Chambal Fertilisers and Chemicals Ltd
NSE:CHAMBLFERT
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Chambal Fertilisers and Chemicals Ltd
Earnings Call Analysis
Q2-2024 Analysis
Chambal Fertilisers and Chemicals Ltd
The government has demonstrated active measures to control prices, proudly announcing their achievements in managing the Maximum Retail Price (MRP) for essential commodities. However, as industry realities shift, there could be room for negotiation with the government to accommodate necessary adjustments. An example is the potential for industry representatives to discuss with authorities any significant changes that the industry might need. This implies that if the proposed changes are well-reasoned and forcefully presented, the government is likely to be amenable, which puts the industry in a favorable position for potential negotiations.
As of the beginning of November, the industry had an opening inventory of approximately 22 lakh metric tons of Di-Ammonium Phosphate (DAP) and 1.2 million tonnes specifically on the first of the month, which equates to around two months' worth of inventory at the post-sale rate. The inventory of Nitrogen, Phosphorus, and Potassium (NPK) fertilizers is significantly higher at around 3.9 million tonnes, which surpasses the subsequent two months' requirements. Additionally, the country holds nearly 1 million tonnes of Potash (MOP), which represents approximately four months worth of forward sales inventory, indicating a robust supply situation for these key agricultural inputs.
The company does not anticipate variations in the acreages of standard crops like sugarcane, potatoes, and wheat within its operating terrains for the Rabi cultivation season. These crops have consistent requirements for fertilizers and crop protection, suggesting stable demand for the company’s products without any expected increase or decrease beyond the norm.
Comparing the expenditure from last quarter, there's a notable reduction in other expenses, with the current quarter's power and fuel costs at INR 207 crores compared to last quarter's INR 343 crores. Additionally, the packing expense also stands at INR 34 crores. Closing inventory figures for Urea after Q2 amount to around 1,800 tonnes. In terms of DAP, NPK, and MOP combined, the company had approximately 119,000 tonnes at the end of Q3. These figures are essential for understanding how well the company is managing its cost structures and inventory levels.
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Ladies and gentlemen, good day, and welcome to the Q2 and H1 FY '24 Earnings Conference Call for Chambal Fertilisers and Chemicals Limited. [Operator Instructions] Please note that this conference is being recorded.
I now hand the conference over to Mr. Rishab Barar from CDR India. Thank you, and over to you, sir.
Good day, everyone. Thank you for joining us on the Chambal Fertilisers and Chemicals' Q2 and H1 FY '24 Earnings Call. We have with us today, Mr. Abhay Baijal, Managing Director; Mr. Anand Agarwal, CFO; Mr. Anuj Jain, Assistant Vice President, Finance and Company Secretary. Mr. Pradeep [indiscernible], Vice President, Legal and Secretary; Mr. Ashish Srivastava, Vice President, Sales and Marketing.
Before we get started, I would like to point out that some statements made or discussed on this call today may be forward-looking in nature and must be viewed in conjunction with the risks the company faces. Chambal Fertilisers and Chemicals does not undertake to update data. A statement in this regard is available for reference in the presentation.
We will begin this call with opening remarks from Mr. Baijal. I would now like to invite Mr. Baijal to share his views. Over to you, sir.
Thank you, Rishab. Good afternoon and evening to all, and a very warm welcome to all of you participating in this call. It is indeed a pleasure to have you on this call. Since the investor presentation and financial results has been shared by us beforehand, I will not spend time to repeat the numbers in my opening remarks.
To give a brief. Our urea business continues to progress well. All the 3 plants are operating at ultimate capacity. Urea production stood at 9.08 lakh metric tons and sales were 8.38 lakh metric tons during the quarter. Energy efficiency of our production facilities continue to be amongst the best in the industry. With [indiscernible] response of government [indiscernible] of subsidy on time is very much appreciated. This has enabled us to efficiently manage our working capital cycle. Subsidy receipts stood at [ INR 515 crores ]. Receivables stood at INR [ 550 crores ] as on September 30, 2023, and the subsidy receiveables amounted to INR 6,800 crores during the second quarter of the current fiscal.
[indiscernible] this quarter onwards [indiscernible] segmented our results into company-owned [indiscernible] fertilizers, which we normally import, crop-protection chemicals and specialty [indiscernible] to provide a better feel of our business to our investors and stakeholders. International prices [indiscernible] that is [ DAP ] and [ NPK ] has been declining on the back of lower input costs, albeit lately showing a reversal. Sales volume growth were higher on sequential quarter [indiscernible] technical ammonium nitrate, [ EPC ] contract has been awarded to Larsen and Toubro and the technology license [indiscernible] the project is progressing well and is on track.
Our [indiscernible] have been the highlights of our performance -- and this quarter also was [indiscernible]. During the period under review, we introduced a wide range of edified insecticide and treatment products, which will all great value for the farmers in the [indiscernible]. We conducted 3,700 [indiscernible] and 1,200 field shows at various locations during the year under the [indiscernible].
Our Seed to Harvest program, as we know, continues to deliver good performance during the half year of ongoing fiscal. The Seed to Harvest operated in 2,300 villages touching about 2.3 lakh farmers. Many 43,000 soil samples are analyzed and 3,100 pharma meetings and pharma training programs were conducted. We have been -- this has been one of the cornerstone of our policy to be closer to the customer, that the farmer and has needed us immense benefits.
The [indiscernible] I'm happy to inform you that we have reduced our existing toll free number in the digital and [indiscernible] with the [indiscernible] data platform, which provides the farmers knowledge about our products, and we are confident that this initiative will ease benefit. [indiscernible] and is operational in all the territories. It will integrate the benefit and further strengthen our connected [indiscernible].
In the next phase, this will be extended to providing farming solutions. Our balance sheet continues to be strong. And as always, we continue to explore organic and inorganic growth opportunities.
With that, I will now take your questions.
[Operator Instructions] The first question is from the line of Prashant Biyani from [ Elara Securities. ]
Congrats on good [indiscernible]. The energy savings schemes that you have laid out, you will achieve this -- you will achieve the financial preference of lowering the cost of production? Or will this enable you to generate more, search for some more...
No. This is primarily aimed at reducing the energy, which is used in various machines. And therefore, it is not so much volume, but it is the margin improved. Energy efficiency.
Okay. So the surplus ammonia volume may not change so much?
No. surplus volume will change with a little bit of the turbines being debottleneck [indiscernible] how much that will increase it will only be possible to be understood our equipment undergo a change, especially we are changing converted [indiscernible]. So those -- what exactly will be the result of that, we are not able to predict right now. But my own guess is that we will have an answer by May '24. Once our 2024 annual turnaround is completed.
And, sir, INR 100 crores savings that we have estimated, can this change with the [indiscernible]?
Yes, definitely, it is quite a [indiscernible] $15, which I think is a number of which has been changed in the quarters.
Okay. And sir, these schemes will mostly be implemented in G1, G2 or all the 3 plants?
No, these are primarily focused and G2 [indiscernible], as you know, is in a different lead of [indiscernible]. We are still developing some [indiscernible] then both schemes that are there are very minor. And people look at a major scheme for which the study is being conducted, but I can't talk about that.
And lastly, sir, the [ UBI ] energy efficiency norms that you would be revised by government in 2025, does that have any bearing on the financial benefit that you plan to achieve by these investments?
It's a matter of conjecture -- so what will be that in that time frame. So it is impossible, but we feel that the launch that the industry today has, if you compare it internationally, we are already amongst the best in the world. Further reduction in that number may not be the best for the industry and the government as well. Although on paper, [indiscernible] there are, of course, plant or there are 3 groups as we go. There are groups with 6.5 [indiscernible] and there is a group with 5.5 [indiscernible]. All our plants in the 5.5 [indiscernible] category, and we are below that number. I don't think the first category, this is the third category of 5.5 [indiscernible]. This is my personal impression.
The next question is from the line of Harmish Desai from PhillipCapital.
So my first question is, can you share the urea volume details between the [indiscernible] plant?
I will request Mr. [ Amit ] We'll provide you that information [indiscernible].
Sure, sir. And sir, can you share the average gas cost for Q2? And the current [indiscernible]?
I'll let Anand answer that.
Yes. So the average gas cost for the last 6 months is 16.7.
Okay. And the current [indiscernible] number?
This is on NPV basis.
Current what it is?
Current number is creeping out the provisional number -- ground provisional number will exceed.
Sir, in the Q1 call, you mentioned that [indiscernible] Cyclone and the [indiscernible] accident. So have we recovered that number in the quarter?
There is lag that you asked the question. In fact, if you see this quarter, this quarter has [indiscernible]. And we have not found [indiscernible] we have substantially segregated and spent most segregated between [indiscernible] of was processed and sent to have. And if we have achieved the considerable amount of -- in the oil sales despite problems in the weather patterns. You know that during August and even the beginning of September, we had the efficiency of rain. So all of that having been done, the amount of spoiled material has come down by about 10% to 15% from what our initial estimate was. And at the same time, the insurance companies have responded, and we have got INR 20 crores as the advance against that claim. The level of claim is established and we are now in the process of planning [indiscernible] self valuate material [indiscernible]. We are fully hopeful to get our amount -- about the amount of insurance claims that we have put some time by December this quarter.
Okay. Sir, on this, the updated so the [indiscernible] because of the production is so steep do we -- did we have any need for taking a amount of provision like we had taken in the past. So is there any update on that?
Yes, I can say that we have taken the necessary provisions and it's that the stae fall, and that is [indiscernible] the results. And in case any inventory that we carry or any futuristic all have been brought down, converted with the current LRV position, and that is [indiscernible].
Yes. So can you quantify the provision, can you share it with us?
I won't like to say that but it's a fairly large number.
Okay. Okay, sir. And sir, lastly, I'd like to ask on the performance of [indiscernible] in the quarter? And how do you expect it to -- how do we exclude the performance in the second half?
The asset performance has been [indiscernible] to say the least. They have been making [indiscernible] problems early, there were adjustments in [indiscernible] price will help. It is my understanding, although it is not forced, but they will end the year with a reasonable corporate and the third or fourth quarter for them will be good.
The next question is from the line of Darshita from Antique Stockbroking.
So my first question was regarding the DS rate card, given that the number is so still, are we expecting any kind of [ MRP increase ] or subsidy changes upwards most likely to take place in the second half of the year?
That, Darshita, my understanding is government quality is what it is. They have been consistent from their point of view. And therefore, it requires a very careful and calibrated response to the market and the policy conditions. So I, for one, feel that as per the notification published, they have clearly mentioned that 31st March 2024 is the currency of the new interest rates from first of October. However, there is a mention of the special INR 2,500 per metric ton so far as DAP is concerned.
Now that would be a subject to review in December. That is one of the things that could possibly happen because [indiscernible] provision number one. Although it is the sense that the government might not want to change it, given that there is a long experience in the [indiscernible] necessary during the [indiscernible]. But everything is subject to review at the end of the quarter. That is one. So I think the [ NBS ], that is the issue. As so far as the price increase as far as the [ MRP ] is concerned, I won't have a guess. So far, the industry have maintained the same [ INR 27,000 ]. And I was witnessed to the press conference on [indiscernible] very confidently said that we have controlled the price at [ 1350 per bag ], which means that the expectation of the government is that the prices should be all right.
Okay. And with respect to complex fertilizers, can you expect any price increases or margin decreases over there?
You're not very clear. I could not catch the...
Okay. On the same stand it remains for all fertilizers. So government doesn't intend to change any MRP as [indiscernible].
Got it. Okay. Secondly, I wanted to better understanding with [indiscernible]. What we understand is given how rational is [indiscernible] fertilizers as well as competition [indiscernible]. So your -- on that as to how are we willing [indiscernible] panning out? And is there a volume growth as you [indiscernible]?
Okay, Darshita, if I have understood your question right, your second part of the question was about the nuance of [ CPC in the Rabi ]?
Am I audible?
Yes, I think we are not catching you correctly. Either you should speak directly to the phone.
No, no, is it better now?
Yes, much better.
Yes, yes. So I will just -- I wanted get a better understanding as much [indiscernible]. What we understand is that [indiscernible] high for both [indiscernible] how are we seeing it currently? And how will it impact our volume growth for the [indiscernible]?
So that is the channel inventory of [indiscernible], except from NPA complex fertilizers. As regards Crop Protection [indiscernible], the inventory were very high for these crop, the inventory for the [indiscernible] inventory for rabi crops is not as high as it was [indiscernible] almost 50% [indiscernible] for crops.
Okay. And with respect to the prices for the crop protection, how are we seeing the price [indiscernible]?
See, if you look at the [indiscernible], the prices were down by 10% to 15%, then some post August, the [indiscernible] started building up. Rabi molecules, the price trend, again, was down by 10% to 15%, now picking up with the same level as it was there [indiscernible].
And these levels would be similar to that of COVID levels? Or [indiscernible]?
Similar level, yes.
And my last question is regarding the INR 1,750 crores [indiscernible] If you could throw some light on how are we seeing like how will we scale up our business over with respect to any acquisition or [indiscernible]?
Okay. So Darshita, you know we have mentioned in our presentation also that we have some long-term tie-ups with some American, European and Japanese company already in place. We are in advanced stage of talks with some other Japanese companies to give them -- give us some [indiscernible] which are getting operated in some years to come. So we have a product portfolio which is -- we are planning a portfolio which can extend these numbers for at least 3 years. So we are in the product portfolio is signed up. As we are acquisition is concerned, we are not looking at that as of now.
Got it. And like just on your view on this that there are already so many companies in the domestic space that already have long-term buy-ups with the Japanese [indiscernible] to introducing products in India. How are we different -- what is that differentiation [indiscernible]?
Okay. So if you look at the partnerships which the Japanese companies had, it was already [indiscernible] established there. But now if you look at some [indiscernible], which we have reduced in last year as well as this year, these have come from [indiscernible], they are coming from [indiscernible]. So they're also looking beyond -- they are also looking at expanding their partnership beyond their established earlier players.
The next question is from the line of Rohan Gupta from Novama.
Sir, first question is on our going forward in near term, the trading strategy, given the recent cuts in the subsidies from the government. So I understand so compared to the current prevailing services from [indiscernible], may not be viable to do any kind of [indiscernible]. I just wanted to share your view on this?
See, I have just told you that there is a portfolio approach that we follow as far as our business is concerned and complex fertilizers urea, DAP, [indiscernible] as well as our [ CPCSM ]. [indiscernible] complete portfolio in each, which we present to our channel and use that channel and from the various products or cross-sell or cross-market some of all these products.
Thereto, despite what the numbers may say, we may have to maintain a certain amount of product flow. So as I said, all of this is very, very carefully calibrated to see that whatever we feel or whatever our return expectations or margin expectations are. For instance, in this [indiscernible] is profitable, where [indiscernible] is not. So we have to see and balance the portfolio in certain manner as the markets, replacement, the timing in a very calibrated coordinated [indiscernible], that is 1 part.
Now as far as your questions about whether this is viable or this is not viable. It is now the government's policy [indiscernible]. And as I said, in the portfolio [indiscernible] its a lot of minimum flow of variable has to [indiscernible]. We will see how this develops. Post-January, we do not know how the prices of material will behave. It could be that it's [indiscernible]. It may drop as early as December as well, I do not know. We are already seeing softness in some of the [ NPC ] rates. And that is indicative of the fact that, yes, there may not be that kind of rapid escalation in price [indiscernible] the Ukraine war and also what we are seeing in the Middle East. So it is my expectation that prices will go in the next quarter, is my personal opinion. And should that happen to a sufficient extent then the game is on.
So sir, you are saying that in the near term to have a balanced portfolio and not -- over the fear of not losing any market share, we may have to offer [indiscernible] even maybe at a very low margin or maybe in some cases [indiscernible] losses as well, depending on the market condition, but we have to take and share. So maybe that we had to see some challenges in?
I would put to say that we have a [indiscernible] on the business profitability expectation from our stakeholders. And we also have our budgets to meet. We also understand the content, the market quite and the constraints of the government policy within the 4 corners. We have to design it in a way that we achieved to a large extent, most of the objectives. So it is a kind of an optimization game between all the issues. I would like to say that this is where execution and efficiency is agreed to.
If we -- in material, for instance, if we have even brought material, which may have a loss on the books, we will at least liquidate it, so the timing, [indiscernible] that also is very important and this is where the efficient execution at the -- in the [indiscernible] team makes a big difference. So you can plan anything if we don't have [indiscernible], you may have very contrary results.
Okay. Sir, next is on you have further plans to [indiscernible] value though we have [indiscernible] by October to decide. What kind of product portfolio we are looking into [indiscernible] asset value? Could I understand earlier that the reason for setting into [indiscernible] while the reason for going into that is [indiscernible] definitely the further investment and may require for more investment in ammonia and other assets as well. So what is the on [indiscernible] this further investments in the futue, in the value chain?
Good question, Rohan. We -- as we -- somebody asked the question earlier whether your efficiency projects will result in an increase in ammonia production? So coming back and settling back from there, I would like to say that some of the projects that we continuously was [indiscernible] and especially in the 25 times when we have said about Gadepan to see a special kind of equipment, which we need to prepare. Should those economics work out we may have some technical surpluses, increased to some extent, which will enable us. And in any case, in the current scenario as well the design and the capabilities that we are building in [indiscernible] plant. There could be surplus which can then take us into the next change, as I said, in terms of nitric acid. And this is a value chain that will keep expanding in my opinion, over a period of time. because we have sort of mutated this business. And once you create a nucleus in our business, then there is an expansion possibility going forward in the next 3, 4, 5 years. So I believe that this is a foundational project as far as nitric acid and nitric [indiscernible], and it will develop in time.
So [indiscernible] the main focus here, will you still remain that some ammonia and how much more ammonia we can produce through the same energy initiatives, which we are taking? There is still no plans for looking for complete dedicated ammonia plant trend to drive the [indiscernible] can including tender.
No, that is dependent on the volume absorption, which is possible. We continuously look at what competition is doing. We have to see the balances -- overall balances, the requirements. Our ammonia chain is pretty expensive, as you know, from pricing shares for [indiscernible] fertilizers. They have had to put a [ 1,500 tonne plant ] it's fairly expensive, due to that we can explore capacity, which are available with us. Those capacities that will get exploited will give a reasonable volume in this. We are designing the plant [indiscernible] plant sufficient interoperability or [indiscernible] capability to look at from ammonia, [ WNA, CNA ] or going forward on to other value addition of CNA, et cetera. Going forward, those entities that are there, they are quite sufficient in market.
Sir, just last from my side. So sir, our [indiscernible] going to lose the synergy benefit in another scheme of new investments in from 2026, [ 2027, ] What will be according to you the likely change in the government policy and the normal margin on that?
That is too far out in the future for me to comment. I think we are talking about 4 years from now, I can make any number of [indiscernible] and all of them will be wrong. I do not know what exactly the government offering in. In the past 1 year, I have been witnessed before a [indiscernible] has a very strong direction on sort of deregulation or at least putting the [indiscernible] in urea. But I do not know whether those ports will be reconsidered or we've done after the election and so on and so forth.
You think the current team will continue for another 4 years? I mean FY '28 -- I believe it was in '27.
So that is something that I cannot [indiscernible], and there are so many things happening at the same time, it's very difficult to predict the trajectory of government policy. It depends on the incumbent. [indiscernible] to administer what will be the composition of all this. So I can't say, I can't say.
The next question is from the line of [ Himanshu Binani ] from [indiscernible].
So sir, I have a couple of questions. So number one, on the provision. So sir, after this [indiscernible] reduction, so have we taken any sort of like inventory provisioning into our [indiscernible] in the second quarter [indiscernible] Homeland secondly, connecting to [indiscernible] only. So we have been witnessing some sort of like volatile current situation -- so on the crop protection side also have been taking any sort of in [indiscernible] out there also. So maybe you can [indiscernible] the boat.
On the on the crop protection, there's absolutely no promise. As with you has been on low credit terms, I won't say 100% cash sum. [indiscernible] I wouldn't say how much percentage is [indiscernible] on cash. Focuses also -- there's a lot of disturbance in the line.
Hello. Yes. And secondly, as far as the provisioning on the [indiscernible] is concerned, I've just told somebody who called us or who actually question made that the adequate and accurate provisioning has been done on the stop on whatever was remaining in the U.S. and also on anticipated arrival on which we have make.
Secondly, my question was price hike in the second half. So we have been like hearing from the [indiscernible] that maybe they would be taking some sort of [indiscernible], which in time would be like partially mitigating the sort of [indiscernible] or maybe the industry [indiscernible] -- so just want to have a sense that considering that we are like running towards the election, May '24 elections. So maybe if at all, the government would be allowing the industry to take any sort of price hike for this year? So any thoughts or any comments from you would be helpful?
[indiscernible], my sense is that the government announced a press conference on certain things. If you went to the YouTube of that or -- their [indiscernible] farmers or to the people who was that look, we have managed to control the price. And from 1 level MRP and so on. Now if it's [indiscernible] they want to bid out or they want to do something different. It's a matter that I'm sure they would reserve and also not at [indiscernible]there will be a group of people would possibly go and discuss with the authorities before [indiscernible] step of this type. That is my understanding. And if that is sufficient rate and sufficient force in their argument I'm sure the government will allow [indiscernible]. And in that case, we are better off position than what we are for the industry, and we are part of the industry.
Got it, sir. And sir, the last question is on the inventory position. Did we -- like if you can give any sense on the industry-wide inventory provision for September, how [indiscernible] positions are number one. And secondly, on your -- maybe give the on inventory and [indiscernible] in terms of months from [indiscernible] that can help.
I can't say for all grades because we have a limited number of grades that we work with -- but for the -- my understanding, only that the [indiscernible] rates that we follow is DAP and I think it is earlier in the [indiscernible] there is some 22 lakh metric tons, which was opening on October, first -- sorry, first of November. As far as MOP, that is potash or NPK, I would like to...
Okay. So to answer your question on the DAP inventory, DAP, the current [indiscernible] 1.2 million tonnes on first of November. And when you're talking of how many months of inventory if you can converted to the post sale of part year, it is equal to 2 months rate. So that's for [indiscernible]. In this case, inventory is around 3.9 million tonnes. This is always put together, which is much, much higher. If you compare the next 2 months requirement in terms of the [indiscernible] around 2.2 So there is a sufficient inventory of NPKs. With regards to potash, the inventory is around almost around 1 million tonnes in the country, and it is almost 4 months forward sale inventory in the country for [indiscernible].
[Operator Instructions] The next question is from the line of [indiscernible] from [ Arian Capital Markets ].
You said the rabi crops expectation. So we understand that [indiscernible] center so we're not sure or demand-wise [indiscernible]. So which costs are you expecting in increase of demand on...
Okay. So if I understood your question correctly, [indiscernible], you are asking about what are crops, we expect to be grown in the rabi season. Is that right?
Yes, sir. Yes.
So in our terrirory. Our territory, the crop relation starts with [indiscernible], then followed by Potato, Wheat and [indiscernible]. So that is the crop cycle in our operating territory, and we don't see any changes in any acreages of these crops.
Okay. So no changes in [indiscernible] how -- I mean, how do you see the demand panning out? And any kind of [indiscernible] these crops like it happened this quarter and...
No, I don't see any change in the demand factor because these are standard crops which are -- which have a standardized fertilizer and crop protection [indiscernible] requirement. So it could [indiscernible] an average normal requirements. No, no upside and outside in that.
The next question is from the line of Prashant Biyani from [ Elara Capital ].
So my line got [indiscernible] know whether you answered this or not. Typically, sir, our [indiscernible] as the volumes have been in the range of 3 to 5 lakh tonnes in the exception of last year. So with the current change in subsidy is it possible that will continue the same volume trajectory? Or what would be your view on that?
See, we are halfway through being there more or less. I don't think it will be better.
Sure. And, sir, some detailed questions also I had. If we can have the breakup of other expenses in power pricing and trade cost?
Yes. I'll let Anand handle that.
Yes. [indiscernible] is this quarter, [ power ] is INR 944 crores and [indiscernible] [ INR 207 crores ]. And transforming last quarter, it was INR 1,443 crores. Power and fuel was [ INR 343 crores ]. [indiscernible] more or less same, INR 215 crores.
So freight in this period is how much, can you repeat?
207.
Okay. And packing?
[ Packing ] is INR 34 crores this year.
Okay. And sir, urea's closing inventory after Q2 will be around [ 130,000 tonnes? ]
Around 1,800 tonnes.
And sir, lastly, can we get the credit fertilizer inventory, which would have been in the channel at the end of Q2?
You mean you're referring to the cost stocks?
Yes.
At the end of -- at the end of quarter 3, we had all put together around [ 1 lakh and 19,000 tonnes ] of DAP, NPK and MOP go together.
I think you have to make a question on what are the volumes of production for urea not [indiscernible]. So even we produced 2.8 lakh tons, [indiscernible] produce 2.69 lakhs and [indiscernible] producing [indiscernible] in the current quarter.
Thank you. As we have no further questions, I would now like to hand the conference over to the management for closing comments. Over to you, sir.
Thank you very much, gentlemen, for the [indiscernible] questions that are. I hope we have been able to [indiscernible] ahead and Happy Diwali to all of you. Thank you so very much.
Thank you. Happy Diwali from the entire Chambal Team.
On behalf of Chambal Fertilisers and Chemicals Limited. Thank you for joining us. You may now disconnect your lines.