Q1 2027 Gujarat Pipavav Port Ltd Earnings Call

August 13, 2026

Speaker #1: Thank you. Sorry for the inconvenience, and because of the technical glitch. We'll— we'll restart again now.

Speaker #2: So, morning everyone. This is Manish Agnihotri, and we are—

Speaker #3: Welcome to Q1, FY27 earnings call of Gujarat Pipavav Quote Limited. We have, Girish Aggarwal, Managing Director, and Santosh Breed, CFO. Girish will start with the opening remarks, the financial performance of the company, and the overall business.

Speaker #3: And then we'll open the floor for Q&A. Over to you, Girish.

Speaker #1: Thank you, Manish. the company delivered a strong financial performance this quarter. Year-on-year, revenue for the quarter was higher by 33%, EBITDA was higher by 45%, with margins at 64%.

Speaker #1: EBIT was higher by 58%, and net profit was higher by 46%. This includes duty benefit scripts that, of FY15, 16, 16, 17, totaling 31.6 crores.

Speaker #1: Excluding this, the underlying performance revenue was higher for the quarter by 20%, EBITDA was higher by 25%, with margins at 61%, which is a 200 basis points expansion.

Speaker #1: EBIT was higher by 31%, and net profit was higher by 24%. In terms of volumes, containers were up by 3%. This is in spite of the Middle East conflict.

Speaker #1: RORO was up by 53%. Dry bulk was down by 7%, largely minerals, and liquids was down by 47%, with a significant 63% decline in LPG volumes.

Speaker #1: In terms of overall financial year outlook, we now are looking at an overall EBIT growth between 2020 and 2024%, year-on-year. RORO is expected to have a volume of about 260 to 270,000 carts, liquids is expected between 1.3 million to 1.4 million metric tons, bulk is expected between 2.4 to 2.6 million metric tons, and containers is expected to have a 4 to 5% increase at approximately 700,000 TUs.

Speaker #1: I will pause here and then— you know, answer any questions that you may have.

Speaker #3: Thanks, Girish. So the floor is open for Q&A. Deepak, please go ahead with your questions.

Speaker #2: Yeah, hi. good morning, Manish. Thank you very much for the, guidance over here. Could you please repeat the guidance again, because you were a little fast and it's very difficult to grasp over the line?

Speaker #1: EBIT growth of 2020 to 2024%, containers approximately 700,000 TUs, about a 4 to 5% increase, RORO at 260 to 270,000 carts, liquid between 1.3 to 1.4 million metric tons, and bulk between 2.4 to 2.6 million metric tons.

Speaker #2: Okay. Thank you very much. Now, coming back to the container performance, right, I recall that during the last call you had guided somewhere around 5 to 7% growth during the first quarter.

Speaker #2: Volumes did grow by about 3%, but I just wanted to understand: where was the gap, and do you think that the new service, which is coming through from the July quarter, and also what is the situation with respect to normalization of services, any comments around that would be helpful with respect to the container cargoes?

Speaker #2: And then I'll move on to the other questions.

Speaker #1: So container essentially— I mean, it's been a difficult quarter. With the Middle East conflict. We have one service: Shaheen, which is a Middle East service between us and Jebel Ali.

Speaker #1: Which has remained suspended so far. We are now assuming it will remain suspended for the, you know, full financial year, or the remainder of the year.

Speaker #1: And that is a substantial 70 to 80,000 TU kind of volume that we will lose this year because of Shaheen. But what has helped is the growth from the new service, which started towards the end of June.

Speaker #1: So we believe— of course, the full year impact will be in the next 9 quarters. FY2, this is a mess service. What we have also done now is, you know, multiple opportunities of transshipment that are available.

Speaker #1: We're going in— and we've captured some of that proactively, and we expect that to kind of stay with us for at least the next 3 to 4 months, and then we'll see how that progresses.

Speaker #1: So overall, the guidance is still around 4 to 5% growth on the container volume for the financial year.

Speaker #2: Okay. And for this FY2 service, with Musk, which has started since end June, what is the contribution of this particular service? If you— if there's some information available on

Speaker #1: Yeah, so, I mean, it's early days, right? So it's about 4 calls that have happened so far. Usually the services start small and then they start to grow.

Speaker #1: But I would expect that— I mean, not Shaheen will be gone for 12 months and assuming 9 months of this, but I'd like to like basis, it will eventually turn out to be similar to Shaheen.

Speaker #1: Volume on a weekly basis.

Speaker #2: Okay, okay. And with respect to the gas outlook, right, now 1.3 to 1.4 is somewhere about 8 odd percent decline year-on-year. Now, this implies that there's sequential improvement during the rest of the quarters, compared to where we were in the first quarter.

Speaker #2: What are the trends which you have seen so far in July and middle of August? If you could allude to how the second quarter is performing, with respect to liquid particularly, and if you can, about the rest of the cargoes as well.

Speaker #1: No, so I will not comment on this quarter's how we are doing from our overall volume perspective. I can give you overall guidance.

Speaker #2: Okay.

Speaker #1: Roughly a 0.3 million decline over last year's 1.6 gives us an overall decline of about 18%, right? So we expect a 15 to 20% decline in volumes as on the overall liquid side.

Speaker #1: Liquids is obviously— you know, the first quarter is difficult, but now LPG started to come from the US, so we do expect some catch-up happening in the remainder of the year.

Speaker #2: Okay. Okay. And if Santosh can help us with the realizations, because it seems that on a like-for-like basis, excluding the script for the duty reversals, right, the realizations seem to be on the higher side.

Speaker #2: So if you could run us through the typical numbers which you help us with, right, that would be insightful.

Speaker #1: Sure, sure. So the realization for container is around 9,500 to 10,000 rupees per TEU. Now, this change which has happened has compared to the previous quarter, driven mainly by two things.

Speaker #1: One, of course, the favorable exchange rate, benefiting in this quarter. And second, is the tariff increase what we had taken in January. Some of those have started materializing based on the contractual arrangement with the customers from this quarter.

Speaker #1: So those two are the key reasons for the change in the realization. Having said this, what you see in the numbers are substantially higher.

Speaker #1: So one is the ACIS, or the duty scripts, what we have mentioned. But apart from that, we also had some one-offs. On the provision reversal, as well as the opportunities what we got on the ad hoc opportunities what we got for transshipment volumes, the storage revenue on those, also helped us to push the revenue up.

Speaker #1: So that one-off also sitting in this number. That's why you see the realization on the higher side.

Speaker #2: Okay. And for the bulk liquid, is it the same run rate as what we saw last quarter, or are you seeing—

Speaker #1: That's right. So for bulk and— so bulk remains at 650 to 750 rupees per metric ton. And liquid remains at 650 to— sorry, liquid is a bit better, you know, with the cargo mix for this quarter, around 650 to 700 rupees per metric ton.

Speaker #2: Okay. Okay. That's very helpful. And Girish and Santosh, both of you, if you can help me with— we're seeing a lot of news flow about containers being backlogged in most ports in India.

Speaker #2: Be it Mundra, be it Navashiva, right? And there are even reports of carriers having to skip calls because they cannot load or offload because of the excessive waiting times.

Speaker #2: So if you could help us understand what kind of congestions— if at all there are any in your port, and if there's no congestion, or if it is a manageable level, are you seeing an opportunity to capture ad hoc calls?

Speaker #2: Because your peers are unable to handle those vessels.

Speaker #1: No, so currently there are no congestions in Pipavav. Monsoons, of course, always remains— I mean, at times it's difficult, but in general, our port is fully functional.

Speaker #1: No berthing delays largely for any vessels, which is the situation. And we— and that's why I said, you know, in spite of the fact that we are not a loose Shaheen, we are aggressively looking at tapping opportunities of transshipment, which we've done this quarter.

Speaker #1: We'll— we see that continuing to happen. So yes, so that's going to happen. There's also, of course, a subject to, you know, the draft and the vessel requirements, etc.

Speaker #2: Okay. So is it fair to conclude that you might get some opportunities because your—

Speaker #1: Yeah, we are already getting. Yeah, yeah, we are already—

Speaker #2: You are already getting that. Okay, okay. That makes sense. And the standard question with respect to the concessions, any developments since we last spoke three months back?

Speaker #1: Yeah, I think things are progressing. Positively with the Gujarat Maritime Board. Again, there are no red flags. Also, nothing further to report where we are today vis-à-vis three months back.

Speaker #1: But I will be coming back to you as soon as if we have something from the GMP. But things moving in the right direction.

Speaker #2: Okay. Thank you. And my last question is, what are the capex outlay for this year, if you could help us understand that? Any changes since we last spoke, and if you can put a number to what you expect the capex to be for this year, including the expansion which you're doing in the liquid jetty?

Speaker #1: Yeah, so no major changes. What we spoke from last, but we expect around close to around 200 CR to be spent. And again, major spend is happening on the liquid jetty, what we are going to commission in the this financial year.

Speaker #2: Okay. Thank you, gentlemen. And good luck with the recovery in liquids and containers.

Speaker #1: Thank you.

Speaker #2: Thank you.

Speaker #3: Mr. Rajiv Rupani, please go ahead.

Speaker #4: Yes, sir. Thank you for the opportunity. This is my first call, and I'm new to the company. And I have a follow-up question on the concession agreement.

Speaker #4: So you have said that the talks are progressing well. So I mean, when do we come to know— I mean, because the concession agreement expires in September 28, so we will come to know in the year 28 only, or one year before, or what?

Speaker #4: This is my first question.

Speaker #1: So, it's difficult to answer that question. It's entirely depends on the Gujarat Maritime Board and government of Gujarat. So what I can confirm, as soon as we get to here, we will disclose it.

Speaker #4: Okay. My next was a follow-up question. So once we get the approval, right, you have mentioned that a parent APM will invest about 17,000 crores for expansion.

Speaker #4: So this total investment will be made by the parent only, or GPPL will make investments? Could you clarify?

Speaker #1: This is a GPPL investment.

Speaker #4: So the whole investment will be made by GPPL?

Speaker #1: Yes.

Speaker #4: Okay. And could you also guide us in how much will be invested in phases, and how much time will it take? What will be your capacity afterwards?

Speaker #4: Some brief idea, please.

Speaker #1: I think that brief idea today, Rajiv ji, it is not possible. We— there's a lot of things that will go before we get to that discussion.

Speaker #1: I think the overall contours of 17,000 crores are broadly known, but we're still working with our master plan, business plan. We will discuss this with Gujarat Maritime Board whenever they want us to have that discussion.

Speaker #1: Agree with them, and then come back, right? At this point in time, it is very premature.

Speaker #4: Okay. And my next question was this: capex for the liquid cargo. And our capacity is going from 2 million metric tons to 5 million.

Speaker #4: So when does it get complete? And how much will it add to our revenues, approximately?

Speaker #1: Yeah, so current closure is March 2027. So no impact this financial year. And then, you know, it will progressively grow. So we— I don't have ready information to give you in terms of what's the revenue additive, in 2027, 2028.

Speaker #1: Are you looking at 2027, 2028, or?

Speaker #4: Yeah, 2027, 2028, approximately.

Speaker #1: Okay, but that we can get back to you separately.

Speaker #4: Okay. And what will be the capacity utilization you expect of this 5 million metric tons? Approximately. Once it's complete?

Speaker #1: This— this will be phased over a period of time, right, in terms of growth, right? Not the entire thing will come— I mean, we will not fill the jetty up immediately as it gets commissioned, right?

Speaker #1: So it will progressively improve. But we expect over the next 3 years, we should be back to 3 to 4 years, we should be back to 4.

Speaker #4: Thank you. Thank you. That took so much.

Speaker #1: Thank you.

Speaker #3: Neelotpal, please go ahead with your question.

Speaker #5: Hi, sir. Good morning. And congratulations on a great set of numbers. Just wanted to harp on this additional revenue that we have secured aside of the duties grips.

Speaker #5: These one-off provisions and ad hoc opportunities. Can you quantify approximately how much did they contribute additionally to the revenue? And secondly, is that something we should assume at a sustainable rate?

Speaker #5: For the year.

Speaker #1: So first of all, these are very ad hoc, right? So these are not something which we can say is sustainable. The opportunities will keep on coming on transshipment, and then, of course, we'll use those opportunities.

Speaker #1: And we'll have some additional revenue. But it's difficult to quantify what those revenues will be. And even on the provisions, again, these are one-off.

Speaker #1: So I will add a lot to quantify anything on that front as well.

Speaker #5: And just a clarification, our realizations on the transshipment volumes compared to non-transshipment would be lower, or how does that make sense? They are lower.

Speaker #1: They're lower. However, what is also happening and, you know, there was this question also on the congestion, et cetera, in the other ports. There is additional— it comes with additional storage.

Girish Aggarwal: on those also helped us to push the revenue up. That one is also sitting in this number, that's why you see the realization on the higher side.

Speaker #1: On those, also help us to push the revenue up. So that one is also sitting in this number, that's why you see the realization on the higher side.

Speaker #1: It comes with additional— even a lot of these transshipment is also reefer. So that also comes with additional charges. So in general, I think we've been able to— there's not too much of a difference, at least what we saw this quarter.

Speaker #2: Okay. And for the bulk liquid, is it the same run rate as what we saw last quarter, or are you seeing—

[Analyst] (HSBC): Okay. Then for the bulk liquid, is it the same run rate as what we saw last quarter, or you're seeing-

Girish Aggarwal: That's right. So bulk remains at INR 650 to INR 750 per metric ton, and liquid is a bit better with the cargo mix for this quarter, around INR 650 to INR 700 per metric ton.

Girish Aggarwal: That's right. So bulk remains at INR 650 to 750 per metric ton, and liquid is a bit better with the cargo mix for this quarter, around INR 650 to INR 700 per metric ton.

Speaker #1: That's right. So the for bulk and so bulk remains at 650 to 750 rupees per metric ton, and liquid remains at 650 to, sorry, liquid is is bit better, you know, with the cargo mix for this quarter, around 650 to 700 rupees per metric ton.

Speaker #1: Let's see how that goes the next quarter.

Speaker #5: Got it, sir. And my second question was with respect to this Kandla-Gorakhpur pipeline. Is that spur now complete on the last, last call? I think you mentioned around 8 odd kilometers was pending.

Speaker #2: Okay, okay, that's very helpful. And Grecian, Santosh, both of you, if you can help me with—we're seeing a lot of news flow about containers being backlogged in most ports in India.

[Analyst] (HSBC): Okay. That's very helpful. Girish and Santosh, both of you, if you can help me. We are seeing a lot of news flow about containers being backlogged in most ports in India, be it Mundra, be it Nhava Sheva. There are even reports of carriers having to skip calls because they cannot load or offload because of the excessive waiting times. So if you could help us understand what kind of congestions, if at all, there are any in your port, and if there's no congestion or if it is a manageable level, are you seeing an opportunity to capture ad hoc calls because your peers are unable to handle those vessels?

Speaker #1: Yeah, 7 odd kilometers we are now expecting October, this year. That's the current, current timeline that I have.

Speaker #5: All right, sir. Those were my questions. Thank you so much.

Speaker #2: Be it Mundra, be it Nhava Sheva, right? And then there are even reports of carriers having to skip calls because they cannot load or offload due to the excessive waiting times.

Speaker #3: Thank you. Mr. Rajiv Rupani, you have some more questions? You have your hand raised.

Speaker #2: So if you could help us understand what kind of congestions—if at all there are any—in your port, and if there's no congestion or it is at a manageable level, are you seeing an opportunity to capture ad hoc calls?

Speaker #4: And a follow-up question. This— what will be the dividend policy going forward? Since—

Speaker #1: Yeah, sorry, the board will decide the dividend policy. As of now, there's no change to the policy. As in when the board decides a change, we would communicate that.

Speaker #2: Because your peers are unable to handle those vessels.

Speaker #4: Okay. Thank you.

Speaker #1: No, so currently there are no congestions in Pipavav. Monsoons, of course, always remain— I mean, at times it's difficult, but in general, our port is fully functional.

Girish Aggarwal: No. Currently, there are no congestions in Pipavav. Monsoons, of course, always remains. At times is difficult, but in general, our port is fully functional, no berthing delays, largely for any vessels, which is the situation. That's why I said, in spite of the fact that we are not a loser, we are aggressively looking at tapping opportunities of transshipment, which we've done this quarter. We see that continuing to happen. Yes, that's going to happen. It is also, of course, subject to the draft and the vessel requirements, et cetera.

Speaker #3: Thank you. Mr. Parimal Mithani, please go ahead with your questions.

Speaker #2: Can you hear me?

Speaker #3: Yeah, please go ahead.

Speaker #2: Yeah. Sir, recently the parent has made a lot of statements regarding the Indian markets. And is there any thought process how does— how do you see your business over the next 3 to 4 years?

Speaker #1: No berthing delays largely for any vessels, which is the situation. And that's why I said, you know, in spite of the fact that we are not a major hub, we are aggressively looking at tapping opportunities of transshipment, which we've done this quarter.

Speaker #2: And they've made—

Speaker #1: We'll—we see that continuing to happen. So yes, that's going to happen. There's also, of course, subject to the draft and the vessel requirements, etc.

Speaker #1: Sorry, yeah. What were you talking about, the parent? I'm sorry, you're not very clear.

Speaker #2: AP Mulher has made substantial commitments about India, growth prospects, and, you know, about investments in Indian in terms of sports and all. Can you give a— if there's any guidelines, how do you see your business going for next 3 to 4 years from here or so?

Speaker #2: Okay. So is it fair to conclude that you might get some opportunities because your peers—

[Analyst] (HSBC): Okay. Is it fair to conclude that you might get some opportunities because your peers?

Speaker #1: No, no. So the guidelines, et cetera, guidance given by AP Mulher, I cannot comment. I can only comment only on from a GPPL matter perspective.

Girish Aggarwal: We are already getting.

Speaker #1: Yeah, we're already getting— yeah, yeah, we're already—

[Analyst] (HSBC): You are already getting that.

Speaker #2: You are already getting that? Okay, okay, that makes sense. And the standard question with respect to the concessions—any developments since we last spoke three months back?

Girish Aggarwal: Yes.

[Analyst] (HSBC): Okay. That makes sense. The standard question with respect to the concessions, any developments since we last spoke three months back?

Speaker #1: If you're saying what is the GPPL's outlook for the next 3, 4 years, is that how I should see your question? Yeah, yeah. I mean, I think, of course, a lot is dependent on the concession extension.

Speaker #1: Yeah, I think things are progressing positively with the Gujarat Maritime Board. Again, there are no red flags. Also, nothing further to report where we are today vis-à-vis three months back.

Girish Aggarwal: Yeah, I think things are progressing positively with the Gujarat Maritime Board. Again, there are no red flags. Also, nothing further to report where we are today vis-a-vis three months back. I will be coming back to you as soon as we have something from the GMB, but things moving in the right direction.

Speaker #1: So hence, we do not go out and give an overall guidance for the next 3 to 5 years. So the right thing would be that we secure the concession, and then we— any which ways come back to what we plan to do.

Speaker #1: But I will be coming back to you as soon as we have something from the GMB. But things are moving in the right direction.

Speaker #2: Okay, thank you. And my last question is: What is the capex outlay for this year, if you could help us understand that? Have there been any changes since we last spoke? And if you can, please put a number to what you expect the capex to be for this year, including the expansion that you’re doing in the liquid jetty.

[Analyst] (HSBC): Okay. Thank you. My last question is, what are the CapEx outlay for this year, if you could help us understand that. Any changes since we last spoke, and if you can put a number to what you expect the CapEx to be for this year, including the expansion which you are doing in the liquid jetty.

Speaker #1: I mean, there are a lot of questions about the investment, et cetera, et cetera. So you know, as the business plan unfolds, then we can, you know, talk about it.

Speaker #1: It's, again, as I said, a little premature. Let the concession thing get closed out first.

Speaker #2: Okay, okay. Thank you.

Speaker #1: Yeah, so no major changes from what we spoke about last time, but we expect close to about 200 crore to be spent. And again, the major spend is happening on the liquid jetty, which we are going to commission in this financial year.

Girish Aggarwal: Yeah. So no major changes are what we spoke from last, but we expect close to around INR 200 CR to be spent. Again, major spend is happening on the liquid jetty, what we are going to commission in this financial year.

Speaker #3: Thank you. Any questions from anybody else? Let's continue. Please go ahead with your questions.

Speaker #2: Okay. Thank you, gentlemen, and good luck with the recovery in liquids and containers. Thank you.

[Analyst] (HSBC): Okay. Thank you, gentlemen, and good luck with the recovery in liquids and containers.

Speaker #4: Yeah, hi, sir. Thanks for the opportunity. A couple of questions. Firstly, on the realizations side, right? Even bulk looks slightly high, if I understood the number, 650 to 750.

Girish Aggarwal: Thank you.

Operator: Thank you. Mr. Rajiv Rupani, please go ahead.

Speaker #1: Mr. Rajiv Rupani, please go ahead.

Speaker #4: Is there anything that we should note there? I mean,

Speaker #3: Yes, sir. Thank you for the opportunity. This is my first call, and I'm new to the company, so I have a follow-up question on the concession agreement.

Rajiv Rupani: Yes, sir. Thank you for the opportunity. This is my first call, and I am new to the company. Sir, I have a follow-up question on the concession agreement. You have said that the talks are progressing well. So when do we come to know, because the concession agreement expires in September 2028, so we will come to know in the year 2028 only, or one year before, or what? This is my first question.

[Analyst 1]: Yes, sir. Thank you for the opportunity. This is my first call, and I am new to the company. Sir, I have a follow-up question on the concession agreement. You have said that the talks are progressing well. So when do we come to know, because the concession agreement expires in September 2028, so we will come to know in the year 2028 only, or one year before, or what? This is my first question.

Speaker #1: The question is on bulk realization?

Speaker #4: Yeah. Yeah, yeah.

Speaker #3: So, you have said that the talks are progressing well. So, I mean, when do we come to know, okay—I mean, because the concession agreement expires in September '28—so will we come to know in the year '28 only, or one year before, or what?

Speaker #1: So as I mentioned, of course, the realizations have been maintained. So there is no impact on the realization. The change is what you say is mainly because the cargo mix, that has been handled.

Speaker #4: Understood, sir. And sir, secondly, on the concession agreement, what is the kind of conversation that is happening with the maritime board? Is it that they'll call for a bidding, and then there will be a ROIF or kind of thing?

Speaker #3: This is my first question.

Speaker #1: So it's difficult to answer that question. It entirely depends on the Gujarat Maritime Board and the Government of Gujarat. What I can confirm is, as soon as we get to hear, we will disclose it.

Girish Aggarwal: It is difficult to answer that question. It entirely depends on the Gujarat Maritime Board and Government of Gujarat. I can confirm, as soon as we get to hear, we will disclose it.

Speaker #4: Or is it some methodology that's been discussed? Or is it like, you know, a one-on-one negotiation? What is the— what was the options that you thought are happening there?

Speaker #3: Okay. My next was a follow-up question. So once we get the approval, right, you have mentioned that the parent, APM, will invest about ₹17,000 crore for the expansion.

Rajiv Rupani: Okay. My next was a follow-up question. Once we get the approval, you have mentioned that a parent, A.P. Moller - Maersk, will invest about INR 17,000 crores for expansion. This total investment will be made by the parent only, or GPPL will make investments? Could you clarify?

[Analyst 1]: Okay. My next was a follow-up question. Once we get the approval, you have mentioned that a parent, A.P. Moller - Maersk, will invest about INR 17,000 crores for expansion. This total investment will be made by the parent only, or GPPL will make investments? Could you clarify?

Speaker #1: So that cannot be discussed here, Kundanya. I mean, I think it is suffice to say that we are progressing well with our discussions with Gujarat Maritime Board.

Speaker #3: So, this total investment will be made by the parent only, or will GPPL also make investments? Could you clarify?

Speaker #1: And anything that comes up, we will then disclose. I mean, at this point in time, there is nothing to disclose. Neither there is any red flag that, you know, you know, we are at least at the management level worried about.

Speaker #1: This is a GPPL investment.

Girish Aggarwal: This is a GPPL investment.

Speaker #3: So, the whole investment will be made by GPPL?

Rajiv Rupani: The whole investment will be made by GPPL?

[Analyst 1]: The whole investment will be made by GPPL?

Speaker #1: Yes.

Girish Aggarwal: Yes.

Speaker #3: Okay. And could you also guide us, okay, on how much will be invested in phases, and how much time it will take? What will be your capacity afterwards?

Rajiv Rupani: Okay. Could you also guide us, how much will be invested in phases, and how much time will it take? What will be a capacity afterwards? Some brief idea, please.

[Analyst 1]: Okay. Could you also guide us, how much will be invested in phases, and how much time will it take? What will be a capacity afterwards? Some brief idea, please.

Speaker #4: Okay, sir. Good to hear that. Thank you very much, and all the best.

Speaker #3: Thank you. Nisha Aggarwal, please go ahead.

Speaker #3: Some brief idea, please.

Speaker #5: Yes, sir. Hi. Hi. I just had one question on the bulk side of the business, sir. In the last on-call, we had a guidance of a decline of 8 to 10 percent, while we see actually that we have seen a 15 percent rise in the bulk side of the business, which is entirely led by the minerals and others, while the fertilizers stayed flat.

Speaker #1: I can't give that brief idea today, Rajivji. It is not possible. There are a lot of things that need to happen before we get to that discussion.

Girish Aggarwal: I think that brief idea today, Rajiv, it is not possible. There is a lot of things that will go before we get to that discussion. I think the overall contours of INR 17,000 crores are broadly known. But we are still working with our master plan, business plan. We will discuss this with Gujarat Maritime Board whenever they want us to have that discussion, agree with them, and then come back. At this point in time, it is very premature.

Speaker #1: I think the overall contours of ₹17,000 crores are broadly known, but we're still working with our master plan and business plan. We will discuss this with the Gujarat Maritime Board whenever they want us to have that discussion.

Speaker #5: So my question would be, is it because of coal, was coal the primary driver of it, or was it iron ore cement or steel?

Speaker #1: Agree with them, and then come back, right? At this point in time, it is very premature.

Speaker #3: Okay. And my next question was this: CapEx for the liquid cargo, and our capacity is going from 2 million metric tons to 5 million.

Rajiv Rupani: Okay. My next question was this CapEx for the liquid cargo, and our capacity is going from 2 million metric tons to 5 million. So when does it get complete, and how much will it add to our revenues, approximately?

[Analyst 1]: Okay. My next question was this CapEx for the liquid cargo, and our capacity is going from 2 million metric tons to 5 million. So when does it get complete, and how much will it add to our revenues, approximately?

Speaker #5: If you could guide on— if you could just put some light on this.

Speaker #3: So, when does it get completed? And how much will it add to our revenues, approximately?

Speaker #1: No, no, no. So I think— I don't know what numbers you're talking about, but just from a numbers-numbers perspective, there is a 7 percent decline in the total dry bulk volume.

Speaker #1: Yeah, so current closure is March 2027, so no impact this financial year. And then, you know, it will progressively grow. So we— I don't have ready information to give you in terms of what’s the revenue additive in 2027, 2028.

Girish Aggarwal: Yeah. Current closure is March 2027, so no impact this financial year. Then it will progressively grow. So I do not have ready information to give you in terms of what is the revenue additive in 2027. Are you looking at 2027, 2028, or?

Speaker #1: April, June 25 versus April, June 26, which has a 2 percent decline on fertilizers, largely flattish. And when we spoke last time, I think the government came out with additional tenders and there is a strong push from the government to increase the fertilizer.

Speaker #1: Are you looking at 2027, 2028, or?

Speaker #1: In the monsoon season, and that is something that we are seeing. The large decline that we see in dry bulk is essentially owing to limestone decline, which again also comes out of the HOMOs.

Speaker #3: Yeah, 2027, 2028, approximately.

Rajiv Rupani: Yeah, 2027, 2028, approximately.

[Analyst 1]: Yeah, 2027, 2028, approximately.

Speaker #1: Okay, but we can get back to you separately.

Girish Aggarwal: Okay. But that we can get back to you separate.

Speaker #3: Okay. And what will be the capacity utilization you expect of this 5 million metric tons—approximately—once it's complete?

Rajiv Rupani: Okay. What will be the capacity utilization you expect of this 5 million metric tons, approximately, once it's complete?

[Analyst 1]: Okay. What will be the capacity utilization you expect of this 5 million metric tons, approximately, once it's complete?

Speaker #5: Okay, sir. That works. Thank you so much.

Speaker #3: Thank you. Neelotpal, please go ahead with your questions.

Girish Aggarwal: This will be phased over a period of time, in terms of growth. Not the entire thing will come. We will not fill the jetty up immediately as it gets commissioned. It will progressively improve. But we expect over the next 3 to 4 years, we should be back to full.

Speaker #5: Hi, sir. Just a follow-up. On this SIS income front, are there any more claims? Any more amounts that we have claimed and could potentially receive over due course of time?

Speaker #1: So it will progressively improve. But we expect over the next three years—we should be back, in three to four years, we should be back to four.

Speaker #1: Yeah, we have one slippage, which is still pending. And but there's not a substantial amount. So it is not a one now. For the last financial year.

Speaker #3: Thank you. Thank you. That's a promise.

Rajiv Rupani: Thank you. That's it. Over.

[Analyst 1]: Thank you. That's it. Over.

Speaker #1: So nothing major coming now.

Speaker #1: Thank you.

Operator: Thank you. Nilotpal, please go ahead with your question.

Speaker #5: All right, sir. And has this been paid out in cash as well? Or this is something that has been accepted and not credited by the government yet?

Speaker #2: Nilotpal, please go ahead with your question.

Speaker #4: Hi, sir. Good morning, and congratulations on a great set of numbers. I just wanted to touch on this additional revenue that we have secured aside from the duties, grips.

[Analyst]: Hi, sir. Good morning, and congratulations on a great set of numbers.

[Analyst 2]: Hi, sir. Good morning, and congratulations on a great set of numbers.

Girish Aggarwal: Thank you.

[Analyst]: Just wanted to harp on this additional revenue that we have secured aside of the duty scrips. These one-off provisions and ad hoc opportunities, can you quantify approximately how much did they contribute additionally to the revenue? Secondly, is that something we should assume at a sustainable rate for the year?

[Analyst 2]: Just wanted to harp on this additional revenue that we have secured aside of the duty scrips. These one-off provisions and ad hoc opportunities, can you quantify approximately how much did they contribute additionally to the revenue? Secondly, is that something we should assume at a sustainable rate for the year?

Speaker #1: No, no. So these are slips, which are tradable. So you can go and monetize it in the market, which has been done.

Speaker #4: These one-off provisions and ad hoc opportunities—can you quantify approximately how much they contributed additionally to the revenue? And secondly, is that something we should assume at a sustainable rate?

Speaker #5: Understood, understood. Thank you, sir.

Speaker #3: Thank you. Any follow-up questions with anyone else? Please go. Any last questions? Yes, Karthik, please go ahead.

Speaker #4: For the year?

Speaker #1: So, first of all, these are very ad hoc, right? So these are not something which we can say is sustainable. The opportunities will keep on coming on transshipment, and then, of course, we'll use those opportunities.

Girish Aggarwal: First of all, these are very ad hoc. These are not something which we can say is sustainable. The opportunities will keep on coming on transshipment, then of course, we will use those opportunities, and we will have some additional revenue. But I am not able to quantify what those revenues will be. Even on the provisions, again, these are one-off, so I would not really like to quantify anything on that front as well.

Speaker #1: And we'll have some additional revenue, but that's difficult to quantify what those revenues will be. And even on the provisions—again, these are one-offs.

Speaker #2: Sir, just to understand

Speaker #4: the realization part a bit better, can you highlight other factors that are supporting this about 20, 25 percent increase in bio realization per turn basis?

Speaker #1: So I would not like to quantify anything on that front as well.

Speaker #4: And just a clarification: our realizations on the transshipment volumes compared to non-transshipment would be lower, or how does that make sense? They are lower.

[Analyst]: Just a clarification, our realizations on the transshipment volumes compared to non-transshipment would be lower? Or how does that mix look, if they are lower?

[Analyst 2]: Just a clarification, our realizations on the transshipment volumes compared to non-transshipment would be lower? Or how does that mix look, if they are lower?

Speaker #4: Like some more color on how much of this we should build in for the upcoming quarters.

Speaker #1: They're lower. However, what is also happening is, you know, there was this question also on the congestion, etc., in the other ports. There is additional—it comes with additional storage.

Girish Aggarwal: They are lower. However, what is also happening, and there was this question also on the congestion, et cetera, in the other ports. It comes with additional storage. Even a lot of these transshipment is also reefer, so that also comes with additional charges. So in general, I think there is not too much of a difference, at least what we saw this quarter. Let us see how that goes the next quarter.

Speaker #1: So as I mentioned earlier, right, so if I look at containers, so container realization, we keep per TU. And that has changed from 9,500 to 10,000 as compared to the previous quarter.

Speaker #1: It comes with additional— even a lot of these transshipments are also reefers, so that also comes with additional charges. So in general, I think we've been able to— there's not too much of a difference, at least from what we saw this quarter.

Speaker #1: An increase. And this increase is mainly coming because of, one, we had taken tariff increase in January, but some of the contracts which were effective April, so that increase got implemented in April.

Speaker #1: Let's see how that goes in the next quarter.

Speaker #1: And also, because the favorable exchange rate, as our container tariff is in dollars, so that is helping to improve this realization. Non-container, more or less, remains as is.

Speaker #4: Got it, sir. And my second question was with respect to this Kandla-Gorakhpur pipeline. Is that spur now complete? On the last call, I think you mentioned around 8 odd kilometers were pending.

[Analyst]: Got it, sir. My second question was with respect to the Kandla-Gurajpur pipeline. Is that spur now complete? On the last call, I think you mentioned around 8 odd kilometers were pending.

[Analyst 2]: Got it, sir. My second question was with respect to the Kandla-Gurajpur pipeline. Is that spur now complete? On the last call, I think you mentioned around 8 odd kilometers were pending.

Speaker #1: No major changes in the non-container realization. And in the— and I also don't see any major change happening in the coming quarter as well.

Speaker #1: Yeah, seven-odd kilometers. We are now expecting October this year; that's the current timeline that I have.

Girish Aggarwal: Yeah, 7 odd kilometers. We are now expecting October this year. That's the current timeline that I have.

Speaker #1: Because the tariff increase now has been taken in and has been built in in these numbers.

Speaker #4: So can you just help us separate whatever the one-offs are in terms of the simple realization? How much of the realization bio increase is coming from the structural factors and the mix?

Speaker #4: All right, sir. Those were my questions. Thank you so much.

[Analyst]: All right, sir. Those are my questions. Thank you so much.

[Analyst 2]: All right, sir. Those are my questions. Thank you so much.

Speaker #1: Thank you.

Operator: Thank you. Mr. Rajiv Rupani, you have some more questions? You have your virtual hand raised.

Speaker #2: Mr. Rajiv Rupani, do you have some more questions? You have your hand raised.

Speaker #4: And whatever is coming from the one-off that you mentioned.

Rajiv Rupani: And a follow-up question. What will be the dividend policy going forward?

[Analyst 1]: And a follow-up question. What will be the dividend policy going forward?

Speaker #1: No, so we don't really quantify the one-off. But on a very high level, just for that, right, on the total revenue, excluding the SCIS, you can say around 5 percent is the impact.

Speaker #3: And a follow-up question: what will be the dividend policy going forward? Since—

Girish Aggarwal: Yeah, sorry, the board will decide the dividend policy. As of now, there is no change to the policy. As and when the board decides a change, we would communicate that.

Speaker #1: Yeah, sorry, the Board will decide the dividend policy. As of now, there's no change to the policy. As and when the Board decides on a change, we will communicate that.

Speaker #4: Understood. Thank you so much, sir. That's all.

Speaker #1: Thank you.

Speaker #3: Okay. Thank you.

Speaker #3: Srikant, please go ahead with your questions. Srikant, can you hear us? Please go ahead with your questions. Maybe Deepak, you can go ahead.

Rajiv Rupani: Thank you.

[Analyst 1]: Thank you.

Speaker #1: Thank you.

Operator: Thank you. Mr. Parimal Mittani, please go ahead with your questions.

Speaker #2: Mr. Parimal Mithani, please go ahead with your questions.

Speaker #5: Can you hear me?

Parimal Mittani: Can you hear me?

[Analyst 3]: Can you hear me?

Speaker #2: Yeah, please go ahead.

Operator: Yeah, please go ahead.

Speaker #5: Yeah. Sir, recently the parent has made a lot of statements regarding the Indian markets, and is there any thought process—how do you see your business over the next three to four years?

Parimal Mittani: Yeah. Sir, recently the parent has made a lot of statements regarding the Indian markets. Is there any thought process? How do you see your business over the next three to four years? They've made-

[Analyst 3]: Yeah. Sir, recently the parent has made a lot of statements regarding the Indian markets. Is there any thought process? How do you see your business over the next three to four years? They've made-

Speaker #6: Yeah, hi. Are you able to hear me? Okay, cool. So given that the cargo mix has— or revenue mix has changed over the past couple of years, with liquids and RORO coming back on stream, right, and containers being flattish or slightly declining versus a couple of years ago, could you help us remind what is the US dollar exposure in terms of your revenues?

Speaker #5: And they've been made.

Speaker #1: Sorry, yeah. What were you talking about—the parent? I'm sorry, you’re not very clear.

Girish Aggarwal: Sorry. What were you talking about the parent? I'm sorry, you're not very clear.

Speaker #5: AP Moller has made substantial commitments about India's growth prospects and, you know, about investments in India in terms of ports and all. Can you give—if there are any guidelines—how do you see your business going for the next three to four years from here or so?

Parimal Mittani: AP Moller has made substantial commitments about India growth prospects and about investments in India in terms of ports and all. If there is any guidelines, how do you see your business going for next three to four years from here?

[Analyst 3]: AP Moller has made substantial commitments about India growth prospects and about investments in India in terms of ports and all. If there is any guidelines, how do you see your business going for next three to four years from here?

Speaker #6: What contribution it is for the overall revenues?

Speaker #1: No, no. So regarding the guidelines and guidance given by AP Moller, I cannot comment. I can comment only from a GPPL matter perspective.

Girish Aggarwal: No. The guidelines, et cetera, or guidance given by A.P. Moller, I cannot comment. I can only comment only from a GPPL matter perspective. If you are saying what is the GPPL's outlook for the next three, four years, is that how I should see your question?

Speaker #1: So you know, almost 60 to 65 percent of the top line is for container business. Right? And that container business is in US dollars.

Speaker #1: If you're asking about the GPPL's outlook for the next three to four years, is that how I should understand your question?

Speaker #6: Okay.

Speaker #1: The rest dry bulk contracts, handling contracts, everything is in local currency.

Speaker #5: Yes, sir. If you can.

Parimal Mittani: Yes, sir, if you can.

[Analyst 3]: Yes, sir, if you can.

Speaker #1: Yeah, yeah. I mean, I think, of course, a lot is dependent on the concession extension. So, hence, we do not go out and give our overall guidance for the next three to five years.

Girish Aggarwal: Yeah. I think, of course, a lot is dependent on the concession extension, so hence we do not go out and give our overall guidance for the next three to five years. The right thing would be that we secure the concession and then we, any which way, come back to what we plan to do. There are a lot of questions about the investment, et cetera. As the business plan unfolds, then we can talk about it. Again, as I said, a little premature. Let the concession thing get closed out first.

Speaker #6: Okay, so liquids, RORO are all in local currencies. Okay. Thank you very much. That's very helpful. That's it from me.

Speaker #1: So the right thing would be that we secure the concession and then we—any which way, come back to what we plan to do.

Speaker #3: Thank you. Any more questions from anyone? It doesn't seem to be the case.

Speaker #1: I mean, there are a lot of questions about the investment, etc., etc. So, you know, as the business plan unfolds, then we can, you know, talk about it.

Speaker #1: It's, as I said, a little premature. Let the concession thing get closed out first.

Speaker #4: Thanks, Odisha.

Speaker #3: Sorry, Odisha, please go ahead.

Speaker #5: Okay. Okay. Thank you.

Parimal Mittani: Okay. Thank you.

[Analyst 3]: Okay. Thank you.

Speaker #5: Hi, hi. Just one follow-up question. On the liquid jetty, so for the past few quarters, we have been continuously seeing a decline on the liquid side of the business.

Speaker #2: Thank you. Any questions from anybody else? Let's continue. Please go ahead with your questions.

Operator: Thank you. Any questions from anybody else? Yes, Kandania, please go ahead with your questions.

Speaker #5: Although it was all guided, but we are also coming up with the liquid jetty. So do we already have some customers or contracts signed?

Speaker #5: Any guidance on that? Because then the kind of guidance that we have for the year-end, for that, we'll have to cover up a lot.

Speaker #3: Yeah, hi sir. Thanks for the opportunity. A couple of questions. Firstly, on the realizations side, right? Even bulk looks slightly high. If I understood the number, 650 to 750.

[Analyst]: Yeah, hi, sir. Thanks for the opportunity. A couple of questions. Firstly, on the realization side, even bulk looks slightly high if I understood the number 650, 750. Is there anything that we should note there?

[Analyst 6]: Yeah, hi, sir. Thanks for the opportunity. A couple of questions. Firstly, on the realization side, even bulk looks slightly high if I understood the number 650, 750. Is there anything that we should note there?

Speaker #3: Is there anything that we should note there? I mean,

Speaker #5: So do we have any guidance on that?

Speaker #4: So Odisha, are you saying liquid volumes are declining? Every quarter?

Speaker #1: Is the question about bulk realization?

Girish Aggarwal: Sorry, the question is on bulk realization?

Speaker #3: Yeah. Yeah, yeah.

[Analyst]: Yeah.

[Analyst 6]: Yeah.

Girish Aggarwal: Pardon.

[Analyst]: Yeah. Bulk realization.

[Analyst 6]: Yeah. Bulk realization.

Speaker #5: So just one sec. Yes, so we've seen the— we've been seeing a decline in the liquid side of the business. If I'm correct.

Speaker #1: So, as I mentioned, of course, the realizations have been maintained, so there is no impact on the realization. The change, as you noted, is mainly because of the cargo mix that has been handled.

Santosh Breed: So, as I mentioned, the realizations have been maintained, so there is no impact to the realization. The change is what you see is mainly because the cargo mix that has been handled.

Speaker #4: That's not— that's not really how we see it, Odisha. Fundamentally, the liquids have grown over the last three years, from a little less than 1 million metric tons to last year financial year, 1.6 million metric tons.

Speaker #3: Understood, sir. And, sir, secondly, on the concession agreement, what is the kind of conversation that is happening with the maritime board? Is it that they will call for a bidding and then there will be an RfQ or kind of thing, or is it some methodology that's being discussed, or is it, like, you know, a one-on-one negotiation?

[Analyst]: Understood, sir. Secondly, on the concession agreement, what is the kind of conversation that is happening with the Maritime Board? Is it that they will call for a bidding and then there will be an RFP kind of thing, or is it some methodology that has been discussed, or is it like a one-on-one negotiation? What are the options that are happening there?

[Analyst 6]: Understood, sir. Secondly, on the concession agreement, what is the kind of conversation that is happening with the Maritime Board? Is it that they will call for a bidding and then there will be an RFP kind of thing, or is it some methodology that has been discussed, or is it like a one-on-one negotiation? What are the options that are happening there?

Speaker #4: So there's sort of a 60 percent growth over the last three years. This quarter— I mean, there are minor variations. Quarter on quarter, 417 to 388 to 404 to 383, which is, pardon, parcel of the business.

Speaker #3: What were the options that you thought are happening there?

Speaker #1: So that cannot be discussed here, Pandanya. I mean, I think it is suffice to say that we are progressing well with our discussions with Gujarat Maritime Board.

Girish Aggarwal: That cannot be discussed here, Kandania. I think it is suffice to say that we are progressing well with our discussions with Gujarat Maritime Board. Anything that comes up, we will then disclose. I mean, at this point in time, there is nothing to disclose. Neither there is any red flag that we are, at least at the management level, worried about.

Speaker #4: But fundamentally, if you look at liquids business has steadily grown, and we sort of topped our capacities. And that's the rationale why we went in ahead with an additional jetty as our customers continue to ask for more volume.

Speaker #1: And anything that comes up, we will then disclose. I mean, at this point in time, there is nothing to disclose, nor is there any red flag that, you know, we— you know, we are, at least at the management level, worried about.

Speaker #4: Yes, this quarter has been fundamentally declined, but that's because of the Middle East conflict. We do see now some parts of the LPG now coming back through the US channels.

Speaker #3: Okay, sir. Good to hear that. Thank you very much, and all the best.

[Analyst]: Okay, sir. Good to hear that. Thank you very much, and all the best.

[Analyst 6]: Okay, sir. Good to hear that. Thank you very much, and all the best.

Speaker #1: Thank you.

Operator: Thank you. Tisha Agarwal, please go ahead.

Speaker #2: Nisha Agarwal, please go ahead.

Speaker #4: Yes, sir. Hi. I just had one question on the bulk side of the business, sir. In the last call, we had a guidance of a decline of 8 to 10 percent, while we actually see that we have seen a 15 percent rise in the bulk side of the business, which is entirely led by the minerals and others, while the fertilizers stayed flat.

Tisha Agarwal: Yes, sir. Hi. I just had one question on the bulk side of the business, sir. In the last concall, we had a guidance of a decline of 8% to 10%, while we see actually that we have seen a 15% rise in the bulk side of the business, which is entirely led by the minerals and others, while the fertilizers stayed flat. My question would be, is it because of coal? Was coal the primary driver of it, or was it iron or cement or steel? If you could just put some light on this.

[Analyst 4]: Yes, sir. Hi. I just had one question on the bulk side of the business, sir. In the last concall, we had a guidance of a decline of 8% to 10%, while we see actually that we have seen a 15% rise in the bulk side of the business, which is entirely led by the minerals and others, while the fertilizers stayed flat. My question would be, is it because of coal? Was coal the primary driver of it, or was it iron or cement or steel? If you could just put some light on this.

Speaker #4: Let's see how that develops. We are now also— Aegis is also busy commissioning their ammonia 36,000 metric ton ammonia tank. Which we expect to start work sometimes in September, October.

Speaker #4: So that will add additional volume and additional liquid stream to the Pipavav port. So we do see continuous improvement and growth on the liquid side from a fundamental business perspective.

Speaker #4: So my question would be, is it because of coal? Was coal the primary driver of it, or was it iron ore, cement, or steel?

Speaker #4: If you could guide on— if you could just shed some light on this.

Speaker #5: Right. So that really helps. Thank you so much.

Speaker #1: No, no, no. So, I think— I don't know what numbers you're talking about, but just from a numbers perspective, there is a 7% decline in the total dry bulk volume.

Speaker #1: Thank you.

Girish Aggarwal: No. I do not know what numbers you are talking about, but just from a numbers perspective, there is a 7% decline in the total dry bulk volume April-June 2025 versus April-June 2026, which has a 2% decline on fertilizers, largely flattish. When we spoke last time, I think the government came out with additional tenders, and there is a strong push from the government to increase the fertilizer in the monsoon season. That is something that we are seeing. The large decline that we see in dry bulk is essentially owing to limestone decline, which again also comes out of the OMOFs.

Speaker #3: Aaditya, please go ahead with your questions.

Speaker #6: Yeah, thanks, sir. And apologies for repeating something over here. I ended up coming late on the call. That being said, there are some clarifications.

Speaker #1: April-June '25 versus April-June '26, which has a 2 percent decline on fertilizers, largely flattish. When we spoke last time, I think the government came out with additional tenders and there is a strong push from the government to increase the fertilizer movement in the monsoon season, and that is something that we are seeing.

Speaker #6: When you say that you will see the Middle Eastern line remaining closed to the Shehin ones remaining closed for the remainder of the year, why would that be the case?

Speaker #6: And why would then— is there this that it never comes back next year?

Speaker #1: The large decline that we see in dry bulk is essentially owing to limestone decline, which again also comes out of the Hormuz.

Speaker #1: So sorry, this is an assumption we've made. We haven't seen Shehin coming back since March. So March till now, we are ending August. We don't see it in September as well.

Speaker #4: Okay, sir. That works. Thank you so much.

Tisha Agarwal: Okay, sir. That works. Thank you so much.

[Analyst 4]: Okay, sir. That works. Thank you so much.

Speaker #1: So at this point in time, we have made that assumption that the conflict may continue for a little longer period of time. And hence, Shehin will not come back.

Speaker #1: Thank you.

Operator: Thank you. Nilotpal, please go ahead with your questions.

Speaker #2: Hello, sir. Please go ahead with your questions.

Speaker #4: Hi, sir. Just a follow-up. On this SIS income front, are there any more claims? Any more amounts that we have claimed and could potentially receive over the due course of time?

[Analyst]: Hi, sir. Just a follow-up. On this SEIS income front, are there any more claims, any more amounts that we have claimed and could potentially receive over due course of time?

[Analyst 2]: Hi, sir. Just a follow-up. On this SEIS income front, are there any more claims, any more amounts that we have claimed and could potentially receive over due course of time?

Speaker #1: Of course, if HOMOS opens up, it is highly possible that it will come back again in its same shape and form. I mean, definitely possible.

Speaker #1: But that's the assumption when we are giving the guidance.

Speaker #1: Yeah, we have one slippage which is still pending. But there's not a substantial amount, so it is one amount now for the last financial year.

Girish Aggarwal: Yeah, we have one scrip which is still pending, but there is no substantial amount. So it is one-on-one now for last financial year. So nothing major coming now.

Speaker #6: Understood. So how much will you end up gaining once the scenario on this Middle Eastern line normalizes and you've added the new line that you had to add?

Speaker #1: So nothing major coming now.

Speaker #4: All right, sir. And has this been paid out in cash as well, or is this something that has been accepted but not yet credited by the government?

[Analyst]: Understood. Has this been paid out in cash as well, or is this something that has been accepted and not credited by the government yet?

[Analyst 2]: Understood. Has this been paid out in cash as well, or is this something that has been accepted and not credited by the government yet?

Speaker #6: On an aggregate basis on these two things?

Speaker #1: How much will depend entirely on when it starts, if it starts. There's just too many questions. It's best, you know, from a prudence perspective to assume, at this point in time, that we do not see it coming in the financial year.

Speaker #1: No, no. So this slip, which is tradable—you can go and monetize it in the market, which has been done.

Girish Aggarwal: No. These are scrips which are tradable, so you can go and monetize it in the market, which has been done.

Speaker #1: When it starts, of course, we'll come back and talk about it.

Speaker #4: Understood. Understood. Thank you, sir.

[Analyst]: Understood. Thank you, sir.

[Analyst 2]: Understood. Thank you, sir.

Speaker #6: Understood. On the liquids front, where you are and where you can be— this is your capacity expansion. If that gap is 100, what is the visibility that you have today from customers already?

Speaker #1: Thank you.

Operator: Thank you. Any follow-up questions with anyone else?

Speaker #2: Any follow-up questions from anyone else?

[Analyst]: Nilotpal.

Operator: Please go on. Any last questions? Yes, Kartik, please go ahead.

Speaker #3: Hello.

Speaker #2: Yes, sir. Any last questions? Yes, Karthik, please go ahead.

Speaker #6: And how many more customers do you need to fill that gap in some sense of the timeline here?

Speaker #1: You know, so there's no point talking about at a customer level. This is— I mean, in general, if you look at India, in general, if you look at the growth, in general, if you look at how much LPG is imported into India and what it will be imported as we keep moving forward, putting up the ammonia tankages, etc., we believe we would be needing additional jetty.

Speaker #3: Sir, just to understand the realization part a bit better, can you highlight other factors that are supporting this about 20–25% increase in year-over-year realizations, or on a per-turn basis?

[Analyst]: Just to understand the realization part a bit better, can you highlight other factors that are supporting this figure about 20% to 25% increase in year-over-year realization on a per ton basis ex of the scrips? Some more color on how much of this we should build in for the upcoming quarters.

[Analyst 7]: Just to understand the realization part a bit better, can you highlight other factors that are supporting this figure about 20% to 25% increase in year-over-year realization on a per ton basis ex of the scrips? Some more color on how much of this we should build in for the upcoming quarters.

Speaker #1: Could you provide some more color on how much of this we should build in for the upcoming quarters?

Speaker #1: And that is why we built the additional jetty, which also is fully VLGC compliant. I would argue that this 3 million, we would fill over 3 to 5 years.

Speaker #3: So, as I mentioned earlier, right, if I look at containers—so container realization—we keep per TEU, and that has changed from 9,500 to 10,000 as compared to the previous quarter.

Girish Aggarwal: As I mentioned earlier, if I look at containers, so container realization we give per TEU, and that has changed from INR 9,500 to INR 10,000 as compared to the previous quarter, an increase. This increase is mainly coming because of, one, we have taken tariff increase in January, but some of the contracts which were effective April, so that increase got implemented in April, and also because of favorable exchange rate as our container tariff is in dollars. So that is helping to improve this realization. Non-container more or less remains as is. No major changes in the non-container realization. I also don't see any major changes happening in the coming quarter as well because the tariff increase now has been taken in and has been built in these numbers.

Speaker #6: Understood. Those were my two questions. Thank you very much.

Speaker #3: An increase. And this increase is mainly coming because of, one, we had taken a tariff increase in January, but some of the contracts were effective from April, so that increase got implemented in April.

Speaker #3: Thank you. Mr. Rajiv Rupani, please go ahead.

Speaker #4: Yes, sir. I have a follow-up question. So the RORO units have scaled up well from 42,000 units to 65,000 units. What kind of volumes do you see over next, let's say, after 2 to 3 years?

Speaker #3: And also because of the favorable exchange rate, as our container tariff is in dollars, so that is helping to improve this realization. Non-container, more or less, remains as is.

Speaker #4: How much can this scaled up further? Thank you.

Speaker #1: Yeah, so the guidance for this year, we have already given. We do not give guidance beyond this, at least at this point in time.

Speaker #3: No major changes in the non-container realization. And I also don't see any major changes happening in the coming quarter as well.

Speaker #1: A lot will depend on, you know, concession extension. So I've already given a guidance for 260 to 270,000 carts for this financial year. And we'll stick to that.

Speaker #3: Because the tariff increase now has been taken in and has been built into these numbers.

Speaker #1: So, can you just help us separate whatever the one-offs are in terms of the simple realization? How much of the realization year-over-year increase is coming from the structural factors and the mix?

[Analyst]: Can you just help us separate whatever the one-offs are in terms of the simple realization? How much of the realization year-over-year increase is coming from the structural factors and the mix, and whatever is coming from the one-off that you mentioned?

[Analyst 7]: Can you just help us separate whatever the one-offs are in terms of the simple realization? How much of the realization year-over-year increase is coming from the structural factors and the mix, and whatever is coming from the one-off that you mentioned?

Speaker #4: Thank you.

Speaker #3: Thank you. Neelotpal, you have another follow-up question?

Speaker #5: Sorry, sir, I missed a figure of where you mentioned that on an underlying basis, your total realization growth, SEIS, should be— did you say 5 percent around?

Speaker #1: And whatever is coming from the one-off that you mentioned?

Speaker #3: No, so we don't really quantify the one-offs. But at a very high level, just for that, right, on the total revenue—excluding the SCRS—you can say around 5 percent is the impact.

Girish Aggarwal: No, we do not really quantify the one-off. But on a very high level, just for guidance, on the total revenue, excluding the SEIS, you can say around 5% is the impact.

Speaker #1: Yeah, that's right. On the overall revenue basis, what I mentioned was that because the question was the impact of these one-offs on the revenue.

Speaker #1: Understood. Thank you so much, sir. That’s all.

[Analyst]: Understood. Thank you so much. That is all now.

[Analyst 7]: Understood. Thank you so much. That is all now.

Speaker #3: Thank you.

Speaker #1: So that's why I tried to give a high-level quantification of the total revenue what we see roughly around 5 percent.

Operator: Thank you. Srikanth, please go ahead with your questions. Srikanth, can you hear us? Please go ahead with your questions. Maybe Deepak, you can go ahead.

Speaker #2: Sreekanth, please go ahead with your questions. Sreekanth, can you hear us? Please go ahead with your questions. Maybe Deepak, you can go ahead.

Speaker #5: So 5 percent would be the underlying realization growth, or 5 percent is the total quantum of the one-off?

Speaker #1: It's quantum of the one-off.

Speaker #5: Got it. Got it. Thank you.

Speaker #5: Yeah. Hi. Are you able to hear me? Okay, cool. So, given that the cargo mix—or revenue mix—has changed over the past couple of years, with liquids and RORO coming back on stream, and containers being flattish or slightly declining versus a couple of years ago, could you help us remember what is the US dollar exposure in terms of your revenues?

Speaker #3: Mr. Mohit, please go ahead.

[Analyst] (HSBC): Yeah. Hi. Are you able to hear me?

Operator: Yeah.

[Analyst] (HSBC): Okay, cool. Given that the cargo mix has, or revenue mix has changed over the past couple of years with liquids and RoRo coming back on stream, and containers being flattish or slightly declining versus a couple of years ago, could you help us remind what is the USD exposure in terms of your revenues? What contribution it is for the overall revenues?

Speaker #7: Hello.

Speaker #3: Yeah, please go ahead with your question.

Speaker #7: Yes.

Speaker #3: All right. Sorry, your line has not cleared, Mohit.

Speaker #5: What contribution is it for the overall revenues?

Speaker #3: So you know, almost 60 to 65 percent of the top line is from the container business, right? And that container business is in US dollars.

Girish Aggarwal: Almost 60% to 65% of the top line is for container business.

Speaker #7: Yeah.

Speaker #4: Sorry, Mohit, we can't hear you.

Girish Aggarwal: That container business is in USD.

Speaker #3: Can't hear you, Mohit. Aaditya, please go ahead with your question.

Speaker #5: Okay.

Speaker #3: The rest—dry bulk contracts, handling contracts—everything is in local currency.

[Analyst] (HSBC): Okay.

Girish Aggarwal: The rest, dry bulk contracts, standing contracts, everything is in the local currency.

Speaker #5: Okay. So liquids, RORO, are all in local currencies? Okay. Thank you very much. That's very helpful. That's it from me.

Speaker #6: Yeah, just a follow-up question as in, your margins have been steady at 60 percent, if I take SEIS out, and obviously there are one-offs in revenue.

[Analyst] (HSBC): Okay. Liquids, RoRo are all in local currencies.

Girish Aggarwal: That's right.

[Analyst] (HSBC): Okay. Thank you very much. That's very helpful. That's it from me.

Speaker #1: Thank you.

Operator: Thank you. Any more questions from anyone? Doesn't seem to be the case.

Speaker #6: So somewhere the costs also have gone up meaningfully. Our sense is this other expense item is now looking fairly vivid. Could you give us a sense of what is driving the growth in other expenses and what should we directly incrementally?

Speaker #2: Any more questions from anyone? It doesn't seem to be the case.

Speaker #1: Yes, sir. Audition.

Speaker #6: Is there any one-offs in sight?

Speaker #2: Sorry. Audition, please go ahead.

Girish Aggarwal: Yes, Urisha.

Speaker #1: Yeah. So in other expense, of course, we have some— in the current quarter, some additional CSR expense, which was done as compared to the previous quarter.

Speaker #4: Hi, hi. Just one follow-up question. On the liquid jetty—so for the past few quarters, we have been continuously seeing a decline on the liquid side of the business.

Operator: Sorry, Urisha, please go ahead.

[Analyst]: I had just one follow-up question on the liquid jetty. For the past few quarters, we have been continuously seeing a decline on the liquid side of the business. Although it was all guided, we are also coming up with the liquid jetty. Do we already have some customers or contracts signed? Any guidance on that? Because then, the kind of guidance that we have for the year-end, for that, we will have to cover up a lot. Do we have any guidance on that?

[Analyst 4]: I had just one follow-up question on the liquid jetty. For the past few quarters, we have been continuously seeing a decline on the liquid side of the business. Although it was all guided, we are also coming up with the liquid jetty. Do we already have some customers or contracts signed? Any guidance on that? Because then, the kind of guidance that we have for the year-end, for that, we will have to cover up a lot. Do we have any guidance on that?

Speaker #4: Although it was all guided, we are also coming up with the liquid jetty. So, do we already have some customers or contracts signed?

Speaker #1: And we also had made some provisions which has resulted in this increase. But apart from this, there's no major change as such. In other expenses, otherwise, everything is as per the business.

Speaker #4: Any guidance on that? Because then the kind of guidance that we have for the year-end, for that, we’ll have to cover up a lot.

Speaker #1: So these variations you see depend on what activities we undertaken. We have taken some activity for repairs and maintenance. This quarter, those variations will be there.

Speaker #4: So, do we have any guidance on that?

Speaker #3: So, Yudisha, are you saying liquid volumes are declining every quarter?

Girish Aggarwal: Sorry, Urisha, are you saying liquid volumes are declining every quarter?

Speaker #1: But, you know, no significant increase in costs as such. So this is mainly the quarterly variations.

Speaker #4: So just one sec. Yes, sir. We've seen a— we've been seeing a decline in the liquid side of the business, if I'm correct.

Tisha Agarwal: So just one second. Yes, we've been seeing a decline in the liquid side of the business, if I'm correct.

[Analyst 4]: So just one second. Yes, we've been seeing a decline in the liquid side of the business, if I'm correct.

Speaker #6: Understood. So if I have to put it simply, your ability to maintain and go beyond 60 percent margins as things normalize, SEIS goes out, and we're just seeing operational numbers is pretty much there.

Speaker #3: That's not— that's not really how we see it, Yudisha. Fundamentally, the liquids have grown over the last three years, from a little less than 1 million metric tons to, last financial year, 1.6 million metric tons.

Girish Aggarwal: That's not really how we see it, Urisha. Fundamentally,

Speaker #6: That does not change.

Speaker #1: Yeah. Yes.

Tisha Agarwal: Okay

[Analyst 4]: Okay

Girish Aggarwal: the liquids have grown over the last three years, from a little less than 1 million metric tons to last year, financial year, 1.6 million metric tons. There's sort of a 60% growth over the last three years. There are minor variations quarter on quarter, 417 to 388 to 404 to 383, which is part and parcel of the business. But fundamentally, if you look at liquids business has steadily grown, and we sort of topped our capacities. That's the rationale why we went ahead with additional jetty as our customers continue to ask for more volume. Yes, this quarter has been a fundamental decline, but that's because of the Middle East conflict. We do see now some parts of the LPG now coming back through the US channels. Let's see how that develops.

Speaker #6: Got it. Thank you. That is the only question on my side.

Speaker #3: Thank you. Continue, please go ahead.

Speaker #3: So there's sort of a 60 percent growth over the last three years. This quarter—I mean, there are minor variations. Quarter on quarter: 417 to 388 to 404 to 383, which is part and parcel of the business.

Speaker #4: Yeah, hi, sir. Thanks for the follow-up. Just one question. I think a couple of quarters back, if I recall correctly, you spoke of some judging-related activity, which you need to incur.

Speaker #4: Can you please remind us on what is it about, and then is it still on, and therefore what is the cost that you may need to incur for it?

Speaker #3: But fundamentally, if you look at liquids, business has steadily grown, and we have sort of topped our capacities. That’s the rationale why we went ahead with an additional jetty, as our customers continue to ask for more volume.

Speaker #1: You mean dredging, is it?

Speaker #4: Yeah.

Speaker #1: Sorry, I— no, no, dredging cost what?

Speaker #4: So I think you spoke that you may need to do some dredging-related expenses in FY27 or 28, if I recall correctly about a couple of quarters back.

Speaker #3: Yes, this quarter has been fundamentally declining, but that's because of the Middle East conflict. We do see now some parts of the LPG now coming back through the US channels.

Speaker #4: My memory serves me. I'm just trying to understand these are on or is it something that is currently underway? Is it— or is it something that you need to incur, if you can help me understand that?

Speaker #3: Let's see how that develops. We are now also— Aegis is also busy commissioning their 36,000 metric ton ammonia tank, which we expect to start work sometime in September or October.

Speaker #1: Sorry, I'm clear. Did we talk about capital dredging? Did we talk about maintenance dredging?

Girish Aggarwal: Aegis is also busy commissioning their 36,000 metric ton ammonia tank, which we expect to start work sometime in September, October. That will add additional volume and additional liquid stream to the Pipavav port. We do see continuous improvement and growth on the liquid side from a fundamental business perspective.

Speaker #4: Maintenance, I think. I think maintenance.

Speaker #1: So maintenance dredging is a difficult to say. I mean, this is an evaluation that we do every year, and based on the evaluation that comes out, we then take the dredging activity.

Speaker #3: So, that will add additional volume and an additional liquid stream to the Pipavav Port. So, we do see continuous improvement and growth on the liquid side from a fundamental business perspective.

Speaker #1: If needed.

Speaker #4: Okay. Okay, understood, sir. And any capital dredging activities planned, sir?

Speaker #1: We've just done it for the liquid jetty.

Speaker #4: Understood, sir. Thank you very much. That's it from us.

Speaker #4: Right, so that really helps. Thank you so much.

Tisha Agarwal: Right, sir. That really helps. Thank you so much.

[Analyst 4]: Right, sir. That really helps. Thank you so much.

Speaker #3: Thank you. Any last questions from anyone? Seem to be the case. Thank you very much for joining, and have a good day.

Speaker #3: Thank you.

Operator: Thank you. Aditya, please go ahead with your questions.

Speaker #2: Aaditya, please go ahead with your questions.

Speaker #5: Yeah, thanks, sir. And apologies if I'm repeating something here. I ended up coming late to the call. That being said, I have some clarifications.

[Analyst]: Yeah. Thanks, sir. Apologies if I am repeating something over here. I ended up coming late on the call. That being said, just some clarification. When you say that you will see the MECL line remaining closed, the Shaheen one remaining closed for the remainder of the year, why would that be the case, and is there a risk that it never comes back next year?

[Analyst 8]: Yeah. Thanks, sir. Apologies if I am repeating something over here. I ended up coming late on the call. That being said, just some clarification. When you say that you will see the MECL line remaining closed, the Shaheen one remaining closed for the remainder of the year, why would that be the case, and is there a risk that it never comes back next year?

Speaker #5: When you say that you will see the Middle Eastern line remaining closed and the Sheheen ones remaining closed for the remainder of the year, why would that be the case?

Speaker #1: Thank you. Thank you. Appreciate it. Thank you.

Speaker #5: And why would— is there a risk that it never comes back next year?

Speaker #3: So sorry, this is an assumption we've made. We haven't seen Sheheen coming back since March. So, from March till now, we are ending August. We don't see it in September as well.

Girish Aggarwal: Sorry, this is an assumption we have made. We haven't seen Shaheen coming back since March. So March till now we are ending August. We do not see it in September as well. So at this point in time, we have made that assumption that the conflict may continue for a little longer period of time, and hence Shaheen will not come back. Of course, if Hormuz opens up, it is highly possible that it will come back again in its same shape and form. Definitely possible, but that's the assumption when we are giving the guidance.

Speaker #3: So, at this point in time, we have made the assumption that the conflict may continue for a little longer period of time, and hence, Sheheen will not come back.

Speaker #3: Of course, if HOMUS opens up, it is highly possible that it will come back again in its same shape and form. I mean, definitely possible.

Speaker #3: But that's the assumption when we are giving the guidance.

Speaker #5: Understood. So how much will you end up gaining once the scenario on this Middle Eastern line normalizes and you've added the new line that you had to add?

[Analyst]: Understood. How much will you end up gaining once the scenario on this MECL line normalizes and you have added the new line that you had to add?

[Analyst 8]: Understood. How much will you end up gaining once the scenario on this MECL line normalizes and you have added the new line that you had to add?

Speaker #3: So 60.

Speaker #5: On an aggregate basis, on these two things.

Girish Aggarwal: So-

[Analyst]: On an aggregate basis on these two things?

[Analyst 8]: On an aggregate basis on these two things?

Speaker #3: How much depends entirely on when it starts, if it starts. There are just too many questions. It's best, from a prudence perspective, to assume at this point in time that we do not see it coming in the financial year.

Girish Aggarwal: How much will depend entirely on when it starts, if it starts. There are just so many questions. It is best from a prudence perspective to assume at this point in time that we do not see it coming in the financial year. When it starts, of course, we will come back and talk about it.

Speaker #3: When it starts, of course, we'll come back and talk about it.

Speaker #5: Understood. On the liquids front, where you are and where you can be, based on your capacity expansion—if that gap is 100, what is the visibility that you have today from customers already?

[Analyst]: Understood. On the liquids front, where you are and where you can be basis your capacity expansion, if that gap is 100, what is the visibility that you have today from customers already? How many more customers do you need to fill that gap in some sense of the time frame, sir?

[Analyst 8]: Understood. On the liquids front, where you are and where you can be basis your capacity expansion, if that gap is 100, what is the visibility that you have today from customers already? How many more customers do you need to fill that gap in some sense of the time frame, sir?

Speaker #5: And how many more customers do you need to fill that gap, in some sense of the timeline?

Speaker #3: So there's no point talking about it at a customer level. This is— I mean, in general, if you look at India, in general, if you look at the growth, in general, if you look at how much LPG is imported into India and what it will be imported as we keep moving forward—putting up the ammonia tankages, etc.—we believe we would be needing an additional jetty.

Girish Aggarwal: So there's no point talking about at the customer level. In general, if you look at India, in general if you look at the growth, in general if you look at how much LPG is imported into India and what it will be imported as we keep moving forward, putting up the ammonia tankages, et cetera, we believe we would be needing additional jetty, and that is why we have built the additional jetty, which also is fully VLGC compliant. I would argue that this 3 million we would fill over 3 to 5 years.

Speaker #3: And that is why we built the additional jetty, which also is fully VLGC compliant. I would argue that this three million, we would fill over three to five years.

Speaker #5: Understood. Those are my two questions. Thank you. First one.

[Analyst]: Understood. Those were my two questions. Thank you for your responses, sir.

[Analyst 8]: Understood. Those were my two questions. Thank you for your responses, sir.

Speaker #1: Thank you.

Speaker #2: Mr. Rajiv Mopani, please go ahead.

Operator: Thank you. Mr. Rajiv Rupani, please go ahead.

Speaker #3: Yes, sir. I have a follow-up question. So, the RORO units have scaled up well from 42,000 units to 65,000 units. What kind of volumes do you see over the next, let's say, 2 to 3 years?

Rajiv Rupani: Yes, sir. I have a follow-up question. So the RoRo units have scaled up well from 42,000 units to 65,000 units. What kind of volumes you see over next, let's say after 2 to 3 years, how much can this scale up further? Thank you.

[Analyst 1]: Yes, sir. I have a follow-up question. So the RoRo units have scaled up well from 42,000 units to 65,000 units. What kind of volumes you see over next, let's say after 2 to 3 years, how much can this scale up further? Thank you.

Speaker #3: How much can this scale up further? Thank you.

Speaker #1: Yes. So, the guidance for this year has already been given. We do not provide guidance beyond this, at least at this point in time.

Girish Aggarwal: Yeah. The guidance for this year, we have already given. We do not give guidance beyond this, at least at this point in time. A lot will depend on concession extension. I have already given a guidance for 260,000 to 270,000 cars for this financial year, and we will stick to that.

Speaker #1: A lot will depend on the concession extension. So I've already given guidance for 260,000 to 270,000 cars for this financial year, and we'll stick to that.

Speaker #3: Thank you.

Speaker #2: Thank you. Lotpal, you have another follow-up question?

Operator: Thank you.

Girish Aggarwal: Thank you. Nilotpal, you have another follow-up question?

Speaker #4: Sorry, sir. I missed a figure where you mentioned that, on an underlying basis, your total realization growth SEIs should be— did you say around 5 percent?

[Analyst]: Sorry, sir, I missed a figure of where you mentioned that on an underlying basis, your total realization growth ex SEIS should be, did you say 5% around?

[Analyst 2]: Sorry, sir, I missed a figure of where you mentioned that on an underlying basis, your total realization growth ex SEIS should be, did you say 5% around?

Speaker #1: Yeah, that's right. On the overall revenue basis, what I mentioned was that—because the question was about the impact of these one-offs on the revenue.

Santosh Breed: Yeah, that is right. On an overall revenue basis, what I mentioned was that, because the question was the impact of these one-offs on the revenue. So that is why I tried to give a high-level quantification. On the total revenue, what we see is roughly around 5%.

Speaker #1: So that's why I tried to give a high-level quantification of the total revenue, which we see is roughly around 5%.

Speaker #4: So, 5 percent would be the underlying realization growth, or 5 percent is the total quantum of the one-off?

[Analyst]: So 5% would be the underlying realization growth or 5% is the total quantum of the one-off?

[Analyst 2]: So 5% would be the underlying realization growth or 5% is the total quantum of the one-off?

Speaker #1: This quantum of the one-off.

Speaker #4: Got it. Got it. Thank you.

Santosh Breed: It is quantum of the one-off.

[Analyst]: Got it. Thank you.

[Analyst 2]: Got it. Thank you.

Speaker #2: Mr. Morris, Aaditya, please go ahead.

Girish Aggarwal: Mohit Tandon, please go ahead.

Speaker #6: Hello.

Speaker #1: Yeah, please go ahead with your question.

Mohit Tandon: Hello.

[Analyst 5]: Hello.

Girish Aggarwal: Yeah, please go ahead with your question.

Speaker #6: Yes.

Mohit Tandon: Yes

[Analyst 5]: Yes

Speaker #1: Sorry, your line has not cleared, Mohit.

Girish Aggarwal: Sorry, your line is not clear, Mohit.

Speaker #6: Yeah.

Mohit Tandon: Yeah.

[Analyst 5]: Yeah.

Speaker #1: Sorry, Mohit, we can't hear you. Can't hear you, Mohit. Aaditya, please go ahead with your question.

Girish Aggarwal: Sorry, Mohit, we can't hear you.

Operator: Can't hear you, Mohit. Aditya, please go ahead with your question.

Speaker #5: Yeah. Just a follow-up question: your margins have been steady at 60 percent if I take SEIs out, and obviously there are one-offs in revenue.

[Analyst]: Yeah, just a follow-up question as in, your margins have been steady at 60% if I take SEIS out, and obviously there are one-offs in revenue. Somewhere the costs also have gone up meaningfully. Our sense is this other expense item is now looking fairly vivid. Could you give us a sense of what is driving the growth in other expenses and what should we expect to increment if there are any one-offs inside?

[Analyst 8]: Yeah, just a follow-up question as in, your margins have been steady at 60% if I take SEIS out, and obviously there are one-offs in revenue. Somewhere the costs also have gone up meaningfully. Our sense is this other expense item is now looking fairly vivid. Could you give us a sense of what is driving the growth in other expenses and what should we expect to increment if there are any one-offs inside?

Speaker #5: So, somewhere, the costs have also gone up meaningfully. Our sense is that this 'other expense' item is now looking fairly vivid. Could you give us a sense of what is driving the growth in other expenses, and what should be a trajectory incrementally? Are there any one-offs inside?

Speaker #3: Yeah.

Santosh Breed: Yeah. In other expenses, of course, we have in the current quarter, some additional CSR expense which was done as compared to previous quarter. And we also had made some provisions, which has resulted to this increase. But apart from this, there's no major change as such in other expenses. Otherwise, everything is as per the business. These variations you see depend on what activity we are taking. We are taking some activity for replacement maintenance this quarter. So those variations will be there, but no significant increase in cost as such. This is maybe the quarterly variations.

Speaker #1: So, in other expenses, of course, we have some in the current quarter—some additional CSR expense—which was done as compared to the previous quarter.

Speaker #1: And we also had made some provisions, which has resulted in this increase. But apart from this, there's no major change as such in other expenses; otherwise, everything is as per the business.

Speaker #1: So this variation you'll see depends on what activity you're undertaking. We are taking some activity for repairs and maintenance. This quarter, those variations will be there.

Speaker #1: But there is no significant increase in cost as such. So, this is mainly just quarterly variations.

Speaker #5: Understood. So, if I have to put it simply, your ability to maintain and go beyond 60 percent margins as things normalize, SEIs go out, and we're just seeing operational numbers—it's pretty much that.

[Analyst]: Understood. If I have to put it simply, your ability to maintain and go beyond 60% margins as things normalize, SEIS goes out and we are just seeing operational numbers is pretty much there. That does not change.

[Analyst 8]: Understood. If I have to put it simply, your ability to maintain and go beyond 60% margins as things normalize, SEIS goes out and we are just seeing operational numbers is pretty much there. That does not change.

Speaker #5: That does not change.

Speaker #1: Yeah. Yes.

Santosh Breed: Yes.

Speaker #5: Got it. Thank you. That will be the only question on my side.

[Analyst]: Got it. Thank you. That is the only question on my side.

[Analyst 8]: Got it. Thank you. That is the only question on my side.

Speaker #1: Thank you. Aaditya, please go ahead.

Girish Aggarwal: Thank you. Antanya, please go ahead.

Speaker #3: Yeah. Hi, sir. Thanks for the follow-up. Just one question. I think a couple of quarters back, if I recall correctly, you spoke of some dredging-related activity, which you need to incur.

[Analyst]: Yeah. Hi, sir. Thanks for the follow-up. Just one question. I think couple of quarters back, if I recollect correctly, you spoke of some dredging-related activity which you need to incur. Can you please remind us on what is it about, and is it still on and therefore what is the cost that you may need to incur for it?

[Analyst 8]: Yeah. Hi, sir. Thanks for the follow-up. Just one question. I think couple of quarters back, if I recollect correctly, you spoke of some dredging-related activity which you need to incur. Can you please remind us on what is it about, and is it still on and therefore what is the cost that you may need to incur for it?

Speaker #3: Can you please remind us what it is about, and is it still ongoing? Additionally, what is the cost that we may need to incur for it?

Speaker #1: You mean dredging, is it?

Speaker #3: Yeah.

Girish Aggarwal: You mean dredging, is it?

[Analyst]: Yeah.

[Analyst 8]: Yeah.

Speaker #1: So I don't know. Dredging cost, what?

Santosh Breed: Sorry.

Girish Aggarwal: No, dredging cost what?

Speaker #3: So, I think you mentioned that you may need to incur some dredging-related expenses in FY27 or FY28, if I recall correctly. I brought this up a couple of quarters back.

[Analyst]: I think you spoke that you may need to incur some dredging related expenses in FY27 or 2028, if I recollect correctly, about a couple of quarters back. My memory serves me. I am just trying to understand is that on or is it something that is currently under or is it something that you need to incur? If you can help me understand that.

[Analyst 8]: I think you spoke that you may need to incur some dredging related expenses in FY27 or 2028, if I recollect correctly, about a couple of quarters back. My memory serves me. I am just trying to understand is that on or is it something that is currently under or is it something that you need to incur? If you can help me understand that.

Speaker #3: My memory serves me that. Just trying to understand, is that on, or is it something that is currently underway? Or is it something that you need to incur? If you can help me understand that?

Speaker #1: So I'm clear, did we talk about capital dredging? Did we talk about maintenance dredging?

Girish Aggarwal: Sorry, I am unclear. Did we talk about capital dredging? Did we talk about maintenance dredging here?

Speaker #3: Maintenance, I think. I think maintenance.

[Analyst]: Maintenance, I think. I think maintenance.

[Analyst 8]: Maintenance, I think. I think maintenance.

Speaker #1: So, maintenance dredging—difficult to say. I mean, this is an evaluation that we do every year, and basically, from the evaluation that comes out, we then take the dredging activity.

Girish Aggarwal: Maintenance dredging, difficult to say. This is an evaluation that we do every year, and based on the evaluation that comes out, we then take the dredging activity if needed.

Speaker #1: If needed.

Speaker #3: Okay. Okay. Understood, sir. And are any capital dredging activities planned, sir?

[Analyst]: Okay. Understood, sir. Any capital dredging activities planned, sir?

[Analyst 8]: Okay. Understood, sir. Any capital dredging activities planned, sir?

Speaker #1: We've just done it for the liquid Chetty.

Girish Aggarwal: We have just done it for the liquid jetty.

Speaker #3: Understood, sir. Thank you very much. That's it from me.

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

[Analyst 8]: Understood, sir. Thank you very much.

Speaker #1: Thank you.

Girish Aggarwal: Thank you. Any last questions from anyone? Seem to be the case. Thank you very much for joining and have a good day.

Speaker #2: Any last questions from anyone? It seems to be the case. Thank you very much for joining, and have a good day.

Speaker #1: Thank you. Thank you. Appreciate it. Thank you.

Santosh Breed: Thank you. Appreciate it.

Girish Aggarwal: Thank you.

Operator: Thank you very much.

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Q1 2027 Gujarat Pipavav Port Ltd Earnings Call

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