Sangam Ltd — Q4 FY26

Sangam (India) Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=a1n7yA0DgNI Published: 2 weeks ago

0:00 Ladies and gentlemen, good day and welcome to Sangum India Limited Q4 and FI26 earning conference call hosted by 0:08 8 seconds Go India Advisor. As a reminder, all participant line will be in the listen only mode and there will be opportunity 0:16 16 seconds for you to ask question after the presentation conclude. Should you need assistant during the conference call, please signal an operator by pressing star then zero on your touchstone phone. 0:27 27 seconds Please note that this conference is being recorded. I now hand the conference over to Miss Mahel Goya from 0:34 34 seconds Goinda Advisor. Thank you and over to you Mahel. Thank you. Good afternoon one and all. 0:41 41 seconds It's my pleasure to welcome you on behalf of Sangam India Limited. Thank you for joining us today for the quarter 4 and financial year ended 2026 earnings 0:50 50 seconds con call. This call is being hosted by Go India Advisors. Please note that today's discussion may include certain 0:58 58 seconds forward-looking statements. Therefore, they must be viewed in conjunction with the risks that the company faces. Today 1:05 1 minute, 5 seconds on the call, we are joined by Mr. Sony, managing director. I now invite Mr. Sony to present the company's business and 1:13 1 minute, 13 seconds outlook after which we will open the floor for Q&A. Thank you and over to you, sir. 1:22 1 minute, 22 seconds Uh good afternoon and thank you for joining us today. FY26 has been a defining year for Sangam. We've crossed 1:30 1 minute, 30 seconds 3200 cr in revenue. We more than doubled our P to 83 crores. Our domestic business remains strong and our exports 1:38 1 minute, 38 seconds hit an all-time high. And perhaps most importantly, every single quarter this year was better than the last. Q1 to Q2 1:48 1 minute, 48 seconds to Q3 to Q4 revenue AITA and PAT all moved in one direction. To put that in 1:54 1 minute, 54 seconds perspective in Q4 alone we delivered 880 cr in revenue and AITA of 98 crores and 2:01 2 minutes, 1 second a PAT of 33 crores. Our quarterly PAT was nearly what we earned for the full year in FY25. 2:09 2 minutes, 9 seconds That consistency is not accidental. It reflects disciplined execution, deeper operational efficiency and an 2:16 2 minutes, 16 seconds organization that is generally getting better at what it does. These results reflect work that has been building for 2:23 2 minutes, 23 seconds some time. The last two years were demanding for SAM and for the industry. 2:28 2 minutes, 28 seconds FI26 was the year we rebuilt. We stabilized our operations, sharpened our execution and earned back the momentum 2:36 2 minutes, 36 seconds this business is capable of. What you are seeing in these numbers is a result of that work. And we are just getting started. 2:44 2 minutes, 44 seconds This year we have embraced a simple principle. Better than before. Every quarter, every process, every metric, 2:51 2 minutes, 51 seconds one question. Are we better than last time? That is what you saw play out in FI26. And it is what I'm confident you 2:59 2 minutes, 59 seconds will see play play out over the next four quarters as well. 3:04 3 minutes, 4 seconds Our balance sheet is in good shape. We are carrying roughly 200 cr in treasury. 3:09 3 minutes, 9 seconds Our working capital cycle improved dramatically from 80 days to 55 days in a single year. Interest coverage is improving. We are maintaining a net debt 3:18 3 minutes, 18 seconds to equity ratio of about 1.1x ensuring a prudent and stable capital structure. 3:24 3 minutes, 24 seconds On the energy front, we are doing significant significant work to secure our energy costs through renewable solutions and this will remain a consistent theme for us going forward. 3:35 3 minutes, 35 seconds This is a structural reduction in our cost base that will show up in our numbers in the coming quarters. 3:42 3 minutes, 42 seconds Our backward integration into recycled polyester fiber is also a point of quiet pride. We are now meeting approximately 3:50 3 minutes, 50 seconds 50% of our polyester fiber requirement through in-house recycled production processing close to 40,000 metric t of 3:58 3 minutes, 58 seconds plastic waste annually. This is sustainability and cost leadership working together. 4:05 4 minutes, 5 seconds Across all our segments, we have built a deep understanding each with its own customers, its own dynamics and its own 4:12 4 minutes, 12 seconds room to grow. Our job is to keep making each of them better. That is what drives us. Last year we doubled our pack. We 4:21 4 minutes, 21 seconds aspire to do that again in FI27. I use the word aspire deliberately and I mean it in that way. What I can say with 4:29 4 minutes, 29 seconds confidence is that the journey from here has a clear direction. 4:35 4 minutes, 35 seconds We are a manufacturing business and capacity is the foundation of growth. 4:39 4 minutes, 39 seconds The investment cycle that we undertook to build capacity is now largely behind us and those assets are running at very high utilizations across all our 4:48 4 minutes, 48 seconds segments. That's a good problem to have and it tells you where we are in our journey. The next leg of growth will 4:56 4 minutes, 56 seconds require investments and we are preparing for that. We will share more as plans mature. 5:02 5 minutes, 2 seconds Sangam is at an inflection point. The global supply chain is reorienting. 5:07 5 minutes, 7 seconds Buyers both domestic and international are looking for reliable, integrated and quality manufacturers with the skill and credentials to deliver consistently. 5:16 5 minutes, 16 seconds Sungam is exactly that. The opportunity in front of us is significant and I and I believe we are well positioned to 5:23 5 minutes, 23 seconds capture it. I want to close by thanking our employees, our customers, our partners and our shareholders. Your 5:31 5 minutes, 31 seconds trust is something we take seriously and we intend to keep earning it. I'm deeply confident in our ability to keep improving quarter after quarter. We are 5:40 5 minutes, 40 seconds not changing a single number or a single event. We are building a business that compounds. With that, I'm happy to take your questions. Thank you. 5:49 5 minutes, 49 seconds Thank you so much, sir. Ladies and gentlemen, we will now begin the question and answer session. Anyone who wishes to ask a question may press star 5:58 5 minutes, 58 seconds N1 on their touch on telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are request to use handset while asking a question. 6:09 6 minutes, 9 seconds Ladies and gentlemen, we'll wait for a moment while the question Q assembles. 6:17 6 minutes, 17 seconds The first question come from the line of Sarange Gupta from Swan Investment. 6:21 6 minutes, 21 seconds Please go ahead Mr. Gupta. I'm sorry but you're not audible. 6:35 6 minutes, 35 seconds Mr. Gupta, please proceed ahead with your question. Hello. 6:40 6 minutes, 40 seconds Yes, I'm really sorry but your voice is not audible. I request you to please rejoin the queue. 6:52 6 minutes, 52 seconds Thank you. 6:54 6 minutes, 54 seconds The next question come from the line of Rahan Sayyad from Tinit Asset Manager. Please go ahead. 7:00 7 minutes Hello, good afternoon. Thanks for taking my question. So, yeah. Hi, I have couple 7:07 7 minutes, 7 seconds of questions. Uh, first on the side that we have seen corro exports have reached an all-time high this year. So could you 7:16 7 minutes, 16 seconds help us understand which geographies or customer segments are driving this growth and and how sustainable this momentum is and we have to look further. 7:34 7 minutes, 34 seconds Hi so you said two questions I think uh this is you asked regarding that exports geography. Uh 7:40 7 minutes, 40 seconds is there another question? Yeah, I have could see more questions first. So, we can go one by one or just I have one code follow. 7:50 7 minutes, 50 seconds Okay. No, no problem. I can answer this. 7:52 7 minutes, 52 seconds So, see both geographies is quite diversified. Um, so we are exporting to I think about 50 plus countries. So, we 8:01 8 minutes, 1 second we have a very balanced um export portfolio and uh so we are not really uh heavily dependent on a particular geography uh as such. 8:14 8 minutes, 14 seconds if you want more. So to answer to answer that uh sustainability part I think so I believe that I think our exports are pretty sustainable and um we are seeing 8:23 8 minutes, 23 seconds a continuous uptake there. So every quarter we're improving our u um export numbers uh and markets. So yeah it is a 8:32 8 minutes, 32 seconds very sustainable number and like if you want to hear more that in which we are getting more traction 8:40 8 minutes, 40 seconds which you can you want to put here uh see this this this depends on uh and 8:48 8 minutes, 48 seconds across segments and products. So like some products um the east side like Bangladesh and China are big geographies 8:55 8 minutes, 55 seconds um on some products um um Africa, Egypt, uh Turkey are are are a big uh 9:01 9 minutes, 1 second geography. Some products um um uh Latin America, South America are are 9:08 9 minutes, 8 seconds important. So u uh it it depends on product to product. So it's not like there is one particular country where uh we are heavily dependent on it is across geographies. 9:19 9 minutes, 19 seconds Okay. Okay. Uh and my final question is around your marketing like I wanted that the company has significantly 9:28 9 minutes, 28 seconds increased it renewable energy capacity with additional uh solar and hybrid projects. So yes you can know the 9:36 9 minutes, 36 seconds ballpark number that's why by FY27 what percentage of total power requirement do you expect to emit through renewable 9:43 9 minutes, 43 seconds resources and how should we think about the full impact on epidam well I think uh see as far as the 9:52 9 minutes, 52 seconds renewable solutions are concerned I think a lot of uh things are under process uh as we speak and uh so currently we're about 10 15% of our 10:01 10 minutes, 1 second needs are coming from renewable uh probably I think in a year's time let's say June next year is when we expect that about 70% plus of our power will be 10:10 10 minutes, 10 seconds renewable u so we we've also put that uh in our presentation I think the cumulative benefits uh to the beta once 10:18 10 minutes, 18 seconds everything is commissioned would be about 50 50 to 60 crores annually so for all benefits to kick in it will it will 10:26 10 minutes, 26 seconds take about uh four to five quarters from now like you are saying it will take time to transfer every at least four to five 10:34 10 minutes, 34 seconds quarters going forward right no because uh we've we've uh we've taken undertaken capex somewhere we've done 10:42 10 minutes, 42 seconds some PTA somewhere so for everything to commission and come into effect u so currently we are about 15% of our power 10:49 10 minutes, 49 seconds needs are coming from renewable this will be 70% plus in five quarters from now so every quarter we will have some kind of addition 10:58 10 minutes, 58 seconds okay okay uh my next question is around uh the government segment still contributes a relatively smaller portion 11:06 11 minutes, 6 seconds of revenue despite being a high valuated segment. So what are the key bottlenecks in scaling this segment meaningfully for 11:15 11 minutes, 15 seconds going forward? Is there any opportunity that you are evaluating here? 11:22 11 minutes, 22 seconds Uh well see if you see our government segment I think operationally we are doing a lot better. um we are at highest capacity utilizations uh compared to the 11:31 11 minutes, 31 seconds last uh 6 to 8 quarters that um so we are operating um at better utilization levels we're almost at 50% now and we 11:38 11 minutes, 38 seconds expect that number to further go up so uh we have addressed a lot of challenges uh in the business o over the last last 11:46 11 minutes, 46 seconds year and I think we we are in a good space today uh to further improve on the utilization so both sales um have picked 11:54 11 minutes, 54 seconds up significantly over the last quarter if you see our numbers it's al again in our presentation and the utilization levels have also gone up so I I would 12:02 12 minutes, 2 seconds imagine that that would continue happening uh on the u upward side um okay okay last one bookkeeping 12:11 12 minutes, 11 seconds question from myself and then another question my last question is your company has built a strong integrated model from fiber to government that we 12:20 12 minutes, 20 seconds have seen so are there still any gaps in the value chain where where you see further forward integration of possibilities we can evaluate going forward. 12:31 12 minutes, 31 seconds See I think uh um as I mentioned in the opening remarks that um there will be um 12:38 12 minutes, 38 seconds there will be certain segments so uh where we have to um improve upon um and there will be some investments that we 12:46 12 minutes, 46 seconds will have to plan. So both on the on the backward integration side um there will be uh things on the so today we are 12:53 12 minutes, 53 seconds about 50% of our polyester comes from um inhouse uh production and 50% we are still buying from the market so we we we 13:00 13 minutes would like to uh build on that to have better control on cost and raw material security um same for our denim fabrics I 13:07 13 minutes, 7 seconds think 50% of our raw material is in house and about 50% are buying from outside so we'll probably uh increase uh 13:16 13 minutes, 16 seconds some more capacities there. Uh and um on the energy side we have to um the work 13:23 13 minutes, 23 seconds is already on. So as I mentioned earlier that uh the question when you asked about energy so that that work is on and then probably to um there will be 13:32 13 minutes, 32 seconds some capacity additions that we will do across the segments. Uh so a lot of things are are under discussions and planning. Um since you you can see our 13:41 13 minutes, 41 seconds capacity relations are pretty high. Uh so so I don't have anything concrete to say now but there will be something and as 13:49 13 minutes, 49 seconds in when that comes in we will we will u announce that oh okay from my side I'll I 13:59 13 minutes, 59 seconds great thank you thank you our next question come from the line of sanchupta from swan investment please go 14:07 14 minutes, 7 seconds ahead Mr. Gupta, you may unmute and proceedate with your question. 14:18 14 minutes, 18 seconds Yeah. Hi. Uh am I audible now? Yes, you. Yes. 14:22 14 minutes, 22 seconds Yeah. Hi. Thank you. Thank you for the opportunity and congratulations sir on an outperforming quarter. So I have a couple of questions. Uh basically I 14:30 14 minutes, 30 seconds wanted to first the going on in the PV like in this quarter we know that there 14:38 14 minutes, 38 seconds was some disturbance in the shipments that came through. So how has the spreads improved and what are they currently? 14:48 14 minutes, 48 seconds Uh sorry I think your uh question like your voice got disturbed in the middle if I can capture the question correctly. 14:53 14 minutes, 53 seconds You asked something about um about the PV margin uh PV on margins and uh how that business is uh going with regards to the current disturbance. Is that correct? 15:03 15 minutes, 3 seconds Correct. Correct. Correct. And like in this quarter or probably in the month of March how have they are like in the terms of volatility 15:11 15 minutes, 11 seconds right see uh TV side uh about majority of our business actually comes 15:19 15 minutes, 19 seconds from the domestic market. Um okay about 10 15% comes from the export side. So there was probably some delays 15:27 15 minutes, 27 seconds in shipments. Uh I think 10 or 15% of our exports might have been uh delayed u in March for on the shipments and then 15:34 15 minutes, 34 seconds some costs uh also frees have also increased. Uh however it's not uh a material impact on the overall business 15:42 15 minutes, 42 seconds since that that volume is is u uh is not very high in the region where uh 15:48 15 minutes, 48 seconds disturbances are there. So uh uh we we've had a decent uh quarter in the uh on the PVA side and even the month of 15:57 15 minutes, 57 seconds March was was very decent. Um so until now we are being able to manage uh the situation and uh things are under control. 16:07 16 minutes, 7 seconds So for the inventory we are not facing any issues. 16:12 16 minutes, 12 seconds No I think so we probably uh on the inventory side we might be at a multi-year low. So uh no that's not a challenge. 16:19 16 minutes, 19 seconds Oh right. Uh do we have uh uh sufficient demand in this segment for the domestic as you said the 10 10 to 15%. 16:31 16 minutes, 31 seconds Yeah, there is a sufficient demand there. Uh there's no challenge there. 16:36 16 minutes, 36 seconds But basically, I wanted to understand how has the customer probably uh how has their mindset changed like 16:43 16 minutes, 43 seconds are they pulling off for as of now? 16:49 16 minutes, 49 seconds Uh see I think for for the yan business um uh while domestic demand is strong and uh see exports uh to to markets like 16:58 16 minutes, 58 seconds Turkey and um and in that region see the costs for production are going up there. 17:04 17 minutes, 4 seconds So I think in any case like um like year on year that that business will shift uh towards the domestic side because 17:13 17 minutes, 13 seconds domestic manufacturing is cheap. So instead of exporting yarns, we'll probably start exporting fabrics more. 17:19 17 minutes, 19 seconds So um so yarn side exports is is not a um not a very big worry and anyway like 17:26 17 minutes, 26 seconds by strategy that number is is reducing year on year anyway. So um uh domestic demand is is okay and since uh instead 17:35 17 minutes, 35 seconds of yan the shift is more towards fabric uh u on the export side. So uh but this is not a very big issue. 17:46 17 minutes, 46 seconds Okay. So my second question was uh though we have been growing our utilization but still 17:54 17 minutes, 54 seconds what we need or do we have that make it express 65 to 70 and by when we can do that? 18:04 18 minutes, 4 seconds I'm sorry your voice got disturbed. I could not uh understand the question. Can you can you repeat again? 18:12 18 minutes, 12 seconds Hello Mr. Gupta I'm sorry but we are not able 18:19 18 minutes, 19 seconds to hear you hello yes Mr. Please proceed. Is there am I audible now? 18:29 18 minutes, 29 seconds Yes. Yes. 18:30 18 minutes, 30 seconds Yeah. Basically the question was like in the garmenting segment we have seen 18:37 18 minutes, 37 seconds that 50%. So like what do we need to make it reach to somewhere to 70 and by when can we do that? 18:48 18 minutes, 48 seconds So I could understand the first part that I think you were asking about the government capacity relation has improved but uh can you repeat the last line again like uh what do we need to do 18:58 18 minutes, 58 seconds for Mr. Gam we are really sorry but again we 19:09 19 minutes, 9 seconds lost you we are not able to hear you properly Mr. you may rejoin the queue again and 19:17 19 minutes, 17 seconds make sure that you uh fix your network please. 19:25 19 minutes, 25 seconds Thank you. 19:28 19 minutes, 28 seconds Our next question come from the line of say from Smart Sync Services. Please go ahead. 19:38 19 minutes, 38 seconds Uh hello sir, good afternoon. Am I able? 19:42 19 minutes, 42 seconds Yeah. Yes, you are. Yeah, thank you for the opportunity and sorry sir if I ask something very basic question because 19:50 19 minutes, 50 seconds I'm very new to this company. Uh sir I firstly want yeah so I firstly wanted to understand 19:57 19 minutes, 57 seconds like uh this time we saw great uh uh revenue upside as well as pet growth and 20:04 20 minutes, 4 seconds our pets basically. So what is the main reason behind this? 20:10 20 minutes, 10 seconds uh see I think I would uh leave it like probably attributed to two things. One capacity utilizations are high. So that 20:18 20 minutes, 18 seconds is uh led to the the volume. Um and with capacity utilizations and uh better operational efficiencies uh PAT has gone up. 20:28 20 minutes, 28 seconds Okay. And sir I wanted to know right now our capacity utilization for YAN is 95%. 20:34 20 minutes, 34 seconds If I'm not wrong that is yes that is correct. So going forward uh we do we 20:40 20 minutes, 40 seconds have any capeex in pipeline like yes uh so I did mention earlier in my 20:47 20 minutes, 47 seconds call that there there is something um there are discussions that are ongoing uh so I don't have anything concrete now 20:55 20 minutes, 55 seconds as and when we finalize something we we'll announce that and do you also have a plan how you will finance this uh through internal 21:03 21 minutes, 3 seconds approvals or through that by preferential preferential issues like 21:11 21 minutes, 11 seconds uh see that is that is a problem to discuss probably once we uh once we are sure what we want to uh and how much we 21:18 21 minutes, 18 seconds want to invest um into the new capex but uh yeah as of now we have no plan for 21:25 21 minutes, 25 seconds any kind of professional issues because uh I'm asking you just because as of now we are already achieved around 21:33 21 minutes, 33 seconds 95%. So if we can plan as possible it would be great and I wanted to understand sir if I'm not wrong this 21:40 21 minutes, 40 seconds time of p because this time we saw significant growth in our pad. So what I understood is uh like because of this 21:50 21 minutes, 50 seconds Iran and uh uh US Iran war what I understood is the prices of yan and other cotton and 21:58 21 minutes, 58 seconds all of these prices gone up. So those players who have a good inventory pile up or good inventory they got good 22:06 22 minutes, 6 seconds benefit that's why some yan players and other players saw good pad growth. So if I'm not if I'm not wrong is it correct 22:15 22 minutes, 15 seconds like we gain uh this uh bad growth basically ma mainly because of inventory 22:23 22 minutes, 23 seconds like we have inventory and we pass on the prices basically high prices uh we took a benefit of high price if I'm not 22:31 22 minutes, 31 seconds wrong well so first part uh due to the war prices have gone up uh and they are going up um that is correct however uh 22:41 22 minutes, 41 seconds where we are discussing March quarter results. So uh war actually started u probably I think 1st of March 20th of February and you normally operate on a 22:49 22 minutes, 49 seconds on an order book of 60 to 75 days at any any point in time. So uh no I would not agree that the current quarter pat is 22:57 22 minutes, 57 seconds driven by u any kind of uh one-time inventory gains uh because you always have an order book as well and that 23:06 23 minutes, 6 seconds order book gets um is is getting serviced with these are orders that were probably booked in January February that was pre-war situation so uh prices are 23:15 23 minutes, 15 seconds going up uh there's no doubt about that however uh I will not say there is any kind of uh inventory gains that have 23:23 23 minutes, 23 seconds come into the pack uh for the mask water. 23:27 23 minutes, 27 seconds Okay. And usually how much um uh I'm sorry to interrupt you Mr. Say but please rejoin the queue for more questions. Thank you. 23:34 23 minutes, 34 seconds Okay. Okay. Thank our next question come from the line of Rahel S from Sapphire Capital. Please go ahead. 23:44 23 minutes, 44 seconds Uh good afternoon. Am I audible? 23:46 23 minutes, 46 seconds Yes. Good afternoon. Yes. So firstly uh with this aspiration you've given you know about doubling the t again in 597 I 23:55 23 minutes, 55 seconds just like to get a flavor on what sort of revenue growth are you targeting and given your utilizations are you know 24:03 24 minutes, 3 seconds like at a peak level in almost all your major segment so what will drive this uh the growth which you are targeting 24:11 24 minutes, 11 seconds well see um uh I also mentioned along uh with that that yeah this is aspiration 24:18 24 minutes, 18 seconds and we started uh my uh my statement from that we are we have bettered every 24:26 24 minutes, 26 seconds quarter uh in the last year. So if we are continuing on that same theme that um we have to keep getting better every 24:33 24 minutes, 33 seconds quarter. Um so it's a it's a very simple math that you will multiply with that number and some kind of uh uh uh gains 24:43 24 minutes, 43 seconds on the energy cost and some kind of gains on the operational efficiencies and it will take you somewhere close to that number. 24:55 24 minutes, 55 seconds So um fair to assume a strong mids growth or maybe more in terms of topline in FI7. 25:04 25 minutes, 4 seconds So top line I think growth will be similar to what we did um last year. Um again like uh what we did in Q4 and at 25:11 25 minutes, 11 seconds say similar capacity utilizations um there will be topline growth and however there there cannot be abnormal growth on 25:19 25 minutes, 19 seconds the top line because capacity utilizations already in the March quarter are high. 25:23 25 minutes, 23 seconds So probably whatever the March uh top line is uh we we probably multiply that by four and some kind of inflation because prices are going up. So that 25:31 25 minutes, 31 seconds there will be some topline growth for sure. Mhm. Okay. This is it fair to say that F57 will be a big year for you in 25:38 25 minutes, 38 seconds terms of your bottom line and the margin whereas top line will be uh will not be like you know uh exponential 25:47 25 minutes, 47 seconds and then this capex you're expecting to uh conduct in F27 uh like first half or second half 25:56 25 minutes, 56 seconds uh see uh at like again mentioning that we we want 26:04 26 minutes, 4 seconds to get better every quarter. So, uh we will probably celebrate every quarter as it as and when it comes. Uh definitely 26:11 26 minutes, 11 seconds FI27 uh should be a good year for us. Uh as far as the capex is concerned, it uh 26:17 26 minutes, 17 seconds we've we've kind of u you know come at the back of a big capex cycle 3 years ago. Uh and uh today we are at at high 26:27 26 minutes, 27 seconds capacity license. So we'll probably take a quarter or something to plan um for this that what we want to do over the 26:34 26 minutes, 34 seconds next couple of years and um and then take that into um into action. So uh any 26:41 26 minutes, 41 seconds kind of capex that we undertake uh any kind of financial benefits will not come in the in the coming financial year. 26:48 26 minutes, 48 seconds It's probably ex there will be some benefits on the on the energy cost side but u any kind of u new capex growth uh 26:57 26 minutes, 57 seconds any the benefits for that will probably uh start flowing from next year uh nothing in this year for sure. 27:05 27 minutes, 5 seconds Okay, that's it. Yeah, got it. Okay, I'll get back. Thank you so much. Right. 27:13 27 minutes, 13 seconds Thank you. 27:16 27 minutes, 16 seconds Next question come from the line of Kamill Jaswani from you first capital. Please go ahead. 27:22 27 minutes, 22 seconds Yeah. Hi. Uh thank you for providing the opportunity. Uh congratulations on uh great set of numbers. Uh thank you. 27:31 27 minutes, 31 seconds I just wanted to know the uh margin outlook for the current quarter. Uh if you can give us uh whether we'll be 27:38 27 minutes, 38 seconds maintaining or growing the margins for the June quarter. Yeah. 27:46 27 minutes, 46 seconds uh see difficult to give a number on that but uh I did say that we'll get better from the from the last quarter. 27:54 27 minutes, 54 seconds So uh definitely we would like to maintain the margins and see very short-term very difficult to say anything because um with uh so many 28:02 28 minutes, 2 seconds uncertainties around in the world so uh um difficult to give a exact number but yeah I think we should be able to 28:09 28 minutes, 9 seconds maintain or better our margins from from the March quarter for sure. 28:14 28 minutes, 14 seconds Okay, thank you. And uh the second question is uh uh how uh do we see that there's still some more capacity 28:21 28 minutes, 21 seconds utilization scope left in the government uh business? So um are we also planning to increase the capacity utilization 28:29 28 minutes, 29 seconds this quarter from the governments and uh what is the second question? Second part of the question is regarding the brand, our brand C9 brand. What percentage of 28:38 28 minutes, 38 seconds the total car capacity is coming from the C9 brand and how much is coming from the contract manufacturing? 28:46 28 minutes, 46 seconds Right. Uh see I think uh we can expect uh better capacity license uh going forward um as 28:55 28 minutes, 55 seconds far as uh the manufacturing side is concerned. Now on the on the C9 brand 29:02 29 minutes, 2 seconds about 40 40 to 45% of um of the government business uh is contributed by the C9 brand and the balance is 29:11 29 minutes, 11 seconds contributed by uh contract manufacturing. 29:15 29 minutes, 15 seconds Got it. Thank you so much. I have more questions. I'll come back in. Thank you. Thank you. 29:22 29 minutes, 22 seconds Our next question come from the line of Rohit Ori from Progressive Shares PMS. 29:26 29 minutes, 26 seconds Please go ahead. Uh hi Anurra Dakir Raj uh congrats on this good execution for the quarter under review as well as the entire year. 29:35 29 minutes, 35 seconds Sir I have few questions. Thank you very much. 29:38 29 minutes, 38 seconds Yes sir I have uh some questions. Uh uh continue with this uh uh the export question which earlier participant had. 29:45 29 minutes, 45 seconds Uh is this uh due to some sort of temporary order shift or is it because of China plus one or maybe some uh currency tailwind that has come through? 29:58 29 minutes, 58 seconds No, see I I don't think that there is any kind of uh uh like a one-time jump in in any kind of series numbers. See, 30:05 30 minutes, 5 seconds this is probably like uh over a period of time you are you're working to grow on markets and uh um so 30:15 30 minutes, 15 seconds there's a continuous growth that is that is happening. So it is not uh that some kind of one-time shift is coming from 30:21 30 minutes, 21 seconds somewhere or um it's due to China or I would not attribute it to those reasons. 30:26 30 minutes, 26 seconds I think u probably there is a supply chain that you build and uh when when once you get into u established uh 30:34 30 minutes, 34 seconds developed markets uh it takes time to get into the uh uh into the bigger 30:41 30 minutes, 41 seconds brands and once uh the confidence builds the orders flow better. So uh I I would 30:47 30 minutes, 47 seconds say that uh it is it is a continuous process that is happening and if you will see our numbers on the export side probably every quarter we are doing better on that. 30:57 30 minutes, 57 seconds True that. So is it because you have added new customers or is it because of the old customers are giving you a higher wallet share 31:05 31 minutes, 5 seconds I think both are happening together. Uh because with volume growth old customers where we already have a significant market share uh it's difficult to grow 31:13 31 minutes, 13 seconds uh a lot on that front. So that there there is some addition on on new customers as well and trying to maintain our market share with the existing customers. 31:22 31 minutes, 22 seconds Anal you mentioned about utilization recovery uh and and we can also see that uh there is some recovery in the margin 31:29 31 minutes, 29 seconds also. Uh so is this is it because of restocking of the inventory or is it uh the real demand that is coming through? 31:40 31 minutes, 40 seconds See, I think um we've we've done some uh work on uh internally on on planning and 31:46 31 minutes, 46 seconds forecasting um inventory better. So, uh we we've had a reduction in inventory. 31:52 31 minutes, 52 seconds Now, this is again been a continuous process uh over the last four to six quarters. Um continuously we are um we 32:00 32 minutes are ramping up capacity and um uh reducing our finished goods. So um that is then as far as some kind of uh demand 32:09 32 minutes, 9 seconds uptake or restocking in the market is concerned definitely demand is better uh over the last um probably 6 months 32:16 32 minutes, 16 seconds demand is getting better. Demand is stronger than it was uh probably last year uh at similar times. So I think 32:23 32 minutes, 23 seconds both are playing out together we also noticed that uh some of the customer count has declined a bit. Uh 32:30 32 minutes, 30 seconds well is this because of some strategic pruning from your end or the management side or is it due to uh some loss of 32:37 32 minutes, 37 seconds market share probably to some uh some of the competitor or somebody? 32:44 32 minutes, 44 seconds Uh I'm not actually aware of where the customer count has gone down. Uh if you can probably explain me better on that. 32:54 32 minutes, 54 seconds Uh I'll take that offline. It's there in the presentation. I'll take that offline. But then if you can yeah maybe you can just uh yeah you can 33:01 33 minutes, 1 second probably ask a question over uh over the email and probably we'll reply on that then. 33:05 33 minutes, 5 seconds Yeah. And and in terms of the uh strategy mix uh while we are also looking at capex uh uh what do you think 33:12 33 minutes, 12 seconds would be the strategy for manmade fiber versus the synthetic uh since you have shown some good interest in green fiber 33:19 33 minutes, 19 seconds as well which is probably running at 7% capacity utilization. So so what is the strategy going forward? 33:27 33 minutes, 27 seconds Yeah. As far as strategy is concerned, we would like to have uh more control on our raw materials and costs. Um so we'll probably uh as I mentioned earlier that 33:35 33 minutes, 35 seconds uh both on our denim side and uh synthetics fabric side we have about 50% control on on the fiber side. 33:43 33 minutes, 43 seconds Uh so we'll probably um we'll probably want to increase that uh maybe take that to 75 80% um uh in-house production 33:52 33 minutes, 52 seconds levels. So that is something that that we are working on both polyester fiber and for u for denim fabric we are 33:59 33 minutes, 59 seconds working on raw materials there. Um and uh since capacity relations are high so we 34:07 34 minutes, 7 seconds are we don't want to actually go into a new site or do a green field anywhere we are looking at uh our existing uh plants 34:14 34 minutes, 14 seconds where some kind of incremental capacities can be added. Uh so we are looking at that and uh energy costs uh 34:23 34 minutes, 23 seconds because that is that is our biggest cost driver. So energy cost is something that we are looking at very aggressively that how to bring that down. So that that 34:30 34 minutes, 30 seconds plan is actually on the on the on the priority list. So we we are doing that first and uh then working on the 34:38 34 minutes, 38 seconds backward integration side and then some capacity reflection. The strategy over the next six to eight quarters for capex would revolve around around these points. 34:47 34 minutes, 47 seconds uh Anu ask my uh last question before I fall back in the queue. uh considering uh your commentary which was quite strong in the beginning and uh the 34:56 34 minutes, 56 seconds current markets uh scenario also do you think that by FI29 uh we could have blended margins of more than 13% plus 35:04 35 minutes, 4 seconds and uh have a top line of approximately 4,500 cr or something uh with ROC maybe 35:10 35 minutes, 10 seconds inching towards 20% or so by FI 29 right so I think what I can tell you is that uh yeah over the next three years 35:18 35 minutes, 18 seconds uh FI 29 is about 12 uh I think Well yeah 8 8 to 10 quarter is what you're talking about. So uh the theme will 35:26 35 minutes, 26 seconds continue on on the same direction that better than before. So if we are better than before every quarter uh we'll 35:34 35 minutes, 34 seconds probably be at at numbers um indicated by you I think maybe at that levels or even better than that. 35:40 35 minutes, 40 seconds Oh thanks thanks for answering our fallback interview. I have some more questions. I'll come back. Thank you. Thank you. 35:47 35 minutes, 47 seconds Thank you. Our next question come from the line of Madur Rati from Counter Cyclical Investment. Please go ahead. 35:54 35 minutes, 54 seconds Sir, thank you for the opportunity. Sir, I wanted to understand how has the spread for uh polyester fiber changed post the 36:02 36 minutes, 2 seconds quality control order and sir uh our strategy to increase the captive source into 75 80%. How does this situ versus 36:10 36 minutes, 10 seconds just buying the uh PTA and MG from China and like processing it in house 36:18 36 minutes, 18 seconds considering normalized uh spreads of like excluding the war situation how should we see this segment 36:28 36 minutes, 28 seconds see the idea of getting a 75 80% control raw material is is two front one is obviously on the cost side and more importantly on on the quality side as 36:37 36 minutes, 37 seconds well. So uh we we have felt that uh over the last 6 months when we we made this acquisition of the polyester fiber plant 36:46 36 minutes, 46 seconds uh we've been able to re-engineer a lot of products um work on our uh bill of material costs and uh on on the yarn 36:54 36 minutes, 54 seconds side and I think that is aiding us uh in increasing our uh margins uh for yan. So 37:02 37 minutes, 2 seconds um it is uh from that point of view we feel that we we need to have more control uh and more uh in-house uh uh 37:12 37 minutes, 12 seconds production levels for fiber. Um so the strategy is both on on the quality and the cost front. And then see 37:19 37 minutes, 19 seconds we are actually recycling plastic waste and recycling waste is is a very localized uh subject. So you can't really um uh work on cost with with 37:29 37 minutes, 29 seconds importing a lot of u raw materials for the polyester fiber. You have to work on localized uh waste that gets generated. 37:36 37 minutes, 36 seconds And I think that that anyways is enough uh waste that that we can collect uh locally to uh in our capacities. 37:47 37 minutes, 47 seconds Got it sir. I was asking more on the front of uh the quality control order removal on the raw our raw materials for manufacturing this yarn. How has the 37:56 37 minutes, 56 seconds spreads uh improved post that uh poor quality control order removal? Have we been able to get uh better pricing for 38:04 38 minutes, 4 seconds our raw materials versus what we were sourcing from Indian or Reliance? 38:11 38 minutes, 11 seconds See frankly we we hardly source anything from Reliance. So probably 5% of our polyester fiber actually comes from Reliance. So uh uh it has kind of not 38:20 38 minutes, 20 seconds made any kind of effect on uh on our um our raw material costs. 38:27 38 minutes, 27 seconds Right. And sir uh how much would be the capex for uh increasing the sourcing uh capacity and what would be the capex for 38:35 38 minutes, 35 seconds our renewable the 30 megawatt renewals that are in pipeline currently and additional that you plan on adding over the next four quarters. 38:46 38 minutes, 46 seconds See uh the capex in the renewal that we have already announced is roughly around 150 160 crores uh and then there are 38:54 38 minutes, 54 seconds some PP as well where we have some equity infusions so that is another 30 35 crores. So about 200 crores is something we've already committed on the 39:01 39 minutes, 1 second renewable uh side uh as far as any kind of new capex or uh further uh numbers 39:09 39 minutes, 9 seconds are concerned as I mentioned earlier we are still working on that. Uh so we are working on what kind of strategy we want to move forward. So it'll be a two-year 39:16 39 minutes, 16 seconds cycle um for uh for the new capex uh that we want to plan. Um so I don't 39:24 39 minutes, 24 seconds really have anything concrete to say on that today. Uh and but as and when we plan something we I we I will get back on that. 39:32 39 minutes, 32 seconds So just a final question prominent better for polyester yarn that is manufactured 39:39 39 minutes, 39 seconds through recycled PT uh versus like buying raw materials from outside and manufacturing it uh what would be the 39:48 39 minutes, 48 seconds gross margin difference between both of these. 39:53 39 minutes, 53 seconds So um is your question regarding that if we have our own in-house fiber uh versus buying fiber from outside and making 40:00 40 minutes yarns uh is is that the comparison you're asking for? Yeah. Yes sir. 40:09 40 minutes, 9 seconds I think um see I've not really made a comparison. I don't have that number on top of my mind. Uh is is it okay if I 40:16 40 minutes, 16 seconds can respond on that uh maybe uh later like if you uh thank you. Uh that was a man. Thank you so much and all the best. 40:25 40 minutes, 25 seconds Thank you. Welcome. 40:27 40 minutes, 27 seconds Thank you. Next question come from the line of Ankur Kumar from Alpha Capital. Please go ahead. 40:33 40 minutes, 33 seconds Uh hello sir. Thank you for taking my question and congrats for a great numbers. I wanted to understand as in 40:40 40 minutes, 40 seconds you said yan spreads are going up. So can you comment how much was were yan spreads in Q3 and how much in March and 40:48 40 minutes, 48 seconds how are they now? If you can please share. 40:52 40 minutes, 52 seconds No, so I uh I did not say young spells are going up. Uh I did mention that due to having our own uh in-house u control 41:01 41 minutes, 1 second over the raw materials, we've been able to increase our margins uh on the yarn side and that is why we want to have more uh capacity uh inhouse for our 41:10 41 minutes, 10 seconds fiber production. Um but you said due to war prices are have gone up and are going up. So what what 41:18 41 minutes, 18 seconds is this? So this is this is a very evolving situation right uh with with the war everyday crude there's a big moment on the crude oil prices uh and uh 41:27 41 minutes, 27 seconds so this is something that you have to actually u you know not uh take that into consideration that what the prices 41:34 41 minutes, 34 seconds are today right uh it is it is a dynamic scenario and we have to probably let it settle down more and see probably a month from now once once things are 41:43 41 minutes, 43 seconds under control that actually what kind of movement has happened on the cost front how much the price has been factored in how much we've been able to pass it on 41:50 41 minutes, 50 seconds to the customers what kind of impact that has happened on margins what I would say that as of now um 41:57 41 minutes, 57 seconds um if nothing changes uh the way it is um we've been able to uh pass on um uh a 42:06 42 minutes, 6 seconds significant portion of the costs uh on the prices and um we do feel that uh the effect of on the margins are minimal as 42:14 42 minutes, 14 seconds of now uh but it is a very dynamic scenario and uh we'll have to keep watching how this evolves. 42:21 42 minutes, 21 seconds But in terms of Q3 versus Q4, can you share how what how much were the difference in in Q4? I I would again I would say 42:30 42 minutes, 30 seconds that there is not a big impact of of the war on the prices in in Q4 itself because the war actually started uh uh end of February or the first week of 42:38 42 minutes, 38 seconds March and the prices movement actually started happening from the 10th or 15th of March on the upper side. So very little impact of anything on the pricing 42:45 42 minutes, 45 seconds trend has happened in uh in the last quarter. 42:52 42 minutes, 52 seconds Got it sir. And sir if crude stays somewhere near here uh do we expect some gains gains in in the Q1? 43:04 43 minutes, 4 seconds uh see again I would say see uh it's a dynamic scenario because uh inventory gains are one side of it that that there 43:11 43 minutes, 11 seconds are dies that we use there are chemicals that we use there is um export freight shipments domestic freight uh so 43:18 43 minutes, 18 seconds packaging materials costs are uh so everything now so today I think we are the strategy only is that uh you know plan for a week or plan for maximum of 43:27 43 minutes, 27 seconds fortnight and see how things are moving so very difficult to comment um and this is a very um very temporary and out of 43:36 43 minutes, 36 seconds control kind of a scenario right so uh we cannot really say that uh anything that um that Q1 will be better or uh 43:44 43 minutes, 44 seconds because of this right as far as operational efficiencies are concerned uh our own utilizations are concerned I can comment on that that we we are 43:52 43 minutes, 52 seconds getting better and uh without any external factors coming in I think operationally we we will be better 44:02 44 minutes, 2 seconds now if there are some one time uh gains or losses that come due to these crude uh prices being elevated. Uh difficult to comment now. 44:11 44 minutes, 11 seconds Sure sir. Thank you and all the rest. Right. 44:16 44 minutes, 16 seconds Thank you. Next question come from the line of Tamil Jani from you first capital. Please go ahead. 44:24 44 minutes, 24 seconds Thank you for the followup. uh what is uh our current order book uh and uh uh regarding the shipments you just 44:32 44 minutes, 32 seconds mentioned that uh how are the I mean the rate rates have gone up or insurance rates and I mean are we uh doing FOB 44:40 44 minutes, 40 seconds billing or this is CNF how it right so see as far as the order book is concerned so across uh our uh segments 44:49 44 minutes, 49 seconds and divisions um I would say that our order book is anywhere between 50 to 70 is so um we have a healthy order book uh 44:58 44 minutes, 58 seconds that is in place. Uh secondly, as far as the export shipments are concerned, um I think about majority at least 2/3 or 45:06 45 minutes, 6 seconds maybe even more of a export or or on uh FOB basis and um any new bookings 45:14 45 minutes, 14 seconds that we are doing today that are on on uh where the freight is born by us is actually factoring today's trade cost. 45:21 45 minutes, 21 seconds So maybe some orders some old orders we'll have to bear some u some losses on the trades uh but it is again not very significant and material. 45:31 45 minutes, 31 seconds Okay. And uh second question uh regarding the UK FDA uh you had mentioned in the presentation uh have 45:38 45 minutes, 38 seconds the benefits of this started flowing to us already or it is still in the pipeline. No I think this is still under process. uh 45:46 45 minutes, 46 seconds we do feel that this is going to be beneficial in general for the Indian Indian textile industry uh but I think 45:53 45 minutes, 53 seconds it is still uh the benefits will still take time. Okay, got it. Thank you so much. 46:05 46 minutes, 5 seconds Thank you. 46:08 46 minutes, 8 seconds Next question comes from the line of Vikram Tuger and individual investor. Please go ahead. 46:15 46 minutes, 15 seconds Good afternoon and congratulations for an excellent number. Thank you. Yeah. Yes, you are. 46:23 46 minutes, 23 seconds Okay. Uh sir, I uh have a couple of questions. So, I'll just quickly go through them. Is that you were saying you're going to invest in uh uh you know extra capacity. So, where would that go? 46:35 46 minutes, 35 seconds I mean garments you already have a lot of capacity. So, is it going to be in garments or you would probably think of value addition somewhere else? 46:46 46 minutes, 46 seconds See again uh I would say that uh any kind of capacity addition of new capex plans are still under discussion. Um I can tell you that the theme that we are 46:54 46 minutes, 54 seconds working on is uh is energy uh more having our own uh security on uh raw 47:02 47 minutes, 2 seconds materials and capacity additions. We will have some kind of capacity additions planned for um all the 47:09 47 minutes, 9 seconds segments except not not really garments because that we are still at 49%. So that is something that uh there is room 47:15 47 minutes, 15 seconds there. However, um garments uh for uh our denim business or uh the PE fabric 47:25 47 minutes, 25 seconds business there is some kind of thoughts on that that uh uh should we have uh should we uh try with smaller capacities 47:33 47 minutes, 33 seconds and and look at that. Uh so that is still under discussions. Uh apart from that the practically additions will will 47:40 47 minutes, 40 seconds come across all our segments but uh we are not looking at some big uh additions or green field projects maybe some kind 47:48 47 minutes, 48 seconds of additions in our existing uh plants wherever water is possible the evaluation is on so some concrete I will 47:55 47 minutes, 55 seconds come back on that sure sir I have another question regarding governments you have a lot of PLI in this government scheme but I don't see any other income 48:04 48 minutes, 4 seconds uh so your you were eligible for a government if you had incremental turnover and since you are going for incremental turnover do we see any kind 48:12 48 minutes, 12 seconds of PLI benefit coming in the next two years 2425 probably because incremental turnover was not there 48:20 48 minutes, 20 seconds uh that is not showing in your I'm not seeing it in the other income or 48:28 48 minutes, 28 seconds see um um actually getting the benefits of of the of the scheme that we are part of is 48:38 48 minutes, 38 seconds there there are some complications there. However, uh see we we are not really factoring in any benefits that may flow from that front. Uh if anything 48:47 48 minutes, 47 seconds comes in, it is great but uh our business model is based uh like we are not really considering uh PLI incentives 48:54 48 minutes, 54 seconds in any of our um uh daily workings or operations. So we we are we we want to in uh increase the utilization anyway uh 49:03 49 minutes, 3 seconds with or without PLA. So there will be growth there. Uh if any kind of benefit taken it is great otherwise there's no plan on that 49:11 49 minutes, 11 seconds and it is like a bonus that comes in but I'm just wondering because 2024 25 and your incremental capacity is going up so 49:18 49 minutes, 18 seconds probably you would be eligible right and if that is so how much would that be? 49:26 49 minutes, 26 seconds See I understand it won't come it might or might Yeah. Right. So but then if if anything like that comes we'll just consider as a 49:34 49 minutes, 34 seconds one time game right so uh let's not really uh put 300 cr rupees no no no nothing like that no 49:49 49 minutes, 49 seconds other thing that I wanted to understand is that um I'm into real estate so I saw a real estate development SAM India on 49:56 49 minutes, 56 seconds the Ajmir road in the next two years some project of 100 cr rupees uh he probably would have got the land is that in Sangum India or it is in some other 50:04 50 minutes, 4 seconds promoter entity no it is not it has got nothing to do with Sangum India that is a a separate uh entity altogether nothing to do with this business 50:12 50 minutes, 12 seconds okay okay your name as Sam India was mentioned there so I'm just wondering if there's any problem I would not say I don't think Sangam India would be mentioned maybe SAM there 50:20 50 minutes, 20 seconds will be some else no it is nothing to do with this company I I understand it just clarify no problem 50:26 50 minutes, 26 seconds yes uh so I have one more uh interesting that your inventory is not 80 days. I 50:33 50 minutes, 33 seconds mean like your inventory uh you are revolving money very fast. Where do you think is there any scope for further reduction there? 50:43 50 minutes, 43 seconds Uh see I think we've worked u a lot on reducing our inventory on the finance good side. Uh the reporting normally 50:51 50 minutes, 51 seconds happens with overall inventory. So we've we've kind of um ramped up inventory on the raw material side. finished good 50:58 50 minutes, 58 seconds inventories are uh I think at um at very controllable uh levels. So I don't see a 51:05 51 minutes, 5 seconds lot of uh inventory um numbers going down from here. There may be some work that can be further done on the data 51:12 51 minutes, 12 seconds side. Um I think our data numbers are still um elevated in terms of number of days compared to 2 years ago. So that is something that uh that would be a focus 51:21 51 minutes, 21 seconds area in the coming year. So we'll probably work on that number coming down. uh but um inventory side um I don't see a lot of downside there. 51:32 51 minutes, 32 seconds I think I get everything. So I I have just one more question is that if I were to ask you between energy savings and your government volume scale up and your 51:41 51 minutes, 41 seconds realization management uh which would you think will really be the earnings driver for 2027? 51:48 51 minutes, 48 seconds Uh the energy right energy is actually just plug and play. So as as in when plants get 51:55 51 minutes, 55 seconds commissioned that so the avatar starts flowing from day one. So that is something that is uh just you just have to say yes to the capex right. So that 52:03 52 minutes, 3 seconds is the easiest part. Everything else is something that we work for uh when we come to office every day. So uh both things are actually independent of each 52:11 52 minutes, 11 seconds other. I think I would imagine that uh we would uh have improvements on both sides. 52:16 52 minutes, 16 seconds Great. Thank you so much. Have a a great uh year ahead. Thank you so much. Thank you. Thank you. 52:24 52 minutes, 24 seconds Thank you. Our next question come from the line of Madur Rati from Counter Clicker Investment as follow-up question. Please go ahead. 52:32 52 minutes, 32 seconds Sir, thank you for the opportunity once again. Sir, what is the realization premium that we get on the uh yarns manufactured through recycled uh raw material? 52:45 52 minutes, 45 seconds Uh I know I would not say that there is any kind of a premium that comes on that. uh it is it is probably a good to have um ESG um initiative on that front. 52:55 52 minutes, 55 seconds So it helps you to sell better but uh no there is no premium on the pricing that you get because of that. See again um 53:02 53 minutes, 2 seconds see India domestically is a price sensitive market. So um it is hard to actually imagine that uh you would get 53:10 53 minutes, 10 seconds uh uh a premium for uh for any EG initiatives in the domestic market. uh probably there are some European markets 53:18 53 minutes, 18 seconds that would pay a premium for that but again the volumes there are not that high as as what we do domestically. 53:26 53 minutes, 26 seconds Got it. Got it. So that was thank you so much. Thank you. 53:35 53 minutes, 35 seconds Thank you. 53:40 53 minutes, 40 seconds And next question come from the line of Vikas Kadak and individual investor. Please go ahead. Uh hi uh thanks for the opportunity. 53:48 53 minutes, 48 seconds Uh I just wanted to ask like what percent of uh the company's revenue contribution comes from the cotton yan business and considering India is 53:57 53 minutes, 57 seconds spinning one of the cheapest cotton in the world uh has that uh contribution increased uh in this quarter and have we 54:06 54 minutes, 6 seconds also experienced a blend shift from polyester to cotton in uh overall scheme of things. Thank you. 54:16 54 minutes, 16 seconds So what percentage of our revenue comes from the cotton yarn? Um see about 50% of our revenue comes from the yarn 54:23 54 minutes, 23 seconds business and about okay I think we have a even mix of cotton and PV there. So you could I think it will be a number around 25% uh of the total 54:33 54 minutes, 33 seconds revenue comes from the cotton yarn business. uh I would say that as far as the shift between PV and cotton are concerned see they are two very distinct 54:40 54 minutes, 40 seconds markets and I think both are coexisting for a long period of time so uh I we don't really see it from that point actually that uh so we have both 54:48 54 minutes, 48 seconds products in our portfolio uh and we have teams that work on uh on selling products from both segments so uh no I I 54:55 54 minutes, 55 seconds would I would not read too much on to that that uh shift from TV or to cotton or or vice versa okay and uh just uh one Last question 55:04 55 minutes, 4 seconds from my end uh like what is the cotton uh inventory the company is carrying? I mean what is the coverage ratio uh if I 55:13 55 minutes, 13 seconds want raw per raw materials? Yeah. I mean how much cotton company? Yeah. 55:20 55 minutes, 20 seconds the in general I think what we are focusing right now is that because it uh there is uh a inflationary 55:28 55 minutes, 28 seconds uh move in um in prices and uh uh so we are not across all our divisions not just cotton we are uh we have more 55:37 55 minutes, 37 seconds coverage of raw material than the uh the finished go orders and land. So we are working on that strategy as of 55:45 55 minutes, 45 seconds now. But um see any but any of these calls are probably limited to 10 15 days or maximum 30 days uh additional um 55:53 55 minutes, 53 seconds inventory in hand. So we we don't really uh work too much on uh on gains from that front that uh stock um for a higher 56:02 56 minutes, 2 seconds number of days or taking calls on inventory because it can actually work both ways. So as of now uh because of the inflationary uh nature of prices 56:12 56 minutes, 12 seconds across all our divisions we are more covered on raw material than orders of finished goods in hand. 56:18 56 minutes, 18 seconds Okay. Okay. And uh how much of cotton is sold in forward contracts? I mean uh for 56:26 56 minutes, 26 seconds how many months if I want to ask one last question. 56:30 56 minutes, 30 seconds There are no forward contracts. uh it's just uh I would I would say that I think that the question you're trying to ask is uh the order book of for cotton yarn 56:39 56 minutes, 39 seconds is that right right right okay so uh order book again I mentioned earlier that across all our segments we have order book between 50 56:47 56 minutes, 47 seconds to 70 days so again cotton would be somewhere there okay okay yeah okay okay thanks thanks 56:55 56 minutes, 55 seconds thank you thank you question come from the line of Ainash Nhata from for Rami Financial Services. Please go ahead. 57:05 57 minutes, 5 seconds Yeah. Hi, am I audible? Yes, you are. 57:08 57 minutes, 8 seconds Okay. Uh can you specifically talk about uh from the start of the year till the end of the year and into the new financial year about uh spreads in 57:17 57 minutes, 17 seconds absolute both for uh synthetic as well as uh cotton cotton unspreads as well as for synthetic. 57:27 57 minutes, 27 seconds How uh where we were at the start of the year? how did we end and into the new fiscal adjusted for uh one-time gains if any? 57:39 57 minutes, 39 seconds uh so first and foremost I think uh we will say that from the start of the year or to now um see I don't have the the 57:47 57 minutes, 47 seconds specific uh answer to your question regarding the yarn spreads movement from quarter to quarter but I would say what we have done at the company level uh is 57:55 57 minutes, 55 seconds that from uh from Q1 to Q4 and or moving into the uh the new financial year uh 58:03 58 minutes, 3 seconds across um both cotton or PV side we've we are Um we are working on a on a product mix continuously that that is 58:11 58 minutes, 11 seconds yielding better contribution margins in the company. We are working on our uh uh bill of material costs for um all the 58:18 58 minutes, 18 seconds products that we make that can can we have any kind of alternate raw materials or cheaper alternatives to uh to improve 58:25 58 minutes, 25 seconds margins. Uh we have um improved our capacity utilizations operations are are more efficient uh 58:34 58 minutes, 34 seconds across uh divisions. So I would probably talk more on that. Uh and uh I as far as any kind of movement in yarn spreads are 58:42 58 minutes, 42 seconds concerned or one-time inventory gains I've I've mentioned that earlier as well on the call that uh no there are no onetime inventory gains uh in the last 58:50 58 minutes, 50 seconds quarter. So um the margin improvement is due to better capacity license and and operational efficiencies. 59:00 59 minutes Yeah, directionally I understand. But if you can talk about specific numbers on a per kg basis I don't have that handy now. I'm sorry. 59:10 59 minutes, 10 seconds Thanks a lot and all the very best. Thank you. 59:14 59 minutes, 14 seconds Thank you ladies and gentlemen due to the time constant that was the last question for today. I would like to hand the conference over to Mr. Anurag Sunni 59:22 59 minutes, 22 seconds for the closing remarks. Thank you and over to you sir. 59:28 59 minutes, 28 seconds Well, um I thank everyone for joining the call today. Um and I hope I've been able to 59:36 59 minutes, 36 seconds answer uh all questions to your satisfaction. Thank you again for your time. Um thank you. Thank you so much 59:43 59 minutes, 43 seconds sir. Ladies and gentlemen, on behalf of Go India Advisor, that concludes this conference. Thank you for joining us and you may now disconnect your lines.