Thanks a lot. Good afternoon, everyone, and thank you for joining us. It is indeed a pleasure to welcome you all to the Uniparts Q1 FY27 Earnings Call. The first quarter of FY27 reflects the divergent dynamics currently shaping our end markets and importantly, how we are navigating them. Central to this is the operational rigor our teams have demonstrated in ensuring we continue to meet customer expectations without exception. On that note, the restoration of the finishing shop at our Ludhiana facil ity is progressing well and on schedule. And I'm pleased to report that customer supply has rem ained uninterrupted throughout. Equally, our Mexico operations are on track with first customer deliveries from the warehouse expected in Q3 of this year. This is a meaningful milestone in our journey as a global supply partner. Turning to the Q1 FY27 performance. We are pleased to report revenue growth of 27% year - on-year EBITDA growth of 55% year- on-year and a PAT growth of 64% year- on-year. This performance is in line with the quarter- on-quarter guidance we had shared, but better than the annual guidance we had given and reflects the quality of execution by the team across a quarter that was not without its challenges. The ongoing West Asia situation has continued to exert pressure on inp ut costs and supply chains. Our teams have navigated this with discipline, working closely with vendors and ensuring that our delivery commitments were met without disruption. On a trailing 12-month basis, our earnings per share stand at INR39.97, a nd our ROCE is north of 27%, with ROE at 20%. Our net cash position at the end of quarter 1 stands at INR190 crores, reflecting the continued strength of our cash generation.

Just to put this in context, when we declared the special dividend of INR 101 crores in October of '25, our cash balance was approximately INR210 crores. Therefore, in just 10 months through focused operations and business growth, we have rebuilt to that le vel. Our balance sheet is in excellent health, and we continue to actively evaluate acquisition opportunities that can accelerate our strategic agenda. On the business development front, our trailing 12-month new busine ss order book remains robust at over INR225 crores with a healthy pipeline. These wins span segments and geographies and reflect continued customer confidence in our capabilities acro ss our 3 product platforms, which are the three-point linkage for agricultural and PMP and fabrications. We are continuing to invest in growing our construction and large agricu ltural equipment businesses, given that the small ag is already a segment where we hold significant global market share. The new business momentum is structural, and we intend to build on it. Let me talk about some of the industry segments that we work on. On t he construction equipment, the momentum that started in the second half of calen dar year 2025 has continued into Q1 of FY27. Infrastructure-led spending, particularly under the technology investmen ts in the U.S. and the government-led investments in Europe, is sustaining healthy customer sc hedules and order visibility. This segment is performing well, and we are growing with it, supported by both market recovery and new business additions. Coming to the large agricultural equipment, conditions remain sub dued as has been widely acknowledged across the industry. Leading OEMs have indicated that current year 2026 represents the cyclical bottom with a more meaningful recovery expected through calendar year 2027. Our growth in this segment is therefore not market-driven. It is en tirely the result of new business wins, with particular momentum in Europe. This is a natural extension of our core competency and a segment we are investing in with a long-term view. In the small agriculture equipment, India continues to perform well, supp orted by government subsidy programs and rising adoption across the mid- to-higher horsepower categories. New business wins in India in the small ag segment have been particularly strong. In the Western market, small ag growth remains more measured. Consumer appetite for big- ticket equipment purchases has been tempered by the economic un certainty and volatility, leading to continued deferral of buying decisions. That said, the bottom appears to be behind us. After 3 consecutive years of volume decline, we are beginning to see some recovery in unit volumes and the direction of growth is encouraging. Driven by our share position and continued new business additions, our business growth remains strong in this segment.

Finally, our aftermarket business represents approximately 12% of reven ue in Q1 of FY27 and was flat year-on-year in absolute terms. The tariff-driven price volatility has led to some demand skewing, as higher prices caused customers and channel partners to moderate their purchasing. With tariffs having since come down, we expect this to normalize and the segment to return to growth. In the meantime, our OEM business has grown strongly, which has naturally reduced aftermarket as a proportion of overall revenues. Aftermarket remains a strong and strategically important pillar of our business and a continued area of focus. With these remarks, let me hand over to our CFO, Mr. Sandeep Taneja, for a detailed walk- through of the financials of our company. Thanks.

Thank you, sir. Good evening, everyone. I'll briefly take you through the key financial highlights for the quarter ended 30th June 2026. Our revenue from operations for Q1 FY27 stood at INR347 crores, representing 27% year-over-year growth and remaining broadly in line with the guidance we had shared earlier. EBITDA for the quarter was INR90 crores, registering strong 55% growth year- on-year and 10% growth sequentially, reflecting healthy operating leverage and disciplined cost management across the business. Profit after tax stood at INR57 crores, up 64% year-over-year and 11 % quarter-over-quarter, demonstrating strength of our operating performance and profitability profile. We generated INR44 crores of operating cash during the quarter, and our 12-month traili ng EPS stands at INR39.97, reflecting sustained improvement in earnings over the past year. Net working capital stands at 139 days of trailing 12 months revenue as of 30th June, reflecting our near-shoring and warehousing-led business model while remaining b roadly under control. We ended quarter with net cash position of approximately INR190 crores, un derlining the strength of our cash generation capabilities and financial discipline. Capital expenditure during the quarter was INR12 crores, in line with on going investment plans focused on capacity enhancement, productivity improvement and customer-led growth initiatives. With that, I will hand over the call back to the moderator for question-and-answers.

Thank you very much. We will now begin the question-and-answer se ssion. We will take the first question from the line of Ashutosh Tiwari from Equirus.

Congrats on a very good set of numbers. Firstly, we have seen very stron g growth in the construction equipment segment for us. Do you think that structurally the segment share in revenue will go up from here, like say, what it is right now? Can this be maintained?

Ashutosh, Tanushree Bagrodia here. Ashutosh, you are right that in Q1 FY27, the business has really seen a good growth in the construction business, which is today 45% of our total revenue. The structural drivers of this, which is the new business wins, the construction industry recovery

and the wallet expansion are all multi-quarter in nature. And this momentum is going to be here, right? But we also have to bear in mind that we play in 2 other industries, wh ich is the small ag and the large ag. And as the cycle broadens and the ag recovery build s through it, at that point in time, we will not only see the ag industry growth coming in, we wil l also see the product and the geographic mix getting rebalanced. This is actually expected and it's very, very healthy.

Okay. Okay. And I think exactly 10 years back, from 2012 t o 2016 again was a bottom, let's say, declining years for tractor industry globally. And we saw a turnaroun d in that in '17. So I think similar thing can happen again now after 10 years almost?

Absolutely.

Okay. And is the construction equipment segment for us higher margin than tractors as a whole as of now?

So Ashutosh, our margins actually across products are fairly similar. I think where we have a differentiated margin profile is our delivery channel. So the locally made and locally sold is our least margin profile. Our direct exports is our base margin of what we say 20% . And then the warehouse sales is our highest margin product. And what you will also see is both in Q4 FY26 and Q1 FY27, our warehouse-led sales have been higher, and this is also reflected very positively in our EBITDA margin percentages.

Okay. Okay. And lastly, guidance for this year for sales growth remains the same or there's some uptick in that?

So I think if you look at our Q1 performance, this is in line with what we had guided. And I think Q2 is also remaining robust. I think overall on an annual basis, what we are seeing is that the growth of the construction industry is faster than what was envisaged at the start of the year. And keeping that in mind and the visibility that we have, our FY27 growth will be a couple of percentage points bigger than the growth that we had in FY26 on a year-on-year basis.

We take the next question from the line of Saishivam Shah from Avendus Spark.

Congratulations for a very good quarter. Just a quick question. The co mpany has been highlighting regarding the acquisition and additional opportunities of PTOs and fabrication from 2023. When can we see it actually materializing and meaningfully contributing to revenue?

Saishivam, I think we acknowledge that this has been talked about for a long time and investors and analysts all want an update. The truth of the matter is that we have evaluated about a dozen targets since IPO across hydraulic fabrication and PTO. And on a few occasions, we've been very close to making the acq uisition, but the deal fell through for different reasons. The main reason for that is as manage ment and as responsible people, we don't want to make an acquisition unless we are confiden t that it will be value

accretive for all stakeholders. We are not in a hurry to do something just to say that we've done it. And I think with that background, we continue to evaluate acquisit ions. I think today, we have about half a dozen opportunities that we are closely looking at. So the effort, the intensity and the intention are all in that direction. And we will come back to our i nvestors and to our stakeholders with more information as and when we have it.

Just a follow-up question. Post acquisition, when will it get reflected in re venue? What will be the time frame? And what will be the percentage increase or growth?

So I think at this point in time, given that we are not talking abou t a particular opportunity, I'll tell you how we think about this structurally, right? And what do we look at in acquisitions. So first of all, like I said, the global industry has decided, it has to b e something where we can go back to our customers add value, where we can use our current proce sses, product knowledge, competencies to grow the new business. We're also looking at something wh ich is ROCE and ROE accretive to us within, let's say, an 18 to 30-months span. We also want to ensure that we are looking at hydraulics, PTOs and fabrica tions to add a meaningful platform, right, to our current business. And at the same time, the size has to be such that it has to be manageable by the current team. We do not want to bite more than we can chew. The one thing we are not looking at is deeply distressed assets. We will not to do an acquisition of that nature.

We take the next question from the line of Viraj Kacharia from SiMPL.

Congratulations on good set of numbers in such a challenging environment. A couple of questions. First, if you can give the contribution from FX and inventory gain in the quarter, what will be that contribution, if you can quantify?

So Viraj, if you look at it, our cost of materials this time is about 33.3%, And I think it's coming at 33.3% largely because there's been a product mix change. Th ere has been a small inventory gain that you will see on the face of the financials, and that's roughly about INR1 crore. But the larger cost of materials at 33.3% is due to the product mix change.

Can you elaborate what you mean by product mix? Because see, if y ou look at historical also our communication has been that it's more about the channel mix rather than the segment or the product per se, which really drives the margin lever for us. So when you say product mix, what exactly you mean by it? And similarly, for channel mix, if you can give the number for Q1 versus last year?

So when I say product mix, I mean exactly a bifurcation of th ree-point linkage, precision machined parts and our fabrication business. While they have simila r margins, they may have different material consumption percentages. And that's what drives the material co nsumption percentage that I'm talking about. And like we've said, on our chann el margins, right, our base margin of 20% is where our direct exports are. Our locally made locally sold is lower than that and our warehouse sales is higher margin than that.

We take the next question from the line of Sunil Jain from Nirmal Bang Securities Private Limited.

Congratulations on great set of numbers. My question is more on an industr y perspective. You are seeing very good traction in construction industry now, and we are seeing good revenue growth coming up in the current year, and you are guiding for a good growth. Next year, FY28, we will see agri coming back, at least large agri, which is degrowing o ver there in the U.S. and all, and that is likely to come back. And small agri also, which is just started positive will continue in next year. So next year, again, we will have a second lever, which will be running and we can hav e a good growth. Is that the right perception?

So Mr. Jain, thank you. So I think this year's growth, absolutely, construction industry has been doing well globally. It's driven by different underlying levers in the U.S. and in Europe. In U.S., we've said it's driven by the AI and the smart manufacturing investm ent and the government spends in Europe and infrastructure. You're absolutely right that the sm all agriculture industry after 3 years of downturn has started seeing some uptick. But the growth in the small ag industry is going to come in calendar year '27. Large ag in '26 is facing its trough. We expect mid-teens decline in the large ag industry this year. And again, the growth will come in FY28. Keeping this in mind, there will be growth in FY28. Remember, we are coming off from a 3-year very, very deep cy cle that construction and ag industries have faced, and these are very deep cycles that potential ly the industry didn't see in the last 30 years. So once the growth is coming back, we will see the uptick, and this will be a good growth cycle for both industries.

So considering good growth for next 2 years, you had guided cycle EBITDA margin of 21%. So do you see that moving up because you are already at almost arou nd 23% and there is still 2 more years for the leveraging benefit to come?

So Mr. Jain, when we talk about 20% margins, we are talking about 20 % margins over a cycle which is peak to trough. We maintain that. I think what we started seeing is, of course, we started seeing the margins of 20% play out. We are going to deliver FY27 also very comfortably over the 20% plus margin, right? Where they stack up, obviously depends on how the industry recovery happens, how much of warehousing sale is there and how the currency plays out. We, actually are confident that 20% plus is what we will deliver. We are focusing on executing with that what is in our control.

We take the next question from the line of Anubhav Mukherjee from Prescient Capital.

Ma'am, congrats on a good set of numbers. Ma'am, historically, lik e our market share in large ag has been lower and now we are trying to gain market share. So can you share some perspective on like why is the market share lower in large ag? Is it that the competition is more capable? Or does it require a different set of capabilities? And what are we doing now t o like increase our market share? That will be very helpful?

Okay. So Anubhav, if you see the ag market globally, the large ag market is in the Western countries and in our home market in India, we are a small ag country. India is the largest producer of tractors in the world. 50% of the tractors are produced in India. And all of this is small ag. This is our home market advantage. So as we started out, we built on our home market advantage, expanded that globally and then got a meaningful share in the small ag segment. In the large ag segment, we have a lower share because now growing this will also takes time. There is a validation and a testing process that every OEM has. And as we build the product for OEM put them through testing and validation, the awards come throu gh and then the revenue comes through, this is a cycle. We've been putting in concerted efforts into that. And that's how what yo u've seen is that in FY26, we actually won some very good new large ag business awards, which have now started flowing into our P&L. They have also meant that customers are now getting more excited about working as on the large ag opportunities and our focus on growing this segment continues. We a re in deep discussions with customers on a multiple number of opportunities in this segment.

And ma'am, my second question is that in the CFM segment, it se ems like over the years, our growth has mainly come from OEMs in North America. Even in this quarter, th e growth from North America and CFM segment was very strong. But you were mentioning that CFM is doing well in Europe as well. So are we in talks with or like do we see some opportunity to break into new OEMs in Europe? Some perspective on that will be useful?

Sure, Anubhav. I think if you look at the top 3 construction e quipment suppliers in the world, we actually work with them across geographies and across different pr oduct segments. That effort from our side has been growing. Of course, today, as you're coming out of the cycle, there is a little bit of how different geographies and different industry segments are performing impacting what our revenue contribution is looking like. But now coming to our new order wins book, if you see, our ne w order win book is pretty much similar across Europe and the U.S. So as the cycle follows through a nd as our new business comes through in our revenue, you should see that playing out in th e revenue contribution as well, both from a segment and a geography point of view.

We take the next question from the line of Resham Jain from VVD Asset Managers.

Congratulations on good set of numbers. So I have one question on the overall capital allocation. Like you have been looking out for inorganic and it's good that you have been very prudent about it. But let's say, if inorganic doesn't happen, then are there any other plans in terms of organic capital allocation in terms of getting into new segments or new areas?

Resham, thank you for that question. Resham, 2.5 years ago, we actually invested in a new facility for small and medium-sized fabrication. This is a business that we are now developing. So the idea really was that while we are waiting for acquisitions to hap pen, wherever we have

the opportunity, can we actually start investing on our own and go to the market to work with our customers and partner with them more deeply. And I think that actually has worked out quite well because today , on the fabrication space, we are in deep discussion with our OEM customers to be able to now start supplying fabrications to them in addition to PMP and 3PL. I think overall, if you see, even after having done that, today, our capex requirements as a business are roughly about 2.5% to 3.5% of our total revenue. That remains fairly constant. And so we have a war chest to be able to help us with acquisitions. And I think we demonstrated that in October 2025 that we gave out a special dividend because at that point in time, we didn't have a line of sight for an investment in an inorganic opportunity. So we said we would return that capital to the shareholders. And I think that capital allocation decisions are constantly mulled at the Board level, considered deeply, and we take the right call that we believe will serve our customers, our employees, our vendors and all our stakeholders.

Okay. So the follow-up question here is on the fabrication business . You don't see that to scale up on a low base over the next few years and becoming a meaningful vertical over the next few years?

We do believe that the fabrication vertical will become a meaning ful vertical. In the next 18 to 24 months, we believe this vertical will be a meaningful vertical. But even as this vertical grows, the capital requirement is not going to be to the tune of being able to use our cash balances. When I gave you that 2.5% to 3.5% of capital required, it includ es considering all the growth opportunities that we can see organically across three-point linkage , precision machined parts and fabrication and across OEM and after markets.

We take the next question from the line of Nishita Shanklesha from Sapphire Capital.

So I am joining the call for the first time. So apologies if my que stion is repetitive. But if you can just reiterate the revenue and margin guidance for next 2 years, that would be great.

So Nishita, what we are saying is that we are coming out of the industry that has seen 3 years of a down cycle. The construction industry started recovering mid of last calendar year, and that is flowing through this year. In that backdrop, what we are saying is FY26 saw a year-on-year top line increase of 21%. FY27 will see a top line increase, which is a few percentage points better than that. And as the growth comes through in FY28, this sort of trajectory of growth should continue. On the margin profile, we say that our trough to peak or peak to trough, our cycle EBITDA margins are about 20%. Given that we are in the recovery mode, we have seen our margins doing better. Last quarter, it was at about 24%. This quarter, it's at about 25% . And that obviously is because operating leverage is now playing in our favor. We also have our channel mix, which is playing. So we deliver to customers. So we make locally and sell locally . We directly export from India, and we also do warehouse sales. So our highest margin is warehouse sa les. And as that proportion goes up, our EBITDA goes up, and that's what's been happe ning in the last few

quarters. If you need a little more color on this, the team will really be happy to take you through and explain this to you.

Okay. Understood. That is great. And just a clarification question. So the capital requirement of 2.5% to 3%, that includes both the inorganic and organic growth opportunities, right?

So the capital requirement of 2.5% to 3.5% is the capital requirements for fresh equipment and repairs and maintenance for the organic business. For the inorganic bu siness today, we are a debt-free balance sheet with roughly INR190 crores of cash on hand. So that gives us enough powder for making an acquisition.

Okay. Okay. So should we have any inorganic acquisition opportunities to raise debt?

Yes. Financially, we have a strong balance sheet to be able to make an acquisition.

We take the next question from the line of Saumil Shah from Paras Investments.

So I wanted to do more on our Mexico facility. So what is the kind of business potential we are looking through Mexico?

So Saumil, our Mexico business currently is structured that most of our manufacturing will happen in India. We will export from India, and we'll do warehouse managed sales to customers from there. For FY27, we believe that this revenue should be in mid-single-digit million dollar level. What we are seeing over here is as our customers are moving their production to Mexico and expanding their Mexico facilities, this revenue will go up. In Phase 2, we will also be considering manufacturing in Mexico.

Okay. Okay. So will this presence in Mexico increase our warehouse sale and further increase our EBITDA?

So our Mexico sales from the warehouse, if everything else remains constant, we'll increase our warehousing sale. But given that the industry is turning and there are also customers where their demands are increasing. We are also seeing an increase in locally mad e and locally sold requirement and direct export requirements. So over a period of time, I think our warehousing sales will remain i n the range of, let's say, about 52% to 55%, 56%. And I think that's where we foresee this to remain in the next, let's say, 12 to 18 months.

Okay. Got it. Okay. And in the previous call, you did mention that second half to be better than the first half. So do we still hold on to that expectation?

I think, Saumil, given that the ag industry recovery is going to happen in the second half, I think that's a fairly obvious and a fairly visible outcome for us at this point in time.

So Q2 looks very robust, and I think Q2 should be in line with Q1.

We take the next question from the line of Viraj Kacharia from SiMPL.

I was just asking, if I look at the last cycle, right, in '22, we have not seen even those periods when the volume was at a very high level, we have not seen that kind of operating and that kind of a gross margin as what we are seeing right now. So I was just trying to understand that other than, say, FX or inventory, what exactly was driving this and the sustainability of this going forward?

So Viraj, the gross margins, so a couple of things, right, the product mix from '22 to FY27 quarter 1 has changed. We also have a different mix of warehousing sales versus direct export versus locally made and locally sold. All of that come together to g ive us a gross margin level and finally, an EBITDA level. And those are the differences that are playing out at the moment. Is this gross margin sustainable? I think what we've always maintained is tha t our material cost should be in the range of 34% to 37%, and that's typical of our business. So we are very confident of maintaining that level of gross margin. We are also very confident o f maintaining our 20% EBITDA margin over the cycle. And I think these variables stack up to d eliver within these ranges at different points in time.

We proceed with the next question from the line of Anubhav Mukherjee from Prescient Capital.

Ma'am, what is the outlook on the replacement market business beca use it has been in like degrowth phase last financial year and even in this quarter. So if you cou ld share some perspective on that?

Sure. I think, Anubhav, what we are seeing currently in, what we saw last year and what we are seeing right now in the aftermarket is actually a demand deferral and t he end buyers have deferred their discretionary spend, right? And this is largely a channel problem , and it is also driven by macroeconomic factors. largely the tariffs and the inflation right now, which has been caused by the West Asia crisis. So those are the factors which are causing the discretionary spend to be deferred. If you really see it from our perspective, we maintain our share of bu siness with our customers. year-on-year in absolute terms, actually, the aftermarket business has remained flat fo r us. It's not really degrown. It's just that the OEM business has actually grown faster, and hence, we are seeing aftermarket as a lower percentage of the total revenue. We do see this to normalize as the demand starts to come back. Th e tariffs have reduced. So that's one aspect that should bring in some relief. And I think ov er the next 12 months, we do expect this to normalize. Also, I think, Anubhav, at this point in time, I'd like to say one t hing, right? Yes, what we are saying is in the last 2 years, aftermarket as a percentage of our revenue went from 20% in FY25 to 15% in FY26, and we are seeing it at 12%. Like I said, quarter 1 to quarter 1, the absolute

number remains the same. The reason the percentage is different is becau se the OEMs have grown. But remember, the aftermarket gave us an anchor when the OEM busin ess was going down in FY25. And I think in FY26 and FY27, that is now, as the OEM business is growing, any softness in the aftermarket is being taken care of. So this also demonstrates the derisking of our business, which is actually built to perform over cycles and not at any given one point in cycle.

And is there a scope to add new retail channel or distributors in U.S. or Eu rope for the 3PL aftermarket?

Absolutely, Anubhav, and that's been the effort. So back in FY25, we consolidated our position. We added the second largest aftermarket player, became very meaningful with them. And those efforts continue in various ways, both in Europe and the U.S. And as and when more of them classify, we will come out in these calls and give you more color on it.

We take the next question from the line of Ashish Pareek from an Individual Investor. Ashish Pareek Congratulations on good set of numbers. I have seen the company from those cyclical downturns, and so it's a good comeback. So congratulations to the team on that. Ma'am, we are in precision equipment business, and there are a lot of opportunities in aerospace, defense and other areas, automotive, where precision components are required from India because there is a disruption from China. So there is China Plus strategy going on. Indian companies are cashing in on it. And the precision equipment companies are making forays into aerospace, defense an d other sectors where precision equipment are required. So are we looking into any acquisition to cash in on that?

So Ashish, we are an off-highway market supplier with certain competencies on processes and products that we have. And I think today, we have the world's be st customers as the top customers. In the ag space, the top 5 global agricultural customers a re our customers. In the construction space, the top 3 customer, OEM manufacturers are our customers. So I'd like to give you a structured view into our TAM and whe re our growth is going to come from, right? So if you look at in the below 70 HP three-point linkage, we have a dominant share of business globally, right? And we continue to win new business in this segment. In the above 70 HP three-point linkage, where like we've just discussed on th e call, we are at a single-digit market share. This is our biggest growth runway. We have been winning new business in th is segment. We've won it last year. We won it with a major OEM in Europe in last year. We are growing that, and we are executing well in that, right? Coming to the precision machined parts that you talk about, let's take the top 3 construction equipment manufacturers where currently for what we supply, we have a strong share of the product. But if you look at their top line, their spend purchases a nd even their spend purchases

on the products that we supply, we still have the fraction of total relevant sourcing spend, which actually tells you that there is a lot of room for us to grow in that. And then we add the portfolio that we want to acquire via acquisitions, wh ich is in hydraulics, which is in PTOs, which is in large fab. And this portfolio view will explain tha t our growth ambitions are based on wallet expansion with our current customers, which is a fairly large market already. Now our construction customers are helping grow the AI and the smart manufacturing sector. So we are already associated with that sector. We are also in mining, we are already associated with them through that, right? So I think our sectoral diversification is coming from that. If we make an acquisition, which along with serving our existing customers will all ow us to get into other industries, we will obviously look at it.

We take the next question from the line of V.P. Rajesh from Banyan Capital.

Congratulations Tanushree and the team. Just Tanushree, you said that yo u expect to do about 20% EBITDA margin through the cycle. So my question was where do you think you are in the cycle? And could there be noncyclical growth as well given that your product set has increased and your geographies are also growing. So just wanted to get a sense of that?

Rajesh, thank you for your wishes and thank you for being a sup porter of Uniparts. I think we talk about cycles and each of the industry segments is at different ends of the cycle, right? Construction is already recovering. It's growing actually. So the construct ion recovery started last year. We've seen that flow through in our numbers. We are seeing tha t flow through in the Q1 numbers also. And I think this growth is going to continue into FY27 and FY28. If you look at small ag after this, we've seen the recovery beginn ing, but I think it's just the start of the recovery. And this segment really, if you can say, is into recovery will really happen down a few quarters, right? Calendar year '27 is when that's more likely. I think large ag, rea lly '26 is the trough. And the numbers speak for themselves, right? So in '25, the large ag industry degrew by about 30%. And in calendar year '26, it's expected to degrow by about 15%, 16% . So this is the trough and then the recovery will begin. And in this particular segment, not only will the recovery begin, bu t our new business wins are coming through. So I think that's going to add a lot of exc itement and joy for us there. I think that's where we look at the 3 segments. From a geography standpoin t, of course, different geographies are at different points of recovery as well. I think, the U.S. ag market is obviously is the most hit, then comes Europe. India on the ag side is doing a ctually very, very well. And Japan is stable. The rest of Asia is stable. What really will flow through for us in determining how industries and geo graphies play out is where our new business sits, right, new business wins. And to that extent, our new business wins are equally spread across Europe and U.S. Of course, we've got ne w business in India, but a majority of our new business is split between Europe and U.S.

Our new business wins are also split almost equally between ag and construc tion industry, right? Now in that, our focus is really on large ag and construction because the runways over there are much higher than in the small ag space. From a product portfolio standpoint, of course, 3PL, PMP and now we are also focusing on the fabrication product portfolio. So again, that's where we are putting in the effort. So that should give you a little bit of a structural approach to how we see this moving forward.

We take the next question from the line of Ajit Sethi from Eiko Quantum Solutions.

Ma'am, can you provide the channel mix contribution to re venue in Q1 FY26 and similarly for Q1 FY27 and similarly for Q1 FY26?

In Q1 FY27, our warehousing sales was roughly at about 56%. And in Q1 FY26, I think it was roughly about 50% to 52%. That's where it was. I think our locally made locally sold was at about roughly 25% Q1 of FY26 and which is roughly at about 22% in this quarter and the balance is your direct export.

We take the next question from the line of Sunil Jain from Nirmal Bang Securities Private Limited.

Yes. My question was related to warehouse, partly answered. So right now, you are commencing the operation of the Mexican warehouse. So that is likely to incre ase the share of warehouse sales - from Q3 onwards. Am I correct?

So Sunil ji, if everything else remains constant, the percentage of warehouse sales will increase. But as the industry is recovering, as order books are growing, there will be an increase in the direct exports and locally made, locally sold as well. So the e xact stacking up will depend on how each of these channel mixes are growing depending on industry and customer demand. But I think we do believe that the warehousing sales will be in the range of the 52% to 56%.

Ladies and gentlemen, we take that as the last question for the day. I would now like to hand the conference over to the management for closing comments. Over to you.

Thanks a lot. I just want to mention that the Q1 FY27 is an encouraging start to the year. And more importantly, it is a start that was earned. The same discipline and cu stomer focus that carried us through the challenges of FY26 is now translating into growth. And that gives us confidence that we will improve on our earlier guidance for the full fisc al as we look at the quarters ahead. We are building from a position of strength, a strong balance sheet, ro bust new business momentum and deepening customer partnerships and a team that has demonstrated it can deliver in difficult conditions. The opportunities in front of us across segments, geographies and throu gh potential acquisitions are real, and we are pursuing them with intent. The numbers speak for th emselves. But behind

every number is a team that showed up, a customer whose trust we retained and a commitment we kept. And that is what we will continue to build on. Thank you once again for giving us this opportunity to speak to you about our business. Thank you.

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