Note: This is a preliminary transcript and may contain inaccuracies. It will be updated with a final, fully-reviewed version soon.
Amber Enterprises India Limited (NSE: AMBER) Q4 2026 Earnings Call dated May. 18, 2026
Corporate Participants:
Jasbir Singh — Executive Chairman, Chief Executive Officer, and Whole-time Director
Sudhir Goyal — Chief Financial Officer
Sachin Gupta — Whole-time Director
Analysts:
Unidentified Participant
Natasha Jain — Analyst
Sameet Sinha — Analyst
Dhruv Jain — Analyst
Praveen Sahay — Analyst
Indrajit Agarwal — Analyst
Rahul Agarwal — Analyst
Nirransh Jain — Analyst
Presentation:
Operator
Good day and welcome to the Q4 and FY26 earnings conference call of Ambar Enterprises India 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 Mr. Jasbir Singh, Executive Chairman, CEO and Whole Time Director of Ambar Enterprises India Limited.
Thank you and over to you sir.
Jasbir Singh — Executive Chairman, Chief Executive Officer, and Whole-time Director
Hello, Good morning everybody. On the call today I am joined by Mr. Daljeet Singh, our Managing Director, Mr. Sudhil Koel Group CFO Mr. Sanjay Arora, whole time Director of Hilgene Electronics and Mr. Sachin Gupta, whole time Director of Amber. We have uploaded our presentation on the exchanges and I hope everyone had an opportunity to go through the same. I am pleased to report FY26 has been a remarkable year for the company as our Consolidated revenue surpassed 12,000 crore milestone despite the RSE industry witnessed a challenging year on the account of weather conditions while Lumber Group demonstrated resilience with growth driven by all three of its diversified divisions and each engine propelling the growth forward.
Let me reflect briefly on the strategic initiatives taken in Electronic division during the year. We strengthened the volume and value play by expanding both horizontally and vertically through our partnerships with Power One, Unitronics and Shoghini. On the expansion front we have got more than 4,500 crore total investment approvals under ECMs for SNK Circuit in Noida for HDI PCB along with Ascent Circuits in Hosur and Shogni in Pune for multi layer PCB applications. On the way forward, Ascent K Circuits HDA PCB manufacturing facility is set to commence its construction by June of 26 months with trial production expected by quarter three FY28.
This will be a state of art facility strategically located near New Noida Airport. The Bare PCB business collectively with Ascent, Shoguni and SNK is well positioned to emerge as India’s largest and most comprehensive PCB manufacturer offering solutions from single layer PCBs to advanced HDI products. This reinforces our long term commitment to strengthening India’s Atam Nirbharta in electronics manufacturing ecosystem, further strengthening our foothold in the promising and fast growing industrial automation space.
We have now increased our stake in unitronics Israel to 50.4% achieving the majority ownership. Switching to performance, the consolidated revenue of ember grew by 22% reaching 12,186 crores for the year and recorded operating EBITDA of rupees 970 crores with growth of 22%. Adjusted PAT stood at rupees 338 crore recording a growth of 22% over previous year. Let me now take you through the divisional performances. Firstly on Consumer Durable Division, owing to weather conditions, Room AC industry has remained largely flattish during the year.
In line with our guidance, the division outperformed the industry recording a growth of 14% over previous year. The performance is driven by a diversified product portfolio, deepening of wallet share and continued expansion of our product offerings. Further, considering the robust growth potential in Room AC industry, we have augmented our RAC production capacity at Sericity in South India. On inventory front, considering the geopolitical uncertainty, we have proactively built inventory to mitigate for any supply chain risk.
Coming to our Electronics division, the Division continues its strong growth momentum in FY26 with revenue of 3,268 crore reflecting a growth of 49% year on year basis driven by strong PCBA business along with bare PCB business and addition of new businesses. The Division reported operating EBITDA of 287 crore with growth of 89%. Continuing the strong growth momentum, this division is expected to grow by around 40% in FY27. Coming to railway Division, this division delivered a strong growth of 19% revenue during FY26 and operating EBITDA grew by 8% supported by increased offtake driven by Metro Railway and Defence Solutions.
On the expansion front, sidwa’s Greenfield facility of H Vac, Pantry Doors and Gangways in Faridabad is now ready and trial production is underway and commercial production is expected to begin from current quarter. Backed by strong order book visibility of Rupees 2,600 crore plus and product portfolio expansion, we remain optimistic of Division’s growth of 30 to 35% for both FY27 and FY28. As we look ahead, FY27 holds the promise of strong growth momentum. However, on the margins front, prevailing high commodity prices, currency depreciation and minimum wage revision in UP and Haryana poses headwinds in Consumer Durable and Electronic division.
For bare PCB businesses, there has been increase in input cost of copper clad laminate prices has increased by more than 60% in last one year and still increasing. Gold prices have also increased by approximately 60% in last one year and prices still continue to increase. On the railway division side, the Indian Railway contracts are fixed price contracts whereas the Metro project contracts are the pass on mechanism is there. To sum up, we expect the margin pressure of 50 to 100bps at consolidated level which is of temporary in nature and expected to normalize as macro environment improves.
Now let me hand over to Sudhir Goyal our CFO for margin Financial highlights.
Sudhir Goyal — Chief Financial Officer
Hi Good morning everyone. Let me take you through the consolidated financial highlights. Starting with the full year performance revenue for financial year 26 increased to 12,186 crores compared to 9,973 crores in the previous year recording a growth of 22%. Operating EBITDA increased to 970 crores against 796 crores reflecting a growth of 22% year on year. For clarification, operating EBITDA is before impact of ESOP expenses and other non operating income and expenses. Adjusted PAT for the year stood at 338 crores against adjusted PAT of 277 crores in financial 25 reflecting a growth of 22%.
Adjusted PAT is prior to the exceptional one of impairment of investment in Shivalik and share of loss of Shivalik JV amounting to 112 crores in financial year 26 and 26 crore in financial year 25 whereas it’s after considering the one off provision of 9 crore of new labor code and other JV losses of 8 crores. Coming to the quarterly performance for quarter for financial year 26 we clogged the consolidated revenue of 4148 crores up by 10% over last year. We recorded quarterly operating EBITDA of rupees 362 crores a growth of 15% year on year.
Adjusted pad for the quarter stood at 162 crores versus 128 crores last year reflecting a growth of 27%. While there was no adjustment of loss of JV on account of Shivalik in quarter 4 financial 26 whereas quarter 425 is adjusted back for loss of 9 crore. Further to clarify in quarter 4 share of loss of Shivalik JV is 64 crore from 1st January 26th till 30th March 26th the date of sale of Shivalik shares. Since we have already impaired investment to exceptional item in quarter three, accordingly we have reversed the impairment of 64 crore as exceptional item and recorded it as a loss from JV of 64 crore.
Importantly, there is no net impact on the P and L in quarter four on account of Shivalik as a reversal of the exceptional item and the recognition of the JV laws offset each other further. Going forward there won’t be any impact of Shivalik in our financials. Now let me take you through the full year Divisional Performance Overview firstly, revenue and operating EBITDA details of the divisional performance are not comparable with the published segmental results starting with the Consumer Durable Division, the Consumer Durable Division reported revenue of 8,383 crores in financial year 26 compared to 7,329 crores in FY25 reflecting a growth of 14% year on year.
Operating EBITDA for the year increased by 6% year on year and stood at 593 crores compared to 562 crores in financial year 25. Coming to electronic division performance, revenue for financial year 26 increased to 3268 crores compared to 2194 crores in financial year 25 reflecting a strong growth of 49% year on year driven by strong PCBA business along with BRPCB and the addition of new businesses. Please note, we acquired Power one Microsystems in August, Unitronics in October and Shoguny in December.
Hence, the consolidated financials include performance of these three entities for partial period only. Operating EBITDA for the year recorded growth of 89% year on year and stood at 287 crores compared to 151 crore in financial year 25. Moving to railway System and Defence Divisional performance, the revenue for financial year 26 increased to 535 crores compared to 450 crores in financial year 25 reflecting a growth of 19% year on year and the resulting operating EBITDA stood at 90 crore, a growth of 8% year on year.
The division is expected to deliver 30 to 35% revenue growth in FY27. On the balance sheet front, net debt stood at 511 crores as of March 26 against 780 crores in March 25. Our net working capital days stood at 29 days as of March 26 compared to 9 days in March 25. Please note that the net working capital day calculation is considering acceptances as part of trade payables. The increase in working capital days was primarily driven by proactive inventory buildup considering the supply chain reception from geopolitical uncertainties.
On the incentive front, we have received the PLA amount of rupees 49.5 crores in April pertaining to financial year 25. In the current year we expect to receive 78 crores under the PLA scheme for the financial year 26. Thank you. Now I request the operator to please open the floor for Q and A.
Questions and Answers:
Operator
Thank you. Ladies and gentlemen, we will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. In the interest of time and fairness to others, please restrict yourselves to two questions. For any more questions, you may rejoin the queue. Ladies and gentlemen, we will wait for a moment while the question queue assembles.
Our first question comes from the line of Ankur with HDFC Life. Please go ahead.
Unidentified Participant
Yeah, hi, good morning. Thanks for your time as always. Two questions. One on the RAC side. Jasbirji, you know, how do you see the industry volume growth given whatever we’ve seen, it’s been kind of some heat waves. There’s been rainfall in the beginning of the season in April. Things seem to be getting better as we head into May. So overall if you could just help us both for Q1 and also for the full year, what is that the industry growth could be? And more importantly, how is Amber kind of seeing growth for this year?
That’s number one. Number two on the margin front, as you said, there could be an impact of 50 to 100 basis. If you could just try and help us understand which segments would see most of these pressures and some guidance there on the margin front across segments if possible.
Jasbir Singh
Good morning, Ankur. I’ll ask Sachin to reply to your first question and then I’ll answer the second question. Sachin, over to you.
Sachin Gupta
Yeah, Ankurji. So coming to the volume side. So obviously 25, 26, as everyone knows, the quarter one and quarter two were very, very flattish or they were like down by 30%. But quarter three and quarter four saw the recovery. So the complete year is probably on a flattish side. But the quarter one has started at a very positive note for 26, 27. So initial 10 days of April were very sluggish because of the rain and all that. But since the 12th of April, you can see that the south, west and north all have kicked in.
So the heat is already very high in the north. So the demand is good. So against last year because the base was very weak, the industry expects to grow by somewhere around 20% in quarter one. On the complete here side we are estimating a growth of somewhere around 12 to 13%. So on the complete year side
Unidentified Participant
In volumes. Okay. And price hike should be other 10 12%. Is that fair?
Sachin Gupta
So price hike versus last year. So there were two incrementals. One was in the month of January because of the start rating change. One is in the month of April majorly driven because the commodity increase. So both together we can say that the price increase is somewhere around 14% versus last year.
Jasbir Singh
And Ankur, on the second question on the margin side as explained in my commentary, you know there are three, four forces which are in play right now. I would like to little give more brief on those forces. Basically first factor is the minimum wage increase which happened of 35% in Haryana which led to riots in Noida and UP government also in turn increased minimum wages to about 22%. And then you know other states are also now looking to increase. So that is one part. Second is commodities like copper clad laminate.
The gold which we use in PCB business. And what we have seen in the PCB front is in Ember we are tier one. So in tier one we directly deal with the customers and we can increase the pass on or reduction of commodity and currency risk within a quarter, one quarter at a quarterly lag basis. But in the PCB business we are tier two. We don’t supply directly to Maruti or Hyundai. We supply to tier one guys. And that’s where the inventories has to be taken care at two levels. And hence the lag in the PCB business to increase the cost is about 2/4.
So this is, this has been our learning in last one year. As far as the PCB is concerned on Indian Railway contracts are fixed term contract. They don’t negotiate because these are tender documents. But whereas other contracts like defense contracts or telecom contracts or the data center air conditioning contracts which are now getting signed, those are the contracts which have gotten pass on through. And that’s the reason why we gave a just update to everybody that this is temporary. Of course you would have seen in last seven years we have been able to pass on, you know and we will continue to pass on but since it is momentary but we thought that we should able, we should be able to.
It’s our duty to inform everybody that next one or two quarters should be you. You should see this hit coming in. Thank you so much. Thank you.
Operator
The next question comes from the line of Natasha Jain with Philip Capital. Please go ahead.
Natasha Jain
The opportunity and Good morning gentlemen. I just have one question. So recently there was a news article that government has imposed import restriction on RAC compressors and even other appliance compressors. So could you help us understand the industry dynamics? What is the manufacturing capacity in India, how much Amber as a company manufactures and do you think this and next year could see some pain in terms of shortage there?
Jasbir Singh
So Natasha, basically you know there are room AC category of compressors required 2 ton and below compressors whereas commercial air conditioners industry require 2 ton and above compressors. So there are two categories of compressors and then the third compressor which kicks in is in for refrigerators. Right? We at Amber we are not producing or manufacturing compressors. We buy compressors from outside. We have a long term agreement with GMCC who is supporting us on the compressor and we also buy from other manufacturers like LG and other compressor manufacturers.
So we don’t see any shortages on the compressor front. But to just give a brief on quality control order which was in the news. So there were quality control orders imposed on the compressor industry. And we have seen because of the production linked incentive scheme, five investments have kicked in in India in last three years which is basically LG has put up a plant, Daikin has put up a plant, Mitsubishi has put up a plant, GMCC has increased its capacity and Hyley is also thinking of increasing its capacity.
So these are five manufacturers who are catering to room AC industry at the moment. Whereas coming to commercial air conditioner division there are companies like Copeland or Danfoss who are manufacturing compressors for those category of compressors. And you don’t need only two ton but you need three ton, four ton, seven and a half ton, five ton, eight ton, 11 ton, 12 ton capacities of compressors. So right now the manufacturing capacities which have been built in country are below 2 ton. And that’s why the quality control order says that.
But there is still a shortage in terms of the capacity built up versus the growth in the country for the room ac. And that’s the reason why government has allowed to import 30% of last year imported volumes to cater to the shortage coming on the two ton front they have extended it for one year so the complete compressors can be imported from outside India. Because right now we don’t see any big capacity coming up for the commercial air conditioner sector. Then come to refrigerator compressor model.
I mean there are some very specific compressors which are not getting manufactured here just like dispensers and other categories of refrigeration compressors. But on an Overall basis there looks to be adequate capacity. But still some industry players feel that some particular compressors are of shortage and hence the QCO order was released to clarify and extend the imports. I believe that the way things are moving, we will see that further capacity increases will also come from new players also and existing players will also expand.
So we don’t see any big problem coming out of this place because of compressors.
Natasha Jain
So just one follow up here. So can we say at least for this calendar year or rather FY27, there will still be a shortage of about 40% given industry will grow at 12% in terms of volume?
Jasbir Singh
No, we don’t think so. Because if you map each and every manufacturer’s capacity versus the requirement in the industry, looking at a CAGR of about 13 to 15% growth, I believe it is adequately placed, the capacities are adequate enough. I mean of course there is the shortage part has been addressed by the 30% alliance of import of compressors below 2 tonnes so that that bridges the gap.
Natasha Jain
Understood. Thank you so much sir and all the best.
Jasbir Singh
Thank you.
Operator
The next question comes from the line of Samit Sinha with Macquarie. Please go ahead.
Sameet Sinha
Yes, thank you very much. So two questions. First one on the inventory side. So from my understanding you’re talking about inventory that’s built up, that’s basically the components and the parts, not the finished products. Because you said the demand was strong. So on that front, by front loading this, what sort of benefit do you think you got in terms of you could quantify how much savings would that be in current component prices? That will be appreciated. And my second question is Jasmine, in terms of whenever we’ve spoken you always mentioned how you’ve seen the progression about going towards higher margin businesses.
Does that still stand or do you think at this point you’d be open to going towards high volume, low margin, but high roce business? If you can talk about that. Thank you.
Jasbir Singh
So coming on the first question on the inventory buildup, yes, we proactively increased our inventory level looking into the supply chain constraints and we are not getting a very big advantage on the pricing side, but we are getting advantage on the supply side that we are able to fulfill our contracts on timely basis to each and every customer. As far as our endeavor on going towards the higher business model goes, I’ll just give you a brief of what we have done in electronics. We had acquired ILGIN in 2018 when this was a 300 crore company with about 3% of EBITDA.
Now this last year we have crossed about close to about 8.8% of EBITDA in the electronics division and we have crossed 3200 crore of top line. We expect a 40% growth while getting towards, closer towards, towards a double digit EBITDA numbers. So our endeavor on going towards the value side of the businesses because in B2B business what we are trying to attempt is we are trying to balance the left and right. So left side is the volume side business which are equally important to bring scale and to have a leverage on the purchase side.
On the value side they are more sticky businesses. There are entry barriers in those businesses like industrial electronics, industry automation, electronics, power electronics or aerospace and defense Going forward medical electronics, these are more sticky businesses, more entry barriers and high margin businesses. So we will continue to balance both volume and value play while attempting to build a very strong diversified B2B company. On the railway side also we are doing the same things. We started with small company 157 crore with about 13% EBITDA.
Now EBITDAs are more about 1718% type and we are growing in that on more value oriented products we’ve gone into metro side, we’ve gone into doors and gangways, we’ve deep dived more into the bottom and now we are developing data center cooling solutions. We’ve cracked almost four customers there and we’ve already executed three projects, very marquee projects in India on the data center in rack and indoor cooling side. So those are all value propositions which we are doing. But as a B2B company you know there are two pulses which we feel the two pulse is basically scale and second is efficiency.
And the scale team is responsible to balance volume and value play. And while the efficiency teams are the operational teams which have to bring in efficiency on the plant side, on the purchasing side, on the RD side and so on and so forth.
Unidentified Participant
Thank you.
Operator
Thank you. Our next question comes from Dhruv Jain with Ambit Capital. Please go ahead.
Dhruv Jain
Thanks for the opportunity. My first question is on Capex. So you know I think last quarter you had said that your capex would be about 800 crores but you know this number has been much higher. So just wanted to get a sense that is it some front ending of Capex that you’ve done and how should we look at FY27 capex as of it?
Sudhir Goyal
Yeah. Hi Dhruv, this is Sudhir. So rightly said that there is some front ending of Capex. If you see our overall capex out of the overall Capex capitalized capex is only 550 crores balance is under Civic which is under process and which will get operation in the current financial year. So the overall CapEx is around thousand and ten seventy crores.
Dhruv Jain
Okay so and how should we think about FY27?
Sudhir Goyal
So FY27 we are expecting that that one is ascent and one is the other than ascent. Ascent will be around twelve hundred ode crores including the capitalized portion out of this five hundred and forty seven and apart from that there will be around seven to eight hundred CapEx in the all the other entities put together. Sidhruv
Jasbir Singh
I’ll add to what Sudhir has answered. These are all asset heavy businesses where the capex is going largely the printed circuit boards. This is exactly like OSAT and ATMP business where asset turns are about 0.8 to 1 time but what we are looking at as a team is the net capex which we will end up doing after deducting the subsidies from government both center and state. So in this case like SNK circuit we will be getting about 48% on plant and machinery back from through ECMS scheme and we have negotiated 42% incentives on building plant and machinery from UP government but this will come with a lag.
First we have to invest and then we have to apply and it will come in five to six years but if we have to build self resilient, you know self reliant I would say electronic component ecosystem these asset heavy businesses are good to have good ROC business on a long term basis and we are taking a very cautious call to develop this. It’s an import substitution story for us and we’ve already taken leadership in the country in the PCB sector and we want to continue to maintain that through joint ventures as well as through our collaborative approach.
What we are doing we believe that I would request all of you to see the net capex at the end of the year.
Dhruv Jain
Got it sir. The second question is on ems. So you know this quarter if we strip off the acquisition growth seems to be a bit underwhelming. So what cost is and you know just in connection to that the 40% growth guidance that you are given how should we think of organic growth and growth?
Jasbir Singh
Dhruv so there was two customers who shifted from purchasing agreement to job work agreements. So that’s the reason on the top line side you would have seen that it’s the organic expansion is looking little subdued but on the margin side if you have seen this quarter has delivered 10.8% margin so we are pretty much online to deliver what we have in future also this kind of shifts can happen. We don’t control what customer wishes from us. We serve them in whatever shape and form they want us to serve.
In case of sub assemblies or components or just job work bases or you know this keep on changing with the management changes. But as given the guidance, we are very hopeful looking into the order book right now for the whole electronic division. We are positive, very confident to deliver about 40% of growth this year.
Dhruv Jain
And sir, what would be the state of organic and acquisition now?
Jasbir Singh
Everything is organic because we’ve already acquired.
Dhruv Jain
All right, thanks a lot and all the best.
Jasbir Singh
Thank you.
Operator
Our next question comes from Praveen Sahe with PL Capital. Please go ahead.
Praveen Sahay
Yeah, thank you for opportunity. Sir, my first question is a clarification on the CD consumer durable segment in that you had a given 47% of your revenue for FY26 comes from the RAC CBU. So how, how is the growth? Because if I look at the 47% of a total revenue it gives me around 33% of a growth. So how, how that’s a number to you know, look at is that the full, you know, complete built up unit has grown faster than the component or is the more on the realization front growth is there or how is the volume?
Can you just give us some detail on that?
Jasbir Singh
So this keeps on changing because you know sometime customer wants us full boxes, sometime they want semi knockdown conditions and sometime only the components. So it varies from customer to customer and you know quarter to quarter very difficult. But if you see the trajectory and the history, you know we were about 80% banking on finished goods when we got listed in FY18. Now despite the growth in the top line side on the console basis, the whole FG has come down to as low as maybe 40% or something like that, you know, so and you know it sits basically.
Sachin, you would like to add something?
Sachin Gupta
Yeah. So basically in 2526 as you are saying that there is a impact of the realization. So the contribution has gone up. So it’s not because of the realization, it is majorly because of the conversion of the gas charging customers to the ODM solutions. So that we have been updating in all our quarterly calls. So we like onboarded them in 2425 but that was like in the last quarter. So now 2526 it has been for the whole year. So the gas charging customers converted to the odm. That is why the finished good contribution has come up.
Praveen Sahay
Okay, okay, got it sir. And second questions are related to the electronics segment where you had now consolidated Unitronics as well. So now if you can give us some color on how is the. Because the Sorbonne and the accent is also there. How is the mix of PCV versus you know the PCBA segment?
Jasbir Singh
So PCBA is growing. I mean out of I think 3,268 crore which we have delivered PCBA how much is this
Sudhir Goyal
Organic and organic.
Jasbir Singh
Okay. PCBA is 2281 crores. Almost 2300 crore and then total on the on the other side is about 596 crores which is power one unitronics and Shoguni and ascent clocks crossed 402 crores. So almost about 1000 crore is the other out of which if you see shoghini plus PCB will be about 500.
Sudhir Goyal
Around 600
Jasbir Singh
Crore is PCB. So 2200 crore is organic pcba around 600 is PCB and remaining is Power electronics and industry automation Electronics
Praveen Sahay
An indication on the margin front for both the segments PCB and PCBA.
Jasbir Singh
So PCB in PCBA we are at about 5%. In PCB we are at about 12, 13%. This generally business is about 16, 17% business. But because of CCL and because of gold prices and currency that they design but they are taking price increases from the customer that’s underway. We think that by from next two quarters we should be able to get it. We are getting positive responses. As far as power one is concerned it’s about 15%. As far as Unitronics is concerned because it’s a listed entity we cannot tell. I think you can look into after two weeks once the results is declared.
But it’s a good, good positive company which we have added.
Praveen Sahay
Thank you sir and all the best.
Operator
Thank you. The next question comes from the line of Indrajit Agarwal with clsa. Please go ahead.
Indrajit Agarwal
Hi, thanks for the chance. I have a couple of questions. First if you can throw some light on the pricing of PCBs both globally and India. Given that the cost inflation would have been felt by everyone across the geography.
Jasbir Singh
So pricing on PCBs is basically, you know right now 90% is getting import and 10% is India. But whereas you would have seen that there is anti dumping duty imposed by government to a tune of 30%. So despite of this commodity increase of CCL and gold has been a global phenomena. It’s not particularly to India. So even Chinese import or Taiwanese PCB imports have gone expensive. You know, so it sits just and it is from up to six layer it is protected through the anti dumping duty. So that’s why the demand has not shifted from India to China or other nations.
It’s very much intact.
Indrajit Agarwal
My question is, is the price increase that has happened globally and also in India not enough to offset the cost inflation?
Jasbir Singh
See CCL is continuously increasing. It’s touched 60% increase in last one year. And you cannot go to customer. Every time they have given us improved increases, we have got improved increases. First the first increase which we got was two quarters back which was about 15%. Then again another 18% increase we got. But still there is a remaining person or percentage of increase because on the other side the currency is also depreciating. So you know, it’s a moving part. So we are standing in front of customer now every quarter.
Whereas we used to meet them very maybe after a year or so. But because of these things we have started meeting them very often. But we are getting positive responses. Earlier when we started asking for price increase there was a big backlash. There was like a very strong opposition towards this. But then when they started comparing costs from the global suppliers also they thought that it is better to give to increases and they have started giving increases.
Indrajit Agarwal
Sure. My second question is if you can talk a little bit more about the key projects in terms of the delays, all those small delays. For example Ascent you mentioned there has been some delay in the multi layer PCB Korea circuits and also in Eugene JV and railways. So what is the kind of confidence we have in the timelines now?
Jasbir Singh
So there is no large delay. I mean it’s. It’s about a delay of a quarter in the construction of the construction got delayed because there was a issue in the release of consent to establish by pollution department and that was because of ambiguity of due to a Supreme Court guidance. There was some river going off in the diameter of three and a half kilometers away from this land. And then Tamil Nadu government was very fast in formalizing a committee deciding it for us and then giving it up. But it took about 1 1/2 2 months for clarification.
And that’s how the construction got delayed in Ascent. But I think it’s moving perfectly fine after that. There’s no another further delay we are anticipating. We expect that the trial productions will start by Q3 and commercial production will start by February mid of February of next year 2027. As far as SNK circuit is concerned because this was dependent on the ECMS clearance post ECMS clearance we approached up government and they released land parcel to us. It has been registered now finally in our name possession has been granted and the team is right now preparing to get the maps approved.
That’s why we have mentioned in our commentary that we are going to. We are thinking of doing a groundbreaking ceremony in the month of June. We expect the construction to finish in 15 to 16 months which will start the trial production. We have kept about three to four months for the trial production. And that’s how from quarter three, quarter four onwards of FY28 we will start the mass production of HDA plant. As far as Eugene is concerned, there is no delay in Eugene. Eugene factory came up as expected.
It’s under the RDSO approval now. Approval as informed earlier in the quarterly calls, it’s a process of close to about 12 to 15 months. So that is underway. We have received 178 crore order book in Eugene for couplers. And we are now expecting a first order on the pantographs also. And the first order on the brakes also has been received. But those. Those approvals will happen from Korea and then move to India when once the RDS approval is done.
Indrajit Agarwal
Thank you so much. If I may squeeze in one more if you can throw some light on the Sumitronics jv. What is the plan over there and what kind of opportunity?
Jasbir Singh
So there is no Sumitronics jv. There’s a alliance which has happened. It’s. It’s a cooperation agreement with Sumitronics. They want to. They. They have large customers on the automobile sides and they want to collaborate with us to participate for the automobile PCBA businesses and that’s the collaboration. So there’s no joint venture happening with the Sumitronics. But we are excited with this collaboration because it gives us an edge. We already have experienced supplier worldwide with us now because earlier we were seeing that there was large entry barriers for Iljin to enter because we did not had a big, I would say experience in the automobile sector and that was keeping our customers little on the side.
They were reluctant to onboard us. But now with Sumitronics that barrier has been broken.
Indrajit Agarwal
That’s all from my side. Thank you so much. All the best.
Operator
The next question comes from the line of Achal Loade with Noama Institutional Equities. Please go ahead.
Unidentified Participant
Good morning sir. Thank you for the opportunity. Sir. First if you could clarify, you know in terms of the growth you said 40% revenue growth for the electronics business is this post the conversion what you talked about and hence the growth, the revenue growth number is weaker. So in that case could you also clarify the margin for that division and within that, if you could also clarify, you know if it would be driven by PCBA or PCB business in terms of the margin.
Jasbir Singh
So what conversion are you talking about? The job of
Unidentified Participant
Job work thing. What you said. Considering.
Jasbir Singh
Considering the job work change. We are expecting a 40% growth on the top line. And the margins, what we are expecting right now should be in the range of 9.55 to 10% range.
Unidentified Participant
Understood. Number two, in terms of the REC business, the consumer durables, how do you see the margins there? And is it fair to say that the percentage appears lower because of the price inflation or there is impact in actually rupees per unit margin as well.
Jasbir Singh
So percentage. Yes will look dipped because whenever the prices increases happens because now 14% as Sachin explained there has been increase of 14% in the finished goods side. You know whereas we work on the absolute number with our. With our customers. But the real term of real basically impact of commodity currency we pass on to our customer. And that is happening from last so many years. We have demonstrated it year and year again which happens on a quarterly lag basis. So whatever changes are happening this month, this quarter will be passed on to the customers for the next quarter.
And that’s how historically our sector has been.
Unidentified Participant
Just to clarify sir, you mean the rupees per unit margin is intact. Is that fair under channel?
Sameet Sinha
Yes,
Jasbir Singh
That’s right.
Sudhir Goyal
So in percentage term there will be impact because the price increase will increase the finished good price. But whereas we have a fixed price margin per unit. So overall fixed margin will remain same in terms of value. But in percentage term it will look a little less because of the higher base.
Jasbir Singh
So in past also whenever commodities have eased off the percentages started looking better. Yes, but we don’t take credit for that.
Unidentified Participant
No, fair point sir. Just a quick clarification. In terms of the non AC component, how large is that now of the CD business?
Jasbir Singh
So of CD business it’s about 25% right now. And it’s also maintaining a good growth like just PTS has delivered a good growth on the bottom line basis. They are already touched 13% EBITDA now. And our cross flow fan business. Sorry our other businesses of refrigerator and washing machine, that’s also doing fine.
Unidentified Participant
Got it. And 47% of the 3D businesses.
Operator
Our next question comes from the line of Rahul Agarwal with Ikigai Asset Management Manager Holdings. Please go ahead.
Rahul Agarwal
Yeah. Hi. Good morning everyone. Thank you so much for the opportunity. Just clarifying whatever we have discussed so far. I think for the CD business we’re talking about 25% revenue growth and some bit of percentage margin decline. On electronics already mentioned 40% growth after the job work adjustment with 9.5 10% range. For Railways the growth is clear about 30, 35% margins. You could clarify. We don’t know the order book breakdown between Indian Railways and Metro railways. Just clarify that.
And second is a question on Sudhirji. Just on capex. You know my sense is that given where we are right now and whatever capex is spending on the new project site we should end up spending like 1800 crores to 2000 crores. Assuming you know the Korea circuit JV CAPEX also comes through. If you could just clarify and you can ignore the capitalization part to it that from a cash flow perspective 1800 to 2000 crores for fiscal 27 and about 1200 to 1300 crores 28 based on the current CAPEX pipeline. On the new projects, is that number correct?
Those were the two questions. Thank you.
Jasbir Singh
So let me answer the first question then Sudhir will take up for the second one. On the CD front we have informed that the markets are expecting to grow in about range of 13 to 14% range. And that’s how we are also expecting to move in tandem with the markets. It’s not 24, 25%. Rahul. On electronics you are right. We expect that post our conversion of job work basis we expect the number to be around 40% range bound and margins in the range of 9.5 to 10%. On electronics in railways 30 to 35% looks doable.
If there is no disruption of offtake from Indian Railway and Metro. Currently it’s going smooth and we don’t anticipate at the moment. But in case there is some changes we will let you know. But the margins in the railway side we expect in the range of 16 to 17%. So that’s how the whole part of it. Now over to Sudhir.
Sudhir Goyal
Yeah. Hi Rahul. So on the capex, yes we’ll be doing around 1800-2000 crore of overall Capex including Ascend new project, some part of Ascent K and the other divisions. But from the cash flow perspective since we have negotiated a better terms long term terms from the many suppliers of Ascent Circuit for pcb we are expecting that the cash outflow will be much lesser than 18 to 2000 crore. 1800 to 2000 crore, it should be around 11 to 1200. You can expect from the cash flow perspective.
Rahul Agarwal
Okay. And on fiscal 28, if you have a budget from a cash flow perspective.
Sudhir Goyal
So it will be same because in 2028 our new Ascend K circuit to cap a larger CAPEX will happen where also we’ll have a better, much larger credit terms from the CapEx suppliers. So you, you can expect that similar or little higher around 14, 1500 kind of a cash outflow for the CapEx in terms of cash.
Rahul Agarwal
Perfect. Thank you so much and wish you all the best. Thank you.
Sudhir Goyal
Thank you.
Operator
A reminder to all participants, in the interest of time and fairness to others, please restrict yourselves to two questions. For any more questions you may rejoin the queue. Our next question comes from the line of Santosh Seshatri with Aventus Spark. Please go ahead.
Unidentified Participant
Good morning. Thanks for the opportunity. I have a question on net debt position. So how should we think about our overall gross debt and net debt relative to fourth quarter levels considering the CapEx spending and maybe the working capital associated with project ramp up and what would be the impact of that on interest, cost and other income in FY27? So that’s my first question.
Sudhir Goyal
So FY20, FY26 we have reported a net debt of 511 crores. And looking into the CapEx, what we are doing and the cash flow, I’m expecting slight increase in the net debt position by year end it could be more by 200 to 300 crores because we’ll be generating a cash flow and then we’ll be spending out of that. But cash generation might be little less than what we are generating from the overall business. So you can expect around 7 to 800 crore of a net debt by year end.
Unidentified Participant
Thank you very much. And my second question is on the consumer durable division. Sorry if this is a repetition. Your earlier commentary suggested 20 percentage growth in first quarter and 12 to 13 percentage growth in FY27. Just to clarify, is this for the broader industry or are we talking specifically about for the consumer durable divisions?
Jasbir Singh
No, we are. We were mentioning about the broader industry Trend because post 12th of April we have seen a positive offtake of goods because of the heat heat wave in south and west and north.
Sachin Gupta
And
Jasbir Singh
Last year base was also very less so. And. But quarter two and quarter three are generally a lean quarters for the industry. That’s why we expect that the industry will be in the range of 12 to 13% growth phase this year.
Unidentified Participant
And for the overall revenue growth for consumer durable business in FY27
Jasbir Singh
We should move in tandem with our industry.
Unidentified Participant
All right, thank you very much.
Operator
Thank you. The next question comes from the line of Niraj Jain with BNP Paribas please go ahead.
Nirransh Jain
Yeah. Hi sir. Good morning sir, my first question is on the non controlling interest. Just wanted to check. So as per the schedule it’s written that 1750 crore fundraise that we took in has been accounted in the balance sheet. So if you can help us understand that how much percentage stake dilution is being considered already in this NCI and based on the CCPS conversion how much could there be further dilution upon the conversion?
Sudhir Goyal
So nothing is being considered as a dilution on CCP. Nothing. No dilution has till now happened due to CCPs. It will happen in future based on the future multiple and valuation. So currently the. On a conservative side the auditor has considered the diluted percentage and calculated the mci. So this is a maximum amount but they have considered looking into the agreements. But this is a on a maximum side it will be much lesser than what when the actual conversion will happen in the equity
Nirransh Jain
And sir, can we get that, what’s that maximum percentage dilution that the auditor has considered?
Sudhir Goyal
I think they have considered around 30 odd percent.
Nirransh Jain
Okay. Okay. And so secondly just wanted a clarification on the capex side. So do we expect to receive any capital subsidy also for the next year or. Or do we expect it to get it in FY28 once we commission the asset
Sudhir Goyal
To capital subsidy we have already got in terms of land because land subsidy already taken into consideration and we got a value at lesser price at around 25% and balance capex subsidy of building and other capex will come over the period of five to six years once we start the commercial production. So you can expect the subsidy will start flowing in from next year onwards like financial year 28 onwards for Ascent.
Operator
Thank you ladies and gentlemen. Due to time constraints we would take that as the last question for today. I would now like to hand the conference over to Mr. Jasbir Singh for the closing remarks.
Jasbir Singh
Thank you everyone for joining on the call. For any further information kindly get in touch with our head of fire Mr. Ravi Kharbanda. Our SGA investors, our investor relation advisors. Thank you very much and have a good day. In case you have further queries you can reach out to both the gentlemen. Thank you.
Operator
Thank you sir.
Jasbir Singh
Ladies and gentlemen,
Operator
On behalf of amber Enterprises India Ltd. That concludes this conference call. Thank you for joining us and you may now disconnect your lines.