G R Infraprojects Ltd (GRINFRA) Q3 FY23 Earnings Concall Transcript

G R Infraprojects Ltd (NSE:GRINFRA) Q3 FY23 Earnings Concall dated Feb. 14, 2023.

Corporate Participants:

Ajendra Kumar Agarwal — Managing Director

Anand Rathi — Group Chief Financial Officer

Analysts:

Parikshit Kandpal —

Alok Deora — Motilal Oswal — Analyst

Shravan Shah — Daulat Capital — Analyst

Mohit Kumar — DAM Capital — Analyst

Ashish Shah — Centrum Broking Limited — Analyst

Jitendra Joshi — Axis Capital — Analyst

Hiten Burja — — Analyst

Parvez Qazi — — Analyst

Akash Dhanuka — Individual Investor — Analyst

Tina Virmani — Kotak Securities — Analyst

Vidya Sanwal — Niveshaay Investment Advisory — Analyst

Deepika — PhillipCapital — Analyst

Gurvinder Singh — Fortuna Investment Advisors — Analyst

Nikhil Abhyankar — DAM Capital — Analyst

Namit Virani — Bastion Research — Analyst

Presentation:

Operator

Ladies and gentlemen, good day and welcome to the G R Infraprojects Limited 3Q FY ’23 Results Conference call hosted by HDFC Securities.

[Operator Instructions]

I now hand the conference over to Mr Parikshit Kandpal from HDFC Securities. Thank you and over to you, sir.

Parikshit Kandpal —

Thanks, Tanvi. First of all, I’d like to thank the management of G R Infra for giving us this opportunity to host the 3Q FY ’23 results call. Today we have Mr. Ajendra Kumar Agarwal ji, he is the Managing Director of the company, and Mr. Anand Rathi, the Group CFO of the company. So the format of the call will be, I’ll hand over the call to Mr. Ajendra Kumar Agarwal for industry overview, followed by a financial overview by Mr. Anand Rathi, Group CFO. Over to you, Ajendra ji.

Ajendra Kumar Agarwal — Managing Director

Thank you, Parikshit ji. Good afternoon, ladies and gentlemen.

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

Thank you sir for giving me this opportunity. Let me present you highlights of the financial performance of the company for the quarter ended December 2022. On standalone basis, revenue from operations for the quarter was approximately INR1,899 crores with an increase of approximately INR80 crores on year-on-year basis and consolidated revenue from operation for the same-period also increased by approximately INR237 crores on a year-on-year basis to INR2,192 crores.

Standalone EBITDA margin has increased to 14.58% in the quarter ended December 2022, from 14% approx in quarter ended December 2021. Our EBITDA margin at consolidated level was around 27% in the quarter ended December 2022, higher from 18.72% recorded in the quarter ended December 2021. It was largely due to increase in the financing we recognized in the current-period due to the revision in the bank rates.

PAT margin at a standalone level increased by 35% approx to INR174 crores in the quarter ended December 2022 as compared to INR129 crores in quarter ended December 2021. And PAT margin at consolidated level was around INR324 crores in quarter ended December 2022. Standalone network also crossed the mark of INR5,000 crores. It was around INR5,022 crores at the end of December 2022 and console network was around INR5,875 crores at the end of December 2022.

Our total standalone borrowing outstanding at the end of December 2022 was around INR847 crores with debt-equity of around 0.17 and total consolidated borrowing outstanding at the end of December 2022 is around Rs. 5,276 crores with debt-to-equity level of 0.91. During the nine months Company has made a decent to the fixed asset, amounting approximately INR212 crores and net block of property, plant and equipment at the end of December 2022 is INR1,532 crores approx.

Investment in the subsidiary companies in form of loans and equity was around INR1805 crores at the end of December 2022. Balanced capital contribution, which is required to be made for our under construction HAM/BOT project is INR1580 crores, of which we are expecting contribution of around INR200 crores in the current financial year.

Our working capital days at the end of December 2022 is around [Indecipherable] as compared to 72 days at the end of fiscal 2022. This increase was largely because of increase in group debtors. Our trade receivables at the standalone basis are around INR1,044 crores at the end of December 2022 as compared to INR716 crores at the end of fiscal 2022.

Our trade receivable at console level are around INR414 crores at the end of December 2022 as compared to INR664 crores at the end of fiscal 2022. Unbilled revenue at a standalone basis was around INR894 crores at the end of December 2022 as compared to INR581 crore at the end of fiscal 2022.

Our unbilled revenue at the consol level is around INR425 crore at the end of December 2022 as compared to INR393 crores at the end of fiscal 2022. Our inventories were around INR853 crores at the end of December 2022 as compared to INR1,022 crores at the end of March 2022.

Cash and cash equivalents at standalone basis was around INR396 crores at the end of December 2022 as compared to INR445 crores at the end of fiscal 2022. Cash and cash equivalents at the consol level is around INR886 crores at the end of December 2022 as compared to INR1095 crore at the end of fiscal 2022. Our mobilization advance which we have from our clients outstanding at the end of December 2022 was around INR291 crores as compared to INR71 crore approx at end of fiscal 2022.

That’s all from my side. I sincerely thanks all the stakeholders, including employees, business partner for their continued support. On behalf of G R Infra Projects, I thank everybody who is attending this call. Thank you very much.

Questions and Answers:

Operator

Thank you. We will now begin the question question-and-answer session.

[Operator Instructions]

Ladies and gentlemen we will wait for a moment while the question queue assemblies. The first question is from the line of Alok Deora from Motilal Oswal. Please go ahead.

Alok Deora — Motilal Oswal — Analyst

Hello, good afternoon, sir. Sir, congratulations on a decent pickup in execution. Sir, just wanted to understand on the order book side. So we have kind of not one many projects in this year and also one project of Metro where LOI got cancelled. So, while you mentioned about the bid pipeline being very strong, how many orders realistically, we’re looking at to achieve in the fourth quarter now?

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Alok Deora — Motilal Oswal — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Alok Deora — Motilal Oswal — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Alok Deora — Motilal Oswal — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Operator

The next question is from the line of Shravan Shah from Dolat Capital. Please go ahead.

Shravan Shah — Daulat Capital — Analyst

Okay. Thank you sir. Sir, just continuing with the previous question and for the better understanding of everybody, can you repeat the value and number of projects which we have already bid segment-wise and the project’s value and the projects where we are planning to bid till March?

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Shravan Shah — Daulat Capital — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Shravan Shah — Daulat Capital — Analyst

[Foreign Speech] we will be bidding the entire or we will — depends on the, selectively we will be bidding. So just roughly wanted to understand how much value of projects are we planning to bid?

[Foreign Speech] That’s what I’m trying to understand.

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Shravan Shah — Daulat Capital — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

[Foreign Speech] Shravan bhai, the issue is, so far we haven’t received any order, right. So in terms of the next year guideline in terms of topline. I don’t think probably will be able to achieve, unless until whatever projects we’re bidding right, we can start on only basis, right? So most of the projects are under HAM and EPC. We don’t think any near-term opportunity where we’ll be able to do one more EPC projects. So, I believe that probably for next year to achieve 50% growth in terms of top-line would be difficult, may be in the range of again 8% to 10% depending on what kind of order we are getting in next one or two months, right? And when those projects will be started on-ground.

[Foreign Speech] So probably, I’ll be giving more guidance in next — whenever, I’ll be having the projects in my fold, then only I’ll be able to give you guidance.

Shravan Shah — Daulat Capital — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

We are sure that we will be able to get.

Shravan Shah — Daulat Capital — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

That’s. I would say, it’s a strategic call which we have to take.

[Foreign Speech]

So it depends, if I’m not getting the reasonable margin probably I will not go that much aggressive in taking more orders, right?

Shravan Shah — Daulat Capital — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

[Foreign Speech]

Shravan Shah — Daulat Capital — Analyst

Okay. Got it. Understood. Last sir, in terms of the capex, you said for nine months, we have done INR216 crores. What is left for the fourth quarter and the next year number and also post this, I need a couple of balance sheet data from you?

Anand Rathi — Group Chief Financial Officer

Sure. But then capex so-far, we have done INR200 something odd crores, right? In fourth quarter, we don’t expect capex more than INR20 crores to INR25 crores on the current quarter as well. And for next year, depending on the project, I mean, which will be getting, otherwise, that capex would be in this range only. It would be less than INR200 crores, unless and until I’m getting good amount of orders.

Shravan Shah — Daulat Capital — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

[Foreign Speech]

Shravan Shah — Daulat Capital — Analyst

And consol unbilled revenue, you said INR425 crores.

Anand Rathi — Group Chief Financial Officer

INR425 crores, right.

Shravan Shah — Daulat Capital — Analyst

Okay. Got it. Thank you and all the best. Thank you. The next question is from the line of Mohit Kumar from DAM Capital. Please go ahead.

Mohit Kumar — DAM Capital — Analyst

Good afternoon, sir. [Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Mohit Kumar — DAM Capital — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

The point is, what we believe is that as of now, whatever opportunities so far, we have identified, right?

Mohit Kumar — DAM Capital — Analyst

How does the ropeway project differs from the normal road project in terms of heavy work and how much is the equipment? And can we expect similar kind of EBITDA margin which you had in the roadside?

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Mohit Kumar — DAM Capital — Analyst

Sir, lastly on the margin side. Are you seeing the input inflation pressure reducing?

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Mohit Kumar — DAM Capital — Analyst

Understood. Thank you.

Operator

Thank you. Next question is from the line of Ashish Shah from Centrum Broking Limited. Please go ahead.

Ashish Shah — Centrum Broking Limited — Analyst

Yeah. Good afternoon, sir. Thank you for the opportunity. Sir, first question is on the status of the InvIT?

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

We’ve already filed the DoD and we received the first set of comments also from SEBI. We are actually, I mean, recently, we have received the first set of comments from SEBI. So very soon we’ll be starting our marketing right and I think would be solely I didn’t probably March-end or by April end we’ll be done with this InvIT launch.

Ashish Shah — Centrum Broking Limited — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

I think some land issues are going on, probably another — forest issue may be there. So some issues are there at the entity end. Probably, in next two to three months, I believe, we’ll be having that appointed.

Ashish Shah — Centrum Broking Limited — Analyst

Okay sir. Thank you.

Operator

The next question is from the line of Jitendra Joshi from Axis Capital. Please go ahead.

Jitendra Joshi — Axis Capital — Analyst

Yeah. Good afternoon, sir. Thank you for taking my question. On the bid pipeline, which you said that INR42,000 crores from [Indecipherable]. So when are these expected to open up?

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Jitendra Joshi — Axis Capital — Analyst

Almost INR50,000 crores that we are awaiting. That’s what — that is what we can conclude.

Ajendra Kumar Agarwal — Managing Director

It’s INR14,000 crores where bids are yet to open.

Jitendra Joshi — Axis Capital — Analyst

You said INR42,000 crore, INR5,000 crores in the Q&A where you said the bids, you are saying.

Anand Rathi — Group Chief Financial Officer

So what you’re saying is right, okay, I mean, when these bids would be — when those projects would be bidded, it will take another one month of time. It is not necessary that every project is taking one month of time.

[Foreign Speech]

Jitendra Joshi — Axis Capital — Analyst

On the balance sheet side, can you give us the details of the retention money and payables?

Anand Rathi — Group Chief Financial Officer

Retention money, I don’t think retention money is — because most of the projects are under HAM mode so there is no retention. And because of that — I need to check, I think that COVID that Atmanirbhar Bharat — I won’t say that there not be any retention, but yes, of course, in some railway projects there would be retention money, right?

Jitendra Joshi — Axis Capital — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

My creditors are around, almost INR900 crores.

Jitendra Joshi — Axis Capital — Analyst

Sir, based on the current run-rate of execution. So we can safely assume that we can grow at 5%. We can end-up growing at 5% this year with a 15% EBITDA margin?

Anand Rathi — Group Chief Financial Officer

Yes. It should be, I mean, anyway between 5% to 10%.

Jitendra Joshi — Axis Capital — Analyst

This year. Sir, any bonus and claims, which we expect Q4 and next year, anything which is lined-up, which you’d expect to receive?

Anand Rathi — Group Chief Financial Officer

[Foreign Speech] We will always endeavor to you now have more than more and more bonuses.[Foreign Speech]

Jitendra Joshi — Axis Capital — Analyst

[Foreign Speech]

Anand Rathi — Group Chief Financial Officer

[Foreign Speech]

Jitendra Joshi — Axis Capital — Analyst

Sir, going back to the order inflow. I know we are —

Anand Rathi — Group Chief Financial Officer

Retention question number is with me, it is around INR50 crores.

Jitendra Joshi — Axis Capital — Analyst

So, debtors number which you gave that was including retention.

Anand Rathi — Group Chief Financial Officer

Right.

Jitendra Joshi — Axis Capital — Analyst

Days on the renewed projects and new diversification into railways, metros, and ropeways. Obviously we are experienced in metro has been so-far. Because we were having the orders, where we couldn’t execute due whatever reasons. But sir, now we have started working on the transmission projects that project EPC work has started. So how has been your experience in terms of execution and what has been the margin experience in these projects? Just to understand, that you’re looking to bid for INR10,000 crores transmission projects, but we are able to win at least couple of projects. What would be your experience in that in terms of EBITDA and margins?

Anand Rathi — Group Chief Financial Officer

So it’s not that, we haven’t executed any metro projects which we are executing as of now also in order book also that is in Bangalore, that is under execution, and we are bidding. I mean is that a continuous endeavor to bid more and more metro also, right? But so far this transmission is concerned, yes, of course, so far we haven’t experience that kind of margin, which we were getting into road projects, right? But it was our project, it would be, I would say in the range of — it’s a double-digit, but it may not be as high as I say, it’s just a starting double digit. You can say, it’s a 10% or 11% that kind of margin we are expecting or we’ll probably will be achieving into transmission. But this was our first transmission project and we are gaining confidence, right? And we are awaring ourself, basically of whatever nitty-gritties of there into this transmission project in terms of industry. So, probably going-forward we’ll be able to have more margin and this is our past experience will be having more margin into it. But yes, of course, that kind of margins not there 15%, 17% margins are not. I mean, its significant.

Jitendra Joshi — Axis Capital — Analyst

Sir, last question on the ropeway projects, what would be the civil portion and what would be the commodity portion in the ropeway? And one more to add, what is your experiencing Bangalore Metro and what is the margin — recurring margins in that project?

Anand Rathi — Group Chief Financial Officer

So Bangalore is on very initial phase so far, right? But we believe that we’d be able to have that kind of margin in Metro as well. I mean, 15% margin in place. And ropeway material part, I mean, supply part is almost 60% to 70% of the supply part.

Jitendra Joshi — Axis Capital — Analyst

That’s it from my side, and all the best, sir. Thank you.

Operator

Thank you. The next question is from the line of Hiten Burja from January [Phonetic] Capital. Please go ahead.

Hiten Burja — — Analyst

Hello, sir. Thank you for the opportunity. [Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Hiten Burja — — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Hiten Burja — — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Operator

Hiten, I would request you to please come back in the queue, we have many participants waiting in the queue, please. We’ll move to the next question which is from the line of Parvez Qazi from the Verma Group. Please go ahead.

Parvez Qazi — — Analyst

Hi, good afternoon and thanks for taking my questions. So two questions from my side. One, what is our overall exposure to BOT/HAM projects till-date?

Anand Rathi — Group Chief Financial Officer

You mean to say.

Parvez Qazi — — Analyst

Parvez Qazi from the Verma Group

Anand Rathi — Group Chief Financial Officer

INR1800 crores is the total equity investment, so fast.

Parvez Qazi — — Analyst

In Q3 or nine months have we received any early completion bonus or we haven’t any?

Anand Rathi — Group Chief Financial Officer

No, we haven’t received any. I mean, nine months, we have received some which we already given that number in the previous results. But for the Q3 we haven’t received any bonus.

Parvez Qazi — — Analyst

Okay. Great. That’s it from my side and all the best for future. Thank you.

Operator

Thank you. The next question is from the line of CA Akash Dhanuka, Individual Investor. Please go ahead.

Akash Dhanuka — Individual Investor — Analyst

Good afternoon, sir and congratulations on a recent set of numbers. [Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Akash Dhanuka — Individual Investor — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Operator

Sorry to interrupt you, I would request you to please join the queue back. The next question is from the line of Tina Virmani from Kotak Securities. Please go ahead.

Tina Virmani — Kotak Securities — Analyst

Hi, sir. Thanks for taking my questions. Sir, out of this total order book of around INR14,000 crore, I missed out on the point of one project year where your appointed date is pending. So what is the size of this particular project where appointed date is pending?

Ajendra Kumar Agarwal — Managing Director

It is around INR700 crore.

Tina Virmani — Kotak Securities — Analyst

Around INR700 crores. So almost then INR13,300 crore order book is now ready to be executed.

Ajendra Kumar Agarwal — Managing Director

Right.

Tina Virmani — Kotak Securities — Analyst

So there are no concerns on that in terms of execution.

Ajendra Kumar Agarwal — Managing Director

Right.

Tina Virmani — Kotak Securities — Analyst

Okay. And on the transmission side, you mentioned that there is a pipeline of around INR10,000 crore of projects where you would be bidding and another INR5,000 crores where you’d be bidding along with Indigid. These are — including both you would be bidding or targeting projects worth INR15,000 crores on the transmission side?

Ajendra Kumar Agarwal — Managing Director

No. It’s total INR10,000 crores. So, INR5000 crores is been prudent.

Tina Virmani — Kotak Securities — Analyst

Okay. And these would be all green energy-related our projects and what would be your scope, I mean, what kind of projects will be these for your scope of work?

Ajendra Kumar Agarwal — Managing Director

This is BOT, DPCB projects. [Foreign Speech]

Tina Virmani — Kotak Securities — Analyst

And you will be doing the EPC, you will be doing the EPC part of this?

Ajendra Kumar Agarwal — Managing Director

We’ll be putting our equity, we’ll be doing EPC also.

Tina Virmani — Kotak Securities — Analyst

Okay. Got it. And the timeframe for this targeted opportunity pipeline is how much, is this also till March or this is for next year also? By when do you see this materializing, this bidding pipeline to finally get awarded to different players?

Ajendra Kumar Agarwal — Managing Director

You’re talking about transmission?

Tina Virmani — Kotak Securities — Analyst

Transmission.

Ajendra Kumar Agarwal — Managing Director

Transmission is moving at a slower pace. So it may take, I mean, it may go up to June.

Tina Virmani — Kotak Securities — Analyst

Okay. Your would comence post the financial closure. Effectively it will start getting reflected, maybe from Q4 FY24 onwards.

Ajendra Kumar Agarwal — Managing Director

Right.

Tina Virmani — Kotak Securities — Analyst

Got it, sir. That’s it from my side.

Ajendra Kumar Agarwal — Managing Director

Thank you.

Operator

Thank you. The next question is from the line of Vidya Sanwal from Niveshaay Investment Advisory. Please go ahead.

Vidya Sanwal — Niveshaay Investment Advisory — Analyst

Hello.

Operator

Yes, please proceed.

Vidya Sanwal — Niveshaay Investment Advisory — Analyst

[Technical Issues]

Operator

Vidya, your voice is not clearly audible, can you please use the handset mode?

Vidya Sanwal — Niveshaay Investment Advisory — Analyst

Yeah. Sir, I was just saying that subcontracting expense is decreasing since like three-four year. I wanted to know, are you focusing more in house or what — I’m seeing consolidation figure.

Ajendra Kumar Agarwal — Managing Director

I mean, it’s a case-to-case basis decision and project-to-project. I mean, somewhere we can have more subcontracting and some where we can do in-house, right? So, it varies.

Vidya Sanwal — Niveshaay Investment Advisory — Analyst

And sir, I wanted to know what is mining royalty, are you paying?

Ajendra Kumar Agarwal — Managing Director

Mining royalty, it vary depending on which state we are working. Somewhere it is no royalties, somewhere it is huge amount.

Anand Rathi — Group Chief Financial Officer

Depend on state and material. [Foreign Speech]

Operator

Thank you. The next question is from the line of Deepika from PhillipCapital. Please go ahead.

Deepika — PhillipCapital — Analyst

Hi, good evening, sir. Good afternoon, sir. I wanted to ask about the status of CBI inquiry that was going on?

Anand Rathi — Group Chief Financial Officer

So, CBI has filed their report and that matter is with court in Guwahati. So we are pursuing and we have appointed — and we are taking better help of legal advisor also and we are representing our case before the court.

Deepika — PhillipCapital — Analyst

What is the timeline that we expect to the outcome to come.

Anand Rathi — Group Chief Financial Officer

Depend on court. [Foreign Speech]

Deepika — PhillipCapital — Analyst

Second question. This is last one. How much equity have we invested in nine months and previous three quarters?

Anand Rathi — Group Chief Financial Officer

Total, I think, it was INR1300 something odd crores as of March 2022 and right now it is INR1,800 crores, right? For last quarter it was around INR225 crores.

Deepika — PhillipCapital — Analyst

Okay. That’s it from my side. Thank you.

Operator

Thank you. The next question is from the line of Gurvinder Singh from Fortuna Investment Advisors. Please go ahead.

Gurvinder Singh — Fortuna Investment Advisors — Analyst

Thank you, sir for the opportunity. [Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

Projects we have identified to switch-over to Invit is seven projects where total debt is around 3800 crores as on date. Depending on the timing of the Invit, probably, I believe that to that extent, my debt would go outside my G R balance sheet, right, because if I don’t — I mean that again depend on, I’ve to have to take whenever this Invit would happen then and what our auditor would suggest, I don’t know. But that’s the case. I mean, I’ll give you just numbers that this is the debt number. And regarding your question about the release of equity. I mean, there is no cash transaction, which as of now, we are proposing. We are not getting any cash, it’s a unit, which will be getting at G R. Because, idea was not to receive, I mean, is not to monetize immediately. But over the period as and when we — as you preferences, right will be able to more projects into that Invit and then we’ll be able to monetize depending on it. Because it’s a listed Invit which we are planning and we can monetize after listing. We can monetize as and when, funds are needed G R level. So, yes, but at this time, we are not proposing any kind of cash inflow to G R.

Gurvinder Singh — Fortuna Investment Advisors — Analyst

Okay sir, thank you very much.

Operator

Thank you. The next question is from the line of Nikhil Abhyankar from DAM Capital. Please go ahead. Hi, sir. Thank you for the opportunity. Just one question, rest of the questions are answered. You were barred from bidding for NHAI for one month in November and we did not get any reason for that in the previous call. So what was the reason and what are the things that we’ve done so that it won’t happen again?

Anand Rathi — Group Chief Financial Officer

I think that was because of that CBI issue, right? They have taken a call, I mean, they have issued this kind of department orders suo moto basis, right. Though we have been given this opportunity to do would represent our case but they have ignored or is and they have debarred it for one month. And to avoid those circumstances going-forward, I mean we have to be more resilient, we have to be more than that in terms of what — because it was the case by CBI that there’s some sort of drabbling is happening, right? So we have to be more careful going-forward.

Nikhil Abhyankar — DAM Capital — Analyst

Understood. That’s all from my side.

Operator

The next question is from the line of Namit Virani from Bastion Research. Please go ahead.

Namit Virani — Bastion Research — Analyst

Hi. Thank you for the opportunity. Sir, I have two questions. First, wanted some better clarity on [Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Namit Virani — Bastion Research — Analyst

Okay. And sir, lastly continuing with what the previous participant asked on the order which we received. So what is the current state of it, are we allowed to bid. How is it currently.

Ajendra Kumar Agarwal — Managing Director

So that period was over in the month of the — first week of December, right?

Anand Rathi — Group Chief Financial Officer

That was for one month only, after that it was —

Ajendra Kumar Agarwal — Managing Director

We’re bidding continuous basis.

Operator

The next question is from the line of Hiten Burja from January Capital. Please go ahead.

Hiten Burja — — Analyst

Yeah. My most of the questions have been answered. I want a clarification on the margin. [Foreign Speech]

Anand Rathi — Group Chief Financial Officer

[Foreign Speech]

Hiten Burja — — Analyst

14-15%. Okay. Thank you.

Operator

Thank you. The next question is from the line of CA Akash Dhanuka from — an individual investor. Please go ahead.

Akash Dhanuka — Individual Investor — Analyst

Yeah. Thank you for thank you for the opportunity all over again. [Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Akash Dhanuka — Individual Investor — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Akash Dhanuka — Individual Investor — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Akash Dhanuka — Individual Investor — Analyst

[Foreign Speech]

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]

Akash Dhanuka — Individual Investor — Analyst

Okay. Thank you, sir for the help. That’s it from my side.

Operator

As there are no further questions, I would now like to hand the conference over to the management for closing comments.

Ajendra Kumar Agarwal — Managing Director

[Foreign Speech]. Thanks.

Operator

[Operator Closing Remarks]