Premier Explosives Limited (NSE: PREMEXPLN) Q3 2026 Earnings Call dated Feb. 20, 2026
Corporate Participants:
T V Chowdary — Managing Director
Vijay Kumar — Chief Financial Officer
Analysts:
Unidentified Participant
Akhilesh Gandhi — Analyst
Niraj Mansingka — Analyst
Varun Jain — Analyst
Paras Kulkarni — Analyst
Varun Jain — Analyst
Presentation:
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Ra.
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Sam.
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Sa. Sam.
operator
Ladies and gentlemen, you have been connected for Premier Explosive Limited conference call. The call will begin shortly. Requested to please stay connected. Ladies and gentlemen, you have been connected for Premier Explosive Limited conference call. The call will begin shortly. Request you to please stay connected. Thank you. Ladies and gentlemen. Good day and welcome to the Q3FY26 conference call hosted by Premier Explosive Limited. As a reminder, all participant line will be in the listen only mode and there will be an opportunity for you to ask question after the presentation concludes. Should you need assistance during the conference call please signal an operator by pressing Star then zero on your test room.
Please note that this conference is being recorded. I now hand the conference over to Mr. Akhilesh Gandhi from Stellar IO. Thank you. And over to you. S.
Akhilesh Gandhi — Analyst
Akhilesh Gandhi on behalf of Stella Investor Relations welcome you all to the Prema explosives quarter three and nine month FY26 earnings conference call. We shall be sharing the key operating and financial highlights for the quarter three and nine months ended on 31 December 2025. Today we have with us the senior management team of Premier Explosive Ltd. Mr. T.V. chaudhary. Sir, he is a Managing Director. And with him we also have Mr. Vijay Kumar. He is a Chief Financial Officer. Before we begin, I would like to state that this call may contain some of the forward looking statements which are completely based upon the company’s beliefs, opinions and expectations as of today.
The statements made in today’s call are not a guarantee of future performance and also involve unforeseen risks and uncertainties. The company also undertakes no obligation to update any forward looking statement to reflect development that occur after the statement is made. Document relating to the company’s financial performance including the investor presentation have already been uploaded on the stock exchange. I now invite Mr. TV Saw to share his initial remarks on the company’s performance for the third quarter and nine months ended on the 31st of December 2025. Thank you. And over to you.
T V Chowdary — Managing Director
Thank you Mr. Gandhi. Good morning everyone. I welcome. You are able to hear me?
operator
Yes, we can hear you sir.
T V Chowdary — Managing Director
I welcome you to the earnings conference call of Premier explosives for the third quarter and nine months ended December 31st, 2025. Thank you for joining us. I trust you have reviewed or Q3 and 9 month FY26 results along with investor presentation available on the stock exchanges and on our website. Our performance during the quarter reflects disciplined execution across our defense and explosives segments despite a dynamic operating environment. While certain projects progressed in a phased manner during the year, our manufacturing operations remained stable and efficient with strong adherence to quality, safety and delivery commitments. The year on year moderation is primarily due to the elevated pace in the corresponding period last year which included higher dispatches of shafts and trays.
Execution timing also influenced comparability. Importantly, the underlying demand environment and operational momentum remain strong supported by a healthy order book and sustained opportunities across domestic as well as export markets. Our outstanding order book stands at rupees 1294 crores representing 3.1 times of financial year 25 revenue and providing strong medium term visibility during the quarter. Consistent execution strengthened our positioning and enabled us to secure larger and strategically significant contracts from the Ministry of Defence, domestic defence players and international customers. In October, we secured a major order worth rupees 429 crores from the Ministry of Defence Government of India for the supply of shafts and players to the Indian Air Force.
This reinforces our leadership in countermeasure systems and reflects continued confidence in our technological capabilities. We also strengthened our order inflow during quarter 3 FY26 through contracts from international entities for defence products and commercial explosives along with additional countermeasures orders from the Ministry of Defense. These projects are progressing across various stages of execution and are expected to support revenue momentum in the coming quarters. Premier occupies a unique strategic position as the only Indian company qualified to manufacture countermeasures and as a key exporter of fully assembled rocket motors. Our portfolio of warheads, mines and ammunition further strengthens our role in advancing India’s indigenization objectives.
With continued policy emphasis on domestic defense, manufacturing and import substitution, structural growth outlook remains strong. Our focus is clear. We will drive execution excellence, deepen technological capability, scale capacity prudently and expand our global presence. We remain confident in our growth trajectory and committed to delivering sustainable value of all stakeholders. Thank you. Now I request Mr. Vijay Kumara was here for to share the financial performance. Thank you, sir.
Vijay Kumar — Chief Financial Officer
Good morning everyone. The result presentation for the quarter ended December 31, 2025 has been uploaded on the stock exchanges and on the company’s website. I believe you may have gone through the same. The revenue from operations for Q3FY26 stands at 81.4 crores. Our operating profit for Q3FY26 stands at 11.6 crores. The operating margin for the quarter stands at 14.3%. We reported a net profit of 6 crores. The PAT margin for the quarter stands at 7.4%. The revenue from operations for 9 months FY26 stands at 299.1 crores. Our operating profit for 9 months FY26 stands at 39.1 crores.
The operating margin for the quarter stands at 13.1%. We reported a net profit of 39.2 crores. The PAT margin for the quarter stands at 13.1%. The decline is primarily attributable to the high base effect arising from the elevated shafts and plates dispatches in the corresponding period last year with the execution timing affecting year on year comparability. Now coming to the order book. The company’s current order book stands at 1,294.6 crores out of which the defense segment order is majority of 1191 crores which is equal to 92% of the total order book. Explosive segment stands at 51.8 crores which is equal to 4% of the total order book.
And service segment which is operation and maintenance service segment stands at 51.8 crores which is also equal to 4% of the total order book. The order book shows a solid and strong growth towards the coming years. We are very much content that with our continued execution run rate in the forthcoming quarters we’ll be continuing with the growth trajectory. With this we now open the floor for questions and answers.
T V Chowdary — Managing Director
Thank you.
Questions and Answers:
operator
Thank you. Ladies and gentlemen, we will now begin with the question and answer session. Anyone who wishes to ask a question may press star and one on their touch tone 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. Our first question come from the line of Neeraj Mansinka from White Pine Investment Management. Please go ahead.
Niraj Mansingka
Thank you for the opportunity. I have one question. If you see your order book is 1191 crores. Such as last week quarter september quarter 1167 cr it implies an increase of 85 crores in you know, net orders after adjusting for the revenues. Because revenue reported for the defense is only 61 crores now. But when you reported in the press releases, we reported an inflow of 519 crores on shafts and flares. The three orders we already put it till now. So what is the discrepancy like has the orders of. So the. The discrepancy is almost. You should have added 519 crores.
But it seems that you have added 85 crores only. So has the some orders been cancelled to the extent of 400 plus crores.
Vijay Kumar
Know that 430 crores has come in October. So in the last call we have added that also and gave the total number.
Niraj Mansingka
Okay, so you. But that was a quarterly presentation.
Niraj Mansingka
So you added that in the last
Niraj Mansingka
quarter and gave that.
T V Chowdary
Yeah, yeah.
T V Chowdary
Because that time by the time we got the order as on that date.
Niraj Mansingka
So, so, so whatever orders right now you’re putting the presentation. No, it is as on 15th, February or so Is it right? Or is it as on December 5th?
Vijay Kumar
Yeah, as on date.
T V Chowdary
That date.
Niraj Mansingka
Okay. Okay, got it, Got it. Yeah. Thank you. I’ll come back.
operator
Thank you. Next question come from the line of Varun Jen from D Capital. Please go ahead.
T V Chowdary
Yeah, hi. Good morning sir.
Varun Jain
So I have a couple of questions. So first is sir, what is the status of this explosive IDX HMX Expansion act tap? So will it be completed by the end of this financial year and do we expect like 100 to 200 cr extra revenue from that in FY27?
T V Chowdary
No, the civil construction and work and all those are completed. The equipment installation and direction is going on. So we expect this to complete and then come into production in the first quarter of next financial year.
Varun Jain
What will be the revenue from this expansion in FY27?
T V Chowdary
That being the initial few quarters, it will be on lower side because we’ll be slowly operating it. So we are expecting almost in the next financial year a contribution of much around. The turnover contribution will come to around 150 to 200 crores in the next financial year.
Varun Jain
Okay, answer of this Sharks and players orders which we received in October. So sir, will be how much of that order’s contribution Contribution will come in FY27?
T V Chowdary
Yeah. Almost 50% of that order has to be executed in the one year time and we have to complete it by next year.
Varun Jain
So sir, in that case that 430 from that and you know 150 from that. So only these two major orders will give you close to 550600 crores of revenue in FY27. If I’m understanding it correctly,
T V Chowdary
doing some in the current. Current financial year and the part will go to the next financial year. It’s not. The entire order will go to next financial year.
Varun Jain
Okay. And sir, on this year.
T V Chowdary
We are not able to hear you.
operator
I’m sorry somebody voice is breaking.
Varun Jain
Sir, I was saying that last quarter we revised our guidance down to 500 to 550cr for FY26. Is that number still possible?
T V Chowdary
Yeah. Now the year is coming to closer to end and we have stocks which need to be inspected and delivered to mod. So if the inspections are completed and then delivery is completed. Yes, if it gets into then it will go to the next quarter.
Varun Jain
Okay sir. Okay.
T V Chowdary
That’s.
Varun Jain
I’ll come back in the queue.
operator
Thank you. Next question come from the line of Hitanshu Bhatia from Sukrit Investment Private limited. Please go ahead.
Unidentified Participant
Hello sir. Thank you for taking my question. My question was that in our second
Unidentified Participant
last page of a presentation we have mentioned anti personnel and anti armored vehicle mines as a product offering.
Unidentified Participant
So could you please throw some light on it.
T V Chowdary
Yeah, we already we got an supply order and then we are executing that. We’ve already done almost 50% of it. The balance now it is in the deliveries and then inspections. So sir, is it related to project Pandav? Because as per reports of solar industry is developing an anti tank influence mine. So sir, how are we lining up against it? Sir, we are working with DRDO technology. Anti tank intelligent mine. Yeah. DO has transferred us technology. We are on that. But that product we are yet to get supply order to is completed. We are waiting for the supply order from army.
Unidentified Participant
Okay.
Unidentified Participant
So because the RFP is out for a project condo.
Unidentified Participant
So that brings up this question.
T V Chowdary
So no we are not doing condo. It’s their own.
Unidentified Participant
Okay, thank you.
operator
Our next question comes from the line of Paras Kulkarni from Ignite Capital. Please go ahead.
Paras Kulkarni
Yeah, so my first question pertains to the order inflows in second quarter Conference had guided that we would be expecting additional 300 crore order inflow for the next for the remaining part of this year. However when I look at it on a run rate basis we don’t seem to be you know in Q3 not even half of that guidance is being met. So could you highlight you know what led to the lower order booking in Q3?
T V Chowdary
The order book is. I couldn’t understand on what basis you said the lowering of the order book as 100. The order book is 1290 crores.
Paras Kulkarni
Yeah.
T V Chowdary
Yeah.
Vijay Kumar
So we got a new order of 430 crores in October.
T V Chowdary
Yeah. See as we keep on executing it comes down and as the new orders get added it goes up. So we are able to maintain the author book.
Paras Kulkarni
No, we are actually operating at less than 1 build to book. As per my understanding
T V Chowdary
it is 1294
Vijay Kumar
means it is 2 years.
Paras Kulkarni
Okay. Secondly on the gross margin front we have had a sequential decline of almost 100 150bps. So can you put some light on that as to why it has happened? And was it on account of some change in revenue mix or input in raw material prices?
Vijay Kumar
Earlier we had this modi order where we had LDs and all these things because of that, that was on the lower side. Otherwise we are targeting 15 bits, 15 to 20% EBITDA.
Paras Kulkarni
Okay, got it. And lastly on the revenue front,
Paras Kulkarni
see
Paras Kulkarni
to achieve the yearly guidance we need to, you know, almost do 3x of 3 to 4x of what we did in Q3, the revenue for Q4. So do we expect any change in guidance given that the orders which you mentioned are still not getting executed or are not getting inspected? So is there any definitive timeline as to the orders getting inspected from the government and getting executed? Because what I understand is your peers have actually had a strong quarter in the defense segment. So could you throw some light on that?
T V Chowdary
Yeah. See the third quarter, whatever deliveries have to be made, it has already started and from the stocks. See the defense MODI processes. Any product before you dispatch, you have to offer for pre dispatch inspection. So we have already submitted to them for connecting pre dispatch inspection. And as for the team arrival and then inspection, it depends if we can deliver them before 31st of March they appear in this quarter. Otherwise we will go to the next quarter. We are trying our best to get them forward rather than pushing them.
Paras Kulkarni
Okay, got it. I’ll join that.
operator
Thank you. The next question comes from the line of Sukhrit from Eyesight Pinterest Private.
Unidentified Participant
Good morning to the team. I have two forward looking questions.
Unidentified Participant
My first question is as premier explosives expand into the defense and aerospace. What steps will you take over the next one to two years or you
Unidentified Participant
know in the short term one to
Unidentified Participant
two quarters to mitigate risk from defense
Unidentified Participant
procurement delays and ensure steady execution in long cycle contracts. That’s my fourth question. I’ll ask my second question after.
T V Chowdary
Yeah, this is. See as we explained earlier also we are building our. We have bouquet products and we are increasing the bouquet. Adding more products like we added or a few years back if you remember we were our concentration was producing propellants and then rocket motors for Indian agencies and drdo. Today we are already exporting rocket motors and we are designing and all those next step we added is countermeasures. Countermeasures. We are the number one in the country. We are the only source for countermeasures. Whatever orders are, we are executing from that. The third one is the mines we have started delivering in this financial year.
The mine land mines and anti personal mines. We are on the armored vehicle mines and all those. We are. If you start delivering the personal minds we are already delivering then next step comes is the ammunition. Ammunition? Yes. We have conducted Trials with ARB technology and all those. Again it is in the process of rfp. Once we get into. We’ll be entering the complete medium caliber ammunition line of business. So we are going on adding within the defense and then aerospace industry. There are multiple products. We are going on adding one after the other. And we are also expanding our capacity of producing tactical rocket motors by adding another facility.
Unidentified Participant
Thank you. My second question to Mr. Kumar is
Unidentified Participant
looking ahead, how will you design premier financial discipline to handle raw material cost volatility and working capital tied to defense
Unidentified Participant
contracts while still protecting margins and delivering a predictable shareholder return?
Vijay Kumar
We have lines of credit from all the banks so we do not foresee any working capital issue. So depending on the product and project we plan working capital accordingly. And also the margins are also protected. When we accept the.
T V Chowdary
And we every export order we execute or we take we are including a price escalation class from year on year so that the price increase in the raw materials is protected.
Unidentified Participant
Thank you and best wishes.
Vijay Kumar
Thank you.
operator
Thank you. Our next question come from the line of SC Gupta from an individual investor. Please go ahead.
Unidentified Participant
I would like to know what is the breakup of exports and domestic sales in the current quarter and nine months.
T V Chowdary
In month Export is about 40 crores
T V Chowdary
compared to total year exports of about
T V Chowdary
78 crores in current quarter. Current quarter 40
T V Chowdary
previous quarter, third in December quarter.
Unidentified Participant
And what is, and what is the
Unidentified Participant
breakup of export and domestic orders? As on date.
T V Chowdary
Export is about 450 crores. Balance is domestic, balance is domestic.
Unidentified Participant
See all the export order which you have given on BSC normally mention supply period of 12 months. Maximum 12 months.
Vijay Kumar
12 to 24 months. Some of them.
Unidentified Participant
Okay. Because what I observed is most of them are within 12 months. So in that case if you have to deliver this in 12 months. So current year we will be exporting at least 400 crore next year. That is 26, 27.
T V Chowdary
Here you have to note one thing. All these export need export licenses for this. Yeah. So the date the the clock starts from the day of receiving the export license.
Unidentified Participant
Okay. It is not from the date of order. It is from the date of receiving the export license.
T V Chowdary
Yeah. Because they all know we we tell them in the beginning itself we can supply only once we get the export license which takes anything three to five months.
Unidentified Participant
Okay. May I know as on today how much export license we have to export?
Vijay Kumar
They are in there in different stages. Maybe in the next 12 we can update.
Unidentified Participant
So normally can we expect that these 450 will be executed maximum within one and a half years. Or two years.
Vijay Kumar
Yeah, that.
T V Chowdary
Yeah, that assumption that assumptions may be okay.
Unidentified Participant
And secondly this is with respect to the turnover. We started the year guidance of 600 crore. Now then we have come to guidance of 500 to 550 in the last quarter. And now also this 500 to 550 also looks little bit shaky depending upon the inspections. But does this inspection delays somewhere end what I’m trying to say that previous inspection get delayed and it transformed to next quarter. So it becomes a normal lead time in delivering the order. So considering that, are we sure that this year we will be able to achieve at least around 550?
T V Chowdary
We are targeting 500 crores. You know that we had accident in the beginning of the year because of which our large rocket motors facility got affected. So that time it will be told around 20 to 30 crores business will be affected at that time. Okay. Yeah. And also you know the geopolitical conditions. Yeah. Because of that some of the inputs which you are importing got delayed.
Unidentified Participant
Okay.
T V Chowdary
So these have affected our targets and that’s what happened. So we are hoping that right now current year are coming year problems are not foreseen. So we are hoping that we’ll cover up, that we will achieve that.
Unidentified Participant
And secondly, are we expecting any LD on this?
T V Chowdary
Yeah, the LD clauses are there. But when we submit a detailed all the reasons for this.
Unidentified Participant
Yeah.
T V Chowdary
In many cases they have considered favor of ld. So any such things also there we are approaching them.
Unidentified Participant
And one final question. Can we assume that next year we can achieve a turnover of 7 to 800 crores because of these delays whichever is postponed in the current year?
T V Chowdary
Yeah. Because of our experience on the current year we are a little cautious in taking that one. We are expecting 500 to 600 crores per note next year.
Unidentified Participant
That is conservative estimate as on date based on that.
T V Chowdary
Yeah.
Unidentified Participant
Thank you. Thanks a lot.
operator
Thank you. Ladies and gentlemen. Anyone who wishes to ask a question may press star and 1. The next question comes from the line of Neeraj Mansingha. A follow up question from White Pine Investment Management. Please go ahead.
Niraj Mansingka
We are present in the qr. Sam.
Niraj Mansingka
And so what is the general
Niraj Mansingka
percentage share of qr? Some orders that we should receive.
T V Chowdary
The care Sam order is yet to be received. We are also hearing about qrfam. But right now we have no other if any other comes here. The supplier, the propellant is to be supplied by only Premier.
Niraj Mansingka
That I understand. So whatever is the percentage the main supplier regulates, how much percentage of that would you be getting Generally on a drain which you can give us I
T V Chowdary
told you earlier also it is somewhere around 10 to 15% is the percentage contribution of propellants bias and other explosives. It varies but from motors to motor.
Niraj Mansingka
Okay. Are you supplying full rocket motors or only the proper length for 3 KSI?
T V Chowdary
Only propellant casting.
Niraj Mansingka
Only the propellant. Full motors?
T V Chowdary
Yeah, not full motors assembled by video places operators for propellant. We supply them with a propellant cast. Then they do the full full motor assembly and integration.
Niraj Mansingka
Got it. So that’s one. So second question is on the count countermeasure orders that we received earlier. Which is in 2023 July. So that has been how much is left on that part. In terms of unexecuted portion.
Vijay Kumar
Around 110 crores is left out.
T V Chowdary
We have completed the shaft shafts compatovic. Some quantity of flesh is left over. That is around 120 crores. Yeah. Which we are hoping that in the first quarter will complete that.
Niraj Mansingka
And the order which is yet to be checked and booked on revenues, are they included in that? 110 crores includes that or excludes that?
T V Chowdary
No. 110 quotes is whatever we have delivered. Magazines and stocks are not in that. That is additional. Which we are thinking that in the next month or in the first quarter of the next year we’ll be able to exit.
Niraj Mansingka
And how much is the stock which is yet to be pending to be verified by the defense.
T V Chowdary
Around 30 crores worth. Material is with us as on date. And some more is on the pipeline. Yeah.
Niraj Mansingka
So is it right that then the countermeasure revenues to be booked on the earlier order is 140 crores.
T V Chowdary
110 is yet to be executed as as on date.
Vijay Kumar
Outstanding is about 110 crore.
Vijay Kumar
That includes this cost.
Vijay Kumar
Everything all inclusive.
T V Chowdary
Yes.
Niraj Mansingka
Okay. Got it, sir. So that’s one and so on the LD numbers of countermeasures. You said that in the past that the reversal of margins can come after only you supply the entire order. So what is the status of that?
T V Chowdary
Like we told now, Only the flare part 34. Sorry. 60 crores of flares are there is to be supplied and counter with this shafts. We have already approached MOD for considering error of LD and place. We will approach once we complete this.
Niraj Mansingka
So you have approached for the shaft. But the decision is yet to be seen. Is it right?
Vijay Kumar
It has to go from various levels.
Niraj Mansingka
Okay. Okay, got it. So thank. Third, can you tell something about the RFP on the mine side?
T V Chowdary
RFP on mines? We have. We are supplying exhibiting the order. It’s no more in RFP stage. Other mines? Yes, the anti armored vehicle intelligent mine which are there in the. And we are waiting for the RFP
Niraj Mansingka
to come how large that they can be the the numerator value.
T V Chowdary
Mines. We have to supply around 30 crores of mines each Friends future you are.
Niraj Mansingka
No.
Niraj Mansingka
So I’m asking of the upcoming mines that are going to upcome how much is how large can those mine RFPs?
T V Chowdary
It is going to be large from our estimate But I can’t tell you the figures because the mines are needed by army all along the. All along our border when there are tensions we have to plant so right now the demand will remain continuously for the anti personnel and also for anti armor.
Niraj Mansingka
Okay. Okay. So great. Thank you. I come back.
operator
Thank you. Next question comes from the line of Varun Jain from Doroth Capital. Please go ahead.
Varun Jain
Yeah, just a follow up sir. What is your capex guidance for FY27 next year and 28.
T V Chowdary
The next financial year
Varun Jain
Next year and next to next year?
T V Chowdary
Yeah, around 60 crores is the CAPEX.
Varun Jain
Answer. Any update on the Odisha Capex? Since we have a board permission to raise funds what is the status there?
T V Chowdary
Land is still not finalized because we happen to go in then fee and look for the land so it’s more of hilly and forest and all those. In the meantime the Andhra government has cleared our application for land in Andhra so that appears to be more closer than Odisha. The pro letter is activity so that. That also will add to our CAPEX plan once the land is allotted to us.
Varun Jain
And so this 60 crore which you said for FY27 what is the breakup of that?
T V Chowdary
We have expansion planned in Kapalli plant and also at VDK plant. Additional capacity of propellant manufacturing and casting and also integration of rocket motor integration. So all those areas and also for RDX and HMX plan. So all these activities we are expecting a 60 crores of capex in the financial year
Varun Jain
for this RDX and HMS capacity. I think the current round of CAPEX you are taking it from 110 to 600 or so. So beyond that also you are taking in FY27. If my numbers are correct
T V Chowdary
yeah CAPEX wise I. I don’t think we’ll do in PDK that will be finishing in the current year and probably year FX 26 first quarter or two. So after that I think we’ll be full. There’ll be no possibility of adding anything because of the land constraint. So we have to go to the new place. Okay.
Varun Jain
And enter any. Any like capex plans for FY28. Have you chalked out or not yet?
T V Chowdary
No, not yet. We have plans but I don’t think
T V Chowdary
the land is allotted.
T V Chowdary
Once the land is allotted we’ll otherwise. Now we are at the stage of project report submission for allocation of land and other things. Okay.
Varun Jain
Okay, sir. And it’s my last question is that sir, for FY27 I think your majority of revenue will come from one these shafts and players orders. And secondly the HMX and RDX sales which will be 150 crores or so. So next year the EBITDA margin console. EBITDA margin should be close to 2021. 22% in that range.
T V Chowdary
Right. That also is there. And we have other products also. So it can be anywhere between the 15 to 20% based on the product mix what we supply.
Varun Jain
And because majority of it will be will be coming from these products. And they are very, you know, higher margin products. And especially with RDX and HMX they have a very presently. So that’s why I was asking that it should be on the higher side, right?
T V Chowdary
Yeah, we are hoping that it will be higher side. We are also hoping that based on the present orders and also. Yeah. Product mix.
Varun Jain
Okay. Okay. So that. That’s all from me. Thank you. And all the best.
T V Chowdary
Yeah.
operator
Thank you. Ladies and gentlemen. Anyone who wishes to ask a question may press star and one on your touch on telephone. Our next question comes from the line of Deepak Carver and individual investor. Please go ahead.
T V Chowdary
Hello. Yes. Yeah.
Unidentified Participant
Thank you for the opportunity.
Unidentified Participant
Sir.
Unidentified Participant
My first question is regarding our cash conversion cycle has improved significantly over 300 days in past few years to around 90 days currently. Like going forward on sustainable basis. Where do you expect the cash numbers in cycle to stabilize?
Vijay Kumar
You are trying to maintain this? Actually that depends on the product. Maybe go with the Ministry of Defense and other things. That takes little time to get the fund. So rest of the people we have a fixed timeline. So anyway we are trying to maintain this.
T V Chowdary
Okay.
Unidentified Participant
And like additionally on the working capital side, how much working capital would be required to execute the current order book of approximately 1300 crores?
Vijay Kumar
We have sufficient working capital lines. Lot of banks are ready to give further working capital also. So on the need basis we are taking it. That’s why our finance cost is also lower. Wherever it is required, we are taking it. Otherwise we are not. We are utilizing it from the advances in the customers and others.
T V Chowdary
Okay.
Unidentified Participant
And are we expecting any sustainable order for bulk exclosures? Any order we expecting to receive from Coal India.
T V Chowdary
Coal India. The prices are so low. So unless we get our price at a reasonable price which at least breaks even we are not entering into that. So right now we are not supplying any bulk explosives to Coal India. Some accessories are being supplied. We are right now servicing synchronic always in two mines with the bulk explosives. And all those Coal India plants are understood now.
Vijay Kumar
Okay sir.
Unidentified Participant
Understood sir. Thank you sir. All the best for further.
T V Chowdary
Thank you.
Vijay Kumar
Thank you.
operator
Thank you. Ladies and gentlemen. Anyone who wishes to ask a question may press star n1 on your touch on telephone. As there are no further question from the participant. I would like to hand the conference over to Mr. T.V. chaudhary for the closing comments. Thank you. And over to you, sir.
T V Chowdary
Thank you very much, Mr. Gandhi. Thank you very much all of you for supporting us. And time to time this conference call could not be conducted immediately after the board meeting because I was traveling for
Vijay Kumar
land and other things to Andhra government.
T V Chowdary
So we will inform all of you whenever the land allotment is completed. Thank you. Thank you.
operator
Thank you so much, sir. Ladies and gentlemen, on behalf of Premier Explosive Limited that concludes this conference thank you for joining us. And you may now disconnect your line.