ECOS (India) Mobility & Hospitality Ltd (NSE: ECOSMOBLTY) Q4 2025 Earnings Call dated May. 19, 2025
Corporate Participants:
Priyanka Bhagat — Investor Relations
Rajesh Loomba — Chairman and Managing Director
Hem Kumar Upadhyay — Chief Financial Officer
Analysts:
Vedic Shah — Analyst
Unidentified Participant
Jainam Shah — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to ECOS India Mobility and Hospitality Limited Q4 and FY ’25 Earnings Conference Call. [Operator Instructions] Please note that this conference is being recorded.
I now hand the conference over to Ms. Priyanka Bhagat from Adfactors PR. Thank you, and over to you, ma’ am. Priyanka, ma’am, can you hear us? Hello. Yes ma’ am. Please go ahead.
Priyanka Bhagat — Investor Relations
Good evening everyone and a very warm welcome to you all. We are delighted to have you join us for our Q4 and full year FY25 earnings conference call. We’re privileged to have today with us the senior management team of Ecos Mobility India to guide us to the results. Leading the team is our managing director Mr. Rajesh Loomba. He’s accompanied by our Chief Financial Officer, Mr. Hem Upadhyay.
Before we begin, I would like to remind everyone that some of the statements made during today’s discussion may be forward looking in nature. Please note that the actual results may differ due to a variety of external factors. With that said, I now hand it over to Mr. Rajesh Ramba to share his insights on the results. Thank you. And over to you Rajesh.
Rajesh Loomba — Chairman and Managing Director
Thank you for joining us today for Ecos India Mobility and Hospitality Limited Quarter 4 Financial Year 25 Earnings Conference Call. Before delving into the operational and financial performance of the company, I’d like to provide you all a brief overview. ECOS Mobility is a leading provider of corporate mobility solutions in India offering a comprehensive range of services tailored to the evolving needs of businesses. We provide a diverse suite of vehicles from the economy to luxury cars to coaches, along with trained shoppers. Our services cater to top tier enterprises across 109 cities in India and over 30 countries globally. Through our core offerings which are corporate car interns and employee transportation services, we proudly serve Fortune 500 companies, BSC 500 companies, the major ITES companies, manufacturing pharma, all the major consulting firms, a large number of the largest global capability centers and of course a large number of SMEs with safe, reliable and tech driven solutions. This past year has been nothing short of transformative for eco. We reached a historic milestone with our successful listing on the stock exchanges, a testament to our resilience and long term vision. Over the course of the year we onboarded 188 new clients. This is now a strong validation of a brand’s growing credibility and execution strength. This translated into almost a 25% increase in the total trips as compared to last year, reaching 3.88 million trips in financial year 25. Among these wins are Fortune 500 companies and giant multinational and Indian companies and this is the kind of business which will propel our growth in the coming years. Both our offerings employee transportation and shoppered car rentals maintained a strong momentum driven by new client acquisitions and increased wallet share with existing partners. The rising demand for corporate events, executive travel on demand engagements and of course the accelerated return to office for the IT and BPO and GCCS has continued to be a cornerstone of our success. Our businesses consolidate the transportation vendors and increasingly entrust ecosystem as their preferred mobility partner. Now the scope of services availed is expected to expand further in the coming years. We are also placing strategic emphasis on growing our international footprint, aiming to capture emerging mobility opportunities across the globe. To drive this expansion, we are ramping up our sales and marketing efforts in financial aid 25. We also partnered with credit card companies and corporate real estate players like Office to further strengthen our brand presence. Moreover, our commitment to technology has been unwavering. We are in process of implementing the latest newest version of our software which will lead to more efficiency, better customer experience and enable us to access multiple channels to deepen Archer Line client penetration. Technology continues to be the key differentiator that drives client retention and long term enterprise partnerships, especially in the shopwide CAR division. Our vision remains bold to lead the transformation of corporate mobility in India into an organized, tech enabled and client centric ecosystem. As you will be aware, most of the market is fragmented and unorganized and this is where we feel the greatest opportunity for growth lies in organizing this market. While we are still the leaders in this corporate mobility, we are backed by a robust foundation, deep client relationships and a disciplined growth strategy and we are well positioned to deliver lasting value to both our clients and of course our shareholders. The industry remains highly fragmented and as a toss bearer in this space, Ecos has seen significant potential to capture the unorganized market through its quality service, cutting edge technology and professional expertise. We’re very proud that Ekos is a self funded company that has steadily grown over the years without relying on external funding scaling purely on the strength of our internal cash flows and reinvested profits we have achieved. The Board of Directors at its meeting held today has considered and recommended a final dividend of 2.5 per equity share for the financial year ended March 31, 2025. Of course, this final dividend is subject to approval of the shareholders at the ensuing AGM of the company. Now with that background, I will hand it over to our CFO Hem Upadhyay who will walk you through our financial performance in detail.
Hem Kumar Upadhyay — Chief Financial Officer
So, good evening everyone. Thank you, Mr. Rajesh. Now let’s dive into the numbers that tell our story, including a closer look at our financial performance. Beginning with fourth quarter of financial year 25, we recorded revenue from operation of 1,772.41 million, making an 18 point almost 19% increase as compared to Q4 financial year 24. This growth was driven by an increased wallet share from existing client and the acquisition of new large clients. EBITDA increased by 19.33% in Q4 financial year 25 to 2.6 4.67 million as compared to 221.8 million in Q4 financial year 20. We successfully maintain a stable EBITDA margin of approximately 15% despite rising competition putting pressure on our margin. Moving to full year performance in financial year 25, our revenue from operations reached to 6,539.64 million, reflecting a almost 18% increase as compared to financial year 24. This achievement highlights the strength of our core businesses, both of which expanded significantly during the year. Our ability to capture market demand and consistently deliver exceptional service has been the cornerstone of this success. EBITDA for financial year 25 stood at 923.8 million compared to 900 beginning in financial year 24 representing year on year growth of 2.65%. Summarizing the balance sheet for financial year 25, the company with self funded with minimum external finance and low working capital requirement. As of financial 25, the cash balance including investment stood at 1161 million which went reinvested into business to deepen market penetration and enhance client service. The company reported a strong return on capital employed up almost 36% in FY ’25.
Thank you everyone. Now I will invite Mr. Rajesh to get the closure statement.
Rajesh Loomba — Chairman and Managing Director
Thanks, Hem. So we’re now open for questions. Anything anybody would like to ask, we’re here to answer. Thank you so much.
Questions and Answers:
Operator
Thank you. [Operator Instructions] The first question is from the line of Vedic from Monarch Networth Capital. Please go ahead.
Vedic Shah
Congratulations sir on good set of numbers. Firstly, I have two questions. Firstly sir, in your opening remarks you had mentioned that you have onboarded 188 clients joining FY25. So this is overall for the CCR and the ETS division both together.
Rajesh Loomba
Yes, correct.
Vedic Shah
Okay. And sir, I wanted to ask admin, which region are we seeing major growth coming from?
Rajesh Loomba
We’ve seen an almost equal, equal growth in almost all the regions. But yes, Bangalore we have seen a little higher growth than the others. Besides that we have also seen growth in Chennai. And if you look at just as a percentage wise, yes, Coimbatore has seen a very good growth because we started some big operations in Coimbatore. So yes, south has seen a higher growth.
Vedic Shah
Got it sir. And sir which — also sir, which industry are we seeing the growth coming from? Is it the it, Is it the pharma or which industry?
Rajesh Loomba
We have seen more growth coming via the GCC and the top consultants which are there in India. So these have given us a high growth. But if I look at it as a business, it’s been fairly mixed growth, you know, including be it SMEs, be it travel agents, almost all the verticals have grown. Well.
Vedic Shah
Got it sir. And sir, final question. Basically on the future outlook, what kind of growth are we anticipating in the next two years and what kind of margins are we looking forward?
Rajesh Loomba
We cannot be giving out future, you know, earnings and forward earnings and all. But yes, continuing the same pattern, we would look at anywhere between a 15% to 18% growth and in between the 13% to 15% EBITDA margins is what we are hopeful of.
Vedic Shah
Okay, thank you sir.
Rajesh Loomba
Thanks.
Operator
The next question is from the line of Aman from Internet Capital. Please go ahead.
Unidentified Participant
Hi. Thank you for the opportunity sir and congratulations on a good set of results. What kind of fleet size do we have currently?
Rajesh Loomba
Currently we have around 14,000 cars which are active in our system.
Unidentified Participant
And out of these we own around 5 to 6%. Right?
Rajesh Loomba
We own 841 cars as of 31st March.
Unidentified Participant
841. Got it. And sir, what is our, I mean in this fiscal year, FY20, if you can highlight how many fleets of cars are we looking to add? In this year.
Hem Kumar Upadhyay
We will be looking to add between 250 to 300 new cars but we also looking to retire around 150 to 200 cars.
Rajesh Loomba
So net net it’s a constant process and the way the older cars keep getting retired and so some cars come in for the specialized growth purpose and some come in as a replacement.
Unidentified Participant
Correct, correct. And sir, you highlighted that the south region has seen, I mean some outperformance this year. So in the client perspective, how many contracts are up for renewal this year?
Rajesh Loomba
So it’s a usual cycle. As many clients as would be getting coming up the terminal of their agreements would be getting up to load and but to also see that most of us, as we have seen in the past and even currently what’s going on, most of our accounts keep getting renewed. We have more than 61% of our business of our revenues today are coming from clients which are more than five years in the system. So even during a renewal we see hardly any churn. So we have strong relationships and we are quite assured and so are our customers of the continuity of our business.
Unidentified Participant
Right sir. So when we renew the contracts, what kind of hike do we take? I mean is it stable or it depends on the industry demand or something like that.
Rajesh Loomba
See typically the pricing and time of renewal is basis of course any hikes in the operating costs. But at the same time there’s also the context of the industry pricing which is there and client to client it differs, especially for large enterprise clients. So after a set of negotiations we typically tend to agree on a price which is mutually beneficial to carry forward the relationship.
Unidentified Participant
Sure. And one last question, that was on our EBITDA margin. So I mean the upper band would stay 15% I mean because of our CCR service. Do you see, you know, the adoption in our ETR clients for our CCR services as well? Do you see that trend going up?
Rajesh Loomba
We have seen in the last few quarters wherein our proportion of CCR business has risen from 37% in the first quarter to 45% in the last quarter and of course which also helps us improve the margins, etc.
Unidentified Participant
Correct. And one last question on the CCR business. Which industry, I mean, or which sector is the most, you know, lucrative in this ccr? Is it GCC only or any other industry?
Rajesh Loomba
So our pricing typically remains, you know, similar across the board, across our industries. It’s not about GCCs or consulting. GCC or consulting do have a higher volume of business. But pricing typically remains quite standard. So if you were to look at the business as a whole, we expect to maintain those kind of margins. And of course like any business, we would definitely try and enhance the margins. But realistically speaking, the range that I gave is the one that one should consider. We hope to outperform but we can’t guarantee.
Unidentified Participant
Okay sir, thank you. Thank you.
Operator
Thank you. The next question is from the line of Jainam Shah from Equirus Securities. Please go ahead.
Jainam Shah
Yeah, hi. Thanks for the opportunity and congratulations on a strong recovery on the margin front. So as you told that your CCR segment contribution has increased from 37 to 40 to 43 to 45 this quarter. How we are seeing the segment specific growth for the next few years. So let’s say you have given a guidance of 15% to 18% for the overall growth with these two segments will grow in tandem or either of the segment will grow better as compared to the other.
Rajesh Loomba
So Jainam, thanks for asking this. If you look at the industry as a whole, as I mentioned there’s a huge scope from the unorganized to organize in both the segments and we are firing on all cylinders to gain market share and by converting from the disorganized to organized sector in both the sectors sales cycle especially with large enterprise clients can typically be long and the business is almost equally divided. If you look at the market as far as growth of the businesses for us is concerned it typically depends upon what pipeline gets matured at what point of time. But we are like I said equally firing on both the businesses and if you look at historically look at it, it’s always ranged between both the businesses have ranged between 40 to 50% as a share of the business and some years ETS goes up, some years CCR goes up.
Jainam Shah
Got it, sir. And sir, just on the capex front. So as you are told that you are adding 2300 cars for the next year overall capex how much it would be for Next let’s say 12 to 3 years perspective?
Rajesh Loomba
Average I would say around 35 crores to 50 crores depends depending upon you know. So a lot of our capex is also opportunistic in terms of if some really good opportunity comes in where we feel that it makes sense to invest in our own commerce then we would not shy away from that. So this is why we of course we have this good pile of cash instead of for debt so that we are able and act fast on taking advantage of any opportunities that arise.
Jainam Shah
Got it sir. And so just one thing on the margin front if you see last quarter margin has dropped below 13% of course there has been some one offs eventually it has recovered to near to the 15% number as of now if it’s just the real contribution which is increasing or let’s say operating leverage being carried out with the growth that we are having or some any other reason that you may highlight like maybe competitive pressure going eventually down or anything that you want to highlight on the margin perspective like how the on a, on a 1 — 2nd 3rd quarter to 4 what has eventually changed which led to this kind of margin expansion.
Rajesh Loomba
So CCR is a slightly higher margin business than employee transportation and when the growth of the CCR in the share of the business would definitely lead to a growth in the margins. Also yes, the little bit. The competitive pressures have also eased and our brand is more and more, you know, let’s say in demand. So we able to demand our pricing and stick to it. So these two reasons I would say have led to this growth. And we, and the sales team, I had mentioned before that, you know, efforts that we have increased in our sales efforts have now started also deliver the results.
Jainam Shah
Got it, sir. That’s it from my side. Thank you very much, sir.
Operator
The next question is from the line of Pranay Agarwal, an individual investor. Please go ahead.
Unidentified Participant
Yes, thank you, Mr. Loomba, for this opportunity and congratulations on a very successful year. Mr. Noma, I wanted to understand a little bit on our vendors out of our. If you could just add more color to that for our total fleet of 14,000 odd cars. Our own fleet is roughly this for 800 cars. So all the other cars that we take from our vendors, are they dedicated to service only our clients or they may be on an annual basis servicing some other mobility partners also?
Hem Kumar Upadhyay
Yes. So no, we do not, we do not force any of our members to be dedicated to us. But what we see by presidents is that the vendors who have been with us, we have a high stickiness of the vendors into our system and there’s a core set of vendors, you know, who are used every day. So I would say virtually they’re dedicated to us and they’re also our biggest brand ambassadors and stick to us for our values of fairness and the kind of business that we give them. But by contract, we do not demand exclusivity from any of our vendors, but by practice, we engage them in a manner that they stick with us.
Unidentified Participant
Okay, okay. But it is possible that a vendor is a servicing Infosys through ecosystem the morning and then in the evening servicing another client at Amazon through another…
Rajesh Loomba
Oh yes, yes, absolutely. Absolutely. Absolutely. In case we are not able to fulfill their needs for the viability for the day, we encourage them that they must get the business out just so that they stay in business and they stay viable.
Unidentified Participant
Right. Understood. So, and if you could just walk me through the process. When you onboard a vendor, suppose a vendor is providing you 20 vehicles for a particular location or a particular client. What is the onboarding process like, what are other checks that you undertake. What is the training that you would undertake? Because I was using the car and the driver would be on the road of the vendor and not on ecosystem payroll. So if you could just walk me through that process a little bit.
Rajesh Loomba
So we have a very strict and a long compliance list, but that’s a show that covers all aspects of compliance, right. From the background checks, police verifications, checking the antecedents, checking the validity of their car registration papers and the driver’s license, and any other formalities which may differ from state to state. So we have specialized agencies who do this for us. And of course, we have over 700 people in operations on the ground to manage this to a T in every location.
Unidentified Participant
Okay, okay. So it would take a few days before they’re onboarded onto your fleet. Is there some training you do with the shoppers and the drivers other than the background check that you just mentioned?
Rajesh Loomba
Absolutely. So we have an induction training for every chauffeur who gets inducted and thereafter their refresher training and specific trainings right. From defensive driving to posh, conducted at various intervals throughout the year. We have a pretty large learning and development team to conduct all this.
Unidentified Participant
Okay. And is there increasing requirement that they are wanting our fleet to be more EV or hybrid driven or. Not really. That’s not what you’re seeing on the ground.
Rajesh Loomba
EVs, they worked, you know, maybe a year back, a demand for EVs, but it’s cooled off now once, you know, it’s pretty apparent that EVs is not something that solves all the problems. But at the same time, we are cautiously scaling up our EVs, seeing the infrastructure improvement in the EV ecosystem, especially the charging infrastructure and maturity in terms of the products, that is the cars that we’re buying. So definitely our scale up could happen only as per the availability of charging and the availability of good products in the market in terms of the cars.
Unidentified Participant
Okay. Because as part of transportation business, we service a lot of large clients and large ECCs across India. So I’m just trying to imagine this if there are some clients who have, say, more than 1,000 employees the likes of, say, such as TCS, JP Morgan, Goldman, etc. In one location. For example in the Outer Ring Road they may have 3000 employees working in the ORR Bangalore typically how many vendors would they have to service all of their needs? So Ecos may be one of them but typically do they as part of the existing arrangement have I think three or four mobility operators or would they just have the one operator?
Rajesh Loomba
So it differs the policy, as per the policy, client to client as to what they have. We have clients who have, you know, 10, 20 suppliers also and then many clients we are also the single supplier. So there are, it differs from client to client. There are many clients, we have very large clients having thousands of employees where we are the single supplier giving them end to end technology, manpower and the fleet to transport all the employees.
Unidentified Participant
Right. No, I understand that that’s very helpful if you could. I’m sorry if I’m not being articulate enough but I was just trying to understand the unit economics because I’m a client who has a thousand employees in Man City then typically there may be a technology aggregated like rootmatic and then the rootmatic may further have five other vendors like E Course and then Ecos in turn has their own vendors who are supplying the cars. So I’m just trying to understand how does everyone make money in that chain? Who’s the one which is actually providing value and who’s getting squeezed in this chain. I’m just trying to get a broad idea because I understand that it’s an intensive space even though there’s a lot of demand growing up, but the margins are getting squeezed in that value chain. So if you could just provide some understanding to that.
Rajesh Loomba
So this is where we add the maximum value to our clients when we give them an end to end service where we take over the entire headache and deliver on base of SLAs and KPIs. Now companies like Rootmatic, what you mentioned are technology companies and they typically, I would say 99% of the clients, they have a separate vendor for technology and then vendors like us to provide the fleet the many times wherein yes we do a tripartite with the technology company and the client also. So you don’t have that many layers as such that you talking. So technology is typically because technology also is an audit tool in the hands of the client by which they are able to audit in terms of how much actual running is there, how much actual usage is there and by giving, if anybody is giving technology to the same company who’s also doing fleet, there’s an obvious conflict of interest, which most clients avoid right.
Unidentified Participant
Great. Okay. Okay. No, thank you Mr. Loomba. I’ll come back with more questions in the next call and that’s a luck for the year ahead.
Rajesh Loomba
Thank you. Thank you sir.
Operator
The next question is from the line of Jagar Jani from Rama Wealth Research. Please go ahead.
Unidentified Participant
Yeah, hi, thanks for taking the question. Couple of them. Firstly on the number of client addition, can you help me with the base for FY24? So on what base you have added this? 188 claims.
Rajesh Loomba
I’m sorry, can you just repeat that? Not very audible.
Unidentified Participant
Just give me one minute. Is this better? Hello? Is this better?
Rajesh Loomba
Yeah, please.
Unidentified Participant
Yeah. So what I was asking is what was the client in FY24 on which you have added 188 clients? FY24 was approximately around 1250 clients.
Rajesh Loomba
Around 1250 clients
Unidentified Participant
Sorry, can you repeat that number?
Rajesh Loomba
Around 1250 clients were there.
Unidentified Participant
1250. Okay. And sir, there has been news that these aggregator platforms need to provide for pension of gig workers. Now we are also sort of an aggregator platform where we are onboarding vendors. Do we also have to comply with that norm and will that lead to additional costs for us?
Rajesh Loomba
We would comply with any law of the land that would come in. As far as like I know we are not a gig platform in any way and where we have you know, one to one contracts with our vendors who provide us the services in full.
Unidentified Participant
— what you’re saying. Hello?
Operator
We couldn’t hear you, can you please repeat?
Unidentified Participant
Yeah, so I’m saying that it won’t be applicable to you in all probability.
Rajesh Loomba
Yeah, I don’t see how it will be.
Unidentified Participant
Yeah, and lastly on we have very good cash flows that are coming in. So even this year probably post working capital we have made about 70 odd crore and our capex like you said is probably 30 crore to 50 crore and we are already sitting on a lot of cash. So any plans of inorganic acquisitions or what do we intend to do with the cash that’s sitting with us and plus what is going to accrue probably next year given that growth and profitability both are likely to be better. Any plan from that?
Rajesh Loomba
Yes, of course one is that we have declared a division is almost 25% of recommended dividend, which is almost 25% the packed. But beyond that, yes, we believe that we need to be patient and there will be opportunities that would come which would offer a lot of value to us as a business in terms of the synergies and also for our shareholders in terms of the value that we can acquire them. So yes, we are, we are keeping our eyes open and looking out.
Unidentified Participant
Okay, understood. And sir, lastly, between the CCR and ETS breakup, any tentative targets you have over the medium term where you want to take this mix to…
Rajesh Loomba
I’m sorry, can you just repeat?
Unidentified Participant
So regarding the CCR and ETS mix in your revenues, any target medium term targets you want to see that mix towards maybe 5050 or 6040 or you are happy.
Rajesh Loomba
Yeah, so 50-50 is the ideal. So like last quarter CCR was 45% and maybe end of next quarter CCR could be even 55%. So but it will keep varying between this and this is how it’s been for the last 20 years. Like I mentioned, it’s a outcome of the client aggregation and the client acquisition efforts and sales cycles can be long. So it’s hard to predict as to which vertical would grow faster at any point of time. But we are putting equal focus and energy in both. And there’s a fair bit of cross selling also that happens, you know, at clients, we end up using the CCR services automatically.
Unidentified Participant
Right. And sir, just lastly on your growth guidance of I think 15 to 18% if I heard it right, given that we have added close to 200 clients on a 1200 base, which is close to about 14 to 15% of client addition itself. And plus I believe we also initially once the clients get onboarded, the revenue scale up also happens over the years. What is causing this growth guidance to be near the 15 18% given the opportunity size and the client addition traction that you guys are seeing, is it that you are considering that pricing pressures would also continue in next year and probably which is why we are being a little bit conservative in our revenue guidance or it’s more a medium term target that you want, which is a KEGR target of over like three or four years that you are mentioning.
Rajesh Loomba
There may be prices pressure, but we still see a lot of growth in that same market. Pricing pressures come and go, But I think 15 to 18% is a fair guidance. Of course, the way we are pushing our people and the team is working on it, we hope to exceed India, we hope to exceed all the targets. But as far as our investors are concerned, I would not want to give more than this kind of guidance so that we do not end up in a situation where we are unable to meet the expectations.
Unidentified Participant
Sure. Thank you so much sir and best of luck for FY ’25.
Rajesh Loomba
Thank you so much.
Operator
The next question is from the line of Aman from Incarat Capital. Please go ahead.
Unidentified Participant
Hi. Thanks again. I think most of my questions were answered, I mean asked by others. So two last questions. First on our client contribution for this fiscal year. Sir, I mean Segment wise, both ETR, CCR, what were our top 10, I mean client contribution as a top line?
Hem Kumar Upadhyay
Top 25 clients gave us 48% of our business this year.
Unidentified Participant
Okay. I mean do we have any segmental split? Etr, ccr?
Hem Kumar Upadhyay
This is a consolidated number that I’m giving you. The top 25 clients ended up giving us 48% of our business. A lot of our 67 out of our 90 clients in ETS also use CCR. So it’s, yeah.
Unidentified Participant
Okay, sir. And one last question on our foreign business. I mean in the past we are not seeing much traction from there. So do we have any solid plans or strategies in the foreign business?
Rajesh Loomba
So the year before we did 5 crores of international business. This year we have done approximately 9 crores. So we have seen a good base being built now and we hope to take it higher exponentially this year. Correct. And what countries or regions are we looking for? We are targeting all the major business gateway cities across the world, which is in Middle East, Europe, usa, Southeast Asia. So all these countries where typically our clients travel to is what we target. So out of these 9 crores this year, this was all, I mean from Middle east and usa. Middle East, USA and even Europe. So it was almost equally divided up between the three regions.
Unidentified Participant
Okay. And we see this business, I mean, growing at the same pace at 60, 70%.
Rajesh Loomba
This year also we hope to grow it at a pretty fast clip and create a bigger base because we see the kind of outbound business that is happening from India is mostly unmanaged where people, especially transportation, they are in on their own. So we see a good opportunity.
Unidentified Participant
And sir, the margins in this foreign business are in line with our domestic business.
Rajesh Loomba
Margins may be at the present moment we are, you know, to attract more and more clients. We are giving it at a margin, but it is a high ticket size business. So if you look at. If you look at the profitability, it will be in line.
Unidentified Participant
Okay. Thank you, sir.
Operator
Thank you. [Operator Instructions] The next question is from the line of Pranaya Agarwal, an individual investor. Please go ahead.
Unidentified Participant
Yes, thank you for getting me back on the queue, Mr. Roma. Thank you for this. I just wanted to understand that we have about 1,000 employees in total at Ecos and as you mentioned that a large part of them are part of the operations team. So for our own vehicles, which is about 800. Are all the drivers on the own vehicles part of our payrolls or are they all on contract?
Rajesh Loomba
Mostly contracted.
Unidentified Participant
Okay. So most of the drivers will be contracted and that’s why our sales team is just about 20 or 30 employees. If my understanding is right.
Rajesh Loomba
Our sales team has now grown to around 40 employees.
Unidentified Participant
Yes. Okay. All right. Thank you. That’s all. Thank you.
Rajesh Loomba
Thank you.
Operator
Thank you. As there are no further questions from the participants, I would now like to hand the conference over to the management for closing comments.
Rajesh Loomba
Thank you so much. My heartfelt gratitude to all our clients, our partners, stakeholders, our team and of course our shareholders. Your trust, collaboration and support has been instrumental in our journey. We remain totally steadfast in our commitment to growth, innovation, and setting new benchmarks in the industry. I’m sure together we will continue to build lasting value for all our stakeholders. Thank you so much.
Operator
[Operator Closing Remarks]