TANLA PLATFORMS LIMITED — Call Transcript 2024

Jan 30, 2024

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Tanla Platforms Limited T: +91-40-40099999 (Formerly known as Tanla Solutions Limited) info@tanla.com Tanla Technology Center www.tanla.com Hi-tech city Road, Madhapur, Hyderabad, India - 500081 CIN: L72200TG1995PLC021262

Date: January 30, 2024

To,

	BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400 001 ScripCode:532790	National Stock Exchange of India Ltd. “Exchange Plaza” Bandra-Kurla Complex, Bandra (East), Mumbai - 400 051 Symbol:TANLA

Dear Madam/Sir,

Sub: Transcript of the Earnings Call for UFR Q3-FY2023-24.

Pursuant to Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirement) Regulations, 2015, please find attached herewith the transcript of the Earnings Call on Un-Audited Financial Results of the Company for the quarter and nine months ended December 31, 2023, held on Wednesday, January 24, 2024, at 4:30 PM IST.

The transcript is uploaded on company’s website as well on below link:

https://www.tanla.com/media/announcement/ec_transcriptq3fy24.pdf

Request you to take the same on record and oblige.

Thanking you

Yours faithfully, For Tanla Platforms Limited

SESHANURAD

HA CHAVA

Digitally signed by SESHANURADHA CHAVA Date: 2024.01.30 15:02:52 +05'30'

Seshanuradha Chava General Counsel & Company Secretary ACS-15519

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Tanla Platforms Limited Q3 FY24 Earnings Conference Call Transcript January 24, 2023

Call Duration	▪ 47 minutes
Management	▪ Ritu Mehta - Head of Investor Relations ▪ Uday Kumar Reddy - Founder, Chairman & Chief Executive Officer ▪ Deepak Goyal - Executive Director & Chief Business Officer ▪ Aravind Viswanathan - Chief Financial Officer
Participants that asked the questions	▪ Balaji Subramanian - IIFL ▪ Amit Chandra - HDFC Securities ▪ Deepak Chokhani - Reed Capital ▪ Anil Nahata- Individual Investor ▪ Ram – Individual Investor

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Operator:	Ladies and gentlemen, good day, and welcome to Q3 FY24 Earnings
	Conference Call of Tanla Platforms 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
	this conference call, please signal an operator by pressing star then zero on
	your touch-tone phone. Please note that this conference is being recorded.
	I now hand the conference over to Ms. Ritu Mehta from Tanla Platforms Limited.
	Thank you and over to you.
Ritu Mehta:	Good evening and welcome to Q3 earnings call. Joining with us today are Uday
	Reddy, Founder, Chairman and CEO; Deepak Goyal, Executive Director, and
	Chief Business Officer; and Aravind Viswanathan, CFO. After his opening
	remarks, we will be happy to engage with participants and address their
	questions.
	Before I hand it over to Uday, let me draw your attention to the fact that today's
	discussion may feature statements that are forward-looking in nature. All
	statements other than statements of historical facts could be deemed forward-
	looking in nature. Such statements are inherently subject to risk and
	uncertainties, some of which cannot be predicted or quantified. A detailed
	disclosure in this regard is mentioned in the results presentation that is uploaded
	on our website. Audio recording and the transcript will be available on the
	website soon.

I now hand it over to Uday.

Uday Kumar Reddy: Thank you, Ritu. Good evening, everyone. Very warm welcome and thank you for joining this call. I'm sure you had a chance to go through our investor presentation and my letter to say about us, which are very detailed. Let us straight away get into Q&A. And me and the management team will be happy to get into more details in the call. Yeah, Ritu, let's open the question. Question-and-Answer Session Operator: Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on the touch-tone 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.

We have our first question from the line of Balaji Subramanian from IIFL Securities. Please go ahead. Balaji Subramanian: Hi, thanks for taking my question. So, firstly, you have disclosed the ILD and the NLD SMS revenue contribution approximately, which is 25% and 50%, respectively. And you have mentioned that ILD has been facing softness. So just wanted to understand on an organic basis, what would be the NLD business be growing at? Would it be growing in double-digits, high-single digits, midteens? What is the approximate number, which the NLD business is growing at. That is number one and the related question is on the ILD front. You have mentioned that, I know, the worst is behind, and it should no longer decline, even though the growth may be a little sluggish going forward. So, what gives you the confidence that we have seen the bottom of the ILD revenues? So that would be my two questions.

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Aravind Viswanathan:	So, we've been talking about a fact that we saw some amount of momentum
	that we expected in Q3 on the domestic business. I would say, in fact, we have
	covered it as part of our call also last time. I would say that we kind of showed a
	growth in the mid-single digits on a sequential basis in Q3 vis-à-vis Q2. So, there
	was good growth as far as the domestic is concerned. On ILD, I'll ask Deepak
	to chime in more from a perspective of the market environment, both in ILD and
	domestic, but like Uday had written in his letter also, right, there was a shift in
	certain use cases for some tech measures on to OTT channels, which caused
	a big impact from October. Now we've kind of don't see further shifts at this
	stage, which is why we are pretty confident that it has kind of comedown. But
	we do see the growth in this space to be a little sluggish. Deepak, can you chip
	in?

Deepak Goyal: Yeah, sure. Hi, Balaji, Deepak here. So as Aravind mentioned, see first of all, as far as ILD business is concerned and ILD pricing is concerned, we all know that the price for ILD is almost 40x, 50x as compared to domestic price. I mean, it's around ₹4 to ₹5 compared to ₹10 paisa or ₹12 paisa as domestic message. So, it is always there's a pressure from the customers, and they don't want to pay that kind of money, and they keep looking for alternate channels and alternate mechanisms to see how they can save their costs or, how they can optimise their volumes, okay by not sending so many messages, just to save the cost. So, this is a continuous exercise from the customer side. And last quarter, we saw that, even some of these volumes move to WhatsApp. I don't know how many of you use Microsoft, but if you see Microsoft messages are coming from WhatsApp rather than coming from ILD routes. So, that has actually dented the overall business to a certain extent. But as Aravind said that is the bottom. We already touched the bottom. Now going forward basis, why we don't see that will not go further down is one of the reasons is that even WhatsApp is it's kind of, but they are going to from March onwards or maybe April onwards, they are going to increase the prices, or they are going to completely stop supporting ILD messages on WhatsApp. So that could be one driver where we would see that the volumes can come back. But overall, I mean, the major customers are, I hope we all know, there is Amazon, there is Snapchat, there is Microsoft, and few others, which are the -- these are large ones. And these are the guys who always they are sending message only when it's absolutely necessary. And that's why Aravind said that the growth is going to be a bit sluggish as far as volumes are concerned.

Balaji Subramanian: Okay. Thanks for the elaborate answer. I just had a couple of quick follow-ups. So, I know a couple of years back, the narrative used to be that A to B messages are likely to grow in mid-teens, not just in terms of volume, but also in terms of numbers. With all these developments, what do you think is closer to the steady state growth for your enterprise business? Again, platform is a completely different cup of tea, and their growth is fairly robust. So that would be the first follow-up. And the second follow-up is with the ILD contribution coming off, what will be the typical gross margin impact? Will it be significantly diluted considering that you did see pretty healthy realisations there?

Deepak Goyal: Okay. So, first of all, about the industry growth and about the volumes growth, okay. So, what I spoke about was specifically to ILD volume. And if you see though ILD, it is about 25% of our overall revenues, but in terms of volumes, the volumes are very, very small compared to our overall volumes, right, because ILD revenues are high because the price points are very, very high. So, if you look at our domestic market, it is growing very well, All right. I mean, there is lot of new use cases are coming up, market is growing, it's in double-digit for sure. And the good part is that now, customers are adopting alternate channels. So, the dependency is not just on SMS now. So now, OTT is the play where we are seeing lot of traction on WhatsApp, we are seeing lot of traction on RCS, which is Google's owned channel. We are seeing traction on Truecaller. So these

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	channels, what is they are growing very well. And with that, the number of use
	cases are growing and overall number of messages are growing. So overall
	growth in India is pretty good.
Balaji Subramanian:	And final question on gross margin impact?
Aravind Viswanathan:	So, I will take that Deepak. So, Balaji, while the realisations are higher, the cost
	is also higher. So, it's not that the margin profile of ILD is significantly better. In
	fact, I would say it's probably lower. Absolute terms per message you make
	more money, but as a percentage it is lower than what you make in domestic, is
	a classic onset offshore kind of construct. So higher realisation, but higher costs.
	So, percentages are actually not high. So, you will not see a percentage dilution
	because of the softness in ILD.
Balaji Subramanian:	Okay. Thank you. That is super clear and all the best.
Operator:	Thank you. Next question is from the line of Amit Chandra from HDFC
	Securities. Please go ahead.
Amit Chandra:	Yeah, thanks for the opportunity. My question is, firstly, on the ILD part of the
	revenue. So, you mentioned that the worst is behind for ILD, but seeing the kind
	of cost cutting initiatives these larger measures are taking in terms of finding
	alternatives. Do you see the shift to other channels to continue in ILD? And also,
	in terms of the volume break up, so the transactional messages, which are the
	compliance link, so that can remain on the normal channel, but the promotional
	part of the ILD messages can actually move to RCS, WhatsApp. So how do you
	see that evolving? And also, from the NLD aspect, do you think that with the
	rising popularity of RCS, you think the promotional messages of NLD can
	actually shift to RCS, which is much effective mode of communication. And
	although the regulations are higher, but the impact is also higher in terms of the
	promotional messages in NLD.
Deepak Goyal:	Hi, Amit. So, first of all, you asked about promotional messages on ILD going
	away. So just to tell you that, nobody does any promotions on ILD for past till
	many quarters now. I think it used to happen about four or five years back. But
	when the prices have gone up, no customer sends any promotional messages
	on ILD. I mean, barring could be very negligible, I would say or maybe nothing,
	right? So, it is mostly OTPs you would see, or you would see like, I mean, if you
	buy things from Amazon, you would see messages coming in like, hey, your
	parcel is out for delivery, is your PIN, right? So, you get such kind of messages,
	these are more informative in nature or transactional in nature. So, this is what
	they've been sending. And then moving to other channels, which I've already
	answered. Yes, some part of these messages did move to, let's say, WhatsApp
	and last quarter. But going forward basis, as because we keep talking to Meta
	and everybody, even Meta is planning to increase the prices and we don't see
	that continue for a longer time. So, this is an update on ILD, but we will let you
	know as and when it happens.

absolutely right. RCS is our great channel, because it supports rich media compared to SMS, where you can send only a plain text message. So, when a promo message is being sent, obviously, when you're sending an RCS message, you can display your brand very well, you can send a rich media message, you can have a banner, you can have multiple banners in fact and all of that. So, the ROI is far, far better as compared to SMS. And as I mentioned earlier, Karix and ValueFirst combined today, we are having the largest share in the RCS market in India today that is upwards of 40%. And we are onboarding lot of customers. We are doing really very well in RCS. We are seeing great success on RCS.

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Amit Chandra: Okay. And like moving on to the platform side of the business, so there also we have seen some softness. So there the softness is largely linked to the Vi deal going away or is there any some other reason in the platform side of the business? And also, we mentioned that we have closed some deals on the ATP side. So how do we see that, how the commercials are looking there? And is it going to come in like from the next quarter onwards? Aravind Viswanathan: So, if you look at it, Amit, from a platform business perspective. We've grown 22% YoY and 24% YoY on GM, right. So if you look at that trend, that has largely remained in line with our growth rate. We've seen some impact in Q3 on the Vi, more driven by the reduction in international messaging market that we talked about, right. And we expect to see the further impact in Q4 on the Vi contract exit. But we've also kind of been growing in other platforms quite a bit, right. So that's why you've seen us maintain this 20% growth trajectory for more than 14 quarters now in a row, right. Wisely ATP, we announced that on 10th of Jan in terms of the first customer that we have signed a commercial contract with. We expect that to go live in the current quarter, we'll start seeing revenues. And obviously, there is a pipeline that we are aggressively pursuing in terms of. We labelled a full impact of all of the customers that we're looking at onboarding may happen in Q1, but you will see some impact in Q4 also.

• Uday Kumar Reddy: Yes. To add to that, Amit, Uday here. Just to add to that side, the beauty of this ATP is like, it is more offered on a subscription model, meaning we say that the customers are paying per user per month, okay. So, they have to buy the subscription for their users, and they have to pay every month. So, the contract that we've signed, they bought one-year subscription. So that's the beauty of this. This is a typical SaaS platform.

• Amit Chandra: Okay. So is it fair to assume so that the new deal on the ATP side can totally offset the Vi impact or is it in terms of size going to replace, I mean what we have lost on the Vi side?

• Uday Kumar Reddy: No, we're not trying to compare this to in a sense like whatever we lost, we lost it for good. That's what I strongly believe it. But I'm not too worried about the Vi going out. In fact, we lost at least 30%, 40% of the traffic on the Vi hub for the last 2 months in Q3. And so, and it will continue for the next couple of more months. I mean, it will continue up to end of March. So, we don't see any effect of the Vi on platform business coming quarter. By the time, we should be able to close other platforms mainly on ATP, should go live with even other customers. So, I'm not too worried about Vi going out in terms of that, it will not have any effect on our platforms.

Amit Chandra: Okay. And last question on the like WhatsApp revenue like target that you have mentioned about around ₹100 crores per quarter, so what is the run rate as of now and by when we expect this to reach ₹200 crores? Aravind Viswanathan: So, Amit, we have already reached ₹100 crores, that's the message, right. So we've gone exponentially on OTT, it's been a big area of focus, right. So we've crossed the ₹100 crores quarterly run rate mark in Q3. Amit Chandra: So, Amit, we have already reached ₹100 crores, that's the message, right. So we've gone exponentially on OTT, it's been a big area of focus, right. So we've crossed the ₹100 crores quarterly run rate mark in Q3.

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Amit Chandra:	Okay. Great. Thank you. And all the best.
Operator:	Thank you. Next question is from the line of Deepak from Reed Capital. Please
	go ahead.
Deepak Chokhani:	Thank you. Good afternoon. I have three, four questions, so if you can kindly
	allow me, I'll be quick. First is on Slide 36, where we are talking of Era 3 in
	Tanla's journey. Could you spend a minute or so and just explain us what are
	we trying to say here? Will it be largely driven by platforms.
Aravind Viswanathan:	So, it's an interesting question. So, if you look at it, we've kind of captured our
	history in many ways. And we've talked about how we have built the platform
	business from scratch and how we've scaled our enterprise business. I think
	when it comes to Era 3, definitely the big trust is on platforms across the
	dimensions that we have talked about, while also scaling the enterprise
	business. We're not looking at either or, but there is a lot of innovation that we
	are doing that will come through from a platform side.
	OTT is another big area of discussion point that we will see come. We will come
	into our own in that aspect also. So, there is a little bit of structural investment
	that we have made, and I think that will come out in terms of Era 3. You will get
	more details of it over the course of this quarter as we make announcements.
	So, you've seen it in Uday's letter on our plan, so that is the direction you will
	see.
Deepak Chokhani:	Okay. So, I just want to expand a bit, Aravind. I believe it will be largely driven
	by the Platform business and given the current state of Platform business, it's a
	run rate of ₹400 crores, ₹500 crores per annum with a huge potential going
	ahead. You guys are investing a lot of Capex, lot of platforms are in the pipeline
	and flat margins are around 50%, 60%, which is pretty chunky. With my past
	experience as a banker, I think maybe the management should think of how to
	unlock this Platform business and create value.
	What I'm trying to say is that, why not think in the direction of de-merging the
	platform business and listing it separately? Because the way I think is the
	Enterprise business will continue to grow, but the growth in Platform business
	and the kind of multiples we can get in the Platform business will be far superior
	versus Enterprise business. And if I as an investor want to invest in Platform
	business, just that Platform business, unfortunately, I don't have that option. And
	I again believe given the numbers of Platform business, the kind of valuation
	which Tanla as a whole is getting, just the Platform business can potentially
	achieve that.
Uday Kumar Reddy:	Deepak, Uday here. First let us build the business, then we think about the
	valuations, right?
Deepak Chokhani:	Okay. Just a point for the management to consider going forward.
Uday Kumar Reddy:	Yeah, first, we are putting all our energies to build the platform business. There
	is no doubt about that. We are investing, as you rightly said, you will see a lot of
	upside in the platform business going forward. So we have all the energies, I
	mean they investing behind building the business.
Deepak Chokhani:	Okay, fair enough. My second question is on the TAM slide, which is Slide
	number 34. As I can see that presently the TAM is around $2 billion to $3 billion,
	which can more than double to $5 billion to $6 billion by '27. So my question is,
	is this largely back ended or will it be spread equally for the next three, four
	years? And can then one imply that Tanla will also grow in a similar kind of
	fashion?

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Aravind Viswanathan:	So, it's not back ended, but obviously there are new dimensions where the
	growth rates are going to be larger. So, if you look at it from a communicate
	standpoint, it will be much more even, but maybe from an experience point it's
	a little more exponential. So, the different categories actually will grow differently
	within the bucket. So, I think there are certain portions of the TAM, which is more
	steady state Deepak, and you will see us and grow in that manner. But there are
	big bets that we are taking, and you will hear more about it as we detail it in
	nowadays, where the opportunity becomes larger, right.
	So that's how one should read this. So, the opportunity, at least when we look
	at it in our innovation hub, this is where we say we want to play. That's very
	clear. And we are also seeing how you want to innovate to capture this TAM. So
	that's how we are looking at it. This is the opportunity that is in front of us.
Deepak Chokhani:	So, is it fair to say that we are becoming, and the focus is more on the tech side
	going forward? Is that fair to say more innovation, more tech?
Aravind Viswanathan:	Absolutely. I think deep tech has always been something, which is very core to
	us, as is innovation. So clearly the future will be a congruence of both of these
	coming together.
Deepak Chokhani:	Okay. On ATP, I mean I know you can't share the numbers, but just to
	understand I mean a big size bank, how many users can actually use the product
	and within the organisation, is it scalable? So, let's say you start with 10 users a
	month. Is it scalable within the same firm and just abroad, how many users in a
	big bank can use it per month basis?
Uday Kumar Reddy:	Unfortunately, we cannot really diverse this name, Deepak, but all I can see is
	one of the largest private banks in India. We're not allowed to mention that. But
	definitely they have very, very massive user base. So, it's not a small bank, okay.
	So, we have done the PoC, which we have announced as part of our updates
	to exchanges earlier. So, this is one of the banks. So, we have done the PoC's,
	they have seen the results, we went back and forth in terms of regulation side.
	So, they finally said, okay, we'll be kind of convinced about the impact. So, that's
	how they closed the commercials. But as I told you, it is purely on subscription
	basis wherein they have to pay us on monthly basis per user, per month. That's
	what the deal is.
Deepak Chokhani:	Yeah, I understand that. What I'm trying to understand is, within the bank, is it
	scalable? So, let's say you start with 10 people using on a subscription basis
	within the bank.
Uday Kumar Reddy:	No, it all depends, Deepak. For example, if the bank has got just the sake of our
	illustration, they have 1 million users, okay. They may take to a 100% of 1 million
	users. They may start with 50% of the 1 million users, right. But for this bank,
	they have taken 100% of users, okay. So, they have gone -- they want to ring
	fence their entire user base so because they have seen the PoC results. So,they
	have decided to ring fence their entire user base.
Deepak Chokhani:	Okay, so just on that. Sorry, I'm extending it a bit. Why aren't organisations
	willingly coming forward to adopt this? I mean you did mention or share your
	frustration about the lack of urgency from regulators. What's stopping the
	organisations or the regulators to push this?
Uday Kumar Reddy:	That's what we are also struggling to understand, Deepak. We have been
	working with various regulators including RBI, IRDAI, SEBI and various
	regulators. So, we are trying to understand their regulations. We are also trying
	to navigate the discussion. That's how we could be able to close with many very
	large bank where RBI is governing them. So, they have their own understanding.

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	They have to go to their regulators to get their approval before they go live with
	these kind of products, right? So, I cannot really discuss in detail, why the
	regulators are going slow, but we are pretty frustrated. But that's the beauty of
	the platform, first couple of one or two deployment, it takes bit of time. Somebody
	has to take the decision. Once you take the decision, RBI and other banks and
	other entities are going to follow it.
Deepak Chokhani:	Sure. All the best on that. My last question, Aravind, and maybe you can answer
	this by when is the VF Middle East Indonesia merger expected?
Aravind Viswanathan:	So, we've been kind of getting delayed on it because the regulatory approvals
	are taking longer, Deepak, but we are confident to close it in this quarter.
Deepak Chokhani:	Okay, that's it for me. Thank you so much.
Aravind Viswanathan:	Thanks, Deepak.
Operator:	Thank you. Participants, you may press star and one to ask a question. Next
	question is from the line of Anil Nahata. Please go ahead.
Anil Nahata:	Uday, Deepak, Aravind, good evening. Congratulations on a good result, which
	has been in a very adverse environment. You've been able to maintain margins
	and you've been able to most importantly, as far as I am concerned on the 10th
	of January, the news that you announced was really very encouraging, which
	was the first sale of Wisely ATP to one of those three top banks. So, I have
	basically three questions. One question is more of a broader question that for
	the last multiple quarters the volume growth of messaging has been soft. So,
	when do you see, I mean what are the key reasons behind that? Is it the price
	hike, is it the technology change, et cetera? And how confident are we -- that we
	should be able to deliver double-digit volume growth from the coming year
	onward? That was my first question.
Uday Kumar Reddy:	Deepak, you want to give a view on how the market is playing out from the
	messaging perspective?
Deepak Goyal:	Yeah, sure, Anil. So, as you know, our majority of our customers and our
	volumes come from the BFSI sector and also the banking and finance sector.
	And initially we saw a huge growth in volumes because of UPI transactions and
	a lot of other volumes were there. But then for last few months we saw because
	the bills were going through the roof and banks have started looking at the
	volumes, how they can optimise it.

Let's say for example, they looked at, I'm just giving you a few examples just for you to understand that, hey, there are certain messages which are more than 160 characters. So how they can and if it is more than 160 characters, then you would charge for two messages. So, they just wanted to bring it down. So, they're doing their own stuff. They decided, banks have decided to not to send messages for less than ₹100 UPI transactions, though RBI very clearly mandates that you are supposed to send message on every transaction. But we saw that some banks have cut down on those. Some customers have cut down on the promotional spend for last six or eight months, which is not just for BFSI, this is almost for everyone.

very big for us. And we saw the gaming companies cutting down on the budgets in a big way, primarily because of all those, the tax issues they are facing with and GST issues and blah, blah, blah. So because of that, we saw some volumes coming down. But overall, if you see number of transactions are going up, okay. All our customers are growing. So, I would look at it as, it's like a temporary

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thing. It is behind us and going forward, we are seeing growth. In fact, even the gaming companies are coming back. Things are getting settled now. Even our promotional volumes are coming back. We also seeing, as I mentioned earlier, customers were looking for a better ROI and we are providing options via WhatsApp and RCS. And we have onboarded some very large customers on WhatsApp. We have onboarded some very large customers on RCS as well. And our customers are seeing a great ROI through these channels for promotions. So overall, I would say that things are getting better going forward basis. Anil Nahata: Okay. Thank you, Deepak. So, we are confident of double-digit volume growth in the coming financial year fiscal '25? Deepak Goyal: Absolutely. Anil Nahata: Okay, fantastic. My second question is more of data oriented. Like we have been spending quite a bit on different, different products. So, what has been the R&D spend in the third quarter? And what has been the nine-month R&D spend? Aravind Viswanathan: So, the total R&D spend I would say would be about, and I'm talking purely with respect to the platform side would be about ₹40 crores over nine-month period. Anil Nahata: Okay. Aravind Viswanathan: And we spend on an average about ₹12 crores to ₹14 crores a quarter on R&D. Anil Nahata: Okay. My last question is for Uday. Once again, Uday, congratulations on this much awaited sale to one of the three top banks. I'm sure that other banks in the same grouping and even outside the grouping would now feel more confident about stepping up and all. And also, in particular, you were insisting on subscription-based and you have got the subscription base. So, congratulations once again, because the quality of revenue is much higher because bank accounts don't get closed, like they are always on. And as long as your technology is doing the job, the bank should have no reason to discontinue your services. In that way, it becomes an annuity income stream, so which strengthens our company quite well.

My question was within a ballpark, what is the revenue implication of one of these banks, like the one that has already happened and maybe a few others will happen. Per bank, how much of ballpark revenue can be achieved? Because we know the number of customer, the account holders and it is per month, and so there are 12 months. So roughly what quantum of revenue is possible from a single, or let's say from this category of Wisely ATP that you have recently had success with?

Uday Kumar Reddy: Yeah, a little tricky question, right? A couple of things, all I can say at this point of time is we have done the PoC with up to three top banks and one bank went ahead and closed the commercials and another bank, what they did was they asked us to do one more PoC, which we started probably 15 days ago. And this two PoC is likely to end around 15th or 20th of February. Post that, they should be able to touch the call and let's hope for best. That's the first point. The second point is I cannot really talk about the revenues per bank. All I can say is it will definitely add a meaningful impact to our pack. Probably if I have to generalise, each bank should be able to contribute around ₹10 crores net profit per annum in terms of pack.

Anil Nahata: That is fantastic. And just one follow-on, Uday. This is just a starting banks and I hope, and I'm confident that other banks will also step forward, because these three banks are the opinion leaders, they are the biggest brands that we have.

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Other banks will also then feel encouraged to come. So that's a very happy outcome, which whenever it happens it will be great. But an even bigger opportunity lies overseas where you can tie up with the telecom companies and we all know that telecom revenue, telecom charges are much higher in other parts of the world compared to what they are in India. So, if you can convince the telecom companies outside of India, the revenue per subscriber can be much higher over there, even though the number of subscribers given the small populations in other parts of the world. But net-net, it will still be meaningful. It would be great if you can throw some light on that opportunity and any initiatives you are taking towards that opportunity?

Uday Kumar Reddy:	Yeah, good question, Anil. As I mentioned in my letter, okay, right, so most of
	the neighbouring countries, mainly Saudi, Singapore, and Australia, the local
	regulators, whether it is banking regulator or a telecom regulator, they came out
	with what they call for the paper?
Anil Nahata:	Regulatory framework.
Uday Kumar Reddy:	Yes. So, they came out with the paper where we are, in fact, we have given
	feedback which I mentioned as part of my letter, okay? So, we are closely
	monitoring different countries, okay. So once the regulation is in place, okay,
	whether it's telcos or the banks or any enterprise, they have to adopt such
	products. So, we're closely monitoring the regulations around different countries
	and we're also helping them to shape up the regulations. That's what I have
	written. In fact, I have left even the links also where we have contributed. It took
	a lot of time for us to put a lot of efforts and updated those papers. So, let's hope
	for best. Our intent is to go outside India and deploy this platform. But this
	platform is mainly driven by the regulators, okay? Once the regulators sign off
	the regulations and it will be easier for any bank or the telcos to adopt this
	platform. So, we need to go step by step.

Anil Nahata:	Okay, great. Absolutely. The last question, you have been mentioning on Twitter
	as well as in other public forums that you've been accumulating, you have been
	adding a lot of top tier talent. So, if you could, for everybody's benefit, talk about
	any new products that are in the pipeline, that would be helpful.
Uday Kumar Reddy:	As you mentioned, we have as Aravind mentioned, we spent already ₹40 crores,
	₹45 crores towards Capex. That all went towards R&D. I'm not sure whether you
	have visited our R&D centre. That's where we are trying to work on the
	platforms, products, and solutions like. Yes, definitely we will let the market know
	once we release these products.
Anil Nahata:	Okay, great. Thank you and wish you all the best.
Aravind Viswanathan:	Thank you.
Uday Kumar Reddy:	Thanks.
Operator:	Next question is from the line of Ram.Please go ahead.
Ram:	I just want to understand, for the digital platform, what kind of growth are we
	expecting for the next three to four years. Now I see we are picking around 20
	plus in terms of gadget when it comes to digital platform. So can we sustain the
	same numbers, or we can have better numbers because we have Wisely ATP
	and more platforms that are coming in, and also, we are focusing more on the
	digital platform. What kind of growth numbers can we expect in the next three to
	four years as for the total addressable market, the market potential for this digital
	platform?

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Uday Kumar Reddy:	So, Ram, as we covered in earlier discussion, we are investing in the platforms.
	We see huge opportunity. We are always up to the greenfield opportunity. We
	are not here to copy someone. We are not here to refund and replace any other
	platforms. We always look for greenfield opportunities. So, we have been
	building that the platforms for quite some time. We see a lot of opportunity here.
	So, to answer your question, of course, unless and you go 20%, there is no
	reason for us to put in so much of effort in terms of the energies as well as the
	money. So, we should be able to grow a minimum 20%. There's no doubt about
	that.
Ram:	That's all from my side. Other questions I got answered from the questions of
	others. Thank you.
Operator:	Thank you very much. I will now hand the conference over to Ms. Ritu Mehta for
	closing comments.
Ritu Mehta:	Thank you, everyone. That was the last question for the day. In case we could
	not take your questions due to time constraint, please reach out to Investor
	Relations team. Good evening.
Operator:	Thank you very much. On behalf of Tanla Platforms Limited, that concludes this
	conference. Thank you for joining us. You may now disconnect your lines. Thank
	you.

This is a transcription and may contain transcription errors. The transcript has been edited for clarity. The Company takes no responsibility of such errors, although an effort has been made to ensure high level of accuracy.

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