G R Infraprojects Ltd (NSE: GRINFRA) Q3 2025 Earnings Call dated Feb. 03, 2025
Corporate Participants:
Ajendra Kumar Agarwal — Managing Director
Anand Rathi — Chief Financial Officer
Analysts:
Harish Bihani — Analyst
Shravan Shah — Analyst
Alok Deora — Analyst
Jainam Jain — Analyst
Yash Dedhia — Analyst
Vaibhav Shah — Analyst
Uttam Kumar — Analyst
Parikshit Kandpal — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to GR Infra Projects Limited Q3FY25 earnings conference call hosted by HDFC Securities Limited. Today we have with us from the management Mr. Ajendra Kumar Agarwal. Managing Director Mr. Anand Rati Group CFO. 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 the Star then zero on your touchstone phone. Please note that this conference is being recorded. This conference call may contain forward looking statements about the company which are based on beliefs, opinions and expectations of the company as on date of this call. These statements are not the guarantees of future performance and involves risk and uncertainties that are difficult to predict.
I now hand the conference over to Mr. Parikshit Kandal from HDSE Securities. Thank you. And over to you sir. Thanks, Steve. Without any further delay, I would now like to hand over the call to Ajinterjee for his opening remarks on the company, on the results and the way forward. Thank you sir. And over to you.
Ajendra Kumar Agarwal — Managing Director
Thank you. Prakshit. Ladies and gentlemen, a very good afternoon. Best fishes for the New year. I welcome you to the third quarter earning call of GR Intra Project Limited for financial year 25. Joining me on this call today is Mr. Anandrathi, the CFO of the company. I would like to start by mentioning about the Union budget of financial year 2025 26. In her 8th budget, the Honorable Finance Minister presents a strategic vision to propel India’s economic growth with a strong focus on infrastructure as a catalyst for the Vixit Bharat 2047.
Despite global economic headwinds, India mentioned its position as a fastest growing major economy with the GDP growth forecast between 6.3% to 6.8% in the line with IMF projections. The government demonstrates its commitment to infrastructure with an allocation of rupees 11.21 lakh crore expenditure in 2526 marking a 10% increase from the revised estimate of current financial year. A new asset monetization plan is set to unlock value from public assets. While a 3 year pipeline for PPP projects will encourage private sector engagement. Allocation of Rupees 1 point lakh crore towards 50 year industry. Loans to stake for capital expenditure and informed incentives is also encouraging.
We are a socially responsible organization focused on delivering all projects with quality and in a safe manner. I will now take you through the key highlights of the quarter and recent development in the infrastructure sector followed by Kishan and Amsha session Revenue from operation in third quarter of 25 stood at 1,553 crore as against 1,806.42 crores in corresponding period in the previous financial year the EBITDA margin improved by 0.2% in comparison that is from 12.62% to 12.82%. During the quarter the company has repaid the debt of rupees 159.80 crores which has resulted into improved debt equity ratio to 0.07 which is one of the best in the sector. During the quarter the company has received provisional COD for one HAM project and appointed date for six projects, three roads and one each for Metro Ropeway and MMRP.
As of quarter ending 31 December 24, the company has a good mix of 30 projects in which two projects are awaiting appointed dates. Moving to the update on order book at the end of third quarter the order book stood in rupees 19,971 crore. Rupees 12,244 crores worth of the project are under execution rupees 4,642 crores awaiting appointed date and the rest that is 3,084 crores include one product each of roads and OFC that are having L1 status.
On a separate note, I’m happy to share that we have been declared L1 for the road project in Maastra amounting to rupees 1947 crore and a rail project of Western Railway amounting rupees 222 crores for this month that is in January as on date the company has submitted 13 highway, railway and roadway projects amounting to rupees 13,992 crores which are expected to be opened soon. Moving on the sector highlights and infrastructure development of India this year awarding activity is a little muted in the first three quarter. Also the instance of under bidding up to 40% persist.
Having said that, looking at the Central Government’s budgetary allocation towards infrastructure, we expect a decent flow of awarding utilities, especially large projects coming in the last quarter. The company is targeting an order pipeline of approximately Rupees1 35,000 crores in various sectors like highway, road, tunnel, Metro, power transmission and railway etc. We will continue our strategy of diversifying our portfolio and see this opportunity where we aim to add a decent share to our order book in the last quarter and take the company back to double digit growth in financial year 26.
I am confident in our strategic decision direction and our ability to succeed in new markets. Our strong team and focus on project delivery will continue to drive our success.
That’s all from my side. Over to you Anand for update on financial portion of the company. Thank you.
Anand Rathi — Chief Financial Officer
Thank you. Good afternoon. Thank you sir for giving me the opportunity to share the financial highlight of the company for the quarter ended December 31, 2024 which are as follows are Standalone Revenues from operation decreased by almost 306 crore for the quarter from 1896 crore in the previous year quarter for the same previous year same quarter to rupees 1500 crore in the current quarter. This decrease was primarily on account of less execution due to delay in receipt of the various appointed dates as most of the projects are in their initial phases.
Our consolidated revenue from operations decreased by 4239 crores from 2134 crore in the quarter ended December 23 to rupees 1695 crore in quarter ended December 2024. A standalone EBITDA margin has increased to 12.82% quarter ended December 24 from 12.62% the quarter ended December 23. I also wanted to highlight here that during the current quarter rupees 37.70 crores was received as bonus and claims.
Our EBITDA margin at group level has decreased to 21.82% the current quarter from 23.79% in the quarter ending December 2023. Profit after tax at external level increased by almost 8.5% to 168.6 crore in quarter ending December 24th as compared to 155.40 crores in quarter ending December 2023. Profit After Tax at console level also increased by 8.12% to 262.6 crore in quarter ending December 2024 as compared to 243 crores approximately in quarter ended December 2023. Our standalone net worth stood at 7,636 crore at the end of December 24th, which was 196 crore at the end of fiscal 2024. Our net worth on console level is Rupees 8,220 crores at the end of December 2024, which was 7,602 crores at the end of fiscal 2024.
Moving to that borrowing, our standalone Our total standalone borrowing outstanding at the end of December 2024 is rupees find a 29 crore with debt to equity of 0.07. Our consolidated borrowing outstanding at the end of December 2024 is rupees 4937 crore with the debt equity of 0.61 times during the quarter. Company has made addition to the fixed asset amounting rupees 78 crore. A net block of property, plant and equipment which includes a capital work in progress rupees 1246 crore at the end of current quarter. Investment in our subsidiary company in form of loans and equities rupees 1873 crores at the end of December 2024.
Balance promoter contribution which is required to be made for our ongoing project is rupees 1876 crore of which we are expecting around 200 crore in the quarter four of the current fiscal. Our working capital in days at the end of current quarter is 124 days as compared to 112 days at the end of fiscal 2024. This increases timely on account of increase in our SPV debtors receivable at the end of at the standalone basis at rupees 614 crores which includes 1466 crore from our SPV debtors at the end of December 2024.
Trade receivable at the consolidated level are rupees 247 crores at the end of December 2024 and unbilled revenue at the standard basis rupees 738 crores at the end of this December 2024 which was. Sorry, beg your pardon. Our unbilled revenue at the end of at the consolidated level is 168 crore at the end of December 2024.
Our inventory levels are at 6 rupees 622 crores at the end of December 2024 as compared to 767 crores at the end of fiscal 2024. Essentially, thank all the stakeholders including employees, business partner, vendors, bankers, auditors who have been supporting the company in its transformation history. On behalf of GR Infratex Ltd.
I thank everybody for attending the earning calls. May I request the moderator to please open the floor for question and answer? Thank you.
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 their touchdown telephone. If you wish to remove yourself from the question queue, you may press star and two participants are requested to use handset while asking a question.
Ladies and gentlemen, we will wait for a moment when the question queue assembles. The first question is from the line of Harish Biani from Kotak Mutual Funds. Please go ahead.
Harish Bihani
Yeah. Good afternoon. Hello.
Anand Rathi
Yeah.
Ajendra Kumar Agarwal
Good afternoon.
Harish Bihani
Two question from my side. First is the appointed date for the 4,600 crores worth of projects. When do we expect that? And secondly the 3000 crores L1. When should we receive this finally? And the appointed date likely appointed date for this particular 3000 crore worth of projects.
Ajendra Kumar Agarwal
4000 crore of. Now we are expecting appointed date for road projects which is. Which are valuing around 2100 crore in the current quarter itself. So maybe for one project in the current month or by. Yeah, by end of current month. And the balance second road project will be expecting in the month of March. And the. The L1 project, what we believe is that probably for BSNL we are expecting in the current month itself. We are expecting that lo will be given to us. And for Maharashtra state road projects this may take time. Given the past experience of our with the client, we are expecting another three. Three to six months. We’ll be expecting that alloy for Maharashtra state.
Harish Bihani
So is it safe to assume that about 5,000 crore worth of projects will be clear for project execution in the coming say three to four months of the 7500.
Ajendra Kumar Agarwal
Yeah, we can expect.
Harish Bihani
Okay. And second question is that you have bidded for projects worth 14,000 crores. This is still. This is still which period? And secondly, 1 lakh 35 thousand crores worth. What the project timeline for this. In terms of forwarding.
Ajendra Kumar Agarwal
See 14,000 crore of projects which are. Actually we are waiting for the result to be declared, right? It’s already bidded. So it is not for the whole year. It is so far the projects which we have bidded and not yet opened. There are 13 projects, right. Which are valuing rupees 14. 14,000.
Harish Bihani
Ballpark timeline for the opening of these projects. Awarding. Opening and awarding all these projects.
Ajendra Kumar Agarwal
It should have been opened by this time. But maybe another one month I would say because it’s a daily basis they are opening. So it’s not that they are pending for last so many long period. It’s not like that second.
Harish Bihani
March. It should happen. Highly likely happen.
Ajendra Kumar Agarwal
Yeah. Yeah, yeah, yeah. And secondly with respect to 1 lakh 35 thousand crore of the project. See pipeline is there almost 1 lakh crore for highway projects. And there there are for Transmission also there 20,000. Almost 20,000 for the transmission. The pipelines are there. What we believe that probably if not because see given for last two years. And what we have face is that the government has not been so much aggressive. What we believe that 50% can be bidded during the current financial year. That means up to March 2025, maybe around 60,65,000 crore.
The project certainly would be bidded and we are even equipped to bid basically for entire this pipeline. But yeah, I mean given that past experience for last two years government is not that much aggressive, you know, going aggressive in the month of March itself though the ministry is claiming that they would be adding to their targets. But what we are expecting reasonably that 60 to 70,000 crores of project would be bidded in the current financial year and we are preparing ourselves for 1 lakh 35 thousand crores of projects. If they are coming, we certainly will be bidding.
Harish Bihani
Sure. Okay, sounds good. Thanks so much.
Ajendra Kumar Agarwal
Thank you.
Operator
The next question is from the line of Shravan Shah from Dollars Capital. Please go ahead.
Shravan Shah
Hi. Thank you. Sir. Sir, couple of just things in terms of us to get back to the guidance. So nine months we are already down close to 18% plus. So in the fourth quarter how much are we looking at? And in the FY26 when we say a double digit. So if you can specify how much are we looking at in terms of 15%, 20% kind of a growth we are looking at.
Anand Rathi
So the first question which I mean because yeah I mean our earlier guidance was 5 to 10%. But what we believe is because most of the project we have received appointed in the last quarter, what we believe is that that for the whole current whole year we are expecting that will be, will be certainly having negative growth of 10%. That’s for sure. I believe maybe in the 10 12% at max and for the next year. Because what we believe is that government is even quite focusing on the state when they are incentivizing the state for their capital expenditure program and all that. And we believe that more and more would be coming with their EPC projects and will be participating over there as most of the projects will be funded by the central government by way of that one like 50,000 crore of interest fees loan for the 50 years. So what we believe is that going forward we’ll be having more EPC project in our portfolio and we’ll be able to deliver it fast.
I mean execution would be starting early. So we’ll be certainly having double digit or I would say 9 to 12% kind of growth for the next financial year.
Shravan Shah
Okay, just to still further dwell. So when we say 10 12% so even if just for trying because this, this number or if I look at for last 2 years also what we have guided actually we have missed significantly on that front. So still trying to understand more on that part, when we say 10 to 12% degree growth for this year then also that means that in the fourth quarter we are looking at last part last time we have done 2255 odd crore revenue. So kind of a similar revenue. So that means on a QQ front we are looking at a 50 kind of a growth from 1500 crore to 2200 odd crore. Is it? Correct me if I’m wrong.
Anand Rathi
Yeah, yeah. So it doesn’t matter. I mean Q on Q doesn’t matter. Reason being we have done in past, right. We have executed in past 2000 plus kind of turnover in the quarter. Right. So we are equipped, we are prepared. We are having enough resources to execute that amount of work. Only thing is if we are having that executable order order book with us which we believe is that we’ll be able to be depending on because see the projects most of the Project 6 project as the sir mentioned that we have received the appointed date in last you know three months of time I would say so we’ll be able to deliver those projects. So that’s why we are saying that we are expecting on and for next quarter. I mean for the current quarter I would say Q4 will be. Will not be having any degrowth. I mean will be more or less at par with what we have achieved in last year’s and got it.
In terms of value is not that significant in terms of the given the resources we are having with us.
Shravan Shah
Got it. Second sir, just to if you can clarify in terms of the excluding GST till now order inflow including the L1 is how much because the transmission will order also we have got. So just wanted the total order inflow including L1 excluding the gate in F25 almost 9000cr 9000crore. And now how much more are we looking to to back by March.
Anand Rathi
By March we are targeting in the range of 8. 8 to 9,000 crores of incoming. I mean new order book.
Shravan Shah
Okay. Okay. And will this be a kind of a 50 would be in the road or maybe 70, 80% from the road.
Anand Rathi
No, no road we are not targeting 50. I would say road would be not more than 30 or 30. 30 or 40% because the given the competition so far has not yet come to that level. Right. So what we believe is that we will be getting into different. Different sector. Maybe transmission ropeway then road also and then tunnel. Tunneling is also there. Right. So. So yeah. I mean road is not more than 40% I would say.
Shravan Shah
Okay, got it. And sir a couple of data points. One on the balance sheet front. Sir you have mentioned the data. So if you can repeat the standalone debtors and the ham debtors.
Anand Rathi
So it’s standalone debtors I would say is total 1614 crore and out of that 1466 crores are from SPBs.
Shravan Shah
Okay and trade payable is how much sir.
Anand Rathi
Trade people? Oh 757 crores.
Shravan Shah
Okay and our consolidator is also how much.
Anand Rathi
Console debtors are 781 crores. 246 crores. 246247 crore. Console debtors are 247 crores.
Shravan Shah
Okay and equity you said for 200 crore in the fourth quarter to be invested in FR 2627 how much?
Anand Rathi
Almost 7 to 800.
Shravan Shah
Both in 2627 or kind of equal numbers.
Anand Rathi
Yeah yeah yeah yeah.
Shravan Shah
Okay and our capex for how much is left in the fourth quarter and for 2627 how one can look at?
Anand Rathi
See Capex we are not expecting more than for the whole year not more than 125 crore so maybe another 3040 crores for the current year or for next year again because capex we are I would say fairly you know capex is already having. We are in our balance it so we don’t expect much. I mean there’s not significant difference from what we have been doing for last two years so maybe under 50 crores the maximum.
Shravan Shah
Got it. Lastly sir other income how much is from the inmate dividend and for full year or maybe the fourth quarter how much one can look at and for on run rate basis FY26 27 how much one can look at the invit dividend income.
Anand Rathi
See for last quarter I mean the quarter and they ended December 2024 we have received that around 39 or 40 crore from Invit so far for the years it is 178 crore the income which we have received from the exhibit Right. For last quarter it was 39 or 40 odd crore on current in current quarter I mean Q4 for the current fiscal we are expecting another 60 crore of in meeting some. Right.
Shravan Shah
Okay so so broadly kind of a 240 odd corrodees is a run rate from next year onwards one can look at.
Anand Rathi
Yeah 200 to 250 crores.
Shravan Shah
Okay okay thank you and all the best.
Anand Rathi
Thank you.
Operator
The next question is from the line of Alok Deora from Motilal Oswal. Please go ahead.
Alok Deora
Hi, good afternoon sir just wanted to understand so you mentioned about 10 12% degrowth in FY25 so you know we end up at close to 6700 crore but then sir, next year you are talking about 9 to 12% sort of a growth. I mean we’ll be getting 5000 crore worth of more projects started by you know, end of this financial year. So don’t you think that 26 estimate is pretty, you know conservative? Because lot of projects will be under execution at the start of FY26.
Anand Rathi
See 5000 we are targeting that 5000 would be starting by June. Right?
Alok Deora
Okay.
Anand Rathi
And after June there is a rainy season. So. So I mean we’ll certainly try to deliver more than what we have been, you know, guiding. But, and, and, and so that’s how, I mean what we believe is that we’ll be able to quite confident in terms of, you know, achieving double digit. And that means because the number is already, you know is already degrowth for last. Last year. Right. Currently growth. So. So even if we achieve 10% growth will be again on the same number what we had achieved in last year. Right. So yeah, I mean we’ll be able to.
Alok Deora
Got it. And also sir, you, you mentioned about lot of projects which you are considering to bid for will be from the non road side. So just wanted to understand on the margin side margins, I mean this quarter also if we adjust for the bonus figure it is close to 10% or so on a standalone basis. So how do we see the margin shaping up? Because more and more of the other sector projects would also mean your margins might not be what you were making the road. Road ham segment.
Anand Rathi
No. So in our experience what we are seeing is in road there is huge competition and what I believe is probably we’ll be able to diversify into good sector now different sector will be, you know, comfortably will be making more than what margin otherwise we are making into those sectors. Because I mean competition has not come down so far in road sectors unless until it is coming down will not be able to. So what we believe is that we’ll, I mean we are, we are expecting I mean 10 to 12% kind of EBITDA margin for next year as well. Once we are established into different sector then only we’ll be, you know, more confident in terms of what margin will be getting from those sector. Because still we are having you know, a big, big chunk in our exhibition from road.
Alok Deora
Right, right. So. So 10 to 12% could be there for the existing order backlog you’re seeing.
Anand Rathi
Yeah.
Alok Deora
Okay. Yeah fine sir, I think that’s all from my side. No, thank you. And all the best sir.
Anand Rathi
Thank you.
Operator
The next question is from the line of J. Nam Jain from ICC securities please go ahead.
Jainam Jain
So sir, my first question is what is the order inflow guidance for FY26?
Anand Rathi
FY26, I’m what I believe is that certainly I mean see current year we are targeting almost 17,000 crore of the orders next year. And I mean this year target original target was 20,000 crore. So we’ll, we’ll try to stick with that.
Jainam Jain
Given the muted increase in budget towards the road segment, how are we looking further to bid out in the next year to achieve the growth in order inflow or like will we. Will we be bidding more aggressively within the road segment itself or look out to bid more bid out more frequently in the other segments?
Anand Rathi
See we’ll be bidding certainly will not be going more aggressive into road sector. But what we believe is that government is also changing their. I mean they are shifting their modus operandi of you know execution of roads. They are coming up with more BOT projects. Maybe you know bot tool or maybe bot annuity and, and and in fact during this budget also current in current year budget also in finance honorable finances has clearly mentioned that all the infrastructure ministries should come up with their pipeline of you know intra projects which can be executed which can be executed under PPP mode. So what we believe is that going forward more and more project will be awarded under PPP mode. And there we need not to go aggressive will be able to. You know so we may not be because as of now we are not confident we’ll be able to again back on the same track of 50 to 20% kind of. But yes of course what we believe is we need not to go aggressive as landscape is changing more beauty would be coming and in addition to because still the competition into road sector is quite high. What we believe that we. We will be certainly looking towards other sector, other revenues transmission tunnel metros where we’ll be able to maintain our margin maybe in 10 to 10 to 12 13%.
Jainam Jain
Okay. So and so will you be dealing for the BOT new two and BOT toll projects?
Anand Rathi
Yeah, certainly.
Jainam Jain
Yeah. And so given the change in models concession agreement for BOT about a year back or why haven’t we seen any traction in BOT yet.
Anand Rathi
BOT maybe that ecosystem. I mean that, that probably that information I’m not previous that. But what I believe is that acceptability to the dot in the industry. So by not to that level which was actually there for the hemp and and stakeholder management is being done by the government or the authorities. Right. And they are just educating what they have all amendment carried out in the previous version of the bottom to make it more acceptable among the industry player. So going forward, what I believe is that which has, I mean they have demonstrated in their budget speech. Also what I believe is that more and more budget would be coming the bot going forward.
Jainam Jain
Okay. So and so other than road segments, which would be the sectors or segments in which we would be focusing more on in the next year.
Anand Rathi
So as I mentioned earlier also, I mean Ropeway, power sector, tunneling and Metro, we have been, you know, in telecom sector also we have taken one project where we have been declared L1. We’re taking more such projects given the opportunity or more projects. More projects are coming. So yeah, I mean we are diversifying. We are trying to diverse into different sectors and depending on that it’s the financial metrics, I would say we’ll be going more aggressive particulars.
Jainam Jain
Okay. So that answers my question. Thank you and all the rest.
Anand Rathi
Thank you.
Operator
Thank you. Before taking the next question, we would like to remind participants that you may press Star and one to ask a question. The next question is from the line of Yash Dharia from Maximal Capital. Please go ahead.
Yash Dedhia
Hello sir. Thanks for the opportunity. Am I audible?
Anand Rathi
Yeah.
Yash Dedhia
Yeah. So I wanted to know what would be our share of variable cost in other expenses and employee expenses.
Anand Rathi
Which cost? Come again?
Yash Dedhia
Variable and fixed. The apportion between variable and fixed cost.
Anand Rathi
Variable and fix other cost. You are saying, I mean what you are saying is rent and all that. Right?
Yash Dedhia
Yeah.
Anand Rathi
With me right now probably we can take this portion of the call. You can mail me, I’ll. I’ll get it done work for you. Right.
Yash Dedhia
Okay, great. That’s it.
Operator
The next question is from the line of Vibosha from JM Financial. Please go ahead.
Vaibhav Shah
Yeah, so on the margins front, our margins around 10.6% for a fourth quarter. So should it be a similar number in fourth quarter as well or it can improve given the higher execution that we are targeting in Q4.
Anand Rathi
Yeah, I believe it should improve. It will be able to execute, you know, I mean the number existing number would be higher than certainly will be able to.
Vaibhav Shah
Could it be somewhere around 12, two and a half percent?
Anand Rathi
At least one, one and a half percent. You can, I mean we can safely assume.
Vaibhav Shah
Okay. So earlier we indicated that for FY26 the margins could be around 14, 15% if the execution improves. So now what kind of guidance are we, what margins are we targeting for 26 now?
Anand Rathi
26, we just mentioned that it would be in the range of 10 to 12% given that competitive intensity. Right. So we are expecting that. I mean depending on mix also this sector we are having more order coming from. So that would be certainly for 26 I would believe that, I would say that it would be in the range of 10 to 12%.
Vaibhav Shah
And for 27 we can see somewhere around 13, 14% as we had mentioned earlier.
Anand Rathi
Yeah, 27 of course. Because see unless until that things improve in terms of competitive intensity. Right. Will be because what we believe is that EBITDA margins should be in the range of 30 to 15% for these kind of industry. But and if more, more and more bottle would be coming, certainly we are Quite confident for FY27 we’ll be able to improve on that EBITDA margin.
Vaibhav Shah
Lastly, while the competition is very high but the execution that is happening in the or the current backlog that was similar in the previous quarter as well. So what drove this sharp decline in terms of guidance for FY26 over the last quarter?
Anand Rathi
FY26.
Vaibhav Shah
So earlier also the order book that you are going to execute it was similar as of September as well.
Anand Rathi
So. So FY20, I mean so far we haven’t received, I mean our target order book was around for incoming order was the 20,000 crores for the current year. Right. And we haven’t received so far we have received only 8,000 or 9,000 order. Right. And which is actually not giving us the confidences that intensity, competitive intensity doesn’t go down. We have to be you know, I mean to take, I mean that’s why, that’s why we have revised our incoming order book also and order book and flow from 20,000 to 17,000. Right. But then I have to again compromise to certain extent on that EBITDA margin. Right. So that’s why probably, I mean maybe different. I mean what we have seen in past that order though it is L1 and we have, we have been given L1 status but lo is not being given on time or the appointed rate is taking more time. What Otherwise in earlier maybe two years back that appointed it was generally used to be, you know, given in six months of time. That’s how I mean we are targeting that for next, next financial year FY26 will be having 10% kind of growth.
Vaibhav Shah
Okay. And so lastly for appointed dates on MSRDC projects. So have we started to work in Pune ring road package W5.
Ajendra Kumar Agarwal
So we started mobilization, appointed it, appointed it. Yeah but this agreement is already signed and maybe in the current financial years we will be able to start that project.
Vaibhav Shah
Okay. But for Nagpur Chandrapur and the recent one PRR E6 that will take around three to six months.
Anand Rathi
Right.
Vaibhav Shah
Okay. Okay. Thank you sir. Those are my questions.
Anand Rathi
Thank you.
Operator
The next question is from the line of Uttam Kumar from Access Securities. Please go ahead.
Uttam Kumar
So any. Any reason for that?
Ajendra Kumar Agarwal
No, I. We haven’t. I mean. Couldn’t heard your question. If you can if you have to.
Uttam Kumar
Sir, other expenses have declined quite sharply this quarter. So any reason for that?
Anand Rathi
Other expenses?
Uttam Kumar
Yeah. Yeah. It is around one twelve something. Twelve crores something.
Anand Rathi
Okay. So other expenses are include. Including the debtors provision. We are long outstanding debtors. Right? We have. We have been as per our policy we have been providing on those that for the current quarter it has not been. I mean so it’s a provision which has got declined.
Uttam Kumar
Okay. And sir, yesterday in yesterday’s budget government has focused more on developing airports. So do you see any opportunity for your company in developing airports.
Ajendra Kumar Agarwal
[Foreign Speech]
Uttam Kumar
[Foreign Speech]
Ajendra Kumar Agarwal
[Foreign Speech]
Uttam Kumar
[Foreign Speech]
Ajendra Kumar Agarwal
[Foreign Speech]
Uttam Kumar
Okay. That’s all from my side and all the best to you.
Ajendra Kumar Agarwal
Thank you.
Operator
A reminder to all participants that you may press star and one to ask a question. The next question is from the line of Shravanshah from Daulat Capital. Please go ahead.
Shravan Shah
Hi sir. Thank you for the opportunity again. [Foreign Speech] we can deploy 10,000 crore kind of equity toll transmission submission. So that stand still remains the same.
Anand Rathi
Same, same. No change.
Shravan Shah
Okay. Okay. So maybe the the focus is. Is to. To get more beauty kind of a projects. Whether it is a road toll or a transmission. And keep on investing equity there. But for transmission maybe [Foreign Speech] liquidity how the equity will come back to us.
Anand Rathi
See in transmission we are exploring two, three you know ideas. One is a force to have investor along with us during construction itself. And second is if we can. If we after you know completing the projects it will be able to sell you know those transmission asset to the existing investors or in or the invade or so they are players who are willing to buy right operational assets. And. And. And we have passed through that kind of. You know that kind of process in pass also while where. Where probably we have sold our load asset. We have come up with our own. I mean it’s. It’s. We have sold our hammer set to in bit. Right. So.
So. So what I believe is that once the Projects assets are operational and when they are becoming triple A they are buyer they are take us to you know buy those assets so we don’t find any issue to sell those project and to recover our equity back.
Shravan Shah
Okay. Okay, got it. And sir the way the [Foreign Speech]
Ajendra Kumar Agarwal
[Foreign Speech]
Shravan Shah
Okay. And appointed date including the January [Foreign Speech] projects Milk that value you are saying is 7,500 crore [Foreign Speech] by March to be getting a appointed date out of 4,000.
Anand Rathi
Out of. We are expecting 4,000. Okay. We are expecting the appointed date. We are expecting that there are 4600 project maybe by March or April will be having the appointed date and okay. We are expecting another six months maybe by June or July.
Uttam Kumar
Okay. Okay. Got it. And. And so next year for the 26th of May we will be looking at 20,000 crore order inflow.
Anand Rathi
Yeah.
Uttam Kumar
[Foreign Speech] So would be a transmission?
Anand Rathi
[Foreign Speech] maybe when we are targeting 20,000. So certainly it will be 20 more than 25% [Foreign Speech] depending on the number of projects which are coming for [Foreign Speech] road or tunnel or metro. Yeah.
Uttam Kumar
Okay. But [Foreign Speech] EPC road 20,000 crore next year may.
Anand Rathi
See [Foreign Speech] state EPCOs maybe 4 5000. Right. Beauty next year we have to do some analysis work on this but.
Uttam Kumar
Okay. Okay. Got it sir. Thank you.
Operator
Thank you. Participants who wish to ask a question may press star and one at this time. As there are no further questions from the participants I now hand the conference over to the management for their closing comments.
Thanks to all Sabi investors. There’s a question. It’s from the line of from HDFC Securities. Please go ahead.
Parikshit Kandpal
Yes, my question is on the transmission side now we have almost 1500 crore plus of order book so just wanted to check who is executing this orders for us. I mean have we developed enough capability to execute transmission projects and does it make us eligible or are we looking to bid in the independently for third party orders directly beyond like existing project the development orders. Are you looking at any PC orders in this segment.
Ajendra Kumar Agarwal
[Foreign Speech] game so far what we believe is that whatever experience we had in the industry etc may be with some margin margin improvement.
Anand Rathi
[Foreign Speech] So certainly we’ll be doing EPC projects also on the in transmission but for a reasonable margin.
Parikshit Kandpal
Okay. And just on some other segments like clean energy, solar battery storage. So any thoughts? Bags are harm and we are free some of our peers taking up these projects. So how do you visualize this opportunity for us as a diversification beyond roads.
Anand Rathi
[Foreign Speech] but somehow we are not able to break through. But we are exploring. It’s a continuous process. If we’ll be able to do some value additions certainly we’ll be Entering into this space or clean energy may. I mean so the government has come up with their own plan nuclear power. So then we have to also go through all those plan. If we find that there are opportunities for us certainly will be diversifying because see energy sector. I mean we are already into transmission energy may we’ll be trying to basically more will try to do more point Pentagon to energy as well. Right. We are exploring and we find some opportunities certainly we’ll be entering into.
Parikshit Kandpal
And anything any thoughts on building as a segment which we have been exploring for quite some time in addition to our segment. And also if you can comment on overseas export market anything. I mean you look. Are you looking at reentering that market.
Anand Rathi
See overseas I mean we tried to into African market. But the issue which we found is that again unless until we have done some sort of confidence in terms of getting our currency or ramon back rupees back into country. Because what we have realized that the repatriation of money is a major issue over there. To that extent we are not much aggressive until we found some solutions that okay. We’ll be able to secure our money back into country will be doing overseas project building factories. I mean I would say still under evaluation only because we started into different. Different tunnel lake that is under construction. Right. And rope wave we also started.
So it’s taking time. Once we want to establish ourselves in one or two sectors which we started power transmission where we believe that I mean power transmissions because we have taken four projects so far. We have built our team also. But tunneling is a sector where we need to stabilize ourselves. So point is taking time. Yeah, of course. I mean so will certainly be. We are looking at it. It is taking time. But yes.
Parikshit Kandpal
And this is the last question before we close the concept. Just any comment on. So for FY26 27 what kind of recycling of equities through the invit route are you looking at? What kind of proceeds can you realize?
Anand Rathi
So what I believe that we’ll be able to all the operational hammer set which right now we are having in our portfolio in next one year time and next initial May we’ll be able to transfer it to invit either or to some other guys. Right. Depending on that negotiation with. So maybe that equity would be in the range of which will be transferring would be in thousand thousand two hundred.
And we are expecting that more than that we’ll be able to you know monetize yeah annually around thousand crores worth of book quality of equity of assets you will transfer and get some premium on that. So.
Parikshit Kandpal
So that much of that, you will be able to recover on an annual basis for next two years.
Anand Rathi
Yes. Yeah. Yeah, yeah.
Parikshit Kandpal
Okay, So I think now we’ve come to the close of the call, so I’d like to thank you again for giving us this opportunity to host the call. Any final comments if you want to make before we close it.
Ajendra Kumar Agarwal
Thank you. Thanks to all.
Parikshit Kandpal
Thank you for coming, and thanks to all the participants. Thank you.
Operator
On behalf of HDFC securities limited that concludes this conference. Thank you for joining us. And you may now disconnect your lines.