The first question is from the line of Amit Anwani from Prabhudas Lilladher Capital.

So, first question for the reduced guidance in Ceramics, and we can see that even stand alone business is kind of 4% down. So, could you explain what went wrong? And within that, is it the exports from Ceramics which has also been impacted and versus the tech nical and wear ceramics, how the situation in Ceramics since we are expecting some recovery after Q1, Q2, and we are again revising down the guidance for Ceramics?

So, I think we are not again revising. This is the first time I'm bringing it down. We feel that I think Ceramics, Q4 will be a strong quarter, first of all, because we feel that Ceramics on a full year basis, the projects are getting delayed, and that is what is causing us this challenge of Q3. But I think if you look at se quentially, they have done well on a standalone basis and we feel that Q4 will be a very strong quarter based on the order backlog that what we have. However, we expect that there could be delays in some of the projects like, for example, while we have an order, the ability to ship depends on the inspection by the customers, and there could be some delays. Hence, we are cautiously bringing this down. We felt that there could be some challenge. Hence, we are bringing it down. So that's what I would think so. It is not anything at this point in time, we feel otherwise.

So, what's the kind of exports contribution in Ceramics for first 9 months?

If you see a blended rate, it could be in the range of around 50% to 55%. and industrial ceramics, it could be as high as 75% because it's a combination of two businesses.

Right. Sir, second question on the recently concluded EU FTA, and we have exposure to Europe and in fact, when we acquired the subsidiaries, we were talking about synergies and cross-sell. So, any reading you have for your businesses from this FDA? And if you could explain more, could it be of benefit to you?

So, I think right now, it's too early at this stage. So, I feel overall FTA will be beneficial to us. Right now, we are under the MFN category. So hence, definitely compared to that rate, MFN FTA rate will be definitely lower, at least to the extent of about 4% to 5% lower which definitely increases our competitiveness. Hence, it is more beneficial to us.

Am I audible?

Now you are audible, yes. Again, you are not audible.

I think there is some line issue. Is it better?

Amit, go ahead with your question.

We can take the next question and then let him come on the queue.

Okay. Thank you Amit. The next question is from the line of Harshit Patel from Equirus Securities. Please go ahead

Firstly, on Awuko and Rhodius, while you have outlined your performance so far in the 9 months of FY '26, can you broadly highlight how we should think about revenue growth and margin development for both these companies for the next year, that is FY '27?

I will share the details more in the next call, Harshit, because we will be doing the roll up at that time, we'll be able to share at that time and I strongly feel that the current challenge of A wuko, which is like a marginal top line growth is our key concern and I think we will reflect on that and when we meet in the next call, we'll share this more.

Sure, sir. In terms of the next quarter, which is the fourth quarter, will it be broadly on similar lines as to what we have seen in the third quarter? Or would there be a material improvement sequentially for the January to March quarter?

You are talking about Awuko?

Yes, yes. Okay. So Awuko will be on the similar trend is what our reading is, and we feel that the current trend would continue, and it could be better compared to the profitability because of the expenses getting spread over the production process because last quarter, we did not manufacture. So hence, the fixed cost absorption was practically zero. So that was the cause. But going forward, that would be a slight benefit on that. But top line, we are expecting to be on the similar trend and as far as Rhodius is concerned, I feel normally Q4 is a better quarter compared to the Q3 because Q3 is a Christmas quarter. So that benefit I expect that it would come in terms of the top line.

Understood, sir. Sir, secondly, on domestic abrasives, China has recently removed the export rebate on abrasives products including grinding wheels from 9% to 0%. This will be in effect from April onwards. Can this translate into a tangible improvement in the domestic market share for us over time?

So, this is a positive news as far as the Indian market is concerned and across. I mean, abrasives is one such product, but many products, the export benefit drop would ben efit this. So, we think that this is a positive information, and it would definitely help us to strengthen our position.

Understood. Sir, lastly, on Foskor Zirconia. This particular business has continued to impact our margins and profit negatively. Even in the first half of FY '26, we have incurred a PBT loss of around INR25 crores in INR terms. On top of that, there is further loss in the third quarter as well. So, what is the outlook on this business? And how do we plan to improve the performance here? I remember a few years ago, we had also planned to divest this particular business. But I think since then, nothing has happened on that front. So, if you can provide some outlook on this business, that will be very helpful.

Yes, I think it's a good question. So, Foskor does trouble us a lot and definitely impacting us. So right now, what we are doing is they have two products, ZC and Z450 and ZC is having higher losses. So, we have tapered down the ZC business. we are only focusing on Z450. So, the Q4 will have only Z450 operation, and we want to see how that performance is. If it is going to improve, that is fine. If not, we need to take a firm call. So, this is what our current approach is.

The next question is from the line of Harshit Patel from Equirus Securities.

Sir, in the domestic Electro Minerals business, what is the mix between domestic revenues and exports within our stand-alone business? Also, is there any material difference in margins between these two?

So yes, the mix is improving more towards the export. That is helping us a lot. I think our aim is to have a 30% mix, that is 30% export mix on a long-term basis, but the current trend shows that even now, we are very close to that.

Understood. Sir, secondly, in our standalone Ceramics business, which has barely grew by around 1.5% to 2% in the first 9 months of FY '26. So could you highlight the performance and growth rates of diffe rent sub-segments, mainly refractories, wear ceramics, industrial ceramics. If you could give us a flavour on which of the segments have grown and which haven't, and based on your assessment, how FY '27 will look like for all these sub-segments?

So we have two broad segments within that, which is ceramics and refractories. But the way we discussed in the last few calls, the set of businesses we have engineered ceramics, some of the fire refractories, all that growth, w e are looking at growth of 20%. Our challenge continues to lie in the wear ceramics and also the project-based fire refractory business, bunching of the product and that is happening or that's going to happen in Q4 is one of the reasons that we are looking at a muted 9 months one. So, we expect the full year basis, they will be strong. Wear ceramics continues to have this challenge. Largely, we feel that one, the ceramic business in U.S., particularly in the last 2 quarters, were sluggish. The end customers on many projects have delayed and deferred because of the uncertainty in the tariff, not just because of us, I'm just saying as a project. We are only a small supplier in that, but because they are actually going to face many import costs. So, a lot of them have deferred this trying to get clarity in terms of how it is going to happen. So that 2 quarters is causing this challenge. We think -- the information we are getting is that people more and more now start firming up their project and start moving ahead. So that should come back. So, this is how I read the ceramic business as a whole. And as we guided ceramic business, we've given a guidance at the consolidated level. But in the ceramic, obviously, India becomes forming a major portion. We expect that overall growth rate, we know that the current rate is 1.7%, but we expect this to be in the range of about 9% to 11% at the full year level.

The next question is from the line of Jonas Bhutta from Birla Mutual Funds.

So, I would appreciate your comments while you said that you'll give out a separate guidance for both the businesses, the Awuko and Rhodius probably with the Q4 results and just like Foskor, sir, do you sort of have a time frame as to when you will keep evaluating these businesses, whether they remain -- are something that are sort of meeting the targets that you had set out at the time of their acquisition as in you bought them for a particular reason? And I know maybe 3 years, or 4 years is not a good enough time to sort of evaluate these businesses because we buy it for the long term. But just curious to know as to what are the steps that you are taking to sort of see that whether these fit probably just like you're going to take a call on Foskor. So, what is the timeline that you've given yourself on this?

Yes. I think, again, a good question. Foskor, as I communicated, probably 1 quarter to 2 quarters, we will take a call. And Awuko, we think that we should take a firm call in a year's time.

Understood and just out of curiosity, sir, again, what is the cap -- while we bought it for, I think, EUR5 million or EUR6 million, what has been the total loss funding that we've done insofar or the losses that we w ould have incurred in the last 3, 4 years ever since we acquired them?

Yes, yes. I think we have incurred a loss of close to about EUR30 million and this is over the last 4 years’ period.

Sure, sure. My second question, sir, was on Ceramics. About 2 years back, sir, we've seen a phenomenal growth and for the past 4, 5 years up until maybe fiscal '24 and predominantly driven by these new age applications in SOFC, cells, et cetera. The business of the company that was givin g us those orders seem to be booming. Is it already reflective in the sales of Ceramics for the past 2 quarters? Or that is something -- that's the upside that's potentially going to come going forward? Because, again, the communication was that the intensity of Ceramics in these products is likely to go up and our wallet shares will sort of trend higher. So, I'm just, again, wanting to know whether that's already reflective of the upside in the last 2, 3 quarters?

So, I think your pointed observation is well noted. I think on the Ceramics side, the businesses that we are serving to SOFCs and some of the high-end ones, they are growing pretty high. As I said, it's north of 20% is the growth that we are having and we also have a very sizable, good order book. In fact, we bagged the highest -ever order in the last quarter from them. So, we seem to be doing fine there. So, challenge, as I explained to you, comes largely from the wear ceramic side, which is what is causing and probably once the project starts kicking in, in America, I think this should start getting better. And then you will start seeing the overall growth would also start looking better. So, two broad reasons. One is that side. The other side is the refractory projects bunching that is happening in Q4. So, these are the two broad reasons why we are seeing a muted growth up to 9 months. Still I'm -- as I guided on stand-alone 9% to 11% on a basis ceramic, we will still do that because you will see a stron g Q4 on that. And then you will start s eeing a better growth in FY '27 and some of the businesses that you are hinting are really supporting our growth there.

Got it. I appreciate your responses sir. All the best

Thank you

As there are no further questions from the participants, I now hand the conference over to the management for closing comments.

Good. I thank you all for participating. I would li ke to summarize as follows. I think, of course, you don't have the business plan, but we are tracking to the business plan at 9 months level and we think that we have worked on all the major efforts in terms of our long-term strategies for Ceramics, Electrominerals and Abrasives. Capacities are being created and our investment progress is pretty much in line. That's why we are also maintaining the guidance of INR350 crores. All the programs in terms of technology tie -ups, working with partners in two b road areas are all progressing well. People addition, getting key leaders’ part of this new and improved programs that we are looking at are all also happening in parallel. So, I would say while we focus on the current and future also, we are securing well. Abrasive growth in Q3 is encouraging. We think that this trend should continue. We feel Q4 will be a strong quarter for Ceramics based on the projects that they have tied up. Electro minerals is showing good come back, very good margin recovery that they have shown. Their ROCs are also looking good. So overall stand alone has done an exceptional job. We think that Q4 could be better in stand alone. We do hav e challenges at Foskor Zirconia, A wuko and I think we would take appropriate actions on this. R hodius is doing fine, but I think we can get better at it. We will do work on that. So, with that background, I thank you for all your patience and time in attending this call. Thank you.

On behalf of DAM Capital Advisors Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.