Ladies and gentlemen, good day and welcome to Jain Resource Recycling Limited Q2 and H1 FY 2027 earnings conference call hosted by DAM Capital Advisors 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 0 on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Abhishek Mehra from DAM Capital. Thank you, and over to you, sir. Good afternoon, everyone. Welcome to Jain Resource Recycling Limited Q2 and H1 FY 2027 earnings conference call. From the management side, we have with us Mr. Kamlesh Jain, Chairman and Managing Director, Mr. Mayank Pareek, Joint Managing Director, Mr. Hemant Jain, Executive Director and CFO, Mr. Sanchit Jain, Executive Director. Without taking any more time, I will hand it over to Mr. Kamlesh Jain for his opening remarks. Thank you, and over to you, sir. Thank you, Abhishek. A very good afternoon to everyone on the call. Thank you for taking the time to join us and for your continued interest in our company. I would like to start with the larger picture. For us, the first half of FY 2027 has been about two things: growing our existing business and bringing our newer investment into operations. Both have moved forward during the quarter, particularly on the copper side. Over the past several quarters, we have been working to build a stronger, more integrated copper business. The idea is to use our experience in recycling and gradually move further into value-added products. We are now seeing the first commercial result of that work. Our new copper anode facility has started contributing to sales, and our Ahmedabad subsidiary, Jain CY, has been commenced operations. Let me share a few numbers to put this in context. Our consolidated revenue in the second quarter was approximately INR 3,337 crore, an increase of 58% over the same quarter last year and 22% sequentially. In the first half, the revenue reached approximately INR 6,061.4 crore, up 55% year-on-year. The copper business has played a major role in this growth. Copper and copper ingot volume increased by around 74% year-on-year, Q2 FY 2027. While our copper business, including the new initiative, contributed 8% of total revenue. At the same time, our established business continues to have an important role, lead profitability improve compared to Q1 FY 2027, and aluminum volume also moved up during this quarter. The growth is being supported by our existing operation and as well as the new investments. On the profitability front, we delivered an improved performance during Q2 FY 2027, with EBITDA increasing by approximately 27% and profit after tax growing by around 30% on a sequential basis. EBITDA margin stood at 4.2% in Q2 FY 2027 compared to 4% in Q1 FY 2027, resulting in an H1 FY 2027 margin of 4.1%. As we continue to scale up our copper volume, we expect some moderation in the EBITDA margins due to the evolving product mix. However, the increase in volume is expected to drive healthy growth in an absolute EBITDA, which remains a more meaningful measure of value generated by our expanding operations. Importantly, we also generated positive cash flow from operations of approximately INR 137 crore, supported by a significant improvement in working capital efficiency. Working capital days reduced to 49 days from 66 days earlier in FY 2026. This improvement reflects our continued emphasis on enhancing the cash generations, optimizing working capital, and maintaining financial discipline while supporting the next phase of growth. On the sourcing side, we continue to strengthen our networking in India and overseas. We are also closely watching the geopolitical situation and shipping disruptions, especially in West Asia. Our diversified sourcing relationship and hedging practices help us to manage the risk, but we remain cautious about development outside our control. Looking at the industry, we continue to believe that the meaningful long-term opportunity lies in organized non-ferrous metal recycling. Customers are placing greater importance on recycled materials and resource efficiency in sustainable manufacturing. We want to be ready for the demand with the right capacities, product quality, and customer relationships. For the balance of FY 2027, our direction is very clear. We need to complete the project and the executions, steadily ramp up the facilities that have started operations, improve the return we earn from the capacity already created. Mayank is proving more in the execution of this project. I will now request him to take you through the operational development and what we are working towards over the coming quarters. Over to you, Mayank. Thank you, Kamlesh Jain. Good afternoon, everyone. As Kamlesh Jain mentioned, we have reached an important stage in our expansion program. Some facilities are already operating, and the next set is moving towards commissioning. Let me explain where each project stands, and more importantly, what we are focusing on now. I will begin with Jain Green Technologies and our value-added copper operations. Both phases of copper anode plant, each with a capacity of 800 metric ton per month, have now been commissioned, taking our total installed capacity to 1,600 metric ton per month. Phase 2 is currently in its trial run stage. With commissioning behind us, the priority is to make the plant run consistently and improve utilization. In a new facility, we have to stabilize the process, maintain product quality, and build a reliable production rhythm. We are working on all the three. We have also started seeing sales from the value-added copper portfolio. In the first half of FY 2027, sales volumes were approximately 3,575 metric tons. This is a positive beginning, and our focus is to build on it in a disciplined manner rather than rushing to ramp-ups. The next project is copper cathodes. We are developing total plant capacity of 1,500 metric ton per month in two phases. The first phase would be 750 metric ton, and the second phase will be the equal quantity of 750 metric ton. Civil work for Phase 1 has been completed, and commissioning is pending. In fact, the commissioning is at a very advanced stage and would be executed any day from now. For phase 2, we are targeting Q4 FY 2027. Alongside the commissioning work, we are paying close attention to process stability and quality. Our objective is to work towards producing LME-grade copper cathodes. Getting the specifications right is just as important as bringing the plant on stream. We are also progressing with our downstream projects. The copper wire rod facility has plant capacity of 600 metric ton per month. The busbar and profile facility has plant capacity of 1,500 metric ton per month. Both are targeted for commission in Q3 FY 2027. Why are these projects important? Because together they allow us to move beyond basic recycled metal and serve customers with a wider range of copper products. We expect the commercial benefits to build gradually as production stabilizes and utilization increases. They will not all come on the day a plant is commissioned. Moving beyond copper, we have two more projects under execution. The first is antimony. This facility will help us recover additional value from lead-antimony bullion that comes through our recycling operations. The planned output is approximately 100 metric ton per month, and we continue to target commissioning in Q3 FY 2027. The second is our dedicated plastic recycling facility with a planned capex of around INR 15 crore. We are targeting commencement of operations in Q3 FY 2027. Apart from adding plastic recycling capacity, moving this activity to a dedicated location should also ease congestion at our existing copper and lead plants. Let me now come to Jain CY Circular Solutions, our Ahmedabad subsidiary with C&Y Group Investments Incorporation. The unit has commenced commercial operations and recorded approximately INR 25.4 crore of revenue during Q2. With input capacity to process approximately 71,000 metric ton of scrap annually, the plant can produce around 25,000 metric ton of copper product per annum at full capacity ramp-up. It gives us a stronger operating presence in Western India and the ability to process the broader mix of copper-bearing scrap. It also fits well into the larger plan of our copper business. By strengthening our scrap processing and sourcing network, Jain CY can support the raw material requirements of our downstream operations. For now, the focus at Ahmedabad is on increasing throughput and stabilizing the plant. Finally, on Kuwait, the investment remains part of our long-term plans for raw material security and a presence in the Middle East recycling market. The machinery is ready, but shipments and project executions are affected by the geopolitical and logistical situations in West Asia. We are monitoring developments and will proceed as conditions permit. Given these external uncertainties, we do not want to put forward a firm execution timeline that may not be in our control. Overall, we have made progress in moving projects from construction to commercial operations. Our next test is operational performance, consistent output, the required quality, better utilization, and stronger customer relationships. That is the work we are focused on over the coming quarters. With that, I will now hand over to Hemant to take everyone through the numbers and the balance sheet. Hemant, over to you. Thank you, Mayank sir. And good afternoon, everyone. I will take you through our financial performance for the quarter and the first half, followed by the three operating segments and the balance sheet. Starting with second quarter, consolidated revenue from operation was INR 3,337 crore. This compares with INR 2,113 crore in Q2 last year and INR 2,724 crore in the previous quarter. That is a growth of approximately 58% year-on-year basis, while 22% on quarter-to-quarter basis. Higher copper volumes along with the initial contribution from value-added products supported this increase. Quarterly EBITDA stood at around INR 138 crore compared to INR 109 crore in Q1 of FY 2027, reflecting a sequential growth of approximately 27%. EBITDA margin stood at around 4.2% in Q2 FY 2027 compared to 4% in Q1 of the same financial year, reflecting a sequential improvement of 14 basis points. This improvement was supported by our continued focus on operational efficiencies despite the impact of an evolving business mix, raw material dynamics, and the initial ramp-up phase of our new value-added plants. As these facilities progressively stabilize operations and achieve higher capacity utilization, we remain focused on enhancing operational efficiencies and driving sustainable profitability on a growing revenue base. Now, coming to the profit, the profit after tax for Q2 FY 2027 stood at around INR 90 crore compared to INR 69 crore in Q1 FY 2027, reflecting a sequential growth of approximately 30%. The PAT margin has also improved to 2.7% compared to 2.5% in the previous quarter, reflecting an improvement in profitability on quarter-on-quarter basis. For the first half FY 2027, revenue from operations was around INR 6,061 crore, up about 65% on year-on-year basis, while EBITDA was INR 248 crore compared with INR 250 crore in the H1 of the last year. Profit after tax has increased by approximately 3% to INR 160 crore. The first half EBITDA margin was 4.1% against 6.8% a year ago. Now let me now cover the performance of the individual business. In copper and copper ingots, sale volume has reached approximately 16,411 metric tons in Q2. That compares with 9,434 metric tons in Q2 of last year and 14,683 metric tons in the preceding quarter, giving us an year-on-year volume growth of around 73%. The copper segment EBITDA has also increased from INR 46 crore in the Q1 to INR 61 crore in Q2. EBITDA per ton also has improved from approximately INR 31,825 to INR 37,237. Value-added copper business has started contributing to the revenue, while its profitability will develop as production become more consistent and utilization increases. Now, coming to lead and lead alloy ingots business, quarterly volumes has improved to around 34,851 metric ton from around 32,150 metric ton in Q1. Volumes were below the year-ago quarter, but we saw the sequential improvement in both volumes and earnings. Lead EBITDA increased from approximately INR 60 crore to INR 67 crore in this quarter, and EBITDA per ton has improved from INR 18,660 to INR 19,310 per ton. Now, coming to aluminum and aluminum alloys business, our Q2 volume has increased to 2,493 metric ton compared with 2,201 metric ton in Q1. Segmental EBITDA also has increased from approximately INR 4.7 crore to INR 5.3 crore. Before I conclude, let me touch on the cash flow and the balance sheet because they were equally important as we expand. At the end of the September 2026, our working capital cycle is approximately 49 days compared to 66 days at the end of the FY 2026. The net debt to the equity has improved to around 0.5 times from 0.7 times at the end of the March 2026. During the first half, we have also generated approximately INR 129 crore of net cash inflow from operating activities. We are pleased with the improvement in working capital and the leverage, and we intend to maintain this discipline as the newer facilities scale up. From the remainder of FY 2027, the priorities will be on the financial side are straightforward: improve profitability per ton, manage working capital cycle carefully, and support the ramp-up of capacity without losing the sight of the balance sheet. That brings us to an end of our opening remarks. Thank you for your attention, and may I request the moderator to open the floor for the questions. Thank you very much, sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone 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. The first question is from the line of Shubham from 3A Financial Services. Please go ahead. Hello, sir. Thank you for the opportunity. I had a couple of questions regarding the copper cathode plant. First of all, what would be the CapEx just for the cathode plant? Copper cathode, and we are not doing cathode alone. We are also doing copper cathode along with anode, cathode, and wire rod, and the busbar. Approximately around INR 120 crore of the CapEx will pump in the entire land, building, shed, power, and the machines, and the other infrastructures. This is approximately, if you want only for cathode, it may be around 60% of the total CapEx. Okay, this is for both the phases? This is for the first phase. Mayank, am I right? It is only first phase. This, what we are talking is first phase. First phase. Okay. Can we expect for Phase 2 also, this much CapEx will be done, right? No, no. Phase 2 will be not that much. It will be very less. It will be marginal expense, so would be slightly lower. Can you quantify it in any way? Offhand, I would not like to tell you a figure, but we can always You give your email ID, we will inform you the exact figure. Roughly would be 30% or maybe 25% or something like that. Okay. And, sir, in the PPT you had mentioned that anode phase one CapEx was INR 98 crore. Am I right? So this would also include- For the value-added plant. Yeah. not on the anode. Yes. Okay. Is this included in the INR 120 crore of CapEx that you mentioned right now? Yes, INR 120 crore is for the entire. Okay. entire value-added copper product. Okay. That is the capital outlay. Yes. Okay. And sir, my second question would be regarding if you had faced any sourcing issues on the lead front from wherever you source the material. Little bit. We expect a challenge in sourcing the raw material for lead because of the shipping disturbance right now going on, and Middle East supplies are getting stuck there. The freight cost also gone very high. But we are offsetting by local purchase. So right now, as you see, the volumes has gone up only last quarter. The lead volumes have gone up only. So we had challenges, but we are overcoming with local sourcing and new area of sourcing and developing that. Okay. Sir, do you face any sourcing issues even in Q3, like currently? Do not think so, because we will be able to manage with, again, as I said, local and the new sourcing in the new areas we are exploring. Okay. We have challenges, but we can overcome that. Okay. That is all from my end. I wish you the very best. Thank you. Thank you. The next question is from the line of Vikas Singh from ICICI Securities. Please go ahead. Hi, sir. Good afternoon, and thank you for the opportunity. I just wanted to understand, has anything changed in your sourcing strategy? Your working capital days have come down sharply. If you could give us some insights. Yes, you are right that our debt has come down drastically. The two reasons of this debt reduction, because one is our internal cash profits are piling up in the books, and second is the local sourcing. Previously, when we import source the material, we used to There is some disturbance. Can somebody put me mute? When we used to buy from overseas earlier, we have to block I was saying to you that when earlier we were sourcing a lot from overseas, and when we source overseas, we have to block a lot of capital, and then the payment term is against loading of the material. It takes two months to the delivery of the factory. For that period, the liquidity gets blocked. But now the local sourcing is very high. I think mostly more than 50%-60% now. In that new situation, the capital requirement has come down. Because the internal cash flows also helping to tie up the capital. That is the reason why some change in local source, some change in strategy. Noted, sir. Sir, this recently the 57th GST Council, the reverse charge mechanism on the electrical and electronic waste. Does that help you, and are you thinking of tying up with some larger players for the high-end lead supply? Because lead volume had been pretty low, obviously because of the disruption. By when do you think that the lead volume will get revived up to that 45,000-50,000 ton rate on a quarter basis? In fact, our lead volumes are not low. You see the data, quarter-to-quarter, the volumes have picked up by around 8%. The volume is more only quarter-to-quarter. But of course, the year-on-year, the volumes certainly would have dropped because of the disturbance in supplies. But as you said, I mean, your exact question is that about What was the exact question, sir? What was the exact question you're asking? Sir, RCM has- Okay, RCM. Okay. RCM will not help much because the reason is, RCM has its own challenges, and RCM is notified, but I don't think it's going to much help in sourcing side. I'm not believe. Unless the government reduce the GST on these scrap purchases. Otherwise, the RCM is not going to help much, and it will just say, I mean, small segment can be covered. I'm not very bullish on RCM side. Okay. And sir, lastly, any update on your Middle Eastern project? Is it delayed? By how much, et cetera? That was supposed to be a sourcing point for you. Yes. In future. You are right. Kuwait is one sourcing point for the future as we are getting the raw material challenges. Our project in Kuwait is going streamlined now, going on time. Mayank will give you update now. That is the major sourcing of our source for our raw material requirement of the lead and dross. We are confident that it will help us a lot. Mayank, can you update the status of right now in Kuwait? The project got delayed basically because of the logistics issue. Because of the war, there was no carrier to transport the machines. Presently, the situation is that the machine is completely manufactured, but it has to be shipped or transported. Now, situation has improved. There are specialized containers in which it will be transported. Those were not available, but the development of last two weeks is that those are also available. I believe the machine would now be transported over the next I mean, shipped out over the next 30 days. Once it reaches, everything is ready, and we can quickly implement it. Pretty positive right now. Noted, sir. That's all, sir. Thank you. All the best and Happy Diwali to you. Thank you. Same to you. Thank you. The next question is from the line of Dheeraj Ram from 360 ONE Capital. Please go ahead. Hi, sir. Thank you for taking up the question. You have said domestic sourcing has increased, but as on your last presentation of H1 FY 2026, your domestic sourcing percentage was 39% versus in H1 FY 2027, it is 38%. Could you please throw some light on this? Hemant, can you tell me what is the percentage in the domestic sourcing? We have data now, or we can provide data because it increased a lot. Yeah. So, Hemant, can you just put highlight on this? Yeah, so as compared to last year, I mean, for the close of FY 2025 to FY 2026, we have improved a lot. And presently also, we do domestic sourcing close to 38%-39% of the overall purchase what we make. So, Dheeraj- It includes all the metals? Yeah, it includes all the metals. Okay. So, just to clarify this. Previously, our end-of-life lead-acid battery used to be mostly imported, and now that has shifted to domestic, or even copper has shifted to domestic? No, it is overall actually, not alone. So lead also, we are buying a lot of crude lead from locally, and also the copper we are buying locally. So overall, it is increased to 39%, and it is because of the shipment, the freight cost has gone up, and the challenge is there. So, we are now focusing more on domestic sourcing. Okay It is all the metals, aluminium, lead, copper, everything. Okay. Now, two questions, last two questions, sir. How difficult is it to change geography in terms of sourcing? Since your peers were not being able to increase domestic sourcing from past two quarters, their domestic sourcing has been flat. How do you see increasing this domestic sourcing, and do you see any RCM problems or any threat or any challenges for RCM in future due to increasing in domestic sourcing? No, RCM is a plus point only, but how much effective will be there, that is we have to see in the future how much RCM is going to be effective. It is not a negative, it is a plus, but how much it will help us, that is we have to see in the future. I cannot comment on that. But of course, we have the challenges in sourcing right now, and the recycling is about the whole sourcing game only, and the growth is as per sourcing. We are having a vast network of dealers, plus we are also not totally depending on locally. We also go abroad. We are overseas, we are finding new locations and new places where we are going to source the material. So, I don't think, as far as this year is concerned, we will have any challenge in sourcing raw material. I am very confident up to this current year, March, we have all the raw material for next four months to come, and I don't think any challenges will be there for us. I am very sure about this. Company will become The production will be growing only, and there won't be any sourcing problem for us. Understood. Last question is, there has been improvement in EBITDA per kg in Q2, in copper especially. Would you like to revise your guidance from INR 30 to INR 32? Yes. So, we have improved from 30 to 39 now, 37.5 this quarter. I strongly believe, in this quarter, we will have copper cathode sale also, and we can stabilize by the fourth quarter with wire rods and the other valued product. This quarter also we will be trying to sell busbar also. So, EBITDA per ton in JGT, Jain Green Technologies, will be high. So, we do not find There is no way it can It will going up only. It cannot be going down or stable. It will be going up only because of the valued product, what we are going to add for the future quarter to come. Lead is steady only. Aluminum also, I think, has shown little bit up, but then the copper is the carrier that we have to see in the future. Understood. Got it. Thank you, sir. Thank you. The next question is from the line of Abhishek Mehra from DAM Capital. Please go ahead. Yeah. Hi, sir. So just two questions from We lost you? Yes, sir. Just hold on. Yes, please go ahead, Mr. Mehra. Yeah. Hi. Just two questions from my side. First one would be, if you just could map out the volume guidances for FY 2027 and FY 2028, that would be helpful, segment-wise. Okay. Volume guidance for the segment-wise for the FY 2027. Mayank, you would like to say on this? For all the items, the volume guidance, I mean, the projections, Hemant would send it. We have three segments, and volume are not on fingertips, but we can send this data. We can send an email to you. What I am saying is, overall, I can say that, of course, the company's growth path and the volumes are going to go up only. But your exact numbers, you can give an email ID, we can send you the guidance for the exact number of the production is going to go up. But it all depend on, again, raw material availability. But as I said earlier, we are confident on raw material. So the volumes will be going up only. It won't be less, but depending on subject to market conditions also. But exact data we cannot provide now. Sure, sir. No problem. Just on the cathode plant, I just wanted to understand its near commissioning. So what is the tentative timeline right now that we expect it to commence? Actually, I think- As I told you, it is going to commence maybe today we have called Panditji, so it will happen. Okay. So we can send it to you. Unless there is something comes up which we did not anticipate, it is going to happen this evening. This evening it is going to start the production. Great, sir. Just one more question on the bookkeeping front. If you could just explain the difference between the MTM gain on options, which is there in P&L, and one figure on the MTM, which is there in the cash flow from operating activities. I think these numbers are different. If you could just explain the difference between those numbers, that would be great. Hemant, do you want to explain now, or do you want to send an email to them and explain to them? I can just give them a brief now and then can send him an elaborate explanation over the email. Basically, in the other income, whatever the MTM we have presented are for the options which has not got expired. That are still open and expiry dates are in future. While the other gain which was presented along with the COGS is basically the futures and options, whatever options which are got expired and all the futures which are open against the stock or against the raw material purchase or the sales hedging. That has been presented there. These are the basic difference between the two line items. I can still send you a detailed explanation. I think Hemant can provide detailed explanation later because it is complicated. We will provide you once- Sure Yeah. Okay. Sure. No problem. Thank you. Thank you so much. Yeah. Thank you. The next question is from the line of Vinit Mehta from Ashika Group. Please go ahead. Hello, sir. Actually, my question is in line with what I was expecting in terms of volume. But can you help me with in copper volumes, like how much recycled volume from copper will go to value-added parts? Is it a percentage? Is there any production loss when you go towards, in terms of efficiency, when you go from copper anode to copper cathode, copper cathode to copper wire rod, copper wire rod to busbar? So if you can give me how this project ramp up and what will be the utilization, even if you can't say volume, but just a ballpark how this works from normal recycling to forward integration, if you can help me with that. In Jain Resource, we are recycling the cables and the scraps that melted and make into copper ingot. That business is as usual. That is no, as usual, is going its own path, and it is a separate line of activity, what we get from cables and the scraps. Jain Green Technologies is 100% subsidiary of Jain Resource. That Jain Green Technologies is separate company, and there where we are making this copper cathodes and anodes and all. For that, we import the raw material of copper scrap, as well as we buy local scrap. That scrap melted to anode, cathode, wire rod. There is no production loss in doing the process. We see normal melting loss and the normal process loss will be there. We are not converting entire anode to cathode. Then, this cathode also, we, some part cathode we sell and 70% again we consume ourself and make the wire rod and busbar. About the volume front, right now, as I said, last quarter what we have shown, what are the production we have anode and cathodes. The cathode is going to come. 600 tons cathode is going to come for this quarter and next quarter also, because even we do phase II expansion, they come only next year, next financial year. This will be, this year we 700 tons of cathode we are planning to produce. Substantially around 600 tons of wire rods, and it depends on the value-added product, how much marketing we do. We are going to start. This year, this is the target. For next year, yes, we will do more CapEx, then another 100 tons capacity will be added, and we can give you more details in my email to you. Sure, sir. That is helpful. Another question regarding, I understand that your domestic sourcing has increased right now, but will you be continuing like this, or when the disruption gets eased out, again you will start importing more? I want to understand what will be the range of working capital cycle right now and going next two quarters, and when everything normalizes, it will be similar or it will vary? Now we have our capacity is also now huge to produce the goods. Once this war settles down and the new normal is now that the vessels are getting routed to different routes, and it is costlier and it is expensive, but people are adjusting the present situation. I believe that we are going to get more raw material. The war is the generation of always new scraps and new recyclable materials. War always create more opportunities for the recycling industries. Once it settles down, of course, there will be a lot of scrap in the market and there will be a lot of donations. We are going to buy both, and we will not be stopping our domestic sourcing. We will increase the capacity once we get more raw material. We always keep some spare capacity in the hand, and as and when we get more and more raw material, we definitely recycle it. But it all depend on the shipping rate and the other things which are now skyrocketing, and that is where the challenges are there, how the shipping rate gets stabilized in the events to come. How will your working capital cycle look going forward from here? Would it be similar range from now or it will vary? Can you give us a range which- It will be almost same only. There won't be much difference. The last we brought down to 49 days, I think, in the last quarter. It can be sometime 10 days plus, it can be sometime 10 day minus. Because the scraps what we source, it is not like steady or we are buying from 120 countries, and that which vessel will come to which Chennai port, when it will come, they come together, sometimes they come here and there. All those factors are not in our control and it's out of our control. Sometimes the working cycle goes very peak, but again, it gets settled down. You will see one quarter is not a steady working cycle. It will have up and down cycle of the number of days. It can go to sometimes 60 days and sometime it goes to 45 days. 15, 20 days cycle will be up and down. But broadly, I think it will be between 50 to 70 days. Understood, sir. Thank you, sir. Happy Diwali to everyone. Thank you, sir. Diwali to you also. Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants in the conference, please limit your questions to two per participant. Should you have follow-up questions, please rejoin the queue. The next question is from the line of Jigar Jani, an individual investor. Please go ahead. Yeah. Hi, sir. Thanks for taking my question. I just have two simple questions. On your presentation, you have mentioned for value-added products, the EBITDA per ton to be INR 14,400. Is this only over and above EBITDA per ton contribution, which is from the value-added products, which is over and above the normal recycling? The second question is that if you could help with how much EBITDA per ton value addition will happen stage-wise when you go from anode to cathode to, say, a busbar or a wire rod? Yeah, thank you so much. The value-added, I think you are talking about Jain Green Technologies, where we have shown these value-added products. Of course, it is the Jain Resource value addition separate, and Jain Green Tech is we are showing. Hemant, do you like to speak on this? I will reply the first question with respect to the presentation what we have shown. The EBITDA what we have shown is basically totally separate EBITDA right from the scrap to the anode production what we have done. We have shown around close to INR 14,434. This will generally improve because it is an initial phase and we have just commissioned in the last quarter. This will grow further as and when we increase the capacity and the cost absorption happens better. Coming to your second question, which you have told, what will be the value addition at each stage? I think, Kamlesh sir, you would like to reply this? At every stage of product, what will be the EBITDA per ton? I think Mayank can reply. Mayank can reply for this stage of value-added, scrap to anode, cathode, wire rod, and busbar. Generally speaking, what we are doing right now is recycling end-of-life items and making the ready-to-sell copper. Beyond that, when we convert this into cathode, it has potential to jack up the bottom line between 1% and 1.5%. When you convert the cathode into wire rod, it has potential to increase the bottom line by, say, 1% and another 1%. When you convert busbar into the engineering products, then it is very subjective. There are complicated sections which have potential to increase the bottom line as high as further 3%, and there are simple profiles which have potential to increase the bottom line up to 1%. There are exceptional cases which have potential to increase the bottom line by 5%. But in overall, what I would project is, it would. Because in this game, we never know how much cathode we will sell or how much wire rod we will sell or how much engineered products we will sell, because it all depends upon the opportunities, whichever gives higher profitability we do. In overall, on an average, I believe it would be between 20% and 30% of addition to the bottom line from the present levels. Understood, sir. Just a follow-up on the previous answer. If I understand this is 14,000 is end-to-end, which is scrap to what you produce, then if I just look at your standalone earlier business of copper, I think your EBITDA per ton would be closer to INR 50,000 odd per ton. Is that largely a market scenario where you are seeing more profits on or the EBITDA per ton increasing for copper because of price increases in copper? Because if it is end-to-end, then the value-added product actually is dragging down your earlier copper EBITDA per ton. Is that understanding correct? Hemant, this is about the number 14,000. You can answer, otherwise I will intervene. Yeah. Fine. I would like to again say you this 14,000 number is basically a separate EBITDA from directly producing the anode from the scrap, for which we have already given a comment in the presentation. While coming to the regular business, which we do manufacturing of copper ingots and a pure copper scrap, there the EBITDA what we are projecting is around close to INR 37,000-INR 38,000, that is INR 37,000-INR 39,000 per ton. Both are separate business, and once the capacity utilization increases into the value-added project, the projections what Mayank sir has already explained you, the anode, then the wire rod, and then the busbar, it will add further EBITDA to the INR 39 per ton. Understood. Thank you so much and best wishes for the festive season and Diwali. Thank you so much. Thank you. Thank you. The next question is from the line of Divesh Chainani from Equentis Wealth Advisory. Please go ahead. Hello. Good afternoon, sir. My first question is on the procurement cost. You are currently sourcing much of your raw material scrap from the domestic. Any difference on your procurement cost, like when you used to import from the international overseas and now you are procuring from the domestic market? Any cost increase or decrease on that? It is not a point of cost. It is always the domestic scraps are also in line with the movement of the LME price globally. It is always like a landed cost of the material globally, and the local price also move as per that. There is not any cost benefit. The benefit is that we are able to get more raw material, and we are able to reduce the rotation of finance. Locally, we pay only after the material arrive to factory, and import we have to pay in advance. That is the difference of cash flow, but prices are almost same in line with the LME. Sure, sir. Also, my second question is on your any top-line guidance or the bottom-line guidance that you can provide for the FY 2027? What is it? Any top-line guidance? What is it? Yes, sir. Top line, the revenue guidance. Revenue guidance is, as you see historically, we have been growing at 40% CAGR in last 10 years and year-on-year. Some years we grow 100%, some years we grow 10%, 20%. But it is 10 years, average is 40%. I strongly assume that this year also we will be growing 30%-40%, depending on the situation. But I am confident that even though we projected 15%, 20% growth, but I am confident that we will grow around 30% approximately. Depends on the market situation. But the growth is, company's growth path, there is no doubt in that, and we will be showing good, I mean, good numbers of the getting the raw material. Okay, sir. Got it. My last question is on the ramp-up of the factory, the new units which we are starting, the plastic one and the copper wire. So all are in line with the timeline, or there can be some issue with the timeline? Almost on timeline only, so cathode and project is on timeline only. Kuwait got delayed because of the logistic issues in the Middle East. Plastic plant, yes, we bought the unit, we started the production also. The other expansion also here and there, not much delay, maybe one or two months, otherwise we are on track. The plastic plant, clearly that will be starting with, so how- Yeah, that is plastic recycling separate facility we have done. We have already built the shed and all, and already production started there. Yeah, it is starting- No, it is about the separate plastic plant, Diveshji, he is talking. That what we are doing is in our existing plant. That is in line, and quarter three, we expect to start it. What percentage of the revenue contribution can come from that? It is more a facilitation than really adding to the top line. In the existing plants, we are recycling the plastic and it is leading to congestions, which if we shift to a separate plant, two, three advantages happen. One, the congestion from the existing plant is shifted. Second, there are operational efficiencies because then you have a specific profit center. Third, you are able to do some value additions in the business because there is a team dedicated to plastic recycling, some innovations and specializations. This is how it is. Okay. The use of the recycled plastic will be decided later or something like that? Yes, because in our plastic plants, we are not buying plastics from outside. It is just the in-house generation which we are recycling. Okay. That's it from my side, sir. Thank you. Thank you. The next question is from the line of Aditya Bhandari from Hegd Investment Management Private Limited. Please go ahead. Yeah. Congratulations on the fantastic results and the transparency shown. I have a question. Normally you're operating in a highly competitive recycling industry with established players like Gravita and POCL. Both those companies have built strong businesses and have their own market positioning. How does Jain Resource differentiate itself from these players? What is the company's strategy to strengthen its competitive position and emerge as a leading player in the recycling industry? First of all, I would like to appreciate both Gravita and POCL for the business they have built. Gravita is a very good company and with impressive business model, particularly in the It's present across Africa and India. They have demonstrated considerable strength in their operations, geographical expansion, and business executions. I also welcome their entry into copper recycling business, which shows that a growing opportunity in the industry. POCL also is a very big player in the lead recycling and known for its high-quality products and strong business model in, particularly in Southeast Asia. Appreciate the quality standard they have and the market presence they have developed. However, I believe it is important to understand that JRR has a fundamentally different business model, and the three companies cannot be compared on a like-for-like basis. JRR is a diversified multi-metal recycling company. Although JRR is one of the leading producers of lead ingots in India, that accounts only for approximately 30% of company's overall turnover. Copper alone contributes more than 65% of our turnover, with the balance coming from aluminum, plastics, and other recycling business. Our strategy is not therefore limited to becoming a larger lead recycler. We are building a diversified metal recycling platform with the capabilities across multi-metals. While JRR, Gravita, or Pondy Oxides and Chemicals and other manufacturers compete in the market, the broader opportunity is substantial. Demand is enormous and still met largely by primary production, leaving a significant room for recycled metal to replace and grow the share. Therefore, there is considerable scope for the industry to grow together alongside healthy competitions. We respect our competitors, appreciate them, what they achieved, and recognize their strength in different geographic location. We believe healthy competition will ultimately benefit the entire industry. Our ambition is different from the overall industry. We want to build JRR as globally competitive and diversified and leading multi-metal recycling company with a distinct business model and a long-term vision for growth. I hope this satisfied you that we are different from others. Yes, sir. Thank you. Very clear and thanks for the detailed response. Wishing you and the entire JRR family Happy Diwali. Thank you, sir. Thank you very much. Thank you. The next question is from the line of Vanshika Mittal from Van Haven. Please go ahead. Hi. Actually, I wanted to ask two questions. JRR has demonstrated strong growth over the years. Looking ahead, what is the company's outlook for revenue growth and profitability? Also, could you share the growth guidance for current financial year and the key drivers supporting this growth? I think this same question asked by somebody also, but again, repeat my answer. As I said in the past, our history is around 40% CAGR in the last 10 years. While growth varies from year- to- year, sometime it is 100%, sometime it is 10%. On average, it comes to 40%. We are confident of achieving revenue growth of more than 30% current financial, subject to market condition and execution. I believe this is possible what I am saying. I would also like to clarify that ours is a commodity recycling business, and a quarter-on-quarter growth should not be the benchmark for evaluating our performance. Results can vary depending on metal prices, raw material availability, product mix, shipment schedules, and market conditions. Our focus is on delivering the consistent annual growth. Quarter-to-growth can vary sometime, but annual growth can be a regular phenomena. On the expansion front, we are progressing well. The plans worked on last year are now moving into execution and production stages. The contribution to revenue and profitability will come increasingly visible over the coming years. Our growth will be driven by commissioning of new capacities, expansion, higher volume across multi-metal recycling portfolio, operational efficiencies, economics of scales, and value addition, product diversification, and expansion of international sourcing and customer base. Regarding the profits, our focus is more on improving absolute profit through higher volumes and operational efficiencies and better product mix. Of course, scale is one of the JRR's core strengths because we do a large-scale operation. That is where the cost also goes down when we do a large-scale production. I would not like to give you an artificial or quarter-by-quarter margin commitment because, as I said, it is only yearly performance can be tracked because our business are exposed to the international geopolitical situation also. But we believe that we are on right track and our expansion is progressing very well. Our investments are translating into new capacities, and we remain confident about our growth trajectory. Our ambition is not to just grow revenue, but to build a large, stronger, more profitable JRR over the coming years. Okay. Thank you, sir. I just had one more question. Yeah. How confident are you about achieving your expansion targets in the future? Very much confident because we have already certain projects we already executed, and they are coming to numbers now. And certain projects are maybe delays of one or two months here and there. I am not worried, and I'm not having any doubt on the timely expansion completion. It will be on time. Maybe certain delays can happen, but it's not very big. Small delay can happen, that's all. It is not a challenge at all. Okay. Thank you so much, sir. Happy Diwali. Same to you. Thank you. Due to time constraint, that was the last question for today. I now hand the conference over to Mr. Kamlesh Jain for closing remarks. One second. Thank you for your attention and One second. I thank you everybody for this participation, and I look forward for the next quarterly meeting. Thank you very much. Thank you. On behalf of DAM Capital Advisors Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.