Ladies and gentlemen, good day and welcome to Harsha Engineers International Limited conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference, please signal the operator by pressing star and then zero on your touch-tone phones. Please note that this conference is being recorded. I now hand the conference over to Mr. Vishal Rangwala, CEO of the company. Thank you, and over to you, sir.
Dear all, hi, this is Vishal Rangwala here, and I would like to welcome you to our quarter two FY 2025 investor call. I would like to wish you all a very happy and prosperous New Year. As we have been doing in the past, Maulik will take you through the numbers in greater detail, and I'm presuming that you would have had a chance to look at the numbers already. At the outset, I would like to mention that historically, quarter two is a subdued quarter for us, both in terms of top-line growth as well as in terms of margins, whereas the fourth quarter is usually a stronger quarter at Harsha . If I talk about quarter two financial year 2025, it's a mixed bag for us.
While India is more or less in line, though not fully up to our expectations, and while China is looking better, we continue to face challenges as much in Europe, as much as Europe is concerned in this quarter, and we have also seen demand from the U.S. softening significantly. Let me talk of our principal verticals, starting with Harsha Engineers India business. First and foremost, I'm happy to inform that bronze bushing business has continued to be strong positive for Harsha. Thus, in quarter two, sales of bronze bushing, we were around, you know, INR 24 crores, and the full first half sales for bushing is about INR 44 crores. This is very much in line a little bit better than our expectations. Going further, we see an equally strong run rate, as far as bushing is concerned.
If I talk further about India cage business of cage demand coming from India, there is a decent growth in quarter two, almost 15% over, you know, quarter two previous year. However, exports from India have remained stagnant with some minor degrowth again, largely attributed to continued soft demand from our key market of Europe. We have also seen some demand slowdown in the U.S. market. Further, overall industrial demand in all key markets is also down. We believe that due to overall slowdown is also a function of inventory reduction, restocking exercise being undertaken by our key customers both in India as well as outside India, in view of demand reduction as well as to preserve liquidity. We expect the normal purchasing to resume sometime soon and likely peak in quarter four onwards, in terms of, you know, demand normalization.
Based on this, we expect the second half of the current financial year, particularly quarter four, to be relatively strong. Therefore, I'm pretty confident that in India Engineering business should grow positively in the current financial year. Moving on to our other pillars, while progress on the major outsourcing projects in Europe is continuing, it may still take some time for us to complete that exercise, and, you know, given the usual challenges we face in such projects. Again, we remain very much excited about the positive impact of China Plus One, given the major expansion undertaken by our customers in India.
Thus, we have already started seeing an increase in order inflow from customers who have already started their facilities in India in response to this, as well as we expect some to start coming a few quarters, as you know, they commence their production. Other customers commence their production. On the flip side of the growth, the large-size bearing cage segment is still not picking up, given that the major end user segment, the wind, as well as the industrial segment, is very soft. The business from Japan-based customers is also a little bit flat for this quarter, and you know, below our expectation. However, this is not a structural issue, but it's more of a function of markets we serve than these Japan-based customers, specifically in Europe and the American region, and you know, some of the orders which are taking longer for conversion.
Lastly, the stamping business, again, continues to grow quite satisfactorily. As I mentioned earlier, China is distinctly looking better with steady improvement in performance and positive profitability that we achieved in quarter two and first half financial year 2025. We expect China to grow significantly in the current fiscal year, both in terms of top line as well as in terms of profitability as compared to last financial year. However, Romania's prospects continue to remain bleak, so we are working very hard on the strategy for improving the product mix in Romania by pursuing more cages both for our existing customers as well as the new customers that we are in the process of acquiring.
However, I'm afraid that in spite of the best of our efforts, we may not be in position to achieve operating break-even in Romania in the current financial year, given the fact that overall demand challenges and also the global volatility and geopolitical tension and supply chain-related challenges are continuing. However, on a combined basis, between our two key subsidiaries, I expect the losses to be reduced in the current financial year thanks to a strong positive contribution that has started to come from China. Now, if I talk about our solar business, quarter two, we saw one of positive profit contributions to the extent of about, you know, INR 1.5 crore, which has pushed up our EBITDA and PAT margins in quarter two.
However, on an annual basis, I believe that solar business will continue to remain normal positive profit trends, given strong policy-level competitors resulting in continued strong demand that we are seeing in this segment. However, as indicated earlier, solar division is operating on its own without any material additional capital contribution or additional management benefit support from the company. To conclude, I believe that we will achieve at least a higher single-digit top-line growth in India Engineering business, but on a consolidated basis, top-line growth could be in a mid-single-digit range, for the current financial year. However, as it is in, as we have indicated in the past, the bottom-line growth would be much higher, more or less in line with our, you know, current, run rate, what we have achieved in the first half financial year, 2025.
I would like to express my thanks to all of you for, you know, continued trust and confidence, and I wish you all a very good evening. Over to you, Maulik , for, you know, further numbers.
Thank you, Vishal Rangwala. Hello, everyone, and good evening. Wishing you all a happy and prosperous New Year. For the quarter two, September 2024, for the engineering business at consolidated level, we have achieved top line of INR 310 crore against top line of INR 327 crore in the immediate previous quarter and INR 298 crore in the same quarter last year. Our consolidated EBITDA for engineering business remains at INR 50.2 crore for this quarter against INR 40.5 crore in the same quarter last year. On the back of the raw material price pass-through and also backed by Europe's slowdown as well as product mix impact, our EBITDA margin has been lower compared to the previous quarter. Our solar business has achieved a revenue of INR 42.6 crore and EBITDA of INR 3.68 crore, and the solar continues to have a good order level.
As Vishal has mentioned, we have one-off revenue in the solar in this quarter, and he has already given the number of around INR 1.5 crore. Overall, our working capital cycle at consolidated level is around 151 days against 153 days in the previous quarter, and the company at a consolidated level has incurred a CapEx of INR 34.7 crore in this quarter. With this brief on the financials and the presentation uploaded on the sites, I now request the operator to take the Q&A from participants. Thank you.
Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to please use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Harshit Patel from Equirus Securities. Please go ahead.
Thank you very much for the opportunity. So my first question is, recently we have witnessed a pressure on gross margins for bearing manufacturers, the likes of Schaeffler as well as Timken. So is that pressure being passed on to us by these OEMs or the domestic pricing levels are treating us normal only?
Yeah, we are seeing some pressure on that front. It's something we are able to address, and, you know, a big chunk of it is the automatic pass-through because of the, you know, material pass-through mechanism in place. So, yes, there is some pressure on that, but nothing I would say out of the ordinary. Normally, when there is a, you know, demand shrinkage, that pressure comes in.
Understood. Sure. Secondly, the greenfield CapEx, which is to be commissioned in 4Q FY 2025, and as per the press release, it is also pretty much on track. Now, given that this CapEx is more skewed towards the high-margin products like bushings, LSB cages, plastic cages, etc., so will that give a substantial boost to our overall margin profile when fully commissioned?
So, I would not be able to exactly say they are all those products have a high, relatively high margin, but that's our general sense. Having said that, you know, there is a lot of mix of products also, what we are planning to produce at the third site. Now, this investment, because this is a completely greenfield, you know, project, and as in there is a gestation period of ramp-up for demand as well as, you know, of production ramp-up as well. So, in the long term, I believe that it should be positive for us, but, you know, difficult to fully answer whether it should be significant, I mean, significantly positive from like some any specific quarter or otherwise. That's the general what I can share.
And just to add, you know, in the first phase, what we are adding is actually on the bushings and the stampings as the main production. But then there is an overall infrastructure cost also that is being loaded on the first phase. So, I think the margin profile of the greenfield will, in a medium to long term, remain more or less in range of what we are delivering at India level.
Understood. So lastly, recently, Schaeffler Group, they have started a substantial manufacturing footprint consolidation, which is pretty much highlighted in their recent earnings call as well. So they are reducing the overall number of plants at the global level. So are we in any way positively or negatively impacted by these measures?
So yeah, there are a few projects ongoing which are related to some outsourcing as part of this consolidation strategy they have. You know, partly we believe that, you know, what they are doing in India, it probably could be part of that strategy of consolidation from multiple, you know, European facilities, which is a response to, you know, China Plus One sourcing kind of thing from Schaeffler. So, I don't have a specific answer, but in general, we believe we are a good beneficiary of that, what they are working on. We have been working with them on, you know, overall consolidation of their cage supply chain as well for a while now, so.
Understood. Thank you very much for answering my questions and all the best.
Thank you.
Thank you. Ladies and gentlemen, if you wish to ask questions, you may please press star and one. Participants to ask a question may press star and one on your touch-tone telephones. We have the next question from the line of Shirom Kapur from PL Capital. Please go ahead.
Hi, thanks for the opportunity. I just wanted to add a few questions regarding, you know, your, some data points that you could help me with. One would be, what was the sales for your stamping components in Q2 and H1? Hello.
Yeah. Sorry, am I audible?
Yeah. Yeah.
Our stamping business for H1 remains around INR 25.5 crore.
Okay. Got it. Just another question now on your Japan sales. You said flat this quarter. You mean YoY or QoQ, and you know, how is it developing, and you know, when you said it's a—and you also mentioned that it's not a structural issue, it's some market-related, you know, maybe some timing issues. Could you clarify a little bit further on what's happening in Japan and how you expect that to pick up, if not in FY 2025, but then in FY 2026 and beyond?
Yeah. So, what specifically we mentioned, two things, and I'll clarify that. One, you know, there are projects which are ongoing, which takes, sometimes the ramp-up happens in one quarter, and then, you know, we face a ramp-up challenge or initial issues. So those are the initial ramp-up challenges we face when it comes to inducting new customers. Second part, what we mentioned specifically, because when we talk about Japan, we say is a Japan-origin customer, and these customers, we are serving them in various markets, not only Japan as a country. We are seeing some significant slowdown there of their offtake in, you know, Europe and America, looking at overall market conditions. So the growth is not there because of the overall market condition. Then there are a few projects which are getting softer start versus what we have anticipated.
Right. So, so it seems that, you know, the slowdown in Europe has been going on for the past few quarters, but now America is seeing a slowdown, slowing down as well. Could you clarify a little bit on what exactly is causing the slowdown? Is it, you know, as a result of, just lower demand from the customer side, where they're experiencing lower demand, or is there any, yeah, could you just basically give more color on the slowdown in America?
Yeah. Yeah. I mean, specifically, I'm not able to. All we can share is, you know, what we are seeing from our customers, and our customers are. They're asking for lower product, lower as compared to what they had earlier projected as well as what they were picking up earlier. And there is also an element of, because of overall economic slowdown, we feel that they are trying to reduce inventory and conserve cash. So that's, we believe, the combination of all those. We are seeing a lower demand from our customers across Europe and America.
Okay. Understood. But is this expected to correct anytime soon, or do you see this as a long-term sort of impact on our business?
We basically are starting to see some normalization related to all those inventory corrections, you know, when a significant market demand is going down, we see our customer doing further correction on the inventory they hold, and so we see a little bit higher impact versus actual demand correction, and we are now seeing some normalization of the demand based on, you know, those overcorrection or inventory correction mostly already taken place. And we expect that by quarter four, January, February, March, we expect that that normalization would have fully taken place, so we are looking at that improvement in quarter four.
Okay. That's helpful. And if I could just squeeze in one last question, it's, you know, in a recent interview, NBC Bearings, which I believe is a big bearing company in India, has announced, you know, that over the next four years, they plan to incur around INR 750 crores of CapEx to, you know, expand the facilities. And I just want to know if, you know, this is something that could benefit Harsha, because they're increasing capacity by almost 50% over the next two, three years. So, you know, how this could benefit Harsha, and whether this has already been factored into your, you know, kind of growth projections for the next couple of years.
Yeah. So, we also understand that in the case, NBC Bearings or the company NEI is a big customer for Harsha, a very respected customer for us. And we believe that we will definitely benefit out of that. We offer such a diverse portfolio of product, and you know, competency we have here within this bearing cage segment, so that we are feeling quite confident that or we are you know, highly confident that whatever their requirements are, we can fulfill, take care of it from a technical point of view as well as commercial point of view. Now, I don't have a specific, but also we believe that they would potentially be a beneficiary of this whole you know, China Plus One deployment by you know, automotive industry or other you know, other industry.
We see that definitely benefiting us because we are one of their key suppliers for when it comes to bearing cages.
Okay. Thank you. That's, that's all very helpful. And, you know, good luck with moving forward.
Thank you.
Thank you. Participants, if you wish to ask questions, you may please press star and one. Ladies and gentlemen, to ask a question, you may press star and one on your touch-tone telephone. We have the next question from the line of Jason Soans from IDBI Capital. Please go ahead.
Yeah. Hello, sir. Thanks for taking my question. Sir, I just wanted to understand. I mean, you had spoken very strongly about, you know, the bronze bushing segment last quarter also. Of course, you were on target for probably reaching INR 80 crores-INR 85 crores of top line in the bronze bushing segment. So any more incremental information on that? And you had said that the wind market in Europe is still subdued. So just wanted to have an update on that market in terms of the windmill market, how is it going in Europe?
Yeah. I mean, as far as what information we have, you know, when it comes to cages, in the wind market specifically, we are seeing still demand is still subdued when it comes to Europe. However, based on the input from our customer, the wind market remains strong in India. Also, the strength of the bushing is coming from the fact that it is a convergent where it's introducing more product sold in the market, with bushing as a rolling element. So that's what is, you know, going on there and the reason for growth in that segment. But overall, other than India, we see, or at least what we hear from our customer, that wind market remains still weak, with some pockets of improvement visible.
Yeah. Sure, sir. And, sir, I just wanted to understand, you know, of course, we are a consolidated entity. So now one thing I just wanted to understand, in terms of standalone revenues, I believe when you look at Harsha, I think around 45% comes from exports. And if that is, those numbers are right, just wanted to understand how much comes from Europe, U.S., and the rest of the world? For just the standalone entity.
Yeah. Exports or out of? Sorry, Jason?
Yeah. Yeah, Maulik , actually, for this, for the standalone entity, I just wanted to know the domestic and the exports figure, and in that exports, what regions contribute what percentage?
Sure, so as mentioned in our investor presentation, this quarter, around 42.7% is export from our standalone revenue and out of our overall standalone revenue, roughly. I'm just giving you a ballpark number.
Yes.
Around 20%-22% is Europe.
Okay.
Yeah. And also, you asked about USA, right?
Yes.
U.S. is around 7%-8%. And China is around, again, 7%-8%.
Sure. So this is for the exports. Okay. And, anything else, Maulik Jasani, in this? Or is the rest of the world better?
Rest is, yeah, majority goes to Japan, out of the rest. Japan. Yeah.
Southeast Asia and Japan.
Southeast Asia and Japan and then the biggest market still remains India.
India is the best.
Yeah.
Okay. Yes. Yes. Yes. Okay. Okay. Okay. But, sir, so.
It's just a clarification, Maulik Jasani.
Yeah.
These are the percentages of total sales or composition of export sales? I think what Jason wanted.
I'll tell that, sir.
I mean, sir, so Jason, that is where the confusion is. So, this is the percentage of the total sales.
Yes. Yes. Yes. I got that. I got that. Yeah.
Yeah.
It's basically a breakup of the 43%. Yeah. So 20%-22% Europe, 8% U.S., China 8%, and Japan and Southeast Asia and others.
That's right.
Right? So 57% coming from India, basically, for the standalone entity. Yeah.
That's right. Okay. That's right.
Right. Sir, just my next question is, I actually just want to understand, when you look at, of course, the other pieces, it's China and Romania subsidiaries, which are the main ones for you. So, when you look at China, is that only catering to the domestic China market, or are you looking at exports from that entity also? And same question goes to Romania also. Romania, I believe, will be a hub for Europe, you know, to the surrounding areas. But just wanted to, you know, know about China. How is the strategy there? Is it only catering to the domestic market, or are you looking at a, you know, like an export hub for other countries as well?
Yes. China's main focus is China market. We do send some, you know, sell it to some customers outside China, but it remains less than 5%. For Europe, same main focus is European market. That's where most of the product is going, most of the customers are located. In addition to those entities selling in the local market of China and Europe, we significantly send what numbers we just talked about a few minutes back. We send a lot of products from India to China as well as India to Europe.
Okay. Sure. Yeah. And sir, just needed your view on this. I mean, you know, of course, we, you know, serve the bearings, the customers, the biggest, and you have a very good market share for bearing rings also from them. Now, of course, long-term story being strong, I understand, but just wanted to understand how do you look at, I mean, there is clearly some weakness going on in the bearing segment, even in the domestic side, and of course, Europe and all is weak itself. So sir, do you see any green shoots going ahead, or do you think this is just seasonal structure? We are still on the uptrend, but probably seasonal, there's some slowdown. Just your views on it.
Europe, basically, Europe again remains to be a pain point for other players as well. So any reason as such you see, you know, for the slowdown? And again, now, if I look at it connected economically, China also was facing a slowdown, or stimulus measures are being given. Do you see any such measures giving? Because Europe also has been soft for a very, very long time. So anything which will probably, you know, boost our market there?
So I think for us to predict on the economic front what will happen, you know, it's difficult. I think that.
That's right.
As you rightly said, you know, definitely, we feel that whatever, you know, this specific year, the Chinese market is doing much better versus earlier, could be due to stimulus or otherwise. We believe that Europe is already in a, you know, tough spot for almost one year, and it's a matter of time when it will revive. We are fairly confident but not able to fully predict, you know, exactly how that happens. And to your question about are we seeing any structural shifts, not really as yet. But you know, there could be, we are seeing a few things. I'm sure you might have seen, you know, globally, SKF separating out industrial and automotive.
Right.
Schaeffler also, in the face of this difficult situation, reorganizing, including the merger with Vitesco, and a lot doing so a lot of things happening within our customer. Yes, it could happen, as you said, some shift could come about, but right now, we are yet to see that.
Yeah. Sure, sir. And, just lastly, sir, just wanted to understand, if possible, I mean, when you again look at it, you know, from your subsidiary perspective, you know, the Romanian subsidiary in FY 2024, it basically yielded a PBT margin of around - 4%. That's just because it's at a loss. So going ahead, any guidance or anything you'd want to give structurally? I understand you said in the opening comments that you're looking at basically reducing the losses. But any more specific guidance, if possible, on China? You already mentioned China has been doing well. And just because Romania is a bigger piece, in terms of revenue and profitability. So just wanted to understand, how is that going? Any guidance on that front?
So Jason, if I may.
Yes.
Yeah. Yes, Vishal, you want to?
No, no. That's fine. Go ahead.
Yeah. So Jason, the problem here is, in Romania, our strategy is that you see, we are trying to move away a little bit in terms of product mix, with more cages coming in. Okay. So we are trying to add new customers. We are also negotiating with our existing key customer to buy more of cages, and the talks are positively moving. So I don't see really a top-line growth possible even in near term in Romania. In fact, this year, there would be a little bit of a negative top-line growth. But hopefully, by the fourth quarter, if our cage starts picking up, even if the demand remains more or less stagnant, we should be able to try to see whether the margins can become positive. So this year, really, it's ruled out.
Next year, we are internally hoping that we will be able to stop losses. Again, beyond that, today, to do any prediction is like gazing at a crystal ball, and we don't have that. But it's just trying to tighten the belts, improve the product mix, reduce the losses, and see whether, you know, we can because, you know, in an ideal situation, I should have talked about an 8%-9% EBITDA in Romania. Today, we are talking of reaching the positive EBITDA margin first, and then we will talk of growth, so it's really a tough thing, but yes, we have a strategy in place, and we are working on it.
Okay. Sure, sir. Thank you so much. Those were all my questions. Thank you so much for interviewing me. Thank you.
Thanks, Jason.
Thank you. Participants, you may press star and one if you wish to ask a question. We have the next question from the line of Shirom Kapur from PL Capital. Please go ahead.
Hi. Thank you for the follow-up. Just wanted to get a couple more data points if you could share the revenue and EBITDA figures for Romania and China individually for Q2 and for H1?
As we have informed in the previous investor call also, for the overseas subsidiaries, we prefer to give combined numbers, and that's what we have given also in our investor presentation and even our results, in the segment information.
Okay. Sure. If I could also just, you know, maybe this has been addressed in the past, but for your greenfield CapEx that you're doing with Harsha Advantek, and you're adding new, you know, additional capacity for your existing products, you know, with these stampings, large-sized cages, some standard components. So I just want to understand the rationale for it, you know, kind of being part of a new subsidiary as opposed to just a regular expansion of your existing business. This is more from the perspective of, you know, going forward, when we were to see a consolidated minus standalone numbers, it won't just reflect your Romania and China and China numbers, but it would likely also include Harsha Advantek's numbers, right, after the plant is commissioned.
So I'm just wondering, you know, maybe going forward, whether you'd be giving some sort of bifurcation and how, you know, just to understand the thought process behind who's being under a subsidiary as well?
Yeah. Our subsidiary will be fully operational, although it has started doing operations in the off-site, but it is still on a very minuscule level. And once it is fully operational, we will decide how to share those numbers with the investors. And on the rationale, yes, this is our incremental business where we see a good amount of growth prospects. And although in our existing line of business, both bushings as well as LSB, we are a very small pie in the overall existing business, which we see that it has a potential to grow. And hence, we need an incremental setup and the capacities over there. And that is the reason it qualified for the new site. And same is the logic with the stamping, which is a very small business, as you are aware.
And we see that there is a great potential over there also to expand these business lines. And, hence, we have decided a separate site and separate company for the same.
But just to add, you know, Maulik Jasani , anyway, going to be a part of engineering and others in India.
Exactly.
It will be consolidated with India. So you will always have India as one clear number, and then the overall consolidated. So you should be able to clearly decipher how things are moving. Should not be a problem.
Okay. So the numbers in the presentation of India will going forward always include the new subsidiary as well.
Yeah.
Right?
Obvious.
Yeah, yeah, yeah.
Sure, sure.
Okay. Yeah, that's fine.
We will ensure that number is communicated well.
Yeah, yeah. Don't worry. Yeah. Sure. Absolutely. I appreciate that, clarity. And just, if I could ask, excuse me, last follow-up is on, you know, as we saw this quarter, the exports definitely from India have declined considerably. But, you know, from your sales or domestic sales within India have seen, you know, quite a good improvement. And, I'm just wondering, you know, from a long-term perspective, how do you see the growth in India? I know there's, you know, with the China Plus One and the outsourcing opportunity taking place. So can we see this sort of sustainable 15%-20% growth happening in India, going forward? I'm just talking about the sales within India, given the new subsidiary coming up as well.
We are not actually giving any specific guidance for next year.
Okay. Okay.
I think I will take that as a directional. You know, we see very positive growth so far, as well as we expect that, you know, positive growth or good significant growth will continue. As Sanjay Bhai mentioned, we don't have a specific guidance right now, and we do not intend to share that. But all those drivers, as you mentioned, our customers drive towards, you know, China Plus One. And you know, pushing business growth, which is currently focused on the Indian market specifically, all that will definitely drive that number positive, is what we see.
Okay.
Yeah. So just to add, we are very bullish on India, and India can definitely grow at around 20%. But I think it's a bit early for us, but let's wait. We are very hopeful that we are working on a lot of projects also. So things can definitely be very aggressive at India level, but we'll have to see how globally things pan out. That's why we said that we'll probably want to wait for some more time.
Sure, sure. And so just one last question on your subsidiary, the you know, the margins that you saw at subsidiary level, so if we were to bifurcate, you know, at the consolidated subsidiary, consolidated India and then coming to subsidiary number, the margins that we saw there, you know, last three quarters, after Q2 last year, we see them be positive, you know, around 3%-3.5% at EBITDA level. But this quarter specifically, it's come back down to, you know, it seems like less than 1% as per the calculations that we're seeing.
So, is there any reason why this particular quarter we see the jump, even though it had been in? I understand the commentary is still weak and from the Romania perspective, but, you know, even sequentially from the last three quarters to now, this quarter specifically, we see the decline. So, any particular thing that's happened in this quarter that's further impacted the profitability in the subsidiaries?
So basically, you're rightly saying, Shirom, as said in the commentary, mainly on account of Europe slowdown, including the Romania performance, and also the price pass-through mechanism, because the last quarter, we get a benefit of the lower price from some procurement, which has been passed through in this quarter and which has been squared off.
Okay. Sure, sure. That's, that's clear. Thank you so much for answering all my questions.
Thank you.
Yeah.
Thank you. To ask a question, ladies and gentlemen, you may press star and one. Participants who wish to ask questions, may please press star and one at this time. Ladies and gentlemen, you may press star and one if you wish to ask questions.
Maybe, Moderator, if we don't have any further questions, you may consider closing the call.
Certainly, sir. We do not have any questions in the queue at this moment. I would like to hand the conference over to Mr. Vishal Rangwala for closing comments, sir. Over to you, sir.
All right. So, thank you. So, again, ladies and gentlemen, really appreciate you joining this call today to get an update about Harsha's quarter two. And, we hope you have a good day and good evening. Thank you very much.
Thank you, sir. Thank you very much.
Thank you. On behalf of Harsha Engineers International Limited, that concludes this conference. Thank you all for joining us. You may now disconnect your lines.