DEE Development Engineers Ltd (NSE: DEEDEV) Q4 2025 Earnings Call dated May. 30, 2025
Corporate Participants:
Sanjeev Sancheti — Head Investor Relations
Krishan Lalit Bansal — Managing Director
Sameer Agarwal — Chief Financial Officer
Pankaj Agarwal — Chief Operating Officer
Unidentified Speaker
Analysts:
Vaibhav Shah — Analyst
Agastya Dave — Analyst
Dhavan shah — Analyst
Tanay Bheda — Analyst
Gautam Rajesh — Analyst
Unidentified Participant
Akshat Shah — Analyst
Mahesh Bendre — Analyst
Jignesh — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to the Q4 and FY25 earnings conference call of Dee Development Engineers Limited hosted by Aquira Securities Private 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 the conference call, please signal an operator by pressing Star then zero on your touchstone phone. Please note that this conference has been recorded. I now hand the conference over to Mr. Vaibhav Shah from Aquida Securities. Thank you. And over to you sir.
Vaibhav Shah — Analyst
Yes. Hi. Good afternoon everyone. Thank you very much for joining into the 4Q FY25 earning scholars. BW Development Engineers Limited. I will now hand over call to the Mr. Sanjeev Sancheri, Head Investor Relations. Thank you. And over to you sir.
Sanjeev Sancheti — Head Investor Relations
Thank you. Weber. Good afternoon everyone. It is a pleasure to welcome you all to today’s call. We are delighted to have the senior management of the Development Engineers Limited with us. Joining me today are Mr. Krishal Lalit Bansal, Chairman and Managing Director. Mr. Pankaj Agarwal, Chief Operating Officer and Mr. Sameer Agarwal, Chief Financial Officer. Before we begin, I would like to draw your attention to the SAFER statement included in our earnings update presentation which is available on both BSC and NSC website. Requesting each one of you to have a good look at that. With that, I now invite Mr. Krishna Bansal to share his opening remarks. Mr. Bansal, over to you.
Krishan Lalit Bansal — Managing Director
Thank you so much. Thank you, Sanjeevi. Good afternoon everyone and a warm welcome to all. We appreciate your presence Today on the Q4 and FY24 25 Investor Call of D Development and US Limited I shall begin by sharing key business and operational highlights from the quarter, Followed by our CFO Mr. Sameer Aggarwal who will walk you through the financial metrics. Before diving into the specifics of our performance, I would like to express our heartfelt gratitude to all of our shareholders, analysts and stakeholders for the continued trust and engagement.
Your support is vital as we navigate both growth opportunities and industry headwinds. We are pleased to report its strong performance in Q4FY25 with revenue from operations rising 17.7% year on year and 76.8% quarter on quarter to 2,864 million rupees. For the full fiscal year, operating income reached 8 to 74 million rupees. On the operational front, our expansion at the NGR facility is progressing as per plan.
We expect to Commission an additional 15,000 metric tons per annum capacity by October 2025, bringing the total capacity to at MGR excluding heavy fabrication to 30,000 metric tonnes per annum. Simultaneously, the development of our high wall seamless pipe plant is advancing on schedule. We remain on track to commence commercial production by January 2026, a key step in our backward integration strategy aimed at improving supply chain efficiency and cost competitiveness.
As covered in the press release earlier this month, we are deeply disappointed with the recent downward revision of the tariff order for our two biomass power plants issued by Punjab State Electricity Regulatory Commission. It is our swamp believes that the decision is legally untenable and also fails to reflect the ground realities of operating dedicated biomass power plants. Unlike CO generation units that these industries industrial byproducts like bazaar, our plants rely solely on externally sourced caricature, a costly and logistic intensive fuel.
By equating two fundamentally different models, the Commission has made assumptions that are arbitrary and unsustainable. This decision undermines years of work towards rural empowerment and environmental protection. Our plants have prevented stubble burning across over 80,000 acres of. Annually provided livelihood to more than 8,000 rural families and directly supported India’s climate goals. Ignoring these contributions sets a worrying precedent for the future of green energy in India. The company has filed a review petition against PSDRC’s tariff revision and is exploring all legal options to protect its rights. The steps taken by the authorities undermine the years of work towards rural empowerment and environmental protection. Our projects are more than just power plants. They are instruments of social, economic and environmental transformation. These plants have prevented stubble burning across over 80,000 acres of land annually, providing livelihoods to more than 8,000 rural families and directly supported India’s climate goals. Ignoring these contributions sets a worrying precedent for the future of green energy in India. Further insights on the matter will be shared by Sunit. Further, I will say that the growing demand and favorable industry outlook are well aligned with our strength and we are excited to harness these opportunities to drive sustained growth. Looking ahead, we remain committed to operational excellence, strategic technological investments and sustainable growth. We will continue to adapt our strategies to ensure long term value for all our stakeholders. We sincerely appreciate your continued trust and support and we look forward to achieving new milestones together. Thank you all. Now I will hand over the call to our CFO Mr. Sameer Agarwal to talk about the financial metrics.
Sameer Agarwal — Chief Financial Officer
Thank you Bantalji Good afternoon everyone and thank you for joining our Q4 and financial year earning call. Before we move into the question and answer session, I would like to take a few minutes to walk you through the financial highlights for the quarter. I trust you have had a chance to review our earnings presentation and press release. While Bansalji has already outlined the broader business outlook, I will now focus on detailed financial performance for the period.
Revenue from operations Q4FY25 stood at 286 crores reflecting a robust growth of 17.7% year on year and 76.8% quarter on quarter. For the full year, FY25 revenue from operations reached to 827 crores, making a 4.9% increase year on year. As of April 30, 2025 our order book stood at 1275 crores, offering strong visibility going forward. Operating EBITDA for Q4FY25 stood at 63. Crores up around 84% year on year and over 1000% quarter on quarter. Correspondingly, our operating EBITDA margin expanded by 797 basis points year on year and 1868 basis points quarter on quarter to 22.2%. For the full year operating EBITDA strength stood at 123 crores up 20 by 7% year on year with a margin expansion of 196 basis point to 15%. Profit after tax for the quarter rose sharply to 31.5 crores representing around 166% year on year. Increase CAT margin improved 614 basis point year on year and 1918 basis point quarter on to 10.9%. As mentioned by Bansanji, the Punjab State Electricity Regulatory Commission issued an order resulting in a downward revision of tariffs for the Muxar and above plants. The tariff for the Muxa plant was reduced from 8.59 per unit to 3.50 per unit while the tariff for the above plan was revised from 7.47 per unit to 5.42 per unit. Going forward, the annual revenue impact due to revised tariff related to expected to be approximately 260 million for the MUQSA plan and 125 million for Abohar plan. The company is actively evaluating all legal and regulatory avenues available to protect its contractual rights and commercial interest under the applicable laws. As mentioned during our last earning call, we are on track to achieve a top line revenue of around 1300 crores in FY26 reflecting over 50% growth compared to the FY25 base. While we are confident of delivering an EBITDA margin in the range of 19 to 20%, the recent downward revision in tariff for our biomass power plant may impact profitability and margins at the same is not reversed or revised upwards. We are actively pursuing appropriate legal measures to challenge the provision and remain hopeful of a favorable resolution. With a healthy order book and strategy aligned with the rising capital expenditure across our key customer segments, we are optimistic about sustaining strong revenue and profitability momentum in the near to mid term medium term. We remain grateful for your continued engagement and support as we pursue our strategic priorities. We are committed to delivering long term. Value and keeping you informed on our progress. With that I now open the floor for questions.
Questions and Answers:
Operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the Touchstone telephone. If you wish to remove yourself from the question queue, you may press star and. Two participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Agastya Davey from Cao Capital. Please go ahead.
Agastya Dave
Hello. Am I audible?
Krishan Lalit Bansal
Yes you are sir.
Agastya Dave
Thank you very much for the. For the opportunity and a great result, sir. My congratulations. Sir, could you repeat the EBITDA margin guidance for next year?
Sameer Agarwal
So I told the EBITDA margins shall be in the range of 19 to 20%. And we need to take the impact of the biomass tariff revision by the commission. So it is to be learned post the revision petition or the final order in this regard.
Agastya Dave
Understood, sir. So next year what kind of capex will we see? Because we are very close to commissioning both the plants, I mean the expansions. So what kind of capex will we see for next year and the year after that? Like if you can get us, give us a sense of the maintenance capex that you’ll require.
Sameer Agarwal
So as far as the new capex is concerned, we are already undergoing expansion of our new Anjal facility of which we shall be doing another hundred crores of CAPEX in FY 2526. And as far as our maintenance capex is concerned, that shall be always in the range of 10 to 15 crores on overall group level.
Agastya Dave
So just for Clarity sir, the CWIP as of now stands at almost 150 crores that will get capitalized next year fully plus 250 crores will get added to roughly 7,650odd crores of gross book.
Sameer Agarwal
Sure. Yes, you are correct.
Agastya Dave
Great. Sir, answer in terms of the the timelines you shared when the commissioning will happen, how soon can we start ramping up? Sir? In which quarter will we see like a substantial jump in volumes? And you mentioned 1,300 crores of revenue target. Can you also provide the volume numbers for the entire. This year and what you expect in terms of volume growth next year.
Sanjeev Sancheti
Sir, as far as the ramp up is concerned we are already in the process of ramping up. Since the production has already been going on for quite some time. And you know the present order book which we have to execute in this financial year to cover almost. You know in piping it will be around 1100 or so. Something. Anything between thousand to 1100 crores will be there in the piping segment. So you know it’s already aligned that we shall be doing part of it from our Palwal facility.
Part of it from Anjar facility And part of it from our Assam facility. So you know it’s all lined up. So we are not waiting for any other thing to happen to achieve those numbers. And you know, similarly, you know for the coming years also we are having a substantial good. I will say pipeline. Our Pankaj can explain you that if you want some enlightenment on that. But we are quite comfortable as far as our pipeline is concerned.
Agastya Dave
Yes sir, I am very clear about the pipeline looking very strong. So sir, if you can’t share that. Can you share the rough capacity utilization for the last two years. FY24 and FY24 and FY25.
Sanjeev Sancheti
So sir, it has already been discussed number of times over the call that the capacity which we have mentioned is in metric terms. Whereas the capacity the measurable capacity for oil and gas sector is always in a die inch basis. Whereas in power sector the capacity is measurable in metric tons basis. So as far as the competence and the ability of the utilization of the available capacity I would say we though it is not in terms of percentage capacity utilization.
Because of oil and gas sector. Most the jobs are from oil and gas sector where the weight of the jobs are lesser but the volumes are higher. So we need to emphasis upon the overall revenue which we are earning rather than capacity utilization as far as the order book is concerned. And going forward pipeline we are both for almost our entire capacity.
Agastya Dave
Great sir. Thank you very much for the opportunity, sir. And thank you Sanjeev bhai. Thank you. Take care.
Sanjeev Sancheti
Thank you. Thank you. Thank you. Thank you.
Operator
Thank you. The next question is from the line of Dhawan Shah from Alpha Accurate advisors. Please go ahead.
Dhavan shah
Yeah. Thanks for the opportunity sir. And congratulations for a great set of numbers. So my question is. Is on the piping solution. I think if I you know break it up the revenue between piping then heavy fabrication and then power. So you mentioned that the piping solution can do roughly 1000 to 1100 crores revenue in FY26. And in terms of the project wise, if you can share, I think last quarter presentation you mentioned that some of the orders were delayed from the PHP side. I think it was towards the gale order. So how much of that is executed in Q4 and how much is is it still pending? And apart from that if you can also share, you know which could be the E orders which will be executed in FY26 and what could be, you know the realization per ton or per kilogram. If you can help to understand how that mix would change from FY25 to FY26 for type instit.
Sanjeev Sancheti
So request Pankit sir to answer that.
Pankaj Agarwal
Yeah. So coming to this like piling gas sector what we have the orders first question is the yield pH. We have closed almost the total value but around maybe 1015 crores in system timing which we share closing somewhere in July and into the path for this like breakup of the oil and gas and power. We still have good orders. From oil and gas it’s around 73% the total value. What we have as in today and from power we have around 20%.
So per kg rates are really good for power sector what we have. It’s very difficult to answer your like question. State that what is the like number per kg number of the power as in. Because I calculated right there.
Unidentified Speaker
So Dhavalji, just for more clarity because it all depends upon the nature of job which we are processing for determination of per kg realization of revenue. Sometimes the metallurgy of the job is steel only normal carbon steel. And if the metallurgy goes higher than the per per kg realization of revenue shall be higher. So there is a lot of variation in terms of job which we are performing, right? From carbon steels to stainless steels or alloy steels or higher set of alloys like ink alloys, hex colloids.
So it would be really difficult to measure the organizational performance per ton of revenue.
Dhavan shah
Understood. So sir, in terms of the key orders, you know if Gail is already executed. So apart from Gail which could be the you know the key orders which will be executed in FY26 if you can share even 4, 5 orders that would also be 5. Fine. And the value also if you can help us to understand.
Sameer Agarwal
We have this Dao chemical order which will be executed in the CA A part of the dao. We have a lot of order from this linde. Now linde for this kit then fittings BHL orders are there for the type fittings as on date. So these orders will be executed.
Dhavan shah
What Dow order
Sameer Agarwal
It is around like $50 million.
Dhavan shah
Five zero.
Sameer Agarwal
This will be five zero. Yeah. So around 80%. 75 to 80% will be executed in this year.
Dhavan shah
Okay. Understood. Understood. And I think if I look at you know the revenue of heavy pair application annually it is roughly 50 odd crore right now. And the power gives you roughly 70. 70. 6070 odd crore of the. Sorry. 80 odd crore of the revenue in power. And then the fairway fabrication gives you 50 odd crore. So 138 crore from these two segments. And you sir. Sir already mentioned that the FY26 is looking probably thousand to 1100 from the piping side.
So I am unable to you know understand this 1300 crore number. I mean if I you know include all these three things still I think team members doesn’t match up.
Sameer Agarwal
Sir is not counting the filing subsidiary number in piping. Actually he is just mentioning that it is an Indian piping. So since that is a different subsidiary. So overall piping if we add both the things from India and Thailand subsidiary then the piping would be somewhere around 1150 plus crores. So rest of the number shall flow from the power business and fabricom.
Dhavan shah
Understood? Understood sir. And recently I think you also announced, you know some big order from the U.S. oil and gas company. That is multi million dollar opportunity. So if you can you know give some idea, I mean what could be the annual opportunity from that particular client and how big opportunity it can be maybe two, three years down the line from that particular customer itself.
Sameer Agarwal
I didn’t get. Come again please.
Dhavan shah
You recently, you know I think three, four days
Unidentified Speaker
He’s asking for Exxon rp.
Sameer Agarwal
Okay so so we we got the rate contract from Axon Mobile usa. So that will be like for their various projects which we are executing it. So this recent one Is for like 18 months. They have signed the date contract and we are expecting around 40, 50 crores business in this. In this initial year from then
Dhavan shah
And how it can be big maybe two, three years down the line. What could.
Unidentified Speaker
Much, much bigger. Much bigger. Much bigger. See, they have considered very normal working normal projects in the rate contract. But out of the rate contract they have many other projects which we have bidded directly to them. So those will not be a part of the rate contract. So again, they are still aligned with their buyers and the project team. Since they have signed the rate contract for the very first time, they still are aligning with their project team.And they’re, they are like project team and purchase team. So I’m very sure that this, this value will be very substantial in our coming years.
Dhavan shah
Okay. Okay.
Unidentified Speaker
Start of the relationship.
Dhavan shah
Understood, sir, Understood. And, and in terms of the power orders, when do you foresee the major chunk of the orders from Brale would come in? Because they already see sitting on roughly more than 1.2 lakh crores of orders from the power segment
Unidentified Speaker
[Foreign Speech] they are already having.
Dhavan shah
Yeah, yeah, yeah. So when do you foresee, you know, the major chunk would come in in terms of the piping orders?
Unidentified Speaker
So let me tell you in a different way. They are like planning to execute around 10 boilers in a year against their capacity of let us say seven, eight and out of that like five unit boilers, piping, critical piping. They are planning to outsource as on date and five, they want to do it in their own shop, in their own like they have a plant in Permian.
But again since they have very shortage of the manpower, they are transferring the people from their piping division to the boiler division because they are more focusing on the boiler part and they want to outsource. They want to give the lease, they want to give their plant on the leaves now. So let’s see like. But we are very hopeful that we start getting business from in another two or three months from now because we have recently bidded to them and we are technically qualified price bid will be open maybe next month’s time.
Dhavan shah
And what could be the opportunity from one boiler for piping business?
Sameer Agarwal
We have already told you it’s a very big opportunity. You know, we cannot disclose the numbers right now, but very big opportunity is what we can get right now.
Dhavan shah
Okay? Okay. Okay. And sir,
Operator
Sorry, sorry to interrupt you but we request you to rejoin the queue for follow up question.
Dhavan shah
Okay,
Operator
Thank you. The next question is from the line of Tana Veda from Kotak Securities. Please go ahead.
Tanay Bheda
Yeah, hi sir. Tana here from Kotak Mutual Fund. Congratulations on the good set of numbers. I just had one question on the orders executed in the month of April. So if I look at the press release we executed around 52 crores of orders in the month of April and we have given a guidance of 1,300 crores for the full year. So any reason. For soft execution in the month of April and how Q1 is panning about for us.
Sameer Agarwal
Historically April is the slowest month because people you know, go on holidays and all those things. But you know in general also we have a very poor quarter one but you know then subsequent quarters keep on ramping up and you know the quarter four is always the best and the same thing is going to happen in this year also. But you know we shall be doing substantially much better Q1 than you know, the any other previous year. I can only tell you.
Tanay Bheda
Okay. Okay. Thank you.
Operator
Thank you. The next question is from the line of Gautam Rajesh from Everflow Partners. Please go ahead.
Gautam Rajesh
Hi, good evening. Thank you for the opportunity. My question was on the power side, how much of the order bidding has happened by BHEL and how much of it has been won by us so far? Who are our key competitors and how much orders have they won in the segment?
Sameer Agarwal
Let me reply that. Good question, sir. See I’m not considering any other business from like from BHL which is not of our interest. I’m considering the interest what we have in the critical piping. So for the first time they have released the tender for three units, three boilers package. So we have bidded to them. It’s under technical evaluation so far and we are very hopeful as a businessman that we’ll get this opportunity.
And other than the critical pricing, they have floated various stand up for fittings for the low pressure lines. So we have not got those orders so far. But fittings definitely we got around 60, 70 crores out of the total, maybe 100 crores for the critical piping which they shall be doing in their shops. Yeah. So for that we are, we are expecting,
Pankaj Agarwal
So you know, again we, I will, I will just put it like that only you know right now whatever ordering has been done for the power cycle piping, most of it has come to us. Very small part might have gone to other people like carbon seal. But all P92 we have got it. P91 has been distributed to some people but very less volume. And as far as piping is concerned it’s order, it’s you know, tender is under evaluation and we expect its results to be out in coming two months time, two and a half months time and then you know we’ll have a clearer picture.
But you know, on the face of it we do not see much competition in that. Also on the face of it I’m saying and you never know, you know when the bid open what happened and what doesn’t
Gautam Rajesh
That you’re saying that you don’t see much competition in this critical piping segment?
Pankaj Agarwal
Looks like. Looks like. You know, I. The receipt bids we this is what is our internal calculation is what we are thinking
Gautam Rajesh
Answer. I probably didn’t catch you there on the BHCL thing that we have won. How much would that be valued at?
Sameer Agarwal
But again I’m telling right now it’s very difficult to see top in terms of value. But you know the each unit is anything around 200 crores or something like that. You know you can put it like that but it’s a very very rough figure. I am not saying that this will be 200 or 150 or 225 but on an average you can say it will be something around this. It’s a very very rough estimate.
Gautam Rajesh
Understood? Understood. Thank you for.
Unidentified Speaker
Hello. Hello. Hello. Yes, I think there’s nothing coming. Is this the end of the queue?
Sanjeev Sancheti
Yeah, between. Also in between. Sure.
Operator
Yes. I’m saying the next question is from the line of Ankit Sony from Sher Khan. Please go ahead.
Unidentified Participant
Sir, good evening. Congratulations on a good set of numbers. Just on the capex side we mentioned that we’ll be doing around 100 crores of capex in financial 26. We were also getting up a facility for those seamless piping solutions. So 100 covers 100 crores would be covering even the capex for that facility as well, right?
Sameer Agarwal
Yeah.
Unidentified Participant
Okay. And so this, this plant would be more operational in January or maybe the last quarter of financial year 26. So there would be more an backward integration product something and then this would also be helpful in margins acquisition in financial year 27.
Sameer Agarwal
That said sir, because it’s a part of backward integration, you know, otherwise you know whatever margin we are giving to our suppliers so you know that margin will get added to our bottom line.
Unidentified Participant
So any broader Idea on the financial 27 margins if you can guide on that
Sameer Agarwal
Sir, it’s too early to say. As far as the guidance is concerned we have given the guidance for this FY26 and that needs to be evaluated going forward. Getting the formal order then basically order book we can only get that numbers to.
Unidentified Participant
Okay fine. And on the second thing is on the plant side which we are facing this the plants bagasse plant. So is there any. Will there be any provision created for financial aid 26 or how is the further approach on that? Can you just give a highlight on that?
Krishan Lalit Bansal
So so as far as the current situation is concerned because the these orders of tariff came post completion of the FY25 and these are subsequent event the time is not there to actually assess the overall impact of this on the financial statements. Therefore on control level and on subsidiary level our Malwa subsidiary and at console level the qualification has been made and an emphasis on matter is also placed in the audit report in respect of our second plan that is the plant which is in our holding company.
So that is done till now and going forward since we have already applied for the review petition and appropriate steps are being taken and there are a lot of pressure from the society as well as authorities or maybe central government or state government or judicial authorities like Supreme Court of India. I foresee a good amount of pressure on the commission or the appropriate authorities who are going to decide the tariff. We are hopeful to get the wish tariff in this regard.
Unidentified Participant
Okay, sure. Thank you. Thanks a lot and hope you get the order soon. Thank you.
Operator
Question is from the line of from Lotus Asset Manager. Go ahead.
Unidentified Participant
Yeah, thanks for the opportunity and congrats on good set of numbers and I really want to take this as an opportunity to appreciate.
Unidentified Participant
The monthly releases which are announced by the company. It’s a big effort, sir. And I really appreciate your transparent approach towards the company. So my first question is on part of the orders like where do you see your order book to get closed like by the end of this year. I know there are a lot of orders coming from the. But where are we comfortable to close our order book at
Unidentified Speaker
Pankaji?
Pankaj Agarwal
See we are expecting a good order book in this financial year. The worst, what I consider the hit rate will be around like 1600-1700 crores. We shall be booking the orders. So considering the order book, what we have in hand and then further booking of around 17, 17, 800 crores, 18 crores and doing the invoicing of around 1300 crores. So we shall be having a good order book when we reach 20, 26 the coming year.
Unidentified Participant
Okay, so the incremental order, let’s say we will execute 1300 crore at order and over on top of that we will secure further orders of like say 16, 1700.
Sameer Agarwal
No, no, no sir, let me put it in a different way. We are saying, we are saying that we shall have a minimum order value of thousand crore at any given time. And there is a substantially high available pipeline. You know the exact numbers. Again it’s very difficult to say whether 1600 will come or 1200 will come. But you know we can say that broadly speaking we are booked for this complete year and maybe for first quarter or maybe for half of the next quarter fully as per our projections already given to all of you.
And the pipelines again still appears to be very, very strong. So we are not afraid or we are not considering that the order book will be a problem. Again I am saying, you know, if we can, if we, if we have to consider, we have to again consider our capacity constraint. You know, whatever capacities are there, you know they are not indefinite or infinite capacity. So you know we have to operate within those set of capacities only.And for that we have substantial and good number of orders already in hand and the likely new orders which will fall in place very soon.
Unidentified Participant
Okay. And sir, if we take Q3 and Q4 because Q3,4, Q3 was impacted because of delay in orders and.
Unidentified Participant
And like I said, execution was not there. So if we take Q3 plus Q4 then our margins are around 15%. Because in Q4 our margins would be looking much higher. Because lot of orders got bunked up and execution was there in Q4. So 15% was the margin. Q3 plus Q4. And as we are suggesting that 19 to 20% would be our margin guidance.
So does it mean that lot of efficiencies are going to come up because of the full absorption of our order movement from let’s say the allocation of orders between two facilities. So a lot of efficiencies are still going to be visible in next year.
Sameer Agarwal
Yes sir. So as we are coming up a dedicated facility for oil and gas sector at Andhar. The complexity which we used to face during executing two sector jobs in one facility at Palwal. That will go away. And the proper efficiency will be there in terms of optimal utilization of resources as well as the proficiency of the facility. As you know, the Pulwal facility is primarily designed to cater the power sector jobs. So broadly we shall be executing power sector jobs from facility.
Similarly we have made design our Anjar facility to execute the oil and gas sector jobs. And that plant is having more set of automations and the workflow which has been given and the way plant has been designed. The operational efficiency is bound to come.
Unidentified Speaker
And moreover, since the turnover is going to increase by almost 50%. The allocation of overhead is going to reduce drastically. So you know that itself is going to give a direct impact of 4, 5%.
Unidentified Participant
So. So broadly. Sir, this is last question. So it’s a. Once you are both like the Palwal is ready there. So Anjar, once it is get commissioned. Single site gets commissioned. And then what could be the mix between revenue in Both the plants? 50, 50% or all depending on the power order.
Pankaj Agarwal
It will majorly depend upon the power order, sir. But we still anticipate that you know the turnover from Palwal will be much higher than our Njar facility.
Unidentified Participant
Great sir. Thanks a lot. Sir. Thanks a lot.
Operator
Thank you ladies and gentlemen who in order to ask a question, you may press star and one the next question. Question is from the line of Akshat from N. Investment Advisory. Please go ahead.
Akshat Shah
So first of all, congratulation.
Operator
Sorry to interrupt you, sir, but your voice is too low.
Akshat Shah
Am I audible now?
Operator
Yes, sir.
Akshat Shah
So I want to understand that what is the standard for execution for all of these headers? All of three segments. So how much time does it take for one order to get executed?
Krishan Lalit Bansal
So we have already told that the average time for execution of a particular order ranges between 6 months to 18 months. So whatever order we are having hand. So we always take that these are to be executed in next 12 months time. Some of the job gets over before the year or some may spill over the financial year financial period.
Akshat Shah
So it remains same for all the oil and gas and power, power side and agriculture.
Krishan Lalit Bansal
No, in power sector, the execution period is lesser than what we have in oil and gas sector. But in power sector we shall not be getting more than nine months time. Maybe maximum 10, 11 months. But less than a year in any case.
Akshat Shah
Okay, that. So going forward this is going to happen that power and application side will be consummating more margins also.
Krishan Lalit Bansal
So can you repeat? Plus please not very clear.
Akshat Shah
Also going forward there will be changing contribution from power. And this. This will be. Well,
Unidentified Speaker
I think there is a network issue.
Operator
So can you use handsets? You. You are not audible, so you are not clear. Your voice is not clear. Can you. Can you speak louder
Akshat Shah
Now?
Operator
Yes, sir. You can ask your question.
Akshat Shah
So I was asking that going forward, revenue contribution from these other two sectors will be. Same only or it is going to increase.
Sameer Agarwal
You can say it’s almost the same, sir. But you know the right now in this financial year the revenue will be much more from oil and gas sector than the power sector. But in the coming years it may level to maybe 50, 60 or something like that.
Akshat Shah
Okay,
Operator
Thank you. The next question is from the line of Mahesh Bendre from LIC Mutual fund. Please go ahead.
Mahesh Bendre
Hi sir, thank you so much for the opportunity. Great performance in quarter four. So sir, I joined a little bit late. So any guidance for FY26 in terms of revenue and margin?
Sameer Agarwal
We had given a guidance of 1300 crores with an EBITDA margin of ranging between 19 to 20%. And some impact would be there on the EBITDA margin because of the downward rates by the commission in the tariff of our power unit. So that needs to be assessed. Otherwise our guidance remains the same which we had given earlier.
Mahesh Bendre
Sure. And sir, in terms of I think order inflow last year I think we have to book two major orders. One is from Dow Chemicals and second I think two weeks back we have not disclosed the name. But any such orders you see over next 12 months.
Krishan Lalit Bansal
So there will be many others from the power sector in that bigger range. And also you know we are in discussion with some oil and gas players also you know where we are expecting large volume of orders.
Mahesh Bendre
Okay. As a last question, we have good exposure to the US now. Any impact on tariffs on us?
Krishan Lalit Bansal
No, there’s hard. There’s absolutely no impact sir, as of now. And you know, even if it tomorrow comes, you know, since our costing is much more competitive and it’s going to be with all the countries. So I don’t think we should have any impact on that.
Mahesh Bendre
Sure. Thank you. Thank you so much, sir.
Operator
Thank you. Before we take the next question, we would like to remind participants that you may press Star and one to ask a question. The next question question is from the line of Jigesh from Jiva Capital. Please go ahead.
Jignesh
Yeah, thanks for the opportunity, sir. Really appreciate the kind of results that you have delivered in Q4 and as you had mentioned in Q3 Concord that it was. One off. And to understand the margin increase, are we seeing any major benefit from the MJAR facility in terms of logistic cost?
Sameer Agarwal
Yes, definitely. Yes, definitely, definitely. And going forward, since 50% of our raw material we used to import and 50% of our overall revenue we are exporting. Therefore, since the volumes of oil and gas sector jobs are quite higher, therefore the logistics cost in particularly in oil and gas sector is major cost factor which decides the EBITDA margin. So we are going to save a lot of expenses on account of logistics cost.
Jignesh
Right. And in terms of productivity, with this final new facility of Anjar, do we have robotic or this new kind of facility to increase our productivity and would that decrease the time for executing an order?
Sameer Agarwal
Yes, sir. Yes sir. We have done as much automation as we could perceive and you know, it’s showing very good results and we are quite upbeat on that.
Jignesh
So lastly this suppose if we start getting good orders from power sector, so would there be any to shift some box from Palwal to. So would there be one or two months of delay or maybe lower revenue that we can expect in FY26 because of the shift?
Krishan Lalit Bansal
As of now there is nothing on the card as such.
Jignesh
Okay.
Krishan Lalit Bansal
Going forward, it will foresee for next two to three months. But if something comes up, we will definitely guide you.
Jignesh
Right. Thank you sir and wish you all the best.
Krishan Lalit Bansal
Thank you.
Operator
Thank you ladies and gentlemen. As there are no further questions from the participants, I now hand the conference over to the management for closing comments.
Sanjeev Sancheti
Bansalji, if you can just quickly thank everybody.
Krishan Lalit Bansal
Thank you so much, sir. Thank you everybody for being part of this call and sparing your valuable time to listen to us and to raise your questions. Thank you once again. Thank you so much.
Sanjeev Sancheti
Thanks everybody for taking our time on a Friday evening and staying put for this call. Really appreciate.
Operator
Thank you.
Sanjeev Sancheti
Thank you. Thank you. Equerrith and Aorus team as well for their time. Appreciate
Operator
Thank you. So thank you on on behalf of Aquira Securities Private Limited. That concludes this conference. Thank you for joining us. And you may now discuss connect your lines.