Ladies and gentlemen, good day, and welcome to Q4 FY24 earnings conference call of CG Power and Industrial Solutions Limited, hosted by IIFL Securities Limited. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Renu Baid from IIFL Securities Limited. Thank you, and over to you, ma'am. Thank you. Good evening, ladies and gentlemen. On behalf of IIFL Securities, I would like to welcome you all to the fourth quarter FY24 earnings conference call of CG Power and Industrial Solutions. Today from the management, we have with us Mr. N. Srinivasan, Managing Director, Mr. Sushil Todi, Chief Financial Officer, Mr. Ramesh Kumar, President, Industrial Division, Mr. Mukul Srivastava, President, Power System, Mr. Ajay Jain, Vice President, Transformer Division, and Mr. Chidambaram Balakrishnan, Vice President, Railway Division. Without taking much time, I now hand over the call to Mr. N. Srinivasan for his opening comments, after which we can start with the Q&A. Thank you, and over to you, sir. Yeah. So thank you, Renu. Good afternoon, ladies and gentlemen. Let me extend a warm welcome to you for this Q4 and FY 2023-2024 annual earnings call. I'm Natarajan Srinivasan, managing director of the company. I would like to introduce my colleagues who are with me on this call. Ramesh Kumar, President, Industrial Division; Mukul Srivastava, President, Switchgear Business; Ajay Jain, Vice President, Transformer Business; Chidambaram Balakrishnan, Vice President, Railway Business; Sushil Todi, and CFO. Company performance. Q4 performance in FY 2023-2024 of Q4, sales grew year-on-year by 17% and PBT grew by 25%. For the financial year 2023-2024, sales grew year-on-year by 16% and PBT grew by about 24%. Now, Q4 performance, standalone. Aggregate sales for the quarter were higher at INR 2,084 crores, recording a growth of 17% year-on-year. Profit before tax, before exceptional items, was at INR 316 crores as against INR 252 crores, INR 252 crores in Q4 of FY 2023. Margins were higher year-on-year by 15.2% of sales as against 14.1% of sales last year, on account of higher realization, favorable product mix, and cost efficiencies in power systems. Free cash flow generated during the quarter was INR 178 crores. Unexecuted order book as of March 31, 2024, was 45% higher year-on-year at INR 6,276 crores against INR 4,319 crores as of March 31, 2023. FY 2024 performance. Aggregate sales for the year were higher at INR 7,660 crores, 700, INR 7,610 crores, recording a growth of 16% year-on-year. Profit before tax was at INR 1,146 crore as against INR 927 crore in FY 2023. Margins were higher year-on-year at 15.1% of sales, as against 14.1% of sales last year, on account of higher realization, favorable product mix, cost efficiencies and execution of export orders with better margins in power systems and higher other income. This was partially offset by pricing pressure in low tension motor business due to increased competition. ROCE for FY 2024 was at 37%. Free cash flow generated for the year was INR 784 crore. Segment-wise performance, Q4 performance. Aggregate sales for the quarter were higher, at INR 1,263 crore, recording a growth of 6% year-on-year. PBIT was at INR 175 crores, 13.9% of sales, as against INR 188 crores, 15.8% of sales in Q4 FY 2023. Margins were lower year-on-year on account of pricing pressure in low tension motors due to intense competition. Unexecuted order book as of March 31, 2024, was 20% higher year-on-year at INR 2,544 crores, versus INR 2,040 crores as of March 31, 2023. FY 2024 performance. Aggregate sales for the year were higher at INR 5,050 crores, recording a growth of 10% year-on-year. PBIT was at INR 748 crores as against INR 748 crores, 16.4% of sales in FY 2023. Power systems. Q4 performance. The aggregate sales for the quarter were higher at INR 824.21 crore, recording a growth of 39% year-on-year. PBIT was INR 152 crore, 18.5% of sales, as against INR 75 crore, 12.7% of sales in Q4 of FY 2023. Margins were higher year-on-year on account of higher realizations, favorable product mix, cost efficiencies, and better operating leverage. Unexecuted order book as of March 31, 2024, was 64% higher year-on-year at INR 3,731 crore, as against INR 2,279 crore as of March 31, 2023. FY 2024 performance. Aggregate sales for the year were higher at INR 2,598 crore, recording a growth of 28% year-on-year. PBIT was at INR 416 crores, 16% of sales as against INR 227 crores of 11.2% of sales in FY 2023. Consolidated results include performance of the operating subsidiaries in Sweden, Germany and Netherlands, CG Adhesive Products, India, CG Semi Private Limited, India, and other non-operating and holding subsidiaries... Aggregate sales for the quarter were higher at INR 2,192 crores, recording a growth of 15% year-on-year. PBT was INR 307 crores in Q4 of FY 2024, as against INR 262 crores in Q4 of FY 2023, and INR 264 crores in Q3 of FY 2024. FY 2024 performance. Aggregate sales for the year were higher at INR 8,046 crores, recording a growth of 15%. PBT was at 1,137 crores, 14.1% of sales, as against 950 crores, 13.6% of sales in FY 2023. Summary: In FY 2023-24 was another record-breaking year for the with the outperformance across financial and operating parameters. Several landmarks were achieved by the business. Switchgear and transformer business achieved highest ever sales, highest ever order input and profits. Rail business achieved highest ever sales, order input and profits. Increase in market share of motor business on a higher base and against a stiff competition. Highlights of the year include company received approval from the Union Cabinet under the semiconductor scheme to set up an outsourced semiconductor assembly and test facility at Sanand, Gujarat. The estimated investment of the project over a period of five years is INR 7,600 crore. The same is expected to be funded by a combination of government subsidy, equity contribution, and the potential bank borrowings as required. Renesas Electronics Corporation, Japan and Stars Microelectronics, Thailand, are the technology and joint venture partners for this venture. India Ratings upgraded company's long-term credit rating from AA stable to AA+ stable. The company declared and paid interim dividend of INR 499 crore, 1.3% in March 2024. The Board of Directors also approved an expansion of CapEx for switchgears in the Nashik plant at INR 155 crore, power transformers in Bhopal at INR 31 crore, and HT Motors, Bhopal, at INR 35 crore. Total expansion capital approved ex-CapEx expansion approved till date is INR 663 crore. During the year, the company sold its subsidiary, Qalo LLC, for the entire sale, on the entire sale. Entire sale profits have been realized. Analysis of financial statements. Audited financial statements with detailed notes are available at Stock Exchange filing on the company's website. Between myself and my colleagues, we'll be happy to answer any questions. Thank you. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask question may press star and one to ask question. If you wish to remove yourself from question two, you may press star and two. Participants are requested to use handsets while asking your question. Ladies and gentlemen, wait for the moment while the question queue assembles. First question is from the line of Mohit Kumar from ICICI Securities. Please go ahead. Good afternoon, sir, and thanks for the opportunity. My first question is, on the order inflow for this particular quarter, especially for industrial, is up by 33% QOQ and 45% YOY. Can you please throw some more details on this, industrial uptick? And is it because primarily of railways or is, ex-railway business which has shown the uptick? So the industrial consists of both, motors and railways. So that's a large part of the order input come from railways. So that speaks on the higher order inflow for this quarter. Sir, so last few calls you have said, you had said that the industrial motor business is slightly on the, in the sense, there's a lower activity. Are you seeing any uptick now, or do you think this will come post the elections? Exactly. So we feel that, you know, the situation will be clearly known after the elections, because right now, because of the elections, the activities and some of the projects going slow, et cetera, are quite visible. So I think we will have to wait for one more quarter then for the activity to pick up. Thank you, sir. My second question is on this semiconductor opportunity. Is it possible to comment on the timelines when you think it, you'll be, you know, giving us more details or when the revenues will start flowing from this particular segment? And if you can help us to understand, what is your right to win in this segment? What is the? Right to win. So I think one thing, you know, it is, it is a long, it's a long-term project. It takes about 4 years to implement the project. So right to win means, I think there is a huge amount of demand. The fact that, government wants this, these projects to come up with, substantial help from them speaks of a huge demand. I think the whole semiconductor industry is growing at, globally is, growing. India also now with more complete dependence on imports, we expect it to be a good amount of demand. So if we are able to... We are also partnering some of the world leaders, with some amount of, some, some amount of, buyback of the finished product. I think with all this, we expect, I think once the project is well implemented, I think there is a right to win always. That will not be a problem. So when do you think the revenues to start flowing in? Not in, not clear. Can you repeat? When do you think the revenues from this particular segment will start contributing to the top line? It will take four years at least, sir. Understood, sir. Thank you, and all the best, sir. Thank you. Thank you. The next question is from the line of Rahul Gajare, from Haitong Securities Limited. Please go ahead. Thanks for the opportunity. So can you talk about the volume growth in the industrial segment? You know, because I believe that given the competition, we've seen pricing pressure. Can you talk about the volume growth that you have seen in the fourth quarter and full year? And also, you know, whether the competitive intensity have already eased to some extent? That's the first question. Yeah. See, from quarter three onwards, it has shown positive. Quarter three stand-alone is about 15%, and so far, January and February, the results have come, the growth results have come, it is almost about 12%. The market growth, I'm talking about, volume growth, and we are also at the same level. CT is also at the same level. Okay. And it, the intensity have begun to ease? No, that will not, because if you see the copper also, prices have suddenly gone up in last one month, one and a half months. It has gone up by almost $1,000. So, as long as the commodities are stable, it is very difficult to predict the price realization in the market. Right. So my second question is, you know, with respect to the revenue on the industrial segment, I think in the third quarter, you did indicate that there was some revenue deferral of almost some INR 35 crore. First, whether that revenue deferred has already been booked in the fourth quarter, and are there any more deferrals that also you are seeing in the industrial segment? So we never said in the industrial system, it was always about the power system. Okay, so that INR 35 crore was in the power segment? Yeah, yeah. Okay. So my last question is on, you know, given that you're adding significant capacity both in transformer and motor, and I think transformer was supposed to get commissioned in the fourth quarter. Are there any thoughts on adding manufacturing capacity on the drive side? You know, given that there is a strong industrial demand and limited player and obviously better profitability. What's your thought, on adding capacity in India? Because right now, your Sweden capacity is full. So we are working on, various, options to increase, I mean, to grow this, drive business. This could be, you know, you, you know, we have a unit in S- Sweden. So along with them, you know, how do we increase et cetera, currently under discussion. Certainly, our focus is to grow this business multifold. We have not performed our actions yet. Maybe including increasing our capacity may be one of the options. Are you looking at doing some manufacturing in India, or you are looking at adding capacity in Sweden? No, so currently, it's not yet finalized. We are just looking at various options. Sure. Okay. Thank you. Thank you very much, and all the best. Thank you. Before we take the next question, a reminder to all participants, you may press star and one to ask question. The next question is from the line of Subhadip Mitra from Nuvama Wealth. Please go ahead. Good afternoon, sir, and thank you for the opportunity. Firstly, sir, with regard to the power segment, it is quite strong in the current quarter. Margins are also seeing an uptick. Would we say that margins are maintainable in these high teens range, or is it that there is, you know, some one-off, in this quarter? So there is no, there is no one-off, actually. By and large, if there are, you know, as I said, in all these, just my colleague, previous, in previous questions, he said copper prices have gone up. If, by and large, if the material prices stay where they are, I think, we may be able to maintain margins in this segment as projected. Understood. Also, with regard to the railway segment, because, as, as you mentioned earlier, that the railways and the power segments seem to be the larger or the higher growth segments right now, whereas probably the industrial segment is on a slightly lower pace of growth. So how would you see the overall margins behaving? Would we see that the higher growth and the higher margin power and railway segments more than offsets, you know, the slight weakness on the industrial margins? So it's very, we have discussed this margin question a number of times, sir. We can't assume that the margins in industry will be lower. Post-election, as we said, you know, things improve dramatically, it can come back. You know, we are a very high volume player. We have the advantage of economies of scale in motors. Therefore, we can't say that motors, what happened, whatever is there in the last two couple of quarters, based on that, I'm not willing to conclude margins should be lower in motors, number one. See, railways and power, both are tender business. I don't get my price separately. I have to bid to win the order. Therefore, you know, in railways, for example, again, there's a stiff competition. If I, if I quote well, and then, you know, competitively, I will get volumes, and then, orders will flow. But at the same time, margins, you know, you have to work on, it is not granted from compared to price, what we get, supposing you get lower price, you have to work how to manage the cost and how to make up the volume, et cetera. It's not going to be easy, easy. So overall, I think we are doing our best. So though difficult to comment on, exactly commit on, comment on margins. Understood. Sir, would you, would you be able to give us some details on the railways business? What was the top line or what is the existing order book? I would say that, you know, we will have a strong growth this year. At least we can grow 40% in the top line in railways. What was the sales in the current year in railway? Current year sales, Sushil? For the full year, it remains the same range, around INR 1,300 crore plus. Okay. And any details on the order book? How much order book do you have right now on, in railway specifically? So I have told you now that we'll, we'll be able to grow about 40% this year. We don't generally separately discuss railways. I understand. So last piece, naturally, we've been, you know, quite enthused by how you've been tying up on the various offerings on the railway side and clearly targeting to being a propulsion partner in the forthcoming bids. So sir, any progress on that in terms of tie-ups or with regard to railways, you know, qualifying or sanctioning your prototypes? So we are not in a stage where we can disclose something, but all the efforts are continuing on an advanced stage. Perfect, sir. Thank you so much for answering my questions. Thank you. The next question is from the line of Harshit Patel from Equirus Securities. Please go ahead. Thank you very much for the opportunity, sir. Sir, on EV motors front, you had earlier indicated that the supplies might start post FY 2024, maybe in 2025 or 2026. So could you share an update on the development program and the potential customers? Yeah, we have for one application, we don't want to disclose right now, but we have developed one application. It is on, prototypes are under testing. And another two different applications we are in advanced stage of design. So, we will be, once the testing everything is done, then we will be giving to one of the OEMs for testing and getting the approvals so that we can be in the market. Oh. So sir, not only the motor, but even controller will be in-house? Yeah. When I say motor, it is motor and controller. We don't develop anything separately. It is all developed together. Understood. Sure. Sir, secondly, on the railways front, we were working with a Korean company for the propulsion system of train sets. So how has been the progress over there, and do we have to pay a royalty to that company on a continuous basis, or we will just pay a one-time fee? We can't disclose all this information. We can't disclose. Okay. You know, the work is going on. We'll get, it will get commissioned in the next, completed in the next, maybe by, by June or so, but we can't disclose all commercial information. No problem. Sir, just a small bookkeeping question. You had previously mentioned that we want to take the share of exports to around 20% within motors, in the next 3-4 years. Sir, what was that share of exports in financial year 2024? So we are somewhere around 3%-4% as of now, but we are now working on building the organization across. So we are on track. So this has to be co-terminus with the capacity expansion. We can't take any steps now. Supposing we get orders, we will not be able to supply. So the target is to do it in the next two couple of financial years and beyond. Understood. Okay. I'll get back in the questions. Thank you very much for answering my question. Thank you. The next question is from the line of Renu Baid from IIFL Securities. Please go ahead. Yeah. Thank you for the opportunity, sir. My first question is, given the global demand supply mismatches in the power equipment market, especially T&D, how do we plan to leverage this, and also increase our exports? Do we have any thoughts on this? Thoughts are there, but there are no capacity now. Yeah. So practically from on ground capacity, where are we in terms of, you know, setting up an export facility beyond the domestic demand requirements, in the next couple of years? So I- I think our hands are full with domestic and export is at the back burner for now. No. So, currently, you know, our power transformer, we are doubling from 17,000 MVA to 34,000 MVA. Mm-hmm. Clearly, distribution transformer, we are also doubling the both, increase in capacity by 50%. Even if I double it from here, domestic demand will eat away all this demand. Correct. Selectively, only what we are doing is only selective orders with high margins and where payment securities there, we are considering for exports. So we are struggling to see how we can expand the capacity. There are no inorganic opportunities, much organically. If you start doing, it will take more time. Just current expansion will have to be completed before we take up something else. So, so it's today, the question is very different. Got it. Sure. Secondly, within the industrial system, we also have the consumer product portfolio, which is housed. Can you share some insights in terms of how was the performance of this segment for the fourth quarter and overall for fiscal 2024? Overall, this year, I think the industry itself did not do well, so we are also not that much well. So it is, in fact, this business was always, last few years it's been small, and then we are marginally, we are a marginal player here. Mm-hmm. But plans are approved to make this big. We are working hard. You will see some actions here from now onwards to, to increase this business. Ramesh, you want to add? No, no, I mean, what you said is right, that, you know, as rightly NS said, we have initiated the action and definitely you will see something happening there. So was this business flattish? It grew by mid-teen, did not grow? Any color, qualitative or quantitative? So degrew. Okay, declined. Or marginally grew. We have- Industry, industry degrew. Yeah, we have marginally grown, actually. Yeah. Got it. Secondly, on the industrial systems, do we have any views on the likelihood of implementation of the shifts from IE2 to IE3 range of motors as a base, technology base, or it's still some time away for now? The complete shift can happen only if the government regulation comes. Mm-hmm. But today, if you see, almost IE3 and IE4 together is crossed 50%. So obviously now customers are looking at, you know, more and more high efficient products. So, so once the regulation comes, then entire shift will happen to IE3. Any view on the likelihood of this regulation coming in fiscal 25? It would have come long back, but we don't know, so. Got it. Got it. One last, if I can squeeze in. So Arjun, we did mention about our targets to expand the portfolio of the HT motors in larger applications like nuclear power, in terms of pre-qualifications and other criteria. So where are we, and do you think, with many large NPCIL projects lined up in pipeline, we'll be able to participate in the opportunities? And we are already participating, and we are getting good orders also, but execution will take time because, you know, these orders, execution take almost about 2 years. Today, if we get the order, the execution starts after 2 years. So we are well in NPCIL, and we are there in almost all the tenders, and we are getting good orders also. Got it. Got it. Thanks much, and best wishes, sir. Thank you. Thank you. The next question is from the line of Akash from Dalal & Brocha. Please go ahead. Yeah. Thank you, ma'am, for the opportunity. One question from my side was pertaining to railways. So in railways, we cater to which kind of trains are we catering to, Vande Bharat and the new Vande Metro, and are our motors being supplied to those kind of trains or? Motors are not supplied. So, Chidambaram, do you want to answer this question? Yes, sir. Currently, we are, you know, serving the locomotive market, and end of this year, we will begin serving the Vande, Vande Sadharan, Vande Metro, and Vande Bharat, all the three. Okay, and what exactly are we supplying? Drives, transformers, motors, switchgears? For the Vande Bharat, we'll be supplying entire propulsion system, motors and the motors. Okay. That's it, sir. Thank you. Most welcome. Thank you. The next question is from the line of Aditya from Kotak Securities. Please go ahead. Sure. Thanks for the opportunity, and congratulations for very strong results. My first question was more to think through the timeline for the new capacity for the motors business. When are they expected to start contributing to our top line? So it will happen in stages, I think probably next financial year. Understood. So basically, exports should start kind of becoming better from fiscal 25, is what you're saying, right? Yes. Understood. Could you also give us an overall guidance on revenues for next year? Would be useful. We don't give any guidance. Understood. Just on the quarter gone by, since you suggested that railways had meaningfully contributed, could you give us a sense of, from an order inflow perspective, where is growth happening at this point of time? You know, so we have given the, on the press release, we've already given what are the order inflow and things like that. Complete details of what is the unexecuted order book and the order inflow, more details have been given. Power sector, as of now, and also the railways, all the three of them have got good orders. Understood. Just a final question from my side. Just because you said that there was a downfall of revenues in the power segment, should we be seeing margins at the average level of third quarter and fourth quarter, or do you think that the 19% margin in the fourth quarter is also sustainable? I think we answered this question earlier. So it depends on the way the commodity prices are flowing. If the prices go up, my colleague also mentioned that copper prices have gone up by 10% in the last one month or so. So it depends on the commodity prices. If they are reasonable, they stay where they are, then probably we can hope to sustain these margins. Sure. Just a last question from my side. On the automation side of things, so you talked about drives as being an imponderable in the near term. Kind of extending into the adjacent, adjacent business of automation, when would that start becoming, let's say, an important focus area for us? Would it be FY 25, 26, this kind of a sense? We can't commit on any timelines. We want to grow this drives business. We never said automation. We want to grow the drives business. I can't put any timelines. Sure, understood. Those are my questions. Thanks a lot for your response. Thank you. Thank you. A reminder to all participants, you may press star and one to ask question. I repeat, you may press star and one to ask question. The next question is from the line of Garvit Goyal from Nvest Analytics. Please go ahead. Hi, sir. Am I audible? Hello? Yes, you're audible. Good evening, sir, congrats for a good set of numbers. My first question is on the power system. So we saw significant growth in power system in FY 24. So, at industry level, what is the outlook, for FY 25? Means, how the things are shaping up? Are you, are you people detecting any kind of slowdown due to elections going ahead? So power systems, we have both transformer and switchgear. So the order book, we have details we have shown, good amount of order book, good amount of inquiries. We don't expect any slowdown here. Okay, sir, and on semiconductor side, just to understand a bit from you, like, we are entering into OSAT. So when we say we are entering into OSAT, so does it mean, wafers will come from outside India only, and, we are there for assembly and packaging part? So if that is the case, can you explain, like, who will be our potential customers here? So this is too early to answer this question. You know, this is a completely new line of business. It will take some more time. I think this project itself will take about 3-4 years to complete. Maybe as we go, things will shape up, then we can share the information as we go on. It's too early now. Lastly, sir, Mr. Amit has been recently appointed as additional director for the company manufacturing to power semiconductor. Is it anywhere related to your entry into OSAT? What is he saying? Anything which we can buy from the OSAT. Definitely, whatever the requirements can be definitely met, but our requirement will be a minuscule of what is being going to be manufactured. Okay. Thank you, sir. Thank you, and have a good day. Thank you. The next question is from the line of Rajesh Vora from Jainmay Ventures. Please go ahead. Good evening, gentlemen. Mr. Srinivasan, is there a thought process, given the significant amount of demand on the power and, distribution side? What is the question? Is there a... Can you repeat, please? Question is, voice was not very clear. Can you repeat the question? Disconnected. Disconnected. Thank you. I will take the next question. The next question is from the line of Avesh from Chanakya Capital Services. Please go ahead. Yeah, thank you for giving me the opportunity. I just had one main question. The question was, can you give me a breakup of the motor and railway division in the Industrial, and also the transformer and switchgears and breakup in the Power Systems? Sure. The between the transformer switchgear is 45-55. Okay. And in motor and railways in industrial? Railway is almost 30% of the industrial business. Okay, thank you. Thank you. The next question is from the line of Bhavik Shah from MK Ventures. Please go ahead. Yeah, hello, sir. So you just mentioned on the call that we are seeing very strong demand in the transformer side, and, like, even if you add more capacity, the demand will get eaten up. So what is stopping us from adding capacity? Like, is there any constraint which you are facing? Do you see the significant things so you're not adding? No, no, we are already expanding from 17,000 MVA. We are expanding to doubling the capacity to 35,000 MVA in the power transformer. Similarly, the distribution transformer, we're adding 50% capacity. So these are what we can do within the existing premises in our current setup. So this has to be completed, and then only then we can think where we can do extra, whether organic, inorganic, et cetera. It is not just like that. We cannot keep on adding capacities. Okay. Right. So, sir, you see the demand sustaining for the next 2-4 years in this sector, or, like, how do you see the outlook here? I think, you know, so this demand can be sustained for next at least five years or beyond that. I'm just saying, you know, because it is all linked to derived demand. So what is happening in substations, what is happening in renewable capacity, new capacities are being created in the renewable segment. So like this, there are lot of other activities are happening to increase the power capacity itself. Therefore, you know, this demand for substation transformer and switchgear is going up on account of that. Right. And so this is, you're talking about only for the domestic part. You can also cater to the export part, which is not even, like, we are not looking there right now, right? So we are doing a little bit of exports. So both the transformer and switchgear, we are exporting. Right. And so if we export, like, is there a difference in margin? Do we see better margins in exports or, like, domestic margins and export margins are the same? It will be case by case, you know, depends on delivery period, depending upon what is the range, currency, so many issues are there, but if the margins are lower, we will not export. Okay, sir. Thank you so much. Thank you. The next question is from the line of Abhineet Anand from Antique Stock Broking Limited. Please go ahead. Yes, sir, this PT capacity increase, so what could be the revenue potential for that, sir? So, Ajay, you want to answer this question? Yeah. So we will be doubling our manufacturing capacity, and so the revenue will also double over the next 2-3 years. Just trying to understand on current pricing, what could that, let's say, the 17 K MVA that you talked about incremental, what could that mean in terms of revenue, but on current pricing or commodity? Should be around INR 1,800 crore. And, can you also help us with the DT capacity that we have presently and which we are increasing by 50%? Yeah. The DT capacity as of now is around 5,500 MVA, and that will go around 8,850-9,000 MVA. And in revenue terms, we will grow from INR 450 crores to somewhere around INR 700 crores. Okay, and when is the both of these coming on stream, sir? It will take around 1 year, another 12 months at least. Yes. Okay, it's not in a phased manner? The first revenue, apart from the INR 17K, will come, let's say, I mean, at 26 only, when from INR 17K to INR 34K that we are talking about, will come in FY26 only, no? Or will it come in a phased manner? No, it will not. After completion only. Okay, sir. Thanks a lot, Ajay. Fine, those were the questions. Thank you. The next question is from the line of Rajesh Vora from Jainmay Ventures. Please go ahead. Chidambaram, to explain that by FY 2025 end, there will be Vande Bharat supply will begin, and it will be of motors, propulsion system and all that. And this year, we are expecting 40% growth, as mentioned by Mr. Srinivasan. So could you explain a little bit in detail what is driving this significant growth? And, are we directly going to supply made for Vande Bharat, or will be via other players? Srinivasan? Yes, sir. Vande Bharat, we will be supplying directly to Indian Railways and other companies we are discussing with who got the complete train set orders. And this is how we want to enter Vande Bharat. Vande Bharat, Vande Sadharan and Vande Metros, they will be made by the Rail Coach Factory in Kapurthala or Modern Coach Factory in Rae Bareli, or Integral Coach Factory in Chennai. So we might be supplying the composite converters and motors directly to Indian Railways only to these production units. And what is driving the growth? Railways used to traditionally manufacture around 1,200 locomotives. They've gone up to 1,500 locomotives this year. And there is a limitation of approved supplier. Approvals and propulsion system generally takes around three years' time. We are one of the approved suppliers, that gives us the privilege, to increase the, you know, we got the increased orders. Other than your company, who are the other propulsion supplier approved for Indian Railways? Is it Medha? So we cannot comment on that. We have no idea of who are the other companies. Okay. Thank you. All the very best. Thank you. A reminder to all participants, you may press star and one to ask question. I repeat, you may press star and one to ask question. The next question is from the line of Amish Kanani from PL Capital. Please go ahead. Hi, sir. Thanks for taking my question. My question is with respect to you mentioning in your opening remark about the intense competition in LT motors. So just wanted to understand from you, how much is the LT motors contribution and, within the overall motors market, since LT motors segment, you mentioned, is declining, any parts or any other industry where the, you know, motor demand is seeing ramp up? And how is our strategy to deal with the LT motor facing competition? Is there any product mix change which you are looking for? Anything you would like to highlight on the motor side. LT motors forms the large, larger part of the overall motors. The motor size of the business, the LT motors occupy almost about 60%. So then your questions, you know, product mix, strategy, et cetera, we—I cannot disclose, no. We cannot disclose this in the call, actually, and then, you know. We will see the what kind of product mix, what the market wants, what product we should produce, where my contribution is higher. There are ever so many products are there, and so what we will do, et cetera. These are internal and we are. Of course, we are working on this day in and day out. It's difficult to make those kind of details public. Sure, sir. So how much was the motors, LT motors contribution in FY 2024? Share? You are meaning share? Yeah, yeah, within industrial systems, yeah. I think it's 80%, 85. If you take industrial systems, you know, that's to take out railways, then railways, that is about 70%. Okay. So, they're earning 70%-85% from motors, right? Correct, correct. Just one clarification on the railway side. So the 30% which is coming from railway is all coming from propulsion system. Is it right understanding? No, we have different motor products. Okay. Okay, sir, no worries. Thank you. Thanks for taking my question, yeah. Thank you. If there are no further questions from the participants, I now hand the conference over to Ms. Renu Baid for closing comments. Over to you. Well, on behalf of IIFL Securities, I would like to thank the management and the participants for their interactive session. I would now like to hand over the call to Mr. Srinivasan for his closing remarks. Thank you, and over to you, sir. No, so thank you. Thank you, Renu, and then other participants for the participation and asking questions. I have nothing more to say. Thank you again. Thank you. On behalf of IIFL Securities Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines. Thank you.