Siyaram Silk Mills Ltd (NSE: SIYSIL) Q4 2025 Earnings Call dated May. 14, 2025
Corporate Participants:
Ayushi Gupta — Analyst
Gaurav Poddar — Chief Executive Officer
Surendra Shetty — Chief Financial Officer
Priti Agarwal — Analyst
Analysts:
Dixit Doshi — Analyst
Naitik — Analyst
Dishant Jhaveri — Analyst
Nirav Savai — Analyst
Unidentified Participant
Devanshi — Analyst
Presentation:
Operator
Please wait while you are joining the conference. The conference is now being recorded ladies and gentlemen, good day and welcome to the CRM Silk Mills Limited Q4 and FY ’25 Earnings Conference Call. As a reminder, all participant lines 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 the conference call, please signal an operator by pressing star then zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr Mrs Ayushi Gupta from Orient Capital. Thank you, and over to you, Ayushi.
Ayushi Gupta — Analyst
Thank you. Good afternoon, ladies and gentlemen. I welcome you all to the earnings conference call of CRM Mills Limited to discuss the Q4 FY ’25 business performance. To discuss this quarter’s Performance, we have from the management, Mr Gaurav Podar, President and Executive Director; Mr Ashok Jalan, Senior President and Director; Mr Surendra Shetti, Chief Financial Officer; and Mr Prakash Talnia, President of Finance. Before we proceed with this call, I would like to mention that some of the statements made in today’s call may be forward-looking in nature and may involve risks and uncertainties.For more details, kindly refer to the investor presentation and other filings that can be found on the company’s website. Without further ado, I would like to hand over the call to the management for the opening comments and then we will open the floor for Q&A. Thank you and over to you,, sir.
Gaurav Poddar — Chief Executive Officer
Good afternoon, and a warm welcome to everyone joining us today and thank you for being part of the Q4 FY ’25 results conference call. I hope you all have had the opportunity to review our financial results and investor presentation, which have been uploaded to both the stock exchange and our company website.
Has built a legacy of excellence by seamlessly blending timeless tradition with contemporary innovation. This commitment is reflected in our high-quality fabrics and garments and forward-thinking designs, which have helped us establish a strong presence in the market. We are uniquely positioned to offer versatile and timeless styles suitable for every occasion.
Our diverse product portfolio showcases our dedication to craftsmanship, style and adaptability, positioning us as a trusted market-leader. In Q4 FY ’25, the overall consumer demand environment remained mixed. The tailwinds from the festive and wedding season in Q3 extended into January, but gradually moderated into the following month.
The retail industry is expected to grow, supported by income tax relief that is likely to boost disposable income, expectations of easing inflation and a growing middle-class population. We believe consumer confidence will improve, paving the way for gradual recovery in discretionary spending in the coming quarters.
The Indian consumer has evolved significantly over the years, increasingly seeking quality products, value-for-money pricing and easy availability. At CRM, we are well-prepared to meet the changing expectations. As highlighted in the previous quarter, we have expanded beyond our core fabric business by launching two new brands, ZCO, which is focused on fast fashion and, which is focused on ethnic.
This strategic expansion reflects our commitment to staying aligned with shifting consumer preferences and dynamic market trends. Starting from second-half of FY ’25, we have successfully opened a total of 19 stores, 12 recoat stores and seven stores. During FY ’26, we intend to open about 35 new stores across both brands.
We are actively ramping-up our marketing efforts to support the growth of our direct-to-consumer business. To drive stronger consumer engagement, we have started hosting small localized in-store events and holdings. We are pleased to share that the Board of Directors has approved a total dividend of INR12 per share on shares at a fair-value of INR2 each for FY ’24-’25, amounting to a total dividend payout of INR54.4 crores.
This reflects our continued commitment to delivering value to our shareholders and highlights the company’s stable financial performance and confidence in future growth. Additionally, I am pleased to report that we have commissioned captive rooftop solar power, generating approximately 50 lakh units of electricity across all our manufacturing units as of FY ’24-’25.
We remain committed to sustainability and we’ll continue to explore further avenues to increase our use of green energy. As we look-ahead in the long-run, we remain focused on healthy margins in-spite of an increase in spend towards new-store opening and increased marketing for all our brands. Our approach is designed to capitalize on the opportunities emerging from a stabilizing economy and a rising consumer purchasing power.
With a continued emphasis on productivity, efficiency and profitability, alongside continuous improvement in our products and service, we are well-positioned to enhance stakeholder value and drive the next phase of growth. Thank you for your trust and support. Now I would like to request our CFO, Mr Surendra Shetti, to share highlights of the financial performance. Thank you.
Surendra Shetty — Chief Financial Officer
Thank you,. Good afternoon, everyone. Let me take through our standalone financial performance for the 4th-quarter and full-year financial year ’25. Our total income for the quarter-four financial year ’25 stood at INR750 crores as compared to INR653 crores in the same quarter last year, quarter-four financial year ’24.
So crashing year-on-year increase of 14.8%. For the financial year ’25, total income reached INR2,296 crores, up from INR2,025 crores in financial year ’24, reflecting a year-on-year growth of 8%. Our revenue mix comprised of fabric at 81%, garment at 13% and others at 6% in the financial year ’25. We are pleased to report an EBITDA of INR125 crores for the quarter financial year ’25 compared to INR112 crores in the quarter-four financial year ’24, reflecting a year-on-year growth of 11.5%. The EBITDA margin for the quarter stood at 16.7%.
For the financial year ’25, EBITDA stood at INR353 crores as compared to INR322 crores in the financial year ’24 with a year-on-year increase of 9.4%. EBITDA margin for financial year ’25 stood at 15.4%. Furthermore, our profit-after-tax for the quarter stood at INR73 crores with a PAT margin of 9.7%.
For the financial year ’25, PAT stood at INR199 crores compared to INR185 crores in the financial year ’24, marking a 7.6% year-on-year increase. Thank you. That is all from my side. And now we can open the floor for the question-and-answer.
Operator
Thank you very much.
Questions and Answers:
Operator
We will now begin the question-and-answer session. Anyone who wishes to ask a question may press and one on their touchstone telephone if you wish to remove yourself from the question queue, you may press and two. Participants are requested to use handsets while asking a question.
Ladies and gentlemen, we will wait for a moment while the question queue assembles the first question is from the line of Priety Agarwal from SK Associates. Please go-ahead hello otherwise you can go-ahead with your question. Hello, yes, ma’am, you are audible. Yeah. Thank you so much for the opportunity.
Priti Agarwal
Hello, yes, ma’am, you are audible. Yeah. Thank you so much for the opportunity. My first question to you is, given the challenges of opening new stores at a rapid pace in the current environment, how do you plan to shift your focus towards driving a driving like-to-like growth. What strategies are you implementing to ensure that existing stores are performing optimally and contributing to overall growth rather than just relying on new stores opening?
Gaurav Poddar
Thank you for your question. So as you know, this retail business that we recently started, both DeVo and have been started from the second-half of last year. So we are still in the phase of — the first phase of expanding our stores. Like-to-like growth will start coming in only towards the end-of-the year, maybe next year.
At the moment, we are starting to just in a phased manner, open our first set of stores. We’ve got 19 totally so-far and we continue to open more in this year. And of course, the focus will also remain on business operations and not just both from new-store openings, but making sure that these stores that we have already, we start to get more, better operational metrics from them.
Priti Agarwal
Okay. Okay. And my second question is what was the strategic rationale behind choosing the CO, CEO model for your fast fashion and ethnic wear retail stores? How do you believe this decision will impact scalability and profitability in the long-run? And additionally, are the stores opening concentrated in premium locations?
Gaurav Poddar
So to answer the first part about company-owned, company-operated. So the company has a strong network of dealers and retailers across the country through our traditional business channels of fabric as well as garment. However, for this new business, we decided to open company-owned showrooms.
The primary reason for that was to test out the market conditions and being able to control the journey from opening the store, running the operations as well as, you know, selling these products and getting a sense of the consumer taste and preferences. We believe that in the initial stage Coco format is very important so that we are Able to showcase and test for ourselves, operationally improve and then showcase the operational metrics for the brand and eventually a franchise route may follow. The faster scale of expansion obviously comes with a franchise route as you already know, but that is at a later-stage once there is performance in the business and something to prove for an investor to put money in. The second part of your question talked about locations of these stores. So as a strategy, we have followed a cluster approach where in both and Zeco, we had identified particular areas where we want to open these stores. So Devo, we started in Delhi and UP, basically North India, and we’ll continue to expand in North India, which are prime — premium locations as well as all kinds of locations that we get good footfall in, which might be malls or high streets as well as in, we started looking at Karnataka as a sector, as a cluster and we will continue to focus on South India with again Bangalore being the primary hub and then Tier-2 cities around Bangalore to support these stores.
Priti Agarwal
Okay. Thank you so much.
Operator
Thank you very much. Participants who wish to ask que`stions may press star and one at this time. The next question is from the line of Dixit Roshi from Whitestone Financial Advisors Private Limited. Please go-ahead.
Dixit Doshi
Yeah, thanks for the opportunity. If you can broadly touch upon some of the key metrics like for this code and and what kind of square feet we are currently operating and a per store-sales or per square feet sales, if you can explain. So both Zcoat and follow very different business models.
Gaurav Poddar
Zcoat is in the fast fashion business where we sell men’s, women’s and kids apparel at a very value segment in the fast fashion business. This model, when we started, initially we experimented with two different store size models. One was approximately 4,000 to 6,000 square feet, which was like a small box and the larger one was between 7,000 to 10,000 square feet.
Increasingly, so in the last year, we have experimented with both these formats and increasingly found that there is a little bit better performance in the larger-format. So increasingly, we will be looking at more on the 7,000 to 10,000 square-foot kind of store size. Within Devo, we — we — this ethnic wear space, mid to premium segment for men’s.
We identified a store size between 2,000 to 4,000 square feet and that is going to be the size that we’ll continue to open. More than that, the sales parameters and the performance operationally, it would take some a few more quarters to actually start getting into those numbers because the stores are very new.
We’ve only seen about four, five months of sales in very few of the stores and we would ideally wait for a few more quarters to talk about operational performance.
Dixit Doshi
Okay. But can you broadly say that how — how was your experience — I mean, the performance are below your expectation or above your expectation
Gaurav Poddar
Or so in general, for both the brands we have received, we are very excited about the business and we’ve received very positive feedback for the products and for the way we’ve positioned the brands in the market from the consumers. There are a lot of feedback that we receive on a daily basis and we are very — there is a lot of enthusiasm in the team with the feedback that has been received so-far.
Dixit Doshi
Okay. And okay. Yeah, that’s it from my side. Thank you. And yeah, one more question. So on this margins what we have reported for the consol numbers, this must be having some losses from these two businesses, and. So going-forward, now we are expanding more next year. So do you feel that still we’ll be able to maintain these kind of margins?
Gaurav Poddar
So we have an indication of, of course, as you rightly mentioned, for this last year, the — it was only a matter of, I think, five, six months when we started opening the stores and the numbers were very, very small in that sense. But the expansion will take more shape in this year and of course, there are going to be some losses from the new business, but we are confident of our traditional business and we hope to maintain this 14% kind of number plus or minus for the this year as an EBITDA margin.
Dixit Doshi
Okay. Okay, fine. That’s it from my side you very much.
Operator
Participants who wish to ask questions may press star in one now. The next question is from the line of from NF Alpha Fund. Please go-ahead.
Naitik
Hi, sir. Thanks for taking my question. Sir, my question is, you know, when we look at and, now I understand you cannot give much of color on revenue. But what I wanted to understand is this assumption correct that majority of the growth in garmenting for the past two quarters would be attributable to these retail operations that we’re doing or there is growth ex of these retail operations also?
Gaurav Poddar
So these two new retail formats contribute to very little of the top-line in the last year. So I think the growth is more contributed to the traditional business rather than these two new formats.
Naitik
No, sir, I’m asking specifically only for the garment segment revenue that you’ve seen growth in the last two quarters. I’m not talking about the total top-line. I understand this would be very — the numbers would be very low for any growth in the top-line, but I’m asking for garment segment revenues.
Gaurav Poddar
So there is also growth in the traditional business. As I mentioned, these two businesses are relatively new and store opening also has been a gradual phase-wise manner where there have been so many openings in March as well where not even a month of sales has been recorded. So the growth has been in the traditional side.
Naitik
Okay. Sir, my next question is, can you give us some sense on the average selling prices or price ranges for both these formats? So this average selling price as a — as a single number is that incorrect way of measuring?
Gaurav Poddar
Also it’s very early because based on-location, the kind of product mix changes and the price range changes. But I can tell you the basic price range and the philosophy that we try to follow. So for example, in Zcode, everything is priced under 9.99 which is in the value segment of fast fashion. And within, it is a mid to premium segment. So for example, Pajama, which would be probably the highest-selling category in terms of volume would be anywhere between INR2,000 to INR11,000, INR12,000 of MRPU.
Naitik
No, sir. That’s it from my side. Thank you.
Operator
Thank you very much. The next question is from the line of Raveri from ABC Capital. Please go-ahead.
Dishant Jhaveri
Hi, sir. Am I audible?
Gaurav Poddar
Yes, we can hear you.
Dishant Jhaveri
Hi, thank you for taking my question. Actually, I just have a couple of questions. Given that demand in the industry has been slow recently, so how do we expect the first-half of this year to unfold for would be apparel and textile sector? And what are the key challenges that you foresee and how do you plan to navigate these in order to maintain growth and performance?
And are there any specific strategies or adjustments you are considering to adapt to this in this whole uncertain environment.
Gaurav Poddar
So see, demand has been slow generally. And if you look at the performance of the company, that’s why we give an overall yearly guidance. We don’t give a quarterly or a half yearly guidance because there is a significant difference in quarterly performance of our company. If you look at the historical performance as well.
Quarter one has generally been the weakest quarter of all four and that is how the seasonality works out. So we look at an overall — overall year and in the overall — in guidance, we continue to be optimistic about the performance. In terms of how we navigate these challenges, you know, we — in the last year, we had a stated objective of spending about 4% to 5% of our budget on advertisements and promotions, which is which we achieved that number and we are very proud to say that helps the brand stabilize and become more popular within the within the masses.
So advertising and organizing and interacting with our dealer network on a constant basis to understand market feedback and being close to the market in terms of what’s happening in the fashion business is something that we will continue to do to be able to meet the demand and meet our targeted growth.
Dishant Jhaveri
Okay. Thank you so much for that. I’ll answer. Another question would be that, sir, initially you had planned to open around 30 new stores for the retail brands in FY ’25, but you were only able to open 90 instead, right? I just wanted to know, could you elaborate any reasons for the delay in the store opening?
Gaurav Poddar
Yes. So we had initially in the — I think we started opening towards the end of October, early November, and we had envisioned to open 30 stores across both formats. In the December quarter when we had the call, we announced that we’ll taper that down to about 20, that is because of some — although we have signed these 30 stores, but there is delay in — our stores were focused in North India and Delhi, which had some grab issues, then there were some other construction issues, which we got hand over late.
So there have been several issues on the construction side where possession has been delayed, which has led to a delay in the stores. But the balanced stores will be completed in the first-half of this year and additionally, we’ll be opening more.
So apart from the ’19, we’ve targeted to open totally 35 odd more stores this year.
Dishant Jhaveri
So the 19 would be Excluding from the 35, right?
Gaurav Poddar
So there would 19 of — yes, 19 plus 35,
Dishant Jhaveri
19 plus 35. Sir, another question actually, I’m not sure if this has been already spoken on the call, but can you just share some insights into the performance of these stores such as revenue per store or footfall in consumer experience? Y
Gaurav Poddar
Yeah. Yes. So I mentioned earlier, it’s too early to talk about operating numbers and revenue because it’s so nascent, some of the stores have not even seen a full month or two months even. But the consumer experience is something that we are very focused upon and there are some insights that we are continuously getting based on the different kinds of stores that we’ve opened and we’re trying to still identify the consumer preferences based on, for example, in Zcode, we had two different size of stores.
So we are trying to understand which one the consumer attracts to more. So these kind of insights we are continuously looking at, but the overall response has been very positive and we are very excited for this new journey for the company and are confident that this will yield positive results.
Dishant Jhaveri
Thank you so much, sir. One another, I just have a couple of more questions. Just one or two. Anything on the revenue contribution side from both these retail to — both these retail brands?
Gaurav Poddar
So it’s been very new and it’s a very minimal contribution to the revenue in the first year. In this year — in this financial year, there will be some significant revenue that will come in. But it is too early to talk about this because it is so new.
Dishant Jhaveri
So are there any plans to increase the store area for either of these two brands to drive growth and enhance the enhance our customer experience?
Gaurav Poddar
And as I mentioned in the recode format where we tried with these two different formats, we are experiencing a better response from the larger box stores, which are between 7,000 to 10,000 square feet. So we are trying to focus more on this segment rather than the smaller one. Other than that, the overall consumer experience, we believe that we keep on upgrading to give a better experience to the consumer.
Dishant Jhaveri
Thank you so much. That’s it from my side.
Operator
Thank you very much. Thank you so much. Participants who wish to ask questions may press star and one at this time. The next question is from the line of Nira Sarai Sawai from Abakus. Please go-ahead.
Nirav Savai
Yeah, thanks for the opportunity. My question is on the capex side. We have been adding about 35 new stores. So what would be the capex beyond retail and what would be the capex beyond the core fabric business for FY ’26 and ’27?
Gaurav Poddar
Okay. Sure. So generally, we are following asset-light model and for the new stores, we have a plan to open about 35 stores this year and the capex planned for these 35 stores would be approximately INR50 odd crores. Other than that, the traditional business will have a capex of about INR40 crores INR50 crores, which is regular maintenance
Nirav Savai
Which we have okay. And on the — as far as the IndAS is concerned, see the 4th-quarter, the interest in the depreciation cost has gone up this year. This will be largely attributed to the rental part of the cost side. So how do you see that progressing in ’26 with new stores coming in? On an annual reason for
Gaurav Poddar
FY, 26 stores had to be open and that entry has to be passed. But last year, it has affected to depreciation of INR5 crores, there is the increase in the depreciation and INR1.5 crores in the interest. Okay. So there will be increase in both these nine items as we are going-forward. Yeah. When the stores are opening, that this will be passed in the current year.
Nirav Savai
Right. Any guidance which you’d like to share for FY ’26 with core business as well as retail, everything put together, what can be the revenue growth?
Gaurav Poddar
Yeah. So we are estimating a top-line growth of about 10% to 12%, which is everything put together and with an EBITDA guidance of approximately 14%.
Nirav Savai
Right. That’s it from my side. Thank you very much.
Operator
Thank you very much. Participants who wish to ask questions may press star in one. The next question is from the line of Madhar Rathi from Countercyclical Investments. Please go-ahead.
Unidentified Participant
Thank you for the opportunity. Sir, I wanted to understand regarding this 14% margin guidance for FY ’26. Sir, what would be the margin for base business and what would be the EBITDA losses that we expect from opening these new format stores? And similarly, sir, what was the losses that we incurred from these segments in H2 FY ’25.
Gaurav Poddar
So we are giving an overall guidance. We generally do not give breakups, but generally the new business is going to make losses to the tune of maybe 100 to 150 basis-points, but these are all approximations based on how the year pans out and how we — the timing of the store openings. So it’s all-in a very nascent stage, but these are rough guidelines that we can give.
Unidentified Participant
Got it. So that was from my side, sir. Thank you so much and all the best.
Gaurav Poddar
Thank you. Thank you.
Operator
Thank very much. Participants who wish to ask a question may press star in one. The next question is from the line of Darshika Khemka from AB Fincorp. Please go-ahead.
Devanshi
Oh, hello, most of my questions have been answered. Is just reiterating a little bit on the entire capex, the case plan so this INR50 crore that we have guided for the new 35 stores this does not include the 19 stores that you’re talking about that will also be opened, right? So have we already spent that capex in this year itself for those 19 stores that have gotten pushed to the next year?
Gaurav Poddar
So 19 stores we’ve already opened in the last year and we’ve identified — we’ve committed for another 35 stores that we target to open in this year and this capex of INR50 crores is targeted towards these 35 odd stores that we plan to open.
Devanshi
So I — I’m sorry, just a little clarification here. We had targeted 30 stores, which came down to 19, which was the actual number. And in FY ’26, we are going to open just 35 stores.
Gaurav Poddar
That’s right.
Devanshi
Okay. That’s it. Thank you.
Gaurav Poddar
Thank you.
Operator
Thank you very much. Before we take the next question, we would like to remind participants that you will press star one to ask a question. The next question is from the line of Diwanshi from AS Capital. Please go-ahead.
Devanshi
Thank you for taking my question. So I wanted to ask the company has made a remarkable reduction in its debt. Could you elaborate on the key strategies and initiatives that contributed to this significant decrease?
Gaurav Poddar
As a company, we’ve always been very prudent on the balance sheet side of things and we’ve made a conscious effort in the last year to reduce our debt. Our free-cash flows that we generated over the last year, we consciously and intentionally use that to overall reduce debt. And going-forward, we’ll always be prudent in how we manage our free-cash flow.
Devanshi
All right. Thank you.
Gaurav Poddar
Thank you.
Operator
Thank you very much. All participants who wish to ask a question may press star in one. The next question is from the line of Vidi Shah from SAS Capital. Please go-ahead. The next question is from the line of Rajeev from Nuvama. Please go-ahead.
Unidentified Participant
Good afternoon, sir. Thanks for the opportunity. Sir, with the — so in your previous calls, you mentioned that the capital employed will be close to INR1.5 crores per store, right? And now once the store size you’re looking for is 10,000 square feet, will you increase the capital employed requirement here? Why? So we believe that this INR1 crores to INR1.5 crores as indicated earlier should surprise. And how much of this is the working capital here?
Gaurav Poddar
The meant to this does not include any working capital. This number as estimated includes capex as well as rental deposits. And what is the — let’s say, when we did the budgeting side, what is the, let’s say, revenue to rental ratio, which we are assuming in this model on a, let’s say, on base-case.
See budgeting and all these things are continuously done internally, but it is very difficult to give you a number like this because store openings are a very dynamic thing which keeps changing based on the possession of stores, handover, completion of projects as well as timing, how we want to time it based on seasonality.
So I would refrain from giving that kind of number, but we always try to be operationally efficient.
Unidentified Participant
Thank you. Sure. Yeah, that’s all from my side.
Operator
Thank you thank you very much. Participants who wish to ask question may press star in one. The next question is from the line of Vikshit Doshi from Whitestone Financial Advisors Private Limited. Please go-ahead.
Unidentified Participant
Yeah, thanks for the opportunity again. Any timeline you would like to give regarding this issuance of cumulative non-covertible redeemable preferences?
Gaurav Poddar
So when we announced it last year, we had announced that there is a regulatory process that we have to follow and we are waiting for approvals as yet. Approximately from that time we have — we had estimated this timeline to be about nine to 12 months, which is sometime this year, but we are Still waiting for these approvals. And once those come in-place, then we can start the process from there and we’ll keep you updated.
Unidentified Participant
Okay. But do you feel still six months or even more?
Gaurav Poddar
It’s difficult to say that because ball is not in our code, but I would say nine to 12 months from that time is what we had envisioned. And at the moment, we would like to stick with that kind of estimation.
Unidentified Participant
Okay. Okay. Thank you so much.
Operator
Thank you so much. Participants who wish to ask a question may press star in one. The next question is from the line of Madhar Rathi from Countercyclical Investments. Please go-ahead.
Unidentified Participant
Sir, I just wanted to understand what is the INR143 crore capex and probably planned and recruitment that we have done for this year.
Gaurav Poddar
That is mainly for the installation of loops and the balancy equipment and we are also installed solar energy facilities and certain investment on land and building.
Unidentified Participant
Okay. What was the major experience? Is that right? Yes, sir. So what was the investment in solar? And sir, going-forward, what would be the solar you can come back. Sir, on the solar and sir, going-forward, what would be the minimum IRR payback we will consider before doing any new capex or investments?
Gaurav Poddar
Minimum, we look into the payback period and accordingly we make internal study on that and we were so what would that be? See in the solar project payback is one thing. There is also a commitment towards sustainability and we have been able to generate about 50 lakh units this year to try to evaluate what else we can do in terms of promoting green energy.
There has been a significant saving in the cost of unit generation and we will continue with these metrics going-forward.
Unidentified Participant
Got it, sir. Sir, just a final question from me. Sir, what was the investment that we have made in? And sir, what is the cost-savings that we are incurring from that?
Gaurav Poddar
And the total investment this year we did around INR8 crores. And what is the cost from that cost-saving is approximately INR3 crore.
Unidentified Participant
Got it. So thank you so much and all the best.
Gaurav Poddar
Thank you.
Operator
Thank you so much, participants who wish to ask a question Mr Starin one. The next question is from the line of Pik from NF Alpha Fund. Please go-ahead.
Unidentified Participant
Thanks for the opportunity, sir. Sir, my question is, last year we booked approximately INR50 crore to INR60 crores of grants and subsidiaries received in other income. So I just wanted to understand what is the total amount of this and what do you expect to book in the coming years? You’re talking about the capital subsidy, correct? Yeah. Capital subsidiary and grants. There are two items.
Gaurav Poddar
The grant is the NTV pass because of the. So if you are importing certain things without paying custom duty under the various schemes. So under the IndAS, we have to pass the entry. As far as the capital subsidy is concerned, total INR26 crores last year we issued. We are — since we are accounting as and when there is a certainty about receiving those brands.
So accordingly, we did. Now in future also whenever there is a, you know, instance of getting that particular — around INR6 to INR7 crores are pending as and when we get the grant provision, we will account it.
Unidentified Participant
But sir, what is the total amount that we are eligible for?
Gaurav Poddar
Another is — I said INR6 to INR7 crores are there as on today. So nothing major, not a significant amount. Yeah.
Unidentified Participant
Okay. Got it, sir. And sir, the thing you mentioned about just being an accounting entry. So we actually received this cash or how does it work?
Gaurav Poddar
If you’re importing certain machineries under congestion duty of customs. So till that time you discharge your responsibility, that liability, we’ll have to pass these entries and show it as the asset side and liability side. And every year you will have to provide a depreciation on that. That particular under the will to pass.
Unidentified Participant
Got it, sir. That was helpful. Thank you.
Operator
Thank you very much. To ask a question, please press star in one now. The next question is from the line of Hitesh Popat, an Individual Investor. Please go-ahead.
Unidentified Participant
Thank you and congratulations for the good set of numbers. My first question is with related to investment of about INR200 plus crores we have mentioned in our. So may I know the detail. The majority of the investment we made in the debt, the short-term liquid or the short-term one as and when we require funds, we can remove.
So — and hardly any equity-linked around less than 2% of that we have invested. So majorly in the debt instruments. So we can consider it is a cash when needed. It is a cash as and when we require — our business is a business. So we might be requiring the cash when the business is doing well.
If you have seen the 4th-quarter also, there is a working capital increases only in the 4th-quarter. So we can and use it for the working capital. So we have some borrowings. So can we take it that way that we are almost net-debt free or similar?
Gaurav Poddar
Short-term borrowing, we are doing it whenever we are getting any very cheaper rate, we will be doing and the company requires that we are doing it. So that has reported a net-debt number of about INR22 crores,
Unidentified Participant
Yeah. Okay, great. Another would be, we have — there is an increase in trade receivables. So is it a routine or is there anything to worry? Is a routine only?
Gaurav Poddar
Okay. Majorly the 4th-quarter the sales were good. So therefore the data is a little bit on the higher side.
Unidentified Participant
So it must-have been spilled over in this — we must be receiving during this quarter.
Gaurav Poddar
Yes, yes, yes.
Unidentified Participant
Thank you.
Operator
Thank you. Ladies and gentlemen, we will take this as a last question on behalf of CRM Milks Limited. That concludes this conference. Thank you for joining us and you may now disconnect your lines.
Gaurav Poddar
Thank you so much for joining us on the call