Ladies and gentlemen, good day and welcome to the ZF Commercial Vehicle Control Systems India Limited Q1 FY2026 Post Results Earnings Conference Call, hosted by Batlivala and Karani Securities India Private 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 this conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Annamalai Jayaraj from Batlivala and Karani Securities India Private Limited. Thank you, and over to you, sir. Thank you. Good afternoon. Thank you for joining us today, and I welcome you to ZF Commercial Vehicle Control Systems India Limited, comes to greet you on the Q1 FY2025-2026 quarterly earnings. Today, the Q1 earnings for FY2025-2026 will be presented by the management team of ZF Commercial Vehicle Control Systems India Limited. We are hosted today from ZF Commercial Vehicle Control Systems India Limited, Mr. Paramjit Chadha, Managing Director, Ms. Sweta Agarwal, CFO, Mr. P. Shankar, Head of OE Business, and M. Muthulakshmi, Company Secretary. I'll now hand over the call to Mr. Paramjit Chadha, who will provide further insight into the results. Over to you, sir. Thank you, Jayaraj. Good afternoon to all of you. I warmly welcome you all to ZF Commercial Vehicle Control Systems India Limited Q1 results for financial year 2025-2026. This is my maiden call after joining as Managing Director from one July. Certain forward-looking statements that we will be making today are based on management's good faith and expectations concerning future developments. As you know, the actual results may differ materially from these expectations because of multiple factors. ZF Commercial Vehicle Control Systems India Limited's results for the quarter ending June 13, 2025, were published on August 12. They are available on the website, www.zf.com, under the ZF CVS India Investor Relations section. We hope that you have had an opportunity to go through them. A transcript of this recorded audio of this call will also be made available on the website, www.zf.com, under the ZF CVS India Investor Relations section. I am happy to talk to you today as we give you an update about the business of the company by going through first the economic update, then commercial vehicle, and then about the company update. Regarding the industry and economic updates, I would like to start talking about a few key macroeconomic aspects relevant to our industry. The global environment continues to be challenging. Global growth, though revised upward by IMF, remains muted. The pace of disinflation is slowing down, with some advanced economies even witnessing an uptick in inflation. However, the current geopolitical scenario remains volatile, and its impact on the economy is not very clear. Domestic growth remains resilient and is broadly evolving along the lines of RBI's assessment. Private consumption, aided by rural demand and fixed investment supported by buoyant government CapEx, continue to boost economic activities. On the supply side, a steady southwest monsoon is supporting Kharif sowing, replenishing reservoir water levels, and boosting agricultural activities. Moreover, service sector activity remains robust. However, growth in the industrial sector remains a little subdued, and uneven across segments pulled down by the mining industry. As for the growth outlook, the above-normal southwest monsoon, low inflation, rising capacity utilization, and benign financial conditions continue to support domestic economic activity. The supportive monetary, regulatory, and fiscal policies, including robust government capital expenditure, should also boost domestic demand to some extent. The service sector is expected to remain buoyant, with sustained growth in construction and trade in the coming months. Prospects of external demand, however, remain uncertain amidst ongoing tariff announcements and trade negotiations. The headwinds coming from prolonged geopolitical tensions, persisting global uncertainties, and volatility in global financial markets pose risks to the growth outlook. Taking all these factors into account, projections for real GDP growth for 2025-2026 have been retained at 6.5%, with Q1 at 6.5%, Q2 at around 6.7%, Q3 6.6%, and Q4 6.3%. Real GDP growth for Q1 2026 will be around 6.6% as projected. The risks are evenly balanced, and most of this information is sourced from the RBI bank. Indian commercial vehicle industry situation, depending upon this economic situation, is important to be discussed here. In Q1 FY2025-2026, the automotive sector continued to an upward trajectory, recording a 4.9% increase in retail sales. The commercial vehicle CV industry, however, presented a mixed picture, while retail sales saw a modest 1% growth as per FADA. Production of CVs above six tons surged by around 7.7%, maintaining the strong momentum from Q4 of 2024-2025. This production boost was largely driven by the pre-buy impact of new AC cabin mandate, which was started implementation from 7 June 2025 for the trucks, which notably defied typical seasonal trends where the volumes in first quarter were not used to be so high. However, the overall CV mix was impacted by a slowdown in the heavy-duty segment, particularly on the tippers due to a dip in the industrial activity and significant decline in the mining industries. While this production surge may temporarily affect Q2 volume, we remain optimistic about a strong rebound in the second half of the financial year. The upcoming festive season, a favorable monsoon forecast supporting agricultural activities and continued government investments in infrastructure are expected to drive robust demand and sustained growth. Looking ahead, the CV industry is poised for transformation. Key trends such as the expansion of commerce and adoption of advanced global fleet solutions like ADAS, e-mobility, and improvements in road infrastructure will be major growth drivers for the commercial industry. At the same time, heightened focus on sustainability and increasing adoption of the gross cost contract model by state transport undertaking are expected to accelerate the penetration of electric vehicles, especially on the buses side. After this, I would like to share some insight into the specific initiatives undertaken by the company during Q1 25-26. Coming to the OE sales, in Q1 25-26, our OE sales grew by a strong 7.8%, in line with the broader commercial vehicle industry performance in Q1. Despite headwinds from an unfavorable model mix and a flat trailer market, we sustained growth through increased penetration of advanced technologies such as AMT, which is called Automated Manual Transmission, then ECAS, electronically controlled air suspension, and strategic push into e-mobility solutions like electronic compressors and EBS, called Electronic Braking System. Looking ahead, the outlook for the CV industry remains optimistic, with multiple indicators pointing towards sustained rebound. In anticipation of this upswing, we are executing a series of strategic initiatives aimed at enhancing our competitiveness and unlocking long-term value. For example, we are prioritizing the penetration of advanced trailer technologies, including trailer ABS, trailer EBS, and Scalar EvoPulse telematics solution, in alignment with AIS 113 trailer regulation and growing demand for safety and operational efficiency demand in the trailer fleets. The upcoming Electronic Stability Control regulation for buses effective September 25 presented a significant growth opportunity. We are fully prepared for volume ramp-up and have already seen an increase in demand from key customers ahead of the mandate. Our product launch pipeline remains strong, with new introductions such as exhaust brake valves, automatic traction control, and expanded adoption of OptiDrive AMT and OptiRide ECAS. We are also deepening our presence in the electric vehicle segment, with targeted efforts to expand the reach of our eCompressor and EBS systems among independent bus manufacturers. Beyond the near-term rebound, we also see long-term growth drivers emerging from regulatory evolution and rapid adoption of electric mobility. The recent draft notification from Government of India mandating Advanced Driver Assistance System (ADAS), including features such as Advanced Emergency Braking (AEB), Lane Departure Warning System (LDWS), Moving Off Information System (MOIS), Blind Spot Information System (BSIS), and Driver Drowsiness and Attention Warning, marks a transformative shift for the CV industry. We are actively collaborating with major OEMs to ensure ZF's readiness and timely compliance. In parallel, the accelerated production of electric buses presents a significant opportunity for us. Our advanced e-mobility portfolio, including eCompressor, EBS, ESC, and ECAS, positions us as a technology partner in this evolving landscape. These developments underscore our long-term growth trajectory and strategic alignment with the future of commercial mobility. Coming to aftermarket performance, building on our success for the previous financial year, the aftermarket business achieved a growth of 9% over Q1 of 2024-2025. This is driven by focused execution across multiple projects in diverse segments. We continue to strengthen customer relationships, receiving repeat orders for ADAS driver behavior monitoring systems for their employee transport services. We also advanced retrofitment opportunities, including trailer ABS system for application on fuel carriers and substitution of industrial compressors with some of our automotive compressor range for industrial use. In the recent and important market developments, petroleum companies have issued tenders for LPG transportation contracts with a mandatory requirement for trailer electronic braking systems. In Karnataka, Gujarat, Assam, Rajasthan, and trailer anti-lock brake systems in other states, this regulatory change is creating a significant aftermarket retrofitment opportunity in the vehicles which are already on the road. We anticipate the adoption of trailer EBS and trailer ABS solutions in financial year 2025-2026, further strengthening our leadership position in trailer safety technology. Regarding exports, in Q1 2025-2026, we saw a decline in exports by 11.6% over Q1 2024-2025. The drop in volume is largely attributed to a decline in demand for compressors and braking components from OEMs in the U.S. The decline was partially compensated by an increase in demand for compressors and door control systems from OEMs in the EMA European market. Looking ahead, the export order book forecast is challenged, considering the geopolitical impacts. While this presents a short-term challenge, we remain committed to proactively navigating these changes. Regarding services export, the export of services recorded a growth of 11.9% in Q1 2025-2026 compared to the same quarter last year, driven by a sustained increase in IT engineering and business services delivered from India to our global centers. This reflects India's strength as a global engineering hub. Our commitment on ESC. Also, a lot of activities have been done as part of our ongoing commitment to sustainability and operational excellence. I'm pleased to share some of the significant milestones we have achieved in the first quarter of 2025-2026. Our Ambattur Chennai plant was honored with the prestigious CII EHS Excellence Award in the Gold category, the highest recognition in its class. Simultaneously, our Mahindra World City Chennai plant secured the Silver category award and received a special award from CII for the best carbon footprint reduction, an acknowledgment of our focused effort towards environmental responsibility. In pursuit of operational excellence, we implemented several energy efficiency initiatives across our sites, resulting in an estimated energy-saving potential of 4%. These efforts included optimizing compressed air systems and reducing idle time for energy-intensive machinery, contributing meaningfully to our sustainability goals. Further reinforcing our commitment to phasing out fossil fuels, we successfully electrified the canteen operations at the Mahindra World City Chennai plant. This transition is expected to save approximately 60,000 liters of diesel and 40 tons of LPG annually, effectively eliminating around 259 tons of CO2-equivalent emission approximately. Regarding engineering update, we have commenced pilot production of single-tier lift axle for a leading OEM, an important step towards commercial rollout. The company is also working with customers on advanced e-mobility solutions. During the quarter, we inaugurated our state-of-the-art innovation lab at the Hardware Design Center in Ambattur, Chennai, reinforcing our commitment to advanced engineering and local R&D capabilities. To support the growing demand for test operations, we have commissioned a 300 kilowatt high-tension transformer for our test track for the vehicle testing. Updates on the manufacturing side: we contribute to strengthen our manufacturing capabilities and scale up advanced technology products from our new multi-divisional facility at Oragadam. This state-of-the-art plant is now producing key components such as eCompressor and hydraulic ESCs for e-mobility, air system protector ASP cartridges for engine OEMs, and a range of wheel end products, including actuators, brake chambers, and automatic slack adjusters, for both our domestic as well as export markets. In Q1 2025-2026, we successfully launched several new products tailored for Indian truck and trailer OEMs, as well as for the aftermarket. These include brake jumpers, air dryers, door control systems, and electronic control units. To support this growth, we are scaling our manufacturing capacities across all the plants for braking system products, positioning ourselves to capitalize on the emerging opportunities. We have also upgraded assembly lines at our Jamshedpur, Lucknow, and Pantnagar plants, enhancing our manufacturing footprints. These upgrades have significantly improved delivery performance, operational flexibility, and customer responsiveness, while also contributing to our sustainability goals by reducing transportation-related emissions and also using recyclable-type packages. On the corporate responsibility side, in the first quarter of 2025-2026, we continue to progress in our community development and sustainability initiatives. As part of our efforts to promote road safety and enhance public infrastructure, we installed solar-powered traffic signals and solar-based high-mast lines across Kanchipuram and Chengalpattu districts. We are also investing in skill development initiatives to boost employability and empower the next generation of skilled professionals. For building future-ready talent, over 200 youths have been trained in foundational manufacturing skills through the National Apprenticeship Promotion Scheme (NAPS). Regarding awards and recognition, I'm pleased to share that Q1 of 2025-2026, our teams have collectively earned 25 awards and recognitions from esteemed industry forums, including CII, ACMA, CVA, and QCFI. These outstanding achievements include five national-level awards, five regional-level awards, and 10 state and zonal awards. These accolades are a testament to our commitment to excellence, innovation, and continuous improvement. And now, moving to the financial performance, I would request Sweta Agarwal, CFO, to run through the details. Good afternoon, participants. The results of the company were made public at 6:07 P.M. on 12 August 2025. I hope you have had a chance to go through them. I'm pleased to share that we delivered a strong performance in Q1 FY 2025-2026. The consolidated revenue for the quarter ended 30 June 2025 was INR 1,042.15 crores, compared to INR 971.06 crores in quarter one of the previous financial year, a 7.3% year-on-year increase. This is the second consecutive quarter where we have exceeded earnings of INR 1,000 crores. Our profitability also grew significantly, as the company recorded a profit after tax of INR 122.38 crores. This is up from INR 99.43 crores in Q1 of the previous year, representing an impressive 23.23% year-on-year growth. This is on account of various portfolio and cost management actions taken by the company over the last year. Our profit before tax stood at 19.4% of product sales in Q1 FY 2025-2026, and we achieved our highest-ever EBITDA margin of 23.42% in Q1 FY 2025-2026. This performance underscores the strength of our business fundamentals, the effectiveness of our strategic initiatives, and the dedication of our teams. Our engineering and other services continue to create value for our group customers. Service income grew by 19.19% at INR 123.2 crores compared to the same quarter of last year. On the exports, we recorded a growth of 11.6% over the corresponding quarter of the previous year, totaling out at INR 245.5 crores, largely driven by a reduction in demand from the U.S. but partially offset by increases from India. I'm now handing over to Ms. Sweta Agarwal for her remarks. I would like to end our speech on a high note by reaffirming that ZF CVCS is confidently positioned as a technology leader in future mobility. With strong capabilities in AMT, ADAS, and e-mobility, we are shaping the future of commercial vehicles and driving sustainable transformation across the industry. Thank you very much for your participation, and now we welcome the questions. 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 one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while answering a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Mukesh Saraf from Avendus Spark. Please go ahead. Yes, sir. Good afternoon, and thank you for the opportunity. My first question is on the margins. While we've seen gross margins have improved sequentially, the EBITDA margin has kind of come off. So we're seeing that employee costs and other expenses have gone up more than the increase in revenue. So could you give some sense on what has led to this increase in these overheads? Is there any one-off within these? Yes, Mukesh. Good afternoon. So we implemented the annual salary revision of approximately 7% effective 1 April. So you see that impact coming across when you're comparing it to the last quarter. And there was, of course, a one-time effect of the write-down due to differential rate of discounting for the gratuity valuation on 31 March. So when you are again comparing it to the previous quarter, it looks like it's disproportionately higher. However, this is in line because the gratuity valuation is a one-time exercise per year. So that's why the impact appears as such. If you compare it to the same period last year, same quarter, the increment would be in line with the annual increment setup. Okay. Okay. Within the other expenses as well, there's nothing to highlight as such? Within the other expenses, no. There's regular warranty freights and so on. So nothing major as a one-time one. Got it. Got it. And second question is on the ESC. Like you mentioned that from September, we are going to see an increase in volumes. Could you give some sense on how much of an increase this could be? What's the number of sets that we're probably supplying now for buses on the ESC and how this could go up? And additionally, also for the hydraulic ESC, I think we were at about 400 units a month run rate. Could this also kind of see an improvement from September? Hi. Good afternoon. This is Shankar here. On the ESC, the pneumatic ESC, what we are currently supplying to OEMs, we see roughly the volumes doubling from about 1,500-2,000 pieces per month to about 3,500-4,000 pieces per month. That's the kind of numbers that we are looking at come September. We've already started seeing an uptick in the orders coming in from OEMs this month as they prepare for the bodybuilding and readiness of the vehicles for launch in September. So that's something that's already started. On the hydraulic side, the impact would also be there, but not to that extent because I believe that some of the school buses and the city buses are still exempted. So that growth is not seen to that extent in the hydraulic segment. There is a small marginal increase in the numbers that we see on the hydraulic segment. Got it. Got it. And in some of the previous calls, we have mentioned that the trailer ABS as well, we should start seeing an increase in adoption. While this was mandated many years ago, the adoption is quite low. And I think in some of the calls, it was mentioned that we should start seeing that from this year onwards, there's going to be some push from the ministry as well. So any update on that? On the trailer ABS, we have a challenge because the enforcement is not there at the moment. And so it has been mandated as part of our legislation. We find that the state transport authorities are still not mandating it. So we are taking it forward as a safety feature and also educating trailer manufacturers that these are the benefits that it can bring them, and as well potential ROI and benefits that it can give them while they are on the road. Sure. And just lastly, if I may, any update on the draft regulation that we kind of have in place for the ADAS? I think it was next year, but we haven't got an update on that as yet as to when that final notification could come. At the moment, it's still under discussion. As you know, after the draft legislation has come out, probably OEMs are also in discussion with ACMA. There is a potential shift of the timeline that we are expecting, maybe to the tune of six months to a year is what we are expecting, but the exact details will be known once it's officially out. Understood. Great. Thanks a lot. I'll get back in with you. Thank you. Thank you. A reminder to all participants, you may press star and one to ask a question. I also request each participant to ask two questions. The next question is from the line of Mumuksh Mandlesha from Anand Rathi. Please go ahead. Thank you. Thank you so much for the opportunity, and thanks, Paramjit, sir, for the introduction. So I have one question, sir. On the ADAS opportunity, we have been always strong in the heavy commercial vehicle. Now, this seems the regulation is applicable to some part of LCV and ILCV portion, which is less than 15 tonne and more than 3.5 tonne. How do you see our position and presence for this part of the segment for the ADAS function? And also, in earlier calls, we had indicated INR 65,000-70,000 crores value for the ADAS content. Just want to check for the LCV part of the market, how the content would be different from the heavy commercial part. On the overall ADAS portfolio, as you know, we are present in the pneumatic portfolio, very strong presence today. On the hydraulic portfolio, these are some of the products that we are trying to leverage from our parent company. At the moment, the products what we have a challenge in terms of being cost competitive in the current market. The cost of the current products, which are expected to be, are much lower than in the frame of mind. So that's something that we are trying to evaluate while we look at how the market would tend to take up this product as well. So once we have better clarity on that, we'll be able to give that feedback. Got it. So our presence would be more on the pneumatic portion of the opportunity for ADAS. That's correct. That's correct. Got it, sir. Got it. Thanks for the opportunity, sir. Thank you. Thank you. A reminder to all participants, you may press star and one to ask a question. The next question is from the line of Khushbu Shah from Batlivala and Karani Securities. Please go ahead. Yeah. So thanks for the opportunity. So I had a couple of questions. First, sir, if you could give us the absolute number breakup for OEMs, replacement, and the export segment. Sorry, could you repeat your question, please? I wanted to know the absolute numbers for the quarter for the aftermarket, OEMs, and the export segment. So OEM is INR 463 crores, aftermarket about INR 135 crores, and exports INR 245 crores. Thank you. Coming to the long-term outlook, what is our strategy which you are taking for mitigating the demand cyclicity of the LCV industry? Just repeat that again, please. What strategies is ZF CV taking to mitigate or de-risk their business from the Indian CV industry? I mean, since the slowdown and. So Khushbu, we typically would follow the demand cyclicity if this industry itself operates in a particular way. So from a domestic side, there would not be many opportunities to not operate within that cyclicity. Aftermarket is the only opportunity where we might be able to find certain segments where we could support even outside the normal OEM large vehicle cyclicity. All right. All right. Okay. And for this quarter, I think sir mentioned some new product launches. So if you could elaborate or give some more insights on that, on the new product launches. So on the new product launches, in Q1, we have expanded our presence in the e-compressors and the EBS systems. This is primarily driven from growth in electric bus segment. So in Q1, we have seen a significant growth in the electric buses, and this is driven by independent bus manufacturers. And also, we are looking to expand our presence in the AMT segment and position ourselves for launch of new products such as exhaust brake valve, automatic traction control, and further growth of ECAS. Okay. All right, sir. All right. That's it from my side. Thank you. The next question is from the line of Ankur Shah from Quasar Capital. Please go ahead. Yeah. Hi, sir. Thanks for the opportunity. Ma'am, just one question on the other income. Any specific reason why the other income was quite up this time? Yes. There is a positive impact of FX movement. So the rupee has depreciated against the euro significantly in the last quarter. And since we are a net exporter company, we saw a positive impact on the euro FX. So ma'am, will this impact continue to stay in the quarters going ahead, or the pricing gets adjusted? The pricing doesn't get adjusted, but we don't see this kind of a volatile movement in the upcoming quarters. Unlikely to happen to this kind of a volatility. Sure. Thank you. And second question is on the other cost. I think one gentleman did ask, but any specific reason why there was such a huge jump on other costs in spite of a 3% top-line growth? So there are a couple of components in the other expenses, one of which is the CSR expenditure. So when you compare it to last year, the CSR expenditure has been directly to the profitability. Due to the higher profitability, therefore you see that component in the other expenses. The second bit is there are some previous period reversals that happened in the last year, which is making it look as if this year's other expenses are higher. So otherwise, it's mainly normal business as usual. So ma'am, while we are modeling it out, shall we think of it that the quarters coming ahead will be without CSR and normalized for? The CSR would be spent month on month, and therefore the CSR is linked to last year's performance and would remain similar across the rest of the three quarters of this year. Next year, CSR amount will therefore get linked to this year's performance. Oh, okay. Okay. Got it. That is very clear. And sir, one last question for you on the business front, a very maybe common question, that with the clients from the U.S., because I assume that we were expecting some growth with respect to U.S. exports, and with whatever has come up as tariffs, do we hear from clients or the parent company about change in growth plans, about change in sourcing destination being India or some other market? Because now, on a comparative basis, maybe European tariffs are quite lower than the Indian ones. So any thoughts over there? Yeah. We have already started working on this direction, checking that all our supply chain across the world. So there are IC export from one country to other. So maybe certain actions like some additional value addition in the U.S. and other things can be one of the areas which will be worked out. But as of now, I would say, if you ask me, some concrete plans, including discussion with the customers, is already being worked out. And I think it will take some more time to understand what are the overall stand being taken by our customers, global customers. And also, being our safety critical part, it is sometimes very difficult to change the source very quickly. So it needs a lot of time for reapproval by sourcing the part from other countries. So it's not so fast that one can do. Sir, just one follow-up on that. Sorry to interrupt, Mr. Shah, but I request you to rejoin the queue. Yeah. Sure. Sure. Thank you. The next question is from the line of Adjocs from Sundaram Mutual Fund. Please go ahead. Hi, sir. Thanks for the opportunity. My one question is ZF winning three large test system orders for powertrain and tire manufacturing applications. How much of that will flow towards and what is the potential here? As I said, those products that you are mentioning are not part of the portfolio of this listed company. Hence, we will not be able to comment on that. Got it. All right. Thanks. Thanks. Thank you. The next question is from the line of Mukesh Saraf from Avendus Spark. Please go ahead. Yeah. Thank you for the follow-up opportunity. There was one more draft notification end of July, which specified that for cargo tractors, we should have the vehicle location tracking devices as well as the event data recorders with similar timelines, October 26 and April 27 respectively. So is there an opportunity for us there as well? Because anyways, we will be kind of supplying newer components for the ADAS systems. We do have our own solution, the vehicle fleet management solution, which is already in series for other OEMs. There is also a newly launched platform called Scalar, which is the global platform that is being used with all the various options that are available, which can be used either as a data ingestion solution or as a hardware agnostic option as well. So these are potential products that we could look at in the immediate term. So there is already ongoing engagement with each of the OEMs to see which solution fits their price bucket today. Got it. Got it. And just lastly, the export revenues, could you give a mix of the country-wise exposure and how much would US be now and Europe probably? So typically, we export about 50% to the US and 50% to the Europe. This time, the mix could be 55%-45%, but not more than that for now. Okay. Okay. Okay. All right. Thank you so much. Thank you. A reminder to all participants, you may press star and one to ask a question. The next question is from the line of Ankur Shah from Quasar Capital. Please go ahead. Yeah. Thank you for the follow-up question. Just continuing on the export front, we keep hearing that the tariff, the customers may ask us to absorb some pricing. So any thoughts over there, sir? See, we are at present, mostly we are supplying to our intercompany unit, and the customer dealing is done by them. So I think if there are any thoughts, we will get that information. As of now, it is only internal discussions, and we are trying to calculate the impact and how far customer will reimburse that. I think that is to be concluded by our global team, and we will get to know in due course of time. Great, sir. Thank you. All the best. Thank you. Thank you. The next question is from the line of Lakshmi Narayan from Tunga Investments. Please go ahead. Yeah. Thank you. Mr. Chadha, I just wanted to understand what would be your top priorities for ZF in the next couple of years. And second, you have been with Mark Burnsley also earlier, and after taking over ZF, what are the areas where you think ZF needs improvement? Very difficult question, but I will answer it. So thank you for asking this question. It's almost 42 days I have joined, and I have gone through a visit of all my units, plants spread across India. Also visited most of the customers. So collecting the data of what all the customer expectations are there. See, the auto industry, especially commercial industry, needs agility and flexibility on the demand fluctuation. I think that is one area where every OEM is demanding this flexibility, and every supplier is working towards that direction. I would say ZF is more, I think, attuned to this because of the multi-location plants near to the customer units. So every main customer plant, we have our manufacturing unit next to them. So that makes us much more flexible to serve them as compared to our competitors who have units only in one particular or two, three locations. So that is one advantage of ZF, which we would like to leverage. We are already leveraging it, and we will continue. And the second point for the growth is the change in the demand in commercial vehicles is more and more technology is being adopted. Definitely, it is mostly driven through the regulations, but there are some very good fleet companies who are demanding safety features. So our team is in touch with the fleet companies to promote parts which give more safety efficiency. As Shankar has mentioned, we have telematics solution. We are also already having association with one OEM for uptime monitoring through the software-based solution. So these are various positive points for ZF to enhance the growth by giving not only brake system, we are now into transmission also, and AMT and other products, and then clutches. So many, many products are additional to as compared to the competitors which you mentioned. Got it. And what would be your key priorities for ZF in the next few years after you have taken this leadership role? Yeah. That's what I mentioned, that our manufacturing footprint, which we already have some footprint, we are studying how do we have more and more closer to our customer to offer the products at a fluctuating demand so that we don't lose any business to the OEM when the exponential growth happens. So for that, we are working on our portfolio management again. And technology is another area where our teams are promoting in order to ensure that going forward, our vehicle, I would say, content per vehicle should increase with these launches of the new technology. For example, add-ons, the content per vehicle will grow exponentially when the add-ons like items are added into the vehicle. If you compare the content per vehicle of a European and US vehicle, it is much higher because of various features which are being offered. Even now, the ADAS regulation is talking about five types of features, whereas globally, there are up to 24, 25 features. So once the regulatory requirements increase, we are having scalable ADAS system, and we are ready for the future. So I would say that next few years, any regulatory changes, ZF is having that technology already into our portfolio. Got it. Thank you so much. Thank you. The next question is from the line of Harikrishnan Nair from Geojit Financial Services. Please go ahead. So thank you for the opportunity. So I just want to know, what is the kit size value that you are giving to the OEMs right now, and could you give some growth projection on that on a medium to long-term basis? And the second thing is that other than the US and Europe, are you planning to expand your presence in other geographical markets? Thank you. Yeah. Okay. I think Shankar can take this earlier. Yeah. So to answer you, today, we are somewhere hovering between INR 40,000 to INR 44,000 per vehicle, INR per vehicle. And this is again depending on the model mix that we are having. Looking at the variations of vehicle model mix, the VPV also changes. With the potential new technologies that we are looking to launch in the market as well as upcoming ADAS legislations, I think over the next two years, we can hope to grow all the way up to about a lakh of rupees. So that's the opportunity that presents itself with the technology that we have as well as the potential the market comes across. Your second question with respect to export opportunity? Sorry. Yes, sir. Yes, yes. Okay. Your question with respect to export opportunities, we do have some small supplies to the Far East, to Korea, and Japan. And as the other countries mature, but these are still small quantities. And depending upon the global portfolio, we may be able to supply as the other markets mature. Okay. Thank you, ma'am. That's all from my side. Thank you. As there are no further questions from the participants, I now hand the conference over to the management for closing comments. Thank you very much for very relevant questions, and we are here to ensure that we grow as the market grows and also grow a little higher than the market. These are the targets which we are trying to take for ourselves, and thanks for your support always. On behalf of Batlivala and Karani Securities India Private Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines. Thank you.