PSP Projects (NSE:PSPPROJECT) Q1 2027 Earnings Call

0:01 Ladies and gentlemen, good day, and welcome to PSP Projects Q1 FY 'twenty seven Earnings Conference Call hosted by Ernst and Young. 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 this conference call, please signal an operator by pressing star then 0 on your touch tone phone. Please note that this conference is being recorded. I now hand the conference over to miss Krishna Patel from Ernst and Young. Thank you, and over to you. Thank you, Nessia, and good evening, everyone. Welcome you all to PSP Project Limited's Q1 FY 'twenty seven Earnings Conference Call. To take us through the results and to answer your questions, we have with us the management of PSP Projects represented by Mr. Prahlad Bhai Patel, the Chairman and MD Ms. Puja Patel, the CEO and Ms. April Patel, the CFO. Please note that the discussions that we may have today may contain certain forward looking statements relating to the future events and future performance.

1:07 Numerous factors could cause actual results to differ materially from those in the forward looking statement. Please note the audio of this earnings call is the copyright material of PSP Projects, cannot be copied, rebroadcasted, attributed in press media without specific written consent of the company. With this, I hand over the call to miss Preetja Patel, the CEO for her opening comments. Thank you, and over to you, Preetja. Thank you, Krishna, for the introduction. Good day, everyone, and thank you for joining us for PSP Projects quarter one FY twenty seven earnings call. As 06/30/2026, our outstanding order book stood at 13,245 crores, reflecting our robust 103% year on year growth and providing us with a strong multiyear revenue visibility of our total order book within group projects accounts for approximately 70%, while external project contributes to remaining 3030%.

2:05 The first quarter is traditionally a challenging period of the construction industry due to seasonal factors, including labor migrations during festive and restwiring season, as well as the initial onset of monsoon. Despite this industry wide challenge, PSP delivered a strong 55% year on year revenue growth during quarter one FY twenty seven. Our performance demonstrates the strength of our execution capability and the process achieved across key projects. Importantly, most of our major projects have now moved beyond the stage involving at the excavation and underground walls and entering for construction phase enabling improved execution momentum.

2:50 During the quarter, we deployed the workforce of over 16,000 labor across project size reflecting the scale of our operation and execution readiness. As labor availability normalize in the coming quarters, we expect construction activities and project execution to gain further section. I would also like to highlight our continued investment in strengthening organization capabilities. The increasing employee cost during the quarter reflects our strategic focus on the enhancing leadership and project management bandwidth across various levels of the organization. We have expanded our team across key functions and geographic to ensure we are well positioned to manage a significantly large project portfolio while maintaining our commitment to timely delivery, quality execution and operational excellence.

3:38 During the quarter, the company successfully completed six projects and receiving order inflows of $6,630 crores with 93% order from group. Major orders are health care and research foundation project Mumbai, Airport Office Building at T 1 Mumbai, refurbishment of port user building Mundra, construction of field accommodation at green PVC project Mundra. The order book is diversified with the industry of project comprising of 39%, residential project 37%, government project 23%, and industrial project approximately 1%. Our current order book, please make note of key projects and their outstanding contract values.

4:25 3 Ambazi Mata Temple, 962 crore. SMC high rise building, $6.93 crore. Construction of fintech building at East City, Gujarat, $2.59 crore. Biology center, a science gallery at Science City 248 Crore. Biggest residential project in Gift City $20.02 crore. Development of region $1.98 crore. Riverfront development phase $21.87 crores. The bid pipeline is 6,200 plus crores with 61% group projects and 39 external projects. Now let me share certain project level updates. SMC core and shell activity has been completed and now full fledged MEP, interior work and facade work is going on.

5:15 RV and a lot of three building, two buildings will be handle... Handing over soon and the hospital building RCC is completed and MEP work, interior work, facade work is going on. And there are the airport and city site development. We are at a different level for RTC work going on in full place. And for temple, we are at exploration level and some of the buildings are in footing level. With this, I now hand over the call to to share the financial in further details. Thank you, ma'am. Good afternoon,. We'll brief you about consolidated financial performance for the quarter end... Quarter ended 06/30/2026.

6:01 Quarter one FY seven versus quarter one FY twenty six. Revenue from operations for the quarter is rupees $808,153 crores versus 518 crores, which is increased by 65% on Y o Y basis. EBITDA for the quarter is at 55 CR versus 25 CR increased by 121 percent on Y o Y basis. EBITDA margin is at 6.42% versus 4.79%. Net profit for the quarter is rupees 18 CR versus rupees 37 lakhs, which is increased by almost 50 times Y o Y basis. Net profit margin is 2.12% versus 0.07%.

6:50 During the quarter under review, employee cost has increased from TRY 35 to TRY 46, which is mainly on account of annual increments performed in every month and increasing number of employees from 2,400 almost to INR2600. Increasing depreciation from INR17 to INR26 6 CR is mainly attributable to additions in asset block during FY 'twenty six as well as in quarter one FY 'twenty seven. During quarter one FY 'twenty seven, company has incurred CapEx of INR 28 crores, Gross block is at INR $7.93 crore as on 06/30/2026, and net block is INR $4.17 crores.

7:37 Would like to mention few of the important consolidated balance sheet numbers as on 06/30/2026. Long term borrowing is INR 38 crores, which includes short term borrowing of short term maturities of INR 19 crores. Short term borrowing, 217 CR, which is excluding short term maturities of 19 CR. Net unbilled revenue is 473 CR. Trade receivables are at 745 CR. Plate payables are INR $3.56 crores. Retention long term and short term, $2.22 crores. Mobilization advance stands at INR $8.36 crores.

8:24 Inventories of INR $3.62 crores comprises of INR $20.05 crores of construction material, INR 137 crores of work in progress and INR 19 crores of finished goods. Out of total sanction credit facility of rupees 1,497 crores, company has utilized non fund based facilities of rupees 678 CR, and fund based utilization is 166 crores. Limit available for utilization is INR $6.53 crores. As on June 3026, the company has total fixed deposit of INR $3.24 crores, out of which, Lian free deposits are INR 139 crores and at least worth INR 185 crores are under Lian with banks for credit facilities and given a security deposit to client.

9:17 Work on hand on consolidated basis as on 06/30/2026 is 13,245 CR, and the detailed breakup is provided in the uploaded presentation. That concludes the update on financials, and we are now open for the question and answer session. Thank you. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touch tone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assemble.

10:05 The first question is from the line of from Dollet Capital. Please go ahead. Hi, sir. Great to see a decent significant improvement in the execution front. A couple of things to understand. First, in terms of the guidance, just to get a sense, that FY 'twenty seven, INR 4,500 crore revenue that we were looking at and for even going forward, we were looking at 20%, 25% kind of revenue growth. So that remains intact? Yeah. We we can say it will be on an average more than 25%. So it can be between both 4 to 4,500.

10:52 Still, we remain on the same line. Okay. And now sir, on the margin front, so this quarter also 6.4%. So we were looking at 7%, 8% kind of a margin. So can we start seeing that 7% plus kind of a number from q two onwards, or maybe it would be from the second half onwards, we can we can start seeing that kind of a number? Yes. You are right. That point from second half onwards, we should be in the drain. But the... If you see this year, this quarter also, our employee benefit expenses with INR46 crore, which is 5.39% of the sales. And because of the first two months sale of April and May was down, and the third month, it was INR $3.19 crore, 2 USD 202.70.

11:44 So that will itself speak about that is almost 1% more expense due to the turnover not being converted was not converted into reality. And that itself is making 1% difference. So if you add at least INR 7 crores, 8 crores in the EBITDA, it will be somewhere above 7 percent. But okay, fine, but we will be going back to provision from quarter two from quarter three and quarter four. So employee cost now from second quarter onwards, can we see the similar or we are putting out Yeah. Yeah. See, on an average, we have been in the range of 4% to 4.5% or 4.5%, almost 4.5%, 4.6%. This quarter, we have seen almost 5.4%.

12:29 So that's the big difference because first two months of April and May, as you were aware that there was a huge requirement of labor and deficit of labor on the side, if this could have been converted into sales, then it is almost at 4.5%. Okay. Okay. And so this quarter, we got INR $6.30 odd crores. And previously, we were looking at INR 6,000 odd crores and close to 5,000 crores from Adani Group. So that now will will remain the same for for this year. So maybe in the second half, are we seeing a significant order coming in? Yeah. Probably, we'll be in the same range.

13:14 Maybe plus one, minus 400,500, But we we will still remain in the same range of plus 5,000 because there are so many other projects which are under discussions, which we'll be teaching in second quarter and third quarter. So, we still remain on the same as the visibility of the orders. Okay. And the CapEx also the similar 3%, 4% of revenue. So, in this quarter, we have done INR 28 odd crore. So that also remains the same? Or once the... As we see the execution More picking or less, today, is very difficult to say. But in case there are few projects and which are size of the project is large, then the CapEx can be a little bit high. But then on an average, I think it will be somewhere in the range of 3% to 4% only.

14:06 Okay. And this quarter, sir, out of this broadly INR $8.53 crore revenue, how much would be the Adani Group revenue? So just to get up in terms of the pickup in the execution of the Adani projects? Yeah. Would figure that. Yeah. Right now, we don't have exact numbers, but it will be mostly around 60%... 55 to 60% will be Adani Group level. Because we are executing this RVNL around the... That is also High Valley project, FMC, sir. So around 60%, we can say, it will be from Adani Group. Okay. Okay. Okay. Got it. And then this this mobilization advances is entirely kind of interest free?

14:53 Yeah. Yes. And and working capital, can we can we see a further improvement in the in the working capital? Yeah. That we can see because you might have noticed finance cost has reduced compared to previous quarters. So we have utilized less working capital facility, and we have surplus athletes also. So going forward, we expect some more reduction in that. And then in next two to three quarters, then we will be having a kind of a zero kind of a finance cost, and we'll be becoming a date... Net debt free. The weekend, expect. Okay. Thank you, sir, and all the best.

15:41 Thank you. Thank you. Ladies and gentlemen, if you wish to ask a question, you may press star and 1. The next question comes from the line of from Arihant Capital. Please go ahead. Good evening, sir. Thank you so much for the opportunities. Sir, what is your current status of execution of Mumbai projects, especially in and the market side? In my... The first two block foundation, the basic foundation has been done, and we are now in the first basement. And in Matunga, the piling work is on before acceleration, the seat piling is going on. Okay, sir. Sir, what is the current interest free advances?

16:28 I think mentioned the overall mobilization. What is the share of interest free? It is... The whole amount is interest free. Okay. Okay, ma'am. Thank you. The next question is from the line of from from. Please go ahead. Yeah. Good evening. Congrats congrats on very strong set of number. So I just wanted to know, I mean, any update about this Commonwealth project? What is the status? When it is going to be tender? Or I think, still, we are not having any clear idea, but the moment has started, you did that they have started the... To make a control room for the Commonwealth development, which is going to happen in.

17:25 So probably, still nothing on paper or nothing on news that when this tender will be coming up. Last week also, we have heard that there were a ministerial visit at this Glasgow for the commonwealth discussion also. So maybe in the next quarter, we should hear something for what is going to happen because now it's high time to start some of the projects. Okay. So this year, order inflow guidance, we have not considered anything from that Sir, any progress on this UP vertical project collection?

18:18 Any improvement? How it is still Now almost three of the projects, UP is almost at the and the last Monday, I was there in Lucknow to discuss about the last three projects also. So probably by this week of end or maybe next end of this month, first week of August, we'll be in a better position to get all the EOTs. So the money will be due. And once the money is in place, we expect that this account should close somewhere in... By end of August or mid of September. Okay. So both receivable as well as unbilled part? Both Yeah. Both will materialize? Yeah. Okay, sir. Unbilled part is this. I'm sorry? Unbilled also, we will Okay. Under and Yeah. That's good.

19:07 Okay. Okay. Thank you. The next question is from the line of Ayush Sabu from Choice Institutional Equities. Please go ahead. Yeah. So going by your EBITDA margin guidance of seven to 8%, do we expect to meet this guidance by the first or the second half of the financial year? And is there any upside to this guidance, the seven to 8% EBITDA margin? I think I already answered in the second half only. First half, as I said that there is a employee cost is more than 5%.

19:56 Once the sales is more and that there will a full availability of levels throughout the year, that should be getting where we should be in better position in second half of the year. Thank you. A reminder to all the participants to press star and one if they wish to ask a question. The next question is from the line of from JM Financial. Please go ahead. Is there any update on HDB receivables? No. Not clearly. But, yes, I have one call to go go and have some discussion with the top management, the group of directors. So probably I'll be visiting next week.

20:43 They're taking their time. They have called me for some discussion. I don't know what is the positive direction in there. But, yes, they have contacted me to commend me for that receivables. So what is the outstanding amount of receivables in the books? 90 c. Yeah. 90 c. Okay. So secondly, on margins, you mentioned 7% to 8% statutes for the entire year or only for the second half? No. No. It should be for the entire year. But once the execution speed is coming up in the next few quarters, we should be in a better position to go beyond 7% to. Okay. Okay. Sir, lastly, so when we see the revenue on the console and the books, so difference is for which projects? It's for?

21:37 Standalone and console books, you mean to say what are the projects we execute in subsidiary company. Right? Yeah. So what is the difference between the stand alone revenue and consolidate? Yeah. So around 80 CR of revenue we have booked in our subsidiary. So that is some miscellaneous projects, which we have taken up in that company. So do you have any aligning group projects? Yeah. Adani group projects only. Okay. So whenever now you give the guidance, that should be the consult... We should take it as a consult guidance. Yes. Or Yeah. For the... Everything will be on a consult guidance, sir. Okay. Okay. Thank you, sir. Those are my questions. Thank you. The next question is from the line of Rasha from RBC Investment.

22:27 Please go ahead. Hello. Yes, sir. You're audible. If there's anything, can you share on the order book in agenda? Voice is breaking. Sorry to interrupt you, sir. Your voice is breaking. Can you hear me now? Not clear. Sir, can you please speak to the handset? Hello? Yeah. Yeah. I just if there's any guidance that you can check the book Is it customer 27? Is it? Sorry. Sorry. Otherwise, you're seriously not coming to play. That's fine. I'll just try again. Yeah.

23:21 Ladies and gentlemen, if you wish to ask a question, you may press star and one. Question. Participants who wish to ask a question may press star and one on the touch tone telephone. The next question is from the line of Vishal Perival from PSP Capital. Go ahead. Yes, sir. Yeah. Thanks for the opportunity. Just a few data points. So the order book that is there with us, 13,000 odd crores, what is coming from Dharavi side in this order book?

24:11 Proportion wise? I don't know the exact figure of what is coming from Dharavi side, but I think there are two projects of Dharavi, which is considering in this order book. INR 3,000 crores. Okay. Okay. And then overall, I think, though, I mean, in this Adani Meet, which happened a couple of months back, when we attended and then there was like a big opportunity that we could see they were projecting. So for us, what could be probably a number that one can look at? Because the size is pretty big. Probably, like, what what what is... What we are eyeing from this opportunity? Any any ballpark number that can be shared?

24:57 You're talking about Dharavi? Dharavi, sir. So Dharavi is a development. The first part is redevelopment and then second part is the development of Dharavi line once it is vacated. So as far as redevelopment is concerned, it is going to go for at least four to five years, maybe six years. And after we see that the old redevelopment is completed, then that land will be vacated and then fresh development of those land will be coming after six to seven years. Today, out of the first two large projects which is being announced for that we are doing. But since these two leg houses has to be made within a period of five years, I think by the time we are through with some of the project, we can further get an opportunity of the same size later on after two years. So presently, we are the first person to write a rejection. If we can build up our capabilities in Mumbai, then we will be getting more and more chances.

25:52 But if they have the fixed timeline of making two leg houses, there can be few other players also who can be participating for the Haravi with the one project. Okay. So if I just to... I mean, like, you know, probably what you have said, just to repeat, the new opportunity for the Haravi will come only once we deliver these two projects? Is that... Or before that No. No. No. Not only two projects. It is going to be the the whole Dharavi development is in... Requiring two leg houses to be built first. Those two let houses are building phase eight, after three years, if we are able to deliver 40,000, 50,000 houses, those 45,040 or 50,000 houses will be shifted from Dharavi to this new location of development, redevelopment.

26:38 And later on, those lines will be affected and then only this new development of the will start. Okay. Okay. Got it. Got it. And then maybe in terms of like your presentation mentioned, we have deployed almost like 16,000 plus laborers across the project site. So just to understand like the intensity of it. So to be I mean, like, mean, how this number has been and it is becoming INR 16,000 odd crores, just to get a perspective, can you share the previous numbers, what it used to be like? It is very difficult to mention this previous number because it depends on the typography of the work going on each project. So presently, my requirement is in the range of 16,000 to 17,000 and we are almost through with the requirement of the all the projects.

27:27 In case, if you can say still three three to 4,000 number will still be added in next one or two quarters because more and more activity started each project. Some of the projects are in foundation. Some of the projects are in finishing, some of the projects are in MEP. So it depends on the what type of activity is going on. If it is purely core and shell, then the requirement is little bit less. But when this project core and shell is over and all finishing MEP and everything is going on, There will be a requirement from different trades question is from the line of Jainam Jain from DAM Capital.

28:16 Sir, my first question is I wanted to understand what sort of impact we have seen on the cost front because of the war condition? And out of the total order book, what is the percentage in the order book, which is fixed price in nature? See, as we have been telling you every time that most of the projects, all organic projects are pass through cost. So there is not much impact on any of the projects of our running. And 30% order book, which is consisting of our order book, which was in the tune of 5,500 to 6,000. More last projects are almost under completion. R and L, yes, Pooja already said that it is going to get completed by October. SMC Tower, are going to complete by next 06/02/2027.

29:03 The only one is completed, package two is going on. Ambarji is my fresh order, so it has not much impact because now the things are little bit improving. But we can say that a few of the activities at FMC and RBNL were impacted because of the cost of aluminum and copper going little bit higher. Okay, sir. Okay, sir. Sir, my second question is, are there any new segments which we are planning to enter post the expiration of the new parent? Are we? Pardon me, again repeat your question? Sorry, are we planning to enter any new segment after new acquirers, are you planning to enter a new segment in terms of deal No, or no. See, as far as our expertise is concerned and expertise for infrastructure, we have created being tied to the remaining building only.

29:58 But building anything, like, from industry, data center, commercial, whatever, hospital, anything, but not out of any projects which is not related to buildings. Okay, sir. That answers my question. Thank you so much, and all the best. Thank you. Thank you. The next question is from the line of Rasha from RBC Investment. Please go ahead. Yes. Am I audible now? Yes. Just wanted to clarify on the order book. Could be this number at the March end? Is there anything that we can share on this side? I think as we have already told you that we'll focusing some 5,000 crores to INR 6,000 crores of order book. And if we consider that if we are able to execute more than INR 4,000, you can calculate what will be the outstanding order book within the same range plus INR 1,000.

30:58 Okay. And sir, was expecting some new geographies in the northern side of the state as in Gujarat and Maharashtra. Any major projects as he is looking out for, maybe even projects? No. Presently, we are focusing on our own projects and other projects, and we try to make our order book between seventy five to twenty five years, '25 on Adani and seventy five seventy to seventy five years Adani. As far as order visibility is concerned and the order is concerned, we have sufficient visibility for next two years. So we are not going to enter into different region as of now. We'll be focusing on Gujarat and Mumbai. Okay. In terms of the Dharavi work that you mentioned, what is the total put of total pool of order that Adani Group is trying to execute, what will be PSP share of that building in whatever that Dharavi project has to be done? Is there any Yeah. Mention mention what will be the sharing difficult as I answered in the... Before two minutes that this is a long five years project, and they have to deliver two late houses.

32:06 So probably, if we are able to perform well in next one and then in half or two years, we'll be the first we will get the first side of this user as far as Dharavi is concerned. But to complete the project before within five years to make two legged houses so that the evidence can be shifted to the new houses and the redevelopment of the Dharavi land can be taken up after five to six years. They can give it to some other contractors also, but PSP will always have a better edge as far as being a part of this organic. Just on the capability side, so that we are in the first in the first two major achievements, we have the right of first refusal. What are things that we've done in the last six months or nine months to ensure that the executives have been on fault We'll able to at least exceed the expectations.

32:53 That's what we have. I said that this this month, employee expenses have gone one little bit high, then we are building up the team. We are building up the team to multiply ourselves to 1.5 to 2x from last year. So we are in the process of extending ourselves so that we can get more and more orders from organic group and deliver their projects on that. Okay. Okay. Thank you. Thank you. The next question is from the line of Jaynam Shah from Macquarie Securities. Please go ahead. Yeah. Hi,. Are you audible? Yes, sir. You're audible. Yeah. Sir, just one question. While you're mentioning the billing segment, you mentioned the data center part as well. So just wanted to check. Do we have any specific order from the data center, maybe just the APC work of the building? And are we planning to enter into it? What kind of size we would be looking at? Because this is a segment which can, you know, to drive our order book going forward to to a lot of direction. So what is your view on that particular segment? Is it going to be big, let's say, 10, 20% of our order book, or it is just something that we are starting as of now?

34:12 See, presently, we are focusing in Gujarat and Mumbai, and specifically, Mumbai, as we already declared, will be a bit more major part of the Haravi only. As far as data centers are concerned in Mumbai and the new data center which are coming up in, I think we are not that part as of now. But later on, we don't know because it's, again, a part of a building only. So that can come to our order book. But in the things which are going to develop in Gujarat, like,, they are two lanes. One is for the data center and the second is for defense. So those types of work can come in future. But as of now, we'll be focusing on airports, citywide airports, realty, their own requirement of housing economy at Mundra and Medicity.

34:59 Medicity, both the projects that can come here. Firstly, we are already started in Andhra, and Mumbai, it will come after three to four months. So probably these two projects we can consider can be part of PSP. One is already a part of PSP. Second can be a part of PSP in future. Got it, sir. Got it. That's it so much. Thank you. You. The next question is from the line of from Infinite Wealth Advisors. Please go ahead. Mr., can you hear me? Hello? Yes, sir. Your audible. Am I audible?

35:44 Okay. Yes, sir. I want to know, sir, what is the revenue in this quarter from Pika side? Yeah. I think we don't have a separate revenue from Prikas side because the projects which are we do... Doing is a part of the Prikas also. So we do not have a separate identity, but I think we are doing better and better. So throughout the year, we... What Pikach's plan capacity is within the range of 200 crores. So we'll be executing about 150 to 200 crores throughout the year, whatever may be the project. But getting exactly when you afford to cash today, don't have the figure. But in general, you can understand that the the cash can pay generally even you have 200 crore for... From the plan side. Okay, sir. Okay.

36:35 And approximate the current margin, sir? It it is really part of the business. So it remains in the same margin as because we are working... After today, we are not working for any other projects except. We we we are previously working from, sir, in some infrastructure work or bulletin for our l and d, but now we are purely focusing on billings, and that billings are also related to. Got it. Got it. Thank you. Thank you. The next question is from the line of Shravan Shah from Dollar Capital. Please go ahead. Sir, just to get a clarity on Dharavi one, so 3,000 crore order book that we have.

37:22 So which... If if we translate in terms of in terms of the number of houses, so is it just the entire 45, 50,000 houses that we want to build that is a part a of this 3,000 crore order book, or this will be a even even lesser number? No. No. No. It it will be a little bit lesser number, but you will see 3,000 crore. Each house is in the range of 10 to 12 lakhs. If we consider three fifty square feet and 3,000 rupees on the 500 rupees per square feet as a cost of the house, it is about 10 to 12 lakhs per house. So 3,000 means 30,000 houses we are presently building. The total is two lakh houses. So what we can consider as total direct development, it is two lakh houses, out of which we are making 30,000 to 32,000 houses today by doing these two projects. Okay.

38:17 So once this two two projects will be over, then only we can take the new or it can be even the... Made of the... This ongoing, we can also take other other projects also. See, when we should understand, most of the companies when they have settled project and it is going after beyond basement and from the first to second floor, all the other floors are typical. The complexity is more at the foundation level. And once there's any good site is settled, you can always site... Start a new site. But that depends on how we are establishing Mumbai and how we are performing on these two projects. So once we are stable in these two projects, we can always take up a third or fourth project of an.

39:06 Okay. Got it. And,, this quarter, the tax rate was 35%. So for full year, can we have this normal 25% tax rate, or it would be on on the higher side? No. It will be slightly on the higher side because there are certain expenses which are not deductible in taxes. So it's a permanent difference. So for the year, it will be slightly on a higher side. Okay. And if you have to look at in terms of the cash balance versus what we report, so as on March, let's say, we were having around close to $413.59 crore. Okay. So against that, as on June, the cash level would be the similar 400 or? Cash, you mean to say?

39:54 Cash and bank. What we're looking at balance sheet. Yeah. Our mind is a bit Yes. Yes. It will be on the same level. It will be slight higher. Okay. Okay. Okay. Thank you. Thank you. The next question is from the line of Sanjay Koli from Goldstone Capital. Please go ahead. Good evening, and congratulations on a very good sales growth this quarter and especially with better working capital. So that is very encouraging. Now, Praladva, you've mentioned this pass through pass through costs of the projects.

40:41 What are the margin we are keeping in in them? See, it is more about cost plus percentage on overall cost of the projects. It is not about what is the margin on parcel. The the most of this... All the materials, whatever we are buying, it is always a parcel. So once we understand the cost part, we put one place as a cost when we are calculating cost plus percentage. We are putting one x cost. And when we buy, there is a difference, and that difference is already paid in the in the running bill. I don't see. Hello? Yeah. Yeah. Oh, okay. I I haven't fully understood, but No. See, when we talk about cost plus percentage, it is on the overall cost of the project.

41:34 So that whatever cost which we have decided is overhead profit and profit on material and profit on labor, it comes as a consolidated figure, which is in the range of 20% to 25%, which you usually we're going to meet. So when we talk about each of the material, there is not a separate percentage for each of the material. That's what I'm trying to Okay. Okay. So the margin will be decided. And as in when the material is utilized, it's all it's all inbuilt into into the material. In in ongoing... Into the ongoing billing, it's all inbuilt. Yeah. Yeah. So it is an item rate contract where the materials which you are utilizing comes at a base rate when you quote it. But when you buy it, there is a difference on plus or minus side. The difference is again paid in the base.

42:24 Okay. So what is the range low low and high range on on on these projects, on the cost plus projects? It is never You meant to say the inflation part of the material, which is going to No. No. No. No. The the three decided cost plus on the pass through, you had mentioned that most of the projects were the cost cost plus. So what will be the range? Let's say, you know, the 10 to 20% or something like that? Already paid. We have already said the total EBITDA level when we could talk about the project, it comes in the range of 6% to 7%. And we talk about projects which are PSP, we always we have been doing at the range of 8% to 9%. So the at EBITDA level, you can complete a cost plus formula by survey 7% at EBITDA. So it's very, very it's very, very tightly controlled. There's not much of a it's not a large range. It's a very small Yeah. Yeah. It's very small range from project to project. There there is always a gap of one, 2% in terms of attribution. These are standardized days for each type of project.

43:33 If I'm working in Mumbai, there will be a difference of 3%. If I'm working in Mundra, there will be a difference of one and a half percent. So it depends on what type of type of project you are doing. And sometimes, whatever the words which we have considered is a type of project this guy, but then you can have a saving on one one and a half percent on overhead side also. So this is one of the example. Once we go through with one or two years, we will get a clear idea how does this process formulate complete, mathematically, it is coming at seven. Okay. Okay. Thank you. Thank you. You. Ladies and gentlemen, we take that as the last question of the day. I would now like to hand the conference over to the management for closing comments.

44:27 Thank you all for joining us today and for your active participation in the earning conference call. We sincerely appreciate the continued trust, confidence and support of all shareholders, investor, analysts and our stakeholders. We hope we have been able to address your key questions and provide a clear perspective on PSP's performance growth plan and outlook for FY twenty seven. Should you have any further queries, please feel free to reach out to our investor relationship adviser on who will be happy to coordinate with us and assist you offline. Thank you. Thank you. You're welcome. Thank you. On behalf of and Young, that concludes this conference.

45:12 Thank you for joining us, and you may now disconnect your line.