Earnings Conference Call of Indian Railway Catering and Tourism Corporation Limited, hosted by Kabudasiladar Private Limited. From Prabhudar Siladar Private Limited. Thank you and over to you, sir.
Thanks, Rituja. Good afternoon, everyone. On behalf of Prabhudas Liladhar, I welcome you all to the 1Q FY 'twenty two earnings call of IRCTC Limited. We have with us the management represented by Mr. Rajini Haseja, CMD and Mr.
Ajith Kumar, CFO. I would now like to hand over the call to the management for opening remarks and later we can open the floor for Q and A. Thank you. And over to you, Rajnish, ma'am.
Very good afternoon to everyone. At the outset, let me welcome you all to this call call of IRCDiesel Limited for the quarter ending Ended on 30 June 2021. I hope that you and your dear ones are fine and safe in this challenging time. It is good to see that the infections in the country are coming down from the peak that we had seen in the last year And also in the 2nd wave. Same is the case with the vaccination rate, which is also gradually picking up.
So as the things are improving, there is an eagerness to travel and enjoy the hospitality facilities is also increasing, which is a good sign for any hospitality company. Although the risk of the 3rd wave is also not very fast And we are not completely behind too. Hopefully, it doesn't come, but we have to be in the readiness for that. Yesterday, company had announced the financial results for the quarter ended in June 2021 and the same has been disclosed on both the stock exchanges too. The Board of Directors have also recommended Subdivision of a company's 1 equity share of face value of rupees 10 into 5 equity shares of the face value rupees 2, each subject to approval of Ministry of Railways, shareholders and all other necessary approvals that may be required.
While the 2nd wave that we know that has impacted the travel and the hospitality industry badly, especially the 2 months happened in May, And IRCTG was not dispensed of 2. However, IRCTG has been able to demonstrate a resilience With the revenue and profitability once again, and our revenue and the profitability in the current Q1 is not only higher than the previous year Q1, it is Our revenue is also higher and our profit EBITDA is also higher and the profit after tax is also higher as compared to the Q3 of the last year also. This was only for a reference, and our business performances should be compared on year to year basis. However, endeavors to improve the performance will always be on. Q1 fiscal year of 'twenty two saw some surge In the COVID-nineteen infection in the initial months, the same has been brought under control with the consistent efforts taken by all the states and government of India.
And of course, citizen also contributed to that. We have also seen significant improvement in the vaccination. The number of cases are coming down and few states are pretty good. However, the 3rd wave of infection and the impact of the same remains That's still uncertain. As IH EPC, we will try to fight out this tough situation once again as we have done in the past 5 quarters.
And I am pretty confident that we would come out even stronger than before. I shall now hand over this call call To our my esteemed colleague, our Director of Finance and CFO of the company, Shri Ajith Kumar, We shall brief you about the financial performance of this quarter, after which the house will be open and the floor will be open for question and answers. Thank you very much.
Good afternoon, everybody. I will first give a brief overview about Q1 FY 'twenty two results, post which we shall have the question and answer session. Q1 FY 'twenty two revenue saw a sharp improvement year on year at INR243 crores versus INR 1.31 crores in the same quarter last year. EBITDA margin continued to make a new high and increased to 45.8% was 42.8% quarter on quarter and compared to a loss in Q1 FY 'twenty one. Quarter on quarter improvement has been driven by decline in losses in the Carting segment and turnaround of the packaged drinking water segment.
Let me now move to the business segments of the company. Different business segments are like this. The Internet ticketing segment, This continued to be the most resilient business segment in these challenging times. The Q1 FY 'twenty two revenue interest Ticketing came at INR150 crores, substantially higher year on year due to the impact of the pandemic in the base quarter. And revenue declined quarter on quarter with ticketing volume impacted by the 2nd wave, which impacted the EBITDA margin, which still came at 77.9%.
Next is the capping segment discussed in our previous earnings call has been severely hit by the pandemic. While the revenue saw moderation quarter on quarter, there was a good reduction in the EBITDA loss to INR4.7 crores versus INR7.2 crores in Q4 FY 2021. Next is the TUDIM segment. Of course, as is the worldwide, I mean, it's having the most severe hit of the pandemic The segmental EBITDA loss saw a decline quarter on quarter to INR 14.5 crores from INR42.2 crores in Q4 FY 2021 as a latter that has the impact of provision for holidays and lease to Indian Rail for entire FY 2021. And next is a promising one was the renewal was the only segment we saw a Q o Q improvement in revenue.
Due to the base impact, the year on year growth has been very strong. Importantly, this segment reported positive EBITDA after a loss in the previous 4 quarters, Which was encouraging. The cash and bank balances and net worth of the company as on 30 June 2021 is INR INR 1614 crores and INR 1554 crores respectively. That brings me to the end of my opening remarks. Now we can move to the question and answer session.
Thank you.
We can start the question and answer session now.
Thank you very much. We will now begin the question and answer session. The first question is from the line of Riddush from Securities Investment Management.
Yes. Hi. Thanks for the opportunity. I just have two questions. First is, compared to pre COVID, how many trains are currently running?
And second question is on our wallet offering. How is the traction coming around and what is the revenue generation we're seeing? Thank you.
When you ask me the pre COVID level, the total number of our trains, I can give you that The special trains which are running are very different from the trains which are actually running. So it may not be appropriate to compare the special trains with the regular trains. I can however, I can give you the figure that was there Till 31st March 2021, we were having the trains running with the Pendrika 272, which has now increased to 316. On I think April yesterday, it was 316. Similarly, till 31st March 2021, we have trains Where we were providing train side vending was 158.
Now we are providing 256. So put together, We are providing hospitality services or the catering services in 572 trains as compared to 430 trains, And this is much above the COVID segment, pre COVID segment also.
And on the second part?
2nd is the revenue from the casing segment. The segmental revenue, we have let's sit up for a minute. The total licensee that we have received, total revenue from the catering has been around 56.72 crores Out of the total revenue of INR257 crores, which is around, I think, for 23% of the total revenue of the company, Out of which, 44 crores we received from the licensee of these trains and the concession fee in the name of a concession fee. So be it train side vending, be it a normal train with the country car, the earning comes to us in the form of a license fee. That is constituting the major chunk of the fee that we get the revenue from the catering settlement.
No, I mentioned on the wallet, the wallet which we offer, how is the traction coming around?
We have a Sharing of 60% to 40% with the Indian Railways, 60% is retained by IRCTC and the 40% goes to Railways. You asked about specifically about the wallet. That is internet ticketing has. So in that wallet, There is no sharing with the railways. It is a closed loop wallet that IRCTC has.
So there is as such, there is no sharing with anyone. It is being run by IRCTC.
So how is the traction coming along and what is the revenue generation there?
The earnings from the wallet It is this time, it has been around INR1.61 crores Because we are not taking any re registration fee. And we also have a in this, our business model is little different. So the fresh registration that are coming up, they are paying the fee. The earlier registration who are with us, they are maintaining some cash flow with us. That remains with us for doing the future transactions.
Okay. Just to also understand the scale up of this, how should we see this ramping up?
E Scaling of the e wallet, yes, it is a future, but you know that the closed wallets are not very encouraged. We need to have our open wallet also. So we have launched an open wallet in the name of Ayumudra, which is yet taking off. And before we could launch, many of the payment have also launched their wallet. So in competition with that, if we start promoting, this e wallet has a future, But at the same time, the payment bank and other things are also coming up.
So it will grow simultaneously. The few How many users we have? We already have around 6 lakh users in this e wallet. And Open Wallet also, we have a user. It has a future, people are using it, people have lot of confidence in IFC Busy.
So but growth is going to be little low because other payment option is going to come, And they are already there. We have around 75 payment options available on our website. We have our own payment gateway also. We have our own wallet also. So out of those, customer is at liberty to use.
We can only promote our things and that we are doing very consistently.
The next question is from the line of Mayank Sabla from Dalal and Groutha. Please go ahead.
Thank you for taking
my question and congratulations on a great set of number, Mayim and sir. Ma'am, my question is around internet
Total amount that IRCTC has earned From this particular stream of internet ticketing is around INR 149 crores, out of which convenience fee has been 69% And non convenience fee resources have been 31%. Like INR 104 crores is from the convenience fee, that INR 45 crores is from the Non convenience fee resources, which includes the service charge that we additional service charge that we collect from the B2C partners, Our earnings from the advertisement and the promotions, the lead generation schemes, then the earnings from Our co branded card, then specialty wallet charges also, an annual mandate that we charge from our B2B and B2C partners. And integration charges that we take for the one time integration that we do, it includes everything, income from the
Ma'am,
what would be the
revenue from advertisement specifically you could give us a break up. So
if you ask me, advertisement revenue should not be quoted alone. It should be Advertisement on our website in the form of a banner also, in the form of a SMS also, in the form of a mailer also. Put together this month, this quarter, We have been able to generate 8.5 crores, out of which 2.4 crores has been generated from the banners. And I think 4.5 crores we have earned from the advertisements and less from the other resources. From promotional mailers also, we have been able to generate 1.1 crores.
From SMS also, we have been able to generate around 44 lakhs. So put together, it was INR8.5 crores against the total earnings from this segment. Last year, that was around to the tune of less than INR10 crores. So industry in the advertisement is also improving its team.
And ma'am, my second question was in the same space. Ma'am, what is the number of tickets booked, if you could give us access in the
Yes, please. The total ticket In the Q1, has been around INR 6.37 crores. And number of passenger, normally it comes out to be 1.7 or 1.8 is a factor per ticket. So number of passenger is around 8.1 crores. So you can say that 81% of the overall ticketing of Indian Railways in the reserve segment is online And it's being done through IR CTC.
And ma'am, my last question was relating to the rail near. Ma'am, if you could give what was the latest capacity that we hold and what the reason for the segment turning from a loss Stock profit,
please. In fact, this has been a little strange story for us also. We have a capacity in the rail near is around 14.8 lakhs bottle per day liter per day. When I say bottles per day, I talk about the 1 liter bottle only. And the current production in the first quarter [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] Has been around roughly, you can say, 35% 32% to 35% of the capacity Because April May had been bad for us.
Had April May not been bad for us because of the second wave, this Profit margins from the rail year would have been much better. Normally, this is the peak season for the rail year and the water intake increases every year. So the percentage actual capacity, we have all the capacity. We are as of now working with the 35% of the capacity. Till June, I had 14 plant operational.
But in July, we have opened one additional plant in Ooma. So per day production has been to the tune of 4.20 lakh bottles a day. That is a consumption and that we were able to sell off. The production is normally 20% more than that because we keep So there is also to handle the holidays or any periods which are coming in between. So when the Summer increases, it is a good day for Rynleaf.
Okay.
Ma'am, just one last request I had. I don't want to be sounding extra demanding, but ma'am, if all these Pointers could be in an investor presentation every quarter, it would really go a long way for us analysts to use that data.
That's
it. This railway data, should I bring all of the data?
All these tickets booked and all that, All the data points?
Include. We will include.
Sure, ma'am. Thank you so much, and best of luck for the rest of
The next question is from the line of Urmel Shah from Haitong Securities. Please go ahead.
Good afternoon, ma'am, and thanks for the opportunity. Ma'am, as regards to the ticketing volume Maybe in July August, have we seen majority of the days being getting back to 9 to 10 lakh Tickets per day?
In fact, it has been more on many days. So you can compare like this that the average ticket which was booked in these 3 months was around 2.12 crores, average ticket in 1 month. But in the month of July, this figure was 3.4 crores. So we were more in July by 1 And passenger traveled is also more normal passenger traveled in those in that particular quarter had been around Less than INR 3 crores. But this month, it has been more than INR 5 crores.
So it is INR 5 crores.
INR 5 lakhs?
INR 5 lakhs? INR 5 lakhs?
Yes. So it is coming out 11 lakhs is coming out to be my average, roughly, what am I thinking?
Sure, sure, sure.
Ma'am, as regards to the 2nd speaker capacity, given that the 3rd wave It still remains very unpredictable. Would it be reasonable to expect that at least till end of this financial year, You will continue to get the benefit of that capacity available for reservation?
It is very difficult to predict because we are not the deciding authority. But one thing is for sure that Ministry of Railways is very keen and Keep inducting the trains every day. Whenever I give the I handle the investors' call, the number of the trains from where the Caring services is being provided and the number of the trains there we are doing the booking and providing the reservation to our customers is increasing. So we cannot comment upon what the decision is going to be taken by the Ministry. But this 2A segment It's also profitable for Ministry of Railways.
So it is not easy to dissuade with the profit so easily.
This is
I'm telling you from my experiences.
Sure, sure.
Sure, ma'am. I cannot commit anything on this behalf because I am not the controlling authority.
No, I totally understand. Ma'am, and if you look at the non ticketing revenue of The Internet ticketing segment, I mean non service charge revenue rather. That has been quite resilient from Q2 onwards. So once we have normalization In Q3 FY 'twenty, we did a peak of about INR67 crores. Should we expect the non Service charge revenue to grow much faster than the service charge revenue once normalization comes in?
This particular cashing non convenience fee resources depend upon how the industry overall travel industry behaves. If the restriction from the state is taken away and the 3rd wave is not there, then the People will gradually shift from the need based travel to the leisure travel or the excursion travel. In that case, the travel will increase, So the advertisement will also in a consequent manner, they will also increase. The banners will be opted. You will get better rates From the Google also, from all your partners and all new government contracts will also come.
We have been able to fetch few Government contracts for our advertisement which we'll be executing perhaps this quarter or the next quarter as the government decides. So our revenue in this segment, I anticipate personally that it is going to increase because if the things keep on improving the way they are, Any third wave danger or any decrease in the vaccination, however, will have direct impact on the travel industry. So if the travel industry improves, everything related to the travel shall improve. That is the our past experience has been.
Sure, ma'am. That was encouraging. Ma'am, I just wanted an update on the talk
In fact, Our experiences in the catering are improving because if you compare with the pre COVID, we are very high. We are [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] Very near to that, I'm sorry. We are very near to that. On few days, we have been able to catch that figure also. Although the number of our trains is overall trains, Running is less.
On few days, we could catch we could match the average figure of Peak COVID levels also, it is consistently increasing, our number of station increasing, number of vendors who are providing the service is also increasing, People are opting. Our talks with the Zomato and Shiggy are not very encouraging because, one, they were all busy in their IPOs, etcetera. And they were charging pretty high for the few things. So we are in talk with the another brand to bring our own brand in the matter who can supply the food, who can work as an aggregator, delivery aggregator the way they are. So we are coming up with another brand and we are going to tie up.
Once that brand is our also a relo B2C partner, we are in discussion with them, ReloPhy. They are coming up as a delivery aggregator, so we will bring our own brand as an aggregator For providing the e grating food. That is what we are thinking. Otherwise, the things will become so costly for the customer, people may not opt for that.
Sure. Ma'am, did I understand that we might launch our own brand in AKT?
We may launch in association with others. So we will support them, provide them area, handholding will be done. Zomato, Siggi, yes, things are stocks are not yet closed because they were busy in other things. And the total quantum, the Kind of a I think I cannot explain because the way this is Shrigi serves and the Zmato serves is very different what the railways are. It is a steady segment, it is a mobile segment.
So kind of deliveries are very different, and expectation of the customers are also very different. So we have to bring them to our level so that the deliveries ensured and the cases of the nondelivery are not there in their cases. If any delay is there, train is gone. So we have to ensure that if order is taken, it has to be delivered too. Logistics is very important in e catering to be done on the rail bus.
For unless until we are ascertain of that, We may not do any tire further. For here, we are certain we will do our tire. Otherwise, we will invite lot of complaints and
Sure, ma'am. This would really enhance our present. And my last question was, There has been a news flow as regards to the strategic partner we have talked about On the private range front, it appears that it might be More of a financial partner rather than a strategic partner. So if you could throw some light on that front. And the news report suggests that the bids received for the 12th So, has been much lower than the earlier interest.
So, how what does that change for us? That was my last question.
IRCTC was looking for a partner to participate in the trade private train tender since last 1 year. We had floated our expression of interest thrice, but some of our individual clusters, we could not find a partner. So we thought let's go for a big thing. And we should now finalize our strategic partners. So we came up with another expression of I am not in the very transparent manner.
And we could pursue many fund houses. And NIFL Was one of them. They came they had filled the bid, and they became our expression of they become our partner. And we have already signed Non binding MOU with them and the binding MOU is in process for which the legal consultant is, etcetera And both ends are working. So we have also participated in the build in 3 clusters, And the results from the ministry are awaited.
So we are yet to receive any alerts. This is the update.
Sure, ma'am. That was very helpful and all the very best.
Thank you.
Thank you. The next question is from the line of Richard D'Souza from SBI Mutual Fund. Please go ahead.
Yes. Good afternoon, ma'am. Just one question from my understanding. When you look at the number of Trains where the ticketing services were offered, there seems to be a substantial increase. Now is this increase in number of trains because Indian Digital Motors launched new trains or is it because some of the
trains which are out of here have come under your ramp?
Just wanted to note the reason, ma'am.
Actually, we operate only the tourist trains. It is the Indian Railroads who operate the trains, and we provide the reservation for that. And I'm looking if I look at the figure, if I compare, I have some figure for the June, July August. I can tell you the average number of trains per day. In the June, it was 2,521.
In July, it was around 2,700. Now in the month of August, it is 2,750. So you can see the gradual increase happening every month. And you said these are the new trains or it is the previous trains? The trains are being run-in the name of a special train, Regular trains with the same numbers have not yet been restored, but same level of services with some difference As we started, like, Kil railway is running, Gaidani, Shacabdi, Duronto, the premier trade, but with a different number.
The only thing which may not be running will be the passenger trains in the local areas where Actually, ICTC was not a beneficiary. The tickets were being booked through UTS, under the ticketing resources. So, yes, we are beneficiary because of the 2nd test class being introduced in these trends. This is an additional advantage to us.
So when you look at this number, Which you said that running in August for which you would have offered ticket booking. So pre COVID, what would be the number of trains, Ram?
See, when I say 2,750, I am talking to and fro. On few days back, I was hearing one discussion of Ministry of Railways, Around 17.50 to 18 100 fares they run. So the 3,600 kind of a train, 3,500 kind of a train they run. So you can say we must be lagging behind about, I think, 400 more trains that will come. Okay.
450 more trends will be coming in the future. All the numbering may change, but with special trends, we are a little yellow.
Okay. And of this, the premium segment would be how much?
30% is the premium segment. 30% is the premium segment.
Okay. And this you improved the ACs and the discount, second
premium segment, it is not only the Raizani, Shatabhi, Durand, though this is superfast trains also. So around 30% is the super put together the premium trains. Rest is all normal main access trains. And passenger trains, of course, is not counted in this 750 trains of the Indian Railways which they were running earlier. Passenger trains are counted in a different kind of area because they are the running between inter cities.
The next question is from the line of Rahul Jain from Dollar Capital. Please go.
Hello. Is it Is it better now?
It is now better.
Yes. So in the node 2 account, we have given this INR 18.5 crores charge Relating to unbundling model, can you share more clarity on this, what is this relating to?
And there is
no unbundling train.
Yes. Actually, in as per the catering policy of 2017, The trains are to be run on the model of unbundling where the production and service both have been segregated. Production has to be done from the kitchen being monitored closely by IR CTC under the CCTV, the QR code, etcetera. And the supply is to be done by the different service providers. In all those trains, some revenue sharing has to be done with the railways, Which was done in the pre COVID period.
During the COVID period and today, when this kind of because we are not Serving any cooked food as of now because the impact of COVID is still being considered and the railway has not resumed the normal operation. So last year, we did not pay any commission on the unbundling to railways. And this year also,
Okay. Okay. And any input we can share in terms of this privatization potential CapEx we may incur in FY 'twenty two and FY 'twenty three if things goes as per the current frame of mind?
See, it all depends if you win the bid or not. If you get LOA, so some CapEx has to be planned some investment has to be done by our partners for which we are in stage of assigning 1 binding MOU with them. So till that time I win and I get an LO, it may not be appropriate to for me to design and discuss the because after that, We may form a separate SPV and then SPV will decide how much investment will be done. So I cannot speak on behalf of SPV as of now.
Right. And if we could give the AC, non AC mix and UPI share for this quarter?
I can tell you that in this quarter in the April, May June, the percentage share of the 2nd class 2S has been around 39% And average that is average. And steeper class again has been around 39%. 3rd AC has been 14% And AZ Cheer car has been roughly 2% and same AZ has been around 3.3%.
Right. And the UPI share in all tickets?
UPI share is around 26%.
This has dropped. Is there any reason for this?
There is no drop. It is generally average is coming out with sales of 26 Sir, there is no drop. UPIs are picking up. Maybe the people have preferred to opt for another model.
Right, right. And just last one from my side. Are we seeing any improvement in terms of License fees going up in the catering contracts since things are opening up, volume on the passenger side are also Positivity
brings positivity. So as the things are opening up, footfall at the station is increasing, Occupancy of the train is picking up. So the more trains are also coming up. So our licensee gradually, There were very bad times for IRCDC. In the April, May, we didn't could not find a contractor for many of our trains, and we had to run departmentally.
But gradually, gradually, when the football started improving, so we are finding good contractors, and we are also earning Good fees. Of course, this fees is not at par with the pre COVID levels, but certainly we have improved as compared to the COVID levels, especially April and May.
Okay. Okay. Thank you. That's it from my side.
Yeah.
Thank you. The next question is from the line of Nitesh Shah from Motilal Oswal. Please Ma'am,
just one couple of questions. One is in terms of there was some article recently we highlighted that the railroad is Planning to add 1 more Tier 3 AC coaches to train, then that will be over a period of next 2 years. So Is it possible for you to give us some more detail around it?
You might have heard Reply of Honorable Railway Minister in the Parliament also. In one of the reply in one where I was also In front of one committee because the discussion happened in that committee cannot be brought in public. I cannot discuss about that. But the reply of honorable minister is very clear that as of now, PentriCar services are service to customer cannot be compared with the revenue. [SPEAKER
UNIDENTIFIED COMPANY REPRESENTATIVE:] That is the reply he had given.
So this indirectly, we interpret the likelihood of removing the ventricas is not Being seen. Although I am not the right person to comment upon that,
Okay. So we
replied that there is no likelihood of peers.
Got it. Okay. And ma'am, as far as the number of trains are concerned, what are we operating at Compared to pre COVID level?
We are around, I think, 700 odd
On the Payoff? Yes. 2000.
400 payers, you can say. We are short 400 payers, we are short off. So once we are introduced, then we'll be able to match the pre COVID levels also, although our bookings are much higher than the pre COVID levels. Yes.
That's because of 2S. But ma'am, on a base of R2,200, we have R400,000,000 or on a base of R2,000?
I just know I answered this question. That's it. Previously, ministry was operating around 17.50 pairs of Trains, so you can say 3,500 trains. As in the month of August, we are operating around 2,750 trains. So this was just the difference, which will be filled subsequently once the situation improves further.
And it is happening almost every day. We are getting new trends.
Got it. And ma'am, one final question last time you did highlight that you've already applied for it. If that integration kind of goes through and the customer we are we can do the ICDC app for the ticket, Will we make some money on the payment gateway, Mahapod?
Yes, we do. IPay is our kind of a very Important product that we have launched in this year, rather we have been working on this product last 3 years. If I share my revenue from my payment gateway and the volume that we are handling, around you can say That 61 lakh transactions happened in the Q1 of this year. And around 6.35 crores Transaction rupee transaction happened through using our IP gateway. Our revenue last year has been to the tune of INR 14 crores and this year it has not been this has been around INR 4 crores or so.
So netting off, If I do calculate the entire revenue because in our payment gateway, you earn through various methods, various you have merchant PMC amount also, you have a net earning So you get from the other banks also. Bank shares is also there. So revenue sharing is also there. So we share certain revenue with our banks And the net revenue which is coming to IR CTC comes out to be around INR 3.5 crores.
Got it. And ma'am In the Q1. Got it. And, ma'am, where are we on the integration part or the app?
It is there already in the app. Okay. Recently, we have seen the place. You will find the different amount.
Okay. Okay. Understood.
It was not so that people are able to locate it faster.
Ma'am, what kind of traction
should we add, get on numbers because of this integration? Because The market size is very, very large as far as the other segment is concerned. So just trying to understand if you can give us some sense on the size of the opportunity here.
Then we have to think beyond the Internet ticketing Because this PG size is very the payment gateway works in a 2 manner. 1 is the PG manner and other is the payment aggregator. For becoming a payment aggregator, we require certain approval from the RBI for which we are applying and the necessary changes in the memorandum of association will also be made If the need comes, ISPV will be formed subsequently, if the need comes. So we are going beyond Internet [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] also in the IP, and we are talking to many agencies like EPFO, etcetera, so that this particular gateway who has now Stabilized in the last 3 years, and we have also we are tweaking our internal processes and making our reconciliation more strong So that we can take this payment gateway outside. There the more revenue will come.
Here the revenue which is there, it is going to be. Finally, it is we are going to [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] Sure. Someone else, sure. The total inventory the booking on the Internet ticketing side is correlated to the total inventory available, which is going to be fixed Or may increase not may increase substantially. If we really want to increase the revenue on Taipei, we may have to go out for which diapers are on, [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] And we are sending our internal processes which we have done in this quarter.
We will add in this quarter also. Maybe in the Q3, you will see that we are starting Going out and the necessary approvals from the RBI, etcetera, are available with us. And the product is to be launched in the open market. Yes. We are trying our level best to bring it in all the forums.
We in fact, we have also applied to voice agencies also to bring IPAY because now earlier, we did not have net raising. Now we are not So time has come, then we can now take it to UTS So all government payment gateways, maybe income tax, we may think of. So we can once our process internal processes So far, we were anything goes on, we could manage because we were a controller. But for going outside, you may need to have a very strong system, which we have. We are only formalizing the SOP, the rates, etcetera, so that we can take out this product in the market.
Next question is from the line of Husnu Khosadia from SUB Life. Please go ahead.
Most of my questions have been answered. I just want to clarify one thing, the number of Tickets and the passengers travel number that you have provided. So I think 63 crores is the number of tickets and number of passenger travels would be In Q1?
Yes, 6.37 crore is the number of tickets traveled in the first quarter. And the passenger car? We booked in the Q1. 8.1 crore is the number of our passengers traveled For the ticket, you booked the 2 hour website. Okay.
Okay. So that turns out
to be just 1.3 passenger per ticket Versus earlier average of 1.6, 1.7.
Yes. But it is normally 1.7 to 1.8. On few days, it has been 1.3. On few holidays, it is not there.
Okay, okay, okay. And what would be the average elastic capacity or the capacity utilization number this quarter On the train? Any approximate number around that? The moment is occupancy. Occupancy number, So I just didn't get the part on eCatering.
I need a question to repeat what was the update on the e catering business and the tie up and tomato, Swiggy, you were talking about?
E Cating is a business that we are where the person can order online using our app or our website, and the food is provided on the site. We were intending to tie up with the Zomato and Siggi. The talks were on. It got delayed because those both agencies were busy, and they were charging little For serving the food and our food is being served in the train is offered because service in the train and the service In the static unit or in the house is very different. So one has to be a very, very strong logistics.
So both our deals with the Zomato and the Singh are not yet finalized, talks are still known. Meanwhile, we could succeed in one of our B2C also coming up as a delivery aggregator with our own brand. So we are really can where IRCDC can also provide Some handholding kind of a thing so that the hot food is served. We could achieve the pre COVID levels on few days With the limited number of trains we had and our average booking of e catering food is around 17,000 meals a day As compared to 21,000 meals pre COVID level, although on few days we were able to achieve 21,000 meals a day also, The number of stations providing e catering is gradually picking up still less than pre COVID levels, And the number of orders that we are receiving is also less than pre COVID level, but still ticking up.
So at this moment, who's providing this service of delivery to you?
We have all the vendors. We have delivery aggregators, we have food aggregators, we have Domino's, we have Subway, we have Passos, we have Haldi Ram's, we have all the Food Plaza are linked, and all the other brands of the local brands are also linked. So for many brands are there, 252 stations We have opened this and more than 1,000 vendors are already with us who have started the work.
Okay. And who is this new B2C partner that whom you are looking to tie up?
Yes, yes, yes. We have recently started with our B2C Last 3 months, in the Q1 results are very encouraging. And many of our partners like MakeMyTrix, HEXIGO, Yatra, Railforce, Railofy and Confirm Tickets, they have started selling the tickets, and we are giving some share Of our revenue to them also. Some charges we are sharing with them. With that, the booking has increased.
And booking that we get from them is around 2,500 meals a day. Normally, we are getting on the B2C partners also.
And we
are also thinking of revising our policy, maybe subsequently we'll do.
I wanted to know who is this new Partner is coming
out of the
delivery aggregation business.
We are in talks with many. Okay. In fact, let us see where we succeed.
Okay. Okay. Fine. Thank you. That's all.
Thank you.
The next question is from the line of Sudesh Tanvi from IDBI Capital.
So my question is with regard to DFC. Have you seen any progress in DFC and any space being vacant with regards to passenger trains? Is the ministry in IRCT in discussion for any And what is the timeline ahead for? Because earlier, the deadline for DFC was June 2022. I mean, we are in less than the year space of that.
So just to me an update on that.
So it may not be very appropriate to me comment upon the working of our DFT, But I can certainly tell you from the news I read and in the relay parlour, it's a continuous improvement they are showing. Dedicated Freight Corridor is that freight traffic that is moving to Dedicated Freight Corridor is increasing In fact, during the COVID period, etcetera, oxygen special, etcetera, many of them moved through that corridor. So [SPEAKER UNIDENTIFIED COMPANY REPRESENTATIVE:] The corridor is showing consistent improvement, but how I may not be able to share any figure with you on this
because I
don't Ma'am, my question was with regards to has any space opened up because of the shifting of goods train to DFC? And has that been converted into passenger trains?
[SPEAKER UNIDENTIFIED
COMPANY REPRESENTATIVE:] The passenger trains have not started moving on the dedicated freight corridors. The private train tender is yet to be decided. And the new train passenger trains in case of an emergency, of course, when any of the exigency happens in the railroads, the alternative Route? I'm not I don't know exactly, but maybe they may be using the dedicated freight route also. Provided that as a fitness for the passenger.
Ma'am, for old route So the
track for the passenger and for the goods is very different.
Right, ma'am. For the old route, I mean, not the DFC, but for the old route, has any space been created for the high speed or semi high speed trains? And is the actual part
of that? I'm sorry, I'm not aware of. Not yet, I don't know.
Not yet. Okay, ma'am. Thank you very much. That's it from my end.
Ma'am, my first question is regarding the touring package that we offer. So could you give some updates where we stand and how the platform since we are half of the
Tourism, we do domestic tourism also and we do inbound also and we are doing outbound also. We are into the all sectors of tourism. We have a product ranging from INR 800 to $8.50 a day. So I can if you ask me what kind of tourism we are doing now, we are doing the majority of our Since our regular trains are not running for rail based tourism, we are doing only the mass tourism. In fact, in this once the trains opened up After June, I am very happy to announce to this house that my first Bharat Darshan has come back successfully, which we operated from the south zone and 2 are running.
So we have already started our mass tourism after the second wave. [SPEAKER
UNIDENTIFIED COMPANY REPRESENTATIVE:] And we would be operating around 22 trains.
So far up to this, I'm telling you, up to December, we had announced [SPEAKER UNIDENTIFIED COMPANY
REPRESENTATIVE:] And we would be adding more trains
now if the situation remains the same and we carry the people. So the tourism will pick up. And last year, if you ask me, the total number of a Barudasan train and the Bilgram special was 25. So that was in the entire year. So if the things go right, up to December, we would have operated these many trains.
In addition to this, in the Day Lock segment, we have already announced one train called Sarazam Yatra, which is already full, which is our Buddhist Rake which we are using in our lie over period and taking it to all the traditional ports are down, that is Badrinath, Dwarka, Puri and Rameshwaram. And that has been a big hit. Since it was a big hit, we had to launch another itinerary. Ramayana is already hit. We have launched that also in the dealer segment.
So that is very encouraging, and we are getting lot many bookings. 2, 3 circuits of mine are already booked. Then to promote the North Frontier, the NS region, 7 Sisters, we have also launched another good package, which is also getting good attention So and the air packages, yes, our Ladakh package has been a great hit. Our Kerala package, in spite of the pandemic And the situation over there, people booked many. In fact, we had to launch a series of the Ladakh package, and the Kashmir also we had launched.
So tourism is gradually taking off. Land tour is picking up. Deluxe train is picking up. And Our mass tourism in the name of Abayar Darshan and Pildan station has also started picking up. So our air bookings have gone up.
The circuit although not very encouraging, we are also going to do some promotions with the air ticketing business Because many of the visa restrictions are still there, so we are skipping our single crores for the inbound tourism this year. And outbound also, till the restriction opens, we can't bring the people out. So let's focus on the domestic tourism. That is what the company has decided. And we are all the way out to promote our things that you might be seeing through our social media handles also and other places.
Telling you, give us the run rate of air ticket booking?
It was around, I think, 2,700 segments a day, Earlier today when I inquired.
Okay. Ma'am, since our catering business is 100% key catering We are looking through the pre COVID level. So how should we look at the margin profile for you?
Are you talking me about that Specifically about the e catering? Yes, e catering margin profile. E catering, our margins have gone up by from 12% to 15% recently. We have increased the rate.
It's increase of all new as well as old V2C partners?
I'm not able to hear you fully. Can we feel a bit louder?
So the increase is across the board with the new as well as old partners? Yes.
When we do, we have to ensure level playing. We cannot segregate.
And Menck, can you give us the update on our CapEx program for the year and then next year?
CapEx, last thing also, the leftover work of the previous year will be completed because Some few things in the Apple may could not be completed. Around, I think, last year, we had announced that INR 100 crores will be spent. So we'll continue with that. And we will if we win this tender for the private trains, then the CapEx is going to be much, much more. Okay.
May not be this year, maybe next year we will have that.
Okay. Thank you. Thank you very much and wish to best surprise.
Thank you.
Thank you. As this was the last question for today, I now hand the conference over to the management for closing comments.
Well, it has been a very thought provoking session, I must say. Industry is well read, and all our investors are Well, they were quite inquisitive to know the developments happening in the company, and it is it has always been a pleasure interacting with the investors. At times, it really has helped us in taking few decisions what the market is actually looking for. So to know the market trend, it is very I think interaction with the investor is a continuous process and really strengthens the bond between the investor and the company. So I wish all wish you all the best for the Rakshamanan coming Rakshamanan and the principal and, of course, A very happy Independence Day to all of you.
Hopefully, this 3rd wave [SPEAKER
UNIDENTIFIED COMPANY REPRESENTATIVE:] Doesn't
it, my boss and tourism and the hospitality industry is able to sail off. If we sail off well, investors will certainly. Wishing you all the best once again. Thank you very much.
Thank you.