Operator: Ladies and gentlemen, good day and welcome to the Supreme Industries Q2 FY 2027 earnings conference call hosted by DAM Capital Advisors Limited. As a reminder, all participant lines will be in the listen only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note this conference is being recorded. I now hand the conference over to Mr. Aasim. Thank you and over to you, sir.
Aasim Bharde: Thank you. Good evening and welcome everyone on Supreme Industries Q2 FY 2027 earnings call. We have the senior management of the company who will take us through the quarter performance, post which we will open the floor for questions. Thank you, and over to Mr. Taparia for his opening remarks.
Mahaveer Prasad Taparia: Thank you, Mr. Aasim, and thank you all very much. I am M. P. Taparia, Chairman and Managing Director of The Supreme Industries Limited. I, along with my colleague, Sri P. C. Somani, CFO, and Sri R. J. Saboo, Vice President, Corporate Affairs and Company Secretary, welcome all participants who are participating in the discussion of the unaudited stand-alone and consolidated finance results for the quarter and half year ended 30 September 2026. The stand-alone results and the consolidated results are already with you. I will give brief on company product operating performance and other highlights.
Mahaveer Prasad Taparia: The company sold 341,991 tons of plastic goods and achieved revenue from operation of INR 6,079 crores during the H1 of the current year against sales of 338,224 tons and net product turnover of INR 5,003 crores in the corresponding H1 of previous year, achieving volume and product value growth of about 1% and 22% respectively. The stand-alone operating profit and profit after tax for the H1 of the current year amounted to INR 829 crores and INR 487 crores as compared to INR 617 crores and INR 371 crores respectively for the corresponding period of the previous year, achieving increase of 34% and 31% respectively.
Mahaveer Prasad Taparia: The business scenario of all the product segments of the company for Q2 ended 30 September 2026 as compared to the corresponding quarter of previous year is under. Plastic piping system business grew by 24% in volume and 42% in value term. Packaging product segment grew by 3% in volume and 22% in value term. Industrial product segment business grew 13% in volume and 49% in value term. Consumer product segment business decreased by 14% in volume and grew by 2% in value term. The overall turnover of value-added product increased to INR 1,476 crores during the current Q2 as compared to INR 1,072 crores in the corresponding quarter of previous year, achieving a growth of 38%. The operating environment stabilized in Q2 after the unusual polymer price volatility of Q1.
Mahaveer Prasad Taparia: Geopolitical development in West Asia remains a source of uncertainty, while the minimum import price on suspension-grade PVC resin and withdrawal of the customs duty exemption have reduced volatility. In plastic piping system, volume grew by 24% in Q2, bringing H1 volume growth of about 2% Y-o-Y. We continue to strengthen the business through value-added products like PERT piping system, gas piping system, electrofusion fitting, premium range of valve fitting, industrial valve, and silent pipe system made from polypropylene, and wider market reach and integration of the former Wavin business. Our UPVC window and door business is seeing encouraging market acceptance and expanding its dealer network. Capacity utilization in composite cylinder is improving gradually, and procurement has begun at all three oil marketing companies.
Mahaveer Prasad Taparia: Our industrial material handling and packaging business continued to perform satisfactorily, although consumable product segment remains under pressure due to polymer price upward march. Work on new unit at Bihar, Jammu, Erode, Puducherry, and Malanpur, along with brownfield expansion at various sites is progressing as planned. We continue to fund the investment through healthy cash flows and internal accruals while maintaining financial discipline. Looking at the geopolitical environment, making a precise forecast is quite difficult. Nevertheless, encouraged by the Q2 performance, we expect company-wide volume growth of around 10% for FY 2027, despite the big growth during Q1. We remain focused on sustainable long-term growth through diversified product portfolio, strong brand, extensive distribution network, and continued focus on operational excellence. A brief and overall summary for the quarter and H1 ended under reference. Thank you for your patience. Now I and my colleague, P. C. Somani.
Mahaveer Prasad Taparia: Somani and R. J. Saboo are available to reply to various queries which will be raised by all of you. Thank you very much.
Operator: Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Shravan Shah from Dolat Capital. Please go ahead.
Shravan Shah: Hi, sir. Just a couple of things to understand. Sir, particularly in the plastic piping, where we are saying that we have reduced the guidance from 15% to 17% to now 13%. But considering the muted growth in H1, even though to achieve this 13%, we need to do a kind of a 22% kind of a growth in the second half, which is kind of 412,500 metric tons versus in one month we have done 274 lakh. Sir, do we think that it is doable currently till in October? Are we seeing such kind of a growth that are we confident or there is a possibility that we can further downward revise our base volume growth 13% to maybe a lower number going forward?
Mahaveer Prasad Taparia: As the present situation, we do not expect any lower number to be announced again. Because in the month of October, in the first 25 days, we have maintained 23% volume growth. This lower growth forecast from 15% to 13% is a result of the Q1 working, where we had a degrowth of around 13.5% in plastic piping system due to deep reduction in the price in the month of April, which was unprecedented. So we do not see any such reason today, because fortunately, our major sales coming from PVC and CPVC, and they are not that much linked to the price volatility which are caused by the crude price. So we are quite comfortable and fortunately, we have got capacity available, and we are properly covered in the raw material also. So we don't see any question either from capacity or from availability of raw material.
Shravan Shah: Got it, sir. In this quarter, Q2, have we seen any kind of inventory loss? Related to that, currently in terms of the channel level, the inventories are at a normal level. At the same time, in terms of another thing is on the pricing front, have we seen the price hike in the CPVC also in the month of October?
Mahaveer Prasad Taparia: No, PVC price has gone up. Accordingly, CPVC price has gone up, but gone up to a reasonable level which can be easily affordable to our customer. So we have no problem. Inventory level, we cannot say, but we think the customers are all now remaining very cautious. They are keeping the inventory to a minimum level, we are making sure that whatever order we receive, because of our huge capacity at so many sites, we are able to deliver most of their order within 48 hours.
Shravan Shah: Okay. There is no inventory gain or loss in the Q2?
Mahaveer Prasad Taparia: The inventory gain is there, going to be in the H1 overall, H1 also. But then overall, inventory gain, we can tell precisely when we close the year in the month of March next year. As of today, there will be inventory gain.
Shravan Shah: Okay. Whatever the PVC price hike has happened till now, everything has been passed on to the system. Why I am asking is that because there is a significant growth for us in terms of the realization in the PVC segment, particularly. For last three quarters, if I look at kind of a 7.5% kind of every quarter QOQ, there is an increase. Obviously, the PVC prices has went up. Do we still see, if the current prices stay where it is, and let's assume there is no hike, can we see some increase in a QOQ in the realization in the third quarter?
Mahaveer Prasad Taparia: I do not follow. You have so many points you raised. We only know that whatever price increase taken place, we have increased the price. We are increasing price after a time lag, but we have passed on the increased price to increase cost to our customers.
Shravan Shah: Okay. Margin, we have already said.
Operator: Sorry to interrupt, sir. If, would you have a follow-up question, please rejoin the queue. [Crosstalk]. The next question is from the line of Keshav from HDFC Securities. Please go ahead.
Keshav Lahoti: Hello. Hi. Thank you for the opportunity. One thing I want to understand as you allocate the fact that October demand is healthy, but it might be due to this time, Diwali is pushed by a month, so normally that possibly might be leading to higher demand in October. What are your thoughts on the same?
Mahaveer Prasad Taparia: Keshav, no, dear friend, normally October is Dussehra time. Dussehra time, business remains very slow, because most of the workers who are working in a village housing project, go to their village. Already, Dussehra is now over. It started from 11 October and over by 21 October. Even 12 days of business was slow, but overall, considering last year also, I have given you the volume growth up to yesterday stage.
Keshav Lahoti: Okay.
Mahaveer Prasad Taparia: Okay, thank you.
Keshav Lahoti: I am talking about Diwali. Last year, Diwali was in October. This time it is in November, so that is leading to a stronger volume growth in October. Is that what I am trying to understand.
Mahaveer Prasad Taparia: But in Diwali, last year, Diwali will be having lower growth now. Diwali will not be affected much growth. Diwali, some country only grow between Dhanteras to Panchami, which is going to be between 6th and 13th of November, but only certain states are affected. Dussehra affect many part of the country. So we are affected as the festival that happened last year also, the festival not coming new this year.
Keshav Lahoti: Got it. This is helpful. We can see the employee cost have increased by 25% Y-o-Y. Why is there a sharp increase?
Mahaveer Prasad Taparia: Increase by increment, increase by 9%, and also increase in number of people also joining the company.
Prakash Somani: Plus the new units which will be added last year, H2, which were not there in H1.
Keshav Lahoti: Understood. One last question from my side. We can see one, your protective segment, packaging segment margin have taken a hit in this quarter. What is the reason for the same? Earlier, you used to give us some sense about inventory gain, particular range. At least you can give some sense how has been the H1 inventory gain or broader range.
Mahaveer Prasad Taparia: There will be some inventory gain, but final correct inventory gain, we will tell you in the month of April. Overall, we anticipate as of today, there will be inventory gain in this year.
Keshav Lahoti: The reason why I am again asking you this question because we see Q2 margin is still sub 13% in spite of inventory gains. Why is the margin low in this quarter?
Prakash Somani: Because here the raw material price are on higher side, so your base has become higher for purpose of margin.
Mahaveer Prasad Taparia: Apart from that, whenever price increase taking place, we want to help our distributor to repair their balance sheet. We increase the price only after 10, 12 days gap.
Keshav Lahoti: Understood. Got it. Thank you so much, sir. That is it.
Operator: Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants in the conference, please limit your questions to two per participant. Next question is from the line of Praveen from PL Capital. Please go ahead.
Praveen Sahay: Yeah, hi. Thank you for opportunity. Sir, on the packaging segment, there is a margin contraction. Is that the elevated RM prices which has not yet passed on? What is the reason for that?
Mahaveer Prasad Taparia: Elevated price was difficult to pass on. The increases were too steep in the polythene price, which is directly linked to crude price, and then they were very steep and supply was not able to come from Middle East. Middle East is a big supplier of polythene in country, and many plants in Middle East remain closed. Shipment from Middle East to India or anywhere in the world became very difficult. That is why the margin in packaging business gone down, because in packaging film, we were not able to get the price increase so easily acceptable by, because they are industrial user. So it was not possible to increase the price immediately, fully.
Praveen Sahay: Okay.
Mahaveer Prasad Taparia: But it is a bad segment of business, but which has actually reduced our margin.
Praveen Sahay: Okay. Second thing, sir, you also explained that help the distributor in the elevated RM prices. Can you quantify that and elaborate more on that, which affected your gross margin?
Mahaveer Prasad Taparia: Quantitative, I can quantify when the price increase took place. We increase the price, we increase the effect in the market after 10 to 15 days.
Praveen Sahay: Thank you. Okay. Thank you.
Operator: Thank you. Next question is from the line of Sneha from Nuvama. Please go ahead.
Sneha Talreja: Hi. Good evening, sir, and thanks a lot for the opportunity. I just want to deep dive more on the margin front. While your volume guidance is understood, your margins have been missing estimate this particular quarter as well as last quarter. What is the firstly reason for margin miss? We understand that product mix-wise, it should not have deteriorated because agri was barely missing. What is the reason of margins falling on a quarter-on-quarter basis that much? And what will lead to improvement?
Mahaveer Prasad Taparia: We still given the margin guidance for the full year is 14% to 14.5%. We are very comfortable at 14% to 14.5%, we will get a very good return on our investment.
Sneha Talreja: Understood. But if I exclude the inventory gains in the first quarter, margins would have been even more lower. Could we understand the reason for the margin with this particular quarter? How much price increases happened in PVC and let us say how much did you pass on?
Mahaveer Prasad Taparia: We are increasing the price after 10 to 15 days gap to help my distributor people their balance sheet. But overall, we have given guidance of increase in operating margin between 14% to 14.5% for the full year.
Sneha Talreja: Understood. Then, sir, CPVC, how much of the price increases have already happened on ground?
Mahaveer Prasad Taparia: CPVC also auto increase at second place. We have announced some increase we have announced from tomorrow.
Sneha Talreja: So from tomorrow, you are taking price hike in the system is what you are alluding?
Mahaveer Prasad Taparia: We shall inform the customer some 3%, 5%, 7%, product to product. We are announcing increase in price from tomorrow.
Sneha Talreja: Got that, sir. Thanks. All the best.
Operator: Thank you. Next question is from the line of Anu from Anand Rathi Shares and Stock Brokers. Please go ahead.
Anu Parakh: Yeah. Hi, sir. Sir, what would be your guidance for the pipes volume growth and EBIT margin for H2 FY 2027?
Mahaveer Prasad Taparia: We have given the margin growth of 13% in the piping business, and if the piping business has to grow at 14% and 14.5%, otherwise, we can't achieve the company margin. So pipe margin has to be 14%, 14.5% or maybe slightly better.
Anu Parakh: Okay. And sir, what would be
Mahaveer Prasad Taparia: Plus piping business.
Anu Parakh: Understood. Sir, what would be the expected CapEx for FY 2027 in terms of cash outflow?
Prakash Somani: Cash outflow should not be more than INR 7 to 7.50 crore. INR 7 to 7.50 crore.
Mahaveer Prasad Taparia: Any more question?
Operator: Anu, you are not audible.
Anu Parakh: Yeah, that is it from my end.
Mahaveer Prasad Taparia: Okay. Thank you.
Operator: Thank you. A reminder to all the participants, you may press star and one to ask a question. Next question is from the line of Ritesh Shah from Investec. Please go ahead.
Ritesh Shah: Hi, sir. Thanks for the opportunity. Sir, my question is on PVC piping volume growth, that is very encouraging. Just wanted to understand where this growth is coming from.
Mahaveer Prasad Taparia: We are coming mostly from housing because this is our agricultural demand period. July, September is rainy season.
Ritesh Shah: Sir, any other avenues besides housing which is contributing to the volume growth?
Mahaveer Prasad Taparia: Sorry?
Ritesh Shah: Sir, any other avenues besides housing which is helping us on the volume growth on the piping side?
Mahaveer Prasad Taparia: Majority, Q2 was housing. Otherwise, for the full year, housing, agriculture.
Ritesh Shah: Sir, do you think there are any tailwinds with respect to Nal Se Jal orders coming through in a few states?
Mahaveer Prasad Taparia: Which one? Nal Se Jal. If you understand the structure of Nal Se Jal business. Nal Se Jal business can come only from that state which is also spending certain percentage of money, then only they are entitled to get contribution from center. So Nal Se Jal business is becoming very difficult now for many state to. Even if they require, they cannot start because if they don't spend money, there will be no money coming from center. So Nal Se Jal has failed in last 2 year, and this year as on today, I can say it is going to be much lower than whatever they budgeted. Center has budgeted more than INR 200 crore. But when the state government is not matching fund, the central government will not be money coming.
Mahaveer Prasad Taparia: So we are not very optimistic of any big volume business in Nal Se Jal this year also. But the business is coming from irrigation system, business is coming from sewage system, but that is not a big business in our company because many people are playing with the quality. We don't play with the quality. We will be working with a low margin, but business is not, we don't consider a very significant business this year in our company.
Ritesh Shah: Sure. And sir, would it be possible for you to give some color on OPVC doors and windows and gas fittings business as well?
Mahaveer Prasad Taparia: My three things together, I can say OPVC business picking up now. We anticipate good growth for the full year in OPVC. We have introduced several new varieties also in OPVC going forward in the remaining 6 months. Our window, we have started only ready-made window, and every month our business in window is increasing. Every month we are establishing with distributors in the major cities, and we are quite optimistic in the growth of window business. We are also very encouraged in our bath fitting business. We have entered a new range of Moho bath fitting, which apart from offline, we started selling online, and we started getting orders online also of our Moho bath fitting.
Ritesh Shah: And sir, gas fittings?
Mahaveer Prasad Taparia: Gas fittings, we are well accepted, and now we are in a position to supply gas from five locations. With a great advantage of gas pipe coming in the coil, the fill content is very high. We are the only company in the country which can supply from five locations: East, west, south, north, and northeast, all the five locations.
Ritesh Shah: Sure, sir. Thank you so much for the answers. Thank you.
Operator: Thank you. Next question is from the line of R. Ghawale, an individual investor. Please go ahead.
Rahul Ghawale: Yeah, hello. Hello?
Mahaveer Prasad Taparia: Yeah, Pritesh.
Rahul Ghawale: Yeah. Hello, sir. Sir, can you repeat in the beginning you gave some revenue guidance for FY 2027? I could not catch that number. Can you please repeat that number, revenue growth guidance?
Mahaveer Prasad Taparia: FY 2027, we expect our business to grow between INR 13,500 crore to INR 14,000 crore. Our operating margin between 14% to 14.5%.
Rahul Ghawale: This is overall total consolidated revenue growth, right?
Mahaveer Prasad Taparia: Revenue of Supreme Industries Limited.
Rahul Ghawale: Okay. Thank you very much, sir.
Mahaveer Prasad Taparia: Thank you.
Operator: Thank you. Next question is on the line of Sneha from Nuvama. Please go ahead.
Sneha Talreja: Thank you, sir, and thanks for the follow-up opportunity. Just wanted to understand your others business has increased from roughly about 20 crore to about 80 crore. Is that the Moho division that is getting factored in or is that the windows, doors business that you have got into that is getting factored in here?
Mahaveer Prasad Taparia: No, Moho part is part of plastic piping system.
Sneha Talreja: Okay.
Mahaveer Prasad Taparia: It is the window and doors, which is forming part of others as of now.
Sneha Talreja: Okay.
Mahaveer Prasad Taparia: Secondly, some other things in ancillary or accidental business of the raw material trading. We have some surplus raw material which we normally sell.
Sneha Talreja: Right. So that gets into the others part is what you are saying?
Mahaveer Prasad Taparia: Correct. Yeah.
Sneha Talreja: Understood. Thanks for the clarity, sir. That was about it.
Mahaveer Prasad Taparia: Thank you.
Operator: Thank you. Anyone who wishes to ask a question may press star and one on their touchtone telephone. [Crosstalk]. Next question is from the line of Tejas from Citigroup. Please go ahead.
Tejas Pradhan: Thanks, sir. I just missed the volume growth for the month of October so far that you mentioned at the start of the call. Can you repeat it?
Mahaveer Prasad Taparia: Up to yesterday, for this month, the growth is 23% in plastic pipe system.
Tejas Pradhan: Okay. So 25 days of October, 23% is the Y-o-Y growth in plastic pipes. For raw materials, how many days of inventory do you typically carry, and any change in that over the recent period or currently?
Mahaveer Prasad Taparia: We are keeping adequate raw material requirement because there are some imported raw material. We are keeping more raw material also because there is so many uncertainty about when the ship will leave and when the ship will arrive. So we are keeping adequate inventory so that we do not deprive our customer that we cannot make supply because no raw material available. We have adequate raw material of so many grades of material we are using, and many of them are from imports, and we are keeping adequate raw material as per the supply situation so that we are responsible supplier to all our customers throughout the country.
Tejas Pradhan: Understood. Lastly, if I just calculate the realizations in the plastic piping segment, in terms of per kg, and if I just look at it on a Y-o-Y basis for the first half, the increase that I see is slightly higher than the increase in the PVC price, domestic prices. Is it just a function of mix or any change in policy?
Mahaveer Prasad Taparia: We are not only using PVC, now we are making silent pipe, which is most expensive raw material, which is made from polypropylene special formula material. We are also supplying for plumbing system, PERT pipe system, which is very expensive raw material, made outside the country only. Polypropylene, which we are using for silent pipe, also made outside the country, where the cost of raw material CIF basis also quite high, and the rupee going down also increase the cost. So only PVC basis, we will not be able to arrive any average cost of raw material price. CPVC also very expensive.
Tejas Pradhan: Right. Understood.
Mahaveer Prasad Taparia: All materials which are used in the piping system are quite expensive materials.
Tejas Pradhan: Right. Understood. The share of these newer products and CPVC, how much would it have increased on a Y-o-Y basis, any sense?
Mahaveer Prasad Taparia: Every segment we are growing, sir, increase only. Every segment business is growing.
Tejas Pradhan: Understood. Okay, thanks.
Operator: Thank you. Next question is from the line of Bhavin Rupani from Investec. Please go ahead.
Bhavin Rupani: Yeah, hi. Thank you, sir, for the opportunity. I have just one question on Nal Se Jal. So, sir, what we understand is central government has released about INR 7,700 crores post-CAG audits in August 2026. Do you think as funds starts to get released by central government, we could see incremental volume growth coming in from FY28 onwards?
Mahaveer Prasad Taparia: We are not getting much inquiry for Nal Se Jal from any state as on today. Look, we are aware that Nal Se Jal, state government is to match the fund distributed by central government. We are aware that many states have still not cleared the bill of the last year also. Unless they clear last year's bill, the contractor will not come back to again take the order. Nal Se Jal, to our mind, is not going to spend big way from central government also this year. As it happened last two years, same thing may happen this year also.
Bhavin Rupani: Got it, sir. Thank you so much.
Operator: Thank you. Next question is from the line of Rahul Agarwal from Ikigai Asset. Please go ahead.
Mahaveer Prasad Taparia: Yeah.
Rahul Agarwal: Yeah. Hi, sir, good evening. Sir, three questions. Firstly, what was the CPVC volume growth for H1?
Mahaveer Prasad Taparia: 38%.
Rahul Agarwal: Okay. And sir, for the packaging and the industrial segment, what is the volume growth guidance for full year?
Mahaveer Prasad Taparia: In this product segment, we give no volume guidance because it depends on the customer what item they want to order. It may be less raw material or volume by less raw material, but quite expensive raw material. Very difficult to give any volume segment on that because they are industrial customer, we are doing custom molding only.
Rahul Agarwal: Right. But is it fair to say that this business will start recovering in terms of sales volume growth in H2? Is that directionally correct?
Mahaveer Prasad Taparia: Industrial product segment business grew by 13% in volume, so it was quite comfortable. Only packaging product segment business had a very small growth. Because the price had gone too high, so the demand was not matching their capacity. The polyethylene price has gone too high this year. The country has shown 10% degrowth this year up till now.
Rahul Agarwal: Okay. So would you expect recovery in H2, or it will remain weaker in H2 and then maybe-
Mahaveer Prasad Taparia: As on today, crude price remains quite high.
Rahul Agarwal: Got it, sir.
Mahaveer Prasad Taparia: We can't say.
Rahul Agarwal: Got it. For consumer product business, sir, furniture, what is the issue exactly? Why is this degrowing so much?
Mahaveer Prasad Taparia: Price has gone too high. The material was not available also, because government had put restriction on the local producer. That diverted quite a good capacity to make LPG. From polypropylene, you were asked to give even 50% LPG and 50% only to make raw material. The local supply also was affected of polypropylene. Our furniture are also made from polypropylene raw material. Anyway, it is a very small segment of volume in our company. There is a big diversion of furniture requirement of chairs from the reprocessed material. We don't make chairs from reprocessed material. We are supplying prime material product.
Rahul Agarwal: Got it, sir. Thank you so much, sir, for answering my questions.
Operator: Thank you. A reminder to all the participants, anyone who wishes to ask a question may press star and one on their touchtone telephone.
Mahaveer Prasad Taparia: No question?
Operator: Next question is from the line of Sushant Soni from Dhrishya Capital. Please go ahead.
Mahaveer Prasad Taparia: Okay. Thank you.
Sushant Soni: Hi, sir. Thanks for taking my question. I just have one question on the industry growth rate with respect to PVC. Is there any insight that you can provide on that?
Mahaveer Prasad Taparia: PVC growth, industry growth.
Sushant Soni: Industry growth.
Mahaveer Prasad Taparia: Of PVC. Industry growth, number what we got from the raw material producer is -10%.
Sushant Soni: This year, one inch?
Mahaveer Prasad Taparia: This year, H1, as per the raw material producer, it is 10% degrowth. They know and they also told us, the correct number they cannot know because what is the inventory adjustment among all the distributor and the other retailer, they cannot capture the number. Their basis is what raw imports come in the country and what raw supply they supply in the country. Based on that, their number is that there is a 10% degrowth in H1.
Sushant Soni: Got it, sir. This is very helpful. Basically, we are gaining market share at the expense of the unorganized sector.
Mahaveer Prasad Taparia: Our market is growing, so it means that our market share has grown this year compared to the last year.
Sushant Soni: Yes, sir. Thank you so much. Thank you.
Operator: Thank you. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. Next question is from the line of Akash Shah from UTI MF. Please go ahead.
Akash Shah: Yeah. Hi, sir. Thank you for the opportunity. Sir, just wanted to check how much would be employee cost for the full year. I mean, in Q1, it is up 25% and absolute number is INR 168 crore. So how much would be the employee cost for full year?
Mahaveer Prasad Taparia: For H1, it is INR 330 crore.
Akash Shah: Yes.
Mahaveer Prasad Taparia: As compared to INR 580 crore last year.
Akash Shah: Yes.
Mahaveer Prasad Taparia: Since no new greenfield is coming this year, our H1 number is the benchmark for the H2 also, except the
Akash Shah: Okay
Mahaveer Prasad Taparia: commission to directors, which is based on the profits of the company.
Akash Shah: Okay. Understood. Right. Sure, sir. Okay, thank you.
Operator: Thank you. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. As there are no further questions, I now hand the conference over to the management for closing comments.
Mahaveer Prasad Taparia: We are very thankful for all the intelligent questions raised by our so many investors. We thank them very much.
Prakash Somani: Thank you all.
Mahaveer Prasad Taparia: Thank you.
Operator: Thank you, sir. On behalf of DAM Capital Advisors Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.
Mahaveer Prasad Taparia: Okay, Rishi, thank you very much.
Prakash Somani: Thank you.
