GK Energy Ltd — Q4 FY26

GK Energy Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=zpTmQvBLoFs

0:01 1 second Ladies and gentlemen, good day and welcome to GK Energy Limited Q4 and financial year 2026 earnings conference 0:09 9 seconds call. From the management team, we have with us Mr. Gopal Kabra, chairman, managing director and CEO and Mr. Sunil 0:17 17 seconds Malu, chief financial officer. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask 0:26 26 seconds questions after the presentation completes. Should you need assistance during this conference call, please signal an operator by pressing star then 0:34 34 seconds zero on your touchstone phone. Please note that this conference is being recorded. I now end the conference over to Mr. 0:42 42 seconds Gopal Kabra. Thank you and over to you sir. 0:47 47 seconds Thank you very much. Very good afternoon to everyone. I Gopal Kabra CMD of GK Energy. Welcome everyone. I'm very glad 0:56 56 seconds that you are here for the investor call along with me Mr. Sul Malu our CFO he's 1:04 1 minute, 4 seconds also present. Now coming uh to the subject more precisely on the as we have today declared our result. So I would 1:13 1 minute, 13 seconds like to bring quick overview on the past performance in FI26. Our standalone revenue from the 1:21 1 minute, 21 seconds operation is532.54 cr 1:27 1 minute, 27 seconds it represent 40% growth yi last year 1,94 cr rupees business 1:35 1 minute, 35 seconds if I talk about the iita level then in standalone iita for the year is 313 cr 1:43 1 minute, 43 seconds rupees uh with 53.49% 49% growth comparatively 204 crores in last year. 1:51 1 minute, 51 seconds Uh this is having the margin expanding to 20.44% compared to 18.64% in FI25. 2:01 2 minutes, 1 second Now for what everyone is working like pat after tax paid money if we talk about right so at this is the first time 2:09 2 minutes, 9 seconds in the history G energy has crossed the revenue of the 200 cr we have profit side uh sorry so profit we have 201 cr 2:19 2 minutes, 19 seconds rupees uh it is a 51% y growth comparatively 133 cr last year so uh if 2:26 2 minutes, 26 seconds I talk about the pad side then we have improved from 12% to 13% in the uh comparison and if I talk about the 2:35 2 minutes, 35 seconds consolidate level all together the we morely concentrate on the standalone only uh in consolidate level we have 2:43 2 minutes, 43 seconds done the business of 1715 cr rupes with uh iita of 318 cr rupes with the pat of 2:51 2 minutes, 51 seconds 204.3 cr rupes so we have done the 199 cr rupes u uh business into the our 2:58 2 minutes, 58 seconds wholly own subsury for the DCR cell uh securing because we secured our raw material and for that we have this our 3:06 3 minutes, 6 seconds subsidy to do this work. Now more precisely coming on the quarter four so 3:13 3 minutes, 13 seconds revenue side uh from the uh solar system installation of decentralized system it came to 418.57 3:21 3 minutes, 21 seconds cr uh with y last year it 352 cr rupes with the good growth IA side also we 3:31 3 minutes, 31 seconds have the good growth we stood 85.96 cr rupees compared to 67.43 43 cr last 3:38 3 minutes, 38 seconds year. Y growth is also quite good there as well. It is almost 27.5%. 3:47 3 minutes, 47 seconds Pad side if you are talk about then current uh clo close quarter is 59.05 cr 3:54 3 minutes, 54 seconds rupees is pad where which is almost 25% growth I would say where with the last 4:02 4 minutes, 2 seconds year it was 47.26 26 cr in Q425. 4:08 4 minutes, 8 seconds Now when we talk about the number of system installations and we have installed 17,8 system during last uh 4:15 4 minutes, 15 seconds quarter of FI26 which is 15% growth over to 14,797 system in quarter 4 of 25. 4:24 4 minutes, 24 seconds So uh if you talk about the working capital because we are the basically asset light model where working capital 4:32 4 minutes, 32 seconds is much more important. So our networking capital stood at 112 in standalone in console level uh of um 4:41 4 minutes, 41 seconds FI26 compared to 90 days in FI25 180 days if you comparing 180 days was 183 days was in H126. 4:54 4 minutes, 54 seconds This momentum of working capital was primarily driven by the revenue growth and hereby recovery from the certain large state utility companies in the second of of the year. 5:05 5 minutes, 5 seconds uh net we have been net surplus cash at the same time we ended FI26 with the net 5:13 5 minutes, 13 seconds surplus cash and cash equivalent is 240 cr rupees compared to net depth position 5:19 5 minutes, 19 seconds of 155 cr rupees in FI25 which uh it's a very good positive acceleration growth 5:27 5 minutes, 27 seconds uh symptom for us to go ahead operationally we have installed 61,000 plus system uh in FI26 that is 34% 5:37 5 minutes, 37 seconds increase over the last year. Last year we installed 45,500 uh systems. So this ability to scale 5:46 5 minutes, 46 seconds rapidly while maintaining the quality service reliability and technology define and its asset light business 5:52 5 minutes, 52 seconds model supposed to extensive uh tie up with the OEM ODM manufacturer ecosystem. 5:58 5 minutes, 58 seconds Decentralized logistic infrastructure one of the sectors we are one of the sector's largest field execution network 6:06 6 minutes, 6 seconds the growth was primarily particularly uh strong tailwinds in the Maharashan uh MP 6:13 6 minutes, 13 seconds supported by the demand what we have received in spite of the PM kusum has been slowed down but we have the 6:20 6 minutes, 20 seconds business of the margel tala and the MP both sides if I talk about the although we do install 3 kilowatt 4 kilowatt or 5 6:28 6 minutes, 28 seconds kilowatt kind of the system. But in last year we have cumulatively in whole year when I club the all the system what we 6:37 6 minutes, 37 seconds have installed it is 276 megawatt we have installed in a single year it is to be noted that by 3 6:46 6 minutes, 46 seconds kilowatt 4 kilowatt we have done this 276 megawatt. If I talk about the overall then we have all closed we have already 6:55 6 minutes, 55 seconds installed 617 megawatt of the renewable energy across the India in the uh 7:02 7 minutes, 2 seconds our journey as of now and it's like unlike traditional manufacturing renewable energy business 7:10 7 minutes, 10 seconds the company operate through a scalable execution focus architecture that combines supply chain integration decentralized warehousing logistic 7:18 7 minutes, 18 seconds infrastructure field deployment cap capability and long-standing ruler market penetration. This enable rapid 7:25 7 minutes, 25 seconds scalability with relatively lower fixed capital intensity while maintaining operational flexibility across the multiple renewable energy category. 7:35 7 minutes, 35 seconds The company operate across more than 7,500 village. So this is one of the milestone I can say we have reached to 7:43 7 minutes, 43 seconds 7,500 village with having the manpower of 1,300 plus people with us. So my 7:51 7 minutes, 51 seconds distribution network and my decentralized manpower are the very strong support pillar I can say for the 7:58 7 minutes, 58 seconds our business and that is giving us the good strong holding in the business. If 8:05 8 minutes, 5 seconds I talk about as on date order book 10 710 cr rupees. 8:11 8 minutes, 11 seconds This is what the order book we have right now and uh if rooftop side also we have started expanding. We have already 8:18 8 minutes, 18 seconds installed uh quite good number of the rooftop system and we are expecting some good order book in coming future under 8:26 8 minutes, 26 seconds the smart scheme which is uh driven by the state of Maharashtra. So this is very conclusively I would like to say 8:32 8 minutes, 32 seconds right now and I would like to request coordinator to open for the Q&A. Thank you. 8:39 8 minutes, 39 seconds Thank you very much. We'll now begin with the question and answer session. 8:44 8 minutes, 44 seconds Anyone who wishes to ask a question may press R and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press R and two. 8:54 8 minutes, 54 seconds Our participants are requested to use handsets while asking the question. 8:59 8 minutes, 59 seconds Ladies and gentlemen, we will wait for a moment while the question Q ascends. 9:05 9 minutes, 5 seconds Participants, you may press star and one to ask a question. 9:17 9 minutes, 17 seconds The first question is from Lana Tanma Javi from Winress Capital. Please go ahead. 9:23 9 minutes, 23 seconds Hi Sers, congratulations to you and your entire team for delivering good set of numbers. Uh so before I begin with my 9:30 9 minutes, 30 seconds questions, I would like to make a small request to our management team. We would appreciate if our company becomes slightly more active in engaging with 9:38 9 minutes, 38 seconds investors and analysts during that quarter because as a stakeholder it that's it helps us with better clarity and transparency regarding the business 9:46 9 minutes, 46 seconds development. We had highlighted this similar concerns in Q2 as well because I feel that there's some communication gap 9:55 9 minutes, 55 seconds between the management and the stakeholders. 9:57 9 minutes, 57 seconds uh we didn't even do a thong call post Q3 results and whenever we tried to reaching out to our CS and CFO to facilitate a management interaction 10:06 10 minutes, 6 seconds either the management was unavailable or the team was occupied. Uh so just a humble request from our side to improve our investor communication. 10:15 10 minutes, 15 seconds Uh definitely point is noted and we will you know make it sure what the best we 10:21 10 minutes, 21 seconds can do it. So H1 we did it and final year we are doing it. So we will take this opinion into the consideration and 10:30 10 minutes, 30 seconds we'll take appropriate call on it. Now I would like to listen your question if you have something. So in in Q4 we had 10:38 10 minutes, 38 seconds installed around 17,000 pumps and around 19,000 pumps were installed in Q3. So that's roughly 36,000 pumps and we were 10:46 10 minutes, 46 seconds targeting around 50,000 pumps in X2. So I just wanted to understand whether there was the demand was slowed down across the sector or was there any execution related challenges. 10:58 10 minutes, 58 seconds See uh demand is still there. Demand uh is not at all a question. It was slightly delayed due to the some raw 11:05 11 minutes, 5 seconds material uh delay but we able to cope up I believe. So that you can see with the number it's not like that we have been 11:12 11 minutes, 12 seconds slow down. uh it is sometime it happened which is beyond your control but we took the control very well on the complete 11:19 11 minutes, 19 seconds supply ecosystem we have made some certain changes and we are able to get the good number in the future right 11:28 11 minutes, 28 seconds right sir execution was topnotch I see our margins are also incre whereas our peers who came out with the results they had a margin gap as well so heads up for 11:36 11 minutes, 36 seconds that so my second question was how do we like like look our FI27 growth perspective because PM to zoom is getting delayed 11:45 11 minutes, 45 seconds for some times now. Initially it was expected in first week of April and now it's been pushed towards June end. So how are we looking at the road trajectory revenue visibility for FY27? 11:57 11 minutes, 57 seconds So now on the PM kuzum side I would like to say that uh definitely it's delayed but it's getting delayed with the very good preparation the best of knowledge I 12:06 12 minutes, 6 seconds have. So we are expecting a you know a superb number of allocation countrywide if you listen the how the you know 12:15 12 minutes, 15 seconds leaders of the country is emphasizing towards the renewable energy and the solar pal. So we are expecting that it will be good and talking about the 12:24 12 minutes, 24 seconds number side see uh you know we would like to close to the double uh number of what we have done this year. This is 12:32 12 minutes, 32 seconds what the we are targeting right now and we see that much growth potential available in the market and being in the 12:40 12 minutes, 40 seconds leadership position where you know it's a market mode scenario. It's not like that we directly get the order from the 12:47 12 minutes, 47 seconds anywhere. It's like the farmer who selects us. So when we are able to grow we understood that the we have created a 12:54 12 minutes, 54 seconds brand value and that brand value has pushes us to enter into the uh very close aligned sector which is called the 13:01 13 minutes, 1 second rooftop right so we started with the rooftop once we even we have to start the rooftop because of the pressure of 13:08 13 minutes, 8 seconds my customer from the solar pumping side okay so we are expecting 13:16 13 minutes, 16 seconds rather than expecting I would say that whole management would try to double double the number what we have delivered on the revenue side. This will be the 13:24 13 minutes, 24 seconds target that that's fantastic sir. So one last question before I join back with you. Uh so sir which new states apart from 13:33 13 minutes, 33 seconds Maharashtra and Madhya Pradesh have we entered this year or we are expecting an order. 13:39 13 minutes, 39 seconds See this year I am not expecting to expand a new state. We are already expanded or have the presence from the 13:46 13 minutes, 46 seconds UP, Hana, Rajasthan, MP, Maharashtra, Chhattisgarh. These six states are sufficient as of now for the pumping 13:54 13 minutes, 54 seconds side because this pumping business is connected with the farmers and majority of the farmer or the required farmer 14:00 14 minutes base is enough for us right now. If we get certain opportunity, we are open for the business. But as of now being 14:08 14 minutes, 8 seconds management, we are not looking to expand to the other state. We would like to have the major business in the same area again. 14:16 14 minutes, 16 seconds Right. Right. Because there was one tender by Parnata government in month of Jan. So that is we didn't receive any orders from that side. So we didn't participate in those tender. 14:29 14 minutes, 29 seconds Uh see we have not participate being management we are very clear we understand what is the capability what 14:36 14 minutes, 36 seconds is the material availability what is the bandwidth we have just for the sake of it going and taking order is not the concept of the GK energy unless until we 14:46 14 minutes, 46 seconds are not pretty sure we don't enter I just want to be very much sure that okay money is also available state have the 14:53 14 minutes, 53 seconds money central government is giving the money farmer is having the requirement then it makes sense for me to enter. So I believe I find the good better 15:01 15 minutes, 1 second opportunity the state where we have me I have already mentioned to work. 15:07 15 minutes, 7 seconds Perfect. Thank you so much. So that's it from my side. Wish you all the best and hope to see you in person. 15:15 15 minutes, 15 seconds Thank you. 15:17 15 minutes, 17 seconds Next question is from Nanovish Singh from Prudent Equity. Please go ahead. Yeah. Hi sir. Am I audible? 15:25 15 minutes, 25 seconds Yes you are audible. Please go ahead. uh congratulations on a good set of numbers sir. I just wanted a clarification on the execution part. So we had guided for 15:34 15 minutes, 34 seconds somewhere around 70 to 75,000 of home to be installed but we did somewhere around of 61,000. So are we facing any execution delays or something? 15:45 15 minutes, 45 seconds See it was in the last two quarters we got some uh you know scenario rainfall was there in the sudden rainfall was 15:54 15 minutes, 54 seconds there in the Maharashtra if you remember in the last quarter plus we got the some heat back from the uh material supply in 16:01 16 minutes, 1 second the last uh three four week of the March but we reach uh reached to the 60,000 16:08 16 minutes, 8 seconds plus number where we were guiding 70,000 and uh this I believe this This is what the best we delivered. Uh but we would like to develop the number this year. 16:19 16 minutes, 19 seconds This is what we are intending now. Okay. 16:22 16 minutes, 22 seconds We have reached to the 15,000 plus uh monthly installation capacity. Right now I have developed that much bandwidth uh 16:30 16 minutes, 30 seconds for us and again it's a completely asset light mechanism. We are not going for any capex. It's like that we got the very fantastic OEM ODM suppliers with 16:39 16 minutes, 39 seconds us. We have come with the long-term agreement with them. uh agreement in the sense it's like designing aspect understanding sometime it's MOU sometime 16:48 16 minutes, 48 seconds it's a clear understanding for the long term so this kind all kind of the thing will give us a good support to achieve the you know double side what we are 16:57 16 minutes, 57 seconds targeting got it and another question on the input uh raw material input side so most of 17:04 17 minutes, 4 seconds the peers are facing uh you know increase in raw material prices themselves so what other steps are we taking to mitigate this volatility regulatory risk in margin. 17:16 17 minutes, 16 seconds See uh fortunately I would say uh you know for uh in the case of GKOGI that only I can answer. uh we have some 17:25 17 minutes, 25 seconds forward uh agreement. We understand this scenario. We understand the supply chain and being asset light we always get the 17:32 17 minutes, 32 seconds opportunity to make the very good friend in the industry of the one for one product I have two to three good suppliers in the sectors and we occupy 17:40 17 minutes, 40 seconds their 30 40 to 50% of manufacturing capacity and uh due to the long-term agreement with the vision uh for the 17:50 17 minutes, 50 seconds close freezing the price my vision is always remain that you know whenever I take the order I get clarity okay this 17:57 17 minutes, 57 seconds margin I will have. So I go and I freeze the price on the day one for my 3 month 6 month supply side. I don't rely on 18:05 18 minutes, 5 seconds that. Okay, we will take it with the price up down. No, we are a satellite company. We are we are happy to have 1% less profit but we want to be very clear what we are going to earn it. 18:16 18 minutes, 16 seconds So we didn't got any kind of the music due to the you know price increasement or whatever you are saying. Plus the as 18:23 18 minutes, 23 seconds the volume is going up even I'm getting the benefit of the volume also. So ultimately for the getting the margin 18:31 18 minutes, 31 seconds it's like procurement it's like execution it's like supply chain management these all efficiencies are 18:38 18 minutes, 38 seconds required and as we are not engaged into the manufacturing stuff that give us the immense you know time to understand the 18:46 18 minutes, 46 seconds each separate category. So for the model supplier we have some good tie up. So he 18:54 18 minutes, 54 seconds give us the you know in our brand for the pump motor we have some good supplier who gives in our brand for the controller same thing is there. So our 19:03 19 minutes, 3 seconds team is not occupied into the that side we are purely focused on the EPC side. 19:07 19 minutes, 7 seconds So that's why we will be able to deliver it. 19:11 19 minutes, 11 seconds So we can expect similar range of margins going ahead. 19:16 19 minutes, 16 seconds See um even last call also I said twodigit margin right now also I would say that twodigit margin would like to 19:23 19 minutes, 23 seconds keep it we believe into that saying that practically 19:31 19 minutes, 31 seconds so rather than just saying that you know we will do it I would say that we will try to intact twodigit margin if you remember my last con call because 19:40 19 minutes, 40 seconds earlier gentleman was there in the last con call I said that we will try to keep or we will keep the intact margin. So we 19:48 19 minutes, 48 seconds have delivered more than what we have said. 19:51 19 minutes, 51 seconds So with the same formulation right now I'm saying that we will be in the try to be in double digit margin. Let's see what best we can deliver. 20:00 20 minutes Okay. Got it. Just last confirmation. Uh you recently got a 350 K order. So our order book as of now is 700 odd K. So does that include this order also? 20:11 20 minutes, 11 seconds Yes it include that order also. The same thing is mentioned in the presentation also our presentation is given where we have very clearly mentioned order book 20:19 20 minutes, 19 seconds as on 31st March and include the order received post April 2026 totality 710 it you can find in the investment 20:27 20 minutes, 27 seconds presentation as well investor presentation okay got it that will be thank you sir 20:34 20 minutes, 34 seconds thank you a request to all the participants kindly limit yourself to two questions per participant and we join the queue for a followup 20:43 20 minutes, 43 seconds Next question is from line of Ashish from Invescue PMS. Please go ahead. 20:49 20 minutes, 49 seconds Yeah. Hi uh Gopal and team. Uh so pretty good numbers. Uh so just wanted to understand uh what is happening with the 20:57 20 minutes, 57 seconds uh tendering activity overall and uh is there competitive intensity because what we hear is that uh realizations and margins probably uh can be under 21:06 21 minutes, 6 seconds pressure uh going ahead. So let's uh wanted to understand your point on uh your your views on basically um what 21:15 21 minutes, 15 seconds kind of ordering intensity for the industry and for u GK you would be expecting in the next year and from 21:22 21 minutes, 22 seconds which states or maybe since they're mara dependent basically I understand uh that part but um across uh what is the 21:29 21 minutes, 29 seconds scenario because we are seeing different uh things happening in different states as far as intensity is concerned so your 21:36 21 minutes, 36 seconds view would be helpful sir Okay. So now coming on the tender side definitely we have seen the price is um 21:44 21 minutes, 44 seconds you know not having the different range but this different range is coming with the heavy volumes. So when you uh are 21:52 21 minutes, 52 seconds into the business when earlier we were selling 100 pumps in a year versus when we are selling the you know 60,000 22:00 22 minutes 70,000 so definitely price cannot remain the same and I believe this competitive age is going to bring us the more 22:06 22 minutes, 6 seconds business. So uh personally uh being GK energy management uh we are not worried on that side you know because of this 22:15 22 minutes, 15 seconds thing we should be worried I believe it's a sensible players are there in the market those who bid and it is having the good profit margin to have if you 22:23 22 minutes, 23 seconds know how to control each and every component of your kitty. So that is one thing I would say and second was on the 22:31 22 minutes, 31 seconds realization. Am I right? Your second question was on realization. 22:36 22 minutes, 36 seconds Yeah. So just wanted to understand because you said that you you would be aiming to double your turnover. So it is pretty clear that you are seeing a 22:43 22 minutes, 43 seconds decent order book which will be there for you as a company but in general because uh PM Kum kind of uh delayed or 22:53 22 minutes, 53 seconds maybe so we are seeing that the orders have been a bit lumpy right I mean uh so if you could just give us a picture of 23:00 23 minutes how you are seeing the sector from kusum from different states what is happening got it got it got it got it so see right 23:07 23 minutes, 7 seconds now 700 plus cr rup rupes order we are having that's point number one uh Meltala phase 5 yet to just open again we are expecting because in phase 4 23:16 23 minutes, 16 seconds itself we got uh 350 cr rupees order right so phase five it's under evolution that is supposed to get open so we are 23:24 23 minutes, 24 seconds expecting order from there then we have applied for the already smart schemes where the 1 kilowatt system supposed to be get installed uh there we have we are 23:32 23 minutes, 32 seconds expecting a sizable number there also we are expecting 300 400 cr rupes business so 700 cr rupees business already in 23:39 23 minutes, 39 seconds hand plus is both together 700 we are expecting. So 1 1400 cr rupees order should be there for the before the 23:47 23 minutes, 47 seconds quarter one get ends is expected and out of that what we will execute it that's the point number one now looking towards 23:54 23 minutes, 54 seconds the PM kusum is got delayed but it's I won't say delay it's like the technical specification to everything is getting 24:03 24 minutes, 3 seconds changed over there so that is the good thing is going to take place because we want to deliver the maximum utilization 24:11 24 minutes, 11 seconds of the asset getting deployed into the field. It's okay. It got certain delay. 24:15 24 minutes, 15 seconds That's okay. But it will come up. Till that we are working with the magal and rooftop system. We are having it right now. Now uh talking about the state wise 24:24 24 minutes, 24 seconds if you talk about definitely right now for the coming till H1 or quarter 3 Maharashtra will be concentrated base because whole country's volume for the 24:32 24 minutes, 32 seconds pumping is coming from Maharashtra. It's not like GK energy. Everyone has to be from here only. If he's not from here then there can't be such a great volume. 24:43 24 minutes, 43 seconds So up to quarter three we will be concentrated on Maharashtra and parallelly we will once kusum will start 24:50 24 minutes, 50 seconds with the PM kusum name or whatsoever it will come that will be there rooftop we have already started there also we are having the uh clear projection of the 24:59 24 minutes, 59 seconds good order book. So with this all we will be able to reach what we are targeting. 25:05 25 minutes, 5 seconds Okay. Uh sir you said uh doubling of turnover but uh what I mean will it be 25:12 25 minutes, 12 seconds large portion of rooftop also in that or uh will it be primarily um I mean the 25:19 25 minutes, 19 seconds the pumps uh definitely there it will be having part of the rooftop a sizable number from rooftop and we are slowly going 25:29 25 minutes, 29 seconds towards the EPC of the megawatt scale as well. So we might uh have some megawatt scale EPC. It's not confirmed right now 25:37 25 minutes, 37 seconds because I don't have the confirm order in my hand but we are eyeing on that but majority will be from the rooftop and the pump both together. 25:48 25 minutes, 48 seconds Got it. Got it. And finally if I can ask one more question. What are the feelers that you get from the uh government in 25:55 25 minutes, 55 seconds terms of uh uh Kusuma? I mean what we have been hearing from different quarters is that given the uh given the 26:03 26 minutes, 3 seconds implementation of the earlier scheme government is basically the first let's complete the initial allocations with the earlier scheme and then we'll move 26:12 26 minutes, 12 seconds to the sayum 2 or something like that I mean is that the case or is it something else on the government's drawing board 26:19 26 minutes, 19 seconds that uh utilating things see uh that really government side what is their real thought uh from overall 26:27 26 minutes, 27 seconds called Kusum prospect is different because it have the component A, B, C. There are three component. Okay. Yeah. 26:33 26 minutes, 33 seconds Now talking about the component B where we did the major business for the company. So it is the most successful component of the PM cushum. If you just 26:42 26 minutes, 42 seconds go to PM Kushum website, you can see that the highest installation or highest target is achieved under PMUS component 26:49 26 minutes, 49 seconds B only not by A not by C even. So might be it is due to that A or C it it is 26:58 26 minutes, 58 seconds saying that and we here as a composite PM concern when we talk about purely component B so it is a successful 27:05 27 minutes, 5 seconds business model right right sure sir so from your voice it seems pretty optimistic but when we 27:12 27 minutes, 12 seconds talk to peers it's like uh things are not in control as of now so two divergent views we are getting actually 27:20 27 minutes, 20 seconds see uh what happened uh you uh I'm not uh capital intense so my worries is not in that mode if tomorrow component B in 27:29 27 minutes, 29 seconds place of component B where we have the offgrid pump let's assume tomorrow grid connected pump come okay so for me there is no difference 27:37 27 minutes, 37 seconds so I have to not made any 300 400 500 cr rupees invested in capex mode yes 27:44 27 minutes, 44 seconds what we are doing we are utilizing their ideal manufacturing capacity because in the country I believe when we have the sufficient manufacture uring base let's 27:53 27 minutes, 53 seconds utilize that base where it become a win-win situation I get the best price for the manufactur sometime whatever the price I buy my product I understood from 28:02 28 minutes, 2 seconds the market for the small manufacturer it is more than their manufacturing cost 28:09 28 minutes, 9 seconds so you know that is the volume we are getting it and you know when I understand there is ample manufacturing things are available that's why we have 28:17 28 minutes, 17 seconds dropped the solar model manufacturing I don't want to become a you know chal Let's apply the you know best uh and 28:25 28 minutes, 25 seconds whenever we will go into manufacturing it will be the new tech thing not into the commodity business we are not interested. 28:32 28 minutes, 32 seconds Okay. Finally sir one more thing I mean would you say that the margins will be maybe upwards of say 16 17% for the next 28:40 28 minutes, 40 seconds year or you are seeing any change in the overall margin trajectory for the company. So you are talking about the pad or IA 28:49 28 minutes, 49 seconds IA right now also we have good I think it's a 20% right now we have uh 28:57 28 minutes, 57 seconds see 10 to 15% variation that may take place uh it is very early to say considering the geopolitical situation 29:05 29 minutes, 5 seconds but fortunately our majority of the component is made in India so we don't have the direct impact so let's see we 29:14 29 minutes, 14 seconds would like to do more positively. What are the best uh you know profit we can bring into the company? 29:21 29 minutes, 21 seconds Sure. Sure. Okay. Thank you so much. All the best. 29:27 29 minutes, 27 seconds Thank you. Next question is from the line of Samir Sha from Valuequest Investment Advisor. Please go ahead. 29:35 29 minutes, 35 seconds Hello. Yes, please. 29:37 29 minutes, 37 seconds Yeah. Hi. uh congratulations on the uh good numbers uh on the margin or competitive intensity or whatever there 29:46 29 minutes, 46 seconds were so many uh players in the pump market uh etc. So one is on the 29:52 29 minutes, 52 seconds competitive intensity if you can uh uh say how the situation is and uh second on the working capital going forward um what is the new normal? 30:05 30 minutes, 5 seconds Okay. So competence intensity for the manufacturing of the solar pump. So let 30:12 30 minutes, 12 seconds me tell you I have every 15 days one good company at my doorstep to sell his pump. So that much it's a competitive 30:20 30 minutes, 20 seconds it's a commodity now. So what we do is we uh take the best uh supplier. We find the best supplier who is ready to give 30:28 30 minutes, 28 seconds the quiz who is ready to do the production as per our standard. We finalize that. So intensity wise yes 30:36 30 minutes, 36 seconds commodity is there. So that uh is a highly competitive thing. Uh now as a solar pump because solar pump is not a 30:45 30 minutes, 45 seconds pump basically solar pump is a module structure pump motor control many things are there. If you talk about the EPC 30:54 30 minutes, 54 seconds side solar pumping then the I won't see the huge competition there. I see that for the right people there is a 31:02 31 minutes, 2 seconds fantastic opportunities. available because it's a brand calling businessdriven uh model is there. So you 31:09 31 minutes, 9 seconds are the farmer who selects you. So your brand has to have the recall from the you know various area that's a one thing 31:18 31 minutes, 18 seconds I think I have answered if not I will answer uh with your question again now working capital side if you're talking about so definitely working capital it 31:27 31 minutes, 27 seconds seems to be little bit more but if you compare with the H1 it has been come in very practical mode and it shall remain 31:35 31 minutes, 35 seconds into this range only this is what we are eyeing on it now so whatever is this uh 31:42 31 minutes, 42 seconds March working capital that will be uh that will be uh the working going forward which is what 140 150 days. 31:52 31 minutes, 52 seconds Yes, you're right sir. 31:55 31 minutes, 55 seconds Um right and just uh uh you know a little double click on this here uh FY27 32:04 32 minutes, 4 seconds um if say Kusum 2 because the way uh they have given an extension uh to companies to install you know uh by end 32:12 32 minutes, 12 seconds of the year I think March 27 is now the revised deadline um what gives us confidence I mean on FY27 Kusum 2 will 32:22 32 minutes, 22 seconds come and it'll come better uh but uh what is this thought process of extending it to March 27 and will will 32:30 32 minutes, 30 seconds that impact our numbers for this year. 32:36 32 minutes, 36 seconds So uh they have increased up to December and March that is right for the component other component where the 32:43 32 minutes, 43 seconds installation has to take place. uh my confidence is coming with the mag tala right now because uh in maggal tala we 32:50 32 minutes, 50 seconds have very clear order book and it's up to phase four now further three four phases are yet to come so that is very 32:57 32 minutes, 57 seconds clear business visibility ex apart from PMU second we have already started 33:04 33 minutes, 4 seconds rooftop there also we see very good business in pipeline so that is also 33:10 33 minutes, 10 seconds good visibility and PM kusum 2 anyhow as I said I'm eyeing that PM kusum uh 33:17 33 minutes, 17 seconds business from quarter 3 onwards only. So for H1 we are very clear and for H2 also we are very clear because it has to get 33:26 33 minutes, 26 seconds implemented. Now the looking towards the diesel and all scarcity what is taking place it is the solution which is available 33:35 33 minutes, 35 seconds for the market right. Uh so in terms of numbers then 33:43 33 minutes, 43 seconds what are we I mean what are we penciling in for this uh doubling again if you can 33:52 33 minutes, 52 seconds we are eyeing around 1 lakh 20,000 to 1 lakh 40,000 pal okay uh with that we are looking to around 34:00 34 minutes 2200 to 2400 cr rupes business if you talk about the numbers and from the rooftop we are eyeing around 600 to,000 34:09 34 minutes, 9 seconds cr rupes in range between so like with all together we are eyeing around 3,000 cr rupes plus business so that's why 34:17 34 minutes, 17 seconds rather than I would say number I'm think doubling the number because uh flexibility has to be there into the 34:24 34 minutes, 24 seconds pump and the rooftop but altogether it will arrive perfect thank you and all the best 34:31 34 minutes, 31 seconds thanks thank you next question is from the line of navasa from GC holdings Please go ahead. 34:41 34 minutes, 41 seconds Yeah. Uh sir, I just wanted to understand uh how if you want if you are targeting a revenue of close to 3,000 crores, what can be the working capital 34:50 34 minutes, 50 seconds requirement and how do we intend to fund that requirement? 34:54 34 minutes, 54 seconds So working capital see we just uh if you see we have achieved 1500 cr rupees business where we got the majority of the equity in the month of October. 35:05 35 minutes, 5 seconds Okay. So now if I talk about the totally with the equity what we have raised plus what are the profits we have plus credit 35:13 35 minutes, 13 seconds line what we are getting and we have reduced our inventory days as well. If you look towards the number my inventory days has been gone up to uh gone down to 35:22 35 minutes, 22 seconds 21 days which is we would like to reduce more we we are approaching just in time and the working capital side which is we 35:29 35 minutes, 29 seconds are talking about the 140 150 days which is the ideally very high ideally we would be trying to reduce that when we 35:37 35 minutes, 37 seconds do the all calculation of reducing the inventory days and having the good credit limit possibility if required 35:46 35 minutes, 46 seconds whenever with our vendors already raise uh equity surplus reserves what we have gained this all together is 35:55 35 minutes, 55 seconds sufficient to reach the given target you can elaborate a bit more 888 crores 36:02 36 minutes, 2 seconds is our net worth and fi26 right and 3,000 crores is the targeted revenue and if I even if uh if around 36:11 36 minutes, 11 seconds 30% is the working capital intensity which means we need 1,000 crores of working capital requirement Am I right? 36:17 36 minutes, 17 seconds No, you you have to repeat your question please. Sir, our net worth and FI26 was 888 cr rupees. 36:25 36 minutes, 25 seconds Right. Right. Right. 36:27 36 minutes, 27 seconds If we are targeting a revenue of 3,000 crores, we our working capital requirement will be close to 1,000 crores. Is that right? 36:35 36 minutes, 35 seconds Right. So that is what I'm I'm trying to understand from how do you intend what can be the BG or or LC limits which can 36:42 36 minutes, 42 seconds come in and how do you intend to fund that if you can be a bit more granular it would be really very helpful and what can be the approximate cost of this 1,000 crores of working capital. 36:53 36 minutes, 53 seconds So see if you're talking about with the available what are the money I have with that plus bank debt. So bank debt also 37:01 37 minutes, 1 second we have we have certain limit uh limits which is already assigned although we were sitting with the 240 cr rupees surplus cash that's a different scenario 37:09 37 minutes, 9 seconds but we have not closed the bank limits so we have the CC and BG limits and that will get enhanced as and when required 37:18 37 minutes, 18 seconds I will touch base uh with the CFO later on this thank you very much yeah thank you thank you next question is from land of 37:27 37 minutes, 27 seconds Jed Zeri from via Maya financial please go ahead. 37:32 37 minutes, 32 seconds Good evening sir congratulations to you and your entire GK team for the great set of numbers. If possible can you please provide a bit more clear guidance 37:40 37 minutes, 40 seconds for aida margins even if it's not exactly precise. Your guidance of twodigit smart seems to be a very broad 37:47 37 minutes, 47 seconds classification to us. It would be great if you could also provide us guidance for uh EPC business and solar set trading business separately. 37:56 37 minutes, 56 seconds Uh okay we will uh work on because right now it is not work and kept kit ready so we will work on this and we will try to 38:04 38 minutes, 4 seconds give you okay thank you sir and my uh second question was on Q4 specifically our 38:11 38 minutes, 11 seconds revenue was down about 6 to 7% from Q3 can you help us understand the slowdown in this specific quarter 38:18 38 minutes, 18 seconds uh we could not do the installation what we were eyeing that time because of the rainfall and the war started in the 38:26 38 minutes, 26 seconds month of February and so there was sudden impact on the some raw material availability which occurred into the 38:33 38 minutes, 33 seconds last two three week of the March so and the rainfall these were the two reason why we could not do it and although from 38:39 38 minutes, 39 seconds 70,000 which we were guiding 70,000 plus so we came to 60,000 plus and there is a gap that I have in the beginning of the 38:47 38 minutes, 47 seconds call also I have said that so but uh coming year current financial year we are going to recover that all because we 38:54 38 minutes, 54 seconds are sitting with the orders. So order uh is already with us. 38:59 38 minutes, 59 seconds Okay. Thank you sir. Uh be in touch with your team for uh guidances on the margins for the two businesses separately. Thank you. 39:09 39 minutes, 9 seconds Thank you. Next question is from the line of Pan from Walford PMS. Please go ahead. 39:18 39 minutes, 18 seconds Yeah, thank you for the opportunity and congratulations for good set of numbers sir. Uh I just wanted to understand that 39:25 39 minutes, 25 seconds in uh Margil Tala there has been comments that the realizations have went off overall and uh with many companies 39:33 39 minutes, 33 seconds being uh in Maharashtra uh what competitive bidding uh is uh could you just comment on the competitive bidding 39:41 39 minutes, 41 seconds are the prices uh really going on? Are we also uh bidding uh lower and lower? 39:51 39 minutes, 51 seconds See GNG whenever it bid it bid with the appropriate required margin only. So we never bid lower which is appropriate for 39:59 39 minutes, 59 seconds the market and the as I said that you know price differentiation is arriving but the volume is also going 40:05 40 minutes, 5 seconds fantastically up. So when earlier a single uh you know person was doing four installation in a week now he has to do 40:14 40 minutes, 14 seconds four installation in a day. So I believe that when the volume goes up that time you can definitely renegotiate discuss 40:22 40 minutes, 22 seconds with your vendors for the price discovery. You have to recourse the price you have you know expenses goes 40:29 40 minutes, 29 seconds down because your volume goes up. So ultimately it's the art of the doing the business to keep your margin intact and 40:36 40 minutes, 36 seconds definitely when the sometime the price variation come positively on this side. 40:41 40 minutes, 41 seconds So your volume also go up because the implementation will go more numbers. So ultimately is what you are gaining is 40:49 40 minutes, 49 seconds matter. So whether by doing 100 number or whether by doing 110 number. So I believe 110 what's wrong in that? 40:58 40 minutes, 58 seconds Correct. Correct. And uh uh in terms of the order book uh what part of your order book is from Marel Tala currently? 41:08 41 minutes, 8 seconds Uh mostly is from Marel Tala. majority I would say and the MP also we have we have rooftop also it's a mix 41:16 41 minutes, 16 seconds um could you just uh give a rough idea about the rooftop part in in in terms of numbers 41:24 41 minutes, 24 seconds uh rooftop part in the terms of number we have already installed more than 5 megawatt right now and we are having 41:31 41 minutes, 31 seconds many orders in the pipeline as well as the smart scheme if you are aware of the Maharashtra because I think when you are talking about Mela you must be aware of 41:39 41 minutes, 39 seconds the smart scheme which is the 1 kil lot solar rooftop system. There also we got the impan there also we are looking the very fantastic huge number of the 41:47 41 minutes, 47 seconds volume. Uh definitely there our intent is to reach one lakh household in that uh area although margin may be little 41:56 41 minutes, 56 seconds bit less but we want to do it because see ultimately our intent is to reach GK 42:03 42 minutes, 3 seconds as a brand into the ruler semi-urban urban households. So we are getting 42:10 42 minutes, 10 seconds fantastic opportunity that will get utilized for getting it and that when I'm talking with you the retail number has been not considered into this retail would be the icing on the cake. 42:22 42 minutes, 22 seconds Okay. Okay. And uh in terms of our balance sheet s we have added uh about 100 odd cr of fixed assets. Can you can 42:31 42 minutes, 31 seconds you just uh describe what what things have we added in our company fixed assets? Uh it's our corporate office. 42:41 42 minutes, 41 seconds Okay. 42:46 42 minutes, 46 seconds And uh on a per month basis sir, what uh capacity uh uh you know what uh run rate 42:53 42 minutes, 53 seconds can we expect going forward u uh in terms of uh you know pump installations, solar pump installations. 43:01 43 minutes, 1 second See my team is equipped get ready training and everything has been uh because you know I cannot do it double 43:09 43 minutes, 9 seconds in a immediate basis. So we have been planning since couple of months in past. 43:14 43 minutes, 14 seconds So my current capacity is around 15,000 system to be get installed in the remote locations. 43:23 43 minutes, 23 seconds Okay. Okay. That's it from my side and all the best for the future. Thank you. 43:31 43 minutes, 31 seconds Next question is from Lo Smith Gala from RSPN ventures. Please go ahead. 43:37 43 minutes, 37 seconds Yeah, thank you for the opportunity. Uh so just uh doubling down on the PM kum. 43:42 43 minutes, 42 seconds Yes, it might be delayed a bit but it'll come. Uh so if we consider the combined central state and farmer contribution 43:49 43 minutes, 49 seconds the total program outlay could be in the range of 1.5 lakh crores. uh within this what proportion of the opportunity does 43:58 43 minutes, 58 seconds GK energy realistically expect to capture additionally as an EPC player under this scheme does GK undertake end 44:06 44 minutes, 6 seconds to end uh procurement including pumps controllers and related components or is the scope largely limited to 44:13 44 minutes, 13 seconds implementation uh and in case of procurement is a part of our scope do we on margin on that as well 44:22 44 minutes, 22 seconds okay so I will go reverse procurement is in our scope. We do the not only end to end buying, we do this control on the 44:30 44 minutes, 30 seconds quality side and the place of manufacturing. 44:33 44 minutes, 33 seconds So although we are asset but sorry to interrupt you sir in case mute your lines from your side. 44:42 44 minutes, 42 seconds Yeah. 44:48 44 minutes, 48 seconds Okay. So uh procurement side we do end to not only end to end we do control on the quality aspect at the time of 44:55 44 minutes, 55 seconds manufacturing itself my dedicated team sits into the our supplier OEM ODM places and they do control now this is 45:04 45 minutes, 4 seconds what we do on the controlling side for the and the procurement side it's a end to end in the G energy brand itself it's 45:10 45 minutes, 10 seconds not like of anyone's else brand and your another question was related to 45:18 45 minutes, 18 seconds farmer contribution right uh no no my question was regarding that we I 45:26 45 minutes, 26 seconds assume the total outlay of EMU 2.0 to to be around 1.5 and what is the GK energy share is going to be so rather than saying that you 45:34 45 minutes, 34 seconds know because the scheme itself is going multiffold uh if you take the past number of the GK 45:42 45 minutes, 42 seconds energy's contribution in the whole business of the PM kusum which is got installed 10 lakh plus pal that itself you can see it is close to two digit 45:52 45 minutes, 52 seconds around 9% is what the countryside we have contribution it doesn't include the magel tala Magel Tala scheme we have the contribution more than 15%. 46:03 46 minutes, 3 seconds So there are two different schemes. So uh when you have whatever the number you have said which is a pan India and if 46:10 46 minutes, 10 seconds you just consider 9% of that so uh I think the answer is itself is available there. 46:17 46 minutes, 17 seconds Okay. Okay. That was helpful. Uh next question uh is uh beyond the PM consumdriven opportunity which will last 46:25 46 minutes, 25 seconds over the five to seven years coming forward. Uh what does the steadystate business look like for GK energy in 46:32 46 minutes, 32 seconds terms of addressable market core service offerings and the growth drivers? How are we positioning our company to 46:39 46 minutes, 39 seconds sustain growth once this policy tailwind normalizes? 46:44 46 minutes, 44 seconds See point number one PMU 6 years 7 year or maybe 10 20 years let's see I believe it may go up but we are purely you know 46:52 46 minutes, 52 seconds not end to end company who do the who don't do the manufacturing of specific components so we have freedom of 46:59 46 minutes, 59 seconds flexibility to shift the our area of the working we have the expanded very vast 47:07 47 minutes, 7 seconds ruler network when we will reach to the 1 million household by the time what you are talking about because company have 47:14 47 minutes, 14 seconds the set target that by 2030 we should be reaching to 1 million household. So definitely that time we can have the 47:21 47 minutes, 21 seconds whichever whatever required product will be there. We are having the rooftop also which will go ahead. Now we are eyeing towards the in long-term best is also we 47:30 47 minutes, 30 seconds are looking which is going to support us and right now I can project for the five years definitely might be two years 47:37 47 minutes, 37 seconds onwards we will think what area we have to begin. So I can able to answer that uh your question what will be down to 47:45 47 minutes, 45 seconds seven year probably after 2 three years because more than five years projection is very difficult because right now the 47:52 47 minutes, 52 seconds geopolitical scenario if you see that on the lighter mode even we are not aware about that what will happen into another 6 months. 48:01 48 minutes, 1 second Okay. Okay. That was that was helpful. Thank you. 48:10 48 minutes, 10 seconds Thank you. Thank you. Next question is from Lamaru from Pinpoint X Capital. Please go ahead. 48:19 48 minutes, 19 seconds Um hi, thanks for the opportunity. So in the rooftop solar business um is that the strategy same of being asset light? 48:27 48 minutes, 27 seconds Um and if not so what kind of products that we are thinking to backward integrate ourself into and structurally 48:35 48 minutes, 35 seconds what are the evida margin in the business that you are looking uh it definitely it's going to remain as 48:42 48 minutes, 42 seconds a asset light but this my asset light model is work differently okay so if I 48:49 48 minutes, 49 seconds talk about my asset light model in this we define the manufacturing process our standards our QC Everything is with us 48:59 48 minutes, 59 seconds only. So we have created a ecosystem which is as equal as like having your own manufacturing setup but you don't 49:07 49 minutes, 7 seconds have the asset light. So it very simplified set. So my you know decentralized energy network it's for the you know asset light model through OEM ODM based manufacturing ecosystem. 49:18 49 minutes, 18 seconds So we utilize their ideal capacity for our product to get manufacturing. That's a point number one. uh being asset like 49:27 49 minutes, 27 seconds uh so backward integration yes it is a indirect backward integration very well controlled if I talk about I have the solar module supply from the four 49:36 49 minutes, 36 seconds different state so my transportation cost to everything goes very down I'm not dependent okay I have to get my product travel 900 kilometer just 49:45 49 minutes, 45 seconds because I'm having manufacturing I don't have that thing I have one supplier sitting in the Chhattisgarh one is in 49:52 49 minutes, 52 seconds the Gujarat another is sitting into the UP So one is having in Kerala. So wherever I go I can take that product and that gives my immense margin control thing. 50:04 50 minutes, 4 seconds So this is what on the margin I ea margin has already said that we will try to keep what are the best we can do it with the pad side we would like to be at 50:12 50 minutes, 12 seconds the double digit double digit in the solar rooftop business as well. 50:19 50 minutes, 19 seconds uh primarily yes we would la to it but might be little bit less in the rooftop system specifically smart scheme where 50:28 50 minutes, 28 seconds we are implementing 1 kilowatt might be less we let's see what are the best we can do it 50:35 50 minutes, 35 seconds understood and s in the PMA you must acquire DCSL so have we have some long-term contracts or how are we 50:43 50 minutes, 43 seconds looking at sourcing sales we have long-term contract uh already we have signed for the current financial is 50:51 50 minutes, 51 seconds 875 megawatt with the one of the prominent supply supplier in the country. We have signed this agreement last year itself. That's why we are pretty sure what we are going to do in coming year. 51:02 51 minutes, 2 seconds Okay. Uh and so lastly you said on the doubling of the business um rooftop solar will also be a meaningful part. Um 51:09 51 minutes, 9 seconds is there a quant uh can you quantify that up to an extent? 51:13 51 minutes, 13 seconds Right now it will be uh you know it will be a mix of that majority business will remain into the pump and the rooftop both together. 51:22 51 minutes, 22 seconds Okay, understood sir. Thank you so much and all the best. Thank you. 51:28 51 minutes, 28 seconds Next question is from the line of Koragaral from VA Capital. Please go ahead. Good evening sir. 51:36 51 minutes, 36 seconds Good evening. Uh so my question was about the 3,000 expected revenue which we have for FI27 51:44 51 minutes, 44 seconds out of that we are expecting 1400 orders between H1 in which I think we can execute 1,000 to 1200 crores of revenue 51:51 51 minutes, 51 seconds in H1 and suppose we are depending on P system 2 H2 and in case if it does not 51:58 51 minutes, 58 seconds come to expect 1500 crores revenue in second month or will it be downgraded? 52:05 52 minutes, 5 seconds uh see uh I don't think so PM kusum will get cancelled uh if such kind of the decisions are taken so that might be 52:13 52 minutes, 13 seconds having the one quarter impact as we have already move into the solar rooftop and the same manpower same infrastructure 52:20 52 minutes, 20 seconds same warehouse is required for the solar rooftop fortunately we are not eyeing in the urban area where the majority of the 52:28 52 minutes, 28 seconds rooftop business competition is there my complete network my warehouses my team my manpower Our technicians are into the 52:37 52 minutes, 37 seconds village area there we don't see much more bigger competition for the rooftop business if we don't see the you know 52:45 52 minutes, 45 seconds possibility of PM kosum 2.0 O coming we have the another area of the business that is solar rooftop. We will clearly 52:53 52 minutes, 53 seconds focus on that and we will definitely try to bring the number what we are talking. 52:59 52 minutes, 59 seconds Okay. So worst case we are talking about the 2500 crores revenue and the best case can be 3,000 crores revenue if the 53:06 53 minutes, 6 seconds person 2.0 It was not delivered and more important it's not about the this is the scheme is not like you know government 53:14 53 minutes, 14 seconds scheme where the other just they're you know giving the you know freebies this is a win-win situation if you look towards the any state discom those who 53:22 53 minutes, 22 seconds have implemented their grid losses has been reduced they are turning into the profit that is what the happening with 53:28 53 minutes, 28 seconds solar pump so it is a win-win situation that's why it is pretty sure to come and acceptance of the farmer also took 53:37 53 minutes, 37 seconds place. So we are getting the private orders also. So may not have that huge volume of 1,000 cr rupees business but definitely it is going to be there. 53:48 53 minutes, 48 seconds Okay. And are you planning to export soda pumps as well in the future? 53:53 53 minutes, 53 seconds Sir right now I'm uh let me uh serve my country my nation first after that if I have a bandwidth in the early uh in the 54:01 54 minutes, 1 second my call when I started I said you know we go to the any state or anywhere when we are pretty sure I have a clear manpower I have the financial resources 54:10 54 minutes, 10 seconds the the state where I'm working their complete ecosystem is pro for the business then only I go so right now in 54:18 54 minutes, 18 seconds India already we have so many areas where we are not able to serve although So they are very pro for the business. 54:24 54 minutes, 24 seconds So first I will target to finish in the country's expansion then if my bandwidth team and the everything allow we will 54:33 54 minutes, 33 seconds expand into the foreign business as well. 54:36 54 minutes, 36 seconds Okay. And on the receivable side I the receivable has improved from Maharashtra uh and I can see in your balance sheet 54:45 54 minutes, 45 seconds as well that the receivables has has come down. So can you see further achievement uh in the receivables? 54:52 54 minutes, 52 seconds See we would say that this receivable cycle will continue. This is what the assumption we want to keep it in the 54:59 54 minutes, 59 seconds mind and go ahead. We will try to reduce whatever the best we can get it done. 55:06 55 minutes, 6 seconds Okay. Last question. So as half the almost half the half the quarter is done of Q1 F27. How has this quarter been? 55:16 55 minutes, 16 seconds Can we expect 500 to 600 revenue in this quarter? 55:21 55 minutes, 21 seconds Uh I think I can't talk on the specific number on this. I can talk on the annual basis only. Um can I talk on this 55:30 55 minutes, 30 seconds subject? No, you we won't be uh sorry sir this is I can't talk on the specifically but soon the just one and a 55:38 55 minutes, 38 seconds half month to two months we are having the result also but it will be good definitely good I can say it will be good. 55:45 55 minutes, 45 seconds Okay. Okay. So that's it from my s. Thank you. Thank you. 55:52 55 minutes, 52 seconds Next question is from the line of Jamora from Salsro Investment Advisors. Please go ahead. 55:59 55 minutes, 59 seconds Uh congratulations on a good set of numbers. Couple of things that what what I wanted to understand. First of all, the advantage that you have as a 56:07 56 minutes, 7 seconds decentralized player uh who's not manufacturing is that the margins that are there probably the commodity prices 56:14 56 minutes, 14 seconds and all those that increase typically given that solar pumps is a commodity the hit is taken by the manufacturer. Is 56:22 56 minutes, 22 seconds that a correct way to look at your business? That's one of the advantages that you have. So that the margins that are there the raw material prices that would increase the hit is not to that 56:31 56 minutes, 31 seconds extent that would be the case for the other peers. Is that a fair conclusion? 56:36 56 minutes, 36 seconds No. Uh I would say it's not a fair conclusion. It's like that your planning has to be there. 56:41 56 minutes, 41 seconds Okay. So whenever we go so we freeze the coming six month procurement. We give required advance. 56:48 56 minutes, 48 seconds We give very clear planning. Okay. This is what required. So now it is my supplier partner's responsibility to 56:56 56 minutes, 56 seconds make it sure that he do the supply and he do the future planning for his procurement. So fortunately my vendors 57:04 57 minutes, 4 seconds my OEM partners when I have given them a projection 6 month back they made it sure that planning with me itself. So I 57:12 57 minutes, 12 seconds believe they also didn't got the certain hit what you are talking about but definitely there is slight margin things has been there but volume also gone up. 57:22 57 minutes, 22 seconds So this is the one side plus because of the volume gone up my uh EPC side my you 57:29 57 minutes, 29 seconds know installation side also cost has been gone down. 57:33 57 minutes, 33 seconds So it's a mix of all. So margin cannot be derived from one particular thing and I don't believe in giving the hit to my partner. He has been standing with me. 57:43 57 minutes, 43 seconds We do the work into the synergy. So we plan such a way that both should get the money. If he's happy, I'm happy. 57:52 57 minutes, 52 seconds Understood. 57:53 57 minutes, 53 seconds Just like we have planned for the 875 mega DCR already for the future planning. So I'm not worried that you know down to six months when ALCM will 58:01 58 minutes, 1 second get mandated in the coming two months and the other people are going to rush for just for the DCR. So I want DCR model DR model. Why to do it when you 58:09 58 minutes, 9 seconds know that the government has a policy why don't you go and secure? So we did it we did it last year itself. 58:17 58 minutes, 17 seconds Understood. Understood. My second question is regarding the working capital that is required for smart scheme and suryagar. So first of all 58:25 58 minutes, 25 seconds what are your plans? Smart scheme is a great way to start with solar rooftop but are you also planning to get into PM Surya and what is the working capital 58:34 58 minutes, 34 seconds intensity of solar rooftop vizi let's say PM kusum/maga 58:41 58 minutes, 41 seconds uh see we have already started for the PM suryagar we have been forced to start few month back when we started 58:50 58 minutes, 50 seconds so working capital is quite low their requirement because it's like PM sura is almost cash and carry business kind of 58:59 58 minutes, 59 seconds thing. So we get it for the smart definitely there would be some investment is required and that is going under the ULA model. So in ULA model we 59:07 59 minutes, 7 seconds get the money from the government of India directly to us. It doesn't go with the you know not the beneficiary and the beneficiary make the payment. No it's directly come to us. 59:17 59 minutes, 17 seconds Got it. So, so, so it would be significantly lower compared to what we are seeing in PM Kusum smart scheme also 59:25 59 minutes, 25 seconds like how many days uh uh receivables could we sort of expect when it comes to smart scheme see it will be 59:33 59 minutes, 33 seconds comparatively quite low what you have said is right but precisely right now what we are saying is that we want to give the message that okay let's 59:41 59 minutes, 41 seconds consider 140 days only let's talk 140 whatever the less I can deliver you will be happy in the next call just like for the PAT also last 59:50 59 minutes, 50 seconds time I said 12% we delivered 13%. So I believe everyone is happy at least on the pad side. So let's talk 140 what are the best we can do it we will do it. 1:00:00 1 hour Understood. So carrying on the same mindset in the worst case scenario like in FI26 as well we were expecting PM 1:00:08 1 hour, 8 seconds Kusung to scale up in a significant way but that didn't work out and fortunately we had Melt Kerala in FI27. In the worst 1:00:15 1 hour, 15 seconds case scenario if things don't work out what is the top line and the margins that we can expect and other than magala 1:00:22 1 hour, 22 seconds do we have any other state that can meaningfully weightlift our order book and sales in FI27 1:00:31 1 hour, 31 seconds see we are not only in magala we are doing the business in MP also we got the handsome order book in MP also 1:00:39 1 hour, 39 seconds so what what order if you could share some light What is see the orders come in the pieces but it 1:00:47 1 hour, 47 seconds is 2,000 plus pump order we have although it was in pieces so MP also started that is also there 1:00:55 1 hour, 55 seconds and assumption if you say as worst worse assumption if that is also not there then rooftop definitely as I was 1:01:03 1 hour, 1 minute, 3 seconds mentioning to earlier gentlemen that we have the ruler network ruler manpower available trained technician is 1:01:10 1 hour, 1 minute, 10 seconds there warehouse is there logistic is there so This all thing is going to give me the help to expand very fast into the 1:01:19 1 hour, 1 minute, 19 seconds rooftop business and again beauty that every company want to every person want to do the business in urban area and very few want to do the business in the 1:01:27 1 hour, 1 minute, 27 seconds ruler and we are the master into the ruler area because my presence itself is there and Suryagar have the one cr 1:01:36 1 hour, 1 minute, 36 seconds installation to be done out of that Maharashtra want to do 20 lakh out of 20 lakh just four or five lakh pump sorry four or five lakh system has been done. 1:01:44 1 hour, 1 minute, 44 seconds The Maharasa itself have the 50 lakh plus potential plus countrywide if I'm talking about it's a 70 lakh system potential is there with the total scheme 1:01:52 1 hour, 1 minute, 52 seconds outlay with the 75,000 cr rupees. So definitely 27 28 29 I don't see any 1:01:59 1 hour, 1 minute, 59 seconds problem we will be doing the good business because we are asset light asset light 1:02:05 1 hour, 2 minutes, 5 seconds plus flexibility of the shifting of the trend of the business as I was mentioning uh offgrid pump to the grid 1:02:14 1 hour, 2 minutes, 14 seconds connected pump rooftop to the if tomorrow best is coming so we will be doing EPC for that as well so I don't have any cap ex to be done. 1:02:25 1 hour, 2 minutes, 25 seconds I'm not binded to sell. Okay, I will sell this product only. I can sell the product what is required in the market. 1:02:32 1 hour, 2 minutes, 32 seconds Understood. Understood. So, so to conclude a 2500 crline with 250 crat worst case scenario is possible even if 1:02:40 1 hour, 2 minutes, 40 seconds PMUS 2.0 doesn't happen in FI27. Is that a fair conclusion? 1:02:45 1 hour, 2 minutes, 45 seconds So conclusion uh is you can definitely arrive with the discussion and as I was mentioning we will try to give what are 1:02:54 1 hour, 2 minutes, 54 seconds the best we can give in that number what you are talking about. 1:02:57 1 hour, 2 minutes, 57 seconds Perfect. Congratulations and all the very best. Thank you. 1:03:05 1 hour, 3 minutes, 5 seconds Next question is from the line of Jetra Jooshi from EBCU advisor. Please go ahead. 1:03:14 1 hour, 3 minutes, 14 seconds Hello. 1:03:16 1 hour, 3 minutes, 16 seconds Yes, my all my questions have been answered. Thank you. Thank you. 1:03:25 1 hour, 3 minutes, 25 seconds Next question is from land of Acul from active investor. Please go ahead. 1:03:33 1 hour, 3 minutes, 33 seconds Hello sirly congratulate on great set of number. Uh my sorry your audio is not yeah I need clarification on the margin. 1:03:42 1 hour, 3 minutes, 42 seconds I the double digit margins guided is it operating margins or net margin sir? 1:03:49 1 hour, 3 minutes, 49 seconds Definitely it shall be net margin only and the current order book of 700 1:03:57 1 hour, 3 minutes, 57 seconds crores. What is the timeline to execute the 700 crores of order book? 1:04:02 1 hour, 4 minutes, 2 seconds Out of that most of the work is you know more rather than most of the good work is already done and remaining shall done 1:04:10 1 hour, 4 minutes, 10 seconds within timeline and even we want to execute till H1 more order also so it will get over and we will be having the few more business to be done. 1:04:20 1 hour, 4 minutes, 20 seconds Okay. And sir, what is the size of PMS for 2027? And how much of that uh we can 1:04:29 1 hour, 4 minutes, 29 seconds we can capture I mean how many solar pumps uh government is planning to install in 2027 under PMU and how many 1:04:38 1 hour, 4 minutes, 38 seconds pumps we can get it as per your uh analysis. 1:04:43 1 hour, 4 minutes, 43 seconds See it is going to be the very big scheme which is what has been announced in the multiple places by the certain authorities right and talking about the 1:04:51 1 hour, 4 minutes, 51 seconds my market share is 8 to 9% countrywide which I have mentioned and if I talk about the specifically Maharashtra where the majority business is going on right 1:04:59 1 hour, 4 minutes, 59 seconds now we have 15% plus market share so that shall get continue I mean do we have any idea like how many 1:05:08 1 hour, 5 minutes, 8 seconds pumps government is planning to install in PN soon for 2027 uh precise number I cannot give but they 1:05:16 1 hour, 5 minutes, 16 seconds have said that you know there are multiple places that it is going to be the bigger or the you know few times 1:05:23 1 hour, 5 minutes, 23 seconds bigger than what it was so we are assuming two times two two times at least the scheme what earlier it was a 1:05:30 1 hour, 5 minutes, 30 seconds 14 like it should be two times okay thank you sir 1:05:38 1 hour, 5 minutes, 38 seconds thank you a reminder to all the participants you must start and to ask a question. Next question is from the line of Harold Salanki from Equifree Capital. 1:05:47 1 hour, 5 minutes, 47 seconds Please go ahead. 1:05:50 1 hour, 5 minutes, 50 seconds Hello team. Uh good afternoon. I have one question. Uh what was the amount that is spent on the corporate office? 1:06:02 1 hour, 6 minutes, 2 seconds It is u I have to it was answer in the respect of the question came for the fixed asset. So I have to just check 1:06:11 1 hour, 6 minutes, 11 seconds precise number because you have asked the precise question. So if uh just a minute. 1:06:17 1 hour, 6 minutes, 17 seconds So my main question is uh whether we have spent 90 cr on a corporate office that seems very large and a company 1:06:25 1 hour, 6 minutes, 25 seconds which is following a satellite model has bought a 90 cr corporate office is not 1:06:32 1 hour, 6 minutes, 32 seconds um adding up. So I wanted to check from that angle. No you what you are saying is right for the getting the bank limits 1:06:39 1 hour, 6 minutes, 39 seconds we have fixed deposits to be given that fixed deposit has been transferred into the asset. 1:06:46 1 hour, 6 minutes, 46 seconds So fixed deposit is better to have the asset. This is what the model we have taken up. 1:06:53 1 hour, 6 minutes, 53 seconds So you have bought property uh to be given as a uh guarantee uh to get the limits. Is that understanding right? 1:07:01 1 hour, 7 minutes, 1 second Right. 1:07:04 1 hour, 7 minutes, 4 seconds Okay. Understood. Um, thank you. Thank you. 1:07:12 1 hour, 7 minutes, 12 seconds Next followup question is from the line of Java from Salor Investment Advisors. Please go ahead. 1:07:19 1 hour, 7 minutes, 19 seconds Gupal, we had one more question on uh the IPO of MSBC which is coming up. So which is this Maharashtra state utility. 1:07:29 1 hour, 7 minutes, 29 seconds Um I just wanted to get an idea what is the thought process. If you could uh explain a couple of minutes since you are on the ground, what is the vision of 1:07:37 1 hour, 7 minutes, 37 seconds Maharashtra? What is the rational behind this IPO and what does it mean for us that uh especially in the light of time because it will be one of the very few 1:07:45 1 hour, 7 minutes, 45 seconds profitable u state utilities. So if you could uh give us some perspective that would be helpful. 1:07:52 1 hour, 7 minutes, 52 seconds Uh see it is like a ocean and I'm very small uh you know sailing the small ship into that ocean. So best I'm actually 1:08:02 1 hour, 8 minutes, 2 seconds your question is perfectly right but I'm not right uh person for this question. Uh this is what I can say right now. 1:08:10 1 hour, 8 minutes, 10 seconds Okay. No issues. Thank you so much. Thank you. 1:08:17 1 hour, 8 minutes, 17 seconds A final reminder to all the participants. You may press R and one to ask question. 1:08:27 1 hour, 8 minutes, 27 seconds As there are no further questions, I'll now hand the conference over to Mr. Gopal Kabra for closing comments. 1:08:34 1 hour, 8 minutes, 34 seconds I sincerely thank you everyone. Uh with the lots of patience you have listened and it is very nice to have the 1:08:42 1 hour, 8 minutes, 42 seconds interaction. There are certain suggestion has been given. Uh management would like to review that suggestion. If we find suitable, we will implement 1:08:51 1 hour, 8 minutes, 51 seconds that. Thank you. Thank you very much for everyone to spend the time with us on the GK Energy learning call. Thank you. 1:08:59 1 hour, 8 minutes, 59 seconds Thank you very much. 1:09:01 1 hour, 9 minutes, 1 second On behalf of GK Energy Limited, that concludes this conference. Thank you for joining us and you may now disconnect 1:09:08 1 hour, 9 minutes, 8 seconds your Thank