Petronet LNG Limited — Q4 FY26

Petronet LNG Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=dCcPyhe006s Published: 8 days ago

0:02 2 seconds Ladies and gentlemen, good day and welcome to Petronet LNG Limited's Q4 FYI26 earnings conference call hosted by 0:10 10 seconds Ashika Institutional Equities. As a reminder, all participant lines will be in the listenon mode and there will be 0:17 17 seconds an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an 0:25 25 seconds operator by pressing star then zero on your touchstone phone. Please note that this conference is being recorded. I now 0:33 33 seconds hand the conference over to Miss Krishna Doshi from Ashika Institutional Equities. Thank you and over to you Miss Dhi. 0:42 42 seconds Thank you ma'am. Good morning and very warm welcome to everyone. On behalf of Ashika Institutional Equities, I welcome 0:49 49 seconds you all to Petronet LNG Limited Q4 FI26 earnings conference call. Today we have with us the management to be presented 0:58 58 seconds by Mr. Sorav Mitra, director of finance and CFO. Mr. Rakkesh Chavla, executive director FNA, Mr. Ganendra Kumar Sharma, 1:06 1 minute, 6 seconds GGM and President Marketing, Mr. Vive Mitt, GGM and President Marketing, Mr. Draa Satpati general manager FNA Mr. 1:16 1 minute, 16 seconds Vikas Maheshwari deputy general manager FNA we thank Punet LNG Limited for giving us the opportunity to host the 1:23 1 minute, 23 seconds call and we will now like to hand over the floor to the management for their opening remarks post which we will open the floor for Q&A. Thanks and over to you sir. 1:39 1 minute, 39 seconds Yeah, good morning everybody. I'm Sro Mitra, director financial CFO. 1:46 1 minute, 46 seconds Thank you all for joining us for the earnings call for the quarter and financial year ended 31st March 2026. 1:55 1 minute, 55 seconds I'm pleased to share that the company has delivered a strong financial and operational performance during the 2:03 2 minutes, 3 seconds current quarter despite the challenging external environment arising from the ongoing crisis in the Gulf region. 2:12 2 minutes, 12 seconds The performance reflects the resilience of our operations, the commitment of our teams and the continued trust of our customers and stakeholders. 2:24 2 minutes, 24 seconds Coming to the operational performance during the current quarter, the overall LNG volume processed by the company 2:31 2 minutes, 31 seconds stood at 219 CBQ as against 233 CDQ in 2:37 2 minutes, 37 seconds the previous quarter and 205 TBQ in the corresponding quarter. At the DH terminal, 2:44 2 minutes, 44 seconds LNG throughput during the quarter stood at 2012q compared to 214 TB2 in the previous quarter and 189 TB2 in the corresponding quarter. 2:56 2 minutes, 56 seconds With regard to the operational performance of the DAH seminal, I must mention that 3:03 3 minutes, 3 seconds despite the uncertainties in the region, the terminal continue to operate at strong inclination levels with capacity 3:11 3 minutes, 11 seconds inclination at 90.1% during the current quarter as against 93.8 in the previous 3:19 3 minutes, 19 seconds quarter and uh 85.2 in the corresponding quarter. I'm also happy to share that 3:27 3 minutes, 27 seconds the OC terminal achieved its highest ever annual volume report of 68 CB2 during FYI 2526 3:36 3 minutes, 36 seconds which is an encouraging milestone for the company. On the financial front, the company reported the highest ever 3:43 3 minutes, 43 seconds quarterly profit before tax and profit after tax in its history during the current quarter. EP for the quarter 3:51 3 minutes, 51 seconds stood at rupees 1,795 cr as against rupees 1,144 3:58 3 minutes, 58 seconds cr in the previous quarter and rupees 1,446 cr in the corresponding quarter. 4:07 4 minutes, 7 seconds pack for the quarter stood at 1,338 cr compared to rups 848 cr in the 4:15 4 minutes, 15 seconds previous quarter and rups 170 cr in the corresponding quarter for the financial 4:21 4 minutes, 21 seconds year ending 31st March 2026 the company reported of rups 5,158 4:30 4 minutes, 30 seconds cr and pat of rups 3,843 cr is against PBG of rups 5,275 4:40 4 minutes, 40 seconds cr and pack of rups 3,926 cr in the previous financial year. 4:47 4 minutes, 47 seconds At the consolidated level pack for the current financial year stood at rups 4:53 4 minutes, 53 seconds 3,913 cr compared to rups 3,973 cr in the previous financial year. 5:02 5 minutes, 2 seconds During the current quarter, the customers also made payment of outstanding use of PUS amounting to rupees 630 cr pertaining to calendar year 2022. 5:15 5 minutes, 15 seconds Overall, the performance during the year was supported by operational efficiency, disciplined execution and the continued 5:22 5 minutes, 22 seconds focus of the company on ensuring reliable as well as efficient operations across both terminals. Considering the robust 5:31 5 minutes, 31 seconds performance, the board of directors has recommended a final dividend of rupees three per share for the financial year 202526. 5:41 5 minutes, 41 seconds With this we now open the floor for the Q&A session. Thank you. 5:48 5 minutes, 48 seconds Thank you very much. Ladies and gentlemen, we will now begin with a question and answer session. Anyone who wishes to ask questions may please press 5:56 5 minutes, 56 seconds star and one on the touchstone phone. If you wish to withdraw yourself from the question key, you may press star and two. Participants are requested to use only hand while asking a question. 6:07 6 minutes, 7 seconds Ladies and gentlemen, we will wait for a moment while the question ascends. You may please press star and one to ask questions. at the side. 6:49 6 minutes, 49 seconds The first question is from the line of ProLel Fain from ICICI securities. Please go ahead. 7:05 7 minutes, 5 seconds from Kakar. Uh Mr. S, I'm sorry you were not audible. 7:13 7 minutes, 13 seconds It is better. Yes, please go ahead. Yeah. Uh thank you. Sorry for that sir. 7:19 7 minutes, 19 seconds I just wanted to ask sir with respect to firstly the quarter volumes how has March actually looked in terms of volumes? We talked about utilization of 7:27 7 minutes, 27 seconds 90% of course in in uh in the quarter but if I can just understand in terms of what it was in Jan and F and what was 7:35 7 minutes, 35 seconds the volume shortfall if any in March 7:44 7 minutes, 44 seconds hello are you audible yes sir you're audible yes sir go ahead 7:51 7 minutes, 51 seconds so the capacity utilization during March was around uh 53%. Okay. 7:58 7 minutes, 58 seconds And OTO is uh slightly more than 20%. 8:03 8 minutes, 3 seconds Okay. So sir, just as a followup, how do we uh look at basically now FI27 uh of course you'll have the April data 8:11 8 minutes, 11 seconds with you but just in terms of this dispute if it continues to persist how much of our volumes can be potentially at risk at this point of time? 8:23 8 minutes, 23 seconds Okay. So V if you can. 8:24 8 minutes, 24 seconds Sure. So probably while we have just mentioned that March utilization was 50% but things have been 8:33 8 minutes, 33 seconds improving since early April or in March and our utilization is steadily going up. This is primarily through third 8:42 8 minutes, 42 seconds party cars which in Gale IC BCC and BSC torrent bring in additional volumes and they can and the prices are now at 8:49 8 minutes, 49 seconds reasonable level because immediately after the prices the prices to $25 or so currently they are moving in the $15 to 8:56 8 minutes, 56 seconds $17. So with the lowering of prices we are seeing an increased utilization because March that's all I can say at this point of time and yes if the 9:05 9 minutes, 5 seconds conflict continues slightly challenging but Indian gas demand continues to grow so which is and power sector is again coming back so all this is supporting 9:14 9 minutes, 14 seconds utilization increased utilization of our terminal as you know we have expanded our capacity from 22 from 17.5 to 22.5 9:22 9 minutes, 22 seconds so in the system on a lower side but absoluteization versus last year it should be comparative 9:30 9 minutes, 30 seconds right. So sir just just additional supplies are the additional supplies that have been spoken about quite a bit particularly in the US are they actually 9:39 9 minutes, 39 seconds basically playing the balancing factor in the Asian markets right now couple of countries not just US is one of them of 9:46 9 minutes, 46 seconds course but then Oman which is very close to India the those suppliers continue to come in Musli there are new countries 9:54 9 minutes, 54 seconds like Nigeria and this Congo we got a cargo from Congo we got a cargo from Borisana and Sagal. So all these new 10:03 10 minutes, 3 seconds supplies are adding up and which is supporting and interestingly you will be aware that a new contract with exon which we signed in 2017 supplies under 10:11 10 minutes, 11 seconds that contract also started. So naturally we got the first cargo under that contract. So in the first year though it's 5 mm but that will also support to 10:21 10 minutes, 21 seconds displace some part of the volume which has been lost due to the crisis. 10:25 10 minutes, 25 seconds Got it. So uh from on a year-on-year perspective therefore I mean we should look at March as just a low base and from here it could actually at least 10:34 10 minutes, 34 seconds improve at the margin from the March lows. That's how one should look at it at least the next two quarters. 10:42 10 minutes, 42 seconds All right. So the second second question was with respect to the uh just a housekeeping on balance sheet the big adjustments that have happened in the 10:50 10 minutes, 50 seconds receivables and the payables they are all the adjustment made due to the EOP dues and settlement almost a 2,000 K 10:58 10 minutes, 58 seconds reduction that we see in both numbers for FI26 versus FI25 books and paybooks actually because 11:06 11 minutes, 6 seconds because you see mark uh the our own volumes uh from katar gas were not 11:13 11 minutes, 13 seconds coming in that's why both sides the receable table are going lower okay okay 11:21 11 minutes, 21 seconds because majorly that is the lable and the receivable to the correspondingly 11:30 11 minutes, 30 seconds got last question if I may uh any inventory gains that we have recorded this quarter and the third party regard 11:37 11 minutes, 37 seconds if you can kindly let us know so The regen is 879 crores uh uh for 11:45 11 minutes, 45 seconds this uh total and uh uh the uh the inventory gain is 95 crores. 11:55 11 minutes, 55 seconds 95 kores is the inventory gain. 11:58 11 minutes, 58 seconds All right sir. I'll come back in the queue. Thank you so much and all the best. 12:02 12 minutes, 2 seconds Thank you. The next question is from the line of Punit Kulati from HSPC. Please go ahead. 12:11 12 minutes, 11 seconds Yeah, thank you so much and congrats on you know good performance in this tough quarter. Uh my first question is have you had any communication with Qatar so 12:19 12 minutes, 19 seconds far as to what is the status of the trains from which you buy and when the war ends how soon can they start supplying? 12:27 12 minutes, 27 seconds Okay. So we are in constant touch with Kakar energy and uh we are hopeful that 12:34 12 minutes, 34 seconds uh the moment uh this conflict uh comes to an end uh you know within uh 3 to 12:43 12 minutes, 43 seconds four weeks uh supply should uh resume. 12:48 12 minutes, 48 seconds Okay. So so no impact on your trains at all. Right. That's very clear now. That's what we that's what we believe. 12:56 12 minutes, 56 seconds Okay. Great. And secondly, uh on your project on the prochemical side, u are you getting your supplies properly? Is 13:04 13 minutes, 4 seconds that on track or is that slightly slower? 13:09 13 minutes, 9 seconds So far as the project activity for petrochemical plants uh plants is concerned, the project is uh absolutely 13:17 13 minutes, 17 seconds on track uh because uh you know the capital equipments uh generally don't come from the Gulf region. So whatever 13:26 13 minutes, 26 seconds imports are there they come from uh Japan, Korea, China and from Europe and 13:33 13 minutes, 33 seconds US. So that way so far as supply of equipments uh plant and machinery uh are concerned uh there's no issue. 13:46 13 minutes, 46 seconds Great. That's all from us. Thank you so much and all the best. 13:51 13 minutes, 51 seconds Thank you. The next question is from the line of Pranita from Morgan Stanley. Please go ahead. 13:58 13 minutes, 58 seconds Uh good morning sir. Thank you for the opportunity. Uh am I audible? 14:04 14 minutes, 4 seconds Yes, please. Yeah. Uh I was just wondering with all the conflicts and the force measures, I wanted to understand how are you thinking about uh gas 14:13 14 minutes, 13 seconds sourcing in terms of diversification and the storage infrastructure for LSG on a medium-term perspective? 14:23 14 minutes, 23 seconds So I'm not sure if you better look at the certain news today morning or the year news which we had. So yes 14:30 14 minutes, 30 seconds diversification from a India perspective is definitely on angle and we have been overlap two or three years you would have seen India has signed close to 10 14:38 14 minutes, 38 seconds to 12 million tons of cloud from their sources. So that diversification has always been part of India's strategy. In 14:45 14 minutes, 45 seconds fact, some of our capacity holders have been the major buyer of this LNG which include gain Indian oil, BPCs, GSTP. So all of them have gone out in the market 14:53 14 minutes, 53 seconds in last two years and so LNG from portfolio players, US based companies, Australian based companies. So that 15:01 15 minutes, 1 second diversification is already on the taking place as far as the capacity for storage is concerned. Here on a strategic side 15:08 15 minutes, 8 seconds now we are definitely thinking India as a whole as well as to develop more tanks so that in times of crisis those volumes 15:16 15 minutes, 16 seconds are available for the market so that immediately there's no impact and on a longer basis we we will be working on it 15:24 15 minutes, 24 seconds and definitely come back to once we have investment. 15:30 15 minutes, 30 seconds Uh right sir uh thank you and I just wanted a clarification on the earlier comment you made uh on the Exxon 15:38 15 minutes, 38 seconds contract. This is the corkon contract which you'll be expecting in Kochi um sometime this year right it's the same contract 15:46 15 minutes, 46 seconds yeah it's the new contract with exon mobile Asia Pacific PT in it's not a gon contract it's a exon has a contract a 15:54 15 minutes, 54 seconds right to supply from their portfolio where gorggon is also one of the primary source so it's that contract which is started in this year this is an addition 16:02 16 minutes, 2 seconds to the existing 1.42 42 million contract with which is already in place. 16:10 16 minutes, 10 seconds Okay. Thank you. 16:13 16 minutes, 13 seconds Thank you. The next question is from the line of Nitan Tari from Philip Cap. Please go ahead. 16:21 16 minutes, 21 seconds Hi sir, good morning. Uh thanks for the opportunity. Uh so my first question is actually a clarification on the EO EOP 16:28 16 minutes, 28 seconds uh accounting treatment. So we received about 630 crores. Uh the reversal in PML for provision is about 495. So if you 16:36 16 minutes, 36 seconds try to understand that this is the rest of about 130 is booked in revenue. Um 16:45 16 minutes, 45 seconds see the uh see the reversal uh actually for cy22 whatever uh provision we had done um 16:54 16 minutes, 54 seconds that reversal we that reversal we did and some provision was done in the current portal itself 17:01 17 minutes, 1 second for 23 and 24 as well. So right sir adjusting that I mean the reverse 17:08 17 minutes, 8 seconds adjusted by the current provision this number has come 493. 17:12 17 minutes, 12 seconds If you can help me with that breakdown sir I mean like how much was reversed and how much incremental provision is made in this quarter. Uh that would be very helpful. 17:33 17 minutes, 33 seconds Uh just give me sure. 18:01 18 minutes, 1 second In the meantime, I think if you have any other question, you may think there. 18:05 18 minutes, 5 seconds Yes sir. U sir. So secondly, uh on uh basically KS projects, so if you can help us understand that what was our 18:12 18 minutes, 12 seconds total capital expenditure in FY26 uh and what is the plan for 27, how much and 18:20 18 minutes, 20 seconds and the uh capacity expansion that we have commissioned um have we capitalized that or we going to capitalize that in the first quarter. So I mean those can 18:29 18 minutes, 29 seconds you can if you can give some color on that. 18:32 18 minutes, 32 seconds Okay. So far as uh the capitalization is concerned yes uh we have commissioned the project uh apart from a particular 18:43 18 minutes, 43 seconds uh you know facility. So uh excluding that particular facility uh which will 18:50 18 minutes, 50 seconds be commissioned uh in this current quarter the entire uh expansion capacity uh no has been commissioned and capitalized. 19:03 19 minutes, 3 seconds Um any any amount that you can help her understand which has been capitalized in this quarter 19:14 19 minutes, 14 seconds we have capitalized she and balance around 100 or will be capitalized in the next quarter. 19:24 19 minutes, 24 seconds Understood 19:33 19 minutes, 33 seconds are 550 crores for CY22 and uh for CY23 19:41 19 minutes, 41 seconds the provision is 35 crores and uh 24 is uh above 6 19:51 19 minutes, 51 seconds for C 24 you mentioned um about 6 crores in 20. Okay sir. 19:58 19 minutes, 58 seconds And and there is a there is a uh also a waiver because of higher volume waiver 20:05 20 minutes, 5 seconds of about 13 uh in the current uh so if you add the 20:13 20 minutes, 13 seconds uh these 35 cr 6 crores and the 13 crores uh from the 550 crores you will get the number of 496 crores. 20:22 20 minutes, 22 seconds Understood sir and um lastly if I may like you know just ask a clarificated question on the question as earlier on utilization levels. So uh you mentioned 20:31 20 minutes, 31 seconds that the March utilization level was at 53% and uh some uh offset has been like you know brought in from some other 20:39 20 minutes, 39 seconds location. So what is the volation number that we should consider for the year ahead? I mean 457 if this problem continues if suppose uh the volume from 20:48 20 minutes, 48 seconds cutter doesn't uh come back I mean for one quarter or two quarter what is a what ballpass number we can look at 20:56 20 minutes, 56 seconds so we should not be unnecessarily be pessimistic about the entire year uh 21:05 21 minutes, 5 seconds we have the numbers of April as well as uh May so we would like to restrict 21:13 21 minutes, 13 seconds ourselves is uh you know in these two months only and we hope that this uh you 21:20 21 minutes, 20 seconds know ongoing uh situation in the Gulf will end very soon and as I told you 21:26 21 minutes, 26 seconds earlier that the moment it stops uh Qatar Energy would uh you know be able 21:34 21 minutes, 34 seconds to start the operations in the 3 to four weeks time and so we are confident that 21:40 21 minutes, 40 seconds maybe from the first week of June uh the the entire supply will come as per the 21:48 21 minutes, 48 seconds annual delivery plan and uh we are also talking to Qatar uh so that know whatever volume we have 21:57 21 minutes, 57 seconds lost if they can make good during the current year itself that will be uh great for the company as well as for the country also. 22:06 22 minutes, 6 seconds got it. So that's very helpful. Uh thank you so much. So I'll get back into Thank you. 22:12 22 minutes, 12 seconds And uh and I think uh you had also asked about uh the proposed capex budget for 22:19 22 minutes, 19 seconds uh the current uh financial year. So it's around 9,000 cr. 22:26 22 minutes, 26 seconds Thank you sir for answering all those questions. We'll take the next question from the line of Yukesh Patil from Dollar Capital. Please go ahead. 22:36 22 minutes, 36 seconds Thanks for taking my question sir. Uh again continuing with the same question on the capex. If you could provide the break up of 9,000 cr capex for this uh FI27 that would be helpful. This is one. 22:48 22 minutes, 48 seconds Second is related to the tariff hike at a kochi terminal from April. What was the tariff hike quantum on uh that site? 22:57 22 minutes, 57 seconds Was it a 5% or lower? 5% that's constant 23:05 23 minutes, 5 seconds and uh so far as the proposed uh cafe budget for the current financial year is concerned the major uh amount will be 23:14 23 minutes, 14 seconds spent uh on the pet project only. So that's about uh 7,500 cr or plus minus uh you know you can assume uh 10%. 23:26 23 minutes, 26 seconds Uh so we are targeting uh to achieve around 7,500 core. So let's see that's 23:34 23 minutes, 34 seconds uh and we are more or less confident that we'll be able to achieve their target and uh the rest are all uh you 23:43 23 minutes, 43 seconds know like the third jetty that we are constructing. So around uh 600 outors on 23:50 23 minutes, 50 seconds the third jetty and uh Kopalpur uh terminal also uh we are planning to start our activities construction 23:58 23 minutes, 58 seconds activities in this current year. So uh there also we plan to spend around uh 24:06 24 minutes, 6 seconds 300 to 400 crores. So this is the broad breakup. Z are all uh small uh you know 24:12 24 minutes, 12 seconds additional facilities. Uh the routine capex. Uh we also have a plan to uh put 24:20 24 minutes, 20 seconds up the our fifth small scale LMG plant at Kochi for which land has already been 24:27 24 minutes, 27 seconds acquired and uh we are planning to spend around 70 in their uh particular budget. 24:35 24 minutes, 35 seconds So I think uh these are the broad numbers. 24:40 24 minutes, 40 seconds Okay. Sir, small observation on the uh cash flow statement side. Uh as you guided around 3,000 cr kind of capex for 24:47 24 minutes, 47 seconds FI26 in our year call. Uh but the cash flow statement is indicating 2,500 cr for the FI26. And secondly, a small 24:56 24 minutes, 56 seconds question on the capic side again. Can we assume the same kind of a traffic or confirm for the FA 28 9,000 cr? 25:07 25 minutes, 7 seconds Sorry, can you please come up uh once again with your questions? 25:12 25 minutes, 12 seconds Yeah, sir. Uh so uh observation on the cash flow statement side uh in earlier 25:19 25 minutes, 19 seconds call Q3 FY26 you had a guided that a kind of a 3,000 cr kind of a capex for FI26. 25:26 25 minutes, 26 seconds While if we look down into the cash flow statement, it is indicating 2,500 cr. Uh is there any delay in a capex for 25:34 25 minutes, 34 seconds particular project? If it if you would clarify on that side, that's one thing. 25:39 25 minutes, 39 seconds Secondly, just wanted to take a guidance on the FY28 capex. Uh can we assume on a tentative side a 9,000 crex for FI28? 25:52 25 minutes, 52 seconds Yeah. 25:54 25 minutes, 54 seconds Yeah. You see uh see what happens is the cash flow statement uh depicts the actual cash flow that is done. It 26:03 26 minutes, 3 seconds doesn't take into account the provisioning. So there the provisioning are different and the the cash what has 26:10 26 minutes, 10 seconds been sent is 2511 cr that so we can say that I mean the uh whatever has not been projected it is going according to the 26:19 26 minutes, 19 seconds plan and for again for the same principle will also apply for fi27 as well there would be out of this 9,000 there would 26:28 26 minutes, 28 seconds be at the end of the year some uh would be done in cash and some would be in the provisioning level. 26:35 26 minutes, 35 seconds Okay. Thank thanks a lot. 26:38 26 minutes, 38 seconds Thank you. The next question is from the line of Vinit Banka from Namura. Please go ahead. Uh hi sir. Thanks for the opportunity. 26:47 26 minutes, 47 seconds So uh in terms of potential opt for the spot energy that we are bringing in. So 26:54 26 minutes, 54 seconds who could be the potential optaker at this price $15 to $17 per we are not separate we are not bringing 27:04 27 minutes, 4 seconds thought other than the customers like for whom we are making endeavors today it's being brought by our capacity holders for onboard supply to various 27:12 27 minutes, 12 seconds convenience sectors which include PD fertilizers refinary testing okay and sir so Gujarat gas has guided 27:20 27 minutes, 20 seconds around 5 to 6 mm additional gas demand from May onwards. So assuming that all 27:28 27 minutes, 28 seconds of this demand flows through petrol LMG so I think incremental volume could be around 1.5 million tons peranom which is 27:37 27 minutes, 37 seconds close to 6 7% of their of your current volume. So is it the right understanding? 27:45 27 minutes, 45 seconds If if that happens, you yourself have calculated numbers and the numbers seem to be correct. But it all depends whether it is on a professional basis or 27:53 27 minutes, 53 seconds a month- on-mon basis. Primarily I think they're targeting the market which is incremental of 5 to 600. So which is what I think is mentioned. 28:03 28 minutes, 3 seconds Okay. Sly utilizing I think you said uh for the quarter it was around 90%. and March it was 53%. 28:12 28 minutes, 12 seconds So I'm not trying to get what would be the inflation implied for Jan over 100% right. So yeah it was on an average of 108%. 28:23 28 minutes, 23 seconds So yeah, 108% for Jan and F. Okay. Yeah, that's all I go. Definitely. 28:33 28 minutes, 33 seconds Thanks. 28:35 28 minutes, 35 seconds Thank you. The next question is from the line of Adar Hindu Hinduja, an individual investor. Please go ahead. 28:44 28 minutes, 44 seconds Hi. Yeah, I think my questions have been answered already. Um, but I wanted to understand one thing from you. There's a 28:51 28 minutes, 51 seconds lot of different natural gas marketers like the JKM, TTF, there's the US and you have natural gas. So when you buy 28:59 28 minutes, 59 seconds spot caros on what typically what rates do you uh negotiate these contracts at 29:06 29 minutes, 6 seconds the spot caros in India typically are linked to JKM and or there is a specific index called as West India market which 29:13 29 minutes, 13 seconds is also very closely related to JKM market which is the final market. 29:21 29 minutes, 21 seconds And could you comment on uh what your uh in the in the month of March what your uh uh sport cargo prices was the purchase prices? 29:33 29 minutes, 33 seconds The spot prices were around $20 in the month of March. Okay, got it. Thank you so much. 29:42 29 minutes, 42 seconds Thank you. The next question is from the line of heart from ICICI security. Please go ahead. 29:51 29 minutes, 51 seconds Yeah, thanks for the opportunity sir. I just want to check on uh you know there is substantial increase in non-current 29:58 29 minutes, 58 seconds uh assets and the other financial assets. person uh explain on that part 30:13 30 minutes, 13 seconds see other see other financial assets when it is increased from 46 cr to 1,319 30:21 30 minutes, 21 seconds that is mainly due to classification of fixed deposit which is more than one year old that it has been classified to into other financial assets and which 30:30 30 minutes, 30 seconds are below 1,000 group that are coming under cash and cash. So this is mainly grouping issue 30:37 30 minutes, 37 seconds and as far as the non-current effects are concerned these are these also include the capital advances of about 96 30:45 30 minutes, 45 seconds groups which pertains to our ongoing capex program. 30:50 30 minutes, 50 seconds Okay. Uh can you share what is the capex on the pet project in uh after 26? 31:01 31 minutes, 1 second US 31:14 31 minutes, 14 seconds project 26 was 720 which is around 1,650 cr including 31:24 31 minutes, 24 seconds advances and PWIP total 19 taxes 1,650 That's really helping sir. Thank you. 31:34 31 minutes, 34 seconds Thank you. 31:36 31 minutes, 36 seconds The next question is from the line of Pritesh Chira from Lucky Investments. Please go ahead. 31:42 31 minutes, 42 seconds This is just one question. Uh so you know based on uh uh you know your assumption of post May we should be seeing largely normalization of cargo. 31:55 31 minutes, 55 seconds So sum total for the year uh you know what kind of uh utilization do you see at the aggregate level for your assets 32:04 32 minutes, 4 seconds and considering that uh there is equin cargo uh which is additional uh starting 32:11 32 minutes, 11 seconds uh May. So sum total what kind of a utilization one should assume for your assets? 32:22 32 minutes, 22 seconds We firstly we never said that May onwards things will be back to normal because it all depends on the conflict in the Middle East and how it felt out 32:30 32 minutes, 30 seconds and what happens and when resume supplies so it is very difficult to give a number at this point of time but yes 32:37 32 minutes, 37 seconds you're right the contract within uh will also start wherein performance chemist which is a part of deep fertilizers group will start bringing 32:45 32 minutes, 45 seconds their carbon their first car scheduled for arrival on 12th of Okay. So, we have two additional 32:53 32 minutes, 53 seconds contracts, right? The Equinor and the Exxon. That's right. Yes. 32:58 32 minutes, 58 seconds Uh these these two volumes which are additional is what number? Roughly 1 million in this year. 33:08 33 minutes, 8 seconds Sum total. Yes. Some total. 33:11 33 minutes, 11 seconds Okay. And uh so just for you know uh theoretical purposes uh considering you know what you would have some assessment 33:20 33 minutes, 20 seconds of April and May and theoretically if from June you know uh you know the Qatar 33:26 33 minutes, 26 seconds caros uh normalize then considering that assumption what is the utilization one should uh you know 33:34 33 minutes, 34 seconds consider for your assets along with these two new contracts that you 33:44 33 minutes, 44 seconds theoretical very theoretical you. Yeah. Yeah. Theoretically. Yeah. 33:56 33 minutes, 56 seconds See we as we have already spoken we are optimistic about the future and from June things may start looking normalized 34:03 34 minutes, 3 seconds but whatever numbers will happen it is very difficult to put any number at this point of time and what indications you 34:10 34 minutes, 10 seconds can calculate. We have already informed you what has been the March utilization level what has been the January. So uh let us see what happens this number 34:19 34 minutes, 19 seconds please uh then you can calculate whatever the assumptions you already explained. 34:24 34 minutes, 24 seconds So I would request you to wait till the end of this quarter and see how things 34:31 34 minutes, 31 seconds uh is there substantial improvement in the April and uh May utilizations. 34:36 34 minutes, 36 seconds No, no, no. It's it's it's uh no more or less uh at the same level. 34:45 34 minutes, 45 seconds As much as much. 34:48 34 minutes, 48 seconds Okay. Okay. Okay. Thank you, sir. Thank you. 34:51 34 minutes, 51 seconds Thank you. The next question is from the line of Sarak from DSP. Please go ahead. 34:59 34 minutes, 59 seconds Hi. Uh good morning. Thank you uh so much for the opportunity. So I just have one question regarding the storage facility that is available and how uh 35:08 35 minutes, 8 seconds much capex uh do we need to do because I there was a highlight on the press yesterday also that we need to you know 35:16 35 minutes, 16 seconds be very vigilant as a nation that storage facilities are very uh lower. So how much how uh as a company we are looking at uh our facilities and 35:25 35 minutes, 25 seconds increasing storage facilities in the various assets that we have and how much extra capex that we will need to do. just wanted to some clarity on that. 35:34 35 minutes, 34 seconds Okay. So for uh our Gopal project uh we have already announced that we'll be 35:41 35 minutes, 41 seconds constructing two uh tanks and we are also uh planning to uh set up one more 35:50 35 minutes, 50 seconds tank in Kochi. So that's uh right now uh we can say uh our current plan is on 35:57 35 minutes, 57 seconds about increasing the storage. Uh however as mentioned by our uh CEO yesterday in 36:04 36 minutes, 4 seconds the press conference that uh some more uh tanks are also being planned uh at 36:11 36 minutes, 11 seconds the H and we are uh you know looking for uh land because land is a an issue 36:19 36 minutes, 19 seconds availability of land is an issue in the H but we are actively scouting for uh 36:26 36 minutes, 26 seconds some additional land parcel uh wherein we'll be able to put up uh some three to 36:33 36 minutes, 33 seconds four additional tanks. But uh regarding these uh additional storage plants at DH 36:39 36 minutes, 39 seconds uh right now there is no uh you know uh immediate uh plans uh it's definitely uh 36:48 36 minutes, 48 seconds we wish to put up uh additional storage facilities out there but uh immediately we can say that uh yes Gopalur which is 36:56 36 minutes, 56 seconds a board approved uh project there we'll be putting up two tanks and one more tank we are actively considering for our terminal. 37:08 37 minutes, 8 seconds Um great just one small followup anyex number in your mind for the one additional tank in Kochi. 37:16 37 minutes, 16 seconds So it's about uh around 1200 crores. Okay, got it. Yeah, thank you so much. 37:25 37 minutes, 25 seconds That's it from my Thank you. The next question is from the line of Malik Patel from Aquarius. 37:32 37 minutes, 32 seconds Please go ahead. 37:34 37 minutes, 34 seconds Yeah. Hi, just one question. Any update on that extension of contract from uh uh 37:42 37 minutes, 42 seconds 2028? Have you made an entered into agreement within an optic on that? 37:49 37 minutes, 49 seconds I think I would only say that discussions are ongoing with opticers and once those contracts are done will 37:55 37 minutes, 55 seconds definitely inform investors as well as Okay. And uh just uh uh our contract 38:03 38 minutes, 3 seconds with Qatar is from the train number three, right? Uh is that correct? 38:11 38 minutes, 11 seconds Uh can you please come out uh with the question? Can you please repeat the question once again? 38:15 38 minutes, 15 seconds Your your contract with Qatar for the the current existing contract of 8 million turn is the train number three of the the Southfield, right? 38:27 38 minutes, 27 seconds Yeah. IC this information uh we are not sharing we do not share. 38:35 38 minutes, 35 seconds Okay. Got it. Thank you. 38:38 38 minutes, 38 seconds Thank you. The next question is from the line of Vir Khan Subaraman from Ambit Capital. Please go ahead. 38:47 38 minutes, 47 seconds Yeah. Just uh extending on Balik's question on the negotiations with the offtakers for the backto-back contract. 38:57 38 minutes, 57 seconds uh now um I understand that it is uh it's from 2028 uh but you you have signed a contract which is now dees 39:07 39 minutes, 7 seconds right so which was earlier FOB from uh Qatar so from a commercial standpoint do 39:15 39 minutes, 15 seconds you expect any meaningful changes in the nature of the contract based on the discussions that you've had so far 39:22 39 minutes, 22 seconds uh that's my first question the second one is on the contracts that you had been signing for the uh for the 39:30 39 minutes, 30 seconds expansion in DH which is with the Deep Group and OMGC. Is there any 39:37 39 minutes, 37 seconds further uh discussion that you have had with your customers that you you can update us on in terms of new business 39:44 39 minutes, 44 seconds models like ETH storage handling uh or or say monetization of that keeps. Thank you. 39:53 39 minutes, 53 seconds Okay. So regarding the you know future business plans uh as and when uh we sign definitive 40:02 40 minutes, 2 seconds agreements with the customers we'll definitely uh reach out to our uh different stakeholders including the stock exchanges 40:10 40 minutes, 10 seconds and uh so far as your first question is concerned regarding the change in terms uh of cargo from FOB to debts uh we 40:18 40 minutes, 18 seconds don't see any need for uh renegotiating uh the income terms Okay. Thank you. 40:31 40 minutes, 31 seconds Thank you. 40:32 40 minutes, 32 seconds The next question is from the line of Nitan Tari from Philip Capital. Please go ahead. Hi sir. Thanks uh for the opportunity. 40:40 40 minutes, 40 seconds Again just a booking question. Uh what is the India's impact for uh for the fourth quarter and also for FI26 as a whole? 40:50 40 minutes, 50 seconds Yeah, the index impact is uh uh for the fourth quarter uh 119 positive at gross margin level. 41:01 41 minutes, 1 second Then there is a forex loss of 91 crores and uh positive 8 crores at uh uh opex 41:09 41 minutes, 9 seconds level and uh then depreciation 77 crores and uh uh interest expense and lease 41:16 41 minutes, 16 seconds liability 59 crores. This is for the quarter and for the year at gross margin 41:23 41 minutes, 23 seconds level positive 629 crores. The forex lo is 199 crores. The opex level positive 41:31 41 minutes, 31 seconds is 30 crores. Then definition 322 crores and finance was 228 crores. 41:39 41 minutes, 39 seconds Understood sir. Thank you. Thank you. 41:45 41 minutes, 45 seconds The next question is from the line of Bertar Rajan Sankharan from Antique Limited. Please go ahead. 41:52 41 minutes, 52 seconds Thank you for the opportunity. Sir, on the uh trading gains part, do you have any numbers we can share? 41:59 41 minutes, 59 seconds Yeah, it's 118 cr. Okay. Secondly on this uh parcels which are being procured from other regions like Nigeria and so 42:07 42 minutes, 7 seconds on so forth. What is the general spot availability what we see which has potential to be diverted to India? Uh in 42:15 42 minutes, 15 seconds the middle if you look at the uh volumes flowing currently uh what proportion of it would be contract and like you know 42:22 42 minutes, 22 seconds what proportion would be spot very difficult to give an answer because we know capacity is looked by gay Indian 42:30 42 minutes, 30 seconds or BBS. So it is their prerogative and they have capacity in other terminals in India also. It is their prerogative which cargo they want to bring to the 42:39 42 minutes, 39 seconds head and which cargo they want to take to their other terminals. Very difficult to give a number that what will be the proportion of hot car with the term. 42:48 42 minutes, 48 seconds So I'm more concerned about like you know uh globally and especially in the regions where you just referred to are 42:55 42 minutes, 55 seconds there more spot parcels available and has that spot parcel availability increased post war? as a when facilities 43:02 43 minutes, 2 seconds come up so those volumes are typically broadly on spot or with portfolio players. So recently you would have heard that golden path started export of 43:10 43 minutes, 10 seconds this so all those volumes will be becoming available on to the market on spot. 43:18 43 minutes, 18 seconds Thank you. 43:21 43 minutes, 21 seconds Thank you. The next question is from the line of SA from Amend Park. Please go ahead. 43:29 43 minutes, 29 seconds Yeah, thanks for the opportunity sir. My first question is on the time charter uh which you have mentioned in the footnotes. Uh so uh we'll be able to uh 43:37 43 minutes, 37 seconds get back to normaly if the straight up issue gets resolved and we'll be uh getting the uh middle east caros is the right way to understand. So these uh 43:46 43 minutes, 46 seconds we'll be able to uh utilize those three time charters. 43:51 43 minutes, 51 seconds Yet those time shutter vessels are strategically you know hired for carrying cargo from Qatar to our 44:00 44 minutes terminals. So once the know supply resumes these charter vessels will be uh again engaged and being done earlier. 44:11 44 minutes, 11 seconds Got it. Sir and what is the existing contract duration uh for this uh time chapter versus like six months uh still 44:19 44 minutes, 19 seconds how many in terms of existing contract how many more months remain. 44:23 44 minutes, 23 seconds So it is aligned with the FBA term. So as and when SP terminates some comes to 44:29 44 minutes, 29 seconds an end the time will also okay uh sorry uh in uh I mean because 44:38 44 minutes, 38 seconds it's a force major kind of a situation so that's why we believe uh uh the 90 crores kind of a demand that's being placed for March and subsequent periods 44:47 44 minutes, 47 seconds also something that we not liable to pay so that's uh that the right Sure. Yes. 44:55 44 minutes, 55 seconds Okay. So, what will be the run rate for F5 28 in terms of KX? So, it will be similar to this 9,000 course of 27. 45:06 45 minutes, 6 seconds Yeah, it's see as has been discussed uh in the last call also u basically the fi 28 fi 27 we 45:16 45 minutes, 16 seconds are saying 9,2 and fi 28 also should be at the same level around 10% more or 45:22 45 minutes, 22 seconds less okay in terms of payouts so the historical payouts is expected to 45:31 45 minutes, 31 seconds continue despite the expansion uh because of the cash in the balance sheet Yes. 45:41 45 minutes, 41 seconds Short answer is yes. See, I'll not go by the payout percentage, but uh you know 45:49 45 minutes, 49 seconds in absolute terms uh the endeavor is to maintain the same level of uh dividend. 45:57 45 minutes, 57 seconds Okay. Thank you. Thank you. 46:02 46 minutes, 2 seconds The next question is from the line of Gagan Digshit from Aara Securities. Please go ahead. Yeah, thanks for taking my question sir. 46:10 46 minutes, 10 seconds Uh what is the status of this Bangalore cycle? What I know I think that has put the timeline to I think September 22. So 46:19 46 minutes, 19 seconds is there any updates for it and uh what is your uh it's perfectly in order. 46:28 46 minutes, 28 seconds Okay. Okay. the first half of FI27 that's yes uh so what is the utilization that you 46:35 46 minutes, 35 seconds expect for I mean for fi 28 when the the full will be available on the 46:42 46 minutes, 42 seconds pipeline is complete what will be the utilization so definitely it's going to go up 46:50 46 minutes, 50 seconds there's no doubt about it because it opening up a different uh market and get connected to the national gas So 46:59 46 minutes, 59 seconds definitely the inflation may uh go up. 47:05 47 minutes, 5 seconds Okay. And sir, my final question is about the swap volume. Uh I think this uh many of the I think especially from the main swap volume coming from the US. 47:16 47 minutes, 16 seconds So I assume that from that G stopped actually. So are you still getting the volume directly from the US uh from 47:24 47 minutes, 24 seconds those customers or is it the shipping custom capacity holders and operators who are bringing in these volumes? 47:38 47 minutes, 38 seconds Okay. 47:43 47 minutes, 43 seconds Thank you. The next question is from the line of Paluni Duta from Manserov Financial. Please go ahead. 47:51 47 minutes, 51 seconds Hello. 47:53 47 minutes, 53 seconds Yeah, good morning sir. I I just had one clarification question. What was the capacity utilization for DH for March that you mentioned? 48:04 48 minutes, 4 seconds Around 53% 53. 53. Yeah. 48:09 48 minutes, 9 seconds Okay. Thank you sir. And sir, would it would it be possible to say that how much is it now as we speak? 48:19 48 minutes, 19 seconds I have already uh shared that uh it is hovering around the same level. 48:25 48 minutes, 25 seconds Okay. Okay. Thank you. That's welcome. 48:29 48 minutes, 29 seconds Thank you. Ladies and gentlemen, we'll take that as the last question for today. I would now like to hand the conference over to the management for 48:37 48 minutes, 37 seconds closing comments. Thank you and over to you sir. 48:42 48 minutes, 42 seconds So thank you. Thank you uh for joining us and uh we hope that uh the situation 48:49 48 minutes, 49 seconds in the Gulf uh improves uh very soon which is going to have a very positive impact in our operations and as well as 48:57 48 minutes, 57 seconds on the financials and uh we also expect to come out uh with uh you know uh 49:05 49 minutes, 5 seconds brighter picture of the financials uh of the company uh when we meet next. Thank you so much. 49:14 49 minutes, 14 seconds Thank you members of the management. On behalf of Ashika Institutional Equities, that concludes this conference. We thank you for joining us and you may now disconnect your lines. Thank you.