Good evening, ladies and gentlemen. I welcome you all to the H2 and fiscal year 2024 post-earnings conference call of Aimtron Electronics Limited. Today on the call from the management we have with us Mr. Mukesh Vasani, promoter and Chairman; Mr. Nirmal Vasani, promoter and Senior Technology Director; Ms. Nikita Shah, Chief Financial Officer; and the management team. As a disclaimer, I would like to inform all of you that this call may contain forward-looking statements, which may involve risks and uncertainties. Also, a reminder that this call is being recorded. I would now request the management to quickly run us through the investor presentation of the company, briefing us about the business and performance highlights for the year that went by, the growth plans and the vision for the coming year. Post which we will open the floor for question-and-answer. Over to you, sir.
Good evening, Vinay, good evening, all the friends. This is Mukesh Vasani. I'm going to start the presentation now. I know we will have questions later, but I'm going to give you a very quick overview about company. You see the disclaimer here. We will go through a little bit today company overview, business profile, industry outlook, and way forward with financial metrics. In a company overview, if you maybe heard about this little bit, that we work on PC board assembly, including full design, engineering, and end-to-end solution in various sector like automotive, industrial, gaming, IoT, robotic, AI, medical, and defense, and other areas. Our goal is to diversify our portfolio in a such a manner, so any sector goes up or down does not affect our overall revenue stream. That is the reason we have very varieties of customer base in our portfolios.
Go to the next please on this one. You can see myself here and Nirmal here. We both are promoting this company, and we have a full team in India managing this whole infrastructure. If you look at here in our progression, we started this company in April 19th, 2011. Fast-forward, for first three years we worked as an ODM company and worked as a kind of just their need in their premises. We moved out from there in 2014, and we did an opening ceremony with Karnataka Governor, Shri Vajubhai Vala, and then we started our journey. 2014- 2018, we accomplished INR 20 crore of turnover. If you look at that, in 2020, we start winning the award. In 2021, we crossed INR 50 crore. Also in 2021, we opened a facility in Whitefield.
Dr. Ashwath Narayan came to do an opening ceremony, and we started with ISO standard focusing on high-tech medical clientele base over there. Under 2022, we also started automotive standards and other standards. In 2023, we opened two city offices, one in Vadodara City and one in Ahmedabad for more engineering support. That's why we started a city office. You all know that in 2024, we accomplished a huge milestone, and we got publicly listed. If you look at the business profile here, I'm moving to section two. In a business profile, as I say, we are unique. A kind of an comprehensive ESDM solution we are providing to our customers. We do PC board design, we do assembly, we do full electronic system manufacturing, Box Build, and we also cater across the globe.
Under customized solution, we work with the customer, we go latest and greatest technology, like microelectronics assembly or IoT machine learning and end-to-end support. We're going to have couple more slides on the sector serves. I'm not going to take too much of your time over here. Moving forward at next slide on this one. You can see at the bottom also what we catering right now. Under manufacturing facility wise, we have two manufacturing facility. Both are state-of-the-art. In our Vadodara facility, we have a three assembly line, there is one more assembly line is coming. Is already installing on quarter two. In Bangalore, we cater this kind of a clean room facility. It's not a clean room yet, that is our goal for that facility to have a clean room facility for high-tech life-threatening devices or for a government secure project.
That kind of facility we create in Bangalore. We have currently two facilities, we have two city offices, one in Ahmedabad, one in Vadodara. All the facilities, we have all kind of infrastructure certification. Let's see, IATF we have for Vadodara facility, which provides all automotive ISO standard is already there, 9001. We have a medical standard for both facilities, 13485. We also very much focused in environmental and safety and also ISO 14000. We have complete certification in all the facilities, whatever needed for current project. If you look at here, there is a more in-depth 4 plus 1, 5 SMT lines we have, four already installed, fifth one is coming, which is part of our ISP. 37 through-hole board lines and three full Box Build Assembly lines. two we have here in Vadodara, one we have in Bangalore.
You can see more in that. On the manufacturing capability-wise, I think that's right now I'm going to stop here, have other Aimtron team members start taking the lead. Manufacturing capability-wise, maybe Nirmal Vasani, you can take the lead if possible.
Absolutely. Hello, everybody. For manufacturing capabilities, Aimtron has always strived to become a full-service, end-to-end, one-stop solution for the market. That includes everything from product design, having turnkey manufacturing capabilities, converting that into electromechanical high-level assemblies. Within those capabilities, we do SMT through-hole, any sort of electronics testing, any sort of customizations and custom paths, including cables and harnesses as well. In terms of our process, everything starts with material. We start with the raw material sourcing. From there, once everything is kitted, we go into printing, then we go into a 3D solder paste inspection. That's what SPI stands for. After that, the pick-and-place machines will place the SMT components, the reflow will bake the components into the board. After that, we have wave and selective soldering for through-hole components.
We'll do any sort of insertion tests or manual soldering that's related to that. Sorry, from reflow, we go into 3D AOI, followed by X-ray, and then we go into the back-end assembly, including wave soldering and insertion. If manual soldering is required, that will be done at that time. After that, we do cleaning and washing and any sort of ultrasonic welding if necessary. After that, it goes into our testing and quality assurance processes. From there, if box build is a part of the build, it will happen then. From prototyping all the way through to the end product, we can actually start from the concept stage, have the PCB design, do the assembly, take care of the cabling, take care of all of the mechanical components, including sheet metal, plastics, any sort of magnetics or machining.
Once the system is fully integrated, we can do functional testing, the box build is complete. The task moves on to us doing the logistics, any sort of repair, reverse logistics as needed. For the second stage, we'll go back and redesign and do an analytics for improvement further. Next slide, [inaudible].
Thank you, Nirmal. Maybe I have our Director of Sales, Mr. Sneh Shah, is available also. Maybe, Sneh Shah, can you take these couple of slides?
Sure, I think. Thanks, Mukesh and Nirmal, for the brief. Hello, everyone. Product portfolio, I think to what Mukesh and Nirmal stated. It's a complete system integration, we call that as an EMS or ESDM. That is electronic system design and manufacturing. Just an example, say if anyone comes with a concept, we help them to design. If design is ready, we take it to the prototype. Prototyping to production, till end-to-end level support. Production also, like for manufacturing complete system integration, what you see first one, that is Box Build Assembly. No doubt, PCBA or PCB assembly remains our core competency, where we are making hundreds and thousands of boards a month.
Over and above that, in case if you have completely, injection molding, sheet metal, die casting, cable assembly, or whatever it would be, we can help you to provide a complete one-stop solution, where like in case, if you're looking out for some testing for product reliability testing like EMI, EMC, UL, CE, where we are in global market. This kind of certifications are also required. We do have that design, we do have that capability team, design team who can help us to get that kind of service as well. In short, anything and everything, like in terms of electronics to complete the system integration, we can help them to provide everything.
If we go in depth, if you talk about product engineering, in case whether it's hardware design, specific to embedded, whether it's firmware, whether it's mechanical. Sometimes what happens is, some of the value-added engineering services like DFM. Once a design is ready and before we take it to the prototype, just to ensure that manufacturing defects or something doesn't happen. We do have one software called Valor, where we get things done. Specific to that, we have manufacturing engineering team as well to add the value-added manufacturing services. We have softwares like Altium Designer, SOLIDWORKS specific to hardware, specific to mechanical. Again, as we stated, any pre-compliance certifications, for example, if we need to sell anything in Europe, we need CE certification.
Anything for medical, we need the UL or we need the FDA or something kind of. We do have the capabilities where QMS team is available to help us for regulatory compliances. Anything for quality engineering, like end-to-end solutions. If any of the part is going to get obsolete, we can help them to provide alternative for that. We have a component library of 700,000+ components. To what machineries that we have, they are state-of-the-art Japanese machinery, latest available in the market. The smallest component like 0201, which is considered to be the smallest as of now in today's world, where to what next coming up, small part also we will be able to place it. To what new machines are coming up. That level of capabilities we have.
In terms of AOI, SPI, to what Nirmal stated, all of the machines are 3D, where you can see in all the six directions. Again, they are latest available in the market. If we talk about sectors to what Mukesh stated, we don't put all of our eggs in one basket. We have myriad of sectors that we serve. First one we talk about automotive. There are different kind of boards that we do, completes a couple of systems, because as of now, a couple of technologies are trending. Like EV as of now is trending available in the market. We eye on such kind of niche market segment, not only India, but across the globe. Where telematics or onboard charger specific to anything for BMS, whether it's automotive or telecom, any of the BMS management like battery management system, we help them to do.
Industrial remains our core competency again, where any IoT 4.0 to what Industry 4.0 people are talking about. First device you see monitoring system. Customer came with a concept, we completely designed it, and as of now it's in a production phase. It is even helping customer to reduce their maintenance time and couple of added advantage on top of it. Sorry. Gaming sector, as of now in India, there are very less players, and we are the one who are already doing into that. Digital cube that have been sold in U.S. market. Slot machines, again, couple of machines that have been used for casino or something. Pinball, like complete pinball machines, like a couple of mechanical stuff that we do. Controller for remote control and all that. That is somewhat a niche market segment that we are already in.
As of now, people are talking about AI, robotics, ML, and we already have channeled into that sector. You already might have seen the press release. As of now, we already tracked one deal for a specific IoT device, a couple of million US dollars. That is been used to track the fleets of logistics department. Drone, as is again stated in the press release. Drone, we signed couple of agreements with one of the international player, where we are down the line. As of now, we are focusing on their plastic parts and all, but down the line we might encounter for PCBA as well. PCBA, couple of other players we are already in. Like couple of players in the India market, along with a couple of other market as well.
To what medical and healthcare equipment, we do have ISO 13485 specific to that. Air quality monitoring device, couple of ventilator, critical equipment makers, we are already there. Power sector, yes, remains like relays, power board, voltage regulator relays. These are just a glimpse of what sectors that are divided into. It's just a glimpse of that we don't put all our eggs in one basket. In case of anything in global market, we can chime into the latest available technologies, that is what we are into.
Thank you, Sneh. I think we have a lot of questions about this, definitely we're gonna go revisit this.
Sure.
Maybe you want to take one more slide, and I'm gonna hand over to Nirmal.
Sure. I think defense we are trying to enter into that domain. Defense is already on radar for us. Yes, if we talk about specific to UAV or drone, like robotics in terms of drone, we are there. Any other defense, because as of now, the defense market is booming up in India to what Make in India, made in India is there. We are trying to add that. Healthcare, as we stated, we are eyeing on one more step ahead that as of now under made in India, government has made CDSCO compulsory or mandatory. We might undergo that as well in near future because a couple of our players are exploring in that direction. Consumer, as we stated, not specific to consumer electronics, but again, something related to technology where AI or ML is affiliated.
As of now, most of the products people are eyeing at getting things in the automated way. That is where AI and ML and IoT is in the picture, and that is where Aimtron steps into. Because to what we are in, we have the state-of-the-art machinery, state-of-the-art facilities, and to what we focus is on quality or niche market segment. That is what these segments are all in.
Thank you, Sneh. Nirmal, if you can take these couple slides here.
Yes. In terms of competitive strengths, our biggest one is that our product portfolio is continuously advancing. It's continuously expanding into not just each industry, but also that portfolio is expanding with applications across multiple different industries. This diversifies our industry classification. What that diversification does is it allows us to mitigate risks and mitigate vulnerabilities when certain verticals are experiencing challenges or economic downturns. Aside from this, we also have very complex product manufacturing expertise that a lot of our competitors at the entry level may not be able to meet with. At a comprehensive level, we also have strong in-house capabilities for both design and manufacturing, which gives us an understanding of how to develop in a way that makes a more successful manufacturing experience.
We also have very strong long-term, well-established customer relationships, as well as a lot of product variety within those relationships, which means that as shipment volumes increase, it's an exponential increase. Our strong supply chain, our strong sourcing network spans multiple sources across Asia and the U.S.A., as well as Europe. Going through, we also have very strong quality assurance processes, very strong testing processes, and a very experienced management, which is also highly motivated and young in thought process while wise in age.
Thank you, Nirmal. I think a lot of investor friends have questions. What is your differentiator? That will help us to understand. I'm going to get one more slide. Maybe you can take this.
Absolutely. Every company within our industry, every service provider of our nature, faces the same weaknesses of having dependency on key suppliers for critical components and having vulnerabilities due to market fluctuations in any sector that they are concentrated in. To mitigate those weaknesses, we have the strengths of having very strong manufacturing capabilities as well as very diverse customer bases, which give us some shielding from the market fluctuations and provide us a safety net in that regard. The focus on research and development allows us to mitigate our dependency on critical components, as now we can develop secondary options, tertiary options for anything we previously may not have found a solution for. Alongside of that, we pride ourselves on a very strong commitment to high-quality standards and certifications.
In terms of threats, the ones that we face at the most right now include having an intense amount of competition from global and local electronics manufacturers, as well as having supply chain disruptions, and compliance with regulatory standards that are dynamic. The opportunities that this evolves is because these supply chains are being disrupted across the industry, we also have an opportunity to emerge into those markets and take opportunities where other companies cannot. We can also integrate IoT, AI, and we have very strong automation technologies that we are already capitalizing on and in the process of capitalizing on further, as well as strong opportunities in terms of government incentives for electronics manufacturing.
Thank you, Nirmal. Thank you all. I think American quality on Indian soil, that's our slogan, and that is the main strength we have. I'm going to go a couple more slides, and then we can open for the question and answer. I'm not spending too much time on this. You've been reading every day, how is the whole ESDM sector is going on, and what is plus and minus, market growth, demands, investments and infrastructure. You see the government initiatives, PLIs and all kind of schemes they have, including technological advancement. With this government also, we are getting lot of support, and I think this is something we are knowing, so I'm not going to spend too much time on this one. Definitely we can take it more on question and answer if needed.
In short, if you look at that, in 2026, government wants to get electronics portfolio about $300 billion. That's a huge portfolio. There is so much opportunity and so much expansion required for EMS. Current EMS is not even capable to handle the workload we have. I think that's what I heard from one of the brand that really has too much work. Right now they could not find even enough suppliers. They are mentoring suppliers also. That is the scenario right now in our industry insights. I'm not taking too much of your time on this, but if you look at the CAGR data and all other data is published by the government. There's so many initiatives. We are for Make in India initiatives. We are taking benefits from Gujarat government also, subsidies, benefits and all these things.
We will be now just gearing up in Indian system now. We never thought this would 10 years ago or five years ago that soon we're going to go on the public. Last year, we decided, and we moved and jump on. You will see a lot of ways of you can see something that's a question came out a lot of time, you know, why this, why that? That is the reason also, we just prepare everything very quickly. On the way forward, I think we did discuss a lot, I'm not going to go too much, diversified industries focus. We're going to get that. Nirmal already touched upon this. Our goal is to focus on various industries. Also geographical expansions, operational excellence, backward integration and expansions. We have a lot of thought process.
It's too early to say everything right now. Maybe Sneh, you want to add or Nirmal, you want to jump onto this? There might be a lot of questions on this one. You guys can maybe I know this company is also in teenage, correct? 11 years, how many years? 13 years? 14 years? We are in teenage, so we have a lot of young people on this one. Maybe Nirmal and Sneh, you can take it on this. Sneh, you take first.
Certainly, I think immense opportunity lies into India to work. As of now, everyone is eyeing that. Not only specific to electronics or not only specific to EMS, but complete electronics as a system. I think, no doubt there are a couple of companies, but we also are going to play a vital role, and we are just trying to see on how can we contribute more on each and every segment, from diversification to geographical expansion to backward integration and expansion as well. It can be both backward as well as forward integration down the line. To watch us-
Thank you. Thank you. I think we would like to go more on question and answer. I really appreciate everybody. I'm going to go more. Your excitement is right here because everyone wants to see the financial numbers. Nikita, maybe Nikita,
Hello, everyone. Very good evening. Today, we are here to give a glance for the financial updates of the company for financial year 2024. The revenue for the financial year 2024 stood at INR 929.80 million, increased by 29.09% year-on-year. The EBITDA for the financial year 2024 stood at INR 236.30 million, increased by 42.60% year-on-year. The EBITDA margin for the financial year 2024 stood at 25.40%, increased by 22 6 basis points year-on-year. The PAT for the financial year 2024 stood at INR 136 million, increased by 57.50% year-on-year. PAT margin for the financial year 2024 stood at 14.60%, increased by 257 basis points year-on-year.
The return ratios on equity was 26.30%. The return ratio on capital employed was 31.40%. Looking at the segment-wise revenue industry, geography and service-wise for the financial year 2024. The total revenue for the financial year 2024 stood at INR 929.80 million. Top three industry-wise sector, we have played major role in the industrial by 36%, in gaming by 20.90%, in automotive by 13.40%. Top three geographical, our highest sale geography-wise in the U.S. was by 44.80%. The second highest is India by 26.20%, and the third highest is the U.K. by 11.80%.
The top three service sector major services provided were in PCBA by 17.60% of total revenue, in Box Build by 24%, and in end-to-end solutions by 5.4%. Looking at the income statement. EBITDA margin in financial year 2023 was 23.15%, and increased in financial year 2024 by 25.4%. PAT margin in financial year 2023 was 12.1% and increased in financial year 2024 to 14.60%. EPS in financial year 2023 was 10.6%, and in financial year 2024 is 9.06%. Looking at the balance sheet. Shareholders' fund in financial year 2023 was INR 312.3 million and increased to INR 570 million in financial year 2024. There is no major change in the current liabilities.
Current liabilities for financial year 2023 was INR 433.40 million, decreased to INR 280.90 million in financial year 2024. There is no major change in non-current assets. Current assets in financial year 2023 was INR 640.80 million, increased in financial year 2024 to INR 694.20 million. We can have for the moderators to show the next slides.
I think we are at the end of the presentation, Vinay.
We'll take up the question-and-answer, sir. You can end the presentation.
Correct. I will end the presentation and we're going to go to question-and-answer. Yes. Staff share. Thank you.
Thank you, sir. We'll take the first question from the line of Agastya Dave. Agastya, you can go ahead, please.
Am I audible, Vinay?
Yes.
Thank you very much, Vinay. Sir, thank you very much for the opportunity and great presentation. Sir, I have two broad questions. One is on the marketing side. You have clearly shown your capabilities, but first of all, what is the marketing setup of the company? How do you approach your clients? How do you onboard them? What is the process? How do you win new accounts? Once a commitment is made from the customer side, what is the gestation period before which you start production? Do you need to put in some kind of a capital expenditure before you start servicing a new account?
Good question actually. Nirmal, you want to start?
Sure. I'm going to start in reverse order for your questions. The last question that you asked was what our period is, we call it a lead time, between when an order is placed and when we can actually fulfill that order. Standard lead time depends on our material availability. For most projects, that is within eight to 10 weeks from order placement to order being delivered and fulfilled. For those types of orders, our standard orders, we actually have no need for any additional capital expenditures. We already have very strong equipment, very strong lines that are able to fulfill those orders, there is no need to have additional lines being utilized in excess. Even as of now, even with our current growth, our management has been very careful to still have built-in capacity to be able to manage larger orders coming in.
The question you asked previous to that is the marketing setup of the company. I have a small request. Could you please elaborate on what exactly do you mean by the marketing setup of the company in this sense?
Hypothetically speaking, let's say you think that you can make some speakers for Bose or Philips or Sony or whatever. You have to crack that account, right? Somebody has to go and make a pitch. Somebody has to do the iteration, then do the negotiation, present the plans, get their feedback, then probably they would like to visit your plant. There may be some additional certifications needed. There will be a fairly long process, right? In your organization, who is heading all these functions? Who is heading these functions, plus what kind of team you have in place? How many people are there? What kind of investments do you need to make in your marketing setup?
Nirmal, can Sneh take this?
I was just about to suggest that.
Agastya, I was late by five minutes, so was the reason I was at kind space. To answer your question, as of now, I'm looking after for sales and marketing, and for specific to lead generation and all to what we are exactly looking out for. We use different social media navigator tools, just an example I'm giving as of now, say, LinkedIn Sales Navigator tool. This kind of social media platforms, there are some database expos, exhibitions, and there are several ways out once lead is generated. Lead initially is prospect. From prospect, it gets converted to lead once we receive the RFP and all. From lead, it gets converted to the opportunity to win it. Then if in case required, face-to-face discussion, virtual meetings, whatever is required. We do have a team size of it, for different regions in case if it's required.
Because as of now, what we do is we are into B2B market, it's more of a virtual world post-COVID that it has started. As of now, that is how it goes.
Thank you, Sneh. To add a little bit, because this is something Agastya Dave is now looking for. He's looking for more our in-depth plan. We have about 10 people right now in India. Our goal is to have about 30 people to get engaged in marketing and sales. We also planning to have a couple other areas. Out of this money, we have some general purpose money, we are planning to have a couple of office somewhere in middle, maybe European countries or somewhere. We are participating one of the Germany expo, Munich, coming out, and we are participating international expo exhibition. We will be attracting those big name. Also, recently we got registration and HAL, BEL, ISRO and all those peoples.
We are now public company because previously was NRI directors and promoters, but now we are a public company, so we can go on more government defense, railway, and all these areas too. I hope I answered your question.
Right, sir. Thank you, Sneh. That was useful. Thank you, sir. My second question was, can we go back to the presentation? There was a particular slide which gave the breakup of your revenues by geography, by industry, and by product segments.
I had a question related to that slide, if you guys can go back to that slide.
Can we take one on one because we have almost 45 minutes, and we will not be able to answer the question.
All right. I'll quickly ask the question then, sir. Sir, you have so many products, and you have so many industries that you're catering to. Your scale is still, what, INR 100 crore, sir? Or INR 93 crore, right? Are all the offerings that you're today making, all the products, are all of them breaking even? Or some of them have not reached this. On a variable cost basis, they must be making money. Is everything making money on a fixed cost level? Second, when you scale up, what do you need to add? Is it more capital intensive or is it more manpower intensive?
I'm going to answer second first. We do not have to worry about capital because our infrastructure is ready up to next three years. With the coming new lines. Capital, they are latest and greatest lines, latest and greatest facilities, and most welcome to walk through the facility. The first question, going back to here. See, Aimtron Electronics is just only says INR 91 crore or INR 94 crore, if the number is correct. It is born from Aimtron Corporation. There's nothing to shy that Aimtron Corporation is a mother company in the U.S., and that is originally started from Aimtron Electronics. We are catering all those industries, and we are trying to encourage all the customers to go direct to Aimtron Electronics, and that is the reason you don't see.
Also when you have a smaller unit, it's very hard to justifiscal year all the % and everything. Within a couple of years, you will see the way you are looking for the result.
Got it, sir. One follow-up and then I'm done, sir. You said that you have enough capacity for three years. What's the maximum revenue you can generate from this particular capacity?
Oh, my God. That's a hard question. You look at all my peers. If you look at Vinyas, you look at Centum, everybody, they are going far, far, far. We cannot commit to 100% growth. Right now we committed to 30%-40%, maximum 50% growth. That's what we are committing. Again, also our culture is more as American culture. "It will be done, sir." Speaking like this, if it won't get done, then we don't want to do it.
Great, sir. Thank you very much for answering my question, sir. Thank you.
Thank you. We take the next question from Vian. Vian, you can go ahead, please.
Yeah. Am I audible?
You'll have to speak a bit louder, Vian.
Okay. Am I audible now better?
Yeah.
Is it better now?
Yes.
Okay. Thank you. Firstly, congratulations for listing your firm on the Indian markets and in anticipation of what is going to be a very fast-paced growth for your industry, just like your peers. I'd like to understand, impressively, you on INR 94 crores of revenue, you seem to have a lot of exports also that's going on. Can you please help us understand the levers for growth? How much of the India business are you going to see and what percentage of growth? Because there's a lot of geographies mentioned on slide 30. I'd like to understand what sectors are you targeting in which markets, and how will you execute that? It's quite exciting and unique when we compare it to other players in the EMS industry in India.
Others don't seem to be targeting the overseas geographies, whereas Aimtron is having a very wide portfolio of products across geographies, and plus you have two companies, both the mother corporation and Aimtron India. Please throw light on that. Thank you.
Thank you so much for the. It's a long question, though. I hope I can satisfiscal year your answer. Mainly, our goal is to have a various market because electronics is kind of mother of all industry, correct? All product. Because we are doing design, we are doing engineering services. Our goal is to stay in every market categories with, let's say MRI. Medical. We select MRI customer, but we try to build a heart for them, controller for them. We don't want to go on plastics and top and top unless there's a full benefit of this design also. We're going to satisfiscal year most of all the industries. Geography-wise, our India will be 20%. That's our process right now, 20%-30%. Rest of will be out of country.
A lot of customers, they are looking for India and they are looking for Indian solution. That's what we are trying to cater them and to come to the India directly. That is why you will see a varieties of product and you will see a varieties of customer base. In addition, varieties of geographical exposure. We can keep our margin and everything. Otherwise, that kind of question will come up next. Because of this reason, we go to niche market and a niche area, a niche product, and we can maintain our EBITDA.
Does it mean that you have sales and marketing across the globe? Because you have cited Hong Kong, you cited other countries, North America, Europe, et cetera. You have sales and marketing across the globe, which is able to help you with business?
In progress, yes. In progress also.
Okay. You cited North America, Spain, U.K., U.S., Hong Kong-
Yes
apart from India. You have a very wide portfolio. You de-risk yourself in a way in terms of geography and also your product line.
Correct. We started the process. We just listed about 20 days. We started the process. We hired a guy for South Africa, we hired a guy for Germany, and we hired a guy for Texas. We are working on that. Maybe next call you will get more better answer.
Okay, this is very exciting. The second and last thing is, you said you have the mother corporation, Aimtron, in the U.S. What kind of synergies do you hope to achieve having these two firms? Because you've been in the U.S. for long, so you've got a lot of brand recall there, and I heard you have some stellar customers that you don't want to name, but that's fine. What kind of synergy can the India business Aimtron derive from the U.S. presence of Aimtron?
Maybe let the next generation answer this question. Nirmal, you want to take the lead?
Sure. There's actually a multitude of benefits that we get from our current setup, with having our processes, our systems being developed in the U.S., and then having those processes being implemented in India. The main one is that it allows Mukesh and I to build very strong customer relationships outside of India. This is something that, unfortunately, my peers are not able to meet with, and that's why, part of your previous question, we are able to support such a large export quantity is because we already have an established name and established reputation outside of India, and we have demonstrated that we're able to provide quality that is far beyond the norm for typical domestically developed products. That is the first part.
The second part is that those relationships also give us a sense of education in terms of best practices for manufacturing and best practices for development that other companies may not have access to as of yet. Having a global perspective on what customer expectations are allows us to cater our manufacturing and development accordingly, which allows us to get a much wider spread in terms of which business we're looking for, in terms of keeping within India versus looking to export from other countries in the world. I'm hoping this answers your question.
Yeah, this mostly does. Is there flexibility of what business can be moved to, let's say, the Aimtron India versus what business is executed out of Aimtron U.S.? I'm given to understand that you've got a very wide workforce.
Sure. Some customers, let's say, they want American product and American way. They always get catered in America. Lot of customers, they have a price sensitive. They are not happy with the current manufacturing facilities, whether China, Taiwan, wherever they are. They love to come with us and they want to take the project to India. New customers, we are trying to register directly with India, but some customers, they do not want to go direct to India. They will still come with us here, and then they will eventually transfer to India. Yes, there is two separate entities, though. Aimtron Corporation and Aimtron Electronics both are totally separate, independent identities. There is nothing in between, though. We are trying to get better value in India and better projects there. That is we are trying to accomplish.
Thank you very much. All the best.
Thank you.
Thank you. We'll take the next question from Rohit Ahuja. Rohit, you can go ahead, please.
Vinay, I have one second.
Yeah.
I have one second. Time is seven. Okay, my time. I'm in another meeting.
Yeah. These are the last two questions. Rohit, you can go ahead.
Yes. Thank you for the opportunity. Wonderful presentation and explanation about the business. Some part of my questions are already answered in last. Just as you mentioned, we have as of now, lower revenue from India. How we are looking India as a business opportunity? Because as we see in the various sector, be it defense, be it railways, be it aerospace, government is really pushing toward the local manufacturing. Our defense export is an all-time high. How we are looking? As recently, I think you have mentioned that you got some approvals from HAL or BEL. Can you brief us more about that? What opportunity that can bring to us? That's my question. Second question is on just on the margin. As I'm checking with the another companies, we have a margin of north of 20%, more than 20%, right?
I am comparing various other companies have margin of less. What differentiate us really so that we have a lot of more margin than our listed peers or other companies? Just two questions.
Yeah, the first question first is a good question, though. All these government bodies, we already started the process. How are we going to get there? We don't know yet. I can tell you my peers, they double the business within a two years. Kaynes is one of the open book you can see. They have a 34 years history. Before last three years, look at their history three years ago or four years ago, and now in four years, where they are. Look at even Vinyas is another two extreme I'm showing you. One is a top extreme, one is a bottom extreme. Vinyas or Centum, look at it. Their business is double. Is that correct? There is a lot of opportunity, and we are prepared for that.
Right now, we cannot give you any numbers-wise that this number will get it or this not. Within a couple more quarters, we'll see how it comes out and how it goes. That's the first part. Second part, I think, as Nirmal touched on this, I can give you one simple example, I'm not sure is this reliable in service guideline or not. Mercedes-Benz can sell only Mercedes-Benz, correct? If our concept is Mercedes-Benz, our concept is a high EBITDA. We don't want to say high means always going to be 24% or 25%, but better than our peer will be always there because we have a niche market, and we have a niche customer base, and we have a U.S. exposure
Yeah. Thank you. Thank you for the answer.
Thank you, Rohit.
Thanks, Rohit. Anybody else who wishes to ask a question? I think there was one participant who's put down a hand. We have one question on the chat. Can you please give some details regarding the order book currently that Aimtron Electronics has?
Yes. Of course. Come, sir. If you see as per first half April, we had an open order book of INR 110 crore, as per the press release that we did. The past couple of months, like April and May, we added INR 20 crore more. Round about you can say INR 130 crore in total. Yes, as an open order book for past quarter.
We can hear.
I think Yeah. Thank you, Vinajay.
We'll take the last question for the day from Pratik Chaudhary. Pratik, you can go ahead, please. Pratik?
Hi. Sir, am I audible now?
Yes, sir.
Sir, in your press release, you mentioned about us getting some opportunity in the AI chips space. You mentioned something. What is this regarding? Is this some sort of a tie-up with a large corporation to do outsourced manufacturing for them? Or what is it in relation to?
I think it's too early to say. We are working with one of the company, we are doing AI product, and we will be their manufacturing unit for them. That's what I can tell right now. Eventually, as time goes, we'll put more information on either SEBI's website or once we do some kind of joint venture or something. Right now it's too early to say. Yes, we are in a land of opportunity, there is a lot of opportunities here.
Is this one of the mega corporations globally that we may be in talks with?
Too early to say again, at least. I think maybe let's hold up these questions and maybe we can share a little bit more as we progress.
Okay. Just one last piece. In one of your interviews that came about on the EMSNOW channel on YouTube.
Yes
A couple of months back. There you mentioned that we may even have plans to enter the ATMP and the OSAT space. If you could.
I think we have a lot of opportunities once we come to India. There will be a backward integration. When and where, we don't know yet. We started working with universities and under Aimtron Foundation and trying to learn what. OSAT and ATMP is new for me also, and new for everybody? Is that correct? We started learning that. Again, Pratik, I think we'll get back to you on that eventually as soon we have some more information.
Sure, sir. Great. Thanks a lot. All the best.
Most welcome.
Thank you, Pratik. Do we have time to take one more question, or do we end the call here now?
Take one last question because we started a couple minutes late, so we need to be fair with our audience.
Sure. We take the next question from Brijesh Dodia. Brijesh, you can go ahead, please.
Yes, I am audible?
Yes.
I would like to thank you, sir, for this. I have got the allotment of the IPO, and I'm still holding it. I just want to thank all the Aimtron Electronics member that I have made some money, and I would like to still hold the share so that I can be a part of that Aimtron Electronics. Thank you.
Thank you so much. When you make more money, spend some for skill development.
Okay. In the future, I will probably do that.
All right. Thank you. Thank you, everybody. Thank you, Vinayak. Really appreciate. Hopefully, this was the first call, so we made everybody happy. If not, we learn, and we can always improve ourselves.
Thank you, sir. Thank you to all the participants for joining on the call. Thank you to the management team for giving us their time. This brings us to the end of today's conference call. You may all disconnect now. Thank you.