IRB Infrastructure Developers Ltd — Q3 FY26

Irb Infrastructure Developers Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=dVrMk9OrAuE Published: 2 months ago

0:01 1 second Good morning ladies and gentlemen. 0:04 4 seconds Welcome to the IRB infrastructure developers conference call for discussing the financial results for the quarter ended December 31st 2025. Along 0:13 13 seconds with recent developments we have with us on call today Mr. Vindra Mahiskar Mr. SS Rana Mr. Anil Yadav Mr. Mahul Patel Miss 0:22 22 seconds Punam Nishal and Mr. Tushar Cavedia. As a reminder, all participant lines will be in the listen only mode and there 0:29 29 seconds will be an opportunity for you to ask questions after the presentation concludes. Should you should you need assistance during this conference call, 0:37 37 seconds please signal an operator by pressing star then zero on your touchstone phone. 0:43 43 seconds Please note that the duration of this call would be 45 minutes and any queries left unanswered after the call can be sub subsequently mailed to the 0:52 52 seconds management for advocate response and resolution. 0:56 56 seconds Please note that this conference is being recorded. I now request Mr. Yadav to give you an over overview of the significant developments during this quarter. Thank you and over to you sir. 1:09 1 minute, 9 seconds Thank you. Good morning and warm welcome to all the investor and analyst joining us on earnings call to discuss result for Q3 of financial year 2025. 1:21 1 minute, 21 seconds I trust you have had a opportunity to review our detailed financial result and the company investor presentation. Let 1:30 1 minute, 30 seconds me briefly walk you through the key development during the quarter. Private has received a letter of award for TOT8 1:38 1 minute, 38 seconds from Nia uh for an upfront consideration of rupees 3087 crores. This is in the 1:44 1 minute, 44 seconds state of Odisa. The SP has entered a concession agreement with the NH. 1:51 1 minute, 51 seconds With this win market share in to segment has increased to almost 44%. This marks our second consecutive DOT win within a 2:00 2 minutes span of 1 and a half months and registered our presence in new Indian state on east coast of India. Yet 2:08 2 minutes, 8 seconds another testament to our competitive strength and disciplined bing strategy. 2:14 2 minutes, 14 seconds During the quarter we have successfully concluded transfer of VM7 asset uh 2:21 2 minutes, 21 seconds receiving uh 520 cr towards the equity investment. With this transfer are consolidated debt will reduce 2:28 2 minutes, 28 seconds approximately uh by rupes 700 crores further strengthening our liquidity profile and equity ratio. 2:37 2 minutes, 37 seconds This has been eventful and transformative uh year for IRB. 2:42 2 minutes, 42 seconds We have successfully executed our BC that is build execute stable land and transfer strategy monetizing matured assets through our public. 2:53 2 minutes, 53 seconds We have monetized assets worth of uh 8,400 crores unlocking equity of 4,900 3:01 3 minutes, 1 second crores and added a project worth of 14,000 crores in terms of POT7 in HS. As 3:08 3 minutes, 8 seconds a result, our asset base has expanded from 80,000 crores to 94,000. We remain on track to scale our asset base to 1 3:16 3 minutes, 16 seconds lakh 40,000 cr over next 3 years. The capital unbound through monetization has been redeployed into higher return 3:25 3 minutes, 25 seconds growth opportunities. In line with our philosophy of uh sharing uh value creation with the shareholder, the board 3:33 3 minutes, 33 seconds has approved a 1 is to1 bonus uh issue fostering shareholder participation in company's prosperous future trajectory. 3:43 3 minutes, 43 seconds Additionally, the board has also approved third entry dividend of 7% for Q3 of employ 26 which brings the total dividend for first 9 months to 21%. 3:55 3 minutes, 55 seconds On operational front, our private has reported a total collection of 10.17 4:02 4 minutes, 2 seconds crores per quarter ended December 2025 compared to 8.87 4:09 4 minutes, 9 seconds 8.87 87 crores in the same quarter last year replacing a growth of 15% driven by 4:16 4 minutes, 16 seconds the healthy traffic momentum. The combined private invit plus IRB portfolio achieved per day to influction 4:24 4 minutes, 24 seconds of 17.94 crores up from 16.01 crores representing 12% growth year on year basis. 4:36 4 minutes, 36 seconds In terms of distribution, private init has declared a distribution of 50 crores contributing proportionately to book 4:43 4 minutes, 43 seconds cash flow based on our shareholding of 51%. 4:48 4 minutes, 48 seconds Public has declared distribution of approximately 192 crores for Q3 FY 26 4:55 4 minutes, 55 seconds based on our 17% holding expected to receive approximately 32 crores. Our 5:02 5 minutes, 2 seconds order book now stands at 37,300 crores including an emergency order book of 1,600 cr. Finally, I would like to uh 5:11 5 minutes, 11 seconds briefly touch upon ongoing transition of IRB which we have detailed out in our presentation. Over past few years, IRB 5:21 5 minutes, 21 seconds has structurally evolved as a hybrid from hybrid developer to sponsor plate asset manager with O&M driven platform 5:29 5 minutes, 29 seconds resulting in a stronger balance sheet and improved capital efficiency and enhanced cash RO profile. We believe 5:37 5 minutes, 37 seconds this transformation positions us well for the sustainable growth and long-term 5:44 5 minutes, 44 seconds wealth creation for the shareholder. We have detailed out our vision into 202030 also in our presentation where we have 5:53 5 minutes, 53 seconds talked about that on consolidated debt to net consolidated debt to equity will net debt will reach zero and our net 6:02 6 minutes, 2 seconds from 6 to 8% will be increasing to 14 to 15%. And uh we expect around 25% growth 6:10 6 minutes, 10 seconds PSG growth in the profit till 2030. With that I conclude my opening remark and I 6:18 6 minutes, 18 seconds request Tushar to cover the financial highlight for Q3 FY26. Over to you Tushar. Thank you sir. Now I'll take you 6:26 6 minutes, 26 seconds through the uh Q3 FY26 versus Q3 FI25 numbers. Uh the total consolidated 6:33 6 minutes, 33 seconds income for Q3 FY26 has decreased to rupees 1,912 crores from rs 290 crores a 6:40 6 minutes, 40 seconds decline of 9%. The income from invit and related asset segment for Q3 FI26 have 6:47 6 minutes, 47 seconds increased to rupes 381 KS from rupes 245 crores registering a growth of 56%. The income from b segment have increased to 6:56 6 minutes, 56 seconds rups 77 crores from rups 648 crores registering a growth of 9%. The income from construction segment have decreased 7:05 7 minutes, 5 seconds to 783 kores from 1133 kores down by 31%. uh mainly on account of completion 7:11 7 minutes, 11 seconds of the projects like the pulsidi ganga and VM7 in the last three quarters. Uh the other income for Q3 FY26 have 7:20 7 minutes, 20 seconds decreased to rupes 41 crores from rupes 65 crores. The IIDA for Q3 FY26 has 7:27 7 minutes, 27 seconds increased to rups 1,63 crores from 1,49 crores up by 1%. Interest cost decreased 7:34 7 minutes, 34 seconds to rupes 436 crores from 461 crores a decrease of 5% mainly led by the reduction in the interest rate in the 7:42 7 minutes, 42 seconds SPVS. Depreciation for the quarter is at 289 crores as against 265 crores uh an increase of 9%. 7:51 7 minutes, 51 seconds PBT has increased to rupees 338 crores as against 323 crores an increase of 5%. 7:58 7 minutes, 58 seconds PAD remained at PAD has increased to 253 Kores from 222 crores an increase of 14%. 8:06 8 minutes, 6 seconds Now I request moderator to open the session for question and answer. 8:11 8 minutes, 11 seconds Thank you very much sir. We will now begin the question and answer session. 8:16 8 minutes, 16 seconds Anyone who wishes to ask a question may press star and one on the touchstone telephone. If you wish to remove yourself from the question queue, you 8:24 8 minutes, 24 seconds may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will 8:32 8 minutes, 32 seconds wait for a moment while the question queue assembles. 8:41 8 minutes, 41 seconds The first question is from the line of Alo Diora from Motilal Oswal. Please go ahead. 8:48 8 minutes, 48 seconds Uh sir good morning. Uh I just had few few questions. First is on uh this tot 19 and uh some of the other toot 8:57 8 minutes, 57 seconds packages which were up for bidding. Any update on that and we were expecting to win I think couple of more projects before the year end. Uh so any any 9:06 9 minutes, 6 seconds moment there or by when do we expect to win the win those projects? 9:12 9 minutes, 12 seconds Um yes uh so we remain optimistic about the upcoming toot. There are uh three four more toot to come. As regards 9:21 9 minutes, 21 seconds Toot19 is concerned, uh we have uh decided not to bid on it. So we have not submitted our bid in that regard. Uh 9:29 9 minutes, 29 seconds there is a specific reason for it. Uh the reason is that NHI has uh stated that they will be making MLF that is 9:37 9 minutes, 37 seconds multi-length free flow compulsory uh for this project and the project size is not a very big one. It's a small size 9:46 9 minutes, 46 seconds project. So we have decided to pause for the time being and see what kind of response NHI is able to auger making MLF 9:55 9 minutes, 55 seconds compulsory because the concern here is that MLFF has not been introduced anywhere in the country yet. Few pilots 10:03 10 minutes, 3 seconds are in the making and without getting the pilot project tested uh straight away 10:10 10 minutes, 10 seconds introducing it on a DOT project uh to our mind was a little risky proposition. 10:16 10 minutes, 16 seconds Hence we have decided to pause and wait and see how people respond to it. 10:22 10 minutes, 22 seconds Sure. But uh in the other toot which will be upcoming beyond 19 uh beyond 10:29 10 minutes, 29 seconds toot 19 there also this clause would be there or it's just a one-off in this for now. 10:35 10 minutes, 35 seconds Uh I mean we are not anti-technology. We are very much for MLFF. The problem is that we want the MLFF to get tested. 10:44 10 minutes, 44 seconds What is the mechanism to recover the vehicles who are not having enough balance or who don't have a fast fast 10:52 10 minutes, 52 seconds tag on their windshield? These are some critical issues which need to be addressed. Uh our IT team is in touch 10:59 10 minutes, 59 seconds with IHMCL and for uh live conversation is on. So uh before the next bids come 11:08 11 minutes, 8 seconds up I'm sure there will be couple of pilots which would have started there would be some more clarity that would come along and that would make things 11:15 11 minutes, 15 seconds easy to participate in those uh projects going forward. Got it. So as of now we Yeah. Yeah. Please go ahead. 11:24 11 minutes, 24 seconds Yeah. We we we thought that uh let's wait and see how people are willing to 11:31 11 minutes, 31 seconds uh factor the risk premium into this kind of uh proposition. That is the reason why we have decided to pause and 11:40 11 minutes, 40 seconds see how it shapes up. Uh otherwise the strategic thought process of uh participating in the monetization trial remains intact. 11:51 11 minutes, 51 seconds Got it. So as of now we have not bid for any there are no pending coyotes which we are waiting to you know the tenders to open. 12:01 12 minutes, 1 second Uh no nothing at the moment. There are a few bids happening this month. Um so that that we'll see how it how they 12:09 12 minutes, 9 seconds shape up but uh no tot pending at the moment. 12:12 12 minutes, 12 seconds Sure. And sir any uh moment in the B toll and ham projects uh since we 12:19 12 minutes, 19 seconds already in midFeb now I mean the whole uh industry is waiting for these last couple of months to get some orders and 12:27 12 minutes, 27 seconds uh you know uh get some order infos basically. So any any active tenders you have seen coming floating and or you 12:37 12 minutes, 37 seconds know which we have also bid for and we could see some traction there. 12:42 12 minutes, 42 seconds uh as far as uh EPC and HAM is concerned you know my views on them so I will not 12:49 12 minutes, 49 seconds repeat that but uh the uh I mean the what do we say 12:56 12 minutes, 56 seconds toll yeah bidding on ham continues with around two dozen players submitting bids for each 13:02 13 minutes, 2 seconds of them so you can imagine what kind of the competition will meet with so lesser 13:10 13 minutes, 10 seconds the Anything on BO toll sir? Anything on Boot toll now off late? 13:15 13 minutes, 15 seconds There are one or two projects in the pipeline which we are studying and in case if they make commercial sales we may go for it. 13:24 13 minutes, 24 seconds Sure. So sir just to sum it up as of now it's very unlikely that we would kind of win any new projects in the in this 13:33 13 minutes, 33 seconds financial year because tot even if you were to submit a bid now it won't open in time. 13:38 13 minutes, 38 seconds No. So I would sum it this way that there are three more toot which definitely are likely to uh get 13:46 13 minutes, 46 seconds financially bid out in this financial year where we are very much hope to go ahead and bid. 13:54 13 minutes, 54 seconds Got it sir. Got it. That's all from my side sir. Thank you and all the best sir. 13:57 13 minutes, 57 seconds The visibility for mark is three three to four more to that may come up for which are in bid for those. 14:06 14 minutes, 6 seconds Sure sir. Sure sir. All the best sir. Thank you. 14:12 14 minutes, 12 seconds Thank you. Participants who wish to ask a question may press star and one on the touchstone telephone. 14:29 14 minutes, 29 seconds The next question is from the line of Nitesh from JP Morgan Asset Management. Please go ahead. 14:37 14 minutes, 37 seconds Hi. So, uh, thank you very much for the presentation and, um, quarterly update. 14:42 14 minutes, 42 seconds Can you just give me some, uh, kind of visibility on the EPC revenue and profitability going forward basis 14:50 14 minutes, 50 seconds because if you see over the last three quarters, the revenue and the form uh, the EPC projects have come down quite a 14:57 14 minutes, 57 seconds bit for this year. But can you give us some kind of visibility on a looking forward basis how it might look like? Thank you. 15:05 15 minutes, 5 seconds So I think uh in terms of you can see uh what we have already guided from the market list that uh we have almost 15:14 15 minutes, 14 seconds 35,000 kind of in your order book and which will be executed over the period of 10 to 12 years and uh in terms of 15:23 15 minutes, 23 seconds that will be steady state of uh kind of revenue which will be a kind of energy kind of model and it will be growing on 15:30 15 minutes, 30 seconds a year on year basis and that has a healthy So that is a clear visibility in terms 15:36 15 minutes, 36 seconds of uh our CPC or composite management services is concerned. In terms of the 15:44 15 minutes, 44 seconds new body, I think we will be very selective and we are focusing largely on DOT which typically has some initial 15:52 15 minutes, 52 seconds capital and thereafter the OM which provides to DF kind of visibility. Going 15:58 15 minutes, 58 seconds forward also our focus will be more on the asset business than the bagging the EPC. We are not bidding for the EPC and 16:08 16 minutes, 8 seconds HA as sir has rightly explained that uh there are people who complete participating for HA and even some of 16:16 16 minutes, 16 seconds the EPCs are getting bidded out 45 50% below the NH we are not concentrating on that 16:25 16 minutes, 25 seconds segment. We will be focusing first focus will be a to and followed by the uh followed by the selective business or B 16:34 16 minutes, 34 seconds viable B. I think you will appreciate this fact that when we say a toot or a 16:41 16 minutes, 41 seconds monetization asset, it has a chunky on&m uh that comes along and that is a good 16:47 16 minutes, 47 seconds eida margin business which we believe is a better way to build the order book because as you keep building the order 16:55 16 minutes, 55 seconds book with more of and m coming your way a your margins are much better and the visibility of that order book is for 20 17:03 17 minutes, 3 seconds 25 years. So you're not not on a a treadmill to continuously run to replenish your order book. We are 17:11 17 minutes, 11 seconds structurally building the order book for a medium to long-term kind of nature which we believe will uh actually help the company build a very solid pipeline. 17:22 17 minutes, 22 seconds And just to add uh on the basis of our existing project we have guided 17:30 17 minutes, 30 seconds even uh the company will become a mandated uh zero uh by 2030 and uh in terms of the profitability there will be 17:38 17 minutes, 38 seconds we expect around 25% CAGR in profitability and cash ro from 68% will grow to 14 15% by uh 2030. 17:53 17 minutes, 53 seconds Thank you sir. The second question I have is can you just take us through you know the cash flows at IRB level um you 18:01 18 minutes, 1 second know from distributions at private public and as well as the thought and bought projects at IRB. 18:08 18 minutes, 8 seconds Yeah. So uh the present uh cash uh cash in bank balance you can say is around 25 18:15 18 minutes, 15 seconds billion and from a distribution what we generally are uh uh getting from the public and private initve investments. 18:24 18 minutes, 24 seconds So this quarter the distribution was to close to 60 billion and uh this is going to grow because more of the projects will become operational from the uh 18:33 18 minutes, 33 seconds coming quarters. So uh with DOT 17 and 18 which will also contribute to the distribution from next quarter onwards 18:40 18 minutes, 40 seconds this cash flow distribution is going to increase for us from next year. 18:46 18 minutes, 46 seconds I think what the was explaining uh the distribution what uh was contributed by both the was around 60 cr not 60 billion 18:55 18 minutes, 55 seconds 60 K sorry 60 K for the quarter 19:05 19 minutes, 5 seconds answer from Pune Mumbai expressway and and thera those bot projects so do you 19:12 19 minutes, 12 seconds get any cash flows from those assets at high or do they mostly uh I used to represent those entities. 19:19 19 minutes, 19 seconds Yeah. So if you look at B cash flow uh uh I think uh if you talk about the project management services which is 19:28 19 minutes, 28 seconds nothing but your I think M on cons consistent basis uh there will be a 7 19:34 19 minutes, 34 seconds to8 billion AITA which will be coming from the OM there we are not facing any new business and Mumbai only gradually 19:44 19 minutes, 44 seconds distributing around 4 to 5 million kind of distribution and going forward moment around 4 to 5 billion kind of 19:52 19 minutes, 52 seconds distribution we are expecting from the private element and public will uh remain around uh close to one uh 1 1.5 20:01 20 minutes, 1 second billion kind of distribution which will be coming uh uh from the uh public so this entire cash flow cash flow will be 20:10 20 minutes, 10 seconds available for IRB and going forward IRB is not required to put any additional equity in the new budget as the 20:18 20 minutes, 18 seconds management is contemplating uh multiple churn of the asset. Out of that churn of the asset, the equity for the budget 20:28 20 minutes, 28 seconds will be created. As we have transferred three asset we realized 49 billion kind of equity and uh the asset size which we 20:36 20 minutes, 36 seconds transferred was around 84 billion and the asset which we have added was around 140 billion and uh after this uh 20:45 20 minutes, 45 seconds addition we have even transferred VM7 and other weed around 5 billion of uh 20:51 20 minutes, 51 seconds cash uh on account of equity. So I think going forward the cash generation will be consistently building on the backdrop 21:00 21 minutes of increase in addition of the asset but there will not be any outflow in terms 21:06 21 minutes, 6 seconds of equity from the list for company 21:15 21 minutes, 15 seconds right sir that's good that's it for me thank you thank you very much participants that 21:22 21 minutes, 22 seconds wish to ask a question may Tar and one on the touchstone telephone. The next question is from the line of Adita Sahu from HDFC Securities. Please go ahead. 21:33 21 minutes, 33 seconds Hi sir. I hope I'm audible. Yes sir. 21:38 21 minutes, 38 seconds Sure sir. Thank you so much for the opportunity. Uh I just had uh one or two questions. Uh this was on the bid pipeline. So you know as it mentioned 21:47 21 minutes, 47 seconds that uh you're looking at three uh more toots to come up for the breeding uh in this financial year right uh till March. 21:55 21 minutes, 55 seconds So what would be the value of those to do uh that are coming up and any any more to do in the future like if I were 22:03 22 minutes, 3 seconds to understand from a value standpoint so as you know usually NHI does not disclose the ICV of the toot when they 22:12 22 minutes, 12 seconds bid out for projects but uh going by the data available in terms of the daily toll revenue and uh 22:21 22 minutes, 21 seconds corresponding data points that we have these projects together uh the three of the projects should somewhere augment around 10 to 12,000 crores. 22:33 22 minutes, 33 seconds Okay. Okay. Okay. 22:35 22 minutes, 35 seconds That's that's the potential we believe these projects would have. 22:39 22 minutes, 39 seconds Understood sir. and uh uh on the B because I understand that I think last time uh we were sort of expecting 22:46 22 minutes, 46 seconds roughly 30,000 crores in B like that 300 billion was the we were expecting but but I think I think that is not happening because of the sub bidding 22:54 22 minutes, 54 seconds over here uh any yet is there any expectation on the B or the overall bid pipeline if I were to put it that way uh 23:02 23 minutes, 2 seconds would stand close to 10 to 12,000 crores only yeah so just to give you a perspective uh we are not looking at do alone the 23:11 23 minutes, 11 seconds idea is to deploy uh patient capital to create value over period of time. So we 23:18 23 minutes, 18 seconds are we are not trying to distinguish between b or to uh whether it is built operate transfer or buy operate 23:26 23 minutes, 26 seconds transfer. It really doesn't make much difference to us. The idea is what will create more long-term value. So if we 23:34 23 minutes, 34 seconds see the visibility coming more on the monetization side, we will deploy the capital more on the to side. If we see 23:43 23 minutes, 43 seconds there is a viable proposition on the B side, we will definitely go in for that as well. So while as you said we were 23:50 23 minutes, 50 seconds looking at around 10 12,000 crores of projects uh because the Boot did not materialize in terms of viability 23:58 23 minutes, 58 seconds proposition we saw the Toot opportunity was very uh good and we in fact ended up winning 14,000 crores of projects in the 24:06 24 minutes, 6 seconds last 3 months but they were on the Toot side. So we have grown, we have substantially created value but more on 24:14 24 minutes, 14 seconds the dot side and uh which has much much lesser risk metrics to my mind. 24:21 24 minutes, 21 seconds Understood sir. Uh if I were to put a number on the overall bit pipeline uh which would comprise of the ts and the 24:29 24 minutes, 29 seconds and all the other revenue this thing what would that be of uh this thing would be helpful? If I just speak for 24:37 24 minutes, 37 seconds monetization, the uh government official documents talk about around three lakh crores of total uh toll road monetization. 24:49 24 minutes, 49 seconds uh of that certain amount will go towards their own energy in its uh but on a very conservative manner also if I 24:57 24 minutes, 57 seconds look at around 30 to 50,000 crores is the annual opportunity that monetization is about to bring up and uh this is an annual opportunity for next four years. 25:10 25 minutes, 10 seconds So that to my mind is a significant one and you have also seen uh the policy statement from the government where they 25:18 25 minutes, 18 seconds are trying to pivot towards more uh viable B options. So we are studying those as well but there I'm not able to 25:26 25 minutes, 26 seconds put a number because they they are now approving projects on a project to project basis uh after having due 25:34 25 minutes, 34 seconds studies and cabinet approvals and things like that. But uh on a policy front, I think this is the kind of visibility that they have talked about. A detailed 25:44 25 minutes, 44 seconds uh slide in our presentation will give you more flavor on uh what kind of opportunity visibility exists. 25:52 25 minutes, 52 seconds Understood sir. So that that that should form that that should ideally be the bit pipeline for you uh the the annual uh what is targeting as a whole. 26:00 26 minutes Uh for the kind of appetite IRB has in terms of growth for the next foreseeable future. I think there is significant 26:09 26 minutes, 9 seconds amount of opportunity available to deploy the growth capital. 26:14 26 minutes, 14 seconds Understood sir. Understood. And and the I think we we had mentioned earlier the on margins we are we are fighting at 20 to 23%. So there that continues to be in 26:23 26 minutes, 23 seconds place uh uh for for the for for the financial year. 26:28 26 minutes, 28 seconds I'll tell you a little more granular uh understanding. If you look at the bot/to 26:36 26 minutes, 36 seconds business that has an EITA margin of around 85%. And if 26:43 26 minutes, 43 seconds you look at the um uh EPC or the construction O andM business, you will see around 18 20% kind of margin profile 26:52 26 minutes, 52 seconds for that business. Uh that that's how I'll sum it up. Okay. Okay. Okay. Understood, sir. 26:58 26 minutes, 58 seconds Understood. Uh thanks a lot for the opportunity. Thank you, sir. 27:04 27 minutes, 4 seconds Thank you. Participants who wish to ask a question may press star and one on the touchstone telephone. The next question 27:11 27 minutes, 11 seconds is from the line of Mohit Kumar from ICICI securities. Please go ahead. 27:17 27 minutes, 17 seconds Yeah, good afternoon and sir. Thanks for the opportunity. M one I have one question on the industry side. What kind 27:25 27 minutes, 25 seconds of changes are being discussed in the new B concession agreement? Are you guys 27:33 27 minutes, 33 seconds looking suggesting some suggesting or looking for any major changes? 27:38 27 minutes, 38 seconds I think this is a ongoing uh reform and uh with every passing uh project we see some uh more visibility coming into it. 27:50 27 minutes, 50 seconds Now from a developer perspective, from a lender perspective, from a client perspective, everyone would have different take on the reforms that are 27:59 27 minutes, 59 seconds being talked about. But uh having been a pioneer in the sector and being in B for more than 30 years, I think every change 28:08 28 minutes, 8 seconds is a step in the positive direction. So not uh wanting to elaborate into any specific provision whether it is good, 28:16 28 minutes, 16 seconds bad or uh uh decisive but I think the ultimate objective is whether the 28:24 28 minutes, 24 seconds project will make a reasonable return uh commensurate with the risk attached. I think that that remains the focal point 28:32 28 minutes, 32 seconds how one decides whether he wants to commit capital for it or not. But what is there something specific which is holding up the new b uh new bids? 28:44 28 minutes, 44 seconds Okay. So to give you a little more granular understanding the uh lowhanging fruit as I would talk about like say a 28:53 28 minutes, 53 seconds two to four laning project or a four to six laning project not many remain uh to 29:00 29 minutes be bid out now because India has already grown past that phase of growth. Today 29:07 29 minutes, 7 seconds the bot's that we come across are more exotic in nature, more complex in nature 29:14 29 minutes, 14 seconds and uh the tolling structure on these projects is also complex because if uh 29:21 29 minutes, 21 seconds as you know if the project is structure heavy then the total tariff uh depending 29:29 29 minutes, 29 seconds on the project or cost of that structure is five times of that structure. uh cost 29:36 29 minutes, 36 seconds and things like that. Uh there are complex issues as to whether the traffic will use the structure or whether we 29:44 29 minutes, 44 seconds want to go below the structure. What happened to the uh toll tariff for people who are not using the structure? 29:52 29 minutes, 52 seconds Whether they should be allowed to pay lesser toll and all these things create a significant overhang on the viability 30:00 30 minutes of the project. So uh that's the reason why I have said this that uh viability 30:08 30 minutes, 8 seconds of the project commensurate with the risk attached is the key thing that one would look at going forward while 30:16 30 minutes, 16 seconds bidding for B. Uh it is no longer a straightforward brownfield opportunity 30:22 30 minutes, 22 seconds where you can uh assess the risks and bid more comfortably. These are complex 30:29 30 minutes, 29 seconds projects and unless you have a very good handle on the risks attached, it is I 30:36 30 minutes, 36 seconds mean uh advisable to be prudent and uh what we can say uh study the risks properly before committing capital. 30:47 30 minutes, 47 seconds Understood. Understood. Thank you. So that's very helpful. My second question is you spoke about uh the multi- 30:55 30 minutes, 55 seconds multi-lane flow I think MMLF is it being implemented also for new BS is only for 31:01 31 minutes, 1 second the toot and uh it see the endeavor of the government is 31:08 31 minutes, 8 seconds to bring it to uh play MLFF across uh it is a ongoing transition like what 31:16 31 minutes, 16 seconds we saw in fast tag people had a taboo about fast tag also So fast check today is the way forward. I mean today 97 we 31:23 31 minutes, 23 seconds are very proudly we keep saying that 97 98% of our revenue comes from fast. So I 31:30 31 minutes, 30 seconds am not having any reservations about MLSS. It is a technology which exists in other parts of world. It has its 31:39 31 minutes, 39 seconds challenges. We need to address those. We need a credible probably a settler who 31:46 31 minutes, 46 seconds can take the intermediate risk. And if we structure it right, it is a technology which can be uh brought in in 31:55 31 minutes, 55 seconds a very aggressive manner in India as well. I think on 19 has also explained 32:02 32 minutes, 2 seconds that NLF was not the only reason why we have not made it. one was the size was low and secondly this asset was 32:10 32 minutes, 10 seconds operational under V and V concession was over and post that from last 3 four years NHI is already collecting loans 32:18 32 minutes, 18 seconds it's a data detect there was we believe that there was some maintenance issue as well so I think considering other issues 32:27 32 minutes, 27 seconds we have decided not to bid for the EOT9 not only the MLF understood understood this is helpful thank Thank you. Thank you. 32:42 32 minutes, 42 seconds Thank you very much. As there are no further questions from the participant, I now hand the conference over to the management for the closing comments. 32:50 32 minutes, 50 seconds So, thank you everyone for uh taking your time out for this uh quarterly call and look forward to connect with you 32:58 32 minutes, 58 seconds again for the next one. Have a great day and great week ahead. Thank you. 33:05 33 minutes, 5 seconds Thank you sir. Ladies and gentlemen, this concludes your conference for today. We thank you for your participation and for using Research 33:13 33 minutes, 13 seconds Bites conferencing services. You may please disconnect your lines now. Thank you and have a great day ahead.