Hi Shveta, thank you for taking my question. Just one question, right? On the moderation of demand that you envisaged because of how the macro is panning out, but just your thought, right in terms of the criticality of the pipeline that we have, how much of short-term commodity prices could impact decisions from some of these very long-term projects, right? So versus, let's say, 5 years back, the quality of pipeline that we had and right now, how inelastic, so to say, is the demand versus what it was 5 years back?
Questions across 6 calls
Prolin Nandu
Edelweiss
Cummins India Limited
Hi Shveta, thank you for taking my question. Just one question, right? On the moderation of demand that you envisaged because of how the macro is panning out, but just your thought, right in terms of the criticality of the pipeline that we have, how much of short-term commodity prices could impact decisions from some of these very long-term projects, right? So versus, let's say, 5 years back, the quality of pipeline that we had and right now, how inelastic, so to say, is the demand versus what it was 5 years back?
Kirloskar Oil Engines Limited
This is Prolin from Edelweiss. My question is on margin while you answered the question. Just this quarter-on-quarter drop in margins on the EBITDA level, is it mostly all of it is explained by the mix change? Is that a fair understanding?
And by product mix, you mean the distribution growing lower than the product growth, right? Is that understanding?
This is Prolin from Edelweiss. My question is on margin while you answered the question. Just this quarter-on-quarter drop in margins on the EBITDA level, is it mostly all of it is explained by the mix change? Is that a fair understanding?
And by product mix, you mean the distribution growing lower than the product growth, right? Is that understanding?
I'm sorry to again prove you further on the margin part. Now I'm not asking you for guidance, right? But if I look at your Q1 margin for B2B business, and if I call out the onetime provision, there is a year -on-year decline in margins. And the 3 tailwinds that you mentioned, Rahul, in terms of international, the second was spare parts and the third -- or maybe after sales and the third was higher HP. Both -- I mean all 3 are, in a way, tailwinds for us, right? All 3 are, in a way, growing at a faster pace than overall numbers. Despite that, this margin decline, if you can explain this? And again, maybe for the rest of the year or for the next couple of years, would there be -- I mean, more like a tailwinds to this margin level that we are currently? Or what are the headwinds, right? If you can explain as we go into FY '25 and '26? That's my number one question.
I'm removing the one-off provision from this quarter's number, and then I'm looking at the B2B margin. As per my calculation, that is 11.53%. And last year for the same quarter, that was 12.69%. Even if I look at the stand-alone numbers, right, which was there in your slide, the -- I mean -- I'm not -- I don't have that right now in the front of me, but that also is not -- so I mean just to probably -- just if you remove the one -off, right, I mean the provision, this is a number that I'm getting. So that's the -- based on this, I have this question.
Sarda Energy & Minerals Limited
I have a -- first question is on steel and ferro alloy. While you alluded that prices are quite low and cycle should turn. But is there a scope to -- I mean, improve the product mix or probably think about getting into a forward integration right, so that we don't have to be dependent on cycle. Is there a thought process maybe not in the near term, but in the medium term to probably see how do we increase the share of value-add and get into some kind of a forward integration so that these cycles don't affect us as they have done in the past?
Yes. Am I audible now, sir?