LMW Ltd (NSE: LMW) Q2 2025 Earnings Call dated Oct. 29, 2024
Corporate Participants:
V Senthil — Chief Financial Officer
Analysts:
Analyst
Manish Goyal — Analyst
Presentation:
Operator
Ladies and Gentlemen, good day and welcome to the earnings call of LMW Limited for Quarter Two of FY ’24-’25 hosted by NSDL. [Operator Instructions] Please note that this call is being recorded. This is Sameer from NSDL. We have with us Mr. V Senthil, Chief Financial Officer; and B. Dhanalakshmi, Senior General Manager of the company, and over to you, sir.
V Senthil — Chief Financial Officer
Good afternoon everyone and thank you for joining the LMW Limited earnings call for Q2 FY ’24 ’25. We will have a brief about the overall performance of the company for the period ending September 24th followed by an interactive session. I would also like to clarify that certain statements made in the discussion of the conference will be forward-looking in nature. To begin with, let me explain about the overall performance of the company.
Then we’ll proceed to the segment-wise performance and the consolidated performance. The financial results have been posted on the company website and I hope you had the opportunity to go through the same. The revenue for the quarter ended September 2024 is INR750 crores as against INR659 crores for June 24th which is an increase of around 14%. The company has achieved in H1 a revenue of INR1,410 crores for the period as against INR2,479 crores for the corresponding previous period which is a 43% decrease in revenue.
PPT stands at INR56 crores for the current period as against INR270 crores for the previous period. This accounts for a decrease of around 79% of PBT. Now going to division wise; TMD revenue for the period stands at INR896 crores as against INR1,991 crores for the corresponding previous period resulting in a decrease of around 55%. Textile Machinery Division’s revenue for the quarter ended September 24 is INR457 crores as against INR440 crores in the previous quarter resulting in an increase of 4%. When compared to the quarter ended September 23 the decrease was 56%.
The loss for H1 stands at INR19 crores as against a profit of INR199 crores [Phonetic] for the corresponding period last year. With respect to order book, currently, we hold an order book of INR3,300 crores of which the active orders are around INR2,500 crores. With respect to the sales which has been clocked, the domestic versus export versus spares the percentage is around 71% domestic, 7% exports and around 22% of spares.
We have mentioned during the last quarter that we have gone into a five day working as far as Textile Machinery division is concerned and so is foundry and this is set to continue doing during the current quarter as well. This is on account of lower capacity utilization. The capacity utilization is around 45% to 50% in Textile Machinery division and this trend seems to continue depending based on the order flows what we are currently seeing. However, with respect to the new policies which we are expecting especially we have seen that the latest Gujarat policy has come in we expect things to pick up in due course.
Now I move to LMW Global. The turnover in LMW Global stands at INR49 crores for the half year ended September 24 as against a comparative number of INR148 crores in September 23. The order book in exports is closer to INR280 crores on hand. In LMW China we have been able to clock a turnover of INR17 crores and for the comparative period last year, it stood at INR11 crores. The order book in China stands out to be INR22 crores. Now I move on to Machine Tool division and Foundry. The turnover in the Machine Tool division and Foundry is INR478 crores for a half year ended September 24 as against INR515 crores for the corresponding previous period.
Out of this 15% relates to foundry turnover. The balance is towards Machine Tool division. We are operating at an utilization of at around 70% in Machine Tool investments. With respect to ATC, the turnover for the H1 stands at INR82 crores. As against the corresponding period the turnover was INR84 crores.
With this brief I would like to stop and we can start the discussion and the interactive session. Over to you, Mr. Sameer.
Questions and Answers:
Operator
Thank you so much, sir. [Operator Instructions] Okay, we’ve got Saloni Jain [Phonetic] from our attendees. She would like to ask the question. Ma’am Saloni, you have been unmuted. We would request you to please go ahead with your question and also turn on your video if you like.
Analyst
Sure. Hi sir. So my first question is based on the fact that we had been seeing some sluggishness in the demand for our machines due to sluggishness in the sector itself. Now what is your outlook with respect to demand since there is some kind of uptick that we can see in textile demand?
V Senthil
Do you want to complete all your questions and I’ll answer them together?
Analyst
Sir, this is my question for now and if there’s any follow up, I’ll ask.
V Senthil
Okay, thank you for that. With respect to the Textile division, we have over the last four quarters we have seen challenges in terms of the profitability of our customers and of course and also the offtake of the yarn as well, especially on the synthetic side, there has been some challenges in terms of profitability especially because of the pricing, the input raw material.
However, with respect to the order booking in itself, I would say that the last two quarters has been little bit better compared to the Q4 of last year. We are seeing a general trend but again it is very minor. I mean it is better by 20%, 25% but still the order booking is less than what we are actually executing. And so we are using the current existing order book and we are executing those orders which are already there. So the replacement orders are not as good as what we would want it to be. Having said that, now we got a policy which was released, the Gujarat policy which was released which is very, very positive.
Of course, it supports to a larger extent it is towards the manmade fiber and the both the — subsidies which are within that. It is a very positive thing which they are trying to do. And we would see the results of this perhaps over the next if not the current quarter, the quarter after this. So yes, we are bit positive that things would change in the domestic market. Talking about the international markets, the two large markets for us which is Bangladesh and Turkey.
Bangladesh is still having its own challenges. We have, whilst we have orders, unfortunately because of the situation in terms of the forex in Bangladesh, they have not been really able to take the machines even though we have those orders. So there are pushouts in these countries. Turkey is also slowly coming back. It of course has its own challenges. But yes, there are potential orders there which could materialize for next couple of quarters.
But domestically speaking I think we should — we would, we hope to see some positive changes because right now, at least in the current immediate quarter which has gone by there has been some amount of profitability in this particular Spinning segment. Thank you. Back to you Mr. Sameer.
Operator
Operator: Thank you so much sir for answering that question. [Operator Instructions] We’ve got a couple of more people. Mr. Hemang [Phonetic] is with us. Mr. Hemang, since you raised your hands you have been unmuted and also you can turn on your video if you like. Mr. Hemang Kotaria, we are ready for your question.
Analyst
Yes sir. Good afternoon.
V Senthil
Good afternoon Hemang. We can hear you. Please go on.
Analyst
Yeah, yeah. Sir, my question on the machines that we are going to launch Auto Coner and spinning machine so if you can throw some light on the timeline of the launches. And second question on MTD division where you will see the growth is coming from MTD division going forward and what is the outlook for the particular division? And last question on ATC; ATC all the majority of sales coming from exports. So how you see going forward the demand of both the division Metallics and Composite divisions? Yeah, that’s it. These are the three questions I have right now.
V Senthil
Okay, thank you. Thank you Mr. Hemang. The Auto Coner basically Lakshmi Winder would be — I mean it is already there in the works. I think like we have mentioned in the past as soon there will be some soft launches of these products which will be done and those orders will happen before the end of the current year. So probably some during next quarter should happen. Airjet we don’t discuss at the moment. We will come to that as and when we are ready.
There are some launches kind of being planned for that but Auto Coner I’ve also already given. With respect to MTD, I think the scope for MTD is quite large. I think there is. We see an immense potential and I think right now if you see the auto versus non-auto sector pie chart as to where we sell we have migrated from where it used to be closer to 55% plus on the auto sector to almost 40% to the auto sector and almost 60% to the non-auto sector.
So there’s a large demand on the non-auto sector especially on the engineering side which is kind of coming in and we are addressing it with the launches of what we call the Machining Centers which is the Vertical Machining centers and the Horizontal Machining centers. And I just also mentioned that for the capacities what we have put in we still are only clocking 70% so we still have upwards of another 25% capacities available to address to this demand.
So I think from a sector perspective, engineering sector is very positive and it is — that is the way we look at it with respect to ATC, the Metallics division, yes, is doing a lot of exports. And if you actually go back to where we were in the past and if you go back a few years we were more centered around domestic. But what we have found is that considering the dynamics of this industry where most of it is import raw material for us the right choice was to be in exports. We have a natural hedge. It is long-term contracts.
And these contracts are, when I say long-term we are talking about three years, five years plus kind of a contract which gives us stability as well and it helps us to also grow with a particular customer. I think that is the reason with which we have kind of gone into the export market and predominantly it is exported. You are absolutely right. Almost 90% of ATC business is on exports.
Composite is something which we are building right now whilst we have invested in this for last three years. And we have a good set of facilities for the composite. But the non — rather the private sector orders especially on the export side is being only built at this moment. Predominantly we had kind of ring fence this capacities for non-private sector. But now we have decided to go into private sector and go with the same set of customers who are currently dealing with us in the metallic side.
So this is kind of somewhere taking time to roll this out. But we are quite positive that we will be rolling this out over the next couple of quarters and we’ll be stabilizing composite as well. But yes, both metallics and composite definitely are good businesses so long as we’re able to use up the capacities what we have put in. That’s it. Thank you. Back to you Mr. Sameer.
Operator
Thank you so much sir. Thank you. [Operator Instructions] We have Mr. Mayank Chaturvedi [Phonetic]. Mr. Mayank, you have already been unmuted. We can also have your video turned on for the question if you like. Mr. Mayank, we are ready for your question.
Analyst
Sir, what is the current active order book for the company?
V Senthil
Good afternoon Mr. Mayank. The active order book is around INR2,500 crores for Textile Machinery division, domestic.
Analyst
All right. And sir, we’ve been seeing that the incumbents in the defense industry, be it Hindustan Aeronautics, Bharat Electronics, they are looking out to outsource more and more work to private players. And you’ve already developed a good base in the Metallics division in the ATC. So are you looking at capturing some of those opportunities there?
V Senthil
Definitely, when we say we are happy to work with anyone in the current defense industry but again subject to the terms with which we operate in, right? So yes, we do work with a few of the names what you mentioned. But predominant capacity allocation is towards where there is a visibility of long-term contracts with dollar revenue. That is where we have pivoted to in the last few years.
And this goes back to the fact that if you were to look at the balance sheet of this particular company four years back, we were in a loss, right? So we did make a conscious decision to go into exports. But yes, we do work with the companies what you mentioned as well. And how we build that up, how we add capacity is there, what type of machines we bring in to kind of cater to the segment we want to cater to.
So for example, if you take whether it is structural, whether it’s engine parts, so that is the vertical which we kind of focus on and we go after those specific areas which gives us the ability to specialize. So if it is structural, then we do more structural, if it is engine parts, then we try to do more engine parts something like that.
Analyst
Yeah, that’s actually where my question is coming from. Like we are going to see a lot of helicopter manufacturing taking place in India engine manufacturing will follow. So any plays there that you might foresee participating in maybe two, three years down the line, if not today, because they seem to be long-term contracts like you mentioned?
V Senthil
Point taken and that’s exactly what we do. So if we go into for example engine parts, right? So we’ll try to do more and more of those engine parts because they’re all related to each other because they run with this similar kind of metal composition. So if you’re looking at some sort of a raw material which is an alloy raw material, then the machines also have to be in that range of those machines. And that is what we would kind of invest in. So it makes a lot more sense for us to invest and specialize into these considering that the metals which we will work on or we cut would be pretty much similar. Thereby we will get scale, we’ll get knowledge, know how tooling abilities giving us the best possible place to be with better margins. That’s the idea.
Analyst
Okay. Okay, great sir. And just on the MTD division you highlighted now 60% is coming from non-auto. If you can just break that down, give us more nuances which are the industries you’re looking at from non-auto perspective. Maybe three, four biggest names, bigger names if you can?
V Senthil
They are multiple. I mean we are talking about, yeah, it’s pretty much a set of 20. So the big one is auto, it’s 40 and then you’ve got a 20 of them on the side. But yes it is general engineering tool and die, aerospace, electronics. So everything is mixed — mixed in that, everything is mixed in that.
Analyst
Okay. It keeps on varying quarter-after-quarter probably, that’s why you’re unable to. Okay. Great, sir. Okay. Thank you for answering.
V Senthil
Thank you. Back to you Mr. Sameer.
Operator
This was Mr. Mayank with his questions. [Operator Instructions] We have with us Ms. Amrita [Phonetic]. Amrita ji, you have already been unmuted. Please proceed with the question.
Analyst
Thank you for this opportunity. So I have questions on the TMD business as in what are the kind of new orders that we book in this quarter. And in earlier con calls you’ve spoken about catering to exports in the TMD division by doing some capex in the UAE. So could you please talk more about that and in the ATC business what is the order book and its visibility? Thank you.
V Senthil
Thank you for the question.
Analyst
Those are my questions.
V Senthil
Yeah. So the overall order book is at around INR3,300 crores [Technical Issues]. On a quarter-on-quarter basis I mean if you do the match with last year’s — the last quarter what we declared it should — the order booking is in the range of around INR200 crores to INR220 crores for the quarter which I also mentioned is kind of little bit less compared to what we actually roll out. That is with respect to the order book.
With respect to UAE what we have mentioned and I would definitely repeat that. We have got two companies in UAE. One is called LMW Global which is the operational company which currently has an assembly facility alone. We don’t do much manufacturing there in terms of machine shop etc, but we do a lot of assembly work there and that caters to the export market. What we have and is also a company called LMW Holding.
And that company is technically going to become a Holding Company whereby it will be holding LMW Global and it will be holding LMW China. And we are in the process of consolidating this — these two subsidiaries under the Holding Company. But that Holding Company doesn’t have any manufacturing or other facilities. So effectively we’ve got a China facility and a Dubai facility which both come under the LMW Holding facility [Technical Issues] that’s about it.
As far as UAE [Phonetic], there’s no major investment which is going inside UAE. It is only a transfer of business. What we have is the assembly plant which we already invested in 2022. With respect to the ATC business our order book is in the range of almost INR250 crores to INR300 crores is the order book for this business over next one-and-a-half years. And that would get executed as and when the orders come then it will get executed. Of course, I am only giving you whilst we say that there are order book visibility because we have order books for three years.
Our visibility based on the — what they call the purchase orders which are flashed for us. The contracts are for longer but purchase orders gets flashed for us every — for quite a long period. Six months to one year. And that would be closer to around INR1,500-odd-crores [Phonetic]. Back to you, Mr. Sameer.
Operator
Thank you so much sir. Up next we have the question from Mr. Manish Goyal [Phonetic]. Mr. Manish, you have already been unmuted and we are ready for your question.
Analyst
Yeah, thank you so much. Hope you can hear me.
V Senthil
Yes Mr. Manish, loud and clear, thank you. Please go ahead.
Analyst
Yeah, thank you so much. Sir, just want to clarify. I have few couple of questions just to clarify. On the LMW UAE, what were the revenues and profitability with the comparable numbers? If you can share. Second on how is the — you did mention the order book is for the exports is roughly INR280 crores. So is it pertaining to overall export order book or it is pertaining to only the UAE subsidiary? That was the second question and third question on the TMDs for the domestic market and exports both if you can give us perspective that are we getting project orders or these are all largely the standalone machines order and how do we see?
You did alluded that we are seeing quarter-on-quarter improvement in order inflow. Maybe if you can give some more perspective as to how is the scenario now and do you expect that this five-day working schedule to then be restored to your normalized working schedule of six days? And on the machine tool I believe you did mention that auto share is declining. So when we are seeing flat revenue growth is it that because of the decline in auto which is probably compensating on the growth in the non-auto sector?
And so going forward how do we see the growth rate going forward? How is the order pipeline building up? And on the margins front like still are we probably seeing challenges from our new launches in VMCs, HMCs and probably they are impacting the overall margins due to launches of new machines. And when can we see margin improvement we going back to double-digit margin of 14% to 15%, sir. Yeah, these are the few questions. Thank you so much.
V Senthil
Thank you. Thank you Mr. Manish. Mr. Manish, I think with respect to the current — actually for the six months we did around INR49 crores. The profitability was in the range of around 4%, 5%, rather a little bit low. I think it’s 4%. But last year the turnover for the same period was around INR149 crores and it’s around 8% was the profitability there. Now this INR285 crores is the overall export order book. So this INR3,000 crores apart INR3,300 crores part which was the domestic, this INR284 crores is more on the export order book which they sit on of which I did also mention the challenges of Bangladesh because this comprised of orders which where we got LCs but because of things we are not able to dispatch.
So that is the reason the export as a sales value is a little bit less. Now with respect to the domestic order book things like I said last three quarters if you see definitely things are improving, but they’re improving marginally. Predominantly I would say these are still modernization orders. I would put only 20% as projects. 80% would still be modernization. So you can take anywhere from plus 5% — plus-minus 5%. So 20%, 25% being project and balance 70%, 75% [Phonetic] being the Unitary Machine orders.
Like I mentioned, considering the order of day, the order booking, and also the fact that the — also we have an active order book for us to ship out these. It is definitely being a challenge and our capacities like I mentioned is closer to the range of 45%, 50%. I don’t think we will go back to a full working till our capacity utilization goes up. So right now we can’t give a very clear indication of when we’ll be normalizing back to six days.
Now coming to Machine Tool division, the reason of — there are two ways to look at this. The reason of having a lower auto sector contribution to our turnover is basically because of increase in the VMCs which was a new addition to the line which was done probably almost for the last two years. And slowly the volume as a percentage is also increasing. As a volume and as a percentage VMCs are kind of increasing which is catering to the non-auto sector.
And as you know this MTD business there is no major order pipeline. We maintain all one and a half months maximum order booking and delivering. But I would say that yes it is — the offtake has been better. We are seeing the numbers grow as far as the vertical machine centers are concerned. We have also launched our horizontal machine centers a couple of machines also on that couple of types of machines which are also launched there. Definitely one of the reasons for that — the margin is that.
The second reason is the fact that the foundry since this is a Machine Tool and Foundry business put together, the Foundry utilization is also similar to that of textile machinery because foundry is pretty much feeding into textile and Machine Tool division. There is a loss in Foundry division which is also kind of pulling the margins down in our MTD and Foundry put together because of underutilization of capacities in the foundation.
But yes there is — as we build the numbers in the VMCs then there would be definitely like-to-like price junctions [Phonetic]. I mean we’ll see how, where we should get the margins to. But at the current phase as it stands, we are building our capability and also our market share in VMC business. Thank you. Back to you Mr. Sameer.
Operator
Thank you so much sir. Next we would like to proceed with the questions from Mr. Kushal [Phonetic]. Mr. Kushal Daga, you have been unmuted. We can also have your video turned on if you like and we are ready for your question.
Analyst
Thank you so much. Sir, a couple of quick questions. Number one, although auto is a smaller part of our business, but given auto slowdown that we’re seeing in the market, what is the impact that you believe the slowdown will happen on our volumes? And typically in your experience historically, how long do these auto cycles last? Was question one. And second question sir, overall in your view for the MTD division, what would be the volume growth that you expect over the next three to five years in the MTD division?
V Senthil
I think I pretty much answered the — thank you for the question, Mr. Kushal. Yeah, see where we want to get to, I think whatever turnovers we have, right, what we’re currently clocking, and like I said it is closer to 70% only. So there is enough cushion for us to kind of ensure that we put — utilize the capacities what we are kind of provided for, for this particular business. So there is enough room for us to grow.
There is enough room in the market for everyone to grow as well. I think I should also add that. Now, specifically with respect to the auto cycles, I think see auto as a cycle for us so many things happening with respect to the auto sector, especially the EVs coming in, and quite a few changes which are happening in the auto sector. It doesn’t really — we have not seen the flatness in the turnover because of auto sector alone, I would like to add that. Generally what I was mentioning is as a sale our reliance on auto sector is only at 40% of our MTD business sales.
So we and generally are of the opinion that compared to auto sector, the non-auto sector is also growing substantially, especially with PLI schemes with what do you call this, China Plus One factors. There’s so many other factors which are kind of out there which is giving enough push in the non-auto sector business and especially on the engineering side to grow. So effectively we are not looking at this as a major challenge currently and MTD would still grow and that’s our reading of the sector. Thank you. Back to Mr. Sameer.
Operator
Thank you so much sir. [Operator Instructions] Sir, I believe Mr. Manish Goel has a follow up question. From what he asked, with your permission, can we take him again?
V Senthil
Yes Mr. Manish.
Operator
Mr. Manish, we are ready for your question. You have been unmuted.
Manish Goyal
Yeah, yeah. Thank you sir. Sir, the revenue breakup, what you gave 71%, 7% and 22%. Was it for first half or quarter two.
V Senthil
Q2 but pretty much it would be the same thing for first half as well.
Analyst
Okay. Similar numbers almost?
V Senthil
Similar numbers. Similar numbers. Similar numbers.
Analyst
So sir, so like on the spare parts like still though we probably seeing revenues declining. But I believe the textile mills capacity utilization or if I put that they are not falling significantly. So just wondering why is it that our spares revenue is also declining relatively?
V Senthil
No, actually if you look at percentage wise of course it is much higher because spares in fact has maintained almost same run rate. So if you were to look at the last H1 and now going to H1 to H1, right? So if you’re looking at H1 to H1 of current year and last year — last year as a percentage perhaps was around 10%, 11% or a little bit higher, perhaps 12%. Now it is 22%. But if you look at value it is pretty much same. The spares has not come down actually. The spares it is still having the same run rate. Absolutely, you are right.
Analyst
Okay.
V Senthil
Most of the capacities are — I mean most of the mills are running. The mills which are running are running with very good capacities. Of course there are some challenges on the like I mentioned some cases on the synthetic mills and things like that. But otherwise mills are running at near full capacities.
Analyst
Right sir, right. And on the Auto Coner like if you did mention that we can see soft launch by end of the quarter. So like in terms of capacity buildup over there and in terms of readiness to meet the demand because it’s quite a large market of — used to be a INR1,000 crore market. So how should we expect that in probably next year or probably a year down the line, how can it like contribute in terms of volume, revenue or what kind of revenue capacity we have built up over there like?
V Senthil
See, as you know from capacity perspective there is no constraints because considering the manufacturing of this internally and this completely an indigenous technology we have kind of developed it here. We have enough capacities to go around. I think rather the more challenging part. And that’s why I mentioned the soft launch and we’ll get to customers perhaps over the — by end of it or by next quarter we’ll try and get you those — get to that level.
And once we see good feedback in terms of productivity because it has to be good quality, has to deliver what it has to deliver. I think then we will get to the numbers. But there is absolutely as there’s no constraint in terms of either capacity for us or to manufacture these machines here. I think we are — we all are trying to see how to kind of the market absorptions and it has to deliver what the best — as you know ring spinning delivers the best yarn because yarn being a commodity, we have to meet the criteria, the universal quality criteria. The same thing has to come be done in this machine as well. So we are looking towards that and the feedback from customers and we’ll go from there.
Analyst
Thank you so much.
V Senthil
Back to you Mr. Sameer. I think Mr. Kushal has had his hands raised, sir.
Operator
Sir. I am just refreshing the list and sir, I don’t see him with the hand raised. Mr. Kushal was already taken. Okay. He’s still here. He’s in the list of panelists. Yes sir.
Analyst
No. Thank you so much sir for taking the question again. A quick question outside for — this is again for the MTD division. Outside of auto and general engineering we are seeing a lot of other sectors growing very fast like EMS, MedTech. So in that case what is the philosophy that the company has in terms of technical partnerships with maybe global players who are not in India currently? Do we only want to focus on building machines in-house or is there any technical collaboration possible so that our go-to-market is a little faster than making the machines in house?
V Senthil
I think, thank you for the question. As you know we already do have a technical collaboration with DMG MORI and in fact we manufacture the machines, their machines in India for them to sell globally. So definitely I think the thought process here is that machine tool industries absolutely a vast industry. I mean you spoke about MedTech, you spoke for DMS. If you take the size of the machines, it goes from such a machine making, commissioning a small component of this size to a engine for a large generator with 3 tons or 2 tons worth of casting sitting in the machine.
So the range is very, very large and we definitely are working and definitely we will look forward to such opportunities and as and when it comes we will definitely make use of that. But it’s a vast industry and we definitely take the point that we should be looking not just at developing ourselves but also at other potential partners. Point taken. Thank you. Back to Mr. Sameer.
Operator
Thank you so much Sir. Once again we would like to run through the list of the attendees. Sir, at the moment we have no raised hands. Okay. Now we have Mr. Kushal again.
Analyst
Sorry sir. Just one quick question on the partnership with DMG MORI. What is the focus of that partnership? I mean is it, what is that partnership giving us? Like have we got any thermal management technology from them? Any precession-focused technology from them for DMG MORI? What is the partnership that we have with them?
V Senthil
Okay, what we have is that we manufacture the machines for the spec of DMG and it is branded DMG and it is sold because it only says it is manufactured in India. So whatever technology which comes along with the machine is part of the machine. So there is nothing like we — let me put it in a different way. We give a complete machine with all the technology which DMG would offer to its end customer. Again, only thing I would like to add is that these are specific machines, right?
There’s not the entire range of machines. This is one specific machine. So as we progress we will definitely be more deeper and deeper. We’ll be more comfortable to different — look at other machines and be part of their manufacturing journey as well. So your thermal stabilization, what we just now mentioned if it is part of it, then it comes as part of the machine. So that is what we’ll have to put into the machine and give it to them.
Operator
Sir, thank you so much for answering that. Sir, at the moment we have no raised hands. I’ll still refresh the list and check it once again. I think, all the questions are answered. Sir, thank you so much. Thank you.
V Senthil
Thank you. Thank you once again everyone for attending the call and wish you all a Happy Deepawali and we’ll see you for the next quarter.
Operator
[Operator Closing Remarks]