Ladies and gentlemen, good day and welcome to the Birla Corporation Q4 and FY 2024 earnings conference call hosted by HDFC Securities Limited. As a reminder, all participants' line will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Rajesh Kumar Ravi. Thank you, and over to you, sir.
Thanks, Susan. Good afternoon, everyone. On behalf of HDFC Securities, I welcome you all on this call to discuss Birla Corp's financial results for the quarter and year ended March 2024. From the management side, we have Mr. Sandip Ghose, MD and CEO, and Mr. Aditya Saraogi, Group CFO. Before I hand over the conference to the management, I would like to remind you that certain statements made during the course of this call may not be based on historical information or fact and may be forward-looking statements. These statements are based on expectations and projections and may involve a number of risks and uncertainties such that the actual outcome may differ materially from those described by such statements. Thank you, and over to you, Sandip.
Good afternoon, and thank you very much for taking time out to join. I find there is 137 participants. That's extremely flattering for us, and we know some of the conference timing clashed with your lunch break. So that you could take time off is something we really appreciate and grateful for. I'm Sandip Ghose, Managing Director and CEO of Birla Corporation. With me, as mentioned, I have our Group CFO, Mr. Aditya Saraogi. I also have Mr. Rajat Prusty, who is our Chief of Manufacturing and Projects. I have Mr. Kalidas Pramanik, who is our Chief Marketing Officer. I also have Mr. Arun Agarwal, who is our Group Controller and CFO of Reliance Cement Company Private Limited, RCCPL to be precise.
I will keep my introductory remarks short because you already have seen our press release, and our press release is fairly detailed, and in a way, it is probably more elaborate than what many of our peers issue. So most of the facts from our side, whatever I would verbalize are already covered there. So I wouldn't go through it again and save you the repetition. Notably, this is the first full year of operation under the new executive team, E-team of the company, which came in place beginning of 2023. I know many of you had, in private, some apprehensions, reservations or skepticism about the change of top leadership. But I suppose the results bear out the value which has been brought in by all my colleagues. In particular Mr. Prusty, as I mentioned, he's the Chief of Manufacturing, Operations, and Projects.
Mr. Kalidas Pramanik, who is our Group Marketing Officer, sales, logistics, and marketing. Of course, our entire commercial and support team, led by Mr. Aditya Saraogi, Arun Agarwal, and everybody else. This is to a large extent a satisfying year for us because we had embarked not only with a new team but with a new strategy, which is a 360-degree strategy encompassing not just one area of operation. We tackled both the harder and softer aspects. There was a lot of initiatives taken even in the HR area and other business processes and the planning processes of the company. We believe that the pieces are falling together and coming together. That is reflected in the results.
Of course, the hero of the year is Mukutban operation, where again when we started 2023 or we started this fiscal year there was a lot of apprehensions, stress, a lot of nervousness by many of you in terms of our ability to scale it up, ramp it up, and more importantly, also make it viable and profitable. I hope we've allayed some of those concerns and been able to deliver quarter on quarter on our projections and finally going ahead of the guidance which we had issued for the last quarter and which should have been pleasant news for all of you.
I will stop here and I will let my colleagues add a couple of points if they have to, and then we will open it up for question and answers so that you have much larger time to discuss issues that may have been left out in our press release and which may be in your mind. Thank you. Aditya, would you like to-
Yes. Just a couple of information which is probably not in public domain. One, our net debt as of March 31, 2024 was INR 3,003 crores. Our fuel cost in Q4 was INR 1.56 per million kcal . Over to you, Mr. Sandip.
How much is the debt reduction therefore, Aditya Saraogi, would you like to indicate?
About INR 600 crores, something close.
There is a INR 600 crores debt reduction. I think that is being also-
More than what we had guided for.
Yeah, we had guided. That was, I think, again, an area of interest for all of you. INR 600 crore reduction is something we request you to take note of, as well as the power cost of INR 1.56, which is, again, probably ahead of the guidance which we had given. Rajat.
Good afternoon to all. I am Rajat here. As rightly said by MD sir, we are continuously working on manufacturing excellence and starting from safety and operation reliability, maintenance reliability. That has helped us a lot to improve our capacity utilizations and reliability of the plant. Further, the journey on the projects, the small projects and the projects on the Shikhar projects, also manufacturing excellence projects, that has also helped us to contain our cost and identify the areas of improvement for which the team is working. Going forward, we will continue to put our best efforts to see that how the safety and the manufacturing excellence will continue to ensure that our capacity utilization, including the projects, whatever we have planned, that will be implemented.
Kali?
Yeah, good afternoon. This is Kalidas Pramanik. If we look at quarter four, all of us we know that there was a challenge in terms of realization in the marketplace. As well as the secondary demand was little bit muted, but our efforts in terms of pure focus towards the Mukutban that helped us in terms of realizing the volume. As well as if you look at our realization with respect to industry, more or less we are better off, particularly the project we have taken in terms of the Unnati, where our main focus was how we can reduce our cost, how we can contain our leak, that is the leak management in terms of from logistic point of view. As well as we have seen that how we have sold our premium products.
Basically, these are the few areas where we worked hard and we are able to realize better. Also, if you look at the overall growth in quarter four as well as in the entire year if you look at, we have grown 12%. While we have grown at 12%, the major growth came from Mukutban. Other than Mukutban growth, we have almost 100% capacity utilization and the growth came somewhere at 5%. So overall, our strategic approach in terms of our MD sir's philosophy in terms of four V's and objectives with OKR, that helps us in terms of achieving our sorts of performance.
Thank you very much. Arun, you want to say something?
No.
I think we will go ahead with the questions and answers. Rajesh, you can probably initiate.
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star then one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star then two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is on the line of Aman Agrawal from Equirus Securities. Please go ahead.
Yeah. Thank you for the opportunity, sir, and many congratulations on strong sets, especially on the profitability side. Just to understand this better, sir, if you can share certain numbers around Mukutban, especially the volumes that you have done from Mukutban, the amount that you sold in after market itself, and incentives that you have booked from Mukutban.
We have done volume of 6.6 lakh tons in this quarter out of Mukutban, and we have not booked any incentive in Mukutban. We had envisaged that we will be able to book some incentive, but we are yet to get the registration certificate from the state government. Because of that, we have not been able to book any incentive from Mukutban in this quarter. From next year definitely, in this financial year definitely we will start booking incentives.
Okay, sir.
Actually Maharashtra is about 65%.
65%. Understood, sir. Sir, second that we have noted, despite strong performance, there has been an apparent dip in your trade sales, premium sales as well as blended sales on a percentage basis on a year-over-year basis. Is this something that the entire industry has maybe went through or does it have something specifically to do with the ramp-up of Mukutban plant? Just wanted to understand on this, sir.
Can you just repeat on the, what did you say about the percentage bit?
Sir, while the absolute volumes for all three parameters, trade sales, blended sales, and the premium sales, while the absolute figures have grown, but on the percentage terms as a share of overall volumes, there is an apparent dip on the year-over-year basis. Just wanted to understand, is this something that the industry in general has seen a dip in sales of non-trade or is this something that Mukutban has faced specifically?
First of all, let Mr. Kalidas Pramanik answer this. First of all, I don't see how when our total volume has grown, how any of these things, individual parameters would have fallen. Certainly in our premium sales, which is really a function of the trade sales, we have had a growth from 51% to 54% in terms of percentage growth. It will get reflected commensurately also in the volume. Trade channel, there has been a marginal drop, and that drop is essentially in relation to how the markets have behaved during this period. Particularly in the last few quarters when the trade was impaired and there was a greater traction in the infrastructure sector. So there has been from our traditional, when we looked at our traditional mix which we used to have, which is closer to 80% in terms of trade sales, there has been a drop.
Of course, there is a contribution of that in Mukutban as well. But that is as per the trend, but we still remain. Our trade sales shares remain far higher than the industry average is what is my impression. Kali, you want to add?
No. Mostly you have covered the entire two points. Actually, in the quarter four, if you look at the entire industry, the demand mostly came from the infra and commercial segments. When the demand mostly in the infra and commercial segment, that segment growth, entire industry has grown. Simultaneously, with respect to us also, we have grown in that segment. The growth we have in the trade, we have grown in the quarter four, 2% in the trade. So overall, if you look at the premium sale against the percentage of the total trade sale, we have in the quarter four, almost 1% and the year almost 3% we have grown. In absolute volume also grown, but percentage-wise, if you look at the overall sale versus just little, there is a less mark.
Understood, sir. Lastly, last question, if I may. Just wanted to understand the lead distance overall and for the Mukutban plant.
The lead distance of entire company, if you look at in the quarter four-
349.
349, yes. So 349, that is rail and road combined together. If I look at other than Mukutban, it is coming around 337.
420. Mukutban is 420 is the lead.
Understood, sir. Thank you, sir. I will keep checking to you, sir.
I will only now request, we have answered the first question. We have tried to answer all the questions. So request participants now to repeat the questions and restrict your question to one question only, because that will give others, because we have a long queue and we are now total participants have gone up to 179 is what I notice, and it give others an opportunity to ask questions. So people who are ahead of the queue should not take up disproportionate time is what my submission would be. Thank you.
Thank you, sir. The next question is from the line of Shravan Shah from Dolat Capital. Please go ahead.
Thank you, and congratulations on great set of numbers. Sir, my question is, what is the guidance on the profitability for EBITDA per ton for FY 2025 and also in terms of the total volume growth, if possible, how much are we looking at from the Mukutban in FY 2025?
In terms of volume, we are expecting an 8%-10% growth. In EBITDA per ton also, we are expecting an 8%-10% growth next financial year. In Mukutban, we are expecting to have a volume of about 2.7 million tons.
Sir, this 8%-10% EBITDA per ton growth is from Q4 or FY 2024?
FY 2024. It is INR 808 crores of EBITDA .
Okay. Thank you, sir.
Thank you. The next question is from the line of Saket Kapoor from Kapoor Company. Please go ahead.
Namaskar, sir, and thank you for the opportunity. Sir, you mentioned our net debt at INR 3,003 crores. What are the current year's maturity? For the tax advantage for Mukutban, we will be resetting the collection from the next year. So for this year volume, there will be no tax advantage and it will be retrospective or prospective only that will get the thing?
Our current year's maturity is about INR 520 crore. What is your second question?
Second question was on the tax advantage for Mukutban, which you mentioned that due to registration issue. We will be getting that advantage for last previous year volume also, last year volume also or will it be prospective?
That we are not very clear. Only once we get the registration certificate, we will be able to comment. Maybe by the end, next quarter con call, we will have the answer to that.
Okay. I will join the queue, sir. Thank you.
Thank you. The next question is from the line of Vipulkumar Anopchand Shah from Sumangal Investment. Please go ahead.
Hi, thank you, and congratulations for a very good set of numbers. Any guidance for yearly incentives for Mukutban plant, sir?
The overall incentive next year will be around INR 100 crores. INR 110 crores including other plants.
Including of all plants, right?
Yeah, all plants, INR 110 crores against around INR 160 crores what we have accrued in 2024.
When we talk of all plants, as you would know, our Kundanganj incentives have ended.
Yes.
There are other smaller incentives in Rajasthan-
Yeah.
in Raebareli, et cetera.
Yeah.
Those things taken together, the bulk will of course come from Mukutban.
Okay.
Thank you, sir.
Thank you. Next question is from the line of Amit Murarka from Axis Capital. Please go ahead.
Yeah. Hi. Thanks for the opportunity. So on Mukutban, I did not get the number. You said the guidance for FY 2025 will be about 2.7 million tons.
Correct.
2.8 million tons, okay. And what was the exit that you did in FY 2024?
2.5 million tons. The last one in March.
2.5 million. Yeah.
Right. Also, would you be able to provide the split between Maharashtra and non-Maharashtra sales in this number?
About 65% of sales are within Maharashtra.
We have said that earlier, 65%.
Sure. Also, I was just wondering, if you were to do 2.8 million ton volume, with the split in product sales in Maharashtra, shouldn't the incentives, wouldn't it be higher than INR 110 crores in that case?
First of all, we said 2.7, not 2.8. For the sake of accuracy, let us record that. Incentive percentages depend on various functions, including pricing and our final split of trade, non-trade, and various other things-
Within Maharashtra and input like various factors.
Factors.
That is the number we have.
That is the number we have taken, as per our
Estimates
realistic estimates.
14% state GST that you accrue , right?
Yeah, but that's based on actual end selling price. End selling price differs between trade and non-trade. It also differs between areas, so there are various assumptions which come in. We have taken all those assumptions and come to what in our view is a realistic estimate, and that is what we can predict. All these things have been built into our guidance of about 8% increase, 8%-10% increase in our EBITDA per ton.
Thanks a lot. I'll come back in the queue later.
Thank you. The next question is from the line of Kamlesh Jain from Lotus Asset Managers. Please go ahead.
Yeah. Thanks for the opportunity, sir. Just one question on the incentives part. So how much we had recognized in FY 2024 and actually guidance you have provided in FY 2025?
We just said we have not recognized anything from Mukutban.
Total incentive we have recognized is around INR 160 crores in FY 2024.
Okay.
Okay. We have not recognized any incentive out of Mukutban in FY 2024.
FY 2025 guidance includes Mukutban or-
Yeah, Mukutban. Including Mukutban, we have guided for about INR 110 crores.
Okay.
As we said earlier, you probably didn't pay attention, our Kundanganj incentive has ended really on March 31st. Kundanganj won't come. This INR 160 crores this year, a bulk of it has come from Kundanganj. Next year, the bulk will come from Mukutban, on which we've already stated our estimates.
Great. Secondly, sir, on the expansion side. With the grinding unit which we have announced, is this the only expansion we are looking at or are there any expansion initiatives which we are pursuing?
First of all, I would request you again to keep your questions to only one question because others don't get a chance. But since you have already asked it, we have stated that our clinker capacity expansion is not going to come just now. There's no plan for clinker capacity, and we have announced our grinding unit plans that will happen in the course which is indicated. Thank you.
Thank you.
Thank you. The next question is from the line of Mohit Jain from Tara Capital Partners. Please go ahead.
Hello.
Yes, sir, you are audible.
Thanks for giving me the opportunity. I just wanted to have your view there. How is the competition in the cement market panning out in the capacity you have some more you can give? In that light, how is it going on?
Competition coming up would be the issue if the capacity is or the supplies are in excess of what is the expansion in the market. Last year, we did not face any such intense competition. Competitive scenario was there in terms of what you might call any kind of intensive fight for market shares. This year it's too early to predict. It all depends on how the growth happens in the next two quarters especially. The capacities having come up, we have to wait and watch what is going to be the behavior of all players, whether they still go for volume at the cost of price or they would behave more rationally.
Mm-hmm. Is it fair to say that we will see any kind of a segment to our volume guidance if the competition increases? How will you look at it then?
We do not expect it because we are practically sold out or more than sold out in those areas. We have got a very strong brand presence as well as a channel presence. As we have in the past indicated, we are the only company which operates at both ends of the market. We have a premium product market and a popular, or what you call the value segment, with almost equal presence in both. This is one of our strongest positions because very few channel partners can offer both the products from the same company. These areas, especially in the central market, when you're talking about Central U.P., East U.P., I think we are in a fairly strong competitive position.
Since we do not have any anxiety to sell more volumes, and given our strengths of our brands, our quality parameters, our location of our plants in the regions, just as we have done this year, we expect to hold our position.
Thank you. Next question is from the line of Aman Agrawal from Equirus Securities. Please go ahead.
Yes, sir. I just wanted to confirm on the timelines for upcoming coal mines, Bikram Coal Mine and Marki Barka. You told Bikram by 2025 and Marki Barka by 2026. Timelines remain intact, sir?
See, Bikram we are expecting into Q4 of FY 2025, and Marki Barka we are expecting in FY 2026, 2027.
2026, 2027. Understood. That's it from my side.
Thank you. The next question is from the line of Pathanjali Srinivasan from Sundaram Mutual Fund. Please go ahead.
Firstly, congrats on a good set of numbers. I have couple of questions. One is on prices. We seem to have had really good control during this quarter where peers have all cut prices very sharply. Could you give me an understanding of whether it was a geographic mix or it was more pricing discipline from our end which helped in doing this?
I think Mr. Pramanik has said this in his preamble, at opening remarks. Our strategy is very clear. We do not have, in these markets, any anxiety for volumes because our capacity utilization is 100% in the key markets, which are our core markets of Central India. Our focus has been on premium products, and we have continued to make investments in the premium product brands strengthening and which will continue even in future. Our focus has been on that, and therefore, we have not diluted our price positioning at all. Coupled with that, as you mentioned, we have taken under this project, Unnati, several measures, including, one is lead reduction. Secondly, is selling more in higher realization markets. That is how we have been able to keep our realization higher than maybe some of our peers.
That is the strategy, and probably we would like to continue on that and improve upon that strategy. Obviously we cannot be totally insulated with market movement. If the market prices come down, we will also be affected. That goes without saying.
Sure, sir. Sir, just one last question. Can you just tell me what your CapEx guidance would be for 2025 and 2026?
INR 800 crores in FY 2024, 2025. Not 2025, 2026. For 2024, 2025, it is INR 800 crores. Around INR 800 crores.
Okay, sir. For 2026, you have a number?
No. We don't have a number for 2026 at this juncture.
Sure, sir. Thank you, sir.
Thank you. Next question is from the line of Viraj Mahadevia from MoneyGrow. Please go ahead.
Hi, sir. Congratulations. Fantastic numbers. You have shown a meaningful uptick in the EBITDA margins through a combination of what you suggested was probably not making massive price cuts as well as the cost-saving measures to 18% in Q4. Can you guide us towards a potential EBITDA margin range for FY 2025?
We have already said that. For ton, we are at the moment budgeting for about 8%-10% increase in the EBITDA per ton. That is what we can say from our outlook of next year, which has been elaborated in our press release. Unless we have any further visibility, this is what we would like to stick with, 8%-10%. Okay, thank you.
Thank you. The next question is from the line of Vipul kumar Anopchand Shah from Sumangal Investment. Please go ahead.
Yeah, all of my questions have been answered. Thank you.
Thank you, sir. The next question is from the line of Saket Kapoor from Kapoor Company. Please go ahead.
Yeah. Ravi, you mentioned INR 800 crore CapEx for the current financial year, 2024/2025. Where will the money be spent for and what will be the capacity augmentation? Our net debt numbers will remain flat for this year even with the current maturities because, the EBITDA adjusted number with the current maturity and the CapEx works out to flat-ish numbers.
See, out of this INR 800 crores, we are planning to spend about INR 400 crores on sustaining CapEx, about INR 200 crores on development of coal mines and another INR 200 crores on Kundanganj Line 3. As regards the net debt number, we expect to close that number below INR 3,000 crores by the end of next year.
INR 3,003 crores is close to INR 3,000 crores only. Money-
Below that. That is all I can say.
Right, sir. Again, join, sir. One more question is there.
Saket, you are monopolizing. You are being the closest to Kolkata to our office.
Yes, sir.
We cannot give you undue advantage.
No, sir. I will join the queue, sir. I will join the queue. Not at all, sir. No, not at all. Rules of the game.
Thank you. Next question is from the line of Girija Rai from Asit C. Mehta Financial Services Limited. Please go ahead.
Thank you for this opportunity and congratulations on good set of numbers. My first question is with regards to premium segment. Just wanted to check our premium segment prices are like last quarter, INR 2 - INR 3 more than other players. Are we going to see any kind of threat when other players are coming up with premium segments? What is the price right now for the premium segment, sir?
Price for premium segment would vary from market to market and it will vary from period to period. Therefore, we can't talk of a single pricing. Other people coming into premium segment, they would come in if the premium segment is growing. They don't really cannot come in to cannibalize somebody else's premium product per se. So we don't see that as a problem for us. With all the brand investments, I don't know how much you've been following this company's brand strategy. Right from the time of 2016, when we acquired Reliance, initially, again, a lot of people apprehended that whether we will be able to maintain the price premium of the Reliance brand or whether that will get pulled down to our legacy brands, which used to operate primarily in the popular segment.
But I think what we achieved significantly at that point in time, and I was in the company then, some of you would recall as CEO and CMO, we were one of the first companies to adopt a brand architecture. In that brand architecture, we had our flagship brand, Perfect Plus, and that cut across all the geographies where we were operating. We have consistently gone on and investing in that brand, and we are seeing clear dividends on that. A best example of that is when we entered Mukutban, where we were a totally new kid on the block. For us, it was a virgin territory. We didn't know. Practically from day one, we are selling 40% as premium volume. As Perfect Plus, where we found immediate acceptance of the brand. That shows the brand equity which has been created over the years.
In the core market of U.P. and Eastern, Central U.P., I am happy to state, and some of you can verify this through your own market checks. Today, our Perfect Plus sells at a premium over some of our very well-entrenched and large competitors. It is clearly established that we are selling higher than that. As I mentioned, we will continue to invest on it. Those of you who follow cricket on television or even today following the political news on television for the elections, you will see the kind of visibility this brand has got there. This is part of strategy. That is how we have been going. Whereas our regional brands or what we call our regional champions, which are the heritage brands, we have separate strategy for that. Samrat is a very big brand in Central India in the popular segment.
It has got very clear clientele, customer segment where it goes. Similarly, we have Chetak in Rajasthan, which is a heritage brand with a long history, which we support there. Those brands are supported. We have been one company which has now for much before others have entered, tried this kind of brand architecture. We have been operating in this, and that is why I said we are a few companies which can make offerings in both the segments. When you look at our dealers, especially in our core market, whereas the figures indicate our premium brand sells over 50% and almost equal quantity is sold in the popular brand, our channel is on the few channels which can offer the customer both the brands from the same counter.
Therefore, that has played, and if you were to compare with many of our peer group, which you are quoting, it is not for me to say the numbers. Even some large companies are talking about 10%-12% in the premium category, whereas we, as we said, we are operating already at 54%-57% in our principal markets.
Yes, sir. Great. That is quite helpful. Second question was with regards to freight cost. I can see there is a decline on freight cost, 3% on quarter-on-quarter, which is because we have sold, I think we are tapping the Gujarat market from Mukutban as well. Any further kind of reduction in or what kind of strategy are we using to see a respite on freight cost?
We look at the net realization. If you see a Mukutban situation, obviously there we will have to now spread ourselves further. You may not get a freight cost reduction in Mukutban. Whereas in the markets where we are saturated, there we try to see how we optimize on our freight costs further to increase our realization. It's a combination of those factors. We don't look at this thing in isolation. We look at from market to market. We look at where is the scope for optimization with road versus rail. But even when we look at road, we try to see where we can do direct dispatches from factory instead of routing them through the godowns out there. That is a continuous optimization process which goes on. But it's a market-to-market status.
This distance per se or just the number of freight costs doesn't make absolute sense because we have to finally look at what is our net NODT realization.
Thank you. If I may allow for the last question. If I see from past 12 quarters, there is a price decline, more price impact in central region. Rest of the regions like western regions and northern regions and eastern regions, prices are quite good and stable, I can say. But central region prices are quite down. Are you seeing any kind of price change in India from any price stabilization in central region?
Why would you say central region prices are down? It's all a matter of averaging from quarter to quarter, which has happened in different areas. You see, Maharashtra was quite depressed for the better part of last year. North picked up at the point in time when there are some slippages. This has been going on, and I think as I kept saying in previous conversations, that I think the overall last year's price movement was quite in line with expectation or what has been the predictions at the beginning of the year. At the beginning of the year, all of you who are the analysts as well as firms like CRISIL and everybody had predicted just about 1% growth in pricing throughout the year. Basically, a flattish pricing scenario for all India.
Whereas we had talked about a high single digit between 8%-10% growth in volumes, that is precisely how it played out last year. This year is different, and you will have to see from quarter to quarter because there are several factors, as we have indicated in our own press release. This quarter is affected by elections, extreme heat in most of the country. Once the elections and everything is over, it will probably take a little while for the economic condition to stabilize. Then we have to see how the monsoons play out in the next quarter. So it is a bit early for anybody to predict how the demand scenario will go, and therefore, consequently, how the price scenario will go.
Looking at last year, I do not see a great cause for disappointment except for the last quarter where it was unexpectedly soft, because every time, traditionally in the last quarter, prices used to go up in the cement industry. So is to demand. This is one aberration of a year when in the last quarter you actually saw a decline.
Yes, sir. Thank you very much, sir. Thank you very much.
Thank you. The next question is from the line of Tushar, who is an individual investor. Please go ahead.
Hi. Thank you for the opportunity. The question is, how much savings are possible from the Bikram Coal Mine that are to be commissioned in Q2 FY, sorry, Q4 FY 2025??
This year, we won't annualize much saving because it will just be a ramp-up phase. The saving will start accruing from next financial year.
Okay.
Ladies and gentlemen, we will take this as the last question. I would now like to hand the conference over to Mr. Rajesh Kumar Ravi. Please go ahead.
Yeah. Thanks everyone for joining in the call. If there are any closing remarks from the management, after that we will close the call. Over to you, sir.
I would just like to thank all of you, for joining and for the support and understanding which you have extended to us over the last entire year. It has been very meaningful conversations whenever we have either met in person or spoken in these sort of calls. We will continue to count on your good wishes and goodwill and understanding. I hope, we never used to interact earlier, as you know. It is only last year we started the conference call process, as well as having investor roadshows, et cetera. For us, it has been a great learning experience, very meaningful experience. I hope it has been mutually rewarding, and wish you all the very best for the new financial year. Please take care of yourselves in the heat, in this weather. It is excruciatingly hot where you are.
Thank you very much. Hope to see you in about three months' time.
On behalf of HDFC Securities Limited, this concludes this conference. Thank you for joining us. You may now disconnect your lines.