Q1 2027 Hindustan Construction Co Ltd Earnings Call

August 6, 2026

[Company Representative] (Hindustan Construction Company): Business Development and Chief Business Officer.

Speaker #1: Developmental Chief Business Officer.

Speaker #2: Thank you, Shravik. I'll take you through the presentation, Santosh Rai here. Right. Just a minute, please. Huh, thank you. Right, so highlights of the quarter.

Santosh Rai: Thank you, Souvik. I will take you through the presentation. Santosh Rai here. Just a minute, please. Highlights of the quarter. Standalone turnover of INR 982 crore and INR 37 crore of net profit for Q1 FY27. Consolidated improved margin to INR 51 crore on revenue of INR 993 crore. EBITDA margin for Q1 FY27 is at 10.7% versus 14.9% in Q1 FY26. Prepayment of INR 100 crore of debt planned in August 2026, with substantial payments to follow. We have secured 1 order in Bhutan for INR 127 crore, and we are lowest bidder on bids worth INR 1,671 crore.

Speaker #2: Standalone turnover of at 982 crore, and 37 crore of net profit for Q1, FY27. Consolepad improved margin to 51 crore on revenue of 993 crores, EBITDA margin for Q1, FY27 is at 10.7% versus 14.9% in Q1, FY26.

Speaker #2: Prepayment of 100 crores of debt, planned in August 26. With substantial payments to follow. We have secured 1 order in Bhutan for 127 crores, and we are lowest bidder on bids worth 1,617, 1,671 crores.

Speaker #2: We have also submitted bids around 10,000 crore in which HCC share is nearly 7,000, 750 crores. And we are actively working on the bid pipeline for north of 86,000 crores.

Santosh Rai: We have also submitted bids around INR 10,000 crore, in which HCC share is nearly INR 7,750 crore, and we are actively working on the bid pipeline for north of INR 86,000 crore. This is the order backlog position as of ending quarter FY27. You can see the order backlog is spread widely into transport sector, followed by water, hydro, and nuclear, and buildings, and again, geographically spread over different parts of the country. Some of the project updates. What you are seeing on the screen is the Indore Metro, where the TBM deployment is in very advanced stages. We are also in advanced stages of the ring preparation for the tunnels. Out of all the stations, the excavation works and other ground protection works are in full swing at this job site. Patna Metro, the job site is progressing well in terms of mobilization.

Speaker #2: This is the order backlog position, as of ending quarter, FY27. The you can see the order backlog is spread into widely into transport sector, followed by water, hydro, water, and nuclear and buildings.

Speaker #2: And again, geographically spread over different parts of the country. Some of the project updates, what you're seeing on the screen is the Indore Metro, where the TVM deployment is in a very advanced stages.

Speaker #2: We are also in advanced stages of the ring preparation for the tunnels. And out of all the stations, the excavation works and other ground protection works are in full swing at this job site.

Speaker #2: Patna Metro, the job site is progressing in well in terms of mobilization. Client has provided us the requisite workspaces very recently. And we are working on traffic diversion of the schemes.

Santosh Rai: Client has provided us the requisite workspaces very recently. We are working on traffic diversion other schemes. In the meanwhile, segment casting facilities and other infrastructure is being put into place for both the package of PC05 and PC06. Agardanda project, lot of foundation works in marine conditions and as well as on land are in full swing. We are also producing the segments for the bridge erection. Statutory clearance for the jobs are expected to be available by November 2026. There are some forest clearances still awaited on key portions of the project, and we expect them to be coming soon. What you see here is Bhivpuri. In Bhivpuri, the left picture is about the powerhouse excavation, where the works are going on in full swing, and so are the works going on at the upper intake.

Speaker #2: But in the meanwhile, segment casting facilities and other infrastructure is being put into place. For both the packages of PC05 and PC06. Agadanda project, a lot of foundation works in marine conditions and as well as on land are in full swing.

Speaker #2: We are also producing the segments for the bridge erection. And, and, and statutory clearance for the jobs are expected to be available by November 2026.

Speaker #2: There are some forest clearances still awaited on key portions of the project. And we expect them to be coming soon. What you see here is Bhupuri.

Speaker #2: In Bhupuri, the left the left picture is about the powerhouse excavation, where the works are going on in full swing. And so are the works going on at the upper intake.

Speaker #2: Soon we'll be also starting the HRT and surge shaft works at the upper intake area. What you see on the screen is Vishnugad People Koti, where the machine halls machine hall unit number 2 and 3 are in advanced stages of construction.

Santosh Rai: Soon we'll be also starting the HRT and surge shaft works at the upper intake area. What you see on the screen is Vishnugad Pipalkoti, where the machine hall unit number 2 and 3 are in advanced stages of construction. So is the surge shaft. Dam is nearly 85% complete. CRT is also in advanced stages now. Overall project has reached almost 85% here. This is the breakthrough of phase 2 and phase 3 at Tapovan Vishnugad project of NTPC. Here also, works are going on all the fronts. This is the picture of the job which we are doing for Aditya Aluminium, and we are making here pot shells and pot superstructure for aluminum smelting process. The bulk fabrication of these process units have already started. Coming to financials, the numbers are here on the screen, we can discuss them once we go forward.

Speaker #2: So is the surge shaft. Dam is nearly 85% complete. TRT is also in advanced stages now. So overall project has reached almost 85% here.

Speaker #2: This is the breakthrough of phase 2 and phase 3 at Tapon Vishnugad project of NTPC. Here also works are going on. All the fronts.

Speaker #2: This is the picture of the project which we are the job which we are doing for Aditya Aluminium, and we are we are making here pot shelves and pot superstructure for aluminium smelting process.

Speaker #2: The, the bulk fabrication of these process units have already started. Coming to financials, the numbers are here on the screen, and we can discuss them once we go forward.

Speaker #2: I hope all of you have been able to go through them. These are the control numbers for Q1, FY27. Thank you. And now we will take questions.

Santosh Rai: I hope all of you have been able to go through them. These are the consolidated numbers for Q1 FY27. Thank you, now we will take questions.

Speaker #1: Hello.

[Analyst]: Hello.

[Analyst 1]: Hello.

Speaker #2: Yes, Siddharth. Siddharth, sorry.

Santosh Rai: Yes, Siddhant. Sorry.

Speaker #1: Yeah, just wanted to understand the reason behind decline in EBITDA margin. Lower revenue we understand because of order completion stages, but what was the reason behind the costs running up significantly?

[Analyst]: Yeah. Just wanted to understand the reason behind decline in EBITDA margin. Lower revenue, we understand because of order completion stages, what was the reason behind the costs running up significantly?

[Analyst 1]: Yeah. Just wanted to understand the reason behind decline in EBITDA margin. Lower revenue, we understand because of order completion stages, what was the reason behind the costs running up significantly?

Speaker #2: So Siddharth, we have got many projects which are at various stages of mobilization. Almost 8,000 crore in our order book are projects which we have acquired during last 15 months period.

[Company Representative] (Hindustan Construction Company): Siddhant, we have got many projects which are at various stages of mobilization. Almost INR 8,000 crore in our order book are projects which we have acquired during last 15 months. While they are being mobilized, we are making expenses. However, their contribution in our EBITDA is yet to come, which will be realized in subsequent quarters. When that comes, our EBITDA will subsequently improve, and we will continue to strive for maintaining our EBITDA to the level of 13% to 14% what we have been doing in the past.

Speaker #2: So while they are being mobilized, we are making expenses. However, their contribution in our EBITDA is yet to come, which will be realized in subsequent quarters.

Speaker #2: So when that, that comes, our EBITDA will subsequently improve. And we will continue to strive for maintaining our EBITDA to the level of 13, 14% what we have been doing in the past.

Speaker #1: Understood. Thank you. That's my question.

[Analyst]: Understood. Thank you. That's my question.

[Analyst 1]: Understood. Thank you. That's my question.

Santosh Rai: Mr. Agrawal, please go ahead.

Speaker #3: Mr. Agarwal. Please go ahead.

Speaker #1: Yeah. So my question is regarding that our current order book is approximately 13,000 crore. So can you please share the average remaining execution period of this and expected EBITDA EBITDA on this order book?

[Analyst]: Yeah.

[Analyst 3]: Yeah.

[Analyst]: My question is regarding that our current order book is approximately INR 13,000 crore. Can you please share the average remaining execution period of this and expected EBITDA on this order book?

[Analyst 3]: My question is regarding that our current order book is approximately INR 13,000 crore. Can you please share the average remaining execution period of this and expected EBITDA on this order book?

[Company Representative] (Hindustan Construction Company): Sir, as I mentioned, significant portion of this order book is something that we have recently acquired within last 15 months.

Speaker #2: So as I mentioned, significant portion of this order book is something that we have recently acquired within next last 15 months. So on an average, we can say that next 3.5 years is a timeline that we look forward to complete this entire order book.

[Company Representative] (Hindustan Construction Company): On an average, we can say that next three to three and a half years is the timeline that we look forward to complete this entire order book. However, with our pipeline, we'll continue to acquire new orders, that's how continuity will be maintained in terms of pipeline and order execution.

Speaker #2: However, with our pipeline, we will continue to acquire new orders. And that's how we continue to will be maintained in terms of pipeline and order execution.

Speaker #1: And what kind of a bit EBITDA on this new projects we are expecting?

[Analyst]: What kind of EBITDA on these new projects we are expecting?

[Analyst 3]: What kind of EBITDA on these new projects we are expecting?

Speaker #2: Same 13, 14%.

[Company Representative] (Hindustan Construction Company): Same 13%, 14%.

Speaker #1: Okay. And we have given target of around 15,000 crore of new orders in this financial year. So in this quarter, seems like our order intake seems like low.

[Analyst]: Okay. We have given target of around INR 15,000 crore of new orders in this financial year. In this quarter, our order intake seems slight low. Are we confident to achieve this target? Or we can say any revision in that?

[Analyst 3]: Okay. We have given target of around INR 15,000 crore of new orders in this financial year. In this quarter, our order intake seems slight low. Are we confident to achieve this target? Or we can say any revision in that?

Speaker #1: So how are we confident to achieve this target, or any we can say any revision in that?

Speaker #2: No, Kapil, I think we are confident of achieving this target. And as you might have noticed, there has already almost bids worth 10,000 crores which are under evaluation.

Santosh Rai: No, Kapil. I think we are confident of achieving this target. As you might have noticed, there is already almost bids worth INR 10,000 crore, which are under evaluation.

Speaker #2: And there is substantial pipeline which is under submission. Some of this has got delayed, but we believe that, you know, they will be seeing that the light of the day in, in coming quarters.

Santosh Rai: There is substantial pipeline which is under submission. Some of this has got delayed, we believe that they will be seeing the light of the day in coming quarters, therefore we want to maintain our guidance, what we have said.

Speaker #2: And therefore, we want to maintain our guidance, what we have set.

Speaker #1: And, and actually the company has proved itself to execute highly complex infrastructure projects. And in this segment, we compete with industry leaders like L&T.

[Analyst]: Actually, the company has proved itself to execute highly complex infrastructure projects. In this segment we compete with industry leaders like L&T successfully, which we have seen. Our turnover in comparison to industry leader is just 2% right now. What is our plan to fill this gap? I'm not saying that we will achieve that target in the near term also. What kind of hurdle we are facing to grow fast like? Earlier we understand that financial issue was there, now I think that financial issue is past. I think now company is technically and financially in both terms capable to execute these kind of projects and to compete with industry leaders. What is our thought on this?

[Analyst 3]: Actually, the company has proved itself to execute highly complex infrastructure projects. In this segment we compete with industry leaders like L&T successfully, which we have seen. Our turnover in comparison to industry leader is just 2% right now. What is our plan to fill this gap? I'm not saying that we will achieve that target in the near term also. What kind of hurdle we are facing to grow fast like? Earlier we understand that financial issue was there, now I think that financial issue is past. I think now company is technically and financially in both terms capable to execute these kind of projects and to compete with industry leaders. What is our thought on this?

Speaker #1: Successfully, which we have seen. But our turnover in the, we can say, of industry lead in comparison to industry leader is just 2% right now.

Speaker #1: So what is our plan to, we can say, fill this gap? I'm not saying that we will achieve that target in a near term or so.

Speaker #1: So what, what kind of hurdle we are facing to grow fast like? Earlier we understand that financial issue was there, but now I think that financial issue is past.

Speaker #1: I think now company is technically and financially in both terms capable to execute these kind of projects and to compete with industry leader. So what is our thought on that?

Speaker #2: So Kapil, there is no hurdle to that. It's a function of order intake. We have done in, as I mentioned, 8,000 crores orders have been acquired recently.

[Company Representative] (Hindustan Construction Company): Kapil, there is no hurdle to that.

[Company Representative] (Hindustan Construction Company): It's a function of order intake.

[Company Representative] (Hindustan Construction Company): We have done, as I mentioned, INR 8,000 crores orders have been acquired recently.

Speaker #2: And there is a strong pipeline. So as this order built up, continues, that will start translating into turnover also. So turnover is not a worry.

[Company Representative] (Hindustan Construction Company): There is a strong pipeline. If this order buildup continues, that will start translating into turnover also. Turnover is not a worry. Order intake is something that we need to focus on as of now.

Speaker #2: Order intake is something that we need to focus on as of now.

[Analyst]: In comparison to industry, like in order intake for our big competitors, I think our order intake is slightly, we can say, less. Any particular hurdle or something we are facing in that front? What can be the reason for this lower order intake and all that?

Speaker #1: Okay. So in comparison to industry, like in order intake for our these big competitors, I think our order intake is slightly we can say less.

[Analyst 3]: In comparison to industry, like in order intake for our big competitors, I think our order intake is slightly, we can say, less. Any particular hurdle or something we are facing in that front? What can be the reason for this lower order intake and all that?

Speaker #1: So any particular hurdle or something we are facing in that front? What, what, what can be the reason for this lower order intake and all that?

Speaker #2: Yeah. Kapil, look, I think this is, this is bit historical. As you have seen, some of, some of this is, is legacy. But you can definitely see that from the bid pipeline that we are targeting and the number of bids which are already under evaluation at this stage in this, this financial year, I believe gives you, gives you an indication that what is that we are looking at.

Santosh Rai: Yep. Kapil, look, I think this is bit historical, as you have seen. Some of this is legacy.

Santosh Rai: You can definitely see that from the bid pipeline that we are targeting and the number of bids which are already under evaluation at this stage in this financial year, I believe gives you an indication that what is that we are looking at. If we see it from that perspective, I believe, let's keep past aside, but there will be substantial numbers before us to be seen.

Speaker #2: And if we see it from that perspective, I believe let's keep past aside, but, but there will be substantial numbers before us to be seen.

Speaker #1: Okay.

[Analyst]: Okay.

[Analyst 3]: Okay.

Speaker #2: Yeah.

Santosh Rai: Yeah.

Speaker #1: And thank you, Mr. Agarwal. You may, you know, come back. There are others in the queue. Thank you.

[Analyst]: Thank you, Mr. Agrawal. You may come back. There are others in the queue.

Santosh Rai: Thank you, Mr. Agrawal. You may come back. There are others in the queue.

Santosh Rai: Sure. Thank you.

[Analyst 3]: Sure. Thank you.

Speaker #2: Thank you.

[Analyst]: Mr. Saurav Butra, please go ahead. Saurav, are you able to hear me?

Santosh Rai: Mr. Saurav Butra, please go ahead. Saurav, are you able to hear me?

Speaker #1: Mr. Saurav Bhutra, please go ahead. Saurav, are you able to hear me?

Speaker #2: He's on mute.

Santosh Rai: He's on mute.

[Company Representative] (Hindustan Construction Company): He's on mute.

Speaker #1: Saurav Bhutra, are you able to?

[Analyst]: Saurav Butra, are you able to hear me?

Santosh Rai: Saurav Butra, are you able to hear me?

Saurav Butra: Yes. My question is to Rahul. When can we expect this order which are under the L1, which you have shared in the presentation?

[Analyst 2]: Yes. My question is to Rahul. When can we expect this order which are under the L1, which you have shared in the presentation?

Speaker #4: Yes, yes, yes, yes, yes, yes, yes. So, my question is to Rahul. So what is the, when can we expect this order which are in, which are under the L1?

Speaker #4: Which you have shared in the presentation.

Speaker #2: So we can expect somewhere by end of Q2. To get it. That's what we are targeting.

[Company Representative] (Hindustan Construction Company): We can expect somewhere by end of Q2 to get it converted.

Speaker #4: I mean, end of. These are for the L1 positions. For the L1 positions. And of course, new orders conversion we will see more of them towards the end of Q3 and Q4.

Saurav Butra: End of Q2.

[Analyst 2]: End of Q2.

[Company Representative] (Hindustan Construction Company): That's what we are targeting.

Santosh Rai: These are for the L1 positions.

[Company Representative] (Hindustan Construction Company): Yes.

Santosh Rai: Of course, new orders conversion, we will see more of them towards the end of Q3 and Q4.

Speaker #4: Okay. So I think to estimate it roughly about, I think the 10,000 crore order is under the L1. If I'm correct.

Saurav Butra: Okay. I think, to estimate roughly about, I think the INR 10,000 crore order is under the L1, if I am correct.

[Analyst 2]: Okay. I think, to estimate roughly about, I think the INR 10,000 crore order is under the L1, if I am correct.

Speaker #2: No, that is under evaluation. Our L1 position is for 2,241, in which our share is 1,672 crores.

Santosh Rai: No, that is under evaluation. Our L1 position is for INR 2,241, in which our share is INR 1,672 crores.

Speaker #4: Okay. So second question is in this, what's the hurdle is going on? Why we are securing the order less?

Saurav Butra: Okay. Second question is this. What's the hurdle going on? Why we are securing the order less?

[Analyst 2]: Okay. Second question is this. What's the hurdle going on? Why we are securing the order less?

[Company Representative] (Hindustan Construction Company): Saurav, your voice is not clear. Can you please repeat?

Speaker #2: Saurav, your voice is not clear. Can you please repeat?

Speaker #4: I'm, I'm saying you that what is the hurdle going on? Why we are securing the less order?

Saurav Butra: I am saying you that what is the hurdle going on? Why we are securing the less order?

[Analyst 2]: I am saying you that what is the hurdle going on? Why we are securing the less order?

Speaker #2: So I think we answered the same question, Saurav, sorry. I think this is a very repeat question. We just the, the previous you know, and it's not the same question.

Santosh Rai: I think we answered the same question. Saurav, sorry, I think this is a repeat question. We just, the previous, and these are the same question. Look, I think the hurdle, there is no hurdle as such. As we explained, there's no hurdle. We are in a stage where some of the bids have got rescheduled, but we are very confident the pipeline which we are working upon will lead us to the target what we have set for ourselves.

Speaker #2: Look, I think, I think the hurdle, I mean, there is no hurdle as such, as, you know, we explained, there is no hurdle. We are yeah, you know, we, we are, we are in a stage where, where some of the, some of the bids have got rescheduled.

Speaker #2: But, but we are very confident the pipeline which we are working upon will, will lead us to the target what we have set for ourselves.

Speaker #4: Okay. So what is the targeting? We are targeting for the FY26 and 27? If you can.

Saurav Butra: Okay. What is the targeting we are targeting for the FY2026 and 2027? If you can give us a brief.

[Analyst 2]: Okay. What is the targeting we are targeting for the FY2026 and 2027? If you can give us a brief.

Speaker #2: We are yeah, I think in the last quarter, we, we gave a guidance of nearly around 15,000 crores. Is what we are looking at.

Santosh Rai: Yeah. I think in the last quarter, we gave a guidance of nearly around INR 15,000 crores, is what we are looking at.

Speaker #4: 15,000 crores. Okay. Understood. And what is the status on the update on the nuclear power which the Atma which the government has announced?

Saurav Butra: INR 15,000 crores.

[Analyst 2]: INR 15,000 crores.

Santosh Rai: Yes.

Saurav Butra: Okay. Understood. What is the status of the update of the nuclear power, which is the Atmanirbhar Bharat, which the government has announced?

[Analyst 2]: Okay. Understood. What is the status of the update of the nuclear power, which is the Atmanirbhar Bharat, which the government has announced?

Speaker #2: You mean to say the bids?

Santosh Rai: You mean to say the bids?

Speaker #4: Yes. On the nuclear power side.

Saurav Butra: Yes. On the nuclear power side.

[Analyst 2]: Yes. On the nuclear power side.

Speaker #2: So nuclear power, there is a lot of, lot of, you know, action happening already. The joint venture of NTPC and NPCIL has brought out their first tender.

Santosh Rai: Nuclear power, there is lot of action happening. Already the joint venture of NTPC and NPCIL has brought out their first tender. That is there. We are also seeing a lot of traction in the private sector space.

Speaker #2: That is there. We are also seeing a lot of traction in the private sector space. Of course, most of this will move once the rules to the Shanti Act are published, which we believe may happen either at the end of this session of the parliament or the winter session.

Saurav Butra: Okay.

[Analyst 2]: Okay.

Santosh Rai: Of course, most of this will move once the rules to the Shanti Act are published, which we believe may happen either at the end of this session of the parliament or the winter session.

Speaker #2: So but, but we are definitely seeing a lot of traction there.

Saurav Butra: Okay.

[Analyst 2]: Okay.

Santosh Rai: We are definitely seeing a lot of traction there.

Speaker #4: Okay. Okay. Okay.

Saurav Butra: Okay.

[Analyst 2]: Okay.

[Company Representative] (Hindustan Construction Company): Thank you, Saurav.

Speaker #1: Thank you, Saurav.

Speaker #2: Thank you.

Santosh Rai: Thank you.

Speaker #1: Mr. Lokesh, you may go ahead, please.

[Company Representative] (Hindustan Construction Company): Mr. Lokesh, you may go ahead, please.

Speaker #3: Yeah. Hi, sir. Quick question from my side. Basically starting with, you know, some clarifications. So we have one order in April, basically from SEDCO, was rupees 1,100 crores.

[Analyst]: Yeah. Hi, sir. A couple of questions from my side. Basically starting with some clarifications. We have one order in April, basically from SEDCO, worth INR 1,100 crores. That project basically has been considered under order book or still it is under the L1 position?

[Analyst 4]: Yeah. Hi, sir. A couple of questions from my side. Basically starting with some clarifications. We have one order in April, basically from SEDCO, worth INR 1,100 crores. That project basically has been considered under order book or still it is under the L1 position?

Speaker #3: So that project is basically has been considered under order book or still it is under the L1 position?

Speaker #2: Under order book. It is under order book.

[Company Representative] (Hindustan Construction Company): Under order book. It is under order book.

Speaker #3: It is under order book. Okay. So the L1 position you have mentioned, this is a new project, correct?

Santosh Rai: It is under order book.

[Analyst]: Okay. The L1 position you have mentioned is a new project, correct?

[Analyst 4]: Okay. The L1 position you have mentioned is a new project, correct?

Speaker #2: Yes, yes. That is excluding that.

Santosh Rai: Yes. That is excluding that.

Speaker #3: Correct. Secondly, sir, can you just give some highlight on which segment of pipeline is basically skewed into? I believe you have 85, 86,000 crores of project and around 10,000 crores of under evaluation.

[Analyst]: Correct. Secondly, sir, can you just give some highlight on which segment the pipeline is basically skewed into? I believe you have INR 85,000 to 86,000 crore of project and around INR 10,000 crore up under evaluation. Where are the tractions you are seeing more currently? What is the competitive intensity on those projects?

[Analyst 4]: Correct. Secondly, sir, can you just give some highlight on which segment the pipeline is basically skewed into? I believe you have INR 85,000 to 86,000 crore of project and around INR 10,000 crore up under evaluation. Where are the tractions you are seeing more currently? What is the competitive intensity on those projects?

Speaker #3: But where are the tractions you are seeing more under, you know, currently? And what is the competitive intensity on those projects?

Speaker #2: So we are largely seeing this traction for the, I can say, hydropower space, which is which basically the government is, is prioritizing. That is one space.

Santosh Rai: We are largely seeing this traction for the, I can say, hydropower space, which definitely the Government is prioritizing. That is one space. Underground metro and other urban transit systems continue to be the second space, where there is a good traction. Other than that, there are also orders in the industrial and metal sectors, where again, we are seeing some action. Then, of course, nuclear is there. For nuclear, as I said, it will move once the rules are published, though there are going to be some Government orders on the PHWR program, private inquiries will also start flowing in maybe after six to eight months or so.

Speaker #2: Underground metro, another, urban transit systems continue to be the second space where, where there is a good traction. Other than that, there are also orders in the industrial and metal sectors, where, where again we, we are seeing some action.

Speaker #2: So I can say these are the and then, of course, nuclear is there. For nuclear, as I said, it's, it's it will move once the, you know, rules are published.

Speaker #2: Though there are are going to be some government orders on the PHWR program, but private orders. Sorry, private inquiries will also start flowing in maybe after six to eight months or so.

Speaker #3: Okay. But do you think that this 85, 86,000 crores of under pipeline will be bidded during this year or it will, you know, drop?

[Analyst]: Okay. Do you think that these INR 85,000 to 86,000 crore up under pipeline will be bidded during this year? Or it will

[Analyst 4]: Okay. Do you think that these INR 85,000 to 86,000 crore up under pipeline will be bidded during this year? Or it will

Santosh Rai: I think this will get bidded this year.

Speaker #2: I think, I think this will, this will get bidded this year. Because, because some of the delays, you know, what we were anticipating on some large bids to happen early, they are seem to be delayed by almost two, two months, I will say.

[Analyst]: Okay.

[Analyst 4]: Okay.

Santosh Rai: Some of the delays, what we were anticipating on some large bids to happen early, they seem to be delayed by almost two months, I will say. We believe, we hope that they will get realized. The bids will get submitted in next two to three months max.

Speaker #2: But we believe we hope that, you know, they will, they will get realized the bids will get submitted in next two to three months max.

Speaker #3: Sure, sure. And sir, just, you know, on the as CFO sir has basically mentioned that around 8,500, 5,000 crores of projects are basically under mobilization stage.

[Analyst]: Sure. Sir, as CFO sir has basically mentioned that around INR 8,500 crores of projects are basically under mobilization stage. Is my understanding correct that around INR 4,000 to 5,000 crores worth of projects are only contributing to the revenue currently?

[Analyst 4]: Sure. Sir, as CFO sir has basically mentioned that around INR 8,500 crores of projects are basically under mobilization stage. Is my understanding correct that around INR 4,000 to 5,000 crores worth of projects are only contributing to the revenue currently?

Speaker #3: So is my understanding is correct that around, you know, four to 5,000 project crores worth of projects are only contributing to the revenue currently?

[Company Representative] (Hindustan Construction Company): Largely correct, these projects have also contributed to some extent. However, margins will come subsequently because initial stages, they are less margin. Subsequently, when turnover picks up, margins improve.

Speaker #2: Largely correct, but these projects have also contributed to some extent. However, margins will come subsequently because initial stages they are less margin subsequently when turnover picks up, margins improve.

Speaker #3: Sure, sure.

[Analyst]: Sure.

[Analyst 4]: Sure.

Speaker #1: Thank you, Lokesh. Next, Mr. Rushmukh. Mr. Rushmukh Ojha. Please go ahead. Mr. Ojha, are you able to hear me?

[Company Representative] (Hindustan Construction Company): Thank you, Lokesh.

[Analyst]: Sure.

[Analyst 4]: Sure.

[Company Representative] (Hindustan Construction Company): Next, Mr. Rusmik. Mr. Rusmik Oza, please go ahead. Mr. Oza, are you able to hear me?

Speaker #3: Hi, hello. I'm audible, sir.

Rusmik Oza: Hello. Am I audible, sir?

[Analyst 5]: Hello. Am I audible, sir?

Speaker #1: Yes, yes. Go ahead, please.

[Company Representative] (Hindustan Construction Company): Yes. Go ahead, please.

Speaker #3: Yeah. Thanks for the opportunity. Sir, as you said, there are some 8,000 worth of projects which got mobilized now. What could be the conversion in this fiscal year from these orders?

Rusmik Oza: Yeah. Thanks for the opportunity. Sir, as you said, there are some INR 8,000 worth of projects which got mobilized now. What could be the conversion in this fiscal year from these orders? That is one. Subsequently, we did around close to INR 4,000 crore of consolidated revenue last year. Whatever execution we do this year, what could be the annual growth in revenue basis that? That is my first question.

[Analyst 5]: Yeah. Thanks for the opportunity. Sir, as you said, there are some INR 8,000 worth of projects which got mobilized now. What could be the conversion in this fiscal year from these orders? That is one. Subsequently, we did around close to INR 4,000 crore of consolidated revenue last year. Whatever execution we do this year, what could be the annual growth in revenue basis that? That is my first question.

Speaker #3: That's one. And subsequently, we did around close to 4,000 crore of consolidated revenue last year. So whatever execution we do this year, what could be the annual growth in revenue basis that, that is my first question.

Speaker #2: So Rushmukh, I think quarterly we give update on these aspects and we have already mentioned that investors need to be patient for one more year with us while we are building our order book.

[Company Representative] (Hindustan Construction Company): Rusmik, I think quarterly we give update on these aspects, and we have already mentioned that investors need to be patient for one more year with us while we are building our order book. Certainly, we are seeing the same kind of turnover as we have done in the last year. However, there could be some positive surprise of 15% to 20%, say INR 400 to 500 crore on the positive side. That will depend on how certain aspects of a few projects mobilize. We will not like to put exact number here. We are working on positively surprising you all. For the timing, you can say that we will remain at the level we have been last year.

Speaker #2: So certainly we are seeing the same kind of turnover as we have done in the last year. However, there could be some positive surprise of 15, 20 percent, say 400, 500 crore on the positive side that will depend on how certain aspects of a few projects mobilize.

Speaker #2: We will not like to put exact number here. But we are working on positively surprising you all. So for the timing, you can say that we will remain at the level we have been last year.

Speaker #3: Okay, okay. And, and my second question, sir, you know, though, as you said, the margins will improve, but last year we had almost operating margin of 16 percent.

Rusmik Oza: Okay. My second question, sir. Though, as you said, the margins will improve, but last year we had almost operating margin of 16%. Any exit run rate by or probably what could be the full year EBITDA margin or the operating profit margin for this year?

[Analyst 5]: Okay. My second question, sir. Though, as you said, the margins will improve, but last year we had almost operating margin of 16%. Any exit run rate by or probably what could be the full year EBITDA margin or the operating profit margin for this year?

Speaker #3: Any exit run rate by or probably what could be the full year EBITDA margin or the operating profit margin for this year?

Speaker #2: Yes. So this question we answered earlier. So we will, by end of the year, we will maintain this run rate of 13, 14 percent EBITDA that we do.

[Company Representative] (Hindustan Construction Company): Yes. This question we answered earlier. By end of the year, we will maintain this run rate of 13% to 14% EBITDA that we do. Current reduction in EBITDA is just a function of various stages of the project that we are in. Yes, bottom line.

Speaker #2: And current reduction in EBITDA is just a function of various stages of the project that they are in. So yes, bottom line and at the same time, we are also working on deleveraging of the company, which at the bottom line level will give us improvements.

Rusmik Oza: Okay.

[Analyst 5]: Okay.

[Company Representative] (Hindustan Construction Company): At the same time, we are also working on deleveraging of the company, which at the bottom line level will give us key improvements.

Speaker #2: So, so I just want to add just Arjun Gavin, I, I certainly believe that we could have done better on the, on the order booking by now, right?

[Company Representative] (Hindustan Construction Company): I just want to add this also, Dhawal. I certainly believe that we could have done better on the order booking by now, right? Let's be very clear about this. That said, I'm expecting that to exponentially pick up and I think that we hopefully basically surprise you all on the upside, certainly by the time we get to the end of this fiscal year. The impact, obviously, as far as our top line and bottom line are concerned, the order booking and the revenues and cash flows that basically come as a result of that, but more importantly, the deleveraging that we will continue to focus on in getting HCC to be nearly debt-free as early as possible, is going to have a substantial basically impact on our bottom line, our credit ratings, our growth prospects as well, right?

Speaker #2: And let's be very clear about this. That said, I'm expecting that to exponentially pick up. And, and I think that, you know, we hopefully basically surprise you all on the upside certainly by the time we get to the end of this fiscal year and the impact obviously as far as our top line and bottom line are concerned, the order booking and the revenues and cash flows that basically come as a result of that.

Speaker #2: But more importantly, that deleveraging that we will continue to focus on in, in getting HCC to be nearly debt free as early as possible is going to have a substantial basically impact on our, on our bottom line, our credit ratings, our, our growth prospects as well, right?

Speaker #2: So I think the effort that we're making is, is twofold. And I think that what we perhaps have not achieved as past on the top line, you know, very frankly this year is something that we will certainly make up for in spades with regard to the bottom line.

[Company Representative] (Hindustan Construction Company): I think the effort that we're making is twofold, and I think that what we perhaps have not achieved as fast on the top line, very frankly this year, is something that we will certainly make up for in spades with regard to the bottom line. We intend to keep our EBITDA and PAT margins well intact and the growth you'll see from that bottom line, I think will hopefully make up for some of the shortfall that we've seen on the top line. That said, I think some of the mix of projects that we're looking at and the sense of success that we believe that we will achieve on the evaluation of bids that are yet to be opened, as well as what we have planned for the next couple of quarters, we remain quite confident.

Speaker #2: So we intend to keep our EBITDA and PAC margins well intact and the growth you'll see from that bottom line I think will, will, will hopefully will hopefully make up for some of the shortfall that we've seen on the, on the top line.

Speaker #2: But that said, I think some of the mix of projects that we're looking at and the, the sense of success that we believe that we will achieve on the, on the, on the evaluation of bids that are yet to be opened as well as what we have planned for the, for the next couple of quarters, we remain quite confident.

Speaker #3: Sir, subsequent question, you know, even though we might end up with a flat revenue, but a lot of these projects when they gain traction, what kind of top line growth we can expect next year in FY28, sir?

Rusmik Oza: Sir, subsequent question. Even though we might end up with a flat revenue, but a lot of the switches once they gain traction, what kind of top-line growth we can expect next year in FY28, sir?

[Analyst 5]: Sir, subsequent question. Even though we might end up with a flat revenue, but a lot of the switches once they gain traction, what kind of top-line growth we can expect next year in FY28, sir?

Speaker #2: I mean, I, look, we've, we've tended not to give this guidance. I know that from an analyst community perspective, that's an important number that you need to model in.

[Company Representative] (Hindustan Construction Company): Look, we've tended not to give this guidance. I know that from an analyst community perspective, that's an important number that you need to model in. We have to make up for lost time, right? I think that these questions have been asked before. We certainly need to execute to our potential. We're still such a small percentage of the market share in our industry relative to our pedigree. I think that's the only good thing, is that there's a much, much larger addressable market for us to chase. That said, we're going to be very selective as far as risk management is concerned, the pricing of our projects and the quality of our clients. I think that it would be fair to say that we would be in that sort of 20% to 25% range.

Speaker #2: We have to, we have to make up for lost time, right? I mean, I think that, you know, this, these questions have been asked before.

Speaker #2: We're certainly we certainly need to, to, to, to execute to our potential. We're still such a small percentage of the market share in our industry relative to our pedigree.

Speaker #2: And so I think that, you know, that's the only good thing is that there's, there's, there's a much, much larger addressable market for us to chase that said, we're going to be very selective as far as risk management is concerned, the pricing of our projects and the quality of our clients.

Speaker #2: And I think that it would be fair to say that we would be in that sort of 20 to 25 percent range. I mean, you know, anywhere between 15 to 25, depending on which basically period you're talking about.

[Company Representative] (Hindustan Construction Company): Anywhere from 15% to 25%, depending on which basically period you're talking about. Certainly 20%-plus is certainly what we would be targeting given the low base that we're functioning.

Speaker #2: But, you know, certainly 20 plus percent is, is, is, is certainly what we would be, we'd be, we'd be targeting given the low base that we're functioning.

Speaker #3: Thanks for my last question was regarding the deleveraging you said. In Q1, the interest cost was around 87 crore. Any, any color or any, any guidance how this number can pan out in the coming quarters?

Rusmik Oza: Thanks. The last question was regarding the deleveraging. You said in Q1 the interest cost was around INR 87 crore. Any color or any guidance how this number can pan out in the coming quarters?

[Analyst 5]: Thanks. The last question was regarding the deleveraging. You said in Q1 the interest cost was around INR 87 crore. Any color or any guidance how this number can pan out in the coming quarters?

Speaker #2: So next few days we are prepaying 100 crore to another lender. So that again will help we are working on last deleveraging, like last year we reduced our debt by almost 1500 crores payment was made to lenders.

[Company Representative] (Hindustan Construction Company): Next few days we are prepaying INR 100 crore to another lender, so that again will help. We are working on large deleveraging. Like last year, we reduced our debt by almost INR 1,500 crore payment was made to lenders. This year also, I'm not giving a number, but we are working on a considerable prepayment. It will not be fair on me to give you a number unless we are at final stage of closing that. Maybe by next quarter, we should be able to give you precise answer to your question.

Speaker #2: This year also, I'm not giving a number. We are, but we are working on a considerable prepayment. It will not be fair on me to give you a number unless we are at final stage of closing that.

Speaker #2: So maybe by next quarter, we should be able to give you a precise answer to your question.

Speaker #3: Thanks, sir. I'll come in the queue again. Thank you so much.

Rusmik Oza: Thanks, sir. I'll come in the queue again. Thank you so much.

[Analyst 5]: Thanks, sir. I'll come in the queue again. Thank you so much.

Speaker #4: Thank you. Thank you. Mr. Antariksh Paul, you may go in next, please.

[Company Representative] (Hindustan Construction Company): Thank you. Mr. Antariksh Paul, you may go in next, please.

Speaker #5: Yes, sir. Am I audible?

Antariksh Paul: Yes. Am I audible?

[Analyst 6]: Yes. Am I audible?

Speaker #4: Yes. Go ahead, please.

[Company Representative] (Hindustan Construction Company): Yes. Go ahead, please.

Antariksh Paul: Sir, my question was that the results which are here in this quarter come mixed. We have certainly a good order book and as per your clarification, everything is supposed to go all right. The only thing which is concerning me as an investor at this point is that the promoters reducing their stakes and high pledges. I am a bit concerned about it. Could you please brief me further?

[Analyst 6]: Sir, my question was that the results which are here in this quarter come mixed. We have certainly a good order book and as per your clarification, everything is supposed to go all right. The only thing which is concerning me as an investor at this point is that the promoters reducing their stakes and high pledges. I am a bit concerned about it. Could you please brief me further?

Speaker #5: Sir, my question was that the results which are here in this quarter are mixed. However, we have certainly a good order book and as per your clarification, everything is supposed to go all right.

Speaker #5: The only thing which is concerning me as an investor at this point is that the, like, the motors reducing their state. So and like hype ledgers.

Speaker #5: So I'm a bit concerned about it. Could you please brief me further?

[Company Representative] (Hindustan Construction Company): Antariksh. Antariksh, promoters have been maintaining their stake by infusing money whenever there is rights issue, couple of rights issue, they did subscribe and in fact oversubscribed. Whenever there is an opportunity, they will keep on trying to do that. Sorry, what was your first question?

Speaker #2: Antariksh, so Antariksh, promoters have been maintaining their stake by infusing money whenever they are is right issue couple of rights issue we did, they did subscribe in, in fact oversubscribed so that whenever there is an opportunity, they will keep on trying to do that.

Speaker #2: However, sorry, what was your first question?

Speaker #5: Sir, regarding the promoters' stake only, as it has been reducing and like last two.

Antariksh Paul: Sir, regarding the promoters' stake only, as it has been reducing in the last two-

[Analyst 6]: Sir, regarding the promoters' stake only, as it has been reducing in the last two-

[Company Representative] (Hindustan Construction Company): No, your next other question was with regard to pledge.

Speaker #2: No, you missed other question was with regard to pledge.

Speaker #5: Yeah, yes, sir.

Antariksh Paul: Yeah. Yes, sir.

[Analyst 6]: Yeah. Yes, sir.

Speaker #2: The pledge is essentially to HCC lender. However, since we are now prepaying their debt, hopefully in very short period of time when we achieve our deleveraging, those players will also be removed.

[Company Representative] (Hindustan Construction Company): The pledge is essentially to HCC lender. However, since we are now prepaying their debt, hopefully in very short period of time when we achieve our deleveraging, those pledges will also be removed. That's what our target is. Just a question on the promoter stake. I think that as a family, we remain entirely committed to the success of this company. This is now a 100-year-old business within the family. As far as the stake is concerned, I think it comes down to us not only fulfilling our obligations with regard to whatever growth capital this company needs, but at the right time, we will take basically and evaluate all the options for increasing our stake as well.

Speaker #2: That's what our target is.

Speaker #1: And just a question on the, the promoter's stake. I think that as a family, we remain entirely committed to, to the success of this company.

Speaker #1: I mean, it's, it's, this is now, you know, 100 role basically business, you know, within, within, within the family. And as far as the stake is concerned, I think it comes down to us not only fulfilling our obligations with regard to whatever growth capital this company needs, but at the right time, we will take basically and evaluate all the options for increasing our stake as well.

Speaker #5: I, I totally understand, sir. And I wish you good luck, yes. And it's a great company with a long way ahead.

Antariksh Paul: I totally understand, sir. I wish you good luck. It's a great company with a long way ahead.

[Analyst 6]: I totally understand, sir. I wish you good luck. It's a great company with a long way ahead.

Speaker #1: Thank you so much.

[Company Representative] (Hindustan Construction Company): Thank you so much.

Speaker #4: Thank you. Mr. Shashikanth. Mr. Shashikanth, please go ahead.

[Company Representative] (Hindustan Construction Company): Thank you. Mr. Shashikant. Mr. Shashikant, please go ahead.

[Analyst]: Hi, sir. Good evening, and thank you for the opportunity. My question is regarding the nuclear segment. In this quarter presentation, there is very little disclosure on the nuclear side. Can you elaborate something on that?

[Analyst 7]: Hi, sir. Good evening, and thank you for the opportunity. My question is regarding the nuclear segment. In this quarter presentation, there is very little disclosure on the nuclear side. Can you elaborate something on that?

Speaker #3: Hi, sir. Good evening. And thank you for the opportunity. So, my question is regarding the nuclear segment. So in, in this quarter presentation, there's so very little you know, disclosure on the nuclear side.

Speaker #3: So can you elaborate something on that?

Santosh Rai: Shashi, look, as I said earlier also, nuclear sector is being played into two parts. There are projects which are being promoted by government-owned entities. At the same time, there has been a considerable interest in the private sector entities who are examining a lot of new investment opportunities using existing, as well as some new technologies. What I can definitely tell you, we are engaged with all these entities in discussing how HCC can render its services to these developers once the rules and everything is clear. A lot of action is going on, we as a company are actively working with our potential clients. At the same time, we are completing some of our own internal formations, which allows us to take on larger role into this space.

Speaker #1: Shashikanth, look, as I said earlier also, nuclear sector is being played into two parts. There are projects which are being promoted by government-owned entities.

Speaker #1: And at the same time, there has been a considerable interest in the private sector entities who are examining a lot of new investment opportunities using existing as well as some new technologies.

Speaker #1: So what I can definitely tell you, we are engaged with all these entities in discussing how HCC can render its services to these these developers.

Speaker #1: Once, once the rules and everything is clear, a lot of action is going on and, and we are, we as a company are actively working with, with our potential clients.

Speaker #1: At the same time, we are we are, we are completing some of our own internal formations which allows us to take on larger role into this space.

Santosh Rai: You'll hear them as we go ahead because many of these matters are under development at this stage. For sure, a lot of activities are going on.

Speaker #1: Yeah, and you, you'll hear them as we go ahead, because many of these matters are under development at this stage. But for sure, a lot of activities are going on.

Santosh Rai: You'll hear them as we go ahead because many of these matters are under development at this stage. For sure, a lot of activities are going on.

Speaker #3: So, sir, what, what is the reasonable expectation that, that you sense from having your ear on the ground that the rules comes from the government, that will enable us for enable us to engage better?

[Analyst]: sir, what is the reasonable expectation that you sense from having your ear on the ground that the rules come from the Government of India that will enable us to engage better into the segment?

[Analyst 7]: sir, what is the reasonable expectation that you sense from having your ear on the ground that the rules come from the Government of India that will enable us to engage better into the segment?

Speaker #1: I think the industry is hopeful. The industry is hopeful. Maybe by end of this parliament session or the winter session. That's what the expectation is.

Santosh Rai: I think the industry is hopeful. The industry is hopeful maybe by end of this Parliament Session or the Winter Session.

[Analyst]: Okay.

[Analyst 7]: Okay.

Santosh Rai: That's what the expectation is.

Speaker #3: Okay. And what is the reason? I mean, should we expect a significant you know, order in FY28?

[Analyst]: Okay. Should we expect a significant order in FY28?

[Analyst 7]: Okay. Should we expect a significant order in FY28?

Speaker #1: Yeah, yeah, I think yes. Certainly, certainly. Something, yes. Yes, yes, yes. And I'll also add certain thing. I mean, please keep this in mind that when HCC is saying nuclear, for us, this is basically nuclear and industrial sector.

[Company Representative] (Hindustan Construction Company): Yeah.

Santosh Rai: I think yes.

[Company Representative] (Hindustan Construction Company): Certainly.

Santosh Rai: Certainly.

[Company Representative] (Hindustan Construction Company): Something, yes.

Santosh Rai: Yes.

[Company Representative] (Hindustan Construction Company): To your question.

Santosh Rai: Yes. I'll also add certain thing. Please keep this in mind that when HCC is saying nuclear, for us, this is basically nuclear and industrial sector. We are making a lot of inroads even in the industrial sector, wherein we are talking about some process units, process plants, and we are trying to take the capabilities what HCC has with the existing, plus some additional capabilities. We are addressing that sector too, which allows us to be into space like aluminum, steel, and other businesses.

Speaker #1: And we are making, we are making a lot of inroads even in the industrial sector. Wherein we are talking about some process units, process plants, and we are trying to take the capabilities what HCC has.

Speaker #1: With the existing plus some additional capabilities, we are addressing that sector too, which allows us to be into space like aluminium, steel, and other businesses.

Speaker #3: Okay, sir. Okay. Thanks a lot. Thank you.

[Analyst]: Okay, sir. Okay. Thanks a lot. Thank you.

[Analyst 7]: Okay, sir. Okay. Thanks a lot. Thank you.

Speaker #1: Thank you.

Santosh Rai: Thank you.

Speaker #4: Thank you. Mr. Bharat Gupta, please go ahead.

[Company Representative] (Hindustan Construction Company): Thank you. Mr. Bharat Gupta, please go ahead.

Bharat Gupta: Hello, am I audible?

[Analyst 8]: Hello, am I audible?

Speaker #3: Hello. Am I audible?

Speaker #4: Yes, please.

[Company Representative] (Hindustan Construction Company): Yes, please.

Speaker #3: Sir, a couple of questions. So, one is in regard to the arbitration. So, I think we have a sizable amount of receivables outstanding. Can you just provide the expected timelines for monetizing these schemes?

Bharat Gupta: Sir, a couple of questions. One is in regard to the arbitration. I think we have a sizable amount of receivables outstanding. Can you just provide the expected timelines for monetizing these things? With respect to the conversion into cash, how much we anticipate over the next two to three years?

[Analyst 8]: Sir, a couple of questions. One is in regard to the arbitration. I think we have a sizable amount of receivables outstanding. Can you just provide the expected timelines for monetizing these things? With respect to the conversion into cash, how much we anticipate over the next two to three years?

Speaker #3: And with respect to the conversion into cash, how much we anticipate over the next two to three years?

Speaker #2: So, arbitration while arbitration tribunal has given this money decree in our favor naturally, clients have challenged it in court. Now, different, different arbitrations are at different level of court.

[Company Representative] (Hindustan Construction Company): While arbitration tribunal has given this money decree in our favor, naturally, clients have challenged it in court. Now, different arbitrations are at different level of court. We have been realizing some monies on and off, and we will continue to do that. However, out of almost INR 1,700 crores of arbitration awards which are there currently in our favor, if I have to put a timeline by when all of this will get realized, I will say almost three to four years is something we should be able to realize all of the INR 1,700 crores.

Speaker #2: And we have been realizing some money is on and off and will continue to do that. However, out of almost 1,700 crores of arbitration awards which are there currently in our favor, if I have to put a timeline by when all of this will get realized, I'll say almost three to four years is something we are, we should be able to realize all of this 1,700 crores.

Speaker #1: I just, I want to add one more thing. I think that what we are seeing is a lot of positivity within the government and our clients to also settle matters.

Santosh Rai: I want to add one more thing. I think that what we are seeing is a lot of positivity within the government and our clients to also settle matters. Now, that does involve, in some cases, a haircut. You all observed the Vivad Se Vishwas circulars that have come from the Government of India, which have a settlement anywhere between 65% to 85% of the arbitral award amounts. Now, for us, we have to be very thoughtful about when we avail of these opportunities because they imply leaving considerable capital on the table if we have to consider the cash P&L, et cetera, security. The strength of our matter and how far and how mature it is in court.

Speaker #1: Now, that does involve in some cases a haircut. You, you all observe the Vivasi Vishwas circulars that have come from the, the government of India, which have a settlement anywhere between 65 to 85 percent of the arbitral award amounts.

Speaker #1: Now, for us, we have to be very thoughtful about when we avail of these opportunities because they imply leaving considerable capital on the table in if they we have to consider the cash flow P&L, et cetera, security.

Speaker #1: And these and the strength of our matter and how far and how mature it is in court. But, but these are opportunities along the way that we would consider from time to time, depending on the opportunities before us from a growth perspective, the, the value of sort of our equity and so on and so forth.

Santosh Rai: These are opportunities along the way that we would consider from time to time, depending on the opportunities before us from a growth perspective, the value of our equity and so on and so forth. The entire point of actually having approached shareholders in the way we have in this last basically year and a half is that we reward shareholders at the end with some results. Now, ideally speaking, most of these awards and claims

Speaker #1: I mean, the entire point of actually having approached shareholders in, in, in the way we have in this last basically year and a half is that we reward shareholders at the end with some result.

Speaker #1: Now, ideally speaking, most of these awards and claims should have been realized and that capital should have been used for our growth. So, if it's going to be the reverse, then we want to be able to reward our shareholders and the company with the benefit of actually being this patient.

[Company Representative] (Hindustan Construction Company): Should have been realized and that capital should have been used for our growth. If it's going to be the reverse, then we want to be able to reward our shareholders and the company with the benefit of actually being this patient. We are at, depending on the vintage of the matter, fairly in advanced stages in some cases we are in early stages. As Rahul said, broadly speaking, three to four years is a fairly reasonable expectation. I think this is as much information as you can appreciate that we can give you. Yes, it is a material asset on our books and it will basically, certainly, within some reasonable period of time, be monetized.

Santosh Rai: Should have been realized and that capital should have been used for our growth. If it's going to be the reverse, then we want to be able to reward our shareholders and the company with the benefit of actually being this patient. We are at, depending on the vintage of the matter, fairly in advanced stages in some cases we are in early stages. As Rahul said, broadly speaking, three to four years is a fairly reasonable expectation. I think this is as much information as you can appreciate that we can give you. Yes, it is a material asset on our books and it will basically, certainly, within some reasonable period of time, be monetized.

Speaker #1: So, we are at depending on the vintage of the matter, fairly in advanced stages in some. In some cases, we're in an early stages as Rahul said, you know, broadly speaking, three to four years is a fairly reasonable expectation.

Speaker #1: And so, I think this is as much information as you can appreciate that we can give you. But yes, it is a material asset on our books.

Speaker #1: And it will basically certainly within some reasonable period of time be monetized.

Speaker #3: Sure. Really helpful. My second question pertains to the government, like with respect to the rail corridors, high-speed rail corridors, which have, which the government is planning to come up.

Bharat Gupta: Sure. Really helpful. My second question pertains to the government. With respect to the rail corridors, high-speed rail corridors, which the government is planning to come up. How does HCC position itself to participate across these opportunities, and given out your expertise with respect to tunneling, bridges, do you think high-speed rail corridor can become a meaningful contributor to the ordering flows in the next three to five years?

[Analyst 8]: Sure. Really helpful. My second question pertains to the government. With respect to the rail corridors, high-speed rail corridors, which the government is planning to come up. How does HCC position itself to participate across these opportunities, and given out your expertise with respect to tunneling, bridges, do you think high-speed rail corridor can become a meaningful contributor to the ordering flows in the next three to five years?

Speaker #3: So, how does HCC position itself to participate across these opportunities? And given out your expertise with respect to tunneling, bridges, so do you think high-speed rail corridor can become a meaningful contributor to the order in flows in the next three to five years?

Speaker #1: In next three to five years, yes. And I can tell you we, we do have the relevant credentials of elevated metro and other things which are necessary for such projects.

Santosh Rai: In next three to five years, yes. I can tell you, we do have the relevant credentials of elevated metro and other things which are necessary for such projects. Naturally, it will also depend upon the project sizing, the nature of the project. We definitely see that if you are saying a three to five years horizon, this will form a material opportunity pipeline.

Speaker #1: Naturally, it will also depend upon the project sizing, the nature of the project. But we definitely see that if we are saying at three to five years horizon, this will form a material opportunity pipeline.

Speaker #3: Sure. That's it from my side, sir. Thank you so much.

Bharat Gupta: Sure. That's it from my side, sir. Thank you so much.

[Analyst 8]: Sure. That's it from my side, sir. Thank you so much.

Speaker #1: Thank you, Bharat. Thank you.

Santosh Rai: Thank you, Bharat. Thank you.

[Company Representative] (Hindustan Construction Company): Thank you. Darshika. Darshika Khemka, please go ahead. Darshika, are you able to hear us?

Speaker #4: Thank you. Darshika, Darshika Khemka, please go ahead. Darshika, are you able to hear us? Okay. I'll.

Darshika Khemka: Everyone, can you hear me?

[Analyst 9]: Everyone, can you hear me?

Speaker #5: Hello everyone. Can you hear me?

Speaker #4: Yes, yes. Go ahead, please.

[Company Representative] (Hindustan Construction Company): Yes, yes. Go ahead, please.

Speaker #5: Oh, all right. Thank you for this opportunity. I'm actually trying to understand the nuclear opportunity for HCC much better. Both in terms of our TAM and the scope the revenue that we can generate from there.

Darshika Khemka: Oh, all right. Thank you for this opportunity. I'm actually trying to understand the nuclear opportunity for HCC much better, both in terms of our TAM and the revenue that we can generate from there, the kind of margins that we can have, and also the working capital position. What is the kind of investment that will go into this business in total, and how much have we done till now? I'm sorry if you may have answered a part of this question.

[Analyst 9]: Oh, all right. Thank you for this opportunity. I'm actually trying to understand the nuclear opportunity for HCC much better, both in terms of our TAM and the revenue that we can generate from there, the kind of margins that we can have, and also the working capital position. What is the kind of investment that will go into this business in total, and how much have we done till now? I'm sorry if you may have answered a part of this question.

Speaker #5: The kind of margins that we can have and also the working capital position. And what is the kind of investment that will go into this business in total and how much have we done till now?

Speaker #5: I'm sorry if you may have answered a part of this question a little earlier.

Santosh Rai: No, no. Darshika, let's take it at a very broad level.

Speaker #1: No, no. So, so Darshika, I mean, let's take it at a very broad level. Nuclear power plants by nature will cost you somewhere between 18 to 22 crores per megawatt.

Darshika Khemka: Yeah.

[Analyst 9]: Yeah.

Santosh Rai: Nuclear power plants, by nature, will cost you somewhere between 18 to 22 crores per megawatt of what is built.

Speaker #1: Of what is built.

Speaker #5: Okay. Okay.

Speaker #1: Okay? And, and it can in some cases can go even more depending on the type of technology, which is being used for it.

Darshika Khemka: Okay.

[Analyst 9]: Okay.

Santosh Rai: Okay? In some cases, it can go even more, depending on the type of technology which is being used for it.

Speaker #5: Okay.

Darshika Khemka: Okay.

[Analyst 9]: Okay.

Speaker #1: The type of technologies available definitely are PHWR, LWR, VVER, EPR, AP1000, all these technologies are available. And it, it's going to be onto the developers what they choose.

Santosh Rai: The type of technologies available definitely are PHWR, LWR, VVER, EPR, AP1000. All these technologies are available, and it is going to be on to the developers what they choose as a right fit for them. Okay?

Speaker #1: As a right fit for them. Okay?

Speaker #5: Mm-hmm.

Speaker #1: So, if let's, let's take it like this. We are talk the existing capacity is nine gigawatts. Which is, which is planned to be taken to 1,000 gigawatts by 2047.

Santosh Rai: Let's take it like this. The existing capacity is 9 gigawatts, which is planned to be taken to 1,000 gigawatts by 2047, right?

Speaker #1: Right? For, for the sake of calculation purpose, I mean, you can apply your factors that out of this what can happen and that can throw different scenarios.

Darshika Khemka: Right.

[Analyst 9]: Right.

Santosh Rai: For the sake of calculation purpose, you can apply your factors that out of this, what can happen, and that can throw different scenarios. If we take this number, this alone multiplied by the per megawatt cost can give you what is the TAM available.

Speaker #1: But if we take this number, this alone multiplied by, you know, the per megawatt cost can, can give you what is the TAM available.

Darshika Khemka: Perfect.

[Analyst 9]: Perfect.

Speaker #1: Right? Of this TAM, if you ask me, then, then we are, we, we has we have been largely a predominant player into construction of the main plant building.

Santosh Rai: Right? Of this TAM, if you ask me, we have been largely a predominant player into construction of the main plant building and the ancillary plant buildings on the civil side. Some structure and fabrication works. We are teaming up with right kind of entities that we can take little larger scopes also.

Speaker #1: And the ancillary plant buildings on the civil side. And, and some, some structural and fabrication works. We are, we are teaming up with right kind of entities that we can take little larger scopes also.

Speaker #1: Scopes which allows us to be in a better position to deal with private developers when they're looking at one-stop solution. Of course, there are a lot of there are a lot of, you know, inclusions and exclusions into that.

Santosh Rai: Scopes which allows us to be in a better position to deal with private developers when they're looking at one-stop solution. Of course, there are a lot of inclusions and exclusions into that. Some may make some pre-supplies, some may not make some pre-supplies. Margin part I'll not like to comment right now because these projects are, as I said, heavily regulated, and we need to understand what kind of scenarios are before us. They are labor-intensive jobs, and we definitely intend to make margins in a similar line what we intend to make margins on our routine business. Right? That would be our expectation from this.

Speaker #1: Some may make some free supplies, some may not make some free supplies. So, that's how margin part I'll not like to comment right now because, you know, these projects are as I said, heavily regulated and we need to understand what kind of scenarios are before us.

Speaker #1: But they are labor intensive jobs and we definitely intend to make margins in a similar line what we intend to make margins on our routine business.

Speaker #1: Right? That, that, that would be our expectation from the from this. So, the value chain, as you said, we are right now on the civil side, but we definitely see good enough room for us to expand on the adjacencies.

Darshika Khemka: Got it.

[Analyst 9]: Got it.

Santosh Rai: The value chain, as you said, we are right now on the civil side, but we definitely see good enough room for us to expand on the adjacencies.

Speaker #1: Maybe a little more also by teaming up with the right people.

Santosh Rai: Maybe little more also by teaming up with right people.

Speaker #5: Mm-hmm.

Speaker #1: That's what the plan for us is.

Santosh Rai: That's what the plan for us is.

Speaker #5: Got it. And any investment that we have already done for this business? And if you could help us quantify that.

Darshika Khemka: Got it. Any investment that we have already done for this business, and if you could help us quantify that?

[Analyst 9]: Got it. Any investment that we have already done for this business, and if you could help us quantify that?

Santosh Rai: No, you'll appreciate HCC has built almost 55, 60% of the existing power plants.

Speaker #1: No, you will appreciate HCC has built you know, almost 55, 60 percent of the existing power plants.

Speaker #5: Okay.

Darshika Khemka: Okay.

[Analyst 9]: Okay.

Speaker #1: So, we do have considerable in-house knowledge how to deal with that. Yeah. And, and we will, we will expand on the need based.

Santosh Rai: We do have considerable in-house knowledge how to deal with that.

Darshika Khemka: Capability.

[Analyst 9]: Capability.

Santosh Rai: Yeah. We will expand on the need base.

Speaker #5: Got it. Okay. Okay. Thank you so much.

Darshika Khemka: Got it. Okay.

[Analyst 9]: Got it. Okay.

[Company Representative] (Hindustan Construction Company): Thank you.

Darshika Khemka: Thank you so much.

[Analyst 9]: Thank you so much.

Speaker #1: Thank you.

Santosh Rai: Thank you.

[Company Representative] (Hindustan Construction Company): Harish here. Mr. Harish here. Please go ahead.

Speaker #4: Harish here. Mr. Harish here. Please go ahead.

Speaker #6: Hello. Hello, everybody.

[Analyst]: Hello.

[Analyst 10]: Hello.

[Company Representative] (Hindustan Construction Company): Yes, go ahead.

[Company Representative] (Hindustan Construction Company): Am I audible?

[Analyst 10]: Am I audible?

Speaker #4: Yes, sir. Go ahead, please.

[Company Representative] (Hindustan Construction Company): Yes, sir. Go ahead, please.

Speaker #6: Good evening. Thanks for the opportunity. My first question is, in response to your reasoning for the downfall in the margin, that is purely because of the 8,000 crores of order under mobilization where the revenue and the cost has not matching.

[Analyst]: Good evening. Thanks for the opportunity.

[Analyst 10]: Good evening. Thanks for the opportunity.

[Analyst]: My first question is in response to your reasoning for the downfall in the margin. That is purely because of the INR 8,000 crore of orders under mobilization where the revenue and the cost has not matching. That's why the EBITDA is down.

[Analyst 10]: My first question is in response to your reasoning for the downfall in the margin. That is purely because of the INR 8,000 crore of orders under mobilization where the revenue and the cost has not matching. That's why the EBITDA is down.

Speaker #6: That's why the, the, the EBITDA is down. So, my question is in two parts. Whether what is the amount quantifiable that or is there any accounting treatment available which we can keep this money into the inventory till the proper revenue is booked from that project?

[Company Representative] (Hindustan Construction Company): Sure.

[Analyst]: My question is in two parts, whether what is the amount quantifiable that, or is there any accounting treatment available by which we can keep this money into the inventory till the proper revenue is booked from that project?

[Analyst 10]: My question is in two parts, whether what is the amount quantifiable that, or is there any accounting treatment available by which we can keep this money into the inventory till the proper revenue is booked from that project?

Speaker #5: So, these specific accounting

[Company Representative] (Hindustan Construction Company): These specific accounting related things we can discuss separately, Harish. I think this is

Speaker #6: related things we can discuss separately, Harish. I think this is. Okay. Okay. Forum for this. We can take your ideas separately. But yes, first part, you have mentioned correctly.

[Analyst]: Okay.

[Analyst 10]: Okay.

[Company Representative] (Hindustan Construction Company): Forum for this. We can take your ideas separately.

[Analyst]: Okay.

[Analyst 10]: Okay.

[Company Representative] (Hindustan Construction Company): Yeah, first part you have mentioned correctly. Look, I think the point is that we continue to maintain the fundamental guidance that our margins are, on average across the year, will continue to be within the mid-teens. You will see in some cases, depending on the mix, the kind of projects we're executing, EPC versus item rate, milestones have been met or not, in certain cases they get mobilized or not. You will see in some quarters, you will see a below average margin. I mean, in most quarters in the past, for example, you've noticed 15% to 18%. Now, when we've achieved an 18% margin in the past, we've not certainly told you that that is something that is on average what we are going to do. Just commensurate to that, there will be certain quarters where you will basically see something below average.

Speaker #6: But, but look, I think the, the point is that we, we continue to maintain the fundamental guidance that our margins on average across the year will continue to be sort of in the mid-teens.

Speaker #6: You will see in some cases, depending on the mix, the kind of projects we're executing, EPC versus item rate, milestones have been met or not in certain cases in the case of the mobilization or not.

Speaker #6: You will see in some below average margin. I mean, in most quarters in the past, for example, you've noticed 15 to 18 percent. Now, when we've achieved an 18 percent margin in the past, we've not certainly told you that that is something that we are going to do.

Speaker #6: So, just commensurate to that, there will be certain quarters where you will basically see something below average. So, I think that's the simple explanation we can give at this point.

[Company Representative] (Hindustan Construction Company): I think that's the simpler explanation we can give at this point. Very, very happy to basically hear whatever suggestions you have to the finance team.

Speaker #6: But very, very happy to basically hear whatever suggestions you have to the, to the finance team as well. Okay. Okay. My second question is, in the last conference call, we talked about the fund mobilization to the extent of six 600 crores.

[Analyst]: Okay. My second question is, in your last conference call, we talked about the fund mobilization to the extent of INR 600 crores by upright or any other means of that thing. Any update on that?

[Analyst 10]: Okay. My second question is, in your last conference call, we talked about the fund mobilization to the extent of INR 600 crores by upright or any other means of that thing. Any update on that?

Speaker #6: By our right or any other means of that thing. Any update on that? So, we have taken approval from board for that. Okay. However, we have not yet decided about doing that.

[Company Representative] (Hindustan Construction Company): We have taken approval from board for that. However, we have not yet decided about doing that, and we'll come back at the right time, depending on our growth capital requirement and the new order intake. We will take a call accordingly.

Speaker #6: And we'll come back at the right time depending on our growth capital requirement. And a new order intake. So, we will take a call accordingly.

Speaker #6: Okay. Then there's no further question. But my suggestion, why I asked my first question is because, you know, the market react very negatively to the down in the EBITDA margin.

[Analyst]: Okay. There is no further question. My suggestion, why I asked my first question is because the market react very negatively to the down in the EBITDA margin. Some way of some explanation or note to the account would have helped the larger investors rather than only people who are joining the call. Thank you. Thank you, and all the best.

[Analyst 10]: Okay. There is no further question. My suggestion, why I asked my first question is because the market react very negatively to the down in the EBITDA margin. Some way of some explanation or note to the account would have helped the larger investors rather than only people who are joining the call. Thank you. Thank you, and all the best.

Speaker #6: So, some, some way of some explanation or note to the account would have helped the larger investor rather than only people who are joining the call.

Speaker #6: Thank you. Thank you and all the best.

Speaker #4: Thank you. Mr. Abhishek Lekha. Mr. Abhishek? Please go ahead.

[Company Representative] (Hindustan Construction Company): My pleasure.

Santosh Rai: Thank you. Mr. Abhishek Lekha. Mr. Abhishek?

Speaker #6: Yes. Yes. Thank you for the opportunity. Yes, the order book has not been to the extent that we expected. And that is one part.

Abhishek Lekha: Yes.

[Analyst 11]: Yes.

Santosh Rai: Please go ahead.

Abhishek Lekha: Yeah. Thank you for the opportunity. Yes, the order book has not been to the extent that we expected, that is one part. One other part is I keep writing to investor relations, though it's not connected to the quarterly call, but I hardly get any reward whatsoever.

[Analyst 11]: Yeah. Thank you for the opportunity. Yes, the order book has not been to the extent that we expected, that is one part. One other part is I keep writing to investor relations, though it's not connected to the quarterly call, but I hardly get any reward whatsoever.

Speaker #6: And one another part is my keep writing to investor relations though it's not connected to the quarterly call. But, but I hardly get any reward whatsoever.

Santosh Rai: Sorry

Speaker #7: Sorry.

Speaker #6: Okay. We will look into it. He is mentioning that he writes to investor relations, but he has not got response.

[Company Representative] (Hindustan Construction Company): Okay. We will look into it. He's mentioning that he writes to investor relations, but he has not got response.

Abhishek Lekha: Oh, okay.

[Analyst 11]: Oh, okay.

Speaker #7: Oh, okay.

Speaker #6: We'll look into it, Abhishek. Yeah. Thank you. And, and, and we will the order run rate and order booking, this has to be like on a anything on Middle East are probably you are expecting some order flow from there or expanding to the, the that area because L&T is getting a lot of orders there.

[Company Representative] (Hindustan Construction Company): We'll look into it, Abhishek.

Abhishek Lekha: Yeah. Thank you. The order run rate and order booking, anything on Middle East that probably, you are expecting some order flow from there or expanding to that area because L&T is getting a lot of orders there. What's your take on that?

[Analyst 11]: Yeah. Thank you. The order run rate and order booking, anything on Middle East that probably, you are expecting some order flow from there or expanding to that area because L&T is getting a lot of orders there. What's your take on that?

Speaker #6: So, what's your take on that?

Santosh Rai: Abhishek, we are, I can say, very selectively focused on some regions.

Speaker #1: Abhishek, we are, we are, we are I can say very selectively focused on some regions.

Speaker #6: Mm-hmm.

Speaker #1: But, but our, our 90 percent focus is on India.

Santosh Rai: Our 90% focus is on India.

Speaker #6: Mm-hmm.

Speaker #1: Yeah. And we, we, we don't have any, any current pipeline in that region.

Santosh Rai: Yeah. We don't have any current pipeline in that region.

Speaker #6: Okay. No issues. But, but in, in India also specifically, we would like the, the HCC has a such a long legacy and such a brand, such a, such a history.

Abhishek Lekha: No issues. In India also specifically, we would like HCC has such a long legacy and such a brand, such a history. Now, financials have been repaired completely, almost done now.

[Analyst 11]: No issues. In India also specifically, we would like HCC has such a long legacy and such a brand, such a history. Now, financials have been repaired completely, almost done now.

Speaker #6: But, but now if financials have been repaired completely, almost done now. So, we would like more of like the consistency to return in terms of order booking and, and some, some which gives more confidence into the sales revenue booking, something like that.

Santosh Rai: Right.

Abhishek Lekha: We would like more of the consistency to return in terms of order booking and some which gives more confidence into the sales revenue booking, something like that.

[Analyst 11]: We would like more of the consistency to return in terms of order booking and some which gives more confidence into the sales revenue booking, something like that.

Speaker #1: Absolutely. I mean, I'm well appreciated. And I think that's what we are working on.

Santosh Rai: Absolutely. I mean, I well appreciate it, and I think that's what we are working on.

Speaker #6: Yeah. Please. Thank you so much. And please do take the suggestion of my reverse to start coming in. Thank you so much.

Abhishek Lekha: Yeah. Please. Thank you so much, and please do take the suggestion of my rewards to start coming in.

[Analyst 11]: Yeah. Please. Thank you so much, and please do take the suggestion of my rewards to start coming in.

Santosh Rai: All right.

Abhishek Lekha: Thank you so much.

[Analyst 11]: Thank you so much.

Speaker #1: Thank you.

Santosh Rai: Thank you. Thank you. Any more questions?

Speaker #4: Thank you. Any more questions?

Antariksh Paul: I had a query that is HCC interested in working with wind turbines in the future, like wind energy.

[Analyst 11]: I had a query that is HCC interested in working with wind turbines in the future, like wind energy.

Speaker #5: I had a query that is HCC interested in working with like wind turbines in the future, like wind energy.

Santosh Rai: Antariksh, that's a very interesting question, but actually it I will say on land, no. In marine, we will have to examine that.

Speaker #1: Anthrex, that's a very interesting question. But actually, it you know, I will say on land, no in marine we will have to examine that.

Antariksh Paul: All right. Fine.

[Analyst 11]: All right. Fine.

Speaker #5: All right. Fine.

Speaker #1: Thank you.

Santosh Rai: Thank you. Thank you. Mr. Rajesh Bhandari, please go ahead. Mr. Bhandari? Souvik, I think, it is inadvertently that his hand is raised there. That's not been put down. Okay.

Speaker #4: Thank you. Mr. Rajesh Bhandari, please go ahead. Mr. Bhandari?

Speaker #1: Shobik, I think you know, it is inadvertently his hand is raised there. That's not been put down.

Speaker #4: Okay. Okay.

Speaker #6: Hello. Hello.

Rajesh Bhandari: Hello? Hello?

[Analyst 12]: Hello? Hello?

Speaker #4: Yes, Mr. Bhandari. Go ahead, please.

Santosh Rai: Yes, Mr. Bhandari. Go ahead, please.

Speaker #6: Yeah. Can you hear me, sir? Yeah. You just mentioned that by 2047, we will be having about 1,000 10,000 giga 1,000 gigawatt of nuclear power.

Rajesh Bhandari: Yeah. Can you hear me, sir? Yeah, you just mentioned that by 2047, we will be having about 1,000 gigawatt of nuclear power.

[Analyst 12]: Yeah. Can you hear me, sir? Yeah, you just mentioned that by 2047, we will be having about 1,000 gigawatt of nuclear power.

Speaker #1: Rajesh ji, no. The government of India's plan is to take the nuclear power to 100 gigawatt. Right now, it is.

Santosh Rai: Rajesh Ji, no. The Government of India's plan is to take the nuclear power to 100 gigawatt. Right now it is.

Rajesh Bhandari: 100. Okay. 100 gigawatt.

[Analyst 12]: 100. Okay. 100 gigawatt.

Speaker #6: Okay. Okay. 100 gigawatt.

Speaker #1: Gee, right now it is 9 gigawatt.

Santosh Rai: Right now it is nine. Ji, right now it is nine gigawatt.

Speaker #6: Okay. So, 100 gigawatt means it will be in 20 years. If we take, it is going to be about 1 lakh crore per year on an average.

Rajesh Bhandari: Okay. 100 gigawatt means it will be in 20 years. If we take, it is going to be about INR 1 lakh crore per year on an average. As you mentioned that it is INR 20 to 22 crore per megawatt.

[Analyst 12]: Okay. 100 gigawatt means it will be in 20 years. If we take, it is going to be about INR 1 lakh crore per year on an average. As you mentioned that it is INR 20 to 22 crore per megawatt.

Speaker #6: As you mentioned that it is 20 to 22 crore per megawatt.

Speaker #1: Absolutely. It's a big business.

Santosh Rai: Absolutely. It's a big business.

Speaker #6: Yeah. It's a big yeah, yeah. That's what? Because and for HCC, it is going to be a very big business if we see it from that longer point of view.

Rajesh Bhandari: Yeah. That's what. For HCC, it is going to be a very big business if we see it from that longer point of view.

[Analyst 12]: Yeah. That's what. For HCC, it is going to be a very big business if we see it from that longer point of view.

Speaker #1: बिलकुल. बिलकुल.

Santosh Rai: Bilkul.

Speaker #6: अच्छा, सर, दूसरा, this railways planning, that from port to the terminal, from port to the terminal, there will be hyperloops. That is, they need not go through that material to the railway siding and all that.

Rajesh Bhandari: Sir, second, this railway is planning that from port to the terminal, there will be hyperloops. That is, they need not go through that material to the railway siding and all that. There will be hyperloops with very high speed of the transportation system, and it will be all done through tunneling.

[Analyst 12]: Sir, second, this railway is planning that from port to the terminal, there will be hyperloops. That is, they need not go through that material to the railway siding and all that. There will be hyperloops with very high speed of the transportation system, and it will be all done through tunneling.

Speaker #6: There will be hyperloops with very high speed of the transportation system. And it will be all done through tunneling.

Santosh Rai: Rajesh Ji, I think to be honest, that's something in a very concept stage, and we can't comment about it on this stage. We really don't.

Speaker #1: Rajesh ji, that's I think, to be honest, that's something in a very, very concept stage. And we can't comment about it on this stage.

Speaker #1: We, we really don't yeah, yeah, yeah.

Rajesh Bhandari: अच्छा.

[Analyst 12]: अच्छा.

Santosh Rai: Yeah.

Speaker #6: Gee, gee. और सर, ये जो आपने बताया कि जैसे अपना 1,700 करोड़ का डेट है, जो आर्बिट्रेशन में है और जो अपने को मिलने का चांस है, that, that total amount once we get, maybe next two to three years, तो अपना जो डेट है, उसके अंदर में सारा क्लियर हो सकता है, सर?

Rajesh Bhandari: Ji. Sir, this that you told us, like we have a debt of INR 1,700 crore, which is in arbitration and which we have a chance of getting.

[Analyst 12]: Ji. Sir, this that you told us, like we have a debt of INR 1,700 crore, which is in arbitration and which we have a chance of getting.

Santosh Rai: Yes. Award.

Rajesh Bhandari: That total amount, once we get maybe in next two to three years, can our entire debt be cleared, sir?

[Analyst 12]: That total amount, once we get maybe in next two to three years, can our entire debt be cleared, sir?

Speaker #1: Of course हो सकता है। उसके बिना ही हम कर देंगे. That's why the plan is. We don't have to just change our hopes on that.

Santosh Rai: Of course it can. We will do it without that. That's what the plan is. We don't have to just hang our hopes on that. Yes, when it comes.

Speaker #1: But yes, when it comes, that will.

Speaker #6: In fact, it is it is more likely I think the conservative answer to give is that while these assets can completely basically match in, in, in those liabilities, the coming of those asset realizations, like we've said in a previous answer, could be three to four years.

[Company Representative] (Hindustan Construction Company): In fact, it is more likely.

Rajesh Bhandari: Yeah.

[Analyst 12]: Yeah.

[Company Representative] (Hindustan Construction Company): I think the conservative answer to give is that while these assets can completely basically mesh in those liabilities, the coming of those asset realizations, like we've said in a previous answer, could be three to four years.

Speaker #6: Before that, in any case, we will be looking to prepay the debt. And so, I certainly expect one way or the other, within this timeline for HCC to be largely debt-free.

[Company Representative] (Hindustan Construction Company): Before that, in any case, we will be looking to prepay the debt. So, I certainly expect one way or the other within this timeline for HCC to be largely debt-free.

Rajesh Bhandari: Oh, अच्छा. What is our total debt now, sir?

[Analyst 12]: Oh, अच्छा. What is our total debt now, sir?

Speaker #6: अपना कितना डेट है, सर, अभी टोटल? 2,000 crores.

Speaker #4: 2,000 crore. Okay. ठीक है, सर. मेरा इतना ही क्वेश्चन था.

[Company Representative] (Hindustan Construction Company): INR 2,000 crores.

Rajesh Bhandari: INR 2,000 crore. Okay. ठीक है, sir. That was my only question.

[Analyst 12]: INR 2,000 crore. Okay. ठीक है, sir. That was my only question.

Speaker #1: Thank you, Rajesh ji. Thank you.

Santosh Rai: Thank you, Rajesh Ji. Thank you.

Speaker #4: Thank you, सर. Thank you very much. Thank you.

Rajesh Bhandari: Thank you, sir. Thank you very much.

[Analyst 12]: Thank you, sir. Thank you very much.

Santosh Rai: Thank you.

Speaker #6: Bye.

Rajesh Bhandari: Bye.

[Analyst 12]: Bye.

Speaker #1: Bye.

Santosh Rai: Bye.

Speaker #4: I believe there are no further questions.

[Company Representative] (Hindustan Construction Company): I believe there are no further questions.

Speaker #6: There is one question, if I may ask.

[Analyst]: There is one question, if I may ask.

[Analyst 13]: There is one question, if I may ask.

Speaker #4: Yeah, go ahead, please.

[Company Representative] (Hindustan Construction Company): Yeah, go ahead, please.

Speaker #6: Yeah. Yeah. So, we have transferred some awards to our one subsidiary that is HCC Contact Solution of around 2,000 crore. So, is there any we can say planning to reduce stake and reduce bank guarantee in this entity as we done in prolific?

[Analyst]: We have transferred some awards to our one subsidiary that is HCC Concessions of around INR 2,000 crore. Is there any, we can say, planning to reduce stake and reduce bank guarantee in this entity as we've done in Prolific?

[Analyst 13]: We have transferred some awards to our one subsidiary that is HCC Concessions of around INR 2,000 crore. Is there any, we can say, planning to reduce stake and reduce bank guarantee in this entity as we've done in Prolific?

Speaker #1: Yes, please.

Santosh Rai: Yes, please.

[Company Representative] (Hindustan Construction Company): See, transfer, that's a wholly owned subsidiary. Right?

Speaker #6: So, see. Transferred. That's the wholly owned subsidiary. Right?

[Company Representative] (Hindustan Construction Company): See, transfer, that's a wholly owned subsidiary. Right?

Speaker #1: Yes.

Speaker #6: Whatever award is being transferred, those, those continuity with our award, there is no debt in that entity. There is no a such no liability in that entity.

[Analyst]: Yes.

[Company Representative] (Hindustan Construction Company): Whatever award is being transferred, those continuity with our award, there is no debt in that entity, there is no liability in that entity.

[Analyst 13]: Yes.

Speaker #6: So. Only reason for transferring those award is there to have clear focus with regard to realizing and settling those awards, rather than those awards continuing to be there in HCC books and your received balance sheet numbers looking much bigger.

[Analyst]: Okay.

[Analyst 13]: Okay.

[Company Representative] (Hindustan Construction Company): The only reason for transferring those award is there to have clear focus with regard to realizing and settling those awards, rather than those awards continuing to be there in HCC books and your received balance sheet numbers looking much bigger. Other than that, there is no reason for that. Not really to be giving too much of importance there.

Speaker #6: Other than that, there is no reason for that. So, I mean, not really to be given too much of importance there. That's it.

[Analyst]: Okay. Thank you. That's it.

[Analyst 13]: Okay. Thank you. That's it.

Speaker #4: Thank you, Mr. Agarwal. With that, we would like to, you know, end this call. Thank you again for joining us.

[Company Representative] (Hindustan Construction Company): Thank you, Mr. Agrawal. With that, we would like to end this call. Thank you again for joining us.

Santosh Rai: Thank you, everyone. Thank you.

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Q1 2027 Hindustan Construction Co Ltd Earnings Call

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