MTAR Technologies Ltd (NSE: MTARTECH) Q1 2026 Earnings Call dated Aug. 06, 2025
Corporate Participants:
Unidentified Speaker
Parth Patel — Investor Relations
P. Srinivas Reddy — Managing Director
Gunneswara Rao Pusarla — Chief Financial Officer
Analysts:
Unidentified Participant
Vipraw Srivastava — Analyst
Piyush Sevaldasani — Analyst
Renu Baid Pugalia — Analyst
Balasubramanian A — Analyst
Ruchit Jain — Analyst
Keyurkumar Vadaliya — Analyst
Dhavan Shah — Analyst
Nikhil Agrawal — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the MTA Technologies Limited Q1FY26 earnings conference call. As a reminder, all Participant 9 will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing Star then zero on your Touchstone phone.
Please note that this call is being recorded with this. I now hand the conference over to Mr. Paz Patil from MUFG in time for opening comments. Thank you. And over to you sir.
Parth Patel — Investor Relations
Thank you. Good morning everyone. On behalf of Antarctic Technologies Ltd. I extend a very warm welcome to all participants on Q1FY26 Karnatak discussion call. Today on our call we have Mr. Srinivas Reddy, Managing Director and Promoter, Mr. Ganeshwar Rao, Chief Financial Officer, Ms. Sri Lakha Jaspee, Head Strategy and IR. I hope everyone had an opportunity to go through our investor deck and press release that we have uploaded on exchanges and the company’s website. I would like to give a short. Disclaimer before we begin the call. This call may contain some of the forward looking statements which are completely based upon our belief, opinion and expectations. As of today, the statements are not guaranteed for our future performance and involve unfortunate risks and uncertainties. With this I would like to hand over the call to Srinivas. Sir, over to you, sir.
P. Srinivas Reddy — Managing Director
Hello and good morning to everyone. Thank you for taking the time to join us today. Today on the call I’m joined by Mr. Dineshwar Rao, Chief Financial Officer, Mix Related SD Tech Strategy and Investor Relations and Orient Capital, our investor relations partners. We have uploaded our updated investor deck press release and results highlights on the stock exchanges and company website. I hope everybody had an opportunity to go through the same. I’m pleased to report a robust performance. In Q1 with revenue from operations at rupees 156.6 crores representing a year on year growth of 32.1%. EBITDA came in at rupees 28.4 crores showing a year on year increase of 70.9%. These results demonstrate stable execution and continued momentum across all our key business segments as communicated in the previous quarter. We anticipate sequential improvements quarter on quarter basis particularly in the second half of the year. Revenue growth is also expected to be stronger in H2. This momentum will be driven by operating leverage and scale up of production for new products developed in clean energy and aerospace sectors for the past few years.
We remain committed very clearly to our FY26 guidance of 25% revenue growth and an EBITDA margin of 21% plus minus 100 basis points. While tariff related uncertainties surface with respect. To the US market, we remain confident in sustaining our export momentum. This is underpinned by our cost competitiveness and the engineering debt achieved by through the indigenization of key components especially in all the sectors wherever we are exporting to various segments in US market and we are also diversified into various other countries in our exports mainly to Europe and Israel. Our continued focus on innovation and localization enhances our ability to deliver high value solutions to customers globally despite shifting trade dynamics.
Starting with clean energy segment, we delivered. Approximately 105 crores in revenues in this quarter. This fiscal year the company has undertaken. Development of new products for Bloom Energy further expanding our wallet share in this sector. As highlighted earlier, our cost competitiveness and engineering expertise continue to provide us with a distinct advantage over our Southeast Asian counterparts amidst heightened global uncertainties at expires. We have been assured by all our. Customers that they will be ensuring a stability across all the supply chain partners, especially entire being involved in high technology segment and additionally our customer. Bloom Energy has provided a very high favor forecast for the execution of hot boxes in the upcoming fiscal year. Post the Paris announcement. Bloom Energy continues. To strengthen its position in the data center market by signing strategic agreements.
Most recently it announced plans to deploy its fuselage technology at select Oracle cloud infrastructure data centers in the U.S. the. Median data center size is projected to. Grow by nearly 115% from approximately 175megawatts to around 375megawatts over the next decade presenting substantial growth opportunities for fuel cell adoption. Clean technologies are playing a critical role. In the global transition to a low carbon economy driving sustainable growth in energy while unlocking significant long term growth opportunities for supply chain partners. Looking ahead, we anticipate a robust growth of 15 to 20% in FY26 across clean energy sector including fuel cells, hydropower, battery storage systems and others. We continue to maintain strong traction in.
The aerospace and defense vertical delivering approximately rupees 25 towards an order during the Q1. The company is actively strengthening its defense portfolio and is currently participating in pending process for various distinguished programs for Government of India. While we are in the process of. Developing several new products for leading multinational aerospace customers, we have also participated in tenders for new products such as actuation systems for launch vehicles aimed at increasing our wallet share with iStarro. These initiatives are part of our strategic effort to deepen engagement with key international customers and leading Indian organizations like ISRO and drda.
Additionally, European nations are increasingly looking at. Partnerships and collaborations with Indian defense manufacturers as their supply chain is constrained by limited local manufacturing capacity and free workforce strategies, especially in aerospace and different sectors. This dynamic presents significant export opportunities for Indian manufacturers and NPR is well positioned to capitalize on this emerging demand. We’re actively focused on expanding our wallet. Share with existing European customers while also working on onboarding. We expect revenue growth of approximately 80%. From this segment in FY26 with a robust product pipeline and increasing participation in high value strategic programs, we we anticipate exponential growth in this segment over the coming years.
In civil nuclear sector, we registered revenues. Of approximately 5.4 crores during Q1. The company has submitted various quotes for. The upcoming projects in Kaiga 5 and. 6 and refurbishment reactors for Madhya Pradesh, Rajasthan and Chennai projects. These projects involve critical assemblies which NTR. Is well versed with and as I. Mentioned earlier, during the current financial year. We’Re anticipating orders close to about 1000 crores coming in from the nuclear division over the next three to six months. We anticipate delivering orders worth around 60. Crores in this sector in FY26, underscoring. Our ongoing commitment to supporting the nuclear. Power industry with highly specialized products for the port of the reactor and this segment is going to grow exponentially year on year basis from FY27 onwards based. On the kind of orders that we. Are expecting to come in during the current financial year.
Finally, in the products and other verticals. We reached revenues of 21 crores in this quarter and expect a 20% growth in this segment for FY26. The continuous execution of orders for various. New products across clean energy, aerospace and defense sectors highlight our strong execution capabilities and unwavering commitment to operational excellence. The company remains focused on quality, innovation and process efficiencies as key levers to drive long term shareholder value. We anticipate, as I mentioned earlier, increased. Order inflows in the coming quarters in civil, nuclear power and as well as in aerospace and defense sectors which are expected to further strengthen our order book substantially. Additionally, the company is actively engaged in. Advanced discussions with multiple customers in Clean Energy, Aerostate and different sectors to establish long term contracts and we have notably entered recently into a long term agreement with Weatherford over the next five years beginning the first year following the successful execution of first Article products.
Now I would like to hand over. To our CFO Mr. Ganesh Vardhao. We’ll discuss in detail on the financial performance of Q1FY26.
Gunneswara Rao Pusarla — Chief Financial Officer
Thank you Mrs. Srinivas Reddy Good morning everyone and thank you for joining us today for the Q1 FY26 earnings call. First, I would like to extend my sincere gratitude to all our shareholders for the trust and confidence you continue to report in our company. We are pleased to report that the first quarter of FY26 has been marked by strong financial performance and consistent progress across our strategy growth areas. So the revenue from Operations stood at 156.6 crore in Q1FY26 compared to 128.3 crore in Q1FY25. A 22.1% to year on year increase. EBITDA was reported at 28.4 crore in Q1FY26 up from 16.6 crores in Q1FY25 in robust 70.9% year on year increase.
Profit before tax stood at 114.8 crore as against 6.2 crore in Q1FY25 reflecting a 138.7% year on year growth. Profit after tax was rupees 10.8 crore compared to 4.4 crore in Q1FY25, an impressive 144.2% year on year increase. In case of working capital days it is increased to 267 days from 229 days in the previous quarter. This raise is mainly attributable to the lower revenue realization from the some of the customers in the ongoing conflict in the in that region. So that is the reason we could not able to receive the funds in the last week of the last quarter.
However, it is received in the first week of the month. Almost $2.5 million is received in the first week of the end of the quarter. As explained by our md, we are seeing a stronger order visibility in the civil nuclear power segment. We expected to receive approximately thousand crores in the next three to six months. As we all know that India’s strategic push to increase nuclear power capacity to 100 gigawatt by 2047, we see the clear visibility and forecast for the civil nuclear sector. So to Meet this demand we are setting up a new dedicated facility which will significantly expand our capacity and enhance delivery capabilities in this vertical.
In case of aerospace last year we have done around 45 crores of revenue. This year we are targeting almost 100 to 120 crores of revenue by end of this financial year. This growth also driven by the repeat business from our existing customers also increased production capacity and which last year we have commissioned a separate unit in Pasha Mahalaram in Hyderabad. So this production capacity and repeated business will enhance our revenues further. And also I just wanted to tell you we wanted to venture into the. We are already signed a long term contract in oil and gas sector for the Weatherford and we are venturing we are creating a dedicated facility in the SCZ to support this vertical. We see promised long term growth potential in this sector and also tapping into the new markets and customer segments. Thank you again once again for your continued support.
With this I’ve opened the floor for discussion and welcome any questions you may have. Thank you everyone.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may first start and one on the Touchstone telephone. If you wish to remove yourself from the question queue you may press star and two participants are requested to use handsets while asking a question. Ladies and gentlemen, we’ll wait for a moment while the question queue assembles. The first question comes from the line of Vipro Sivastava from Philip Capital. Please go ahead.
Vipraw Srivastava
Right. Hi sir. I’m audible right?
P. Srinivas Reddy
Yeah, you are audible right.
Vipraw Srivastava
Great results. Just two questions first of all on the financial side from CFO sir. So what’s the networking capital days you’re expecting by the end of this year? And what’s the capex guidance for FY26?
Gunneswara Rao Pusarla
Hello.
Vipraw Srivastava
Yes.
Gunneswara Rao Pusarla
Yeah. Yeah. So regarding Capex for oil and gas sector we are spending around 70 crores of capex for this year. Other than that there is some sustenance capex and few other equipments which we are buying for this finance it will be around 100 plus crores for this financial year and as far as the next year concerned only around 25 to 30 crores is there as per the like sustenance capex but we will see when any new customers comes we will see at that point of time.
P. Srinivas Reddy
Yeah, he was asking about networking capital base how it will be.
Gunneswara Rao Pusarla
267 days now it was up from 229 to 267. This is the main reason is some of the customers in Israeli area that because of the ongoing war, we could not receive almost $2 million of worth of receivables and some other customers also paid in the first week of July. So if we take into account it will be as it is same as the last quarter. However, we are trying to maintain our working capital days to targeting to reduce our working Capital days to 200 days by end of this financial year.
Vipraw Srivastava
On Blue Manage, you mentioned that they have been winning a lot of orders in us. So the Indian data center space is also evolving in a huge way. So any plans for Bloom to come to India or they will be focused only on the US market?
P. Srinivas Reddy
No, the issue is not about plan. To come to India. The idea is that obviously post RX. Announcement also we got the highest forecast in Bloom for next fiscal year. That’s a very good sign. Right. And then from that they’re also increasing. Step by step the wallet share for MTR at various assemblies. What they’re doing for them I would. See over the next few years probably they will look at doing the complete assembly. I’m just hoping that they will strategy wise also for them for catering to. The Asian markets and Indian markets or the European markets, they could probably look at a situation of directly shipping the products from here back to these countries and taking the products to us for the US market. So that’s I think the strategy that they’re trying to adopt. That’s why our wallet share is also increasing step by step over the last few quarters in what we are doing with Bloom.
Vipraw Srivastava
Right. And so lastly on the aerospace and defense, that is, that is very well in Europe because of the ongoing conflicts in that region. I mean the increased fraction which you are seeing, is it a function of. The conflict in that region or there. Is a structural reason why these companies are tying up with that place.
P. Srinivas Reddy
It’s not entirely because of the conflict. So we don’t obviously none of us. Want any conflict anywhere in the world. Right. So basically if you look at our. Projects, what we’re doing, we are working. With US customers, we’re working with Israeli. Customers, European customers basically for the civil aircrafts primarily and then the defense side also we are working with various projects for all these customers and it’s all based on the needs, what they have. And obviously all these are on long. Term contract basis and we have it IA or oilfield with Weatherford or with any other company like GPane, different companies that we’re working with. So the way we have proven our first articles and the production, what we. Have created, the batch quantities and the Production, the quality, what we have maintained, they’re extremely happy with us and they’re increasing the order book step by step with entire and that’s how you see the numbers growing year on year basis. And we expect the same momentum moving forward as well.
Vipraw Srivastava
All right, thanks a lot sir. Thank you.
P. Srinivas Reddy
Thank you.
operator
Thank you. The next question comes from the line of Piyush Seval Dasani from Sundaram Alternatives. Please go ahead.
Piyush Sevaldasani
Hi sir, thank you for the opportunity in Congress for a great set of numbers. My first question is on the Bloom Energy. When we listen to the commentary from Bloom Energy the thing is very strong. However, we are not seeing that kind of growth in our order influence the clean energy segment. Can you please help us understand when should we expect large orders from Bloom Energy coming in? Should it be second half this year or maybe next year? Also why are growth of only 15% in this segment when Bloom is heading for much higher growth?
P. Srinivas Reddy
Okay, the first answer to your question of order inflow is basically the forecast from Bloom has been given this after. The tariffs were announced. They’ve given 25% higher numbers than what. We are doing this year. So technically the orders is just they’ll follow automatically. So whether it will happen in this. Quarter or next quarter, they will release those orders. So that’s not an issue at all. They’ve already given us the authorization to. Go ahead with the sourcing of raw materials and bought outs for this and they’ve sent an official communication as well. So yeah, so the order inflow is much higher compared to the current year by about 25% or more. And when we talk about the growth, yeah we say conservatively 15, 20% but. We always say that. But we are expecting a lot more. Because of our increase in wallet share in various segments that we are working with Bloom and it’s going to go higher and higher as explained earlier to guys.
Piyush Sevaldasani
My next question is on the nucle. Can you please help us understand where is the order stuff because it’s been quite a time, we are still using large orders.
P. Srinivas Reddy
So look, basically now it’s in very advanced stage. We can expect the orders, some coming. In this quarter, some by next quarter. That’s why CFO mentioned within the next. Three to six months. These orders of close to thousand crores are not part of execution plan for. This current financial year. That’s why we see a lot of. Exponential growth in nuclear division moving forward in the next three years. And all these orders have to be. Executed on a fast track basis within three years. The reason is one is Skigar 5 and six is on a fast track basis. It’s a new reactor, 300 megawatt reactors, two of them and the rest of. Them are the refurbishment reactors that we’re working with. Reactors in Tarapur, Madhya Pradesh, Rajasthan and Chennai. All these are coming are in the pipeline. Tenders have been floated. We have quoted for that. So these are all orders which have. To be executed in 24 months. So there is enough on our plate.
Once these orders kick in for the next three years. And also further four reactors are going. To come in 200 megawatts in Mahibas and Rajasthan. Those tenders are expected. That’s not part of this thousand four. What I was talking about. That is something new which we have come to know recently and that will kick in probably in second half of this year. The tender should be quoted for that as well. Where that’s being worked upon right now.
Piyush Sevaldasani
My last question is on the gross margin. So we saw an improvement in the gross margin despite not material change in the revenue mix. Can you help us understand like which segments have better gross margin because despite clean energy having much higher revenue mix, gross margins have improved.
P. Srinivas Reddy
Gr you want to answer that?
Gunneswara Rao Pusarla
The gross margin. The main reason is we are working on the various long operating cycle projects like civil nuclear power. We have FNBC and FTP systems. Substantial work has been done on those jobs. That is the reason a lot of work is in the in the form of change in inventory. So that is reflecting the higher gross margin and also some of the clean energy products we manufactured for the subsequent quarters. So it means our production is more than the sales during the last quarter despite having good numbers. And we have produced a lot of work in the other areas also that is the reason gross margins were higher.
Piyush Sevaldasani
Okay Prashant, thank you and all the best.
Gunneswara Rao Pusarla
Thank you. Thank you.
operator
Thank you. The next question comes from the line of Renu Bed from IIFL Capital. Please go ahead.
Renu Baid Pugalia
Yeah. Hi, good morning team. My first question is first to understand the 100 crore capex that you have mentioned for this year. Would that entail us picking up more debt or how are we planning to fund this capex?
Gunneswara Rao Pusarla
See we are going to take some debt also maybe 70% is from the debt and 30% internal accruals will do. And already our existing Debt is around 120 crores around that number. So we are repaying the existing debt within two to three years of time. This will be funded by the term loans.
Renu Baid Pugalia
Okay. And secondly I’m not sure if want to clarify did you mention that for the nuclear product, given the demand which is there, we are planning a dedicated facility for nuclear or was it only for oil and gas? Just trying to clarify on that. Again, no oil and gas.
Gunneswara Rao Pusarla
We are setting up a new dedicated facility in SCZ for a civil nuclear power we have. We are also setting up a dedicated facility near our existing units here. But that will be not so big facility. It will be a small facility. Wherever we have a bottleneck server we are addressing through that new facility.
Renu Baid Pugalia
Okay, right. Because the current utilization for nuclear facilities would anyway be running pretty low currently.
Gunneswara Rao Pusarla
Yeah. So existing. Go ahead.
P. Srinivas Reddy
No, no, we have enough capacities. But the only thing is if you look at the quantum of orders we. Are receiving, like if you have to. Execute let’s say thousand crore order book in three years, which has never happened in the past, we have enough capacities but as CFO has mentioned, we’ll have certain bottlenecks here and there which we need to address them and including storage of raw material and stuff like that. Because we’re handling number of projects now. Moving forward from FY27, 28, 29. So we are creating a small facility next to our unit three, if you. Are aware, which is close by where it handles the nuclear division to have.
A support system in terms of addressing these orders and ensuring that these are executed within the time frame. Because Kaiga 506 is a time bound project and also the refurbishment reactors in Madhya Pradesh, Rajasthan, Chennai and Tarapur are. All time bound projects. So we have to ensure that and ensure that we grow in that manner and then we get subsequent reactors as. Well like Mae Bas and other reactors coming in subsequently. Right. So we need to create the support. System to ensure that we exclude these projects in three years time.
Renu Baid Pugalia
And just a little bit more on the nuclear segment. While you did mention briefly in terms of the orders to come through in the next three to six months, can you share a bit more granular updates in terms of where is Kaiga 5 and 6? Stuck card was expected long back. And similarly where are we in terms of project award for the refurbishment projects across the three states that you mentioned?
P. Srinivas Reddy
Kiger 5:6 already as we speak the discussions are going on. As all of you are aware, it’s given to Meil so we have given. 16 packages to them right now. The final negotiations are going on with. The company to finalize it and hopefully. By end of August or September we should be able to freeze the Cagraph. Ian 6 orders what we’re expecting in this quarter. And as far as refurbishment of reactors are concerned, we have quoted for at least about 80% of the tenders. Only one or two tenders are pending which are coming in within the next one week. And the information I have is maximum the outlay of time to get the orders in place for refurbishment of reactors based on the L1 category. We’re expecting within three to six months. Time for all other.
Renu Baid Pugalia
Already announced L1 on these refurbishment projects or
P. Srinivas Reddy
no, not yet. We are more or less highly qualified to do these projects, especially the refurbishment of the Actives. And so basically we are expecting, we are pretty confident of bagging the maximum number of orders and the announcement should be done I think by September, October, you know, by the time they do the evaluation and price bid and all that. Price bid, the opening and all that. So we’re expecting at least the L1 status, we know probably in the month. Of September or October.
Renu Baid Pugalia
Got it. Secondly, when we look at the Bloom Energy portfolio and they have cited pretty strong volumes. So the kind of increase in the wallet share that we’re targeting essentially is around the hot boxes alone or are we also seeing some activities and traction around their other products like partners with them?
P. Srinivas Reddy
So we are seeing the wallet share increase not only in the hot box segment but also in the enclosures and. Other products that we are doing right now over the last three months to six months. So that’s going on step by step. They’re increasing it to ensure that most. Of the work is done back here. And the ultimate goal I think is as I said many years back or even a couple of years back is that they might look at complete assembly. System back in India to cater to various other countries back from India to Europe to Asian countries etc. So that’s how the wallet share has been increasing. Check back separate over the years.
Renu Baid Pugalia
Right. And last question if I can. We’re probably missing some of the comments around space segment. So how has been the business? There are any projects in pipeline? We had some issues with the semi cryo engine. So where is that and the SSLV program where we were investing to have our own independent products. Where are we on the product development side?
P. Srinivas Reddy
See a couple of things here. One is we have been more realistic in our approach keeping the company as taking the future of the company as. The most important factor. First is on the safe side. It’s a stable kind of a business. That we are doing and in fact. We’Re adding, we are hoping that we will back the electromechanical actuator systems for. The space which they participated for ISRO which we have not done earlier. For the first time they’ve done it. So mostly we are hoping that we. Will get that project which is substantial which will be close to about. 60. To 70 crores of business coming in only from EMAs. And apart from that the regular business. Is going on without any hindrance.
The further orders for the are also. Expected during this fiscal year. Large number of detachments are expected during this fiscal year. Other than that, even the carrier engine. Orders are expected now. Semicirio Reno it’s basically if you have heard about this, the chairman of Israel announced that Most probably by FY27 they will launch start using the semicirculate day in and day out to meet and complete the Semicare engine hardware dispatch this year there has been certain design issues. In one of the assemblies which we are working on. Hopefully in this quarter we’ll resolve it along with ISRO and once that is. Done we’re all set to launch the Semicare program successfully this year. So we are hoping for that.
Renu Baid Pugalia
Got it, got it. Thanks much. I have a couple of more questions and come back in the queue. Thank you.
P. Srinivas Reddy
No problem.
operator
Thank you. The next question comes from the line of Bala Subramanian from Arihant Capital. Please go ahead.
Balasubramanian A
Good morning sir. Thank you so much for the opportunities. Congratulations for a good set of numbers. So my first question regarding Bloom Energy orders remained robust around 4,000 hot box units. Just want to understand is there any impact on tariffs or US policy ships like IRA solar subsidy locations?
P. Srinivas Reddy
Your first question. Answer to your first question is we don’t have any kind of impact on. The tariffs being announced by us. As far as the US customers are concerned we are in a technology area. And as I mentioned in my speech. As well based on what we have developed over the years and the cost. Competitive business and the kind of technology. We have developed we have no such indication. And Bloom also announced a very aggressive forecast for next year. Fourth prepared its announcement. So we are just focusing on what we are doing right now in terms of developmental activities and I don’t see that’s going to be any factor as. Far as MTR is concerned. In next three to six months it is basically into like pressurized heavy water reactors or smaller modular reactors. S. These are all.
Balasubramanian A
Okay sir. Okay. And sir, secondly on the battery storage side I think proto delivery when we can expect and when we can do mass production agreements and what kind of revenue potential expected on the UN side and the FL TO assemblies is it is any additional CAPEX required for this assembly and how will compare between AFFLUENCE and hot boxes in terms of margins.
P. Srinivas Reddy
So the margins are probably the similar margins. We can’t just assume that right now. But we are still working on the prototype which hopefully this quarter we should. Be able to complete it. And once that is done and the. Final design and all that is frozen, then we move on to discussing about the future with students. So it’s little premature right now for me to comment on that. But we are in a stage where we have done photo one, we are. Working on proto two and then we move on and we talk about the long term agreement or whatever. So it depends on clearance, how it wants to take it out in the future.
Balasubramanian A
Electrolyzers we have been developed. How do you look at on the scaling point of view and are we participating in PLI schemes? And how will a domestic demand pick up in electrovisited side?
P. Srinivas Reddy
As I said earlier, electrolyzers is going to take time. We need the right infrastructure for that. Not only here but also internationally as well. We have developed it, but we’re just. Waiting even with our partners Bloom to get the order book going on electrolyzers internationally. It has to have the right kind of infrastructure for that. Once that happens, then we’ll definitely let you know about that.
Balasubramanian A
Okay, sir, thank you.
operator
Thank you. The next question comes from the line of me, Jane from Motilal Oswal. Please go ahead.
Ruchit Jain
Thank you for my question. First question is sir, on the product. Business, we saw a growth of 24% this year, this quarter and we expect a guidance around 20% kind of growth. So where do you see which segment are announced? And it was approvals you’re expecting this year for the new product and also in terms of how many products are in the development stage on that. That’s my first question.
P. Srinivas Reddy
So on the product side, basically we are working on ASPs, ball screws, valves, different products. We have actually started executing them as you are aware of it. So mostly on the bulk side we are looking at high traction coming in there on the EMA side as well. And also on the ball sprue side which we got already the export orders from MNC customers which are working on the production right now on the prototype and the volume production as well. So we’re expecting a diversified kind of growth in the products division which were expanded. We have expanded it over our NPD. Division over the last couple of years and we have taken it forward that way. So that’s how we’re going to have. That kind of growth moving forward as well.
Ruchit Jain
Any particular reason for a degrowth this quarter, any delay or any one off.
P. Srinivas Reddy
Not exactly a degrowth because the kind of products requirement that they had for this quarter was slightly less than what. It’S supposed to be. But it’s going to catch up in subsequent quarters. And also we’re adding some more products. Which will be exported during the subsequent quarters as well. So that’s why we’re pretty confident to. Have that kind of growth moving forward.
Ruchit Jain
Okay, so seeing the current geopolitical scenario. Can we assume that this is the reason can be a reason for a decline or the low requirement for this kind of product in this quarter?
P. Srinivas Reddy
No, absolutely not. It is not because of that. It’s because of one of the products like ASPs. There are enough inventory levels in bloom. And they’ve asked us to ship a lot more in the subsequent quarters. And plus we’re adding a lot of. Other products where we’re exporting in ball schools and as well as in walls for the different organizations as well. So it will catch up and we’ll. Achieve that growth by end of the year.
Ruchit Jain
Okay. Apart from the working capital side, we. Talked about the receivable power tax increase to know the inventory. So you see the inventory days both. In the RM and WIP has seen a sequential increase. So is it a seasonal kind of phenomenon or. There are certain inventories in hand. Can you throw some back on that as well?
P. Srinivas Reddy
Yeah, you can go ahead.
Gunneswara Rao Pusarla
Yeah. The reason is as I told you, there are a lot of the work is done in the in the form of WAP in the first quarter. That is the reason for increase in a it will be dispatched in the subsequent quarter and the RM also because of the aerospace revenue which we are targeting more than 100 to 120 crores compared to 45 crores in the last year. So we need to order in a minimum batch sizes so eventually it will come down. But however our target is 200 days. We are targeting by end of this year.
Ruchit Jain
So for 200 days started we need. To decrease our receivable days and days by significant amount. So. Yeah, go ahead.
Gunneswara Rao Pusarla
Yeah, yeah, you go ahead.
Ruchit Jain
So we are expecting like it will. Be a equal proportion between both the. Things or we’ll see 20 days elevated and receivables to be more better going ahead. How it will be?
Gunneswara Rao Pusarla
No, no, see we have. There are credit terms agreed with customer is there. We are focusing on timely collection as far as receivables are concerned and we are trying to reduce raw material days as much as possible. We are trying to, you know, invert the only Just in time in case of raw material, in the case of wip, for example, since we are expecting lot more orders in the nuclear sector, we have to do a lot of work and dispatch in two to three years of time. So the WIP may increase, but the revenues also proportionately will increase.
In absolute terms, WIP may increase, but days may come down because of the higher revenue projections. So receivables we are trying our best and raw material we will. We are trying to reduce as much as possible. And the WIP in absolute terms it may increase, but on the days front it will come down.
Ruchit Jain
Understood? Understood. Okay. Thank you so much.
Gunneswara Rao Pusarla
Thank you very much.
operator
Thank you. The next question comes from the line of Kyokur Kumar Vadalia from Nivishai. Please go ahead.
Keyurkumar Vadaliya
Congratulations on the district. My question related to. I just wanted to know what kind of assembly we provide for the revolution and then the upcoming reactors. And is there any assembly under the development or at the approval side?
P. Srinivas Reddy
No. What all we are supplying to the nuclear division, all have been done by. Entire for a number of years. Nothing to develop this. We have been working with npcl for. Almost 40 years now, Division. So we all develop products and assembly that we have done in the past. And these are all the requirements that they need. And we are one of the leaders in that division. So there’s nothing to develop there. We already developed all these.
Keyurkumar Vadaliya
Okay. And in the refurbishment and the upcoming data, like what kind of opportunity do you see for the reactor?
P. Srinivas Reddy
I can’t quantify the numbers because the. Tenders are on live right now. But it’s a great opportunity. It’s almost like you’re looking at five reactors going under refurbishment, which is happening at one time. So that’s a sizable opportunity that we are looking at. Right.
Keyurkumar Vadaliya
Thank you.
operator
Thank you. The next question comes from the line of Dhavan Shah from Alpha Accurate Advisors. Please go ahead.
Dhavan Shah
Yeah, thanks for the opportunity, sir. So my question is on the Bloom side of the business. If I look at, you know, the Bloom’s presentation, I think they mentioned that because of the increasingly demand in US power demand in the US because of the hyper data center, they are focusing roughly 750 terawatts of new demand by 2030. And they also shown that this new technology of fuel cell which can help, you know, to meet this incremental demand and substitute the demand versus the traditional side of the business. So how do you see the adoption of that technology in US and how is, how are we placed, you know, to capture the potential market from that side of the business.
P. Srinivas Reddy
See that’s what I said. You know, in terms of Bloom, we are working with them for past 1012 years right now. And we have been a very strong supply chain partners for them. So whatever opportunities they have, which is very encouraging for us as well, it flows back into MTAR in terms of the kind of orders we get to supply them the required equipment that they need. And they’re also trying to increase their. Wallet share in each of those assembly’s that we’re supplying to them. So it’s a great opportunity. So we’ll take it step by step. Year on year basis and we are. Well equipped to address their requirements in. Terms of capacities and all that. So that should not be an issue for NCARD even moving forward for the next three to four years.
Dhavan Shah
Is there any metric to understand this 750kWh of demand would generate how many hot boxes demand incidentally for Bloom and. What it all depends on?
P. Srinivas Reddy
No, it all depends on the technology. How it moves from year on year basis. Right. So it’s not necessarily that the hot box today can generate 65 kilowatts, tomorrow it can go up to 75 as well. So each of the hot box generates 65 kilowatts. So it all depends on how we. Move forward step by step in terms of improving the technology give and which we are continuously working with Bloom as as we speak.
Dhavan Shah
Understood sir. And I think your competitor is from Taiwan where in the tariff is roughly 20 odd percent versus our tariff is 25%. So if you can share, you know what is the cost differentiation between us and them, you said that we are lower than them. So if you can help us to understand in terms of the percentage, I.
P. Srinivas Reddy
Don’T know what exactly the. I’m not aware of what prices the Taiwanese supplier is supplying. But as far as one thing is as far as the innovation and various products that we are doing for Bloom. We are far ahead of them. And secondly as far as the capacities. Are concerned, they are far ahead of them. And obviously we have a major wallet share in terms of hot boxes with. Bloom compared to the other competitors. So I don’t want to go into. Specifics but the difference in tariff will. Not make any difference as far as Bloom or entire is concerned. That should not be a matter at all.
Dhavan Shah
Understood. And sir, if I look at, you know the last three four quarters, I think the clean energy from Bloom is doing roughly 100 odd crore of business every quarter for us. So when do we see this 100 can go up to 150200 crore per quarter. If you can help us to understand that stuff.
P. Srinivas Reddy
As I said earlier, you asked the right question as well. So next year we’re looking at about close to 140 to 150 crores of. Revenues coming from loom per quarter
Dhavan Shah
from next year. FY27 you are seeing.
P. Srinivas Reddy
Yeah, okay.
Dhavan Shah
And this year.
P. Srinivas Reddy
This year whatever 100. Plus plus it will be okay run.
Dhavan Shah
That would more or less the same 100 crore per quarter.
P. Srinivas Reddy
The run rate for next is much, much higher.
Dhavan Shah
Understood sir, Understood. And if you can help us to understand this new product development for Fluence. You mentioned in the presentation that the Roto one is already completed. Photo two delivery was also expected to be delivering the first quarter 26. So I. I believe that that might also have been completed. So how do you see that kind of the business confluence, the incremental opportunity per year and from by when can we see that in the numbers? And secondly about the weather for also you can help us to understand the execution is also completely over there. So what could be the opportunity from that? Businesses
P. Srinivas Reddy
See the first step in fluence. What is important is we need to complete with a completely new design. We are doing design and development for. Them and we are doing the productive right now. Once that is completed, then a lot. Of discussions will happen in terms of. Finalizing the final product, what they want to launch. And that will take some time. So what they are looking at is once that is done, then we will be able to talk about the agreement, the future and things like that probably can reflect in FY27. Hopefully. Let’s see how it goes. But we have to wait and watch for that. But we are going in the right. Direction as far as Fluency concerned. Let’s see how it goes.
And Weatherford we are already in advanced stage. In fact, we have almost completed the various assemblies in prototype. And now they’re looking for the batch and volume production. They’ve accessed the recent meetings how much. Capacity that we can spare within the. Existing units because we are building a separate facility for them near the airport which will get commissioned by June of next year. So that will be a full fledged. Program for the next 10 years for weather Port. And also we are looking at other oil and gas companies as well within. The same facilities with different kind of missionary setup. So it’s going in a very positive way. So that will be the add on revenues coming in for the next financial. Year in the oil and gas sector in a big way.
Dhavan Shah
Understood, sir. I have more questions. I get back in queue for the same. Thank you.
P. Srinivas Reddy
Sure.
operator
Thank you. The next question comes from the line of Nikhil Agrawal from Kotak pms. Please go ahead.
Nikhil Agrawal
Yes, good morning sir. And thanks for the opportunity. So my question was for Bloom. You mentioned that Bloom has given a forecast of 25% growth in the hot box procurement. So this is for Mtar specific or is it for the company as a whole? Bloom as a whole?
P. Srinivas Reddy
No, it’s entire specific. The kind of numbers we’re doing this. Year and for next year. If you look at various things that we’re doing for them, that’s what we’re looking at.
Nikhil Agrawal
Okay, great. But so for the energy segment you’ve given a guidance of about 15 to 20%. So are we expecting any pressure on realizations or should we like will you be revising the guidance further as the procurement improves?
P. Srinivas Reddy
See, we have said 15 to 20% but we’re looking at much better percentages. Going forward for FY27. Right. So we just said there’s no pressure on realizations. Absolutely. That’s absolutely out of the window. So it’s going in a very positive. Way in the right direction. And we are very happy that Bloom is also doing pretty well right now. So. The kind of numbers we’re expecting. For next year are substantially higher than what we’re doing today.
Nikhil Agrawal
Okay, so can you help us with the contribution from loom for the last two years and the next two years that is expected? Is that possible?
P. Srinivas Reddy
We have done an average of run rate of let’s say 100 crores per. Quarter or 1101 in that range. So which I can go up to. I mentioned earlier, the question asked me what was asked earlier. The way the kind of forecast is. Given probably might, that’s about 130, 140, 150 crores per quarter.
Nikhil Agrawal
This is, this can pan out from which quarter onwards? Like roundabout
P. Srinivas Reddy
next financial year.
Nikhil Agrawal
All right. All right. Okay. So that’s it for me. Thank you so much.
operator
Thank you. The next follow up question comes from the line of Vipro Shivastava from Philip Capital. Please go ahead sir, with your question.
Vipraw Srivastava
Hello, I’m audible, right?
operator
Yes.
P. Srinivas Reddy
Right.
Vipraw Srivastava
So on the. So Bloom has got one more partner and. Right. For manufacturing. So incrementally, sir, the market share remains the same. Right. Between you and K. My understanding is you want a larger player in terms of market share. So you know, you maintain your share with Bloom. There is no because of charisma, there is no shifting of, you know, volumes to Taiwan. Taiwan is where you winding your Share. Right sir, if I understanding is correct.
P. Srinivas Reddy
Yes, absolutely right.
Vipraw Srivastava
Okay, sir. Got it sir. And the last question, sir, from my end, so obviously budget, last, last budget, there was a change in the nuclear. Now foreign players can also come and. Invest in the country. So you know, from a long term perspective, do you see this having any implication in sector with foreign players coming in? Will you be planning to collaborate with them or will there be a competition to you? Any thoughts on that?
P. Srinivas Reddy
There’s nothing like competition to us. See, we are looking at reactors in. India and the foreign players are like light water reactors and they would also. Subcontract a lot of their requirements back. For the main companies which are qualified to do that. So we can only benefit from that. And it’s nothing like competition out there.
Vipraw Srivastava
Thanks a lot. Thank you.
operator
Thank you. Ladies and gentlemen, in the interest of time, this will be our last question for today. I would now like to hand the conference over to Mr. Srinivas Reddy for closing comments.
P. Srinivas Reddy
So thank you everyone for attending this earnings call. And I would like to mention that we are working towards achieving our guidance for sure for this current financial year. And also we have been doing a. Number of developmental activities for the future growth of the company, which all of. You are aware of. It’s not just about numbers but kind of innovation and development what MTAR is doing for the future growth of the company. And we are right on track with. That and I expect the company to do better and better year on year basis. Thank you so much for all your earnings call. Thank you so much.
operator
Thank you on behalf of MTA Technologies limited that concludes this conference. Thank you all for joining us. And you may now disconnect your lines.