MSTC LTD (NSE: MSTCLTD) Q4 2025 Earnings Call dated May. 30, 2025
Corporate Participants:
Unidentified Speaker
Manobendra Ghoshal — Chairman and Managing Director
Subrata Sarkar — Director Finance
Bhanu Kumar — Director(Commercial)
Analysts:
Unidentified Participant
Deep Modi — Analyst
Kamlesh Bagmar — Analyst
Vinay Nadkarni — Analyst
Ronak Raichura — Analyst
Anand — Analyst
Rakesh — Analyst
Presentation:
operator
Good afternoon and welcome to the MSTC Limited Q4FY25 earnings conference call hosted by Aquarius Securities Private Limited. As a reminder, all participant lines will remain 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 the operator by pressing Star Than zero on your touchstone telephone. Please note that this conference is being recorded. I would now like to hand the call over to Mr. Deep Modi from Equerious Securities Private Limited for opening remarks. Thank you. And over to you.
Deep Modi — Analyst
Thank you. Good afternoon everyone. On behalf of Equirex Securities I welcome you all to Q4FY25 earning conference call of MSTC Limited. From the management we have with us today Mr. Manobendra Ghoshal, Chairman and Managing Director Ms. Banu Kumar, Director Commercial Mr. Subrata Sarkar, Director of Finance and Mr. Ajay Kumar Rai, Company Secretary. We will begin the call with the opening remarks from the management and then we will open the line for question and answer. I now hand over the call to Mr. Manobendra Ghoshal. Over to you sir.
Manobendra Ghoshal — Chairman and Managing Director
Thank you. Good morning to everybody. Let me begin by welcoming all our esteemed investors for Today’s investor call. MSTC has been through an eventful FY25 which has seen not only a lot of uncertainty in the global and national business environment but has been a time for us to introspect and realign our core business. FSNL, 100% owned subsidiary of MSTC which had been under strategic disinvestment as per the decision of the Government of India was fully and finally transferred to the control of its new management on 21st January 2025. MRPL which is a 50:50 joint venture with Mrs.
Mahindra Auto also has gone through a phase of consolidation and a lot of thought about the way forward. I’ll dwell on that shortly in a while. As far as revenue from operations of MSTC is concerned, it showed a largely flat trend compared year on year. This was despite the loss of two large parts of the business I.e. coal auctions for Coal India Limited and NPAs or public sector banks for a large part of the year. The bright side was that by the last quarter MSTC managed to get back the coal auction business as a service provider for Coal India through a competitive bidding process and we hope for a steady revenue stream from here on from this.
Manobendra Ghoshal — Chairman and Managing Director
Similarly here we’ve launched our MSCC Realty portal and are trying to leverage this and the buyer base developed for NPA auctions for the PhDs by reaching out to cooperative banks, other smaller private entities aggregate their NPA disposal and auction requirements and drive greater volumes from this part of the business. On the other hand, our traditional business of scrap disposal revenues grew about 10% year on year and there was a healthy increase in revenues from IR ore auctions as well. On Mendel Block auctions, MSTC provided services to almost all states as well as those auctioned through the Ministry of Mines.
New initiative has been the launch of Branch one of offshore mineral blocks. Ministry of Information and Broadcasting elected MSTC for e auction of 730 FM channels across 234 cities which will begin shortly. The Ministry of Civil Aviation has launched the version 5.5 of the Olan Scheme for which MSTC will conduct the process in this coming year. For the State of Chhattisgarh, we developed an extremely responsive forest timber auction portal which has helped the state to maximize revenues from the sale of timber and make the process extremely transparent. We have also conducted the third tranche of the 5G spectrum auction for the Department of Telecommunications in FY25.
Another area that MSPC has forayed in in FY25 has been development of portals and dashboards. This is leveraging our core strength of software application development. We’re working with the MHA for developing a portal for KPKB. I’ve developed a comprehensive steel import management system since 2.0 for the Ministry of Steel, website for the Ministry of Steel, SRTMI and so on. This is a promising area as far as we visualize that our expertise will be can be used to quickly develop and customize these kind of applications and portals, dashboards etc. For multiple clients. MSPC has also taken up the work of coal gasification project E Commerce solution and we are looking to increase our footprint in E auctions of all other natural resources as well as for MDOs subsequently facilitating the utilization of these resources for development for an MMRP are concerned with the EPR policy now under implementation.
The sourcing of vehicles which was a primary constraint till now should get alleviated over the next two to three years as these will subsequently and progressively be more OEM driven and this venture should be able to show a healthy growth in numbers from here on. Again with this I would like to request Director Commercial Mrs. Vanu Kumar to supplement us regarding MSTC’s business scenario followed by Mr. Subrato Sarkar, our Director Finance to give us a Financial snapshot.
Bhanu Kumar — Director(Commercial)
Thank you sir. Good afternoon everybody. Before I start on the business update, most of which has already been touched upon by rcmd, I would like to highlight the key aspects of what went in Q4 of last year and also talk about the business updates thereafter. So the first item in the highlights is the exceptional item of the management control of FSML being transferred and we received a sum of about 320 crores as sale proceeds. Appreciation of value of investment was 301.69 crores and this has been booked as an exceptional income. There was some old litigation for which settlement was there at rupees 38.50 crores which has also been taken under the exceptional expenditure net of is pairing as the 263.19 crore exceptional income operational performance the company crossed INR of 898.23 billion in terms of value of this transacted through E Commerce and marketing verticals.
Financial performance profit before exceptional item was 240.71 crores and in 2425 which was 284.44 crores in 2324. PBT of 503.90 crores in 2425 visa vis 284.44 crores in 23 24. This of course includes the exceptional item PAT was 402.98 crores visa VIST 171.92 crores in 2324. The consolidated PBT was without the exceptional item was 244.81 crores in 2425 visa VIST 277.57 in 2324 PBT was 507.99 visa VIST 277.57 and PAT was 407.08 visa vis 165.05. Now coming to the business updates. Some of the business projects that we had undertaken in 2425 and which is continuing in this current year also is the minor mineral block auctions for the Government of Goa, Arunachal Pradesh and Ladakh.
Bhanu Kumar — Director(Commercial)
Then we have signed the agreement with Ministry of Mines for Offshore Minerals Branch. One of these auctions has been launched and it is underway. Ministry of INB has selected MFCC for the 730 FM channels across 234 cities. I think most of the other things has already been covered by our CMD’s address except that yes selling agency agreement with BTCL which is a little significant as far as scrap auctions are concerned that has been done in the last year, last quarter and the coal block auctions. The 11th tranche is happening as of now. Forest Department auction is a slightly tricky kind of.
A new software was introduced for this which is extremely responsive and it has to be. It was a major challenge as far as the technology and the software part is concerned. Then we have conducted the 5G spectrum auction on behalf of DoT and we have developed a portal for the Kendriya Police Kalyan Mandar. This is basically for the campaign stores for all their personnel across the country. This is first of its kind and this can be replicated for other organizations organizations as well in the future. Then we had continued with our services for the online draw system for selection of LPG and petrol firm dealerships.
Apart from that critical mineral coal gasification. All these have already been touched upon. Now I’ll hand over to Mr. Subhasu Sarkar, our director Finance for the financial part of it.
Subrata Sarkar — Director Finance
Yeah, very good afternoon to all. Just to start with, this was a very tough year for MSTC as already narrated by our earlier speakers. So in spite of that I will call it a very robust performance. We maintained that revenue stream. We maintained that profit Stream & Co. Did. In my opinion the company did very pretty well by withstanding the challenges available in the market posed by the market coming to the numbers. So total revenue is 387.50 as compared to 416.59. So marketing as usual at a very low FX but we backed by 110% bank guarantee to avoid any kind of provisioning that was the feature of the past years.
And the E Commerce has A flatter performance 278.29 as compared to 280.28 and others is 107.36 as compared to 134.27. This comprises of other operating revenue and other income part of this financial year. And we want to remind our esteemed stakeholders that this year though FSNL was sold but we have not yet got any kind of dividend from FSNL. Last year it was 25.60 crore. So that gap was there and is evident from the financials that we can observe the expenses. We have tried to maintain the expenses at the same level in spite of high inflationary pressure on us.
It is 127.46 as compared to 124.42 MA increase of 2.44% only depreciation has gone up from 7.32 to 9.09 on account of certain capital asset addition interest very bare minimum. And here a new line item impairment losses of 10.06 crore has come up. Though it is an account, it was an accounting exercise necessitate as per the exact accounting standards that has to be followed while preparation of the account. The management is hopeful that this recovery will be made very soon. Exceptional item comprises of basically two things. One proceed net of proceeds from FSNL sale and second some payment of some hold arbitration award settlement of old arbitration award.
So with that profit before tax stands at 503.90 as compared to 284.44 that is up by 77%. Taxes almost remaining the same rates have come down so from it is 112.52 to 100.92. So here we would like to say that e taxes has been calculated on the sale of FSNL on long term basis which is the lower taxation slab and profit after tax has come up from 171.92 to 402.98. Earnings per share has come up from 24.24 to 257.24. Now the segmental reporting that we can see that the volume is 898.23 billion as compared to 1415.86 billion last year.
Subrata Sarkar — Director Finance
Total revenue is 387.50 as compared to 416.59 and revenue from E commerce is 278.29 as compared to 280.28 in which that E option E sale is 272.886 as compared to 274.44. E procurement remaining almost the same 5.43 as compared to 5.84. Other income just earlier mentioned it is down from 134.27 to 107.33. Mainly contributing factor was the not receipt of dividend from FSNL of 25.6 crore which was there in the earlier year that is FY 2324 and marketing revenue remains flatter in a same trajectory and expenses already narrated. So with that adding to the impairment losses, profit and loss before exceptional item is 240.71 as compared to 284.44 last year I.e.
that mainly contributing factor is at dividend 1. Otherwise so far on the operational front it is on the same trajectory and with the Effect of exceptional income 263.19. EBIT constants at 503.90 as compared to 284.44 and after tax it comes to 402.98 as compared to 171.92 now coming to the consolidated so here we want to mention like that this year the consolation has been done only taking into effect of our share and profit and loss from joint venture because FSNL is no more longer the subsidiary of our company and as on 21st January the management has been handed over to the new incumbent.
So with that the total revenues remains as it is of the standalone part and with the share of profit and loss of joint venture it profit and loss before exceptional item comes to 244.81 as compared to 2.77.57 previous year figures have been regrouped eliminating the figures of SSNL exceptional item is 263.19 EBITD before tax and console basis 508 as compared to put 77.57 and profit after tax comes to 407.08 as compared to 165.05 and earning per share is 57.8% as compared to 23.44 last year and if we look at the summary of the PNL statement so we can see that revenue from operation remains better 310.96 as compared to 316.25.
Other income as earlier mentioned also it is 76.54 as compared to103.4 mainly because of non restricted dividend from and the employee benefit expense stands almost on the flatter trajectory increase of mere 3.76% to 91.32 as compared to 88.01. Finance cost remaining a very near minimum and depreciation also at a very lower level of 9.09 as compared to 7,232. As you know that is the asset light company and there is a slight minor provision so it is a negligible amount 0.52 as compared to our revenue from operation of 310.9 not even a percentile percentage you can calculate other expenses also gone down from 36.41 to 35.62 with impairment losses total expenses stands at 132.15 and as compared to 146.79.
So with that this profit and loss for the period stands at 402.98 as compared to 171.90 so far in the concentrated front the expenses are 136.73 as compared to 132.15 and the profit stands at 470 as compared to 165.05 and that is all from management side. So can have question and answer from our esteemed.
Questions and Answers:
operator
Thank you ladies and gentlemen. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone telephone. If you wish to remove yourself from the question queue you may press star and two participants are requested to use their handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question comes from the line of Kamlesh Bagmar from Lotus Asset Managers. Please go ahead.
Kamlesh Bagmar
Thanks for the opportunity. Just one question like we have received approval from Code India to conduct the auction for next two odd years. So how do we see the revenue growth panning out in next couple of years?
Bhanu Kumar
So basically for Coal India it is on event basis. So as we see Coal India’s, you know, mining operations are expanded and multiplied over the years. So the volume of coal that’s going to be sold through this e auction is also going to increase in the coming years. Based on that we can have a fair assumption that the number of events will increase and the revenue should be on the upper trajectory only.
Kamlesh Bagmar
But on an overall business basis like what revenue growth we are forecasting over next year, two, three years. Ma’ am, you’re talking of overall, overall.
Bhanu Kumar
If you have been seeing the past the couple of years it has been a little flat. But we are optimistic that you know we can in, in the past we had witnessed a growth of about 10 12%. So we are ambitious and we want to have that kind of growth year on year.
Kamlesh Bagmar
Okay, but what like what would drive this growth? Because over the years sometime we had some issues on the Code India side then this financial like on the, on the banking side like banks started their own portal then what are the drivers for this growth in the coming years?
Bhanu Kumar
This is actually a business that is dependent on the clients. So there will always be a couple of orders that will not be with us and a couple of new orders. So all the time we are striving to retain our existing business and go for expansion or roping in more clients. So this is a challenge that we have to constantly face. Apart from this we do have certain ideas and that you know we will be launching our own products which we will be you know, sharing with you probably in the next investor con call. We do have certain products like you know, equipment leasing portals and some, you know, ERP small solutions and all of course these have just been, they are in the development stage and we are just roping in the stakeholders.
So we are actually cushioning ourselves against the loss of major clients if at all that happens at any point of time. Our endeavor is to retain all the clients all the time. But then these up and down kind of business movements will always be there. So with these products ready to offer products kind of thing we envision to cushion ourselves against these kind of changes.
Manobendra Ghoshal
One more thing I would like to supplement here is that by the very nature of E commerce business, which is sector agnostic, so there would over a period of evolving time there would be a situation when certain areas of business would go down but then multiple other areas, including new areas would come up. That has been the trend over the past few years and we also foresee that that is the kind of growth that that is the kind of thing which will drive growth over the next few years.
Kamlesh Bagmar
Lastly, what is the status of that real estate offering which we had initiated in last couple of quarters? So what is the traction there?
Bhanu Kumar
So actually there are two business models there. One is a end to end kind of a solution where you know all the operations are done by MSTC and one is a platform services which is similar to the services that we were offering for the PSB banks earlier. So this is a portal that’s a platform service there. The traction is a little on the lower side but many of those banks want end to end kind of solution where we have advisory role also. So the E sales segment of it is getting a little, you know, more transaction than the reality portal though.
The asset is the same but because of the different business models we are classifying it under E Sale rather than the reality portal. I hope I’m able to clear this.
Kamlesh Bagmar
Yeah, yeah, thanks. Thanks. And the margins would be in the range of 60, 65% that we are hopeful to maintain.
Bhanu Kumar
That is a little too early to actually, you know, talk about right now.
Kamlesh Bagmar
I am alluding to the overall revenue.
Manobendra Ghoshal
Overall you see the last couple of years. If you can see our EBITDA margins, I believe I take that you are talking about the EBITDA margin, right sir?
Kamlesh Bagmar
Yeah. Without other income.
Manobendra Ghoshal
Without other income, I think we will be able to maintain that from that at similar level. At similar level. So that margins you can see if you can analyze our this operating EBITDA margins. So we have maintained, although not there is a growth in the revenue but the margins are still being maintained.
Kamlesh Bagmar
Thanks a lot sir. Thanks a lot.
operator
Thank you. We take the next question from the line of Vinay Nandkarni from Hathaway Investments. Please go ahead.
Vinay Nadkarni
Just wanted to check out what is this impairment loss of 10.06 crore that you have taken.
Subrata Sarkar
This is for our investment in the mmrpl. So it is as per in the as it was incurring losses. So we have to do the fair valuation of the investment and for that we have to book that much loss impairment loss in our books for that investment impairment. This is one part. I would like to add one thing for your sir. Like though it is an accounting exercise, we are hopeful and in the coming stages I think our CMD would like to add something on this particular front.
Manobendra Ghoshal
Right. So as I would I was also mentioning MMRPL has been in operation over the last years few five to six years and even right from the beginning it was very clear that this is a market which will take time to evolve. Because the ecosystem for vehicle recycling has been also in a state of simultaneous development over the country. Morph issued some guidelines. Now it was up to the states who have also been implementing those guidelines in a phased manner. Simultaneously an EPR policy was also in the works for the OEMs which is now under implementation.
So overall the scenario was such that as far as sourcing of vehicles is concerned, that had always been a constraint for registered vehicle prepping facilities, not only ours. To all the major players in this sector at this point of time the ecosystem is going to change in the sense that since the final customers are now going to get significant benefits from recycling their vehicles through rbsfs. And the other fact is because of EPR oems would be also driving the acquisition of end of life vehicles. So these are two factors which should drive the number which is why we have a positive outlook over the next three to four years of this business now coming into a steady state and growing.
Vinay Nadkarni
So could you look at profits coming in next year or would it take another year or two more? At least couple of years.
Manobendra Ghoshal
So at least couple of years that we were able to takes till that EPR policy matures and gives us a proper impetus to drive a profit there, sir. At least couple of years.
Vinay Nadkarni
Yeah. And secondly on this tax rate, what would be a steady state tax rate that we should consider for MSTC pardon.
Manobendra Ghoshal
Tax rate exit here I mentioned during my that here you can see that we have to take two tax rates. One for that sale of that investment we have taken that long term capital base effective is around 14% something, 14 point something. And for other thing we have gone to Lower tax regime. The effective rate is around 25%. So we had a mixed rate this year. So when the annual balance sheet comes up you will get a total breakup. How the tax calculation has been come up. In nutshell I say that there are two rates sir.
Vinay Nadkarni
So going forward will it be 25%. Would be a steady state.
Manobendra Ghoshal
Yeah yeah. Because you know as per that taxation laws once we have opted for lower regime. So it will be has to be as a lower regime because we cannot change that option. We have opted that and we feel that it is a right option for MSTC requirement.
Vinay Nadkarni
Thank you. Thank you for your answers.
operator
Thank you. The next question comes from the line of Raunak Raichura from Vikub Securities. Please go ahead.
Ronak Raichura
Yeah, hello. Am I audible?
Manobendra Ghoshal
Yeah please.
Ronak Raichura
Yeah. So I was more keen on understanding whether MSPC has been able to bag any any projects from private companies. While we get a lot of business from the PSUs primarily I. So I was reading your previous con calls and I happened to read some, some statements where we said that we are doing something for Reliance Industries or we’re doing for some. For some private companies. So any update on this? I mean have we been able to crack the private company, sorry the, the publicly listed companies but which is non p.
Bhanu Kumar
Actually our scrap business we are having almost all the major players like Industar is probably our primary customer as far as scrap sale is concerned. Bharti, Airtel and Industar. We are also catering to the Tatas Group, Tata Power especially then the Reliance Industries for their refinery units scrap sales. Of course we are just one of the service providers, the Vedanta Group, the jsw. Then we are also catering to them for their iron ore sale. Jsw, Arslo, Mittal, Jindals, they are all selling part of their iron ore through our portal. LNT is another major customer which is actually looking for our services in the scrap area.
Apart from this they are also looking at additional different business model for their process scrap which is the crap that gets generated during the manufacturing or processing of their material. So that is another new model that we will be coming up shortly. So LNT is another big client. So what happens is they first come to us for a pilot project and then slowly you know, expand their operations. Then there are smaller, you know, almost all the CFS units in the country, they are selling their scrap through us. Then all these small and medium segments in various pockets of the country.
The Industrial Development Corporation, OIDC is something that we had already mentioned in the past couple of years. So those business Models are already in place. Once they are comfortable with the scrap disposal they do approach us for their other requirement also. So that is how we expand in the private sector.
Ronak Raichura
Excellent. Excellent, madam. So ma’ am, how is the competitive landscape there? I mean can we expect additional traction if our services are good? What, what is the general competitive landscape like? I mean do they have two, three other service providers giving similar services or you. Once you have, once they are comfortable they will give you the contract for the entire scrap sale. How does it work?
Bhanu Kumar
Actually it depends on the client. Say somebody like Indust or Bhati Airtel, they are totally dependent on us. They have just one agreement. But then some groups like Tatas and Reliance and all they do have multiple service providers. So based on the business requirement or you know, the comfort level or if they have been having an association with somebody in the past or if they have their own systems like you know, some also has some kind of, you know, some methodology for recording the bids. So if they are comfortable with that then you. I mean they don’t want to change, they don’t want to shift to our platform.
But once they see that there is some benefit, especially see the kind of services that raise. Our biggest advantage is the buyer base. That is how we are able to get the best, you know, offer for their material. So once they see that advantage, slowly they shift to our platform. So it is a combined kind of a thing. As of now it is totally depend on the client.
Ronak Raichura
Okay, so buyer base is what? Sorry, can I ask one more question?
Bhanu Kumar
Yeah, sure.
Ronak Raichura
Yeah. So. So buyer base being, being a very important pull factor. So can we expect that the traction from this segment even for these large listed players will actually increase because of the increasing buyer base or I wanted to know which are the biggest competitors in this, in this segment. I mean which other companies are having very huge buyer bases and therefore are able to attract customers there.
Manobendra Ghoshal
About to say. Essentially the competition here is more with a private sector client having a one on one arrangement for disposal rather so the competition is more in the sense of convincing the client that it is going to lead to better revenue realization for him if he goes through our portal rather than have a one is to one. So it’s more of a question of that rather than as to how many other major players are there in the or portal services.
Bhanu Kumar
And I’ll just add to that. See we are probably having the biggest buyer base as far as scrap sale is concerned and there’s no one matching that kind of numbers.
Ronak Raichura
Okay, excellent. Excellent. Yeah. So that answers My question. I’ll wait in the queue.
Manobendra Ghoshal
Yeah, thanks.
operator
Thank you. The next question comes from the line of Anand from Mount Intra Finance. Please go ahead.
Anand
Hi. Hello.
Manobendra Ghoshal
Hi.
Anand
I just have one. I just have a couple of questions. So. In your audited financial statement the consolidated for FY24 was 520 crores. In your presentation it is stated as rupees 416 crore. Am I reading this correct? Is there any discrepancy or how should I just go about it?
Manobendra Ghoshal
Pardon? Am I enough?
Anand
In your audited financial statement, the PDF you brought out yesterday, FY24 revenue was at 520 crore. And in your presentation it is stated as rupees 416 crore. So why is there.
Manobendra Ghoshal
Actually in the earlier years. You know it is. It is earlier years. It was basically just let me check out audited financials. You are talking about the audited consolidated financial, right?
Anand
Yes. I think you recorded a revenue on marketing activity. This is my understanding.
Manobendra Ghoshal
It was FSNL was in included. Right. So right now what we have done, we have recasted the figure and eliminated the fsnl. So almost standalone will be the same. Right, sir.
Anand
Okay. Got it. So this 104 crore is attributed for FSNL, correct? Right. Right. Right.
Anand
Got it. And another question. Is it possible for you to give me a split between how much revenue comes from private sector and how much revenue comes from government? As of now, as of the FY25.
Bhanu Kumar
It is very difficult because we do not have any such kind of, you know, segmentation like that. But more or less it is in the range of 9010.
Anand
Okay. Oh.
Bhanu Kumar
Yeah. 10%.
Anand
Got it. Thank you.
operator
Thank you. The next question comes from the line of Rakesh, an investor. Please go ahead.
Rakesh
Good afternoon. My first question is regarding the news item that MSTC had bagged a contract from the government of Telangana for E procurement. Now as I understand, wasn’t it compulsory for all government departments or the central government, state government, PSEs etc to make their procurement from the GEM portal?
Bhanu Kumar
Actually we have signed an agreement with government of Telangana. Not just for E procurement. It is for all E commerce services that including E auctions, e sale of their raw material and E procurement. The state of government of Telangana has chosen us as the service provider. There is a general advisory for the central government organizations and departments to use gem. But the state governments are still having their own portals or you know, using other portals also. In fact, many of the states have their own portals for procurement. But here the government of Telugna has decided to go with our Portals.
Rakesh
Okay. So what will be the revenue impact just from the eprocurement activities? I understand that NSCC has been doing a lot of work for the Telangana government as far as ECL is concerned, plan parcels, etc. But as far as reprocurement is concerned, what is the revenue potential?
Bhanu Kumar
Potential is vast but it will be very difficult to put a number to it right now because we have just very recently signed this agreement and we’ll have to see how to onboard all these things. You know, have a mature model for uniform practices. So that’s an ongoing process. We see. We can probably give you something at the end of the year only but right now it’s too early to say anything as far as the procurement portfolio is concerned.
Rakesh
Okay. My second question was regarding the data center business that you are very confident about starting. Been a year since you know you had made the changes in the MOA and aoa. Any update on that?
Bhanu Kumar
Actually we are now setting up a new office here in New Delhi and we’ll be shifting shortly. So we are setting our second doctor site here. So once that is done probably you know we’ll be in a position to answer to your query as to you know how this will by when this new data center or what is our plans for the new data center. This is an ongoing process so we are just wanting to first have a doctor site in place and thereafter take up this.
Rakesh
So by when is the Dr. Site going to be ready Madam?
Bhanu Kumar
Another couple of months.
Rakesh
Okay. So that means revenue will start flowing only from the second half or maybe next.
Bhanu Kumar
This Dr. Site is going to cater to our existing requirements only the services that we are already offering. It’s going to be a disaster recovery site for it going forward. We will be adding capacities and using the redundant capacities if at all any and monetizing it. So as of now you know first let us set it up and then you know consolidate our requirements of those applications already posted. Then we will probably be able to give have a fair assessment of this.
Rakesh
Okay. And any other businesses that MSC is looking at.
Bhanu Kumar
Yeah, as I said earlier we are thinking of you know, ready to market kind of products like you know, leasing portal for equipments and erp small ERP solutions for mining of operations. Because lot of these customers, bidders who have been successful in coal block and mineral blocks, they are looking for small enterprise solutions for their requirements. So this is off the shelf kind of product that we are looking at. It is still in the development stage and we will be able to market it by within this Financial year the leasing portal is more or less ready, should be rolled out in a couple of months and based on the initial pilot project we will be able to roll it out in a bigger way.
Rakesh
Okay, thanks ma’ am.
operator
Thank you. We take the next question from the line of Kamlesh Baghmar from Lotus Asset Managers. Please go ahead.
Rakesh
Yeah, thanks for the follow. One question on the part of your revenue, like say we have been saying that we have grown at 10 od last couple of years but if I see your revenues they are almost flat compared like say 2022, 2023 we have not grown. There may be some let’s say revenue miss on the part of your marketing mix or. But on an absolute revenue basis we have literally not grown over last three years.
Bhanu Kumar
Oh, I had not said that we have grown year on year at 10%. The last two years have been flat. Before that it was in the range of 10 to 12%.
Manobendra Ghoshal
If I may supplement, I think you mistook my I was talking about the segmental revenues from sale of scrap. That is something which has grown and helped us offset that had happened in. Coal and so on.
Subrata Sarkar
So if you see for FY22 revenue it was 471 and March 2021 it was 428 crore while in this year we have done 311. So.
Manobendra Ghoshal
This is not an Apple to Apple comparison. At that point of time it was including the FSNL revenues also.
Rakesh
No, no, I am talking just about the standalone numbers. Just a minute sir, like if we can look at in the year 2122 we left 2021 we left the traditional balance of the traditional revenue was weeded out.
Manobendra Ghoshal
So far marketing is concerned. So in the year 232223 we grew up right. So you grew up in a E Commerce segment but from there on your statement is okay, we are on a fatter territory. But there was the growth in the E commerce segment from 2018-19 to 2023, 2022-23 and leave aside one corona year where the growth was not apparent. But if I look at the numbers sir, so it will be a bit confusing because that time also the legacy marketing though it was we left that in the year year 2019, 1920 that turnover kept on adding to our balance sheet in the revenue from operation till 21, 2021 and 2122.
So that was little bit confusing. But in the overall perspective we grew in that particular year. Afterwards we become stagnant after 22:23 I’ll.
Bhanu Kumar
Just add to that see basically you will have to see only the growth of E Commerce segment because we are now only doing E Commerce business marketing is very, very miniscule. In the earlier years we had several models of trading which was getting added to the revenue from operations. So if you actually go through the E Commerce growth story up to 2223 we have witnessed average growth rate of about 10 to 12% in one particular year it was to the tune of more than 15% also. So I was referring to that last two years have been a little challenging and there has not been much growth.
But going forward because of these plans that we have talked about just now, we are hopeful that we will be able to. We are ambitious that we should be able to target that kind of a growth.
Rakesh
Okay, okay, thanks. Thanks ma’ am. And lastly ma’ am, over the year like the last couple of quarters we had given some suggestions that on the presentation side because in presentation it really doesn’t add any value in terms of information because it’s just a say like say that the facts are put up from the P and L. So if you can list out some key sectors like from the mineral auction, how much contribution was there or like from the scripts scratches or any other like financial assets. So if we can give those inputs or data points or operating metrics then it would be much more helpful to make our view as well and to have a better insight into the company’s operations.
Bhanu Kumar
Yeah, we do have some small subsegments under the E Commerce portfolio like scrap sale, E sale, E procurement, iron ore, coal. So that probably you know that kind of that thing we can include in our presentations. But we’ll not be able to tell you as to how much is coming from coal, from forest or you know from properties or from each of those subsegments. We have broadly five subsegments under the E Commerce portfolio so that we will probably be able to incorporate in our presentation.
Manobendra Ghoshal
Yeah, I would like to add one Madam told actually what is happening over here. So we are depending upon as earlier also told in the holistic solution overall solution because you see the trend cannot be get out of that particular thing. So sometimes that basically it’s the client driven, it is not a product driven. So generally in a trading industry, in a E commerce industry it is a product driven but here it is a client event. If a client I have got a client for a. So if you have coal we will do the coal E option.
If you have got other mineral we will do that. So that way the trends is Very difficult and what we can see like that we lose lost that coal business of Coal India Coal E Auction but still able to maintain a better trajectory. So that is the trend. That is the kind of business that MSTC is in. We are in a platform services not on a basically a commodity type thing for our own analysis purpose. We do it but it is very difficult to find out a trend analysis out of that. So that way it is a very critical type of thing.
Anyway, whatever is available with us and it is available as per in the financial statement we will try to make it more elaborate as suggested. Sir, we feel that we have just got the filler. We’ll try to get more information for your analysis.
Rakesh
Whatever man is spelling at least you can provide that something is better than nothing.
operator
Thank you. We have follow up questions from the line of Vinet Nandkarni from Hathaway Investment. Please go ahead.
Vinay Nadkarni
Yeah, just wanted to know what was the. Because this year there was nothing coming in from coal options at assume the revenues. So what was the contribution of coal options in the previous years and therefore can we just forecast what would be the income coming from coal options in the FY26.
Bhanu Kumar
We didn’t do coal auctions at all because in the last quarter we did get back the business from Coal India and up. Apart from that we are also doing coal auctions for Meghalaya government and also for some of the other utilities in the country like Orissa Power and Coal company and we are also doing for singularly coal mining. So those are of course very small in comparison to the Coal India auctions we have got back that. So it should should be in the range of about. I. I can’t put a number to it because it is totally depending on the number of events that will be carried out in a month.
Vinay Nadkarni
Can you tell me what was the contribution of Coal India auctions in say FY24 last year? If I can get a fair idea.
Manobendra Ghoshal
Hardly any percentage because we have got a total revenue of around 270 plus from revenue from Opera, from this e Commerce and as we have got the business back in the last quarter so we cannot put it can be in the range of.
Subrata Sarkar
I’m asking for 24 the previous year. Last year it may be around maximum about 10%.
Bhanu Kumar
10% is the coal segment contribution to the overall E commerce revenue of Coal India specifically not Coal India because as we said we are not doing any kind of.
Vinay Nadkarni
Understood. Thank you very much. Thank you.
operator
We take the next question from the line of Rakesh an investor Please, please go ahead sir.
Rakesh
This is a build up on a. Question that was just asked by the person. So regarding Coal India, if I remember it right, Coal India has allowed MSBC to auction around 40% of the coal that it produces.
Bhanu Kumar
Actually this is a policy driven thing. See they do have to allocate lot of their coal mind from on the long linkage policy. Right. So whatever is not there, whatever is allowed as per the policy for commercial sale that is only optioned through the MSTC’s platforms. So that keeps changing. Earlier it was just 10,000, then it was increased to 15 to 20%. So it changes from time to time depending on the production of Coal India.
Rakesh
Okay, so who are the other, which are the other organizations that auction code for Coal India?
Bhanu Kumar
M Junction is the other service provider. There are only two service providers for Coal India.
Rakesh
Okay, so whatever Coal is auctioned by Coal India either through NSTC or through mjunction.
Bhanu Kumar
Absolutely. And most of it is given on long term linkage policy?
Rakesh
Yes sir, that I. Those are sector specific. Okay, thank you.
operator
Thank you. Ladies and gentlemen, if you wish to ask a question please press star and 1. A reminder ladies and gentlemen, if you wish to ask a question please press star and 1. As there are no further questions I will now hand the conference over to the management for their closing comments.
Manobendra Ghoshal
At the end I would like to thank all our esteemed investors who have taken the time out to give us a feedback when you ask these questions it also helps us to rethink as to what we are doing right and what we are doing wrong. Please do keep reminding us of how to and that is always a help of helping us to run your company better. Thank you very much.
Subrata Sarkar
Thank you.
Bhanu Kumar
Thank you. Thank you all.
operator
Thank you on behalf of Equilious Securities Private Limited. That concludes this conference. Thank you for joining us and you may now disconnect your lines.