Atam Valves Limited — Call Transcript 2023

Nov 22, 2023

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Dated: - 22[ND] November, 2023 ATAM/SE/2023-24/59

To,

National Stock Exchange of India Ltd., Exchange Plaza, C-1, Block G, Bandra Kurla Complex, Bandra (E) Mumbai – 400 051

To,

Bombay Stock Exchange Limited, The Department of Corporate Services P.J. Towers, Dalal Street, Mumbai – 400 001

Sub: - Transcript of Earnings Call for the Quarter and Half year ended September 30[th] , 2023

Ref: - ISIN: - INE09KD01013 Scrip Code: - 543236 Symbol: - ATAM

Respected Sir/ Madam,

We wish to inform you that the transcript of the earnings call hosted by Atam Valves Limited (“the Company”) for the financial results of the Quarter and Half year ended September 30[th] , 2023, has been made available on the Company’s website at the following link:

• https://www.atamvalves.in/wp content/uploads/Atam_Valves_Limited_Q2_FY24_Earning_Call_Transcript.pdf

We are also attaching the Transcript of the earnings call with this intimation.

Kindly take the same on your records. Thanking You, Yours Sincerely, For Atam Valves Limited

Digitally signed by Amit Jain Amit Jain Date: 2023.11.22 19:10:01 +05'30'

Amit Jain (Managing Director having DIN: 01063087)

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“Atam Valves Limited

Q2 FY ’24 Earnings Conference Call”

November 20, 2023

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– – MANAGEMENT: MR. AMIT JAIN MANAGING DIRECTOR ATAM VALVES LIMITED

– MODERATOR: MR. GOPAL CHANDAK KIRIN ADVISORS

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Atam Valves Limited November 20, 2023

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Moderator:

Ladies and gentlemen, good day and welcome to the Atam Valves Limited Q2 FY24 Earnings Conference Call hosted by Kirin Advisors. As a reminder, all participant lines will be in the listen-only mode. There will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference, please signal an operator by pressing star and then zero on your touchtone phone. Please note that this conference is being recorded.

I now hand the conference over to Mr. Gopal Chandak from Kirin Advisors. Thank you and over to you, sir.

Gopal Chandak:

Amit Jain:

Thank you. On behalf of Kirin Advisors, I welcome you all to Atam Valves Limited Q2 FY24 Conference Call. From the management side, we have Mr. Amit Jain, Managing Director. Now, I hand over the call to Mr. Amit Jain, over to you, sir.

Thank you, Mr. Gopal. Good afternoon, everyone. I extend a heartfelt welcome to each one of you joining us for the conference call of Atam Valves Limited, where we aim to delve into our exceptional performance during Q2 FY24.

Before we delve into specifies of Q2 and H1 FY24, allow me to provide a concise overview of our company and its business model. Atam Valves Limited stands at the forefront as a leading manufacturer of industrial and plumbing valves. The company produces a diverse range of valves, including gate, globe, check, ball, butterfly, steam traps, boiler mountings, and accessories, and other industrial valves and fittings.

Our multi-capability manufacturing infrastructure, coupled with the dedicated team of 500 professionals, enable us to handle large and customized order with ease. With a steadfast commitment to innovation and product quality, Atam Valves has emerged as a trusted partner to numerous industries. We are actively planning a significant expansion to venture into production of large-size valves, strategically aiming to meet the diverse needs of the entire valve industry.

Currently, company's valves are used in many renowned industries like oil and gas, refining and petrochemicals, chemicals and pharmaceuticals, marine, mining, water and waste water, textile, sugar, and HVAC industries. We serve over 300 clients, and a few of our marquee clients are Thermax, NTPC, HPCL, BPCL, Ganesh Industrial Supplies, Universal Mill Stores, Raman Sales Corporation, Global Flow Controls, Cheema Boilers. Our top 15 clients contribute 80% of sales.

We participate in exhibition and revenue and profitability contributions from hospitality, exhibition and events is 20% of sales. We talk about revenues contribution from our business vertical. Boiler contributes to 30% sales.

Domestic appliance contributes 40% of sales. Hydro projects contributes 10% of sales. Other products contributes 20% of sales. The global industrial valves market is projected to reach $99.8 billion by 2028, with the 4.4 CAGR from $80.4 billion in 2023. Simultaneously, the Indian sanitary ware and bathroom fitting market was valued at $8,124.8 million in 2022. The growth of industrial valves market is driven by the rising demand from healthcare and

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pharmaceutical industries, the establishment of smart cities globally, and the rapid deployment of connected networks to monitor valve conditions and predict system failure, providing Atam Valves Limited with abundant opportunities for growth.

Focusing on global expansion, we have established an extensive distribution network across India, and are actively pursuing opportunities in the US market through strategic partnerships and approvals for manufacturers. These collaborations underscore our dedication to delivering cutting-edge solutions to our customers. Our international presence is 3% with presence in South Africa, USA, UK, and Indonesia.

The company extends to increase its presence in the United Arab Emirates, Saudi Arabia, Tanzania, Kenya, Russia, and Canada. Navigating this dynamic landscape, our strategic positioning emphasizes on innovation and comprehensive product portfolio ensures that we are well-prepared to capitalize on high development prospects in all valve industry segments. This commitment positions us to thrive in the evolving automotive landscape, ensuring sustained growth and success for our company.

Furthermore, we are executing a forward integration into bathware items under the brand Daley, with a capex plan of approximately INR30 crores. This strategic move is expected to contribute significantly to our total revenues in the upcoming quarter. We expect its contribution to total sales to increase to at least 10% by FY25.

Commenting on the financial highlights, Q2 FY24 and H1 FY24, it's evident that Atam Valves Ltd has showcased remarkable resilience and strategic progress. In Q2 FY24, the company's total revenue witnessed a substantial upswing, reaching INR12.76 crores, demonstrating its adaptability in the ever-changing business environment. EBITDA rose to INR2.36 crores and the EBITDA margin at 18.70% reflects the company's operational efficiency. Profit after tax stands at INR1.30 crores with a PAT margin of 10.34, furthermore emphasizing Atam Valves financial strength and sound decision-making. The positive trajectory extends to Earnings Per Share, which stands at 1.12.

Looking ahead to the second half of financial year '24, Atam Valves optimistic outlook is grounded in its strong Q2 performance and strategic initiatives geared towards industry prominence. The company's consistent growth and financial stability position it favorably for continued success in the dynamic market landscape.

Turning our attention to H1 financial year '24, Atam Valves impressive total revenue of INR23.17 crores, up from INR18.45 crores in H1 financial year '23, underscores sustained growth. The increased EBITDA of 3.89 crores, coupled with an improved EBITDA margin of 16.80%, reflects sound financial management. The profit after tax for H1 financial year '24 is INR2.16 crores with a PAT margin of 9.32%, signifying robust profitability. Earnings Per Share stands at 1.84 in H1 financial year '23.

In summary, Atam Valves commendable financial performance in H1 financial year '24, coupled with its strategic initiatives, highlights its dedication to excellence. The company

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continues to be a preferred supplier, emphasizing its commitment to delivering the top-quality products in the market.

Before we delve into the question and answer session, I want to express my sincere gratitude to all our stakeholders for being an integral part of our growth journey. Your support and indepth involvement have played a crucial role in our success, and we genuinely appreciate your valuable contributions.

With this, I would like to open the floor for questions and answers. Thank you once again for your presence and continued support.

Moderator: The first question is from the line of Prathamesh Dhiwar from Tiger Assets. Please go ahead.

Prathamesh Dhiwar: Firstly, congratulations for your great set of numbers. Sir, in your recent presentation, I saw you're giving guidance of INR1,000 crores in FY 2030. So, can we consider like, year on year, your revenue will grow at 50% CAGR?

Amit Jain: Thank you for your question. Well, 2030, we have a target of INR1,000 crores. There's no doubt in it. But if we commit CAGR 50% for every year, that's kind of tough because we are coming up with new products, new markets. Eventually, we will succeed, but it will take some time. And we cannot say that, you know, year to year, we'll have the same kind of growth.

Prathamesh Dhiwar: Sir, any guidance for '24? Amit Jain: Sorry?

Prathamesh Dhiwar: Any revenue guidance for FY24? Amit Jain: Yes, we'll at least touch INR80 crores. Prathamesh Dhiwar: Okay, INR80 crores. Good. And so, how are you seeing your working capital days going on? Are you planning to reduce the need? Because I think your receivables are a little bit higher side?

Amit Jain: See, we are, you know, as I said, we are developing new products and we are trying to, you know, push those products in the market. That's why we have to give credit as well in the market just to get the acceptance from the market. Yes, from last year, definitely it will decrease by the end of this year. There is no doubt in it because we are getting good response in the market. Moderator: Thank you. We have the next question from the line of Shivam Sharma from PCR Capital. Please go ahead. Shivam Sharma: Hello, sir. So my question was, how does the company intend to utilize its existing distribution network in India to support its global expansion efforts? and are there any specific target markets outside India?

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Amit Jain:

Yes, recently we are in touch with one of our very good, one of the very good clients in Canada. They are offering, you know, their own brand to us and we are just waiting for the API certification from them. And once we have that, then definitely that's a very big boost for us to open up a Canada market. And with that market, we can, you know, sell our products to all the petroleum industries, big petroleum industries.

So we have a range, we have existing range in our portfolio, but not the bigger sizes. Like I said in my presentation that we are going to put up a new plant and we are in fact planning to put up a big new plant with which can manufacture bigger valves.

Shivam Sharma: Okay, thank you. So one more question. Could you provide insights into the geographical and sector-wise breakdown of revenue growth?

Amit Jain: Geographical? Yes, geographical. You mean state-wise?

Shivam Sharma: Yes, country-wise.

Amit Jain: We have our own warehouse in Gujarat. So we are getting good response there. All customers are buying directly from there. And we have a good distributor there. And then South is also, especially Karnataka is a very good market for us. Same with Haryana. We are known in Haryana among all the good boiler manufacturer. So you can say that Gujarat, then Karnataka, then Haryana is our main market.

Shivam Sharma: Okay, so thank you. Amit Jain: I hope I have cleared your… Moderator: Thank you. The next question is from the line of Vaibhav Shah from Kojin Finvest. Please go ahead. Vaibhav, the line for you has been unmuted. You may proceed with your question. Vaibhav Shah: Yes, hi. Thanks for the opportunity and conversation of a decent set of numbers. Amitji, I have a few questions related to the current expansion that is going on. So we have continuously delayed our commencement period. So are we facing any technical issue or related to the plant or what's the situation? Because earlier it was around Q2 of the FY24, then now it shifted to almost Q4 of the FY24.

So when the plant can be started and any difficulties that we are facing it or what's the situation? Amit Jain: You mean plant for bathroom faucets, right? Vaibhav Shah: Yes, yes. The expansion that we have mentioned in the presentation? Amit Jain: Yes. So there is a delay, there is no doubt in it. But we have made some different decisions because we want to expand our existing product range first. Like I said, we got a good opportunity in Canada. So we are concentrating on that. And for the bathroom faucets, yes, we are going to start trading.

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We want to go asset light on that product. So once we are getting products from China, Russia, sorry, Spain and Italy. So we finalized a few ranges and have ordered also. So hopefully they will reach by January 1st week. And accordingly, we will launch that in the market. Vaibhav Shah: Okay. So, what's going on with this capex? So, this will be still on or are we scrapping the idea of the capex? Amit Jain: No, capex will be there. Capex will be required for our new factory for bigger valves. And, working capital will be required for this bathroom faucet. Because we'll be importing them from other places. So, working capital will be required on that capex. Capex is there because we want to set up our new unit for bigger valves. Vaibhav Shah: Got it. So, it will be basically what will happen. Your expansion was made for the bathroom faucets and all. We'll divert it to the bigger one. If my understanding is correct? Amit Jain: Yes, as far as capex is concerned, because we want to go asset light on the bathroom faucets. We want to develop our brand in the market. We want to get the response from the market about the product that we are importing. And once we have a good response from the market, then we'll definitely increase our base here and start investing in the capital. Vaibhav Shah: Got it. And on the margin front, you can see there was a little bit of pressure compared to the last year. So what's the sustainable margin that we can maintain in terms of EBITDA level? And what will be the, is there any scope of improvement in it? Amit Jain: Like I said, because why margin has reduced because we are penetrating into the market, new market. We are spending a lot on the marketing of existing products as well as new products and the upcoming products. So, definitely we will sustain at least 12% to 13%, when it comes to PAT. Yes. Then it will improve EBITDA as well. Vaibhav Shah: Got it. And sir, I think you were one of the earlier participants you said, you were targeting around INR80 crores for this year. So, in the H1, we were somewhere at around INR23 croresINR24 crores. So, this much growth is expected in H2. So, do we have any confirmed big orders in our hand or what's the situation from where the growth will come?

Amit Jain: In our trade, last quarter is always, the busy quarter because you can correlate with the last year. Last quarter, sales is almost equivalent to other three quarters. Because, some projects are coming up, some projects are in the pipeline. They all want to finish those projects within this year. So, the pressure will be there. So, I am sure, we'll be able to achieve that target because we have done that in the past as well. We have good confidence and hope from the market. Yes. Vaibhav Shah: Okay. And what's the current order books we have in terms of the pending orders or anything? Amit Jain: The pending orders, mostly we have our own network, our dealer network and its ongoing process. So, most of the items like, our catalogue items and we have that running stock in our hands. So, our dealers send us an order and we dispatch it. So, right now, if you talk about orders in hand, yes, we have around INR60 crores in hand. So that will, it's a regular process.

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Vaibhav Shah:	Okay. So, and our current dealer network will be of around how many dealers?
Amit Jain:	We have around 750 dealers all over India.
Vaibhav Shah:	Okay. And what will be the contribution from your top 10 clients for the H1 of FY ‘24?
Amit Jain:	Sorry, say that again, please?
Vaibhav Shah:	Revenue contribution from your top 10 clients for FY ‘24, H1 of FY ’24? So, out of your ‘23-
	‘24 year of turnover, how much turnover is received from your top 10 clients?
Amit Jain:	So, we -- our top 15 clients contributes about 80% of the sales.
Vaibhav Shah:	Okay. Yes.
Amit Jain:	And we take it as, 80%-20% ratio, like 20% clients are contributing, 80% of the sales. You can
	say that.
Vaibhav Shah:	Got it. And we are going forward this way, this pattern we will continue, correct?
Amit Jain:	Yes.
Vaibhav Shah:	Okay. And you just, in earlier, one of my questions you said, you have placed the import order
	for the bathroom faucets and all. So when we can start seeing this product in the Indian market,
	this product will start selling?
Amit Jain:	See, we, right now, we'll be getting our first shipment in the month of January. And same
	month we'll be launching, but in Gujarat and Karnataka, only two states as of now. We want to
	go slowly and step-by-step and then we penetrate pan-India.
Vaibhav Shah:	Okay. So, still it will sell under de la brand, correct?
Amit Jain:	Yes.
Vaibhav Shah:	Daley. Okay. Got it. And through the same dealer distributor network of ours or new additions
	that we have done any?
Amit Jain:	No, with the same dealer distributor because we have, plumbing line as well. So, those dealers
	who are already dealing with plumbing segment, they'll be our dealers or distributors for these
	products as well.
Vaibhav Shah:	Okay. And any kind of marketing stand or anything or strategies that we have identified for
	this?
Amit Jain:	See, we are concentrating more on contractors, builders, those who can recommend our brand
	in the market. So, we are targeting few big contractors and builders. So, hopefully, step-by-
	step we can target more customer base. But yes, that is the strategy to target one by one. For
	contractors. Yes.

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Vaibhav Shah: Okay. And what's the margin that you are seeing in this product? Bathroom faucets? Amit Jain: Bathroom faucets, what we have calculated right now is we have to keep… Vaibhav Shah: To quantify, I'll not need the accurate number. Just a ballpark number while you're calculating, what sort of margin you can achieve or it will be better than your existing products or it will be in the similar line, anything? Amit Jain: Definitely, these products will have a better margin because we are coming up with a premium segment faucets only. So, you can say that at least 25% margin. Yes. Vaibhav Shah: Thank you so much. I'll get back in the queue. Thank you. Amit Jain: Thank you. Moderator: Thank you. The next question is from the line of Ananya from C Square. Please go ahead. Ananya: Hi, sir. Sir, as you mentioned about the capex plan and expansion, what is the anticipated return on investment? Amit Jain: Sorry, say that again, please. Ananya: As you have mentioned about the capex plan and expansion, can you throw some light on the return on investment? Amit Jain: See, for the capex, like we have decided to put up a new unit for the bigger valves. So, yes, it will take some time, but once we have that certification, then we are open with the, bigger clients. And we hope that in three years to four years, we can come to the path to the breakeven. Ananya: Okay. And how do you plan to navigate challenges and leverage the opportunities?How do you plan to navigate the challenges, especially in the US market? Amit Jain: The US is the US. North America is a big market. And luckily, we got one client in Canada who is ready to give his brand to us so that we can manufacture that brand and sell that brand in other markets as well. So we don't have to come up with our own brand and go to the market and get the orders because they are already known among those big oil manufacturers, petroleum industries. So that gives us an edge to get into other markets as well, taking them along. Ananya: Okay. All right, sir. So, how do you plan to finance this expansion? Amit Jain: We are planning for the expansion. Ananya: Okay. All right. Thank you. Amit Jain: Thank you.

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Moderator:

Thank you. The next question is from the line of Prathamesh Dhiwar from Tiger Assets. Please go ahead.

Prathamesh Dhiwar: Yes. As I again looked at your investor presentation, you are going to increase your export. But any particular area where the demand will be much more or your focus is much more? Any country?

Amit Jain: We are definitely North America because we are tying up with Canada and Canadian brand. And then we are targeting South -- Saudi Arabia because yes, Saudi has given has started giving good opportunity to all the manufacturers who can go there and manufacture. But once we have the North American brand in hand, we'll have that edge and it's an upcoming big market. So definitely our target will be North America, then Saudi Arabia. Prathamesh Dhiwar: Okay. Yes. Go it, sir. Thank you. Amit Jain: Thank you. Moderator: Thank you. The next question is from the line of Vaibhav Shah from Kojin Finvest. Please go ahead. Vaibhav Shah: Yes. Hi. Thanks for the opportunity again. So sir, you just mentioned the North American market and expansion in Saudi. So what's the likelihood that you are for the North American market? You are going with a Canadian brand. So what will be the model? We'll be manufacturing in India and then we will be supplying it to that brand and they will be distributing it, or how will be the model? Amit Jain: Yes. For North America. Yes. Manufacturing is going to be in India and we are going to manufacture that in our own factory. And marketing for North America that will be done through them only because they will be our customers. They will be our sole customer for the North America region. And for Saudi, they will give us a right, right to sell. So that will have an agreement with them. So we can sell their products, their brand by making -- by giving them some margins or something. Yes. That's the kind of strategy we are planning. Vaibhav Shah: And what's the major risk factor that you can see currently for this expansion as well as your current business in India? So what's the major risk that you see? Amit Jain: See, with the valve line, I don't see any risk or any kind of something lapses that can affect us. But being open to the market, it's a country gone down, some currencies gone down. And there's a loss of opportunities in the market, open market. And there's no more investment going on in the infrastructure. Then that will happen for everybody. But I have not seen that so far. It's been more than 25 years we working. And but I can see more growth because we are coming up with very, very good products. Vaibhav Shah: Okay. And in North American market, you will be going for this industrial value only, correct? Amit Jain: Yes. For the timing, yes. Vaibhav Shah: Okay. And Saudi also in the same similar line?

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Amit Jain:

Yes.

Vaibhav Shah: And the last question, which I'll be having. So what will be the quantum of working capital? Additional working capital will be required for this new implementation? Amit Jain: We are looking at INR30 crores capex for our new unit, as well as importing bathroom faucets. You know, working capital as well as capex. We will be requiring INR30 crores. Vaibhav Shah: No, no. I'm talking about the product that you are going to supply to the Canadian brand. So how much inventory or what will be the payment terms with them? Just wanted to understand that. How much…. Amit Jain: Okay. Right now, to supply to any petroleum industry, oil industry, we have some certification, which is called API, American Petroleum Institute. So that the customer that we are talking about, he has applied for that certification for his factory, for his unit in Canada. And then we will be API compliant because we are getting there. And we have a consultant teaching us and getting our staff prepared for API Q1. So once we have an API compliant industry, then we can supply his brand under API certification. So once we have that API certification, then the whole market will be open for us. And last year, North American, only North American market for these specialized petroleum industry, industrial valve $80 billion. Vaibhav Shah: Okay. So what -- how much is the time process for getting this API license? Amit Jain: See, I think not more than another two months because we are already in the process. Vaibhav Shah: Okay. So apparently we can start supplying from Q4 of this month or this year or Q1 of next year? Amit Jain: No, Q4. Q4 this year. Vaibhav Shah: Okay. So Q4 you can start supplying to your Canadian partner, the brand? Amit Jain: Yes. Vaibhav Shah: Okay. And what will be the quantum of sales order or the interest that they have shown in the, with Atam? Just if you can shed some light on it? Amit Jain: See, what we have spoken about is, the first order will be about $2 million. Okay. So we're just hoping that they will stick to their word because we want to give them that satisfaction that they can depend on our factory. Vaibhav Shah: Got it. $2 million will be the first order? Amit Jain: Yes. Vaibhav Shah: Okay. Thank you so much. All the best. Amit Jain: Thank you.

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Moderator: Thank you. The next question is from the line of Rahil Shah from Crown Capital. Please go ahead.

Rahil Shah: Hello, sir. Good afternoon. Earlier in one of the calls, you had said that on this journey towards, INR1,000 crores by 2030, you will see the next three years will be high growth phase. So do you still stick to that statement? I mean, do you still believe that, that will be the case? Because earlier you mentioned in this call that the growth will not be on the equal lines like 50% or so? But now you're saying INR80 crores is the target you want to achieve, which is like 65% or so growth. So how should we understand about the growth cycle? Amit Jain: See, like I said before, we have developed few products, few new products, which are now market has accepted those and we are getting good orders for those products. And once we have that API certification, definitely, like I said, the orders are going to flow. Yes, eventually, we want to achieve INR1,000 crores by 2030, but we cannot commit that every year you can have 50% growth. This is what I was trying to tell them. But I don't know. Yes, by 2030, INR1,000 crores is our target and we want to do anything to achieve that. Rahil Shah: Okay. So based on this, the statement you mentioned, like the new products you have introduced and the API certification, so that will give a huge bump to revenues, correct? So is it fair to assume that FY '25-FY '26, the next two years after this will be significant? So that will see a very huge jump in revenues and margins will be much better. Amit Jain: We are really hopeful. Yes, we are hoping for that. We are targeting as per that as well. Rahil Shah: Correct. Okay. And for the rest of the year, so in the next H2, you will be needing a very good amount of growth to reach your target. Will margins also move along similar lines? Like, will they also see a good improvement? Amit Jain: Yes, you will, because you're talking about this year, right? Rahil Shah: Yes, yes. Amit Jain: Because like I said before, we have spent a lot on the marketing and that has reduced our PAT from, if you talk about in percentage, but we are targeting at least 12% to 13% to maintain that PAT. Accordingly, EBITDA will improve as well. Rahil Shah: Okay. And any near-term challenges you foresee which will kind of restrict you from this growth path? Anything, you like to highlight? Amit Jain: Challenge, within this year or the growth that we are planning? Rahil Shah: In the near to medium term, like this rest of the H2 maybe or next year, the year after. Any, not, of course, it all depends on the market, but something in your business which kind of poses a hurdle? Amit Jain: We are very much hopeful that we'll get an API in two months, but it might take three months, four months, because we are dependent on somebody and with the new clauses and new certification, you can just set a target, but it all depends on the certification body. So maybe

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that's the challenge. That's the only challenge that we have. Otherwise, we have our own product, we have our own market, and we are confident about our marketing, especially domestic market. Rahil Shah: Okay, sir got it. Thank you and all the best. Amit Jain: Thank you. Thanks a lot. Moderator: Thank you. We have the next question from the line of Prathamesh Dhiwar from Tiger Assets. Please go ahead. Prathamesh Dhiwar: Yes, I just wanted to follow-up. Sir, the exports are going to increase. So, sir, are we expecting the margins to improve more or will the export market also have same margins only, like domestic? Amit Jain: No, no, definitely there will be a better margin in exports. There is no doubt in it. And overall, if we get good orders in exports, then margins will go up. Prathamesh Dhiwar: And when are you seeing like 23% of the revenue from exports? In which year are you planning? Amit Jain: See, like I said, we are getting there. And hopefully, you can see that in two years. Prathamesh Dhiwar: Okay, two years. FY '26? Amit Jain: Yes, FY '26. Prathamesh Dhiwar: Okay, thank you, sir. Thank you. Amit Jain: Thank you. Thank you. Moderator: Thank you. Ladies and gentlemen, this brings us to the end of the question-and-answer session. I would now like to hand the conference over to Mr. Gopal Chandak for closing comments. Over to you, sir. Gopal Chandak: Thank you. Thanks everyone for all of Atam Valves Limited. If you have any queries, you can write us at info@kirinadvisors.com. Once more, thank you everyone for joining the conference. Moderator: Thank you. On behalf of Kirin Advisors, that concludes this conference. Thank you all for joining us. You may now disconnect your lines.

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