Q1 2027 KP Energy Ltd Earnings Call

August 12, 2026

Speaker #2: Ladies and gentlemen, good day and welcome to the KP Energy Limited Q1 FY27 earnings conference call. As a reminder, all participant lines will be in listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes.

Operator 2: Ladies and gentlemen, good day, and welcome to the KP Energy Limited Q1 FY27 earnings conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on a touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Harsh Patel from Share India. Thank you, and over to you, sir.

Operator: Ladies and gentlemen, good day, and welcome to the KP Energy Limited Q1 FY27 Earnings Conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on a touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Harsh Patel from Share India. Thank you, and over to you, sir.

Speaker #2: Should you need assistance during this conference call, please signal an operator by pressing star, then zero, on your touchscreen phone. Please note that this conference is being recorded.

Speaker #2: I now hand the conference over to Mr. Harish Patel from Share India. Thank you, and over to you, sir.

Speaker #3: Thank you, and good afternoon, everyone. I would like to congratulate management on a decent set of numbers on behalf of Share India Securities. I welcome you all to the Q1 FY27 earnings conference call of KP Energy.

Moderator: Thank you, and good afternoon, everyone. I would like to congratulate management on the recent set of numbers. On behalf of Share India Securities, I welcome you all for Q1 FY27 earnings conference call of KP Energy. We are pleased to have with us the management team represented by Mr. Affan Faruk Patel, Whole-Time Director, Ms. Shabana Belim, Chief Financial Officer, Dr. Alok Das, Group CEO, Mr. Vinod Jain from IR team. We will have the opening remarks from the management, followed by Q&A session. Thank you, and over to you, Vinod.

Harsh Patel: Thank you, and good afternoon, everyone. I would like to congratulate management on the recent set of numbers. On behalf of Share India Securities, I welcome you all for Q1 FY27 earnings conference call of KP Energy. We are pleased to have with us the management team represented by Mr. Affan Faruk Patel, Whole-Time Director, Ms. Shabana Belim, Chief Financial Officer, Dr. Alok Das, Group CEO, Mr. Vinod Jain from IR team. We will have the opening remarks from the management, followed by Q&A session. Thank you, and over to you, Vinod.

Speaker #3: We are pleased to have with us the management team, represented by Mr. Afan Farooq Patel, Full-Time Director; Ms. Savana Billing, Chief Financial Officer; Dr. Alok Das, Group CEO; and Mr. Vinod Jain from the IR team.

Speaker #3: We will have opening remarks from the management, followed by a Q&A session. Thank you, and over to you, Vinod.

Speaker #4: Thank you, Harsh. Good afternoon, everyone. Myself, Vinod Jain, Head of Investor Relations at KP Energy. On behalf of the management team, I would like to extend a very warm welcome to all of our investors, analysts, stakeholders, and other participants for today's Q1 FY27 earnings call, and thank you for your continued interest and support.

Vinod Jain: Thank you, Harsh. Good afternoon, everyone. Myself, Vinod Jain, Head of Investor Relations at KP Energy. On behalf of management team, I would like to extend a very warm welcome to all of our investor, analysts, stakeholder and other participants for today's Q1 FY27 earnings call and for your continued interest and support. Joining on call today are Mr. Affan Patel, Whole-Time Director, Dr. Alok Das, Group CEO, Ms. Shabana Belim, CFO, and our incoming Group CFO, Mr. Kapil Kriplani. I would like to briefly touch upon two important leadership development during this quarter. We are delighted to welcome Professor Sunil Kumar Maheshwari as Vice-Chairman. He carries four decades of experience across strategy, governance, business transformations, and organization leadership, thereby further extending the depth and capability of our board as we enter the next phase of growth.

Speaker #4: Joining our call today are Mr. Afan Patel, Full-Time Director; Dr. Alok Das, Group CEO; Ms. Savana Billing, CFO; and our incoming Group CFO, Mr. Kapil Kriplanis.

Speaker #4: We are delighted. I would like to briefly touch upon two important leadership developments during this quarter. We are delighted to welcome Professor Sunil Mysuri as Vice Chairman.

Speaker #4: He carries four decades of experience across strategic governance, business transformations, and organizational leadership, thereby further extending the depth and capability of our board. As we enter the next phase of growth, he has advised organizations across power, energy, infrastructure, banking, and healthcare on strategic transformation, leadership development, organizational effectiveness, and governance.

Vinod Jain: He has advised organizations across power, energy, infra, banking, healthcare on strategic transformation, leadership development, organizational effectiveness, and governance. We are also pleased to welcome Mr. Kapil Kriplani as our incoming Group CFO. His extensive experience in finance, capital market, and strategic growth initiative will be a valuable addition as we continue to scale the business and strengthen our institutional platform. Please note that company has published its results and already uploaded the investor presentation yesterday. I trust all of you have opportunity to review the same. Before we begin, I would like to remind everyone that certain statements made during this call may be forward-looking in nature. Such forward-looking statements are subject to risks and uncertainties, which may cause actual results to differ from those anticipated.

Speaker #4: We are also pleased to welcome Mr. Kapil Kriplani as our incoming Group CFO. His extensive experience in finance, capital markets, and strategic growth initiatives will be a valuable addition as we continue to scale the business and strengthen our institutional platform.

Speaker #4: Please note that the company has published its results and already uploaded the investor presentation yesterday. I trust all of you have had the opportunity to review the same.

Speaker #4: Before we begin, I would like to remind everyone that statements made during this call may be forward-looking in nature. Such forward-looking statements are subject to risk and uncertainty, which may cause actual results to differ from those anticipated.

Speaker #4: While these statements are based on management's current beliefs and assumptions, investors are cautioned not to place undue reliance on them when making their investment decisions.

Vinod Jain: While these statements are based on management's current beliefs and assumptions, investors are cautioned not to place undue reliance on them while making their investment decisions. With that, I now hand over the call to Mr. Affan Patel, our Whole-Time Director, for his opening remarks. Thank you, and over to Mr. Affan.

Speaker #4: With that, I now hand over the call to Mr. Afan Patel, our all-time director, for his opening remarks. Thank you, and over to Mr. Afan.

Speaker #3: Thank you, Vinod ji. Good afternoon, everyone. On behalf of KP Energy, I would like to thank all our investors, analysts, and stakeholders for joining us today.

Affan Patel: Thank you, Vinod Jain. Good afternoon, everyone. On behalf of KP Energy, I would like to thank all our investors, analysts, and stakeholders for joining us today. I would like to begin by putting our performance in the context of the larger opportunities we see in India renewable energy sector. India's energy transition is no longer just about adding renewable capacity. It is increasingly about building the ecosystem required to support that capacity. With the country progressing towards its 2030 target, we see significant opportunity across wind, hybrid project, transmission, evacuation infrastructure, and O&M. Wind, in particular, has an important role to play in complementing solar and supporting a more balanced renewable generation profile. We believe the next phase of growth will be increasingly execution-led, and this is where KP Energy sees a strong competitive advantage.

Affan Faruk Patel: Thank you, Vinod Jain. Good afternoon, everyone. On behalf of KP Energy, I would like to thank all our investors, analysts, and stakeholders for joining us today. I would like to begin by putting our performance in the context of the larger opportunities we see in India renewable energy sector. India's energy transition is no longer just about adding renewable capacity. It is increasingly about building the ecosystem required to support that capacity. With the country progressing towards its 2030 target, we see significant opportunity across wind, hybrid project, transmission, evacuation infrastructure, and O&M. Wind, in particular, has an important role to play in complementing solar and supporting a more balanced renewable generation profile. We believe the next phase of growth will be increasingly execution-led, and this is where KP Energy sees a strong competitive advantage.

Speaker #3: I would like to begin by putting our performance in the context of the larger opportunity we see in India: the renewable energy sector. India's energy transition is no longer just about adding renewable capacity.

Speaker #3: It is increasingly about building the ecosystem required to support that capacity. With the country progressing toward its 2030 target, we see significant opportunity across wind, hybrid projects, transmission, evacuation infrastructure, and O&M.

Speaker #3: Wind, in particular, has an important role to play in complementing solar and supporting a more balanced renewable generation profile. We believe the next phase of growth will be increasingly execution-led.

Speaker #3: And this is where KP Energy sees a strong competitive advantage. At KP Energy, we have built capabilities across the project lifecycle, from development and balance of plant execution to evacuation infrastructure commissioning and O&M.

Affan Patel: At KP Energy, we have built capabilities across the project life cycle, from development and balance of plant execution to evacuation infrastructure, commissioning, and O&M. Our current order book of 2.16 gigawatts, valued at over INR 2,250 crores, provides us with strong revenue visibility. For us, the opportunity is not simply about securing orders. It is about converting those orders into commissioned asset efficiently and on time. Our recent commissioning experience, including the 50.4 megawatt Vanki wind project in Kutch in July 2026, is another demonstration of our execution capabilities. Coming to Q1 financial year 2027, we delivered consolidated total income of approximately INR 520 crores, reflecting strong year-on-year growth. We have seen some moderation in margins compared with certain earlier quarters.

Affan Faruk Patel: At KP Energy, we have built capabilities across the project life cycle, from development and balance of plant execution to evacuation infrastructure, commissioning, and O&M. Our current order book of 2.16 gigawatts, valued at over INR 2,250 crores, provides us with strong revenue visibility. For us, the opportunity is not simply about securing orders. It is about converting those orders into commissioned asset efficiently and on time. Our recent commissioning experience, including the 50.4 megawatt Vanki wind project in Kutch in July 2026, is another demonstration of our execution capabilities. Coming to Q1 financial year 2027, we delivered consolidated total income of approximately INR 520 crores, reflecting strong year-on-year growth. We have seen some moderation in margins compared with certain earlier quarters.

Speaker #3: Our current order book of 2.16 gigawatts, valued at over ₹2,250 crore, provides us with strong revenue visibility. For us, the opportunity is not simply about securing orders.

Speaker #3: It is about converting those orders into commissioned assets efficiently and on time. Our recent commissioning experience, including the 50.4-megawatt Wacky Wind project in Kutch in July 2026, is another demonstration of our execution capabilities.

Speaker #3: Coming to Q1 of financial year 2027, we delivered consolidated total income of approximately $520 crore, reflecting strong year-on-year growth. We have seen some moderation in margins compared with certain earlier quarters.

Speaker #3: This is something we are conscious about, but we believe it is important to look at this in the context of the scale and stage of execution.

Affan Patel: This is something we are conscious about, but we believe it is important to look at this in context of the scale and stage of execution, project mix, and the operating environment. Our priority is to execute project well, control cost, improve predictability, and deliver sustainable return over the project cycle. We remain confident that as execution efficiency improves and the project mix evolves, the scope for growth is tremendous. There is one area where we remain watchful, the pace of grid and transmission infrastructure development. As renewable capacity grows rapidly, evacuation and transmission infrastructure needs to keep pace. However, we see this more as a timing challenge rather than a structural concern. What gives us comfort is our strong order book. We have adequate execution visibility while the broader grid infrastructure continues to stabilize and expand.

Affan Faruk Patel: This is something we are conscious about, but we believe it is important to look at this in context of the scale and stage of execution, project mix, and the operating environment. Our priority is to execute project well, control cost, improve predictability, and deliver sustainable return over the project cycle. We remain confident that as execution efficiency improves and the project mix evolves, the scope for growth is tremendous. There is one area where we remain watchful, the pace of grid and transmission infrastructure development. As renewable capacity grows rapidly, evacuation and transmission infrastructure needs to keep pace. However, we see this more as a timing challenge rather than a structural concern. What gives us comfort is our strong order book. We have adequate execution visibility while the broader grid infrastructure continues to stabilize and expand.

Speaker #3: Project mix and the operating environment. Our priority is to execute projects well, control costs, improve predictability, and deliver sustainable return over the project cycle.

Speaker #3: We remain confident that, as execution efficiency improves and the project mix evolves, the scope for growth is tremendous. There is one area where we remain watchful: the pace of grid and transmission infrastructure development.

Speaker #3: As renewable capacity grows rapidly, evacuation and transmission infrastructure need to keep pace. However, we see this more as a timing challenge rather than a structural concern.

Speaker #3: What gives us comfort is our strong order book. We have adequate execution visibility while the broader grid infrastructure continues to stabilize and expand. This allows us to sequence our projects appropriately and remain productive without being overly dependent on the commissioning timeline of any single project.

Affan Patel: This allows us to sequence our project appropriately and remain productive without being overly dependent on the commissioning timeline of any single project. In fact, we believe a strong order book at this stage of the industry cycle is a strategic advantage. Our confidence in the future comes from three things: industry growth, order book visibility, and execution capability. We also see meaningful long-term potential in our upcoming IPP of 200 plus megawatts and O&M businesses, which can progressively add recurring and annuity-like revenue streams to the business. As the renewable ecosystem evolves, we believe companies with strong execution capabilities, project management experience, and the ability to operate across the value chain will be best positioned to benefit. Our focus for financial year 2027 remains clear. Execute the existing order book and quality opportunity, improve execution efficiency, and progressively strengthen our recurring businesses.

Affan Faruk Patel: This allows us to sequence our project appropriately and remain productive without being overly dependent on the commissioning timeline of any single project. In fact, we believe a strong order book at this stage of the industry cycle is a strategic advantage. Our confidence in the future comes from three things: industry growth, order book visibility, and execution capability. We also see meaningful long-term potential in our upcoming IPP of 200 plus megawatts and O&M businesses, which can progressively add recurring and annuity-like revenue streams to the business. As the renewable ecosystem evolves, we believe companies with strong execution capabilities, project management experience, and the ability to operate across the value chain will be best positioned to benefit. Our focus for financial year 2027 remains clear.

Speaker #3: In fact, we believe a strong order book at this stage of the industry cycle is a strategic advantage. Our confidence in the future comes from three things.

Speaker #3: Industry growth, order book visibility, and execution capability. We also see meaningful long-term potential in our upcoming IPP of 200-plus megawatts and O&M businesses.

Speaker #3: This can progressively add recurring and annuity-like revenue streams to the business. As the renewable ecosystem evolves, we believe companies with strong execution capabilities, project management experience, and the ability to operate across the value chain will be best positioned to benefit.

Speaker #3: Our focus for financial year '27 remains clear: execute the existing order book and quality opportunities, improve execution efficiency, and progressively strengthen our recurring businesses.

Affan Faruk Patel: Execute the existing order book and quality opportunity, improve execution efficiency, and progressively strengthen our recurring businesses. To conclude, while we remain watchful about near-term challenges, our conviction in the long-term opportunities remains strong. Our confidence is not based only on the growth of the renewable sector. It is based on the order book we have built, the project we are executing, and execution capabilities we have developed over the years. We remain committed to creating sustainable value for our stakeholder and to playing a meaningful role in India's renewable energy journey. Thank you. Over to you, Vinod.

Speaker #3: To conclude, while we remain watchful about near-term challenges, our conviction in the long-term opportunities remains strong. Our confidence is not based solely on the growth of the renewable sector.

Affan Patel: To conclude, while we remain watchful about near-term challenges, our conviction in the long-term opportunities remains strong. Our confidence is not based only on the growth of the renewable sector. It is based on the order book we have built, the project we are executing, and execution capabilities we have developed over the years. We remain committed to creating sustainable value for our stakeholder and to playing a meaningful role in India's renewable energy journey. Thank you. Over to you, Vinod.

Speaker #3: It is based on the order book we have built, the projects we are executing, and the execution capabilities we have developed over the years. We remain committed to creating sustainable value for our stakeholders and to playing a meaningful role in India's renewable energy journey.

Speaker #3: Thank you. Over to you.

Speaker #4: Yeah. Thank you, Mr. Afan Patel. I will now request Ms. Sabana Belim to talk about the financial and other performance.

Vinod Jain: Thank you, Mr. Affan Patel. I will now request, Ms. Shabana Belim to talk about the financial and other performance.

Speaker #5: Thank you, Vinod ji. Good afternoon, ladies and gentlemen. On behalf of the Board of Directors and the entire KP family, I extend a very warm welcome to our Q1 FY27 earnings conference call.

Shabana Belim: Thank you, Mr. Vinod Jain. Good afternoon, ladies and gentlemen. On behalf of the board of directors and the entire KP family, I extend a very warm welcome to our Q1 FY27 earnings conference call. I, Ms. Shabana Belim, CFO at KP Energy Limited, thank you for joining us today and for your continued confidence and support. I will quickly take you through our Q1 FY27 financial performance, the factors that impacted profitability during the quarter, and importantly, why we remain confident about the underlying growth and long-term potential of the company. Let me begin by saying that Q1 FY27 was a quarter of very strong execution and revenue growth, but also one that tested our ability to manage an exceptionally challenging cost and operating environment. The renewable energy opportunity in India remains extremely strong.

Speaker #5: Ayesha Bana Belim, CFO at KP Energy Limited, thank you for joining us today and for your continued confidence and support. I will quickly take you through our Q1 FY27 financial performance, the factors that impacted profitability during the quarter, and, importantly, why we remain confident about the underlying growth and long-term potential of the company.

Speaker #5: Let me begin by saying that Q1 FY27 was a quarter of very strong execution and revenue growth, but also one that tested our ability to manage an exceptionally challenging cost and operating environment.

Speaker #5: The renewable energy opportunity in India remains extremely strong. However, during the quarter, the industry faced an unusual combination of geopolitical disruption, supply chain constraints, fuel and logistics pressures, labor availability challenges, and increasing right-of-way costs.

Shabana Belim: However, during the quarter, the industry faced an unusual combination of geopolitical disruption, supply chain constraints, fuel and logistic pressures, labor availability challenges, and increasing ROW costs. Despite these challenges, KP Energy continued to execute at a significantly higher scale, remained profitable, and strengthened the foundation for future growth. I am pleased to share that our consolidated total income for Q1 FY27 stood at INR 520.97 crores, compared with that at INR 220.6 crores in Q1 FY26, representing a growth of approximately 126% year-on-year. I am also equally delighted to state that the revenue from operations stood at INR 519.46 crores compared to INR 219.54 crores in the corresponding quarter last year, with infrastructure development continuing to be the growth engine, with revenue of INR 504.75 crores, compared with that of INR 208.25 crores in the Q1 of FY26, an increase of approximately 142%.

Speaker #5: Despite these challenges, KP Energy continued to execute at a significantly higher scale, remained profitable, and strengthened the foundation for future growth. I'm pleased to share that our consolidated total income for Q1 FY27 stood at ₹520.97 crore, compared with ₹220.6 crore in Q1 FY26.

Speaker #5: Representing a growth of approximately 126% year on year. I'm also equally delighted to state that the revenue from operations stood at $519.46 crore compared to $219.54 crores in the corresponding quarter last year with infrastructure development continuing to be the growth engine with revenue of $504.75 crore compared with that of $208.25 crore in the Q1 of FY 26.

Shabana Belim: I am also equally delighted to state that the revenue from operations stood at INR 519.46 crores compared to INR 219.54 crores in the corresponding quarter last year, with infrastructure development continuing to be the growth engine, with revenue of INR 504.75 crores, compared with that of INR 208.25 crores in the Q1 of FY26, an increase of approximately 142%.

Speaker #5: An increase of approximately 142%. Our O&M business also continued its growth trajectory, with revenue of approximately ₹2.94 crore compared with ₹1.16 crore last year, while revenue from sale of parts stood at approximately ₹11.78 crore compared with ₹10.14 crore in Q1 FY26.

Shabana Belim: Our O&M business also continued its growth trajectory, with revenue of approximately INR 2.94 crores compared with INR 1.16 crores last year. While revenue from sale of parts stood approximately at INR 11.78 crores, compared with INR 10.14 crores in Q1 FY26. From a business volume and execution perspective, the quarter has been an exceptionally strong one. Some of you might have noted a moderation in the margins of Q1 FY27 compared with Q4 FY26, and I would like to address this. Our gross margin in Q1 FY27 was approximately 20% compared with that at 28% in Q4 FY26. This is a sequential contraction of approximately 8 percentage points, and we believe it is important to explain this. Q4 FY26 was the highest quarterly revenue reported by the company at INR 633.93 crores, and Q1 FY27 delivered INR 520.97 crores, approximately 82% of that exceptional base.

Speaker #5: So, from a business volume and execution perspective, the quarter has been an exceptionally strong one. Some of you might have noted a moderation in the margins of Q1 FY27 compared with Q4 FY26, and I would like to address this.

Speaker #5: Gross margin in Q1 FY27 was approximately 20%, compared with 28% in Q4 FY26. This is a sequential contraction of approximately 8 percentage points, and we believe it is important to explain this.

Speaker #5: Q4 FY26 was the highest quarterly revenue reported by the company at ₹633.93 crore, and Q1 FY27 delivered ₹520.97 crore, approximately 82% of that exceptional base.

Shabana Belim: Q4 FY26 was the highest quarterly revenue reported by the company at INR 633.93 crores, and Q1 FY27 delivered INR 520.97 crores, approximately 82% of that exceptional base. Consequently, our absolute gross profit reported in Q1 FY27 was approximately INR 102 crores, reflecting approximately 56% of the exceptional base. The pressure was therefore primarily on project execution economics rather than on the ability to execute the projects. There were three major factors behind this pressure. The first was the West Asia geopolitical situation and resulting disruption and uncertainty around the Strait of Hormuz. The impact was not restricted to energy prices.

Speaker #5: Consequently, our absolute gross profit reported in Q1 FY27 was approximately ₹102 crore, reflecting approximately 56% of the exceptional base. The pressure was therefore primarily on project execution economics, rather than on the ability to execute the projects.

Shabana Belim: Consequently, our absolute gross profit reported in Q1 FY27 was approximately INR 102 crores, reflecting approximately 56% of the exceptional base. The pressure was therefore primarily on project execution economics rather than on the ability to execute the projects. There were three major factors behind this pressure. The first was the West Asia geopolitical situation and resulting disruption and uncertainty around the Strait of Hormuz. The impact was not restricted to energy prices. It extended across LPG availability, fuel procurement, transportation, freight, logistics, and manpower availability. India's dependence on LPG imports through Hormuz regions made it particularly vulnerable. During this period, the imports declined materially, while India also had to source LPG from alternative markets at higher cost port purchases. For an infrastructure business, the significance of this was much broader than LPG itself. The disruption affected the availability and mobility of migrant labor and created challenges across the logistics ecosystem.

Speaker #5: There were three major factors behind this pressure. The first was the West Asia geopolitical situation, and the resulting disruption and uncertainty around the Strait of Hormuz.

Speaker #5: The impact was not restricted to energy prices. It extended across LPG availability, fuel procurement, transportation, freight, logistics, and manpower availability. India's dependence on LPG imports through the Hormuz region made it particularly vulnerable.

Shabana Belim: It extended across LPG availability, fuel procurement, transportation, freight, logistics, and manpower availability. India's dependence on LPG imports through Hormuz regions made it particularly vulnerable. During this period, the imports declined materially, while India also had to source LPG from alternative markets at higher cost port purchases. For an infrastructure business, the significance of this was much broader than LPG itself. The disruption affected the availability and mobility of migrant labor and created challenges across the logistics ecosystem.

Speaker #5: During this period, imports declined materially, while India also had to source LPG from alternative markets at higher-cost spot purchases. For an infrastructure business, the significance of this was much broader than LPG itself.

Speaker #5: The disruption affected the availability and mobility of migrant labor, and created challenges across the logistics ecosystem. Again, for an EPC business, labor availability is as important as material availability.

Shabana Belim: Again, for an EPC business, labor availability is as important as material availability. When manpower availability becomes uncertain, planned work fronts can be disrupted, and manpower and equipment may need to be demobilized and subsequently remobilized. In the prevailing environment, such remobilization came at a higher cost due to elevated costs on various accounts like accommodation, manpower costs, et cetera, and also towards constrained availability of specialized resources, which added further pressure. Importantly, our execution teams were able to largely make up for the productivity challenges and maintain the project progress. However, the associated cost impact could not be completely avoided. Further, any prolonged execution cycle would have resulted in continued absorption of fixed project and site overheads, making timely execution critical not only for revenue conversion, but also for protecting the project economics and their profitability.

Speaker #5: When manpower availability becomes uncertain, planned work fronts can be disrupted, and manpower and equipment may need to be demobilized and subsequently remobilized. In the prevailing environment, such remobilization came at a higher cost due to elevated costs on various accounts like accommodation, manpower cost, etc., and also due to the constrained availability of specialized resources, which added further pressure.

Speaker #5: Importantly, our execution teams were able to largely make up for the productivity challenges and maintain project progress. However, the associated cost impact could not be completely avoided.

Speaker #5: Further, any prolonged execution cycle would have resulted in continued absorption of fixed project and site overheads, making timely execution critical not only for revenue conversion but also for protecting the project economics and their profitability.

Speaker #5: The second element was the volatility in fuel procurement and logistics, which had a direct bearing on equipment utilization. While the overall national fuel stocks remained adequate, temporary measures were introduced by the government to manage abnormal demand and the diversion of bulk and commercial demand towards retail channels.

Shabana Belim: The second element was the volatility in fuel procurement and logistics, which had a direct bearing on the equipment utilization. While the overall national fuel stocks remained adequate, temporary measures were introduced by the government to manage abnormal demand and diversion of the bulk and commercial demand towards retail channels. For a business like ours, where execution involves large cranes, hydro cranes, excavators, trailers, DG sets, and other ancillary equipment, continuous fuel availability is an essential for productive utilization. Any disruption can result in high-value specialized equipment remaining idle while associated hiring, manpower, supervision, and other overheads continue to accrue. Similarly, demobilization and subsequent deployment of equipment can entail additional costs. Thus, the combined effect of labor, fuel, logistic disruption was not merely an increase in individual input costs, but a broader increase in the overall cost of execution and resource utilization.

Speaker #5: For a business like ours, where execution involves large cranes, hydra cranes, excavators, trailers, DG sets, and other ancillary equipment, continuous fuel availability is essential for productive utilization.

Speaker #5: Any disruption can result in high-value, specialized equipment remaining idle, while associated hiring, manpower, supervision, and other overheads continue to accrue. Similarly, demobilization and subsequent deployment of equipment can entail additional costs.

Speaker #5: Thus, the combined effect of labor, fuel, and logistic disruption was not merely an increase in individual input costs, but a broader increase in the overall cost of execution and resource utilization.

Shabana Belim: Thus, the combined effect of labor, fuel, logistic disruption was not merely an increase in individual input costs, but a broader increase in the overall cost of execution and resource utilization. Further, any prolonged execution cycle would have not protected the project economics and profitability. The third and significant factor was the increasing cost of right of way for transmission infrastructure. As renewable projects increase in scale and evacuation infrastructure becomes more extensive, ROW, which is the right of way, become an increasingly important component of project economics. Since late Q4 FY2026, we were already seeing higher expectations from landowners and farmers regarding compensation for transmission corridors and tower locations.

Speaker #5: Further, any prolonged execution cycle would not have protected the project economics and profitability. The third and significant factor was the increasing cost of right of way for transmission infrastructure.

Shabana Belim: Further, any prolonged execution cycle would have not protected the project economics and profitability. The third and significant factor was the increasing cost of right of way for transmission infrastructure. As renewable projects increase in scale and evacuation infrastructure becomes more extensive, ROW, which is the right of way, become an increasingly important component of project economics. Since late Q4 FY2026, we were already seeing higher expectations from landowners and farmers regarding compensation for transmission corridors and tower locations. This subsequently received greater attention following the developments in Gujarat, culminating in the revised compensation framework notified at a later date. The escalation in ROW costs and changing expectations around the compensation were already visible during Q1 and had already been factored into our cost assessments. When we put these factors together, the financial picture becomes clearer. We delivered INR 520.97 crores of total income, compared with INR 220.60 crores last year.

Speaker #5: As renewable projects increase in scale and evacuation infrastructure becomes more extensive, ROW—which is the right of way—becomes an increasingly important component of project economics.

Speaker #5: Since late Q4 FY26, we were already seeing higher expectations from landowners and farmers regarding compensation for transmission corridors and tower locations. This subsequently received greater attention following the developments in Gujarat, culminating in the revised compensation framework notified at a later date.

Shabana Belim: This subsequently received greater attention following the developments in Gujarat, culminating in the revised compensation framework notified at a later date. The escalation in ROW costs and changing expectations around the compensation were already visible during Q1 and had already been factored into our cost assessments. When we put these factors together, the financial picture becomes clearer. We delivered INR 520.97 crores of total income, compared with INR 220.60 crores last year.

Speaker #5: The escalation in ROW cost and changing expectations around the compensation were already visible during Q1 and had already been factored into our cost assessments.

Speaker #5: When we put these factors together, the financial picture becomes clearer. We delivered ₹520.97 crore of total income, compared with ₹220.60 crore last year. The exceptional operating environment, however, resulted in pressure on project-level margins.

Shabana Belim: The exceptional operating environment, however, resulted in pressure on project level margins. Despite this, our profit before tax stood at INR 37.44 crores, compared with INR 34.75 crore in FY2026 Q1. While profit after tax stood at INR 26.08 crores, compared with INR 25.42 crores last year, similar quarter. While the percentage profitability has come under pressure, we have continued to deliver absolute profit growth while scaling the business by more than two times. Depreciation and finance costs stood at INR 9.18 and INR 15.43 crores respectively, reflecting the increase in the scale of business. I would like to emphasize one important point here. We are witnessing increasing demand for renewable energy and also envisage the same in our project pipeline. Our order book at the end of Q1 FY2027 stands at 2.16 gigawatts, providing a strong revenue visibility.

Speaker #5: Despite this, our profit before tax stood at ₹37.44 crore compared with ₹34.75 crore in Q1 FY26, while profit after tax stood at ₹26.08 crore compared with ₹25.42 crore in the same quarter last year.

Speaker #5: So, while the percentage profitability has come under pressure, we have continued to deliver absolute profit growth while scaling the business by more than two times.

Speaker #5: Depreciation and finance cost stood at ₹9.18 crores and ₹15.43 crores, respectively, reflecting the increase in the scale of business. I would like to emphasize one important point here.

Speaker #5: We are witnessing increasing demand for renewable energy and also envisage the same in our project pipeline. Our order book at the end of Q1 FY27 stands at 2.16 gigawatts, providing strong revenue visibility.

Speaker #5: The renewable energy sector continues to benefit from India's long-term decarbonization objectives, increasing electricity demand, and the government's renewable capacity targets. India added a record 6.05 gigawatts of wind capacity in FY26, taking cumulative installed wind capacity beyond 56 gigawatts.

Shabana Belim: The renewable energy sector continues to benefit from India's long-term decarbonization objectives, increasing electricity demand and government renewable capacity targets. India added a record 6.05 gigawatts of wind capacity in FY26, taking cumulative installed wind capacity beyond 56 gigawatts. I am proud of our execution team to have continued to demonstrate their ability to navigate a difficult operating environment while maintaining project progress. Timely completion is critical because it enables revenue conversion, protects against prolonged fixed project overheads, and allows us to redeploy our resources efficiently. The ability to maintain execution momentum despite external disruptions remains one of KP Energy's key strengths. I would like to summarize, stating that the scale of the business has changed materially. Crossing INR 500 crore of quarterly revenue, which is equivalent to approximately one-third of the entire FY26 revenue, demonstrates our ability to execute substantially larger volumes and multiple projects simultaneously.

Speaker #5: I'm proud of our execution team for continuing to demonstrate their ability to navigate a difficult operating environment while maintaining project progress. Timely completion is critical because it enables revenue conversion, protects against prolonged fixed project overheads, and allows us to redeploy our resources efficiently.

Speaker #5: The ability to maintain execution momentum despite external disruptions remains one of KP Energy's key strengths. I would like to summarize by stating that the scale of the business has changed materially.

Speaker #5: Crossing ₹500 crore of quarterly revenue, which is equivalent to approximately one-third of the entire FY26 revenue, demonstrates our ability to execute substantially larger volumes and multiple projects simultaneously.

Shabana Belim: Crossing INR 500 crore of quarterly revenue, which is equivalent to approximately one-third of the entire FY26 revenue, demonstrates our ability to execute substantially larger volumes and multiple projects simultaneously. We also have strong revenue visibility with order book in hand, and we are also developing additional capacity of about 200 plus megawatts of IPP portfolio, which will add recurring revenues alongside our core EPC business. We remain extremely bullish about the future of our business and the company and conclude that FY27 Q1 was a quarter of exceptional growth in scale. Our focus is very clear: to convert scale into quality growth, protect project level profitability, increase recurring revenues, and improve the predictability of our earnings. In short, Q1 has tested our resilience, but it has not changed our conviction.

Speaker #5: We also have strong revenue visibility with the order book in hand, and we are developing additional capacity of about 200-plus megawatts in our IPP portfolio, which will add recurring revenues alongside our core EPC business.

Shabana Belim: We also have strong revenue visibility with order book in hand, and we are also developing additional capacity of about 200 plus megawatts of IPP portfolio, which will add recurring revenues alongside our core EPC business. We remain extremely bullish about the future of our business and the company and conclude that FY27 Q1 was a quarter of exceptional growth in scale. Our focus is very clear: to convert scale into quality growth, protect project level profitability, increase recurring revenues, and improve the predictability of our earnings. In short, Q1 has tested our resilience, but it has not changed our conviction. We remain confident in the long-term growth trajectory of KP Energy and in our ability to create sustainable value for our shareholders. On behalf of the entire leadership team, I thank our investors, customers, lenders, vendors, employees and all our stakeholders for their continued trust and support.

Speaker #5: We remain extremely bullish about the future of our business and the company, and conclude that FY27 Q1 was a quarter of exceptional growth in scale.

Speaker #5: Our focus is very clear: to convert scale into quality growth, protect project-level profitability, increase recurring revenues, and improve the predictability of our earnings.

Speaker #5: In short, Q1 has tested our resilience, but it has not changed our conviction. We remain confident in the long-term growth trajectory of KP Energy and in our ability to create sustainable value for our shareholders.

Shabana Belim: We remain confident in the long-term growth trajectory of KP Energy and in our ability to create sustainable value for our shareholders. On behalf of the entire leadership team, I thank our investors, customers, lenders, vendors, employees and all our stakeholders for their continued trust and support. Thank you. We will now open the floor for questions.

Speaker #5: On behalf of the entire leadership team, I thank our investors, customers, lenders, vendors, employees, and all our stakeholders for their continued trust and support.

Speaker #5: Thank you. We will now open the floor for questions.

Shabana Belim: Thank you. We will now open the floor for questions.

Speaker #1: Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touchtone telephone.

Operator 2: Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Shikha Mehta from Time & Tide Advisors. Please go ahead.

Operator: Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Shikha Mehta from Time & Tide Advisors. Please go ahead.

Speaker #1: If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question.

Speaker #1: Ladies and gentlemen, we'll wait for a moment while the question queue assembles. The first question is from Shikha Mehta, from Time and Tide Advisors.

Speaker #1: Please go ahead.

Speaker #2: Hello, good afternoon, ma'am. I actually just wanted to understand the margins a bit better, because we've seen a very sharp reduction on the gross margin front, which of course has impacted our EBITDA margins, etc.

Shikha Mehta: Hello. Good afternoon, ma'am. I just actually wanted to understand the margins a bit better, because we have seen very sharp reduction on the gross margin front, which of course has impacted EBITDA margins, et cetera. I understand that cost pressures were there because of the war and labor issues during Q1. But are we seeing the same issues exceeding Q2 or are we seeing the reversal, and can we expect our margins to revert back to Q4, Q3 levels, or is this seeming like the new normal for us currently?

Speaker #2: I understand that cost pressures were there because of the war and labor issues during Q1, but are we seeing the same issues persist in Q2, or are we seeing a reversal?

Speaker #2: And can we expect our margins to revert back to Q4 or Q3 levels, or is this seeming like a new normal for us currently?

Speaker #3: Thank you, Shikha, for your question. While we would not consider Q1 to be an exact representative going forward, at the same time, we would also not want to make an assumption on immediate normalization of the environment.

Shabana Belim: Thank you, Shikha, for your question. While we would not consider Q1 to be an exact representative going forward, but at the same time, we would also not want to make an assumption on immediate normalization of the environment. We have been seeing that the environment has been continued to remain the same, and we are trying to rationalize our planning. We are trying to optimize our execution so that we can contribute to the orders that are already on hand and protect the margins.

Speaker #3: We have been seeing that the environment has continued to remain the same, and we are trying to rationalize our planning. We are trying to optimize our execution so that we can contribute to the orders that are already on hand and protect the margins.

Shikha Mehta: For example, our operating margins for Q1 were around 12%. In all of FY25, we have been around that 22%, 21% mark. But going forward, could we at least expect to revert back to, say, a 15%, 16%, 18% kind of number, or would we want to refrain from giving any kind of guidance?

Speaker #2: So, for example, our operating margins for Q1 were around 12%. In all of FY25, we've been around the 22-21% mark. But going forward, could we at least expect to revert back to, say, a 15%, 16%, 18% kind of number, or would we want to refrain from giving any kind of guidance?

Speaker #3: As of now, I would also like to draw our attention to the fact that margins also depend upon the project stage and the different categories of projects that we are executing.

Shabana Belim: I would also like to draw attention to the fact that margins also depend upon the project stage and different category of projects that we are executing. While there are some projects which have just begun, and there are some which are on the peak, and there are some which are to end. So it is a combination of the stage mix at which the projects are being executed, and it will not be right at this very moment to give you a number, because there will be several factors which will be affecting this margin. As I said, that we have already started facing the impact since the end of Q4, and that is the reason why we have already covered it into our cost at Q1. Going forward, again, as I said, we will try to compensate it more and more with our operating efficiency.

Speaker #3: So, while there are some projects which have just begun, and there are some which are at their peak, and there are some which are about to end.

Speaker #3: So, it's a combination of the stage mix at which the projects are being executed, and it would not be right at this very moment to give you a number, because there will be several factors which will be affecting this margin.

Speaker #3: As I said, we have already started facing the impact since the end of Q4, and that is the reason why we have already covered it in two hours' cost at Q1.

Speaker #3: Going forward, as I said, we will try to compensate more and more with our operating efficiency.

Shabana Belim: Going forward, again, as I said, we will try to compensate it more and more with our operating efficiency.

Shikha Mehta: Understood. Anyway, Q2 is a bit of a damp quarter for us because of the monsoons, right? From a growth point of view and from a margin point of view, do we have any guidance to give for that?

Speaker #2: Understood. And anyway, Q2 is a bit of a damp quarter for us because of the monsoons, right? So, I mean, from a growth point of view and from a margin point of view, do we have any guidance to give for that?

Speaker #3: So, while we have always—if you see the past quarters also—monsoons are not something which are new. But then, yes, it indeed is a little damp quarter, considering the rains and the seasonal effect.

Shabana Belim: While we have always, if you see the past quarters also, monsoons are not something which are new. But then, yes, it indeed is a little damp quarter considering the rains and the seasonal effect. But we have always tried to cover up our revenue, seeing the possibilities of different milestones under each project where we can take the advantage of revenue generation, and we can bank the revenue.

Speaker #3: But we have always tried to cover up our revenue, seeing the possibilities of different milestones under each project where we can take advantage of revenue generation, and we can back the revenue.

Speaker #2: And could you quantify the order book? I think last quarter it was around ₹3,000 crore. What would it be now?

Shikha Mehta: Could you quantify the order book? I think last quarter was around INR 3,000 crores. What could it be?

Speaker #3: Yes, currently at 2.16 gigawatts, we stand at about ₹2,250 crores.

Shabana Belim: Yes, at 2.16 gigawatt, we currently stand at about INR 2,250 crores.

Speaker #2: Got it. Got it. And we had guidance for around 40 to 50 percent growth on the top line in FY 27. Are we still holding on that onto that guidance?

Shikha Mehta: Got it. We had guided for around 40% to 50% growth on the top line in FY27. Are we still holding onto that guidance?

Speaker #3: So, while we already have substantial orders in hand, we would like to stay at about 30 to 40 percent as a guiding amount.

Shabana Belim: While we already have a substantial order in hand, we would like to stay at about 30% to 40% as a guiding amount, I mean, guiding number, so as to give you an insight about at the levels at which we would grow.

Speaker #3: I mean, guiding number so as to give you an insight about at the levels at which we would grow. So we are not limiting we are not limiting ourselves in terms of what we have on hand, but then we are giving a number which seems appropriate in the planned way that we have worked out.

Shikha Mehta: Okay.

Shabana Belim: We are not limiting ourselves in terms of what we have on hand. But then we are giving a number which seems appropriate in the planned way that we have worked out.

Speaker #2: So 30 to 40 percent is what we're currently guiding, is it?

Shikha Mehta: So 30% to 40% is what we are currently guiding, correct?

Shabana Belim: Yes.

Speaker #3: Yes.

Speaker #2: And out of our current order book, which is 2.16 gigawatts, how much would be from KPI?

Shikha Mehta: And out of our current order book, which you said is 2.16 gigawatt, how much would be from KPI?

Shabana Belim: Just a moment. If you can give me a moment, I have the details handy. I will just have to. In terms of value, about 50% is a related party, and the balance 50% is non-related.

Speaker #3: Just a moment. If you can give me a moment, I have the details handy. I'll just have to— So, in terms of value, about 50 balance, 50 percent is non-related.

Speaker #2: Okay, understood. Thank you so much for answering all my questions. I'll come back in the queue.

Shikha Mehta: Okay, understood. Thank you so much for answering all my questions. I will come back on the queue.

Speaker #3: Thank you, Shikha.

Shabana Belim: Thank you, Shikha.

Speaker #1: Thank you. The next question is from the line of Ganesh Gupta from SS Family Office. Please go ahead.

Operator 2: Thank you. The next question is from the line of Kanishk Gupta from SS Family Office. Please go ahead.

Operator: Thank you. The next question is from the line of Kanishk Gupta from SS Family Office. Please go ahead.

Speaker #4: Yeah, hello. Very good afternoon. I have a question regarding Farukbhai. We have not seen him participating in the recent conference call, so could you please clarify whether we should expect him to be involved in the company's conference calls going forward?

Kanishk Gupta: Yeah, hello. Very good afternoon. I have a question regarding Faruk Patel. We have not seen him participating in the recent conference calls. Could you please clarify whether we should expect him to be involved in the company's conference calls going forward?

Affan Patel: Yes.

Affan Faruk Patel: Yes.

Speaker #3: Got it, Ganesh. Hello? Yeah. Ganesh, we have a sponsor; he will answer your question.

Affan Patel: Got it, Kanishk.

Affan Faruk Patel: Got it, Kanishk.

Shabana Belim: Hello. Yeah. Kanishk, we have Affan sir. He will answer your question.

Speaker #4: Hi, Ganesh ji. Hello, sir. Myself, Afan. So, on behalf of Faruk sir, I am available here. And for that purpose only, I am always in the call. I think I'm here from the last call, all concalls.

Affan Patel: Hi, Kanishk Gupta.

Affan Faruk Patel: Hi, Kanishk Gupta.

Kanishk Gupta: Hello, sir.

Affan Patel: Myself Affan Patel. So on behalf of Faruk Patel, I am available here. For that purpose only, I am always in the all, I think from last on con call, we are available. From promoters, we are available.

Affan Faruk Patel: Myself Affan Patel. So on behalf of Faruk Patel, I am available here. For that purpose only, I am always in the all, I think from last on con call, we are available. From promoters, we are available.

Speaker #4: We are available from promoters. We are available. Definitely, sir.

Kanishk Gupta: Definitely, sir.

Speaker #3: So Ganesh?

Shabana Belim: Also, Kanishk.

Affan Patel: All execution related and all business segment about wind, PNL related, I am available to answer. If you have any question to us, we can give you your answer.

Affan Faruk Patel: All execution related and all business segment about wind, PNL related, I am available to answer. If you have any question to us, we can give you your answer.

Speaker #4: No, all execution-related and all business segments about wind, P&L, P&L related, I am available to answer if you have any questions. To us, we can give you your answer.

Speaker #3: Also, Ganesh, to add on to what Afan sir has been telling, Dr. Patel has already been involved in the entire group's activity. He is very much present.

Shabana Belim: Also, Kanishk, to add on to what Affan sir has been telling, Mr. Patel has already been involved in the entire group's activity. He is very much present. He is focusing more on strategic and future developments. We, as a team of professionals, have been handling the entire scope at KP Energy and as well as in other companies in KP Group. We will definitely convey your greetings to him.

Speaker #3: He is focusing more on strategic and future developments, and we, as a team of professionals, have been handling the entire scope at KP Energy.

Speaker #3: And as well as other companies in the KP Group. We will definitely convey your greetings to him.

Speaker #4: Definitely, ma'am. No worries. And my second question would be: given the government's renewable energy targets for 2030, what kind of targets is the company setting for itself for FY30?

Kanishk Gupta: Definitely, ma'am. No worries. My second question would be on, given the government's renewable energy targets for 2030, what kind of targets is the company giving itself for FY30? Could you give us a sense of the revenue ambition that the company is working towards and key milestones you expect to achieve along the way?

Speaker #4: So, could you give us a sense of the revenue ambition that the company is working towards, and key milestones you expect to achieve along the way?

Speaker #3: So, while we have been very candid in expressing our group targets, we have been talking about 10 gigawatts by 2030 in terms of the entire KP group. That's majority covering KPI Green and KP Energy.

Shabana Belim: While we have been very candid in expressing our group targets, we have been talking about 10 gigawatt by 2030 in terms of the entire KP Group, that is majority covering KPI Green and KP Energy. We are very pleased to inform that we are very close to that 10-gigawatt achievement. In the near future, we are about to revise our group target, and it will be published soon.

Speaker #3: We are very pleased to inform you that we are very close to the 10-gigawatt achievement. In the near future, we are about to revise our group target, and it will be published soon.

Speaker #4: So, ma'am, can we expect company-specific targets in the same document?

Kanishk Gupta: Ma'am, can we expect company specific targets in the same document?

Speaker #3: Sure, we have already been working on it, and soon enough you will have the company-specific as well as the group targets.

Shabana Belim: Sure. We have already been working on it, and soon enough you will have the company specific as well as the group targets.

Speaker #4: Sure, ma'am. We'll wait for the same. Thank you very much, and all the very best for the future.

Kanishk Gupta: Sure, ma'am. We will wait for the same. Thank you very much and all the very best for the future.

Speaker #3: Thank you.

Shabana Belim: Thank you.

Speaker #4: Same.

Speaker #1: Thank you. The next question is from the line of Murtaza from Pinpoint X Capital. Please go ahead.

Kanishk Gupta: Thank you.

Operator 2: Thank you. The next question is from the line of Murtaza from Pinpoint Capital. Please go ahead.

Operator: Thank you. The next question is from the line of Murtaza from Pinpoint Capital. Please go ahead.

Speaker #4: Hi, ma'am. Am I audible?

[Analyst] (Pinpointx Capital): Hi, ma'am. Am I audible?

Mohammed Murtaza: Hi, ma'am. Am I audible?

Speaker #3: Yes, Murtaza, you are audible.

Shabana Belim: Yes, Murtaza, you are audible.

Speaker #4: Thank you for the opportunity. I just have two questions. Firstly, we've been observing very strong on-ground activity and healthy momentum in the wind energy segment.

[Analyst] (Pinpointx Capital): Thank you for the opportunity. I just have two questions. Firstly, we have been observing a very strong on-ground activity and healthy momentum in the wind energy segment. However, we really have not been announcing similar pace of order inflows. Could you just explain what exactly is driving or is the difference or the part you are not really understanding, is it a function of a strategy or are there some sort of execution constraints or any other factors? First question is this.

Mohammed Murtaza: Thank you for the opportunity. I just have two questions. Firstly, we have been observing a very strong on-ground activity and healthy momentum in the wind energy segment. However, we really have not been announcing similar pace of order inflows. Could you just explain what exactly is driving or is the difference or the part you are not really understanding, is it a function of a strategy or are there some sort of execution constraints or any other factors? First question is this.

Speaker #4: And, however, we really haven't been announcing a similar pace of further inflows. So, could you just explain what exactly is driving the difference, or is there a part I'm not really understanding?

Speaker #4: Is it a function of our strategy, or are there some sort of execution constraints, or any other factors? First question is this.

Speaker #3: Okay. I'll answer your question. So, while we had already bagged about 230-plus megawatts of orders in the last quarter, Q4 of FY26, and we have been going around, we have been selective in picking up the orders that are available to us.

Shabana Belim: Okay. I will answer your question. While we had already bagged about 230 plus megawatts of orders in the last quarter, Q4 of FY26, and we have been going around, but we have been selective in picking up the orders that are being available to us. Yes, wind has definitely garnered a lot of momentum, but we take our own time to evaluate each and every order because there is plenty to supply and we are being very picky and choosy in terms of what we pick up in terms of our cost components, in terms of our execution capabilities, in terms of the place at which we have to execute, in terms of the region. Because a region plays a very important role in terms of cost as well.

Speaker #3: Yes, wind has definitely garnered a lot of momentum, but we take our own time to evaluate each and every order because there is plenty to supply, and we are being very picky and choosy in terms of what we pick up in terms of our execution capabilities, in terms of the place at which we have to execute, and in terms of the region, because a region plays a very important role in terms of cost as well.

Speaker #3: While one may not be having a lot of ROW cost, there might be specific regions where the cost may be very high in terms of grid availability and in terms of connectivity.

Shabana Belim: While one region may not be having a lot of ROW costs, there might be specific regions where the cost may be very high in terms of grid availability and in terms of connectivity that we have there. That is the reason why you are really seeing a slightly slower pace in terms of order intake. But be rest assured that everything that comes in the market is not escaping our eyes. We are keeping a vigilant eye and we are making choices in picking our orders.

Speaker #3: That we have there. So that is the reason why you are really seeing a slightly slower pace in terms of order intake. But be rest assured that everything that comes into the market is not escaping our eye.

Speaker #3: We are keeping a vigilant eye, and we are making choices in picking our orders.

[Analyst] (Pinpointx Capital): Understood. Thank you for that. My second question is on the standalone for the KP Energy Limited standalone current IPP portfolio. What exactly is the current portfolio size or capacity, and how do we see it evolving over the next few years?

Mohammed Murtaza: Understood. Thank you for that. My second question is on the standalone for the KP Energy Limited standalone current IPP portfolio. What exactly is the current portfolio size or capacity, and how do we see it evolving over the next few years?

Speaker #4: Understood, and thank you for that. My second question is on the standalone KP Energy Limited standalone current IPP portfolio. What exactly is the current portfolio size or capacity?

Speaker #4: And how do we see it evolving over the next few years?

Speaker #3: So, currently, we are at 48.5 megawatts of IPP capacity, which is fully operational. Out of this 48.5, 11.5 is solar, and the balance—37 megawatts—is pure wind.

Shabana Belim: Currently we are at 48.5 megawatts of IPP capacity, which is fully operational. Out of this 48.5, 11.5 is solar and the balance 37 megawatts is pure wind. Going forward, we are looking for an addition on KP Energy standalone at about 200 megawatts with the sovereign entity. We already have entered into PPAs for both these 200, I mean, it is 100 each. So for both these, going forward, PPAs we have already done with the government and there are different timelines for commissioning of this project, roughly about 24 months from April 2026 onwards.

Speaker #3: Going forward, we are looking for an addition on KP Energy standalone at about 200 megawatts with the sovereign entities. And we already have entered into PPAs for both these 200—I mean, it's 100 each.

Speaker #3: So, for both these going forward PPAs, we have already done with the government, and there are different timelines for commissioning of this project—roughly about 24 months from April onwards, April '26 onwards.

Speaker #4: Understood. Thank you very much. Just one final thing—just your confirmation. As you had mentioned earlier, you gave a very detailed explanation regarding the margin adoption.

[Analyst] (Pinpointx Capital): Understood. Thank you very much. Just one final reconfirmation. As you earlier mentioned, you had given a very detailed explanation regarding the margin erosion we had seen in Q1. Just wanted to kind of reframe and ask a question. Have the margins bottomed out and going forward, we can expect at least a bit better than what we really happened to do in Q1?

Mohammed Murtaza: Understood. Thank you very much. Just one final reconfirmation. As you earlier mentioned, you had given a very detailed explanation regarding the margin erosion we had seen in Q1. Just wanted to kind of reframe and ask a question. Have the margins bottomed out and going forward, we can expect at least a bit better than what we really happened to do in Q1?

Speaker #4: We had seen in Q1, so I just wanted to kind of reframe and ask a question. Have the margins bottomed out, and going forward, can we expect at least a bit better than what we actually saw in Q1?

Speaker #3: Murtaza, at present, whatever visibility we have in terms of the projects on hand, we have already factored that cost into our current working.

Shabana Belim: Murtaza, at present, whatever we have the visibility in terms of the projects on hand, we have already factored that cost into our current working. We do not envisage any kind of an immediate further fall. Well, as I said, there are factors beyond our control which we have to rely on, and we try to make up the best by optimizing our operating efficiencies.

Speaker #3: And we do not envisage any kind of an immediate further fall. But, well, as I said, there are factors beyond our control, which we have to rely on, and we try to make up the best by optimizing our operating efficiencies.

Speaker #4: Understood. Understood. Thank you very much. All the best for the future. Thanks.

[Analyst] (Pinpointx Capital): Understood. Thank you very much. All the best for the future. Thanks.

Mohammed Murtaza: Understood. Thank you very much. All the best for the future. Thanks.

Speaker #3: Thank you.

Shabana Belim: Thank you.

Speaker #1: Thank you. The next question is from the line of Subhash from Value Investments. Please go ahead.

Operator 2: Thank you. The next question is from the line of Subhash from Value Investments. Please go ahead.

Operator: Thank you. The next question is from the line of Subhash from Value Investments. Please go ahead.

Speaker #4: Hello? Am I audible?

[Analyst] (Value Investments): Hello, am I audible?

Speaker #3: Yes, Subhash.

Shabana Belim: Yes, Subhash.

[Analyst] (Value Investments): Hi. I see that the revenue has increased significantly, that is over 100%, 136%. Since you are guiding only for 30% to 40% of growth over FY26, I am thinking Q2, Q3, and Q4 will not be seeing much growth, because in Q1 itself you have achieved more than 130% growth, right? At least in the top line, I understand that you explained all the reasons for the lesser margin, but at least at the top line, do you expect more than 60% growth for FY27?

Speaker #4: Hi. So I mean, I see it in the revenue has increased significantly. That is over 100%. 136%. I mean, since you are guiding only for 30 to 40 percent of growth over FY 26, I'm thinking if Q2, Q3, and Q4 will be I mean, will not be seeing much growth because in Q1 itself, you have achieved more than 130% growth, right?

Speaker #4: So at least on the top line, I mean, I understand that you explained all the reasons for the lower margin, but at least on the top line, do you expect more than 60% growth?

Speaker #4: For FY 27?

Shabana Belim: Well, we do look forward to complete the entire order book that we have in hand during this financial year. As I said, the range that we have given, about 30% to 40%, is in consideration with lot of situations on ground which may or may not work in our favor. While our internal targets are definitely to have completed the substantial portion of the orders that we have on hand, the scenario that we are giving right now is a bit cautious scenario considering the on-ground situation.

Speaker #3: While we do look forward to completing the entire order book that we have in hand during this financial year, as I said, the range that we have given—about 40 to 45 percent—is in consideration with a lot of situations on the ground which may or may not work in our favor.

Speaker #3: So, while our internal targets are definitely to have completed the substantial portion of the orders that we have on hand, the scenario that we are giving right now is a bit cautious, considering the on-ground situation.

Speaker #4: Okay, so I mean, since you have achieved more than 136% in Q1, I think that seems like very little, the 30 to 40 percent.

[Analyst] (Value Investments): Okay. Since you have achieved more than 136% in Q1, I think that seems very less, the 30% to 40%. Definitely Q3 and Q4 will be your strongest quarters, right? I understand Q2 is off.

Speaker #4: But, I mean, definitely Q3 and Q4 will be your strongest quarters, right? I understand Q2 is tough.

Speaker #3: Yes, we look forward to it. Our internal...

Shabana Belim: Yes. We look forward to it. Our internal planning has

Speaker #4: And also, due to geopolitical tensions, I mean, you might be cautious about the bottom line, but what about the top line? Do you still think—would you still want to stick to 30–40 percent only?

[Analyst] (Value Investments): And also due to geopolitical tensions, you might be cautious about the bottom line, but

Shabana Belim: Yes

[Analyst] (Value Investments): what about the top line? Do you still want to stick to 30% to 40% only? Also, could you specify the amount of order book that you have in mind, which you want to complete this year in valuation?

Speaker #4: And also, could you specify the amount of order book that you have in hand, which you want to complete this year?

Speaker #3: Sure, sure. So, Subhash, one small instance I would like to mention here is that, as I indicated in my earlier speech as well, the ROW factor has been something which has been bothering us.

Shabana Belim: Sure. Subhash, one small instance I would like to mention here is that as I indicated in my earlier speech as well, that the ROW factor has been something which has been bothering us. There were farmer protests across the Gujarat region, which eventually, I would say, compelled the government to issue a framework whereby the ROW costing was revised. Now, in such a situation, if the protests last longer, while we still intend to deliver the top line and we still stay committed to achieve at least, I would say, 40% to 50% growth in terms of whatever we have achieved last year. We are capable, positioned, and we are planning to achieve that. But then if these kinds of factors do come up, we really will not be in a position to execute despite us being mobilized there and wanting to do so.

Speaker #3: There were far more protests across the Gujarat region, which eventually, I would say, compelled the government to issue a framework whereby the ROW costing was revised.

Speaker #3: Now, in such a situation, if the protests last longer, while we still intend to deliver the top line, and we still stay committed to achieve at least, I would say, 40 to 50 percent growth in terms of whatever we have achieved last year, and we are capable, positioned, and we are in planning to achieve that.

Speaker #3: But then, if these kinds of factors do come up, we really will not be in a position to execute despite us being mobilized there and wanting to do so.

Shabana Belim: But then if these kinds of factors do come up, we really will not be in a position to execute despite us being mobilized there and wanting to do so. That is the reason why we are going a bit cautious on the top line. Rest assured that we are well planned to execute a major portion of the order book that we have on hand. Coming to the order book value that you asked, it is about INR 2,250 crore that we are currently holding as on 30 June 2026.

Speaker #3: So that is the reason why we are going a bit cautious on the top line. Rest assured that we are well planned to execute a major portion of the order book that we have on hand.

Shabana Belim: That is the reason why we are going a bit cautious on the top line. Rest assured that we are well planned to execute a major portion of the order book that we have on hand. Coming to the order book value that you asked, it is about INR 2,250 crore that we are currently holding as on 30 June 2026.

Speaker #3: Coming to the order book value that you asked about, it's about ₹2,250 crore that we are currently holding as on 30th June 2026.

Speaker #4: Okay, great. I mean, if you're able to achieve the whole order book this year, I think that gives us much more than what we have targeted.

[Analyst] (Value Investments): Okay, great. If you are able to achieve the whole order book this year, I think that gives us much more than what we have targeted. My other question was, what is the mix of CPP versus IPP in KP Energy? The reason why I am asking this question is because I am a shareholder of KPI Green as well, and I attended the investment call today. In KPI, the IPP share of the revenue out of the total revenue is 18% to 20%. I think in KP Energy last year it was only about 1% to 3%, right? The advantage of having IPP is that even though the margins are down even in KPI Green, they were able to sustain the EBITDA margin same as last year because of the IPP, because IPP has larger margins, right? What are your plans for KP Energy Limited, right?

Speaker #4: And also, my other question was: what is the mix of CPP versus IPP in KP Energy? The reason why I'm asking this question is because I'm a shareholder of KPI Green as well, and I attended the investment call today.

Speaker #4: So in KPI, the IPP share of the revenue out of the total revenue is 18 to 20 percent. But I think in KPEL last year, it was only about 1 to 3 percent.

Speaker #4: Right? So, I mean, the advantage of having IPP is that even though the margins are down—even in KPI Green—they were able to sustain the EBITDA margin, same as last year, because of the IPP.

Speaker #4: Because IPP has larger margins, right? So, what are your plans for KP Energy Limited, right? That is my first question. For CPP versus IPP.

[Analyst] (Value Investments): What are your plans for KP Energy Limited, right? That is my first question, for CPP versus IPP. Also, due to this margin compression now, do you want to revise the IPP execution speed? What are your plans? If you could comment on that.

[Analyst] (Value Investments): That is my first question, for CPP versus IPP. Also, due to this margin compression now, do you want to revise the IPP execution speed? What are your plans? If you could comment on that.

Speaker #4: And also, due to this margin compression now, do you want to revise the IPP execution speed? What are your plans? If you could comment on that.

Speaker #3: Sure. So, in terms of the current percentage of revenue, we still stand at 2% of my total revenue coming from IPP, as against 1% in the last quarter.

Shabana Belim: Sure. Current percentage in terms of the revenue, we still stand at 2% of my total revenue being that from IPP as against 1% in the last quarter. Yes, we are currently a bit low on IPP. Predominantly, our focus was on EPC business. Going forward, as I mentioned to you, we already have two IPP projects lined up. The PPAs, one is signed in April and another is signed in June. June, July, if I am not wrong, it is in July. We have a 24-month execution period for this. Of course, we would definitely want to enhance the execution at a faster pace, not only to reduce the ITC, but also to have a quicker generation and revenue booking on the same. With both these projects being commissioned, we expect approximately the top line to increase by INR 200 crore in the IPP segment.

Speaker #3: Yes, we are currently a bit low on IPP. Predominantly, our focus was on EPC business. And going forward, as I mentioned to you, we already have two IPP projects lined up. The PPAs have been signed—one was signed in April and another was signed in June.

Speaker #3: June, July. Yeah, if I'm not wrong, it's in July. And we have a 24-month execution period for this. Of course, we would definitely want to enhance the execution at a faster pace, not only to reduce the IPC, but also to have quicker generation and revenue booking on the same.

Speaker #3: With both these projects, projects being commissioned, we expect approximately the top line to increase by ₹200 crores in the IPP segment. This is what we expect going forward if both these projects get energized.

Shabana Belim: With both these projects being commissioned, we expect approximately the top line to increase by INR 200 crore in the IPP segment. This is what we expect going forward if both these projects get energized.

Shabana Belim: This is what we expect going forward if both these projects get energized.

Speaker #4: Okay. But that is after the completion—after two years, you expect a ₹200 crore increase in IPP.

[Analyst] (Value Investments): Okay. But that is after the completion, right? After two years, you expect INR 200 crore in revenue.

Shabana Belim: We also have, I would like to elaborate a bit here. We also have a possibility of partial commissioning under these PPA, and we would also try to see if we can start putting to use the asset in partial capacities. That way we can quicken the. The entire two-year period won't go dry, but we can start expecting some revenue one year afterwards.

Speaker #3: So we have—we also have, I would like to elaborate a bit here. We also have a possibility of partial commissioning under these PPA.

Speaker #3: And we would also try to see if we can start putting the asset to use in partial capacities. That way, we can quicken the, I mean, the entire two-year period won't go dry, but we can start expecting some revenue one year afterwards.

Speaker #4: Got it. I think by 5/27/90, we're targeting 100 megawatts IPP, if I'm not wrong. If I'm not wrong. Right?

[Analyst] (Value Investments): Got it. I think by FY27 end, you are targeting 100 megawatts IPP, if I am not wrong. Right?

Speaker #3: Sorry, I didn't catch your question.

Shabana Belim: Sorry, I did not get your question.

Speaker #4: Right now? I mean, right now, you have 40-point-something megawatts of IPP portfolio, right?

[Analyst] (Value Investments): Right now you have 40 point something megawatts of IPP portfolio, right?

Shabana Belim: 48.5.

Speaker #3: 48.5. 48.5. Yes. So, by that time.

[Analyst] (Value Investments): Yeah.

Shabana Belim: Yes. By the time-

[Analyst] (Value Investments): By end of FY27-

Speaker #4: And by end of 5/27.

[Analyst] (Value Investments): By end of FY27-

Shabana Belim: You are correct. We expect 100. Yes, you can expect 100.

Speaker #3: Right. We expect 100. Yes, you can expect 100.

Speaker #4: Okay, 100. And then maybe by 5/28 or 5/29, you will have a total around—because, I mean, the 200 megawatt, whatever you are saying, that is in addition to this 100 megawatt.

[Analyst] (Value Investments): 100. Maybe by FY28 or 2029, you will have total around. The 200 megawatt, whatever you are saying, that is in addition to this 100 megawatt?

Speaker #3: No, no. So, 48.5 plus 200—existing 48.5 plus 200. So at the end of the two years, it will be 248.5.

Shabana Belim: No, so 48.5 plus 200.

[Analyst] (Value Investments): 48, got it.

Shabana Belim: Existing 48.5 plus 200. So, at the end of two years, it will be 248.5.

Speaker #4: Got it. Okay, thank you so much. Thanks for answering all the questions. I mean, I have to mention that, out of all the KP group calls that I attend—your name is Shabana, right?

[Analyst] (Value Investments): Got it. Thank you so much. Thanks for answering all the questions. I have to mention that out of all the KP Group calls that I attend, your name is Shabana, right? You do an amazing job in answering the questions. Your communication is great. Thank you so much.

Speaker #4: You do an amazing job answering the question. Your communication is great. Thank you so much.

Speaker #3: Thank you. Thank you.

Shabana Belim: Thank you.

Operator 2: Thank you. The next question is from the line of Sahil Agarwal from AYM Investment. Please go ahead.

Operator: Thank you. The next question is from the line of Sahil Agarwal from AYM Investment. Please go ahead.

Speaker #2: Thank you. The next question is from the line of Sahil Agarwal from AYM Investment. Please go ahead.

Speaker #4: Hi. Thanks for the opportunity. And I wanted to understand the thing is that the EBITDA margins have dipped from 22 to 10 percent. So we understand that there are geopolitical issues and everything, but I think it was mentioned that all our orders are forced pass-through orders.

Sahil Agarwal: Hi, thanks for the opportunity. Ma'am, I wanted to understand the thing that the EBITDA margins have dipped from 22% to 10%. We understand that there are geopolitical issues and everything, but I think it was mentioned that all our orders are cost pass-through orders. That means that if there is any inflationary pressure, then the cost is passed on. Let's say even if we did not do that, the margins might dip 3% to 4%. That we understand. But a dip from direct 22% to 12% is something which is concerning all the investors in KP Group. We want to have some comments, like what can we expect going forward? Will it remain 12%, or will it go back to 21% to 22%, or can we expect somewhere in the middle?

Speaker #4: That means that if there's any inflationary pressure, then the cost is passed on. So, let's say even if we didn't do that, the margins might dip 3%, 4%.

Speaker #4: That we understand. But a dip from a direct 22% to 12% is something which is concerning all the investors in KP Group. So we would like to have some comments, like what can we expect going forward?

Speaker #4: Like, will it remain 12%? Will it go back to 21% or 22%, or can we expect somewhere in the middle?

Speaker #3: Sir, thank you for your question. Just to clarify, I'm not sure why we have mentioned that it is a cost-plus contract. Let me tell you, the trend in the industry is always a firm and fixed-price contract, subject to the scope that has been mentioned.

Shabana Belim: Sai, thank you for your question. Just to clarify, I am not sure where from we have opinionated that it is cost-plus contract. Let me tell you, the trend in the industry is always a firm and a fixed price contract subject to the scope that has been mentioned and the timeline and technical specifications that have been mentioned in the contract. While yes, there are force majeure clauses, of course, covered in every contract, more or less, and we have been trying to look into them separately, but these kinds of contracts that we are already executing and are on hand, they do not have any cost-plus consideration in this particular case.

Speaker #3: And the timeline and technical specifications that have been mentioned in the contract. So, while yes, there are force majeure clauses, of course, covered in every contract more or less.

Speaker #3: And we have been trying to look into them separately. But these kinds of contracts that we are already executing and have on hand do not have any cost-plus consideration in this particular case.

Speaker #3: Also, as explained before, our focus more is during this quarter, despite of the enhanced cost, our focus more was on execution and to ensure that whatever deliverables we have committed to the client, are in line.

Shabana Belim: Also, as explained before, our focus more is during this quarter, despite of the enhanced costs, our focus more was on execution and to ensure that whatever deliverables we have committed to the client are in line, and we do not deviate on the same. That is the reason why, if you see that we have maintained our execution progress, and we have achieved the top line as we have planned internally. Going forward, while I would definitely ask you not to keep Q1 as the benchmark, then current scenario and the environment is not permitting us to give you any kind of a foresight in terms of what will be the change in terms of the net margins.

Speaker #3: And we do not deviate on the same. That is the reason why, if you see, we have maintained our execution progress and we have achieved the top line as we had planned internally.

Speaker #3: So going forward, while I would definitely ask you not to keep Q1 as the benchmark, but then current scenario and the environment is not permitting us to give you any kind of a foresight in terms of what will be the change in terms of the net margins.

Speaker #3: As I said, the total cost impact that we have envisaged until now has already been factored in, and we will try our best to meet them with our operational efficiencies.

Shabana Belim: As I said that the total cost impact that we have envisaged until now has already been factored, and we will try our best to meet them with our operational efficiencies.

Speaker #4: Okay, got it. And my next question is about KP Green Engineering, because there are no quarterly results or quarterly calls held for them. So I would like Mr. Afan Sir to answer this.

Sahil Agarwal: Okay, got it. My next question is about KP Green Engineering, because there is no quarterly results or quarterly calls held for them. I would like Mr. Affan Patel to answer this. Sir, I want to understand, there has been margin pressure for C2B segment for both KPI Green and KP Energy. Do you think that this margin pressure will also reflect in KP Green Engineering?

Speaker #4: So, sir, I want to understand—there's been margin pressure in the C2B segment for both KPI Green and KP Energy. Do you think that this margin pressure will also reflect in KP Green Engineering?

Shabana Belim: Well, I would like to take the liberty to answer your question before Affan Patel can add anything more to it. While the geopolitical conditions that we have been witnessing across the world is not something that has been specifically attributable to KP Energy, it is also attributable to other entities. Currently, we are not in a position to comment anything in terms of KP Green Engineering, it being a separate entity, being managed separately with a separate head operating out of it. But I would appreciate if you can wait till the H1 results, and I think that will be a better position to answer the question.

Speaker #3: I would like to take the liberty to answer your question before Afan sir can add anything more to it. So, while the geopolitical conditions that we have been witnessing across the world are not something that can be specifically attributed to KP Energy,

Speaker #3: It is also attributable to other entities. Currently, we are not in a position to comment on anything in terms of KP Green Engineering, as it is a separate entity, managed separately, with a separate head operating out of it.

Speaker #3: But I would appreciate it if you could wait until the half-year results, as I think that will be a better time to answer the question.

Speaker #4: Okay. Got it.

Sahil Agarwal: Okay, got it.

Speaker #2: Thank you. The next question is from the line of Nishant, an individual investor. Please go ahead.

Operator 2: Thank you. The next question is from the line of Nishant, an individual investor. Please go ahead.

Operator: Thank you. The next question is from the line of Nishant, an individual investor. Please go ahead.

Speaker #4: Yes. Hello. Am I audible?

[Company Representative]: Yes. Hello, am I audible?

[Shareholder] (Individual Investor): Yes. Hello, am I audible?

Speaker #3: Yes, Nishant, you're audible.

Shabana Belim: Yes, Nishant, you are audible.

Speaker #4: Okay, I have a couple of questions. So, the first one is: the company's market cap and institutional ownership have declined materially. Are there any governance or investor perception issues, like a very high concentration of related-party transactions or other concerns, contributing to this valuation discount?

[Company Representative]: I have a couple of questions. The first one is, the company's market cap and institutional ownership has declined materially. Are there any governance or investor perception, like very high concentrated of related party transactions or other concerns contributing to this valuation discount? What specific steps is the management taking to address these concerns?

[Shareholder] (Individual Investor): I have a couple of questions. The first one is, the company's market cap and institutional ownership has declined materially. Are there any governance or investor perception, like very high concentrated of related party transactions or other concerns contributing to this valuation discount? What specific steps is the management taking to address these concerns?

Speaker #4: And what specific steps is the management taking to address these concerns?

Shabana Belim: Two things, Nishant, I would like to specify here that while the management is focused more on the capabilities of operations and the business per se, the management does not really have any role in terms of the share pricing and the valuation thereof. I think there are many other factors which govern the share pricing, and I would refrain from commenting on the same. Parallelly, going forward, the promoter himself has also invested in terms of share warrants in KP Energy last year. You might have also seen through the exchange notifications that have been given, and he is very confident and he looks forward to have a larger stake in the entity.

Speaker #3: Two things, Nishant. I would like to specify here that while the management is focused more on the capabilities of operations and the business per se, the management does not really have any role in terms of the share pricing and the valuation thereof.

Speaker #3: I think there are many other factors which govern the share pricing, and I would refrain from commenting on the same. Parallelly, going forward, the promoter himself has also invested in terms of share warrants in KP Energy last year.

Speaker #3: You might have also seen through the exchange notifications that have been given. He is very confident, and he looks forward to having a larger stake in the entity.

Speaker #4: Okay, just a follow-up before I go to the second question regarding this high concentration of related party transactions, right? We’ve virtually made the company’s internal subsidiary account for, what, like 50% of orders, right?

[Company Representative]: Okay. Just a follow-up before I go to the second question regarding this high concentration of related party transactions, which virtually makes a company internal subsidiary, which is what, 50% of orders, right? These are just orders, not other transactions or FDs and deposits. Do you plan to reduce that and have more third-party orders going forward?

[Shareholder] (Individual Investor): Okay. Just a follow-up before I go to the second question regarding this high concentration of related party transactions, which virtually makes a company internal subsidiary, which is what, 50% of orders, right? These are just orders, not other transactions or FDs and deposits. Do you plan to reduce that and have more third-party orders going forward?

Speaker #4: These are just orders, not other transactions, FDs, or deposits. So, do you plan to reduce that and have more third-party orders going forward?

Speaker #3: Two things, Nishant. Yes, there are related party transactions, and these are all at arm's length. So, the only thing that exists is that both the companies are related.

Shabana Belim: Two things, Nishant. Yes, there are related party transactions, and these are all at arm's length. While the only thing that exists is that both the companies are related, everything else is more a commercial transaction, a very valued and arm's-length transaction, and I don't see anything wrong in terms of going ahead with this kind of a business. As you know that KP Energy per se is a leader in wind industry, wind EPC, and we do not have many peers who are competing with us on this matter. But then, in such a situation, if a group entity intends to get its IPP done through its sister concern or another group entity, I do not see any challenge in this.

Speaker #3: Everything else is more of a commercial transaction, a very valued and arm's length transaction. And I don't see anything wrong in terms of going ahead with these kinds of business.

Speaker #3: As you know, KP Energy per se is a leader in the wind industry and wind EPC, and we do not have many peers who are competing with us on this matter.

Speaker #3: But then, in such a situation, if a group entity intends to get its IPP done through its sister concern or another group entity, I do not see any challenge in this.

Speaker #3: On the contrary, it is more a win-win situation for both the entities, where the business of KPI—which is an IPP business with its own capex—is in safe hands in terms of execution.

Shabana Belim: On the contrary, it is more of a win-win situation for both the entities, where the business of KPI, which is an IPP business, its own CapEx, is in safe hands in terms of execution, and we look forward at ease of operation from our aspect as well. Going forward, as I said, that before also I mentioned that the supply is huge, and we are a bit picky in terms of what orders are we taking up. So definitely, third parties also stand in the same comparison when we sit down to select what orders we should pick up on.

Speaker #3: And we look forward to ease of operation from our aspect as well. Going forward, as I said before, I also mentioned that the supply is huge, and we are a bit picky in terms of what orders we are taking up.

Speaker #3: So, definitely, third parties also stand in the same comparison when we sit down to select which orders we should pick up on.

Speaker #4: Okay, thank you. Maybe the second question now. In the management, we've repeatedly highlighted expansion beyond Gujarat, right? But visible execution remains negligible. Why is that?

[Company Representative]: Okay. Thank you. Maybe the second question now. I think the management has repeatedly highlighted expansion beyond Gujarat, right? But visible execution remains negligible. Why is that, and when can we expect meaningful projects and revenue contribution from this?

[Shareholder] (Individual Investor): Okay. Thank you. Maybe the second question now. I think the management has repeatedly highlighted expansion beyond Gujarat, right? But visible execution remains negligible. Why is that, and when can we expect meaningful projects and revenue contribution from this?

Speaker #4: And when can we expect meaningful projects and revenue contribution from this?

Speaker #3: So yes, there have been certain steps we have been looking for. And as I said, we didn't want to jump without preparation or thorough preparation.

Shabana Belim: Yes, there have been certain steps. We have been looking for it. As I said, we did not want to jump without preparation or thorough preparation and did not want to be caught off guard. Karnataka is one opening where we are planning to set up a project. We are in certain advanced stage of discussions, and we look forward to have more concrete publications in terms of the same. We have already tied up on terms of connectivity, in terms of land, in terms of EHV and PSS. Soon you will hear a press release, I mean, rather, a notification in terms of this particular region.

Speaker #3: And didn't want to be caught off guard. So, Karnataka is one opening where we are planning to set up a project. We are in a certain advanced stage of discussions.

Speaker #3: And we look forward to having more concrete publications in terms of the same. We have already tied up in terms of connectivity, in terms of land, in terms of EHV and PSS.

Speaker #3: And soon you will hear a press release—I mean, rather a notification—in terms of this particular region. So, we are almost on a very, very large scale. In terms of 40%, I can say, of the total work which is required to be done, about 30% has already been acquired in terms of the work which is being done.

Shabana Belim: We are almost on a very larger scale in terms of 30%, I can say, in terms of the total work which is required to be done, about 30% has already been acquired in terms of the work which is being done. Soon you will be hearing news on the same. Rest assured, we would slowly and strongly venture into different states.

Speaker #3: So soon you will be hearing news on the same. And rest assured, we would slowly and steadily venture into different states.

Speaker #4: Okay. Last thing on that. I think in November, it was mentioned on the con call that there is a big pipeline for Rajasthan and Madhya Pradesh.

[Company Representative]: Okay, last thing on that. I think in November it was mentioned in the con call that a big pipeline is there for Rajasthan and Madhya Pradesh. Now it is nine months on, how much of that pipeline has progressed to the stage where land grid connectivity or something is secured, and is there any development in that regard?

[Shareholder] (Individual Investor): Okay, last thing on that. I think in November it was mentioned in the con call that a big pipeline is there for Rajasthan and Madhya Pradesh. Now it is nine months on, how much of that pipeline has progressed to the stage where land grid connectivity or something is secured, and is there any development in that regard?

Speaker #4: Now, it's nine months on. How much of that pipeline has progressed to the stage where land, grid connectivity, or something is secured? And is there any development in that regard?

Speaker #3: As a sponsor already mentioned in his speech, we do understand that the renewable business is growing by leaps and bounds. But one factor that is holding us back is the connectivity.

Shabana Belim: As Affan sir already mentioned in his speech, we do understand that the renewable business is growing by leaps and bound, but one factor which is holding us back is the connectivity and the grid, basically the grid. Also, as can be seen in the recent many months, since almost the last one quarter, government has been resorting to curtailment. In that event, what happens is that while many industries are generating, they are not in a position to encash this generation, which is resulting into a bit of a setback for the existing entities. The solution to this curtailment is the BESS services, and that is what we are working on parallelly to ensure that we do not become a victim of the curtailment, and together we also start getting into the business in the other states.

Speaker #3: And the grid—basically, the grid. Also, as can be seen in the recent many months, since almost the last one quarter, the government has been resorting to curtailment.

Speaker #3: And in that event, what happens is that while many industries are generating, they are not in a position to encash this generation, which is resulting in a bit of a setback for the existing entities.

Speaker #3: The solution to this curtailment is the best services, and that is what we are working on in parallel to ensure that we do not become a victim of the curtailment.

Speaker #3: And together, we also started getting into business in other states. So we are trying to find an optimized solution, and we are working on it.

Shabana Belim: We are trying to find an optimized solution, and we are working on it, and we will definitely go forward. That is the reason why I said that we are a bit picky on the orders that we have, and we just do not want to pick up anything and everything and block our resources.

Speaker #3: And we will definitely go forward. That's the reason why I said that we are a bit picky about the orders that we have. We just don't want to pick up anything and everything and block our resources.

[Company Representative]: Understood. Thank you, and all the best.

[Shareholder] (Individual Investor): Understood. Thank you, and all the best.

Speaker #4: Understood. Thank you, and all the best.

Speaker #3: Thank you.

Shabana Belim: Thank you.

Speaker #1: Thank you. The next question is from the line of Darshal Pandya from Finterest Capital. Please go ahead.

Operator 2: Thank you. The next question is from the line of Darshil Pandya from Fintresh Capital. Please go ahead.

Operator: Thank you. The next question is from the line of Darshil Pandya from Fintresh Capital. Please go ahead.

Darshil Pandya: Hello. Hi. Am I audible, ma'am?

Speaker #4: Hello. Hi. Am I audible now?

Speaker #3: Yes, Darshal, you are audible.

Shabana Belim: Yes, Darshil, you are audible.

Speaker #4: Yes, thank you. Thank you for answering the majority of the questions. Madam, I wanted to understand the pipeline that was there in the last quarter—there were 2 gigawatts of orders in the pipeline.

Darshil Pandya: Yes. Thank you. Thank you for answering majority of the questions. Madam, I wanted to understand the pipeline that was there in last quarter, that 2 gigawatts of orders were in the pipeline. So, any chance that they are materializing in this or next quarter?

Speaker #4: So, any chance of them materializing in this or next quarter?

Speaker #3: Darshal, I think I already answered this, but I would like to elaborate further. The pipeline is even larger than 2 gigawatts. But as I said, we are picking up orders selectively.

Shabana Belim: Darshil, I think I already answered this, but I would like to again elaborate.

Darshil Pandya: Okay.

Shabana Belim: The pipeline is even larger than 2 gigawatts, but as I said, we are picking up orders selectively. We can expect new coming orders in about 6 to 9 months, and we are looking forward on the same. But as of now, we are going a bit slow in terms of picking the orders, because we do not want to pick anything and everything, as I mentioned before.

Speaker #3: So yes, we can expect new incoming orders in about six to nine months, and we are looking forward to the same. But as of now, we are holding back a bit; we’re going a bit slow in terms of picking the orders because we don’t want to pick anything and everything, as I mentioned before.

Speaker #4: Correct.

Darshil Pandya: Correct.

Speaker #3: We already have a strong order book in hand of 2.16 gigawatts. And I think we will still enhance— we'll enhance our capabilities in terms of execution also.

Shabana Belim: We already have a strong order book in hand of 2.16 gigawatt.

Shabana Belim: We already have a strong order book in hand of 2.16 gigawatt. I think we will enhance our capabilities in terms of execution also, and we will also enhance our order book going forward.

Shabana Belim: I think we will enhance our capabilities in terms of execution also, and we will also enhance our order book going forward.

Speaker #3: And we will also enhance our order book going forward.

Darshil Pandya: Understood. Just from the previous gentleman who has asked the question. Madam, if we have a price contract, then we can increase the price of the contract due to geopolitical issues like this. So, what is something that this order book. Do we have this price escalation clause in our current order book, or we do not have?

Speaker #4: Understood. And just as the previous gentleman asked the question, madam, if we have a price contract, then can we increase the price of the contract?

Speaker #4: Due to geopolitical issues like this. So what is something that this order book do we have this price escalation clause in our current order book or we don't have?

Shabana Belim: So there are different contracts for different projects that we are executing, and each contract is a distinct and a separate contract. Not every contract is similar. Then again, the project is on the different stages of execution. While certain stage can attract a specific clause, a certain stage cannot. Again, I cannot give you a generalized answer on it, but we are looking into our level best to see where we can look into the possibilities of having a force majeure clause envisaged.

Speaker #3: So there are different contracts for different projects that we are executing. And each contract is a distinct and a separate contract. So not any contract I mean, not every contract is similar.

Speaker #3: And then again, the project is on different stages of execution, so while a certain stage can attract a specific clause, a certain stage cannot.

Speaker #3: So, again, I cannot give you a generalized answer on it. But we are doing our level best to see where we can look into the possibilities of having a force majeure clause.

Darshil Pandya: Yeah. Because I understand, because our current order would be something that we are trying to execute in this financial year. Assuming that we might not be at the end of the execution period, but maybe at the 60%-70% execution. That is something that we can always negotiate with the customers with regards to what is happening.

Speaker #3: In results.

Speaker #4: Yeah, I understand because our current order book is something that we are trying to execute in this financial year. So, assuming that we might not be at the end of the execution period, but maybe at the 60–70 percent execution stage.

Speaker #4: So that's something that we can always negotiate with the customers in regards to what's happening.

Shabana Belim: Yeah. I appreciate your concern, and I also understand where you are coming from. Let me tell you that there are different projects having different margins and different stages also. One which has already ended, probably we may not be in a position to put the force majeure clause there. So we are exploring it, and we will definitely come out with a best possible optimum solution for this kind of a situation.

Speaker #3: Yeah, I appreciate your concern, and I also understand where you're coming from. Let me tell you that there are different projects having different margins.

Speaker #3: And different stages also. So, one which has already ended, probably we may not be in a position to put the force majeure clause there.

Speaker #3: So, we are exploring it, and we'll definitely come out with the best possible, optimum solution for this kind of a situation.

Darshil Pandya: Understood. At the last, just as a stakeholder, madam, just take it as advice. Because we came up with the results yesterday with the dent in the margins, but we communicated it today, later half. There has been a period between this which has affected the stocks. So it would be really nice if you can come up with a thesis if something like this has happened, which can eventually inform the shareholders and the stakeholders of what has happened within the quarter. It would be really nice.

Speaker #4: Understood. And lastly, just as a stakeholder, Madam, please take this as advice. Because we came up with the results yesterday with the dent in the margins.

Speaker #4: But we communicated it today, later after. There has been a period between this which has affected our stocks. So, it would be really nice if you can come up with something persuasive like, "This has happened," which can eventually inform the shareholders and the stakeholders of what has happened during the quarter.

Shabana Belim: Okay. Thank you, Darshil Pandya. Just to let you know that probably this is the most immediate investor call that we have lined up.

Speaker #4: It would be really nice.

Speaker #3: Okay, thank you, Darshal. Just to let you know, this is probably the most immediate investor call that we have lined up. Normally, we have an investor call two to three days after the results are published.

Darshil Pandya: Right.

Shabana Belim: Normally we have an investor call, which is 2 to 3 days later after the results are published.

Darshil Pandya: I know.

Shabana Belim: Considering this sensitivity only, we ensured that the investor call be lined up on the very next day of the result. We have taken your concern, and we appreciate it.

Speaker #3: Considering this sensitivity only, we ensured that the investor call was lined up on the very next day of the result. But we have taken your concern, and we appreciate it.

Darshil Pandya: Okay, ma'am. Thank you so much for answering all my questions. All the best.

Speaker #4: Okay, thank you so much for answering all my questions. All the best.

Shabana Belim: My pleasure.

Speaker #3: My pleasure.

Operator 2: Thank you. The next question is from the line of Sunil Kumar, an individual investor. Please go ahead.

Operator: Thank you. The next question is from the line of Sunil Kumar, an individual investor. Please go ahead.

Speaker #1: Thank you. The next question is from the line of Sunil Kumar, an individual investor. Please go ahead.

Sunil Kumar: Hey, thank you for taking the question. Am I audible?

Speaker #4: Okay, thank you for picking the question. Am I audible?

Shabana Belim: Yes, Sunil, you are audible.

Speaker #3: Yes, Sunil, you're audible.

Sunil Kumar: Thanks. Ma'am, a couple of things. You already talked enough on the margin front, but what I am still not getting clarity is what is the future rate? Because for the next three quarters, what is it we are looking at? The margins have come from 40%, 40%, 50%. The revenue guidance from 40%, 50% to 30%, 40%, and we are not getting any clarity on the margin. Number one. Number two, last time when you spoke about, you said the order book value is about approximately INR 3,000 odd crores. Now, during the course of the conversation, I heard it about INR 2,100 odd crores. So where is that delta?

Speaker #4: Thanks, ma'am. A couple of things—you already talked enough on the margin front, but what I'm still not getting clarity on is: What is the future, right?

Speaker #4: Because, in terms of the next three quarters, what is it that we are looking at? Margin has come from 44 to 50 percent.

Speaker #4: Desire and revenue guidance from 40–50 percent to 30–40 percent, right? And we are not getting any clarity on the margin, number one.

Speaker #4: Number two, last time when we spoke, you said the order book value is approximately ₹3,000 crore. Now, during the course of the conversation, I heard it is about ₹2,100 crore.

Speaker #4: So, this quarter, we have booked about 519 crore gross. So, where is the delta? We have not disclosed it. Again, there were a few notes which I saw about getting an additional gigawatt of orders.

Sunil Kumar: We have not disclosed, again, there were few notes which I saw in terms of getting an additional gigawatt of order, but the value of the order was never disclosed, any of these. So if you can help us understand between the last quarter conversation, how much of additional net order which we have got, and what is that unexecuted order book which we have as on date, and what is that we are planning to complete by the end of this financial year?

Speaker #4: But the value of the order was never disclosed in any of these. So if you can help us understand between the last quarter conversation, how much of additional net order which we have got it, and what is the unexecuted order book which we have as on date, and what is that we are planning to complete by the end of this financial year?

Shabana Belim: Okay. I have taken all three questions of yours. I will answer them one by one, and in case I miss out, I would appreciate if you can repeat it later on. So coming to your question was, what is the future in terms of going ahead? Of course, I have given a clarity in terms of the margins that we can expect and the current situation that we are in. But as I said that we are going to pick up orders selectively, and we do look forward on a better margin component. However, one generic thing which I would like to elaborate, if you see the trend in most of the EPC entities, the margins of majority of the renewable sector EPC entities have dropped. I do not want to name, but there are certain entities where the margins have fallen by 12%, 7%, and 4%.

Speaker #3: Okay, I have taken all three questions of yours. I will answer them one by one, and in case I miss out, I would appreciate it if you could repeat it later on.

Speaker #3: So, coming to your question was, "What is the future in terms of going ahead?" Of course, I have given clarity in terms of the margins that we can expect and the current situation that we are in.

Speaker #3: But as I said, we are going to pick up orders selectively, and we do look forward to a better margin component. However, one generic thing which I would like to elaborate on is that if you see the trend in most of the EPC entities, the margins of the majority of the renewable sector EPC entities have dropped.

Shabana Belim: I do not want to name, but there are certain entities where the margins have fallen by 12%, 7%, and 4%. In this situation, what we have experienced is not something which is our operational issue or which is the issue only within KP Energy. It is an issue which has been prevalent within the country, and that is the reason why we are not something different than what others have been experiencing. Considering the focus that the government has, as you have seen that about 6 gigawatts of wind projects were commissioned in last year, and the emphasis that government is putting in wind segment, I see a very good future ahead. That can already be witnessed with the order book that we have on hand.

Speaker #3: I don't want to name, but there are certain entities where the margins have fallen by 12%, 7%, and 4%. And in this situation, what we have experienced is not something which is our operational issue, or which is an issue only within KP Energy.

Shabana Belim: In this situation, what we have experienced is not something which is our operational issue or which is the issue only within KP Energy. It is an issue which has been prevalent within the country, and that is the reason why we are not something different than what others have been experiencing. Considering the focus that the government has, as you have seen that about 6 gigawatts of wind projects were commissioned in last year, and the emphasis that government is putting in wind segment, I see a very good future ahead. That can already be witnessed with the order book that we have on hand. Coming to the order book question that you had asked, yes, until last quarter, we had the opening order book of INR 3,000 crores in terms of value. We have executed about INR 500 crores of business this quarter.

Speaker #3: It is an issue which has been prevalent within the country, and that is the reason why we are not something different than what we have been doing—what others have been experiencing.

Speaker #3: But considering the focus that the government has, and as you have seen, about 6 gigawatts of wind projects were commissioned last year.

Speaker #3: And the emphasis that the government is putting on the wind segment, I see a very good future ahead. And that can already be witnessed with the order book that we have on hand.

Shabana Belim: Coming to the order book question that you had asked, yes, until last quarter, we had the opening order book of INR 3,000 crores in terms of value. We have executed about INR 500 crores of business this quarter That leaves about INR 2,500. We spoke right now about INR 2,250. The gap of INR 250 is something which we are currently envisaging whether we should continue with the same business or should we take a call on de-scoping our existing order in hand. While giving the numbers to the investors, we have already factored that possibility and given you a conservative number of INR 2,250. So I answer you on that as well. In terms of gigawatt, order book in terms of gigawatt is a slightly different number than the order book in terms of value.

Speaker #3: Coming to the order book question that you had asked, yes, until last quarter, we had the opening order book of ₹3,000 crore in terms of value.

Speaker #3: We have executed about ₹500 crore of business. This quarter, that leaves about ₹2,500 crore. And we spoke right now about ₹2,250 crore. The gap of ₹250 crore is something which we are currently envisaging—whether we should continue with the same business or should we take a call on descoping our existing order in hand.

Shabana Belim: That leaves about INR 2,500. We spoke right now about INR 2,250. The gap of INR 250 is something which we are currently envisaging whether we should continue with the same business or should we take a call on de-scoping our existing order in hand. While giving the numbers to the investors, we have already factored that possibility and given you a conservative number of INR 2,250. So I answer you on that as well. In terms of gigawatt, order book in terms of gigawatt is a slightly different number than the order book in terms of value. Yes, we have contracts in terms of the capacity and in terms of value, and the capacity reduces every time the project gets energized. However, the order book is affected every time the milestone invoicing is being done. Your suggestion in terms of when we publish the order intake, we do not publish the value.

Speaker #3: While giving the numbers to the investors, we have already factored in that possibility and given you a conservative number of 2,250. So I have answered you on that as well.

Speaker #3: In terms of gigawatts, the order book in terms of gigawatts is a slightly different number than the order book in terms of value. Yes, we have contracts in terms of, I mean, the capacity and in terms of value.

Shabana Belim: Yes, we have contracts in terms of the capacity and in terms of value, and the capacity reduces every time the project gets energized. However, the order book is affected every time the milestone invoicing is being done. Your suggestion in terms of when we publish the order intake, we do not publish the value. I will definitely pass it on to the concerned person in the management. However, at times we are bound by the client requirements. The client at many times does not want us to go ahead and declare the value because they want to maintain their business secrets and that is why they deny.

Speaker #3: And the capacity reduces every time the project gets energized. However, the order book is affected every time the milestone invoicing is being done. Your suggestion in terms of when we publish the order intake: we do not publish the value.

Shabana Belim: I will definitely pass it on to the concerned person in the management. However, at times we are bound by the client requirements. The client at many times does not want us to go ahead and declare the value because they want to maintain their business secrets and that is why they deny. They actually hold us from publishing these numbers. That is the major reason why we do not come up with the value. However, I will still pass on this message to the concerned person. Have I missed out any of your questions, Sunil?

Speaker #3: I will definitely pass it on to the concerned person in the management. However, at times, we are bound by the client requirements. The client, at many times, does not want us to go ahead and declare the value.

Speaker #3: Because they want to maintain their business secrets, and that is why they deny—they actually hold us from publishing these numbers. That is the major reason why we do not come up with the value.

Shabana Belim: They actually hold us from publishing these numbers. That is the major reason why we do not come up with the value. However, I will still pass on this message to the concerned person. Have I missed out any of your questions, Sunil?

Speaker #3: However, I will still pass on this message to the concerned person. Have I missed out on any of your questions, Sunil?

Sunil Kumar: No, madam. Thank you. Again, if you cannot pass the client's name, you can just not disclose the client, but just the value, so that it helps us to understand what it is, number 1.

Speaker #4: No, madam. Thank you. But yes, so again, if you cannot share the client names, you can just not disclose the client—just provide the value so that it helps us understand what it is.

Shabana Belim: Sure.

Sunil Kumar: Second is, I definitely want to see Faruk Patel sir more often, because what it sends a message is when the going was good, he was seen more on the TV. When the going gets tough, he is probably not seen that enough. We want to make sure that, good or bad, we as investors on this company, I have pretty much invested in all the three companies, it is unfortunate that we are going through this phase. But we want to see more of Faruk Patel sir being on. Again, just be very frank and open, honest. At the end of the day

Speaker #4: Number one. Second is, like, I definitely want to see the firm potential more often. Because what it gives or sends as a message is, when the going was good, you were seeing more on the TV.

Speaker #4: When the going gets stuck, he's probably not seeing that enough. So we want to make sure that, good or bad, we as investors in this company—right, I have pretty much invested in all the three companies.

Speaker #4: It is unfortunate that we are going through this phase, right? But we want to see more of the firm's potential being on again—just to be very frank and open and honest, right?

Shabana Belim: Sure

Sunil Kumar: we as a shareholder will want to know, because it does not give the correct impression. When the going was good, he was seen more often on the TV. Now it is tough, we are not seeing that enough. That is why some of the questions, even in the past, if you look at it, why Mr. Faruk Patel is not seen in this call as well. Because earlier we used to see him in the call, he used to take some of the questions, if not all.

Speaker #4: At the end of the day, we as shareholders want to know, because it does not give the correct impression, right? Because when the going was good, you were seen more often on TV.

Speaker #4: Now, it is tough. We are not seeing that enough, right? And that's why some of the questions—even in the past, if you look at it, right—why is Mr. Faruk Patel not seen?

Speaker #4: In the investor call as well. Because earlier, we used to see him on the call. We used to take some of the questions, if not all.

Shabana Belim: Okay. Sunil Kumar, I appreciate your concerns and let me be very candid with you. What you have been apprehending is not what the fact is. The fact is that, number one, the going is not bad. I am sorry, but I would like to correct you there, that the going is great. Going forward, it is even better. As I can assure you, the market per se, the industry, is already growing by leaps and bounds, and we have immense opportunities. Honestly speaking, let us park aside the margin, but what really matters is the operational efficiency. We have delivered INR 521 crores. In such a difficult environment, I am really proud of my execution team that they have kept these numbers and they have achieved something which was very difficult in this terrain.

Speaker #3: Okay. So Lindsay, I appreciate your concerns. And let me be very, very candid with you. What you have been apprehending is not what the fact is.

Speaker #3: The fact is that, number one, the going is not bad. So, I'm sorry, but I would like to correct you there. The going is great.

Speaker #3: Going forward, it is even better. As I can assure you, the market, per se, the industry, is already growing by leaps and bounds. And we have immense opportunities.

Speaker #3: And honestly speaking, let's park aside the margin. But what really matters is the operational efficiency. And we've delivered 521 crores. And in such a difficult environment, I'm really proud of my execution team that they have kept this numbers and they have achieved something which was very difficult in this terrain.

Shabana Belim: I am rather more optimistic in terms of our capabilities, and I am rest assured that the going here onwards is going to be splendid. Now, coming to Faruk Patel sir's presence. Let me tell you, Faruk Patel sir has already been there and he will continue to be there wherever he is required and wherever he is not required, he is a silent audience watching over us, watching over our execution capacities, watching over the performances of the entire group. Wherever the growth was initially less also, Faruk Patel sir was there, and his presence has been continued, his blessings have been continued, his guidance has been continued, and one second. Just a moment, please hold on.

Speaker #3: So, I'm rather more optimistic in terms of our capabilities, and I'm rest assured that the going here onwards is going to be splendid. Now, coming to Faruk sir's presence, let me tell you, Faruk sir has already been there, and he will continue to be there.

Speaker #3: Wherever he is required, and wherever he is not required, he is a silent audience—watching over us, watching over our execution capacities, watching over the performances of the entire group.

Speaker #3: Whenever, wherever the growth was initially less also, Faruk sir was there. And he has continued. His presence has continued. His blessings have continued.

Speaker #3: His guidance has continued. And—one second. Just a moment. Please hold on.

Sunil Kumar: Sure.

Sunil Kumar: Sure. Faruk sir wants to speak.

Faruk Patel: Faruk sir wants to speak.

Speaker #4: Sure.

Speaker #3: Hey, Faruk sir बोलना चाहता है. We have Dr. Faruk Patel on the call. He would like to say something to you. We have him on another phone call.

Shabana Belim: We have Dr. Faruk Patel on call. He would like to say something to you. We have him on another phone call. Sir, please go ahead. Mr. Sunil Kumar is here.

Speaker #3: Sir, please go ahead. Mr. Sunil Kumar is here.

Sunil Kumar: Hey, Faruk sir, thank you so much for coming on, sir. Go on, sir.

Speaker #4: Hey, Faruk sir. Thank you so much for coming on. What do you think?

Faruk Patel: According to me, the results that are there are excellent results, excellent hard work is being done, and in the future, a very big work is going to be done, Sunil, understand this, number one. Second is that the way we have designed it and the team that is working on it, this team is signaling both you and me that they are going to do very big things in the future, and in the current scenario, there is no other alternate in India for renewables for the next 15 years. We should understand this. For the time being situation, something is going tough, but it is not necessary that we have to think on only tough position. We have gone through good days before, and these are some days, they will pass.

Speaker #5: Hey, it is not मेरे हिसाब से ये जो अभी जो रिजल्ट वगैरह है, एक्सीलेंट रिजल्ट ही है। एक्सीलेंट मेहनत भी हो रही है। और आगे चलके ये बहुत बड़ा काम होने वाला है। सुनील, एक बात समझ लेना। नंबर वन, दूसरा ये कि हम लोग जो हिसाब से आगे डिजाइन किया हुआ है और उस पाथ के ऊपर में टीम जो चल रही है, ये टीम आपको और मेरे को दोनों को सिग्नल दे रही है कि दे आर गोइंग टू डू अ वेरी बिग थिंग इन अ फ्यूचर। और रिन्यूएबल का आज की तारीख में अगले 15 साल तक इंडिया में और कोई अल्टरनेट नहीं है। तो हम लोगों को ये समझ के चलना चाहिए। ओके?

Speaker #5: For the time being, situation—something is going tough. But it is not necessary that we have to be thinking only about the tough position. Hum logon ne acche din nikaale hain pehle. Aur yeh kuch din hain, woh nikal jayenge. Lekin end of the year, you will see a significant change. And you will see significant top and bottom line growth in the company, in the group. Don't worry at all, to all my investors and all my shareholders, including everyone.

Faruk Patel: But end of the year, you will see the significant change, and you will see the significant top and bottom line growth in the company, in the group. Don't worry at all. To my all the investors and my all the shareholders, including everyone.

Shabana Belim: Thank you, sir. Thank you for your kind words.

Speaker #3: Thank you, sir. Thank you for your kind words.

Sunil Kumar: Thank you so much, sir. It is so reassuring. What happens is, sir, everyone at home says that when an elder speaks, we take their advice. They have a lot of value. I know Ms. Shabana Belim is doing a fantastic job. The others are also there in the call, but coming from you is very reassuring. So thank you so much, Faruk sir.

Speaker #4: थैंक यू सो मच, सर। इट इज सो रिअशुरिंग। क्या होता है, ना सर? देखो, घर पे सब बोलते हैं। जब कोई बड़े बुजुर्ग बोलते हैं, तो उनकी सलाम देते हैं। उन सब उनकी वैल्यू बहुत होती है। राइट?

Speaker #4: I know Shabana ma'am is doing a fantastic job. The others are also there in the call. But coming from you, it's very, very reassuring. So thank you so much, sir.

Speaker #5: और फिर वन थिंग इज वेरी क्लियर, सुनील, दैट बड़े लाइटर नोट पे बड़ा बुजुर्ग तो नहीं हो चुका हूं। अभी तो मैं जवान हूं। अभी तो मैं जवान हूं। सोशल रहिएगा कि सोशल रहिएगा कि इतनी ही ताकत के साथ में अभी भी हम काम कर रहे हैं। और इसको बहुत आगे ले जाना है। पहले की परिस्थिति के मुकाबले अभी की परिस्थिति बहुत अच्छी है। जब कुछ नहीं था, तो यहां तक पहुंच गया। तो बहुत कुछ है। सुनील जी, बहुत आगे बढ़ना है हमको। और आपकी वन ऑफ द वन ऑफ द बेस्ट आपको कुछ ही सालों के अंदर उभर के आएगा ये ग्रुप। और ये कंपनी भी। और आप जरा भी चिंता ना करिए। सब मिलके हम सब मिलके और सेकंड जनरेशन भी शुरू हो चुका है। और बहुत सारे अच्छे लोग कंपनी में जुड़ चुके हैं। आपको मैं थोड़ा सा बता दूं, एज अ ईडी, वी हैव गॉट दी मिस्टर राजेश श्रीवास्तव। एज अ वाइस चेयरमैन, वी हैव गॉट दी आई एम एलुमिनी। आई एम के जो डीन है, वो हमारे साथ जुड़ चुके हैं। इन द ग्रुप टीम को, वी हैव दी कपिल कृपलानी इज देयर। और फॉर योर और आवर मतलब फैसिलिटी और अच्छा कॉन्फिडेंस लेने के लिए वीडियो को इंट्रोड्यूस कर दिया। एक साथ में चार चेंजेस आप समझ सकते हैं कि हाउ अग्रेसिव वी आर एंड हाउ कमिटेड वी आर। तो उस हिसाब से आप जरा भी चिंता ना करें। और यकीन रखें कि हम सब साथ में हैं। और मैं एकदम से अग्रेसिव हूं। पहले से कई गुना ज्यादा पावर के साथ में हूं। ऑफ कोर्स, अनफॉर्चूनेटली, आई कैन नॉट जॉइन द कॉल, बट डायरेक्टली फॉर समवन एल्स। लेकिन मैं आप लोगों के और कंपनी के साथ में हूं।

Faruk Patel: One thing is very clear, Sunil, that on a lighter note, I have not become an old man. I am still young. I am still young. Rest assured रहिएगा कि इतनी ही ताकत के साथ में अभी भी हम काम कर रहे हैं और इसको बहुत आगे ले जाना है। पहले की परिस्थिति के मुकाबले अभी की परिस्थिति बहुत अच्छी है। अगर कुछ नहीं था तो यहां तक पहुंच गया तो बहुत कुछ है। सूर्यजी, बहुत आगे बढ़ना है हमको।

Vinod Jain: Thank you so much sir, हम साथ हैं आपके साथ।

Sunil Kumar: Thank you so much sir, हम साथ हैं आपके साथ।

Faruk Patel: One of the best आपको कुछ ही सालों के अंदर उभर के आएगा यह group और यह company भी और आप जरा भी चिंता ना करिए। हम सब मिलकर और second generation शुरू हो चुका है और बहुत सारे अच्छे लोग company में जुड़ चुके हैं। आपको मैं थोड़ा सा बता दूं as a ED we have got Mr. Rajesh Srivastava, as a Vice Chairman we have got the IIM alumni, IIM के जो Dean हैं वो हमारे साथ जुड़ चुके हैं। In group CFO we have Kapil Kriplani is there और good facility और अच्छा confidence लेने के लिए Vijay को introduce कर दिया। एक साथ में चार change हैं। आप समझ सकते हैं कि how aggressive we are and how committed we are.

Faruk Patel: तो उस हिसाब से आप जरा भी चिंता ना करें और यकीन रखें कि हम सब साथ में हैं और मैं एकदम से aggressive हूँ, पहले से कई गुना ज्यादा power के साथ में हूँ। Of course, unfortunately I cannot join the call directly sir, समझ में है लेकिन मैं आप लोगों के और company के साथ हूँ।

Vinod Jain: Thank you so much, sir.

Sunil Kumar: Thank you so much, sir.

Shabana Belim: Thank you, sir. Thank you.

Speaker #4: Thank you so much, sir. Thank you so much.

Speaker #3: थैंक यू, सर। थैंक यू।

Vinod Jain: Thank you, ma'am.

Sunil Kumar: Thank you, ma'am.

Operator 2: Thank you.

Operator: Thank you.

Vinod Jain: That is all from my side. It is very reassuring.

Sunil Kumar: That is all from my side. It is very reassuring.

Speaker #4: Thank you, ma'am. That's all from my side. It is very, very reassuring.

Shabana Belim: Thank you.

Speaker #3: थैंक यू।

Operator 2: Thank you. The next question is from the line of Kanishk Gupta from SS Family Office, please go ahead. Mr. Gupta has left the queue. As there are no further questions from the participants, I would now like to hand the conference over to the management for closing comments.

Operator: Thank you. The next question is from the line of Kanishk Gupta from SS Family Office, please go ahead. Mr. Gupta has left the queue. As there are no further questions from the participants, I would now like to hand the conference over to the management for closing comments.

Speaker #2: Thank you. The next question is from the line of Kanishk Gupta from SS Family Office. Please go ahead. Mr. Gupta has left the queue. And as there are no further questions from the participants, I would now like to hand the conference over to the management for closing comments.

Vinod Jain: Okay, thank you. Thanks everyone for your active participation in the call. Hope we have been able to answer all your queries satisfactorily. For any additional query, please feel free to write to us at our email address given on the investor presentation as well as on our website. We look forward to staying in touch with you all. Thank you very much.

Speaker #1: Thank you. Thanks, everyone, for your active participation in the call. Hope we have been able to answer all your queries satisfactorily. For any additional query, please feel free to write to us at our email address given on the investor presentation as well as on our website. We look forward to staying in touch with you all. Thank you very much.

Shabana Belim: Thank you.

Vinod Jain: Thank you.

Speaker #3: थैंक यू। थैंक यू।

Operator 2: Thank you. On behalf of Share India Securities Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines.

Operator: Thank you. On behalf of Share India Securities Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines.

Speaker #2: थैंक यू। ऑन बिहाफ ऑफ शेयर इंडिया सिक्योरिटीज लिमिटेड, दैट कंट्रीब्यूट्स दिस कॉन्फ्रेंस। थैंक यू फॉर जॉइनिंग अस। एंड यू मे नाउ डिस्कनेक्ट योर लाइंस।

Vinod Jain: Good.

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