Ladies and gentlemen, good day and welcome to the Aditya Infotech Limited Q1 FY 2027 earnings conference call, hosted by ICICI 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 at the end of today's presentation. Should you need assistance during this 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 would now like to hand the conference over to Mr. Aniruddha Joshi from ICICI Securities Limited. Thank you, and over to you, sir. Yeah, thanks, Manav. On behalf of ICICI Securities, we welcome you all to Q1 FY 2027 results conference call of Aditya Infotech Limited. We have with us today senior management represented by Mr. Aditya Khemka, Managing Director, Mr. Anup Nair, Director, Strategy and Business Development, Mr. Yogesh Sharma, Chief Financial Officer, and Ms. Deepika Dubey, Head of Investor Relations. Now I hand over the call to the management for initial comments on the quarterly performance, and then we will open the floor for question and answer session. Thanks, and over to you, Aditya, sir. Thank you, Anirud, and good afternoon, everyone. Thank you for joining with us today. I am pleased to welcome all our shareholders, investors, analysts, business partners, and stakeholders to discuss Aditya Infotech Limited's performance for the first quarter of FY 2027. This quarter reflects the strength of our business model, disciplined execution, and our continued focus on innovation, market expansion, and operational excellence. I am pleased to share that we have commenced FY 2027 on a strong note and remain confident in our growth trajectory for the year ahead. Let me begin with our financial performance. I am pleased to share that the Q1 FY 2027 revenue stood at INR 1,402 crore, which is up 89.5% year-on-year, driven by strong traction by CP PLUS brand in the overall AIL revenue. IP products made up 79% of CP PLUS portfolio. Our gross margin stood at 30.8%, up 8 basis points year-on-year, with CP PLUS contribution rising to 87% of our revenue. Margins moderated slightly from Q4 due to the exhaustion of lower-cost inventory. EBITDA stood at INR 208 crore, up to 20% year-on-year, with margins improving by 604 basis points to 14.8%, supported by a favorable product and brand mix, as well as better operational efficiencies. Adjusted PAT stood at INR 142.2 crore, up 332.5% year-on-year, attributed to lowering of finance costs by 59% year-on-year and better cost efficiencies. The CP PLUS brand continued to maintain strong momentum and contributed approximately 87% of our overall Q1 revenue. The IP products accounted for nearly 79% of CP PLUS portfolio, which reflects the increasing adoption of higher value and intelligent AI surveillance solutions. Beyond growth, our focus has been on improving quality of earnings and capital efficiencies. Our working capital metrics also showed meaningful progress, with reduction in inventory and data days, resulting in the improvement of cash conversion cycle to 64 days. At the same time, our balance sheet remains robust, with debt- to- equity reducing sharply to just 0.07% level. These metrics highlight not only growth, but sustainable and profitable growth. This year marks as an important milestone for Aditya Infotech. On August 5, 2025, Aditya Infotech Limited officially debuted on the stock market under its flagship security brand, CP PLUS, with an oversubscribed IPO that listed at a significant premium. On the back of an exceptional year of business and margin growth, Aditya Infotech valuation has grown over 5x to touch nearly almost INR 45,000 crore. We would really like to thank all investors and shareholders for their confidence and trust in our journey. Our major step in our growth journey has been the inauguration of our new corporate office and R&D center on 2nd August, 2026. This facility combines a modern workplace and experience center, as well as highly advanced innovation and testing laboratories. It strengthens our product development capabilities, improves team collaborations, and reinforces our commitment to innovation-led growth. We currently have three operational R&D centers now, including Noida, Ahmedabad, and Taiwan, and we will shortly be opening a new one in Bengaluru. Our market share stood at 43.3% in the Indian video surveillance industry in FY 2026 as per the Frost & Sullivan report. We are pleased to see strong gains in our market share, with our position effectively doubling over the period shown. This reflects the growing acceptance of our products, wider channel penetration, as well as our ability to address evolving customer requirements across all major vertical segments. Manufacturing remains a key strategic pillar. Our housing and enclosure expansion is progressing as planned and is expected to become operational by Q3 of this financial year. We are also advancing on our Kadapa greenfield expansion, and the land acquisition for same is in final stages. The Kadapa facility currently supports a capacity of approximately 2.5 million units per month, providing a strong foundation for future growth. We are also developing a second manufacturing cluster in Greater Noida, and the land bank already has been identified and applied to the authorities for allocation. In parallel, our localization incentives continue to move forward. We have incorporated Corelink Cable Technology Private Limited, a joint venture with Orient Cables, for manufacturing of network LAN and CCTV coaxial cables. The proposed facility in Rajasthan will cover approximately 1 lakh sq ft and is expected to start commercial production by end of this financial year. During the quarter, we continued to scale our manufacturing capacity to meet growing demand. This month, we are adding three more FA lines and one MI line, and with this addition, we have a total of 42 FA lines, four MI and 12 SMT lines by the end of August. Innovation remains central to our future growth. We are actively exploring to expand into new categories, including machine vision cameras, drone camera modules, industrial autonomous mobile robots, and home IoT products such as video door phones, door locks, and smart doorbells. We are also broadening our professional portfolio through CP PLUS Pro series of high-end AI-powered solutions, global shutter cameras, and explosion-proof products. Several of these offerings are currently under final stage of development and targeted to launch by the Q4 of this year. We are also accelerating the rollout of NEXIVUE brand and expanding the product portfolio further under this second brand in the coming months. This enables us to serve a wider range of customers and increase channel partner coverages. A key strategic initiative is our enhanced focus on enterprise, government, and AI-driven opportunities. We are moving towards a top-down demand generation model. This involves identifying target accounts, engaging customers directly, securing empanelment at their design stage, and fulfilling projects through a strong system integrator and channel ecosystem. This approach enables us to influence demand and specification at an earlier stage, improve specification wins, and advance our position with the value chain. Dedicated teams in demand generation, pre-sales, business development, and vertical solutions are helping us deepen customer engagement and strengthen our position in larger, higher value projects. Artificial intelligence represents one of the most significant growth opportunities ahead. We are progressing through multiple stages across government, enterprise, small and medium-sized businesses, as well as strategic market segments. These stages range from proof of concept and commercialization to development and evaluation. Our objective is to build scalable AI-powered solutions that leverage our existing market presence while opening entirely new avenues of growth. As we continue to scale, building leadership depth remains a priority. Over the last year, we have strengthened our leadership teams through key appointments, including the Head of Credit and General Counsel. Our CHRO will join shortly, and recruitment for the Head of Merger and Acquisition is progressing. Alongside this, we are building a stronger second- line of leadership across marketing, finance, product management, and sales functions. These initiatives will ensure leadership continuity, accelerate execution, and support sustainable long-term growth. We also remain focused on strengthening supply chain resilience and procurement flexibility. Our engagement with a diversified base of SoC memory, flash, and sensor suppliers has helped reduce concentration risks and enhance our ability to navigate periodic disruptions across the global component ecosystem. We continue to follow a multi-sourcing strategy to manage these risks and ensure greater supply chain resilience. To conclude, Q1 FY 2027 represents a strong start to the year. We have delivered exceptional growth, expanded profitability, strengthened our balance sheet, advanced our manufacturing strategy, accelerated innovation, and laid the foundation for future opportunities in enterprise solutions and AI. As we move forward, our focus remains clear: delivering sustainable growth, strengthening market leadership, investing in innovation, and creating long-term value for our shareholders. Thank you once again for your continued trust and support. We look forward to sharing another successful year with all of you. [Non-English content]. Thank you. Thank you. We will now begin the question- and- answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. A reminder to all participants, if you wish to ask any question, you may press star and one. We have our next question. First question from the line of Dhruv Jain from Ambit Institutional Equities. Please go ahead. Hi, team. Thanks a lot for the opportunity. A couple of questions. First question is on what is the kind of price hikes that you have taken in this quarter? I think Aditya sir alluded to the fact that your low-cost inventory is over. Just wanted to understand if there is now a gap between the prices that you are seeing, and what is the kind of price hikes that you are taking, what extent, rather? That is my first question. We are trying to not pass the whole price hike at one go in the market because the cost hike in DDR and SoC has been phenomenal across all product categories, and not only CCTV. I think we have so far played it well, and it is showing in our numbers also. We are doing it on a monthly scale or a two-month scale or some products in a quarterly scale. Product to product, it varies. It has varied from between 10%-20% so far. As we move forward in the Q3 and Q4, we are watching carefully with respect to the cost escalations and then passing in a gradual manner to the customer. We do not pass inflationary shock to the consumers, which might infect some consumption temporarily. So far, we have not seen any consumption effect in a major way. We hope that we are able to mitigate the inflationary pressures in the coming future. Okay. Sir, my second question is on backward integration. With two of your key backward integration projects coming through in this year, what is the ideal margin improvement that one should expect in possibly FY 2028? In connection to that, what are the other form cost components that you think you will be able to do it in-house so this margin improvement trajectory then continues? Dhruv, we are doing several activities on backward integration, be it housing enclosures, cable connectors, lenses. In the future, we will also plan their PCBs locally with third-party partner supply chains. I think all of these will have certain basis points additions. We are working, and we have also worked on certain numbers, what it can add. It will be early to make a comment on how much it will be, but in each of these categories, we will have some strengths being built within the organization with the scale of manufacturing and the scale of localization. I would probably not be able to comment exactly what percentage of margin improvement will happen. But yeah, there will be a couple of basis points in the coming future as we scale up each aspect of the localization. And, sir, which products, you mentioned their PCB, but any other couple of other products that you think in the next phase of backward integration that you look to do? See, all I can say is whatever is possible in India, we are as a company trying to do that. What is today not possible and it is not core to our business, we are not doing. Something like semiconductors or passive electronic product components, we are still not entering into localization because it is largely dependent on KGD, fab, and other things. But everything else, we are step by step, moving towards that. As we progress towards the end of this financial year, all of this will be kicked off in high scale. We are already doing it through third party, some here and there, trials and other things, but scale manufacturing in-house will kick off in Q3, Q4 of this year. Got it, sir. Just one question, if I may. You spoke about entering new product categories and expanding your target market. If you could just speak a little bit about that in terms of new product categories, what is the kind of addressable market that you are trying to cater to? Any other details would be very helpful. Thanks a lot. Sure. We are doing a couple of things in different segments of the market. On the enterprise government segment, we are creating a series of products which we will call CP PLUS Pro series. These are products developed by our Taiwan R&D center, and these are on the highest end category of SoC components, stuff like that. This you can compete with the highest category of global brands, and the features are really top-notch. This will largely address to the high-end government, high-end enterprise demand, which was a little bit of a vacuum that the last leg was missing, and we are plugging that. This will also challenge a lot of global brands, because their costs are much higher, and CP PLUS will offer a much better value proposition to our customers with such high specs. That is one. Second, on the home and IoT space, we are expanding more categories for smart home and secure home. On access to the home, like door phones, doorbells, stuff like that, is what we are expanding. Door locks maybe. These three categories we are expanding. Third, we are looking at more futuristic industrial automation, like industrial robots, AMRs, those kind of products. Machine vision cameras, which are very high speed, high precision cameras on manufacturing lines. Also drone gimbal cameras, which we have already started studying and soon, we hope to bring that in order in the coming years. Right now, the drone gimbal cameras is not being manufactured much in India, to best of our knowledge. I think we are, as a company, best positioned to do the cameras for the drones. These are the new categories and initiatives under exploration. All of them are at different stage of go-to-market strategy. Thank you so much. Thank you. Thank you. We have our next question from the line of Naushad Chaudhary from Aditya Birla Sun Life Insurance. Please go ahead. Hi. Thank you for the opportunity. Congrats on a good set of numbers. To follow up on Dhruv's question, the new initiatives which you are taking for new categories, can you- Sorry, Naushad. Naushad, I could not understand. If you can repeat, please. Is it better now, sir? Yeah, much better, Naushad. On the new category initiatives, what kind of TAM could expand for us once we roll out all these categories? Naushad, we are working on three or four different ones. Every category will have a different possible TAM. The CP PLUS Pro series, of course, has a decent TAM, which is being catered by global brands right now, and we wish to enter and capture a size in that segment, which is largely the percentage of market catered by the global brands. The home IoT is a new market development. Doorbells, door locks, these are things which eventually we believe should be part of every home. But it is a market to develop. And of course, potentially in the next several years could be a great TAM. The industrial automation and all we are exploring right now and the drone gimbal cameras, we are working in developing the market studying reports and all, and also the product development and supply chain on those categories. There is work already begun and taking good progress. Would it be fair to assume it could add additional at least INR 5,000 crore-INR 10,000 crore of opportunity? I hope so. Let us see. With early phase, I cannot comment today. But these are good adjacencies is all I can say, and we as a company have good expertise on these technologies. Whatever add-on expertise required, we are building. We are building even teams for the go-to market on each of these specialized lines. I think we as a company have always tried to develop future technologies earlier to the market, and these new initiatives are in line with that we eventually evolve as a market leader only. Okay. On the margin profile side, I heard what you said on Dhruv's question. Qualitatively, with all the backward integration initiatives, the tech tie-up which we have, and increasing our revenue share from the own brands and IP camera, and I am sure other initiatives you would have taken, plus price hike, which may give some operating leverage as well. With all these initiatives, is there any further scope from here on, a meaningful scope to lift the margin profile of the overall business? Naushad, I think we have given our guidance for the year, which is 14%-15% EBITDA. We, in quarter one, stand by that only. I think we are at 14.8%. At this moment, we would stick to the guidance and yeah, internally, we work on always try to beat the guidance. I think we will probably comment more on that after the first half year results. Sure. Thank you so much, team. All the best. Bye. Thank you. Thank you. A reminder to all participants, if you wish to ask any questions, you may press star and one. Anyone who wishes to ask a question may press star and one on their touch/tone telephone. We have our next question from the line of Anuj Kashyap from A3 Capital. Please go ahead. Hello. Good afternoon, team. Am I audible? Yeah, Anuj. Maybe if you can be a little louder, it will be better. Okay, Mr. Aditya. I wanted to know, sir, that we have established a 43% market share is under our control. Sir, as a brand or as a strategy, are we seeing that there is a moat around our brand? Sir, why I am asking this question because recently government, it has allowed Chinese firm into the transformer side of the electrical equipment side, which before it, Indian side was protected. Supposedly, we see the government passes some orders and allows Chinese firm again into India. Do you think, sir, that our brand is able to build a moat around, whether it is price-wise, value-wise, or any of the strategies? I wanted to know about it. Yeah. Anuj, hi, this is Anup here. In all our presentations also, we have been talking about the levers that we have, and we believe there are multiple levers. One is, of course, the strength of the brand. It's almost enormous with the category. The distribution reach, and we focus quarter on quarter in increasing that, whether it's the distribution reach or the direct connect with SIs and end customers. Of course, the manufacturing, which we think is unparalleled. We have often spoken about our plans and expansion plans here. We have the third largest factory in the world. The R&D, which is also evolving into a great strength for us, which is also allowing us to broad base our sourcing. The manpower and the management depth that we spoke about. All these are modes which are playing itself out. Even now, if you look at the STQC that you're talking about, there are almost 40 + brands which we think have got impaneled. It's not as if there is no competition. There is competition, but we are sticking to our execution plans and the market shares across categories. We map it, and we are comfortable with where we are placed right now. With regards to the other things you said, CCTV is a priority sector for the government, and we do not see any deviation from policy from the government side at the moment. Thank you, sir, for the detailed answer. Sir, best of luck for the future endeavors. Thank you. Thank you. Thank you. Thank you. A reminder to all participants, if you wish to ask any questions, you may press star and one. Next question is from the line of Mudit Bhandari from IIFL Capital. Please go ahead. Hi, sir. Thank you for the question. Regarding our joint venture for cable manufacturing, how much would be the cable, let's say, the percentage of raw material or sales when we give guidance of revenue of INR 60 billion to INR 65 billion for FY 2027? Yeah. Hi, Mudit. There's two part of the cable strategy. We spoke about that the JV will manufacture, of course, CCTV cables and networking cables. And also then we spoke about component of the camera, which is the harness cables and all. The first two that we spoke about is sold in CP PLUS brand more as an attached business to the BoM. It doesn't go within the BoM. That's the first priority for the JV. That we would say is less than 5% of the overall business. At the second stage, yes, the JV will get into helping us localize in terms of the CCTV, the cable cameras and the harness cables. But the amount of optimization and the backward integration that can happen is minimal. It's in some percentage points. I think we can speak of that in the future calls. I think it will be single- digits. Got it, sir. Just to clarify, 5% of business means 5% of revenue, right? Of CP PLUS's revenue as the cables business. That is the accessories attached business that goes along with the CP PLUS brand. How much of INR 60 billion to INR 65 billion? See, currently, what we spoke, we are saying that CP PLUS is almost 87% of the overall company, so you can do your maths. Okay. Got it, sir. Thank you so much. Thank you. A reminder to all participants, if you wish to ask any questions, you may press star and one. We have our next question from the line of Shubham Thorat from Perpetual Capital Advisors. Please go ahead. Yeah. Thank you for the opportunity. Am I audible? No, I think you're— No, Shubham. You need to speak with your handset. [inaudible] The line for the participant got disconnected. We have our next question from the line of Saurabh Shah from AUM Fund Advisors. Please go ahead. Hi, Aditya. Thank you for a great set of numbers. One question was, from a sourcing side, how much of your BoM is imported equipment, in terms of the chips and all that, and from which countries, if you could please clarify? Saurabh, right? Yes. Yeah, Saurabh. Hi. Aditya here. Saurabh, BoM-wise, if you look at the critical parts, which are the semiconductor-based solutions, are all largely from Taiwan, because most of the fabs are from Taiwan. These are companies which are Japanese, Korean, American or Taiwanese. As per the Indian law, now you are not allowed to use anything on semiconductor from Chinese. All our supply chain is from Taiwan, and that's almost 35% of the BoM. Another 15%, 20% is passive electronics. Now, those come from both Taiwan and China. The other parts, which are housing enclosures, cable connectors, and soon we are already doing trials for lenses, and few other categories. Now, that will be localized. I would say a 55%, 60% import solution and a 40% domestic is something we are eyeing, probably once all these localization initiatives kick off in the next two quarters. Thanks. Over a period of the next two, three years, do you expect that to change? Especially as you said, you're looking at newer areas. I think after, like I said, everything what is possible, AIL and CP PLUS is moving in that direction or already doing it in India. Now, in the next few years, there is a lot of talk of fabs coming in. If fabs come in, semiconductor can be sourced locally because, even us, we are also working with India design companies together to develop India-based chips also. If fabs come up, it all depends on that. And the scale comes up, we can localize. If the bare PCB scale, which a lot of companies are making, come up, we can localize. Those are the two initiatives we feel can be done. Lenses is one. We are taking the initiative as a company to build a completely backward integration plant. Right now, we are setting up a trial as an automatic line to produce a few lakh, but we are working parallelly on a fully automated plant. If that works out, then that could be localized. These are future possibilities, but early stage to make comment that will it be done or not. Sure. Last question from my side. Going forward, how do you see the, apart from the sourcing issues, the currency exposure, how are you currently managing and any changes to that do you anticipate making? Because obviously the last couple of quarters. Yeah. Over to you. As a company, we follow a practice of hedging our bets on the Forex exposure. We have been doing that for maybe more than 5, 7 years, or I do not remember how many years already. Currency, of course, affects the costing, but we are, as a company, hedging it on a weekly basis. Every week we hedge the currency, and we build it as part of our costs. Can we just explain that a little bit more? Because, you have inventories, which obviously helps with the currency that appreciated for competitors. But if you have committed sales values and you have to import some parts, then do you get caught on the wrong foot? Just explain, what is the value you hedge, for example, and how do you lock in sales to effect that? Saurabh, we have a complete detailed policy on our hedging where it is reviewed by the board, and it is adjusted. Aditya was just mentioning, we have not gone below 85% of our complete receivables at creditors at any point in time. According to the trends and what we see, it keeps getting adjusted between 85%-100%, and any particular quarter that is a policy. Currently, we would be at 90% plus levels of Forex covers. In a way, that insulates us from any volatility in the Forex market. I hope that answers your question. It is like what he meant is after. What happens is every week shipment, we try to block it in the coming week. We try to keep that hedge of 85%-90%. Okay. Good to hear. Thanks. Thank you. A reminder to all participants, if you wish to ask any questions, you may press star and one. We have our next question from line of Sargam Garg from ICICI Bank. Please go ahead. Hi, sir. Thank you for giving me the opportunity. So, sir, a couple of questions I have. One is, sir, since April 2026, the government has banned the Chinese products and the components. So, just want to know the impact on the company because of such banning. So, see, what happened is the government came out with the STQC norm where you could not use Chinese semiconductors and Chinese memory in developing CCTV products, and the products had to be completely cyber secured, well tested by Government of India. This norm actually came out on 9th April 2025, not 2026. In March 2026, what they came is that they had allowed the old inventory to get cleared. So, after 1st April 2026, the old inventory, even if you have, you are not allowed to sell. So, they gave good 10, 11 months to clear the inventory. But the stoppage of selling Chinese component-based products on the semiconductor side happened in 2025. So, it is almost now one and a half year of the transition. And the market has, of course, pumped a lot of old inventory in the beginning of 2025-2026, which is all exhausted. Now, I think, as Anup also mentioned, there are almost 40 plus brands in the market who are certified and selling certified ER products. The supply chain side and the cost escalation side, there are challenges which I think a large organization with the ability to secure semiconductors like us is in a better position to mitigate, and some smaller players are grappling through those challenges. That is what is happening in the market. We as a company are constantly focusing to continue to grow our market share, which we are showing in every quarter results that we are delivering, and we are strong and confident to do that in the coming quarters also. Okay. Thank you, sir. Another question is, sir, is there any impact of the Middle East crisis on the raw material procurement or any supply chain? No, we don't have any impact on the Middle East crisis, thankfully, on the supply chain at this moment. We have not faced any such issue, barring some impact on the Forex, which we go hedged. Freight and logistics. Okay. Thank you, sir. The last question from my side is, I just want to know about the sustainability of margins, because now as you mentioned that the low-cost inventory has been exhausted as of now. Sargam, we have already answered this question that we stick to what we have guided for the year, and the price rise that has happened on the supply side, it is a pass-through, but there might be a time delay because we are gradually passing it to the market. But we stick to whatever we have guided for the year, and internally we will try to overachieve that. Thank you so much, sir. Thanks a lot. Thank you. We have our next question from line of Shubham Thorat from Perpetual Capital Advisors. Please go ahead. Hi. Am I audible now? Yes. Yes. Okay. Thank you for the opportunity, sir. My first question is, I just wanted to know what is our current capacity and what kind of capacity utilization are we doing? Yeah. Shubham, our current capacity is at about 2.5 million units per month, and currently our capacity utilization should be at between 85% to 90%. Month on month, it slightly varies based on the supply chain and all, but it's currently at about 85%, 90% utilization. Got it. Since the utilization is at higher end, we are planning for the CapEx, I understand. Do we have any timeline around the CapEx, when we will be ready with the newer capacity and what capacity are we trying to add? Yeah. We have broadly spoken about almost doubling this capacity in the next three years. We are doing an intermediary land expansion we have acquired in Kadapa, so that will be where the first expansion happens. Then we are looking at a land bank in Greater Noida, which will be our second manufacturing cluster. There will be a gradual workup in capacity that you will see quarter on quarter. Okay. Then I understand, sir, that you mentioned we are passing on the price increases gradually. Just wanted to understand how much average price increase that we have already taken, and how much more we will need to take in order to pass on the whole price increase. Shubham, again, we answered this question. We have been taking it month on month. It is different across categories, but on average, I think by the end of this H1, we would have taken almost a 15%-20% price increase, and then we will keep reviewing it month on month and quarter on quarter. For the whole year, we had almost guided that it might be around 25% price increase. So we keep monitoring it quarter- on- quarter. Okay. The last question from my side is, I understand that we are entering into some new product categories. Any broad timeline around when we will be launching these products category-wise? We have discussed about different set of categories. One on the enterprise side where we spoke about CP PLUS Pro, which is coming out of our Taiwan R&D and other sources. That is the most closest timeline, which should be live by the end of Q3 and the beginning of Q4. The similar kind of timelines are for the home IoT category that we spoke. The third category in terms of the AGV, the home robots, industrial robots, and the cameras for the drones, that is more at an exploratory and study stage. We will come back to you when we can sort of commercialize that. Just one final question. How much is our R&D cost as a percentage of revenue currently? Shubham, currently, R&D is something which we are heavily investing into, and we do not budget for that as percentage of revenue. It's more at the moment, it's a mode for us, and it's a strategic initiative. We are expanding. We do not look at this as a percentage of revenue. Currently, whatever is needed as investments on that side, we are going ahead with the same. Okay. Understood. Thank you so much, sir. That's it from my side. Thank you. Thank you. We have our next question from line of Udit Gajiwala from Motilal Oswal. Please go ahead. Yeah. Hi, team. Good afternoon. Firstly, congratulations on another great set of numbers. Thank you. Hi, sir. You mentioned about this enterprise range of CP PLUS where you mentioned we are doing it at a global standard. Just wanted to check, domestic, you all are doing a phenomenal job. How much this will help us in exploring the export opportunity and what are the plans there, if any? Yes, you are right. This is essentially the portfolio that will go into the export opportunity that we are looking at. Export, like we mentioned, is on our table and it is in our plans, but it is slightly longer term in terms of maybe in the next 18-24 months is where you will see in terms of significant numbers coming in. Currently, with the supply chain constraint and the capacity expansion that are happening, that is where we are focusing on. The portfolio by then will get sort of released in the Indian market and field tested, and then you will see us focusing on export opportunities. Okay. That is still on drawing board, but in 18-24 months, we may think of making that also as another growth lever for us. Yes, Udit. All right. Rest have been answered, sir. Thank you so much. All the best. Thank you. We have our next question from line of Shreyansh Talesara from Equentis Wealth Advisors. Please go ahead. Hi, sir. Thank you for the opportunity. Sir, last time, I think you mentioned there were lot of issues around chip sourcing side overall as an industry trend. What are we seeing now? What is it? How is it playing out now? Maybe last time when we spoke, maybe with Anup or somebody else, the situation was that we have chips sourced till March of next year. Maybe if you could indicate how secured are we as of today, that will be helpful. The second question is on the other expenses side, I think it increased from INR 950 crore to INR 1,170 odd crore. Anything material to read there or nothing material as of today? Yeah. Shreyansh, yeah, this is Anup here. The first question, yes, we had spoken about that as a strategy on the SoC and memory side, we continue to cover for three to four quarters. That we are continuing as a policy. The supply side constraints still continue. The price hikes are still going on. From the commentary that we are hearing from the global sources, it's expected to continue for some more time. But we are fairly covered in terms of our relationships and our sourcing strategy there. I think in terms of how we are managing, I think we are pretty comfortable. Your second question was around? The other expenses side— Yeah We are covered till next June, maybe I can assume that? Shreyansh, we are not talking about March or June. We are talking about a sourcing strategy where we give projections to those vendors and we cover. Cover doesn't mean that I can tell you it's March or June. It's a strategy. We keep rolling forecasts going with them. That forecast is for anything from between three to four quarters. Got it. Nothing material in terms of disruption in terms of sourcing. No. Got it. Second question was on the other expenses side. Yeah. There's nothing, it's more or less in line. Some of the expenses, there's a seasonality to it. For example, there's a marketing expense. It might not be in line with the 20% revenue, which has to happen in the first quarter. There are some IPL and which also maybe a marketing expense would be at maybe 30%- 32% of the whole year. Some of the other expenses are in line with the inflationary, like appraisals and multiple things. There's nothing odd in that. It's all in line. Got it. Fair enough. Thanks a lot. Thank you. All the best. Thank you. Thank you. Ladies and gentlemen, that was the last question of the day, and I now hand the conference over to the management for closing comments. Thank you all for attending this call. We believe we'll meet in the further calls and we'll continue to deliver results that beat the expectations. Thank you. Thank you. On behalf of ICICI Securities Limited, that concludes the conference. Thank you for joining us and you may now disconnect your lines.