Ladies and gentlemen, good day, and welcome to Alicon Castalloy Limited 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 after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Mayank Vaswani. Thank you, and over to you. Thank you, Yashaswi. Good morning, everyone, and thank you for joining us on Alicon Castalloy Limited's Q1 FY25 earnings conference call. We have with us on the call today Mr. Vimal Gupta, Group CFO, Mr. Shyam Agarwal, Chief Marketing Officer, and Mr. Rajiv Gupta, Head of Domestic Business at Alicon Castalloy Limited. Mr. Vimal Gupta will cover key developments and the financial performance for the quarter, following which Mr. Agarwal will walk us through the operating highlights. Mr. Rajiv Gupta will provide insights on the domestic business. Thereafter, we shall open the call for the Q&A session. Before we begin, I would like to point out that some of the statements made in today's call may be forward-looking in nature, and a disclaimer to this effect has been included in the earnings documents that have been shared with all of you earlier. I would now like to hand over the call to Mr. Vimal Gupta for his opening remarks. Over to you, sir. Good morning, and welcome to our earnings call. Thank you for taking the time to join us on a Saturday. I trust you have had the opportunity to review our earnings documents, which were shared earlier. We are delighted to share that Alicon has achieved its highest ever quarterly revenue of INR 440 crores in quarter one. This marks the third consecutive quarter where we have surpassed four hundred crore milestone. This is driven by momentum in all our key segments of two-wheeler, passenger vehicle, and commercial vehicle. Both domestic business and international business have done well. Further, this has been helped by efforts to build capabilities for new technology platforms in the automotive industry, expand into new geographies, and focus on value engineering and capability enhancement, all supported by positive trends in our established business lines. The business is witnessing strong momentum and has outperformed the growth of the global and domestic automotive industry. We are in negotiations with more high-profile customers, including several leading global OEMs and many Tier One suppliers, representing the best in the world in the auto industry. These customers are noticing the solutions that we offer, which includes supply of world-class products at highly competitive prices. We have differentiated ourselves through expertise in low pressure die casting and gravity die casting, and these processes are now gaining greater acceptance from customers. We are also in the initial stage of moving from as- cast product to provide full machined products. As we start to increase the proportion of fully machined products, there will be further improvement in value addition. As we have shared earlier, this transformation can be monitored across three key metrics. We continue to increase the share of passenger vehicle, PV, and commercial vehicles in our product portfolio. This segment now represented 57% of our sales in Q1 of 2025, up from 50% in Q1 of 2024. Our customer profile is evolving with the addition of prestigious global names, including leading OEMs and Tier One companies. This reflects Alicon's growth stature in the industry, and we continue to add to our client roster in each quarter. The focus on design, R&D, and value engineering has ensured that Alicon is now increasingly recognized not just as a source of build-to-print components, but as a solution provider known for innovation, technology and design. If we compare Alicon of 2018 with Alicon 2024, you will notice the following progress. In 2018, there was an overdependence on two-wheeler customers, while today we have a more balanced mix of two-wheeler, passenger vehicle, and commercial vehicle segments in our portfolio. In 2018, our customer list comprised largely domestic customers, while today we have some of the largest, most prominent names in the world, including Indian OEMs, who have scaled themselves, too. In 2018, we were reliant on cylinder heads, while today we offer a diverse mix of critical products. As a result, the margin profile in 2018 was in high single digit of 8%-9%, while today we have a margin profile of around 13% and are working on further improvement for that. Now, let's turn to our financial performance, quarter one of FY 25. We reported revenue of INR 440 crore, representing a 24% increase from INR 350 crore in Q1 of FY 24. Revenue growth has been driven by the scaling up of products, production for new product parts, many of which are critical components being supplied for passenger vehicle and commercial vehicle customers. Our gross margin for quarter one of FY 25 is 50.42%, an increase of approximately 25 basis points compared to 50.17% in Q1 of 2024. This is due to the improved product mix on a year-on-year basis. Employee costs have risen by 19% year-on-year, driven by increments, rise in minimum wage, and cost of new hires aligned with our operational growth. While the impact of ESOP cost has reduced, as anticipated, there were some temporary additions in the European operations which have driven up employee costs. In terms of profitability, EBITDA for quarter one FY 25 was INR 58 crore, a 46% increase from INR 40 crore in quarter one of FY 24. The EBITDA margin improved to 13.2% from 11.3% in the previous year, despite the rise in employee costs and other expenses, reflecting a year-on-year improvement of 194 basis points. On a quarter-on-quarter basis, the EBITDA of INR 59 crore in Quarter four of FY 24 has been largely maintained, while the EBITDA margin has moderated from 14% in Quarter four to 13.2% this quarter. Absolute EBITDA of INR 58 crore in Quarter one represents a strong start to the fiscal year. Further, it would be important to note that wage hikes have been implemented this quarter, and certain expenses have been provided for the estimated, for our estimated this quarter, on which we will get greater clarity as we progress through the year. Going by the trend in earlier years, the Quarter one margin tends to represent a base, and we expect to see some improvement through the rest of the year. Finance cost has increased by 9% year-on-year to INR 10 crore, in line with the increased borrowings. Finance costs are, however, lower by 5% on quarter-on-quarter basis when compared to Quarter four. Depreciation rose by 22% year-on-year to INR 22.44 crore, driven by new asset additions, comprising machines and tools added or replaced in our production lines. After absorbing the higher finance cost and depreciation, PBT has more than doubled on a year-on-year basis, as it was higher by 109% from INR 12 crore in Quarter 1 of FY 24 to INR 25 crore in Quarter one of FY 25. The PAT for Quarter one FY 25 stood at INR 19 crore, higher by 2x from INR 9 crore in Quarter one of FY 24. Regarding capital expenditure, we have spent approximately INR 49 crore in Quarter 1, primarily on machinery for production and investments in new product development for the full year. We have a target of roughly INR 150 crore for FY 25, reflecting the heightened level of activity. In terms of our growth outlook, we continue to anticipate revenue of INR 1,800 crore this fiscal, representing around 15% growth for the fiscal year. While our strong Quarter one revenue performance of INR 440 crore represent a nearly 25% of the annual target. We are carefully watching the global macroeconomic backdrop and the volatility that could emerge from the intensifying conflict in the Middle East, and we'll update on this target in Quarter two. We are highly excited and energized by our business prospects and the discussions that are going with the several potential customers. While sentiment towards electric four-wheeler vehicle is currently muted, we have strongly positioned ourselves on hybrid technology, and two key customers in this domestic market, Toyota and Maruti, are indicating exciting potential for their hybrid vehicles. Further, volume of two-wheelers have picked up well given the improving rural backdrop. With that, I will now hand over to Mr. Shyam Agarwal to share the operating highlights for the quarter. Thank you, Mr. Vimal. Greetings to all. We are delighted to report our highest ever quarterly revenue in Q1, as well as reporting revenue of over INR 400 crore for the third successive quarter. In addition to revenue growth of 46% on YOY basis, we have reported growth of over 100% in PBT and PAT respectively. With this performance, we have started FY 2024-2025 on a strong note. Coming to some of the key business programs this quarter, we have witnessed further ramp-up from Maruti this quarter. We had indicated that the supply of cylinder head to a second model, combined with the start of supply to the Gujarat plant of Suzuki, would lead to increased volume. We are pleased to share that with this ramp-up, the volumes being supplied to Maruti have tripled on a YOY basis. For Toyota, where we supply cylinder heads to their hybrid models, we have witnessed further rise in volume this quarter. We have augmented the production lines to meet the demand and are in discussion with them to assess further ramp-up of requirements in the near future. Over the long term, we see further demand requirements, given that Toyota will be adding to their manufacturing capacity. Our position as an approved supplier provides an opportunity to increase volume with this enhanced capacity. We had recently commenced supply of cylinder heads to Stellantis India. Volumes to their Hosur plant have been ramped up in quarter one. I am sure some of you are aware that Stellantis is seeking to make the Hosur facility into an engine manufacturing hub, which will serve to the domestic market and from which engine will also be assembled and exported to Europe. Alicon has developed a model plant imbibing cutting-edge technology and automation for the Stellantis product. This plant serves as a reference point for other potential customers as well. As a single source supplier of cylinder heads for the Stellantis, we are closely monitoring the requirements to ensure that we scale up our capacity in alignment. In our European operations, we continue to witness strong momentum. The production of e-axles for Jaguar Land Rover continues on schedule. Production will continue into the third quarter, following which supplies will shift to the Indian plant in order to produce scaled up volume. Further, we see strong momentum in the battery housing products for hybrid vehicles that we are supplying to Samsung, a tier o ne supplier. This product is supplied to three different vehicle models, and there has been a steady ramp-up in the volumes in quarter one, with indicators for the further ramp-up in financial year 2025-2026. I would also like to touch upon two exciting projects that our European team is working on. The first one, we are currently developing a product for Volkswagen autonomous driving, positioning us at the cutting edge of the emerging technologies in the auto mobility sector. A well-defined schedule guides our product development, and we have already commenced manufacturing of the tool needed for the production. This initiative opens up new market segments for us, with the application of ADAS poised for widespread adoption across the automotive industry. Secondly, we are actively contributing to the eHighway project, a groundbreaking initiative jointly developed by Siemens and Continental. This project aims to electrify highways, allowing electric trucks to recharge while in motion. Our role in this venture includes the supply of eight distinct components, which will be integrated into the top of the trucks to facilitate electrification. We have already delivered initial samples, and further evaluations are currently in progress. As Europe enters the summer season, we have also begun manufacturing swing arms for our European two-wheeler clients. As many of you know, we are proudly supplied to each of the top four premium motorcycle manufacturers in Europe, that is KTM, BMW, Husqvarna, and Ducati. Initial shipments started in Q1, and we are gearing up to significantly increase volume in quarter two. Overall, our European operations remain stable, with no significant risk on the horizon. Gas prices, power availability, and overall costs are largely steady, and we have not observed any upward pressure on commodity prices thus far. We expect the balance in our product mix to improve further, as most of the new business that we have won this quarter is supplying for four-wheeler or for the global customer. This is aligned to our strategy of focusing on high-value parts. In terms of industry trends, we see that hybrid vehicles are currently outpacing electric cars in market growth, driven by their appeal as a practical transition between traditional and fully electric vehicles. In 2023, hybrids saw higher sales growth than electric vehicles in major markets like Europe and Japan, reflecting consumer preference for their flexibility and the existing fuel infrastructure. Many buyers favor hybrid over electric vehicles due to concerns about charging availability and range, range limitations. In response, automakers like Toyota have strategically increased hybrid production, recognizing a strong demand in this segment. As a result, hybrids are emerging as a key growth area within the automotive industry, offering a compelling investment opportunity. We are well positioned to capitalize on this growth in terms of offerings as well as associations with some of the largest global and domestic customers spearheading this. Another interesting update to share with you is the addition of the Cold Core Box manufacturing facility this quarter. I'm sorry to interrupt. Hello, sir, this is the moderator here. We're getting some disturbance on the line. I will reconnect you. Okay? Kindly disconnect. Ladies and gentlemen, please stay connected while we rejoin the management team. Ladies and gentlemen, we have the management team back on the call, so please go ahead. Yeah. Another interesting update to share with you is the addition of the Cold Core Box manufacturing facility this quarter at our Shikrapur plant in Pune. This is a new technology for the critical parts. With the installation of this advanced equipment, we have enriched competencies further. This technology will open up several new opportunities, enabling us to further enhance customer wallet share. We are also taking decisive steps to enhance our manufacturing capabilities by integrating advanced digital process control across our operations. By leveraging machine intelligence, we are adding a sophisticated layer of oversight that boosts both precision and efficiency on the production floor. These controls are designed to provide us with real-time data, enabling us to actively manage our operations with greater accuracy. More importantly, this technology will equip us with the insight needed to make smarter, more informed decisions that ensure that we make our manufacturing processes more efficient and benchmark them with global best practices to reflect our evolving customer and the product profile. The other area in which we have made considerable progress is in diversifying of our energy mix. As we have shared earlier, we have installed the solar panels on the rooftops of our plant in both India and Europe. We have generated about 30% of our energy consumption in Europe from solar energy, which has made our operations more resilient and more competitive. Additionally, in India, we have invested in a solar installation and entered into a 5.2-MW solar power agreement, which will allow us to gain equivalent credit for the energy we contribute to the national grid. Part of this has gone live, with the remaining infrastructure set to go live in January 2025. The energy fed into the grid will offset the power we consume at our manufacturing facility. With this step, solar energy already contributes 40% of power and will soon account for over 50% of our total energy mix once the next phase is commissioned. With that, I will now hand over to Rajiv Gupta for his comments. Thank you. Thank you, Mr. Shyam. Greetings to all of you. In quarter one, FY 25, auto sales showed a healthy performance, especially the two-wheeler segment, which continued to outperform. In quarter one, we noted 20% growth in 2W segment on year-on-year basis, 6% growth in passenger vehicle segment on a year-on-year basis, and a dip of 1% in commercial vehicle on a YOY basis. In the domestic market, we experienced a strong resurgence in the two-wheeler market, reflecting a significant rebound in demand. Last quarter, we had projected an increase in the two-wheeler volumes in anticipation of the upcoming elections, and this forecast have been realized with substantial growth. Additionally, we observed an encouraging improvement in the rural demand, which has further contributed to the robust year-on-year increase in volumes. This positive momentum suggests that the demand for two-wheelers is likely to remain strong throughout FY 25, supporting our outlook for sustained growth in this segment. Overall, the market conditions appear favorable, and we remain optimistic about the continued performance of the two-wheeler business. In the passenger vehicle segment, utility vehicles continue to witness favorable momentum. Further, the sentiment around EVs is somewhat subdued and customers who were unable to decide are now more firmly in favor of hybrids or internal combustion engines. Having built up offerings for hybrid vehicles, we are well positioned to take advantage of this trend. In quarter one, FY 25, the retail volumes of commercial vehicles saw a marginal decline. The global markets have been sluggish due to uncertain economic outlook and persistent inflation and the increase in conflicts and unrest in various parts of the world. With the heightened uncertainty, we anticipate that there will be apprehension and cautiousness from customers and are closely monitoring the situation. In quarter one, we added eight new parts from five customers. This includes one part from the carbon neutral segment, one part from the non-auto, and six parts from the ICE segment. Of these eight parts, four parts remain to the domestic business and four parts remain to the international business. In an exciting development, a global automotive customer has awarded us an order for two critical parts. This will be produced in India for supply to USA. We estimate that the potential size of this order over its life can be over INR 500 crore. Interestingly, this will evolve supply of machined and assembled part, enabling us to capture higher amount of the value addition. This will add to the USP, which we can demonstrate to existing and prospective customers. We have also received orders for one part, each from Daimler and Danfoss this quarter. These pertain to application in commercial vehicle and will entail exports from Indian plants. The part from Danfoss pertains to a carbon neutral segment, while the part from Daimler will find application for ICE towards a new generation engine with enhanced vehicle performance. In the domestic business, we have received three parts from Maruti Suzuki, which will increase our wallet share. This adds to our business from the passenger vehicle segment. All these parts pertain to the ICE business. In the non-auto business, we have added a product with BEML for a defense segment. The increasing spends towards infrastructure and defense should lead to further opportunities in this space. The global business contributed to 26% of the total revenue during the quarter, which is higher than 23% in quarter one last year. Further, 94% of our business is from auto, and 6% is from the non-auto customers. During Q1 2025, Alicon has booked new orders aggregating to INR 650 crore. The new business added is aligned to a strategy of higher value add, and it is largely passenger and commercial or global business. With this, our total new order booking has surpassed INR 9,500 crore, which will be executable over a period of six years from 2023/2024 up to 2028/2029. On this note, we shall open the floor for questions. 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 touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. We'll take our first question from the line of Yash Dalal from Sushil, Sushil Financial Services. Please go ahead. Yeah. Hi, firstly, congratulations to the management for again recording your highest ever quarterly revenues for the third consecutive quarter. So I had a few questions. The first one was, what is the new business contribution for the quarter? You had mentioned last quarter that majority of the new business added pertained to four-wheelers and was for international markets as well. So will this trend continue in FY 25? And, what is the order pipeline for this as well as for the overall business? Yeah. So on the new business, yes, rightly said, you have noted a good performance last fiscal, where our order bookings were around 95% to the global market and 85% I mean, 95% to the four-wheeler market and 85% to the international markets. And this quarter, also we noted a good momentum. So in this quarter, we booked a business of around INR 650 crore. Out of that, the major addition was from a global market for a two-wheeler, premium, high-end segment, and this is also a good for it to add and demonstrate- ... about, further value add, what Alicon can add. So good momentum. Yeah, and maybe I would like to add here, we're focusing more on the four-wheeler customers, considering the value addition, which we are getting is higher than the two-wheeler. But in this business, we have got the good value addition as compared to our two-wheeler customers and even more than the four-wheeler customer. So it's a good business acquisition for us. My next question is, what has been your volume growth for the quarter? And you had mentioned that in FY26 revenue target is at INR 2,200 crores with around 14%-15% EBITDA margins. So beyond this, what does the future hold for Alicon beyond FY26? So beyond 2026, yes, that's what we are talking about earlier also, that we are expecting a CAGR of approximately 15%-16% in the top line. Okay. Okay. What about your volume growth this quarter? This quarter we booked an increase of 24% growth over the last year's same quarter, and this was mostly with the accounts of the cylinder head, which is going into SOP, customers like Toyota and Maruti ramp-ups we noted, and also we noted this time a good increase from the two-wheeler markets. That added to additional jump over the last fiscal. Yes, I would like to add here, and if you see the global automotive market, that has grown only by 0.5%, while Indian automotive market, that has grown by 16%. And with the growth of Alicon of 25%-24%, so we have surpasses the growth of both global market as well as the domestic. Okay. Okay, thank you. And just the last question, in the presentation, you have mentioned your one-time item, quarter-on-quarter, for your quarter-on-quarter EBITDA drop. So what is this exactly, this one-time item, and will they be seen in the coming quarters as well? So yes, mainly that, actually, what has happened in Europe, you, I think, when you have gone through the numbers, so the drop you have seen in the Europe side. So we have seen some issues of the availability of the people, because, you know, we are having a plant in Europe and, lot of big OEMs, they have put up their plants. So suddenly, shortfall of the operating people, so those are working on the shop floor due to the huge demand. So that has created a little bit, pressure on the cost in the quarter one, so that we had to hire at high cost from the competitors or, from other countries, we have took the people. But now the things are going streamline, and we have now put some people from India and further, some operating people are also in coming months. They are also going further, more people from India. So that's how we are now. Things are coming under control. So that, due to that, there was a pressure on the operational cost as well as on the manpower cost. Okay. Okay. Thank you so much. That's it from me. Thank you. Thank you. Thank you. We'll take our next question from the line of Raghunandan from Nuvama Wealth Management. Please go ahead. Congratulations, sir, on strong result, and thanks for the comprehensive opening remarks. Sir, firstly, what would be the SOP share in revenue for FY 25? In opening remarks, you referred to Maruti, Toyota, Stellantis, where you are seeing very good traction. Can you also talk about the JLR order, how you see the execution timeline? I'm referring to the eAxle housing order. So coming to first on the SOP business sales for this year. So we see approximately INR 1,200 crores sales from the new parts, what we added. I mean, whatever we plan, we are going to meet that. There are some areas where we see a dip, but we are going to cover up, cover up with other accounts. Like, you know, PSA, they're not able to cope up with those volumes, but we are trying to generate how we can cover up. But we are going to hit what we have committed. Coming to the JLR project now. The JLR project is doing very good. I mean, we already mentioned in the script that the proto sales are on track with the plan. And in fact, we're able to build good confidence to JLR. Frequently, our team are visiting at their location and, I mean, two or three visits of JLR management is being done at our locations also. So we are working well in this synergy. And also now we are aiming to support samples in next month to trigger the supplies from India. So we are expecting volumes ramp up from India, a small batches to start with in the next quarter, and aligned with the numbers to cope up in the next financial. Got it, sir. Thank you for that. Two-wheeler segment has witnessed growth in Q1. How would be the revenue mix in Q1, two-wheeler, four-wheeler, commercial vehicle?... Four-wheeler plus commercial vehicle, you said, has gone up to 57%. How would be the two-wheeler share be? Yes. So in quarter one, we noted, yes, there was a good increase in two-wheeler segment, around 20%, but still, our contribution were just 37. So we have ideally reduced our contribution from last year, 40%- 37%. And if you talk about four-wheelers, yes, this has increased. Passenger increased to 39, and commercial increased to 18%. So this is a good momentum what we have following, compared to the previous years. Got it, sir. Overall, about four-wheeler, four-wheeler is 57%, versus last year, quarter one, at 50%. Got it, sir. And, in EV and hybrids, what would be the share in Q1? If I remember correctly, FY 24 was 12%. And what would be your expectation for FY 25? On EV and hybrids, what we have done this time, we've understood there will be, when sentiments of consumers are hurt, especially on the new technologies, where a couple of articles we have followed, which talks about the traction in the US market, where, more than 50% of the EV users would like to switch to hybrid or ICE. And similar traction we are noticing in, India market, more on infrastructure and other issues. So that's the reason what we have done, we have now, we've added one more strategic segment internally to bring the focus, and we have, added a hybrid segment to monitor its momentum, because we have noted, especially the Japanese OEMs are focusing on hybrids. And we know in India also, the, hybrid models are picking up. So, on the EV—on the hybrid models, what we noted, this, this quarter, hybrid contribution was around 9%, and EV was around 10%. And going forward, also, this will remain, a hybrid will remain to around 8%-10%, at this moment with the current booking. And our plan is further to increase going forward. For us, the Toyota volumes are picking up, that's a good sign. Even the part which we developed in Europe, the battery housing, which we developed in 2018, 2019, the volumes of that part also is increasing, which we have noted in last quarter, and that is again, because all that, that model, that part is going to all the hybrid models of Jaguar Land Rover. So we are concentrating on that area too in 2019. So Raghu, total contribution for hybrid and HEV is now 19%. Got it, sir. Thanks, thanks for the detailed explanation. And, when you referred that, through Samsung, three models are being catered, would it all be relating to JLR, sir? Yes, correct. Thank you. All three are for Jaguar Land Rover, correct? To Vimal sir, 2-3 questions. One, on the aluminum prices, recently, we have seen an increase in aluminum that gets passed on to customers, but with some lag. Would that be the reason why RM cost to revenue on a QOQ basis has gone up? No, that is not the cost absorption, that is the sales mix impact, because then when the contribution of two-wheeler goes up, so then... Because these two-wheeler components are the unmachined, these are the only as-cast parts. So that is the reason, and some, the, because is a, you know that it is a, a pass on, pass through, but, the prices, when we compare the prices, so that also giving the impact in the consumption, because the, when aluminum prices goes up, so automatically the consumption ratio goes up. Got it, sir. ESOP cost has come down in Q1. What would be the number, sir, for Q1? Q1, approximately now, cost is down by INR 2.5 crore. Because the quarter one last year, we had around INR 3.5 crore, now this quarter, INR 1 crore. For the full year, FY 25, what would be the number? The total cost will be INR 4 crore, full year. INR 4 crore. And margin, 13.5% would be a fair number to assume for FY 25? That you have to take a call on. Thank you, sir. We cannot give such type of statements, you know that. Just the last question, so addition of this cold core box manufacturing facility, if you can elaborate on that, what could be the benefit for the company going forward? This is a technology, majorly a lot of foundries across Europe is using such technologies, and this is used especially for the structural parts. We were having this technology way back in a European facility, because we are supplying Swing Arms to customers like KTM, BMW, Ducati, and many more. Recently, in India, we added a structural part for the EV variant for Jaguar Land Rover, a bigger part of around 18 kg, with a length of 750 mm. For that, when we took business, we understood that part called for a better results in terms of strength, in terms of shrinkage, porosity, and other aspects, and that's the reason we understood to use the Cold Core Box technology to give a unique solutions to our customer. With that approach, we added this technology, and now this technology is; we are seeing a good opportunity to add further from India business swing arms. At this moment, you know, motorbikes, high-end CC, is a trend even in India, and a lot of OEMs have started in discussion for development of aluminum swing arms. So on such approach, we see adding up of this technology and then pitching to customer helps us as a USP and differentiates with other competitors to grab that business. We see such technology will help us further to grab other customers in such structural parts. Got it, sir. Thank you. Thank you for that, and wishing you all the best. Thank you. You're welcome. Before we take the next question, we'd like to remind participants to press star and one to ask a question. Next question is from the line of D.V. Agarwal from Pecan Family Office. Please go ahead. Hi, sir. Thanks for the opportunity, and congratulations on the great set of numbers. My first question is regarding the sales in the U.S. I just wanted to know what would be the share of U.S. in our total revenue, and what would be that number three years down the line? At this moment, total is 30% of our exports, roughly. And out of that, 10% is to U.S., and 20% is to Europe. Going forward, we see this U.S. will increase to, from current 10% to around 14%-15% in the next three years. Okay, and, like, as the market situation there is, you know, tough there, so how do you see the market situation like, improving there? Or how do you see the impact on the demand there? This is, we are working on addition of new components to the new market. So if you talk about ICE, we just mentioned we added a big order for a premium two-wheeler segment, and there also we see a good volume. So this is addition to the market which we play, and this is also will help us to demonstrate our unique USP in such products. Apart from ICE, we are also working on the EV portfolio, which Shyam will explain. Yeah. D.V., I understand what you mean. Currently we are seeing some sentiments down in USA. So for that, we are keeping an eye. We follow some lead indicators, and also we follow the ADIs from all the OEMs. So we are seeing some dip over there over the existing customers, but with the addition of the new products, and also we are able to gain some share of business from our competitors. So that way we are seeing if we can nullify that impact, and we will deliver the numbers which we have committed. Okay, sir. Got it. And second question on the Indian business: so, I mean, there are news that there are increase in unsold car inventory. So what gives you the confidence about growing the business of achieving the 1600 growth target there? And also the competition is being tough in the die-casting business. So recently one of the competitor announced an acquisition of the domestic player. So how do you see the competition lying there? Yep. Okay, thanks for this question. If you see like the products where we are supplying the parts, like we mentioned in our speech, like we are giving the components for Toyota. So if you see the development of these parts takes 1-2 years of time and needs lots of know-how technology, and we are single source for these parts. So if customer is growing, we will grow with them, and we don't see the competitor can come in, because those are the entry barriers. First is the lead time, investment, and the technical competency. Second thing, if you have noticed from our introduction speech, we are also supplying to Maruti Suzuki, and there our competition is only their foundry. We do not have any other competition with the Maruti cylinder head, and we are seeing the demand from Maruti is really, really good, and we have triple our volume on YOY basis. Same way, if I touch the third customer, which we have mentioned, the Stellantis. So there, they have installed a capacity of 300,000 cylinder head, and again, we are the single source for them. So if we are single source, so we do not have the impact from the competition, and even if any competition will come, it will take minimum two years' time to develop and complete the validation period. So I hope I am able to answer your question. Yes, sir. Thanks a lot, and all the best, sir. Thank you. We'll take our next question from the line of Aditya Sen from Robo Capital. Please go ahead. Hi, thanks for the opportunity. Sir, I guess we talked about the order pipeline, but I couldn't follow exactly. Can you please throw some light on the upcoming or, or the order pipeline that we have and the order inflows that we see in this year? On the order pipeline, yes, if you talk about total businesses, what we added since 2023, 2024, so we have added a yearly average sales of around INR 1,500 growth. With this, our total project sale with the new projects will be of INR 9,500 over the year of 6 years. Of this, if I give you a bifurcation, around 23% is for the carbon neutral, around 10% for the hybrid, around 5% to the technology agnostic, and even 3% to the auto, non-auto, sorry. And of this, 54% are for the global markets, and 24% contribution is for with the new logos. And around 82% of this new added business is the four-wheelers. So this shows that we are booking business as per our strategy, what we have defined. Coming to this quarter, yes, we have added 8 parts from 5 customers with a yearly average sales of around INR 150 crore and around INR 600+ crores over the 5 years. This also, we noted, 68% of the orders are from the global market. So same momentum, we are going to follow the inquiries from customers existing as well as the upcoming cust-- I mean, prospective customers are increasing because today, buyers, if you talk about expansion, BEVs or hybrids or new technology or BEV or EV, almost all OEMs or major Tier One companies are actively working on such developments. And also, if you talk about new technologies, they look for a supplier who have got hands-on experience of developing such parts. And why Alicon gets that edge? Because such products, we have already developed in a European facility 4-5 years ago. So for them also, they know very well, if they want to grab a business or enter the market, they have to go with a supplier who are having such experience and can deliver in a quick period of time. That's the reason they look for suppliers. As Alicon, we are there with two-wheeler, three-wheeler, passenger, commercial, all segments. So for them also, they are comfortable to discuss new opportunities with us, which we are looking forward to materialize in this financial year also. All right, thank you for that. And you also mentioned that we are single source suppliers for Toyota. So is it only for Toyota or for all the OEMs that we supply to? No, Aditya, for Toyota cylinder head, we are single source. Okay. It depends on the customer to customer and model to model. Okay? So not for all the parts which we are supplying will be the single source, but you can say, more than 70% of the parts which we supply, we are single source. All right, okay. Got it. Thank you. Thank you. Ladies and gentlemen, to ask a question, please press star and one on your phone. We'll take our next question from the line of Jyoti Singh from Arihant Capital Markets. Please go ahead. Yeah, thank you for the opportunity. And, sir, congratulations on the very good set of number in Q1. And, sir, my question, largely on the revenue side. So if you can guide us in Q1 revenue, it is largely driven by Maruti, or, I mean, other, client is also there, but it is largely driven by Maruti. And the second question on the, market share side, on the parts, like cylinder head, how much currently we have market share? And on the new product side, which are the, major product, like cylinder head, we used to do? On the first, on the incremental increase in quarter one, the major drivers for us, yes, one was the market growth. Like, the two-wheelers, we noted a good momentum, like HMSI, more than 20%, Hero even 15%, and so on. So that helped us to grab additional. Few were the new parts, which we were able to ramp up and deliver extra, like the major accounts like Jaguar, there we, we able to generate additional. Few accounts we noted for the global market, especially U.S., for the current part, there was a little increase in the numbers which have added. So mostly it was the market driven, you can say, around 50%, and around 50% is the ramp-up volumes of the recent part we added, like Toyota and Maruti Suzuki. Coming now to the share of business. On the share of business to the Indian two-wheeler industry, yeah, it's around 35%, and we see a good momentum as the major accounts, the volumetric accounts like HMSI, Hero, the volumes are picking up. When we talk about four-wheelers, in four-wheelers, the share of business trend is mostly being compared with the OEMs. Yeah. So we are into a phase where we are adding cylinder heads from Maruti Suzuki. So if you have noticed, last 3-4 quarters, every quarter, we are adding one cylinder heads. So we are further in discussion with Maruti to add, I mean, to transfer cylinders from their foundry to our location, again, in Delhi, same local region. So that, with that way, we are going to add share of business with OEMs like Maruti. Even Toyota, we just explained, Toyota also, the volumes are increasing with the high demand of hybrids. You might read the article in last week, where they have announced a new plant, again, in Maharashtra. So there also we are aligned to increase the numbers. And also we explained on PSA, where they are actively working on ramp-up, and we are aligned with them. So going forward, yes, we see a good share of business opportunities also to add from four-wheeler accounts. ... Thank you, sir. Sir, another question on the two-wheeler side, like, in 2018, we were more diversified toward two-wheeler compared to other segments, but now as two-wheeler pickup started in the rural, and also we are getting good business on that side. So going forward, it will alter the revenue mix to favor two-wheeler more, or it will remain at the same level as we now diversified four-wheeler and two-wheeler? Yeah, Jyoti, as Mr. Vimal explained, our focus more on the VA side, like value addition. What happens with the two-wheeler, most of the parts are as casted, like the cylinder head which we are supplying. But with the other customers, like four-wheeler customer, we supply, we supply the other parts. So those are parts are the machined component. So we are focusing more on the machined, fully machined parts, where our value addition is more. So that is our focus area. However, whatever opportunities are coming for the two-wheeler, that also we are grabbing, but more focus on the high value addition. Okay. So, sir, going forward, we will see more expansion on the margin side, or it will be remain our target to achieve 14%-15%? Jyoti, first target that what we fixed, I think 2 or 3 years back is 14%-15%. So first, let's hit that number, because, everybody looks for the every year improvement, so it, doesn't stop our goals, our, focus. So I think first let's hit that number, fourteen, fifteen percent, and then further, opportunities, because it is a continuous process, you know, the improvements on the both sides, on the how to improve my value addition from the customer, how to reduce my cost, and, at the end, how to improve my bottom line. Yeah, sure, sir. And sir, just last question on the aluminum side, as we Alicon is the leader in the aluminum product, but now as EV penetration is increasing, more of the OEM targeting to be in the EV. So a lot of peers they are also targeting new product in the aluminum. So are we facing competition or we are fine at this level? Jyoti, first of all, competition is always good for the health of any company. So we also don't want a weak competition, we also want a very strong competition. But just to add that, as you know, we were very strong in ICE, and also in the EV, we have developed more than 90 components. And in the EV also, we are concentrating on very, very critical parts with the thermal management, where no other competitors are there, and this is also recognized by not only the domestic customers, but also the global customers. So that's why if you see, we are supplying the parts which is going into the Tata vehicles, Switch Mobility, all the vehicles which we are on the Indian road, and also the global customers like Jaguar and Land Rover. They have given us the business for the EV part, considering the capabilities which we have developed for the EV component and especially with the thermal management. So we are, you know, equally excited if hybrid or the EV vehicles comes more on the ground, and our aluminum content will further increase. Great, sir. Sir, just one last on the order side. Like, our order execution is on the track? Just wanted your view on that. Yeah, orders execution is on track. So this, this year also, we see we are going to be very close to our targets. We also mentioned in the previous questions, we see a dip in few accounts, like PSA, they're not able to cope up with the volumes. Especially the hit was with the other suppliers were not able to catch up with some quality issues, but we are keeping a close eye, to cover up such opportunities with other accounts. But we see we are going to hit what we promised or what we aimed in the new business. Thank you so much, sir. Thank you. We'll take our next question from the line of Raghunandan from Nuvama Wealth Management. Please go ahead. Thank you for the opportunity again, sir. Two follow-up. Firstly, in order book, what would be the share of cylinder head? And secondly, CapEx of INR 150 crores, how would you divide it between capacity expansion, product development, R&D, and maintenance CapEx? Sir, Raghu, on the CapEx side, approximately now for this year, we are having around INR 150 crores. So on the maintenance, we can take around INR 30 crores, and then this year we are also focusing on the automation side, the putting up the lot of robots, just to improve the quality, and now we have to control the manpower cost. So there also a allocation of around INR 25 crores for the automation, then the balance amount is for the new projects. Got it, sir. The four-wheeler cylinders would be approx 20%-25% at this moment, which we see further also to- Twenty? 20%-25%. ... This is as a share of order book, and in revenue, it will be over 50%. In revenue, four-wheelers, it's mostly into passenger vehicles, because in commercial, those are cylinders are into cast iron. But in passenger vehicles, yes, we've mentioned the contribution, we are aiming to around 36%-37%, and major will be your cylinders. So you can say around 30% will be to the cylinder business. Got it, sir. Thank you. That's all from my side. Thank you. We'll take our next question from the line of Manas Jain from Just Enterprises. Please go ahead. Hello, am I audible? Yes, you are. Please go ahead. Hello. So I just wanted to, you mentioned in the presentation there is some one-time items. So I just wanted to understand, can you quantify what is the one-time item, how much it is, and how much is expected to carry on for the rest of the years? The one-time, approximately, we have got a hit around INR 4 crore in Europe. That I have explained- Okay. -the reason, key people, the supply of the people. Mm-hmm. So that has impacted people cost. Otherwise, there's the impact on the operational cost also. Okay. Okay. On a quarter-over-quarter basis, maybe there will be little impact in the quarter two, but in the quarter three, there will be no impact. Okay. Okay. Got it. Fairly. And, and also, second question, I just wanted to know that, I mean, we are talking about hybrids and, and other stuff. I also noticed that CNG is also picking up. So is there any place where we are also, like, supplying parts in this particular segment as well? A few accounts we are there, like Mahindra and Tata Motors, where we see opportunity, but more with small commercial. And even the Bajaj, recently, they have launched, and we got this opportunity to develop a cylinder for them. So that market also we are touch base. Good for us if it picks up going forward. Okay. Because Maruti Suzuki also has a lot of CNG vehicles they are offering, so that's why I had a question there. If you see the cylinder head which we are supplying, that is common for the ICE and the CNG vehicles. Okay. Okay, got it. Whatever vehicle they sell, our product will go, Manas. Okay. Okay. Okay, fair enough. Yeah, I'm good. Okay, thank you. We'll take our next question from the line of Abhishek Kabra from AM Securities. Please go ahead. Hello. Good afternoon, everyone. Actually, I just need to confirm that the 6%, the other segment that you have from the defense sector, and the defense target for the five-year export is very high, so is there any benefit that's going to come in? Sorry, Abhishek, if you can repeat your question. I was saying that the 6% other segment that is from the defense and all, so I was asking the defense sector, there is an export given by the government, so is there any benefit you're gonna receive from that or not? No, Abhishek. The parts which we are supplying for defense, it is for the domestic application, and mainly we are giving to HVF and also to the [audio distortion], that is for the domestic application. Okay, and another question is that you have given more focus on the hybrid cars and all, and seeing that the EV ratio is from your end, I'm seeing that there is more of an EV in the market. Will that be bad or good for the company? Because seeing that you are more focusing on the hybrid items and development. Yeah, Abhishek, I just want to clarify what happens with the aluminum content. Okay. If you see ICE vehicle, the aluminum content is in the range of 8 kg. If you see the hybrid or the EV, the aluminum content increases up to 300kg-350 kg. So if more hybrid and the EV cars and the commercial vehicles will come in the market, it will be beneficial for all aluminum casting companies, so it's good for us also. Okay, okay. Thank you so much. I have a great day ahead. Yeah. Thank you. Ladies and gentlemen, we'll take that as last question for today. I would now like to hand the conference over to management for closing comments. Over to you, sir. Thank you. I hope we have been able to answer all your questions satisfactorily. Should you need any further clarifications or would like to know more about the company, please feel free to contact our team or CDR India. Thank you once again for taking the time to join us on this call, and we look forward to interacting next quarter. Thank you very much. Thank you, members of the management team. On behalf of Alicon Castalloy Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.