Ladies and gentlemen, good day and welcome to Pitti Engineering's Q3 and 9-month FY25 Earnings Conference Call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions at the end of today's presentation. Please note that this conference will be recorded. Before we begin, I would like to mention that some of the statements made in today's call may be forward-looking in nature and may involve risks and uncertainties. For a list of such considerations, please refer to the earnings presentation. I would now like to hand the conference over to Mr. Akshay Pitti. Thank you, and over to you, sir. Good evening and a warm welcome to the Q3 FY25 earnings call. We will begin with a brief overview of the performance during the quarter, followed by the Q&A session. Starting with the operational performance during the quarter, we registered the highest volumes for machine components in the company's history. We also developed and started commercial supplies of parts used in hydrogen electrolyzers during the quarter. On the sheet metal side of our business, we saw some decline in volumes on a quarter-on-quarter basis. The decline is mostly attributable to the nature of some of our end-user industries, the new emission control norms, CPCB Bharat 6, affecting the alternator business, and the volatility in small LV motors market, mainly on account of destocking. Moving to our consolidated financial performance, the revenue from operations for the quarter was INR 414.98 crore, up by 37.46% on a YoY basis. EBITDA stood at INR 66.95 crore for the quarter, registering a growth of 30.05%. EBITDA margin in the quarter was 16.13%. Net debt stood at INR 432 crore as of 31st December. During the quarter, the company also incurred a INR 3.76 crore mark-to-market forex loss, which is notional in nature, as well as a one-time expense related to the merger of Pitti Castings, amounting to INR 2.2 crore. Looking ahead, the product development pipeline for machine components is very promising and has been further augmented as we start the machining of castings made at our subsidiary Dakshin Foundry. In the sheet metal side of our business, we expect that both the volatility in the small LV motor market and the disruption in the alternator market on account of CPCB Bharat 6 norms will normalize the Q1 FY25. We are proud to note that we commissioned our coating line, making us the only commercially available source for re-varnished laminations using hydro and thermal power generators. This will help us gain business as we'll be able to offer import substitution to our clients in a niche market. As I conclude the opening remarks, we can begin the Q&A session. Thank you very much, sir. We will now begin with the question and answer session. Anyone who wishes to ask questions may press star and one on their touch-tone phone. If you wish to withdraw yourself from the question queue, you may press star and two. Participants are requested to use only the 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 Dipak Saha from KRChoksey Shares and Securities. Please go ahead. Hi, thanks for the opportunity. Am I audible? Yes, sir, you're audible. Please proceed. Okay, so my first question is, if we look into gross margin this particular quarter, there has been an expansion, material expansion. So is it more of a seasonal development, or do you think, do you see this kind of gross margin will continue here? So if you see the machine components business, which has grown significantly during the quarter, typically has higher gross margins. Therefore, the overall gross margins of the company look better when compared to the previous periods. We see that this level of gross margins will fluctuate slightly between the historical and current levels based on the product mix between the machine components and the sheet metal business. Okay. Okay. So this higher mix of machine component is the reason that has led to this. And you think it would kind of sustain in the coming quarters, right? Yes. Okay. So looking at the volume levels, if you can share a consolidated volume for the quarter? Consolidated volumes on the lamination products is about 14,738 tons. 14,738 tons. Yes. Okay. And so when we look into the bifurcation you have given in your PPT, if you just can help us with a certain minor differences we get when you try to club it up with the numbers. So what are the heads that we need to consider on the standalone sides? Standalone sides, we have lamination, loose lamination, and high value- added and machine component. If we take these three, then we are getting somewhere close to the numbers of the previous quarter that you said on the phone call. Anything else that we are missing or any clarification you'd like to give here? See, what we are doing, we are giving the breakup between machine castings as well as lamination. So if you see the slide number seven in the PPT, we have the top paragraph where we have Pitti Engineering Sales. The first five line items: loose laminations, high value- added assemblies, stator frames, shaft, and child part. If you cumulate these five items, you get the standalone lamination volume. When we say consolidated volume, you have to add the sales of Pitti Industries Private Limited, which is in the second paragraph of the WOS sales, 2,982 tons. So that will give you the total lamination volume. Post the Pitti Casting merger, we have started giving this machine components weight as well, which was not there before, as we used to do only the machining. So to understand the machine components weight or the casting weight in total, you have to take the machine components, raw casting, stator frames, as well as the Dakshin Foundry Private Limited volumes. Okay. Thanks. That's clear. Okay. Now, sir, on the 62,000 volume guidance that you were talking about last quarter, I think that will impact for the full year, or we see some moderation there? This is one part. And secondly, on the 2,000 revenue guidance that we are talking about for the full year, I think because of the slowdown that we have seen on volume side, so I think there will be some shortage for the full year. So what would be the revised guidance or what kind of number you are looking for the last quarter, if you can share some clarity there? So see, on the volume front, 62,000 tons on the lamination volume on a consolidated basis, we are all good for. In terms of revenue, we should be ending up somewhere around INR 450-odd crores for Q4 in the ballpark vicinity of INR 450 crores for Q4. Okay. Okay. Okay. Got it. So there will be some shortage. Okay. Fine. And that's clear. And you're talking about slowdown. If you can elaborate the nature of slowdown in the industry that you're alluding to? No slowdown. There's volatility in the LV motor segment, basically on the small motors, as the raw material prices are kind of fluctuating in India and China, and we are seeing some increases in pricing, sudden increases in pricing, vis-à-vis a declining trend till last quarter. So because of that, there's some volatility in the LV motor market. There is some push-out of orders because of the pollution control norms, Bharat 6, related to DG sets. So the alternators which are used in that are getting delayed as the engine manufacturers are upgrading themselves to meet Bharat 6 requirements, and the market accepts those products. Okay. Okay. So those are the two things that are happening structurally. Other than that, there's a seasonality to certain products. So if you see our pumps and appliances segment, those products are typically seasonal in nature. Although not significantly in terms of revenue, they have higher volume contribution. That's why you see a small volume decline. Okay. That's helpful. Just one clarity. After our discussion with different players, especially in the railway segment associated with this motor business, there's some feedback we are receiving that the volume uptake has been kind of slower, at least in last quarter, right, the December ended quarter. What is your observation, and do you see any slowdown as far as volume uptake is concerned, especially in the railway side, and what is the reading you have, and how should we look into it? If you're asking me as a sector or for our company's perspective, because those two things are quite different. As a company, we don't have a very large exposure directly to Indian Railways today. We are just ramping up that business. So despite certain slowdown, if I may say, on the order pickup at the railway side, our business with them is still growing. At a broader level, certain of their product fleets, they are definitely deferring certain purchases. Again, there are many reasons for that. There's a systemic thing wherein the Vande Bharat trains are only produced by one manufacturer today, and there's a capacity issue also on that front. Okay. Noted. And on the export side, do you see any early discussions with your customers, anything on the tariff side that might come from the US? I know that might be a very small part to our overall revenue as well as only U.S. is concerned, but if you can clarify, if they're getting 30%-35% of the nine-month revenue with export, and within that, how much would be U.S., and is there any kind of risk we are exposed to? It's not first order, but at second-order level, is there any kind of risk that we are exposed to? On the export side, out of the 35% revenue coming from exports, about 30% is to the North American market. If you factor in the second-level orders that go from Mexico or Canada or Brazil to U.S., I think that would take care of the entire 30% that goes to the North American markets. On the tariff side, we are not seeing much effect, at least for our products there. On the contrary, there's opportunity as there is a willingness at the customers to further accelerate their move from China to India for the supply chain flexibility. The situation remains fluid because we don't know what future tariffs may come. Okay. Okay. Okay. Fine. And the last question before I follow up on the queue, I think earlier we were talking about somewhere around December, we'll have the Aurangabad facility ready. What is the update there? Because when I look into PPT, the consolidated number for annual capacity is still at 64,000. I mean, it is somewhere around 64,000 standalone level. But if you can give some when we should expect that Aurangabad facility 72,000 that we're talking would be ready or commissioned? I will get it as commissioned, and in Q3, we shall be giving that capacity in our PPTs. Okay, so in Q4 PPT, that would be there, right? Yes. Okay. Thanks. Thank Thank you, sir. Thanks for answering all the questions, and all the best. Thank you. Yeah. Thank you. Thank you. We'll take the next question from the line of Sanjeev Zarbade from DreamLadder Investment. Please go ahead. Thanks, sir, for taking my questions. My first question is, how is your EV business taking shape? As we are hearing before that you are getting into the hydrogen segment also. See, those two things are very separate. The EV side of the business is mostly from the lamination that go into the motors. More than the EV, we are excited about the internal combustion engine. The current sales of EV is to internal combustion. Internal combustion is far higher than EV. So while we are developing ourselves into making EV-related products, we believe that today the volume will come from internal combustion. So that both part of the business is growing. Coming to hydrogen, this has got nothing to do with the automotive. This has got to do with hydrogen production. We are making parts which go in electrolyzers, which basically split water into hydrogen and oxygen. And these are predominantly export-oriented to the European market. Okay. And sir, my second question is, we are hearing a lot of slowdown-related reports. So far as the European automobile market is concerned, and several domestic auto component stocks have also come off following the news. So what will be the current size of your components business from Europe, and how is it growing? See, on the automotive side, our business is entirely domestic, and it's entirely from the lamination side of the business. It constitutes only 1.3% of revenue for Q3. If you see the last three years, that percentage is growing. So we are seeing scope where the domestic auto companies are having to bring in a lot of their parts and localize them. These are the parts which are left out in their supply chain and they're imported. So as they move to localized parts, we'll continue to get orders despite the slowdown. But it's a very, very long-term project. I mean, these are complex supply chains that need to be established in India, and we are just one part of that supply chain. Sir, we are seeing a lot of new clientele being added in your presentation. Can you throw some light on which are the businesses where you have added these clients, especially Tata? See, Tata Group, we've added mainly on the automotive components with Tata Auto Components Private Limited. We've added in the automotive side, Dana, Varroc, they already are customers. And then the other customers that you see are added, like SKS and all, they are primarily from our subsidiary company, Dakshin Foundry, where they make parts for locomotive gear cases and axle houses. Okay. And sir, just last question before I can squeeze in, how is your IC vehicles business faring? We are just starting that. Even in the IC side, we do things like alternators, small motors which are required. We are talking of steering motors, etc. So that business is very small. Like I said, about 1.2% of consolidated revenues. And we are seeing that business growing as the supply chains localize in India. Okay. Thanks, sir. That's it from my side, and if I have more questions, I'll come later. Thank you. We'll take the next question from the line of Het Choksey from DEVEN CHOKSEY. Please go ahead. Hi, Akshay. Congratulations for a phenomenal Q3 and nine-month performance in FY25. And best wishes for the last quarter of FY25 and FY26. Thank you so much. It's just absolutely amazing to see this kind of resilience in your earnings vis-à-vis the entire industry. So I really wish that we scale up our capabilities and move up the ladder in years to come. So keep it up. So there are a few questions which are pertaining to the entire export revenue and the concerns around the U.S. tariffs. What is exactly your percentage of exports as a percentage of revenue? And if you can just put U.S. into that picture, how much would that be as a percentage of total revenue? About one-third of our revenue approximately is export-oriented, 30% in Q#. About 31% of revenues were export. Of that, about 25% would be directly or indirectly going to the U.S. As far as tariffs are concerned, on quite a few many parts, I would say about 75%-80% of the parts, we are the sole supplier for our customers globally. So tariff or no tariff, that particular part of the business will not have sensitivity to any regulatory action that the U.S. government might take. Okay. Only when we have competition at a global level where there are other sources where there's no tariff in play, then a tariff barrier may affect sales. As far as I understand from our customers, of course, they also are quite concerned with these things. If there's a tariff, it's going to be similar in nature to both India and China, which, let's face it, are the only two manufacturing countries that export such products to the U.S. And within that, the generic view is that China will face more tariffs when compared to India, if at all India faces tariffs. So overall, we have been given a direction and a viewpoint from our customers based in the U.S. that we should gear up for more product development in the coming years as they would want to eventually move out and get products developed in India which are currently happening in China. So if I take 31% of your total revenue from exports, if I just take 25% of the 31%, that is around 7%-8% of your total revenue comes from the U.S. market in general. 31% of the total revenue is exports, of which 5% is non-U.S.-based. The remaining 26% of the overall revenue is U.S.-based. Okay. So 26% of the total revenue is U.S.-based. And out of that, you are saying that. Another 75% of that is insulated as we are the sole sources of those products. You don't see any impact going forward? Even if the tariffs continue for long duration, the nature of these products is such that it takes three to four years for any development to happen. So if we are slapped with unequal tariffs when compared to some other low-cost country, even for our customer to move out the supply chain will take two to three years. Okay. And what is the possibility that if the U.S. is imposing such kind of tariffs that we may allocate some of the manufacturing dedicatedly for the U.S. market in the U.S. to escape these tariffs? Also, see, this product, I don't think it's possible to manufacture in the U.S. because steel is the base input product and the tariffs for steel in the U.S. are such that if you do a cost benefit, it's better to pay the tariffs when manufactured in India. So the steel is cheaper in India as well as labor is cheaper in India. Okay. So that means that still those customers will prefer despite the tariff hikes, our products. Absolutely. See, the only arbitrage or opportunity for our customer would be that compared to India, some other low-cost country like China, Vietnam, Thailand, where such a product might be made, and what the tariff arbitrage is, and what the risk of moving such complex supply chains which have taken three decades to develop is. Those are very complicated questions to answer. Even when, in 2018, there was this tariff on China, there was a lot of euphoria that products would move. It's been, say, now eight years, and still we are hardly seeing $2 million worth of business moving from China to India as a result of that. So even though that tariff is there on China, it's not easy to move those supply chains. It takes a lot of time. A lot of time. Okay. And the second question which I had was, we've seen some kind of a slowdown in execution of orders in the railway components and traction motor business in this quarter. I understand that might be primarily because of the consistent central and state elections in this year, which has resulted in delay in order execution or distribution of funds as a part of the budgetary allocation of the central government. Do you see this reversal happening in the quarter four and going forward in the next financial year when CapEx will be much more streamlined and as a part of the budgetary allocation, the allocation might happen on time? See, most of our railway and traction motor-related business is export-oriented towards the countries I mentioned earlier. That volume drop is purely seasonal in nature. Last quarter being the financial year-end as well as the holiday season, they typically buy less. You could see a resurgence in Q4 in that business. And also, could you throw some light on the power generation business as to how do you see this thing going forward in the next three to four years with the entire HVDC market shaping up in India? How do we see ourselves being positioned in this space? In the power generation side, our business is threefold. Leaving aside the renewable energy, threefold. One is for hydropower. Second is for thermal power, generator component, that is. And the third one is DG sets. So on the DG sets, like I said, we are currently being slightly impacted as a result of the CPCB Bharat 6 norms for one customer based in South India. So that should get streamlined by April or so, and we should be back on track. As far as hydro and thermal power goes, we are seeing the resurgent demand, and as a result of that, we have commissioned this coating line because these products require the laminations to be coated with a special varnish as it's exposed to a corrosive environment in hydro and steam thermal plants. So we are the only commercially available source for this, and we expect the business to grow in this over the next two to three years as we do import substitution for our customers. Okay. My last question would be on Dakshin Foundry. This acquisition might be probably a feather in our cap. What would you see? How would you see the new product line, new product development happening in this? And can you also throw some light on the potential applications which might come out from this facility in the near future, the potential areas of applications? See, again, Dakshin is a railway and metro business-heavy sales portfolio. About 50%-60% of its revenue comes from that segment. What's interesting is that they export to Deutsche Bahn in the European Union, which is a very, very specialized quality requirement, and they have those accreditations. What's interesting is, historically, they have never done much machining as an in-house machine shop. And where we see the juice for us is that this casting that they produce, which are critical in nature to a very discerning customer, we can provide the complete solution in machining that to Pitti Engineering. So over the next year and a half, we see a massive margin profile increase in that business as a result of this supply chain transition. Okay. In terms of other applications for those products, in the past, from what we understand, the company used to also do parts for gas turbine generators, transmission housing, off-highway vehicles, so similar portfolio like ours, but different size of components, so it will slot very well with our overall product line. The missing gap in smaller casting will be fulfilled by Dakshin, and we will fulfill the machining at their end. Okay. Okay. Fair enough. I think all the very best, Akshay, and keep up the good work. Thank you. Thank you. The next question is from the line of Balas ubramanian from Arihant Capital. Please go ahead. Good evening, sir. Congratulations for a good set of numbers. Most of the questions have been answered. Sir, what is the order book status on Pitti Engineering standalone, Pitti, and Dakshin Foundry as of Q3? Bala, like I said last time, order book is not much relevant in our context of business. But still, I think the order book in Pitti Engineering on a standalone basis would be in the vicinity of INR 800-odd crores. And consolidated, you can add probably about another INR 100 crores. I don't have the consolidated number with me as I have it split between Pitti Industries and Dakshin. Okay, sir. It would be about INR 100 crore. Sir, in this Bagadia Chaitra Industries, or majorly supplying agricultural pump sets to Texmo, how do you see in this business over next two to three years? Because right now, it's around 2% of our overall sales. Yeah. So see, the pump market is interesting. It's early days, but from what we are given to understand from some of these customers, there's a huge demand coming from the U.S. as a result of the trade war with China and other countries. But again, the situation is fluid, so I can't give you a specific answer as to how that segment will do in the future. Okay, sir. Also, regarding our working capital side, if you could throw some light on how is our inventory stable on receivable side? Oh, on the inventory side, we have a slight expansion in inventories when compared to the previous quarter and the year ago. It's mainly on account of stocking some extra material as we are expecting disruption in the electrical steel market starting in April. There are BIS licenses which are not being renewed for the Chinese firms, which contribute about 25% of the Indian market's consumption. And if you see the Indian market and the capacities that are available in India, India is short by about 20% of its consumption in terms of manufacturing capacity. So we see a tightness and supply chain disruption in the electrical steel industry in the next six to nine months. So other than that, I think all of the parameters on the days sales outstanding get better. We have about 60 days DSO. Payables are about 66 days. So net working capital stands at about 67 days. Only the inventory piece is slightly up on a quarter-on-quarter basis. On a year-on-year basis, we are down from 77 net working capital days to 67 days. I got it, sir. Sir, I got it, sir. Sir, my next question regarding this Bagadia facility is, earlier, we planned to transport around 6,000 metric tons from Aurangabad facilities to this Bagadia. But after these facilities, the transportation costs around INR 3,000 per ton. How much synergies we have been achieving till now? Pitti Industries Private Limited, as I mentioned earlier, have a space constraint. The facility is small. We are moving into a larger facility on a lease basis, and we expect to have that operational by Q1. So once that starts, production is happening in Aurangabad, we shall start moving to Bangalore. The basic raw material savings and material utilization savings have already started. The last bit, which is the logistical savings, will accrue to us once we move these operations there. So basically, from FY26 or FY27 onwards, we can expect around INR 12-13 crore kind of synergy benefits? Already, a lot of the synergy benefits have accrued to us, if you see. What is left is, like you mentioned, 6,000 tons into INR 3,000 is barely INR 1.8 crores, which is remaining to be accrued. I got it, sir. Thank you. Thank you. We'll take the next question from the line of Nirav Sen from Julius Baer. Please go ahead. Mr. Sen, I have unmuted your line. Please proceed. As the current participant is not answering, we will move on to the next question, which is from the line of Naysar Parikh from Native Capital. Please go ahead. Hi. Am I audible? No, sir. There is an audio disturbance. We can't hear you clearly. Please use your handset. Okay. I will join back. Okay. We'll take the next question from the line of Dipak Saha from KRChoksey Shares and Securities. Please go ahead. Hi. Am I audible? Yes, sir. Please proceed. Hi. Actually, just one follow-up. The volume number you gave for 14,738, if you can just help me with the breakup, it's struggling a bit to add it up with the PPT number. So if you let me just go back to slide number seven. So if you add 7,657 tons, which is the first line. Second line, which is 2,484 tons. Third line, which is 768 tons. Fourth line, which is 283. The fifth line, which is child parts, 564. So that is my standalone number. Add to that Pitti Industries Private Limited sales volume, which is 2,982. Okay. Okay. Okay. You get 14,738, so this is lamination sales. When you come to machine components and casting sales, it is 14,752, 590, 295, plus DFPL volume, 714, so historically, second summation which I have given you was never mentioned historically because we were only reporting the lamination volumes, so in the past, when we used to do EBITDA per ton, we should take this tonnage breakup of the standalone number and divide the EBITDA by that. Okay. So what is the method? On a standalone basis, we are about 51,000 EBITDA per ton. On a consolidated basis, we are about 45,500 EBITDA per ton. Got it. Got it. So what do you think is changing? This 14,738 is basically the lamination number. And if we add the casting, then stamped parts, and your DFPL sales volume, we are getting the consolidated volume, right? No, no, no. No, no. Yes, consolidated volume, but you cannot add both. You have to keep both separate because they are consolidated type of products. Exactly. That is my guess. Fine. It's clear. Thank you. Yeah. And second question is, just on the guidance part, the guidance earlier you mentioned for FY27. Do we stick to that? And secondly, what is your guidance for FY26? For FY26, we still maintain our original guidance of about 66,000, sorry, 69,000-70,000 tons on a consolidated basis, and about 54,000 tons on a standalone basis. Okay. Fine. And FY27, we stick to the earlier guidance that we have given, 72,000? Yes. Peak utilization of the consolidated 90,000 tons at 80%. Okay. Got it. Thank you. Thank you, sir, and all that. Thank you. We'll take the next question from the line of Nirav Sen from Julius Baer. Please go ahead. Yeah. Hi. Sorry, I got disconnected the last time. I just wanted to confirm with the revenue numbers that you stated earlier on the call, the guidance you gave. What was that again? Can you please repeat it? I'm sorry. You're not very audible. Sir, can you repeat your question, please? Hello. Am I audible now? Yes. Yeah. I was saying, I'm sorry, I got disconnected the last time. I wanted to confirm with the revenue guidance that you gave earlier in the call. I could not hear it properly. So if you could repeat it, please. For Q4, we are guiding to a revenue of about INR 450 crores. That will take our consolidated revenue for the year to roughly about. We have reported INR 1,171 crores of revenue and INR 450 on top. About INR 1,750 crores, you can round it up for the full year. 1,750 for the full year. Okay. Thank you. Thank you. The next question is from the line of Balas ubramanian from Arihant Capital. Please go ahead. Sir, quick question regarding our incentive side. Q4, how much is expected to accrue? For Q4 we don't expect anything further. For the year, we have fully accounted the INR 35 crore other income in the first nine months. Okay. And from next year onwards, sir? So Bala, next year also will be about INR 32 crores. And from the year after, it will increase to about INR 40 crores. Okay, sir. So how much CapEx is left out of this INR 190 crore for CapEx? Earlier, we planned for some modernization. All of that is entirely in CWIP and will be capitalized by the year-end. Any other plans to expand the CapEx after this? No. As of now, we have no plans. This capacity is good for us till FY27. We shall review something towards H1 of FY27. Got it, sir. So any plan to repay the debt? So we are monitoring and balancing our net debt. We do not intend to further prepay any debt. We want to create a cash pile and keep that in case there are any opportunistic things that come our way. So we are keeping ourselves with the cash balance available to take chance of those opportunities. Okay. So what's the cost of funds as of now? So weighted average cost of funds, I think it should be about 8%, around 8%. See, about half of our debt is U.S. dollar denominated, and the remaining is INR at about 8.25%-8.5%. Okay, sir. So you have mentioned about. They typically will keep moving with the SOFR and the benchmark rates. Okay. So you mentioned about INR 3.76 crore MTM losses. And is there any reversal expected in coming quarters? And what are the strategies we are taking for this to manage the forex side? So see, this is as a result of how we manage our forex rates. So with our customers, we have an INR denominated price agreed for all our export customers. And on a quarterly basis, the price is recomputed based on the price variation formulas, which take into account raw material, scrap, and currency fluctuations. The currency reference rate for the exports is always taken one quarter prior to the sales. So for example, in Q3, we would have to take the average of Q3 for our Q4 sales. So we hedge 100% of our exports based on that contract with the customer, back-to-back formula. So at the end of the period, if the rate has moved with the contract we have taken, we do MTM loss. That gets reversed as we make the actual sale. So this is purely notional in nature. Got it, sir. Thank you. Thank you. Participants, you may please press star and one to ask questions. We'll take the next question from the line of Ram Chandra Nayak, an Individual Investor. Please go ahead. Thank you. Can you hear me? Yes, sir. Please proceed. All right. Hey, Akshay. Well done again. I just heard in the previous question about the consolidated turnover. You're going to be reaching for financial year 25. And it looks like it's going to be around INR 1,750 crores, if I'm not mistaken. About six months ago, when we had this discussion, you were quite optimistic about trying to hit a 2,000 crore turnover. My question to you is, what has changed in the six months that there's a gap of around 250 crores? And second, when do you think you would be aiming to cross that 2,000 crore mark? See, revenue, like I mentioned the last time also, in our business is quite misleading. It has to do with the price of raw materials, and we have a quarter-to-quarter price variation clause. So for example, if I guide today for INR 2,000 crores revenue for next year and the raw material prices jump up by 10%, then that number is going to be something like INR 2,400 crore. So the real barometer that the company needs to take is the sales volume. So we published that in the operational highlights, slide number seven, what our sales have been in quantitative terms, and that is what we have to track in terms of growth and degrowth, so on the volume front, we are pretty much on target for our guided numbers. Okay. Excellent. I'm also looking at your slide number 13, which talks about the various industry, and you've given the breakup from industry standpoint. I wanted to check with you on the progress you're making in terms of I see data center as a big opportunity across, whether it's in India or also across the world. And I wanted to check with you, what is it that you're planning to do in this area? I mean, do you see this to be around 3%, or do you think the next two, three years, this is going to jump significantly? See, as an individual line item, we see the data centers doubling as a percentage of overall revenue. That will depend on how the other sectors perform. But yeah, on an individual level, the revenue from data centers looks to double, if not more than double, over the next one year. Okay. That sounds very good. Last question. You've done these two acquisitions, and so far, it looks really good. Just wanted to check with you, how is the entire integration process coming along? And are you seeing any benefits that are now beginning to flow into your financial statements? Yeah. So the integration is ongoing. Pitti Industries is fully integrated. Dakshin Foundry 's integration is ongoing. And like I said, the machine components is a big opportunity for the parent company. Dakshin predominantly sells raw castings, and the customers anyways require machining. So that's a good opportunity where we can make a lot of revenue and profitability gains. Other than that, I think the administrative integration is a matter of formality to go through. All right. Thank you so much, Akshay. Wonderful to see you progress in the way. Thank you. Thank you. Participants, you may please press star and one to ask questions. The next question is from the line of Dhrumin Shah from Native Capital. Please go ahead. Yeah. Hi, sir. Am I audible? Yes, sir. Please proceed. Yes. So I have two questions. We are missing the guidance of 2024 FY25, and the next question for FY26 volume and revenue guidance. Dhrumin, I'm sorry. I couldn't understand what you were saying. Sir, it's echoing, actually. Your voice is echoing. So I would request you to use your handset, please, if you're on your headset. Yes. Hello? Yes, sir. Please proceed. Yes. Yeah. So I am asking, why are we missing the guidance target of INR 2,000 crore revenue for FY25? And second question is, can you provide me the guidance? Can you help me for volume guidance for FY26? See, in volume terms, we had estimated roughly 63,000-65,000 tons for the full year when we had given that guidance about a year ago, and we estimate to end somewhere between that 60,000-64,000, so it's not really off in terms of volume on a consolidated level. In revenue terms? In terms of revenue, it is, like I said, the price variation is always a factor. When When we do all the projections and we give you the revenue for the next year, it's based on last year's selling prices. Okay. Got it. Thank you so much. In terms of volume, like I already said earlier, we are estimating about 54,000 tons with the engineering next year and about 16,000 tons, sorry, 14,000-15,000 tons with the industries. Okay. Okay. Got it. Thank you, sir. As there are no further questions, ladies and gentlemen, we have reached the end of the question and answer session. And on behalf of Pitti Engineering, that concludes this conference. Thank you for joining the call. For further queries or visiting the plant, please be in touch with Mr. Rama Naidu from Intellect PR on 9920209623. I repeat, 9920209623. Thank you for joining us, and have a wonderful day. Thank you.