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Maruti Suzuki India Ltd
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Ladies and gentlemen, good day, and welcome to the Q2 FY '23 Earnings Conference Call of Maruti Suzuki India Limited. [Operator Instructions] Please note that this conference is being recorded. I now hand the conference over to Mr. Pranav Ambaprasad. Thank you, and over to you.
Thank you, Yashashri. Ladies and gentlemen, good afternoon, once again. May I introduce you to the management team from Maruti Suzuki. Today, we have with us our CFO, Mr. Ajay Seth. From Corporate, we have Executive Director, Corporate Planning & Government Affairs, Mr. Rahul Bharti; General Manager Corporate Strategy & Investor Relations, Mr. Nikhil Vyas. From Finance, we have Executive Director, Mr. Pradeep Garg; and Vice President, Mr. Dinesh Gandhi.
The con call will begin with a brief statement on the performance and outlook of our business by Mr. Seth, after which we'll be happy to receive your questions. May I remind you of the safe harbor. We may be making some forward-looking statements that have to be understood in conjunction with the uncertainty and the risks that the company faces. I'd also like to inform you that the call is being recorded, and the audio recording and the transcript will be available at our website. You may please note that in case of any inadvertent error during this live audio call, a transcript will be provided with the corrected information.
I would now like to invite our CFO, Mr. Seth. Over to you, sir.
Thanks, Pranav. Good afternoon, ladies and gentlemen. I hope you and your families are healthy and safe. Let me start with some business highlights during the quarter. Maruti Suzuki celebrated 40 years of Suzuki's partnership with the people of India. During the event, Honorable Prime Minister laid foundation stone of Suzuki Motor Gujarat Electric Vehicle Battery Manufacturing Facility at Hansalpur, Gujarat, and Maruti Suzuki Vehicle Manufacturing Facility in Kharkhoda, Haryana.
The company was incorporated to provide cars for the masses of India and also build a vibrant manufacturing industry in India. We are happy to share that the company has been true to its reason for existence even today. If we look back, one of the key success factors in our journey has been the strong focus on understanding and fulfilling the needs of customers by offering them relevant products, technologies, and services. Over the years, customers have evolved, and accordingly our products, services and business processes to have aligned keeping the customer at the heart of it. The other factor has been how we have always thought of the long term in all our actions. All management decisions are based on the long-term interest of our stakeholders.
Last but not the least, we have a very good blend of Indian and Japanese culture in our company. We were able to combine Japanese shopfloor practices and discipline with Indian innovation and zeal in our operations. Our parent, Suzuki Japan, has been a silent support, trying to look at the future from its global experience and carefully selecting the best technology and products for Indian customers.
Coming to the recent new model launches. In September, the company started retaining its U.S. flagship offering from NEXA, the Grand Vitara. With over 75,000 bookings in a short span of time, customers' response for Grand Vitara is overwhelming. The Grand Vitara is a multi-product offering with cutting-edge intelligent electric hybrid powertrain, progressive smart hybrid technology, and Suzuki ALLGRIP SELECT technology is designed to appeal to a varied customer base and will revolutionize the SUV space in India.
In August, the company launched a full model change of its iconic brand, Alto. The all new Alto K10 is loaded with most of comfort, safety, convenience and connectivity features. The company further strengthened its green vehicles portfolio by introducing S-CNG powertrain technology in Swift and S-Presso. With this, Maruti Suzuki now offers same vehicles with factory-fitted S-CNG technology. Maruti Suzuki's research and development facility conducts rigorous testing with factory-fitted S-CNG cars to deliver unmatched safety, performance, durability, and fuel efficiency. Going forward, the company will strive to further strengthen its SUV portfolio to dominate the SUV segment just like all other segments.
Coming to the business environment during the quarter, on the back of better availability of electronic components, the company reported its highest ever sales volume in any quarter. The electronic component shortages are still limiting our production volumes. In this quarter, the company could not produce 35,000 vehicles. Limited visibility or availability of electronic components is a challenge in planning our production. Our supply chain, engineering, production and sales teams are working towards maximizing the production volume from available semiconductors. The supply situation of electronic components continues to remain unpredictable.
Now let me come to the highlights of quarter 2 of this financial year. The company sold a total of 517,395 vehicles during the quarter. Sales in the domestic market stood at 454,200 units. Exports were at 63,195 units. The same period previous year was marked by a huge shortage of electronic components. And consequently, the company could sell a total of 379,541 units, comprising 320,133 units in domestic and 59,408 units in export markets.
Pending customer orders stood at about 412,000 vehicles at the end of the quarter, out of which about 130,000 vehicle pre-bookings are for recently launched models. During the quarter, the company registered its highest-ever quarterly net sales of INR 285,435 million. During the same period previous year, the net sales were at INR 192,978 million.
The operating profit in quarter 2 of this year stood at INR 20,463 million as against INR 988 million in quarter 2 of the previous financial year. The operating profit in Q2 of last year had dipped sharply owing to steep commodity price increase and electronic component supply constraints and hence results of Q2 of last year are not strictly comparable with those of Q2 of this year.
The company has been making simultaneous efforts in securing electronic components availability, cost reduction and improving realization from the market to better its margins. With this, the net profit for the quarter rose to INR 20,615 million from INR 4,753 million in quarter 2 of last year.
Coming to the highlights of first half for this financial year, the company sold a total of 985,326 units during the period. Sales in the domestic market stood at 852,694 units. Exports in this half year were at 132,632 units. During the same period previous year, which is H1 financial year '21-'22, the company registered a total sale of 733,155 units, including 628,228 units in domestic market and 104,927 units in the export market.
In addition to electronic components shortage, the sales in H1 of the previous year were also severely affected due to COVID related disruptions and hence results of H1 financial year '22-'23 cannot be compared with those of H1 financial year '21-'22. The company registered net sales of INR 538,298 million in first of this year, which is the highest-ever half-yearly net sales. The net sales in first half of previous year were at INR 360,965 million. The company made a net profit of INR 30,743 million in the first half of this year, as against INR 9,161 million in the first half of previous year.
We are now ready to take your questions, feedbacks, and any other observation that you may have.
[Operator Instructions] We have our first question from the line of Kumar Rakesh from BNP Paribas.
My first question was around realization. So sequentially, we have seen an increase in the realization by about 2%. Now this is quite noteworthy given that in the context of the volume mix which we had during the quarter, Mini and Compact segments mix had increased while UVs and export, the volume mix was lower. And also discounting in September quarter usually is higher than what happens in the June quarter. So despite all of this, we have seen an increase in realization. So can you please help us understand that what led to this realization increase?
Sequentially, there is an improvement in realization, and this is attributed to, again, the mix, because the proportion of the -- while we had lost the new Alto, and the price points of the old Alto and new Alto were different. So that's one part. Second, also, I think we proportion of the Brezza and other higher vehicles are higher compared to the first quarter, which led to this higher realization. Also the fact that we had taken a price increase in the first quarter, which was partial in first quarter and fully absorbed in the second quarter. So that also had its effect. Discounts are more or less same in the 2 quarters. It's marginally higher in this quarter compared to first quarter, not very different.
Got it. My second question was how to look at now the installed capacity that we have access to at Maruti, given that we'll also have access to Toyota capacity. So what number we should be looking at the installed capacity for us?
So as of now, we have about 22.5 lakhs capacity at Haryana plus Gujarat. Of course, production at Karnataka is over and above this, whatever comes to Maruti. And in times to come, we are in process to working on the Kharkhoda plant, which will be up and running in the year 2025. And if required, I think most likely, we might have to add about 1 lakh capacity on a short-term basis in Manesar to meet the intermediate demand. Kharkhoda by April '24 and Manesar -- sorry, Manesar, 1 lakh might come by April '24, and Kharkhoda in the next year.
Understood. Okay. Perfect. I have more questions, but I'll fall in line.
We have our next question from the line of Pramod Kumar from UBS.
Just on the opening comments, you talked about, with future SUV launches to dominate the segment, like how you dominate the other categories, which is quite heartening because your current SUV market share -- SUV plus MPV market share is 17 percentage points. So if you can just help us, between you and Shashank san or even Rahul san as to what are the plans here? Because the understanding is that it's a pretty competitive segment with very well entered models and Maruti kind of is coming late in the category. If you can just help us understand what gives you the confidence that you will have a significant -- you're talking about dominance, but even if it's significant market share, what are the plans and how do you get there, sir?
So Pramod, I think, let the excitement carry on for some more time, because we have said that we are committed to address this SUV segment. And therefore, we have mentioned that there will be more launches in these segments. But as you're aware that we don't give any details of the products and product plans as such, there should be some excitement which should be visible to you guys in fall in Grand Vitara maybe. Soon you will see more excitement in the newer launches that we will have. But definitely, we are committed to the SUV segment, which should not only help us address the growing segment, but also help us address the market share loss that we've had in the past.
And then sir, just unrelated to this, generally, the automotive thumb rule is as the pricing of the category goes -- pricing of a product goes higher, the profitability is generally better, of course, subject to scale. And SUVs are significantly more pricier than comparable products in every category. So is that understanding right that as you make this pivot from a hatchback less portfolio to a higher priced SUV segment, there is no reason why you should be kind of compromising your profitability, right, when you make this switch and transition?
Right. See, profitability is all dependent on what is your ability of driving a product at a given point in time. And in the past, with our portfolio being smaller cars and we were not present in the SUV segment, still our profitability was reasonably good. I think it will be a combination of what the market can absorb, where you can price your product. And also, when the product matures over a period, and as you localize and cost goes down, things change in that intervening period. So it will be a combination of many factors. So giving an answer to that would be very complicated at this point in time.
Okay. Fair enough, sir. And the last question then is on the financials. On the other expenditure side, we've seen that it kind of outpaced the revenue growth quarter on quarter, expenditure versus revenue growth. So what is driving...
Go ahead, go head, please.
So what is driving that, sir? And if you can just throw more light on a sustainable number there? And even your regular expense has been a reasonable jump. So if you can just help us understand these 2 areas better, sir.
So is it you are talking of sequential or compared to the previous year?
Sequential. Previous year, the base is impacted. So there's no point. I'm talking about 2Q or 1Q?
Okay. Sure. So in sequential, one thing that's written in this is also other expenses is royalty. And with the volume going up, the royalty also, as an absolute value, goes up. So there is an impact of that, which is an increase from Q1 to Q2. That's about INR 150 crores. Then there is increase in the advertisement and marketing costs. And as you are aware that we had launches. And also we mentioned in the previous call as well that we will be not shying away from investing in marketing spend where that gives us a much longer visibility. So that's gone up by another INR 150 crores.
And also the manufacturing expenses have gone up. Because of the significant rise in the energy prices, the power and fuel costs have significantly gone up. Also, certain activities that we were scaling down earlier, now in the normal situation, we have restarted that. So there is an increase on that account as well. So these are broadly the heads where it's for us. There is a small increase in other heads, including the employee cost, which is a normal increase that you have on account of the normal increments, et cetera, that happens during the year. But other than that, I think there is no other factor of increase at this point in time.
And would you expect the marketing intensity to continue like this? Or you would expect some bit of normalization? Or even on the royalty side, is there any launch related royalty payoff one-off on when a new model is introduced?
No. So there is no launch-related royalty that we pay. Royalty is basically related to sales. And it will be based on the same formula that we have mentioned to you in the past. So there will be no change as far as that is concerned. Marketing spend will depend on many vectors. It's the kind of visibility that we need for the new models, the kind of visibility that we need for existing brands and existing models. And also, as you're aware, we mentioned that we'll be bringing in more new models. So obviously, the spend will remain stepped up.
We have our next question from the line of Amyn Pirani from JPMorgan.
So just to go back to the question on discounts and royalty. Can you mention the discount per vehicle number as well as the royalty number for the quarter? I know you answered the question directionally, but can you give us the numbers also?
So discounts in this quarter were at INR 13,840 per vehicle, and they were at INR 12,748 in the first quarter. So they are about INR 1,000 higher than the first quarter. They were obviously much higher in the second quarter of last year. They were at about INR 18,500 in the second quarter of last year. So that's on discount. The royalty percentage last year was at 3.5%. Now it is at 3.8%. And the first quarter royalty was slightly lower than this, which was between 3.6% and 3.7%.
Okay. And secondly, on your CapEx, I see that in your cash flow, I think you've already spent, I think, INR 3,500 crores on CapEx for the first half. So can you help us understand what's the full year expectation number? And what are the areas in which these spends are going? Is most of it going towards the Haryana CapEx? Or is there some other areas where you're spending this money?
So we will be spending upwards of INR 7,000 crores this year. And this includes, of course, the Kharkhoda facility, where now we have started our construction work, et cetera. And also we'll have to place orders to various vendors. So that will be one major portion of CapEx. Besides that, all the new model launches that we are doing where we have to have the investment on toolings, et cetera, I think that will be another large piece of CapEx. So these are 2 areas where the CapEx would be maximum. Then you have the other routine capital expenditure on the other aspects of the business, which is R&D, the regular maintenance CapEx. So these are the key areas where we will be spending.
We have our next question from the line of Raghunandhan from Emkay Global.
Congratulations, sir. Firstly, order book is huge at 4.1 lakh as of end of September and new products are 1.3 lakhs. For the remaining portion, which is large at 2.8 lakhs, can you indicate which are the major models?
So it's a mix. But mostly, we have seen Ertiga has a high waitlist, and anecdotally also you keep getting requests for early allotment. Of course, the new models we have discussed, the Baleno also has a high number. And then the other models mostly equally spread.
And CNG would be 130, 140?
Approximately, yes.
Given the strong response for hybrid, there is a scope for launch of hybrids and other existing models. What are the thoughts here? And typically, what is the timeline required for introducing a new powertrain and existing model?
Yes. So we are also happy and hopeful, because it's -- maybe it's slightly premature, but the strong hybrid is getting a good response. In the Grand Vitara, almost more than 35% of the total bookings that we have today are of the strong hybrid. And we'll watch this as it comes, and we'll try to look at other options in other models also.
Lastly, the gross margin has improved 150 basis point quarter-on-quarter. So can you indicate what would be the contribution of JPY depreciation and commodity benefits for Q2?
So sequentially, there has been a benefit on a lot of commodities, because commodities have come off. There's also the element of the normal cost reduction that we do. Even on the exchange rates, we have gained because the JPY depreciation has been steep during the quarter. So there is a combination of factors this time now, which are all positive.
So one I said commodities, second I mentioned about the regular cost reduction that we do. And the JPY impact, overall impact of the currency depreciation. So all put together, you see a combination of these 3 are impacting the gross margins to improve by what you've seen.
And how do you see the commodity benefits going forward?
Commodity benefits going forward is difficult to predict. It will depend on -- certain commodities have cooled off and certain commodities are higher than the earlier period. So it's a combination. For example, anything related to oil, energy, et cetera, is still expensive, which are where we've been shelling out more money than before. But things like steel and precious metals have shown improvement. Now we will have to wait and watch in terms of how the future moves. I think it will at least remain steady in the third quarter, but the indication given by our supply chain is that there could be slight inching up in the fourth quarter.
We have our next question from the line of Chandramouli Muthiah from Goldman Sachs.
The first question is on the Grand Vitara profitability. Could you maybe share any additional color on how long maybe you think this product could take to reach sort of corporate average EBIT margin. So from a percentage margin perspective, do you maybe see scope for this product to reach the corporate average EBIT margin over time? Or is the outsourced manufacturing arrangement likely to sort of continue our shared margin structure with Toyota?
So we do not comment on individual segment or individual product margins as such. But the largest benefit was that it's a premium offering in the SUV space and what we are excited about is that a fair percentage of the bookings are in the higher variants. And this is both for Grand Vitara and for the Brezza. So a very good percentage of the bookings are from the upper or the top variants. So that is positive. And once we have volumes and we have presence in these segments, profit automatically follows.
Got it. That's helpful. My second question is on the semiconductor situation. So despite still a bit of a lagging impact of semiconductor shortages, we seem to have hit sort of record production in volume this quarter. So just trying to understand the few units that you were not able to produce this quarter, what is the typical model mix there? Is it on more premium vehicles or it's on CNG vehicles? Any color there would be very helpful.
No, it's not like that. Basically, most of the constraint is coming from one electronics part manufacturer. And of course, it is in some specific models. So hopefully, going forward, we hope that the situation eases, though it is very difficult to predict.
Got it. That's helpful. And lastly, I just have a housekeeping question. If you could maybe just give us the numbers on spare sales and export revenues for the quarter.
Export revenue was about INR 3,400 crores for the quarter. And spares, generally, we do not have a separate disclosure for spares.
We have our next question from the line of Jinesh Gandhi from MOSL.
A couple of questions from my side. First of all, are we seeing any material impact on CNG demand given the substantial price increases which we have seen? And how do we see that segment considering the price potential now?
So fortunately, till now, no, but there is a cause of concern, the high prices, and we have represented to the government that this should not, but we are informed that in the commercial vehicle space, there has been an impact. So CNG for us this quarter was more than 20% penetration. But we are engaging with the government to rein in the prices, because this has nothing to do with Indian costs. It is only linked to a global index, which has a force majeure kind of situation.
Right, right. And similarly, are we seeing any impact on the export demand given that many of the end export markets are witnessing challenges on currency or similar macro pressures. So are you seeing pressure in demand on that side?
So fortunately, nothing so far, but we are watching the situation.
Got it. And can you share our retail sales in the current quarter and volumes from Gujarat?
Actually, this is a continuous period starting from the 1st Navratras till end of December. So some models are in transit, some we have stocked up for some particular orders, but we are expecting that by end of December, we'll be able to sell a lot of models and keep our closing stock low.
Sir, my question was retail sales for 2Q FY '23.
Yes, because part of it was in the festive period. So that's what. So it's better to club till end of December, which means club it in Q3. We'll then have a view.
And Gujarat production? Would that be around that similar 31% to 32% range or has gone up?
About 31%, which is about 162,000 from Gujarat assembly.
We have our next question from the line of Pramod Amthe from InCred Capital.
Continuing on that CNG question. How has the mix of fleet versus personal buyers have changed in the last 2 years? Can you give some color?
Yes, fleet versus personal buyers?
Yes. For the CNG segment.
We have a very good response from the personal buyers within CNG, but generally, what we have seen, for example, the Ertiga is a very hot seller. So the kind of impression that we are getting is that -- WagonR and Ertiga. Ertiga has more than -- I think more than 2/3 is CNG. WagonR also has a high traction. So the models with a higher boot space, they are going very well on CNG.
You mean the commercial is relatively higher in these 2 segments? I was looking for more personal...
No, no, it is not linked with commercial. It is linked with -- so if you have a bigger model and bigger boot space, the CNG acceptance is far higher.
So the reason why I ask you is that you said there is some pressure on demand on the commercial segment. So hence I was asking...
No, no, no. I'm so sorry. When I said that, I meant trucks. Commercial did not mean truck fleet. It meant trucks. so when we discuss within FAM, the commercial vehicle manufacturer, the trucks, they are concerned about it. They have some impact.
And what's the industry for cars in the mix -- mix of personal and commercial for the car side for CNG?
I'm sorry, could you speak louder, please?
Yes. Sorry. I was saying for car industry, CNG segment, what's the mix of fleet and personal?
I'll have to get back with the figure, not readily available. But there's a fair amount of spread across all models. And even, for example, in models like WagonR, for example, we have a good level of penetration, and Ertiga has very high level of penetration. Dzire Tour, obviously, because in many places it is mandated that they need to run on CNG. So we have 88% penetration. Even the normal Dzire has about 35% penetration, the non-taxi Dzire.
Second one is with regard to the strong hybrid which you've launched. Can you give more details in terms of your cell or battery sourcing. What's the type of localization you have in that, and sustenance of the current pricing, do you have more visibility on that considering that rupee has depreciated and the local content versus the imported content in those cells or batteries?
See, pricing is always a dynamic -- we keep watching the market. It's a new product. And of course, we are very consumer-centric. So we'll keep taking a view on the market on a regular basis. As you rightly mentioned, the factors can change. And if we get any kind of cost reduction along the way, normally, we do consider it.
And any indication on localization there, current and how you look at going forward with that?
So it is being manufactured in Karnataka. So the local content will also depend on our OEM partner.
We have a next question from the line of Kapil Singh from Nomura.
Firstly, I just wanted to check on the overall growth, what you're expecting for the full year? And given the situation on supply constraints, do you expect Maruti to do better than the industry in this financial year?
So of course, your answer is linked to the supply of semiconductors. So whatever we get, we should be able to produce and send to the market. The industry is expected to do about 3.8 million this year.
Okay. No, the question was just trying to understand that your order book is pretty high, but the production has not matched the order book. So if you could just help us understand why that is happening. That inventory has also increased. So what is the technical issue here that we are facing?
Okay. Inventory, see, in the festive months, we do stock. And sometimes, if you keep -- instead of the shorter term, you see the medium to longer term in picture, given the total semiconductor supplies, you can maximize your production if you keep a slightly longer term in view. So we are keeping a view till, let's say, end of December, by which time we should be able to get both wholesales and retails at a higher level given the overall semiconductor constraints. The idea is to maximize within the constraint available if we improve the time frame a bit.
And secondly, I just wanted to check, given your experience with strong hybrids and the kind of demand you're seeing, are you looking to add more models with strong hybrid option?
Slightly premature. Yes, obviously, over a longer period of time that would be the intent, but we will get more feedback from the ground, from the consumer level, and from our manufacturing experience. Obviously, the effort will be in that direction, because it helps majorly in CO2 reduction also. So nothing that we can immediately offer to comment on, nothing specific, but that would be the direction in the future.
We have our next question from the line of Arvind Sharma from Citi.
Sir, first question would be on the capacity expansion. You did mention something at 1 lakh at Manesar and further at the new plant. Is it possible to share some timeline about the net capacity expansion, especially in the new plant, how much will it add? I believe it would be in lieu of something which will go away at Gurgaon. So what would be the net capacity addition at the new plant?
We are not looking at any kind of reduction in Gurgaon. In fact, at least in the shorter term, we might have to increase production in Gurgaon.
Kharkhoda plant, all plants, generally, the optimum economic size is about 2.5 lakh per annum. Our first plant should be commissioned by the first quarter of calendar '25. And I think we already have to start thinking on the second plant if demand growth continues in India. We are not looking at any kind of reduction in Gurgaon.
Sure. So this 2.5 lakh would be in addition to current and add to it 1 lakh at Manesar, right?
Yes.
Sir, second question more for the current quarter. What are the FX gains? Is it possible to quantify the FX gains? And where do they reflect? And also as a corollary, what is the import content, both for your production unit in Gujarat and Haryana? What is the import content for these 2 locations and the FX gains this quarter?
Import content for both the plants would be similar. There is no difference because all the procurement is more or less on the same basis. So our total direct import content is about 4%. So it will fall in that category only, both the plants. Similarly, I think the other thing is the indirect import content, which also would be in a similar category, because the vendors are common and all the material that we are buying from the vendors are basically from similar vendors. So there's no difference in terms of import content.
In terms of ForEx, so between different currencies, there have been gains. Largely on the import and export side on the dollar-rupee exposure, we are naturally hedged. So we use the natural hedge route. On the dollar-yen, there have been maximum gains this quarter compared to last quarter and also last year because of the significant depreciation of the currency. And the net impact of exchange rates have been about INR 158 crores of gain in this quarter compared to first quarter of this year.
This is the entire gain on the P&L, INR 158 crores?
That's right. And they will be under different heads, so...
Right. Sure. Sir, could you -- you shared the direct import content of around 4%. What would be the indirect import content, if you could share?
10% to 11%.
We have our next question from the line of Chirag Shah from Edelweiss.
One very specific question on the SUV strategy. Are you looking to enter the compact car category because some of your peers, for example, Tata Punch, are trying to address that category with an SUV type or SUV-feel model. Is that a part of our strategy, the SUV launches that you're indicating? And if you can elaborate on it would be helpful.
Sorry, you mentioned SUV or XEV?
SUV type of a product like Tata Punch is a compact SUV addressing that Baleno kind of a range in terms of price points.
So as Mr. Seth mentioned some time ago, let's keep the excitement and let's bring our products which deliver pleasant surprises for the customers. So you'll have to wait for some more months.
And sir, second question was on hybrid, the strong hybrid. Is there any restriction or technological limitation on the size of the vehicle to add more to strong hybrids? How much lower you can go in terms of technology today in terms of size of the vehicle?
So you are right, strong hybrids, at the moment, we have solutions in slightly middle cars, which have room in the engine room to accommodate both the powertrains. It becomes a bit of a challenge to bring them in smaller cars. But that is what Suzuki's competence is all about. So we'll watch the market, and to reduce carbon we have to adopt a portfolio of technologies. And each technology, each model will have its own context, its cost, its volume. So it's a complex situation that we keep working on all the time. We'll keep watching how we can maximize hybrid volumes in the future.
Ladies and gentlemen, that was the last question for today. And with this, we conclude today's conference call. On behalf of Maruti Suzuki India Limited, we thank you for joining us, and you may now disconnect your lines.
Thank you.