Ladies and gentlemen, good day, welcome to the Q3 FY 2023 earnings conference call of Ashoka Buildcon Limited hosted by Centrum Broking Limited. As a reminder, all participant lines will be in the listen-only mode, 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 touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Ashish Shah from Centrum Broking Limited. Thank you, over to you, sir. Yeah, thank you. On behalf of Centrum Broking, I welcome all the participants to the Q3 FY 2023 results earnings call of Ashoka Buildcon Limited. We have from the management Mr. Satish Parakh, Managing Director, Mr. Paresh Mehta, who's the CFO of the company. We have the opening remarks from the management, We'll be following that with the Q&A. Over to you, sir. Thank you, Ashish Shah. Good afternoon, everyone. I would like to extend my warm welcome to everyone on this earnings call for third quarter and nine months that ended December 31, 2022. I have Mr. Paresh Mehta, our CFO, along with me on the call. Let me now give an update on the equity sale of ACL Projects. As mentioned earlier, we have signed up for an asset sale transaction of Ashoka Concessions Limited for five SPVs by entering into a share subscription and share purchase agreement with Galaxy Investment Two Private Limited, an affiliated entity of KKR. The deal is to be completed soon after receiving required approvals from the lenders and AGI and other relevant stakeholders and completion of certain condition precedents. We have received approvals from a few lenders and other stakeholders. We are still in process of completing the balance CPs. Meanwhile, we have received an extension of the period for the fulfillment of CPs from our investors. The deal transfers the entire share capital of these five BOT SPVs, including repayment of shareholders' loan for an aggregate consideration of INR 1,337 crores. The total proceeds received will be utilized to facilitate the exit of SBI Macquarie from Ashoka Concessions Limited and allowing SBI Macquarie to exit the company fully. The transfer of these five SPVs will reduce the consolidated project debt of ABL by INR 2,870 crores. We have executed a share purchase agreement with National Investment and Infrastructure Fund for sale of 100% equity of Chennai ORR. An aggregate financial consideration of INR 686 crores. Out of INR 686 crore, ABL is expected to receive INR 450 crore and INR 250 crore towards loan repayment and around INR 200 crore towards the 50% equity stake in SPV. Recently, we have executed a share purchase agreement with National Investment and Infrastructure Fund for sale of equity of Jaora-Nayagaon Road project for an aggregate financial consideration of INR 691 crore. Post this transaction, the company will remain with the following major projects in highway portfolio. Three fully owned annuity projects, which is Hungund-Talikot, Bagewadi-Saundatti, and Khesur, and the fully owned portfolio of 11 HAM projects. Coming to HAM projects, we have executed a concession agreement with NHAI, worth INR 1,079 crore for the development of six-lane access-controlled greenfield project at Baswantpur to Singnodi section of NH-150C on hybrid annuity mode under Bharatmala Pariyojana. The construction period is 912 days, and the operation period is 15 years. We have also achieved financial closure for the same. We have received appointed date on 13 November 2022. We received pre-COD of our TS1, which is Mallasandra-Karadi on NH-206. Also received pre-COD of our Kandi to Ramsanpalle of NH-161. The total equity requirement of 11 HAM projects is about INR 1,096 crores, of which we have already invested INR 901 crores as on December 2022. Coming to our order book, as mentioned, we have achieved a robust inflow. Some of the key large orders received from first October are as follows. We were L1 in EPC project in Kerala of INR 1,668.5 crores in November 2022, followed by an LOA we got for the same project in December 2022. Now the appointed date also is given from 1st February 2023. Secondly we received LOA for EPC project in Bihar of INR 2,161 crores in January 2023. This is a project of construction of four lane elevated corridor of Danapur Bihta. We are on EPC mode. We were awarded project of INR 754.57 crores for Madhya Pradesh, Poorv Kshetra Vidyut Vitaran Company for power distribution infra in Balaghat circle, Satna circle, and Rewa circle of MP. We also received LOI from UP Power Distribution Utility Company for a project of INR 807.64 crores in January 2023, again for development of distribution infrastructure at Aligarh and Agra zone. Our balance order book as on date is INR 19,150 crores, INR 90,150 crores. The breakout of INR 19,150 crore order book as on date is roads and railway projects comprise around INR 12,455 crores, which is 65% of the total order book. Among the road project order book, HAM projects are to the tune of INR 2,363 crores and EPC road projects are worth INR 8,653 crores and railway is around INR 1,439 crores. Power T&D and others account for around INR 3,669 crore, which is approximately 19% of the total order book. The total EPC building segment is INR 2,996 crore, which is 16% of the total order book, and EPC work of CGD business comprises of around INR 29 crore. Let me reiterate that our focus remains to build strong EPC business in segments of highways, railways, power T&D and buildings. The current order book of INR 19,150 crore provide us with good visibility of EPC business growth. Our asset portfolio. We have already built 11 HAM projects. In terms of new project building, our priority will remain on HAM projects and strengthen the HAM project portfolio. This is all from my side. I would now request Mr. Paresh Mehta to present the financial performance of Q3 and nine months of FY 2023. Thank you. Good afternoon. The result presentation and this press release for the quarter have been uploaded on the stock exchanges and the company website. I'm sure you must have had time to go through the same. I will present the financial results for the third quarter dated December 31st, 2022. Starting with the consolidated results, the total income for Q3 FY 2023 grew by 35% year-on-year to rupees 1,996 crores as compared to rupees 1,475 crores in Q3 FY 2022. EBITDA stood at INR 530 crores for Q3 FY 2023 as with a margin of 26.6%. Profit after tax is at INR 138 crores in Q3 FY 2023. For three nine months FY 2023, total revenue was INR 5,757 crores, up by 41% year-on-year. The EBITDA stood at rupees 1,518 crores with a margin of 26.4%. Profit after tax stood at rupees 339 crores. Coming to the standalone numbers, the total income for Q3 FY 2023 stood at rupees 1,590 crores as compared to rupees 1,133 crores in the corresponding quarter last year, registering a growth of 40%. EBITDA for the quarter was at rupees 147 crores with an EBITDA margin of 9.3%. The company reported a net profit for after tax of rupees 67 crores in Q3 FY 2023. For nine months FY 2023, total revenue was worth rupees 4,140 crores, up by 39% year-on-year. The EBITDA stood at rupees 465 crores with a margin of 10.5%. Profit after tax stood at rupees 237 crores. As you're all aware, due to equity sales transitions, we are not recognizing interest income from SE in our books, and it has reduced the EBITDA. EBITDA margins have been impacted mainly due to inflationary pressures and higher competitive biddings in some of the projects during the COVID period. During Q3 FY 2023, BOT division recorded a toll collection of INR 291.4 crores as against INR 251 crores in Q3 FY 2022 and INR 275 crores in Q2 FY 2023. Total consolidated debt as on 31st December 2022 stood at INR 6,987 crores, of which project debt is INR 5,942 crores, of which INR 2,833 crores stand for the 5 BOT projects. NCD stood at INR 200 crores at ACA level. The standalone debt is at INR 846 crores, which comprises of INR 146 crores of equipment loan and INR 699 crores of working capital. Out of the total consolidated debt of INR 6,987 crores, INR 2,833 crores will be transferred along with the five assets of the BOT projects and also INR 130 crores of the Jaora-Nayagaon project on exit. Post the sale transactions, the effect to consolidated would be around INR 4,024 crores. With this, we now open the floor for question answers. Thank you. Thank you very much, sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one now on their touch-tone phone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handles while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. You may press star and one to ask a question. The first question is from the line of Mohit Kumar from DAM Capital. Please go ahead. Yeah. Good afternoon, sir, and thanks for the opportunity. My first question is on the, sir, on the margins. While our, you know, top line has grown at a very healthy pace, it's not translating into EBITDA excluding other income. In fact, our EBITDA margin is below around 8%, I think it was 8% over last three quarters. how should one look forward to, you know, let's say for FY 2024, FY 2025, can we go back to 10% given the current order book? Yeah. As we had spoken in the last concall for September 2022, margins have been subdued due to couple of reasons like competitive bidding during our COVID period where competition was high. Escalation has also contributed to that because which has changed, budgets have been revised from customer side. In certain cases when projects have been completed and they are on completion stage and for PCOD, there are also extra costs incurred for closing the completion certificates. Costs had to be incurred for handing over the asset to the authority. These were the reasons which contribute to the low margins. We believe that this probably will go up to another couple of quarters when then we can start looking at better EBITDA numbers because the recent contracts are at a better margin. Is it better margins are aspiring to 10%, 11%? What kind of margin we are looking at? In the range of 9.5%-10% should be definitely good data. Okay. My second question is, on the deal which we I think we have done around three sale deal now. When to expect all of them to close and how much money will flow to the company post all these sale and executing all liabilities? As described, the KKR deal will fetch us INR 1,337. That is expected to close by Q2 of next year. Q1, between Q1 and Q2 of next year, we should be able to close it. wherein INR 1,337 will flow in. on the Chennai ORR deal, we expect to close it before the Q1 of next year. by June definitely we should be through with the transaction, which will fetch the company around INR 450 crore. on the Jaora-Nayagaon sale, believe Q2, next year would be the time when the transition would get over, which will fetches approximately INR 400 odd crore. We have to pay INR 12 billion to. Yeah. -to Macquarie. That's their number? The SBI Macquarie would be. For the ACL Macquarie exit, we'll have to pay INR 1,200 crores from these receipts. Will you pay anything extra, sir, over and above, because of a delay in, closing the, you know, transaction? So in testament- At present there is definitely not any this is a fees amount that will have to be paid. Understood, sir. Understood, sir. Last question on the distribution, you know, we are looking to get more and more order in UP, or let's say, in MP mostly, I think it looks like it's from the government link saving scheme, tenders. What are the EBITDA margin expectations in these tenders? On the utilities- Yes. On the utility, power utility contracts which we have won in the near past, we are expecting a range of 10%-11% of EBITDA margins in these projects. How do you see these portfolios are going forward? I think there are large amount of, you know, order I think is in the pipeline. We'll continue to bid for power projects also. That is a pipeline and, but we target that our ratio of roads and other projects would be in the range of 60%- 65% to other. Understood, sir. Thank you and all the best, sir. Thank you. Thank you. The next question is from the line of Mahesh Bendre from LIC Mutual Fund. Please go ahead. Hi, sir. Thank you. Thank you for the opportunity. Yeah. Am I audible? Yes, sir. Please proceed. Okay, sure. sir, the agreement with KKR, I think earlier expectations was that we will close by March. Now we are talking about Q2 next year. Why we are looking for six months of extension? We expect all our CPs to get over by between March and May. Then when they do a draw, a drawdown, they take another 40-45 days. Basically, the delay is on account of CP, what you call, NOCs from the lenders and NHAI. NHAI also takes its own time to sort out claims and other matters so as to fetch the NOC from them. Okay. Sure. Sir, the margins, operating margins have come off significantly for the last seven quarters. You said another two quarters it will take time to recover. Right. Will it go further down or they will stabilize here for at least next two quarters? We believe that they should be okay. We should maintain the at least minimum this. We'll probably increase after a couple of quarters. Okay. Sure. Thank you so much, sir. Thank you. A reminder to all the participants, anyone who wishes to ask a question may please press star and one now. We have the next question from the line of Jitendra Petkar from JD Capital. Please go ahead. Hello. Thank you for the opportunity. My question is to Mr. Paresh Mehta. This is about the EPS for the nine months ended 31st December this year or 2022. I believe there was some correction and clarification after the results were initially published. The EPS stands at 11.91%. Am I right? Yes, sir. As compared to the previous year, it is 8.07% for the nine months ended 31st December 2021, right? For the- And, uh, then- We did it. We see the, for the year, last year ended 31st March 2022, the EPS has grown almost twice from 8%- 16%. We can understand that the last quarter fetches more accruals. Do we expect the same thing for this nine months to the next quarter as well? On the CA, there was an exceptional item of INR 326 crores, reversal of liability for our exit of our investment. Yes. I'm talking without the exceptional item. The last two rows. Yeah. 16%. You know, that is without the exceptional, item. Yeah. Okay. That is generally, for the quarter, Generally, the March quarter fetches more revenue and profitability. We expect that should happen in the same way. This time also it is. Yeah. Because it's quite, you know, sudden jump as we can see. Almost three quarters earnings are accrued in just the last quarter. Mm-hmm. Is that guidance also for this time as well? There were bonuses and others recognized. At present, we'll maintain a, say, 15%-20% higher, quarter-on-quarter. We'll see at the end of the quarter how the performance of all the projects and completions happen, based on which, maybe any bonus or otherwise is recognized. Okay. Thank you. Great. Thank you. The next question is from the line of Nikhil Abhyankar from DAM Capital. Please go ahead. Good afternoon, sir, and thanks for the opportunity. We have got around INR 190 billion orders now, and we are clocking a revenue of around INR 6, so three bookable ratio. Should we expect that there will be a certain or a gradual revenue ramp up in the next two years? Yeah, Based on the order book, we should definitely see a ramp up in the execution. For the quarter, for nine months we are already 39% up. Coming quarters also we see ramp up, and 2023, 2024 also should see a better performance. What kind of number should we consider for 2024? I believe, 20%-25% minimum should be feasible. Good. Okay. Great. Sir, given this order size, will we go low on any new order inflows? Now going ahead since the order project is already achieved, going ahead, we will be selective in bidding. Definitely, bidding activity will continue. Okay. Just what is the executable order book as of December 2021 of the INR 161 billion? Can you repeat your question? What is the executable order book like? Everything is right now being executed. See, out of this only building order book is a little delayed. Okay. Say around INR 1,500 crores. Otherwise everything is executable. Understood. Sir, can you also give me the inventory, trade receivables, contract assets, trade payables, order liabilities as of December? You want the inventory? Yeah. Trade receivables, contract assets, trade payables and contract liabilities. Receivables are all in net of ECL would be INR 1,192 crore. The unbilled revenue would be INR 1,528 crore. Okay? Advances, again, that would be around INR 815 crore. 815. [inaudible] Yeah. That's it. Payables you said how much? Payables would be approximately INR 1,147 crores. INR 1,147 crore. Okay, sir. That's all. Thank you. Stock would be INR 297. Sir, inventory. I forgot inventory. Yeah. Inventory is INR 197 crores. INR 1,297 crores. No, 297. Okay, 297. Sure. Thanks a lot. All the best. Thank you. The next question is from the line of Prem Khurana from Anand Rathi Share and Stock Brokers. Please go ahead. Yeah. Thank you for taking my questions and congratulations numbers this quarter, especially on the order. Just to understand, KKR transaction a little better. As far as I know, I think Dankuni Kharagpur, we don't have COD in place. Sorry to interrupt. May we request you to keep your mic little bit farther from your mouth and speak, please? Sure. Is it better now? Yes, sir. Please proceed. Sure. Dankuni Kharagpur, I think we still don't have COD in place and the concession agreement says you're allowed to exit only if you have COD. I think we were in discussion with the NHAI. We're gonna get the corrected. What's the status there now? Also to help us understand on Chennai ORR, the partner was under NCLT, right? There, I mean, have you made any progress in terms of acquiring the stake from the partner that we were supposed to? Right. On the Dankuni project, let me clarify. We received COD in September 2021, already one and a half year is over. That is the status on Dankuni. There, exit is not a challenge. We are already requesting for, there is already a circular for reduction to one year. I think so that is possible. On the Chennai ORR transition, our partner who was under NCLT, he is already out of the NCLT proceedings and potential bidders have already bought it out. Now they are free from any restrictions of doing business. There's no challenge and they're disposing of those restrictions. Sure. On this KKR transaction, because there are five assets involved. All these five need to go together, or we could sell these in on a piecemeal basis? Let's say, I mean, if we have approvals and everything in place, CPs are complied for four out of five, is it possible to sell four and then wait for the fifth one to have everything in place and then transfer? Is it that, I mean, you would have to transfer all the five as a single bunch? Intention is to do it, as a bunch. Only what would happen is, there may be a timing difference. Once they have a certainty that all the five is happening. Good. On order addition, I mean, we've had seriously good order addition till this time. How much more are we covering in Q4 and possible to share, I mean, how many tenders we would have already placed updates for and how is the prospect pipeline looking like? Looking at order book, you know, our target order book is almost done like. Mm-hmm. We'll be very selective in bidding projects now. Our focus would remain on HAM projects and some specialized structures. Mm. As far as power distribution is concerned, we have, you know, enough orders in hand. As far as railways is concerned, we still will opt for bidding in some selective stretches. Okay. Okay. Just to clarify on the recent two NHAI-EPC orders, I think numbers that we have in place, it seemed as well in Vimba, our bids were lower than the base cost estimate. How do you explain the, the discount, the base cost estimate? Would it be possible for us to kind of deliver the kind of margins that we target, I mean, if it is bid below the base cost? Bihar had a larger variance, and even Kerala was below the base cost, which was there from the NHAI. Yeah. Basically, these are all design-build structures. Cost of every builder will vary. We had bid at a good margin, both the projects, Bihar and Kerala. Will you be confident the 10% that we target on a blended basis would be possible? Yeah, absolutely. There is nothing to worry. Yeah. Awesome. Thank you. All the very best for you, sir. Thank you. We have the next question from the line of Vishal Periwal from IDBI Capital. Please go ahead. Yes. Thanks a lot for the opportunity. One, first is on revenue guidance which you have given for FY 2023, which is like around 25%, 27%, 25% odd range. If we will do the working implied for the fourth quarter, it is coming like statutes to margin decline. Will that be fair understanding? See, overall for the year we'll clock around 30%. Okay. Okay. Next is on our margins. I think, you did mention like, you know, the initial commentary from sir, it was comment like, you know, for the next few quarters it will be like, you know, weak-ish sort of margin. When you say few quarters, like would you like to quantify number of quarters that we have this kind of margins? This basically will depend on completion of projects which we have picked up at aggressive nature in COVID period when, you know, all the qualifications were diluted. Till the completion of that, maybe another three, four quarters, our margins will be depressed. The new orders which we are taking are again at comfortable margins. That will start improving as the mix changes. Okay. So, is it coming from any particular segment? If not any particular project, you want to highlight any segment, roads or maybe non-roads? Some road projects, other building projects, even the railway projects where we have taken in JV where JV charges are to be paid. It's all mixed. This maybe three, four, five projects will get over by another three, four quarters and our mix will start im proving. Yeah. Okay. Okay. One last, which is more of a from a number point of view. I think there was clarification from a project like Chennai ORR, which we have sold, we will fetch around INR 450 odd crores. The PPT mentioned the equity is something like in the range of INR 690 or INR 700 crores. What is the difference, if you can clarify? INR 690 crores is the total consideration. There will be some year-end adjustment, working capital adjustments on the SPV, which will net fetch the shareholders INR 650 crore, of which INR 450 will be paid to Ashoka Buildcon and INR 200 will be paid to the JV, the other partner. Our equity is paid into equity and debt provided for the SPV, INR 200 plus INR 250. Okay. Total match INR 650. We have as an investment, so we have done like INR 450 in the same in terms of like, you know, the same that we are getting back in this field. That's a fair to understand? Pardon? No, you mentioned like, you know, INR 200 crores are debt, INR 250 is equity. No, INR 250 is the debt. Equity is INR 100 crore which we put in, INR 98 crore we put in, against which we will get around INR 200 crores. Okay. Okay. Sure, sure. Sure, sure. That's all from my side, sir. Thank you. Thank you. The next question is from the line of Rikesh Parikh from Rockstud Capital LLP. Please go ahead. Yes. Thanks for the opportunity. just wanted to understand more of the KKR deal side. Now we are targeting Q1 or Q2 for of the next year. Do you think further delay will be possible or this will be the final timeline by which we should be receiving the money? I don't think there is any other delay. I think we should conclude by June. I'm just keeping a safety margin. June should be the period when we should be able to conclude. Okay. Second thing is on our HAM project. We have been mentioning that we are looking at, innovate or sale to investor. Any movement on that side? We have bankers working on the transaction and we'll see. As soon as we get proper offers, we'll come back to the investors for what is actually happening on the. We are already exploring that possibility. Okay. The last thing, once we have this exit of this fee take, probably in FY 2024, we'll be comfortable on the debt equity side. How do we look at it from the debt equity point of view we'll be looking at, from the way forward business post that? Generally, as we have disclosed in the previous quarters, we would like to be a multi-sector, EPC player. Though, in the road sector, HAM is one model which is typically for a few, for the initial period, it's a captive project, but we would like to monetize it. We'll generally try to keep a low, consolidated, going forward once these transactions are through, including the HAM transition. Thank you. That's it from my side. Thank you. The next question is from the line of Ash Shah from Elara Capital. Please go ahead. Can you just provide some timeline on the non-moving projects from the building segment? For example, the Maldives or the D.Y. Patil or the D.Y. Patil Hospital and other projects which are not moving, when do you expect them? Maldives we expect in coming quarter By March, it should be clear. D.Y. Patil may take some more time. Other all projects are moving smoothly. Why is the delay for the D.Y. Patil? I mean, if you could provide some color on that. For D.Y. Patil, this was a concession agreement between Port Authority and D.Y. Patil. There is some dispute between the parties. The EPC takeoff has been delayed. Okay. next is, have you started working on the sewage treatment plant that you have received from, MCGM? MCGM. MCGM work has already started now. Okay. Coming back to the earlier participant's question on the asset monetization, could you just throw some light on how many assets are we planning to sell and what is the equity value of investment in those assets? From a overall concept, we are planning to sell all the 11 projects, though a couple of projects are still under construction. I mean, substantial construction is pending. The total equity to be invested in these projects are in the range of INR 1,050+ crores, of which INR 900 crores is already invested. That's what we intend to monetize. Okay. Thank you. Last question. Can you just provide what will be the uses of the excess cash that we received from all the transactions, say for example, KKR or Chennai ORR and I mean, what will be the capital allocation for the same? Typically we have not, we have a couple of options which we have taken, like whether to reduce working capital debt, or to whether to pay the investors certain monies in the form of buyback or dividend. Those options will be exercised once we come to that stage, with good certainty of cash equivalent. Maybe somewhere in Q2, next year. Okay. Thank you. Thank you. That's all from myself. Thank you. The next question is from the line of Rohit Natarajan from Antique Stock Broking. Please go ahead. Thank you for this opportunity. My question is more to do with this, monetization of BOT projects. We are, I mean, post, the payment to SBI Macquarie, I think somewhere INR 1,500-odd crores of cash will be there. But those will be at ACL level. Is there any withholding tax or some tax consideration to upstream to the parent level? No, no. The instruments which are held by ABL in ACL or to be held by ABL in ACL would be in the form of CCDs and typically would not attract any withholding tax kind of structure. It would be redemption of CCDs or repayment of loans of ABL to ACL. Sure. sir, in the HAM projects that we have in the portfolio at this point in time, I understand the equity is almost like INR 900 crore we have invested in. What are the loans advances to this project? As given the loans already, one second, I'll just tell you the number. Total loans on HAM projects is to the tune of INR 2,563 as of date. No, the advances from your side, the current side to these HAM projects, not the loans on the books. No. The equity is, whatever equity we have committed or communicated, that is all that has been invested from ABL, either through ACL or directly via ABL. Okay. INR 901 crores. Sure. Got it. I got it. I got that. Right. My final question is more to do with, I understand that you have said on the margin part, you will be maybe, you know, there will be some pressure in the few more quarters. In the longer term horizon, are we looking at those double-digit what we used to do in the past? Is that something in horizon? Yes, yes, definitely. I mean, we are looking at a double-digit margin, going forward. This is the way we have bid for the projects also, which are new projects added to the portfolio. Sure. Thank you, sir. All the best. Thank you. The next question is from the line of Parvez Qazi from Nuvama Group. Please go ahead. Hi. Good afternoon, and thanks for taking my question. A couple of questions from my side. Can we get the equity inclusion schedule for whatever is the pending equity that we need to do? Approximately INR 197 crores of equity will be pending, as of date, of which INR 64 crores will be invested in by March end. INR 92 crores will be spent between 2023-2024, and in 2024-2025, INR 41 crores. That is the schedule of investment of equity for the HAM projects. Okay. What was the revenue breakup for Q3? Would it be possible to get it in terms of various segments? For quarter? Yeah, for the quarter. In the road sector it was INR 1,121 crores. In the power it was INR 152 crores. Railway it was INR 139 crores. CGD and other sector was approximately INR 80 crores. RMC INR 61 crores. lastly, what was the CapEx that we incurred in Q3 or nine months, I mean, whatever number that's available? For nine months, approximately, INR 51 crores was spent on CapEx, of which in Q3 it was INR 28 crores. Sure, sir. Thanks and all the best for future. Great. Thank you. The next question is from the line of Jiteen Rushe from Axis Capital. Please go ahead. Good afternoon, sir. Thank you for taking my question. Sir, on the revenue breakup. Can you give us the nine-month revenue breakup, segment-wise? Yeah. For roads it is INR 2,973 crores. Mm-hmm. Power, INR 452 crore. Okay. Railway, INR 476 crores. Yeah. CGD and other segments is approximately INR 240 crores. RMC INR 160 crores. Sir, on the CapEx, as you said, nine months is INR 51 crore. What would be the Q4 CapEx number and next year's thing because of the high order backlog, we expect execution to pick up from next year. What would be the CapEx number for Q4 and next year, sir? In the coming five quarters, probably we'll invest approximately INR 250 crores on CapEx. Only INR 250 crores? Okay. Yeah. Coming, five quarters, yeah. Basically, next, Q4 and next year you will be investing INR 250 crore combined. Yeah. Yeah. Yeah. Sir, obviously, you know, given, the details like on the order inflow, we will not be looking for order inflows this quarter, excessively. Sir, any view on the next year order inflow target in terms of segments and also at what kind of margin we look at. Obviously, we have, as you said correctly, that margins have been compromised this time because of aggressive bidding. What about recouping margins from next year? Are we looking to recoup or we will see aggressive bidding to continue, and we will participate within that, or abstain from participation because of the high order backlog? See now, going ahead, we definitely will be selective. As a complete, if you see the history of Ashoka, we have been conservative in bidding. Only during COVID period we had been aggressive. Going ahead, definitely we'll come back to our original margins. The projects which you have won this year are in, double digit, EBITDA, like 12%, 13% of what you used to won last time. Yeah. Current projects are all in double digit. Yeah. Sir. Hello. Sorry, sir. We are not able to hear you. Guidance in terms of order inflows next year. Next year order inflow will be like we would be focusing more on farm projects than EPC roads. Uh-huh. Definitely power and railways. Okay. Okay sir. That's it from my side. Thank you and all the best. All right. Thank you. There is a follow-up question from the line of Ash Shah from Elara Capital. Please go ahead. Hi. Thank you for the opportunity again. I just wanted to know that we were planning to monetize our CGD business also. Is there any update on that front or how is it right now? On the CGD business we are at a very, very advanced stage. We should be coming to the investors shortly on what is the transition. How much have you invested in this business till now, till date? Sir, approximately INR 65, 66 crores invested in this business. Okay. This will be consummate-. Ashoka Buildcon shares. Both parties put together approximately INR 135 crores. 135? 135, yeah. Okay. by when will we come to know approximately, when, by March this end, or it will get postponed to the next quarter? Definitely before March. Okay. Yeah. That's all. Thank you. Thank you. The next question is from the line of Harsh Kothari, an individual investor. Please go ahead. Hi, thanks for the opportunity. My question is regarding the arbitrage award that we have got for the rural project, which is going to be eventually transferred to KKR. Previously it was mentioned that, you know, the, whatever arbitrage award we will win, it will be taken by Ashoka Concessions. Now how the proceeds are going to be? Yeah. Whatever extension of days we have got in this project, rural project, we'll be converting into value and they'll be paid upfront to CBL. Okay. Have we come to the amount or still it's pending? We have already discussed the amount and once we have a final transition in place, we'll definitely communicate. Sure. regarding the solar project, what is the update on that and how the things are proceeding there? In solar projects, MNRE has given guidelines for giving extension to these projects as well as giving this BCD exemption. Even the solar module prices have come down. Oh. As of now, we are still focusing on completing all balance of works, which should happen by March end. Module placement negotiations are underway, and we should be able to place the orders very soon. Okay. Regarding the INR 500 crore of NCD, or the debt that we are looking to raise in the new board meeting. What's the basic reason to raise these funds? Basically, if you see our working capital debt, approximately around INR 800 odd crores, INR 860 crores. This money which we will raise will be used to replace certain short-term debt into slightly longer-term debt, so that, you know, there is continuity of cash flows available for better periods of time. Okay. The last question. The total NHAI claim that we expect, of course, not the period, but the claim amount? With respect to arbitration, well, arbitration is still on. Certain arbitrations are still on. Conciliation process is still also initiated. We are still to see the results of the same. Okay. The amount that we have asked for or the claim for? Claims would be in the tune of approximately INR 1,200 crore-INR 1,500 crore. Okay. -for all the five projects, of which couple of projects we've already settled, Dandara and Gorum. Okay. Yeah. Thanks a lot. Including the extension of days for certain projects. Yeah. Oh, got it. thanks a lot, sir. Thank you. Yes, sir. The next question is from the line of Hari Kumar S, an individual investor. Please go ahead. Yeah, good afternoon, sir. My first question is regarding these assets held for sale. Like, for this timing difference, like, do we get the interest or we recognize the income in our books, sir? Timing difference from, accounting purpose will be there'll be a carry on these transactions, but it'll be recognized only at the time of final, exchange of cash. We'll be recognizing the revenue in our books. That's all, sir? It will be adjusted in the consideration. Okay. Okay. Good, sir. Thank you. Second question, sir, the stubborn obtained from Adani Roads, sir, like, how are the receivables? Are they secured, sir, like payment, are they passed through or something like that? Adani, we are doing two projects. One is Panagarh Palsit, which is a INR 1,400 crores project, where we already completed around INR 400 crores and we are getting payments in time. This is a BOT project for them. Loans have already been tied up, and we are getting our payments in time. Okay. For the EPC project which we are doing for Navi Mumbai Airport, there also we are getting our payments in time. Last question, sir, is regarding this, huge order books, like, what is the source of funds and the required capital, sir? I think so from an order book perspective, the captive order book which are there, we have already communicated that total equity requirement for the balance, is INR 197 crores. Otherwise, there's no other capital requirement, equity capital requirement. Okay, sir. Like, going ahead, what is the expected quarterly toll collections or run rate? Like they are going to improve from here, sir? It will continue to remain similar. Our last quarter revenue was approximately INR 291 crores. I think so this quarter also we should be approximately INR 300, around INR 300 crores. Okay. There won't be any huge ramp ups. January has been slightly better, but we have to see the whole year out. February again is another three, four days, traffic short, 28 days, kind of. Okay. So... Okay. Okay, that's all. Thank you. Thank you. The next question is from the line of Akhilesh Babri, an individual investor. Please go ahead. Hello? Yes, sir. Please proceed. Hello, can you hear me? Yes, sir. Yeah. Sir, my question is on this NTPC project. As you mentioned that ordering for modules will also begin soon, is there any loss that you anticipate we will have to take on this project? Yeah. Only on finalization of modules we'll be able to face. As of now, prices are already coming to our target price. Only hit which may happen is the dollar fluctuation which has happened over the years. Okay. When it comes to the next quarter, it'll be clear. Yeah. Okay. Sir, on this transaction with KKR, just to understand, there is no major structural issue with this deal, right? Because it's getting extended, you have given some reasons, you have no reason to believe that, there are any risks to this deal. No, as of now, there is no risk to the deal. Slowly we are getting all the clearances. Though it is taking time, but all the clearances are getting in place. Okay. All right. Thank you. Thank you. The next question is from the line of Vikash Banerjee, an individual investor. Please go ahead. Sir, we are an individual investor, so we count a lot on the guidance that you give us. What has been disappointing is over the last so many months, every quarter we are given some new timelines for the deal closure, which largely impacts the overall kind of view that we have on the business or on the commentary that's given by the management. Even this quarter, you say view that it will be closed by June, but possibility of second quarter, which is September. Sir, can you give us a view as to what is pending in concrete manner so that we know that only A or B or C is left, so that we don't keep asking the same questions every time? That's a request. As an investor, we believe that you have been in business for 20- 30 years. You would have good visibility as to how much time should it take. Little disappointed on the fact that every time it's getting extended, sir. I fully agree with you. Even for us, our estimated timelines have gone beyond our estimation, and the reasons are completely beyond our control. Because all these deals need a NOC from the employer, which is primarily NHAI. NHAI has been doing, you know, concession agreement, then model concession agreement. There have been changes. Every time they have to come out with a circular or a specific agreement. Like Dankuni Kharagpur was one project where pre-COD provisions were not there. Though it was not affecting our cash flows, toll collections were there from day one, but COD asset has to be taken up. Unless we have complete 100% land, they were not giving COD. We had to come to a settlement agreement where certain descope was done, descope values were arrived at, and we had to freeze the COD. After COD, the concession agreement state till two years you cannot transfer 100% shareholding. There was a relaxation to be sought from NHAI. NHAI came up with a circular of one year. NHAI, while coming up with circular, came up with MC agreements only. Unfortunately, Dankuni was a before the MC agreements, model concession agreement. Again, we had to go back to board and request them to consider this also as part of their relaxation. That process is now on. This all is dealing with government and definitely nobody will go out of concession agreement to help us. It is taking time. Though the value is freed, there is a carry cost, there is a huge comfort which we are giving to investors. Actual deal is taking time because ease of doing in India is still remains where it is. Right, sir. Sir, just as a, again, a layman question. The delay that's happening, how does it impact we as investors and you as the company? The delay from an initial thought of let's say six months to now, let's say 18 months, would we be at any loss or would it be neutral to us from a, from a compensation perspective? The loss is from the availability of cash and use of that cash. 1,337 does have a carry cost till the end of the deal. That is up to September end, we still enjoy carry cost. If you say, is carry cost enough for our businesses, which we do? No. If we get cash in hand, our equity returns will be much more. Right, sir. Thank you. Thank you. Okay. Wish you luck, and we all count on you and your leadership to steer us through and get us good returns, sir. Yeah. To give you comfort, you know, it's like, you know, We are trying to be pure EPC player, and Even our HAM projects portfolio is on advanced stage of sale. Our CGD, definitely before March, we'll be able to announce that. Jaora-Nayagaon is another typical case where governments may take a little more time because they have typical conditions in the concession agreement where delay may happen for NOC. Even claim settlement is what is insisted by NHAI and other parties before they give us an exit. All this take a little more time than estimated, and it is not for us, but for almost all the players in the industry. Right, sir. Thank you. The next question is from the line of Narendra Samar from Samar Chemicals. Please go ahead. Thanks for the opportunity and congratulations to Satish Parakh and management team for doing these wonderful results. Sir, my main question is that what is our debt reduction program? Because that is the main killing our profit margin. Sir, I didn't follow, sir. What did you say? Sir, debt reduction program. Because it is. So as we- simply killing our profits margin. Yeah. On the consumer side, definitely we have a large debt, which majorly is all pertaining to project funding. These are direct project-based funding. As and when we monetize these assets, this will go off our balance sheet. They're still sufficient to take care of their own cash flows. They have no, they don't have a pressure on the ABS EPC business to fund them. That is one of the characteristics, except for one project, Sambalpur project, which typically has that problem. Otherwise, all projects are independent. As far as standalone debt is concerned, this is more related to the EPC business and the credit cycle in that business. We believe that as time goes by, this cycle will slightly reduce and this debt amount should go down in this couple of quarters. Sir, this is raw material prices has come down considerably. what is the reason that we are having a such a constrained in the margin? Raw material prices have not come down. In fact, they have gone up in recent years. There has been some dip only in steel. Otherwise, cement and all have always remained high. Some of the projects, and fuel is also very high, and some of the projects have been fixed price contracts. Most of the projects are passed through right now. Thank you for that, sir. Just final question that when the shareholder will be rewarded from the management? Patiently we are waiting everybody. Could you just repeat? When shareholders will be rewarded this year? We are all waiting patiently with you. Yeah. As we said, cash flows of company is expecting through monetization of these assets, which typically will throw substantial cash in the ABL kitty. Apart from a few debt amounts, I think there is a good opportunity to return capital to the investors to improve their EPS. Let's hope that this 2023, 2024, somewhere in quarter two, quarter three, we'll be able to demonstrate something on that account. Thank you. The next question is from the line of Yachna Bhatia, an individual investor. Please go ahead. Hi. Thanks for the opportunity. I wanted to find out the status of the INR 200 crore Kavach project that we had to see from East Central Railway. If you could update on the current status of that. Hello? Yeah. This is in the initial phase of its working. The project has started. We are getting all the approvals of the OEMs. Sir, in particular, I wanted to understand that, you know, Indian Railways had approved only three players for Kavach. My understanding was that you would need to go through a technology tie-up for that. We are in the process of tying up with one of them, yeah. Okay. Have you frozen on your technology partner yet? No, we are in the negotiation with them. Okay. Okay. Is there a deadline to complete the same? Yeah, it's advanced stage of negotiations. Maybe by this March end we'll be completing. Okay. Okay. Thank you. Thank you. Ladies and gentlemen, that was the last question for today. I would now like to hand the conference over to Mr. Ashish Shah for closing comments. Over to you, sir. Sir, any closing comments from you? Nothing significant. We are all. Thank you. We thank everybody for joining the call and trying to understand what is our vision ahead, and we are available for any responses or replies or queries directly or through Stellar Investor Relations. Thank you. On behalf of Centrum Broking, we thank all the participants for attending the call, and a thank you to the management for letting us host the call. Thank you. Thank you, sir. Thank you. Thank you, sir. On behalf of Centrum Broking Limited, that concludes this conference call. Thank you for joining us. You may now disconnect your line.