Ladies and gentlemen, good day and welcome to the Varun Beverages Limited's earnings conference call. 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 and then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Anoop Poojari from CDR India. Thank you, and over to you, sir. Good afternoon, everyone, and thank you for joining us on Varun Beverage Q3 CY 2025 earnings conference call. We have with us Mr. Ravi Jaipuria, Chairman of the Company, Mr. Varun Jaipuria, Executive Vice Chairman and Whole-Time Director, and Mr. Raj Gandhi, President and Whole-time Director of the Company. We will initiate the call with opening remarks from the management, following which we'll have the forum open for a question and answer session. Before we begin, I would like to point out that some statements made in today's call may be forward-looking in nature, and a disclaimer to this effect has been included in the results presentation shared with you earlier. I will now request Mr. Ravi Jaipuria to make his opening remarks. Good afternoon, everyone, and thank you for joining us on our earnings conference call. I hope you've had a chance to review our results presentation for the third quarter and nine months ended September 2025. We have delivered a steady performance during the quarter, with consolidated sales volumes rising by 2.4%, supported by healthy traction in international markets, while domestic volumes remained subdued due to prolonged rainfall across India. International operations grew by 9%. Performance in international territories continued to be healthy, with South Africa delivering another quarter of strong growth. In South Africa, we see significant potential to further strengthen our market position, and we continue to put in place the building blocks to support sustained growth in the region. Our ongoing backward integration initiatives across key locations are driving higher efficiency and operation resilience. Further in line with our growth strategy, we are incorporating a wholly owned subsidiary in Kenya under Varun Beverages Limited to carry on the business of manufacturing, distribution, and selling of dairy and beverages. We are also diversifying our product offerings, and certain African subsidiaries of VBL shall test market beer in their territories through an exclusive distribution agreement with Carlsberg Breweries for the Carlsberg brand. These developments collectively reflect our continued commitment to broadening our product base and strengthening our presence across key growth markets. Meanwhile, our snacks facility in Morocco has ramped up to full-scale operations, and the upcoming Zimbabwe plant is progressing towards commissioning, marking continued progress in diversifying our portfolio beyond beverages. While the extended monsoon season impacted consumption trends in India, we remain confident in the significant long-term potential of the domestic beverage industry. With low per capita consumption and rising penetration in the semi-urban and rural markets, the opportunity for growth continues to be immense. Our ongoing investments in capacity expansion, distribution reach, and cold chain infrastructure are further strengthening on ground execution, ensuring we are well prepared to capture demand recovery in the upcoming season and deliver sustainable growth for all stakeholders. I would like to invite Mr. Gandhi to share the key highlights of our operational and financial performance. Thank you very much. Thank you, Mr. Chairman. Good afternoon and a warm welcome to everyone on the call today. I will take you through the financial and operational performance for the third quarter and nine months ending 30th September 2025. Revenue from operations, net of excise and GST, increased by 1.9% year-on-year in quarter three, CY 2025, to the level of INR 48,966 million from the earlier level of INR 48,046 million in Q3 2024. Consolidated sales volume grew by 2.4% to the level of 273.8 million cases from 267.5 million cases in the same period last year, reflecting stable overall performance even as heavy rainfall persisted across India through the quarter. India volumes were largely flat, while international volumes grew by 9%, led by a strong performance in South Africa. Net realization per case stood at the level of INR 178.84 in Q3 of 2025, compared to INR 179.62 in Q3 of 2024. Owing to a higher mix of packaged drinking water in international markets, CSD constituted 74%, NCB 4%, and packaged drinking water 22% of total sales volumes during the quarter. In nine months, 2025, mix of low sugar, no sugar products was 56% of our consolidated sales volumes and 45% approx in India. Gross margins improved by 119 basis points to 56.7% in Q3 of 2025, driven by higher contribution from packaged drinking water in international markets and benefits from ongoing backward integration initiatives. However, with increased in-house production of raw materials, a part of expenses has shifted from raw material purchases to employee costs, power and fuel, and other manufacturing overheads. EBITDA remained broadly stable at INR 11,473 million, with margins moderating marginally to 23.4% from a year level of 24% in Q3 of the last year. Reflecting this accounting shift, the underlying business economics remains strong, with efficiency gaining from new CapEx and backward integration expected to become more visible in volumes scale-up. PAT increased by 18.5% to INR 7,451 million in Q3 of 2025 from the level of INR 6,288 million in Q3 of 2024, supported by lower finance costs and higher other income, which included interest on deposits in India and favorable currency movements across international territories. Depreciation rose by 19.9%, reflecting the commissioning of new plants in India and the DRC and CAN line in South Africa, along with brownfield expansion across other geographies. Following repayment of debt through KYP proceeds, finance costs in India are now negligible, while those in international markets primarily relate to South Africa and include lease adjustments under accounting standard 116. We remain debt-free at the consolidated level. On the regulatory front, the company transitioned to the GST 2.0 framework without any significant adverse impact on operations. The reduction in GST rates across key categories, including value-added dairy products, juice-based drinks, soda, and packaged drinking water, represents a structural positive for the company, directly benefiting nearly one-fourth of our portfolio in India. By passing on the full benefit of the rate reduction to consumers, we expect to drive category expansion and support sustained demand growth over time. Overall, we continue to maintain a strong financial foundation supported by operational efficiencies, prudent cost management, and a robust balance sheet. While our international businesses continue to scale well, India remains a significant long-term growth driver, with growing per capita consumption, wider electrification, and expanding chilling infrastructure. The domestic market presents ample headroom for sustained double-digit growth. With that, I conclude my remarks and invite the moderator to open the floor for questions. Thank you. Thank you very much. We will now begin with the question- and- answer session. Anyone who wishes to ask a question may press star and then one on the attached phone. 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. Our first question comes from the line of Vivek M. from Jefferies. Please go ahead. Hi, good afternoon, team. Firstly, on the base business, I know the season was quite bad and there are a lot of industries which have seen the impact. What would be the impact of competition? Are you seeing anything on the ground? I know we ask you this question every quarter, but you know it's an important parameter from our perspective, so we'd love to know your thoughts. I think competition is good and healthy, and I think they're growing the market for all of us. I mean, temporarily, obviously, they are in the market, so there will be some minor effect. We believe that in the long term, this is going to be very healthy for the industry. I think we are all, they've woken us all up and we are becoming more attentive and making sure we are going to the market more often than we were going before. I think it's a very healthy sign for the country because we are at such low per caps that in the next five years or ten years, this market has to double, triple, I don't know. There is huge room and I see only positive in this. That's a very interesting comment, Mr. Jaipuria, because you know, while you say that you know it has woken you up, we at least in the investment world always believed that you have been top-notch with your execution. That's a very interesting comment to hear, I must say. Just a follow-up to what you said, what are your thoughts on the INR 10 price point? You know, because that is one area where we have seen competition being quite aggressive, and there has been somewhat of a reluctance from your side as well as the other competitor. You know, INR 10 is such an interesting price point. If you all go back 20 years and go back to the pesticide time when we had brought the price down to INR 5, which was at that time mainly Coke and us. I mean, I remember that we could not, we ran the lines 24 hours and we couldn't produce enough. I think INR 10 is such an affordable, you can't even get a cup of tea today for INR 10, the small cup of tea. It's a very aggressive price point which our competitors have decided to put, and this will completely enhance the rural and semi-rural markets. I think we are also reasonably prepared, and I think whatever the market requires, we'll be in the market and expand the market. Sorry, Mr. Jaipuria, what exactly does that mean? Are you signaling towards a launch? Wherever it is necessary, we are prepared for it. If necessary, we'll come to the market and there's enough room for everybody. We'll also play the market when necessary. Okay, apologies, I still want to close the loop on this one. What exactly do you mean by if necessary? As we see it, the INR 10 price point is pretty much across states, across markets, wherever we have at least visited. What exactly are you looking for over here before making up your mind? If we see that our market share is being taken drastically, we will come to the party. At the moment, we see it's the weather, which is only making the issue. As soon as the weather changes, if you look at October, for example, for the next quarter, as soon as the weather has changed, we are growing in double digits. I am very happy with double-digit growth. Okay, got it. Looking forward to your action on this. On the second part, in terms of alteration in MOA, while the presentation does talk about ready-to-drink and Alcobev and all of that, there is also another thing in your release which talks about noodles and milk rations, milk powder, and all. Can you just elaborate, frozen food, etc.? Can you just also elaborate on that because that doesn't have a mention in the presentation? No, because we don't want to go again and again to the market. We are just making the portfolio available to us, and we are looking for expansion. Whenever we get an opportunity, we have kept ourselves ready to go forward with it. For example, let's say PepsiCo Foods, are you referring to that side of the portfolio when you say instant noodles and? PepsiCo does, so we will not compete with our parent company, and those products we'll never do. The rest we are open to look at if anything interesting comes. Is that comment specifically for overseas market or for India as well, Mr. Jaipuria? For the time being, overseas, but it's open. We are open to India also. Okay, got it. Got it. Thank you, and wishing you all the best. Thank you. Thank you. Our next question comes from the line of Abneesh Roy from Nuvama. Nuvama, please go ahead. Yeah, thanks. My first question is on the GST transition impact. Number one company, HUL, called out impact in Q2 and even in October month. If you could clarify in your GST impacted segments, what was the kind of impact you have seen in both Q2, which is, say, September quarter, and in October month? It affected slightly in the September quarter because a lot of people could not initially understand it and everybody downsized their stock levels. We were able to make sure that the goods were sent to them after the GST date. It affected for a few days, and then, of course, Diwali affected a little bit. Otherwise, you know, it was not a major issue for us. Sure. My second question is on the international volume growth, which is decent at 9%. If you could clarify how things are shaping up, which geographies are doing really well there. Second is on this Carlsberg tie-up, how big is the opportunity? It's looking really interesting. What made you go into this kind of a tie-up and how big is the opportunity in Africa? In some other countries also currently, it's a smaller opportunity, but how big is the opportunity from longer term? First of all, for us, the growth in Africa is coming back. Our challenge was in Zimbabwe at one point because of the sugar tax. The prices had gone up and the consumption had dropped slightly. We have covered that up also. Now Zimbabwe started growing back. Morocco is doing well for us. South Africa is doing extremely well. We are growing in double digits and mid-double digits, which we are very happy with. Going forward with the backward corrections and all, we see South Africa to be becoming an important part of our territory in Africa. Your other question was regarding beer. In Africa, we don't have the challenges that India has, that restrictions from the government that it has to be a separate and it. We have the same go-to-market. Our trucks can be loaded on the same, same trucks can be loaded, same people can sell the products. It becomes much easier and much without extra expense, expandable. There is a huge scope on that. Most of the countries, there are individual players running beer business in the country. It is a golden opportunity for us. We are going to test the market. Hopefully, as soon as we see the tests coming right, we'll go forward with it. One follow-up question there. You mentioned go-to-market is common. The employees also can be used for the same new business. In terms of end distribution, how much is the opportunity which is available or the end distribution is different in terms of the? End distribution is also most of the stores are allowed to carry alcohol, especially beer. Most of the stores are allowed to carry, so it won't be 100% the same, but a lot of it is common. It helps a lot. Carlsberg is already big in India. As of now, we should not draw any inference to India tie-up, right? No, nothing to do with India. Nothing to do with India right now. The last question on the new announcement. Obviously, the selling teams are separate, but the infrastructure, some of the things can be used in Africa commonly. Right. Last question on the new announcement. Alcobev opportunity in India, how big can that be? A lot of approvals needed. Coca-Cola announced a similar thing around 19 months back. We have not seen very high visibility in terms of advertising or in terms of distribution. Is it more of range completion or do you see that this could become a longer-term big even in India? RTD and low alcohol products are becoming large all over the world. There is a good scope here also. In India, you can't advertise. As it is, you can't advertise any alcohol products. I mean, we have kept ourselves open and hopefully, we look at it. We are starting with Africa and let's see what we can do in India. Is this big for Pepsi in other emerging markets or quite nascent? They are also just starting with RTD. It's still very nascent and everybody is looking at it long term. We don't want to keep on going back again and again to the market for it. We've taken approval and we are talking to Pepsi if we can start with some of their RTD products. Thank you, sir. That's all from my side. Thank you. Thank you. Our next question comes from the line of Aditya Soman from CLSA. Please go ahead. Yeah, hi. Good afternoon. Two questions. Firstly, in India, can you give us a sense of which categories and brands have and how they've performed during the quarter, particularly with some of these sort of fruit beverages or fruit-based drinks and the milk beverages? Any sort of pickup we've seen post the GST cuts? Second, on the Alcobev piece again, in Africa. This Carlsberg partnership, can you sort of also, is it applicable for every country that you operate in Africa or it's only a few countries to start with? First of all, you know the GST cut for the quarter has only been for eight days. It's too early to say. Overall, we've had tremendous growth in our hydration category, which is Nimbus. We've grown more than 50% in that, and we've had excellent growth in our value-added dairy. We've practically grown at about 100%, and we see both these categories still firing and doing extremely well. If the weather was slightly favorable, I think they would have done much better than what they have. Regarding your question of Africa, we've got most of the Southern Africa understanding with them, starting with one or two countries and then we'll take it forward. No, I understand very clear. Just on that first question again, last quarter, you said that you, I mean, Sting Gold wasn't as successful, maybe because of the weather and all of that. Any plans to relaunch this or push this more, or do you think you'll have to come back with a new product on that? We have come back with a much better product and a product which is medium priced, not at the price of Sting, but much higher price and not at the price of Red Bull. It is a medium price where it's priced at INR 60. This is a very fabulous product, which we have just launched actually the day before yesterday only. It is called Adrenaline Rush, A Rush, we call it. We think there is a huge market for this. There is a huge scope for this. We are expecting a very good response on this. We are testing it and we have launched it in four cities and we are going to take it forward. All right. Thank you very much. Thank you. Thank you. Our next question comes from the line of Arnab Mitra from Goldman Sachs. Please go ahead. Yeah, hi. Thanks for taking my question. My first question was on the Carlsberg arrangement. If you could just help us understand what is the kind of commercial terms of the transaction. We know that beer is a CapEx-heavy business. Would it involve you doing end-to-end everything in the markets where you're testing, or it's just distribution and somebody else does the manufacturing? I just wanted some sense on the commercial terms that you think here. Initially, it's distribution. We are importing the products and testing the market. As soon as we feel comfortable, then we will go to the back end. Sure. Sir, the other question was in these markets where you have got the Carlsberg distribution arrangement, does Carlsberg have any existing business, or are these white spaces for the brand right now? Mostly white spaces. Some small imports are happening, but practically white spaces. Sure. Sir, my last question was on the Kenya subsidiary incorporation. Is the purpose of it to long-term look at potentially Pepsi's business here or any other business that you're looking at for the subsidiary? No, we are looking at different categories. You know, it's part of the Africa expansion. There's nothing specific right at the moment. Sure. My last question actually was on the near term. I think you did mention that October you've seen a good recovery in the business. However, we know that October has also been quite disrupted by rain in many parts. Do you see the weather headwind continuing in the near term or it's much lower than what you faced in the last couple of quarters? I just wanted a broad sense of how the overall market is likely to do over the next three months. The only thing I can tell you is if, as you say, the weather still has not been the best and if we are still able to, wherever we've got a break in the weather and we are growing double digits, even after having bad weather in certain regions, the only thing is, of course, weather gods are not in my hand. As soon as we see a weather break, I think we are looking very positively and there's no reason why we should not look at double-digit growth going forward. Okay. Thanks a lot, Mr. Jaipuria. That's it from my side. All the best. Thank you. Thank you. Thank you. Our next question comes from the line of Devanshu Bansal from Emkay Global. Please go ahead. Yes, sir. Hi. Thanks for the opportunity. Sir, on the Carlsberg arrangement, you mentioned distribution rights are for the southern part of the African continent. I wanted to check what is the size of the beer market in these regions and eventually, over a period of time, what is the market share that you're targeting in these regions? I think the size of beer market is as large as soft drink or even bigger in most of these African markets. What market share we'll hold, it's too early. We have not even started testing the market. I think it's too early to say. Most of the African countries are very large beer consumption markets. Almost 1,500 million cases, would that be a correct ballpark estimate? Because I guess South Africa. I don't want to do guesswork. You know, it's too early. I think we are importing it right now, so I think you need to give us a little bit of time to understand it. Sure, sir. In terms of new products, globally, there are some fruit-based carbonates like cherry, mint, etc., which are gaining healthy traction in the U.K., China, Pakistan, etc. Are we also sort of thinking around these variants to bring them into India? Yes, we keep launching new products, you know, like we have launched the energy drink now, Sting. We will launch some new products next year. You cannot launch too many products because you have to make sure they are available in the market, their go-to-market is properly done, and you cannot put too many products at the same time. We are right now consolidating on our Asian portfolio, which is the Nimbus, making sure every store has it. Now we've added the energy drink. Hopefully, we'll add one or two more products next year. Understood. Sir, a couple of bookkeeping questions. From the food segment, what is the revenue contribution as of now? If you could just highlight. It's still very small, maybe about INR 300 crore or a little more, something like that. Morocco just started. Morocco is the only one which has really just started, and Zimbabwe will hopefully start by the end of this year. Understood. This INR 300 crore is annual revenue, you're saying, right? Yeah, for the time being. Morocco only started four months back, and Zimbabwe is just starting, so it's too early. I think next year you will see at least two countries giving full year turnover. Understood. Lastly, if you can call out the volume contribution from South Africa and DRC for the current quarter? I can only tell you that we are going in double digits and healthy double digits, and that's very healthy for South Africa. Which is the other place you asked? DRC. DRC, we are coming back. We made some errors, and we have come back, and DRC has started to perform well again. I think we'll be not growing hugely in DRC this year, but next year we see huge growth coming. Fair enough, sir. Thanks for taking my question. Thank you. Thank you. Our next question comes from the line of Percy Panthaki from IIFL Securities. Please go ahead. Hi, sir. My question is on the international business. We have done a sales growth of around 7% in the international this quarter, and this includes some part of foods also. Organically, it might be a tad lower. Our ambition, and I think what the investors also sort of expect, is like an early to mid-teens kind of revenue growth from the international business. Is there anything, any particular geography, etc., which is pulling this down, or is that expectation itself not sort of reasonable? No, I think double digits in early mid-teens is realistic for Africa. I think two things which pulled down this year, especially in the last two quarters. Basically, one was Zimbabwe, where I told you that because the sugar tax came in heavily, and because of that, the prices had to go up and the volumes dipped initially. We have since recovered, and September onwards, we are back to double-digit growth. I mean, more than 10% growth. DRC, we had made initially some errors, which affected us for the last few months. It has also bounced back. For next year, we see we don't see any challenge in the teens' growth. Right, sir. Right. Not just Africa subcontinent, but international as a whole, how fast do you think we can come back to a like 13%-1 5% revenue growth number? It's mainly Africa. There's nothing else. I mean, otherwise, it's only Nepal and Sri Lanka. Nepal and Sri Lanka are doing well. We are growing reasonably. Nepal and Sri Lanka would grow like India is growing. Understood. In one or two quarters, we should be at least at the early teens revenue growth kind of mark? Yeah, from next quarter, maybe hopefully even this quarter might be. Understood. Secondly, on this entry into beer and alcoholic products, just wanted to understand the rationale behind it. Why now? I mean, we have been in this business since 25 years, 30 years of sort of beverages. I mean, what has spurred this thought process at this juncture and not earlier? A couple of reasons. One, we were in the acquisition mode of soft drinks and Pepsi in the country. I think we've acquired the full country. We don't want to overjump in Africa in every country. It takes time to stabilize each country we get into. Wherever we have stabilized our business, if we can grow the business with other categories and we feel it'll be much easier for us to grow, we are looking at it and how to grow forward. We have free cash flows. We have to utilize our cash. We have to grow the business. Understood. Lastly, can you tell us exactly which geographies this Carlsberg arrangement is for? I just said that we are looking at the southern part of Africa. Okay. Okay. So basically, South Africa, Mozambique, those regions? That belt, from Zambia, Zimbabwe, DRC, that whole belt, what we call. Several countries ultimately will come under that arrangement? At the moment, that's what we have understood with them. We have to start, and then once we are comfortable and they are comfortable, we'll take it forward. Got it, sir. Got it. Very helpful. That's all for me. Thanks and all the best. Thank you. Thank you. Our next question comes from the line of Sumant Kumar from Motilal Oswal. Please go ahead. Yeah, hi. My question regarding Sting, how is the Sting performance in this quarter? Is it outperforming the overall growth on console level? I think all our carbonated beverages, including energy, are performing similarly. Everything is getting affected by the weather. As weather has opened up, everything has started going back to normal. Okay. You said Nimbus and dairy product is growing at higher pace. Nimbus and dairy are doing exceptionally well. Those were smaller categories, so it won't overall affect the numbers. Hopefully, going forward next year, both these categories should become large. In other income, what is the Forex amount? INR 111. About INR 100 crore. Okay, what was the previous year, same quarter? Minus 10. Okay. Thank you so much. Thank you. Thank you. Our next question comes from the line of Jay Doshi from Kotak. Please go ahead. Hi. Thanks for the opportunity. Just a follow-up question on your aspiration to or for a potential foray in India Alcobev business. Sir, you were present in this industry until 2015. I think you had a JV with AB InBev, and then you probably decided to exit that space. I think in the last 10 years, the sector has become a little more challenging from a regulatory standpoint and competitive standpoint also. Now, what's the thought process here in terms of how should we think about, you know, will it be some JV or partnership with a large existing player that you are considering, or would you be acquiring smaller brands or local players and building a portfolio over time? If you could give us some sort of idea of what kind of capital allocation you intend to make for the sector. We have reached too far. First of all, the positive side is we understand this business inside out. We ran this business for a long time, and we are looking to expand our categories and growth. We are looking at it in Africa to start with. We understand the beer business. We have enough people in the system who know the business from back end to front end. We are going to start with it and initially start with importing it. If we feel that it's the right thing to go forward and we get the right success, then we will take it forward to a higher level. Small steps as of now, nothing big. It depends. It could be big fast enough, but I think the first part is we need to test it. Give us a quarter or two quarters. Thank you. Second is, I just looked up, and I think the PepsiCo bottler in Kenya is SBC, with whom you were engaged for Tanzania and Ghana. Is there a possibility of acquiring rights for PepsiCo in Kenya, or would you be doing something very on your own? It has already been sold to somebody else. It has been sold to somebody else, I think, last year. Oh, okay. All right, sir, I was not aware of that. In that case, what would be, you know, what is your initial thought process at this point of time? Just looking at how to expand in different parts of Africa. We have just registered a company. It's a bit too early right now. As soon as we have something concrete, we will inform you. Sure. Thank you so much. That's it from my side. Thank you. Thank you. Our next question comes from the line of [Ongkar Gugardir] from Sri Investments. Please go ahead. I mean, how prepared are you for the next season, I mean, capacity expansion-wise and in that aspect I'm asking? I think we are over-prepared, actually. Capacity-wise, we have expanded in the last two years. This year, obviously, you know that growths have not happened. Our capacities are very much intact, and even if we grow 50%, we have enough capacities to fulfill that. As far as the acquisition of some companies is concerned, in which areas are you looking for it and how do you use the capital which you have? We are looking at expanding in Africa. That is the first part. With Pepsi itself, we started snacks, and we are expanding quite rapidly in South Africa. Plus, we've started looking at the beer category to start with. If need be, then, and we are in India also, we have not stopped expansion. We feel the growths are going to be quite substantial. We are going to continue expansion in India. This beer business, alcohol business, which you are starting, trying to test in the African region, how capital-intensive is it? Is it similar to the beverage industry or? It is similar like the beverage industry, but it's too early. I mean, we are not going to jump blindfoldedly. We are going to test the market. If it looks right, then we'll start one by one. It won't be a huge cap going in. Okay, thank you, sir. Thank you. Thank you. Our next question comes from the line of Sorabh Daga from HSBC. Please go ahead. Hi. Hello, everyone. Very good afternoon. First question, from PepsiCo's point of view, it seems like franchising bottling operations is gaining a lot more attention. There seems to be urgency too, right? Just want to understand what sort of opportunities. I didn't get you properly. Can you just repeat your question, please? I couldn't understand you. Right. I mean, yeah, from PepsiCo's point of view, we think that franchising bottling operations is gaining a lot more attention. There seems to be urgency too, right? I just want to understand your thought process. What can be some of the opportunities if PepsiCo were to advance on franchising some of its own operations on bottling? There's nothing to franchise. We own most of it here. No, outside. More than 90%. Globally, is the question. I mean, globally, yes. Globally, we are always keen. We have always told Pepsi, any place which is available, we are more than happy to expand with them, subject to their operations making sense for us. We are always open to expand with Pepsi. All right. On this, the Alcobev opportunity, can you share some thoughts on how does this help expand and strengthen your client relationship and distribution capabilities? Probably on the timeline, when should we start expecting some of these numbers to start flowing in through the P&L? I think it's still too early. We are initially just going to import and distribute and test the markets, a couple of markets. If we see enough traction and we see it doing well, I think there is, we definitely believe beer is a huge market outside India, especially in Africa. There is an opportunity for us to take that market because there are mostly single companies running this on a monopoly basis. We are going to try and see how we can establish ourselves. We are not going to jump the gun. We are going to go reasonably slow. As soon as we get traction, then we'll expand it. Sure, that's helpful. Thank you. Thank you. Thank you. Our next question comes from the line of [Priyam from Antique]. Please go ahead. Sorry to interrupt, [Priyam]. Sir, we are not able to hear you properly. Okay. Are you able to hear now? No, sir, your line is not clear. Am I audible now? Yes, sir, this is much better. Please go ahead. Yeah. Sir, there are various global media reports suggesting that PepsiCo, you know, has increased the price of concentrate by 10%. Was it related to only the U.S. or other markets as well? I have no idea what you're saying, so I can't answer you. I don't know where they've increased, and they don't discuss with us. I have no idea. Sir, I just wanted to confirm that it was only for the U.S. or in the other markets as well. I'll just check one more time. Thanks. As soon as we know, we'll let you know. Can you highlight when was the last revision in the concentrate prices? I think it was long back, but if you can just give us a second. We have an understanding with them. It's based on our selling price. There's no when is the last time it goes up. If we increase our selling price, they automatically get a share of it. It's all based on our selling price. All right. Thank you. Thank you. Thank you. Our next question comes from the line of [Karan Gupta from Acmel]. Please go ahead. Yeah, hi. Yes. Yes, sir, you're audible. Please go ahead. Yeah, there are a lot of questions that I just asked on the Alcobev side. I will not squeeze more on that, but just one question. I think that's on the kind of the boarding discussion you must have done on the opportunity side. You're not clear. Just a second. much noise in the back, and we can't hear you at all. Right now, I think clear. Yeah, yeah. Just one question on the Alcobev side. I know or we understand that it's too early to ask on the revenue and profit side, but the number of cases, if you can just tell us how many volume that we are targeting on this side. Test marketing, it's very difficult to say how many cases. It has no meaning. It's going to be test marketed, imported, and test marketed. I don't think it has any relevance. Okay. Thank you. Thank you. Thank you. Our next question comes from the line of Rajit Aggarwal from Niljiri Investment Managers. Please go ahead. Good afternoon, sir. Just a couple of questions. One is on the South African market. Could you share what is our market share in that territory? We are, I would say, around 17%- 18%, approximately 17%. Maybe 1% or 2% less. Okay. And. Yeah, about that. Okay. Is there any thoughts on what should be our target market share in, let's say, two to three years? I would love to reverse it if it's possible. We are trying our best, and I hope we have got a tough competitor there. As long as we can grow in double digits, it's a very healthy growth and it's a new market for us. Yeah. Absolutely, sir. On the subsidiaries, calendar year 2024, a few of the subsidiaries were negative or were lost at the net level. As of Q3 or as of nine months, are all the subsidiaries profitable now on net level? Consolidated, yes. Consolidated, yes. They're all in profit. I don't know which one is profiting. I'm just talking about individual subsidiaries, like The Beverage Company Proprietary Lt d. Except DRC or something, I don't think anything was negative, really. I mean, they were marginally negative. They were not largely negative. For example, Zambia was marginally negative. No, I don't think we won't be negative. I think DRC might take a little more longer, but otherwise, I don't see any being negative. Okay. All right. Thank you. That's all from my side. Thank you. Thank you. Thank you. Ladies and gentlemen, we would take that as the last question for today. I now hand the conference over to the management for closing comments. Thank you. I hope we have been able to answer all your questions satisfactorily. Should you need any further clarifications or would like to know more about the company, please feel free to contact our Investor Relations team. Thank you once again for your interest and support and for taking the time to join us on this call. Look forward to interacting with you soon. Thank you very much. Thank you. On behalf of Varun Beverages Limited, that concludes this conference. Thank you for joining us and you may now disconnect the lines.