Ladies and gentlemen, good day and welcome to Gabriel India Limited Q1 FY25 earnings conference call. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions, and expectations of the company as of the date of this call. These statements are not a guarantee of future performance and involve risks and uncertainties that are difficult to predict. 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 the conference call, please signal an operator by pressing the star, then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Manoj Kulhatkar, Managing Director of Gabriel India Limited. Thank you, and over to you, sir. Thank you. Thank you, and I mean, welcome to everybody present on the call. Hope my voice is clear. Joining me today on the call, we have Rishi Luharuka, CFO, Nilesh Jain, our Company Secretary, and our Investor Relations Advisors, SGA. So I'm joining, and we are joining from different locations. So we have uploaded the digital and the investor presentation for the first quarter of this fiscal on the stock exchange and the company website. I hope all of you had a chance to go through the same. I'll give a brief overview of the company operations and take you along through the presentation so that, I mean, we understand more in detail, and I might give some commentary, and then we open it up for questions as always later. So coming to the presentation, if we refer to slide five and six, I mean, slide five is the top-line numbers. I mean, the revenue we had, again, a good quarter of INR 864 crores of sale, with an EBITDA of 9% and PBT of 8%. Coming to slide six, there you can see the comparative. So the revenue growth YoY, quarter YoY, is 7.3%. However, the EBITDA growth continues to remain better than the top-line growth. So we did 13% growth on EBITDA terms compared to the quarter, the same comparable quarter in the last year. And similarly, you can see for PBT as well, it's almost a 20% growth. And the net cash position is almost INR 330 crores, including the company loan to our Sunroof Venture. And CapEx that we incurred is INR 30 crores in the quarter. The next slide is slide number seven, which again puts all the figures in a comparative format, in a tabular format, which you must have had a look. So again, here you can see that the revenue growth has been healthy, and the EBITDA growth has been better, and gross margin, in fact, if you see, even on QoQ basis, the gross margin, there is a slight improvement. YoY, of course, we did mention there's an improvement in EBITDA and PBT, but even on gross margin basis, QoQ, there is an improvement of 0.3%, and then we go to slide eight. This is, again, quarterly performance, so we are sustaining the 9% EBITDA margins, which have been growing literally every quarter over the past almost eight quarters, so you can see that on the graph very well here. Slide nine, which is, again, the P&L statement. We've been through that, so I'll skip this. And we move to slide 10, which shares the segment mix and the channel mix. So as you can see, the segment mix remains more or less the same. Two-Wheelers is still constituting the major portion, which is almost 63%. Passenger car 24%, CV of 11%. And in terms of channel, we had OE, I mean, with direct OEM sale of 87% and a replacement market channel of 13%. Here, I just want to point out a small mistake in the presentation. The last line, which says aftermarket has decreased, that should be read as commercial vehicle has decreased. So the CV has decreased from 13% in Q1 last year compared to 11% for Q1 this year. The reason, of course, we all know that the CV is facing a bit of a little bit of uncertainty, which happens during every election year, which is what we are seeing and which is what was expected as well. So that's why the CV portion has declined slightly. Going to slide 11, which basically captures our vision into 25, which is being among the top five shock absorber manufacturers of the world based on four pillars of Exports, Domestic Dominance, M&As, and Technology. Slide 13 is exports. Yes, we have had a bit of a challenge in exports owing to a little bit of slowdown that we saw in Europe, where we export to Netherlands. And also, due to the Red Sea crisis, there has been a little lower offtake because they had challenges from other components as well. And also, there's a bit of slowdown in Colombia, which is also a big export market for us. But yes, I mean, both these will for sure pick up. We are confident, and you should see that in the coming quarter as well. In terms of the domestic market performance, slide 15, which talks about the two and three-wheeler, including aftermarket, of course. So there's a market share. There's a slight dip from 31% in Q4, I mean, the last quarter, trailing quarter, to this quarter, 30%, which is, I mean, just a small change, which happened because the motorcycle, I mean, Bajaj sold more motorcycles of the competition compared to us because ours are mainly going to the export model. And as you know, the export is still not fully taken off as far as Bajaj is concerned, especially the Pulsar and the Dominar. Here, within these, we have had some good launches with TVS iQube ST and Ather Rizta, the new model, the Apache 160 Black Edition. Our pipeline continues to be robust here. We also, I mean, I'll come to the electric market share, which actually improved further, which you can see on slide 16. We move to slide 16. So in slide 16, we can see that our market share has now grown to 87% with respect to EV two-wheelers. So EV two-wheelers, as you all know, had slowed down. They're doing almost a lakh a month. They've dropped down to almost levels of 70,000 per month now. We know that FAME III or the EMPS, the Electric Mobility Promotion Scheme, also will be ending in September. But what we hear is there is FAME III, which is in the draft stage. So I'm sure something will come up. I mean, that's the expectation, of course. And then hopefully, we can see numbers revive further. But as of now, it's about give or take 70,000 per month, of which, I mean, 87% share is by Gabriel. And I'm glad to also share that yesterday, there was Ola vendor conference. The first time, they gave out awards, and Gabriel got an award for the fastest development from Ola. So that's heartening news for all of us. Coming to slide 17, we have the passenger car picture here, where the market share has improved slightly 1%, 24%, and 23%. We have one too many programs, which are in the production stage. One is the Tata Motors Curvv EV. As you remember, I had mentioned that we were working on an EV platform with Tata's. This was the platform, and it has been launched now. I mean, the response is good. And Stellantis, the Citroën Basalt vehicle, which also is a good vehicle at a good price. Both these are supplied 100% by Gabriel. As far as market is concerned, we saw a healthy increase of passenger vehicles in Q1, almost 6%. Why I say healthy is because the base is high, but still we grew. We are expecting, and the industry is expecting that there'll be, of course, a little bit of a moderation here. But it all depends on how the festive season goes. The inventory levels are high, which we are again reading in the papers. We expect that it should be in the range of 4%-6% by the end of the year. Growth is still, of course, welcome based on the high growth that we have seen over the past three years. Coming to slide 18, this is a Utility Vehicle, which is what is the happening area as far as the passenger car is concerned. Here, I'm glad to share that we have 35% of the market share in utility vehicles, and most of the top and second UVs are serviced by Gabriel. Slide 19 is commercial vehicle. We continue to be strong. In fact, even with Ashok Leyland, our market share has, in fact, all improved further. We are almost over 90% as far as market share is concerned for all commercial vehicles in India. We are looking at exports. DAF, we have broken through. We are also talking to Fuso, which is part of Daimler. So through Daimler India, we are talking. We are We are working on development of Fuso, which is of Japan, and also some other customers. And we are also in discussions with Volvo. I mean, I'm talking about Volvo Global. We are already almost 100% with Volvo Eicher in India. Through that, we are discussing on Volvo Global as well. DAF, we already mentioned in the last call that we hired the RFQ for the axle dampers, and we are working on the same currently. Slide 20 is the railway presence, which is unchanged because, of course, we are now there, as mentioned earlier, we're there on every product that Indian Railways has in the market on the rails. So we are there. Even the Siemens e-loco, we have got the LOI. We are working on this. It's a small volume nevertheless, but it's a good breakthrough because this is not exactly Indian Railways. This is Siemens e-Loco. This also opens up doors for us as far as a new customer is concerned, which is Siemens. Yeah. Slide 21 is the aftermarket, where we continue to grow. We almost hit INR 420 crores last year, and even the first quarter has been good at almost about INR 120 crores. We continue to see, of course, there is traction in the aftermarket segment as well, but Gabriel being the leader and a very well-known brand name. And through our new products, which we launched in this, I mean, we have launched many new product lines, which the latest of which is the alloy wheel rims. We are able to get a good growth in the marketplace. Slide 22 is the M&A. This is the actual picture of the IGSSPL, the Inalfa Gabriel Sunroof Systems plant in Chennai, in the Sriperumbudur area. You can see the exterior of the plant in the picture. This is slide 23. The picture of the assembly line and the polyurethane line. It is a state-of-the-art plant and very well maintained and with all the production metrics or the KPIs being really among the best that in Inalfa is seen globally. As far as the consortium is concerned, maybe I'll hand over to Rishi. Rishi, you can just explain the slide. Yeah. Thank you. Overall, in terms of the Inalfa profitability, we closed the quarter with INR 82-odd crores of sales, which was more than 5% over and above our target number that we were anticipating at the beginning. With the 14% healthy EBITDA, we'd mentioned that it is in the double digits, and that's what this entity is currently turning out to be. In terms of the GEC, as we've shared in the past, this is a cost-plus R&D tech center. While, for the purpose of consolidation, there is a revenue from operations being shown, but ultimately, in the consolidation, it gets knocked off and is a part of capital work in progress in the standalone entity of Gabriel. Here, we are handling the new generation of technologies for suspension. That's it. Over to you. Okay. Thank you, Rishi. Yeah. Slide 26 is the European Tech Center. This is the overall building of that facility where we have tried to show in a small circle where our office and work is now. We also, as I said, have a workshop now. Not only an office, but we have some workshop to do our trials, do fitments, and then test our vehicles in the adjoining racetrack. The next slide, Rishi. Yeah. I think this is the standard pack, which all of you are aware. So I'll go back. We can now stop as far as the slides are concerned. Yeah. I think that's been the overall, I mean, picture of the first quarter, which has started off well. I mean, honestly, our expectation for sales was a little higher, but as you can see, the industry is looking at a little bit of moderation because we have had some excellent years as far as top numbers are concerned for the industry. So yeah, we are, of course, treating the period ahead with caution and ensuring that we have a strong control on cost. And we continue on our EBITDA improvement journey as we have done for almost eight quarters. So with this, I'll end my address at the start and I'm keen to look at all the questions that we have. Thank you. Over to 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 withdraw yourself from the question queue, you may press star and two. Participants are requested to use handset 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 Mumuksh Mandlesha from Anand Rathi Institutional Equities. Please go ahead. Yeah. Thank you so much for the opportunity, sir. And congratulations on the solid margins. Firstly, just can you update more on this Inalfa TLA, which has now shifted from JV to TLA? And on this particular thing, will there be any royalty change since there's no JV now? The royalty that is currently in Inalfa charges will remain same, or will there be any change in the royalty rates? Okay. Thank you Mumuksh. Thanks for the compliments and the good set of numbers. Coming to the TLA, yes, we did come up with a notification. Yeah. I mean, as soon as we got it from the government, from DPIIT. So yes, so we'll continue now through the TLA or TTA, as we call it, which was what actually we both the partners right at the inception itself had thought that this would be a good way to go on because of, of course, foreseeable challenges. And this is a long-term TLA. This is so we will continue as strongly as we have so far. There's a statement that we have released yesterday again, which is backed up by Inalfa as well, that the commitment to the India market is very strong. We will continue to work towards seeking support of the government and working out on options. So as far as royalty is concerned, the royalty portion, these are terms of the agreement, which are, as you know, confidential. So we have signed the confidentiality agreement. So we might be able to say more on that. And Rishi, you want to add something to this? The only one point Mumuksh is that the current construct of 5% royalty that we've shared is between both the JV partners, and that construct will continue till the resolution of the pre-entry approval comes through. Great, sir. Thank you for this. Sir, on continuing on the sunroof side, can you update on any new order wins, sir? And on the sunroof margins, sir, can you just whether this kind of margins will be sustainable and also get further improved due to localization and volume, sir? Yeah. So yeah, Mumuksh, so the margins, yes, they're fairly good. Rishi shared those margins as well, EBITDA margins. And with localization, the current I mean, currently, localization percentage is still low. But as we go into each and every program, like I mentioned, we have the Kia program, which is in part production from January. The localization is even a little better. And as the overall ecosystem of the sunroof, as a system improves, the supply ecosystem, this will only keep on improving, like we have seen in so many other products as well. So with that, the margins will improve. But yes, obviously, we will have to share some of the improvements with the customers. So fair to say that I think we should be able to sustain the margins for sure. Got it, sir. Any update on new order wins, sir? On new order wins, we are discussing with Hyundai and Kia both. There are advanced discussions happening. As of now, we are not able to share more, but yes, definitely some positive discussions going on. And even with non-Hyundai and Kia customers, we have had very advanced discussions. We are in advanced discussion phase with Stellantis and, well, with Škoda Volkswagen in the new platform. So definitely, we will, I mean, we have an understanding that we will be getting the RFQ. And yeah, I mean, we'd like to then focus on based on those comparative quotes. So yeah, all in all, I think a very good order book. I don't see a concern on that front. Got it, sir. Just on this page, sir, recently, some peers have announced sunroof plans and one particular one with a partner, with a Japanese market leader, which seems to be close to Japanese customers like Maruti and Toyota. So just on the Maruti entry, because I mean, currently, they would have a few models with sunroof, but going ahead, they would have a lot more models. So how do you see the Maruti opportunity for us? And And also just looking at competitive intensity in this space. Yeah. So see, the competitive intensity was expected to go up because it's a really, what do you call it? It was almost a blue ocean when we started. We were only the second or third player. So yes, it's a very attractive segment. And fortunately, there's room for everybody because the growth has been terrific. The SUVs are growing. SUVs are coming with bigger and bigger panoramic sunroofs. And more and more of us, I mean, the traction in the SUV segment as far as sunroof penetration is concerned is in some models as 100%. So there's definitely a scope for many players. Yes, the competition, as I say, is always good for the customer and for us as well because we all remain sharp. So we'll have to see. As far as your specific question on Japanese, yes, there's an announcement there. That's the Japanese JV. But we, again, as you know, we have very strong relations with Maruti Suzuki, with, in fact, the entire Indian auto component industry. In fact, Hyundai and Kia have got added as a new customer to us. We were never there in Hyundai and Kia. We had a Santro model for suspension long, long back. After that, we have not been a customer to Hyundai and Kia. But now, through this, we have got entry in Hyundai and Kia. The other customers, any which way, we have excellent relations. So yeah, yes, as I said, it's a free market. So we'll have to see. I think only the best person will do the business. So I don't think it's that any particular business is not going to be with you because of some alignments. So what do you I mean, we should be at least over medium to long term among the top two players which. Yeah. Yeah. That's clear. Absolutely. That's clearly our reason. Inalfa is number two, globally number two. And they continue to support us strongly on all fronts, even in new businesses. So yeah, I mean, why can't we continue with number two status in India? I mean, that's clearly what we are also going for. Got it, sir. So this is onto Rishi, sir. Just on this sunroof business, how much has been the investment till now, sir? And also, can you mention the loan given to subsidiary or quantify the loan, sir? So Mumuksh, the outstanding loan currently in the books of Inalfa as on first quarter end, being INR 60 crores, 59.5 to be precise. And in terms of total investment that we have put in, that's close to INR 90 crores. And another INR 40 crores we have put in for the phase two expansion. That would be an additional line, yes. Additional. Got it. Got it. And sir, lastly, sir. Sorry to interrupt, sir. Mr. Mumuksh, could you please fall back in the queue? Sure. Thank you. Thank you. The next question is from the line of Viraj from SiMPL. Please go ahead. Yeah. Just three questions. First on sunroof. The 14% margin which we did is after the 5% royalty payout. Is that correct? And when you say the royalty payout is between two partners, I think the earlier communication was that it would be between three partners, one being the parent entity of AIPL, second being Gabriel, and then third being Inalfa. So is there a change now? How's the distribution of that royalty, if you can share? So Viraj, first question, 14% is after the royalty payout. Second question is that the royalty split is between two entities. One is Gabriel and the other is Inalfa, parent entity. And the third part that you mentioned, that's the management fee. So the 14% is after the management fee as well. So you mean after the management fee which the subsidiary would pay to parent of AIPL? Correct. Parent of Inalfa. Parent of Inalfa or parent of AIPL? Parent of IGSSPL, which is Gabriel. Right. So when you look at consolidated numbers, where does the royalty get reflected? The royalty is a part of that you're seeing in the consolidated results, right? Yes. Yes. So royalty is on the same part. In a second I'll answer your question. Yeah. See, why I'm asking this is, if you see this quarter, our communication in the past has been aftermarket, PV, and even two-wheeler. They are the highest margin products for us or categories for us. Now, aftermarket is weak, PV decline. Two-wheeler, we have seen relatively low growth compared to industry. Now, still, despite all these high margin categories doing okay or not great, we still don't have similar gross margin and similar EBITDA margin. So I'm just trying to understand what explains this better performance for us. Okay. So Viraj, while Rishi comes back to the figures, of course, yes, we always maintain that IGSSPL is going to be an EBITDA-accretive business for us. That was the plan, and it's going as per plan, number one. Number two, while you said that everything is under pressure, in fact, two-wheeler is doing well. Aftermarket continues to be under pressure, it continues to do well. And as you remember, we have something called Core 90, which is to ensure that we continuously look at each and every element of cost and keep driving it down. So even that has helped in our sustaining these margins. So there's a play from all sides. It's not that the core business or the components of the core business are under pressure. Even there, we have been able to incrementally keep on improving. So to put it differently, you talked about incrementally demand being relatively weak in PV. PV, the trend so far has been weak. So if one has to just understand, say, internally and Gabriel standalone, what levels do you think you have to further improve the profit margin? So if volumes were to be muted, how should one understand the drivers of margin improvement? Thanks for pausing. So yes, I mean, in terms of aftermarket, for sure, the railway business is improving while it's a small part of our revenue. But it's a good high-margin business, and that's improving. And it was low after the COVID for at least two years. So that's picking up. In addition, you're pursuing exports on a more long-term basis. Right now, while exports, as I said, due to reasons, it's down. Exports would also be our lever to improve our margins going forward. And in addition to that, yes, we definitely are looking at some other products. As you know, we are looking at some e-bicycle product front fork, which should be at a good margin. So yeah, so there are several fronts. And then there's IGSS, of course. Okay. Question on the royalty. So you can't, I mean, Viraj, you can't pinpoint. You have to take a host of actions, right, because things can happen in different segments differently. The good part is we are a company which has always very well-balanced as far as portfolios concerning, segments as far as subsidiaries concerned. And now we have this additional sunroof business as well. So from that perspective, yeah, I think well-positioned is all I can say. Okay. The quantum of royalty, if you can share. And just last thing, on the two-wheeler segment growth for us, if I compare to any industry growth, we seem to have underperformed. So anything to read there in terms of, has there been any loss of business or any current? Loss of business? Viraj, as I said, it's a very marginal change that has happened. It's due to the product mix. It's mainly due to the product mix. That's some of the models, as I said, particularly Bajaj, our product, actually, their sale went down because it's mainly exports to Africa. And you know the reason there. But it will surely come back. And also, while we speak, I'm again glad to share that we have been able to get business from Bajaj on models of Pulsar and Dominar as well now. Okay. On the royalty amount, sir? For the quarter? This is the part of the sales of services grouped under the revenue from operations. The quantum for the quarter? Sorry? What will be the quantum for the quarter in channel loan? That would be, I'll end up sharing the percentage sharing, which I'm not able to currently. Okay. Thank you, Viraj. Thank you. The next question is from the line of Amit Hiranandani from SMIFS Limited. Please go ahead. Yeah. Thanks again for the opportunity and congratulations for the recent setup for us. Sir, just need some clarification on the sunroof JV. After going through the latest press release, is our understanding correct that now instead of making a JV, the subsidiary format will continue and Inalfa will take some share in this subsidiary? I mean, is our understanding correct? Can you please repeat that, Amit, once? Yes, yes, yes. Basically, after going through the latest press release, wanted to understand that instead of making a JV now, the subsidiary format will only continue and Inalfa will take some equity share in this subsidiary. Is this understanding correct? Let me take it from the top. I mean, the intention was always to form a joint venture, right, because of the government regulations of Press Note 3, because we were waiting for the equity infusion to happen. At this point in time, it is 100% subsidiary of Gabriel. The PN3 approval right now has had a bump, which was already taken into consideration when we were forming the TCA. So at this point in time, the current construct, which is 100% subsidiary with the TCA with Inalfa Roof Systems, that will continue. So are we still only applying for the JV? So if yes, then how will be the arrangement? How much Gabriel will own and then JV? So yes, we would be looking at various options. And at this point in time, we are not in a position to share the construct of whatever various propositions we might have. Okay. Understood. And sir, just let me continue with the sunroof side. So most of the questions on the sunroof is answered. Just wanted to know that we sold roughly about 23,000 units in Q4. And how many units sold in Q1 FY25? Well, Amit, we are actually constrained on these numbers as far as the exact number is concerned. But our daily production rate is actually much better than what we saw in Q4 of last year. It's fair enough, sir. Sir, on the FSD tech, any new order went for FSD? Not yet. But we recently had a discussion with, again, Maruti, where they were interested in one particular vehicle, but they are actually now changing it to another upcoming vehicle where they demonstrate the concept to them. So then definitely there is interest from them as well as from Tata Motors, both two customers that I can think of immediately as far as FSD is concerned. Okay. And sir, on the standalone EBITDA margin, so basically, Q1 it's 9%, right? There is no improvement despite increasing the revenues and better mix towards two-wheelers and stability in the commodity prices. So our target was to hit double-digit levels. So by when we can expect this? So if you recollect, we had told that our target was to get into double-digits in two years' time frame. That was what we were planning to. So to put it very precisely, somewhere in the next year is what next fiscal is what we're planning to. At least we try to end the year with that double digit. But sir, I mean, exports is presently weak, and the aftermarket is also some gray market is emerging back again. So despite these headwinds, are we confident of hitting double digits? Well, yes. I mean, you can take some confidence from the way we have continuously increased. So as I said, it can't happen in a day. It has to be a journey, and a slow and steady and creeping increase is something that is actually sustainable, in my view. A flash in the pan is always very difficult. So which is the road that this is the journey we have adopted, and we will continue on this improvement path, and yes, we target to be there at double digits shortly. So sir, any new product launches planned ahead, sir? So two products that we had mentioned last time is in suspension category itself. One is the E-bike. So we recently were there in the E-bike show in Europe and Frankfurt. So we had some discussions there. So we are looking at engaging some export expansion moves from this field because the customers here are completely new to us, but very, very exciting market. I mean, I was there in the show myself. I mean, really, absolutely exciting market. That is one, and the second is the solar damper, which is used for damping the solar arrays in the solar farms. So that discussion is, again, in a very advanced stage with one player as of now. They've had visits. They've been very, very satisfied with what we have to show, our design capabilities, our testing facilities. So yeah, these are the two new ones. So these are the applications, but basically, interest in product, anything new, just like sunroof, anything new we are planning? Okay, okay. Diversification, product diversification is the main. So there, as I said, we are looking at options. I mean, scanning opportunities in the market. As of now, I can't share more on that front. But lastly, if you can throw some more light on the solar damper side, because this is a new product for us, how is the traction? What's the realization, broad market size, potential, any competitive landscape, if you can throw some light on this? So the market is huge, and it's only going to keep on increasing because of the overall push by the world on renewable energy. So clearly, it's a big market. The numbers are significant. Difficult for me to right now share offhand. But the margins, again, there, I mean, would be slightly better than what we are doing. Okay, sir. Thank you so much, sir. Thank you. The next question is from the line of Abhishek Jain from Alpha Accurate Advisors. Please go ahead. Thanks for the opportunity and great setup numbers. Sir, my first question on the sunroof side, last year, your volume was around 23,000 units, and that was only in the quarter four. What is your target for FY25 in terms of the volume of sunroof? Well, Abhishek, as you know, we don't share the numbers as far as the targets are concerned. But like I answered earlier, our daily production rate of the sunroof is definitely much better than what it was in the Q4 of FY24. Okay. Then in quarter four, it was around 8,000. So most probably that we are able to achieve that 10-12 thousand? Yeah. It's almost close to that, yes. Okay. And sir, in this quarter, we have seen a very impressive margin of around 14% on sunroof. Is it after factoring a royalty of 5%? Yes, Abhishek. It's after factoring of royalty. So most probably, as the scale will increase in the coming quarter, and most because we'll be able to do volume of around 180,000 to 2 lakh units, that means that with the increase in the volume, margin will improve further? So the operating leverage should kick in, but there would be other cost pressures as well. So it's a new entity at this point in time. So we are targeting to around the margins that we are currently reported. Okay. And what would be the total investment on the sunroof plant if you invest solely? So as of now, as we answered to Mumuksh, we've done INR 86 crores of total CapEx. And the current loan outstanding from Gabriel to Inalfa is at INR 60 crores. So total investment would be around INR 140 crores, right? At this point in time, the total investment of one line that we have put in is at INR 86 crores. INR 86 crores. And for the second line, what would be? Another INR 40 crores. INR 40 crores. And total investment would be INR 120 crores-INR 130 crores, right? Yeah. For two lines, yes. That's the number. Yes. Okay, sir. And my last question is on the four-wheeler side. Basically, as you mentioned that there will be a growth of 5%-6% for industry. But you want the new business for the new suite. And that's why that incremental revenue will come in this quarter in this year of around INR 100 to 120 crore rupees. So can we expect that you will outperform industry growth and you'll be able to achieve a growth of 17%-18% at least? I'll say your voice is not, I mean, this is through. I think the question was around two-wheeler growth coming forward. Four-wheeler growth, sir. What would be the four-wheeler growth in FY25? Four-wheel growth, I said it would be around 4%-5% YoY. That's what we had started with. But there are views currently which we are again, I'm going to what we have read in the papers from several analysts that it may actually turn out to be a flat year. It all depends on how the festive pickup goes. July, fortunately, the month of July, as far as the industry is concerned, there was a 13% growth in PC compared to same month last year. So that is good news. In fact, two-wheeler also grew almost 17%-18%. But passenger car grew by 13%. So we'll have to see how, I mean, as I said, how the pickup is in the festive season. But I would say for 5% growth, we are good thing to expect. But what is your growth in the business in four-wheelers? Mr. Abhishek, could you please fall back in the question queue for further questions? Okay. Thanks. Thank you. The next question is from the line of Mahesh from Atul Invest Advisors. Please go ahead. Sir, this view on the Inalfa thing, the C3 thing, can you please tell me? I mean, this could give you a. I mean, because we were about to grow and we were about to go for another line. So does this mean that the Inalfa now will be like looking? I mean, taking a step back and seeing whether this growth should go ahead or not? Because the technology has been shared by them, right? So does this give a picture that the growth might literally be on the sunroof side? We might feel a little. There might be some delays on that. We could see through some light. Mahesh, no, not at all. I mean, that's why immediately after this, the PN3 approval did not come through. That's why we came up with a statement based on our discussions in Inalfa itself, in Inalfa themselves. They've clearly reiterated their commitment to India as their key growth market. It is not, and they're committed to Hyundai and Kia globally. So it's not that India is one market only where they have Hyundai and Kia. They have a huge exposure to Hyundai and Kia globally, as well as, of course, Volkswagen is a key customer. Mercedes is a key customer. There are so many. I mean, they supply to the entire auto industry, and India is, as you know, the only growth market present in the globe. So they stand committed, and they have stated that they'll continue to seek the support from the government to find options. We have written very clearly while being fully committed to supporting IGSS through the TCA. So absolutely no change in direction, change in the push, or change in the plans as far as IGSS is concerned, as far as investment is concerned, support is concerned, new customer acquisition is concerned, or any such front. Also, to add, Mahesh, the situation, this outcome, was also envisaged as one of the options. While the TCA was drafted and executed between both the organizations, the long-term commitment and the continuity of the business, yeah, and also the fact that Hyundai is a global customer to them were taken into consideration. To that extent, servicing the customer is extremely essential. And as far as capital adequacy is concerned, currently, we've put in the money on their behalf as far as the equity is concerned. And going forward for all kinds of expansions, Gabriel stands committed to put the money to infuse over and above the internal equivalence of the organization. But I just want to know what an option could be possible because it gives a picture that wherever they go, they have a major share in the game. That's their thing wherever they go. So in this theory also, we were thinking of giving them a 51% stake, if I'm not wrong. So what options are there on the table? I mean, because right now the government has this allowed. So what options are there? I mean, because it gives a question mark. The growth trajectory might be a little delayed, it seems like that currently. I mean, I'm not aware of all the things, but if you pull the term options, because Gabriel as such is a technology taker from them, right? So you are always on the second step. So what—I mean, that's a question mark. If you could answer that. Mahesh, as we've stated in the previous discussion, at this point in time, sharing the various options would actually be in violation of the confidentiality clause. So we are not in a position to share that. But at the same time, we are actively evaluating the various options and discussing as to what would be the way forward. But certainly, one thing is for sure that the commitment towards the entity, the customer, and the growth plan that remains rock solid. Yeah. Mahesh, I just add, Inalfa was number two, and they have formally put it. I mean, obviously, it comes from such a big company that they are reiterating their commitment to India as a growth market and that they'll continue to support. So I think, yes, I mean, and like what you said, this situation was kind of envisioned as well because of, obviously. Yeah. So when do you see the output? I mean, will the talks go on by what time? It's very difficult because this itself took almost one year. That's the reason. The thing is that I know that the talks will go on, and you'll find some options. But is there any timeline that you have formulated? We'll see and we'll go. So the thing is, it's not between us and Inalfa where the cooperation remains absolutely strong. There is, I mean, of course, the government also who has their own process and time, which is what we just cannot have our dangers. Yeah. But because why I'm asking you this thing is because this was a growth engine for us, and it feels as if there's a dent. So I just want to clarify. No, no, no. I would not. I mean, absolutely. But I completely would not second that. All right. I think we'll look forward to have some. Absolutely. The next phone call or maybe we may get more updates, I think. So looking forward to that. All the best. Sure, sure. Sure, Mahesh. Thank you. Thank you. Ladies and gentlemen, please limit your questions to one per participant. As there are several people waiting for their turn, I request, please limit your questions to one per participant. The next question is from the line of Abbas Khozema from Alpha Alternatives Investment Management. Please go ahead. Yeah. Hi. Thanks for the opportunity and good morning. Firstly, congrats on the good set of numbers for both domestic and Inalfa business as well. So first, again, sorry to harp again on the sunroof side. So you said that you were clearly—you expected this Envisage-like situation may arise and you may have to go this route. So does this move to deter you from finding such businesses or diversifying the products in a certain manner now? Are you more careful post this or now? That's question number one. Sorry, sorry. Are you holding the mic too close? There's a lot of boom that I'm hearing. I don't know. You're saying it might end above. There's a lot of air that is flowing into the mic. Sorry to interrupt, sir. The current participant has been disconnected. We will move on to the next question. It's from the line of Shashank Kanodia from ICICI Securities. Please go ahead. Yeah. Thank you so much, sir. Manojji, one question to you, sir. So your name has become synonymous with Gabriel India, right? And maybe we are hearing you for the last time at Gabriel call. So sorry, it might sound personal, but I just wanted to check, are you moving to a better or a bigger than the Gabriel group, sir, or are you moving out of the group? Pardon? Can you repeat, Shashank? Sorry, just wanted to check. So are you moving to a bigger than the Gabriel group, or sir, are you moving out of the group? Yes, Shashank. Thanks for the question. I mean, of course, yeah, I have actually decided to move on outside the group. I've been here for 13 years. So my personal reasons, as I said, completely my own decision after a really, really wonderful period, which I treasure. And yeah, and I'm sure it's absolute solid footing. Yeah. So maybe we can discuss it later. Yeah. And so taking me on the Vision 2025, sir, so I think M&A and some sort of that sort was expected from us to take us into the next league. So it's been quite unclear. I'm not hearing anything on that front. So if the team can—No. So we had told clearly, if you remember, that we are working on a couple of them. We had told that in this system, which is 2024-20 25, we should be able to, I mean, that was our target, that we do at least one. All I can say is, yes, we are working on an advanced stage with a couple of them. Yes. Thank you so much, and thank you very much. Thank you. Thank you, sir. The next question is from the line of Abbas Khozema from Alfa Accurate Advisors Management. Please go ahead. Yeah. Sorry, the line got dropped off. First off, congrats on a great set of numbers for Inalfa and for the standalone business as well. One, just wanted to quickly understand, since we envisaged this issue earlier, does this create a challenge for us for our product diversification or mergers and acquisitions, whatever we are looking for in the future? Two, just to understand, have some clarity on the margin front for Inalfa in the first quarter, if you hit 14%. I mean, and not for a near-term target, just in terms of where's your north star? Because there will be a lot of push and pulls now with the margin, with ASPs going lower, but at the same time, localization is sort of improving. So how do we, on a year basis, on a year or two out, how do we think of margins? Is it we can reach from 14% to, say, 18%-20%, or you would like to maintain where you are at the moment and pass on the benefits to the customers? So just wanted to understand just your thoughts on this, please. Okay. Abbas, your voice is clear. So I'll take the second question, which is on the margins front. So yeah, you rightly said, as of now, it's a growing margin. Yes, for sure. Maybe we can see maybe a little bit of improvement as well if things go well. But there is declared competition going to be. I mean, I can't be completely cynical, blind to the market developments that are happening. So there's going to be a little bit of push on the pricing side. And again, you rightly pointed out, the EV product ecosystem will develop, and our efforts, we've identified some localization opportunities already, will testify that will help us offset to some extent these figures that we are seeing, that we may see on the selling price. Again, we don't know whether we will see, but we may see. So yeah, I think we should be able to sustain, and if at all, even improve it marginally, yes. And then we'll add new products, new technology products on the sunroofs. So that will help us take it further ahead as well. Perfect. Perfect. And just on the part where the JV or whatever challenges that we face now, does it impede our ability to figure out new ideas, find new acquisitions, or. No, no. Lastly, your thoughts on that? Absolutely not. I mean, not at all. I'm sure we'll find an ingenious way out of this. As we discussed, envisaged predicament, it is not totally unexpected. We'll find a way, and it does not dent or affect any of our plans as far as any other M&A activities concerned. For sure, no. We are at a strong cash balance, and the clear focus from the board and from the company is to look at new opportunities. And something like this would be, of course, most welcome, which is adding exciting. Perfect. That's very clear. Thank you, and all the best. And all the best to you too, Manoj, for your future. Thank you so much. Thanks a lot. Thank you. The next question is from the line of Sunil Shah from SRE PMS. Please go ahead. Yeah. Thanks. Thanks for the opportunity. First of all, thanks so much, Manoj, sir, for today coming to these great levels. All the very best for the future and the best for you at a personal level. Sir, my question is on the company front. I am wondering on the percentage terms in terms of the content per vehicle. So in the four-wheeler segment, when we are doing the shock absorber and the damper business, what is the sunroof business in percentage terms? Let's say hypothetically, shock absorbers as a content per vehicle is roughly, say, INR 10,000. And sunroof is like, let's say, 10 times of that. So if a percentage on that in the four-wheeler space and be the percentage in two-wheelers for the new alloy wheels which we are talking about, again, not the absolute rupees, but in percentage terms, how much is the content per vehicle going up? If you could kindly let me know. Okay. Thanks. Thanks Thanks for your wishes. Now, coming to content per vehicle, the sunroof is definitely among the highest content per vehicle commodity in the car. So give or take, I mean, we can't share the exact figures, but I mean, I'm sure you know from the market research. But the content per vehicle of sunroof is almost, I mean, depends. It's very difficult to do one brush to the whole thing. But let's say four to five times suspension content per vehicle. Now, that's as far as passenger car is concerned. Two-wheelers are different ball game. Commercial vehicles are a different ball game. But as far as passenger car is concerned, that is more or less broadly the ratio. And your second question on the two-wheeler alloy wheel rims, we have started that in the aftermarket, of course. It's not the OE offering, but we have started in the aftermarket. Again, there the content is two-wheelers, again, front forks and shock absorbers. So they're totally different pricing as far as both these are concerned. So alloy wheel rim would fall somewhere in between. So alloy wheels, when we kind of look at OEM suppliers, is that the intent in the journey? Well, Sunil, I mean, to be honest, it's an interesting commodity. For one thing, it fits into the frame of agnostic products because like shock absorbers, all sunroofs are agnostic to the powertrain. So maybe the wheel rim will also remain agnostic to powertrain. And there's a huge ongoing demand in the aluminum wheel rims. So it's an interesting product. But yeah, we are tied up with somebody right now where we are buying from him and selling it as an aftermarket product, and we'll evaluate as we go forward. Okay. One point, which is we have launched these two new products, alloy wheels, which we have kind of created. And of course, the sunroof area and the JV. So from the group company's point of view, my thoughts are like any product development that we as a company and Gabriel do. The fear as an investor which I have is cannibalizing those product names of group companies or how have the new product launches happened in the other group companies over the last two, two, three years? Anything on that through the recent past or maybe the future direction? Only product developments. Yeah. No. No. So Sunil, you can see that there is actually absolutely no cannibalization that has happened in the past as well. Other than one small part of the portfolio of Mando of shock absorbers, which is mainly for taking to Avante. So we have never had any conflict, which is what we ensure. Similarly, from the other side, also Gabriel, we also ensure there's no conflict of a new product when we introduce with any of our partners. So from both ways, we do this symmetry check. But no, no fear on that front at all of cannibalization. It's one group. And Gabriel, if at all, Gabriel is a flagship company, will remain a flagship company and the only listed entity. So I think we can take confidence from that. So more to the word cannibalization, my thought was the new product launches which have happened in the other group companies in the region. Has anything developed there in these products which they have come out absolutely just like sunroof brand? So absolutely, we have shared. We have the vertical called AN EVOLVE, which we launched in the Auto Expo in 2023, where they're selling motors, two-wheeler motors, both hub motors and center motors, and chargers, again, two-wheeler chargers. And the Battery Controller Module, so BCM, and these are the three products that they have introduced as far as EV two-wheelers is concerned. So that's only on the EV side, specific EV products. Other than that, in terms of new, we are, I mean, at the group level, through ANEVOLVE, we are looking at options in, let's say, even in hydrogen fuel cell. We're looking at developing our own control modules for charging. So those are things that are happening as far as new products are concerned. But there is no, just to repeat, there is no product that will eat into or cannibalize or conflict with shock absorbers or dampers or sunroofs, for sure. Absolutely. Thank you. Yeah. Ladies and gentlemen, due to time constraint, that was the last question for today's conference call. I would like to hand the conference over to Mr. Manoj for the closing comments. Thank you. So thank you. Thanks, everybody, for your comments as always and inputs as always. I know there's a lot of, what do you call, interest in what is the development post. So we had to share this yesterday, meeting it as it came from the DPIIT, from the Government of India. And as me and Rishi have continuously reiterated, we continue to remain a strong cooperation between us and Inalfa as far as sunroof is concerned. And we will work on finding ways to find some innovative solution to this. Nevertheless, our plans as far as growth, technology, new products, customer acquisition, any other development will continue as strongly or even more going forward, which you will see, which you will see hopefully by the next conference as well. As regards to the core business of suspension, there are some interesting new products, which I shared. Yeah, I think we all remain hopeful of a very good festive season to take to bring back the little moderation that has happened in the market overall, particularly in commercial vehicles and passenger cars. Two-wheeler is strong, which is the best part. So with the 62% of our portfolio. Yeah, I mean, our balanced portfolio always holds us in good stead. As a team, we will continue the journey of constant every-time improvement and, of course, overall growth. Thank you once again. Thanks for all the cooperation. I wish you all a very, very happy festive season. I honestly say that I'll be signing off. Yes, the team, we have a very, very strong team, which will take it to the next level for sure. Thank you so much. On behalf of Gabriel India Limited, that concludes this conference. Thank you for joining us. And you may now disconnect your lines. Thank you. Thank you.