Ladies and gentlemen, good day and welcome to Unicommerce eSolutions Limited Q2 and H1 FY26 Earnings Conference Call. This conference call may contain forward-looking statements about the company, which are based on beliefs, opinions, and expectations of the company as on the date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star, then zero, on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Kapil Makhija, Managing Director and CEO of Unicommerce eSolutions Limited. Thank you, and over to you, Mr. Makhija. Thank you. Hello and good morning, everyone. We are pleased to welcome you to the Q2 and H1 FY26 Earnings Call of Unicommerce eSolutions Limited. Joining me today is Anurag Mittal, our CFO, along with Strategic Growth Advisors, our Investor Relations Advisors. Q2 FY26 maintained the strong momentum established in Q1 FY26, with disciplined execution across revenue growth, profitability, and our key strategic initiatives. We are pleased to report another strong quarterly and half-yearly performance. Our consolidated revenue grew 75.3% year-on-year to INR 51.4 crores in Q2 FY26, taking our Annualized Revenue Run Rate to over INR 200 crores for the first time, up from approximately INR 110 crores at the time of our listing in August 2024. Our Adjusted EBITDA increased 85.1% year-on-year to INR 11.4 crores in Q2 FY26, driven by cost discipline and operating leverage. This is also the first time our Annualized Adjusted EBITDA run rate has increased to over INR 45 crores and is expected to sustain this level given the strong operating leverage in the business. These results reflect the continued resilience of our business, supported by strong growth for Shipway and increasing profitability from our Uniware platform. Shipway remained PAT profitable and continued to demonstrate strong growth. Its Revenue Run Rate increased from nearly INR 70 crores in Q1 FY26 to around INR 90 crores in Q2 FY26, rising 26% in a single quarter, and nearly 50% higher from the INR 55 to 60 crores Revenue Run Rate since the acquisition announcement last year. Uniware continued to perform at scale, achieving an annual transaction run rate of over 1.1 billion order items. The platform saw 100-plus enterprise client additions across both traditional brands and digital-first brands across different industries. Our total enterprise client base hit an important milestone by crossing 1,000 clients during the quarter. Full commerce throughput on Uniware also demonstrated a remarkable growth, crossing an Annualized Run Rate of over 72 million order items, up from 48 million order items in Q1 FY26. We also launched UniCapture, a video management system capability as an extension to Uniware, that records shipment footage as proof for dispute resolution processes to reduce return-related losses and to improve transparency for our clients. This further enhances Unicommerce's position as a one-stop shop for e-commerce enablement, driving greater stickiness amongst our existing customers. Coming to the market performance for the quarter, we continue to see similar consumer activity as previous quarters. This was a result of two factors. First, the Shravan period came entirely in the month of September this year, along with the anticipation of favorable GST policy changes and possible price reductions in certain categories, which led certain consumers to defer purchases. That said, we saw encouraging signs towards the end of the quarter in terms of transaction growth. The festive season performed better than last year, with revised consumer sentiment, the rollout of GST 2.0, and strong offers from major e-commerce marketplaces. Demand momentum picked up late in the last 10 days of Q2 and continued into Q3. We expect this improvement to show up more clearly in Q3 results. As I mentioned earlier, we are already operating at an Annualized Revenue Run Rate of over INR 200 crores, which reinforces our strong trajectory for the year ahead. Meanwhile, we remain focused on initiatives within our control to drive revenue growth and profitability. During the quarter, we continue to strengthen our platforms through innovation across key areas, aligned with our vision of being a one-stop shop for e-commerce enablement. As I mentioned earlier, we launched UniCapture, a video management system as an extension to Uniware that records shipment footage to improve transparency and return-related losses during claims. For Shipway, the ShipSense AI module optimizes courier allocation by automatically selecting the best-fit courier using AI, reducing shipping costs and improving delivery success. On ConvertWay, we improved our COD to prepaid journey to help reduce RTO returns and improve margins for our clients. Alongside these, we introduced several other enhancements across the platforms, such as flexible B2B return management and improved inventory reservation for Uniware, adding estimated delivery date widgets for client websites, and upgrading NDR processes with select courier partners for Shipway and automated Instagram responses for ConvertWay. We continue to build products and features that help our clients scale efficiently and improve their customer experience. Going ahead, we will continue to benefit from several structural tailwinds to support our growth trajectory. First, India's e-commerce market remains significantly underpenetrated, offering long-term growth potential. Second, a large total addressable market of over $1.15 billion across our platforms, with particularly strong opportunities in courier aggregation through Shipway. Third, consistent new client additions across segments, supported by implementation of new use cases through new product launches as well as product enhancements. And fourth, steady growth in our international business, which is further diversifying our revenue base and expanding our overseas footprint. In summary, our priorities for the second half of the year remain disciplined execution, expanding our client base, and continuously enhancing platform capability. We have scaled materially from a pre-listing Annualized Revenue Run Rate of approximately INR 110 crores to over INR 200 crores as of Q2 FY26. With our comprehensive product suite across ConvertWay, Uniware, and Shipway, and a client base of 7,500-plus businesses, we are well-positioned to grow sustainably and profitably. Now, I'd like to invite Anurag Mittal, our CFO, to share our financial performance. Over to you, Anurag. Thank you, Kapil. Good morning, everyone. We are pleased to report continued growth momentum through Q2 and the first half of FY26, reflecting strong top-line momentum and continued improvement in operating profitability. For Q2 FY26, our consolidated revenue stood at INR 51.4 crores, a 75.3% year-over-year increase. The growth was supported by the consistent scale of Uniware and the sustained momentum of Shipway. Adjusted EBITDA, which reflects our operational profitability, grew by 85.1% year-over-year to INR 11.4 crores. Adjusted EBITDA margin stood stable at 22.2% in Q2 FY26, compared to 21% in Q2 FY25. The improvement in absolute profitability was driven by effective cost control, AI-enabled operational efficiencies, and Shipway's continued PAT positive performance, which together enhanced overall operating leverage. Profit after tax rose 29.2% year-over-year to INR 5.8 crores in Q2 FY26, compared to INR 4.5 crores in Q2 FY25. Excluding the non-cash amortization expense related to Shipway acquisition, our PAT would have approximately INR 6.6 crores, reflecting a year-over-year growth of 46.5%. Earnings per share also increased 25.7% year-over-year to INR 0.50 in Q2 FY26, from INR 0.40 in Q2 FY25. On a half-year basis, the company delivered strong financial performance. Our consolidated revenue for H1 FY26 grew 69.6% year-over-year to INR 96.3 crores, compared to INR 56.8 crores in H1 FY25. Our Adjusted EBITDA increased 96.4% year-over-year to INR 20.9 crores, with margins expanding to 21.7% in H1 FY26, from 18.7% in H1 FY25, an improvement of 296 basis points, reflecting strong operating leverage for the company. Profit after tax rose 21.1% year-over-year to INR 9.7 crores in H1 FY26, compared to INR 8 crores in H1 FY25. Excluding the non-cash amortization expense related to Shipway acquisition, our PAT would have been approximately INR 12.9 crores, reflecting a year-over-year growth of 61.9%. Earnings per share also increased 19.5% year-over-year to INR 0.85 in H1 FY26, from INR 0.71 in H1 FY25. As of September 30, 2025, our cash and bank balances stood at INR 63.4 crores, compared to INR 35.3 crores as of March 31, 2025. Net cash flow from operations improved to INR 29.7 crores in H1 FY26, up from INR 16.1 crores in corresponding period last year, reflecting strong operating performance. As Kapil mentioned earlier, Shipway continued its strong momentum and remained PAT positive. The business delivered around 26% sequential growth, with its Revenue Run Rate increasing from approximately INR 70 crores in Q1 FY26 to over INR 90 crores in Q2 FY26, about 50% higher from INR 55-INR 60 crores within a year of the acquisition announcement. We remain confident about continued progress in the future. Looking ahead, our focus remains on maintaining financial discipline, with delivering sustainable profitable growth through engagement with our existing clients, adding new clients, and investment in platform enhancements. Having crossed an Annualized Consolidated Revenue Run Rate of over INR 200 crores and Adjusted EBITDA run rate exceeding 45 crores, we have demonstrated both sustainable operating leverage and the growing scalability of our platform. Our strong execution, innovation, and integrated platform approach position us well to capture the next phase of opportunities in the fast-evolving e-commerce landscape. With that, I would now like to open the floor for Q&A. Thank you. 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 the 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. The first question is from the line of Ananya Nichani from Thinqwise Wealth Managers LLP. Please go ahead. Hi, am I audible? Yes, you are audible. Yeah, so my first question was on account of the realization per transaction. I've seen that it's weakened in this quarter as well to 1.076. It's fallen about 15%. So what's the reason for that? Sure. So as I had mentioned in earlier calls as well, the rate per transaction is a function of multiple factors. Last year, we had taken the strategic decision of supporting some of these early-stage brands by lowering our minimum guarantee in onboarding new customers. In addition to this, we have also seen an increasing share of Quick Commerce volumes or B2B volumes as we have extended our WMS to support Quick Commerce and bulk use cases. In this, our realization per transaction is slightly lower compared to the standard B2C transactions. But to counter the impact of these two factors, what we have also done is introduced price escalation in our new contracts. The impact of that should start being visible in H2. Once we see the acceptance of the clients, because as they come up for renewal and the clients accept this price escalation clause, we will be extending this for our existing client base as well in the subsequent year. Another thing we are doing is to introduce new features, new modules to upsell our existing customer base. We have two balancing factors against the lower MG and the increasing share of B2B/Quick Commerce volumes. To counter the impact of that, we have introduced these. Now, our rate per transaction is a mix of how these factors play out. Right now, as a management team, we believe that our rate should stay ballpark in this range. Our rate has broadly stayed in this range of 1.1, so it should continue to stay going forward as well. Okay, sir. Thank you for your answer. My second question is on account of client attrition. So in the previous quarter, you had 979 enterprise clients. And then this quarter, you have 1,023. So I'm assuming you added about 100-plus clients. So about 60 clients have left you. These are enterprise clients. So I'm just wondering why enterprise clients are leaving the company. Are they going to competitor platforms, or are they going back to Excel, or are they shutting down? Yeah, that's my question. Sure. I just want to clarify that when we say an enterprise client, these are clients using an enterprise plan. It doesn't necessarily mean that it's a large logo. It could be a small seller having good e-commerce volume. And/or they are in the journey of e-commerce where they are growing, and they want higher features. So, for example, our SMB plan today only offers order management system. But if they need a warehouse management system and ERP integration, they need an enterprise plan. And it is irrespective of the scale, depending on the use case. So it is effectively the enterprise plan is following for the use case. The churn that we see. E-commerce is a volatile industry, as we all know. So the churn of customers that we see are broadly in the long tail, where the three biggest reasons of churn for us are either the clients are shutting down, or they're stopping to sell online, or they moved from Dropship model to the outright or fulfilled by model. I would like to call the attention of everyone that there are three models of e-commerce in India. An outright model, where a platform is buying inventory from a brand. A fulfilled by model, where a brand is keeping stocks in a Flipkart or Amazon warehouse. And when the customer places the order, it is a Flipkart or Amazon stock that is shipping the goods to the end customer. And a Dropship model, where a brand is controlling the end-to-end experience for a customer by shipping the goods that are lying in their own warehouse or in the warehouses of a third-party player. So if a brand moves their models from Dropship to other models, our solution is not very relevant. It is most aligned to the Dropship model. Okay. So you're saying it's because of clients shutting down or them? Yes, majority of them. Very rarely do we see a client moving to other platforms. Our biggest reasons of churn are the three that I described: client shutting down, client deciding to stop selling online, or client moving from Dropship to any other model. Okay, so these are all B2C businesses, basically, that are. Yeah. It could be traditional brands as well, where they started their online journey, but they decided to change the model. So it could be anything, a mix of that. And this is in line with the historical trend. If you look at our net adds every quarter, it is similar to what we've seen in earlier quarters as well. Yeah. Actually, this attrition, I've observed it for a long time. So it's not a cause of concern for you or anything? It's a normal? No. Goes up. No. It's a nature of the industry. Okay. Okay. My last question is just. And. Yes, yeah. Sorry, just to add, while you see in terms of number of logos that churn, the impact on the revenue is not very significant because these are long-tail customers that are churning. Right. One more follow-up I had on this. Your revenue from your top clients has been decreasing. So are any of your top clients maybe churning out? Anything like that? This question came in the last earnings call as well. We described that there has been no logo churn. The performance of the top 10 cohort is reflective of the business performance of those brands. And over the last many years, there has been a concerted focus on diversifying our customer base. And that's where the share of top 10 clients is consistently decreasing. It used to be 50% plus five years ago, but now it is about 15%. In terms of the absolute decline, it is a function of the performance of the brands on their own e-commerce journey. Okay. Understood, sir. Thank you. My final question was on account of the fundraise that you had done in September. So any light you can throw on that? Can you repeat the question? You had done a fundraise in early September from your promoter, I believe, from AceVector. I just wanted to understand exactly what this is for. So we actually took the approval from the shareholders in terms of doing the preferential allotment. But that has not yet concluded because as and when there are any M&A-related opportunities, and this is the requirement of the company, the investment will happen in due course. Okay. So the acquisition is not yet planned, or this is just for a contingent? So we keep evaluating all these white spaces for these M&A opportunities. These have not been concluded yet. But as soon as these get concluded, we'll trigger this fundraise from the parent entity. The approvals, etc., are well in place already. Okay. Okay. Understood, sir. Thank you so much. Thank you. Before we take the next question, a reminder to all, you may press star and one to ask a question. The next question is from the line of Ishpreet Kaur from Relax Capital. Please go ahead. Hi. Thank you for the opportunity. Appreciate seeing the increase in the volumes in the transactions and the enterprise side. But taking cues from the previous participant, like you mentioned, just reconfirming, so this 1.08 realization drop that we've seen to 1.08, is that likely to improve going forward quarter-on-quarter basis since you mentioned there would be price escalation clause with a few clients coming in? So Ishpreet, like I said, there are a total of four factors impacting it in the downward trajectory to helping that move upward. So it will be an interplay of these factors. I think right now, we believe it should stay in a similar ballpark going forward as well. Okay. But a further decrease on a quarter-on-quarter basis should be stabilized at this level now? It should stay in similar ballpark, Ishpreet. Okay. And would the realization be any different versus the other players like Vinculum on a per item basis? So it's hard to comment on other players, but typically, we are a premium player compared to other players. We typically have higher realizations compared to other players. Versus a player like a Vinculum also, would it be like a premium? So again, I can't comment on specific competitors, but we are generally more premium compared to other competitors, all competitors included. Okay. And how much would be the overlap between the services? Like if somebody is taking Uniware versus the other two, three services, the ConvertWay and other services that you offer, what would be the overlap currently? So we had mentioned this in our earlier calls as well. When we started, when we had acquired the company, the overlap was about 5%. We had increased it to about 10%. It continues to be upwards of that. Our vision is to be a one-stop shop for e-commerce enablement. So we continue to upsell our existing customers to these new solutions: Shipway, ConvertWay, UniReco. So we will continue to see a higher overlap going forward in these solutions. So when you say 10%, it includes, excluding the Shipway, also. Shipway is 10%. I remember you had mentioned last quarter. But the ConvertWay and the other services also are around 10-odd%. ConvertWay is in the initial phases of its journey. We are growing that business. We are building. We are investing in the product. As you can see, we continue to add new features which are required in the ecosystem. As it matures further, we would be able to let the overlap increase further. At this stage, we will not be able to disclose the exact overlap for ConvertWay specifically for business sensitivity reasons. Also, if you could throw some UniR eco in terms of the accessibility of clients. Sorry, your voice was breaking. Could you please repeat the question again? Sorry, to interrupt, Ishpreet? Your voice is breaking. Hello? Hello? Still the same, ma'am. I'm at the same place. Yes, right now you're on. Please go ahead. No, sorry about that. Okay. So in terms of accessibility of UniReco, if you could just throw some light on how it's shaping up? Sure. I couldn't hear it clearly, but I'm assuming you're talking about UniReco. But UniReco, we continue to receive encouraging feedback from our earlier adopters. The product is still in early stages, but we are in the process of figuring out showcasing it to more and more of our customers. So the initial feedback has been positive. But it's still early days. It was launched towards the end of June, and it's been almost five months right now. So we are still showcasing our product to our clients, incorporating their feedback, and driving more adoption of this product across more and more clients. Would it be fair to understand that once the acceptability of ConvertWay and UniReco, I'm not talking about Shipway as of now, increases, we would be seeing a change in the realization per item also? UniReco goes in the Unicommerce standalone. UniReco will help in the realization. And as I mentioned, our cross-sell initiatives will drive an improvement in realization. ConvertWay is part of the Shipway entity. ConvertWay won't impact the Uniware realization. Okay. Got it. Just lastly from my end, what would be the EBITDA margin level for Shipway? And if you could throw some light as to how they can shape up in the next two, three years? Were you asking about the beta margins for Shipway? Yes. Okay. So on Shipway, we've taken a strategic call of reinvesting the profits back into the business. Shipway, as you mentioned, is operating in a large market opportunity. It's a relatively new entrant in that. So we need to invest in the business for sales, brand building, as well as product enhancements. So the strategy call we have taken is to reinvest the profits, whatever we are generating from the business, back into the business to drive growth. It is a growth engine and a big growth engine for us. So the decision is to continue to operate it at a break-even level. Sure. In addition to what Kapil mentioned, in fact, Shipway started reporting PAT positive numbers since quarter one of FY26. This quarter as well, we reported PAT positive numbers, and this is something we'll definitely keep sustainable. And Shipway keeps reporting PAT positive numbers, even keeping Adjusted EBITDA better, even break-even, to keep reinvesting back into the business. This would be the case, say, for the next two, three years? Anything else, Ishpreet? Please rejoin the queue for more questions. Sure. Yeah. Thank you. Thank you. The next question is from the line of Sumeet Jain from CLSA. Please go ahead. Yeah. Thanks for the opportunity and congrats on a decent show at Shipway. So again, my question, Kapil, is on the pricing side. I mean, we are seeing for the last several quarters, there has been a bit of a pressure. But now you are saying that you guys have taken some strategic measures to improve upon that. And of course, your volume growth is still in strong double digits, high teens. So can we assume that the standalone parent business will revive back to a double digit growth from next quarter onwards? So like I mentioned earlier, yeah. So like I mentioned, we've seen some revival in the demand and in the number of transactions in the last 10 days of the quarter and in October. But we've also seen that the volumes have gone back to the pre-festive levels as the festive season stops. So it's hard to. There are still 45 days remaining in the quarter. So it's hard to predict how the quarter will go on. But as I mentioned in my speech, we should see some of the growth in the festive season that we've seen translating into somewhat better results. I think it'll be difficult for me to comment whether it's going to be single digit or double digit. But we are hopeful that we should, as we are seeing for the first one month, we have seen some revival in the consumer demand. If that continues to hold, we should see some improvement in the standalone results as well. While we cannot really control how the market is going to pan out, what we're trying to do are things that are in control. We continue to launch new products, new modules to be able to upsell, as well as continue to add new and new clients so that we continue to drive growth all across. Like I mentioned in the speech as well, for us, the new products will continue to be growth drivers, while our core platform, Uniware, will continue to be a major contributor to our profitability given the inherent operating leverage in the business. Got it. Maybe prodding further, can you also highlight the Quick Commerce players, how much proportion of your business would they be, and what is the pricing differential for them versus your overall parent entity? Any color, I mean, maybe if not the exact numbers. Sure. So as we mentioned, the number of transactions that are happening through Quick Commerce is about 72 million on a base of about 1.1 billion run rate that we've got overall. So you can figure out the relative share. It's growing very fast. It has grown in a quarter only from 48 million run rate to about 72 million. So the relative share is increasing. But yeah, it's still a small contributor in the overall scheme of things. Realization, as mentioned in the last call as well, that it will be difficult for us to share realization for specific channels because of business sensitivity reasons. But it is lower compared to our B2C transaction because here the items are moving in bulk. Got it. That's helpful. And then some bookkeeping questions for Anurag. So I can see your other expenses were slightly higher this quarter on a parent entity. So any particular reasons for that? So other expenses are higher, slightly higher. Reason being that other expenses also include the expenses of Shipway. And courier aggregation expenses and the freight expenses are also booked under other expenses. That is the reason the other expenses are slightly higher this quarter. And this is actually in the line of the increased revenue for Shipway as well. Got it. And the D&A was much lower on an overall consolidated level. So should we assume the D&A expense going forward will be at this current rate? On account of this D&A capitalization expense, Sumeet, I just wanted to recap what we explained in the previous quarters relating to certain capitalizations we have done in the last year as well as this quarter one. The company initiated the development of products focused on enhancing capabilities of existing customers and capitalized near about INR 43.9 million as of March 2025 in name of UniShip. As highlighted in our previous quarter one earnings call, following the acquisition of Shipway, the group began integrating its development products with Shipway acquired technology to strengthen offering for enterprise clients. This integration is expected to deepen the customer relations and enable broader market penetration. During the quarter ended September 30, 2025, the group successfully completed the integration of its internally developed supply chain solution with technology acquired through Shipway business combination. Resulting this, after successful integration and expert validation, the useful life of the asset has been increased from three years to eight years, resulting in our depreciation expense also reducing near about from INR 33 million in previous quarter to INR 10 million on account of Shipway acquisition. This D&A expenses has reduced to that account. Right. And this will remain at these levels, I'm assuming, going forward because there is no further major capitalization you are going to have. Yeah, that's correct, Sumeet. This amount remains almost the same in the future quarters also because largely all the intangibles under development have been capitalized by now, and no further capitalization as such is planned in the future periods, but it is, like we mentioned, it's a consistent accounting policy, so if and when we develop new products, that will continue to be capitalized. But as of now, all the incremental enhancements continue to be expense. We foresee at least for a few quarters, we continue to do any incremental enhancements, so those will be fully expense. Got it. Got it. And my last question is, as the promoter has decided to infuse more capital, and I'm assuming it's to acquire more companies in this space, and please correct me if I'm wrong. So any ROE or ROIC metrics you have which you want to follow going forward to ensure that those two metrics remain intact despite this equity infusion or, let's say, more investments in various entities? Sorry, Sumeet, your question is, are we? ROE and ROIC metrics, because with more capital infusion by the parent, ROE will take a hit. And because of these investments, what you are doing in Shipway, maybe your ROIC may also have an impact. So just wanted to check, any discipline you want to keep on those two metrics going forward, or is it the broad revenue growth is what you are going after right now? Right now, we are, as we have mentioned, e-commerce is a largely under-penetrated ecosystem. We see a strong growth potential. Right now, our intent is to continue to invest in the business, invest in the growth levers. If we feel that there is a white space or a product that's available, which is going to add meaningfully to our ecosystem of products and to the ecosystem of client base, I think our focus will be to drive growth and make sure that clients continue to see value being a one-stop shop, even if in the short term, our ROE takes a hit. But ultimately, it's about creating value in the long term for our shareholders. Our focus as a management team is to continue to do that, that we want to create value for our clients as well as our shareholders. Got it. That's very helpful. Thanks a lot and all the best, team. Thank you. The next question is from the line of Vraj Shah. From Tatvic Digital Analytics Private Limited. Please go ahead. Yeah. Hi. Thank you for the opportunity. So the question is regarding the churn that we are experiencing in the enterprise clients. So I just wanted to understand, last quarter, we added 1,000 more clients, and out of those, the gross additions is 100. However, if we see, by calculation, the net additions is only 21 for the enterprise clients. So I want to understand if the churn continues in the similar fashion going ahead as well. So don't you think it will create a kind of dent on the overall growth? Because however you are adding a good number of clients each quarter, but if the churn continues at the similar pace, then won't it be difficult for you to kind of grab the incremental revenues from the existing client base who have been the part of your system for over one year or two years? Sure, right. So I answered this question earlier in the call as well. Like I mentioned, the churn is in line with what we've seen historically in the various quarters that we've reported to the market. E-commerce is a volatile industry, as we all know. There are clients that shut down. There are clients that take a call on moving from Dropship to other models. Majority of our churn, client churn, is in line with these reasons only. And as I also mentioned earlier in the call, that an enterprise client, it's not necessarily like a large brand. It is a brand or seller which is using our enterprise plan, where they choose the enterprise plan for the various use cases that they want to solve as their e-commerce volumes are growing. So there are many, many long-tail brands who continue to churn. So the churn that we see in our business in terms of the local churn is largely these long-tail brands, and their impact on the revenue is not significant, as we have seen in multiple quarters that we have reported. Got it. Understood, sir. And sir, one more question with regards to the growth in Shipway. So last two quarters, there was a muted growth on quarter-on-quarter basis. But this quarter, you have done some good job on getting the growth back on Shipway. So I just wanted to understand, how are we expecting this to continue going forward for next one or two years, specifically for the Shipway? Sure. I just want to clarify, Vraj, that the quarter one where you saw a muted growth or in fact, a slight decline, that was a strategic call that we have taken in taking out customers who were not meeting our threshold on margin profile. And that was a strategic call that we had taken to turn the business profitable. And in quarter one, we had turned Shipway profitable, and it continues to be profitable. And now it is demonstrating growth because after we've cleaned our base, we are now adding customers on a regular basis. As I mentioned, Shipway operates in a large courier aggregation opportunity. It's a 4,000-crore market where Shipway is a relatively new entrant. So, we are very optimistic about growth coming from Shipway in the subsequent quarters and subsequent years. And there is no reason that Shipway cannot become a large player or meaningful player in this ecosystem. That is one of the reasons that we had acquired because now Shipway is part of a larger entity where we have an end-to-end value proposition to be able to offer to our clients. Because of which, we are very optimistic about the growth potential of Shipway business. Understood, sir. Understood. And sir, for the parent company Uniware, so if we see the growth is not coming even despite we have added few clients from Shipway as well. So after the acquisition, there would have been some increase in the client base. So you mentioned that you will cross-sell the products for the Shipway clients to the Uniware clients. So is that happening, or do you see any traction there? Sure. So first of all, I want to call out that Uniware is processing more than a billion transactions. It effectively becomes indexed to the e-commerce market. So it is the overall performance of standalone business of Uniware is a reflection of how the market is moving. Having said that, like I mentioned, things that are in our control, we continue to focus on that, which is acquiring new customers, adding new product enhancements. But the upsell of the new products, which is UniReco, and we've just launched a module, UniCapture, all of that will start showing results subsequently. There is a gestation period as we see wider adoption of these new modules. UniReco, it's been just four or five months since launch. UniCapture, we've just recently launched. So the impact of that will be more visible in the subsequent quarters. So the growth of Uniware business will be a function of not only market growth, but these new products and new client additions. To the point that you mentioned about new client additions, even new clients take about six-to-nine months to fully mature. So the growth coming from new clients also takes some time for it to reflect in the overall financials. So the function of these three factors is the market growth, new client addition, and new products. The last two factors, which are in our control, the impact of that should be visible in subsequent quarters. Understood, sir. So basically, so cross-selling for the Shipway product to the Uniware product, do you see any—or if you can share some kind of broad idea on if there is some client base from Shipway that is going to Uniware or you are benefiting from the acquisition? So for us, the cross-sell was more from Uniware to Shipway because Uniware operates on 1,000-plus enterprise clients and a large SME base as well. So the focus is on doing cross-sell of Shipway to this existing customer base. There is some cross-sell that happens from Shipway to Uniware, but it's not material. The large part of Uniware growth, as I mentioned, is driven by three factors, which are market growth, new client acquisition, and new products, which are UniReco and now UniCapture, new modules that we have launched, along with international expansion. Understood, sir. Very clear. Yeah. That was all from my side. Thank you so much. Thank you. Thank you. The next question is from the line of Jatinder from Relax Capital. Please go ahead. Hi, Kapil. Hi, Jatinder. I have two, three questions. So one is, you said you started to have a new escalation clause in the new agreement. If you could explain how this is different from what you used to be doing earlier. What I assume is that every time the contract used to come for negotiations, the client on the other side would try and negotiate for the pricing. So will this now have a built-in, by default, escalation clause? If you can explain more on this. Sure. So the earlier contracts, see, all of our contracts have been annual and with an automatic renewal. As I mentioned in an earlier call, this is a backbone for the e-commerce business. So honestly, a brand did not really think about coming up for negotiation because it is an inherent part of their e-commerce supply chain. The agreements were automatically renewed. One of the changes we have done in our agreement is they continue to be annual, but we have added a price escalation clause now. So when the automatic renewal happens, it happens with a price escalation. But I've been mentioning that many of this we introduced last year for only our new customers. Now they will be coming up for automatic renewal in quarter three and quarter four. So we will see how the clients are reacting and whether this gets actually implemented or not. Post that, we will be able to anticipate the impact of this price escalation on our overall revenue as well. But it is right now happening only on the new customers that were onboarded last year. Perfect. My second question is on this fundraise and the cash balance that we have. So like you said, there are options on the table, but is it more like a competitor or is it like a new business vertical that you plan to look at? We continue to explore white spaces. This is essentially our vision is to be a one-stop shop for e-commerce enablement. Our preference is to look at complementary product offerings which can add meaningfully to our customers. Our exploring of white spaces is coming largely from the inputs that we get from clients that they need newer solutions for them to have everything under a single umbrella, so we keep exploring white spaces based on our understanding of the ecosystem and the inputs we receive from the clients, so typically, the spaces that we look at are complementary product offerings. Having said that, if at all there is a competitor which we feel can add value and is available as a right solution, we would be open to considering that. Our primary focus is to look at complementary solutions which add to our vision of being the one-stop shop for e-commerce enablement. Perfect. And my last. Sorry to interrupt, Jatinder. Please rejoin with you. Okay. Perfect. Thank you. Thank you. Ladies and gentlemen, in order to ensure that the management will be able to address questions from all the participants, kindly limit your questions to two per participant. Should you have a follow-up question, please rejoin the queue. The next question is from the line of Pratik Banthia from Fermi 325 Investment Advisers. Please go ahead. Yeah. Hi. Am I audible? Yeah, you are audible. Yeah. So congrats on the excellent set of numbers. A bunch of my questions have already been answered. A question that I have is, what is the long-term vision for Unicommerce in the sense will it be more focused on the e-commerce side of the business, or is the plan to become a more to have a broader set of offerings covering, let's say, possibly a supply chain platform kind of a thing similar to what a Manhattan Associates has? So what's the long-term vision over there? Sure. Pratik, our focus is on e-commerce today. We are an e-commerce enablement software. We want to continue to solve for all pain points that are e-commerce related. But as we have seen, the world is also going omnichannel. Many brands start their journey online, but they expand offline, and many offline first brands are also expanding online. As the world goes omnichannel, we are also expanding into those spaces. We have started to help our brands manage their general trade, modern trade business also with the B2B launch that we had done last quarter, where we had added B2B capabilities to our ecosystem. We already had an omnichannel solution. So, we would like to see ourselves as an omnichannel enablement software and we are not only focused on supply chain. We have ConvertWay solution which is focused on marketing automation. We are strategic across all the key components of the e-commerce value chain. We want to serve the entire e-commerce/omnichannel ecosystem across both pre-purchase as well as post-purchase journeys. Okay. Got it. And just a question on the acquisitions that you guys are eyeing. So what did you just mention is what vertical or what segment are you looking at probably under ConvertWay or Uniware or Shipway? Any color on that? See, we continue to evaluate opportunities in various spaces. With ConvertWay, we got an entry into pre-purchase, but pre-purchase continues to be a vast domain which we continue to explore, and there are some white spaces in the post-purchase ecosystem as well, both in Uniware as well as Shipway, so we continue to evaluate opportunities across all. As and when we feel that some of those conversations are maturing, we will be sharing more details about the same with the group. Okay. Thank you. If I have anything, I'll join back in. Thank you so much and all the best. Sure. Thanks. Thank you. The next question is from the line of Shreyans Gathani from SG Securities. Please go ahead. Hi Kapil. Good morning. So I just had one question on the value proposition that Shipway offers versus the competitor. I know that you mentioned that we offer a holistic suite of products so that it's helpful for the customer. But from what I understand, it's a plug-and-play model, right? So for example, a Uniware customer can also just plug into your competitor's software. So just trying to get where we differentiate for the customer. Sure. With Shipway, one of the biggest differentiations is the fact that it's part of an end-to-end value proposition, which makes it very convenient for a brand to have everything under a single umbrella. Most brands today struggle with the disputes that happen between multiple vendors. If something goes wrong, vendor A ends up blaming vendor B, and vendor B ends up blaming vendor A, which is the biggest hassle for a brand today. They want a single throat to choke as far as their e-commerce operations are concerned. Our vision is to become that single throat for them to ensure that everything happens seamlessly for them. That's the biggest value proposition. Along with that, even though Shipway is at a nascent stage, it is a relatively new entrant. But being a part of the larger umbrella, we have been able to ensure that they have very competitive offerings, very competitive rates in the market. Another differentiation is that service levels continue to be differentiated for us because the learnings we have had from running the e-commerce business, we are appreciating those learnings in running the Shipway business as well. So the three differentiations today are being a part of a large entity and an end-to-end product offering, two, having very competitive rates even at a relatively modest scale, and third, having superior service levels. So these become our three differentiated value propositions. Got it. Perfect. Thank you so much. That's all from me. Thank you. Ladies and gentlemen, due to time constraints, that was the last question for today. I now hand the conference over to the management for closing comments. Thank you, everyone, for joining the call today. We hope we have been able to address your queries. Should you have any further queries or clarifications, please feel free to reach out to us, our Strategic Growth Advisors, our investor relations advisors. Thank you and have a good day. Thank you, sir. On behalf of Unicommerce eSolutions Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your line.