Q1 26/27

Aug 12, 2026

Summary

Q1 FY27 delivered record revenue of INR 1,719 crore and a record US$950 million backlog. FY27 guidance anticipates continued growth, with H2 conversion and execution of large hyperscale projects central to delivery.

Ladies and gentlemen, good day and welcome to the Q1 FY 2027 earnings conference call of Black Box Limited. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions, and expectations of the company as on the date of this call. These statements do not guarantee the future performance of the company and may involve risks and uncertainties that are difficult to predict. As a reminder, all participant lines 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 this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Sanjeev Verma, Whole Time Director and CEO of Black Box Limited. Thank you. Over to you, sir. Good morning, everyone, and thank you for joining us today. On behalf of Black Box Limited, I extend a warm welcome to all of you to our Q1 FY 2027 earnings conference call. I will begin by sharing an overview of our business performance, the evolving industry landscape, and the strategic progress we have made during the quarter. After which, our CFO, Mr. Deepak Bansal, will take you through the financial highlights in greater detail. A couple of months ago, during our Capital Markets Day, we shared an important milestone in Black Box's journey. We spoke about how the transformation that we embarked upon over the last several years had largely been completed, and that the next phase of our journey would be centered around growth, scale, and disciplined execution. As I reflect on the first quarter of FY 2027, I am pleased to say that we have made a strong start on both fronts, financially and operationally, reinforcing our confidence in the road ahead. Financially, we have delivered our highest-ever quarterly revenue, supported by improved execution of the rising order backlog and the contribution from our recently acquired Brazilian entity, 2S. The quarter also saw our order bookings of US$339 million, taking our order backlog to a record ever of approximately US$950 million, up 83% year-on-year, and providing strong visibility for future growth. Equally important, we made significant operational progress during the quarter, adding a new global hyperscaler in the U.S. through a US$131 million, about INR 1,240 crore order, while continuing to deepen our relationship with our existing hyperscalers. These wins are a strong validation of the capabilities and scale we have built. I'm proud to say that Black Box is the only India-origin digital infrastructure solutions company currently executing gigawatt scale data center programs, demonstrating the scale of capabilities it has built to participate in accelerating global AI infrastructure build-out. To understand in detail why we are increasingly confident about our long-term outlook, it is also useful to step back and look at the broader technology landscape, because what we are witnessing today is far bigger than a normal technology cycle. We are in the midst of one of the largest digital infrastructure investment cycles in history. This is not a short-term trend driven by single technology. Rather, it's a structural transformation powered by artificial intelligence, cloud computing, networking, cybersecurity, and next-generation digital infrastructure that is expected to reshape industries and economies over the coming decade. Industry estimates continue to move higher. According to Gartner's article published in July, global enterprise technology spending is expected to exceed $6.4 trillion, up 14.2% year-on-year, including $822 billion on data center systems alone, a whopping increase of 62.5% year-on-year. At the same time, leading hyperscalers, including Google, have increased its budget to $190 billion-$205 billion for FY 2026 in its current earnings released in July, double from last year, and so have other large players followed suit. Within this landscape, Black Box participates across nearly $250 billion-$300 billion of addressable opportunities spanning data centers, enterprise networking, connectivity infrastructure, cybersecurity, managed services, digital workplace solutions. Importantly, a majority of this spending is occurring in markets where we already have strong positions, particularly in the U.S., where nearly 60%-70% of spending is targeted. What makes this investment cycle particularly compelling is the convergence of multiple long-term technology trends. AI workloads are driving unprecedented demand for compute capacity. Enterprise networks are being modernized through high-speed connectivity, edge computing, private 5G, Wi-Fi 7. At the same time, cybersecurity is becoming increasingly mission-critical as organizations strengthen digital resilience. These trends are creating sustained demand across the very capabilities that Black Box has been building over many years. Today, Black Box participates across a sizable addressable market spanning data center, enterprise networking, connected buildings, cybersecurity, managed services, and digital workplace solutions. More importantly, a significant portion of this investment is taking place in markets where we already have deep customer relationships, particularly in the U.S., where we continue to maintain a strong presence. However, the size of the opportunity alone is not enough. Success in this market increasingly depends on the ability to execute at scale. As hyperscale projects become larger and more complex, customers increasingly prioritize execution capability, scale experience, and the ability to mobilize skilled resources quickly across multiple locations. Winning these engagements is no longer simply about offering at the lowest price. It is about demonstrating consistent execution on mission-critical infrastructure. This is precisely where Black Box enjoys a meaningful competing advantage. Over the past several years, we have deliberately invested in strengthening our execution capabilities, expanding our leadership team, and building a global delivery platform that can support large-scale infrastructure programs. We continue to hire and train talent at scale with plans to onboard nearly 2,000 professionals, ensuring that we have the resources required to support our customers' long-term growth plans. These investments create significant barriers to entry and position us favorably as customers increasingly consolidate spending with trusted partners capable of delivering at scale. Equally important is the strength of the customer relationships we have built over the years. We work with leading hyperscalers, Fortune 500 enterprises, financial institutions, healthcare organizations, manufacturers, global technology companies across more than 35 countries. Over the years, we have built and become deeply embedded within many of their mission-critical environments, and we believe this trust creates significant opportunity to expand wallet share as customers increase investments in AI-led infrastructure. Alongside centering customer relationships, we have also continued to improve the quality of our own business. Over the past few quarters, we have consciously rationalized several low-value, long-tail customer accounts while increasing our focus on larger strategic enterprise. This approach significantly improves the quality, visibility, and profitability of our revenue base over the long term. Our objective is clear: go deeper with strategic customers rather than simply becoming broader across smaller accounts. The strategy is already translating into increasing business momentum, particularly in one of our most important growth areas. The momentum in our data center business continues to remain particularly encouraging. We continue to see healthy customer demand across AI campuses, hyperscale infrastructure, enterprise modernization, networking, and managed services. Encouragingly, supply chain conditions have also improved over the last quarter, particularly across cables and fiber, supporting faster project execution and a stronger pace of backlog conversion going forward. Taken together, these developments reinforce our confidence in the long-term roadmap that we have shared during our Capital Markets Day. As we highlighted during our Capital Markets Day, our aspiration is to build Black Box into an INR 18,000 crore or $2 billion revenue company by FY 2030. Around INR 12,000 crores of this growth is expected to come organically, supported by strong execution, conversion of a robust order backlog, sustained demand for AI-led digital infrastructure, deeper engagement with strategic customers, and improved project execution. The balance INR 6,000 crores is expected to come through inorganic growth, leveraging our proven M&A engine, successful integration track record, and a healthy acquisition pipeline. The recently completed Brazil acquisition, which adds approximately $50 million in annual revenue, represents another meaningful step towards this objective. This ambition is supported by four growth pillars: hyperscale digital infrastructure, GSI Americas, growth across India and rest of the world markets, and evolution of our technology product solutions business towards recurring and platform-led revenues. These pillars are reinforced by a strong execution excellence. Overall, the first quarter has further strengthened our conviction that we are well-positioned to execute on this roadmap. We believe FY 2027 is not the beginning of our journey, it is the beginning of the scaling phase of our journey. We enter this year with a stronger business, a healthier balance sheet, expanding customer relationships, and multiple long-term growth drivers working in our favor. With that, let me now hand over the call to Deepak, who will take you through the financial performance in greater detail. Thank you. Thank you, Sanjeev, and good morning, everyone. Sanjeev has shared our strategic progress and the strong industry fundamentals supporting our business and the tailwind we have right now. Let me now take you through our financial performance for the first quarter, the operational progress we continue to make, and our outlook for the year ahead. Over the last three years, our focus has been on building a business that can scale profitably and sustainably. Our transformation has centered around five priorities: strengthening the balance sheet, improving profitability, disciplined capital allocation, simplifying operations, and building a scalable operating model. Today, the quality of our business is fundamentally stronger, providing us with a solid platform to capitalize on the opportunities ahead. A key outcome of this transformation has been the improvement in our customer portfolio. As Sanjeev highlighted, we have transitioned from a fragmented customer base to approximately 300 strategic accounts, including hyperscalers, enabling greater wallet share, stronger revenue visibility, and healthier margins. This has significantly improved both the quality and predictability of our revenues while positioning us to execute larger multi-year engagements. Against this backdrop, we have started FY 2027 on a particularly strong financial footing. Quarter one of FY 2027 was one of our strongest quarters as we reported highest ever revenue of INR 1,719 crores, representing a 24% year-over-year growth. EBITDA increased to INR 160 crores, up 38% year-over-year, while profit after tax grew to INR 56 crores, an increase of 18% over the corresponding quarter last year. The quarter also includes two months of financial consolidation from our Brazil acquisition, 2S. Equally encouraging was the improvement in profitability. EBITDA margin expanded by 90 basis points to 9.3%, reflecting operating leverage, a better business mix, disciplined execution, and the benefits of the structural initiatives implemented over the last few years. While we continue to invest in our sales organization, engineering capabilities, and delivery teams, operational efficiencies through our global capability center in Bengaluru, AI-led productivity initiatives, centralized delivery, procurement discipline, and stronger project controls continue to support margin improvement. Our medium-term objective remains to consistently operate at or above a 10% EBITDA margin while maintaining healthy returns on capital. The healthy demand environment that Sanjeev spoke about also continues to translate into a robust order pipeline. Demand across our core businesses also remains healthy. We continue to see strong customer spending across AI-led digital infrastructure, data centers, enterprise networking, managed services, and cybersecurity, giving us confidence in the sustainability of our growth pipeline. From an order book perspective, we continue to witness healthy customer demand. During the quarter, we secured orders worth US$339 million. Our backlog continues to reflect the progress we have made. Since the beginning of our transformation journey, it has increased by 83% to over US$950 million at the end of quarter one of FY 2027, with a growing share of large multi-year and mission-critical infrastructure programs. The tenure of our data center engagements now ranges between 24 and 36 months, providing strong revenue visibility and improving the predictability of our business. While the industry opportunity is significant, our focus remains on converting that opportunity into profitable growth, healthy margins, strong cash generation, and long-term shareholder value. Cash flow continues to remain a key management priority. For FY 2027, we expect our operating cash flow to EBITDA conversion to improve meaningfully over FY 2026, supported by disciplined working capital management. Our capital allocation philosophy also remains unchanged and continues to focus on long-term value creation. We will continue to invest across three priorities: strengthening our people and technology capabilities, supporting the working capital requirements of our growing business, and pursuing selective acquisitions that enhance our capabilities and geographic reach. The acquisition of 2S reflects this disciplined approach. In addition to strengthening our presence in Brazil, it expands our capabilities across networking, cybersecurity, and managed services while providing a strategic platform to participate in the broader Latin American opportunity. As with every acquisition, our focus remains on disciplined integration and realizing long-term synergies. Based on the visibility we have today, we remain confident in our outlook for FY 2027. Our guidance for FY 2027 is as follows. Order backlog, we should end on March 31, 2027, at US$1.4 billion-$1.5 billion, which is a growth of 65%-75%. Order bookings in the year, we should do between $1.3 billion-$1.4 billion, which is again a growth between 45%-50%. Revenue, we should do between INR 7,800 crores-INR 8,000 crores, which is a growth of 23%-27%. EBITDA, we should do between INR 700 crores-INR 725 crores, which is a growth of 27%-32%. EBITDA margins will range between 9.3%-9.4%, which is again up by around 30-40 basis points. Profit after tax, we are expecting between INR 325 crores-INR 350 crores, a growth of 38%-50%. Historically, quarter one has been a relatively softer quarter for Black Box. We expect stronger revenue conversion and operating leverage in the second half of the fiscal year, with this momentum supporting the delivery of the FY 2027 guidance outlined in our presentation. Assuming normal execution timelines and no significant customer-led delays, we believe this guidance is achievable. Going forward, we will continue to prioritize profitable growth, disciplined capital allocation, operational excellence, and balance sheet strength, supported by a healthy order backlog, improving customer quality, and favorable industry tailwinds. We remain confident in our growth outlook. Black Box enters this next phase with a stronger financial foundation, a disciplined operating model, and a clear roadmap towards our aspiration of building a US$2 billion business by FY 2030 while creating long-term shareholder value. Thank you. With that, I would now like to hand the call back to the operator to open the floor for questions. Thank you. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and 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 comes from the line of Deep Shah with 3601 Capital. Please go ahead. Yeah, hi. Thanks for the opportunity. Sanjeev and Deepak, congrats on the great set of numbers. A couple of bookkeeping questions first. If you could highlight the organic revenue growth, given that 2S was there from 1st of May. That is one. Second, I appreciate the comment that you made in your opening remarks about cash flow improvement. You also explained the past as to the additional investment that you have to make leading to a benign cash flow relative to EBITDA. If you give some more color as to maybe a ballpark figure where you expect this to be or the causes why you expect this to improve, given the order backlog suggests that we will actually have to make a lot more investments this year. Is that assessment correct? That's second. Third, if I look at our order backlog and say for a moment I exclude projects which would be longer term in nature, I still see a 38% kind of increase in our order backlog if I look at managed services, maintenance contracts and products, which is of course very small. My question here really is that do you think you are being slightly conservative when you guide on 2027 numbers? Or is it that you're expecting a lot of growth to maybe start in Q3 and Q4, and which is where the numbers will show in 2028? These are my questions. Yes. Thank you so much. Yeah. Okay. I will start taking one by one. The organic revenue. Out of the total INR 1,719 crores of revenue we have done for this year, the inorganic, which is that 2S has contributed around INR 60 crores of revenue. All the balanced revenues are all organic revenues. So INR 60 crores came from the 2S Brazil acquisition because it was like a 2 months and first quarter of them, which is basically the June quarter is normally weak for them because they are into a networking and the Cisco partners and all those things. They contributed INR 60 crores. On the cash flow side of it. One is that I'm talking about the operating cash flow. When I'm saying operating cash flow is basically that there will be involvement in the working capital, and all those stuff. But from an investment perspective, our investment in the talent, our investment in the people and all those things, to secure these type of order book and to increase to convert the pipeline into orders and to hiring the, let's say, the best world-class people and all those things, that is largely done. We will continue to obviously hire more people and all those things, but right now it looks like that from operation, our cash flow will be positive. The cycle of the cash flow will automatically pick up, with the growth, what we are looking at in this year. On the, let's say, the order backlog side of it, you are absolutely right, Deep, is that most of the growth is coming up with all the execution of these projects, by let's say, end of the quarter 3 and quarter 4, and it will spill into the next year. So that will go, let's say, the growth will spill into FY 2028 with the order backlog what we have. Because I see a lot of execution is also dependent on the customer. We have received Let's say this order, what we have announced, we have received that order from another hyperscaler. That order, we are talking since so many days and the work on the ground, the hiring and all those things will start But the work on the ground will start only from November onwards. Then again, it will scale up. It is not like that you receive the order and you start working tomorrow. Because these are not smaller orders, smaller contracts, they are large size. They are gigawatt plus size. They are not like a smaller size. So, there is a lot of deployment and all those things which happens on that. Because of that, the growth, when we will project about FY 2028, you will see that there will be a growth over the current year. Because the current year, if we grow between 22%-25%, or let's say around 25%, then the next year growth of FY 2028 will be over and above those numbers. That is why it doesn't look very conservative to us in terms of the numbers, what we are projecting at between INR 7,800 crore-INR 8,000 crore. Yeah, this is right here. So actually, you've answered my follow-up question to the extent that you clearly suggested that the reason this year numbers aren't conservative is that some of the order backlogs, or rather a large part of order backlogs will actually flow in 2028. Is that assessment correct? I'm just asking for absolute clarity. Correct. That is correct, and that is why when you see our order backlog, when we have given a guidance for order backlog, that is, we are saying $1.3 billion to $1.4 billion, and that is why we will end up with that order backlog. I may say, and probably Sanjeev will add more on that. The order backlog may be a little bit conservative because we will add more orders between, let's say, November, October to March, when we will burn these orders, what we are getting right now out of the 950. So probably that number may be higher, and then I think we will be having a more clarity after when we announce the quarter 2 results, and then we will see that how we can have a more clarity and more speaking on that. Great, Deepak. Very clear. Thank you so much, and all the best. Yeah. Thank you. The next question comes from the line of Vivek Chaurasia, an individual investor. Please go ahead. Hi, Sanjeev and Deepak. Nice to chat. Hi, Vivek. I just wanted to touch on the non-data center part of the business, because most of the growth that we are talking is coming from that piece. Is the non-data center piece sort of just treading along or are you expecting growth? Or is it a case that we are classifying some orders as a data center? I just wanted some clarity on that. No, I will take that. Clearly, the hyperscale cycle is larger at this time. The non-hyperscale enterprise will grow at modest double digit to 10% odd. The mining we are pulling at 25% odd for this time. The cycle for the enterprise rate will follow. The data center infrastructures is not being built to be consumed on its own. The impact of the data center infrastructure would come through a lag when the infrastructure will start to dramatically change downstream airport infrastructure, hospital infrastructure, bank infrastructure. This is being made for them. This infrastructure is being made for what? Is made for drive efficiency, experience for end users like you and me and our workplaces, right? We are expecting, we are beefing up, seeing large scale projects also coming through in our infrastructure on the enterprise side. For example, when we do data center infrastructure for a bank, that is a bank business. That is not a hyperscaler gigawatt. That is 10 megawatts, 20 megawatts. Still large. Many years ago, it was 2 megawatts. It will have that. The entire network infrastructure to connect will change. A case in point, just to give you an example so that you will understand. If the head end changes, if you were to see a 4K HD video, you need a device downstream that will support that. If the head end changes, which in this case is a massive infrastructure for data center, the consumption actually, the inference is happening at the end user, passing through an airport, getting into a hospital, going to a consumer store, ordering food, it is coming, right? We are bullish on that as well, but it comes with a lag. A standard double-digit growth in that side, we can present. We are focused on 300 customers as Deepak called out, but we are catching the hypercycle on the AI build-out, and we expect as we move forward that we will see our momentum on the enterprise also catch up with a lag. Sanjeev, just a word on the TPS business. I mean, our growth, I mean, our revenues have jumped up but so have the EBIT losses. Is it a matter of scale after a point at which we will start delivering positive numbers? Product business also, we are expecting in the current year to be able to grow in the range of 21%. It is a matter of scale. We have, again, narrowed down our focus on only mission-critical infrastructure in that space. We are doing a lot of products we inherited through historical. We are now focusing on virtualization products, which we call KVM, RML product, and we are seeing strong momentum. We will see through in the coming quarters the spike in that as well. We are investing in next generation AI-led Products in that space. Yes, to that extent, expect the growth this year catching up ballpark around 20% range, still lagging our overall growth plans, but highly accretive. As we move from there, every dollar that comes in as we move into next year and years beyond will become accretive overall. Just one last question, Sanjeev. The growth that you are projecting, the ask for the H2 will be almost a 30%-40% growth year-on-year and even quarter-on-quarter. Are we confident? Because we have been talking about some delays in execution. What gives us the confidence that Q3, Q4, we should start getting to manage that No delays on execution from that perspective. Enough backlog coming at the opening of quarter one to push us through. If you calculate the order backlog plus the booking goal and the revenue projections, the math will work out. Expecting to grow each quarter sequentially year-on-year, going forward. Okay. All right. Thank you, Sanjeev. A reminder to all participants, you may press star and 1 to ask a question. The next question comes from the line of Nandan Arekal with JM Financial Limited. Please go ahead. Yeah. Hi, team. Congrats on a great set of numbers. Hello. Hello. Am I audible? Yes. Yeah. Congrats, team, on a great set of numbers. So my question is on margins. We expect to end the year at 10% EBITDA margin, and I think we have given a guidance of 9.3%-9.4%. Does that mean maybe Q2, Q3, we'll see slightly depressed margins and then we expect the operating levers to kick in? Also just a thought on what will be the gross margins you're building in for the data center orders. I will take that. I think our goal remains 10% and over. That is what Deepak called out. As we look at the overall year, we expect as we move forward, our Q4 to be in that range or more. We also continuously are looking at as we scale this business up in the current year with order backlog. We are looking to invest in talent and training. We are getting into a very large-scale build-out of multi-billion dollar backlogs. This project in execution also requires some investments in training. We are being cautious on that. Having said that, at scale, we expect that we should be able to deliver at 10% or more. I think it is better to factor in what we are planning to invest and therefore, guiding where Deepak has guided at about 9.4%, 9.5% at this time. I think we remain focused on that, to get to 10%, at scale, more than 10%. Got it. All clear. On the order backlog, currently, I think the blended average we have indicated is around 18 months. Based on the pipeline and what will get executed and what do you see coming in in the next two quarters, what do you expect average tenure would be by the end of this year? The tenure for large-scale projects Deepak alluded were 24% to 36%. I had told earlier, the goal for this year for order booking, and that is showing in our current forecast as well and guidance, is 50% more than the last year ballpark in the range of $1.4 billion-$1.5 billion. That is what we are planning to book, and we are well on our track to do that or exceed that at this time. To earlier point that Deepak said, some of these orders require pre-planning from when they start to burn into revenues. Yes, we will end up the year after we do the calculation of where we opened up and book and take about 8,000 gross. We look at a very healthy backlog that will possibly cover the growth for next year, pretty much from the backlog itself. It will be very evident. Yes. From a data center margin perspective, I think it remains accretive for us at this time. As I said, I think we continue to focus on our operating margin for 10%. At scale, we believe it will be equally accretive, if not better. So congrats and all the best. Participants, please press star and one to ask a question. The next question comes from the line of Mohammed Nameer with Eiko Quantum Solutions. Please go ahead. Yeah. Thank you for the opportunity. I have just one bookkeeping question about the tax rate. Our tax rate is currently low. Going forward, what will be the tax rate? tax rate currently is lower, primarily because of our past operating losses, carry forward operating losses we have in the various geographies. Its tax rate is dependent on the revenue mix on the different geographies and the consumption of the past operating losses in terms of how we consume them. At least for next, let's say, for FY 2027 and FY 2028, I am expecting it to be in the range between 10%-15%, and after that, it should regularize to around 20% type of levels. Okay. One more question about the other income part. The other income is negative. Why is it so? Sorry, what is negative? Other income. I think other income is negative. No, it doesn't look negative to me. Let me look at it. I didn't see a negative number on the other income. Other income is ₹4 crores positive. Okay, sir. I don't know. Thank you so much. I don't know where you're reading this from. Okay, let me see. The next question comes from the line of Vivek Seth, an individual investor. Please go ahead. Hi. Thank you for the opportunity. My query is that yesterday you see the order from a hyperscaler, the AI data center order. Just wanted to know how much of the order is your integrated products and how much of the part is the service part? No products, 100% services. 100%. Okay. Thank you so much. A reminder to all participants, you may press star and 1 to ask a question. The next question comes from the line of Keshav Bharatia with Wolfwood Financial. Please go ahead. Hi, sir. Congratulations on a great set of numbers, and thank you for the opportunity. Just one question from my side, since a lot of our growth plans hinge on the hyperscaler and data center segment. By any chance, if there is some moderation at the hyperscalers end in terms of data center CapEx, does that put us at a risk of order cancellations or do our growth plans change in that scenario? Good question. I think the overall scale of spend is gigantic. I think the overall spend for the AI infrastructure over the next 4 years is over $1.6 trillion, an average $400 billion. Each time some of the hyperscalers comes out, announce the results, they add up the CapEx. I think we have taken over a very fairly small slice at this time of that within our addressable market that we have. We don't see on our current conversation, the current pipeline. On the contrary, we are seeing speed with respect to new projects getting announced at this time. Can something dramatically change? Why wouldn't we wanting to predict that? From our current conversation across multiple hyperscale co-location customers within a hyperscale, there are multiple sites. Within the hyperscale, multiple geos. We are seeing what's happening in India. The advantage, of course, for Black Box is means that we are present with customers not only in one market but other markets. We've not started to even harness the markets in India, which we're planning to do. I don't see from our perspective, our growth getting hampered should there be a shift of a hyper A or hyper B or some site getting delayed or some site getting revamped. I think we're talking about a massive spend, and to that extent, I think our goals are well set from that perspective. As I told earlier, we expect also this hyperscale to start to fire downstream enterprise spend because everything around that place will change, be it the network, be it connectivity and so on and so forth. We'll possibly get into a cycle of a dual engine starting fiscal 2028 and beyond. This is a structural shift cycle. This is not a technology spend just to buy and compute. This is how economies will operate. This is about keeping economies ahead. Overall, when we calculate that and where we want to play and what is our goal of going forward of being at $2 billion, I think we're well placed and we are well on track. Okay, great, sir. Just a follow-up to that. We see a lot of CapEx happening in India as well with the tax holiday and many global hyperscalers also coming here. Have you explored any opportunities here? As well as is there an opportunity maybe on the semiconductor side because you see a lot of CapEx happening here in Southeast Asia as well. Is that potentially a segment we could tap into in the coming years? Yes. That's a good question again. Yes, we keep on evaluating the markets and the spend. Of course, India will go through a hyper-investment cycle. We are seeing that as well. But even if we look at the current build-out, U.S. is currently at 67, around that gigawatt of already being commissioned and used, going to 233 gigawatt. India is going from 1 to 5 to 6 at this time. Naturally, from a spend perspective, 70%-80% is around in the U.S., so we'll continue to remain focused in the U.S. of scale. We have built a team around those capabilities, but we continue to look at markets, and that's the advantage of Black Box. As that starts to mature, we are into Europe at this time in conversation. We are looking at India's potential as well, clearly interested as much to see where it can add value and be accretive for us from a shareholder perspective. The opportunity, of course, has no meaning until you can create profitable opportunity from that perspective. So we are clearly glued in reformatting ourselves to see what we can do in India and the Asia market and so on and so forth. Coming on the semiconductor side, now we are looking at not being a semiconductor manufacturer or builder from a perspective of being a partner in the compute side. From a perspective of the overall stack for technology, we are connectivity network. Computer storage is a natural extension for us. We continue to do that for enterprise customers. Hyperscalers are a little different. Yes, there is an opportunity as a management to be continued to evaluate the adjacencies. It is adjacent to us. It can open up additional addressable spend or TAM for us. So we are evaluating that, but currently focused on where we see hypergrowth and where we are engaged at this time. But clearly, from a strategy standpoint, we look at adjacencies and overall continuum what we can do. So we evaluate that as well. Great. Just one last question, if I can put in. Sir, what would be potentially a distinctive moat between us and our competitors when it comes to bidding for new orders? What is our right to win against the others? Is there a potential risk from IT companies who also provide such a service? I just wanted to understand. I know definitely that we have that customer mix since a long time. But what differentiates us from the other, and how is the competitive intensity in this kind of industry? Yes. I think I will answer it in 2, 3 parts. One, of course, you can grow from a growth perspective. There are three distinctive ways to grow. One, of course, participating in growth. You just ride the bus because there is a growth happening. See whether you can be at that growth level. Second, of course, you take share because you have to compete, and there is only 10% growth and you want to grow at 25%, so you have to take somebody else's share. That is the only way to grow. The third, of course, you can acquire, right? If you look from keeping the acquisition separate, that is a separate role. I think first let us look at what we can do to participate in growth, right? When they talk about $400 billion worth of spend on that, 10% of that possibly is addressable from that perspective. That is about $40 billion. We are trying to do about, say, $1 billion just for argument's sake. I think the idea is to getting considered, and have the wherewithal to be able to be considered and bid, right? These are not competing bids that you can quote 5% less and win. That is not how hyperscalers operate. By that logic, anybody can quote 10% and want to win that. You have to win because you have capability, ability to spend, stay put, train, and so on and so forth, right? Those what we have built over the last several years' time, and therefore being considered. As we move forward, we believe that our push rate will be reducing and we will have pull rates. We are now getting invited more than we saw before because we executed several hundred megawatts, close to a gigawatt by now, right? To do that. I think ability to execute at scale, ability to expand and train, these are the essential factors. This market did not exist 3, 4, 5 years ago, so therefore execution at scale for anybody does not exist, right? It was largely operated by small mid-market players locally into fiber world. I think from that perspective, the number of players who can operate at scale are limited. The number of companies who can operate at scale globally are even more limited. From a perspective of where we are, we talked about possibly the only Indian company who has the ability to now do it at scale, right? I think moat is what? Moat is scale, moat is capability, moat is the relationship and execution already done. More importantly, participating in that. Coming to take share, I think from that perspective, will there be some competition? Of course, you cannot be the only one playing. That is not going to happen. But I think we believe the right to win as we move forward, it is evident from our order books. It will become more evident as we go forward. A combination of what we have an opportunity, ability to scale, as I told in my earnings call, only a possibility. It does not mean much. We believe we have built a very robust execution capability. So it is very simple. If you look at construction in general, and if you look at Indian market, and if you are starting to build a very large construction, or a bridge or a dam, only few people are invited to do that, right? There are possibly 2,000 construction companies in India. Only because you know construction, you won't be constructing a dam. That's pretty much how it works here, right? We believe at our scale, ability to execute, our relationship over the last 2, 3 years, training, I think we are well-placed to participate and win this massive once in a lifetime infrastructure cycle. It is like the railroad of 1930s, right? We ought to be there and put our head down and just make sure that we are able to execute better, and we are doing it. Perfect, sir. That's helpful. Congratulations again, and all the best for the future. Ladies and gentlemen, that was the last question for today. I would now like to hand the conference over to the management for the closing remarks. Thank you everyone. If you have any further questions, you can reach our investor relations head, Purvesh Parekh or SGA, our investor relations advisors. Thank you so much. Thank you, sir. Thank you. Thank you, ladies and gentlemen. On behalf of Black Box Limited, that concludes this conference call. Thank you for joining us, and you may now disconnect your lines.