Ladies and gentlemen, good day and welcome to the ICICI Prudential Asset Management Company Limited's earnings conference call for the quarter ended December 31st, 2025. 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 this conference, please signal an operator by pressing star and then zero on your touch-tone phone. I now hand the conference over to Mr. Nimesh Shah, MD and CEO of ICICI Prudential AMC Limited. Thank you, and over to you, sir. Welcome, everybody, to our first earnings conference call as a listed entity. We have got with us my colleague, Navin Agarwal, the CFO of the company; Amar Shah, the Chief Business Officer; Abhijit Shah, the Chief Marketing and Digital Officer; and Harshad Sanghvi, who looks after investor relations. We'll be there to address all your queries subsequent to the opening pitch. If we talk about the industry, mutual fund industry, as all of you know, has seen a robust trajectory of growth over the last five years, with the industry AUM growing threefold. The industry's quarterly average asset under management grew by 18.1% year-on-year and 5% sequentially in Q3 financial 26, reaching INR 81 trillion. Equity and equity-oriented quarterly average AUM, which commands the largest pie in the overall mutual fund industry, increased by 16.7% year-on-year and 5.3% quarter-on-quarter to INR 44 trillion. The industry witnessed net inflow of INR 1.8 trillion during the quarter. The equity category continued to be at the forefront, attracting the net inflows of INR 1.1 trillion. The SIP contribution for the month of December 2025 amounted to INR 31,002 crore, as compared to INR 293 billion and INR 264 billion in the month of September and December 2024, September 2025 and December 2024. In the debt segment, the quarterly average AUM grew by 21% year-on-year and 2.3% quarter-on-quarter to INR 13.4 trillion. Passive quarterly average AUM grew by 23% year-on-year and 9.5% sequentially to INR 13.5 trillion. Industry saw an increase of unique customers reaching 59 million, which represents an increase of 12.1% year-on-year and 3.4% as compared to the previous quarter. Now I hand over the call to Harshad Sanghvi for covering the performance of our company. Thank you, Nimesh. Good evening, everyone. For the quarter ended December 2025, our total mutual fund quarterly average AUM reached to INR 10.8 trillion, which is up by 6.1% sequentially and 23.2% year-on-year, thereby maintaining our position as the second-largest AMC with a market share of 13.3%. As of December 31st, 2025, we continue to have the largest market share of 13.5% in active schemes with a quarterly average AUM of INR 9.1 trillion, reflecting an increase of 5.2% as compared to the previous quarter and 20.6% year-on-year. As of December 31st, 2025, we continue to have the largest market share in equity and equity-oriented schemes of 13.8% with a quarterly average AUM of INR 6.1 trillion, reflecting an increase of 7.3% quarter-on-quarter and 23.6% year-on-year. The quarterly average AUM of our equity-oriented hybrid schemes amounted to INR 2.1 trillion, with a market share of 26.3% as of December 31st, 2025. This reflects an increase of 9% Q on Q and 26.8% year-on-year. These market positions serve as a testament to our ongoing commitment to achieving risk-adjusted returns for our customers. In the debt segment, our quarterly average AUM stood at INR 2 trillion, reflecting a growth of 18.9% year-on-year and 2.7% as compared to the previous quarter. Our passive quarterly average AUM reached INR 1.7 trillion, representing a growth of 39.4% year-on-year and 10.8% sequentially. For nine months ended December 2025, our margins on annualized basis stand at 67 basis points for equity, 32 basis points for debt, 12 basis points for liquid, 9 basis points for passive, and 30 basis points for arbitrage. We have a unique customer base of 16.2 million as of December 31st, 2025. In December 2025, our systematic transactions, which includes SIP and systematic transfer plans, increased by 4.9% to INR 50.37 billion, which was up from INR 48.03 billion in September 2025. This also marks an 18.6% rise compared to INR 42.47 billion in December 2024. Notably, 95.7% of our total mutual fund purchase transactions were executed across digital platforms for nine months ended December 2025. Our distribution mix of equity schemes' quarterly average AUM is as follows, with direct representing 28%, mutual fund distributors accounting for 37.3%, ICICI Bank contributing 8.1%, other banks share at 11.1%, and national distributors accounting for 15.5%. Our net flows market share in equity schemes exceeds our AUM market share. We have received approvals to launch specialized investment funds under the brand ICICI, pursuant to which we are launching two SIFs. Our long-term strategy for mutual fund is to, one, maintain focus on the investment performance with a risk-calibrated approach. Two, we continue to focus on retail growth, specifically through systematic transactions. Expand our customer base through distinct initiatives, increasing penetration in existing and new markets. And strengthen relationships with our distributors. Leverage our technology and scale digital capabilities to drive customer acquisition and enhance customer experience. Now let's move to our alternative business, which comprises equity-focused PMS and alternative investment funds, which strategies comprising private credit, long-only equities, office yield, and real estate funds. For the December quarter end, our alternative quarterly average AUM stood at INR 752.8 billion. With alternates, our PMS quarterly average AUM grew by 7.5% sequentially and 22.6% year-on-year to INR 272.81 billion. Our AIF quarterly average AUM of INR 159.09 billion reflected a sequential growth of 8.6% and 40% year-on-year. For nine months ended December 2025, the growth yield on our alternate business was 1.99%, and the net yield, that is, after reducing the fees and commission expenses attributable to the alternate business, was 97 basis points on an annualized basis. We have established retail FME branch presence in GIFT Citi. This expansion will enable us to launch retail schemes and ETFs, alternate investment funds, PMS, and advisory services for clients within IFSC GIFT Citi. We would also like to share an update on DIFC. We have received requisite approvals to commence the operations, which will help us to effectively serve the investment needs of NRI and international investors across the Middle East. I now hand over the call to Navin for covering financial performance of the company. Thank you, Harshad. Good evening, everyone. I'll cover the financial performance overview for the quarter ended December 2025. Our operating revenues stood at INR 15.15 billion, representing a growth of 23.5% year-on-year and 6.7% sequentially. Our other income for the quarter was recorded at INR 1.09 billion. Operating expenses amounted to INR 4.05 billion, which was an increase by 8.5% year-on-year and 0.6% quarter-on-quarter. Our operating profit before tax, which indicates the core profitability of the business, stood at INR 11.10 billion. This represents a 30% increase year-on-year and 9.1% rise on quarter-on-quarter. Profit after tax stood at INR 9.17 billion, which is up by 45.1% year-on-year and 9.8% quarter-on-quarter. Return on equity for nine months ended December 2025 is at 87.9% on an annualized basis. The board of directors additionally have approved an interim dividend of INR 14.85 per share. For nine months ended December 2025, if you look at on an overall yield and net yield, our annualized basis, the overall yield was 52 basis points and the net yield was 48 basis points, respectively. Net yield is arrived at after reducing the fee and commission expenses on alternates, which is shown as an expense item in the P&L. For nine months ended December 2025, our operating margins stood at 37 basis points as compared to 35 basis points for nine months ended December 2024. This is on an annualized basis. Our employee count as of December 31, 2025, was 3,522. With this, we can move to the Q&A. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to please use handsets while asking a question. Ladies and gentlemen, we will now wait for a moment while the question queue assembles. Our first question is from the line of Lalit Deo from Equurus Securities. Please go ahead. Yeah, good evening, sir. I'll go back to the phone for the one second number. So just two questions. So firstly, if. Sorry to interrupt, sir, but you sound a little muffled. If you could please check the mode that you're using on your handset. Yeah, is this better? Yes, this is much better, so please go ahead. Yeah, so I have two questions. So firstly, on the revenue side, is it possible to break up the revenue in terms of mutual fund, alternate, and the advisory business? And the second was just a clarification. In the presentation, it is mentioned that the systematic flows which we represent, so that includes SIP flows towards PMS business as well. Yeah. So on your first question of the total core revenue, 92% is coming from the mutual fund, 7% is coming from alternate, and 1% is coming from advisory. On your second question on systematic transactions, there is a small number which is on account of PMS as well, but the systematic transaction does include that as well. Sure, sure, sir. Yes, I will do that. Thank you. Thank you. Ladies and gentlemen, you may press star and one if you wish to ask questions. Our next question is from the line of Sukrit D. Patil from ICICI Securities. Please go ahead. Good evening to the team. I have two questions. My first question is to Mr. Shah. As India's asset management industry evolves with rising retail participation and digital distribution and regulatory changes, what are the structural shifts you see shaping ICICI Prudential's position over the next two to three years? Especially, how are you preparing to differentiate beyond scale, whether through product innovation, investor education, or any tech-led engagement, or anything which is on your mind? Just want to understand your view on it. Thank you. So I had said it at the time of IPO also. At the time of IPO, and I'm saying it now also, that this industry has been growing very well, and we plan to continue doing what we have been doing. There is nothing dramatically different that we plan to do. It's a very simple business. I think the regulator has created a brilliant product. It is working in the interest of the customer. When the product is working in the interest of the customer, it has become a pull product as much as when I started working in this industry, it was a push product. Today, thanks to the good product and the customer's good experience in this product, it has become a pull product. So. So any company which works, manages scale well, and is able to manage money in a very responsible manner, keeps on getting money from the customer. You would have seen that is happening. A lot of small AMCs also have been able to generate a huge amount of AUM because they give a very good performance. So I feel the way to track this industry is also how well are the funds doing for the final customer. You know, innate intelligence, forget artificial intelligence, is that anybody who makes money in your funds will further invest with you. So we have got more than 1.6 crore customers. A lot of them have made decent money if you look at our performance track record. So I think we have been able to deliver a good risk management risk-adjusted return. With that and the positioning that we have with our brand in the country, I think if we don't do well, if we don't make big mistakes, there's a probability that we can do well. So you have to, when you get, it's a very simple business. There is no complicated jargon required. If you manage money carefully, if you manage money carefully and you give a risk-adjusted good return to the customer, your AUM keeps growing. I've been seeing it since the last 10, 15 years that this is happening. And so we don't, as far as use of technology and this concern, we are at the cutting edge. You would have seen our apps. A lot of you would have been our customers also. You would have seen our apps. You have seen the way we have transitioned from the traditional model to the new digital model. And Navin pointed out to the percentage of the transactions that are happening online. So that is a way of life. Today, I don't want to talk about technology separately because technology is with which we operate. So it is not a basic it is not a new strategy. Always we have been on the cutting edge as far as technology is concerned. We benchmark ourselves against the best in the industry, and we have been doing that. So it's the same thing that we have done over the last 15 years that we want to continue doing, manage money well. And if we manage money well, our business keeps growing. Thank you. My second question is to Mr. Agarwal. On the profitability side, just a sense of the planning. Given the pressure from competitive expense ratios and digital platforms, how are you balancing near-term margin protection with longer-term investments that could structurally expand the profits? Are there any specific levers like operating efficiency or product mix or partnerships or anything else that you see can help you grow the margins beyond FY26? Thank you. Traditionally, we have always been investing in the business. And if you see over a period, given the increase in the overall AUM and the resultant increase in the revenue, there has been an operating leverage which has played out. We obviously keep looking at our expenses and optimize wherever possible. But insofar as the approach is concerned, the approach which was to invest in business so that wherever we see opportunity, we are future-ready, that approach will continue in future as well. We do not see that changing at all. Thank you for the guidance, and I wish the entire team best of luck for next quarter. Thank you. Our next question is from the line of Dipanjan Ghosh from Citi. Please go ahead. Good evening. This is Dipanjan here from City. So just a few questions from my side. Firstly, in terms of your SIP flows on the mutual fund side of the business, would it be possible to, let's say, give a breakup between the sectoral SMID and others, and how that would have changed, let's say, across years or months? The second question is on this mutual fund circular which has come out and its potential impact. Now, what we understand from your peer is that maybe a portion of the hit or majority of the hit might be passed on to distributors. Now, what I understand is you operate on a marginal pricing regime with the distributor payout side. So on this backdrop, would it be fair to assume that you can also do a similar pass-through with the distributor, or are your mitigating strategies a little bit different? The third question, and this is more of a follow-up to one of your comments, where you mentioned the revenue split between mutual fund, alternates, PMS, and others. I just wanted to understand, was it AUM split or revenue split? And in case it was revenue split, was it on a net basis or gross basis? I'm just adjusting for the fee on the PMS and alternates basically. So, Dipanjan, three questions. On your first question on the SIP, the number that we have put out is a systematic transaction number, which is a total of systematic SIP as well plus systematic transfer plan. Frankly, from a commercial perspective, it does not make any difference which scheme the money is coming in. I think the key number that one should look at is what is the inflow that we are getting on account of systematic transactions on a month-on-month basis. That's the number that we track, and that's the number that we've put out. On your second question on passing on of the reduction which has been proposed under the SEBI circular, as you know, there are few proposals from SEBI with respect to the cut in the TER. And against that cut, there has been some allowances which have been given on account of GST, which we can charge over and above what we are allowed to charge today. Frankly, this is applicable from 1st of April. If we simply see from math perspective, there would be implications impact on some of the larger schemes. But closer to the date, we will assess it, and we'll update you as and when we have more information on this from our side. On your third point on revenue split, it's actually what I gave you is a revenue split, net revenue of 92, 7, and 1. So just to clarify, when you say net, it is adjusted for fees? And I think at the time of listing, you had also mentioned there's a line item called business operational expense. I mean, do you adjust for that also, or it's just the fee and commission expense that you're adjusting for? Only for alternate, we are only adjusting it for the fee and commission expenses. Because as you know, in alternate, it's paid from the AMC and not from the fund. So sometimes the gross looks elevated. What then makes sense is to look at the net number for alternate. Got it. Thank you and all the best. Thank you. Our next question is from the line of Mohit Mangal from Centrum. Please go ahead. Yeah. Good evening. Thanks for the opportunity and congratulations on our strong set of numbers. My first question is toward the distributor payout. So I think you have a very lower distributor payout despite being the highest equity AUM. So wanted to understand the model that how do you pay the distributor in the sense that is it based on telescopic pricing, or is it revised periodically? If you can just throw some light on that, that will be helpful. Beyond distributor payout, as you know, there is an industry, as you rightly said, on the distributor payout, there is a benchmark with respect to what is being paid out at the industry level. This is something that we do on a regular basis. We review what sort of TER we are going to get, and then we decide what sort of sharing we can do with the distributor. This is an ongoing process, and this is something that we monitor and we review and we decide on a periodic basis. Understood. So can we assume that maybe it's done on a quarterly basis based on how the AUM has kind of moved, or is it an annual exercise if you can just throw some light on that? So it is done often. It's not an annual exercise. It is done at least on a quarterly basis, and it need be otherwise as well. But it is also dependent on the long-term relationship with the respective distribution partners. Understood. My next question is on the ICICI Bank share. So I think it is in the single digit. So are we having some kind of a dialogue that if we can increase the share, if you can just throw some light on that? Yeah. You rightly said. ICICI Bank is at AUM-wise 8.1% of our mix. So okay, I'm standing very clear that we work with every distributor, including ICICI Bank. And wherever bank and their customers, there is a need to invest, we work along with the bank. So we continue to maintain the rigor across the distribution, and ICICI Bank is one of the distributors where we work very, very closely with them on the sales side. All right. So I mean, the share is in single digit. So are we trying to increase it further? The effort is to increase the total pie with every possible distributor. ICICI being one of them. We'll be very happy if the share goes up. But as I said, the effort is across distribution to keep on increasing the business. Understood. Understood. Thanks, and wish you all the best. Thank you. Our next question is from the line of Ansuman Deb from ICICI Securities. Please go ahead. Yeah. Thanks for the opportunity. My first question is on the alternatives growth. Any color you can share in terms of how we can view this growth trajectory? Should it be more steadier than the PMSs? Any color on that would be great. And secondly, on our employee count, has there been any reduction since FY25? Because the number you share right now, it was a little lower. These are the two questions. Thank you. Yeah. Alternate business is still a relatively newer business. Most of the increase has happened in the last few years. There's a large headroom with respect to the growth. Difficult to predict how much would it be growing by. As an approach, our focus is on all the business segments. We are equally focused on mutual fund. We are also focused on alternate and within alternate also various subcomponents of it. Ultimately, what is key is that the performance under the scheme should also remain good. And so from a focus perspective, that is what we will do our job, and let's see how the numbers play out. On the employee count, frankly, I don't think we could see too much into the marginal fall. I believe we keep looking at rationalization. It could be numbers here and there. So as I see, for example, vis-à-vis the last quarter and this quarter, number is pretty much flattish. Understood. Okay. Thanks a lot. Thank you. The next question is from the line of Bhavya Sanghvi from Alchemy Capital. Please go ahead. Am I audible? You are audible, sir. You may proceed. Thank you so much for the opportunity, sir. I joined the call a little late. Could you help me with in different parts of the segment, including mutual funds and alternatives? Thank you. Yeah. So for the nine-month ended December 25, on equity, our margins are 67 basis points. On debt, it is 32 basis points. On liquid, it's 12 basis points. Passive is nine basis points. And arbitrage is 30 basis points. On alternate, on the gross, yield is 1.99, while on net, it is 97 basis points. These are all on annualized basis. Thank you. And the second question would be, could you also help me with the outstanding number of SIPs and SWPs put together? Again, as you know, it actually doesn't matter. Our average could be pretty much in line with that of the industry in terms of number of accounts. Okay. So the current SIP plus STP book that we have as of December 31st, 2025 is INR 5,000 crores. That's the outstanding number, I believe. So the number of outstanding SIPs is so INR 5,000 crores. Is exactly what, sir? Sorry. 5,000 crores is the amount that gets triggered every month, and it automatically comes into the fund. In a systematic route, it comes into the schemes. It is a combination of SIP plus STPs. It's actually INR 5,037 crores to be exact. Sure. Thank you. Thank you. Ladies and gentlemen, to ask a question, you may please press star and one. Our next question is from the line of Ansh Mehta from ValueQuest. Please go ahead. Hello. I'm audible. I'll say you are audible. Yeah. Thank you, sir. Just a quick question. Your employee count is almost double the size of your next listed competitor. I just wanted some color on. Is that because your alternatives business is sort of larger, or is it more because of a push in your distribution? If you can just provide some color on that. Yeah. So as you rightly pointed out, clearly, we have a business line on the alternative. And within alternative also, as you would have seen in our presentation, there are multiple business lines. So in alternative, we have listed equity, PMS. We have AIFs as well. We have real estate. We have private credit. And all these means that we would have investment team across all these business lines. We would have support functions, operations, sales. So hence, our count increases because of this incremental business that we have. And I think that. We have discussed this. It's exactly because we don't have any employees on roll, and the focus for us has been that every business that we start should be viable, and we are conscious that it should break even. If we start a new initiative, we are conscious at what AUM level it will break even. So we do take initiatives which will initially increase costs, but if we see a roadmap of more revenue. So don't compare only the number of employees. It is good to be overinvested in a business which is growing continuously. See, our fund management, I'll just give you an example in equity investment. Forget every other area. The AUM has been growing very fast. Almost every three to three and a half years, we have been doubling our AUM. And we create fund managers internally. All my fund managers in the mutual fund side have been created internally. So my investment team will be way more than anybody else that you will compare with because we believe that we will create more fund managers internally. And so that we need whatever we need. Today, we are INR 6.5 trillion. Three years back, our AUM was much lesser than that. But we don't go and search for fund managers today. I had invested three years back. Today, I've got 15 fund managers on the mutual fund side. And we know that we are overinvested. And in this business, since it is growing well, it is better to be overinvested as far as creating capabilities and capacities is concerned. So don't only look at the incremental cost. When you compare numbers, don't only look at the incremental cost. Look at the incremental revenue and incremental operating profit. There is only one word we understand. The incremental operating profit, please see that. That's well noted. Thank you so much. One more question. In your P&L statement, when you compare it with other competitors, maybe it is just a mildly off-beat, but it is only ICICI that shows a distribution expense, whereas other AMCs would generally list their revenue as net of any commission expenses. Is there any reason why your distribution expenses are higher apart from the alternate business? That point is noted. It is only on account of alternative business. Our distribution. Okay. So your higher distribution, right? If you read our P&L, you would see under expenses head called fee and commission expenses, which is on account of the commission expenses for the alternative business, which by regulation has to be paid not from the fund, but from the AMC. So we earn gross fees, and then we pay that commission. Hence, if the gross is reflected in the revenue, the expenses are reflected in the expense item. Understood. Noted, sir. Thank you and best of luck. Thank you. Our next question is from the line of Viraj Kacharia from Piper Serica. Please go ahead. Viraj, your line has been unmuted. You may proceed with your question. As we're not receiving a response from the current participant, we will move to the next participant in the queue. Our next question is from the line of Gaurav Jani from Prabhudas Leeladhar. Please go ahead. Congrats on a good quarter. Just one question. Last three quarters, we have been seeing operating leverage play out in terms of OpEx to assets reducing. Safe to assume this would be a trend going forward, or how should we look at it? We don't know how the AUM is going to shape up in the future. As I said, since there has been a lot of growth, both on the AUM and the resultant growth on the revenue, operating leverage, as you rightly saw, has been played out. We don't know how it is going to be in the future. It's very difficult to say if that's going to be the case in the next few quarters as well. Sure. Understood. That is it from my end. Thank you. Ladies and gentlemen, if you wish to ask questions, you may please press star and one. Our next question is from the line of Mohit Motwani from Tara Capital. Please go ahead. Hi. Am I audible? Yeah, Mohit. Yeah. Just a clarification on the data points that you have given. So the blended yield, the yields that you provided for the different asset classes, so the blended yield, the equity mutual fund revenue, sorry, the mutual fund revenue comes out as 83% of the total revenue from operations. Will that be a correct understanding? Because the blended yield is 47 basis points for the mutual fund segment. No. So I think the way you're looking at, you should see the net number on the alternate side because we've given out the gross as well as the net yield on the alternate. Insofar as in the alternate, the net yield, as I mentioned, is 97 basis points. While in the revenue, the yields are stated at gross level. And hence, if you calculate the mix based on gross, you'll find a different number. But if you calculate based on net, I think that's the right way of looking at it. And the split that I gave out is the right split. Sure. Sure. Thank you. Thanks for the clarification. Thank you. Ladies and gentlemen, to ask a question, you may press star and one. Our next question is from the line of Lalit Deo from Equurus Securities. Please go ahead. Yes, sir. So just to follow up on the revenue side, so it appears that the yield on the advisory business comes around 17-18 basis points. So while in the first half, it was coming around 30-31 basis points. So is the calculation correct, and how should we see this business going ahead for the next two, three years? No. Yield for the nine months on the advisory business is about 32 basis points. But it's not really the number that you're mentioning. It is actually 32 basis points. Okay. And sir, how should we see this business take off incrementally for the next two, three years in terms of growth and? See, this is effectively the money which we advise. This is the funds which have been raised outside India where we are advising. Various parameters which play with respect to the growth of this AUM or international parameters also come in. We did see a good jump in this AUM in the past period. Of late, it has been flattish. Again, it's a factor of how the market does, but it is also a factor of how do these international investors allocate their money across geographies and asset classes. So that would effectively determine the trajectory of the AUM and the resultant revenue for us. Sure, sir. Thank you. Our next question is from the line of Ashish Sharma from Oaklane Capital. Please go ahead. Yeah. Hi. I hope I'm audible. You are audible, sir. You may proceed. Yes. Just wanted to check on the yield on the alternative side. So I know the net yield for the business is close to 90 basis points. So from an outlook perspective, do you see this yield on the PMS or the alternative piece sort of sustained, or do you think eventually there would be some pricing pressure on the alternative side? The one thing that we know is that unlike mutual fund in alternate, there isn't any formula-based pricing, and hence, at various AUMs, technically, this yield could remain the same. Now, whether this yield remains at this level or it comes down depends on various parameters, so we will have to see how things proceed. If you look at the past period, you would see this yield around this number itself, so I think that is how you could see this. Okay. And in this clarification perspective, so the sourcing for the alternative, I mean, is the mix similar to the mutual fund, or is it different? The percentage mix may vary a bit, but the approach towards customer and distribution in terms of getting the business is similar. The mix may vary a bit. Okay. Perfect. Yeah. That would be all from my side. And congratulations once again on a good set of numbers, sir. Thank you and all the best. Thank you. The next question is from the line of Yash Mehta from Malabar Investments. Please go ahead. Thank you for the opportunity. Congratulations, Mr. Shah and the team, on fantastic listing and the performance that has been delivered. Sir, I have two questions. My first question is, despite your strong market power and position, you've actually not gone and renegotiated blanket variabilization of your backbook, like some of the other AMCs have chosen to do. I wanted to understand how are you tracking this decision? How do you think about it? You are in a position to do it. Is it that you've not exercised that thing? So I was just trying to figure out why the reluctance to do it because we've clearly seen feedback from the larger distributors that your other peers in the top five, top ten AMCs have chosen to kind of go for some of those renegotiations. That is my first question. I'm happy to take the second question later, or can continue right now if required. Go ahead, Yash. Let us know the second question also. Sir, the second question is, in terms of your operating profit margins, right? You obviously are industry-leading at 37 odd basis points. How should one think about, let's say, maintaining this operating profit yield? Or in terms of, let's say, the internal KPIs that the board would have, would it be more driven at absolute operating profit growth, maintaining the yield, the ROE, just in terms of maximizing for a certain variable? What is that variable? That would be my second question. Okay. So on your first question, Yash, the way we do our distribution commission pricing is on its marginal TER. So which effectively means that we look at what's going to be the TER that we will get on the new phase, which is going to happen in the near future. What is it that it would earn us, and then decide how much of that we could pay as commission to the distributors. It is not based on the average TER that we are earning on our book. And hence, by this methodology, this approach, it is automatically ensured that every money that we get, we know what is it that we will earn and how much we are paying. Hence, the likelihood of us going and correcting the commissions of the past is less in our case. It's actually not required through this formula. On your second point on operating profit margin, frankly, see, there are various levers here. You mentioned 37 basis points is what we are getting. As you could see, this would depend on the revenue mix between mutual fund and alternative. It would also depend on within mutual fund, the component of equity vis-à-vis other asset classes. And it has just so happened that this number has been around this for us for some time. It's not that we are looking to target a particular number or trying to be at this number. We are trying to optimize every business vertical that we have. We are trying to be equally focused on all of them. The operating margin which comes, which is 37 basis points for this quarter, is an output. And in future also, when we work on all the levers, output would be whatever it will be. But we are not working towards a particular number of basis points on this. From a board perspective, I believe the direction to us is obviously on an operating PAT, and that's the number that board typically reviews us at. And that's one number we are not looking at a particular basis point, but what is our operating PAT on a quarter-on-quarter basis, that is something that we are mindful of. The board is conscious of two numbers that we have too. One is our fund performance and how the fund performance is going. And second is that vis-à-vis the fund performance, how much do we sell in the market? What is the percentage market share? If INR 100 is sold in the market, how much do we share on that? That is the market share we are talking about. And the third is that it should be profitable. Operating profit is a very, very important metric. Internally, we would look at operating profit and not total profit because total profit also has an element of other income, which I have discussed with a lot of you. These are the three parameters: fund performance, how much do we sell given the fund performance, and what is our operating profit. Sir, if I may ask a follow-up to that, I'm good to listen to you, Mr. Shah. Given the fact that the second point that you mentioned is not a publicly disclosed figure, what does that number usually, what is the expectation like? Ballpark is good enough. What expectation? Which second number? So you said there is a certain net sales, industry net sales. What share of industry net sales is generally targeted at your end? So yes, our endeavor is that our net sales flow share should be higher than our AUM market share. Okay. Fair enough. Fair enough. Perfect. That's all from my side. Thank you and all the best. Thank you. Ladies and gentlemen, we will now take one last question from the line of Gaurav Jani from Prabhudas Leeladhar. Please go ahead. Thanks for the follow-up. Just one clarification. The split between revenue, right? What I understand, what you mentioned is the total revenue of INR 1,515 crore minus the PMS AIF expense of INR 109 crore, right? That comes to about INR 1,406 crore. That is to be split between 93.7% and 1%, right? 92.7 and 1, yes. Perfect. Thank you. Thank you. I would now like to hand the conference over to Mr. Navin Agarwal for closing comments. Over to you, sir. Thank you, everyone. We appreciate the interest shown by the analysts and the investor community today on the call. I wish to thank all of you. I wish you all a good evening. Thank you. Thank you. On behalf of ICICI Prudential AMC Limited, that concludes this conference. Thank you all for joining us. You may now disconnect your lines.