Yes. Thank you, John. I am ready. Thank you. I am ready to move. I will make the opening remarks. Ladies and gentlemen, good day and welcome to Bosch Limited 2Q FY 2023 post-sales conference call hosted by B&K Securities. I also take this opportunity to welcome the senior management team of Bosch Limited. We have with us today Mr. Soumitra Bhattacharya, Managing Director; Mr. Guruprasad Mudlapur, Joint Managing Director and Chief Technology Officer; and Ms. Karin Gilges, Chief Financial Officer. At this point, all participants' line will be in the listen only mode. There will be an opportunity for you to ask questions after the management presentation and opening remarks. May I remind you of the safe harbor. The company may be making some forward-looking statements that have to be understood in conjunction with the uncertainty and the risk that the company faces. Over to you, sir. Thank you very much, Mr. Annamalai Jayaraj. Good afternoon, colleagues, thank you for being part of this call. At the outset, I would like to thank all of you for the excellent in-person interaction that we had in August at Mumbai for our annual investor meet. Today, I will start with a brief on the macroeconomic policy, followed by an automotive market update. I would like to walk you through our financials. I will end with the highlights of the quarter affecting our business. Next slide, please. The global economy is facing a significant downside risk to growth with persistent high inflation. In relation to the Indian economy, the IMF released its latest forecast on the world economy this week, in which India's FY 2023 real GDP growth was revised downwardly to 6.8% from the 7.4% projected in July 2022. Having said that, the domestic demand continues to be quite robust in India. Next slide. Overall automotive market production has increased by +28% year-on-year in the current quarter. This excludes two-wheelers. However, on a low base of the 2Q of FY 2022. The production volumes in 2Q FY 2023 stood robust across the segments, aided by the inventory getting filled for the festive season. The passenger car segment outperformed other segments, growing at +35% year-on-year volume growth, supported by the somewhat easing of chip supplies or semiconductors and the pent-up festive season demand. By the way, colleagues, you must know that October had the highest sales for passenger cars due to the festive demand. Serving this already healthy order book and thereby mitigating longer waiting periods. The two-wheeler segment also witnessed a healthy +8% year-on-year growth, largely supported by the festive season and premiumization trend. The LCV segment continues to witness growth and which was +30% year-on-year, while the heavy commercial vehicles or HCV segment saw a +37% year-on-year on a low base. However, on the ground situation is steady as fleet utilization levels are healthy and have led by an increased economic and infrastructural activities. The tractor segment also de-grew marginally by around -2% year-on-year. Of course, on a very high base with the OEMs building up dealer inventory in anticipation of the strong demand which was there for the festive season. The three-wheeler is on a recovery path, with shared mobility slowly picking up. Overall automotive market production has increased by +30% quarter-on-quarter in the current quarter. This, of course, excludes two-wheelers. Let's have a look at the automotive market outlook for 2022. In this slide, each row represents a particular segment. For instance, the first row represents the passenger car, followed by HCV, LCV, tractor, two-wheeler, three-wheeler segments respectively. The first column represents the 2018 production volume, which is considered as one of the best years in the Indian automotive industry, which was at its peak. By the way, we have shown here 2018, but you can also tendentially read it as 2018's profile. But the numbers here indicated are the calendar year. Second column represents 2020 production volumes, and the third column represents 2021 production volume, and the fourth column gives you an outlook for the 2022 calendar year volumes. Based on these numbers, we are expecting a solid year for passenger car, LCV segment, and very likely they will reach the 2018 peak. Example you can see in passenger cars, we've set 4.3 million for the current forecast of 2022, as against the 4.07 million in the year 2018. The tractors peaked. In case of heavy commercial vehicles, two-wheelers, and three-wheelers, recovery continues. However, we can see based on differentiated situations, they are still far away from the 2018 peak. Practice peaked already last year, and we are expecting a minor de-growth, albeit on a very high base. Let's look at how the company has performed in the July-September 2022 quarter as compared to the July-September 2021 amidst all these aforementioned factors. Our overall revenue from operations for July-September in 2022 stood at INR 36,616 million or INR 3,662 crores, which is an increase of 25.5% as compared to the July-September 2021. Here, the automotive sales have grown by approximately 31%, largely driven by the Powertrain Solutions, while non-automotive sales have increased by 7.5%, largely led by the Energy and Building Technology division. Overall product sales have increased by 27%, primarily on account of a low base in the July-September 2021, owing to the impact of COVID-19. Income from services mainly comprise of R&D services provided to OEMs as also our parent, Bosch in Germany. While billing for R&D services was at a healthy level for the quarter, income recognized in the books based on customer SOP dates was INR 648 million or INR 64.8 crores. Balance income would get recognized in subsequent quarters based on project completion dates of customers. Other operating income mainly includes income from lease rentals, miscellaneous income, and export incentives. In July-September quarter of the previous financial year, we had received an installment of claim for refund of taxes under the Mega Projects Policy of the Government of Maharashtra pertaining to our Nashik plant. However, other operating income for the current quarter was comparatively slightly lower. The material cost as a percentage of total revenue from operations has increased from 62.8% in July-September 2021 to 64.9% in July-September 2022. Increase is mainly due to two reasons. One, change in product mix towards traded goods over the same quarter of the previous year. Second, what is happening internationally, which is raw material price increase, including increases in the prices of electronic components. Employee cost for July-September 2021 includes reversal of employee-related provisions. On a like-to-like basis, without the reversal of provisions, employee costs in July-September 2022 would have remained the same as compared to the previous year. Other expenses stood at INR 5,781 million or INR 578 crores, which is 15.8% of the total revenue in July-September 2022 as compared to INR 4,757 million or INR 476 crores, 16.3% of total revenue in July-September 2021. Increase is in line with the increase in sales and also higher spending on new business areas and one-time technical access fee paid for localization of new products. Our depreciation for the current quarter is at INR 919 million, 2.5% of the total revenue as compared to INR 829 million, 2.8% of total revenue in July-September 2021. Increase in depreciation is on account of capitalization of our new Spark.NXT campus and the plant and machinery for localization of our new products in the current quarter. With this, the operating profits stood at INR 3,392 million in July-September 2022 as compared to INR 2,747 million in July-September 2021, which is an increase of 23.5%. Other income primarily consists of interest on fixed deposits and changes in the market value of our mutual funds, which are debt-based. Other income has also increased from INR 1,243 million in July 2021 to INR 1,497 million in July-September 2022, mainly on account of increase in interest income on fixed deposits and dividend received from equity shares. For the quarter ended July-September 2022, your company has posted a profit before tax or PBT of INR 4,870 million as compared to INR 3,975 million in July-September 2021. As a percentage of total revenue from operations, profit before tax stood at 13.3% of total revenue in the current quarter. PAT or profit after tax for the quarter ended September 2022 stood at INR 3,724 million, which is 10.2% of the total revenue from operations. Profit after tax in July-September 2021 was INR 3,720 million, which included tax adjustments, which is a credit amounting to INR 765 million pertaining to previous years. We in Bosch believe that by 2030, approximately one in three new vehicles across the globe is likely to be an EV. Bosch is already gearing up for this change and hence offers comprehensive offers and solutions from PC to CV and hybrids to BEV, as well as FCEV, or battery electric vehicles and fuel cell electric vehicles. Our Powertrain Solutions division in India, located inside RBIN, is in deep engagement with key energy sector players and OEMs for hydrogen engine business, and you will be glad to know that we have also received our first hydrogen pilot project. This includes the conversion of ICE engine BS4 to hydrogen ICE, and the details of this will be shared with you later at the time of SOP by our OEMs. Sustainalytics or global ESG ratings agency, ESG stands for Environment, Social and Governance, has again rated Bosch Limited, and our scores have improved from 13.2 in 2021 to 12.8 in 2022. The lower the scores, the better. Bosch Limited currently ranks at 11 out of 208 within the automotive components industries and on 734 out of 14,794 within the global universe. We would like to thank you for your contribution as well as for your patient listening throughout this call. We will now address your queries, thank you for your questions, please. Thank you, sir. We shall now begin with the question and answer session. Ladies and gentlemen, at present, you are all in the listen-only mode. For participants who wish to ask a question, I request you to please raise your virtual hand. As the moderator, I shall be able to see your raised hands, I will invite your questions in turn. Alternatively, participants can also type in their questions in the chat box. Please address your question to all panelists. We will now wait for a moment as the question queue assembles. The first question is from Mr. Jinesh Gandhi. Please unmute your line and ask your question. Yeah. Thanks. Am I audible? Yes, please. Yes. My first question pertains to the CapEx. First half CapEx was close to about INR 3.1 billion. Any indication of what kind of investments we expect in second half or for the full year of FY 2023, and in which areas are we investing for future growth? Yeah. As I said, Jinesh, that we are investing in the future both for our plant and machinery, as also we have invested for our smart campus, which the Prime Minister inaugurated, which is called Spark.NXT Campus. We have also, based on this quarterly, since we have capitalized it, this has also come into the books and therefore chosen the depreciation. In relation to the CapEx plan for 2022, we have approximately anywhere between INR 520-INR 560 crores in that bandwidth. As you know, Bosch Limited for over the last many, many years, does between INR 400-INR 600 crores, and Bosch India does anywhere between INR 600-INR 800 crores. Right. This INR 520 to INR 560 crore will also include investment towards PLI scheme related CapEx, right? Actually, we have applied for Bosch Limited as also our other sister companies, and we plan to, of course, apply and also go ahead for the PLI. Okay. Second question pertains to this hydrogen engine business award which we have got in India. As you indicated, this is conversion from ICE to hydrogen. Any indication of whether this is pilot or it's actually for commercial application, and by when do we expect this to get commercialized? As I mentioned, two things, and then I'll request our CTO to talk about it, who's also handling this portfolio. We have got a pilot conversion project. The pilot conversion project will be done based on our having put up our lab, our hydrogen lab at our R&D campus, and only on SOP by our OEMs, which is our standard practice. We will give further details, but over to you, Guru. Yes. Thank you, Soumitra. The project itself is a pilot right now, the first engine conversions have happened, and there is proof both in terms of engine conversion and those engines being fitted on the vehicle, that hydrogen conversion of current engines is possible. This is what has been done right now, and based on that, we have acquired a series project, and we will now support the OEM to build additional vehicles before December From then on, the Series project will start, the timeline is about one and a half years for Series project. Got it. Thanks. I'll follow back with you. Thank you. Yeah. Thanks, Jinesh. Next will be from Pramod Amthe. Your line is unmuted. You can go ahead with it. Yeah, thanks. Sir, first is with regard to the currency movement. If I had to look at your annual report, almost 38% is your Forex usage as proportion of net sales. Would you give a breakup in terms of what is the dollar exposure and euro exposure? Because both these currencies are moving in a different direction this time. Hence, to understand the volatility impact of currency. Second, how these are passed on to the clients. Do they come through easily or they are tough negotiations? Thank you, Pramod, for a very insightful and interesting question. You'll be happy to know that our company over decades has a very robust, A, treasury management system, and B, a very robust hedging system. We have been doing it consistently, and of course, we follow the market trends and then do it. In summary, for Bosch Limited, we are pretty well secure against huge currency fluctuations. While the exchange rate changes have been, I won't say massive, but has been there. For example, the quarter July rate, the changes were approximately 8.5% or compared to the sequential quarter, about 3% or YTD at 7%. We have both at USD and at euro, thanks to our hedging policy, had a pretty stable situation, and this is handled by our CFO, who's also participating. The second point of yours was how is our contractual obligations. We have systemic contracts with different OEMs in relation to different elements. These are both based on the past as well as in the future. We do put in some of these clauses, but naturally, as you would understand, they are not uniform across all. In summary, I would say three sentences. One, India's exchange rate fluctuations have been, thanks to our finance minister, not massive. Two, we have a very solid hedging policy, which has allowed us not to have any major impacts. Three, our contracting with OEMs are pretty good, and yet they are slightly differentiated depending on different OEMs, including the timing. Sure. Thanks. Second one is with regard to the alternative technologies. Congrats on winning this pilot project on hydrogen. Considering that EVs have taken a big spike in the festivals in recent months, any update in terms of wins or what product offerings have been accepted by the OEMs in the recent times for you? Nothing compared to the past that we declared, Pramod. Okay, sir. Thank you and all the best. Thank you. Thanks, Pramod. Next caller will be Ashish. Abhishek, sorry. Abhishek, your line is unmuted. You can go ahead. Abhishek? Hello, am I audible? Yes, Abhishek, you are audible. In the beginning of your narration, you said that there was some one-off kind of a localization expenses included in other expenses. Can you please quantify and explain the nature of the expenses? Which one are you referring to? Sir, is there some one-off expenses included in other expenses in this quarter, sir? Look, Abhishek, which we have explained multiple times. We have technical access fee at an arm's length based on when we take a new technology from our parent. Unlike royalty, which is a regular payment, again, which is at an arm's length that will be suitable. Our one-time technical access fee was paid for a localization of a few new products, and that was the one-time this time. Can you please quantify that? It's around INR 35 crores. INR 35. Okay. Sir, can you please elaborate something on about your BS6 order book, which you said that last time it was the highest ever. Have you seen further increase in that and your outlook on the At the time of the Auto Expo before the COVID, at that time, I had declared, if I correctly recall, around INR 23,000 crores on the lifetime of the acquisition of the BS6. This, by the way, the definition of lifetime is between five and six years. I also mentioned later, after the COVID, the same value based on the changed demand for vehicles at the COVID had come to approximately INR 18,000. You can imagine, again, that INR 18,000 will move up because the demand has moved up, though a couple of years have also gone by. In summary, A, we had already shared the BS6 Phase 1, yep, it's not Stage 2, in the last Auto Expo, which happened physically before the COVID. That was in 2020, sometime in January or February. Coming to what I mentioned in the last quarter was something different. Having acquired the BS6 Phase 1, you are aware that there has been several government announcements based on which OEMs have actually started investing, whether it is ramp 4 to ramp 5, other emission law legislations. For which, in the powertrain systems, we've had one of the highest acquisitions in the year 2022. Therefore, based on the current legislations which have been announced and started to be acted upon by the OEMs, we are having a good order book. I hope I've clarified between BS6 Phase 1 and the current acquisition. Okay. Thank you. Thanks. Next question will be from Mr. Priyaranjan. I have unmuted your line. Priyaranjan, you can unmute and ask your question. Yeah. Just on the commodity cost outlook, even this quarter, you have highlighted that the commodity cost has been on a higher side while we are seeing the commodity and the pure commodity like steel, aluminum, et cetera, is coming down. What's your thought on going forward, the commodity cost? I will request our CFO to briefly speak about it, having said a sentence or two only. Yes. The first sentence, Priyaranjan, is that, yes, there is a slight easing of commodity cost compared to the peak. There is a slight easing also, as I mentioned, on the availability of semiconductor. Please remember that those same costs on materials are nowhere near the base of when it started. Having said that, a little bit more from our CFO, Ms. Karin Gilges. Thank you very much, Sumit. As mentioned already by Sumit, that the RMI what we currently see is, of course, based on the past and on the past increases. We are expecting an ease in the high RMIs. Nevertheless, we will see also in the upcoming months that we will not come to the base we had beforehand. In addition, if we look at our material costs, we also see that in the traded goods, we have an increase in the last quarter of the traded goods, which is also an influencing of our material costs. Both effects together, you can see reflected in our material costs of the current quarter. Understood. Having said that, of course, Priyaranjan, we must also realize that in a very systemic way, we are approaching our customers for these increases, which are unusual. As we know that OEMs have also, on several occasions this year, had to increase the prices of their end product, the cars, therefore we, from our side, are also systematically approaching. Understood. In your press release, you have mentioned about the common rail injector being localized. In this quarter, have we seen some kind of supply from that, or we are expecting localization of that to benefit in the subsequent quarters or years? Yes. I suppose you are meaning with the localization of the injector and the commercial vehicle injector. Yeah, correct. Yeah. We just had the SOP of this. We are step by step now going into the production, but it is not a one-time approach, the overall localization needs a little bit longer. We have started the production. The assembly line is already capitalized, and step by step, we are ramping up now the production. Back to your questions, in the current quarter, we do not see this influence. We expect it now in the upcoming months. If I can add a sentence. The key point, Priyaranjan, to note is that we have actually got the line up and running in India. This also coincided with the Nashik plant's 50 years of being in India. A, we are committed to the localization. It will happen step by step. The line is up and running, as our CFO mentioned, already in our plant. Like what we did in the past decades, now that the line is committed in India, it's not being imported, the part components will happen step by step. Understood. One thing on the consumer products goods. I guess in your annual report, you have also mentioned, I mean, from the Related Party Transaction. There is a lot of traded goods in that segment, and the margin for that segment has been lower, compared to the automotive product segment. I think the first phase of localization was started from that product line. When can we expect the benefit coming from that line? Which line are you referring to? Sir, the power tools, the consumer goods segment, because that was the first project which I think in last couple of years where we have undertaken more localization because Okay. doing a lot of trade goods out there. I got it. Priyaranjan, there are two, three points on the power tools that you must note. The power tools production line, which was at a very nascent stage, was shifted around four and a half years from Bangalore, four and a half to five years around from Bangalore to Chennai, to the Oragadam area. This power tools plant for 3 times have been selected as the best power tools plant overall, rating out of 18 power tools plant in the world. From a very low base, we are nearly at 40% localization of our power tools, and we are committed to increase the localization, where we have now shifted to our own premise, at a larger premise. In power tools, we are the market leader in a very fragmented market, and our commitment towards further localization is there, and our commitment also is to have a very clear commitment on Cordless [Foreign language] Bosch, which means cordless means Bosch. Along with this, we will share in the future further and deeper commitments on power tools. Understood. Just last question is on the electrification and your way of participating in the electrification. Are you looking 2-wheeler, 3-wheeler electrification also as a key driver for Bosch, or you are more inclined towards commercial vehicle and the passenger vehicle side in future? What's your thought on that? Already in the 2-wheeler, 3-wheeler, Bosch has clearly participated. Respect to what we discussed earlier on OEMs when they announced, example, TVS, example, Bajaj, we had already mentioned it. As we speak, our 2-wheeler division, which is located inside RBIN, but caters with Bosch Limited, sorry, located with Bosch Limited, but also works with Bosch Limited as well as other divisions, is having various electrification projects at system and component level with various 2-wheelers lately, and also 3-wheelers. As you know, 3-wheelers in India today, pre-COVID and post-COVID is a different scenario. Okay. Two-wheeler- Just to add to that, in terms of your question, Bosch has a complete portfolio right from e-bikes, so these are cycles which are electrified, all the way up to trucks and heavy commercial vehicles, in terms of our electrification portfolio. We are discussing with various Indian OEMs on the complete portfolio to offer in India. Two-wheelers, as Soumitra already explained, we have acquisitions and we are fighting for more projects here. Passenger cars, we are discussing with key Indian OEMs, then you will over the coming months also hear the progress there. On commercial vehicles, there is not much action on electrification, which means battery electric vehicles. Hydrogen has taken off and you've already heard our pilot acquisition. Thank you. Thank you. That's all from us. Thanks, Priyaranjan. Next, I will read a question from the question box. Are we expecting shift in manufacturing from Europe to India in coming years in our automotive segment, what are the benefits that we can reap out of it? Who has asked this question, Anubha? One minute, sir. Tejas Shah. Thank you, Tejas. Tejas, it's a very generic question, I can give you a generic answer. We have mainly a strategy called local for local, which we have shared with you. India is a huge domestic market. However, our export percentage of our total sales is hovering between 7% and 8%, as you are aware from our annual report. This, in a strategic way, over the next years, we want to increase it to double-digit and then a healthy double-digit. This is a part. In summary, Bosch Limited will always remain focused towards our big Indian market, which gives huge opportunities, while seizing opportunities for export based on our products, components, or systems which are available, which can be given through designated markets, with a focus on increasing the current value and percentage to a healthy double-digit in the mid-term future. Thanks, sir. Next two questions will be from Mr. Sonal Gupta. I have unmuted her line. Hi. Thanks for taking my question. Good evening to everyone. Sorry, I have a little bit of bad cold. What I really wanted to understand was, we have the OBD2 norms for the BS6 coming in. What sort of an implication do you see of that? Do we see any major shifts like we've already seen a significant shift away from diesel? There's a lot of speculation on the passenger vehicle side that this could further raise significantly the cost of diesel engines. Just wanted to understand that, is the technology still valid or everybody needs to move to SCR for OBD2? If you could just shed some light on that. Also for your other key categories like medium and heavy commercial vehicles, do we see a major change in content for you? First of all, Sonal, if I come with your second question and then come back to the legislation. On the heavy commercial vehicle, as I mentioned before, both on heavy commercial and light commercial, Bosch has a lot of content, especially after BS VI Phase 1 and also as and when Phase 2 takes on, and also on the various other emission-related legislations for which we have also acquired projects here, including [audio distortion]. In summary, we see that will be healthy. I had also mentioned to you that the light commercial vehicles at 70,000, which was a peak, is already reached in the year 2022. In heavy commercial vehicles, the peak in 2018 was around 480,000, and it will take a little time to reach up to that. Even at 360,000, we are sitting pretty on our higher content per vehicle. Coming to the OBD, we had already mentioned last time that the slight delay in OBD which has happened, this is industry-wide phenomena, but we are prepared to deliver even after the revised OBD dates, OBD2 dates. I think that should be answering your question. Sorry. Do we see a significant change in cost for the OEM as a result of this transition to OBD2 from OBD1? Look, Sonal, let's take the matter of cost of material, including cost of upgrading based on emission. Every emission change, including BS4 to BS6, including PREM4 to PREMM5, including OBD, has certain cost changes. However, unlike what was discussed pre-2019 and 2020, that would the numbers take off, the numbers have taken off. In the year 2022, we see no change or letup on fast car sales. If I look at the data, the value per car, the price per car has increased significantly, but the demand has not come down. In summary to your question, we do not see a change in the demand based on the improvement which is legislated, either at the component level or at the overall vehicle. Got it, sir. Just to add another perspective for the OEMs. When either emission norms or safety norms, which have also greatly improved in the Indian context, keep growing continuously to the next levels. For the OEMs, this also opens up an opportunity to take the vehicles globally, which has not been the case earlier when we lagged behind on regulations and standards. Our vehicles would not really fit many markets other than maybe Africa or some places like that. This also is a significant opportunity for OEMs to have a level playing field towards having global markets which are opening up. This should also be seen as a stepping stone towards electric vehicles when many of these things simply disappear. There are no emission norms, everything becomes open and an electric vehicle in India is also equally capable of operating in any other region, provided it meets all other norms. There are different advantages. While the cost may go up a little bit and premiumization continuously happens in terms of features or addition of technology into the vehicles, this also opens up a much bigger opportunity for Indian. Guru, thank you. Also for us as tier 1 to export to other regions. Absolutely. Guru, thank you for that. If I could add to what, Guru, you mentioned. Today, the inventory for pass cars, which is around 460,000 at the end of October, is the normalized inventory. The only area of this inventory which is lower is on the high-end cars. Definition of high-end cars, if I may indicate, is around INR 12 lakh plus. For India, the slightly higher income. A, the sales in October, retail sales, has been 380,000 this festive season, as compared to the last four years, where the festive season, we have sold between 320,000 and 330,000. Significant decrease, number one. Number two, our annual sales will be at 4.3 million or 4.4 million against 4.07 million or 4.1 million. Number three, the sales for lower and mid-end cars for India are having good enough inventory, but not so for the high-end cars where the demand has been high. You can actually make out from this, Sonal, what the trend is. Got it, sir. Great. Thank you so much. Next, I'll read out a question from the question box. It is from Mr.. Satish Motwani. "What's our exposure to USD and EUR, and how does the movement impact us with our clients? Is Forex impact a passthrough? As mentioned before regarding the Forex, we have a very good hedging strategy in place, as Soumitra Bhattacharya already explained, we see a change in the US dollar on a negative way, on the EUR on a positive way. We are importing for both of the markets, of course, mainly on the EUR base. Based on our hedging policy, which we have in place for a very long time, we do not see an influence which is significant, based on our stable policy. Thanks, Karin. I think Satish is indirectly trying to ask us that, are we buying in U.S. and selling in EUR? The answer is no, Satish. A, as our CFO said, for years we have had a strong hedge policy, and we do this for both USD as well as for EUR, number one. Number two, we are not one of those companies who are in the slightly unfortunate situation of having that on matters USD and then selling it at EUR. Does that answer your question, Satish? It's Ajit Motwani, sir. I think it's clear, sir. But Thank you. Thanks, sir. Next question will be from Mr. Pramod Kumar. You can unmute and ask your question. Yeah. Thanks a lot, Jayaraj, sir. Sir, my first question is on norms for two-wheeler segment, because that is something which is still being debated whether it will come through or not, and given the demand in this category is already pretty weak. Any sort on that, on as to what do you see the cost implication there, whether you expect it to be a minor one or a meaningful one? When I say meaningful, around 4%-5% kind of a cost implication for the category. Can you repeat that last sentence, please? What will be the? What will be the cost implication for the category, sir? Of which, because this is in context of the kind of demand hit what this category has seen as it has transitioned to BS6 and to the new safety norms. Just wanted a color on the OBD norm impact on the two-wheeler cost curve. Again, I repeat, Pramod, you must understand, in 2018/19, or the calendar year 2018, which the two-wheeler peaked at 25 million. I showed you that graph where the calendar year of 2022, we would be at 19, max 20 million. First of all, the Indian industry is not reaching up to the 25 million, number one. Number two, in the 18/19, we are talking of apples and oranges between 18/19 and 2018 and 2022. Why? Because at that time there was a carburetor. Today, we have a fuel injection system. Number three, the OBD2 will come. Number four, very important, the base models during that period, you must remember, were between INR 65,000-INR 80,000. Today, the base models are between INR 1 lakh and INR 1 lakh 20,000. When you take a standard 100cc vehicle or 125 and so on so forth. We are actually comparing apples with oranges. Having said that, I would say at 19, 20 million vehicles, it is not a bad size in India. Of course, we hope that it will further pick up and go towards the peak. We are confident that India has seen a very clear growth curve on value added by making vehicles, both at four-wheelers or two-wheelers, three-wheelers safer by bringing in technology. The cost naturally will go up, both from inflation as well as value-added products being brought in to make it contemporary, and still are relatively affordable in the Indian context. I've already shared the other details on OBD2, I won't repeat that again. Just a follow-up to that, sir. Given the increased compliance, will electronic carburetor still be relevant, or would you expect the two-wheeler market to 100% go to injection with the OBD2 norms? OBD2 norms have been made very clear by the government. On matter eCall, Bosch has very clearly said that we are believing in the technology which is there, not only in the West, but also declared by the government. I would not like to comment on the eCall, because different people do it, and I would not like to indicate that. I understand. Appreciate that, sir. A final question on the excuse me, AIS 156 standard. How do you see this kind of impacting the current battery procurement in India, which is heavily dependent on a lot of Chinese imports, including the overall assembly itself? Does Bosch, as a large EV player, see a big opportunity there where you expect incrementally a lot of these smaller electric vehicles and OEMs approaching you? Because the government is clearly up the ante there in terms of the kind of safety standards they need and even the kind of super manufacturer processes or the battery assembly. Do you see this as a big opportunity for Bosch to ramp up its EV wallet share? Yeah. I'll take this question. Thank you. I think the tighter regulation was going to happen anyway. The government, I think, initially let this a little bit free for market to get established and then use the opportunity of battery fires and other things to send a message to all the OEMs and all the players in the market. That's what has happened. This is a very good move in our view. This tightens technological preparedness in this area in terms of safety, significantly to make the batteries safer, the vehicles safer. This is something that we are always believing in. All our batteries which we design and offer to the market have very high levels of safety and standards compliance, including diesel level compliance built in. We are able to offer this already now into the market, and we have also worked closely with the government to help them refine these standards over the past year or so. Overall, I think this is a very good move, and we certainly hope to benefit from this in the coming years. Sir, any cost implication which you can share? We are getting closer to the deadline for the stage 1, right? This will also entail a cost inflation, right? For the battery, for the electric vehicles in general. Cost implications due to the AIS norms being introduced? Yes, sir. Okay. I think it's going to be very difficult to quantify this, because there is no baseline we are comparing against. See, there are a lot of batteries today in the market without even basic battery management systems. They're just wired up to deliver 48 volts or 12 volts or whatever is the voltage system, without any basic requirements in terms of voltage or battery management system to manage the batteries, both for thermal performance and cell level degradation or protection. It's very hard to compare. Any Western system or systems offered in the West, which are compliant to AIS standards, always have had these things built in. In that sense, from a good, well-designed battery, a lot of these protection mechanisms in the BMS are already there, so that the new norm should not add any further cost. Fair enough, sir. Thanks a lot and best of luck, sir. Thank you. Thank you. Thanks, Pramod. Next question is from Naveen Mata. You can unmute and ask. We need to close at 5:30. Yes, sir, this is the last call. Thank you. Hi. Am I audible? You are audible. Okay. Thanks for the opportunity. I just wanted to check on the gross margins, if you had commented. In this quarter, we've seen some further pressure. Just wanted to understand, is it largely commodity or is it also a product mix effect out there? Yes, it is a mix, let's say, we see the product mix effect mainly out of between the manufactured goods and the traded goods, which has an implication. If you look at the PNL, you can see that the material costs especially increased, and this is based on the product mix on the one side, but also and especially based on the increase of the raw material and on the electronic components. As Soumitra Bhattacharya already mentioned, we are in discussion with our customers regarding the recovery of especially these raw material increases. Overall, if you look from one quarter last year to this quarter, then you see deterioration in the margin, especially due to the raw material increases and the product mix. Understood. Just on this common rail localization that we've spoken about, just wanted to get a sense as to once this is fully productionized, where will it take our localizations level up to? It will take up our localization level from roughly 73% up to 76%. Besides the pure percentage in the localization, the strategic objective of the localization of this injector on the commercial vehicle is much more important. If you look on the midterm and of the long term, this was a very strategic step to localize this line here in India for the Indian market. I would not go rather for the pure percentage, but please look from the strategic point of view. This is a very important step for Bosch here in India. Got it. Thank you for this. Just one last one, if I can try. I just wanted to get a sense if we could share any thoughts on where our EV order book stands at currently, just to understand our progress in this space. Yeah. We are working actively. We do not make statements, as you know, Naveen, until the SOPs which happen from our customers. While we are working, as we mentioned, and also as CTO mentioned, further statements would come only when the SOPs happen, which is consistent to our practice of declaration also. Got it, sir. Thank you so much for the opportunity. Thank you, Naveen. We thank all the participants. We thank Bosch management for taking time out for the call and also providing us the opportunity to host the call. Have a good day. Thank you. Thank you.