NCC (NSE:NCC) Q2 2027 Earnings Call

0:00 Ladies and gentlemen, good day, and welcome to the NCC Limited Q2 FY 'twenty seven Earnings Conference Call hosted by GM Financial Institutional Securities Limited. 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. Please note that this conference is being recorded. I now hand the conference over to Mr. Vaibhav Shah from JM Financial Institutional Securities Limited. Thank you, and over to you, sir. Thank you, Reo. On behalf of JM Financial, I welcome everybody to 2Q FY twenty seven earnings conference call of NCC Limited.

0:51 We have from the management today, actually, RS Raju, director of projects Sri Sanjay Pusarla, Executive Vice President, Finance and Accounts and Suneeraj Sharma, Head Strategy and Investor Relations. Now I hand over the call to the management for their opening remarks, post which we can begin Q and A session. Over to you, sir. Thank you very much, Vaibhav. Good morning, everyone. This is Neeraj. It gives me great pleasure to welcome you all to NCC's earning call for the second quarter and the first half of the current financial year. At the very outset, I would like to thank each of you for joining this interactive session and for your continued interest and trust in NCC.

1:38 I have with me my colleagues, Mr. RS Raju, Director of Projects and our CFO, Mr. Sanjay Pusala. Yesterday, we have announced our unaudited financial results for the second quarter and the first half of for the half year ended 09/30/2026, which have been uploaded on our website and shared with the stock exchanges. We trust you have had the opportunity to review the financial statements and the investors presentation. Before we begin, I would like to draw your attention to a brief disclaimer with a request to study a detailed version from our investors presentation.

2:26 This presentation may contain forward looking statements concerning NCC's future business prospects and profitability, which are subject to several risks and uncertainties. The actual results could materially differ from those indicated in such forward looking statements. End of the disclaimer. This interaction is broadly divided into three parts. In the first part, I will present a brief overview of the business environment, operational highlights and our progress against our FY 'twenty seven guidance. In the second part, our CFO will cover the detailed financial performance for the second quarter and the first half of the current financial year.

3:15 In the third and last part, we will take up your questions. As you are aware, we have been continuously exploring new areas to expand our offerings to remain relevant to the emerging infrastructure opportunities, particularly in technology enabled infrastructure and allied sector. We have already entered in new areas such as smart meters and tunneling using PVMs in the recent past. As part of our medium term plan to pursue emerging business opportunities, our Board has approved a few modifications in the memorandum of association to enlarge the scope of activities to be undertaken by the company.

4:05 The second quarter is seasonally impacted by the monsoon, which generally slows down activity at project sites. Despite this, the execution across our project portfolio remains steady, and we have recorded the highest ever second quarter revenue in NCC's history on a console basis. Project progress across the sector continues to be influenced by fund allocation, client approvals, land availability, utility shifting and billing milestones. And our teams have remained focused on mitigating these through discipline, project execution and close engagement with our clients. Our underlying business fundamentals remain robust, supported by a diversified order book across seven business divisions and an established and proven project management framework.

5:03 As of 09/30/2026, our order book stands at INR 80,167 crore, which is 11% higher than a year ago. During the quarter, we have booked new orders worth INR 4,838 crore, mainly from our Buildings and Water and Railway divisions. Our order book is about 3.5x trailing twelve month revenue, giving healthy multiyear revenue visibility. Including the orders of INR 2,381 crore received in the month of October, Our total inflow for the year so far stands at INR 11,108 crore, which is about 50% of our lower band of the guidance that we have shared with the market.

6:00 In the second quarter of FY 'twenty seven, the company has reported a turnover of INR 6,042 crore on a console basis as against INR 4,585 crore in the corresponding quarter of the previous year, registering a growth of 32%. On a stand alone basis, the turnover stands at INR 4,957 crore, a growth of 31% over the corresponding quarter of the previous year. For the first half of FY 'twenty seven, the console turnover stands at INR 11,884 crore as against INR 9,793 crore in the first half of the previous year, which is a growth of 21%.

6:50 The EBITDA margin for the quarter stands at 8.8% on a console basis as against 8.7% in the corresponding quarter of the previous year. For the first half, the EBITDA margin stands at 9.1% as against 8.7% in the first half of the previous year. On our last call, we have shared our guidance for FY 'twenty seven, which is order inflow in a band of INR 22,000 crore to INR 25,000 crore, revenue growth of 8% to 10% and EBITDA margin in the range of 8.5% to 9%. We have decided to retain our guidance for FY 'twenty seven. At the end of second quarter, the broad components of our order book are as follows.

7:43 The Building division stands at INR 22,367 crore, which is about 28% of our total order book. The Transportation division has an order book of INR 15,682 crore, which is about 20% of our order book. The Electrical P and D division stands at INR 12,370 crore, which is about 15% of the order book. The Mining division stands at INR 12,400 crore, representing about 15% of the order book. The Water and Railway divisions hold INR 12,126 crore, which is 15% of the order book. The irrigation and other divisions had INR 5,220 crore, which is about 7% of the order book. Now I hand over to my colleague, Mr. Sanjay Kusala with the request to share with you a detailed financial performance of the quarter and the first half of the year. Thank you, Nehalad.

8:49 Good morning, ladies and gentlemen. This is Sanjay Kusala, CFO from NCC Limited. This time, we have given a detailed presentation, detailed information in the investor's presentation. However, for the benefit of all the participants, I will be explaining it again. I'm pleased to announce the unaudited financial results of Q2 of FY 'twenty seven, NCC Limited. My announcement will cover from order book, profitability, revenue, debt movement and some other important balance sheet items. I'll start with the revenue. Turnover reported in Q2 FY twenty seven is INR4957 crores as against turnover of INR3775 crores in the corresponding quarter of the previous year.

9:37 This shows an increase of 31%. At consolidated level, the turnover reported in QT is INR 6,042 crores as it is INR 4,585 crores in the corresponding quarter of the previous year, showing an increase of 32%. Coming to the profitability, we achieved EBITDA of 8.48% that is INR 417.05 crores for Q2 FY twenty twenty seven as against 7.45%, which is INR 277.45 crores for the corresponding quarter of the previous year. PBT, we achieved 4.4%, which is INR218.19 crores and PAT of 3.29%, which is INR163.17 crores in the current quarter, as against EBITDA of 3.12% that is INR117.94 crores and PAT of 2.7%, which is INR101.88 crores reported in the corresponding quarter of the previous year.

10:38 At consolidated level, EBITDA we achieved 8.79%, which is INR 5 and 28.46 crores and PBT of 4.47, which is INR 269.85 crores that is before exceptional items and PAT attributable to the shareholders is 3.05%, 184.29% in the current quarter. As against this, EBITDA of 8.66, that is crores, PBT of INR4.45 5%, which is INR208.62 crores and PAT of 3.37%, which is INR154.7 crores reported in the corresponding period of the last quarter.

11:28 I cover the order book also. Our order book stands at INR8567 crores as of the end of September thirty, twenty twenty six. You are aware the order book at the beginning of the quarter stood at INR 81,214 crores and orders received during the quarter two is INR 4,838 crores. The order book of INR 80,167 crores is consisting of order book of INR7293 crores at stand alone level and INR8874 crores of the subsidiaries. Let's get into the debt movement. Debt at the stand alone level. The debt at the beginning of the quarter is INR2410 crores and net debt after cash and cash equivalents is INR28 crores.

12:18 At the end of Q2, it stood at INR2471 crores and net debt of INR2293 crores. And at the end of Q2 FY twenty twenty six, the same is INR2115 crores and net debt of INR1890 crores. There is an increase of debt by INR61 crores in Q2 FY twenty twenty seven. The debt to equity ratio stands at 0.32 at the end of Q2 FY twenty twenty seven as against 0.31 at the end of June thirty, twenty twenty six and zero point two nine at the end of September thirty, twenty twenty five, that is the corresponding period of the last year.

13:04 Debt movement has been consolidated. The debt at weakening of the quarter stood at INR 4,020 crores and net debt after cash and cash equivalent is INR 3,513 crores. At the end of Q2 FY 'twenty seven, it stood at INR 4,110 crores and net debt of INR 3,887 crores. And at the end of Q2 FY twenty six, that is the corresponding period of the last year, the same is INR 2,923 crores and net debt is INR 2,643 crores. In respect of working capital, excluding cash and margin money deposits, at the end of Q2 FY 'twenty seven, it stands at INR 5,532 crores, which is 28% of the turnover. In terms of days, it is ninety six days.

13:55 Trade receivables. The outstanding at the end of Q2 has decreased from INR $3,505.05 crores to INR $6.97 crores and the number of days also decreased from sixty eight days to fifty three days in the current quarter. It is seventy eight days for the corresponding quarter of the previous year. In respect of retention money, it stands at INR 2,547 crores in Q2 FY twenty twenty seven as against INR 2,396 crores at the end of June twenty six and INR 2,250 crores as at the end of March twenty six. Unbilled revenue. Unbilled revenue decreased from crores, which is 38% of the revenue to INR7175 crores, which is 37% in Q2 FY twenty twenty seven.

14:50 And corresponding period of the previous year, it is INR 6,663 crores and it is 41%. Coming to the mobilization advances. Mobilization advances to date INR 2,925 crores as on 09/30/2026 as against INR 3,163 crores as on June 30 and INR $3,386 crores as on 03/31/2020. Sorry to interrupt. This is the operator. Sir, there's some disturbance on the line.

16:01 Okay. Me just a... Give me a moment. Sir, Participants, stay connected while we reconnect the management. Participants, thank you for patiently holding your lines. We have the management reconnected. Over to you, sir. Thank you. Thank you for your patience. I'll start again with the mobilized advances. I think at that point of time only there was some disturbance on the line. So mobilized advances to that INR 2,925 crores as on 09/30/2026 as against INR 3,163 crores as at the end of June twenty six and INR 3,386 crores at the end of March twenty six.

16:53 Out of these mobilized advances, 53% are interest bearing and the average rate interest rate comes to 9.07%. In this quarter, the interest bearing advances decreased from 60% to 53%. Cash and cash equivalents. It is INR 178 crores as at the end of September twenty six and INR $40.04 crores as of the end of June and INR $5.84 crores as of the end of March twenty six. Margin money deposits and others, it is INR $7.40 crores as of the end of September twenty six, INR $6.33 crores as of the end of June twenty six and INR $6.31 crores end of INR $9.20. Coming to the CapEx.

17:40 We have incurred a CapEx of INR 83 crores in Q2 and INR $2.53 crores in the first six months. Adding in is the budgeted CapEx of INR 900 crores. This is the operator. I'm sorry, The disturbance is back. Give me a moment. Participants, please hold your lines. We'll just reconnect the management line. Yes, thank you. So I'll start with the CapEx. I think at that point of time the disturbance came again. We have incurred a CapEx of INR 83 crores in the Q2 FY twenty twenty seven and INR $2.53 crores in the first six months. As against the budget of INR 500 crores for the financial year 2027. The EPS stands at INR 2.30 at the end of Q2 as against INR 1.62 of the relevant quarter of the previous year.

18:35 Inventory stands at INR $17.42 crores as of the end of September, $18.15 crores end of June and INR1787 crores at the end of March twenty six. Coming to the investments, there is no change in the investment. The number is INR867 crores end of September and the same is the case end of March twenty six also. Close to group companies, INR $30.06 crores at the end of September and INR $2.90 crores at the end of June and INR $2.95 crores at the end of March twenty six. Coming to the VISA carbon status. At the end of September twenty six, it is INR $2.70 crores.

19:22 At the end of June, it is almost INR $2.70 crores. At the end of March, it was INR $2.91 crores. With this, I'll be ending my presentation on the financial statements. Now it is open for the question and answer session. Thank you. Thank you very much. We will now begin the question and answer session. Participants are requested to use handsets while asking questions. Ladies and gentlemen, we will wait for a moment while the question queue assembles. To ask questions, please press star and 1.

20:12 The first question is from from DOLET Capital. Please go ahead. Hi, sir. Thank you for the opportunity. Congratulations on group set of numbers. Sir, just wanted to understand despite the strong execution for first half 21% plus growth, we are we are saying eight to 10% of our guidance we are maintaining. So if I translate into the numbers, that means that we are looking at 6% to nine and a half percent kind of a degrowth for the second half. So what it is... Is there any specific project or a segment or the normal payment of clearance related delays are there, and that's why we are not confident to kind of increase the guidance. And same way, till now October and November 6, are we seeing a momentum in terms of the growth or whatever the number is there and that's why we believe that 8% to 10% is doable and which translates to kind of a 6% to 10% kind of a degrowth in the second half.

21:25 Mr. Saab, very good morning. Mr. Saab, guidance that we had shared with you has been for the whole year, that is FY 2027. We are pleased to share with you the fact that things have been very worked very well for us in the H1. The mining division, several other projects have given us the revenues, the numbers that we really needed for the growth, and we have shared very good set of numbers that we have already called out. But still, we have two quarters to go. And whenever we share a number with the investors, we do a thorough working for various projects. And then depending on that estimation only, we have shared the guidance for you that is 8% to 10% growth for FY twenty seven.

22:17 And we have decided to retain that guidance. Yes. No, I understand sir. Given let's say to put it a simple way, this quarter and stand alone, we have done INR 4,970 crore. Do we see a lower revenue in the third quarter given whatever we have done? So then only the 8% to 10% is one can say that justifiable. Otherwise, this number has to be on the upper side. Mr. Saad, the third quarter is still on. We have not concluded the third quarter. Still, we have a lot of time to go for the third quarter. So I mean it is premature really to talk about the third quarter performance.

23:07 But mean to cut a long story short, we have decided to retain the guidance that we have shared with you that is 8% to 10% growth. Okay. Thank you. Yes. Sir, just in terms of one more aspect, was just looking at in terms of the retention money for us. So for last three quarters, this number has has the 2,500 odd currently, which is there. 13.3% of the the revenue is there, which used to be a kind of a eight and a half percent one and a half year before. So if I have to translate in terms of the numbers, it is kind of a $950,000 crore of a revenue. So if we release this kind of a money and on a 9% interest, it translates to a $85.90 odd crore, which is a 10% of the. So just trying to understand, so are we making any effort or attempt to to kind of reduce this retention money as a percentage of revenue because it is significant thousand odd crore we can easily kind of release?

24:20 This is Sanjay here. The retention money you are talking about one point five year back. At that point of time, we have got contracts of about INR 20,000 crores where there is no retention money at all. In the present context, what is happening, almost all the contracts have a retention money, 5% of the retention money and some of the contracts in electrical division where we have got the retention money is as high as 20%. And some of the contracts which we received in Mumbai for the CT Road, the retention money is also very high. So that is the reason the retention money when you compare to the previous period, it appears to be high. But this is the retention money which we are having it and if you see on quarter on quarter is about INR150 crores, there is an increase in the retention money. Going forward, maybe if you get a contract where you can replace retention money with the bank guarantees, definitely there will be reduction in that. Otherwise, wherever contract that will be completing the DLP period, you will be getting back your retention money.

25:31 And some of the contracts have a clause where the contract completion, you can replace the retention money with a bank guarantee for 50%. So it depends on the contract, it depends on the composition mix of the contracts and the present situation. So this retention money will be there. It will be continue to be there. Okay. Lastly, sir, on working capital and date front, can we expect further kind of improvement in working capital and date, which is if look at from the March level as kind of INR 200 crore plus kind of increase. So we'll come back to the March level of FY '26 at the end of FY '27?

26:22 We will be coming back to that level. Okay. Thank you, sir. All the best and happy Diwali. Thank you so much and happy Diwali. Thank you. The next question is from Parvesh Ghazi from Nuwama Group. Please go ahead. Good afternoon, and thanks for taking my question. So two questions from my side. First, we have seen a pretty decent improvement in our payment cycle, especially over the last six odd months. So will this be largely due to the UPJJM projects? Or I mean in general, have seen improvement in payment cycle across them?

27:10 In general, we have seen the payment cycle is improving. And as you said, even the payment from the Jaziwan machine is also improving. They are coming in a regular manner. So what would be the outstanding in UP DCM project now? As on date 2,246 crores including all the JJM projects handled by us across various jets. I think if I remember correctly, it was about INR 2,702 thousand 8 last quarter. So there's been a substantial If reduction in this you ask me to give you only the trade receivables, it has come down to INR $3.44 crores. In the case of unbilled revenue, it was INR 2,009 crores.

28:03 Sure. There's been decent reduction there. The second question is on the CapEx. You mentioned, I think, H1 CapEx at about INR 153 odd crores. Now I'm assuming this is only at the stand alone level. Overall CapEx including TBM is INR $3.88 crores. Is that number correct? Yes. It is not INR 153 crores, it is INR $2.53 crores in the first six months. And TPM, whatever we have invested, it was invested in the last year itself, it was there as a capital working process in the last year. This year, it has been capitalized. It is excluding that. Sure, Thanks. I'll come back into the queue for further questions. Thank you and happy Diwali to the entire team. Thank you. And wish you the same.

28:52 Thank you. Before we take the next question, a reminder to participants that you may press The next question is from Behavior Shah from JM Financial. Sir, on the CapEx, we maintain our 500 crores guidance for INR 27? We'll maintain. And for FY 'twenty eight, it should be a similar number or we can see an uptick? Generally, it will be a similar number because we are handling the mining project, the requirement may come up. You know that we have backed the mining project in Jharkhand, Amarpali project. So it is a capital intensive project. It may require some kind of CapEx in the next year also.

29:40 But we'll come back with FY 2020. Got it. So secondly, what would be our JJM order backlog overall including O and M as of September? Excluding O and M. This is excluding O and M. Generally, O and M we consider when we started. But excluding O and M, the order backlog is thousand 412 crores.

30:30 And we plan to execute this by next year. It is like this India's INR 5,142 crores. There are some new projects which have come from Jaljivan, okay, in other states. But the major Jaljivan order backlog, which is there in UP, will get substantially completed by March 27 itself. And so we are open to take new projects in JGM? Yes, definitely. We get an opportunity and we will take it. So despite the payments being an issue for quite some time in last couple of years, we are still open at it? We do not expect the same kind of problems or same kind of tightness will be there in the release of payments by the government.

31:18 Because now the governments are coming up like in AP, they are coming up and some other places also they are coming up with the JM scheme. Got it. Sir, secondly, on the Wyzagh land sale. So you mentioned that INR $2.70 crores is outstanding. So by when do we expect to recover it? We expect by end of the quarter four, we'll be able to complete this. The entire amount? The entire amount. And sir, lastly on the smart meter thing. So what is the outstanding order backlog right now for smart meter? Yes.

32:08 It's almost like 51% we have completed installation and 49% is outstanding. The next question is from Vishal Perival from PL Capital. Please go ahead. Yes, sir. Thanks for the opportunity. Sorry, sir. I'm audible, right? Yes, you are audible. You are audible. Good morning. Yes, sure. Yes, morning, sir. Sir, sorry, harping on that guidance quite again.

32:53 I mean, like historically, we have been saying to the market that either the clearances are not coming, then probably we delay execution. Or second, if clearances have come and then payment release is not happening, then we delay the execution. But if you look at last two quarters, the execution has been there, which means clearances are coming in as well as your balance sheet, what you have reported, the cash flows are also coming. So I mean given both the part are going in line with what our thought process has been, So what could be the reason of probably seeing things will be little on the weaker side in the second half based on the guidance? Yes, two questions. Firstly, Teriwal, our commentary is contingent on what is prevailing at our sites.

33:46 So you talked about our commentary in the past. So in the calls, we try to communicate what we get to see at the sites. So as the numbers in the last 0.5 speak for themselves, the things have been improving. And some of the sites, I think my CFO has already called out the for the Jeljevon mission, we have received payments. So some of the we are making progress on the side. So the commentary that we had shared with you in the past was a reflection on what we got to see at this point of time. So things seem to be improving, but we never shared any guidance for six months. So the guidance that we have shared for the straight is for the whole year that is FY 'twenty seven, and we have decided to retain that guidance.

34:36 And hopefully, surpass that number. That's good to hear, sir. And then maybe one bookkeeping, unbilled revenue, it has come down on a quarter to quarter basis this quarter, but last two, three years we have seen an increase. So I think broadly you mentioned 2,000 is coming from JJM. Is it possible to get what exactly is this stickiness or probably anything color that can be provided regarding unbilled revenue, sir? No, I think we need to little explain on this. The unbilled revenue is coming down and the type of contracts now we are executing are on the EPC basis, not like in earlier days where you will be billing on the execution and the quantities. Now on the EPC basis when you do that, the billing will happen on the milestone achievement.

35:38 So when you see the unbilled revenue, the health of the unbilled revenues is very much improving. And it is all related to BharatNet project page where we are executing and also the projects where we are executing in EP capital City. The huge amount of work is going on there. And outside the BharatNet, we are also doing the huge amount of work. So these are the things contributing for the unbilled revenue. But no doubt, the unbilled revenue is improving in its health. There is no sticky unbilled revenue. The unbilled revenue is progressively realizing. But we expect that we maintain maybe similar type of unbilled revenue in the days to come.

36:28 Okay, okay. And maybe if I can just ask one last question, what is the outstanding in BharatNet for us in terms of order book and probably what kind of we have done quarterly this quarter for BharatNet? We have done almost like 11% of the total contract we have executed in both MP and Uttarakhand and we have almost spent about INR1000 crores on its work and we have started billing now. And in unbilled revenue, as I said, that is also there. And especially in the Bharatiya projects, the lead time for conversion from billing from execution to billing and realization is little longer. Okay, okay. And segment wise sir, where is BharatNet is housed?

37:16 Mean, say, Electricity Okay, and okay. Fine, sir. Sure, I'll come back in the queue. Thank you very much, sir. Thank you. The next question is from Nishad Shah from Old Bridge Mutual Fund. Please go ahead. Please go ahead with the question. He's not audible. Hello? Am I audible now? Yeah. It's clear now. Yeah. Thank you for the opportunity.

38:04 I wanted to ask more on smart meter end. I would want to understand what kind of payment cycle are we seeing there? Is there any working capital challenges we're facing on that side? We do not see any working capital challenges in the smart meters execution. Smart meters, when we are executing the payment will be in two phases. One is earlier first on installation of the smart meters, we get some amount of payment and the balance amount we'll get over eighty three months after the installation. Sorry, ninety three months after ninety three months of the installation on a monthly basis. And we have not seen any challenges and the payments are coming on a regular basis.

38:55 Okay. Second question is on AP Capital City. What kind of receivables is outstanding right now? And what order book are we looking at on that front? But as far as the receivables are concerned, we are not facing any challenge. Whatever work we are executing, we are getting realization between thirty to forty days, we are getting realization. So that is not a problem. And when it comes to the order book, I'll just give you what is the amount of order book. 14,500 was the order book at the AP. Okay.

39:50 Okay. Thank you. Thanks, sir. Thank you so much. I'm very happy to work. You. The next question is from Bharat Bhattat from GMP Financial. Please go ahead. Thank you for the opportunity. My first question would be regarding the build pipeline. Can you provide us with the segmental breakup as well? I think in the last call in May, I have already shared the prospective pipeline of projects that we get to see, which at this point of time at that point of time was about 2.5.

40:38 Our business is primarily construction. So we do not really give segment wise breakup. So it would be INR 2.5 lakh crore? Yes, yes. Do you have any other question? Yes, sir. So what would be our JGM payment in the first half? In the first half, just... We received about INR $17.20 crores. Okay. And my last question, do we see any impact of higher raw material prices on our margins?

41:26 81% of our contracts have got the exclusion clauses. So any increase in the prices will be really offset from the price variation clauses that are available. Okay, sir. Those are my questions. Thank you. Thank you. The next question is from Shabaj Jay from HSBC. Since my question is that since 60% of your clients are PSUs, could you explain your billing process, the average collection period and whether any retention amount is withheld from the payments? As per the contract retention monies are from 5% to 10% and each of the running bill when they are processed, they will hold the retention money and that money will be released only after completion of the contract partially and balance they will elicit after completion of the DLP period.

42:28 And generally in the government clients, the payment cycles ranges between fifty to sixty days from the date of certification. Okay. Thank you. That was my question. The Thank next question is from Patraj Kumar from UBS. Please go ahead. Thanks for taking my question and congrats on good setup number. Sir, on the JVM project, what is the outstanding order book? INR 8,413 crores. Earlier, we indicated that we'll try to complete large part of this order backlog in the current financial year. So we are on track? Or is there any change?

43:16 We are on track. Okay. And since we have already received around INR 11,000 crore of orders, and we have guided for INR 22,000 to INR 25,000 crore of inflows. So I mean, can we assume because normally, H2, we get another part of the orders. So I mean, are we on track to exceed our guidance or may achieve upper end of the guidance? So if you can comment on the new order inflows guidance. Yes, you are absolutely right that we have shared the order inflow guidance band INR 22,000 crore to INR 25,000 crore. If we take into account the order the projects that we have bagged in the month of October, the total inflow is about INR 11,108 crore, which is about 50% of the lower band.

44:14 So this is the this itself gives us the confidence that we are on our way to achieve the band of the order inflow guidance that we have shared with the Street. And we retain that guidance and hopefully we will achieve that number. And sir, lastly, what is the update on Chen Bedrock project on that process? Which project, sir? Can project. So I mean, there were some issues earlier regarding land acquisition on this. Any update on on river rigging? No, no. Are making reasonable progress on the KN Betwa site. And land acquisition issue or demonstration that you are alluding to was at a place that was at a distance of 30, 40 kilometers away from our project site, and we are happy to share with you that we are making reasonable progress on this project.

45:19 Okay, sir. Okay, sir. Thank you. Thanks for answering the question, and happy to hear you all. Thank you very much. Happy Diwali. Thank you. Thank you. Before we take the next question, a request to participants to please limit your questions to two per participant so that the management is able to address questions from all participants in the conference. The next question is from Shavansha from Dollar Capital. Sir, can you break it down the difference of the stand alone and consult order, which is INR 8,874 crores in the segment wise. So I understand it is transport, electrical and mining.

46:06 These are the three segments. So if you can break it down, this would be helpful. Stand alone, it is 80,000 sorry, total it is 80,167. Of that 71,293 is the stand alone, 8,874 is the subsidiary companies, Of INR 8,874, mining we have INR 5,923, transportation we have INR 2,431 and smart meters we have INR $5.20 crores. Okay, got it. And sir, in terms of the finance cost and the depreciation, so finance was roughly INR 166 crore quarterly for last two quarters. So this run rate will continue for second half also?

47:03 Yes. And in terms of the depreciation, how it will in terms of from this quarter, 73 odd crore also as in term by three four or on QOB basis. So it will keep on inching up or will it be a sizable increase in third and fourth quarter? It is like this, the TVM machine was capitalized and put to use in the month of September. From September, that means second quarter of this year. Definitely, the depreciation is going to go up in the third quarter and fourth quarter. Besides the TVM, we also have got the mining project where we are executing, where it is a capital intensive. There also the depreciation will come into play. So hence the depreciation is going to inch up in the subsequent quarters.

47:51 Hello. The point here to in be noted absolute terms, the depreciation cost increases quarter to quarter, basing on the new orders, basing on the new CapEx already taken place and also the CapEx take place in the rest of the quarters. However, in terms of percentage, the same reading is maintainable, 1.48% is given, that is maintainable. Okay. But this TBM and mining one, will that depreciation will be a part of stand alone or it will be a part of the console? No. Here mining is increase of this 1.48. It is a mining project, in a stand alone project.

48:37 Even TBM also is a stand alone. Both will come under the stand alone only. Okay. Okay. Got it, Thank you. Thank you. The next question is from Saket Kapoor from Kapoor and Company. Please go ahead. Yes. Namaskar sir, I hope I'm audible to the team. Yes, sir. Good afternoon, sir. And sir, thank you, firstly, sir, updating the investor presentation, especially the smart meter part of the story. We have been given more information. And just to add to it, if going ahead, even for the judge even part part, which is... Which has been a sticky issue, and I think to now resolution on the way, if you could further give us the understanding pertaining to the questions that are being asked, that will also surprise lot of questions in terms of the legacy part, the execution, receivables, the new addition, and then the execution of the same. That would give us some more understanding how we are moving ahead firstly. So sir, firstly, do you have the breakup currently for the Jeljeevan, what is the legacy portion that is left to be executed and the new orders intake that we have done?

49:54 Yes. And I think it's very good to hear from you that we have improved our presentation on smart meters. And Jeljeevan is like a stand alone project. Once the projects are getting executed, it will be over. And the legacy issues, what the Jeljeevan what we were facing, I think they are coming to an end. Now if you ask me, the legacy part of the Jeljeevan, if you see that it is INR three thousand two hundred crores is the balance, which is there available in the legacy Jeljeevan projects, which we are expecting to substantially complete by March 27. And the current project is about 2,128 crores, where we are making good progress and the payments are also progressively coming now.

50:44 Okay. And for the Ken part, can we what is our pie of the order? Can you just repeat the question, please? Yes, sir. It is pertaining to the Ken Bitwa River linking project. What is our pie in the total share of the project? I don't know what is the pie of our project, the whole value of the Ken Betwa project. Yes, it is a big project, think there's some few billion dollars. So how much are we? It is not readily available. We'll come back to you. Mr. Kapoor, I think Canberra, we are the first ones to bag the first ever project that was awarded for the Khaym Betwa part.

51:32 What is the value? Okay. Anyway, we can take it offline. So now sir, for the financial question, firstly sir, investment property under construction, this value of INR108 crore, what does it signify then going ahead, how will this number shape up? And secondly, sir, if you could explain to us what is the nature of unbilled revenue and how it impacts our finances? The numbers which we report, I think, during the presentation also about March, then June, then September. Its significance and how is this going to trend? These two questions. This INR107 crores investment relates to a project in Hyderabad.

52:18 We have started we have invested in that project and the project is in midway, it was stopped. And the developer is in little problem. So there was an issue with the RAERA also. RAERA has canceled the project and kept the project on hold. We are also taking up with RAERA along with other people who are there in the project. We expect that this problem will get resolved over a period of time. We are not very sure that how much time it will take because it is a judicial matter before the NCC, that is the reason we are not sure that how much time it will take. But definitely the amount of investment is completely secured and there is no problem in recoverability of this investment.

53:06 Second one is on the Ken Bantwa you were asking what the value of the contract? It was INR 3,389 crores, which is the value per the NCC to be executed. And there are Okay. Unbilled revenue as per the standard IAS 115. What we need to do is that whatever money we have spent and we have completed our obligation and not build because of the certification. So that amount whatever is there need to be recognized in unbilled revenue. So that is the reason unbilled revenue will come into the place and it will be added as a contract revenue for us. Okay. And lastly sir, then what is this other financial liability of INR 8,163 crore, which goes into the consolidated account under the current liability?

54:09 That is the financial asset of the smart meters. Because smart meters is a ham project. So it has to be accounted under the financial liability. So whatever that money is there, that is accounted under the other financial liabilities. Entire part of INR 8,000 is attributable to the same? Can you give a number to it? Yes. Yes. Just second.. And lastly, to the CWIP also, sir, I joined the queue after this that our current work in progress closing balance is INR 92 crore. So that what will attribute and what do we attribute this amount to and for the second half, what is the CapEx that we have outlined?

55:02 Second half CapEx is overall CapEx is INR500 crores and INR250 3 crores we have already spent in the first half. Probably the balance INR250 crores we will be spending in the second half. Right, sir. And on the this INR 8,000 breakup, sir, can you provide how much is attributable to the smart meter? One second. We are just getting back can we give you offline? I will take it offline. Sir, for this quarter, our subcontractor workbills have gone up if we take the number on June. So how are these numbers comparable? And also on the finance cost also that is also moving inching up on every quarter basis. So as a first of should we look at this number as a run rate or a percentage of sales going ahead?

55:54 Percentage will be around 9.2 finance. You. Mr. Kapoor, we request you to rejoin the queue. The next question is from Parvesh Ghazi from Nuva Group. Please go ahead. Hi, sir. Thanks for taking my follow-up question. So you mentioned we received INR $17.20 crore payment. Was that only for JGM projects? Or does that relate to the overall payment? That is AGM projects only.

56:42 And this was the amount for Q2 or H1? H1. H1. Sure, sir. Thanks and all the best. Thank you. Thank you very much. We'll have to take that as the last question. I would now like to hand the conference over to the management team for closing comments. Thank you very much for a very enthusiastic participation and your continued interest in the company. Thank you very much and happy Diwali. Thank you. Thank you so much and wish you happy Diwali. Thank you. Thank you very much.

57:30 With that, we conclude today's conference. Thank you for joining us. Ladies and gentlemen, you may now disconnect your lines.