Q4 17/18

Apr 23, 2018

Quarterly report

Ladies and gentlemen, good day, and welcome to the Central Depository Services India Limited Q4 FY 2018 Earnings Conference Call hosted by Axis Capital Limited. As a reminder, all participant lines will be in the listen only mode, and there will be an opportunity for you to ask questions after the presentation concludes. I now hand the conference over to Mr. Praveen Agarwal from Axis Capital. Thank you, and over to you, Mr. Agarwal. Thank you, Aniket. Good evening, everybody, and welcome to this earnings call. We have with us Mr. P. S. Reddy, MD and CEO Mr. Bharat Seth, CFO and Mr. Nilesh Kuttul to discuss the results. I would request Mr. Reddy to give us a brief overview of the quarterly results, post which we'll open the floor for Q and A. Over to you, Mr. Reddy. Thank you, Mr. Agrawal. Welcome to the conference call, end of this call of CDSM. And this year, we have done exceedingly well as you have seen the results. Apart from the quarter, the overall year has been good. Capital markets are booming and the new issues have substantially lifted our revenues. Mr. Bharatwai will tell you the revenue heads, which have substantially contributed. And at the macro level, our market share It's now 46.5 percent as of the end of the financial year as it missed 44% at the beginning of the year And that's a substantial gain that we have made. And in the current year in the last year, We have opened 25.72 lakh accounts as against the competition, 15.11 lakh accounts. The incremental market share has gone up to 63%. So that has lifted the aggregate market share. The CBL also has substantially contributed to the growth and I was now it's almost 30% of the top This is, yes, 19% of the top line and 23% of the profits that's contributed. And in terms of CBL KYC, we have about 1.7 crore KYCs Affirmative slides are available and people are using it. And what is important is the multiple uses of the KYC sales resulted in substantial income. That's one part of it. The second part of it is e KYC is doing well And a lot of online account opening is happening using the weak KYC. Of course, there is some rough patch that we are currently Going through because of the KYC, other should not be used. And then the market is under the market is subsidized. So until that final issue is finally decided by the Supreme Court of India, Probably, there will be some slow process of approving the applications. But otherwise, it's doing well. The other part of is the national academic deposits. Here again, we are a market leader at this point in time. And the number of academic institutions which have signed up with us are 231 as even as the competition 190 And we have 47 universities or economic institutions, they recently given a network of intent. So we are setting up their whatever the integration part of it, once that is done, they will also sign up. And when it comes to the commodity repository, which recently we launched, of course, there is no great income except the U. S. Will bring them at this point in time. It's in launch sometime in September. And there are about 72 repository participants we have registered so far. And very few accounts have been opened and the ecosystem is still being developed. We are conducting a lot of awareness programs With the warehouses, with banks, with commodity traders and we share a lot of mandis where the Major Mondays where the various products are being created. So the response has been very encouraging. That's one another important thing that we have done. The other part of the CBS granted the registration for restart to the issue. After the license, we bought it and that will be starting shortly. There's also news You must have read in this purpose also, the unlisted companies are also going to be educated with the deposit rates because Then only the government or the main share company of course will get a complete view about what's happening in these countries with respect to the shareholding. That process is also discussions are on and that's another line of Business that we are looking at it, of course, will not be as big as the listed company's revenues. Obviously, there won't be much transfers. That's more important. We are also looking at other important fees. Thanks to the online account opening, there is a e sign project. So for doing e sign, you need to be You can work with somebody who is a certified authority or you yourself can become a satisfying authority. So we are currently working with Glencore, there's another branch of GNFC, which is a satisfying authority. So we thought there are only 4 in this space And V2 should be doing well by entering into it. Maybe going forward, online e signing will take in a major shape. But then we should be there and there when it is really big. That's why our Board, especially the CBN Board has decided to take up that activity as well. Initially, we don't expect any great revenues, but then only time will tell How far we will do it, how better we will do it in that space, that's eSign part of it. So these are the major dollar points in this space. And I will ask I will there is another thing that the Board has decided was to last year, we had issued about 30%. This year, it has decided to declared a 35% dividend that is RMB3.55 per share at dividend. That gives you a dividend payout ratio of 57%, which is by and large maintained The last 3 years, that's what we have been doing it and then better maintained it, 57% dividend payout ratio. Now I'll ask my colleague Bharat Shek to speak on the financials. Good evening, everybody. On consolidated results on annual basis, first time we have closed Total income of INR225 crores is more than INR 200 crores we have crores. And first time we have crores on Paid after means profit after tax of INR 100 crores, it comes to INR 103 crores as such. Increase in operational income by 31% and increase in expenditure by 20%, Whereas profit before tax has increased by 21% on consolidated basis whereas paid is of 20%. Whereas on standalone basis, first time we have crossed INR150 crores turnover of net income. And profit before tax, first time we have closed INR 100 crores that is INR 106.38 crores as such. So my standalone business operational income increased by 27%, total expenses increased by 14% And profit before tax increased by 16% whereas profit after tax is 14%. On quarterly basis, if you see Q4 versus Q3, on consolidated basis, Is more towards operational income is more or less than there is 1% increase is there, but other income has increased by 67% quarter 4 versus quarter 3, whereas total expenditure increased by 13%, Profit before tax increased by 4% and net profit by 2% as such. And on a stand alone basis, Oppressional income quarter 4 versus quarter 3 by 2% and other income increased by 55% other income Income from mutual funds as such. And total expenditure increased by 10% quarter on quarter basis, Whereas profit before tax increased by 6% and profit after tax by 7%. So I would and Consolidated basis is U. S. Bank volume basis, I have told you. So I would like to open forum for question and answer. Thank you very much. We will now begin the question and answer Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Sanjay Latta from Perfect Research. Please go ahead. Hello? Hello? Hello. Hi, Jagadish. Good evening, Bharat. Is my first question Go ahead. Hello. The deposit lease services being offered similarly similar across competitors. What strategies are we trying To get incremental market share? Well, to get incremental market share, the online account opening is one thing that we are concentrating on. And we are looking at more and more admitting more and more DPs and more and more Fintech firms. And if they become DP, obviously, they will be able to ramp up our account position faster than anybody else. That's the way we are looking at it. And the second question is, you described that unregistered companies also have to register. Could you please elaborate how this process works? No. MCA is considering the asking the private limited companies and others to admit that the QTs mandate in this, okay? And that once that mandate takes a concrete shape, Obviously, they will be asked to dematerialize the entire shareholding into deposits. Now they may choose one of the depositaries. We don't know whether they will mandate it with both so that investors may have an accord with The geography deposit streams and still they get service. Are they saying that no, you go only with one of you one of them to reduce their costs? And obviously, the cost will not be the tariff will not be as I has what Sevea has mandated the listed companies to pay, the business extent it will be much lower than what it is. Okay. And because the last question from my side is, what is the addressable size of opportunities at present? Come again? What is the addressable size of opportunities? Of the pharmacist companies? From That's the reason we are offering. What are the addressable opportunities? What are the addressable opportunities? Look, addressable size of opportunity as like how much the Total size of the opportunities we are gathering is like in FMCG, there are 1,000 crores market share and footwear there are 1,000 crores So I would like what we are what is the advertisement side of That we will not be able to share anything of those things. That's not appropriate for us to comment. Okay. Thank you so much. Thank you. Thank you. The next question is from the line of Nitin Agarwal from GM Financial. Please go ahead. Thank you for giving an opportunity and congratulations on a good set of numbers. So my first question is regarding the It's in news where a senior set panel headed by R. Gandhi is likely to recommend allowing new corporate houses or private companies to get license for depository services. So I wanted to know what is the status on this? And if allowed by SEBI, then how will the competition pan out in the next 2 years? We thought 2 weeks will figure out in the deposit space. If the third one comes, I don't know what to say on that. But then as we said, not I don't know what the Gandhi campaign actually said because nothing Official has come out as yet. It's only newspaper report is not that discussed in bits and pieces. So we will see and then evaluate strictly what the Gandhi company has said and then what the competition what we should do Thank you, Chris, and the competition. Having said that, my view is that there's not enough space for too many deposits to work in this space because the diplomacy participants have incurred expenditure And the product is by and large homogeneous. And the market is especially the ones the established players are already tied up with either MZL or CDSL. So even if the third one comes, then the default departments have to tie up with the third one and there's an expenditure at their end. Whether they will be willing to look at that expenditure, I don't know. I don't think that's a viable option, Okay. At this point in time, that's what our thinking is. But then we'll see how it will pan out. Now but there's no immediate danger now here. Okay. Thank you. And my second question is, if you could give us the revenue bifurcation for FY 2018 For annual issue charge, transaction charges, IPO, corporate action and online data charges. Okay. Okay. On consolidated basis, can you read your charges? FY 2017, it was 51 crores 71 lakhs, It has increased to INR55 crores 62, increased by 8%. Transaction charges from INR 31 crores, it has increased to INR 44 crores that is increased by 41%. IPO corporate exchange charges from INR 16.5 crores, it has increased to INR 29.48 crores that has increased by 79%. Whereas online data charges from INR 18.7 crores, it has increased to INR 29.18 crores, which is 56%. Okay. Thank you, sir. Thank you. The next question is from the line of Anand Latta from HDFC Sir, can you give some color like how is your annual return charges calculated? Yes. So as you will see your charges on 2 fronts, 1 on a flat basis or on a full year basis. For example, if Shell Capital Limited is more than INR 20 crores, then we can charge them 75,000. For example, Reliance, if you take it XYZ company is having INR25 crores there capital, Then I can charge them 75,000 on the basis of credit. But we are having a 10 lakhs folio with us, then I can charge 10 lakhs into Yes. So whichever is higher, like that we are charging. Okay. And these charges are standard cost growth and NTL and CDS, sir? Yes. Yandex. Yes, mentated by Seri. Okay. And Mikhail, sir, IP corporate exchange charges, how that is delivered, sir? IPO corporate exchange charges based on the number of folios, as such, that is INR10 per folio we are charging Or minimum file size, INR 10,000 per file like that. Okay. And how is the transaction charges in Jansra? Transaction charges from INR4 25 to INR5 50 depends on a volume of business given by the deposited participant. And that is one that is transaction only, like mobile phone. Incoming is free, outgoing is chargeable. Sorry, debit, I think what's the last one, sir? It is only debit transaction we are charging, not So I said I'm just telling only you have to pay the charge, not at the time of purchase. Yes. Okay. As a guest guide you, what is the number of company listed with the CDSS? Corporate, it's present 7,539 And this includes listed, unlisted both together? Yes. Both together, 10,628 companies are there. Okay. With us. Yes, yes. October 7, 539 are listed. Yes, yes. Okay. Sir, can you also tell revenue of CVSL Ventures? CVSL Ventures, yes. Yes. StudioCell Venture on a new basis, as on 31st March 2017 operational income was INR24 crores. It has increased to INR37 51 percent increase in operational income. Other income means mutual fund investment income from INR5.40 lakhs to INR6.13 lakhs that is increased by 14%, Whereas total expenditure from INR 6 crores to INR 10 crores, it has increased by 63%, whereas profit before tax From INR 23 crores to INR 32 crores that is increased by 39% and profit after It takes from INR 17 crores to INR 24 crores. That is increased by 30% to 80%. Okay. And sir, how much stake we have in this venture? I mean 100% overpayers? Yes, yes, 100%. Okay. Sir, in the CDS and when should we charge it on the basis of the KYC? Yes. Right. So what is the basis of charge? Like how do we charge per transaction, we charge certain amount like in the case of transaction charges? No, here the per case for KYC usage, the charges vary. And similarly, when you create KYC, there is one charge and when you use when somebody uses the KYC, the charge is different. So that's the way it works. Okay. So how much do we charge per KYD user and how much is the charge Okay. Buy ins are standard, but then some of the intermediates who are giving big volumes, there is a discount also Okay. Sir, if you can give some color like how much KYC we could have created in FY 2018 versus FY 2017? Yes. I will tell you. The next one is 21,000 to 28,000, yes, around 22,000,000 kyc created during the year. This is a new KYC created. Yes, yes, during the year. This is RMB 22 is a new customer which has come or it is Suppose a customer could have done KYC 1, what makes your finance second? New KYC. New KYC. New KYC. Okay. Okay. Sir, you could have a data of KYC users also, how much KYC users could have happened? I see that is a bit Confidential, we don't disclose that, okay. Because there's 4 other competition in the Competitor. Competitors are there. Who else are there along with you in the international competitors? Ndmlcamscarvi.x. Sorry, MBML? MBML, NSDL, NSDL Tata Management Subscription is there. Okay. And Kansy is there, Kabi is there, Dotex is a MSE subsidy. Okay. Dotex also does this. Yes. But we are the largest among all the 5. Okay. Just a small request. If you can give quarterly pickup of your revenue in terms of how much is the annual charges, IP or online data charges, it will really help us in analyzing it Every quarter. Every quarter you wanted that. But that is the format what Webia as a company is like Accordingly, we have a You can give it a press release, a breakup of the revenue tool and such. Definitely, we'll look into it. Okay. And sir, when you say online data charges, how would you charge on what business they charge, sir? Because it seems the KYC charges only, they call it online data, sir. Okay, perfect. That's the best. Thank you. Thank you. The next question is from the line of Abhishek Jain from Dalam Capital. Please go ahead. Sir, your revenue on Q on Q on Q basis seems to be flat. Sir, what are the reasons for the same? And second question is your interest income Yield is so low against so much of investment. So can you just bispecificate how much you are like earning interest and how much Yes, it's like very idle. About the operational income, it is flat, it depends always on the market and quarter to Quarter digit is stable as such. If you see quarter 1, 2, 3, 4, it is more or less stable as such. And it depends on number of IPOs as well as corporate On particular quarter, it varies accordingly. Regarding the other income, Our other income as quarter to quarter is different from it. See, our 90% of the investments are in mutual funds as such. SMPs are there, the short term funds are there. So Yes, sir. Yes, yes. So it depends on a NAV base because as for the index, we have to provide as for the NAV, whatever mark to market we have to date. So as on 31 December, whatever NAVs are there, if you see an as on 31 March, It has increased. That's why industry. And compared to Hello. There are 2 components, 1 is tax free and 1 is taxable components are there in investment also. Hello. So, it is approximately 8.18 percent has come. If you compare to last one, that is last year, It is 29.69 because investable surplus was because we have invested in the property, so around INR 52 crores was not available to us because of that. How much amount is life available on which you earn interest income? I'm asking that. How much cost is available? Total INR550 crores. INR550 crores. INR550 crores. And on which you are earning how much amount? 8%. 8.1%. 8.1%. 8.1%. And sir, some corporate is into the regulatory cash mandate. So are you earning interest on that part? Sumit, come again, please. What are you asking? There is some regulatory mandate to like So you're not to maintain INR 210, this cash or cash equivalent? No, network trick ladder. So are you earning Some interest on that part also. Yes, we have this 550 includes that also. Okay. Okay. Abhishek Singh, are you done with your questions? Yes, sir. Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all participants in the conference, Please limit your questions to 2 per participant. Should you have a follow-up question, we request you to rejoin the queue. The next question is from the line of Prakash Kapadia from Anaveed Portfolio Management Services. Please go ahead. Thanks for the opportunity. Congrats on a very strong revenue growth and crossing the 1,000,000,000 Am I audible now? Yes. Yes. I will say congrats to the entire team for the very strong revenue growth and 1,000,000,000 pack Figure for the year, we were 1,000,000,000 sales few years ago. So we hope this is very structural and congrats to the team for that. Thank you. Sir, if I directionally look at the investment book, the share of non current investments has been Going up. So if you could give us some idea of the tenure or duration of the non current book. And Will this continue? Is this a conscious strategy at our part to avoid repricing of interest rate shocks? See, our Total investment, if you see 90% are in the mutual fund and out of it taxable as well as non taxable, Tax free, we are invested in the bonds. And for taxable things, we are following that Most of our investments are on 3 years F and P, 10 years. Okay. Okay. So their capital gain tax benefit also we'll be able to take. Okay. So this would continue in the near future where the longer term or the non current We could see further India also. Yes. Yes. Okay, okay. So that will avoid the capital gain understood. That is helpful. And in the Western Protection Fund, there has been an absolute The decline in FY 2018 as per most, is that right understanding at my part? No, no. Last year, investor protection fund includes See, Sebi has come out in 2012 and in 2016 they have come out with the guidelines. So we have transferred whatever from last year with interest on debt. That is around 1 Crore 60 lakhs we have transferred towards interest. So because of that difference only So, optically, the number looks lower this year. Yes, yes. Otherwise, 1 on one basis, it is our thing. Every year, we have to transfer after the Board approves this, we have to transfer the fund to the trust. Sure. Sir, Reddy, you mentioned about the eSign and the IPL license, which was just approved by Reddy. So eSign is more linked to DBT and how does that work? If you could give some color and RTA, how does life change for us and what's the game plan on the Sebi is looking at distribution of the dividends, etcetera, by the depositories. The concept paper also is already, I suppose, there on the city side, okay? And there's also Thinking that the depositaries should be able to do whatever little is being now done by RTS because The IPO process has become online and substantial work has been shifted online. And what is left Now across the world, deposits are doing more and more of even the RPA across Also, so keeping that in view, we thought we should step in and then prepare ourselves to take over that kind of responsibility to Take charge of that responsibility. Now when it comes to eSign, see account opening turnaround time has to be reduced substantially. And many of the Brokers or DPs are competing with banks and others who have a 3 in one account opening the portal. So for that, They are using the eSign, they are getting all documents signed, okay? And eSign is based on other number. Now so once you fetch another eSign using the for one time possible, then that can be tested on only one PDF document, okay? So the more the PDF documents you have to The number of times you need to do that other pitching is increased. So but then again, the turnaround time, as I said, it It's essentially reduced from few months to maybe few minutes. And the compliance costs are also reduced Because there's no doubt that whether it is signed by client or not signed by client, all the dispute is eliminated And Hobby Train is fully established. So it's a very no nuisance kind of process. That's why we want to step into that as well. And it is not necessarily that we will reduce that eSign process only for the Account opening here, once I am I am not certifying another team, this e sign concept can be applied for anywhere, for any document signing, not just account opening with the departures. Okay, okay. So tomorrow it could be extended. You can sign the bills. You can sign Any paper that any piece of paper, any document. Okay. That is helpful. Thank you, sir. Have the best. Thank you. Thank you. The next question is from the line of Karija Mantri from IIFL. Please go ahead. Good evening, sir. Good evening. Good evening, madam. I just wanted to know market share with respect to increase in D net accounts, whether it has increased Q o Q and Y o Y? I will tell you. Year on year it is 64% and 59% last year. We have now it's about 1 minute. Yes, quarter on quarter it's an increase, 60%, 62%, 63%, 65%. It's the way it has gone, Okay. The average is 63. Okay. And this quarter, it was 65? Yes. In the last quarter, it was 65. Okay, sir. That's all from my side. Thanks. Thank you. Thank you. The next question is from the line of Sanket Koda from Spark Capital. Please go ahead. I just have a couple of questions. One was on non depository solutions for Xiaomi good growth. Just wanted to know The details how it has just more granular details on it. And second was that how should one look at the impact of central KYC? And if this happens, is CDHLs being paid for uploading the data? You see the CDHL Major revenues come from the KRA business that is where the CVL is going. And we have been telling, I mean, in the ITO document also what are the If c KYC is the only KYC that is to be maintained and the KRS has no role to play, then probably This will take a big hit. But then at this point in time, we have been successful in living through this Fear and I'm sure we will continue to for some more time. That's what my view is because there's a value addition That's what we are doing in the KYC arena. There's no in person verification when it comes to cKYC And there's also the data that is entered is verified by our people In our operations site, they also reject some of the applications where the KYC is done wrongly. So all that value addition is not coming through in the CKYC from the CKYC system. So we see that we will continue to do that. When it comes to the upload charges, yes, even we are giving the services To the intermediaries, where we upload on the KRA and then we will massage the data and provide The file that is needed to be uploaded on CKYC and then Vintermediates quietly upload that data into that. They don't need to There is no extra effort for them to offload that. So that is where we charge a very small note, small price for doing that kind of method in the data. Okay. So the charges would be very low or you can discount the charges, yes? Very, very low. The charges for massaging the data are very low. But then For the KYC creation and then actually doing it on the CVL KRA total, obviously, they are competitive prices. That's all I can say. Okay. And just on the initial part of the question, non deposit services has shown good growth. So if you can give more Details on it, it could be really helpful. Substantially, CBL, 99% CBL because other businesses are still in the case of CRL, it is not taken off. As I said that the insurance industry is not as yet supporting fully the dematerialization of The policies our agents are putting up on their portals, the policies. And when it comes to the commodity repository, they started Last year sometime in September, we are still making people I mean the stakeholders aware of the Benefits of the insurance, the commodity repository and when it comes to the CBL, that's a well established platform. And the National Economic Deposit, 1 which we are doing it on the CBL, But the MSRD has mandated that we cannot charge the economic institutions till the September 2019. So we are only bringing them into our fold, but the charge will start only in 2019 September onwards. So that's the Okay, sir. Thank you. Thank you very much. That's it for my head. Thank you. The next question is from the line of Ayush Khetan from Prospero Finvest. Please go ahead. Apologies. The next question is from the line of Anand Laddha from HDFC Mutual Fund. Please go ahead. Hello, sir? Hello. So if I look at our 4 meter revenue line, annual charges, transaction, IP and online data, all 4 together is RMB160 crore rupee. And our reported top line for the full year is R190 crore rupees. So can you give some color, like the balance R30 crore are coming from which segment area, sir? See, there are other charges like user facility charges apart from those 5 year old men. User facility charges are there, then settlement charges are there, account maintenance charges are there, E voting charges are there? E voting is one of our major contributor. That is INR 4 crores what we have won. E cash charges are there. Sorry, sorry? E voting charges, 4 quarters. E voting and e cash, what is that ECH, sir? That is consolidated account Electromically we are sending and physically also we are sending. Okay. If you can give figure that's all great to help. Yes. User facility charge is INR 3.4 crores. Okay. This is in FY 2018? FY 2018. Okay. Then settlement charge is INR 1.6 crores. Account maintenance charge is INR 2.88 crores. Okay. E working charge is INR 4.1 crores. Okay. E cash charge is INR 6.43 crores. Okay. Then document storage charges, there is a serial thing that is INR 5.28 crores. Okay. EKYC, it will come to INR 2 crores. Okay. These are the measures. And sir, what is the growth outlook on all of these charges? If you can, as I said, what is the basis of these charges? The age of clarity, you will find out everything on our website is there. Okay. And so what is the growth outlook on this other charges all like ECAS, e voting? That for e voting, there is a competitions are there. So it depends on that also. In e case charges, whenever transactions are there, we have to send to beneficial owner. So they can't run the Number of transactions they have done and accordingly they are sending. So growth and all depends on a market over there. Okay. Thank you. The next question is from the line of Harit Shah from Reliance Securities, please go ahead. Yes. Thank you for the call. Sir, I have a query. Do you have the data for So currently our CDSL has 25,000,000,000 accounts they have opened Against an SBL of 15.11 lakhs. Right. So this is on a net basis? On a net basis? Yes, things are net basis. Sure, sure. Okay. And so around I think last year, the Total figure was about INR 1.6 crores, I think, the total beneficiary. Yes. We are earning at INR 1.7 crores and we are earning at INR 1.48 crores. Right. That is also net, right? Yes, yes, net. Okay, sure. And secondly, We are having the 594 deposited participants. Sure. Okay. Just one So what are the reasons for the depreciation charges increasing substantially and your net assets? So I think that Yes. Recently, we have bought a new property office devices. Right, right, right. So just Right, right. So furniture and fixtures and all. Because right, so that doesn't mean you're right. There's no additional nothing apart from that, right? Because that was, I think, part of your CapEx in any case, right? Okay. I just want to get clarification on that. Okay. And just one last question. What is the outlook for And on an overall consolidated level, I mean, obviously, the market will vary based on various factors, but the overall outlook rest of the business, would you give us some qualitative understanding? Thank you. We don't See any problem in market is what it is today, okay? Maybe The elections may and then raindrops may throw some element of uncertainty. But otherwise, economy is doing well. There's no reason why we shouldn't be doing well. As long as there is an opportunity in the economy, as long as The economy does well, company sectors do well, capital market does well. We are going to capture the market. So much we can We can concentrate about. All right, okay. And one last question on my side. What is the CapEx outlook for FY 2018 sorry, FY 2019? It will be around INR 6 crores to INR 7 crores. Okay. That's it from my side. Thank you so much. Thank you. The next question is from the line of Pratesh Chehra from Lucky Investment Managers. Please go ahead. Yes. So I missed the CDSL Ventures revenue for FY 2018 visavis FY 2017. And when you mentioned online data revenue, that is that The operational income CDSL Venture Limited against FY 2017, INR 24 crores. They have earned INR 37 crores. Out of this INR 29 crores from online data charges. Okay. So the CDSL Ventures is INR 37 crores versus INR 25 crores. And the difference Standalone and consolidated is a function of CDSL Ventures, right? Yes, yes. There is no other company Our operational income side, no. See, out of INR 191 crores, INR 154 crores from CDSL and INR 37 crores from CDS is on track for operational side. Okay. Secondly, I just wanted to take some update on the GSTN, what is the status there In terms of monetization, track revenue, what is the update on National Education Record Repository? Yes. On the GST piece, we have as CVSL has transferred its license rather, CVL has independently applied and CVL got it and we transferred the business from CVSL to CVL because we have not got the permission from CVL to Continue this business in CDS. And the projections that I mean the kind of outlook that we had But GSK was very bullish at the time when we launched, but then the number of filings have come down and We have not seen that much traction as we thought we will get it. So but still, we stay put in this business And then see what will happen as the time pass by. What was the scope of area in this business? You are basically records keeper We are providing an ASP service as well as we are a GSP. So If you we have an ASP, what's called module. If somebody wants to use that ASP module, then they can use it and then they can upload it independently without depending on anyone. And if you have an ASP module and you can connect yourself to GSP and then you upload it. So that's the way it is. Okay, okay. And this is on the GSP. And I think I have explained earlier the national academic depository, The number of academic institutions that we have on boarded, About 231 must have signed up with us and about 47 has gone letter of intake as against the competition. And again, it is there on the UGC Right. You can see who has done what, like it's a transparent way. And we have also been told, of course, it's a part of the agreement, We can't charge the academic institutions till September 2019. So there's no revenue coming at this point in time, But we are engaging with all the academic institutions to register results so that We will be able to start earning something from September 2019 onwards. What kind of costs are sitting in the P and L from these two business areas? Okay. Thank you very much. Thank you. The next question is from the line of Hariwal Mehtani from Prudential Investment. Please go ahead. Yes. Thank you for the call. Thanks. Yes. Hello. Yes, I just wanted to know in terms of the technology wise, how do we upgrade the entire thing in terms of So CTS, with reference to a lot of new technology coming and the intermediates getting out of the chain, You see that there are a threat to your business? Yes. We don't see any threat to business. We are also upgrading our People usually ask me about the blockchain and on two key occasions also I did speak about blockchain. It's not as yet the stable it's not a stable technology as yet and not too many developers are there, Not too many applications are also there. Thanks to Bitcoin, it has become a popular talking point and flavor of the month. But then otherwise, it's not a mature application as yet. So even if OneFine Morning Blockchain comes, there's hardly anything that they can do. They have to come via the regulatory jurisdictions and systems that are put in place. And it's not just Depository alone will do it, even the policy participants should be compliant with that. And we're seeing the policy participants also. You also have to tie up with the new deposit even if new deposit comes. They don't going to invest additional money in a new deposit suit. So we are not worried about that one. And whatever changes that takes place in the technology front, We will be able to keep pace with that or maybe stay ahead of the technology changes that competition may envisage or that may happen in this market. Okay, sir. Thank you. Thanks for that. Thank you. Thank you. The next question is from the line of Abhishek Jain from Valam Capital. Please go ahead. Sir, with how many insurance companies you have been tied up for perpetuity for electronic policies. So can you just throw some light on that thing? And like how is CDFL is being placed over there? Yes. We have about We have about 22 insurance companies signed up, life insurance companies. And we have 15 non life members signed up with us. And there are 18 non life We'll then discussion under discussion. There are 2 insurance companies which are again under discussion. Okay. And how many are there like which have signed perpetual contracts with you? There's nothing called perpetual contract or anything. They signed the In fact, there's always a termination clause, isn't it? So all these people are doing, some of them are active, some are not active. And sir, actually, I earlier asked you, you are saying that 8.1% is the bond dividend that you are getting, right, On the bonds? Return on investments. Return on investment, 8.18 percent. Not on bond, altogether investment. Okay. And can you just bifurcate that also per se? What, I mean, 1, do you want separate and Yes. He said that 90% of our investment is in FMP. Okay. So the substantial revenue comes from that, not from the bonds or anything. How much is the tax free bonds are better? Few tax free bonds, but not a very big investment. How much is it? Tax fee is 6.85. Okay. And sir, sir, can you just throw some light on the warehouse listed market size in India and positioning of CDSL on the same? You As I said that we have just started this initiative. We were told that the bank's pledge business at this point in time is about So INR 60,000 crores and there is a scope for INR 1 lakh crores. But then these are all Different people saying this number or the some agencies there and we just put up some report and then based on that Yes, we are saying this. But then the ecosystem, most important stakeholder is the banks. The banks are pledging against the commodities in the warehouses and they should make it mandatory for them to flinch via the reports result. So the discussions are on and then they are RWBR itself is engaged with them And hope that they will be seeing Meritin doing via the reported route than what is happening at this point in time. Okay. And sir, last question from my side is like how you see the progress has been done in the space for VMS for all, sir, your last commentary from the same? Like how far it has been gone? How the this negotiation has been like? Hello. I'm sorry, I didn't get your point. How much progress has been done in space for this Demet for all? Demet sir? All. Okay. Single D mat account for all financial assets, you're saying that? Yes. No, the regulatory changes are yet to be announced. So once the CEB announces those changes, then the other regulators will start Doing the necessary things at their end also. So to begin with it, we have to happen in the city. Okay. Thank you, sir. Thank you. We take the last question from the line of Ayush Kirtan from Prospero Finvest. Please go ahead. Congratulations on good set of numbers, sir. The first question is how many number of companies have shifted from Now basis to folio basis in our annual issuer charge as folio basis generates higher revenue. 17% of the companies will give me on a full year basis, it gives me 58% of 58% of total income is your strategy and 83% companies are on a capital base that is flat basis, it gives me 42% revenue from any research, I guess. Hello. Hello. The current participant has moved out of the question queue. Okay. I'll now hand the conference over to Mr. P. S. Reddy for closing comments. Thank you and over to you, sir. Yes. Thank you, everyone, for participating in the call, and thank you for your support also. And there's Well, a lot of you are invisible to us, but then I'm sure you have taken a keen interest in the company. And we will do our best to stay ahead of competition and to meet the expectations of the all the investors. But ultimately, the markets decide what is that we get at the end of the day. So thank you once again. Stay invested. I'm sure you are in good company. That's all I can say. Thank you. Thank you. Thank you. Thank you very much. On behalf of Axis Capital Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines. Thank you, Santhir. Thank you, Mr. Agarwal. Thank you.