healthy backlog position as well for the year ahead. 12:22 12 minutes, 22 seconds Before I open the forum for Q&A, I humbly want to convey to you all that as management, we remain fully committed to 12:28 12 minutes, 28 seconds drive sustainable growth in strategic areas like O services, focusing on generating consistent profits and cash 12:36 12 minutes, 36 seconds flow. We have made a lot of ground in this journey of financial turnaround of your company. But as I always say, this 12:43 12 minutes, 43 seconds is a marathon and we are taking one quart at a time. Thank you for joining once again and I know now open the forum for Q&A. 12:52 12 minutes, 52 seconds Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touchstone 13:01 13 minutes, 1 second telephone. If you wish to remove yourself from the question Q, you may press star and two. Participants are requested to use handsets while asking a question. 13:12 13 minutes, 12 seconds Ladies and gentlemen, we will wait for a moment while the question Q assembles. 13:18 13 minutes, 18 seconds We'll take our first question from the line of Akash Chen from Money Curves Analytics. Please go ahead. 13:25 13 minutes, 25 seconds Yeah. Uh thank you so much sir. Uh I'm a little new to the company. Uh so some of the questions may be quite basic in nature. So apologize up front for that. 13:33 13 minutes, 33 seconds Uh so sir there have been a lot of one-offs right even in in this quarter we have seen settlements and uh insurance pays etc. Plus obviously a lot 13:42 13 minutes, 42 seconds of cost uh on the acceptable items as well. So if I just want to understand what is the uh long-term sustainable aid 13:49 13 minutes, 49 seconds margin for the core business how should we look at it uh from a from an ongoing perspective for the services business that we are focusing now what is the 13:58 13 minutes, 58 seconds sustainable margins that is the first question the second question is also uh regarding the uh the overall uh time of 14:06 14 minutes, 6 seconds the business sir because uh my if is it is my understanding correct that primarily we will be doing reproduction 14:13 14 minutes, 13 seconds maintenance and uh spare parts etc for uh for equipments which are installed by GE in the past and also in the future or 14:22 14 minutes, 22 seconds are we also doing contracts for other uh uh manufacturers as well. So can you give us a little bit of a sense of uh 14:29 14 minutes, 29 seconds the TAM uh growth opportunities for the business etc. That will be the second question. Thank you so much. 14:35 14 minutes, 35 seconds Thank you. Thank you for this. So first on your uh bigger part of uh uh the question I would put a request the first take the time portion. 14:46 14 minutes, 46 seconds Sure. Sure. Uh thank you Mr. Dan. Uh and uh welcome to the first investor call that you are attending. Uh so on your 14:55 14 minutes, 55 seconds first question yes you are right. There are a lot of uh there are certain one which I have already highlighted the key 15:03 15 minutes, 3 seconds ones. uh on the sustainable basis our target and endeavor for this and 15:11 15 minutes, 11 seconds future years is to deliver a double-digit AIDA for the business right and I think we are on track on the 15:19 15 minutes, 19 seconds normalized basis I'm saying uh excluding the the the one-offs that I mentioned uh we are on track for that in this year 15:27 15 minutes, 27 seconds and the target remains to deliver uh you know 10% plus a beta on year-over-year basis 15:35 15 minutes, 35 seconds on your second point which is on the target market that we serve. Uh Pun if you can jump to that. 15:44 15 minutes, 44 seconds So thanks for joining this call but probably I think I will start I'll just put a little bit of an addition to what 15:51 15 minutes, 51 seconds Ashish has said. Uh we have taken a turnaround of our strategy last year 15:57 15 minutes, 57 seconds wherein we started focusing more towards the shorter cash cycles, cash accuratives, lower capital uh investment projects. 16:09 16 minutes, 9 seconds With that we were also focused on getting into our backlogs executed as disciplined as possible. So 16:16 16 minutes, 16 seconds what you are seeing as one of a part and parcel of the execution business of a project execution missions which keeps on coming over the course of the part 16:25 16 minutes, 25 seconds over the course of the project execution. So yes you are right it's they are one of but they are not like that they are something very unique for 16:33 16 minutes, 33 seconds a project business. Second thing uh at that point of a time the strategy was more which we have created and which has 16:41 16 minutes, 41 seconds actually started giving a lot of uh results back which we are all witnessing now now that we wanted to actually get 16:50 16 minutes, 50 seconds into the services of the installed base and today India's installed base is which is more or less the target market 16:58 16 minutes, 58 seconds for us would be about 2,500 crores or something like that which comprises of 17:05 17 minutes, 5 seconds the assets which are both assets as well as non-Japel assets and we are 17:12 17 minutes, 12 seconds progressing quite strongly into the non-Japanese assets also as I mentioned in my starting speech that we have seen 17:20 17 minutes, 20 seconds 53% of uh the orders which are coming to us from the non-Japanese assets so it's 17:27 17 minutes, 27 seconds this strategy is giving us the returns and I would like to answer it in this Uh uh in case you have anything else probably do ask us. 17:39 17 minutes, 39 seconds I'll get back in the queue. Uh thank you so much for your for your answer. Thank you. 17:46 17 minutes, 46 seconds We'll take our next question from the line of Tushar Bowser from Cognizance 4D. Please go ahead. 17:54 17 minutes, 54 seconds Uh congratulations for the exceptional number sir. Okay. Can you guys hear me clearly? Yes. 18:01 18 minutes, 1 second Yeah. So I have like a couple questions like you know one is are we deliberately getting out of low margin contracts like you I've seen from the decline in the 18:09 18 minutes, 9 seconds back orders and anticipating higher margin orders like you know we we when I see like you know when I go through the details I see like you know that we are 18:17 18 minutes, 17 seconds installing the digital control systems and mechanical upgrades that allows companies like NTPC and state plans to operate at like you know differential 18:26 18 minutes, 26 seconds loads at 40% or lower like you know those kinds of systems which are pretty I would say difficult like you know for 18:33 18 minutes, 33 seconds other companies that's one of the like you know questions 18:39 18 minutes, 39 seconds okay so uh so anything else before I answer you or answer your first question maybe if you can put the second question also then I think you can take it all 18:48 18 minutes, 48 seconds together yeah sure it's a different question right you know will GVPI like you know benefit from the $165 million US like 18:56 18 minutes, 56 seconds you know order for the nuclear from the G's team and they'll by by getting the maintenance contract in the later years 19:02 19 minutes, 2 seconds or like how that impacts you know our our approach to the nuclear. 19:08 19 minutes, 8 seconds So Tashan let me take both the things together. I'll first take the nuclear one uh first for you for you the nuclear 19:15 19 minutes, 15 seconds uh the nuclear uh sector for us on the servicing or the OM contracts is out of 19:22 19 minutes, 22 seconds the domain of of uh or G power India Limited. So that's not 19:29 19 minutes, 29 seconds what we are that's not the area what we are looking at and what the number what we have talked about a little bit before 19:36 19 minutes, 36 seconds about 2,500 cr or something that doesn't include nuclear. So that's the first part of the question. Second part of the 19:44 19 minutes, 44 seconds question was uh with respect to the installed base. So when we are talking of the installed base yes there would be 19:52 19 minutes, 52 seconds few areas there in uh as I as I said to Mr. Jan also beforehand we have changed our strategy where we want to really 19:59 19 minutes, 59 seconds focus on to the low cycle high margin deals because of a very conscious decision which we have taken last year 20:07 20 minutes, 7 seconds where we do not want to risk into the long projections or long gestation uh projects which are basically cash 20:15 20 minutes, 15 seconds destroying. So yes, we would be putting our big efforts towards the uh the continuous services business. But that 20:23 20 minutes, 23 seconds having said this thing, uh we would we are still doing we are changing our strategy from an EP to the EP side which 20:31 20 minutes, 31 seconds put only the supplier. So with this I would like to rest my answer in case questions do let us know. And I think 20:41 20 minutes, 41 seconds you had you also had a flexible flexibility aspect of uh the Indian grid 20:47 20 minutes, 47 seconds which is asking the plants to work. So we have got a capability and we are working with our customers wherein we 20:55 20 minutes, 55 seconds can uh give the solutioning the technical solutions and uh we can work together. So far nothing has come up uh 21:04 21 minutes, 4 seconds at this point of time wherein the beyond design conditions have to be achieved at this point of time because the plants have to achieve only the design 21:12 21 minutes, 12 seconds conditions. So this would be the the the last part of the answer to your question. 21:19 21 minutes, 19 seconds Okay. So so we don't have any Yeah. Just so we don't have any plans for the non-renewable like you know nuclear ever as of now. 21:29 21 minutes, 29 seconds No plans. Mhm. 21:32 21 minutes, 32 seconds No plan for now. Uh Mr. Never say never but no it is not a part of the strategy and not at this point of time and I was just going to refer to that uh 21:41 21 minutes, 41 seconds also to kind of complement to what Punit said on your deliberately coming out of you know these projects. So we launched 21:48 21 minutes, 48 seconds a strategy seven quarters back uh getting into nuclear uh was not part of it. It is not part of it part of the 21:57 21 minutes, 57 seconds strategy today as well. That's one. Uh two, whatever we had already booked, right? This is the new orders or new 22:05 22 minutes, 5 seconds commercial new orders or commercial strategy for the company. But whatever we have booked, we continue to complete those projects. So there is no 22:13 22 minutes, 13 seconds deliberate attempt of coming out of any project which is booked by Jabil. uh it 22:20 22 minutes, 20 seconds got triggered from the announcements or notifications from the ministry and uh many customers including JP were 22:28 22 minutes, 28 seconds exploring their options uh for the category B and category C plants and uh we have now amicably I'm glad that we 22:37 22 minutes, 37 seconds have amicably settled that that uh you know um decision or that dispute between with with JP because JP is not only a 22:45 22 minutes, 45 seconds customer for these two projects JP is a customer for services project as well. 22:49 22 minutes, 49 seconds So it is important to continue to have a good relation with with the customer. So it was not there is no deliberate 22:57 22 minutes, 57 seconds attempt to kind of come out of any contract whatever we have booked we continue to serve our customers to to the best of our ability. uh but yes for 23:06 23 minutes, 6 seconds from a commercial standpoint we launched the strategy seven quarters back and we stick to it if there is some change in 23:12 23 minutes, 12 seconds that strategy and core services is the center pillar of that strategy and we continue to focus on that 23:21 23 minutes, 21 seconds thank you very much sir thank you next question is from the line of Sanjay Kohi from Goldstone Capital 23:29 23 minutes, 29 seconds please go ahead thank you for the opportunity See can you use your handset mode please? 23:37 23 minutes, 37 seconds Sanjay I'm sorry audio is not very clear. 23:40 23 minutes, 40 seconds I'm losing the handphone. Can you hear me? Hello. 23:43 23 minutes, 43 seconds Uh it is better now. Please go ahead because my audio also is very very bad the audio throughout this call so far 23:50 23 minutes, 50 seconds it's been and not particular to this call. It's I don't know uh this uh through this conference center but only 23:59 23 minutes, 59 seconds restricted to this call. Could you uh make the adjustments please? 24:04 24 minutes, 4 seconds Are the clear for us? Yeah, Mr. We can hear you well if you Yeah, we can hear you. 24:12 24 minutes, 12 seconds I can I'll ask the question. I can't hear you well, but I'll ask the question. 24:17 24 minutes, 17 seconds uh so uh there are a couple of uh you know these one-time numbers in this 24:26 24 minutes, 26 seconds quarter JP bina solapur ld va and uh and we've taken these in uh 24:33 24 minutes, 33 seconds the top line and uh this is in the normal course I mean I'm just trying to grapple 24:42 24 minutes, 42 seconds with the fact uh you know how this accounting works and how you are sort of synchronizing 24:49 24 minutes, 49 seconds uh your uh contract conditions with the the you know the accounting revenue 24:57 24 minutes, 57 seconds recognition as per accounting requirements. 25:02 25 minutes, 2 seconds So uh you know we can we can also let us know what the expenses are against. So if you were to total up this JP 25 and 25:10 25 minutes, 10 seconds 22 and 37 this is page 8 of your presentation this amounts to 84 crores. What are the 25:18 25 minutes, 18 seconds expenses we booked against this during the quarter? Sure. 25:24 25 minutes, 24 seconds Uh are you able to hear us? I mean yeah yeah it's better. A lot better. 25:30 25 minutes, 30 seconds Sure. Thanks Mr. uh so so yes uh I mean there were three parts of the question. 25:35 25 minutes, 35 seconds Number one, it is absolutely in accordance with the accounting policies that the company follows. Uh, of course, 25:43 25 minutes, 43 seconds it is it is duly uh verified validated um quarter over quarter. So in terms of 25:50 25 minutes, 50 seconds revenue recognition principles uh laid down by the uh by you know in the accounting standard this is in line with 25:57 25 minutes, 57 seconds that um all the all these three right uh and uh the first two which is JP and 26:05 26 minutes, 5 seconds shapur flow from the top line and the last BHL is not a topline uh item it is 26:13 26 minutes, 13 seconds it is more of a reversal of cost item uh totality These numbers are 84 kores. the 26:21 26 minutes, 21 seconds three three significant items that that I spoke about in this quarter. there is 26:28 26 minutes, 28 seconds uh almost nil expenditure on these three tickets because uh if you uh kind of go 26:36 26 minutes, 36 seconds back to the previous quarter just September quarter itself we recorded an expense of 25 crores on almost 25 crores 26:45 26 minutes, 45 seconds on GP and uh we put a note in the financials and also in the investors call we clarified that we are in 26:54 26 minutes, 54 seconds discussion with the customer however Ever there is no settlement which is achieved so far. In the event uh you 27:02 27 minutes, 2 seconds know we we are done with all the obligations and there's a settlement and the settlement comes effective in that case we will we will be having a P&L 27:11 27 minutes, 11 seconds gain in the next quarter but the obligation was still not done by the time. So, so the expense was recorded in the previous quarter. The gain is now 27:20 27 minutes, 20 seconds since we have uh fully discharged our obligations, we are recording that uh uh that revenue in this quarter 25c. 27:28 27 minutes, 28 seconds Likewise, the other two are an outcome of either a settlement achieved or in 27:36 27 minutes, 36 seconds line with the accounting policy that we follow there is a provision reversal. So you can you can take that almost nil 27:43 27 minutes, 43 seconds cost is recorded against these three tickets in the quarter and all three goes directly to the bottom line. 27:52 27 minutes, 52 seconds So um so so 37 comes in the uh goes towards improving the margins. It doesn't add to the top 28:01 28 minutes, 1 second line. It goes it reduces the expenditure the 37. Yes, you're right. 28:08 28 minutes, 8 seconds Okay. And Okay. My other question pertains to any near-term FGV catalyst orders that we can look forward to. 28:19 28 minutes, 19 seconds So what we have been saying post the government notification there is no ordering which has taken 28:28 28 minutes, 28 seconds place so far uh on the on the FGDs and just to remind all our ourselves 28:36 28 minutes, 36 seconds that about uh Categories were already out of the has been out of the notification which 28:43 28 minutes, 43 seconds is which amounted to be about 70 GW or so and Today uh for category A which are 28:49 28 minutes, 49 seconds left behind there are about 8 GW or so and uh 2 GW are under tendering but so 28:56 28 minutes, 56 seconds far the progress has been very very slow and no ordering done so far after the notification. 29:06 29 minutes, 6 seconds Okay. Thank you. 29:07 29 minutes, 7 seconds Thank you ladies and gentlemen. In order to ensure management is able to answer queries from all participants kindly restrict your question to one at a time. 29:16 29 minutes, 16 seconds You may join back the queue for follow-up questions. We'll take our next question from the line of Mayul Panchuani from 40 cents. Please go ahead. 29:27 29 minutes, 27 seconds Hello sir, thank you so much for the opportunity. Uh so my question is what percentage of revenue will come from uh 29:34 29 minutes, 34 seconds our core services over the next two years and how does margin differ between services and the EPC work? 29:43 29 minutes, 43 seconds would you like to? Sure. Sure. 29:46 29 minutes, 46 seconds Uh so I will for the next two years since you have given a time frame here uh next 29:52 29 minutes, 52 seconds two years uh volume mix would be something like this that I expect around 29:59 29 minutes, 59 seconds 60% coming from core services but post two years which is like I would call it like a more stable because we have we 30:08 30 minutes, 8 seconds have these two big turbine upgrade orders in the backlog today which would get executed in the next two years and hence you uh you know you have lower 30:17 30 minutes, 17 seconds core services and uh a lot of upgrade also coming in the next two years but but sustainably 30:25 30 minutes, 25 seconds uh I would say the 60% in the next two years will grow and would go up to 80%. 30:33 30 minutes, 33 seconds You know post two years so 8020 sustainably would be the volume mix is our expectation to answer you uh Mr. may 30:42 30 minutes, 42 seconds have right on the volume uh we do not give uh segment 30:50 30 minutes, 50 seconds profitability or margin uh but what I can tell you is that the gross margins 30:57 30 minutes, 57 seconds for at the weighted gross margins we expect uh you know uh a good a good 30% 31:04 31 minutes, 4 seconds plus gross margin number and effectively an aida of 10% plus is what we are expecting uh you going forward. Uh but 31:14 31 minutes, 14 seconds yeah, we can't give you segment margin at this point. 31:19 31 minutes, 19 seconds Sir, what remaining regulatory do we have for FI 27 based on the executable order book? 31:27 31 minutes, 27 seconds Again we don't I I think uh you have been a part we don't give future statement but uh at least I can give you 31:35 31 minutes, 35 seconds a range that we expect in the in the range where we are in this 31:42 31 minutes, 42 seconds year uh plus - 5%. So we will be for the next year and the year after we expect a 31:49 31 minutes, 49 seconds plus 5 to 8% kind of your compounded growth in the top line. 31:58 31 minutes, 58 seconds Okay, thank you so much sir. I'll get back in the queue. Yes. Sure. 32:02 32 minutes, 2 seconds Next question is from the line of Nikil from Toro Wealth Managers LLP. Please go ahead. 32:08 32 minutes, 8 seconds Yeah. Hi. Uh thank you so much for the opportunity. Um am I audible? Yes. Yes. 32:14 32 minutes, 14 seconds So sir uh actually uh congratulations on what probably the numbers and the turnaround that we are seeing uh which 32:22 32 minutes, 22 seconds you had actually discussed even in the AGM. So uh sir just wanted to understand if we exclude the one-offs uh the operational level profitability is 32:30 32 minutes, 30 seconds around 12% already like around 46 crores of maybe an operational profitability. 32:36 32 minutes, 36 seconds So we've been focused on telling 10% plus. So is it fair to assume that this is probably a base level margins that 32:44 32 minutes, 44 seconds that probably will be there and maybe um go uh going forward and uh I'll come to the second question or probably you'll be answering this first. 32:55 32 minutes, 55 seconds Sure. Uh I miss your name uh again. 32:58 32 minutes, 58 seconds Nik Nik uh thanks thank you for that question. I mean um really good question I must say. 33:04 33 minutes, 4 seconds Uh and I'm glad that you have gone through the financials and analyzed it well. Uh so yes firstly for this quarter 33:12 33 minutes, 12 seconds yes your uh the normalized margins that you're talking about profitability uh are in the in that range uh so in terms 33:22 33 minutes, 22 seconds of uh the 9 months so far uh I am calling it a 10% normalized a 33:29 33 minutes, 29 seconds bit so far uh not 12%. So one uh and second to your point is if is this the 33:37 33 minutes, 37 seconds base uh like I said we are on track to deliver 10% plus in this year and uh but 33:46 33 minutes, 46 seconds at the same time we continue to optimize our cost and we continue to focus on 33:53 33 minutes, 53 seconds pricing. uh we have had very good success in the OEM or G or Japel own 34:02 34 minutes, 2 seconds machineries or G machineries as well in this year which helps in the in the margins right so we continue to focus 34:09 34 minutes, 9 seconds there and uh we would uh yeah we would definitely aim to maximize that that 34:15 34 minutes, 15 seconds levels uh but as uh as a let's say call out we uh we stick to 10% us for next 34:25 34 minutes, 25 seconds year and years to come but we are on track for 10% this year. 34:29 34 minutes, 29 seconds Got it. Got it. Understood. So also on the like just following on to the earlier question you just said 5 to 8% 34:37 34 minutes, 37 seconds growth. Isn't it too conservative or you being more cautious and like in calling out the numbers or you don't want to specifically call out? 34:45 34 minutes, 45 seconds No, it's not conservative Nikl. It's like uh uh there are two elements. we are growing on core and we like I said 34:52 34 minutes, 52 seconds there are turbine upgrades which we would see significant execution in 26 27 so that's where our uh you know topline 35:00 35 minutes growth would would majorly come from from these two things and and I'm confident that would come however there is another element that we are uh we are 35:10 35 minutes, 10 seconds not focusing on commercial effort from the green field side that is not a part of the commercial strategy which means 35:17 35 minutes, 17 seconds that the uh volume coming from the green field project or the EPC uh business 35:24 35 minutes, 24 seconds would keep shrinking. So there is an element of growth on the services side but at the same time a compensating 35:32 35 minutes, 32 seconds uh decline on the new side also. So keeping both in mind, I still believe we will be having a uh a growth trajectory 35:41 35 minutes, 41 seconds in terms of uh the the revenue numbers but uh I've kept the decline of the new build also in mind when I gave that 5 to 35:49 35 minutes, 49 seconds 8% figure and I don't think it's Yeah. Yeah. Thank you. Uh yeah. Okay. I have one more question. 35:57 35 minutes, 57 seconds Can I ask that? 35:58 35 minutes, 58 seconds Uh please join back the queue. Thank you. Thank you. 36:02 36 minutes, 2 seconds Next question is from the line of Aman Sha and individual investor. Please go ahead. 36:08 36 minutes, 8 seconds Yeah. Hi, good evening team. Um, so my question is uh we said India the install days for co service business is 2500 36:16 36 minutes, 16 seconds crores. Uh, if I see that's on an annual basis and if we see a 9 month order v uh would it mean that we have a market 36:24 36 minutes, 24 seconds share of 25 30% in course service currently? 36:29 36 minutes, 29 seconds Yes, this is inclusive of our core assets as well as our uh the nonje assets. 36:36 36 minutes, 36 seconds Oh, okay. Who are the other competitors in the in the core service business and what is the reason like our other OEM 36:45 36 minutes, 45 seconds business has grown quite well over successive years. So what are the key elements that has allowed us to uh gain 36:53 36 minutes, 53 seconds so much? So maybe uh Ammon I think I will there was a little bit of a disconnect on in the in the the voice could probably just come up again with 37:01 37 minutes, 1 second your question the last one. Okay. Uh sorry. So I was saying there has been very good growth in the other OEM 37:08 37 minutes, 8 seconds business in the core service. Uh what has allowed us to grow so well for a couple of years in that business and who 37:16 37 minutes, 16 seconds are the competitors we are competing with in that segment. Okay. So I I I'll give you those those pieces of 37:24 37 minutes, 24 seconds information but just to give you a little bit of a more clarification of 2500 course and 25% market here. This is 37:31 37 minutes, 31 seconds with respect to our target market. I'm not talking about the complete India stallbased stuff because we would like to get into our own fleet as well as our 37:41 37 minutes, 41 seconds those targeted which we would like to uh venture upon and uh this is our very very well 37:48 37 minutes, 48 seconds calculated strategy and the uh the capability metric which we have been working on it uh over last few years 37:56 37 minutes, 56 seconds wherein we have developed uh the capability to serve the nonjil assets 38:03 38 minutes, 3 seconds and we are focusing only on those assets which are geometrically similar so that uh our efforts are our costs are well 38:11 38 minutes, 11 seconds restrained and constrained. Uh today we are looking at uh the Chinese base as 38:18 38 minutes, 18 seconds well as few Indian manufacturers also and uh a substantial uh amount of the 38:26 38 minutes, 26 seconds NPI which we call it as a new product introduction efforts have been getting along onto this uh onto these activities 38:34 38 minutes, 34 seconds so that we get into the capability of serving the nonjin assets. Thank you. 38:42 38 minutes, 42 seconds Okay. 38:44 38 minutes, 44 seconds We'll take our next question from the line of pages a private investor. 38:49 38 minutes, 49 seconds Participants are restricted to restrict to one question at a time please. Thank you pages. Please go ahead. 38:55 38 minutes, 55 seconds Good evening. Thank you for the opportunity. Uh most of my questions are answered. I just had one question regarding the AITA margin. Like you 39:02 39 minutes, 2 seconds mentioned that uh currently our core is around 12% this quarter and you're saying we're looking at double digit plus. So can you give us a range? Are we 39:10 39 minutes, 10 seconds looking at 10% to 20%, 10 to 15%? Is there some kind of range that you can share with us please sir? 39:17 39 minutes, 17 seconds Uh sorry first just a correction uh I didn't say 10% is for core I said that's 39:24 39 minutes, 24 seconds for company. So uh the the numbers uh which were being discussed was for JPE as a company not just core. 39:32 39 minutes, 32 seconds Yeah. Yeah. I I meant is removing the other income part. It's about 32% the the one the normalized one. 39:40 39 minutes, 40 seconds Correct. Correct. Correct. 39:42 39 minutes, 42 seconds That's right. That's right. And uh uh but sorry we we we can't give you uh you 39:49 39 minutes, 49 seconds know a range or beyond 10% plus that is what we have been uh uh maintaining that 39:56 39 minutes, 56 seconds it would be more than 10%. Is the endeavor is the target. we are on track for uh this year and uh we have a good 40:05 40 minutes, 5 seconds pipeline for the for the following year as well but I would not be able to give you a range of a certain number uh beyond that. 40:16 40 minutes, 16 seconds Okay. Okay sir. Fair enough. Thank you. Thank you. 40:20 40 minutes, 20 seconds Next question is from the line of Smith Sha from JHV Securities. Please go ahead. 40:26 40 minutes, 26 seconds Yeah. Hi sir. Can you call out the exact revenues and the Aida margins excluding the one-offs? Because if I calculate it, 40:35 40 minutes, 35 seconds it comes to somewhere around 13.6% as the Aida margin. So can you call out without all the one-offs the exact numbers? 40:44 40 minutes, 44 seconds Yeah. Uh so actually everyone has their own way. uh so I'm I'm sure for me for 40:51 40 minutes, 51 seconds the quarter uh I would say the 84 CR is the primary which we just highlighted in our 40:58 40 minutes, 58 seconds presentation also are the primary one-offs right uh but important to know 41:06 41 minutes, 6 seconds that the two out of 10 25 and 22 are a part of revenue and 37 are part of the cost. 41:16 41 minutes, 16 seconds So we have to take that also into account. Now considering all of this 41:22 41 minutes, 22 seconds uh I'm saying that for the quarter yes uh it is in the range of around uh 14 41:30 41 minutes, 30 seconds and a half odd% for me the way I calculate the 10%a which I was uh telling is for 9 months not just for the 41:38 41 minutes, 38 seconds quarter. So for the quarter yes it's around 14.5 and for 9 months it's around 10%. 41:46 41 minutes, 46 seconds Okay, got it. Got it. And uh can you give us a break up of the current order book which is somewhere around 1,671 crores right now. Uh can you give the 41:55 41 minutes, 55 seconds breakup of this in terms of the core services and the upgrades which are there? 42:01 42 minutes, 1 second Sure. You mean the backlog not order but orders in hand right? Yeah. Yeah. Right. 42:05 42 minutes, 5 seconds Yes. For sure. Uh so we have 1671 crores worth of orders in hand uh as the 1st 42:13 42 minutes, 13 seconds December in this uh consider around 42:18 42 minutes, 18 seconds uh 450 crores from uh the the EPC side 42:24 42 minutes, 24 seconds uh or the new side and the balance uh is from the services business including the 42:32 42 minutes, 32 seconds O and so that's the split between between the services business and and uh business. 42:41 42 minutes, 41 seconds Thank you. 42:41 42 minutes, 41 seconds Got it. And uh uh Smith, I request you to join back the queue please. Thank you. Okay. 42:48 42 minutes, 48 seconds Next question is from the line of Sunil Jen from Nirmal Bank Securities. Please go ahead. 42:54 42 minutes, 54 seconds Yeah, thanks for the opportunity. Uh so you said that uh 2,500 cr is the target 43:00 43 minutes market in India and uh out of that how much is uh your legacy GE assets and how 43:07 43 minutes, 7 seconds much is known GE assets and apart from that uh you have some opportunity in the international market what could be the 43:15 43 minutes, 15 seconds market size in that is the one question and second thing this 2500 cr which is the market size is doing to expand base. 43:28 43 minutes, 28 seconds So uh Suni uh the market which is our own installed base is about 500 crores 43:36 43 minutes, 36 seconds or so not more than that. Rest of them are non-jective uh in the in the Indian uh segment of 43:44 43 minutes, 44 seconds the Indian market. Now getting into the expansion side of it. Uh the expansion side of this market because the new 43:52 43 minutes, 52 seconds install base will be coming. We are very selective on selecting the target fleet onto which we would like to work which 44:00 44 minutes has got various parameters various commercial parameters and the return parameters. So it will increase but not immediately because normally the 44:08 44 minutes, 8 seconds installed base which is coming today would get ready for the services after some period of operation which is which 44:16 44 minutes, 16 seconds could vary 5 years to 6 years. So for the time being yes 500 crores is our own market out of 250 200 2,500 crores and 44:26 44 minutes, 26 seconds uh we will be selected on now on side of it. 44:31 44 minutes, 31 seconds Yeah. Now on the export side of it, export side of it that we are very very on the export market we are not 44:39 44 minutes, 39 seconds targeting anything which is non G m non G machines we are targeting only the G machines from a boiler perspective. So 44:47 44 minutes, 47 seconds it's not an apple comparison because we are targeting only the other side which around which would be around more or 44:54 44 minutes, 54 seconds less like 450 to 600 crores or something like that and that would be only for each supply of the spare parts uh not 45:03 45 minutes, 3 seconds all the segments of the services business uh like the overhauling etc etc. I hope that I have answered your 45:10 45 minutes, 10 seconds question. Uh just to continuation that this 2,500 cr is a yearly opportunity. 45:17 45 minutes, 17 seconds Yes, it's an yearly opportunity which is an averaged out because one plant may get for will do a little bit of an out 45:25 45 minutes, 25 seconds outage for some equipment then there will be second year second equipment will start coming. So it's an average it's not like you just take it as 45:34 45 minutes, 34 seconds particular one unit divided by the number of megawatt and all this stuff. 45:38 45 minutes, 38 seconds It's it's a general average which comes out and for GE assets I request you to join back the queue please as we have other 45:47 45 minutes, 47 seconds participants waiting for their turn continuation of what was answered and this GE assets of 500 cr you will be the 45:55 45 minutes, 55 seconds sole survi surviving I mean sole uh serving the company so I would refrain from uh answering the 46:04 46 minutes, 4 seconds these these because it's a dynamic market yes we have got a good grip onto our own element and we would defend it. 46:12 46 minutes, 12 seconds Uh we would defend keep defending our fields. Okay, great sir. Thank you. 46:18 46 minutes, 18 seconds Thank you. Next question is from the line of Rushies Sha from Alchemy Capital. Please go ahead. 46:26 46 minutes, 26 seconds Hope I'm Yes, please go ahead. 46:30 46 minutes, 30 seconds Uh congrats on a great sign of number sir. Uh mostly all my questions are answered. add just one question the cash 46:39 46 minutes, 39 seconds that we have on our balance sheet so what is our plan for that cash see because our company will be growing 5% 46:46 46 minutes, 46 seconds or something we will not be requiring that kind of working capital so what do we plan to do 46:55 46 minutes, 55 seconds okay uh so Rishik G yes uh the oblation is right and as we as as if you would have been following our company for last 47:03 47 minutes, 3 seconds few years we have passed through a very difficult ical time and we have now we are now standing onto this. So we would 47:10 47 minutes, 10 seconds like to get more towards our sustainability perspective and as Aish has said that we are moving quarter by 47:16 47 minutes, 16 seconds quarter. So yes we would be coming out how we would move ahead to make our uh next quarters and the next strategy more 47:25 47 minutes, 25 seconds stronger in line with what we have already decided on what we have tested and it is it is working. 47:33 47 minutes, 33 seconds Okay, got it. And sir one more question regarding the margin like you said that 60% will be service going to almost 47:41 47 minutes, 41 seconds 100%. So don't you think that we'll have better margins going forward? 47:47 47 minutes, 47 seconds So uh let me take that uh so again just a correction so I spent 60% for the next two years going to 80% not 100%. Uh 47:57 47 minutes, 57 seconds number one. Number two, uh typically yes core services margins 48:04 48 minutes, 4 seconds are higher than the upgrades. The back in the backlog also the we are getting a 48:11 48 minutes, 11 seconds healthier backlog now because we are volume from the services is increasing. 48:17 48 minutes, 17 seconds Uh in so fundamentally directionally I would agree. uh but like I said we uh we 48:26 48 minutes, 26 seconds are targeting for a double digit normalized beta this year and we will continue to work on our cost and we will 48:35 48 minutes, 35 seconds continue to work on our pricing but the market remains dynamic. Uh so you know uh that's why we we are refraining from 48:44 48 minutes, 44 seconds any you know um sky commitment at this point. 48:49 48 minutes, 49 seconds Okay. And thank you Rashikesh. Please rejoin the queue as we have other participants. 48:54 48 minutes, 54 seconds Thank you. Next question is from the line of Ramak Krishna V from Equity Intelligence. Please go ahead. 49:03 49 minutes, 3 seconds How many employments employees will be in the company after all this restructuring and what is the average 49:11 49 minutes, 11 seconds our turnover on a quarterly basis will be around 300 to 320 crores. Is that right? 49:18 49 minutes, 18 seconds So uh maybe I can I can take that one. 49:21 49 minutes, 21 seconds So thank you Mr. Ramak Krishna. So firstly we have not announced any restructuring. I just want to clarify that we have not announced any 49:28 49 minutes, 28 seconds restructuring in this company. Uh uh so yeah so we said but you are selling off that through JPL so you are selling your business. 49:39 49 minutes, 39 seconds Yes. Now it is clear. Now it is clear. 49:40 49 minutes, 40 seconds Yes you're right. Uh yes. So uh there are around 170 employees 170 employees 49:48 49 minutes, 48 seconds in the perimeter of the transaction. Uh so currently the number of headcount in 49:56 49 minutes, 56 seconds uh the company is around 600 and uh so you can you can you know um uh 50:02 50 minutes, 2 seconds you can make the maths uh and two on your uh sorry I missed the second question of that one was on employee 50:11 50 minutes, 11 seconds headcount and then two on the average quarterly turnover right? Yeah. 50:16 50 minutes, 16 seconds Yeah. So that your your your guess is right. uh we expect between 300 to 350 50:22 50 minutes, 22 seconds as the average range quarterly uh top line and you will be sourcing all this 50:29 50 minutes, 29 seconds equipment for the upgradation of the boiler and all that from the that uh JSW where you are sold. 50:37 50 minutes, 37 seconds So it would go like this. uh we have we have signed a multi-year agreement 5 50:45 50 minutes, 45 seconds years agreement with GSW energy as part of the de merger. So we would have access for both boiler and mill 50:55 50 minutes, 55 seconds components uh for 5 years in a uh you know phase by phase manner. So it would 51:02 51 minutes, 2 seconds be in the declining manner while we have the time to develop our own supply chain 51:09 51 minutes, 9 seconds uh alternate supply chain to the factory. So we would have the access so that we continue to serve our market. We 51:16 51 minutes, 16 seconds continue to uh serve our customers and have sufficient time to develop an alternate supply chain but but that will not be a permanent uh you know solution. 51:26 51 minutes, 26 seconds So we would work on alternate supply chain as well. So you will be outsourcing all the equipments you so rather than manufacturing yourself and 51:34 51 minutes, 34 seconds you will be focusing only on the service. No I think I would like to answer it right. We have got a very good make or buy policy stuff and yes as we 51:43 51 minutes, 43 seconds stand uh with our assets or our footprint we will take the relevant costs uh taking taking care of the 51:51 51 minutes, 51 seconds specific project or the specific equipment which needs to be delivered like that. 51:58 51 minutes, 58 seconds Okay. I would just on this Yeah. And just since we are on this topic, I just want to kind of reiterate and remind uh 52:06 52 minutes, 6 seconds all the investors and uh everyone on the call that the de merger transaction is a code-driven process. Uh and all of this 52:15 52 minutes, 15 seconds would only become active once we have the NCT approval. So there are tool gates which we have to cross. We are 52:22 52 minutes, 22 seconds working towards it and uh post that uh the all the answers that we have given uh in respect to this demo transaction 52:30 52 minutes, 30 seconds become effective only after the NCT approvals uh that we're working towards uh very actively along with thanks and all the very best. 52:42 52 minutes, 42 seconds Yeah. Thank you. Thank you. 52:45 52 minutes, 45 seconds Next question is from the line of Maywani from please go ahead. 52:49 52 minutes, 49 seconds Sorry uh sorry your line is not good. Uh we missed the name and everything. 52:57 52 minutes, 57 seconds Mahul Pani from 40 centi. Okay. 53:02 53 minutes, 2 seconds Yeah. Thank you sir for the followup opportunity. Uh sir uh when do we expect this MLT uh how long will it take to get to a decision? 53:13 53 minutes, 13 seconds Um this is very difficult to answer Mr. 53:15 53 minutes, 15 seconds Mayor honestly because there are uh many toolkates in that NCLT is the last step 53:22 53 minutes, 22 seconds but before that there are other tool gates. So it is very difficult to to answer. Our expectation is that uh 53:30 53 minutes, 30 seconds within the calendar year 2026 we should get it. That is our expectation at this point. But uh it is 53:39 53 minutes, 39 seconds a very because there are multiple government authorities uh you know u banking institution there are a lot of external parties involved 53:47 53 minutes, 47 seconds in it. uh so uh so difficult to kind of pinpoint but our expectation is that within the calendar we will get it more 53:56 53 minutes, 56 seconds towards the later part of the right sir and sir uh can you just elaborate on the uh the 54:05 54 minutes, 5 seconds what you mentioned about the you won a fiveyear contract so that was uh not one so I said uh as 54:15 54 minutes, 15 seconds part of the transaction what we have done is to make sure that we have uh continuity in the boiler spare parts 54:23 54 minutes, 23 seconds orders that we serve uh and boiler market in the country on the course side that we have and on the upgrade site we 54:31 54 minutes, 31 seconds have signed a multi-year supply agreement with JSW energy that is a part of the transaction itself which and 54:38 54 minutes, 38 seconds under that uh agreement we have access to the factory for 5 years where it 54:45 54 minutes, 45 seconds could be a simple arms length uh you know kind of uh transaction with GSW that the uh the equipment that we get 54:54 54 minutes, 54 seconds manufactured today in Durkapur we can get it tomorrow as well post the new effectiveness also. So that is what we 55:01 55 minutes, 1 second have unlocked through this agreement uh so that we have continued and we we we serve our customers uh in the same way as we are serving today. 55:12 55 minutes, 12 seconds Thank you. Right. 55:15 55 minutes, 15 seconds We'll take our next question from the line of Nikil from Toro Wealth Managers LLP. Please go ahead. Yeah. Hi. Uh thank you for the followup. 55:23 55 minutes, 23 seconds Uh just wanted to probably get your sense around uh nuclear although you have mentioned that you're not actively looking but recently we have seen lot of 55:30 55 minutes, 30 seconds thrust with respect to government on the privatizing the sector. Lot of couple of private players already winning some sort of equipment with respect to that. 55:40 55 minutes, 40 seconds So isn't it a new lever that especially a company like ours can lever the kind of uh background and the parentage that 55:49 55 minutes, 49 seconds we have and try to increase our TAM which probably seems to be uh okay for now considering that we are only 55:56 55 minutes, 56 seconds focusing on core services now and in the export also you mentioned that it is just 450 to 600 crores. So I'm just trying to think uh the kind of balance 56:05 56 minutes, 5 seconds sheet we have and the kind of cash that we have on the balance sheet we should be probably growing at much higher rates probably rather than just mid single digits or say double digits. 56:17 56 minutes, 17 seconds The second point understood but I would I would like to remind you and all the investors on this on this call that we 56:25 56 minutes, 25 seconds took a a prudent change in our strategy last year wherein we got into the short 56:32 56 minutes, 32 seconds cycle projects and none of the nuclear projects are short cycle. They range even the start of the the first electric 56:41 56 minutes, 41 seconds electron to come out of to the grid would take more or less like seven to eight years which is at this point of time which this is a market which we are 56:49 56 minutes, 49 seconds not focusing at. So uh we would still believe that the strategy on which we are working uh should move strongly and 56:59 56 minutes, 59 seconds as we see the momentum they have started building it up. So so far nuclear uh is not the area wherein we are focusing 57:08 57 minutes, 8 seconds uh having said uh it is coming out of the prudence which we have uh done last year and moving. 57:15 57 minutes, 15 seconds Got it. Got it. So so NL I request you to join back the queue please as we have other participants waiting for their turn. 57:23 57 minutes, 23 seconds I just had one question like probably I just asked one question my second question is pending. So yeah so uh thank you for so just trying to clarify you 57:32 57 minutes, 32 seconds said that we'll be growing probably say mid single digits but that is on the overall revenue because our uh other than the core will try to be uh like the 57:41 57 minutes, 41 seconds base will keep reducing and that is why but optically it will look like a mids single defect but the services will keep on growing that is what probably is a correct understanding to understand 57:49 57 minutes, 49 seconds that is how that is a fair assessment nicl yeah got it so what you meant is the overall company level uh growth What I 57:59 57 minutes, 59 seconds was working was overall G power India limited as a company's top line. 58:03 58 minutes, 3 seconds Got it. Got it. Yeah. Because the core services will grow at higher rates maybe and as in when the share increases maybe 58:11 58 minutes, 11 seconds the margin also could be trending higher which is logical also. Yeah. Thank you. 58:19 58 minutes, 19 seconds Next question is from the line of Aman Sha and individual investor. Please go ahead. 58:25 58 minutes, 25 seconds Uh hi thank you for the followup. I just add on the steam turbine upgrade opportunity. Uh sir, we will not be 58:31 58 minutes, 31 seconds focusing or we'll be focusing very less on the new opportunities on steam turbine upgrades because it would also fit with the overall theme of making the 58:41 58 minutes, 41 seconds existing plans much better. So we'll not be focusing on that opportunity. No, that's not the that's not what you have 58:49 58 minutes, 49 seconds understood. uh ammon uh the I'll just give you a little bit of a background that the central electricity authority has already identified about 200 plus 58:58 58 minutes, 58 seconds units which are going for the upgrades in the renovation amounting to more like 70 gawatt or so out of which 1 gawatt 59:06 59 minutes, 6 seconds has already been ordered and your company is leaving that which is and kukai panangori and vindia 59:13 59 minutes, 13 seconds so we uh we have seen the movement which are happening so far in into this domain and companies also active in that. We 59:21 59 minutes, 21 seconds have seen that apart from the steam turbine the boiler management systems are also coming up about more more or less like 1 gawatt the wines are still 59:30 59 minutes, 30 seconds the RFQ for which are which are getting prepared is more or less again one one gawatt or so and in addition to all 59:37 59 minutes, 37 seconds these things I would like to emphasize onto this that uh this is this would also give a sort of play to us on our 59:44 59 minutes, 44 seconds code business moving forward once these new units have been installed. Of course they are not out of our out of out of 59:52 59 minutes, 52 seconds our side. We are fully focused on that and we are fully working your company is fully working on that. 59:58 59 minutes, 58 seconds So for manufacturing for this will we be using the Durapur facility or there will be a different facility. uh we work with 1:00:06 1 hour, 6 seconds the uh with a global uh ecosystem and we would be again as I said in my one of the earlier answers we take a very very 1:00:14 1 hour, 14 seconds relevant call at that point of a time for a specific project for a specific commodity or of a specific component 1:00:20 1 hour, 20 seconds make by whatever uh works out best it's not only the cost it's also the schedule 1:00:28 1 hour, 28 seconds so just on the follow up so on this like so uh this will this can increase our growth rates of what we said of 5 to 8% 1:00:36 1 hour, 36 seconds range if we get a big order on stream turbine side upgrade because they are high ticket. Yeah, if if it comes. Yes, you're you're 1:00:43 1 hour, 43 seconds right. It will definitely Yeah, but uh just uh on the turbine upgrade uh you know these are typically 1:00:52 1 hour, 52 seconds long longestation projects. one longest stationation from a commercial standpoint and also once it is booked uh 1:01:00 1 hour, 1 minute these are not like core services projects where you know within a year you have maybe around 40% booked to 1:01:08 1 hour, 1 minute, 8 seconds build uh you convert 40% of orders into revenue the same year uh these typically take you know 3 to four years until 1:01:18 1 hour, 1 minute, 18 seconds until commissioning so these are long-term projects so uh we have to keep that in mind you know and kind of think about the upgrades. 1:01:29 1 hour, 1 minute, 29 seconds Okay, thank you sir. All right, next question is from the line of Primal Sha, an individual investor. Please go ahead. 1:01:38 1 hour, 1 minute, 38 seconds Yeah, good evening gentlemen and congratulations for a super set of numbers. I specifically have uh one uh 1:01:46 1 hour, 1 minute, 46 seconds question is that uh the provisions that you have made for the um durapu factory 1:01:54 1 hour, 1 minute, 54 seconds over the last 9 months those are going to be reversed as and when the transaction takes place. Is that right? Is my understanding correct? 1:02:03 1 hour, 2 minutes, 3 seconds Uh principally yes not one to one. So it's not that exactly you know the same would get reversed but in principle 1:02:11 1 hour, 2 minutes, 11 seconds these are uh you know discontinued operation and the appointed date uh which is set is 1st July 2025 as per 1:02:21 1 hour, 2 minutes, 21 seconds the uh de merger scheme. So not 9 months but yes anything after 1 July 2025 1:02:29 1 hour, 2 minutes, 29 seconds uh if and when this de merger gets approved by NCT and become effective 1:02:36 1 hour, 2 minutes, 36 seconds uh the economic benefits and burden should transfer okay yeah that's about it because that amount is quite substantial almost more 1:02:45 1 hour, 2 minutes, 45 seconds than 50 crores yeah but that's for 9 month I would just I would just caution that it's like for 1:02:52 1 hour, 2 minutes, 52 seconds 9 months Yeah, yeah, yeah. That that's okay. I think that's about it. Thank you. Thank you. 1:03:00 1 hour, 3 minutes Thank you. 1:03:02 1 hour, 3 minutes, 2 seconds Next question is from the line of Vayok Kumar, an individual investor. Please go ahead. 1:03:13 1 hour, 3 minutes, 13 seconds Mr. Vakumar, your line is unmuted. Please go ahead with your question. 1:03:20 1 hour, 3 minutes, 20 seconds Since there is no response, we'll move on to the next question from the line of Sunonny Sha and individual investor. 1:03:25 1 hour, 3 minutes, 25 seconds Please go ahead Sunonny. Please go ahead with your question. 1:03:35 1 hour, 3 minutes, 35 seconds I'm sorry his line is disconnected. The next question is from the line of Smith Sha from JHP Securities. Please go ahead. 1:03:44 1 hour, 3 minutes, 44 seconds Yeah, sir. on the upgrade orders that you mentioned that uh uh we are not completely defocusing from there. So uh 1:03:52 1 hour, 3 minutes, 52 seconds can you just uh uh in like can you just quantify like in the next one or two years where can this upgrade related order book can be? 1:04:02 1 hour, 4 minutes, 2 seconds So uh we are what you said we are we are fully focused on the upgrades by the way it's not the selective we would be 1:04:10 1 hour, 4 minutes, 10 seconds selective on the on the on the solutioning part of it but yes the upgrade is in our full focus uh today uh 1:04:18 1 hour, 4 minutes, 18 seconds the discussions uh the the uh the end customers which are working uh onto this are both combination of uh central and 1:04:27 1 hour, 4 minutes, 27 seconds the state uh side we have not seen a lot on the IP IP sites and reason being because IPs have been the ones which 1:04:36 1 hour, 4 minutes, 36 seconds have been which are very recent uh in terms of their installation. So normally these upgrade starts coming into the picture once they have consumed a 1:04:45 1 hour, 4 minutes, 45 seconds considerable life of the asset. So yes it's a it's at this point of time it's a central state utilities. 1:04:55 1 hour, 4 minutes, 55 seconds Okay. And where do you see the data days and the creditor days settling? Because right now it seems like it's uh too high. 1:05:03 1 hour, 5 minutes, 3 seconds The data is uh uh I would say days are reducing uh you know every quarter and uh we we 1:05:13 1 hour, 5 minutes, 13 seconds expect uh the trend to continue. So we expect for the next two quarters at least we would see we'll continue to see 1:05:22 1 hour, 5 minutes, 22 seconds that reduction uh before it kind of normalizes uh two to three quarters I would say and then it it would normalize u uh you know 1:05:30 1 hour, 5 minutes, 30 seconds after that uh and creditors uh would remain also in for the next quarters as 1:05:38 1 hour, 5 minutes, 38 seconds we continue uh we're in the back end of the the FGB uh project and the amount of 1:05:46 1 hour, 5 minutes, 46 seconds retention of the creditors that we going to pay. So, so that uh you know would reduce the overall uh credtors numbers 1:05:54 1 hour, 5 minutes, 54 seconds also but at the same time the the credtor G also and it would also normalize after two to three quarters is is the expectation. 1:06:03 1 hour, 6 minutes, 3 seconds Okay. 1:06:04 1 hour, 6 minutes, 4 seconds Thank you. One last question. Uh Smith I requested to join back please. Okay. 1:06:08 1 hour, 6 minutes, 8 seconds Thank you. We'll take a last question from the line of Sanisha and individual investor. Please go ahead. 1:06:16 1 hour, 6 minutes, 16 seconds Uh hello, thank you for the opportunity. 1:06:18 1 hour, 6 minutes, 18 seconds Uh actually I got disconnected in between so I might be repetitive in my questions. Uh please excuse me for that. 1:06:24 1 hour, 6 minutes, 24 seconds uh so what I can see is in terms of this particular quarter uh as against 401 crores the profit before tax and before 1:06:33 1 hour, 6 minutes, 33 seconds exceptional is coming to around 131 uh and that translates roughly to uh sub 1:06:40 1 hour, 6 minutes, 40 seconds I mean around 30% as compared to uh say in the previous uh quarter being close 1:06:46 1 hour, 6 minutes, 46 seconds to around 15%. So uh uh you know uh how do we how do uh we look at it as a as a 1:06:55 1 hour, 6 minutes, 55 seconds normalized way would this be this figure be uh close to 30% it could reduce or 1:07:02 1 hour, 7 minutes, 2 seconds because um from what I understand uh previously there had been a statement from the management uh in terms of a 1:07:09 1 hour, 7 minutes, 9 seconds decision that you know u the high you know we're going in the asset light model and we are going in the higher 1:07:15 1 hour, 7 minutes, 15 seconds margin uh bracket uh orders so that uh we make more uh money for the you know in terms of uh ROI. So how do we how do 1:07:25 1 hour, 7 minutes, 25 seconds we look at it as a I mean as a ballpark where do we see this settling because this 13% I mean some I mean compared to 1:07:32 1 hour, 7 minutes, 32 seconds the previous being around in the range of 10 to 15% this looks uh too good to be true but is it a can we consider it as a normalized or it has some one-offs 1:07:41 1 hour, 7 minutes, 41 seconds because of which is happening could you just throw some light on it yeah no uh so actually there were a lot of questions on this particular aspect 1:07:50 1 hour, 7 minutes, 50 seconds and I would just try to summarize it for you Sure. 1:07:54 1 hour, 7 minutes, 54 seconds Uh okay. Yeah. So there are certain oneoff items in this quarter. We talked about the most 1:08:01 1 hour, 8 minutes, 1 second significant ones. We talked about three items which totaled to 84 cr. Okay. Okay. 1:08:09 1 hour, 8 minutes, 9 seconds And we said this normalized aida for the quarter. I said of course everyone has 1:08:17 1 hour, 8 minutes, 17 seconds their own way of of you know uh calling out the normalized. There is no standard definition of normalized but uh the uh 1:08:26 1 hour, 8 minutes, 26 seconds the range is around 14 to 15% on normalized aida for the quarter and for 1:08:33 1 hour, 8 minutes, 33 seconds 9 months is around 10%. That's that's our our call out excluding these one-offs that we talked about. 1:08:41 1 hour, 8 minutes, 41 seconds Uh so that's where we stand today. uh and uh you know we we expect 1:08:48 1 hour, 8 minutes, 48 seconds uh that we're on track for this uh you know double digit AIDA story for the core year and going forward as well. 1:08:57 1 hour, 8 minutes, 57 seconds Right. Right. Uh uh so second question is in uh respect of the bail settlement. 1:09:03 1 hour, 9 minutes, 3 seconds How much amount is yet to be received and is is there any tentative timeline and if any other settlements which are to be received other than uh BHL? 1:09:13 1 hour, 9 minutes, 13 seconds So uh all the significant settlements I think they are very prudent in providing the information through investors 1:09:22 1 hour, 9 minutes, 22 seconds presentation as well as through most accounts and the financial. So all the key settlements uh if any uh are are a 1:09:31 1 hour, 9 minutes, 31 seconds part of it. So what uh there is no uh significant uh settlement a key settlement other 1:09:38 1 hour, 9 minutes, 38 seconds than what is already mentioned in the financial results plus the investor presentation. Uh on your question of how 1:09:46 1 hour, 9 minutes, 46 seconds much is yet to come uh around 120 kores uh 120 to 125 groups is what 1:09:57 1 hour, 9 minutes, 57 seconds is this as of date or from the quarter end? Sorry to interrupt. 1:10:00 1 hour, 10 minutes From the reporting date, we collected around 200. Yeah, we collected around 216 KES as on reporting date. Uh 11th is when we reported our financials. 1:10:12 1 hour, 10 minutes, 12 seconds Uh okay. And uh around 124 or 125 cr is what we expect uh further to come in the 1:10:20 1 hour, 10 minutes, 20 seconds month of February and March. So within this financial year we will we expect around 340 crores in total to collect from BH. 1:10:30 1 hour, 10 minutes, 30 seconds That's a significant achievement. Uh all right and you have uh you know some discontinued operations for which you know there's losses yet to be accounted. 1:10:39 1 hour, 10 minutes, 39 seconds Uh when do we see it fa phasing out? 1:10:44 1 hour, 10 minutes, 44 seconds So uh loss is already counted not yet to be counted it is already counted in the financials and these discontinued 1:10:51 1 hour, 10 minutes, 51 seconds operation is on account of the de merger transaction that we announced on 18th of September. Right. Right. 1:10:58 1 hour, 10 minutes, 58 seconds And this uh I we discussed this also. So again um I'll just summarize. So I said 1:11:05 1 hour, 11 minutes, 5 seconds uh the de merger transaction is expected to be closed within 2026 more towards 1:11:12 1 hour, 11 minutes, 12 seconds later half of the year uh or maybe last quarter of the year but all of this is 1:11:18 1 hour, 11 minutes, 18 seconds subject to multiple gates including but not limited to NCT approvals and the 1:11:25 1 hour, 11 minutes, 25 seconds merger scheme will become effective only after that and this discontinued operation will uh will be carved out 1:11:32 1 hour, 11 minutes, 32 seconds from our uh financial force that thank you ladies and gentlemen that was the last question for today I now hand 1:11:41 1 hour, 11 minutes, 41 seconds the conference over to Mr. Punid for closing comments. Over to you sir. 1:11:46 1 hour, 11 minutes, 46 seconds Thank you. Thank you uh all the investors uh for your interest into our investors call. I hopefully we would 1:11:54 1 hour, 11 minutes, 54 seconds have been been able to give you uh lot of information and satisfy your questions. Uh in case you still have 1:12:02 1 hour, 12 minutes, 2 seconds reach out to us uh we'll try to support you on those queries. 1:12:08 1 hour, 12 minutes, 8 seconds And I would like to reiterate only uh only one one information as we close 1:12:14 1 hour, 12 minutes, 14 seconds that we remain disciplined, selective, margin focused and execution conscious 1:12:22 1 hour, 12 minutes, 22 seconds as we march ahead with the strong footing and the momentum which we have built so far for the future. Thank you 1:12:30 1 hour, 12 minutes, 30 seconds all. Thank you for your time. Good evening. 1:12:32 1 hour, 12 minutes, 32 seconds Thank you. On behalf of GE Power India Limited, that concludes this conference. 1:12:37 1 hour, 12 minutes, 37 seconds Thank you for joining us and you may now disconnect your lines.