Good day, ladies and gentlemen. Welcome to Somany Ceramics Limited's Q2 and FY 2026 earnings conference call. As a reminder, all participant lines will be in the listen-only mode. There will be an opportunity for you to ask questions after the management's opening remarks. Should you need assistance during the 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. Naveen Agrawal, Head, Institutional Equities at SKP Securities Limited. Thank you, and over to you, sir.
Good afternoon, ladies and gentlemen. It's my pleasure to welcome you on behalf of Somany Ceramics Limited and SKP Securities to this financial results conference call. We have with us Mr. Abhishek Somany, MD and CEO, Mr. Shrivatsa Somany, Head, Bathware, Mr. Sailesh Raj Kedawat, CFO, and Mr. Kumar Sunit, Head, Strategy and IR. We will have the opening remarks from Mr. Somany, followed by a Q&A session. Thank you, and over to you, Mr. Somany.
Thank you so much. Welcome, ladies and gentlemen, and Happy Diwali once again. This quarter, we have grown by about 3.6%, which is after a major impact in the northern territory, which you all know was virtually underwater. Most of Uttarakhand, Uttaranchal, J&K was underwater. Even after that, we have been able to grow at 3.6%, considering north consists of approximately 46%-47% of our tile sales. From that point of view, it's been a fairly decent quarter. However, the capacity utilization still has been low. It's been at about 75% this quarter. That is also due to an outage in the Kassar plant, in our northern plant. We had mentioned it earlier in August to SEBI and also the exchanges that we had an outage. There was almost a 20-25 day outage in the Gauna-Bawana pipeline. Due to the Gauna-Bawana pipeline, that's about 70 km , 80 km from the plant.
It's a GAIL pipeline which had a leakage, due to which the gas was stopped overnight. We did everything we could to make sure the gas gets restored, and it has got restored on the 20th of September with a 20-25 day outage. This did impact some amount of capacity utilization, obviously, but also impacted mostly on the EBITDA level, approximately a 1.2%, 1.25%+ EBITDA has gotten affected. Having said that, now let's come to the EBITDA. Our EBITDA stands H1 at 7.9 and also Q2 at 7.9, which is down from 8.5. This is owing to the issue which we had with the Kassar plant. Had it not been, then it would have been that much better. So we would have actually performed better from last year Q2 and also last year H1. This is an aberration.
As far as GAIL is concerned, this is the first time it happened in their history, so it is absolutely a freak condition. We do have insurance on this, and therefore we now have submitted all the papers possible for the insurance, and we are hoping that with the best outcome, this would flow back into the P&L at a later date. Rough margins did decline, which I just mentioned. Margins also got impacted a little bit. Capacity utilization, like I have spoken, has partially been affected due to this. Although it is not entirely due to this. There has been also a muted demand overall in the northern area, like I said, and across the country. Our JVs are still in losses. One particular JV, which is Somany Max, is still in losses, where we have taken corrective action and you will start seeing considerable gains from this from Q4 onwards.
Vintage Tiles Private Ltd. was another JV of ours where we had a shutdown of 40 days. We have changed the product mix over there, which has now made the plant fungible between some other formats of tiles and some other kinds of tiles. So this particular plant was producing only double charge vitrified tiles, which would basically go to the government. Government spends being slow, this got affected. But having said that, we changed product mix over there, and this is 100% back online from this quarter onwards. Other than that, our ceramic sale was down 1%, whereas the GVT sale has gone up by 1%. So that is very heartening, that GVT keeps going up. And like what I mentioned in my earlier calls, the GVT sales would be 50%+ in the next 12- 18 months. The gas pricing has been completely flat.
There has been no changes in the gas pricing across the different locations. Brand spends have been at the same 2% in Q2. Working capital increased marginally by one day as compared to last year. However, our receivables have gone down further. So the balance sheet is well under check, and we are extremely cognizant of the fact that we do not want to have any open credits in the market. So we are very careful of that. The net dealer addition has been about 119 in the H1. That takes our total to approximately 3,000 dealers and takes our exclusive showroom count to about 520 in the Q2. We do not want to change our guidance. We are still hoping for mid to high single-digit growth this year. Like I said, we get 3.6%. That is when north did really perform.
So we are hoping that with this increased sales in the H2, that would further improve the capacity utilization and that would obviously relate to an EBITDA margin improvement for at least 150 bps from here. These are the highlights for the H1 and Q2. Also, one more point, the total debt in the JVs has again gone down. It is at INR 257 crore, out of which the two JVs constitutes of 75% of the loan, which is approximately INR 105 crore and INR 85 crore between Somany and Somany Max. Other than that, Somany Ceramics standalone does not have any debt. And this quarter again, we did not use any of our fund-based limits. So no working capital was used again for this quarter. And we have made repayments of approximately INR 18 crore in H1. So the balance sheet keeps getting stronger.
We are just hoping for sales to pick up across, which will further increase the capacity utilization and obviously increase the margins quite significantly. This is my highlights. Now I open the floor to Q&A, please. Thank you so much.
Sure. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask questions may press star and one on their touch-tone 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 questions. Ladies and gentlemen, we will wait for a moment while the question queue assembles. To ask questions, please press star and one. Ladies and gentlemen, you may press star and one to join the question queue. The first question is from Keshav Lahoti from HDFC Securities. Please go ahead.
Hello. Hi. Thank you for the opportunity. I wanted to get a sense of the demand, how is the demand
Sorry, Keshav Lahoti from HDFC Securities, please go ahead with the question.
Am I audible? Should I go ahead?
Yes, sir. Please go ahead.
Hello.
Yes, please.
My first question is on demand side. Firstly, have you seen any pickup in demand in October? How is the demand outlook? Secondly, we have said we have taken some price hike in July. How has that played out? Would you like to-
You said the price hike?
You said that you have taken some price hike in July in that call.
Price hike has been retained. We have been able to retain the price hike. In fact, we are looking if the demand picks up, we will probably take another price hike in this quarter or maybe early next quarter. As far as the demand side is concerned in October, considering that was Diwali and Chhath Puja, we have been able to grow with a very small amount in October, which is great news because now it is a clean run for the next five months of the year. I think demand to that extent, considering we have grown at 3.6% last quarter, considering north just did not perform because of rain, I think the demand is coming back slowly and steadily.
Okay, got it. What was the quantum of price hike on blended basis?
What was the quantum of price on blended basis?
The quantum of the price hike.
Around 1.5%. About a percent and a half.
1.5%, right?
Yeah.
Okay, got it. Tell me one thing, as you highlighted in the call, because of Kassar plant, the margin was impacted by 1.8%. That was the impact on this one basis.
No. The Kassar stoppage contributed approximately to 1% to 1.2%+ of EBITDA for the quarter because of the outage of 20 days. That's what I mentioned.
Okay. Because of 1%, the engine was-
My margin would have been better by 1% to 1.2% or more if it had not been for the 20-day complete shutdown of the plant.
Got it. So just last thing, last question from my side. How is the margin guidance going to hold the same because of this Kassar event?
I cannot hear you. I am sorry. I cannot hear you.
So EBITDA margin guidance, you have given an improvement of 100 to 150 basis for FY 2026. Does that hold or will you like to amend?
No, I would hold that.
Okay. That is okay. Okay. Thank you. That's it.
Thank you. The next question is from Sneha Talreja from Nuvama Wealth. Please go ahead.
Hi, good evening team. The way you mentioned of the domestic demand, could you give us some flavor on the export demand?
Sorry, export demand?
You mentioned on the domestic demand. How is export demand shaping up? That could tell us about how much Morbi guides are focusing on the domestic market.
Sure. Export for us was down in fact by INR 6 crores, because some orders left first week of October instead of end of September because the vessel is not available. It was down by INR 6 crores. Otherwise our export is hardly anything. It is literally 2% of revenues. It really does not matter. Overall for the industry, it is good news. It has picked up by approximately 7%, which means that we are on route to maybe INR 19,000 crores-INR 20,000 crores this year, versus about INR 17,000 crores-INR 17,500 crores last year. Overall, export for five months, the data which we have for five months and not six. The five-month data shows that it has picked up by 7%.
Understood. What will be the utilization of our Somany Max plant and at which level do we kind of start making money here?
Somany Max plant is only at 50%, and we are hoping by quarter four it will be at 75%-80%. We are not hoping, we are very sure that it will be 75%-80%. Which means it stops bleeding money. It will not lose money, but it will not make money. It will start making money from next year, but at least we will stop arrest losses.
Understood, sir. Thank you for time. All the best.
Thank you.
Thank you. Before we take the next question, a reminder to participants that you may press star and one to join the question queue. The next question is from Madhur Rathi from Counter Cyclical Investments. Please go ahead.
Sir, I am trying to understand that there is a significant divergence between our standalone and consolidated numbers, mostly due to depreciation and interest. But even otherwise, even working capital days, there is a significant difference. Basically, how should the investors see the company in standalone or console numbers should be taken?
Well, obviously it is one company. Standalone, we have done much better than earlier quarter. Console, it has been dragged because of the two JVs, but a company is always looked at as console. I would like Sailesh to answer that. However, the one thing before he starts answering, I would say that we have grown on a console level by 3.6%, plus our EBITDA would have been at least a percent point two better had we not had this freakish accident, which is at GAIL's side and nothing to do with us. Go ahead, Sailesh. You can answer this.
Madhur, if you look at our standalone and console numbers, you are seeing difference not in sales, but there is a difference in the profitability. There are two or three joint ventures which Abhishek had mentioned earlier, which has not performed during this quarter. Somany Max and Vintage Tiles Private Ltd. were the driver only for this month, this quarter, but otherwise it is on track now. The depreciation number difference between standalone and console is accounting. You have to understand that console also accumulates the joint ventures which are manufacturing joint ventures. So all their interest, depreciation, operating cost, when you do console, it comes into the financials.
Sir, now secondly, what is the trend in gas prices going forward? Sir, how is the demand looking? Is the industry out of the woods or some more pain is left on the demand side?
I think the industry is out of the woods, although it is going to be a slow turn. It is not going to be a V-shape improvement, but it is out of the woods. Exports have started picking up. Mostly, the amount of evasion they can do is already happening. People, they are really hurting over there. No new capacity is going to be added in the next 24 months for sure. As far as gas pricing is concerned, it remains to be flat. I do not think there are any surprises in the future, with most of the wars also getting settled or kind of being at the same level as what it was a couple of quarters ago. So I do not see any surprises with the gas pricing. I think it will largely remain flat.
Somany, what kind of CapEx can we expect for the next one or two years?
I do not have any CapEx for the next 12 to 18 months. All the CapEx has been done, so we will see the debt levels coming down, and profitability going up.
And sir, just a final question, sir. Is it fair to assume that considering the 11.2 msm from the Kassar plant and the INR 150 million from the improvement, we can do upwards of 10% EBITDA margin for H2?
Yes, correct. Your understanding is absolutely correct.
Okay, sir. Sir, thank you so much and all the best.
Thank you.
Thank you. Participants who wish to ask questions, please press star and one. Next question is from Pranav Mehta from Equirus Securities. Please go ahead.
Yeah. Good morning, sir. Pranav, can you hear me?
No, Pranav. It's not very clear.
Can you hear me now, sir?
Not really, but try. Go ahead. Pranav can't hear you.
Pranav, if you're in an indoor area, I request you to move to an area with network. Your voice is breaking. Pranav, we request you to rejoin the queue. Maybe disconnected, call back.
Hello, can you hear me now?
Yes, much better. Please go ahead.
Yeah, sure.
I am sorry, Pranav. I request you to call back. Your voice is not clear again. Thank you. We will move to the next question. The next question is from Ashutosh Khetan from AMSEC. Please go ahead.
Hi, sir. I just wanted to ask what's the contribution of the Ceramic PVT and GVT for this quarter?
Ceramics is at 33%, PVT is 26%, and GVT is 41%. If I take you to levels of FY 2024, two years ago, ceramics was 36%, so it is down by 3%. GVT was 34%, it's up by 7%.
Okay, sir. Got it. Thank you.
Thank you. Participants who wish to ask questions, please press star and one. A reminder to participants that you may press star and one to join the question queue. The next question is from Madhur Rathi from Counter Cyclical Investments. Please go ahead.
Sir, our stock price is at a 10-year level at which it was 10 years back, and the company is also, at least on standalone basis, is totally debt-free. Sir, any plans to do another share buyback and extinguish our shares so that the future growth can get divided on a smaller base of shares?
No. Currently, we did a fairly large buyback and we also had a large expansion of Max plant. Therefore, currently, we have no plans of a buyback. But in future, like I said, in the next 12 to 18 months, maybe 24 months, we don't have any significant CapEx, and we do believe that our treasury will keep coming back after all the investments which we've already made. We will then decide whether to do a share buyback or reward shareholders in some other way. But yes, the principle will be, if there is no expansion, then we would reward the shareholders.
Sure, sir. And sir, in your best judgment, sir, when can we again see double-digit margins, which post-COVID hasn't been the case for a long time?
Absolutely. I think in the next couple of quarters you'll start seeing the double-digit margins.
Great, sir. Thank you very much.
Thank you.
Thank you. Next question is from Yash Tawani from Aamara Capital. Please go ahead.
Yeah, hi. Just want to understand what is the margin difference in terms of the ceramics, the PVT, and the GVT that we have.
Sir, that's a very complex question because within ceramics we have a fairly large differential in margin in terms of contribution and so is the PVT. To answer your question, PVT is the lowest, and then it's ceramic, and the highest is GVT. Within GVT also, there's a lower range of GVT and a very high range of GVT. So the spectrum in the GVT is much, much wider. The spectrum in the ceramics is slightly smaller, and PVT, there's hardly a spectrum. So it starts at one point and ends very quickly in a couple of rupees above. So PVT is the lowest contributor, and then ceramics, and then GVT.
Okay. One more thing, a follow-up on it, what are the targets that we see over the next two, three years in terms of the total cake for these things? Let's say the GVT today sits at 41%, then what is the vision that you have to take it over the next two, three years?
Well, within the next year it should be at 50%.
Okay.
Yeah.
Okay. Got it. All right, yeah.
Thank you. Next question is from Ashwat from Aryan Capital. Please go ahead. Ashwat from Aryan Capital, you may go ahead with your question.
Thank you for the opportunity. I just wanted to ask, our volumes have been relatively flat on a quarter-on-quarter basis. I wanted to know what kind of improvement are we expecting on volumes. That would be my first question.
Well, amongst the largest players, I think we've at about 3.6%, considering north is a very heavy sales territory for us, and north has been battered by rains. I think volume also, like I said, I'm maintaining mid to high single digits for this year.
Sir, on sanitaryware, how much contribution do we expect on top line from here on, since our utilization has been pretty decent here. Where do you see this on percentage basis?
Sanitaryware, we are looking at in the next one year, approximately 15%, 16% of our revenue will be sanitaryware. For the past year, we are on 12%. We are on 12%, we will be probably 15% approximately in the next two years.
Got it. Thank you, sir.
Thank you.
Thank you. Next question is from Keshav Lahoti from HDFC Securities. Please go ahead.
Hi, thank you for the follow-up. How much has been the max loss for this quarter?
Sorry? Max loss for the quarter. Max loss is around INR 7.5 crore.
Okay. Then one thing, whatever the tile range you are talking, is it like the industry have taken a hike or is it more like Somany going and taking a hike irrespective of industry, Somany will take a hike? How should we read it? Because what we
Branded players took a hike, and again, the branded players will only take a hike. Morbi doesn't take a hike. They just increase their duty evasion. Their hike is do more story
Understood. Got it. How has been the north volume year-on-year in Q2 as well as in H1?
North volume, sorry?
Q2 north. North volume declining Q2 and how it has come back.
Q2 north volume has been better. It has grown, but it has not grown as much as it would have normally. I am not too worried about north because everybody in the north has had the same issue because of rain. This will come back this quarter.
Okay. As you were saying, north volume has grown in Q2, your volume is flat, so possibly other regions are not performing good. How should we look at it?
No, other regions. In fact, south has performed better than what it was performing in the last three, four quarters.
But your volume is flat. If north has grown, means south has possibly declined.
North did not grow. South grew, therefore we've grown at 3.6%. Had north grown, we would have been upwards of five.
Got it. Understood. Last, Karan from Amcy, how you maintain your sanitary guidance of double-digit growth, and lastly, how has been the sanitary performance in this quarter?
Sanitary performance has been how much? You can talk.
Sanitary performance-
Yes.
The sanitary performance, hi, Shrivatsa. The sanitary performance has been around 99.2% this quarter, and historically the next two quarters do go better. We are still looking at low double-digit growth in the sanitary bathware segment for the year.
Okay. Thank you, sir.
Thank you.
Thank you. Next question is from Karan from Amcy. Please go ahead.
Hi. Thank you for your opportunity. Somany available?
Yes, please.
Just wanted a few data points, sales number for sanitaryware, faucet, adhesive, and how do we see these businesses shaping in next two years and the margin expansion too?
All three businesses have grown. My brother just said, about 9.5% of our bathware division. The adhesive division is very small, so it really does not matter in percentage terms, but it is growing well. What I can say is that overall, in the next two years, these two businesses, which is the other than tile businesses, will be more than 20% of our total revenue.
Can you split the sanitaryware and faucet?
You want to split the sanitaryware and faucet?
Yeah. How do we see margins for this category? Because we believe it is a slightly premium category and we were doing our best to see improved margins. How are we there?
Well, the sanitaryware is approximately 60% of revenue, and bath fittings is about 40% of revenue, of the total revenue of bathware. Margins are slightly better, not significantly better, but slightly better because we are still one of the challenger players. We have to do that much more effort in terms of marketing, sales, and branding, because most people do not know us as a sanitaryware brand, like they do not know Cera or Hindware or Parryware like a tile brand. They think of them as a sanitaryware brand. They think of us as a tile brand. We are doing that extra bit to make ourselves more visible and more known in the sanitaryware sector. But overall, it has better margins than tiles.
The split I have just given you, 60/40 currently between sanitaryware and bath fitting, and going forward, this will go to 50/50 between sanitaryware and bath fitting.
Sir, I get it.
Thank you.
Thank you. Next question is from Ashwat from Aryan Capital. Please go ahead.
Yeah. Thank you. Sir, if you could just help us with FY 2027 top line guidance and also on margins.
FY 2027? We are at 2026, Ashwat.
Yes, I know it is quite busy from today. If you could just help.
I think looking at the market, we are looking at high single digits even for next year. In margin, it will improve another 150 basis points from whatever we exit. Double-digit margins this year if the capacity goes up, and then another 150 basis points from there for FY 2027.
Got it, sir. Could you help us with the project split, if you could guide us on the same?
Sorry, I lost you there. Could you repeat, please?
The project split, the percentage of projects.
Projects.
Thereon. Yeah.
Project split. Approximately 15%-17% of our revenue comes from projects, 3% comes from 2.5%, 3% comes from export and the rest is retail.
Do we expect similar lines going ahead?
Yes, I believe projects will go up a little bit, about a percent or 2%. It should become around 18%, 19% because real estate again is doing well and their cycle of buying tiles will start happening now. I do believe that the projects will become slightly larger. I think next year would be about 75% to 77% retail, 2%, 2.5% export will remain, and the project will improve by about 3%, 4%.
Okay, sir. Got it. My last question would be, what were your gas costs for the quarter? Sorry if I missed it.
Gas is absolutely flat. There is no difference in the gas price.
Okay. Thank you, sir.
Thank you. Next question is from Udit Gajiwala from Yes Securities. Please go ahead.
Yeah. Hi, sir. Thank you for taking my question. Since you are holding up the guidance for the volume growth, is that the result in that you are seeing that even the margins will come up to double digits or it will be more like the product mix change that you are expecting max plan to contribute? What happens if your volumes, if you are not able to deliver, where do we see the margins then?
All three ways. It will be a host of matters. Of course, capacity utilization makes a lot of difference. With that, some amount of rejigging. We continuously are value adding and going towards more of a value add mix. But currently, this double-digit margin very largely will come from capacity utilization going up from the 75% to 85%, 87% levels and more.
At the current product mix, if the current utilization goes beyond 85%, then double-digit margins are to it?
Yeah. It will add about 100, 150, 120, 30 bps automatically at current margins.
Okay. One more clarification, since this is just due to operating leverage, there is no role of price hikes. The price hikes, if you are able to take and pass it on, that could be more incremental. Is that fair understanding, correct?
Yes. Correct. But there is no price hike currently for this quarter. Probably end of the quarter or early next quarter, we would probably think of that.
Very nice, sir. Thank you for the clarification. Thanks.
Thank you. Next question is from Shreya Garg from Yashwi Securities. Please go ahead.
Hello. Thank you for taking my question. I am on mute.
Yes, please go ahead. Yes, please go ahead. Yeah.
Okay. Yes, sir. I have to take your view on my understanding about the industry. As we know, the building material industry made that about a lag of 2- 3 years post the real estate boom. This was supposed to be coming in FY 2025 and 2026 for us. But the entire listed industry missed out on this opportunity. Would it be correct to assume that the next volume or the demand boost should be coming for us in the next real estate cycle?
No, I do not think we missed the opportunity at all. Tile is just the last item which goes in the building. In fact, our cycle is just about beginning.
Okay. But we have seen volumes to be flat for the entire 2025 and 2026 even for the top listed player. Both the entire industry have been giving a high guidance for 2025, 2026, 2027. But we have not seen that happen.
Yeah. Obviously it has been delayed, but the cycle is just about starting. There has been some volume which has been taken by local players of the real estate because the price differential is so substantial with poor quality and high level of tax evasion. That has taken up a little bit off the sheen from our growth. But that seems to come back because export, like I mentioned in the call, maybe you had gone there on the call, but export has gone up by 10%, which means that a lot of the multi-players will again start re-exporting and a lot of their focus will move towards export and leave that much more space for us in the domestic industry. But I am pretty sure that this growth is still to come for us in the next 12 to 18 months, maybe 24 months.
We will look at single digits and high single-digit growth levels very soon.
Okay. Thank you.
Thank you.
Thank you. Before we take the next question, a reminder to participants that you may press star and one to ask questions. Next question is from Madhur Rathi from Counter Cyclical Investments. Please go ahead.
Sir, I'm trying to understand that if you operated full capacity utilization across our subsidiaries and JVs, what kind of maximum revenue we can generate per annum?
I think your question is towards how much capacity I have. We can do about INR 500 crore-INR 600 crore more of tiles, and we can do another how much of sanitaryware between the two?
INR 100 in the two. Between sanitaryware and bath fittings. So another INR 100 crore in current capacity.
In current capacity. About another INR 100 crore between sanitaryware and bath fittings.
Basically INR 600 crore more than what we are already doing.
Between INR 500 crore and INR 600 crore.
Since FY 2015, our net block has increased from around INR 250 crore to INR 1,000 crore. But sir, it seems that our revenue that time was INR 1,500 crore and even if we add INR 500 crore, INR 600 crore on our existing revenue base of INR 2,700 crore, it will be INR 3,300 crore. It is by and large only doubling, whereas the net block has gone up four times.
Can you, I would let Sandip answer.
First of all, 15 and current is not comparable because 15 there was a different accounting as well where JV blocks were not getting consolidated into the consolidated numbers. From 17 when Ind AS started, we started consolidating the block. To answer your question, I think we did investment of around INR 500 crores over last
Two to an half, three years, in fixed assets. And there's a depreciation charge also which has come on all those assets. So depreciation is around INR 50 crores per year. So INR 150 crores is reduced from there. You'll have to look at 16 numbers on our pre-cast assets, 16th balance sheet or 17th balance sheet to look at the correct block numbers.
Right. Understood. And sir, what percentage of our revenue are we spending on advertisement and sale promotion?
It was at about 2.9% at a smaller revenue. Now it's about 2.3%-2.5%.
Sir, going forward, we hope to maintain this level?
Absolutely.
Okay. Now sir, regarding the Morbi players that you were alluding to that the duty evasion. I understand over the past decade, two major Morbi players have broken into the retail segment in India, Simpolo and Varmora. Are these players evading GST? Sir, because I think they are too big to do that.
These are better players out of Morbi. Out of 800 players, there are four or five better players out of Morbi. I do not mean these players, I mean the rest of the Morbi players.
Sir, these-
Because their turnover is between the INR 100 crore and INR 500 crore mark.
Sir, it was expected that post GST, this sort of thing will basically go down. But instead, sir, is it because the gas input, GST is not available on gas?
It is not only that, it is the question of how they are evading it. They misdeclare their quality. There is a difference between first quality and second quality. We make 95% first quality. They probably make nothing more than 20% first quality. Anyway, this is a question which you can hit me offline.
Right, sir. Sir, that is all. Thank you very much. Best of luck.
Thank you.
Participants who wish to ask questions, please press star and one. That was the last question in queue. As there are no further questions, I would now like to hand the conference over to Mr. Somany for closing comments.
Thank you so much, ladies and gentlemen, for joining the H1 and Q2 results. We hope for better times and much better growth for the H2. I look forward to the next conference after Q3 results. Thank you so much.
Thank you very much.