Ladies and gentlemen, good day and welcome to Q1 FY25 earnings conference call of Transformers and Rectifiers India Limited. As a reminder, all participant lines will be on listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need any assistance during the conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference call is being recorded. I now hand the conference over to Mr. Subhadip Mitra from Nuvama Institutional Equities. Thank you, and over to you, sir. Good evening, friends. On behalf of Nuvama Institutional Equities, welcoming you all to the first part of FY25 results conference call of Transformers and Rectifiers India Limited. We have with us today the top management of the company, Mr. Subhadip Mitra, Mr. Jitendra Mamtora, Chairman; Mr. Satyen Mamtora, Managing Director; and Mr. Chanchal Rajora, CFO and advisor to the board. I would now like to hand over the call to Mr. Satyen Mamtora for his opening comments. Over to you, sir. Good evening, ladies and gentlemen. Thank you all for joining us on this earnings call conference call. We are delighted to have you here as we discuss the company's performance over the past quarter and the year ahead. Following our board meeting earlier today, we promptly released our financial results and investor presentation on the stock exchange. We are particularly pleased with our order book position and the diverse range of orders secured throughout the year across various sectors, including solar power, private industry, and power utilities. Notably, our new orders this quarter amounted to INR 698 crores. Additionally, we have achieved a significant milestone with the milestone orders of four stacked core transformers of single phase, marking the first Indian company to be in the specialized segment. Our unexecuted order book as of June 2024 stands at INR 2,929 crores. Currently, we have inquiries worth INR 17,500 crore under negotiation and bidding stage. Looking ahead to the remainder of the fiscal year 2025, we have successfully navigated through phases of stabilization, turnaround, and growth. We are now focused on consolidation, expansion, and achieving sustainable profitability. We have implemented strategic growth initiatives across the organization, which are already reflecting positively on our performance. Our revenue targets for the year remain unchanged. We extend our sincere gratitude to each participant for joining our earnings call and for your continued support and trust. We hope we have addressed all your queries satisfactorily. Moving forward, we are excited about the upcoming milestones. New capacity for renewable energies will commence production from December 2024. Our fully automated vehicle manufacturing facility will be operational from September 2024. We have initiated journey towards micro integration of critical components, exploring new avenues for organic and inorganic growth. Our revenue targets for current fiscal year remain steadfast. Furthermore, we are proud to have received an operational excellence award from Power Grid and to have successfully exported 220 MVA electric arc furnace transformers, one of the largest ratings ever manufactured globally. Once again, thank you all for your participation and support. We look forward to your continued partnership as we progress into the next phase of our growth journey. With this, I conclude my remarks, and now I would like to hand over the call to our CFO, Mr. Chanchal Rajora, for his comments and financial parameters. Thank you, Satyen Mamtora, for providing an overview on the current quarter as well as the year ahead. I would now like to share some key financial highlights with your esteemed shareholders. Dear shareholders, I'm pleased to present the accomplishment of our company for the first quarter of FY25, which has been one of our strongest first quarters in recent past years, marked by the substantial growth in the revenue and profitability. Financial highlights: In quarter one, our standalone revenue reached INR 311 crores, reflecting an impressive year-on-year increase of 103%. We achieved an EBITDA of INR 42.53 crores, a significant rise of 633% year-on-year basis, with an EBITDA margin of 13.65%. Our profit after tax stood at INR 18.41 crores, showing a robust increase of 268% year-on-year, with a net margin of 5.83%. Our consolidated revenue reaches INR 322 crores, reflecting an impressive year-on-year increase of 107%. We achieved an EBITDA of INR 46.22 crores, a significant rise of 650% year-on-year basis, with an EBITDA margin of 14.35% at consolidated growth level. Our profit after tax stood at INR 20.87 crores, showing a robust increase of 268% on a year-on-year basis, with a net margin of 6.4% on the consolidated growth. During the quarter, we secured the orders for a totaling INR 698 crores, highlighting our strong momentum in order inflow. As of June 30, 2024, our unexecuted order book states INR 2,926 crores. We are delighted to announce a significant achievement for our organization as we successfully raised INR 500 crores through a qualified institutional placement in just three weeks' time, marking a historic milestone in the Indian market. This accomplishment not only underscores the strength of our business fundamentals but also reflects robust investor confidence in our vision and the growth prospects. The unprecedented speed with which we completed the QIP highlights our efficiency and ability in navigating financial markets, further solidifying our position as a leader in the industry. Throughout FY25, we have placed significant emphasis on the people management and the upskill initiatives, acknowledging the pivotal role of our workforce in our substantial success. We are focused on enhancing technical skills, fostering leadership readiness, and improving overall competitiveness across our manufacturing, sales, and engineering divisions. Looking forward, we are optimizing our prospects for FY25, anticipating enhancements across various financial metrics. Our strategies are centered on achieving a streamlined balance sheet by reducing debtors and optimizing inventory management. Our ultimate aim is to transform into a debt-free company in the near future, supported by the clear and actionable plan already underway. In conclusion, we are all well-positioned to capitalize the opportunity within India's evolving energy sector, with robust corporate governance, advanced technology, superior products, and a dedicated team. We are confident in our path towards sustainable and profitable growth. I extend my heartfelt gratitude to our customers, the board, and management, and particularly to our committed employees for unwavering dedication and support. Thank you very much, Chanchal. Subhadip? Amoli, you can start your session, please. Sure, sir. Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking your question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Mohit Kumar from ICICI Securities. Please go ahead, sir. Yeah. Good afternoon, sir. Congratulations on a very good set of numbers. So my first question is, can you just talk about the opportunity landscape, the breakup of these INR 150 billion orders under negotiation? Is it possible to break this into power transformer and distribution transformers? And any timelines and expectations for it to get finalized? So most of this would be 95% of this would be in power transformers and solar transformers. Remaining 5% would be distribution transformers. Is it clear to say that you're talking mostly about interstate transmission systems in India? Yeah, we are talking mostly about interstate transmission systems in India. The second question is, can you talk about the reactors in the world? It has grown massively in the last 20 years. Is it primarily for high voltage, and any color on the composition of the reactors will be very, very helpful? Yeah. See, as far as reactors are concerned, there are very few players, 5 or 6 players out there in the team who are manufacturing this and who have the technology for manufacturing reactors. One of the reactors is going to go primarily because of the renewable energy, which creates a lot of harmonics, and then it's to be filtered, and then it will disrupt the grid. To stabilize the grid, you need reactors. So it is now just like if I see the recent orders, with one transformer, there are about 2-3 reactors, something like that. So the requirement of reactors is increasing like anything, and it is also they are intending to increase the capacity of the reactors much above today's limit of 110 MVA for MVA for a small electricity transformer and 125 MVA three-phase for 400 kV transformer. They're going to increase this to improve the efficiency and to also reduce the overall cost of the reactor. Is it fair to say that the reactors will still be around INR 2000 crore per year market, or this will be much smaller? Yeah, it will be something like that. It will be something like that. Understood. The last question from when do you expect to see your IT transformer booking starting? Is it fair to say that we can see some amount of booking in Q2 or Q3? See, we have I mean, we are forced to accept some orders from some of our valued customers. We can't deny them. But we are going to automate the production of the electric transformer, not only to reduce the cost, but also to improve the operating efficiency so that we can deliver something like 100 transformers per month. This is our ultimate goal, and we are getting ready for that. We have ordered the machinery. We have started the construction for the new bay. It's going to be an exclusive bay for manufacturing IDTs for the solar plants, solar transformers up to 15 or 16 or 18 MVA. And besides that, some special transformers will also be produced in that, which matches the exchange. The compulsion will be the restriction of the grain and the height of the thread. So whatever we can do in that, we will do it, which includes rectifier transformers like rectifier transformers. And also for the upcoming hydrogen projects for which we have started getting the inquiry, we have manufactured one for GE USA, and we have supplied to them. So many more orders are going to come from there. The total requirement is something like 2,300 transformers in a year just only for hydrogen projects, what do you say, electrolyzers. So electrolyzer, rectifier, and transformer. We'll be supplying only the transformer. Rectifier part will be supplied by somebody else, and electrolyzer will be their own make, or maybe they may outsource them, like they outsource rectifier and the transformers. So. So this is the main. Yeah. Is it something like 30, 40 GVA of IDT market in India for the next couple of years? Is it fair to assume that? Very frankly speaking, we have not really worked on that. There are ample of business like we were talking to Adani. They need about 1,000 transformers in a year. Similarly, companies like ReNew, companies like ACME, they also require that. And recently, Avaada. Avaada. Avaada also, they require something like 700-800 transformers. Each transformer will be costing around, if I'm not mistaken, about INR 1.2 crore. 1.2 crores. Something like that. So it's a huge opportunity. It is only based on how reliable you are and how quickly you deliver because everything is based on your delivery time. So we are trying to set up the plan for manufacturing 100 transformers in a month. So that means about 100 transformers in a month, 100-1,200 transformers in a year. So almost four transformers a day. So we can easily do that. We've done that in the past for Adani. So we can do that. It's not a big thing. Understood, sir. Thank you. All the best. Thank you. Thank you. Thank you. The next question is from the line of Ganesh Ram from Unifi Capital. Please go ahead, sir. Yeah. Am I audible? Yes, you are audible, sir. Yeah. Yeah. Yeah. Okay. So just to give you a 10% discount in connection to the previous question, what are the prices that's coming in? I think you mentioned in September 2024, what's the competitive landscape for these particular products? And then do we see any impact on the margins, on the cost, or downside? Maybe that's the first question. The new plant will be operational by we start producing transformers from the new plant in December 2024. There are also competitors there. With the kind of situation, everybody is either booked or they have enough to supply the transformers. There is no such undercutting for the price of the transformers. Got it. Got it. And just to sort of understand how the realization and margins of companies for existing product mix, and yeah. The realization will be very similar to the current product mix. There should not be any change, positive or negative, towards the realization of this new transformer that we are manufacturing. Thank you. Thank you. The next question is from the line of Subhadip Mitra from Nuvama. Yes, sir. So my question is, firstly, just clarifying on the guidance. If I remember correctly, I think your previous guidance for FY25 was sales of INR 2,000 crore full year and around 15% of it in margins. Are you still maintaining the same guidance? Subhadip, if you just heard our opening comment of Subhadip Mitra, he has clearly mentioned that our revenue guidance remains in the same line. So INR 2,000 crore is quite achievable, and we are working on that. And the margin will definitely be on your expectations. Understood. Similarly, if one has to take, let's say, a view two to three years down, what kind of, let's say, revenue growth over a two year period and, let's say, target margins over a two to three period, a two to three year period, would you be looking to target or achieve? Shubhdeep, in three years, we are well-poised to reach INR 4,500-5,000 crore numbers on a standalone basis with the levels of somewhere 16%-17% levels. We also see a better growth in our consolidation books in terms of the numbers because of the backward integration and backward expansions what we are doing. Understood. If you could also help us with an update on the acquisitions that you were targeting to do as well as the backward integration. Okay. Subhadip, we have raised the KYP in last month, and there are certain objects we have mentioned in our committee. We are working on that direction. I'll make you sure that the funds will be utilized only for those purposes. Soon, we will be starting working on those directions. We already started working on the Backward Integration side on the fabrication unit as one of the largest fabrication units we are working on that. We have started on that part. On the another side, we are working on that. When the right time will come, we will definitely announce that. Understood. And lastly, I think sir mentioned that we are looking to have the new facility the ability to manufacture a large number of transformers on a monthly basis. So that is going to come from the new factory, which is expected by December 2024? No. We are expanding our Changodar plant. So the December 2024 Changodar plant is being expanded to include solar transformers and renewable hydrogen transformers. Understood. The ability to do 100 transformers in a year, that will be coming? Yes. Yes. Yes. This new facility what we are making in Changodar, you missed last month May visit, actually. You would have seen by yourself the progress there. So we are expecting somewhere between 12,000-15,000 MVA yearly basis from there. So as the chairman has decided, that 100 transformer of 15 MVA range will not be a big thing from there. Understood, sir. Perfect. Thank you so much for answering my questions. Thank you. The next question is from the line of Gunjan Kabra from Niveshaay. Please go ahead. Thank you for the opportunity. So my first question is that there are some news articles stating that INR 44,000 crore of transmission projects are getting delayed by PGCIL. There are 18 projects getting delayed by 22 months and 8 projects getting delayed by 12 months or so. So what's your sense on the delay because that might delay the execution? So it's the need of the order and demand for transformers to go to the industry. So is there a delay in the execution on the transmission side, and how can it impact us in terms of execution side? See, this is the report which we have read today in the paper about the trouble they are facing for executing the entire project as they have promised because of the availability of the funds. But I think with PGCIL, there are other private players also like Adani and Tata Power and Sterlite. So they will be pushing in to get these orders. Now, so far, whatever orders have been placed are mainly from the orders which we have received are mainly from PGCIL. Now, they may have been I don't know why they are of the opinion that maybe they may stall some of the projects. But I don't see that. The kind of the what should I say? The billing which we get from them, they are even now trying to get into 1,100, 1,200 kV AC lines. It's two or three of the 760 kV lines. They will be converting to 400 kV lines. They will be converting to 1,150 kV lines. We have called for the meeting of the stakeholders to see their response, whether they will be ready with this. So our concern was the same thing that if there is not enough order investing for 1,200 kV transformers separately will be a big challenge. But we need some clarification from them how much transformer they are going to require. And on the basis of that, people will come out with the facility. Well, it is manufactured in the same facility, but they are going to be much larger transformers than what they are buying today. It will be a bank of 3,000 MVA, single bank. As against today, what they have is 1,500 MVA. So 1,500 MVA to 3,000 MVA is a big jump. The problems will be faced in transportation also because each transformer will be weighing something like 425-450 tons. So transportation, well, that the bridges which are built are in a position to take that load or they will have to have a separate route for that, something like that. So these are the challenges. But this is going to come by 2027. That is what they are expecting. So I don't think there will be a slowdown as mentioned in the paper today, the small news which has come. I don't know why, but we are not getting any feeling like that from Power Grid. On the contrary, we are having meetings with them every week on our dispatches and how we are going to meet their targets. So in fact, they are pushing us to do more. It is on the contrary what is being said in the newspaper today. Okay. So you think there is not much delay in terms of not only PGCIL, sir, but other ways also on the transmission side because there are a lot of external factors also for them to get this executed. So is there anything where we are not only from their side but on the other front also might be a delay in execution, or are we on track because? We are very much on track. Very much on track. Gunjan, if you are comfortable, there is one more thing I want to add that a week back, if you have seen the news article where the central government has basically instructed power utilities to enhance their CAPEX on the T&D sides. So the enhancement CAPEX guideline is already there, and there is going to be a huge demand. That is already there. I'm not denying that. But just on the execution front, because you are into this business day in, day out, so you might know a little bit more than what all of us know. I just wanted to gain an insight because this is a need of the hour that's there. I mean, because if the investment is happening, transmission has to be there. And my second question is, what is the strategy in terms of the export market comparatively? Because there are high numbers on the transmission side of what U.S., Europe, and Africa are going to spend on the transmission. And so what's the strategy going forward for the exports? And I guess comparatively, margins are also a little higher, and we have got some approval. So how are we seeing the export market going forward? Gunjan, if you have been tracking our earnings calls and investor calls, our investor interaction, we have been always talking about the export-specific disease and how we are focusing on the export market. Also, we have mentioned in our various calls that we have a target of reaching 25% of order book by end of FY26. We are working on that direction. We have our full-time employee based out of, you can say, Europe. We have our agents across the country. We are increasing our footprints. We have significantly actually enhanced our export team. We are working on that direction. But at the same time, we don't want to lose our Indian customers or Indian opportunities just in order to have the export market, which will give the room to the other people to enter where we are strong. We are balancing and working on both these sides. As I said, that FY26, you will see 25% of our entire order book will be from the export side. Got it. So the first question is, when we talk about we are getting backward integrated, like tanks, radiators, and bushings, and core CRGO. So what kind of a margin, how much of that supply is right now captively used? Are we sufficient in terms of our capacities? We We are enhancing as well. So likewise, if I see a power transformer manufacturing transformers plus with you guys manufacturing with backward integration, so what kind of margins can we see? So tanks and all are also 8%-10% EBITDA margin business. So what kind of a margin expansion? Or maybe likewise, what's the difference that we can see if we compare two players with backward integration and not backward integrated? See, there is a misconnect there. Today, if you see the EBIT margins with the tank manufacturers, it is more than 25%. Yeah, it's huge because there are no availability of the tanks in spite of so much of the requirement of the tanks. So everybody is struggling to get the tanks at whatever price. The tank which we are getting at INR 110 today is costing me INR 160. And if I go for export of those tanks, it will be more than INR 350 a kilo, taking into account 20% as the transportation cost from here to America. Still, you will take a huge profit. So the plant which we are thinking about or which plant we intend to have is going to be more of automatic with less manpower. And it is going to be the largest plant in the world for tank manufacturing. It is going to be the largest, and I mean it. There are no such facilities to have such a huge capacity plant for manufacturing transformer tanks. Okay. What kind of INR 17,500 is the order inquiry pipeline that we have? What part of that can be addressed in FY25 in terms of tenders? Any idea on that? Look, the inquiries, order generation is a continuous process of business. The inquiries that keep coming and getting materialized on the order side. So it's a continuous process to us. And as you see that every year, we are increasing our order book significantly, right? There is a robust increase as compared to the FY23 to FY24. And there is going to be a significant increase in the FY25 order book also. I can't tell you how much percentage and all this. But we are working on the guidance guidelines and where we want to be in two to three years down the line. Okay? Okay. Got it. Thank you so much, and good luck. Thank you so much, and good luck. I have a couple of questions about the backward integration. The backward integration is going to add at least 100 basis points in my standalone books on the EBITDA margin levels. 100 GPS. Okay. Thank you. Okay. Thank you so much, and good luck. Thank you. Thank you. The next question is from the line of Sarvesh Gupta from Maximal Capital. Please go ahead. Sir, good evening and congratulations for a recent set of numbers. During this quarter, we have seen some slowdown on a few bases. Were there any factors which led to that? Because we were thinking that because the buying demand has been very strong, so you will be continuously sort of fulfilling and booking the orders also in this quarter as well. Sarvesh, basically, it's not a slowdown. It is basically the deliverables, right? There are the certain numbers we have to deliver in at a certain time period. So these numbers are what we are based on that. And there is a slightly, you can say, that crunch on that because there was a small delay into the CRGO supplies because of the BIS restrictions by the government on the BIS. But by and large, basically, our revenues are now depending on the deliverables in every month. And we are working on those directions that whatever is the marketing requires, the numbers to be delivered on a monthly basis, we will deliver on those lines. Okay. Did you see any impact of the elections on the deliverables in this quarter? No, no, no, no. There is no impact. It's quarter one is always like this, Sarvesh. Okay. And this INR 4,500 crore-INR 5,000 crore in standalone revenue that you expect, this is FY28 sort of a number, right? FY27 is three years. Oh, within the next three years. So INR 2,000 crore and then INR 2,000 crore should become like INR 4,500 crore in FY27. Yes, sir. Okay. And what is the expected order inflows sort of a guidance for this year? But Sarvesh, even when the order comes, we keep basically announcing that, right? Yeah, but we will be having much, much higher order book what we had in March 31st. From a constraint perspective, of course, there's a lot of demand. I think, as you rightly said, customers like Power Grid are also pushing you to sort of do more. What are the constraints that we are seeing currently in terms of fulfilling the demand, and how do we address that? Currently, there are some regulations, and there are some, the transformer industry has built up over the last 10 years. But unfortunately, the raw material suppliers could not build up on that. And with the sudden increase in raw material and with some restrictions from the Government of India, we are facing a little problem in attaining the raw material, which is being sorted out as we speak. So raw material and the pricing of the raw material would be one thing. But in terms of other things like building a new facility, are you seeing any constraint in terms of procuring? Because the timelines for those machineries might also go up given that a lot of players are planning to ramp up at the same time. That is all lined up. So there are no issues there. We have commitment from them. And they are genuine suppliers, so we don't worry about it. Okay. Because we've been hearing about. December 2024 that our plant will be functional. Because we know that our machines will be delivered by November 2024. Understood. And finally, if I may ask one more question. So earlier and now, I think for the same level of revenues also, we are doing much better margins. So is it because the pricings have gone up or something else which is sort of playing because there is too much demand, so the transformer is? The pricing has gone up as well as because of operational expenses that we are working on. Both are building in the factor on the profitability. But mainly, it would be like because earlier when we used to do INR 300 crore, we used to get like 7% margin. Now we are getting 12%, 13%, 14% margin in the same sort of a scale. So what is the primary contributor here, sir? Sarvesh, right, to understand the customer mix, what we had and what the opportunities were existing at that time. There were very limited opportunities existing in the transformer industry in two years or three years down the line, whereas the opportunities are immense and the customer network and customer base is different. So earlier, the majority of the customers were the state utilities, and top of that, the suppliers were more, so the cut-throat competition was there. And as a few minutes back, the MD sir has stated that there is the enormous demand for everybody, so there is no dearth of the orders. So nobody is going and cutting the pricing levels, right? So the prices have a better up in the last one year, 1.5 years' time, as well as the operational excellence. Also, efficiency also has increased in our organization. Both are contributing on that. My MVA production increases, definitely my operational efficiency increases, and my margins are increasing. These two factors are combinedly contributing in this. Understood, sir. And now that many of the producers are also sort of exporting up to, let's say, 20%-25% of their top line, so now, given that there's a lot of demand in the domestic segment itself, but of course, the export, I would say, would be more lucrative in terms of margins. But do we feel a risk of a government intervention in terms of our export? Because the domestic demand might get somewhat delayed because everyone wants to export much more because margins are higher there. Sarvesh, I will understand that the products which are getting exposed, the products which are basically required in India at this moment are not on the same line. The majority of the products which are getting exposed are either the specialty transformers or the solar IDT transformers, whereas India requires more of the high-voltage power transformers. So we don't see any such kind of intervention from the government. And also, if you just noted, when I was replying to Gunjan, I said very categorically that we are not running for the exports. We will be basically allocating our additional quantities to the export market. So these things, we don't see that it is coming into the picture. Understood, sir. Thank you and all the best. Thank you. Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants in the conference, please limit your questions to one per participant. Thank you. The next question is from the line of Srinidhi Karlekar from HSBC. Please go ahead. Yeah, hi. Thank you for the opportunity and congratulations on great numbers. I just wanted to know, do you guys manufacture Traction Transformer? And are you guys seeing opportunity coming from the Vande Bharat train set Traction Transformer? We are working on certain projects. The platform transformers that we have currently got orders for are for the Vande Bharat program of Indian Railways, Vande Bharat trains. Those are for Vande Bharat. And are the same the traction transformer? Actually, there are two types of traction transformers. One is what we say is track-side transformers, and one is which are used in the engine itself. So we are not into the transformers which are used in the engine. We are on the track-side transformers. Track-side transformers also, they have now come out with a special transformer called Scott-connected transformer where they can change the line or they convert the line three-phase line to single-phase line to supply to the railway. And when you have a three-phase transformer like that, three-phase to single-phase two-phase transformer, it decreases the transmission line cost for the railways. So there are major advantages. And then they balance it in such a way that not a single line is overloaded because it's all track-side transformers. So the supply required by the railway trains is single-phase. So you have to have a single-phase line. And if you run only single-phase line, there will be a chaos in the system. So they have a three-phase to two-phase line which supplies power to the engines or to the railways. So we are into track-side transformers. We are also into Scott-connected transformers. And now, as Sarvesh said, we got the order for a STATCOM transformer which stabilizes the line. They are mainly used for stabilization of the line so that unequal voltages reduce it. No disturbances in the system. And sir, the STATCOM transformer that goes into grid application, are you presenting that market? Yes, yes, we are presenting that very much. Okay. Yeah. Thank you for answering my question, and all the very best. Thank you. Thank you. The next question is from the line of Amit Mahawar from UBS. Please go ahead. Yeah, thank you. So congratulations on great results. I just want to understand, we also deal with local players like GE Hitachi, etc., right? Broadly, they have made supplies to them both in India and maybe globally. In FY24, can you broadly share what percentage of our sales comes from supplies to some of the global players? Amit, I would basically request you to go to our FY2024 investor presentation. You will get all the details in that, sir. Okay. Okay, brother. Which is available on the stock market on our website. Okay. Fair. Value of 24. Okay. Fair. Thank you. The question, sir, is on the export opportunity. Now, globally, China used to be one of the largest suppliers to the West, almost $5 billion at the peak of Chinese transformers, which is not the case right now. They don't get proper attention or audience on the Western because of various issues, including security. So what is the opportunity for the domestic special equipment players if I right now foresee, particularly from maybe developed markets, if you have that assessment, sir? Thank you. So Amit, we would be doing around 25% of our turnover in exports and not beyond that. There are enough opportunities that we are looking at in terms of exports in Europe and in the U.S., So pretty much 25% is achievable. Okay. Okay. So you're saying broadly in three years' time, around INR 1,000 crore is what you are looking at? Yeah. Yeah. Amit, you want to understand more about the global market scenario. Anytime you can connect me, I can guide you on that. Sure, sir. Thank you very much. Thank you. The next question is from the line of Nikhil Abhyankar from ICICI Securities. Please go ahead. Sure, sir. Thank you. So I wanted to understand about the Scott transformer. So this is kind of a one-time event that the railways are taking. And what kind of local market? What is the demand for this product? Nikhil, see, they are increasing the speed of the trains. So whatever are the transformers, besides the new tracks which they are building, they need to change the transformer because with the existing transformer which are smaller in size, which were taking care of average speed of the train to be 70-80, now we are talking about an average speed of 120-140. So these transformers are to be replaced immediately. So the railways is in short supply for the transformers. They are looking for the good vendors, and they are doing everything to ensure that their program for electrifying the lines or increasing the speed of the train does not happen. So they are in a big way into this. And we are getting the opportunities every now and then from the railways for this. Look at that metros. Just look at the metros. Metros are coming up everywhere, and they are expanding so much. Almost like 80% of the transformers used by metros in Delhi are ours. Ahmedabad is 100% ours, Cochin 100% ours, Goa is ours. So we have been established as a major player in the transformer also for the metros. But similar to what you require for the trains, they are a little smaller, but they are almost the same. And Nikhil, seeing the size of railway, one-time opportunity in railway will be how large you can analyze yourself, even if it is there. We did some math, and it came out with an opportunity of around INR 5,000 crore. So is that fair, or will it be higher than that? We will not be able to answer you this question. The railway ministry can give you this answer. Sure, sure. And just to understand the market for solar renewables, so is it fair to assume that one GW of solar PV will require one GVA of IDT transformers? A little more or less? It will be more than that. It will be more than that? A little more than that, yeah. Okay. Understood. IDT, maybe 1 GW. 1 GW you require for rewiring the power to the grid. So 1 GW of power, you require two GW of transformer, minimum. It will be little more than that because they don't want to get the outage. I mean, they don't want to have any outage during the operation. So they prefer to have a little larger transformer than they require. Understood. Sure, sure. So yeah. Okay. Thank you, sir. All the best. Thank you. The next question is from the line of Mayank Bhandari from Asian Market Securities. Please go ahead. Moderator, can you just please take the next two or three questions maximum and one question on each, please? Sure, sure, sir. Thanks for the opportunity. Sir, I wanted to know what would be the CapEx for this year, for the expansion you are doing in Changodar. And as you have given now the guidance for the next two years, the revenue reached almost INR 4,000 crore. What is our CapEx guidance for FY25, FY26 also? Mayank, for the current year CapEx guidance, we have already given in our QIP documents. You can go through that, and you can get these details from that. And for FY25, sorry, FY25, 26, we don't see any CapEx requirement as of now. It's pretty early for that. Okay. Thank you. The next question is from the line of Sandeep Singh from Fin trust Capital. Please go ahead. Last question. Hello. Hello. Yes, please. Hello. So my question is already answered. Thank you. Thank you, sir. Hello. Should we take the next question? Pastor? Hello. Should we take the next question? Yes, please. Yes, Yes, yes, please. Yes. So the next question is from the line of Chinmay Gandre from Emkay Global Financial Services. Please go ahead. Yeah, hi, sir. Congratulations on the successful numbers. Just really wanted to get a sense of the inquiry pipeline of INR 175 billion. If I could maybe take a break on a sectoral level, I mean, what is the opportunity side that we would be looking from the solar and the green hydrogen transformer that we are going to be manufacturing going ahead? What is the marketplace, if any, fair understanding of that? Chinmay, currently, we are only taking a few calls. We have only taken a few orders from select few customers of ours who have been very loyal to us. But among these INR 1,750 crore, INR 70,500 crore order inquiries, none of them are from solar. Solar, we will only start going after the first half. We will start going to people only after the first half. Once we are towards the fully functional plant, we start quoting to customers for solar transformers. So you can expect after September, we will start quoting for solar transformers. Understood, sir. From our inquiries, there is nothing in solar. Sure, sir. Just really wanted an understanding about the capacity utilization. Hello. Sorry to interrupt, sir. You may follow the question queue for a follow-up questions. The next question is from the line of Deja Mantri from Capital Global. Please go ahead. Good evening, sir. Congratulations on the successful numbers. So my question is, as you said, we are presenting transformers in grid application. Can you please comment on the marketplace and the number of players in this space and the opportunity to invest it? Deja, I think this question has already been addressed by Chairman and MD, actually, more than once in this conversation. Thank you, sir. Maybe that would be my next question. Thank you. The next question is from the line of Abhijit from ICICI Securities. Please go ahead. Thank you for the opportunity, sir. Just one question from my end. What is the size of the order that you received for this platform, single phase? Can you please quantify that? That is close to about INR 198 crores, if I am not wrong. Just give me a moment. So I think it should be around INR 200 crores, somewhere around INR 200 crores. Right, sir. So about INR 1 crore per MVA? Yeah, yeah, yeah. Great. Sir, what would be the proportion of Traction Transformer business in our order book? Is there an option one? Q1 or Q3? Q1, there is nothing that we have manufactured for traction transformers. Yeah. I mean, sir, out of the order book, the entire order book, out of that? Around 5%-10%. Great. Yes. That would be it from my end. Thank you, sir. Thank you. Thank you. The next question is from the line of Riya B. from GS Securities. Please go ahead. Yeah. So the new capacity that we're adding in September 2024 and December 2024, what would be the revenue contribution from each of these facilities? Riya, first of all, this is September and December. Basically, it is a one-capacity expansion, which is basically coming by December as of now. Right? This is a 12,000 MVA addition for the entire year. And we are expecting close to INR 1,000 crore addition once it is fully functioned and fully operational. Okay. And you will expect it to be fully operational by what? Is the timeline on that? December onwards, it will be available for the production. Just MD, sir, as mentioned, that from September onwards, we will start taking the order booking for these transformers. Okay. Thank you so much. Thank you. We will take this as a last question. I would now like to hand the conference to Mr. Subhadip Mitra for closing comments. Over to you, sir. Thank you. On behalf of Nuvama Institutional Equities, I would like to thank the management for giving us this opportunity to hold the call. Any closing comments from your side, sir? Over to you. Thank you, each and every one of you, for being part of the earnings call and participating in the call. We appreciate your support and trust in us. We hope we have been able to address most of your queries. In case of any further queries that you may have, you may reach out to our investor relation advisor, and they will connect you with Chanchal. Have a great weekend. Thank you. Thank you. On behalf of Transformers and Rectifiers India Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your.