Q1 24/25

Aug 8, 2024

Summary

Record quarterly results with 30% revenue and 36% EBITDA growth year-over-year, and profit after tax doubling to INR 100 crores. Strong execution on major projects, robust order pipeline, and focus on international expansion support 18%-25% growth guidance.

Ladies and gentlemen, good day, and welcome to Cemindia Projects Q1 FY 2025 earnings conference call hosted by ICICI Securities. 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 sessions. Should you need assistance during the 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 Mohit from ICICI. Thank you, and over to you, sir. Thank you, Sumit. Good afternoon. On behalf of ICICI Securities, I welcome you all to the Q1 FY 2025 earnings call of Cemindia Projects Limited. Today, we have with us from the management, Jayanta Basu, Managing Director, Prasad Patwardhan, CFO, and Rahul from investor relations. Without much delay, I will hand over the call to management for the opening remarks, which is followed by Q&A. Thank you, and over to you, sir. Thank you, Mohit. Good morning, everyone. This is Prasad Patwardhan, and I would like to thank you for joining us on this Q1 FY 2025 earnings call. Before we begin the discussion, I would like to mention that during the call, there could be some forward-looking statements about Cemindia Projects's business prospects and operations, which are subject to several risks and uncertainties, and the actual performance could differ materially from whatever is stated during the call. We declared our Q1 FY 2025 results yesterday, and I am sure you would have had a chance to go through the numbers. We reported an excellent set of numbers for this quarter with the highest ever operating income of INR 3,381 crores, which represents a growth of about 30% on a year-on-year basis. Our EBITDA is coming at INR 337 crores, which again represents a growth of about 36% on a year-on-year basis. Profit after tax, this is the first time that our quarterly profit has reached INR 100 crores, which is an achievement and a milestone in itself, and which represents a growth of nearly 100% on a year-on-year basis. Our debt continues to be within controllable limits, and the balance sheet is not at all leveraged. Our net debt equity ratio is about 0.3 times. That is as far as our financial performance is concerned. I will now hand over to our MD, Jayanta Basu, for his initial comments, and then we will take your calls. Thank you, Prasad, and good morning to all of you, and thank you for joining this con call, Q1 FY 2024-2025. Prasad has mentioned that we had a good set of numbers this quarter. The revenue has crossed INR 2,300 crores, close to INR 2,400 crores, which was three years back was whole year turnover we have achieved in one quarter. EBITDA is around 10%, profit after tax also close to 4.2%, which was 3.6% a year back. So there is improvement in all the parameters. Going forward, we hope that we will be able to maintain the same tempo because there are not many good jobs in pipeline. Before I explain about the new job prospect and which is in pipeline, let me tell you that there are few jobs which are quite critical for us in terms of the value and price. First of all, Ganga Expressway. We have almost completed 50%-55% of the job. In last quarter we could do more than INR 600 crore revenue from a single job in Ganga Expressway. Going very well. So far there is no problem. Now because of monsoon the progress is little intact, but from October it will again start. So I hope that within the time we will be able to complete this big road project. Chennai Metro, all the TBMs are working. It is going well. Bangalore Metro underground, the verge of completion. In terms of marine job, Udangudi, as you know, our signature project is completed now. We have started a navy job in the east coast of India, Project Varsha has started well. Another job in West Coast that is Seabird is also on the verge of completion. Few other jobs all are going well. Yes, we have a foreign job that is a worthless job in Colombo for West Container Terminal, that is also going well. Bangladesh is little temporarily, because of the latest issue. But good thing about Bangladesh out of this problem is that we have hardly done anything there. In fact, we should start the job from October this year. So impact wise, today we have got nothing to declare because our mobilization also not taking place where we are sitting on the advance, mobilization advance. All our people are safe. They have come back. We will watch the situation, how it goes, and accordingly we will take our action. Coming back to the future prospect, as we have said many times that our focus is now on the international market, and we are trying our best to get some more job in international market. In domestic also we have got enough opportunity. Some tenders we have submitted, some are in pipeline. So, going forward, work in hand plus work expected, I think we will be able to maintain the same tempo what we see in the first quarter. That is all in a brief, and we are open to any questions. We will be happy to answer them. Thank you. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the 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 is on the line of Rishi Kothari from Pi Square Investments. Please go ahead. Hello. Thank you so much for the opportunity and conversation on the good set of numbers. My first one primary question was on the Bangladesh project as we right now are, as you know, that it's a political battle that is going on in the country. As you mentioned that we haven't started the project yet. So in future, let's say, if at all things become stabilized, we start with the project. So what are the possibilities that the project might end eventually because of the crisis again happening? Is there any provision that we have made for the project or not? Well, what is going to happen, neither we know, neither you know, because it is not in our control. We have to watch and see, as I mentioned, that we have secured the advance, which is with us, and we have hardly mobilized. We are just about to start some mobilization, which has been now action, which is stopped now. Provisioning this, we have to see another few days or few weeks how it goes. Our expenditures hardly have done any expenditure in that project so far. That is what I have to say now. I don't have much unless we know what is happening in future. What is the revenue exposure do we have on the company? Right now, the maritime structures are over INR 6,400,000 exposure. What's the percentage of that project Bangladesh carries? Yeah. For this year, total value of the project is around INR 1,500 crores, and it is expanding in the 3 years' time, roughly 2.5 to 3 years. In this year, we better consider around INR 300 crores to INR 400 crores for this quarter and in this year, 2024, 2025. Yeah. Sorry, I did not get the number in the beginning. How much exposure do we have? Total value is INR 1,500 crores. INR 1,500. Okay. Which is spanning 2.5-3 years' time. Our estimate progress for this year will be around INR 400 crores, INR 500 crores, around that. From that Okay, great. My second question is on any updates on the parent company stake that has been happening in the markets of the company? Any updates on that front? Update means you know that we have already informed the SEBI that our parent wants to dilute some stake, and some process is going on at parent promoter level. It is, I think, quite initial stage, and we will come to know once it happens after few weeks or months. Okay, great. In terms of the future growth prospects, what are the revenue growth expectations we have for three, four years down the line? Any growth number targets? Yeah, I think we have maintained growth of 18%-25% in that range going forward, next year and next year as well. Okay. Any margin expansion you're looking at operating level? Right now, we are running at around 10%-11%. Yeah, I think we have to live with these numbers. Unless we have overseas market. In Indian market, I think that is okay. If you are able to do good, we'll be happy. But I think for the time being, 10% should be the number you should consider. We will maintain the range of 10%-11% for at least a year or so. Yes, that is the expectation. Okay, great. I am done. Thank you so much for your answers. Thank you. Thank you. The next question is on the line of Pratik Kothari from Unique Asset Management. Please go ahead. Yes. Good afternoon. First of all, hearty congratulations. I mean, the way we have scaled over the last three, four years, it is commendable. My first question on, I mean, in the beginning of your commentary, you did say that the Indian jobs, there are not too many good jobs in domestic markets. You can highlight and elaborate on that? No, I have not said too many good jobs. I say overseas market is our focus because if you see historically, two years back, our presence was nil. We have started doing some overseas business, and we found that it is good area to work because the contracts are all equitable contract and margins are good. So that is the focus we have. That does not mean that domestic market is bad. Domestic market, we can get the volume, and particularly the segment where we work in marine and underground sector, that is always good. Right. So in terms of competition or availability of orders pipeline in domestic, it stays the same, what it has been? Yeah, competition is there, and that is why I said that EBITDA, whatever is there now, it will be around that. Do not expect much from there, because we have to secure the job based on the market price. Correct. And sir, in our annual report, we have mentioned a sentence which says that we are committed to expanding our capabilities and exploring new avenues. So this is from a geographical perspective, or even in terms of the kind of work we do, we are intending to venture out into more things? See, basically, we strongly believe that to have better performance, we have to grow in organic manners, because we had enough of learning curve of new segments. Now the time has come, we have to impress. Whatever we do good, let us do more. So it is geographically increase the footprint. Yes, that is the meaning of that. Correct. And one to Basu, sir. Our interest expense. Earlier, our expectations was we stay at about 3%-3.5% of sales, and I think we have done a fantastic job in bringing this down. So are these numbers, 2.2%-2.4% of sales sustainable, or is it something specific which is going on? Well, I think Prasad can address this. No, it is nothing specific. These are operational efficiencies which are kicking in. But as our volume of operations grows and we get new orders, I think there is a possibility that the interest cost could inch up a bit as a percentage of revenue. Anything specific now that the number is so low? No, nothing specific. As I said, this typically happens in Q1, where we get a lot of payment from especially government clients in the month of March, and typically, we use that to reduce our debt, and that impacts our interest cost, especially in Q1. That is what we have seen in this quarter. Correct. Last one. Historically, we have seen the parent of our company change multiple times. In your experience, how do we stand? Whether it is matter of time or we do not even know if it is going to happen, but if they sell partially or completely, how does that change our organization, our outlook, our approach? Well, it will be difficult to comment at this stage, but given what we have seen in the past, it does not impact our operations directly. We are not dependent on any funding from the parent or there are no guarantees that the parent has provided for us. In terms of operations, we do not expect as of now any impact on our day-to-day operations of the company. In terms of technical competence too, now we can go and apply to any projects on technical grounds. Yes. Our present promoter has really helped us, during their tenure of last 20 years or so. Now we know how to handle the tunnel boring machine, we know how to do the airport and some other areas. Today you will see hardly any job we got in the joint ventures. Most of the job we are able to do standalone. Marine, we never went to anybody. It is our own area. We are doing marine work for last 30 years or so. I think we are now self-sufficient. We do not require much of technical support. Technical support is always required, you see. That does not mean it has to come only from the promoter. Correct. We can go anywhere else, technology and man is required. But per se, whatever support we have got from ITD so far, that is not required because we are able to manage within ourselves. Correct. Great. Thank you, and all the best, sir. Thank you. The next question is on the line of Aditi from CD Equisearch Private Limited. Please go ahead. Hello, Aditi, please go ahead. As the line of Aditi seems to be disconnected, we will move to next question. The next question is on the line of Nikhil from Kizuna Capital. Please go ahead. Hello, am I audible? Yes. Yes. Thanks for giving me the opportunity. Sir, congratulations on the great set of numbers. My first question is like, we have guided that we are going to grow 20% this year, next year. Sir, for the next year, for FY 2026 growth, we need to have an order intake of INR 12,000 crore to INR 15,000 crore approximately for that kind of growth with our current execution capabilities. Sir, how are we targeting that, the order book inflow for FY 2026? Do we have any kind of plan post FY 2025? Well, this execution rate has increased now. If you see the job what we are doing now at much faster speed than what we used to do two years back. Just imagine Ganga Expressway INR 5,000 crore job will be completing in two years' time, which used to be four years, five years in earlier days. So work in hand also a function of at what speed you are executing. In that way, we are doing much better than before. That is one aspect. Second aspect is that so far in this year, already we have secured around INR 3,000 crore of work. Correct? We have secured INR 2,000 and we are in line of- Yeah, we have secured around INR 2,000 crore job we have secured. Another INR 2,000 crore we are in one, we are expecting LOI any day. So INR 4,000 crore by month of August. The remaining part, we are sure that we'll be able to achieve another INR 6,000 crore to INR 7,000 crore of jobs. So INR 10,000 crore, INR 11,000 crore should be okay. Yes, sir. My second question is, I was going through the budget document. Sir, the allocated budget for the maritime and metros is approximately INR 27,500 crore. With the 20% success rate that we have, it will be close to around INR 5,500 crore. Are we looking international projects for the maritime for broader scope of work? Sir, are we also planning to get into solar EPC business too? No. We are not going to solar EPC, but for solar EPC, there is infrastructure required. If they require a big pile foundation, definitely we are there. Like today, for the green energy, whatever work is being done by various entrepreneurs, we are part of the civil structure construction. Your first question was that going to overseas. Yes, I have said many times, we are targeting many overseas jobs, and most of them are marine. Yes, we are there. Okay, sir. That's it from my side. Thank you. Thank you. Thank you. The next question is from the line of Prem Khurana from Anand Rathi Shares and Stock Broker. Please go ahead. Thank you for taking my questions, and congratulations on very strong set of numbers. Prashant sir, I think in your opening remarks, you spoke about the prospects that you see in India and overseas. Would it be possible for you to kind of quantify, segment-wise, how much prospects are you envisaging in India to bid for and how much would be overseas? What will be the mix, let's say, if you want to have at least INR 10,000 crore of inflows in this year. How would the mix be between, let's say, overseas and India? Even in terms of segments, if possible. Okay. I'll try to answer your question in more detailed manner. For the marine, the bid so far we have submitted around INR 3,000 crore, which is tender has been submitted. Out of that, INR 1,200 crore is from overseas. The bid which is on the pipeline, that means we are working and which will be submitted by another few months' time, will be around INR 5,000 crore. So tender we are working. Beyond that, the tender which has yet to come, but we know very sure that it will be there sometime during this year, will be another INR 20,000 crore. So INR 3,000 plus INR 5,000 plus INR 20,000. So around that number we are working for marine. Part of this also overseas job which is to be submitted from marine. Then if you come to the metro, I think all of you know that Patna Metro and Indore Metro put together around INR 8,000 crore jobs tender we are working. Beyond that, also there are many other jobs in metro. Then hydel projects like pump storage and work like that will be around INR 5,000-INR 6,000 crore. Some of them are under tender. There are a few jobs of foundation and others. So all together, if you see the tender we are working, tender which is immediately coming and some future tenders, INR 35,000-INR 45,000 crore jobs we can see in our horizon. Sure, sir. And breakup in terms of how much of this would be essentially domestic and how much would be international? International, very specifically I can tell you, 1 plus 2,000 plus around INR 10,000 crores. Marine and there is another job also in Middle East, around INR 10,000 crores. And sir, as far as I know, overseas the projects that you bid generally tend to be fixed price and geopolitically they will seem to kind of volatilize. So would that mean you would build some extra contingency reserves whenever you bid for projects outside India? Because essentially some of these geographies would be new for you, like Africa that you are targeting would be somewhat new. So trade was even at least to begin with, whenever you bid, and given the fact that some of these would be sort of fixed price, you would try and target margins which will be little on a higher side compared to India. Yeah of course, I have said. But the question what you have asked, that is our profession. As a business, we do all these risk analyses, keeping provision, how much margin, which has to target, which has not to target. So those things, that is what we are doing now. Sure. We do. So of course, we will target to have better margin and that is our idea to go overseas. Sure. Prashant sir, possible to share how much did we incur as CapEx in Q1 and how much more is envisaged for the balance of the year? In Q1, CapEx was not a very high number. I think it was a range of about INR 20 crores-INR 30 crores. This year, yes, we will be incurring some replacement CapEx and some purchase of new equipment as well. It should be in the range of INR 150 crores-INR 200 crores. It will be significantly lower, I believe, as compared to the earlier years. But that is the target we are working with right now. Sure, sir. Thank you. That is my end. All the very best for future. Thank you. Thank you. The next question is from the line of Franklin Morris from Equirus Wealth Advisory. Please go ahead. Yes, so thanks for taking my question. Sir, you mentioned that last two years we have seen a significant ramp-up in execution. So I wanted to understand maybe internally, what structural changes we would have done to kind of effect this and also from the environment perspective, what has really helped us in achieving this? We have been doing well for many years. Only thing, few one-off job was dragging us down. Otherwise, if you see the execution of other jobs, it is not today or yesterday that we have started doing well. Statistically, we are doing well. Our operation team is quite efficient. And most important part is the people team which work for us, they are working with us for many years. They work, they continue to stay. Those are the factors, and we emphasize on putting right people at the right location. So that is also helping us to do better work. Yeah. Yeah. And sir, in terms of your gross debt equity ratio, currently it is at 0.6. Any guidance which you would like to give? It is difficult to give a guidance frankly, because the debt is a function of our scale of operations and the new order that we secure. Our endeavor is to have a lean balance sheet and not let the debt balloon significantly. And that is what we keep on working on. But difficult to give a target for the debt number. Yeah. Fair enough. Thanks. Thank you. The next question is from the line of Pratik Bhandari from Art Ventures. Please go ahead. Hello, Pratik. Please go ahead. As the line of Pratik seems to be disconnected, the next question is from the line of Nidhi Shah from ICICI Securities. Please go ahead. Hello. Thank you so much for taking my questions, and congratulations on a great quarter. I just had a couple of questions on, say, the overall bid pattern. You mentioned about a lot of the different segments, metro and marine. What are we looking at overall? What are the projects that we have already bid for? What are the projects that could be possibly coming up in the future? Given the scenario, what could be your possible orders and flow guidance for the year? Sorry, I have not heard you properly. If you repeat the question, please. Nidhi, there is a lot of background noise. Is it possible for you to keep it out and maybe repeat the question a bit? Yes. Give me a second. Is it better now? Yeah, it is better now. Please go ahead. Can you speak a bit loudly as well? Yes. Apologies. On the bid pipeline, I wanted to know what were the orders that we have. What are the projects that we have already bid for in this year and we are looking forward to the announcement of that? What do you see in the near future bid pipeline, some of the bid projects that could come up in this year? Bid, marine we have submitted two, three, four tenders, and two of them is domestic. One for the JSW, one for A.P. Moller - Maersk at Gujarat. Another job we have submitted in Middle East for some client, I don't want to reveal the name. There are some tenders which are working, one for the DP World, at Gujarat. Then one job at Belgium, which we are already working extension of that. One marine job in Sohar. These are the kind of job we have submitted or under submission for the marine. For metro, all Patna Metro, Indore Metro, everybody is working there. These are the few jobs we have submitted so far. Okay. Other than marine and metro, were there any other jobs that have been bid for in this quarter? One job as I mentioned that commercial or residential building for CPWD Delhi, where we are already- Around INR 1,900 crore-INR 2,000 crore job. Okay. Do you see any orders coming up in the highways, bridges and flyover segment? No, we are not pursuing any job for highways. Okay. In the coming year, do you wish to participate in any other bids in this segment? We don't have such plan now as of now. Okay. Lastly my question would be on the TBM. I am able to gather, I might be wrong on this, but that a TBM gets entirely depreciated during one project. My question would be on the accounting front, how do you depreciate your TBM? Do you depreciate it over the duration of the project, or do you hold it in your books for say, 5 or 10 years? What is the policy that you use? This is typically our business secret. How do you expect me to reveal all this? Everybody know what is the cost of TBM. Right. If I reveal that how much we depreciate in this project, everybody will know how much I have charged. Let it be within us. I just wanted to know the policy. Do you do it over a couple of years, or do you depreciate in your books or accounts over the project? It depends again. We do not have a policy which is very rigid. It is flexible policy based on the bid we are submitting, based on the market, based on our working hand, we change our policies. Okay. All right. Thank you so much. Those are my questions. Thank you. The next question is from the line of Pratik Bhandari from R2 Ventures. Please go ahead. Yeah. Hi. Thanks for the opportunity. Am I audible? Yes. Yes. Go ahead. Yeah. I just wanted to understand as to where are we anticipating the order book by the year-end, and what would be the order inflow for the complete year? As I mentioned that INR 4,000 crores is already there. We are waiting for LOI. Balance INR 6,000-7,000 crores should come. Some marine, some underground metro, and some building jobs. Yeah. By year-end, we see the order inflow to be around INR 14,000-15,000. INR 10,000 plus. Order inflow. Yes, for the whole year. Where do we see the order book going by the year-end? Well, it will be That will be a function of the orders secured and the execution during the year. In the past years, we have indicated what sort of growth number we are looking at this year and next year. Based on the order inflow and the order books that we have as of today, I am sure you can work out what the order book is likely to be at the end of the year. Got it. Thanks. Thank you. The next question is on the line of Vaibhav Shah from JM Financial. Please go ahead. Yeah. Thanks for the opportunity. Sir, what would be the current debt levels? Gross debt is about INR 800 plus crores. The net debt level is much lower than that. Net debt is under INR 500. Okay. Sir, what would be the value of mobilization advances? Mobilization advances as of June is about INR 1,300 crores. Out of 1,300, what would be the interest bearing and interest rate on that? Well, I don't have the split right now, but there is a significant portion of it which is interest free, and the rest is interest bearing. I would say around 25% is likely to be interest bearing. The rest is interest free. 75% is interest free. Yes. What would be the interest rate on the interest-bearing mobilization advances? Well, it varies from project to project, but largely it is market-driven. It will be linked to either some bank MCLR or something like that. It is market-driven. So could be somewhere around 9%-10% range? 8%-10%, or maybe there could be one-off projects where the rate could be even slightly higher than that. Okay. And sir, one confirmation. Our YTD order inflow is around INR 2,300, and we are L1 in around more INR 2,000 crores, right? That's right. YTD order inflow is around INR 2,000. Okay. There is L1 of another INR 2,000 crores. Okay. Thank you, sir. Those are my questions. Thank you. Thank you. The next question is from the line of Vishal Periwal from Antique Stock Broking. Please go ahead. Yes, sir. Thanks for the opportunity. Just a couple of clarification. The private side order book, it is 35%. So primarily it is coming from which segment for us? Primarily that is coming from the roads and highways, which is Ganga Expressway. 2,500. Sorry. Ganga Expressway, that is from Adani Group. Then we have got few jobs from ArcelorMittal, and some more jobs from Adani, Marine and Hydel. Okay, got it. I think I just missed that number. The international order book is what percentage of our total pipeline? It is much less. It is around 7% of total order booking. Sorry. You said 7%? 7%. That is it. Okay. Fine. That is all from my side, sir. Thank you. Thank you. The next question is from the line of Ashwani Sharma from Emkay Global Financial Services. Please go ahead. Yeah. Hi, good afternoon. Thanks for the opportunity. Sir, I am a little new to the company. I just wanted to understand that if you could speak about our core competencies in each of our segments. That will help, sir. We work in 5 verticals, and 5 vertical covers around 10, 12 segments, and some of them are very good in marine, that is maritime jobs, ports, harbors, construction of jetties, breakwaters, slipway, like that, ship repairing facilities. Then underground metro, like in various cities we are doing using tunnel boring machine. We are also good in tunnel, normal tunnel, we call it NATM, Tunneling and bursting method for roads and railways. We do a lot of building work, either commercial or residential, including airport terminals. That is also a core competency. We are good in road bridges, highways. Though our presence in highways was not much, but we are quite good in that. And our core business, which we have started with, that is a specialized foundation job. We call it that, some wall piling. Those are the area we work, and some jobs in hydel, water. That's all. Okay. And sir, in the domestic market, typically, what is our win ratio across these segments? It varies. I think around 18%-20% is ours. Okay. Lastly, sir, when you say opportunities in the overseas market, if you could give us which are the geographies where you see this opportunity that you discussed, if you could talk about the name of the geographies. Mostly neighboring countries like Sri Lanka, Maldives, even Bangladesh. Bangladesh is a problem now, but there are opportunities as well. East Africa, West Africa, and Middle East. All right, sir. Those were my questions. Thank you. Thank you. The next question is on the line of Nikhil Abhyankar from ICICI Securities. Please go ahead. Thank you, sir. Sir, I just wanted to understand our decision as to why not to bid for road projects. Just to follow up on that, a lot of BOT projects have been approved recently. That is quite a huge opportunity. Will we be looking to do the EPC part of these BOT projects? Yeah, I don't say that we'll not go for road projects. We have to have a proper assessment of the project, because normally what happens, whenever we have a lengthy project, either metro or road, normally in our country, it is very difficult to get the front available within the time. If you don't have the front, we have got all the resources mobilized, you keep idle and you incur additional cost. So those are the issues, number one. Number two, road projects involves a lot of local material to be sourced, like earth, which is a big problem because none of the customer or client is ready to supply by themselves. The contractor has to arrange. Unless you are a local player, it is very difficult to arrange. So that's why those consultant teams are there. So we have to be very careful. If it is good, we'll target some road projects. Sir, since we are already executing an EPC part of the BOT project in U.P., there are a few BOT projects available in U.P., coming up in U.P. as well. So will you be looking to participate in that, the EPC portion of it? Yeah, why not? As I told you, that parameters what I have just mentioned. Okay if we can fulfill and if we are satisfied, yes, we will target. Sure, sir. Thank you and all the very best. Thank you. The next question is on the line of Sunil Kothari, an individual investor. Please go ahead. Thank you, sir, for opportunity. Congratulations, sir, Jayanta Basu sir, Mr. Prasad Patwardhan, for such a wonderful job you people are doing. Sir, my question to Mr. Jayanta Basu is, during last 25, 30 years, you've seen almost three, four parents changing the way you navigated this company up to this level. You have seen so many challenges of economy and parent side, some domestic demands, some interesting challenges, and domestic challenges also. My question is, sir, now again, our parent is going to be changed. I'd just like to take your view. What will be your preference? It should be some domestic ownership or interest also doesn't make any difference? And second is, in terms of technical capability, what your preferences will be for new parents? And in terms of financial strength, does it make any major difference if they are very financially strong owners? Your thoughts will be really helpful, sir, because you have faced so many parents and you are so strong now. I think you have rightly said we have quite experience in this particular aspect and we are strong now, so whoever comes, we will be able to manage. I may have many preferences, but there is no point in saying that because whatever is going to happen will happen. That doesn't mean that we will not be able to perform. We look after only for this company our performance. We will keep on doing that. One thing for sure, whoever comes as a parent, they will definitely have interest to grow this company. Otherwise, why they will buy it? Irrespective of whoever comes, I think we will be able to do whatever we are doing now. In terms of technical capabilities, we don't see any major requirement. We are capable enough ourselves. Technically, I will never say that we are 100% okay because every time technical things are changing. Today, we never expected high speed rail in our country. Neither we have expected many other things which is happening now. We have to keep on improving ourself, but that does not require we have to parent to support us. It can be done by many other ways. Sure. All right. Sir, last question is, we are hearing a lot from many, the project taker like, say, Rail or maybe Thermax or so many companies, they are talking about not taking any EPC project. They want to just supply products. In one of remarks you said, "If there is a technical critical job for solar project also, we are ready to take." Do you see this opportunity opening up more because many a time now people want to avoid this civil and construction-related combined project. What's your thought? You're talking about the turnkey job, is it? Yes, sir. Yeah, that is what we have started doing. I think few of the jobs which we have done recently, one burning example is Udangudi, where we have done the foundation, we have done the deck, we have done the conveyors, we have brought the crane, we have commissioned them, electrical, whatnot. The whole package was delivered by us. Same thing we are doing at Project Seabird. That is one area which we are really serious, and we have got our team to handle such jobs. Yes, we'll be happy to do such jobs. Sir, just one more is the power. Thermal power projects which government is planning to do during next, say, 5, 6 years, is almost comparable to last 15 years capacity addition. Do we see any opportunity for us turnkey or civil related? See, thermal power project, if you ask me, it is a job which can be done by many companies. It is pure civil work. Unless something very challenging where we will find the competitions are less, we will be interested. Otherwise, we have to assess what is the job really. Got it. Thank you very much, sir. Wish you good luck. Congratulations again. Thank you. Thank you, Sunil. Thank you. The next question is on the line of Jitin Rushi from Axis Capital, please go ahead. Good afternoon, sir. Congratulations on good set of numbers. My question is on the Vadhavan Port. We have seen that approval has come from the cabinet. When can we expect the award to kick in, and what kind of opportunity size is for Cemindia Projects in this port? Yeah. Vadhavan Port should be a big opportunity for people like us who does an amazing job. It's a big port coming up, so somehow or other, something will be there for all of us. I will not be able to say when it is coming. It depends upon the But basically, I think the ball has started rolling. The first package which has come now, it is on the BOT basis. That is the dredging part and reclamation part. Hopefully, soon the other packages will come. I think it's a matter of one or two quarters when the tender will come. Dredging, we will not be doing the dredging because we are not expert in that, what I understand. Right, sir? Yeah. I think we can help the company who will get the job if they require, but directly we don't participate for such jobs. But sir, in the INR 76,000-INR 80,000 crore, dredging would be what, INR 10,000-INR 15,000 crore or little more? It's a big total value of this Vadhavan Port will be close to INR 70,000 crores, and dredging itself will be around INR 15,000 crores, and then breakwater will be another INR 10,000 crore in that range. It's big numbers. Mm-hmm. We are eligible for broadly around INR 50,000-60,000 crore of orders if we are participating, except for dredging. That is what I understand. Right, sir? Yes. It depends upon how the tender they frame. They may frame it in two phases. We do not know really. The total number is like that. Okay. Thank you, sir. Thank you, Prasad sir. Thanks a lot. All the best. Thank you. Thank you, Jitin. Thank you. The next question is from the line of Vipul Kumar Shah from Sumangal Investment. Please go ahead. Hello, Vipul Kumar. Please go ahead. Hi. Thanks for the opportunity, and congratulations for very good set of numbers. My question is, sir, we had several JVs with our parent company, and we were executing several projects through those JVs where the equity participation was different for different projects. Basically all those JVs were due to technical expertise or due to financial strength of the parent. Now with the parent company gone, will we not be able to compete in these type of projects. What are your thoughts, sir. Yeah. I will clarify. The last JV we have quoted with our parent company was in the year, I think- 27. No, before that. Almost 10, 19 years back. Okay. Today, only one or two JVs are running, which is running is job is almost completed, so final bill settlements are going on. Thereafter, whatever job we have submitted or is secured, similar nature of job, even bigger than that, we have done standalone. We do not really require their support for us to qualify for such jobs anymore. Technically and financially, you can bid on your own, sir? Yes, very much. Lastly, is there any clarity whether parent wants to divest entire stake or only partial stake? I really do not know. I have to ask parent. Hopefully, they will reveal me. They do not reveal to me. I really do not know. Okay, sir. Thank you and all the best for the future. Thank you. Thank you. Thank you. That was the last question. I would now like to hand the conference over to Mr. Prasad Patwardhan for closing comments. Thank you everyone for joining us on this Q1 FY 2025 earnings conference call. We look forward to your continued support in the months and years to come. Thank you once again. On behalf of ICICI Securities, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.