Chaman Lal Setia Exports Ltd (NSE: CHAMANSEQ) Q3 2026 Earnings Call dated Feb. 13, 2026
Corporate Participants:
Rajeev Setia — Joint Managing Director and Chief Financial Officer
Analysts:
Unidentified Participant
Anubhav Mukherjee — Analyst
Manish Kela — Analyst
Akash Bhalla — Analyst
Ashish Sharma — Analyst
Madhur Rathi — Analyst
Navneet — Analyst
Purav Patel — Analyst
Presentation:
Unidentified Participant
Ladies and gentlemen, on behalf of Captify Consulting investor relations team. I welcome you all to the Q3 and 9 months FY26 post earnings conference call of Chaman Lal Setia Exports Limited today on the call from the management we have with us Mr. Rajiv Setia, joint Managing Director. As a disclaimer I would like to inform all of you that this call may contain forward looking statements which may involve risk and uncertainties. Also a reminder that this call is being recorded. I would now request the management to brief us about the business and performance highlights for the period ended December 2025.
The growth perspective and vision for the coming year. Post which we will open the floor for Q and A. Over to you sir.
Rajeev Setia — Joint Managing Director and Chief Financial Officer
Good morning. Good afternoon everyone. I’m Rajiv Setia from Camala City Export limited And I welcome all of you for discussions about our current ended quarter 31st December. You’re welcome. Thank you very much.
Unidentified Participant
So would you like to give any closing opening remarks about the performance for the quarter?
Rajeev Setia — Joint Managing Director and Chief Financial Officer
Yeah, because preceding quarters were not so good. So you see we. I took all the my sales teams, production teams. We held meetings with them as to why the performance is lower. Actually what we realized the sales teams were little. So we encouraged them for the business. And then Sankesh, you know he took the deed. And he had been traveling all along the world. He met all the customer who were slow down. And we have been very active for thereafter for exhibitions he participated in Indus Food here. And recently we were in Dubai for Girl food.
And next also around four exhibitions we have booked. I mean it’s like meeting the customers. I mean of course mails and communication do have importance. But that is after sales services. But for selling you have to meet. You have to convince the customer. And above all company image also is helping day by day. Thank you.
Unidentified Participant
All those who wish to ask a question. We use the option of raise hand and we’ll invite you to ask question. Sir, until the question queue assembles. Can you throw some light on how the pricing has been during this quarter? And what are you seeing in terms of tariff and how is it affecting or not affecting business now?
Rajeev Setia — Joint Managing Director and Chief Financial Officer
Yeah, in this particular year in the beginning prices were quite low. I mean very attractive. And company had been buying in anticipation of the sales. And of course we were expecting they may go up the prices. You see in the month of October, for example one variety of basmati is 1509 its price was 6400 at the end of October which at the end of December is 73,6400 per quintel. We calculate in quintum in our business in domestic market. And in December it was 7,300. And this is. This is around 15% increase. And in permanent category this rice was selling at 5,500.
Yeah sorry. 6,000 winter 6,000 rupees a quintal in October which got raised to 6,600. By December end around 20% increase. 1718 variety as purple formation it was selling at around 6,200. No, sorry, yeah. The raw form it was selling at 6200. Around 6200 and we got raised to 6710% increase. The same varieties 17178 in steam raw form was selling at 7000. No, 6500 in the month of October. And the race to 7617% increase one one to one. The one of the light product was selling at 8200. It got raised to 8500 around 4.5% increase. One for zero one variety which is upcoming and it is equate equated to one one to one.
This price was 6600 in the month of October. It’s 8000 in the month of ending month of December. Around 10% increase. So the prices in all varieties have gone up and company is very timely procured. Of course our business continued being with us because the food product and. But yes, of course it was a quite a big obstacle. 25 to 50% kind of a joke. But thank God the effort of our government, particularly Modiji it has been brought down to 19 now. 1819 here. Yeah.
Questions and Answers:
operator
That’S the first question from. You can go ahead please.
Anubhav Mukherjee
Am I audible, sir?
Rajeev Setia
Yes, you are sir.
Anubhav Mukherjee
Firstly, congrats on a great set of numbers and the recovery this quarter.
Rajeev Setia
Yeah, thank you.
Anubhav Mukherjee
So my first question is that in your presentation it was mentioned that the company has taken 1015 hike across all Basmati rice categories. So was this hike taken in January or like. Because the export realization for Q3 did not see an uptick from Q2FY26 levels. So if you could throw some light on when was this hike taken?
Rajeev Setia
You see the prices in the beginning of this season were quite low. Even we a few procurements were in the month of September when the paddy and rice started coming. Procurement was in that period but the sales were in this quarter. Quarter means Jan. No sorry. December has December, November, October from first October recession. So in September we were Buying which reflected the sales part of the final product was in the month of October November and it was good. Procurement price was low, selling price was good. So we made good profit.
Anubhav Mukherjee
Just a small follow up. Sir, I was inquiring about your like export sales price and it’s mentioned like in the presentation that you have taken a 10 15% hike in the in your like export sales realization. So but like your realization for Q3 did not seems to show an it. So my question was like is this 10 15% hike that you’ve taken, will that start reflecting from Q4?
Rajeev Setia
No, no, no Q3. You see our top 5 countries sales have gone up from 15,493 around 15500 tonnes to 34500 something. So it’s. It’s the sales of top 5 1, 2, 3 top 6 countries we have taken the sales in USD has gone percentage. Just get it correct connected. I think it is 55% higher but I have to check it recheck it quantity by quantity wise. 15,493 tons metric tons has gone to 34,578 tons. Top six countries so is more than 50 100% more 15 so very high.
Anubhav Mukherjee
Okay.
Unidentified Participant
It’s okay. So you’re giving absolute volume. That’s good enough.
Anubhav Mukherjee
Yeah. Volume is gonna get that. Sir, I was inquiring about the sales realization, not the sales volume. I get that sir. Q3 has seen a very sequential jump in sales volume. But the realization did not see an improvement. So going Forward like from Q2 will we see a jump in realization as well? Like the.
Rajeev Setia
Of course your realization have gone up. Realization prices have gone up. That’s why it’s the profitability.
Anubhav Mukherjee
Maybe I’m not.
Rajeev Setia
Mainly we. We. You know the beauty of our business is to increase the sale to increase the volume volumes. If they increase automatically, the profitability will come. And if it is at a better prices, it’s.
Anubhav Mukherjee
Get that. Okay sir, I’ll check the numbers. Maybe I’m getting something wrong. And sir, a follow up question is that like how are the procurement prices like compared to last year? Like. The paddy procurement prices compared to last year. How. How are they up or down?
Rajeev Setia
They were more or less same last year and this year prices. You know the paddy prices in the beginning of last year were relatively low from the preceding year. But they came down thereafter. And then after that they came down further. There were two falls in the preceding years. So that also helped. If the stock was there at the end this year they were highest because the Crop size is 15 to 20% less. That is. That is the major reason for rise of prices. And secondly there is another reason. The Pakistan has limited crop and Afghanistan has strong business with Pakistan.
They have. And we are getting opportunities to sell to this part of the world. Our Dubai customer are reselling over there. So many things have happened. I mean it cannot be determined in figures only.
Anubhav Mukherjee
Get that sir. Thanks. I’ll get back in the show.
Rajeev Setia
Sure.
operator
And next question from Manishkela Manish, you can go ahead please.
Manish Kela
Thank you sir. So sir, I have a couple of questions. One, how are we placed as far as the inventory is concerned? Because I just heard you saying that prices were at very low levels in October. But those prices need to have recovered by the end of December. So that’s going to be second is how is the current quarter panned out so far. So January and February till mid. So if you can help with answers at least these questions.
Rajeev Setia
You see like preceding quarter they are going perfectly. They’re going so far.
Manish Kela
Okay. And how about the inventory levels?
Rajeev Setia
Inventory levels are according to demand. We are procuring. We are not taking any risk. The volatility in the product is such some time we have to be very careful. One side sell, one side buy. And if the price you feel is extremely low then we go for the buy.
Manish Kela
All right, thank you sir.
operator
We’ll take the next question from Akash Bhalla. You can look forward please.
Akash Bhalla
Can you hear me? Yeah. So yeah. Congratulations for the great set of numbers. And I’m missing like last conc was also not there. And anyway so my first question was like regarding rupee depreciation. Depreciation. I remember last year you said our company is like 100. Like we don’t hedge. So how much that has that been able to help us during our bottom line? And second one would be like this. I know our company doesn’t do trade with Iran but last like this USH sanctions or Iran. Right. So I mean did it affected us in any way?
Rajeev Setia
Your first question is very good. Repeat. Can you repeat you know little bit one second.
Akash Bhalla
The first was regarding the currency depreciation. Right.
Rajeev Setia
Actually we. We have not policy of hedging. The reason being my. I have historically recorded that 8 out of 10 times rupee beacons just 2 times in 10 out of 2 the rupee appreciates. So to get that kind of benefit, you know it’s better to keep open. Our company has not hedged Even I think 1 million I had had hedged and I immediately sold without loss and profiles total open. And for calculating the Price we factor at least 1 and a half rupees or 2. 2 rupees less. For example today it is 90, 9070 I think today.
And if I have to sell, I will not use 90. I will use 89508975 for the purpose of my prices. So we hedge our sales, not the dollars. So it is giving benefit or a huge benefit. We got out of it in the preceding year.
Akash Bhalla
You can tell about that Iran thing.
Rajeev Setia
I mean we don’t do any business but Iran, Iran. We have stopped the business for years. Al together we did two shipments this year with 100% advance. And the irony is the first 10 container they were with bum brass lost. We got our money in advance and the buyer said I will get my money from the insurance. We said if you want any kind of support for papers, we’ll do that. So I another shipment we made. We got money from the same buyer. He got it. But thereafter was war, that kind of a civil war happening.
So it doesn’t make sense at all to do business with this kind of countries. We do whenever some Dubai company comes in between he makes us the payment in advance. We ship. We have no problem shipping when we have 100% money. But we don’t do principally we absolutely don’t deal with Iran. And those who are dealing they have huge amounts outstanding in that country. I’ll get pictures and I’ll share with Mr. Vinay. I’ll get.
Akash Bhalla
Another follow up question. I remember reading your investor presentation. You mentioned like since now tariff in India is 18%. It gives us an advantage, I mean over countries like Pakistan to tap US markets. And I know our company, it. I mean it’s very well diversified across 90 countries. But the emphasis on US market has been bit less. So do we plan to increase it going forward?
Rajeev Setia
No. Which, which market we.
Akash Bhalla
American. American market. After the new tariff policy it will give us advantage right over.
Rajeev Setia
Look, we have multiple customers in US export is regular. Yes. Of small customers. Those who are buying one container in a quarter. They, they we did not insisted with them because of the 50% area. But all the bigger customers kept on buying. Of course their sales come down. Obviously it’s natural 50% increase in price. Suddenly it’s. It’s not possible for any company for any business either. So let it has come down 19%. So it’s. It’s open market again.
Akash Bhalla
Okay, last one maybe this quarter our employee cost was very less. I guess I mean are we doing some automation or like what’s like. I think from 7cr last year it was just around 2 3cr like what? What’s the reason behind it?
Rajeev Setia
I will look into it. I have not analyzed
Akash Bhalla
okay, thank you.
Rajeev Setia
T yeah.
Ashish Sharma
Take the next question from chat this question is asked by Ashish Sharma when do you see the improved realization in exports pricing play out and you think the major effect of that play out fully in Q4.
Rajeev Setia
Repeat your question he’s.
Ashish Sharma
Asking when do you see the improved realization in export pricing play out and you think the major effect of that play out fully in Q4.
Rajeev Setia
You. You see the international prices. You know it’s the time of what’s up in seconds the customer knows what the price is going on in India so that way you see we have no control on the prices it’s the market, you know going up and down, up and down, down, up Some somewhere our wisdom plays the role we know this is the right time to buy and this is the right time to sell and yes the separate market in some places we command our prices in many country we command our prices because of our quality and consistent good quality supply Customers are happy we earn reasonably from them value for money they get quality, they get this are at good prices there with us yes, very big orders wholesalers that is.
That is a different way of business we avoid. We avoid that kind of business so we have a good customer taking large Quantities, small quantity, 2 quantities overall the separate risk system plays.
Ashish Sharma
Is another question is how will you. How will reduction in U S Tariffs benefit you? How much of your sales sales come from U. S Geography.
Rajeev Setia
It has just begun. Let’s see what happens next quarter. I don’t know, it’s just beginning. People have stock, I mean in their warehouses bought at the higher prices also there they will have to reduce the prices or they will try to earn their cost at least after that they will bring it I had talked with us day before they said we have paid high no, we have to sell high and I tell them prior to this tariff you had raised the prices already anticipating that they were laughing say whatever we have earned that is our we’ll try to get but eventually the business will begin fast.
Ashish Sharma
Is another question is since you don’t sell to Iran on credit so I believe you are not under risk under due risk of receivable hit like some other players which are your major sales geographies.
Rajeev Setia
Iran we don’t sell the rest of the world is open for us Wherever the payment system everything is there so answer is clear we are studying in all parts wherever the country if the country is totally dead. Who will serve? Or somebody gives us the money and tells us to put the rice in the wherever, throw it. We’ll do that. We. I mean it’s very simple business. We get money. Wherever he says send, we’ll send. We are concerned with the money first. You know.
operator
We’ll take the next question from Manish. Kayla. Manish, you can go ahead. Manish, you there?
Manish Kela
Yeah. Sorry. So sir, I wanted to understand that you had some new capacities which came in last year. So how much of sales came from your new capacities? The Batman.
Rajeev Setia
Yeah. All. All new plants are working now in Mundra as well as in Karna. Whatever new fitting, new plant added, they’re working.
Manish Kela
No, but would we have an idea as to what was the incremental sales that we got from the commission?
Rajeev Setia
Yeah, sales. Quantitative sales is quite good this quarter. So obviously the plants are helping.
Manish Kela
And do we expect Q4 performance to be on similar lines like Q3 or even better?
Rajeev Setia
Let’s hope for the better. There is no adversity going on which can hit the prices or which can hit our sale. There’s no adversity.
Manish Kela
Thank you, sir.
operator
Okay, we’ll take the next question from Madhurati. Madhur, you can go please.
Madhur Rathi
Thank you for the opportunity. Sir. If I look at our gross margin. Sir, although gross margins have declined but our overall margins have improved. I think because of foreign exchange rates. So in next quarter can you expect even a further margin improvement from these 10 rupees 4 kg level to higher levels.
Rajeev Setia
As the foreign exchange is concerned, it’s. We cannot comment more on that. Maybe it was weaker. More or strengthens. That is all with RBI Government international. And we have nothing to do with that. Yes. At the point of selling we see today let’s assume date is 90. We will not. I mean apply 90 rupees for our calculation. We will write 89 for our calculation. Right. That. That we always factor whatever sales. Right.
Madhur Rathi
Sir, how much of our revenue comes from Marani?
Rajeev Setia
Revenue is around 8, 9%.
Madhur Rathi
Okay, answer. Do we have any plans to move our shareholding to a corporate structure so that we can do buybacks?
Rajeev Setia
Buyback, you see, is beneficial only for the shareholder. Not for the company. Promoters, you know, it’s. It’s really pity, you know. For us the text remains same. And for. For investors outside, it’s very good. 12 and a half percent I think for long term and 20 for short term.
Madhur Rathi
Sir, actually recently in this budget government has reduced taxation to 22% on share buyback for promoters. Their promoter shareholding is in Corporate form. Otherwise if it is an individual form then 30 taxation is there promoter versus 36% tax in for dividend.
Rajeev Setia
Yeah I know that we. There is no holding in the corporate form. It’s. It’s with the individuals promoter. So I know it’s quite heavy taxable. Some kind of concession would have come. It would have encouraged for more more and more buying or higher dividend. But dividend will be continued.
Madhur Rathi
Any plans to increase our own branded sale?
Rajeev Setia
Yes, that is there we are. Look, we are internationally. We are putting in multiple countries. Our registration also has gone in around 20 countries. I am applying for world registration from Harami because in one or two places I have faced a problem. Some people in some country Marani, some other exporters had registered. So I’m protecting my brand and then people it’s our endeavor. We. We are able or we are not able to do it but we are able to. We work hard. Maran is already in multiple countries now in India. Yes. Online sales are gradually growing.
Let the name separate and then I’ll go for distributions. Distributors have to point like India Gate.
Madhur Rathi
And Dawat sir, they are pushing in the retail market in a big way. Is it more profitable to export Basmati or it is more profitable to sell it in India under. Under our own brand?
Rajeev Setia
You see it. It depends in. In exports some part we are getting amazing prices. In some part I’ll not share the areas regions because I don’t want a competitor to enter against me. If But India also you get good money sometime break even kind. I mean it’s more competition in India Internationally competition is relatively less Here it is too much. But that doesn’t mean the brand should not be here. If we address after all KRBL you see is selling at a high price. It’s the brand is giving brand is giving money. They have put the good quality excellent quality apart and they have worked hard.
They did so big marketing and they’re getting good money. If they can get, why can’t we get? We can also get if you work hard and do it in that domestic market we are equipped with rice. No problem.
Madhur Rathi
Anti diabetic rice. How much are we selling? And sir, once you were mentioning that in Thailand they make talcum powder from rice. So are there any plans to get into some new vertical rice related only like.
Rajeev Setia
Yeah yeah yeah. We have already. Sorry I forget to tell. It was very important and thanks to you you raised this question. We have come out with a. We are coming with the brand Te Te A T S A that is the Tea made from rice which has ingredients like cardamom. Three flavors we have made already. If you can see, this is the rice tea packet. It’s. This is a fennel, Cardamom and the cinnamon. 3 Flavor 3 ingredients we have added not a flavor that actually they have been added with the rice. And this tea has been tested by government department consumer fear or I.
I don’t exactly remember. I have reports also not handy. So this tea is quite good in taste. And it’s created by Mr. B and his team of scientists. And one this food technician girl from USA now Singapore. So they have created. The advantage is we are not medically claiming as yet it remove if for example cholesterol. We are not blaming as yet the cholesterol. You know if the medicine reduce 80% in the patient, it reduces 70, 71%. This t we can’t write because there is no T ingredient in it. So it we are going to to change the name TCAS is the lab reports are okay.
Reports on the rats are okay. Now the human tests are going on. Thereafter we will introduce this for international marketing as well as India. And it corrects the liver also colon also. We cannot claim officially. So far once there we have validation from the human test and complete report. But we have already made this thing and it’s successful with the government test. Government lab test not personal.
Madhur Rathi
We will sell in the domestic market under our own brand.
Rajeev Setia
Online I think already started online. I think online we have already started.
Madhur Rathi
So can we order from Amazon?
Rajeev Setia
Yeah, we have to change the name. Because we are not supposed to write T After changing it will start. We started on the online. Then we were told it is not right. You can’t write word day. So rice TV it will be t same is approved. And we start with a new name and select online Indian market international everywhere big way also once it is there, right?
Madhur Rathi
So what percentage of our revenue currently comes from the US market? And sir, it seems that U S imports close to 1.6 billion of rice every year. So how much would be addressable market for the kind that Indian, the Basmati and other that are produced in India.
Rajeev Setia
Our company has good sales in usa. Of course RT have the highest sale. They have their subsidiary over their company. We are doing so many containers. 20, 30,000 ton to purchase. I’m not figured anything, right?
Madhur Rathi
Sir, that was from my sir. Thank you so much and all the questions.
Rajeev Setia
Thank you.
operator
We’ll take the next questions from Nav. You can go ahead please.
Navneet
Hello Rajiv ji. Congrats for a good quarter yeah.
Rajeev Setia
Thank you.
Navneet
Sir, you had mentioned in the last. Quarter that you are quite confident of. Doing about 1500 crores of top line this year. Do you stay with that or.
Rajeev Setia
Look, we worked very hard but we are almost equal to the nine months of proceeding here I think.
Navneet
Right? So the tailwinds continue for you or. How do you see it as an. I’m sure you continue to work hard.
Rajeev Setia
Even now we are expecting this quarter to be good. It’s going very well like preceding quarter.
Navneet
Okay, perfect. All the best.
Rajeev Setia
Thank you so much.
operator
I will take the next question from Purav Patel.. You can go please.
Purav Patel
Good afternoon sir. And congratulations for the best quarterly sales since a very long time or the best quality sales. I just wanted to know at what optimum capacities were the Gandhidham and the kernel units were in this quarter.
Rajeev Setia
Fully working Both the units. I mean the main is kernel is the entire operation every single day. 2530 containers. I mean working in full swing.
Purav Patel
Okay sir. And do you see any capex in coming years at any of these locations?
Rajeev Setia
Oh yeah, there is a possibility this new packing machine, you know the orthodox system is out. Auto filling, auto sealing, auto everything. We are looking for that kind of machines for packing. And if the sales goes up more new packing units will come.
Purav Patel
Okay, so got it. My next question
Rajeev Setia
and also a few changes we may have to do in the production. You know for the better capacities and quality that. That we all the time we keep on looking.
Purav Patel
Any, any. Any number you could put on in. In value terms.
Rajeev Setia
Not very high,
Purav Patel
not very high.
Rajeev Setia
5 10. 5 10. Not huge, not huge.
Purav Patel
Got it. Sir, my next question is on borrowings. External debt which our company uses as per our balance sheet. We have short term debts which is primarily provided by banks. And long term financing which is primarily directors unsecured loans to the company.
Rajeev Setia
Yeah,
Purav Patel
so. So short term debts. The bank borrowing was a seasonal use of capital.
Rajeev Setia
It’s always seasonal. Can I share my borrowing or it is some inside information. You see you can.
Unidentified Participant
You can share it sir.
Rajeev Setia
It you will be to know the company limit with HDFC bank is 300 crore. And my availment as on the date is 2 crore. The company has huge stocks, no problem at all. And with the Punjab national bank we have around 50 crore available. Because they have lower interest 6.60 and HDFC as 7.20. So because of the lower interest we are availing from PNB HDFC we have stopped.
Purav Patel
Okay,
Rajeev Setia
but if need be, if the prices let us assume gradually after the height they are gradually coming down. If they Came down. We have. I will use most of the money from HDFC bank and procure a stock more.
Purav Patel
Got it sir. On. On the long term borrowing side we had a consistent 50 crores to 60 crores of directors unsecured loan since a very long time. But in September that immediately went to zero. So is it a particular reason or. It’s a strategic move for directors to remove the unsecured loan from the company.
Rajeev Setia
Because in the summer also we keep on buying. It’s the 20. I mean season wise we had to procure. But all along. I mean the peak level of My procurement was 550 crore. Stop. I’m talking. My insurance is also around 550 crore. We have to match that always. But my sales are not 500 crore. They reached around 1500 cr. 1400 crore or may go up also in the future. So this means rotation. It has to be there. If I reduce the bank amount then I. I have to use my funds for buying.
Purav Patel
No sir. That’s. That’s the. That’s the point I’m raising. During seasonal procurement we used to use bank funds to buy our inventory and then repay the short term loans which are the bank loans. And the director’s loans were consistent throughout many years.
Rajeev Setia
Consistent because the business is whole year business is holy. This is very supportive money. You know. And we trust our company. That’s why.
Purav Patel
Okay, okay, okay.
Rajeev Setia
We are not scared that the money is unsafe in the company. Otherwise there are so many things we can earn much more. If we go out these wealth companies come and give you 25%. 20%. 20% guarantee. So in writing. Not in writing but verbally they. Okay, okay. Some. Some amount sometime we put otherwise. Yeah. Happy with our company. Company. You see. With this money we pay make payment in three four days. And 2% discount. Two and a half percent discount on the rice we get. And in the paddy we pay on the due rate. We don’t have to pay penalty interest of 15 14% to the Monday RTS.
So the. This. This help. If you remove all capital then. But I. I think it’s good.
Purav Patel
Got it sir. Got it sir.
Rajeev Setia
24 we get on every rice.
Purav Patel
Okay sir. That is all from my end. Thank you so much.
Rajeev Setia
Thank you. Thank you sir.
operator
We’ll take the follow up question from Madhur Rathi. You can go ahead.
Madhur Rathi
Thank you for the opportunity once again. Sir, I’m reading your credit report and it mentions that the other two brand Mitas and Begum contribute to around 10 to 15% of our revenue. And Maharani contributes to 8 to 9. So how is the pricing for these.
Rajeev Setia
Products versus Maharani the those are low price products. So that sells even international market. Some customers buy in those brand metas and all that. They are upper brand but not advertise, not flagship. Flagship is Maharani
Madhur Rathi
sir. So these products margin would be lower than Maharani.
Rajeev Setia
Depends again individually sometime you get better money in that. Also it’s all subjective things lot wise.
Madhur Rathi
So if I were to look only at our Maharani branch Or can you just help us understand what percentage of our that 8 to 9% would come from larger packs and what percentage would come from smaller packs.
Rajeev Setia
In few countries I am selling 1 and 5 kg brand pouch box complete. Excellent. And very high price. Very high price.
Madhur Rathi
I’m just trying to understand sir.
Rajeev Setia
What percentage Very high. Good. I don’t want to share the name of such country.
Madhur Rathi
No sir, I’m not asking about the geographies where we sell. I’m just trying to understand on a whole as a business for Maharani how much is coming from these smaller packs? I think which would be better margin for us as well as our customers.
Rajeev Setia
Versus the larger one around 50% of my total Marani sites.
Madhur Rathi
Got it. Got it. So that was very helpful sir. Thank you so much. And all the questions.
Unidentified Participant
We’ll take a few questions from chat. This question is asked by. He’s asking wanted to know how will FY27 pan out in terms of revenue and EBITDA guidance.
Rajeev Setia
27 look, we are working hard to grow the company performance sales everywhere. We are working very hard. My staff is very sincere. I’m getting good employees. Also those who have increased the sale they have their efforts part hard work after sales service everything to promote the sales. We are working so hard. Capacities don’t help your sales help. You know if you are good sale, good price and continuity of the business. Business grows gradually more step wise we go step wise. Not with a closed eye. Selling is not difficult. If you want to sell at the break even or losing the money.
In my industries many people have done so. In the beginning they sold huge. 3000-040000-20000 ton rice. Just all together at the price of 60. For example the price in one second. One second. Just give me a minute. For example this 17, 16, 8 had price of 6661 in October 61 and they sailed at 62. 63. How much? 20,000 30,000. And thereafter the prices went in the month of November they were 63. In December that they were 67. So if you are how come they had not procured this quantity they had to procure later and losing money.
We know they have lost money.
Unidentified Participant
There is another core.
Rajeev Setia
Industry where the people are taking huge risks. And I will not name. I was told they wanted to come the public issue. That’s why they are selling.
Unidentified Participant
Sir, there is another question in chat from Vivek Singh Tapi. Sir, first congrats for this quarter. Sir, you are a promoter of the company. Just from the investor perspective, what are the key metrics to watch in this business?
Rajeev Setia
Voices to know. Can you speak loud or maybe there’s something wrong here.
Unidentified Participant
Siri’s question is what are the key metrics to watch in this business? And how to forecast the demand of the rise from retail investor perspective. And the key learning of this quarter along with challenges.
Rajeev Setia
As learning is concerned. We are learning since beginning. And we always feel there is nothing end to learning. We have to learn business. We have to all the time keep working hard on our efforts. You know. So you see for as domestic market is concerned, I don’t want to burn money. I want I should spend and I should get the rewards simultaneously. Which is sometimes not possible. But if I get good distributors all around India and start giving them getting their support, if they start online sale in their area, these things are in my mind.
And maybe in other six months, one year, two year, whenever is the conducive stage I’ll go for all this. Because after all in this geopolitical problems, you know we have to have support of our country which we don’t have right now. So that is our endeavor. We have to do it. Corporate performance will increase, profitability will be good international sales. You know, suddenly you see, you feel this country is in problem now Israel and Iran happening. We have large business. Interesting. So. So I mean we have to have good portion of sales in India which I’m planning not forgetting.
Follow up question is suddenly gone. But yes, we are in multiple country doesn’t affects us much. But it does matter. See.
Unidentified Participant
There is follow up question. If. If domestic market of India does not command premium like USA then why India Gate are so much aggressive on India business?
Rajeev Setia
Yeah, there’s something wrong. One second, one second please.
Unidentified Participant
Sir, his question is if domestic.
Rajeev Setia
Yeah, yeah. Now you are very good. Please. So if the domestic market of India.
Unidentified Participant
Does not command a premium like USA then why India Gate or other players are very aggressive on India branded business.
Rajeev Setia
I said it earlier also they have, I mean built up their brand and brand equity is there. That’s why are being good. And if they can do, why can’t we do that. We have good rice. Paddy comes from the same area. Rice is manufactured like that. We have the same rice. So what really we need is to market in India. And it’s very important it supports the international market. I said it just now due to the this. This wars and this kind of situation going on world around, you never know. I want this country I.
Think and Queen was picked up. I mean these things kind of happening in the world. So we cannot fully rely on the international market. We have to have support of Indian market. That’s what I’m myself feeling. And we have to do it. And I’m looking for conducive time when the prices are stable or I get good distributors. Even if I have to increase the capacity, I’ll do that, no problem.
Unidentified Participant
So there is a question from Anurag Jain. What is the import duty on Basmati coming from Pakistan to USA? How does it compare with the now 19 duty on Basmati going from India?
Rajeev Setia
It’s the same I think Pakistan, India, we are common now.
Unidentified Participant
Okay. There’s a question again in chat from Palash Agarwal.
Rajeev Setia
Yeah.
Unidentified Participant
Do you think the company will be able to meet your earlier guidance of 1500 crore revenue for FY26? And do you think the Q3 margins are sustainable in Q4 as well?
Rajeev Setia
Because the performance is almost the same which happened in the preceding quarter. So I’m confident the last quarter will be definitely good and. And let’s hope we once again reach the 1500 road.
Unidentified Participant
And margins are. Do you think it will be sustainable in Q4?
Rajeev Setia
There should if the performance is going same way, the profitability is same way. So hopefully there will be good.
Unidentified Participant
That was the last question for the day. There are no further questions. Would you like to give any closing comments before we end the call?
Rajeev Setia
Closing comments are. My company is working very, very sincerely. Hard working we are doing and it’s if we assumed it is for us first. But it simultaneously helps our investors, both of us. So I assure that we’ll work hard. We’ll try to promote our business. We’ll go for new avenues and particularly the domestic market also. Which I said to ma’ am and be investor friendly always. Thank you very much.
operator
Thank you sir. And thank you to all the participants for joining on the call. Thank you to the management team for giving us their valuable time. This brings us to the end of today’s conference call. Thank you.
Rajeev Setia
Thank you very much.
operator
Thank you.