Chaman Lal Setia Exports Ltd (NSE: CHAMANSEQ) Q3 2025 Earnings Call dated Feb. 11, 2025
Corporate Participants:
Rajeev Setia — Joint Managing Director
Ankit Setia — Whote-Time Director
Unidentified Speaker
Analysts:
Unidentified Participant
Presentation:
Operator
Ladies and gentlemen, I welcome you all to the Q3 and nine months FY ’25 post-earnings conference call of Chaman Lal Setia Exports Limited. Today on the call from the management team, we have with us Mr Rajeev Setia, Joint Managing Director; and Mr Ankit Setia, Executive Director.
As a disclaimer, I would like to inform all of you that this call may contain forward-looking statements, which may involve risks and uncertainties. Also, a reminder that this call is being recorded. I would now request the management to detail us about the business and performance highlights for the quarter and nine months ended December 2024, the plan and vision for the coming years, post which we will open the floor for Q&A.
Over to the management team.
Rajeev Setia — Joint Managing Director
Good afternoon, everybody. I’m Rajiv and I welcome all of you on Q3 earning call of the company. Company has performed very good in revenue this time and our quantitative business have also increased for this quarter by around 22% and Nine-Month volume increases by 14%. The profitability, if we compare with the corresponding quarter of ’23, of course, our profitability is relatively less, but with the preceding quarter, it’s higher.
As regard business of the company is concerned, we are regularly exporting — our exports are gradually growing, volume is growing and it’s the area different areas part of the world we are doing well. Over to Ankit. Ankit little bit you speak and then elect it.
Ankit Setia — Whote-Time Director
So last quarter something interesting has happened. The — in terms of volumes we have picked-up. As compared to the previous quarter, the volumes are up by 6,000 tons additional. So that is a positive sign. And we’ve added up — we are adding three new plants, three in Karnal, one in Gandhizam. Two of the plants are about to get operational as we — as we are talking, they are under trials. So that is something positive that the delivery will get more on-time. So this is the positive thing I can say about the last quarter.
Operator
Can we open the floor for Q&A?
Rajeev Setia — Joint Managing Director
Yeah, yeah. Please go-ahead.
Questions and Answers:
Operator
Yeah. All those who wish to ask a question may please use the option of raise hand. In case you are unable to raise hand, you may please put your questions in the chat box take the first question from Mihir. Mihir, you can go-ahead, please.
Unidentified Participant
Thank you for the opportunity, sir. In November 2024, the government removed the ban on rice, excluding par boiled rice. Can you update us on the current status of exports restrictions and MEP on Basmati and non-basmati rice? And how does this impact on overall competitive dynamics and pricing?
Rajeev Setia
MR., all kind of restrictions are removed, be it a parboiled rice export with the duty, the ban of non-Basmati rice and MEP of Basmati. All these obstacle, I would call them are removed. So business is as usual, which used to be in the past. Because of the election, maybe the government wanted to reduce the prices and it’s the panic that took this place as otherwise everything went no product. So now I mean it’s open field, no problem. We can’t do any business.
Unidentified Participant
And my another question is like what is the current status on Mundra expansion by when you — by when can we see it start contributing to revenue?
Rajeev Setia
That plant is also right now in trial run. Plant is complete, machinery is complete, complete sorts all everything is done trials are going on and in another 15 20 days we will maximum one month will go with the commercial production.
Unidentified Participant
Okay. And post the current harvesting seasons, what’s your view on overall supplies and pricing of?
Rajeev Setia
The Basmati prices were in the current-season, they were low by 10% to 15% if we compare with the last year preceding year, the prices were very, very attractive. But despite very attractive prices, we — because you get the best quality in the season only and we went for the — I mean, quite large buying. And again the prices came down up, they were very low, but suddenly again there was another fall, which hit our profitability also because the valuation has to be done in the very realistic manner. But now again, prices are going up here?
Unidentified Participant
Okay. And can you guide us on your plans to scale-up the branded business and what are — what are we doing to further scale-up the export business? Like which markets do you think will contribute to growth from here on? And what are we doing to scale in new markets?
Rajeev Setia
I will answer and Ankit will also continue with this subject. For expansion of the business, we are participating in every big exhibition that coming up is the Gulfur where people — where the customers from all-around the world come new as well as our at least 180 — 75 to 100 customers, those are existing buyers, they come. So the relationship is — I mean more gelling comes with the customers. So the business — this is the way to go-ahead for the business. Ankit, you please speak. You guys are marketing that.
Ankit Setia
So what is happening is, as you can see, we are doing quarterly about INR375 crores INR400 crores of quarters. And one thing which is stopping us to increase the business is our packaging speed. So that is why we have added three more packing units in Karnal and one more packing unit in and all these packing units are under trial right now. Two packing units are under trial in and one packing unit is under trial in. So I think once the — once these packing units, they come under production, full production, you will see the volumes are going to scale-up. Even in the last quarter, there is an increase of 6,000 tons. So we have done certain adjustments.
We have added some manufacturing units, which were earlier being used to manufacture, we converted it into packing rice. That is why this increase has come. As far as about new markets, like my said, we are participating in Gulf Food. Currently, our status is even the orders we have in our hands, even they — those orders we are not able to export on-time. So we are first of all covering that part. Once that is covered, then let us see what is the next step.
Unidentified Participant
Thank you.
Ankit Setia
Great meet you.
Operator
Thank you. We’ll take the next question from the line of Arora. If you can unmute and go-ahead, please.
Unidentified Participant
[Foreign Speech]
Rajeev Setia
I think INR500 crore to [Foreign Speech]
Unidentified Participant
[Foreign Speech]
Rajeev Setia
I think next quarter you will see some results.
Unidentified Participant
The next quarter say?
Rajeev Setia
Yes. Next quarter you will see you will see the tonnage started to go up.
Unidentified Participant
Right. Right. And sir, second question actually is on my operating margin. I think because of rice prices [Foreign Speech].
Ankit Setia
[Foreign Speech] So to start new buyers, sometimes you have to give special prices also. So our profitability generally is between 8% to 12% our margins. So I would say, okay, we are trying to bulk-up right now. And once those buyers will be settled, the profitability part also will go up with them.
Unidentified Participant
Right, right. I think these were my only two questions, sir. All the best for the future.
Rajeev Setia
Thank you.
Operator
We’ll take the next question from the line of Deepak Pawar. Deepak, you can unmute.
Unidentified Participant
Hi. Good afternoon. Ankit. Am I audible?
Rajeev Setia
Yes, you were.
Unidentified Participant
So my question is that these three new packaging units that we are coming up with in the Karnal in Gandhira can you give us the timeline when these will be operation?
Ankit Setia
[Foreign Speech] We started putting these plants three months back.
Unidentified Participant
Right.
Ankit Setia
So current status right now is plants are ready, they are under — I mean, they are under trials. So whenever a new plant is set, there are a lot of teasing troubles. It’s a set of 14 15 machines and there are teasing trouble. So right now the phases of removing those teething troubles. So, like my said, it’s a matter of, let’s say 15, 20 or maximum 30 days.
Unidentified Participant
Okay. So currently we have 13 packaging units, right? Including one including this 13 number is including the current which are under development or excluding?
Ankit Setia
No. These are fresh three packing units coming up in Karnal. Those 13 are different from these ones. Also, I would like to add these three ones which are coming up, these are much bigger than as compared to what we have. And we are coming up with fully automatic machines. So more productivity with these plants.
Unidentified Participant
So if we add this three to the 13, what would be the total capacity that we’ll have in terms of patterning? If you can give me…
Ankit Setia
Like I said currently we do about INR400 crores worth of quarter. Our idea is to reach INR500 500 as soon as possible. A packaging unit is able to give a turnover of INR50 crores in a year easily one packaging unit. Okay, 50 to 75 depending on the kind of packing.
Unidentified Participant
Okay. So this quarter we were able to clock higher volumes, but in terms of revenues, we were not able to do well. That is because of the 10% to 15% correction in the prices. That’s what I’ve heard, right?
Ankit Setia
Yes, true. The prices have come down, our volumes have gone up. Like I said, we have added new customers and in order to get those customers, we’ve offered good prices, lower prices. And also it is true that market is down. I mean, overall, the prices are down.
Unidentified Participant
Further correction going ahead from your or this would be — I mean, I want your opinion, would there be any further correction expected?
Rajeev Setia
Let me about 145,000 ton orders have come from Iran to the companies who work with Iran. We don’t do Iran business, but it’s picking-up the market. And once the Iran business started, then sometimes Sky is the demand how it goes up.
Ankit Setia
So when the prices are favorable, of course, the demand is going to go up. There will be new customers who would like to, you know, I mean store all the raw-material which is available at very low prices. The dollar is very favorable for the importer. So I think after Gulf Food, things should be better.
Unidentified Participant
Great. And are we going for any debt for this expansion, fund is expansion or it’s all internal accruals?
Ankit Setia
It is all internal. We have not taken any debt for this expansion. It’s almost ready. All the expansion we have done.
Rajeev Setia
And company has a reasonable working capital now.
Unidentified Participant
Yeah, that has always been there.
Rajeev Setia
Even the borrowing from HDFC Bank, which is INR300 crores sanction of our availment as per statement I got on 10th yesterday is INR57 crore. So we have sufficient funds no issue. A company buyers always have told in the past also cash discount of 2%, 2.5%.
Unidentified Participant
Right. And post this of the bank, have we seen the demand in the non-Basmati segment also?
Rajeev Setia
Actually, as Ankit has said, we have a big book of orders and we are a little slow in supply and once this capacity will increase this, that part will be over. And when is going, why should we go for unnecessarily? Basmuti is the better business. That is our…
Unidentified Participant
Well said. Thank you. That would be all from my side.
Operator
Thank you. We’ll take the next question from the chat. This question is from Dipadi Kumari.
Unidentified Participant
Can you please provide realization of Basmati rice, price, domestic as well as export.
Rajeev Setia
Ankit, you will answer or.
Ankit Setia
So as far as export is concerned, of course, the margins are higher in exports, domestic because there is too much competition. Domestic market is accessible to — I mean, so many millers who are traveling locally and there are so many brokers, it’s very difficult to make money. So strictly talking margins, of course, export margins are around about 10%, 12%, 15% like that. And in domestic, making money is always a challenge.
Operator
Thank you. We’ll take the next question from the line of Jatin Kumar. Jatin, you can unmute and ask.
Unidentified Speaker
[Foreign Speech]
Rajeev Setia
[Foreign Speech] You’re welcome.
Unidentified Speaker
[Foreign Speech]
Ankit Setia
[Foreign Speech]
Unidentified Speaker
[Foreign Speech]
Rajeev Setia
[Foreign Speech]
Unidentified Speaker
Thank you, sir.
Rajeev Setia
Thank you. Most welcome.
Operator
Thank you. We’ll take the next question from the line of Raveen. Raveen, you’ve been unmute and go-ahead.
Unidentified Participant
Am I audible? Yeah, hi. Good afternoon. Sir, I have two questions basically what is the average cost of the inventory which we are holding and what is the prevailing price right now?
Ankit Setia
[Foreign Speech]
Unidentified Participant
My point of understanding was key, we have done some mark-to-market for the — on the December quarter. So Abhi, you say Niche, hey, Abhi prevailing prices are higher than that.
Ankit Setia
I could not understand what are you trying to ask. [Foreign Speech]
Rajeev Setia
Actually, you see backdrop say the last year your prices they were very, very-high. And this new season came, the quality of the very good this year. But the — maybe there was a backlog and maybe and this Iran was not responding much. Prices came down around 15 — 10% to 15% prices come. When the prices are lower and the quality of the product is good. So obviously, that was the chance to procure of good procurement, okay. And simultaneously we sold also simultaneously we sold also because the orders are there. But recently, there was again some kind of blockages in Iran and some shipments were held there. So the prices again fall and this factored into our pricing because our valuation because we will work totally that everything is calculated correctly.
And secondly, in the business when new customers come, you have to give more competitive prices. If he is buying from somewhere, say $10, so we have to offer nine or $950. This is how the business goes. So the prices have come down, but recently the Iran is open and while the 45,000 tonne orders have been signed and shipments will soon take place. The market has gone up by INR2, INR3 a kg in last week time. So let’s see what happens. It’s a business of volatile product, commodities are volatile. We are in 94 countries now and two customers are coming up in each and every country. And the company’s repetition is such people don’t hesitate to send us adverse $10,000 to $8,000, whatever or $100,000. So the business is I mean, it’s well-controlled and in the system.
Unidentified Participant
So if somebody procures right now, if we go to — the prices are better than you know, not better means higher than what we did procurement during say after the season after the crop situation.
Ankit Setia
Please understand there are certain varieties which can be bought only during the month of September, October, November. Even if their prices is low right now, it is impossible to procure them as of now.
Rajeev Setia
Products sometimes you don’t get. The quality which you get-in the season, it’s with all agro producers. If you see vegetables, these days the seasonal vegetables like carrots, goopies, these are coming, they are so fresh and so sweet, so good taste. And after six months when they will come out-of-the store, it will be altogether different. That I’m giving the parallel because it’s an agro produce.
Unidentified Participant
So the buyer — so the buyers are no ski, they don’t come back to us with this monthly or weekly fluctuations, we are able to sell them the quality products at the price which we wanted to sell or apart from those like Sri Lanka where there is a promotional discount. Normally, we have to vary prices depending on the market situation or the customers are such because we sell-in small quantities to large number of customers in several 94 countries.
Rajeev Setia
Yeah, that is the model because if I were to sell large quantities, I can do it in one-hour, sell to somebody in Saudi or Iran. Iran is a bad market with the payment doesn’t come. Saudi is good market I can sell. But profit will be nothing, maybe 1% and if there is a volatility in the foreign-exchange, I might be losing also. So our model of business is absolutely — it put many places it protracts us. We get good prices also with the smaller consignment in destinations. So secondly, if the customer gets a good quarter, then it doesn’t deviate from one month. This is how it is doing.
Unidentified Participant
Okay. And sir, my next question is on the currency itself, like you know, recent bout of depreciation of the rupee. So we are doing forwards and if so, means in the last quarter, was there any M2 mark-to-market, which is there in the other expense? And currently, how much is the — what is the situation right now because it has further depreciated from 31st December to now.
Rajeev Setia
Your company has not even a single dollar hedged. We are open to — we knew that it is going to weaken.
Unidentified Participant
Very good.
Rajeev Setia
So the company is gaining of that.
Unidentified Participant
Great. So you know whatever is the depreciation should we should be able to — it should flow to the bottom-line more apart from the variation of discount which we are giving. That’s excellent. And sir, my last question is, the other expenses have increased. So you both year-on-year as well as quarter-on-quarter. So what are the factors in that if you can just elaborate that?
Rajeev Setia
But the quantity business has gone up irrespectively selling market price. So this 22% increase in this quarter of the volume. So motion freights and other expenses will be there.
Unidentified Participant
And what is the situation on freight, sir, like it has normalized?
Rajeev Setia
Ankit, can you explain, are you selling and watching every day?
Ankit Setia
No see 6,000 tons the volume has gone up. So of course we have to pay for the freight and expense is going to go up as far as freights are concerned that is also volatile, sometimes it goes up, sometime it come down. Certain ports we are paying let’s say $500 now we are paying $2,400.
Unidentified Participant
The freight situation, which was earlier very, very — you know the prices were high, they have normalized or they remain same and they are stable?
Ankit Setia
See, I would say they have not normalized. That is what I would say. They are fluctuative. They come down, they go up, but not normalized.
Unidentified Participant
Okay. And our most of the — the orders, they are FOB or?
Ankit Setia
See, it depends from customer-to-customer where we feel it is going to get extremely volatile, we prefer to do FOB business. Certain sectors we do FOB, certain we do CIF, safe ones, of course, we try to do CIF. And wherever we feel there is too much volatility, we do FOB deal and the buyer is charged the freight on the spot when the goods are ready.
Rajeev Setia
I mean, shipment is finally CIF because we sell FOB and then tell that this is the ocean freight to give us susceptibility you are and we add to price and ship because we have cover our risk-till destination.
Unidentified Participant
And sir, my last question is, in this scenario wherein the prices off-season prices are falling further from the crop season, is it a normal scenario or this — or this is like one-off we are seeing this year something unusual has happened and hence the pricing, you know, in the off-season is lower than the crop season. Thank you.
Rajeev Setia
This is simply the economics loss there because Iran didn’t came, it’s one of the biggest market. When one market is not buying the others also watch. It’s like already when the prices go down, people keep on reaching and watching maybe they will go further. They are down. So once they start getting — going up, the way it has happened in last week, the prices are up because the Iran demand has come. So let’s see what happens next.
Unidentified Participant
Okay. Thank you, sir. All the best. Good luck.
Rajeev Setia
Thank you very much.
Operator
Thank you. We’ll take the next question from the line of Anand, you can go-ahead, please.
Unidentified Participant
Good morning, sir.
Rajeev Setia
Good afternoon, ma’am.
Unidentified Participant
Sir, maybe for business model [Foreign Speech].
Rajeev Setia
We always — it’s our endeavor to export in our own brand. Our company is already exporting in around 39 40 countries in our own brand and some part of the board where some VGNs, I don’t want to disclose publicly and we are doing very large business — branded business at a high-price. So — but we are one of the largest private-label packer from India. It’s not an easy job, it’s very difficult work. It’s not everybody’s take to cut. So we are doing very hard work and making — packing the private-label of one, five, 10, 20 kg for the customer. And that is again a good business because when the customer is satisfied, he doesn’t run from here to there. And though he has a possibility to go because of the private table, which in branded is not possible and — but once you do good, the brand — he builds his own brand and doesn’t take this. I have not seen in 98% cases, it’s always customers are sticky.
Unidentified Participant
So cash split as a brand-name or private-label [Foreign Speech].
Ankit Setia
Profitability.
Unidentified Participant
Revenue cash split sir.
Rajeev Setia
[Foreign Speech]
Unidentified Participant
[Foreign Speech]
Rajeev Setia
[Foreign Speech]
Unidentified Participant
[Foreign Speech]
Rajeev Setia
[Foreign Speech] It has happened also in this quarter and we have to apply the market prices. Oh, maybe we know they have gone up again once the Iran buying came they have showed up again.
Unidentified Participant
[Foreign Speech]
Rajeev Setia
[Foreign Speech]
Unidentified Participant
[Foreign Speech]
Rajeev Setia
[Foreign Speech] Pakistan is the only competitor because jointly with Pakistan, has monopoly. [Foreign Speech] So they have good rice, you can. So competition also sometimes come to their rupee is very weak. [Foreign Speech]
Unidentified Participant
Understood. Thank you, sir.
Rajeev Setia
Thank you.
Operator
We’ll take the next question from the line of Prashant. Prashant, you can unmute and ask.
Unidentified Participant
Hello, good morning, sir. I just have three questions relatively new to this company as an investor. Three questions. First is your plant in Karnal. I mean like we were talking in the last quarter also like INR400 crores to INR400 crores revenue per quarter lakhage that will help. Just wanted to see once the plans come in, will we be functioning at full capacity or ramp-up period like giga by the time it functions at full capacity? That is question number-one. Question number two is, we’ve been mentioning in this call also about Iran orders coming in. I think two, 3/4 back, we were mentioning that Iran see in any lething your receivables coffee problem. So do we expect our receivables to go up when orders from Iran start kicking-in for the company? That is question number two from my side. So yeah, just these two.
Rajeev Setia
First, I will answer your question number two, Iran. Regarding Iran, our company is not exporting to Iran since inception. We don’t do. We did little about 20 years when it opened through Yukobank. We did two shipments of INR3,456 crores and thereafter we stopped Iran business. And that is a very wise decision of the company, anyone who is doing what you said is absolutely right. The payment is not coming. It’s — it is delayed. But those who are doing, they have no other choice. They have not built-up business in other markets. They are selling. It has happened in last week I already told 1,45,000 firm orders have come in the market. We don’t do that.
Ankit Setia
So you know the 145,000 tonnes rise the tender around tender on the tender, it is clearly mentioned payment terms is after 90 days credit. And it can stretch up to 180 days, 270 days. There is nothing — I mean, it never know.
Rajeev Setia
They have no commitment. And this is GTC government company.
Ankit Setia
I’m not sure it is GTC, but it is one of the government companies.
Rajeev Setia
Government company. And what was your first question? Existing unit?
Ankit Setia
Exactly. He was asking the new units, once all the teething troubles are out, they function at their — I mean they function at their full efficiency, full capacity. Got it, got it. So that’s helpful to know. So you know the point is that whenever an order comes, it should be delivered on-time. It should be packed on-time, it should be dispatched on-time. There should be no delay. I don’t mind running a plant on 60% efficiency, but when the plant runs, it runs on full efficiency of that day.
Unidentified Participant
Got it, got it. And there is no reason for us to not run on full efficiency, I’m guessing given we have a solid order book PAT remaining.
Ankit Setia
See, the point is if you have an order, it should leave the factory on-time. That’s all. Let’s say, if I have a machine, it is running 15 days out of 30 at its full efficiency. I would like that. I would either run my machine at 100% efficiency or I keep it closed. Correct. Got it. Got it. So that my shipments are on-time. My dispatches are on-time. That is what we are trying to build.
Unidentified Participant
Makes sense, makes sense. One last question if I may. So just on a slightly longer-term perspective, say,, sir. So like some of your other competitors, are we having any plans to enter, say, packaged foods business ready to cook, ready-to-eat, ready-to-eat snacks and some of these areas which are relatively newer in the industry but potentially with higher margins…
Ankit Setia
[Foreign Speech]
Unidentified Participant
I think the management has also mentioned it in one of the earnings calls, I think two to 3/4 back that it is definitely in the long-term agenda.
Ankit Setia
Yes, it is definitely there in the agenda because it is the same customer which are buying rice from us. They are the same customers which import ready-to-eat. So currently, we are focusing on expanding these four packing units. Once they are normalized, let us see in the future. We start with ready-to-eat.
Unidentified Participant
[Foreign Speech] See what happened with that? What stage has come?
Ankit Setia
So we’ve come up with a new kind of rice. We’ve shared samples with you and we are aging it naturally also. I think by June or July that rice will be available. That is not quick — I mean that is not a quick cooking rice, it’s a special kind of rice.
Rajeev Setia
Excellent rice. I have checked the sample and compared and went for the test panel also. [Foreign Speech]
Ankit Setia
Planning is what is not ready is a launch or launch that is the current status.
Unidentified Participant
Okay. Thank you, sir. All the best.
Ankit Setia
Thank you, Prashant.
Operator
Thank you. We’ll take the next question from the chat. This question is from.
Can you please confirm if the revenue split between the branded sales and non-branded sales is 15% and 85%. Thank you, sir. We’ll take the next question from the line of Navneet. Navneth, you can unmute and ask.
Unidentified Participant
Hello. Hi, Ankit. I want to check what was the amount of inventory loss that we had in this quarter.
Ankit Setia
Actually, truly speaking, it’s a notional loss and again notional profit. Because at the point of valuation, we strictly take the market price.
Unidentified Participant
I understand that, but I just wanted to understand the amount.
Ankit Setia
Realization amount, maybe of 10%, 15% of the inventory.
Unidentified Participant
10%, 15% of the inventory.
Ankit Setia
[Foreign Speech] the stock we are sitting on right now, that stock is available only in the month of September, October. It is not available after that. Okay. For example, I’m sitting on 15,000 tonnes of that stock.
Unidentified Participant
[Foreign Speech]
Ankit Setia
[Foreign Speech] That price went up. [Foreign Speech] So this is the current scenario of the situation.
Unidentified Participant
Okay. So that amount is approximately INR15 crores to INR17 crores, 10% of the inventory. Do I get it correct?
Ankit Setia
I’m not sure about the exact value my can tell you better. I’m just giving you an idea.
Unidentified Participant
[Foreign Speech] The prices went up and price we bought at very good prices and the prices went down. [Foreign Speech].
Ankit Setia
[Foreign Speech]
Unidentified Participant
No, I understand. Most of the times, I think it will reverse in the next quarter, especially in your kind of business model, inventory risk is running.
Ankit Setia
[Foreign Speech] It is going to, let’s say, fall little bit. I still have to buy the same and keep it because I don’t have any choice because it is not available now.
Unidentified Participant
Right. Right. And your selling price is mostly defined on your buying price, right, or on the current market price. [Foreign Speech]
Ankit Setia
[Foreign Speech]
Unidentified Participant
[Foreign Speech]
Ankit Setia
[Foreign Speech]
Unidentified Participant
As a company, normally falling prices is good for us or rising prices is good for us. [Foreign Speech]
Ankit Setia
[Foreign Speech] At the point of, if the prices are lower, that is always regarded as the best season.
Unidentified Participant
So much here. So Ankit, with respect to the December quarter versus the previous year’s December quarter, our margins have fallen despite the prices being on a lower trajectory. So I was just trying to make sense of lower prices beneficial for us. However, our margins have fallen this year.
Unidentified Participant
[Foreign Speech]
Rajeev Setia
Actually, this business is volatility is there in the — this commodity business. Sometime windfall games come and that was the period, that year-ago. You never know when that part of game comes.
Ankit Setia
Still. Okay. So I will — Numeji, I’ll give you an example.
Unidentified Participant
[Foreign Speech]
Ankit Setia
The thing is currency is getting only weaker and weaker. And, let’s say, let’s say, 8750, 87 75, 8650, 86 75 company. That’s. Okay. So a super lithium. We always take INR1 less than what the market price is.
Rajeev Setia
But my experience with the foreign-exchange is concerned for last around 30 years now, out of — eight out of 10 times, the rupee goes weaker. And I — since the start of the business, there is change. Yeah. For just two periods, one or two periods in a year or once in a while, forward hedging you have that can save you also that can hit you so badly keeping each other. What we do is we are totally open in this particular year. Not even a single dollar hedged. Yes, as Ankit said, at the point of selling, I tell them to factor at least INR2 lower than the 1.5 depending upon your area of working per customer. If you price accordingly, then whatever comes is better than our calculated profit in any case. And in this one year, it is.
Ankit Setia
[Foreign Speech]
Rajeev Setia
Thanks so much.
Unidentified Participant
Yeah. Thank you, Ankit. Thank you, Rajeevji. All the best.
Rajeev Setia
Thank you.
Operator
Thank you. We’ll take the next question from the line of Mohit, you can unmute us.
Unidentified Participant
Okay. Thank you for the opportunity again, sir. [Foreign Speech]
Ankit Setia
[Foreign Speech]
Unidentified Participant
[Foreign Speech]
Rajeev Setia
[Foreign Speech]
Operator
Thank you. We’ll take the next question from the line of Nikhil Josa. Nikhil, you can unmute on us.
Unidentified Participant
Yes, sir. Hi, thank you for taking my question and thank you for addressing us so frequently. I a larger question in terms of, say, market opportunity. You know, what is the total market size that you see for us and also what is the market-share that we are having today and that we aim to have. And just in context with that, you also mentioned that plant like for example, particular three months may. So will that not attract competition and how — what is your view on that? That’s it from my end.
Rajeev Setia
Thank you. Ankit, you’re going to stick?
Ankit Setia
[Foreign Speech] It is coming through a lot of experience and lot of internal tech that I’m sharing this with you.
Unidentified Participant
Got it, sir. Thank you so much.
Operator
Since that was the last question for the day, I will now hand over the call to, sir. Sir. Over to you. Thanks. So I would like to invite the management to give any closing comments before we end this call.
Rajeev Setia
Go for the closing, please.
Ankit Setia
My closing comments should be only that last quarter our sales have gone up by 6,000 tonnes. For me, that is remarkable — remarkable because we’ve added, I think six or 10 new customers and Amari plant say plant, start OJ, Amari Joe Delivery was at the time to own issue OJ, quality issue EMA. So on-time delivery is a thing we want to improvise on. And let us see what happens. It is like a car which is driving itself with its lights on or, speed people next quarter, also the better clarity. Yeah, sure, sir. So having this audible?
Operator
Yeah, there was a slight interruption towards the end, but I think we could hear the end part of the comment. So that brings us to the end of today’s conference call. Thank you to the management team for joining us on the call and thank you to all the participants for giving us their time. This brings us to the end of today’s conference call. Thank you so much.
Rajeev Setia
Thank you very much to all. Have a good day.
Ankit Setia
Thank you.