Q1 2027 Subex Ltd Earnings Call

August 6, 2026

Operator 1: Welcome to Subex Limited Q1 FY27-

Operator: Welcome to Subex Limited Q1 FY27-

Speaker #2: Welcome to Subex Limited Q1 FY27 earnings call.

Speaker #3: Good morning, ladies and gentlemen. I'm Adri, the moderator for the conference call. Welcome to Subex Limited's Q1 FY27 earnings conference call. As a reminder, all participants will be in listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes.

Moderator: Good morning, ladies and gentlemen. I'm Madhuri, moderator for the conference call. Welcome to Subex Limited Q1 FY27 Earnings Conference Call. As a reminder, all participants will be in listen only mode, and there'll 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 telephone. Please note that this conference is recorded. I would now like to hand out the floor to Mr. Prateek. Over to you, sir.

Speaker #3: Should you need assistance during the conference call, please signal an operator by pressing star, then zero, on your touchscreen telephone. Please note that this conference is recorded.

Speaker #3: I would now like to hand over the floor to Mr. Prathik. Over to you, sir.

Speaker #4: Thank you, Adri. Good morning. Hello.

Moderator: Thank you, Madhuri. Good morning.

Patrick Mathias: Thank you, Madhuri. Good morning.

Moderator: Prateek

Moderator: Hello?

Speaker #3: Yeah, please go ahead.

Moderator: Yeah, please go ahead.

Speaker #4: Thank you. Yeah, please go ahead.

Moderator: I think, Yeah, please go ahead.

Speaker #3: Yeah, I can't hear him.

Nisha Dutt: Yeah, I can't hear him.

Speaker #4: Yeah, now audible?

Moderator: Yeah. Now audible?

Speaker #3: Yes.

Speaker #4: Yes, thank you, Adri. This is the call for the quarter ending June 28, 2023. Members of the management who are present for the call: Ms. Managing and CEO; Ms. Kumar, CFO; Mr. Harsha Angeri, Head of Corporate Strategy and AI; and Mr. Ramu Akhil, Compliance Officer.

Nisha Dutt: Yes.

Moderator: Yes. Thank you, Madhuri, good morning. Call for the quarter ending from 30th, 2023. I would like to introduce members of the management who are present for the call. Ms. Nisha Dutt, Managing Director & CEO. Ms. Sumit Kumar, CFO. Mr. Harsha Angeri, Head Corporate Strategy and AI, and Mr. Ramu Akkili, Company Secretary and Compliance Officer. I would like to start the conference call by going through the safe harbor clause. Such statements in the presentation concerning our future growth prospects are forward-looking statements which involves several risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements.

Speaker #4: I would like to start the conference call by going through the safe harbor clause. Such statements in the presentation concerning our future growth prospects are forward-looking statements, which involve several risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements.

Speaker #4: These risks and uncertainties relating to these statements include, but are not limited to, fluctuations in earnings, our ability to successfully integrate acquisitions, competition in our areas of business, client concentration, liability for damages in our contracts, withdrawal of tax incentives, political instability, unauthorized use of intellectual property, and general economic conditions affecting our industry.

Moderator: These risks and uncertainties relating to the statements include, but are not limited to, fluctuations in earnings, our ability to successfully integrate acquisitions, competition in our areas of business, client concentration, liability for damages in our contracts, withdrawal of tax incentives, political instability, unauthorized use of intellectual property, and general economic conditions affecting our industry. With this, I'll now hand over the call to Nisha to take it forward. Over to you, Nisha.

Speaker #4: With this, I now hand over the call to Nisha to take it forward. Over to you, Nisha.

Speaker #5: Thank you, Prathik. I'm audible, right? Loud and clear? Yes, ma'am. Okay. Good morning, everyone, and welcome to the Q1 earnings call. Thank you for joining us today.

Nisha Dutt: Thank you, Prateek. I am audible right? Sound clear?

Moderator: Yes.

Moderator: Yes, ma'am.

Moderator: Yes.

Nisha Dutt: Okay. Good morning, everyone, and welcome to the Q1 earnings call. Thank you for joining us today. A lot of you joined us for AGM, and you know that we concluded our AGM the day before. I would first like to start off by thanking all our shareholders for the confidence that they have placed in the management team and in me personally. That trust means a great deal to me, and it's a responsibility that I certainly do not take lightly. It is one that we intend to earn through consistent execution. Over the last three years, our objectives have been very clear. We set out to simplify the business, sharpen our strategic focus, restore profitability, strengthen our balance sheet, and build a more disciplined organization. Now I believe that that foundation is firmly in place.

Speaker #5: Many of you joined us for our AGM, and you know that we concluded our AGM the day before. I would first like to start off by thanking all our shareholders for the confidence they have placed in the management team and in me personally.

Speaker #5: So that trust means a great deal to me, and it's a responsibility that I certainly do not take lightly. It is one that we intend to earn through consistent execution.

Speaker #5: Over the last three years, our objectives have been very clear. We set out to simplify the business, sharpen our strategic focus, restore profitability, strengthen our balance sheet, and build a more disciplined organization.

Speaker #5: And now, I believe that foundation is firmly in place. So, FY27, for me, represents the beginning of the next phase. And this conversation is no longer about whether Subex can complete its turnaround.

Nisha Dutt: FY27 for me represents the beginning of the next phase. This conversation is no longer about whether Subex can complete its turnaround. The conversation now is whether we can translate that strong foundation that we have set into consistent and sustainable growth. That is the mandate that we have set for ourselves this year. Every decision that we will make in this company will be aligned to that objective squarely. With that, let me walk you through how we fared in Q1. We are encouraged by the start that we have made to this year. Our revenue for the quarter grew 8.9% sequentially and 19.7% over the corresponding quarter last year. EBITDA margin was at 21.2%, while PAT stood at 17.9%. Equally important, EBITDA has now grown fourfold compared to same quarter last year, if you compare.

Speaker #5: The conversation now is whether we can translate that strong foundation that we have set into consistent and sustainable growth. That is the mandate we have set for ourselves this year.

Speaker #5: And every decision that we will make in this company will be aligned to that objective squarely. So, with that, let me walk you through how we fared in the first quarter.

Speaker #5: So, we are encouraged by the start that we have made to this year. Revenue for the quarter grew 8.9% sequentially, and 19.7% over the corresponding quarter last year.

Speaker #5: EBITDA margin was at 21.2%, while PAT stood at 17.9%. Equally important, EBITDA has now grown fourfold compared to the same quarter last year, if you compare.

Speaker #5: So these results, to me, are not an outcome of a single large deal or a one-time event. In fact, they are a cumulative impact of the work that has gone into the business over the past several years.

Nisha Dutt: These results to me are not an outcome of a single large deal or a one-time event. In fact, they are a cumulative impact of the work that has gone into business over the past several years. What have we done? Some of you who have been with us in this journey know this. We have greater operational discipline in the company now. We have improved execution of our order backlog. We have tighter cost management, and we have been achieving our key billing milestones consistently. We also ended the quarter with cash and cash equivalents of INR 184.8 crores. This further strengthens our balance sheet and gives us flexibility to invest in the future. While I say these results, I also want to set the expectations a little appropriately.

Speaker #5: So, what have we done? We, and some of you who have been with us in this journey, know this. We have greater operational discipline in the company now.

Speaker #5: We have improved execution of our order backlog. We have tighter cost management, and we have been achieving our key billing milestones consistently. We also ended the quarter with cash and cash equivalents of ₹184.8 crore.

Speaker #5: This further strengthens our balance sheet and gives us flexibility to invest in the future. But while I share these results, I also want to set expectations a little more appropriately.

Speaker #5: While, as management, we are really pleased with the profitability that we have delivered this quarter, I do see these margins somewhat differently. They demonstrate the earnings potential of a business when the fundamentals are operating really well.

Nisha Dutt: While as management, we are really pleased with the profitability that we have delivered this quarter, I do see these margins somewhat differently. They demonstrate the earnings potential of a business when the fundamentals are operating really well. Over the last three years, we have built a more disciplined organization. This quarter reflects what that foundation is capable of delivering. At the same time, I'd like to remind everyone that FY27, to me, is about accelerating growth. As opportunities present themselves, we will continue to invest in product innovation, AI capabilities, customer-facing teams, and delivery excellence. Our objective overall, the way we see this, is not to maximize short-term margins. It is to maintain a healthy margin structure while making disciplined investments that actually create greater long-term shareholder value. I believe that striking this balance is the right way to build a stronger company.

Speaker #5: So, over the last three years, we have built a more disciplined organization, right? So this quarter reflects what that foundation is capable of delivering.

Speaker #5: But at the same time, I'd like to remind everyone that FY27, to me, is about accelerating growth. So as opportunities present themselves, we will continue to invest in product innovation, AI capabilities, customer-facing teams, and delivery excellence.

Speaker #5: So our objective overall, the way we see this, is not to maximize short-term margins. It is to maintain a healthy margin structure while making disciplined investments.

Speaker #5: That actually creates greater long-term shareholder value. And I think believing this—and I believe that striking this balance—is the right way to build a stronger company.

Speaker #5: And one area that I'm particularly encouraged by is partner ecosystem management. As some of you know, that's one of our products. I mean, a lot of you know us for revenue assurance and fraud management.

Nisha Dutt: One area that I'm particularly encouraged by is Partner Ecosystem Management. As some of you know, that's one of our products. I mean, a lot of you know us for revenue assurance and fraud management, and rightly so. There is also a third product that we are equally proud of, which is Partner Ecosystem Management, also known as wholesale billing in telco environment. I've always believed when we joined that PEM, and we kind of call it PEM internally, was strategically important business to us that had not received the level of investment that it deserved, actually. Over the past few years, we have rebuilt the team, we have strengthened the product roadmap, and we have renewed our focus on that market. What we have seen as a result of that is that these investments are now beginning to show.

Speaker #5: And likely so. But there is also a third product that we are equally proud of, which is partner ecosystem management, also known as wholesale billing in the telco environment.

Speaker #5: So, I've always believed that when we joined, that PEM—and we kind of call it PEM internally—was a strategically important business to us that had not received the level of investment that it deserved, actually.

Speaker #5: So over the past few years, we have rebuilt the team, strengthened the product roadmap, and renewed our focus on that market.

Speaker #5: And what we have, and what we have seen as the result of that, is that these investments are now beginning to show. So, some of the big deal announcements that we made last year, for some of you who remember, were actually in this area—in PEM.

Nisha Dutt: Some of the big deal announcements that we did last year, for some of you who remember, were actually in this area, in PEM. Now we are starting to see a stronger deal flow in this area. The renewals that we secured this quarter, together with the opportunities that we are seeing in the pipeline, give us the confidence that this PEM can actually be an important contributor to our growth story. I wanted to particularly highlight this because usually the story becomes RAFM, but there is an equally important component sitting in our story right now. Commercially, this quarter reinforces our confidence that strategy, the one that we have been pursuing, is gaining traction. We renewed our managed services and software license agreements with a Tier 1 operator in Middle East. I know a lot of you have had questions about Middle East.

Speaker #5: So now we are starting to see a stronger deal flow in this area. The renewal that we secured this quarter, together with the opportunities we are seeing in the pipeline, give us confidence that this PEM can actually be an important contributor to our growth story.

Speaker #5: So I wanted to particularly highlight this because usually the story becomes RAFM, but there is a third, equally important component sitting in our story right now.

Speaker #5: And commercially, this quarter reinforces our confidence that the strategy we have been pursuing is gaining traction. We renewed our managed Ed services and software license agreement with a tier 1 operator in the Middle East.

Speaker #5: I know a lot of you have had questions about the Middle East. There might be a slowdown, but again, we went and we actually secured our renewal.

Nisha Dutt: There might be slowdown, again, we went, and we actually secured our renewal. We secured new business assurance and fraud management with a leading operator in Europe last quarter. We also renewed our PEM, Partner Ecosystem Management engagement with a Tier 1 operator in Asia Pacific. What gives me confidence is that this is not simply individual wins, but what they collectively represent for us and our portfolio. Across geographies, across customers, we continue to invest in our core platform, which also tells us that they believe in our story, and they are renewing with us. That's a big vote of confidence that customers are actually showing us. Alongside customer engagements, we continue to strengthen our market presence during the quarter. We participated in MVNO Nation. This specifically happens for MVNOs, not MNOs. There, we engage directly with operators, industry stakeholders.

Speaker #5: We secured new business assurance and fraud management with a leading operator in Europe last quarter. We also renewed our PEM—Partner Ecosystem Management—engagement with a Tier 1 operator in Asia Pacific.

Speaker #5: So what gives me confidence is that this is not simply individual wins, but what they collectively represent for us and our portfolio. Across geographies, across customers, we continue to invest in our core platform, which also tells us that they believe in our story and they are renewing with us.

Speaker #5: So that's a big vote of confidence, as customers are actually showing us. Alongside customer engagements, we continue to strengthen our market presence during the quarter.

Speaker #5: We participated in MVNO Nation; this specifically happens for MVNOs, not MNOs. There, we engaged directly with operators and industry stakeholders. We also took part in GSMA Fraud and Security Group meetings in Singapore.

Nisha Dutt: We also took part in GSMA Fraud and Security group meetings in Singapore. We have contributed to industry leaders, we also continue to contribute to the fraud standards in the industry. These engagements are important because they deepen our customer relationships, they strengthen our market positioning, and they reinforce our role in shaping conversations around the future of telecom operations. These, in a sense, also position us as thought leaders in some of these spaces. That's one of the reasons why we make sure that we attend all the important conferences where content is being discussed, and we contribute on the front foot in some of these. This quarter also marked the beginning of our Non-Deal Roadshow, NDR. Some of you have been a part of that. I found these conversations because I hit the market after 3 years, actually, to do the first NDR.

Speaker #5: We have contributed to industry leaders, and we also continue to contribute to the fraud standards in the industry. So these engagements are important, because they deepen our customer relationship, they strengthen our market positioning, and they reinforce our role in shaping conversations across the future, around the future of telecom operations.

Speaker #5: These, in a sense, also position us as thought leaders in some of these spaces. That's one of the reasons why we make sure that we attend all the important conferences where content is being discussed, and we contribute on the front foot in some of these.

Speaker #5: This quarter also marked the beginning of our non-deal roadshow, or NDR. Some of you have been a part of that. I found these conversations interesting because I hit the market after three years, actually, to do the first NDR.

Speaker #5: So I found these conversations particularly valuable because they reflected how investors' perception of Subex has evolved. Three years ago, when I joined, questions centered around whether the turnaround was possible.

Nisha Dutt: I found these conversations particularly valuable because they reflected how investors' perception of Subex has evolved. Three years ago, I know that when I joined, questions centered around whether the turnaround was possible. Today, I felt the questions are very different for us. Investors wanted to understand how we sustain growth, how we allocate capital, how are we going to continue to expand margins over time, and how consistently can we execute against our commitments. I welcome that change. That change in conversation tells me that something is working here, and we are delivering. It also tells me that conversation has moved away from recovery to performance, and that's exactly where it should be. It is precisely where our focus lies today. On people front, we completed FY26 performance and promotion cycle during the quarter.

Speaker #5: But today, I felt the questions are very different for us. Investors wanted to understand how we sustain growth, how we allocate capital, how we are going to continue to expand margins over time, and how consistently we can execute against our commitments.

Speaker #5: And I welcome that change. That change in conversation tells me that something is working here, and we are delivering. It also tells me that the conversation has moved away from recovery to performance.

Speaker #5: And that's exactly where it should be. And it is precisely where our focus lies today. On the people front, we completed the FY26 performance and promotion cycle during the quarter.

Speaker #5: So, building a growth business ultimately depends on building a stronger organization. Recognizing performance, investing in capability, and continuing to develop our talent remain important priorities as we scale.

Nisha Dutt: Building a growth business ultimately depends on building a stronger organization. Recognizing performance, investing in capability, and continuing to develop our talent remain important priorities as we scale. Let me briefly cover the consolidated financial results for Q1. All numbers that I will speak now are in INR. Revenue for the quarter stood at INR 79.45 crores as against INR 72.96 crores in the previous quarter. EBITDA for the quarter was at INR 16.87 crores compared to INR 10.58 crores in the previous quarter. Normalized PAT for the quarter stood at INR 16.09 crores compared to INR 11.51 crores in the previous quarter. PAT for the quarter stood at INR 14.22 crores compared to INR 9.93 crores, including exceptional items in the previous quarter. Before I conclude, let me leave you with one thought. The last three years were about rebuilding the business.

Speaker #5: So let me briefly cover the consolidated financial results for Q1. All numbers that I will speak now are in INR. Revenue for the quarter stood at ₹79.45 crore, as against ₹72.96 crore in the previous quarter.

Speaker #5: EBITDA for the quarter was ₹16.87 crore, compared to ₹10.58 crore in the previous quarter. Normalized PAT for the quarter stood at ₹16.91 crore, compared to ₹11.51 crore in the previous quarter.

Speaker #5: And PAT for the quarter stood at ₹14.22 crores, compared to ₹9.93 crores, including exceptional items in the previous quarter. But before I conclude, let me leave you with one thought.

Speaker #5: The last three years were about building and rebuilding the business. The years ahead of us are about proving that we can grow it consistently.

Nisha Dutt: The years ahead of us are about proving that we can grow it consistently. One quarter does not define a year, I know that, but it can certainly establish a direction. We believe this quarter demonstrates that the business is moving in the right direction. We have stronger financial foundation, we have healthier profitability, we have deeper customer engagement, and we have a clear strategy for growth. I believe our task is now quite straightforward. We execute with consistency, we invest with discipline, and we continue to create long-term shareholder value. Thank you once again for joining us today. I will now be happy to answer your questions. Back to you.

Speaker #5: One quarter does not define a year, and I know that, but it can certainly establish a direction. We believe this quarter demonstrates that the business is moving in the right direction.

Speaker #5: We have a stronger financial foundation. We have healthier profitability. We have deeper customer engagement, and we have a clear strategy for growth. So, I believe our task is now quite straightforward.

Speaker #5: We execute with consistency. We invest with discipline, and we continue to create long-term shareholder value. Thank you once again for joining us today. I will now be happy to answer your questions.

Speaker #5: Back to you.

Speaker #1: Thank you, sir. Thank you, ma'am. Ladies and gentlemen, we will now begin the question and answer session. If you have a question, please press star and one on your telephone keypad.

Moderator: Thank you, ma'am. Ladies and gentlemen, we will now begin the question and answer session. If you have a question, please press star and one on your telephone keypad and wait for your turn to ask the question. If you would like to withdraw your request, you may do so by pressing star and one again. Participants are kindly requested to restrict with two questions in the initial round and join back the queue for more questions. The first question comes from Kiran Chedda from Chedda Investment. Please go ahead.

Speaker #1: And wait for your turn to ask the question. If you would like to withdraw your request, you may do so by pressing star one again.

Speaker #1: Participants are kindly requested to restrict themselves to two questions in the initial round and rejoin the queue for more questions. The first question comes from Kiran Chedha from Chedha Investment.

Speaker #1: Please go ahead.

Speaker #2: Good morning, ma'am. Congratulations on the great set of numbers, the turnaround, and the growth going forward. Ma'am, when we met last time, I had made a suggestion for capital readjustment.

Kiran Chedda: Good morning, Ma'am. Congratulations on the great set of numbers and the turnaround and the growth path forward. Ma'am, when we met last time, I had made a suggestion for capital readjustment.

Kiran Chheda: Good morning, Ma'am. Congratulations on the great set of numbers and the turnaround and the growth path forward. Ma'am, when we met last time, I had made a suggestion for capital readjustment.

Speaker #2: Has the board given any thought to reducing the equity capital and writing it off against the losses that are pending, so that we become a lean company and all the numbers then start looking good?

Kiran Chedda: Has the board given any thought to reducing the equity capital and writing it off against the losses that are pending so that we become a lean company, and all the numbers can start looking good?

Kiran Chheda: Has the board given any thought to reducing the equity capital and writing it off against the losses that are pending so that we become a lean company, and all the numbers can start looking good?

Speaker #3: Thank you, Kiran. It's good to speak to you again. I remember that suggestion so clearly, and we did actually discuss it in the board meeting that we just concluded yesterday.

Nisha Dutt: Thank you, Kiran. Good to speak to you again. I remember-

Kiran Chedda: Yes

Kiran Chheda: Yes

Nisha Dutt: that suggestion so clearly, we did actually discuss it in the board meeting that we just concluded yesterday.

Speaker #3: So, what we are going to do is—we understand that some structural changes need to be made. The Board is aware of that. The management is acutely aware that, once the numbers start looking good, there are some structural balance sheet things that we must do.

Kiran Chedda: Yes.

Kiran Chheda: Yes.

Nisha Dutt: What we are going to do is we understand that some structural changes need to be made. Board is aware of that. The management is acutely aware that once the numbers start looking good, there are some structural balance sheet things that we must do. This is something that we are going to consider. As you can imagine, this is going to be a little bit of a long-term process. We will appoint a consultant. We will figure out what the best way to do it, where we can protect all the shareholder interest. We will embark on this. As you know, this will take some time for it to manifest because once we have a path forward, this will require board approval, shareholder approval, NCLT. This is the song and dance. There is a little bit of a process here.

Speaker #3: So this is something that we will be we are going to consider. So and as you can imagine, this is going to be a little bit of a long-term process.

Speaker #3: We will appoint a consultant. We will figure out what's the best way to do it, where we can protect all the shareholders' interests. So, we will embark on this.

Speaker #3: And as you know, this will take some time for it to manifest, because once we have a way forward, this will require board approval, shareholder approval, and NCLT.

Speaker #3: This is the song and dance. There is a little bit of a process here. But that said, this is strongly under consideration right now.

Nisha Dutt: That said, this is strongly under consideration right now. Yeah, the suggestion was great. I came back with it. We have discussed it. We'll act on it.

Speaker #3: So yeah, the suggestion was great. I came back with it, we have discussed it, and we'll act on it.

Speaker #2: Thank you so much. Ma'am, second question is, has the Board considered rewarding you much better than what they are doing now, considering your performance in the company?

Kiran Chedda: Thank you so much. Ma'am, second question is, has the board considered rewarding you much better than what they are doing now, considering your performance in the company?

Kiran Chheda: Thank you so much. Ma'am, second question is, has the board considered rewarding you much better than what they are doing now, considering your performance in the company?

Speaker #3: I just wish that you were there in my performance appraisal, so I could have used some help. So, no, thank you. I mean, this means a lot coming from a shareholder, but we are discussing.

Nisha Dutt: I just wish that you were there in my performance appraisal, so I could have used some help. No, thank you, Sir. This means a lot coming from a shareholder. One of the things that we are discussing is how do we meaningfully improve stake in the company for our core set of people. This is something-

Speaker #3: So, one of the things that we are discussing is: how do we meaningfully improve stake in the company for a core set of people?

Speaker #3: So this is something, again, that the Board has taken quite seriously. And so we are acting on that. Again, that's something that's not just under consideration.

Nisha Dutt: That board has taken quite seriously. We are acting on that. That's something that's not just under consideration. You will see action on that just within few weeks. We have again taken that into consideration. Board is aware of this. Yeah, we are on that track as well. I'm going to invite you next time when we do this performance appraisal. No, thank you so much.

Speaker #3: You will see action on that, just like within a few weeks. So, we have again taken that into consideration. The board is aware of this.

Speaker #3: So, yeah, I mean, we are on that track as well. But I'm going to invite you next time when we do this performance appraisal.

Speaker #3: No, but thank you.

Speaker #2: Thank you so much, ma'am, and all the best.

Kiran Chedda: Thank you so much, ma'am, and all the best.

Kiran Chheda: Thank you so much, ma'am, and all the best.

Speaker #3: Thanks. Thanks so much.

Nisha Dutt: Thanks.

Kiran Chedda: Yeah.

Kiran Chheda: Yeah.

Nisha Dutt: Thanks so much.

Speaker #1: Thank you, sir. The next question comes from Patrick Mathias, an individual investor. Please go ahead.

Moderator: Thank you, sir. The next question comes from Patrick Matthias, an individual investor. Please go ahead.

Speaker #2: Good morning to you and all present from Subex. I have one question in terms of the executable order pipeline for this year. What size of funnel are we working on, which is executable for this year?

Patrick Matthias: Good morning to you and all present from Subex.

Patrick Mathias: Good morning to you and all present from Subex.

Patrick Matthias: I have a question. One is, in terms of executable order pipeline for this year-

Patrick Mathias: I have a question. One is, in terms of executable order pipeline for this year-

Patrick Matthias: what size of funnel are we working on, which is executable for this year?

Patrick Mathias: what size of funnel are we working on, which is executable for this year?

Speaker #2: Second is, in terms of new order wins or sign-ups, what's the total pending order wins that we have for billing over a period of whatever number of years?

Nisha Dutt: Okay.

Patrick Matthias: Second is, in terms of new order wins or-

Patrick Mathias: Second is, in terms of new order wins or-

Patrick Matthias: sign-ups-

Patrick Mathias: sign-ups-

Nisha Dutt: Right

Patrick Matthias: What's the total pending order wins that we have for billing over a period of whatever years? I mean, contracts will be signed for three years, five years, et cetera.

Patrick Mathias: What's the total pending order wins that we have for billing over a period of whatever years? I mean, contracts will be signed for three years, five years, et cetera.

Speaker #2: I mean, contracts will be signed for three years, five years, etc. So, what are those total order wins that we already have?

Patrick Matthias: What are those total order wins that we already have?

Patrick Mathias: What are those total order wins that we already have?

Speaker #3: Okay. So are those your questions? Are those two your questions? Okay. Okay. Okay. So, in terms of the size of the funnel, typically, the way we work in Subex—or the way I would say enterprise sales work, right, enterprise business work—we aim for at least three to four times pipeline.

Nisha Dutt: Okay. Are those your questions? Are those two your questions?

Patrick Matthias: Yeah.

Patrick Mathias: Yeah.

Nisha Dutt: Okay. In terms of size of funnel, typically, the way we work in Subex or the way I would say enterprise sales work, enterprise business work We aim for at least three to four times pipeline. There is stages. There is something called a pipeline, which can be unqualified, qualified. There is a qualified pipeline. There is actually the order intake that we do, and that converts to revenue. That's typically the cycle that we follow. Our aim at any point of time, and as per how board also actually judges management and keeps us on track, is that at any point of time, whatever my order intake target is for the year, I need to have at least 3X of that qualified pipeline I should be running at any point of time.

Speaker #3: So there are stages, right? There is something called a pipeline. Then, within this, it can be unqualified, qualified. Then there is a qualified pipeline.

Speaker #3: And then there is actually the order intake that we do, and that converts to revenue. That's typically the cycle that we follow. So our aim at any point of time, and as per how the Board also actually judges management and keeps us on track, is that at any point of time, whatever my order intake target is for the year, I need to have at least 3x of that qualified pipeline. I should be running at any point of time.

Speaker #3: So rest assured, at any point of time, our pipeline is around three to—so when you speak about the funnel, and I'm talking about qualified, not just unqualified.

Nisha Dutt: Rest assured, at any point of time, our pipeline is around. When you speak about the funnel, and I'm talking about qualified, not just unqualified. Qualified pipeline.

Speaker #3: Qualified pipeline is around three to four X. Unqualified and all that, which still needs to be qualified, is much, much larger, as you can imagine.

Patrick Matthias: Yes

Patrick Mathias: Yes

Nisha Dutt: It is around three to 4x. Unqualified.

Patrick Matthias: Okay

Patrick Mathias: Okay

Nisha Dutt: All that which you still need to qualify is much larger, as you can imagine. But.

Speaker #3: But for me, what matters is qualified pipeline. So that's typically the pipeline that we run. In terms of orders—so again, one thing that I wanted to clarify is that we don't announce every order that we win in the company because it's not required.

Patrick Matthias: Okay

Patrick Mathias: Okay

Nisha Dutt: For me, what matters is qualified pipeline. That's typically the pipeline that we run. In terms of orders, again, one thing that I wanted to clarify is that we don't announce every order that we win in the company because it's not required. Even by compliance standards, we are only required to announce either the new logos, significant deals, material deals, or a certain flavor of the deals. We don't actually announce every renewal, everything that we do through the year. If you remember last year, just the deals that we announced in the market. Last financial, they were in the range of, and again, I might be a little bit off, but it was to the tune of $18 to 20 million is what we announced. Obviously, the actual pipeline will be greater than that.

Speaker #3: Even by compliance standards, we are only required to announce either the new logos, significant deals, material deals, or a certain flavor of the deals.

Speaker #3: We don't actually announce every renewal, everything that we do, right, through the year. And if you remember, last year, just the deals that we announced in the market last financial year, they were in the range of—if I, and again, I might be a little bit off, but it was to the tune of $18 to $20 million, is what we announced.

Speaker #3: So, obviously, the actual pipeline will be greater than that. Revenue-wise, the way we work is 70% of our revenue is recurring in any given year.

Nisha Dutt: Our revenue, the composition of revenue, the way we work is 70% of our revenue is recurring in any given year. If I'm hitting, let's say, INR 10 million, you are rest assured that INR 7 million I already had in the bag when I started the year. This is how we kind of go through the year, 30% is what we win in the year, and we convert some part of it. If it's a three-year contract, we convert some part of it and recognize 30% of that in the year. That's how typically our funnel works. In terms of pending, it's a different stage. If I won a three-year contract, let's say last year, I may be executing 25% of it this year. Then, it goes into managed services or license agreements. Every contract looks typically a little different.

Speaker #3: So if I am hitting, let's say, 10 million, you are rest assured that 7 million I already had in the bank when I started the year.

Speaker #3: So this is how we kind of go through the year. And 30% is what we win in the year, and we convert some part of it.

Speaker #3: So, if it's a three-year contract, we convert some part of it and recognize 30% of that in the year. So that's how typically our funnel works.

Speaker #3: So, in terms of pending, it's a different stage, right? So if I won a three-year contract, let's say last year, I may be executing 25% of it this year.

Speaker #3: And then it goes into managed services or license agreements. So, every contract looks typically a little different. But in any given year, it's 70% recurring, and for the deals that we announced last year, let's say, you can assume that we are going to take in at least 30% to 40% of that value this year.

Nisha Dutt: In any given year, 70% recurring. For the deals that we announced last year, let's say, you can assume that we are going to take in at least 30% to 40% of that value this year. Typically, that we'll consider, that becomes a part of our backlog that we enter the year with. That's typically how our revenue cycle works. I'm happy to expand on it, but this is what it is.

Speaker #3: So, that's typically what we'll consider—that becomes a part of our backlog that we enter the year with. So, that's typically how our revenue cycle works.

Speaker #3: But I'm happy to expand on it, but this is what it is.

Speaker #2: Now, I wanted a specific number, not the expansion. I'm familiar with the expansion. I'm asking about the funnel, not the order.

Patrick Matthias: No, I wanted a specific number, not the expansion.

Patrick Mathias: No, I wanted a specific number, not the expansion.

Nisha Dutt: Number, I can't.

Patrick Matthias: I'm familiar with the expansion.

Patrick Mathias: I'm familiar with the expansion.

Nisha Dutt: You can imagine.

Patrick Matthias: I'm asking of the funnel, not the order.

Patrick Mathias: I'm asking of the funnel, not the order.

Speaker #3: You can imagine.

Nisha Dutt: You can imagine I can't give a specific number.

Speaker #2: I have been, I am a very large retail shareholder who has been holding a share for the last 15 years. Last time also, in one of the conference calls, I was asking you for specific answers, and we were getting generic answers.

Patrick Matthias: I am a very large retail shareholder who has been holding your share for the last 15 years. Last time also in one of the conference calls, I was asking you for specific answers, we were getting generic answers.

Patrick Mathias: I am a very large retail shareholder who has been holding your share for the last 15 years. Last time also in one of the conference calls, I was asking you for specific answers, we were getting generic answers.

Speaker #3: So sales funnel and how

Nisha Dutt: Patrick.

Patrick Matthias: Sales funnel and how it works, pretty familiar with it. The stages of the sales life cycle, et cetera.

Patrick Mathias: Sales funnel and how it works, pretty familiar with it. The stages of the sales life cycle, et cetera.

Speaker #2: It works; I'm pretty familiar with it—the stages of the sales life cycle, etc.

Speaker #3: So, Patrick, as you can imagine, these calls are recorded. They are recorded not just for our shareholders; they are also recorded for the purposes of competition in the market, right?

Nisha Dutt: Patrick, as you can imagine, these calls are recorded. They are recorded not just for our shareholders. They are also recorded for the purposes of competition in the market. We are listed. All my competition that I compete with in the market is private. Every single company that I compete with in the market is private. Nobody else is listed. Subex is the only one that's listed in top four competitors that I work with. Some of these numbers by their nature are sensitive to us. This is sensitive information. If there is a one-on-one, you want to come and meet us separately in office, I'm happy to speak to some of this separately. But on a call, it's sensitive information. Hence, my hesitation is not that I can't give you the number. My hesitation, it's competitive.

Speaker #3: We are listed. All my competition that I compete with in the market is private. Every single company that I compete with in the market is private.

Speaker #3: Nobody else is listed. Subex is the only one that's listed in the top four competitors that I work with. So some of these numbers, by their nature, are sensitive to us.

Speaker #3: So, this is sensitive information. If there is a one-on-one, and you want to come and meet us separately in the office, I'm happy to speak to some of this separately.

Speaker #3: But on a call, it's sensitive information. And hence, my hesitation is not that I can't give you the number. My hesitation is, it's competitive.

Speaker #3: This information is competitive, and hence, I hesitate to give this. This is not something I can disclose, actually.

Nisha Dutt: This information is competitive, and hence I hesitate to give this. This is not something I can disclose, actually.

Speaker #2: I'll be very straight with you. Your presentation does not give any direction on the business.

Patrick Matthias: I'll be very straight with you. Your presentation does not give any direction on the business.

Patrick Mathias: I'll be very straight with you. Your presentation does not give any direction on the business.

Speaker #3: Okay.

Nisha Dutt: Okay.

Speaker #2: I want direction.

Patrick Matthias: I want direction.

Patrick Mathias: I want direction.

Speaker #3: What kind of direction would you like? Are you asking me about growth? Like I already said, right, we are on the trajectory to growth. This year, we have already seen it's near double-digit, right?

Nisha Dutt: What kind of direction would you like?

Patrick Matthias: Growth direction.

Patrick Mathias: Growth direction.

Nisha Dutt: Growth, like I already said, we are on the trajectory to growth. This year, we have already seen it's near double-digit. We are already trending to that growth. I have committed, and I think I've been committing for the last few quarters, that growth is the focus. FY27, we are going to be squarely focused on growth. That is where the whole management effort is to deliver growth to shareholders this year. I think we have done a decent job on the bottom line. We have bottom line quite under control right now. What we need to do is build the top line, and we are squarely focused on that. Now, will I deliver double-digit growth or will I do high single-digits? That remains to be seen.

Speaker #3: We are already trending toward growth, and I have committed—and I think I've been committing for the last few quarters—that growth is the focus.

Speaker #3: And in FY27, we are going to be squarely focused on growth. And we are going to—that is where the whole management's effort is—to deliver growth to shareholders this year, because I think we have done a decent job on the bottom line.

Speaker #3: We have the bottom line quite under control. Right now, what we need to do is build the top line, and we are squarely focused on that.

Speaker #3: Now, will I deliver double digit growth or will I do high single digits? That remains to be seen. But at least where we are at least the aspirationally, what we want to do is obviously much bigger for the shareholders.

Nisha Dutt: At least where we are, at least aspirationally, what we want to do is obviously much bigger for the shareholders. You can imagine some of the forward-looking guidance and all that cannot be given in earnings calls.

Speaker #3: And you can imagine some of the forward-looking guidance and all that cannot be given in earnings calls.

Speaker #2: So, we are talking as if we are a $20 billion company. We have a small base. No, not million. The answers that I'm hearing are as if we are a $20 billion company.

Patrick Matthias: We are talking as if we are an INR 20 billion company.

Patrick Mathias: We are talking as if we are an INR 20 billion company.

Nisha Dutt: No.

Patrick Matthias: We have a small base.

Patrick Mathias: We have a small base.

Nisha Dutt: We are a small company.

Patrick Matthias: No, not million. I'm talking about our answers that I'm hearing are as if we are an INR 20 billion company. We are a small company.

Patrick Mathias: No, not million. I'm talking about our answers that I'm hearing are as if we are an INR 20 billion company. We are a small company.

Speaker #2: We are a small company. To grow on a smaller base does not mean—Patrick, the rules...

Nisha Dutt: Patrick.

Patrick Matthias: To grow on a smaller base does not mean-

Patrick Mathias: To grow on a smaller base does not mean-

Nisha Dutt: Patrick. The rules don't change whether I'm a million-dollar company or billion-dollar company. The rules of disclosure to the market and forward-

Speaker #3: It doesn't change whether I'm a million-dollar company or a billion-dollar company. The rules of disclosure to the market and foreign.

Speaker #2: I'm not talking about disclosure. I'm speaking about growth trajectory. I'm speaking about growth trajectory, not disclosure.

Patrick Matthias: I'm not talking about disclosure. I'm speaking about growth trajectory.

Patrick Mathias: I'm not talking about disclosure. I'm speaking about growth trajectory.

Patrick Matthias: I'm speaking about growth trajectory, not disclosure.

Patrick Mathias: I'm speaking about growth trajectory, not disclosure.

Speaker #3: Growth trajectory again—I have been through this for three years. I know where I started, and I know what I need to deliver to make shareholders happy.

Nisha Dutt: Growth trajectory. Again, I have been through this for three years. I know where I started, and I know what I need to deliver to make shareholders happy. I'm acutely aware of that. When we went to NDR, I got direct feedback from a lot of people on what they expect to see. Double-digit growth. We need to see this kind of sustainable growth. I have all the feedback. If you think that aspirationally company is still going to do some anemic growth, that's not even the goal here. We don't want to deliver anemic growth. That's not the goal. That's the short-

Speaker #3: I'm acutely aware of that. And when we went to NDRs, I got direct feedback from a lot of people on what they expect to see: double-digit growth.

Speaker #3: We need to see this kind of sustainable growth. So I have all the feedback. And we are, so if you think that aspirationally, the company is still going to do some anemic growth, that's not even the goal here.

Speaker #3: We don't want to deliver anemic growth, so that's not the goal. So that's just...

Patrick Matthias: At the base you are, at the base we are as a company for the last many years and for the last 15 years that you have been there. Honestly speaking, by now, after holding the share for 15 years, my expectation is given AI adoption, et cetera, there should be a minimum growth of 50% year on year on the top line. That's my expectation.

Patrick Mathias: At the base you are, at the base we are as a company for the last many years and for the last 15 years that you have been there. Honestly speaking, by now, after holding the share for 15 years, my expectation is given AI adoption, et cetera, there should be a minimum growth of 50% year on year on the top line. That's my expectation.

Speaker #2: At the base, you are at the base—we are. As a company, for the last many years, and for the last three years, you have been there.

Speaker #2: Honestly speaking, by now, after holding the shares for 15 years, my expectation—given AI adoption, etc.—is that there should be a minimum growth of 50% year-on-year on the top line.

Speaker #2: That's my expectation.

Speaker #3: Okay, I am not going to comment on that, but I would also encourage you to go and look at the other telco vendors, and see what their growth rates have been.

Nisha Dutt: Okay. I am not going to comment on that, but I would also encourage you to go and look at the other telco vendors, what their growth rates have been. I will encourage you to look at what the growth rates that they provide. Since you are invested in this industry, since you have been a long-term shareholder, since you have been following us for a while, I would encourage you to please go and look at the comparables in the industry, because I would also love to see another vendor that's growing at 50% right now. It's not that aspirationally, we don't want to do that. We also have to be grounded in reality of where we are. I want to be sure that I give you the right guidance.

Speaker #3: I will encourage you to look at the growth rates that they grew at. So, since you are invested in this industry, since you have been a long-term shareholder, since you have been following us for a while, I would encourage you to please go and look at the comparables in the industry. Because I would also love to see another vendor that's growing at 50% right now.

Speaker #3: So, I would say it's not that, aspirationally, we don't want to do that. But we also have to be grounded in the reality of where we are.

Speaker #3: And I want to be sure that I give you the right guidance. So thank you, sir. The next question comes from Ajay Desai from Jayant Enterprise.

Moderator: Thank you, sir. The next question comes from Ajay Desai from Jayant Enterprise. Please go ahead.

Speaker #3: Please go ahead.

Speaker #2: Yeah, good morning.

Ajay Desai: Yeah, good morning.

Nisha Dutt: Morning, Ajay.

Speaker #3: Morning, Ajay.

Speaker #2: Nisha, congratulations on getting—now, my question was to get some clarity on this ESOP thing which has been announced. So, when and at what price bracket will it happen? Or will it be a market purchase, trust—when will they do it?

Ajay Desai: Nisha, congratulations on getting. Now, my question was to get a clarity on this ESOP thing now, which is announced. When and at what price bracket it will happen or

Ajay Desai: Like which market purchase, trust when they will do, you can throw some more light on that.

Speaker #2: You can throw some more light on that.

Speaker #3: So Ajay, so the way so we have the approval for ESOP. You must have seen the announcement yesterday. So what we are going to do is, obviously, there are some steps to this.

Nisha Dutt: Ajay, so we have the approval for ESOP. You must have seen the announcement yesterday.

Ajay Desai: Yes.

Nisha Dutt: What we are going to do is, obviously there are some steps to this. We are going to send it to the shareholders for their approval, which is a postal ballot. It will take a month or so, from the day we do postal ballot. I think Ramu probably has a better timeline than me, but I think within two weeks, we should be triggering postal ballot for this. Once we have the shareholder approval, what we will do is then we will start acquiring from the market. When we have the shareholder approval is when we will decide or there is a set calculation for at what price we acquire, actually. We'll do that calculation, and we will acquire. It's not decided. It's by whatever the share has been trading at for the last 60 days. There is a calculation there.

Speaker #3: We are going to send it to the shareholders for their approval, which is a postal ballot. So, it will take a month or so from the day we do the postal ballot.

Speaker #3: I think Rahul probably has a better timeline than me, but I think within two weeks we should be triggering the postal ballot for this. Once we have the shareholder approval, what we will do is then start acquiring from the market.

Speaker #3: And when we have the shareholder approval is when we will decide, or there is a set calculation for at what price we acquire, actually.

Speaker #3: So we'll do that calculation, and we will acquire. So it's not decided, decided. It's by whatever the share has been trading at for the last 60 days.

Speaker #3: So, there is a calculation there. Again, I can share that with you separately. Honestly, I don't have the number right now. But the way compliance works—and Rahul can probably clarify this—is we have taken the approval for 5%. But in a given year, in a given financial year, we are not allowed to acquire more than 2%.

Nisha Dutt: Again, I can share that with you separately. Honestly, I don't have the number right now. The way compliance works, and Ramu can probably clarify this, is we have taken the approval for 5%, but in a given year, in a given financial year, we are not allowed to acquire more than 2%. 2% is the cap on which we cannot exceed that. We will execute the 2%. The moment we have the approval, we have the share price set, we will acquire within, let's say, a quarter or so. We will acquire 2% or so. That's our plan. In a year, we can only do 2%, we'll max out that cap. That's the plan right now.

Speaker #3: 2% is a cap, which we cannot exceed. So, we will execute the 2%. The moment we have the approval and the share price is set, we will acquire within, let's say, a quarter or so.

Speaker #3: We will acquire 2% or so—that's our plan. In a year, we can only do 2%; then we'll max out that cap. So, that's the plan right now.

Speaker #3: So, I think in terms of timeline, I am seeing that this should be executed around Q3, given that we are going to go through postal ballot approval and all that.

Nisha Dutt: I think in terms of timeline, I am seeing that this should be executed at around Q3, given that we are going to go through postal ballot approval and all that. In Q3, we should be executing to this. And once we execute and acquire the shares, there is again, a compliance that requires us to make sure that people who have to be awarded must be awarded within the 6 months timeframe. Again, Ramu, you have to correct me if I'm wrong here, but 6 months timeframe, we have to allocate it to the people that we want to give it to. That will happen in the subsequent board meeting. We'll take the recommendations to the board and we'll get it allocated. That's typically the process. I'm expecting Q3 is when you should see us starting to acquire from the market.

Speaker #3: In Q3, we should be executing to this. And once we execute and acquire the shares, there is again a compliance requirement that requires us to make sure that people who have to be awarded this must be awarded within the six-month timeframe.

Speaker #3: Again, Rahul, you have to correct me if I'm wrong here, but in the six-month timeframe, we have to allocate it to the people that we want to give it to.

Speaker #3: So, that will happen in the subsequent board meeting. We'll take the recommendations to the board, and we'll get it allocated. So that's typically the process.

Speaker #3: So, I'm expecting Q3 is when you should see us starting to acquire from the market.

Speaker #2: Sure. And congratulations.

Ajay Desai: Sure. Congratulations.

Speaker #3: Rahul, anything? Oh, thank you so much. Thank you, Ajay.

Nisha Dutt: Ramu, anything?

Ajay Desai: Good.

Nisha Dutt: Oh, thank you so much. Thank you, Ajay.

Speaker #2: To add further, we may execute in Q3, or it may extend to the full financial year. This is convenient for the company.

Ramu Akkili: To add further, we may execute in Q3 or it may extend to the full financial year, based on the convenience from the company.

Speaker #3: Yeah, because we take a loan from the company.

Ramu Akkili: Yeah, because we take loan from the company.

Speaker #2: Yes, yes.

Ramu Akkili: Yes. Yes.

Speaker #3: The next question comes from Harshit Singhaniya from Robo Capital. Please go ahead.

Moderator: The next question comes from Harshit Singhania, from RoboCapital. Please go ahead.

Speaker #2: Hello.

Harshit Singhania: Hello. Am I audible?

Speaker #3: Yes.

Nisha Dutt: Yes.

Speaker #2: Yeah. So congratulations on a great set of numbers. I'm quite new to the company, so I just wanted to understand—we have really grown a bit on the margins.

Harshit Singhania: Yeah. Congratulations on a great set of numbers. I'm quite new to the company. Just wanted to understand, we have really grown our EBITDA margins. Where do we see them stabilizing around? We have quite a number of contracts. Are these around similar margins or how much is the variance in the margins?

Speaker #2: So, where do we see them stabilizing around? We have quite a number of contracts. Are these around similar margins, or how much is the variance in the margins?

Speaker #3: So, typically, we have a threshold below which we don't pick up contracts in the market, right? That ensures a certain level of profitability. But margins are not just a reflection of what we sell our contracts at.

Nisha Dutt: Typically we have a threshold below which we don't pick up contracts in the market, right. That ensures a certain profitability. Margins are not just a reflection of what we sell our contracts at. The actual EBITDA margin has a few other components. One is, of course, the COGS part of it, which is, what we sell our contracts at and at what margin can we deliver. Because let's assume that I sell at x%. I actually sold to a customer, let's assume at 10% or so. Then it's possible for me to extract further margin from my delivery efficiencies, right. We will extract something else also on additional. On top of that, there are other costs. There are manpower costs, there are facilities cost. There is a lot of other costs that we also control. Operational, OpEx.

Speaker #3: So there is the actual EBITDA margin has a lot a few other components. So one is, of course, the COGS part of it, which is what we sell our contracts at.

Speaker #3: And at what margin can we deliver? Because let's assume that I sell at X percent. I actually sold to a customer—let's assume—at 10% or so.

Speaker #3: Then, is it possible for me to extract further margin from my delivery efficiencies, right? So, we will extract something else additionally as well.

Speaker #3: On top of that, there are other costs. There are manpower costs. There are our facilities costs. So, there are a lot of other costs that we also control—operational OPEX, right?

Speaker #3: There are other OPEX items that we control to get to EBITDA margin. So, typically, we make sure that contracts are not sold below a certain threshold in every geography.

Nisha Dutt: There are other OpEx items that we control to get to EBITDA margin. Typically we make sure that contracts are not sold below a certain threshold. In every geography, we have a different threshold set, because there are geographies that can give you better margins than others. That's how typically our margin structure works. In terms of expansion of margin, like I was mentioning even in my opening remarks. We have a path to expansion of margin. We have delivered it this quarter. I also wanted to just caution everyone that it's not that we can't expand margin, but I think the need of the business right now is that we reinvest for growth and for future. For me to create longer term value, it's more important for me to make sure that my products are well-supported, and I have a robust roadmap for that.

Speaker #3: We have a certain, different threshold set because there are geographies that can give you better margins than others. So that's how typically our margin structure works.

Speaker #3: In terms of expansion of margin, I was mentioning, even in my opening remarks, see, we have a path to expansion of margin. We have delivered it this quarter.

Speaker #3: But I also wanted to just caution everyone that it's not that we can't expand margin, but I think the need of the business right now is that we reinvest for growth and for the future.

Speaker #3: For me to create longer-term value, it's more important to make sure that my products are well supported, and that I have a robust roadmap for that.

Speaker #3: And that's why I want to make sure that I don't get into the race of margin expansion indefinitely. What I want to do is, we want to get to a good margin—which we have—and then also plow back some money into reinvestment, actually, of the company, into some growth initiatives that I feel we absolutely need to run.

Nisha Dutt: That's why I want to make sure that I don't get into the race of margin expansion indefinitely. What I want to do is, we want to get to a good margin, which we have, and then also plow back some money into reinvestment actually, of some growth initiatives that I feel that we absolutely need to have, especially around AI and all that. We are going to do that. You should expect robust margins. Again, my thing will be not that we cannot expand margin, but I think we need to reinvest some of the money. We need to take and plow it back into business. That's broadly my guidance or my thinking on how we do margins this year.

Speaker #3: Especially around AI and all that. So we are going to do that. You should expect robust margins, but again, my point is not that we cannot expand margins, but that I think we need to reinvest some of the money.

Speaker #3: We need to take it and plow it back into the business. So that's broadly my guidance, or my thinking, on how we'll do margins this year.

Speaker #2: So, completely fair points. I just want to ask: are these levels stable? I'm not asking for aggressive margin expansion.

Harshit Singhania: Ma'am, completely fair point. I just want to ask, are these levels stable? I'm not asking for aggressive margin expansion.

Speaker #3: Oh, stable. Okay. Okay.

Nisha Dutt: stable. Okay.

Speaker #2: Yeah.

Harshit Singhania: Yeah.

Speaker #3: It should be in the it should be in this ballpark. Let me put it that way. It should be in the ballpark.

Nisha Dutt: It should be in this ballpark. Let me put it that way. It should be in the ballpark.

Speaker #2: So, mid to high teens, we can expect?

Harshit Singhania: Mid to high teens we can expect?

Speaker #3: Don't ask me for specific numbers, but yes, it's within the range. In this range, yes. I mean, obviously, you will see the margin expansion compared to where we closed the year last year.

Nisha Dutt: Don't ask me for specific numbers, yes in the range. In this range, yes. Obviously, you will see the margin expansion from where we closed the year last year. Definitely, as I chase growth, I'm not going to cap margins where they were. Margin expansion is something that we are looking at. Yeah, a reasonable margin expansion that gives us room to reinvest, is more my take at this point of time and my ask from shareholders also, that we ask for your understanding on this.

Speaker #3: So definitely, as I face growth, I'm not going to cap margins where they were. So margin expansion is something that we are looking at.

Speaker #3: But yeah, a reasonable margin expansion that gives us room to reinvest is more my take at this point in time. And my ask from shareholders also is that we ask for your understanding on this.

Speaker #2: Okay. And just to get a better understanding, 70% of our revenue is recurring, and the remaining 30% comes from contracts that we secure in the current year, which is the working year.

Harshit Singhania: Just to get a better understanding. 70% of our revenue is recurring, the 30% that comes in is the contract that we get in the current year, which is in the working year. Is that 30% where the main growth can be expected to come from and the operational efficiencies?

Speaker #2: So is it that the 30% is where the main growth can be expected to come from, and the operational efficiencies?

Nisha Dutt: Actually, not necessarily, in the sense that 30% is very important because that tells me what I will do next year. 30%, while this year it's 30%, for next year it will become a part of the 70% that I do a backlog for the next year, right? It's very important from a, I would say, forward-looking perspective, right? Because order intake is a lead indicator of our revenues. From that perspective, it's very important for me to do well in that 30% market. It's not so much for 30% of this year. For me, it's the 70% that will contribute to the 70% of next year backlog. From that perspective, yes, you are right. It's important, that's where our revenue expansion comes from. The newer wins. Once you win something, then you are on a trajectory.

Speaker #3: Actually, not necessarily. In the sense that 30% is very important, because that tells me what I will do next year—so, 30%. While in this year, it's 30%.

Speaker #3: For next year, it will become part of the 70% that I carry forward as a backlog for the next year, right? So, it's very important for us.

Speaker #3: I would say a forward-looking perspective, right? Because order intake is a lead indicator of our revenues. So from that perspective, it's very important for me to do well in that 30% bucket.

Speaker #3: It's not so much for 30% of this year. For me, it's the 70% that will contribute to the 70% of next year backlog. So, from that perspective, yes, you're right.

Speaker #3: It's important. And that's where our revenue expansion comes from. The newer wins—see, once you win something, then you are on a trajectory; we know how we will recognize revenues against that.

Nisha Dutt: We know how we will recognize revenues against that. That already gets baked into the plans. The newer things that you do definitely are the things that's like the cherry on the top. That's the cream. We need to kind of make sure that we do a good business there. A lot of expansion comes from the new business. In that sense, you are right.

Speaker #3: So that becomes, that already gets baked into the plans. The newer things that you do definitely are the things that—it's like a cherry on the top, right?

Speaker #3: That's the cream. So we need to kind of make sure that we do good business there. So a lot of expansion comes from the new business.

Speaker #3: So, in that sense, you're right.

Speaker #2: Okay. And so, I understand you're not.

Harshit Singhania: Okay. I understand you're not-

Speaker #3: Hello? Can you please connect back with yourself for more questions?

Moderator: Hello. Sir, can you please join back the queue, sir, for more questions?

Speaker #2: Sure, sure. Thank you so much, ma'am.

Harshit Singhania: Sure. Thank you so much, ma'am.

Speaker #3: Thanks, Asha. The next question comes from Sanjot Kare, an individual investor. Please go ahead.

Nisha Dutt: Thanks, Ashu.

Moderator: The next question comes from Sanjyot Baviskar, an individual investor. Please go ahead.

Speaker #2: Hello, good morning, and congratulations, Nisha and the team. We are really seeing a good improvement after a long time, and it's consistent compared to last quarter as well.

Sanjyot Baviskar: Hello, good morning.

Sanjyot Khare: Hello, good morning.

Nisha Dutt: Good morning.

Sanjyot Baviskar: Congratulations, Nisha and the team. We are really seeing a good improvement after a long time, and it's consistently compared to last quarter as well. My question is, definitely, you mentioned that a lot of orders already won, execution is going on. That is very important to really realize the margins. How is the market scenario now? Are we seeing that still there is a delay in order closures? We had a good order announcements two, three months back. Since last two months, again, we have not seen, though, like you mentioned, that not every order you announce. Just want to see how the order closures are happening, and anything got delayed from the last quarter and this quarter into getting closed, at least, on that.

Sanjyot Khare: Congratulations, Nisha and the team. We are really seeing a good improvement after a long time, and it's consistently compared to last quarter as well. My question is, definitely, you mentioned that a lot of orders already won, execution is going on. That is very important to really realize the margins. How is the market scenario now? Are we seeing that still there is a delay in order closures? We had a good order announcements two, three months back. Since last two months, again, we have not seen, though, like you mentioned, that not every order you announce. Just want to see how the order closures are happening, and anything got delayed from the last quarter and this quarter into getting closed, at least, on that.

Speaker #2: So, my question is: definitely, you mentioned that you have a lot of orders already won. Execution is going on—that is very important to really realize the margin; I mean, profitable margins.

Speaker #2: So how is the market scenario now? I mean, are we still seeing a delay in order closures? Because we had some good order announcements two or three months back.

Speaker #2: Since the last two months, again, we have not seen, though—as you mentioned—not every order is announced. But I just want to understand how the order closures are happening, and if anything got delayed from the last quarter to this quarter in getting closed, at least on that.

Speaker #3: So okay. Yeah.

Nisha Dutt: So-

Speaker #2: Go ahead. No, go ahead.

Sanjyot Baviskar: Go ahead.

Sanjyot Khare: Go ahead.

Nisha Dutt: Yeah.

Sanjyot Baviskar: No, go ahead.

Sanjyot Khare: No, go ahead.

Speaker #3: So, in terms of contracts, Sanjot—first of all, thank you. But in terms of contracts, Sanjot, we are seeing some amount of slowdown. We have started to see this from the Middle East, given the situation now. No cancellations.

Nisha Dutt: In terms of contracts, Sanjot. First of all, thank you. In terms of contracts, Sanjot, we are seeing some amount of slowdown we have started to see from Middle East, given the situation. No cancellations. When I say delay, what is happening is that contracts are taking us longer to close, not the commercial negotiation. Actually, the legal Ts and Cs. Those kind of things are taking us more than anticipated time these days because people are also becoming very careful about liabilities that they sign up, LoLs we call them. There is a lot of hard negotiation that we are having to do on some of these. In terms of closure, I am not seeing big delays. I am not seeing like a quarter and all that delay.

Speaker #3: And when I say delay, what's happening is that contracts are taking us longer to close, not the commercial negotiation. Actually, the legal T's and C's.

Speaker #3: So those kinds of things are taking us more time than anticipated these days because people are also becoming very careful about the liabilities that they sign up for—LOLs, as we call them.

Speaker #3: So, there is a lot of hard negotiation that we are having to do on some of these. So, in terms of closure, I'm not seeing big delays.

Speaker #3: I'm not seeing a quarter and all that delay, but I have seen last quarter, that is Q1 that we closed, there are some contracts that I would have liked to close in Q1, but as we stand, we are going to close them this month.

Nisha Dutt: I have seen like last quarter, Q1 that we closed. There are some contracts that I would have liked to close in Q1, as we stand, we are going to close them this month. There has been a month forward. It shifted by a month. We are seeing some shifts like this. What happens is that the war is in Middle East, fact of the matter is everyone gets cautious around it, right? We are seeing some drag, I would say. I would not call it even a quarter delay, yeah, it is moving a month or two here and there. It is happening. Some amount of delays are there, nothing is lost though. We haven't lost any big deal and all that right now. People are taking their own time to make decisions.

Speaker #3: So there has been a month forward, right? It shifted by a month. So we are seeing some shifts like this. What happens is that the war is in the Middle East, but the fact of the matter is everyone gets cautious around it, right?

Speaker #3: So we are seeing some drag, I would say. I would not call it even a quarter delay, but yeah, it's moving a month or two here and there.

Speaker #3: It's happening, so some amount of delays are there, but nothing is lost, though. We haven't lost any big deal and all that right now.

Speaker #3: But people are taking their own time to make decisions, so there is some amount of that drag as well, to be honest.

Nisha Dutt: There is some amount of that drag as well, to be honest.

Speaker #2: Sure, sure. And how do the markets in the US and Europe look? I mean, are they getting better?

Sanjyot Baviskar: Sure. How the markets in US and Europe looks like, and is it getting better or?

Sanjyot Khare: Sure. How the markets in US and Europe looks like, and is it getting better or?

Speaker #3: Europe and the US are actually better. I think Europe is also okay. Where we are seeing caution is obviously from the Middle East, and we are seeing some cautious buying with, I would say, slightly extended timelines even from Asia Pacific.

Nisha Dutt: US is actually better. I think Europe is also okay. Where we are seeing caution is obviously from Middle East, and we are seeing some cautious buying on, I would say, little extended timelines, even from Asia Pacific. We are starting to see some sort of delayed timelines, even from APAC region. That is the thing. Otherwise, I think Africa, again, by nature of the way business works in Africa, they do take a long time to close everything. It's, generally speaking, a little bit of a slower market. Africa has generally been slow. It's slowing down. Middle East, for reasons known to everyone here, is becoming a little slower. I think APAC is taking a little bit more time, in my opinion. What gives me comfort is that nothing is lost.

Speaker #3: We are starting to see some sort of delayed timelines, even from the APAC region. So, that is the thing. Otherwise, I think Africa—again, by the nature of the way business works in Africa—they do take a long time to close everything.

Speaker #3: So, it's generally speaking a little bit of a slower market. So, Africa has generally been slow; it's slowing down. Middle East, for reasons known to everyone here, is becoming a little slower.

Speaker #3: I think APAC is taking a little bit more time, in my opinion, but what gives me comfort is that nothing is lost. People are actually... so it's all getting delayed in legal negotiations and all that.

Nisha Dutt: It's all getting delayed in legal negotiations and all that, which I think from my perspective, I am okay delaying it by a month, as long as we make sure that legally we are doing very watertight contracts. I'm more focused on we need a good contract in place instead of, I need it on 31 July. That is acceptable to me at this point of time. Nothing is lost. You should be looking forward to hearing some announcements and all that in the coming quarters. We are working towards that. You will hear about it soon enough.

Speaker #3: Which I think, from my perspective, I am okay with delaying it by a month, as long as we make sure that legally we are doing very watertight contracts.

Speaker #3: So, I'm more focused on having a good contract in place, instead of, "I need it on July 31st." So, that is acceptable to me at this point in time.

Speaker #3: But nothing is lost. You should be looking forward to hearing some announcements and all that in the coming quarters. So we are working towards that.

Speaker #3: You will hear about it soon enough.

Speaker #2: Sure, sure. Thank you. And just a last point—yeah, I mean, definitely, it's a good improvement in the top line as well as the bottom line.

Sanjyot Baviskar: Sure. Thank you. Just a last point, yeah, definitely it's a good improvement to top line as well as bottom line, and hope we consistently move towards double-digit growth as well as very soon we reach INR 100 crore revenue per quarter. Wishing you all the best.

Sanjyot Khare: Sure. Thank you. Just a last point, yeah, definitely it's a good improvement to top line as well as bottom line, and hope we consistently move towards double-digit growth as well as very soon we reach INR 100 crore revenue per quarter. Wishing you all the best.

Speaker #2: And hope we move consistently towards double-digit growth as well as reach ₹100 crore revenue per quarter very soon. So wishing you all the best.

Speaker #3: Thank you so much. Thank you. Thank you, sir. Participants are kindly requested to restrict it to two questions in the initial round and join back the queue for more questions.

Nisha Dutt: Thank you so much. Thank you.

Moderator: Thank you, sir. Participants are kindly requested to restrict with two question in the initial round, and join back the queue for more questions. The next question comes from Abhishek Kale, an individual investor. Please go ahead.

Speaker #3: The next question comes from Abhishek Kale, an individual investor. Please go ahead.

Speaker #2: Am I audible?

Abhishek Kale: Am I audible?

Speaker #3: Yes. Yes, sir.

Moderator: Yes, sir, Abhishek.

Speaker #2: Good morning, Neha and Ramesh. Oh, sorry, I mean Nisha and...

Abhishek Kale: Good morning, Nisha and Ramesh. Oh, sorry. I mean Nisha and Ramesh.

Speaker #3: Good morning, Abhishek.

Nisha Dutt: Good morning, Abhishek.

Abhishek Kale: Okay. Couple of questions, Nisha. The first is, from contract signing to subscription revenue, that window, right?

Speaker #2: Okay, a couple of questions, Nisha. The first is: from contract signing to subscription revenue, that window, right? Do you have any metric that you are tracking?

Abhishek Kale: Do you have any metric that you are tracking? I think that window is substantial, and I've been asking around this in the previous quarters as well. Would you be able to share some kind of a number, and if we have done work on shortening that window, and to what extent have we shortened it, and what's the scope? If you can give me color about it, that will be. Yeah, thank you.

Speaker #2: And I think that window is substantial. I have been asking around about this in previous quarters as well. So, would you be able to share some kind of a number?

Speaker #2: And if we have done work on shortening that window, to what extent have we shortened it, and what's the scope? If you can give any color about it.

Speaker #2: That would help.

Speaker #3: So typically, so Abhishek, our contract signing to implementation to subscription, we have been sort of so every product has a different window in terms of when I say every product, I mean, Hypersense, Rock, every product has a different window depending again, just to put some caveats around it, every product, depending on the complexity of the implementation that we are doing, some implementations are very large and complex.

Nisha Dutt: Abhishek, our contract signing to implementation to subscription, every product has a different window in terms of. When I say every product, I mean HyperSense, ROC. Every product has a different window depending. Again, just to put some caveats around it, every product, depending on the complexity of the implementation that we are doing. Some implementations are very large and complex, so they take longer time to implement. There are some which are very plain vanilla, standard, out-of-the-box sort of thing. Obviously, what we are doing is, I think in terms of product, our product has become extraordinarily, I think we have made huge strides in that. It is quite stable. In terms of R&D investments, we are looking at reducing the timelines. If I were to give you a specific number, it typically takes from contract signing.

Speaker #3: So they take a longer time to implement. And then there are some that are very plain vanilla, standard, out-of-the-box sort of things.

Speaker #3: So, obviously, what we are doing is—I think, in terms of product, our product has become extraordinary. I think we have made huge strides in that.

Speaker #3: So it's quite stable. In terms of R&D investments, we are looking at reducing the timelines. But if I were to give you a specific number, it typically takes from contract signing.

Speaker #3: So, this includes our implementation, go-live, and all that. Typically, we have seen it can take four to five quarters between when you sign a contract and when you start seeing the subscription revenue.

Nisha Dutt: This includes our implementation, go live, and all that. Typically, we have seen it can take four to five quarters between when you will sign a contract and you will start seeing the subscription revenue. That does not mean that we don't have revenue during this time. Even when we are implementing, we have a lot of milestones. Like we will have a BRD sign-off, we will have an FSD sign-off. There are implementation milestones that let us take revenue even while we are executing or implementing the project. This timeline is not specific to us. This is generally, typically a cycle of the telecom. That said, internally, what we have done and our endeavor this year and last year has been to reduce.

Speaker #3: But that does not mean that we don't have revenue during this time, right? Even when we are implementing, we have a lot of milestones. Like, we will have a BRD sign-off, we'll have an FSD sign-off.

Speaker #3: So, there are implementation milestones that let us take revenue even while we are executing or implementing the project. But this timeline is not specific to us.

Speaker #3: This is generally the typical cycle of telecom. But that said, internally, what we have done—and our endeavor this year and last year—has been to reduce it. So my goal, or the goalpost that I've given to my team, is that we need to bring this timeline down by a quarter.

Nisha Dutt: My goal or the goalpost that I have given to my team is that we need to bring this timeline down by a quarter. A quarter, I feel that if we are able to crash from five quarters to four quarters or in projects where we are doing in four quarters to three quarters, that will give us enormous leverage in terms of revenues. Our goal is one quarter, but I can also tell you that we just implemented one project recently, which was done almost, I think, 45 days ahead of time. Are we there at a quarter? Not yet. 45 days gain that we have made, actually. We are starting to measure this, and I am seeing on an average, we are able to gain almost a month to 45 days in our implementation cycle.

Speaker #3: So, a quarter—I feel that if we are able to crash from five quarters to four quarters, or in projects where we are doing in four quarters to three quarters, that will give us enormous leverage in terms of revenues.

Speaker #3: So, our goal is one quarter, but I can also tell you that we just implemented one project recently, which was done almost, I think, 45 days ahead of time. We were project.

Speaker #3: So, are we there at a quarter? Not yet. But 45 days gain that we have made, actually. So, we are starting to measure this.

Speaker #3: And I'm seeing that, on average, we are able to gain almost a month to 45 days in our implementation cycle. And we are going to sort of extend that and see if we can get it to a quarter.

Nisha Dutt: We are going to sort of extend that and see if we can get it to our quarters. Typically, that is what a lot of internal initiatives that we are running are around this part, that can we use libraries, can we use reusability? We are working on a bunch of initiatives just to crash this timeline. If that answers your question.

Speaker #3: But typically, that's what a lot of our internal initiatives that we are running are around—this fact that, can we use libraries? Can we use reusability?

Speaker #3: So, we are working on a bunch of initiatives just to crash this timeline. So, if that answers your question.

Speaker #2: Yes, second question. I need the flight plan for ₹100 crore top line. Still waiting for that. No, I know Ramu is going to give you a glare for giving a forward-looking statement.

Abhishek Kale: Yes. Second question. I need the flight plan for INR 100 crore top line. Still waiting for that.

Abhishek Kale: I know Ram is going to give you glare for giving a forward-looking statement.

Speaker #2: But.

Speaker #3: Yeah, no, but no, koshish jari hai. So,

Nisha Dutt: Yeah, no, koshish jari hai, inshallah.

Speaker #1: Inshallah . So

Abhishek Kale: Yeah. I'm just saying that if you can give us, when do you realistically?

Speaker #2: Yeah , I mean , I'm , I'm just saying that if you can give us . When do you realistically .

Nisha Dutt: I see it happening. Realistically, it should be in Q. It should be in Q quarters, definitely. Like I said, a lot of our business is backlog driven. We know what backlog is. I know what my backlog-

Speaker #1: Realistically , it should be if you I mean , you know , it should be in few quarters . Definitely . Because like I said , a lot of our business is backlog driven , right ?

Speaker #1: So black backlog , right ? I mean , I know what my backlog is for this year . So I know my backlog .

Abhishek Kale: Right

Nisha Dutt: is for this year. I know my backlog. I know what I need to do in the year. I already know how my contracts are shaping up in Q1. Obviously, I can't discuss all that on the call, but I have a good view-

Speaker #1: I know what I need to do in the year . I already know how my contracts are shaping up in Q1 . So , , obviously I can't discuss all that on the call , but I have a good view of what it should be .

Abhishek Kale: Yes. That is fine.

Speaker #1: And I feel that we will get to that number. We'll get there. I have a line of sight—I could not have said that before.

Nisha Dutt: of what it should be. I feel that we will get to that number. I have a line of sight. I could not have said that. I mean, last year, if you had asked me, I would say that I am aspiring towards it. Today, I can tell you that I have some line of sight. If all the pieces fall like I want them to, and we are working towards it should happen. Just give us a few quarters. It should happen.

Speaker #1: I don't have I mean , last year , if you had asked me , I would say that I'm aspiring towards it . But today I can tell you that I have some line of sight .

Speaker #1: So, if all the pieces fall like I want them to—and we are working towards it—it should happen. So, I would just give us a few quarters.

Speaker #1: It should happen .

Speaker #2: Okay, one last question, if I may. Have you signed on any new customers during this quarter?

Abhishek Kale: Okay. One last question, if I may.

Abhishek Kale: FraudZap, have you signed on any new customers during this quarter?

Nisha Dutt: FraudZap, it's actually, again, I'm trying to recollect. I think, is it this quarter? Yes.

Speaker #1: It's actually again , I'm trying to recollect , I think is it this quarter Yes , actually , I think .

Speaker #2: It was last quarter. We did one.

Abhishek Kale: I think it was last quarter we did one.

Speaker #1: No , no . Last no . This quarter also like this is one of the slight delays that I was talking about . It's moving by a month or so .

Nisha Dutt: No, no.

Abhishek Kale: It was also this quarter.

Nisha Dutt: No, this quarter also. This is one of the slight delays that I was talking about. It's moving by a month or so.

Speaker #1: But yes , this is it will be . So it will not technically become last quarter . It will become this quarter . But yes , it's one of the deals .

Abhishek Kale: Okay.

Nisha Dutt: Yes, it will be. It'll not technically become last quarter. It'll become this quarter. Yes. It's one of the deals.

Abhishek Kale: Okay. Again, last quarter, I had asked this question regarding the margins around FraudZap. Are you comfortable at this moment or still waiting to see some more contracts flowing through to get the margin number for FraudZap?

Speaker #2: So okay , so if again , , last quarter , I had asked this question , , regarding the margins around fraud that , , are you comfortable at this moment or still waiting to see some more contracts flowing through to get , , the margin number for Sharjah

Speaker #1: No , I think , see , we have done a few contracts already , so we know where our margins will land on fraud .

Nisha Dutt: No, I think, see, we have done a few contracts already, so we know where our margins will land on FraudZap.

Speaker #1: I think , , it's much higher . So we and I think if it gives you any comfort , we have already recovered our investment on this .

Abhishek Kale: Okay

Nisha Dutt: It's much higher. I think if it gives you any comfort, we have already,

Nisha Dutt: recovered our investment on this. My ROI is already done.

Speaker #1: So my ROI is already done.

Speaker #2: So . Okay . Perfect . Yeah . That makes me happy . And I'm still holding you for that . , flight path .

Abhishek Kale: Perfect. Yeah, that makes me happy. I'm still holding you for that flight path.

Speaker #1: Yes, of course. And you have.

Nisha Dutt: Yes, of course.

Abhishek Kale: You have to. Again, congratulations, and give my regards to the entire team for the job well done. Looking forward.

Speaker #2: Congratulations to the team, and please give my regards to everyone for a job well done. I am looking forward to better numbers in the coming quarters.

Nisha Dutt: Thank you.

Abhishek Kale: to better numbers in the future quarters.

Speaker #2: Thank you .

Nisha Dutt: Yeah.

Abhishek Kale: Thank you.

Speaker #1: Thank you .

Nisha Dutt: Thank you.

Speaker #3: Thank you, sir. The next question comes from AJ Desai from Jayanth Enterprise. Please go ahead.

Moderator: Thank you, sir. The next question comes from Ajay Desai, from Jayant Enterprise. Please go ahead.

Speaker #4: Yeah . , Nisha , now like if you can spend some more time in creating visibility of Subex in capital market and , , with the kind of a , I , you know , if you can do something , you know , which , , helps us , , recoup our big , big losses on which we are sitting , you know , so if you can .

Ajay Desai: Yeah. Nisha, now, if you can spend some more time in creating visibility of Subex in capital market.

Nisha Dutt: Okay.

Ajay Desai: With the kind of AI, if you can do something which helps us recoup our big losses on which we are sitting. If you can.

Speaker #1: Okay . Sure . That's , , we had already started and , and we were just waiting for the silent period to get over .

Nisha Dutt: Okay. Sure. Ajay, we had already started NDRs, and we were just waiting for the silent period to get over. As of yesterday, we are out of silent period, so you will see us go back into the market. This is something that I plan to do consistently. We will do consistently. We are actually going to meet both. Like last NDR also, we met both the buy side and the sell side. We'll continue to do this with the help of EY. That's all the talk. There is a plan in place. We are going to actually hit the capital markets consistently and make sure that the story and our narrative is heard by as many people as we can reach. Absolutely on the job.

Speaker #1: So, you know, as of yesterday, we are out of the silent period. So you will see us go back into the market.

Speaker #1: So, this is something that I plan to do consistently, so we will do it consistently. We are actually going to meet, both like last time.

Speaker #1: We also met both the buy side and the sell side. So we'll continue to do this with the help of Ebi.

Speaker #1: All right, that's all for the call. So, there is a plan in place. We are going to actually hit the capital markets consistently and make sure that our story and narrative are heard by as many people as possible, as we can reach.

Speaker #1: So, absolutely, on the job.

Speaker #4: Sure, thanks. And whenever you are in Mumbai, please do let us know and we will...

Ajay Desai: Sure. Thanks. Whenever you are in Mumbai, please do just let us know, and we will also come.

Speaker #1: Absolutely . As you know , all the capital markets are in Mumbai , so we have to be there . So absolutely we'll do that .

Nisha Dutt: Absolutely. As you know, all the capital markets are in Mumbai, we have to be there.

Ajay Desai: Sure.

Nisha Dutt: Absolutely, we'll do that.

Speaker #4: So, if we are also informed, we plan accordingly. Sure.

Ajay Desai: If we are also informed, we'll plan accordingly. Sure.

Speaker #1: Absolutely. We'll make sure.

Nisha Dutt: Absolutely. We'll make sure.

Speaker #4: Thanks . Thanks .

Ajay Desai: Thanks.

Speaker #1: Thank you .

Nisha Dutt: Thank you.

Speaker #3: Thank you, sir. The next question comes from Nishita from Sapphire Capital. Please go ahead.

Moderator: Thank you, sir. Comes from Nishita from Safair Capital. Please go ahead.

Speaker #5: Hello .

Nishita: Hello.

Nishita Shashikesha: Hello.

Speaker #1: Hi .

Nisha Dutt: Hi.

Speaker #5: Yeah . Hi . So , , just , , on previous participants . Question only . I just want to add something . So you mentioned that we have a threshold below which we don't pick up orders .

Nishita: Yeah. Hi. Just on previous participant's question only, I just want to add something. You mentioned that we have a threshold below which we don't pick up orders.

Nishita Shashikesha: Yeah. Hi. Just on previous participant's question only, I just want to add something. You mentioned that we have a threshold below which we don't pick up orders.

Speaker #5: So if you could just like , quantify what our threshold is like , what are the profit margins that we look for when we , , like take on new orders , .

Nisha Dutt: Okay.

Nishita: If you could just quantify what our threshold is. What are the profit margins that we look for when we take on new orders?

Nishita Shashikesha: If you could just quantify what our threshold is. What are the profit margins that we look for when we take on new orders?

Nisha Dutt: That's confidential. It's competition sensitive, right? As you can imagine that our. This is confidential also. It's because a lot of the orders that we win, anything in telco industry, and I'm sure this is applicable to many other industries where I've seen, any order that exceeds 800,000, a million-dollar threshold, typically goes through an RFP process. In RFP, we are competing and bidding against our competitors. If I were to diverge what our thresholds are or what my profit margin or what my margin threshold is, this becomes competition sensitive, right? They now know what to beat me at in terms of pricing. There are two parts to RFP, as you can imagine. One is technical. You have to be technically number 1, and then you have to be also very competitive in your pricing, right?

Speaker #1: That's confidential . It's competition sensitive , right ? Because , , as you can imagine that our confidential also , it's because , , a lot of the orders that we win .

Speaker #1: So anything in telco industry , and I'm sure this is applicable to many other industries where I have seen any order that exceeds , , you know , 800 K , $1 million threshold typically goes through an RFP process .

Speaker #1: And an RFP . We are , you know , competing and bidding against our competitors . So if I were to divulge , you know , what our thresholds are , are , you know , or what my profit margin or what my margin threshold is , this becomes competition sensitive , right ?

Speaker #1: So they now know what to beat me at , , in terms of pricing . So there are two parts to RFP , as you can imagine .

Speaker #1: One is technical, so you have to be technically number one. And then you have to also be very competitive in your pricing, right?

Speaker #1: So there is a technical and there is a financial commercial component to this . So , , I am not able to disclose because , , you know , we are in , we do competitive RFP bidding all the time actually .

Nisha Dutt: There is a technical and there is a financial commercial component to this. I am not able to disclose because we do competitive RFP bidding all the time actually. In fact, right now as we speak, we are in multiple RFP bids. They will cut beyond our thresholds if I mention the threshold number. That's not something I'm able to divulge.

Speaker #1: In fact , right now as we speak , we are in multiple RFP bids . , so they will cut beyond our threshold .

Speaker #1: If I mention the threshold number . So , you know , that's not something I'm able to divulge .

Speaker #5: Right . Okay . So I , I see that we are margins have been improving quarter on quarter . So like , is that , trend going to continue ?

Nishita: Right. Okay. I see that our margins have been improving quarter-on-quarter. Is that trend going to continue? If you could give some direction on how our margins will look like.

Nishita Shashikesha: Right. Okay. I see that our margins have been improving quarter-on-quarter. Is that trend going to continue? If you could give some direction on how our margins will look like.

Speaker #5: Or if you could give some direction on how our margins will look like?

Speaker #1: So, like I was saying, regarding margin expansion, we are looking at expanding the margins from where we closed last year.

Nisha Dutt: Like I was saying, the margin expansion, we are looking at expanding the margins from where we closed last year. This quarter you have already seen margin expansion. That's one of the big goals, that we want to do margin expansion. Like I was explaining to one of the previous shareholders, Brian, just now, I do not want to continue to expand margins at the cost of reinvesting in the business. We want to get to a healthy margin profile, and I think we are at a healthy margin profile. Beyond the point of creating What do I say? Beyond the point of actually just expanding margins, I'm going to take some money and plow it back into the business.

Speaker #1: And , you this quarter , we have already seen margin expansion . So we are going to , you know , that's one of the big goals that we want to do margin expansion .

Speaker #1: But like I was explaining to one of the , you know , previous shareholders , , you know , just now , I do not want to continue to , you know , expand margins at the cost of reinvesting in the business .

Speaker #1: So we want to get to a healthy margin profile . And I think we are at a healthy margin profile beyond the point of , you know , creating , , what do I say , you know , it's beyond the point of actually just expanding margins .

Speaker #1: I'm going to take some money and plow it back into the business . So what you will see what essentially what this means for shareholders is that you will see us .

Nisha Dutt: What you will see, essentially what this means for shareholders is that you will see us, and I don't want to say that we are artificially capping it, but you will start seeing that we will start holding margins in a certain range. After that, we will take any excess money or any excess cash that we are generating will start going back to the business reinvestment. I think the journey of Subex, what I've seen and the opportunity that I see in the market, we really need to invest actually. We really need to invest and invest well to win this GenAI race, right?

Speaker #1: And I don't want to say that we are artificially capping it, but you will start seeing that we will start holding margins in a certain range.

Speaker #1: And after that we will take any excess money or , you know , any excess cash that we are generating will start going back to the business reinvestment , because I think , , the journey of Subex , what I have seen and the opportunity that I see in the market , we really need to invest .

Speaker #1: Actually , we really need to invest and invest well to win this , you know , I race , right ? So it's not cheap .

Nishita: Right.

Nishita Shashikesha: Right.

Speaker #1: And we need to do this.

Nisha Dutt: We need to do this.

Nishita: Right. Understood. My next question is on, are we looking for any inorganic acquisitions, inorganic growth, like in terms of acquisitions or something like that?

Nishita Shashikesha: Right. Understood. My next question is on, are we looking for any inorganic acquisitions, inorganic growth, like in terms of acquisitions or something like that?

Speaker #5: And , , my next question is , are we looking for any inorganic acquisitions , inorganic growth , like in , in terms of acquisitions or something like that .

Speaker #1: We do have cash on the balance sheet . And one of the ways to balance sheet , , you know , leverage our balance sheet is obviously , you know , through some of these methods .

Nisha Dutt: We do have cash on the balance sheet, and one of the ways to leverage our balance sheet is obviously through some of these methods. That's very much on our radar. We are kind of running a pipeline in the back. We are seeing what we can do. Am I actively talking to someone right now? Answer is no. Are we strongly considering it? Do we have pipeline and are we strategically looking at what kind of assets will make sense for Subex? Answer is yes. We do have some cash, as you know. We have about INR 185 crores.

Speaker #1: So that's very much on our radar . I don't have any . So we are kind of , you know , running a pipeline in the back .

Speaker #1: We are seeing what we can do , but , , am I actively talking to , you know , someone right now ? Answer is no .

Speaker #1: But are we strongly considering it ? Do we have , you know , , you know , pipeline and strategically looking at what kind of asset will make sense for Subex answer is yes .

Speaker #1: So, because we do have some cash, as you know, we have about ₹185 crores.

Speaker #5: Okay. Understood. Yeah. Thank you so much.

Nishita: Okay. Understood.

Nishita Shashikesha: Okay. Understood.

Nisha Dutt: Yeah.

Nishita: Thank you so much.

Nishita Shashikesha: Thank you so much.

Speaker #1: Thank you .

Nisha Dutt: Thank you.

Speaker #3: Thank you ma'am . The next question comes from meat from Prasoon . Exponentials . Please go ahead .

Moderator: Thank you, ma'am. The next question comes from Meet Mehta from Prasun Exponentials. Please go ahead.

Speaker #2: Hi. Thank you for the opportunity.

Meet Mehta: Hi. Thank you for the opportunity. Simran, audible?

Speaker #1: , yes , you are

Moderator: Yes, you are.

Speaker #2: Okay .

Meet Mehta: Okay. My questions have been answered. I just wanted to understand your R&D expense for the annual is around INR 25, 35 crores approximately. Are we seeing any increase over here, exactly where are we doing the investment? You have said that for growth we are preferring reinvestment in the business. Just wanted to understand that. Shall I go with my second question?

Speaker #5: , so my .

Speaker #2: Question should be answered . Just , . I just wanted to understand your R&D expense . , for the annual is around 2535 crores .

Speaker #2: , approximately . So are we seeing any increase over year ? And . Exactly , , where are we doing the investments that you said that , you know , for growth , we are preferring reinvestment in the business .

Speaker #2: So, just wanted to understand that, and then go with the second question, or...

Speaker #1: Yes , yes , please ask away . Ask away . I'll answer both . .

Nisha Dutt: Yes, please ask away.

Meet Mehta: Okay.

Nisha Dutt: I'll answer both. Mm-hmm.

Speaker #2: Okay. So, next question is: given the Middle East conflict and all that, are we seeing any better increase going forward?

Meet Mehta: Okay. Next question is on the, given the Middle East conflict and all that, are we seeing any better increase going further, and how are you going to manage the working capital? Yeah, these things.

Speaker #2: And how are you going to manage the working capital ratio? So, yeah, please do.

Speaker #1: Yeah . So in terms of R&D expense , , so when I said that , you know , , we don't want to kind of keep stretching the margin profile , you know , lock it at a certain healthy , you know , margin profile and then reinvest in the business , the reinvestment is essentially for R&D actually .

Nisha Dutt: Yeah. In terms of R&D expense, when I said that we don't want to keep stressing the margin profile, lock it at a certain healthy margin profile and then reinvest in the business. The reinvestment is essentially for R&D actually. R&D for us is, for a company like Subex, R&D goes into two parts. One is obviously engineering. The second part is AI engineering, right? For us, R&D spend buckets are only these two, and these are large enough. Do I see that our R&D intensity will increase in the coming quarters? Absolutely. I think that's an investment that we must make. Because being a product company, again, we are not services. My investment in people or expanding my workforce does not make sense. I need to go back and invest in technology.

Speaker #1: So R&D for us is , , you know , for a company like Subex , R&D goes into two parts . One is obviously , you know , engineering .

Speaker #1: The second part is AI . AI engineering , right ? So for us , R&D spend buckets are only these two . And these are large enough .

Speaker #1: So, do I see that our R&D intensity will increase in the coming quarters? Absolutely. And I think that's a bet, and that's an investment that we must make.

Speaker #1: Because being a product company , again , we are not services . So my investment in people or , you know , expanding my workforce does not make sense .

Speaker #1: I need to go back and invest in technology. So the way I think about it is that, you know, my people expense will be replaced by my IT expense, right?

Nisha Dutt: The way I think about it is that my people expense will be replaced by my token expense, right? I'll use more and more tokens. Will the R&D intensity increase? Yes, absolutely. We need to do that. To be competitive in the market, we will need to do this R&D intensity. We are also going to pursue some new initiatives, right? When I say new initiatives, I need to look at not just telco, I need to look at some adjacencies where I can go. All this is R&D for us. There are two components. There is R&D for the current products to make sure that For instance, my HyperSense and ROC set of products, they are both today GenAI-enabled. They are both conversational products.

Speaker #1: I'll use more and more tokens . So will R&D intensity increase ? Yes , absolutely . We need to do that to be competitive in the market .

Speaker #1: We will need to do R&D intensity . And we are also going to pursue some new initiatives . Right . And when I say new initiatives , I need to look at not just telco , I need to look at some adjacencies where I can go .

Speaker #1: So all this R&D for us , so R&D is not just . So there are two components . There is R&D for the current products to make sure that .

Speaker #1: So for instance , my Hypersense and rock set of products , they are both . Today I enabled . They are both conversational products .

Speaker #1: So that is R&D into the existing set of products, which then I can go and tell my customers that, look, you have an older version of the product.

Nisha Dutt: That is R&D into the existing set of products, which I can go and tell my customers that, "Look, you have an older version of the product. Would you want a newer version with, let's say, newer AI models, newer GenAI capabilities?" That's one part of R&D, which is your existing products, you want to really make them world-class cutting edge. The second part of R&D is more experimental, where we want to make sure that we are listening. As you must have seen, the fraud types are changing. Your fraud, the way it used to happen on banks and all that, today the fraud has come to our phones. When you want to tackle new fraud types, like let's say social engineering kind of fraud or account takeover, all these are R&D bets.

Speaker #1: What do you want a newer version with , let's say newer AI models , newer gen AI capabilities . So that's one part of R&D , which is your existing products .

Speaker #1: You want to really make them world class , cutting edge , right ? The second part of R&D is more experimental , where we want to make sure that we are listening .

Speaker #1: So as you must have seen , the prototypes are changing , right ? Your fraud , the way it used to happen on banks and all that .

Speaker #1: Today , the fraud has come to our phones , right ? So when you want to tackle new fraud types , like let's say , social engineering kind of fraud or account takeover , all these are R&D bets .

Speaker #1: And we have to take on take those R&D bets to make sure that we are expanding our portfolio appropriately . So that's also an R&D , right ?

Nisha Dutt: We have to take those R&D bets to make sure that we are expanding our portfolio appropriately. That's also an R&D. For us. Some part of it is, I think of our spend in terms of horizons. We do three horizons. H1 is obviously what exists today, and I need to kind of fund that to make sure that products are well supported. H2 is 2 years down the line, how do I want my product portfolio to be? H3 for me is highly experimental. I am making a bet for the future too, and if it pays off, it's big payoff. Typically in capital allocation, we'll spend 10% on H3 kind of bets because I have to eat today, I have to feed myself tomorrow also. There is a horizon spending that we do.

Speaker #1: So for us , so some part of it is . So I think of our spend in terms of horizons . We do three horizon H1 is obviously what exists today .

Speaker #1: And I need to kind of fund that to make sure that products are well supported. H2 is two years down the line.

Speaker #1: How do I want my product portfolio to be? H3, for me, is highly experimental. I am making a bet for the future too.

Speaker #1: And if it pays off , its big payoff , right ? So typically in capital allocation , we'll spend 10% on H three kind of bets because I want to I have to eat today .

Speaker #1: I have to feed myself tomorrow also. So there is a horizon of spending that we do. This is how we generally plan it out.

Nisha Dutt: This is how we generally plan it out. Long answer to your short question, R&D intensity, yes, it will pick up. It has already picked up last year, and we intend to pick up pace, actually. Your second question was Middle East conflict? Yeah. Middle East conflict, as I was mentioning to another shareholder, is it beginning to affect us? I think the effect that we are seeing is in terms of slowdown. Slowdown of orders, not cancellation. A slowdown or shifting of orders. One of the ways that we have done some mitigation ourselves is, obviously, when we were discussing our AOP and budgeting for this year, Middle East conflict was on already. We have some amount of risk that's already baked into the plan this year.

Speaker #1: So, long answer to your short question — our intensity, yes, it will pick up, and it has already picked up last year, and we intend to pick up the pace.

Speaker #1: Actually And , your second question was Middle East conflict . Yeah . So middle Middle East conflict . , as I was mentioning to another shareholder , , is it beginning to affect us ?

Speaker #1: , I think the effect that we are seeing is in terms of slowdown . So slowdown of orders , not cancellation , a slowdown is shifting of orders , but one of the ways that we have done some mitigation ourselves is obviously when we were discussing the , you know , our AOP and budgeting for this year , Middle East conflict was on already .

Speaker #1: So we have some amount of risk that's already baked into the plan this year . But obviously if it , you know , completely escalates , then that's not a scenario that anybody can plan for or we just don't know what that scenario is .

Nisha Dutt: Obviously if it completely escalates, that's not a scenario that anybody can plan for, or we just don't know what that scenario is. As we speak, what we have done is we have offshored all the delivery to India from Middle East. In that sense, we make sure that the delivery continuity or implementation of project does not get affected in Middle East. A lot of on-site resources that were actually sitting, let's say, in Dubai, in Kuwait, in Qatar, have been pulled back into Bangalore. Now a lot of delivery is happening from Bangalore. Customers are obviously understanding and appreciative of it. We have done the mitigation that we can right now. Again, it's a wait and watch for us, whether it actually deescalates or it escalates into a different state.

Speaker #1: But as we speak , what we have done is we have offshored all the delivery to India , to Middle East . So in that sense , we make sure that , you know , the delivery continuity or implementation of project does not get affected in Middle East .

Speaker #1: So, a lot of on-site resources that were actually sitting, let's say, in Dubai and Kuwait and Qatar have been pulled back into Bangalore.

Speaker #1: So now a lot of delivery is happening from Bangalore . Customers are obviously , you know , understanding and appreciative of it . But , , so we have done the mitigation that we can right now again , you know , it's a wait and watch for us , whether it actually de-escalates or it escalates into a different state .

Speaker #1: But for now , I think that , you know , we have our eye on it for now . We are okay . Some slowdown is there .

Nisha Dutt: For now, I think that we have our eye on it. For now, we are okay. Some slowdown is there. That's also something that I'll acknowledge.

Speaker #1: That's also something that I'll acknowledge. So,

Speaker #2: Understood. And just one last question: what is the size of the R&D team and the percentage of total people in R&D?

Meet Mehta: Understood. Just one last question. What is your count of R&D team and the percentage of total people in your R&D? That would be my last question. Thank you.

Speaker #2: That would be my last question.

Speaker #1: So, our R&D team—so my overall strength is approximately, give or take, 700. Our R&D teams are about 200. Out of that—

Nisha Dutt: Our R&D team, my overall strength is approximately, give or take 700. Our core R&D teams are about 200 odd, right.

Speaker #2: Okay . Thank you .

Meet Mehta: Okay, understood. Thank you.

Speaker #1: Thank you .

Nisha Dutt: Thank you.

Speaker #3: Thank you, sir. The next question comes from Mahesh Kumar, an individual investor. Please go ahead.

Moderator: Thank you, sir. The next question comes from Mahesh Kumar, an individual investor. Please go ahead.

Speaker #2: Yeah . Good morning Nisha . My first question is , , is this profit margin sustainable ? That is first question . Second , multiple previous investor call .

Mahesh Kumar: Yeah, good morning, Nisha. My first question is.

Nisha Dutt: Morning, Mahesh.

Mahesh Kumar: Is this profit margin sustainable? That is first question. Second, multiple previous investor calls, you have told that you are going to have investor day in Bangalore.

Speaker #2: You have mentioned that you are going to have an Investor Day in Bangalore. So, when is it likely to happen? Because most of the information which you don't want to disclose in the investor call, you can share during the Investor Day at that time.

Mahesh Kumar: When it is likely to happen?

Nisha Dutt: Okay.

Mahesh Kumar: Most of the information which you don't want to disclose in investor call, that you can share in the investor day, that time.

Speaker #1: Yeah, you have a fair point. So, I think in terms of sustainability of margins, I think I've answered that a few times today.

Nisha Dutt: Yeah, you have a fair point. I think in terms of sustainability of margins, I think I've answered that a few times today, but again, to reiterate, Mahesh, we want to kind of make sure that I think we are at a healthy margin profile right now. We are looking to be in this ballpark. I think from that perspective, do I see that we can sustain this margin? Today as we speak, I think that we should be able to maintain.

Speaker #1: But again , to reiterate , Mahesh , we want to kind of make sure that we get , I think we are at a healthy margin profile right now .

Speaker #1: So and we are looking to be in this ballpark . And I think , , you know , from that perspective , do I see that we can sustain this margins today as I speak Okay .

Speaker #1: So today as we speak , I think that , you know , we should be able to maintain Can you , , so today , as we see the margins , I think , you know , we should be able to sustain it in this ballpark .

Meet Mehta: One second.

Nisha Dutt: Today as we see the margins, I think we should be able to sustain it in this ballpark. That's what we are actually thinking. In terms of investor day, what we have done instead is, what I would, Mahesh, do is, we started NDRs. In NDRs we have also invited some of our existing shareholders to come and meet us. My recommendation will be that the next NDR that we do in Mumbai, and EY team is on the call, we invite you to one of the NDRs that we do, because I think that might be a better way to do a lot more coverage, because I can meet newer potential investors, I can meet existing ones. Essentially, instead of just doing one investor day in a year, I thought that doing quarterly NDRs are better way, because we will come to your city.

Speaker #1: So that's what we are actually thinking in terms of Investor Day. What we have done instead is, what I would do is, we started enters in, enters.

Speaker #1: We have also invited some of our existing shareholders to come and meet us . So my recommendation will be that the next year that we do in Mumbai and , you know , it is on the call , we invite you to our you know , one of the things that we do , because I think that might be a better way to do a lot more coverage because I can meet newer or potential investors , I can meet existing ones .

Speaker #1: So , , essentially , you know , instead of just doing one India , one investor day in a year , I thought that doing quarterly numbers are better way , you know , because we will come to your cities .

Speaker #1: So we are thinking , you know , like Mumbai , we are thinking about Chennai . So we are planning to do like a broader coverage of India's .

Nisha Dutt: We are thinking like Mumbai, we are thinking Ahmedabad, Chennai. We are planning to do like a broader coverage of NDRs. We'll come to your city, we'll invite you, and we'll make sure that wherever you are, we kind of invite you into the next NDR that we do. Investor feedback was also that NDRs are more useful to them. We will not likely do one day. We will go and do NDRs with you, and we'll invite you to those. You should be able to get an opportunity to ask anything that we can't comment on in our earnings call.

Speaker #1: So we'll come to your city, we'll invite you, and we'll make sure that, you know, wherever you are, we kind of invite you into the next India that we do.

Speaker #1: And investor feedback was also that NDA's are more useful to them . So , , we will not likely do one day . We will go and , you know , do NDA's with you and we'll invite you to those .

Speaker #1: So you should be able to get an opportunity to ask anything that, you know, we can't comment on in our, you know, earnings call.

Speaker #2: Okay .

Mahesh Kumar: Okay.

Speaker #3: Thank you . Sir .

Nisha Dutt: Thank you, sir.

Speaker #1: Thank you .

Speaker #3: The next question comes from Nanda Gopal, an individual investor. Please go ahead.

Moderator: Thank you. The next question comes from Nanda Gopal, an individual investor. Please go ahead.

Speaker #2: Hi , Nisha .

Nanda Gopal: Hi, Nisha. Congratulations for this great set of numbers. My question is around the R&D piece which you were talking about. Just curious to know, because you spoke about Horizon one, Horizon two, Horizon three. You spoke about you have plans to invest in the future. What's the future looking like ahead, Nisha? There will be something in your mind, because all these three are building blocks, Horizon one, Horizon two, Horizon three, but they all lead into something which you are able to visualize. I would love to hear that. I'm not looking for any numbers at all. If you could tell me what is the end state looking like, it'll be good because at least we'll be able to plan how long to hold on. What is being created also, we'll be able to at least have some sense.

Speaker #1: Congratulations for this .

Speaker #2: Great set of numbers . , my question is around the R&D piece , which you were talking about . And , , just curious to know because you spoke about horizon one .

Speaker #2: Horizon two , horizon three . Also , you spoke about you have plans to invest in the future . What's the future looking like ?

Speaker #2: , ahead , Nisha , you know , is it , , there will be something in your mind because all these three are building blocks .

Speaker #2: Horizon One, Horizon Two, Horizon Three. But they all lead into something which you are able to visualize. So I would love to hear that.

Speaker #2: I'm not looking for any numbers at all , but , , if you could tell me what is the density looking like , it would be good , you know , because at least we'll be able to plan , , how long to hold on ?

Speaker #2: , what is being created ? Also , we'll be able to at least have some sense , you know ?

Nisha Dutt: Yeah. Okay. That's an interesting question. There are three parts to it in Horizon. What we are essentially looking to do is, I think I covered this in some part in NDR, essentially what I'm planning to do is in Horizon one, obviously I want to make sure that our current set of products is GenAI enabled entirely. Our current suite of products, be it RA, FM or PEM, definitely needs to be completely in line with what the market is doing. The second part of it is that I want to make sure that we enter markets that are going to be very exciting. For instance, I'm looking at some of the CapEx expansion that's happening across the world. There is a large CapEx expansion happening around, as you are aware, in data centers and other areas.

Speaker #1: Yeah . So , , okay , that's an interesting question . , so one thing is the , , the way . So there are three parts to it in horizon , but , , what we are essentially looking to do is , and I think I covered this in some part in India , but , , essentially what I'm planning to do is in horizon one , obviously I want to make sure that our current set of products is , you know , AI enabled entirely .

Speaker #1: So our current suite of products , be it a FM or PM , , definitely needs to be , you know , , completely in line with what the market is doing .

Speaker #1: The second part of it is that I want to make sure that we enter markets that are going to be very exciting. So, for instance, you know, I'm looking at some of the CapEx expansion that's happening across the world.

Speaker #1: So there is a large CapEx expansion happening around , you know , as you are aware in data centers and other areas . So we are strongly looking at that and seeing that , you know , so there are two ways , right ?

Nisha Dutt: We are strongly looking at that and seeing that. There are two ways. I develop new capabilities, or I look at my product and see where else I can take it. I'm looking at both actually right now.

Speaker #1: I develop new capabilities, or I look at my product and see where else I can take it. And I'm looking at both, actually, right now.

Speaker #1: So , , my , , thing is that can transition ? So in the next two years , I want to transition my split to like a 60 , 30 , ten , right ?

Nisha Dutt: My thing is that, can I transition? In the next two years I want to transition my split to a 60/30/10. 60 becomes my H1, 30 becomes my H2, and 10 becomes my H3. This is where I want to finally, this is where we were, but where I want to go is to see if I can get into these newer areas, actually. There is a lot of exciting things happening with satellites. There is exciting things happening with data centers. I think we need to be on one of these waves, and we need to ride the wave. I always tell people internally also that you have to catch a wave to ride, and we must ride some waves right now. That's where a lot of R&D spend is invested, kind of going.

Speaker #1: So 60 becomes my H1 , 30 becomes my H2 and ten becomes my H3 . So this is where I want to , you know , finally , this is where we were , but where I want to kind of go is to see if I can get into this newer areas actually , because there is a lot of exciting things happening with satellites .

Speaker #1: There are exciting things happening with, you know, data centers. And I think we need to be on one of these waves, and we need to catch that.

Speaker #1: We need to ride the wave. I always tell people internally also that you have to catch a wave to ride, and we must ride some waves right now.

Speaker #1: So that's where our lot of R&D spend is invested , you know , kind of going in middle . There is another sweet spot , which is , you know , to expand our portfolio .

Nisha Dutt: In middle, there is another sweet spot which is to expand our portfolio. Fraud, for instance, is changing into account takeover, social engineering. These are complex frauds. These are not the frauds that they call data records of telcos. This is a fraud that's manifesting very differently. We want to make sure that we are those people that you call first if you have an ATO, if you have a social engineering fraud. I want to be people who go and solve some of the hardest frauds that are there to solve in terms of portfolio expansion. For me, make your current portfolio really strong, make it GenAI enabled, expand your portfolio into the areas where we haven't gone before, which, I would say are not just the usual frauds and all that we tackle, not like SIM swap and all that.

Speaker #1: So fraud . So for fraud instance , for instance , is kind of changing into account takeover , social engineering . These are complex frauds .

Speaker #1: These are not the frauds, you know, that are, let's say, called record call data records of telcos. This is a fraud that is manifesting very differently.

Speaker #1: So we want to make sure that we are those people that you , you know , you call first , if you have an at you , if you have a , you know , social engineering fraud .

Speaker #1: So I want to be people who kind of go and solve some of the hardest frauds that are there to solve, in terms of, you know, portfolio expansion.

Speaker #1: So for me , , make your current portfolio really strong , make it Genii enabled , make , you know , expand your portfolio into the areas where we haven't gone before , which , you know , I would say are not just the usual frauds and all that that we tackle , not like sim swap and all that .

Speaker #1: I want to get into , you know , newer areas . And the third part of it is go to areas which are going to be , you know , the future and tomorrow .

Nisha Dutt: I want to get into newer areas. The third part of it is go to areas which are going to be the future and tomorrow and I think very exciting for us in the future. I know there is a lot of push. Go outside of telco and all that. I don't want to go to utilities, for instance. That's not where excitement is. For me, the excitement is satellites. The excitement is data centers. There is activity happening there, and that's the wave I need to catch. There is a lot of spend that I'm doing there in that area.

Speaker #1: And I think, you know, it's very exciting for us in the future because I know there is a lot of push, right?

Speaker #1: Go outside of telco and all that. And I don't want to go too much into utilities, for instance. That's not where the excitement is for me.

Speaker #1: The excitement is satellites . Excitement is data centers . There is a no . There is activity happening there . And that's the right .

Speaker #1: You know , where I need to catch . So there is a lot of spend that I'm doing there in that area . So so if I were to say I want to make sure that we retain our hold on to our cash cows and we truly make them cash cows so that we can , you know , release money to really go after some of these areas that require , as you can imagine , high spend , it requires high spend .

Nisha Dutt: If I were to say, I want to make sure that we retain or hold on to our cash cows and we truly make them cash cows so that we can release money to really go after some of these areas that require, as you can imagine, high spend. It requires high spend. It requires a different kind of team, I feel almost. That's what my focus area is. Again, you have been with us long-term, but my request would be that I feel there is a lot of excitement in the space that we are in. It's fast catching up. It's interesting where it's going, and I want to go with it.

Speaker #1: It requires a different kind of team . I feel almost and , , you know , that's what my focus area is . So my again , you have been with us long term , but my request would be that I feel there is a lot of excitement in the space that we are in .

Speaker #1: It's , you know , it's fast catching up . It's interesting where it's going . And , , I want to go with it .

Speaker #1: So , .

Speaker #2: For, at least, if not for the shareholders, at least within the organization, I hope these conversations have started because you cannot lead an organization without a vision.

Nanda Gopal: Perfect, Nisha. If not for the shareholders, at least within the organization, I hope these conversations have started. You cannot lead an organization without a vision. For last many years, all conversations, even in these calls, have been very transactional. How does the next quarter look? Let us steady the ship. Now, once the ship is steady, I think these conversations at least should start within the organization so that we can hold on to talent also. If there is so much promise ahead of us, I think it has to be tabled. People have to know that, yes, you're running towards something which is meaningful. Otherwise-

Speaker #2: And for , for the last many years , all conversations , even in these calls have been very transactional . How does the next quarter look ?

Speaker #2: Let the let us steady the ship . Now , once the ship is steady , I think these conversations , at least should start within the organization so that we can hold on to talent also , because there is if there is so much promise ahead of us , I think it has to be tabled .

Speaker #2: You know , people have to know that , yes , you're running towards something which is meaningful . Otherwise we could be having problems , right ?

Nisha Dutt: Agree

Nanda Gopal: we could be having problems, right?

Speaker #1: No , no , I agree , I agree , see , because I in fact , as you can imagine , , it's frustrating for , you know , shareholders , but , it's equally tiring and taxing for the management team to be on a quarterly treadmill .

Nisha Dutt: No, I agree. See, in fact, as you can imagine, it's frustrating for shareholders, it's equally tiring and taxing for the management team to be on a quarterly treadmill, right?

Speaker #1: Right. And this is something that we must, we must.

Nanda Gopal: True.

Nisha Dutt: This is something that we must do.

Nanda Gopal: Now today we have broken that, Nisha.

Speaker #2: Have broken that we have broken that today . And , and , and it's not frustrating . It is never frustrating for an investor because some investors hit for the long term , but only thing is it can be very blinding for the investor .

Nisha Dutt: We took it. Exactly.

Nanda Gopal: We have broken that today. It's not frustrating. It is never frustrating for an investor because some investors here hit for the long term. Only thing is it can be very blinding for the investor. He doesn't even know where is he going. Okay. At least that visual identity, if you can give that, hey, 10 years down the line, we could be like this. The word called could is built into it. Nobody's going to hold onto the could, right? These are not goals, these are visions, very gaseous in state. They do change. I think it's high time we start communicating that. That what is it that we wish to create in future. Nobody's going to hold on to you for that, right?

Speaker #2: He doesn't even know where is he going . Okay , so at least that visual identity , if you can give that , hey , ten years down the line , we could be like this .

Speaker #2: The word called could is built into it . So nobody's going to hold on to the code , right ? These are not goals .

Speaker #2: These are visions, very gracious in state. They do change. So I think it's high time we start communicating that—that what is it that we wish to create in the future?

Speaker #2: Now, nobody's going to hold on to you for that, right?

Speaker #1: Yeah , yeah . I mean , no , but it's a fair point . I think I will what I will do is I'll take this feedback and I will probably come back and articulate this much better , you know , next quarter .

Nisha Dutt: Yeah. No, it's a fair point. I think what I will do is I'll take this feedback and I will probably come back and articulate this much better next quarter. Let me take this as an action item.

Speaker #1: Let me ask you—you know, let me take this as an action item.

Speaker #2: So, thank you so much. It was a dream to see these results this time. Thank you.

Nanda Gopal: Thank you so much. It was a dream to see.

Nisha Dutt: Thank you.

Nanda Gopal: These results this time. Thank you. Bye-bye.

Speaker #1: Bye-bye. Thank you so much. Bye.

Nisha Dutt: Thank you so much. Bye.

Speaker #3: Thank you, sir. The next question comes from Jitendra Bhutoria, an individual investor. Please go ahead.

Moderator: Thank you, sir. The next question comes from Jitendra Bhutoria. An individual investor. Please go ahead.

Speaker #6: Yeah . Good morning and thank you . Thank you for this vision update actually , which you gave just now . That was really nice and great .

Jitendra Bhutoria: Yeah. Good morning.

Nisha Dutt: Morning.

Jitendra Bhutoria: Thank you for this vision update, actually, which you gave just now. That was really nice and great. My first question is whether we have any recoveries from those earlier Sectrio contracts which we had written off earlier.

Speaker #6: , my first question is , , whether we have any recoveries from those earlier contracts , which we had written off earlier , , because some legal recourse was being taken or maybe some settlement talks , , which might have taken place .

Jitendra Bhutoria: Because some legal recourse was being taken or maybe some settlement talks which might have taken place.

Speaker #6: Right . And second , secondly , , we , we had done some investment in that Middle East subsidiary . Now , since they are so down there , , are you thinking of , , would , would the certain more funds would be required to be infused into the subsidiary so that , you know , once this improves , we can , we can really gear up faster .

Nisha Dutt: Right.

Jitendra Bhutoria: Secondly, we had done some investment in that Middle East subsidiary. Now, since there is a slowdown there, are you thinking of would certain more funds would be required to be infused into the subsidiary so that once this situation improves, we can really gear up faster?

Speaker #1: Okay . So , , I will answer the first part of secretary of contracts in Middle East subsidiary . , again , I think we are , , I will ask , you know , Sumit to add in if there is anything that he wants to add in , but , let me tackle the first part .

Nisha Dutt: I will answer the first part of Sectrio contracts. In Middle East subsidiary, again, I think I will ask Sumit to add in if there is anything that he wants to add in. Let me tackle the first part. To be honest, we are still in litigation on Sectrio contracts. We are still litigating this. As you know, Jitendra, with litigations, it takes time. These are things that move through the process. We are also looking at mediation, settlement, all those are a part of litigation, right? Nobody gets to the court the first day. It is all a part of litigation roadmap. In some places, we are settling. In one of the larger contracts, actually, there were three entities. One has been settled and dispensed with. We are looking to close the other two.

Speaker #1: , to be honest , we are still in litigation on secretary contracts . We are still litigating this . And as you know , Jitendra , with litigations , it takes time .

Speaker #1: So , you know , these are things that move through the process . So we are also , , you know , looking at mediation settlement , all those are a part of litigation , right ?

Speaker #1: So nobody gets to the court on the first day. So it's all a part of the litigation roadmap. In some places, we are settling in one of the larger contracts.

Speaker #1: Actually there were three entities . , one has been settled and dispensed with . So we are looking to close the other two in the , you know , hopefully we have been chasing it honestly from I'm hoping that this quarter we are able to close .

Nisha Dutt: Hopefully, we have been chasing it honestly from our end, but I'm hoping that this quarter we are able to close. With that, one of the big contracts will be closed and done with, dispensed with. The second one is entirely under litigation right now. That litigation is ongoing, and again, I don't have a timeline, honestly, but I'm hoping that before we close this financial year, we are done with all the litigation there. Given left up to us, we would have done this this quarter or next quarter, but given that this is not India jurisdiction that we are doing litigation in, this litigation is outside of India actually. This is a different jurisdiction that we are fighting in. It's taking time. The court systems are working, taking their own sweet time.

Speaker #1: So with that , one of the big contracts will be closed and done with , dispensed with . The second one is entirely under litigation right now .

Speaker #1: So that litigation is ongoing . And , , again , I don't have a I don't have a timeline , honestly , but I'm hoping that before we close this financial year , we are done with all the litigation there .

Speaker #1: , given , you know , left up to us , we would have kind of done this this quarter or next quarter . But given that this is not India jurisdiction that we are doing litigation in , this litigation is outside of India .

Speaker #1: Actually . So this is a different jurisdiction that we are fighting in . So it's taking time there . The court systems are working , you know , taking their own sweet time and again to give you some sense , it's Middle East where we are doing this jurisdiction .

Nisha Dutt: Again, to give you some sense, it's Middle East where we are doing this jurisdiction. Middle East is by default only a little bit slow right now. Doing a litigation there, it's taking us some time, Jitendra. In terms of Middle East, I don't think we will need to capitalize the entity anymore. I don't think so. Again, Sumit, do you see any such, do you have a view on this?

Speaker #1: So, the Middle East is, by default, only a little bit slow right now. So, doing litigation there is taking us some time.

Speaker #1: Jitendra, so in terms of the Middle East, I don't think we will need to capitalize the entity anymore. I don't think so.

Speaker #1: Again , Sumit , do you see any such , , you know , , do you have a view on this ?

Speaker #6: Yeah . Currently not . It is self sufficient . The last time .

Sumit Kumar: Yeah, currently not. It is self-sufficient. The last time, which we pumped the capital more about to support the business. That remains the same. We don't expect further infusion right now. Again, the situation is also volatile in the Middle East region. Current visibility is no, but again, in future, something is there, obviously, we'll come back to the shareholders for their views around all this.

Speaker #2: Which .

Speaker #6: We pump the capital more about to support the business . , so that remained the same . So we don't expect further infusion right now .

Speaker #6: , again , the situation is also volatile in the Middle East region . So current visibility is no . But again , in future something is there .

Speaker #6: Obviously , we'll come back to the shareholders for their views around this And one more question . We had invested , you know , when we sold off ID central , we got shares of some company .

Jitendra Bhutoria: My one more question. We had invested, when we sold off IDcentral, we got shares of some company, I just forgot the name.

Speaker #6: I just forgot the name . , so how is that ? , that 1 or 2% investment in that company was there . So how is that looking like

Nisha Dutt: Yeah.

Jitendra Bhutoria: How is that faring? That 1% or 2% investment in that company was there. How is that investment looking like?

Speaker #1: It's doing very well . , actually , we have turned out to be good investors , I think . So , so it's actually turned out very well .

Nisha Dutt: It's doing very well. Actually, we have turned out to be good investors, I think. It's actually turned out very well. What we'll do is, I think, again, Sumit, I'm not sure, but will we do it in Q2 or Q3, we'll do an FMV kind of markup. We'll do a fair market valuation and do a markup. Net-net, to answer your question, actually, that investment has yielding very good results for us right now. We are really happy with the way it's going. Again, Sumit, I think it's Q2, maybe, right? Q2 or Q3, we do FMV markup.

Speaker #1: What we'll do is I think again , Sumit , I'm not sure , but will we do it in Q2 or Q3 ? You will do a we'll do an FMV kind of markup .

Speaker #1: We'll do a fair market valuation and do a markup . So , but . Net net , to answer your question , actually , that investment is yielded .

Speaker #1: Very good results for us right now . We are really happy with the way it's going . , again , I think it's Q2 .

Speaker #1: Maybe right. Q2 or Q3. We do FMV markup.

Speaker #6: Yeah . So basically . Q2 is going to be our balance sheet . We have to disclose . So , , based on the current , , performance , since our investment , it's again a , as you appreciate , it's unlisted space , which we have invested .

Sumit Kumar: Basically, Q2 is going to be our balance sheet we have to disclose. Based on the current performance, seems our investment, as you appreciate, it's an unlisted space which we have invested, and the company is really doing well. It needs a valuation and all that. We are looking the company. Prima facie, the results are really good. Q2 will be the event where we will look into that, whether it needs a revaluation of fair market to be done. Based on that, we will accordingly report it. Just to summarize this investment, apparently, as we speak, it's performed really well.

Speaker #6: And the company is really doing well. So it needs a valuation and all that. So we are looking at the company prima facie; results are really good.

Speaker #6: So, Q2 will be the event where we will look into that, whether it needs a revaluation or fair market to be done.

Speaker #6: And , based on that , we will accordingly reported . But just to , just to summarize this investment , apparently , , as , as we speak , is it's performed really well .

Speaker #6: Yeah . So is there anything on the , , forex gains , you know , the currency has , , rupee has depreciated and are most of the contracts are in foreign currency .

Jitendra Bhutoria: Is there anything on the Forex gains, when the rupee has depreciated and most of the contracts are in foreign currency? What is the Forex gain on the last quarter or maybe because sales is a function of revenues. Whatever revenues we get, we get in foreign currency only. That impact is also captured in the jump in sales. Can you comment on this, please?

Speaker #6: So what is the forex gain on the last quarter ? Or maybe , , because you , you know , sales is a function of , , you know , revenues .

Speaker #6: So whatever revenues we get, we get in foreign currency only. So that impact is also captured in the jump in sales.

Speaker #6: Can you comment on this , please ? Yeah , that's correct . So , , there is , there is obviously . So from a , compared to the last quarter to this quarter , the closing , , affect to dollar , there is , there is a bit of a loss , , because the rupee has a strengthened compared to the last quarter .

Sumit Kumar: That's correct. There is obviously, from a compared to the last quarter to this quarter, the closing FX to dollar, there is a bit of a loss, because the rupee has strengthened compared to the last quarter. From a quarter-on-quarter point of view, the Forex gain per se is not much. Though from a year-on-year point of view, definitely there's a good gain. Again, based on the accounting policies, how the INR conversion happens is basically that month average rate. Definitely on the numbers side, it has worked well. Predominantly our entire revenue is largely our foreign denominated revenue.

Speaker #6: So , so definitely on a number side , it is , , worked well and predominantly our entire revenue is largely a foreign generated revenue .

Speaker #6: So yeah, so the jump, which we see from 72 to 79, what is the portion that comes out due to forex increment? Great, again sir.

Jitendra Bhutoria: The jump which we see from $72 to 79, what is the portion comes out of from the Forex increment?

Sumit Kumar: Say it again, sir. Somehow I've not followed the question.

Speaker #6: I did not follow the question.

Nisha Dutt: I think he's asking from INR 72 to 79, what's the currency gain in that? That's what he's asking, correct?

Speaker #1: From 72 to 79, what's the currency gain in that? That's what you're asking.

Speaker #6: So what what moved . Yeah . Correct . Right . So thank you .

Sumit Kumar: Yeah. Correct. Thank you.

Speaker #1: I think, I think it's about three crores, this currency gain.

Nisha Dutt: I think it's about INR 3 crores is currency gain. Yeah. To answer your question.

Speaker #6: Yeah .

Speaker #1: To answer your question .

Speaker #6: Okay. Okay. Okay. Thank you so much.

Sumit Kumar: Okay. Thank you so much.

Speaker #1: Thank you .

Nisha Dutt: Thank you.

Speaker #3: Thank you, sir. The next question comes from Harshit Singhania from Robo Capital. Please go ahead.

Moderator: Thank you, sir. The next question comes from Harshit Singhania from Robo Capital. Please go ahead.

Speaker #6: Hello

Harshit Singhania: Hello.

Speaker #1: Hi .

Nisha Dutt: Hi.

Speaker #6: Yeah . So most of my questions are answered . So I think I would like to start on that . I so like 70% of our revenue is recurring .

Harshit Singhania: Yeah. Most of my questions are answered. I think I would like to just add on that, so 70% of our revenue is recurring, so it would be just great if you could, in the future, sometime when the company is stabilizing a lot better, then we could get some better, a bit more directional guidance at least, so that we can understand where the company is at and how the revenue is looking. I think that's just the last comment that I have.

Speaker #6: So it would be great if you could, like, in the future, sometime when the company is stabilizing a lot better, then we could get some better—

Speaker #6: I'd like a bit more directional guidance, at least, so that we can understand where the company is at and how the revenue is looking.

Speaker #6: So, I think that's just the last comment that I have. So, yeah.

Speaker #1: Sure .

Nisha Dutt: Sure.

Speaker #6: Best of luck .

Harshit Singhania: Otherwise, best of luck.

Speaker #1: Thank you so much. We can use all the luck. So,

Nisha Dutt: Sure. Thank you so much. We can use all the luck.

Harshit Singhania: Thank you.

Moderator: Thank you, sir. There are no further questions. Now I hand over the floor to Ms Nisha for closing comments.

Speaker #3: Thank you, sir. There are no further questions. Now, I hand over the floor to Miss Nisha for closing comments.

Speaker #1: , firstly , thank you to all our shareholders for your continued engagement . I think the questions that you ask , the perspectives that you share and the expectations that you articulate in these calls , they really keep a sharp .

Nisha Dutt: Firstly, thank you to all our shareholders for your continued engagement. I think the questions that you ask, the perspectives that you share, and the expectations that you articulate in these calls, they really keep us sharp. I don't view that as scrutiny as pressure. Actually, I view it as an important part of building a better company. One thing that has struck me over the past few quarters is, this is something that I want to share with all of you, is how invested our own people, and when I say our own people, Subexians, are in these conversations. A big sea change for me is that the members of the management team regularly ask me how the investors are responding to our performance.

Speaker #1: So , , and I don't view that as , , scrutiny as pressure . Actually , I view it as an important part of building a better company .

Speaker #1: So one thing that has struck me over the past few quarters is , , this is something that I want to share with all of you is how invested , you know , our own people .

Speaker #1: And when I say our own people Subex ians are , in our , in this conversations . So , , a big sea change for me is that the members of the management team regularly ask me how the investors are responding to our performance .

Speaker #1: Many of our employees dial into these earnings calls because they genuinely want to understand how the company is progressing and how the market views the work that they do every day.

Nisha Dutt: Many of our employees dial into these earnings calls because they genuinely want to understand how the company is progressing and how the market views the work that they do every day. To me, that's a very healthy sign, and it reflects an organization that increasingly understands that the work we do every day ultimately has only one purpose, right? It's to create lasting value for our customers, for our employees, and most importantly, for you shareholders. I think this kind of awareness has created a strong sense of alignment across the company. There is a shared understanding that sustainable value is created when we can consistently execute quarter after quarter. Not through promises, but through delivery. This is very well understood through the DNA of the company right now. I think this is something I particularly wanted to share here.

Speaker #1: So to me, that's a very healthy sign. And it reflects an organization that increasingly understands that the work we do every day ultimately has only one purpose, right?

Speaker #1: It's to create lasting value for our customers , for our employees , and most importantly for you . Shareholders . So I think , , this kind of awareness is created a strong sense of alignment across the company .

Speaker #1: So there is a shared understanding that sustainable value is created when we consistently execute quarter after quarter after quarter , , not for promises , but through delivery .

Speaker #1: So this is very, very well understood through the DNA of the company right now too. So I think this is something I particularly wanted to share here, but thank you once again for your time.

Nisha Dutt: Thank you once again for your time, your questions, and your continued support. We appreciate your confidence in Subex, and we look forward to updating you on our progress in the quarters ahead. Thank you again. Good luck and stay safe and please stay healthy. Thank you. Bye-bye.

Speaker #1: Thank you for your questions and your continued support. We appreciate your confidence in Subex, and we look forward to updating you on our progress in the quarters ahead.

Speaker #1: So thank you again . , good luck and stay safe . And please stay healthy . Thank you . Bye bye .

Speaker #3: Thank you, ma'am. Ladies and gentlemen, this concludes our conference for today. Thank you for your participation and for using the conference call service.

Moderator: Thank you, ma'am. Ladies and gentlemen, this concludes your conference for today. Thank you for your participation and for using Root Sabah's conference call service. You may disconnect your lines now. Thank you and have a pleasant day.

Browse all earnings call transcripts

Q1 2027 Subex Ltd Earnings Call

Request TrialDemo

Subex

Earnings