Hello, good morning, and thank you all for joining in the call. On the call today, I am joined by Mr.

Daljit Singh, our Managing Director; Mr. Sachin Gupta, Whole-Time Director; Mr.

Sanjay Arora, Whole-Time Director of ILJIN Electronics; Mr. Sudhir Goyal, Group CFO.

We have uploaded our presentation on the exchanges, and I hope everyone had an opportunity to go through the same. Let me first briefly talk about the strategic initiatives during this quarter.

Firstly, on our manufacturing collaboration agreement with OPPO. Laying a strong foundation for the future growth, our group is set to foray into mobile phone through a manufacturing collaboration agreement with OPPO Mobiles India, expanding our presence in the largest segment of the electronics industry.

The scope covers three brands: OPPO, OnePlus, and realme. I am pleased to update that the initial phase of the collaboration is progressing well.

Through a series of joint working sessions, we are working closely on key priorities and execution milestones. We have also onboarded a Chief Operating Officer for the mobile vertical, bringing along extensive experience and deep expertise from the mobile industry.

On timeline, we are on course to commence the trial production by Quarter 4 of FY27, and commercial production to begin Quarter 1 of FY28. On the scale front, we expect to begin with around 8 million units in the first year, followed by a calibrated phasewise ramp-up, and expect to double to almost about 15, 16 million in the second year of operations.

To reiterate, we view this as a beginning of a longer relationship with OPPO, and we will explore additional avenues of collaboration aligned with the Government of India's vision of Atmanirbhar Bharat, with a focus on increasing local value addition gradually. Secondly, on the Ascent Circuits expansion front, I am pleased to share that we recently conducted the groundbreaking ceremony of HDI PCB facility at Jewar near New Noida Airport in Uttar Pradesh.

The facility will bring together the complementary strengths of Amber Group and Korea Circuit company to localize the production of HDI PCBs, which are currently heavily import-dependent, leading to greater import substitution as well as creation of employment opportunities in the state of Uttar Pradesh. The Ascent Circuits construction is progressing well for the multilayer PCB facility at Hosur in Tamil Nadu.

Switching to performance, consolidated revenue of Amber grew by 13% year-on-year, reaching ₹3,888 crore for the quarter. Operating EBITDA grew by 28% to ₹337 crore, and adjusted PAT of ₹126 crore, recording growth of 19%.

Adjusted PAT is before the exceptional losses. Let me now take you through the divisional performances.

Firstly, on the consumer durable division, this division reported revenue growth of 8% Y-o-Y basis. Let me emphasize the growth to be viewed in the context of large base of previous year of Amber in Quarter 1.

The operating EBITDA grew by 12% despite the cost headwinds from the commodity prices and minimum wage revisions. Looking ahead for the full year, we expect the growth in tandem with RAC industry growth.

Coming to our electronics division, the division reported revenue growth of 29% to touch ₹985 crore. The operating EBITDA more than doubled to ₹207 crore, and the margin has expanded to 10.8%.

While the journey towards value-oriented business is yielding dividends, however, during the quarter, the bare printed circuit board business witnessed margin compression amid steep rise in the copper-clad laminate cost. Typical of the bare PCB industry, second-tier suppliers experience a time lag of around two quarters for price pass-on.

The gradual price pass through the customers is underway and progressing very well. On the railway subsystem and defense division, revenue for the division grew by 18%, while the operating EBITDA declined by 26%, largely impacted by product mix, continued commodity inflation, particularly copper along with currency depreciation, and minimum wage revisions in Haryana.

For the full year, we expect this division to deliver growth of about 30% to 35% for the full year, as informed earlier. On the expansion front, Sidwal's greenfield facility of heating, ventilation, air conditioners, pantry, doors, and gangways in Faridabad is now operational, positioning us well for scalable growth and business expansion.

Overall on the margin, let me reiterate, the business continue to face pressure from elevated commodity prices, currency depreciation, and minimum wage revision, and expect this to persist through H1, which is temporary in nature and expect to normalize as macro environment improves. Now let me hand over to Sudhir Goyal, our CFO, for the financial highlights.

Hi, good morning, everyone. Now let me take you through the consolidated financial highlights.

Revenue for Quarter 1 Financial Year 27 increased to ₹3,888 crore compared to ₹3,449 crore in the same quarter previous year, recording a growth of 13%. Operating EBITDA for the quarter increased to ₹337 crore against ₹263 crore in Quarter 1 Financial Year 26, reflecting a growth of 28% year-on-year.

For clarification, operating EBITDA is before impact of ESOP expenses, other non-operating income, and expenses. Quarter 1 Financial Year 27 operating EBITDA is after adjusting for the consumption of inventory that had been fair valued at the time of purchase price allocation for the new acquisitions: viz., Powerone, Unitronics, and Shogini, aggregating to an impact of ₹15.35 crore, representing increase in raw material consumption in the consolidated financial statements.

This is a non-operating nature of raw material consumption expense in the consolidated financials. Adjusted PAT for the quarter stood at ₹126 crore against PAT of ₹106 crore in Quarter 1 Financial Year 26.

This adjusted PAT of ₹126 crore also has a impact of ₹15.35 crore. If we add back that, this will further increase to ₹141 crore.

Adjusted PAT of Quarter 1 Financial Year 27 is before the exceptional loss of ₹123 crore. Now let me take you through the divisional performance overview.

Firstly, revenue and operating EBITDA details of our divisional performance are not comparable with the published segmental results. Starting with the consumer durable division, the consumer durable division reported revenue of ₹2,758 crore for the quarter compared to ₹2,560 crore in Quarter 1 Financial Year 26, reflecting a growth of 8% year-on-year.

Operating EBITDA for the quarter increased by 12% year-on-year to ₹214 crore compared to ₹192 crore in previous year. Coming to the electronics division performance, revenue for the quarter increased to ₹985 crore compared to ₹766 crore in Quarter 1 Financial Year 26, reflecting a strong growth of 29% year-on-year.

Operating EBITDA for the quarter recorded a growth of 117% year-on-year and stood at ₹107 crore compared to ₹49 crore in the previous year. Moving to railway subsystem and defense divisional performance, the revenue for the quarter increased to ₹144 crore compared to ₹123 crore in Quarter 1 Financial Year 26, reflecting a growth of 18% year-on-year.

Operating EBITDA for the quarter got impacted by the product mix, commodity inflation, minimum wage revision, and resultant decline of 26% against previous year from ₹22 crore to ₹16 crore. The division is expected to deliver 30% to 35% revenue growth in Financial Year 27.

Thank you. Now I request the operator to please open the floor for Q&A.

Hi, sir. Thanks for taking up my question.

My first question is on the mobile business and the export opportunity. Can you give us some color on any discussion with OEMs around this export opportunity and potentially tapping into the benefits of PLI?

Also, if you could walk us through the eligibility criteria for your business and whether you qualify for the same?

Santhosh, on the mobile business, because we have yet to start from January, we want to do a gradual ramp-up because this is a new segment we are adding up. Yes, we are in discussion with them about the export opportunities, and they are also excited about it.

It's too early for us to comment because we want to first go and launch this product category as a new product category for Amber, which will be starting from almost about Quarter 4 mid of Quarter 4 somewhere, and then commercial production has to start from 1st of April. Moving ahead, I think once we complete one year of our first domestic production, then we may think about the export opportunities.

On the second part of the question, are we eligible for this PLI given our HDI PCB expansions?

Yes, there are three approvals which we have received on the ECMS scheme on the HDI PCB part: one is for ₹3,200 crore in Jewar airport, then about ₹1,000 crore in Hosur, and ₹500 crore in Shogini, Pune. All three have been approved.

Sorry to interrupt, sir. Just on the PLI benefits related to backward integration in the mobile, are we eligible for that given that we are also expanding into The

draft guidelines have yet to come. Let the draft guidelines come, then we will be able to comment or answer to your questions.

All right. On my second question, sir, just on the PCB business, can you give us some color on the pricing structure here?

Are there any fixed price contracts? If yes, what proportion of the business is under fixed price contracts, and when does that come up for renewal?

No, you see, we are a B2B company, Santhosh. We pass on currency and commodity issues to the customers.

In Amber, we can do it in quarter lag because we are tier one. At PCB, we are tier two.

There's a quarter lag there are two-quarter lags. What we have seen in July is that there are some customers who have increased the cost, our margins are coming back to where it was.

Let us hope that both Shogini and Ascent will be able to get it. I want to tell you that copper-clad laminate, the prices continue to increase.

Getting price revisions from customer has become a regular kind of event for us. It'll keep on increasing because of artificial intelligence and data center requirements.

There's a lot of shortage of copper-clad laminate also, there's a strategic inventory positioning also happening. We are able to pass on the customers all the price increase we have.

Any color on the quantum of price increase that we could

Hi, Jasbir. First question is on the margins that we recorded.

In this quarter, pretty much we haven't really seen any impact of raw material inflation or of rupee depreciation, at least on the consumer durable part of it. How should we see it as we go forward?

Was there any benefit of inventory that we may have been carrying? How's the outlook for margins looking like?

I think it's mix of couple of things. I'll allow Sachin to answer your question, Aditya.

Hi, Aditya ji. See, actually, what has happened, because everyone knew that there was a QCO enforcement for the compressors and copper, IGT, there was a lot of stocking that was happening.

Obviously that stocking of the compressors and copper has helped us to secure, I would say, the raw material at a better price. This was the one part.

The second part was that so whatever products probably we have made in this quarter were majorly driven by the premium side. Whatever products we have made are majorly on the five-star category and the 2-ton category.

Because of that, the realization of the margins are better. Every quarter, this mix keeps on changing.

I think the better is to see on the annualized basis. On the annualized basis, I think so we should be in line to our projections only.

It's not like that the margins in this quarter will be reflecting the complete year outlook.

Sure, sure. When you mentioned that in H1 we are likely to be seeing some margin compression, what kind of an extent are we looking at?

No, we are not looking at any margin compression. What I'm saying is that the improvement in the margins for this particular quarter should not reflect as a image for an outlook for the complete year, because this particular quarter, we had seen two benefits: one is the pre-stocking of the compressor and copper; second is that the production mix in this quarter, we could see from our data, the major demand was for the premium product categories.

Understood. Understood.

That's helpful. My second question is on some of the disruptions that we have seen on the ILJIN side, the unfortunate incident that happened.

Is it something that is impacting production, or things are going smoothly over there?

Aditya, basically, we have received permission to reconstruct the facility just yesterday from the departments. The assessment is undergoing, and we will intimate the exchanges.

Let me just tell everybody on the call that the guided number of what we did last quarter, we are hopeful that we should be in line to deliver despite of this disruption.

Perfect, sir. Thank you so much.

Hi, team. Thanks a lot for the opportunity.

My first question is on the electronics division. While you have reported about 29% revenue growth, if I kind of strip off the acquisition benefit which was not there in the previous quarter, the growth seems lower.

If you could just tell us why is that the case, and how should we look at the guidance of FY27 for the division for both margins and top line? That's my first question.

Sanjay ji, will you take this question?

Yes, sir. Am I clear?

Can you hear me?

Yes, audible, sir.

All right. Hi, Dhruv.

Actually, what has happened is that in the EMS segment like just to give you clarity, we have three segments in electronics division now: one is EMS segment, the other is the PCB segment, and the third we categorize as industrials and automation segment. In the EMS segment, yes, the growth compared to last quarter last year same quarter got a little stunted.

The main causes have been that our customers who are in the consumer durable segment, they were carrying quite a lot of inventory, and so the order book got reduced. Then some of the customers, they have shifted from sales to job work kind of category, obviously the revenue got impacted because of that.

The energy segment, that is the smart meter segment, degrew. The smart watch segment also degrew.

Apart from this, let me assure you that our full year guidance for the EMS segment, whatever we gave, still remains intact. We are quite confident we will achieve that.

Fine, sir. Very clear.

Sir, the second question is on the mobility side. Obviously we've seen margin compression because of raw material and labor-related issues.

In terms of your order book, right, assuming that's a fixed price sort of an order book, do we see this pressure going forward as well, and how should one think about the sustainable margins in this vertical starting the second half? You mentioned about the first half compression.

Dhruv, there are two, three factors here. First is, in the Indian railway segment, these are fixed price contracts.

You can't go to Railways and say that my commodity has changed or my currency has changed. You need to fulfill the tender obligations as you have submitted the tender.

Second, apart from the railway, the other businesses like metro division business, defense business, the bus air conditioning business, the data center air conditioning business, that has a price variation clause. Incidentally, in this quarter, the product mix was such that the first few products, the new products which we received the orders, have been supplied through principals directly because our factory has just started.

Our approvals now are under process, but because we had taken the contracts, the first two to three trains of each have been supplied directly, which was just a pass-on from us. That has also brought down the margins, and because it was just a trading which we did.

Second is, of course, the factors of currency and commodity and minimum wage in Haryana, which was shot up by 35% in one go. All these factors are, but let me give you the guidance from our side.

On the revenue front, 30% to 35% looks doable. The margins in this financial year, we look at around in the range of 15% to 16% for this division.

Got it, sir. Thanks a lot for taking.

Thank you for the opportunity. I can see the minority interest have turned negative this time.

Why is that so? Sharp swing.

Yeah. That this particular quarter, we acquired additional stake of Ascent Circuit.

Ascent Circuit, there is no minority interest, but minority interest has reduced.

Okay.

Hello? No,

no. Can you

just come up with a question again? Minority interest has reduced.

We can see earlier minority interest was a, positive number, what was allocated to the share non-minority shareholder, but this time this number has turned negative. Just for example, last quarter, it was a ₹28 crore positive number.

Now it's more like a -₹19 crore. There's a sharp swing of, ₹50 crore in this number.

Why is that so?

Maybe I need to check that, why it has happened. I'll come back to you separately after this call.

Understood. Got it.

What is the EBITDA margin guidance for the consumer durable business?

As of now, we are not giving any guidance in terms of percentage because that all depends on the product mix as well as the prices of the commodities and the foreign currency. It's very difficult to give you any guidance.

We maintain that on the quarterly leg basis, we are able to pass on the price hike and the commodity exchange rate difference as well, and we get the margins accordingly.

Then it's a seasonal business also. You don't know how the Quarter 4 season will pan out to be.

That's why to guide any number here will be very, very difficult for us.

Got it. Last question from my side: as discussed earlier also, how has ILJIN fire will I get it, the guidance you maintained for the division, but what will be the impact on the business because of this?

What sort of impact should we expecting due to

As I explained that we have received permission just yesterday from the authorities, today the work will start, and we'll reassess the complete loss. Let me tell everybody on the call that we are adequately insured, we don't see any issues on the refurbishment side or extra capex which we'll have to bring in, because the building, inventory, machines, everything is insured properly.

The impact on the business side, because of our multigeographic location in ILJIN, we have been immediately been able to shift businesses to other locations. We don't see a very big impact, but exact amount we will be assessing, and we'll let you know within the coming week.

Understood. Got it.

Very helpful. All the best.

Yes, thank you. Couple of questions.

Jasbir, first I wanted to understand in terms of the increase in input costs and how we pass on to your customers. You explained about in a tier one, tier two.

This problem has been around for a while. What I wanted to understand was if you in the third quarter of last year September quarter of last year, you had faced that issue of higher input costs.

When you had mentioned CCL at that time, how does it work? Do you get the price increase that you asked for in that quarter, you're getting it now, or is it when the price increases, you get it as of current spot prices?

That's my first question, and then I have a follow-up.

Sameet, basically, in consumer durable, we have two types of businesses: one is finished goods, and second is components. Then in electronics, we have again PCBA, PCB.

Different businesses have kind of a different kind of a lag to increase the cost or pass on the cost with the customers. In consumer durable, we are tier one, we are able to pass on currency exchange or the commodity changes.

Impact of the total of that is passed on on the next quarter. Just to give a little bit brief analysis on this: so supposing we are in middle of the Quarter 2 now, the average commodity price and currency price of this quarter will become the base for the next quarter.

When we start beginning to send the invoices in Quarter 3 on first date, they will be having the impact of the cost changes either through currency or commodity. The full impact will be reflected in that.

That's how the pass-on happens. PCBA also business same things.

The only PCB business is where we are tier two, where it requires two quarters. That means the average of this quarter, and we will be able to pass on them the cost not from the next quarter, but from the Quarter 4 onwards.

That's how in the PCB business happens. I hope I have been able to explain.

Yes, definitely. That is very helpful.

My second question is again relating to these higher input prices. Things like CCL, what is the potential for this to be manufactured in India?

Do you see an opportunity there over the next year or two? We might have some capacity that is localized versus having to import everything, or we're going to be exposed to these price variations for a number of years?

When I say we, not just you building a CCL plant, but as a country.

As a country, the first CCL plant is almost operational now, WIPRO's. I think they have started meeting the customers.

There are two more CCL plants being planned, which we are aware of. On the other side, Amber is also in discussion at a group level with the prospective JV partners.

We will let you know once it matures. Looking at our growth phase for PCB business, this becomes an important backward integration for us to have going forward.

I think by '29, '30, we expect that we should be having our own CCL plants by then.

Okay. Thank you very much.

Thank you for the opportunity. Sir, just one question.

In terms of consumer durable, you'd mentioned that on account of a high base, the growth looks a little moderated. Just wanted to understand, this base would be a normalized base, right, assuming all the customers are going to stick with us for the longer term?

Sachin?

I'm really sorry. Can you repeat the last line?

Sure. Sir, what I'm wanting to understand is, given consumer durable revenue top-line growth is slightly moderated and the reason cited was that it's on a high base, just wanting to understand this high base will be a normalized base going forward, right, because these customers would be sticking to us for longer term?

Perfectly. Yeah.

This base will be a normalized one. If you see from last probably, I would say, 4 years, you can see the pedigree of the customers that we are catering to is very, very different.

We have always been addressing this that in market there are kind of two product categories that are operating: one is at an opening price point, one is at the high value side. As a strategy, probably we have always tried to stick on a high value side and the premium side.

Now with the light commercial air conditioning portfolio getting more bigger for us, obviously the premiumization of the product or the realization of the product is getting more and more better for us.

Got it, sir. Can I assume that on this base, you mean that you would grow in line with industry, which is assumed to be approximately 15%?

Yes. Yes, we are in line to that.

Got it. Sir, one more question: in terms of the festive season, we understand last year there was a trade confusion in August, and now the window for Diwali is a little larger.

Are you expecting any strong demand coming off from AC?

Like last year, this year again there is some confusion in the market because from 1st July, there is a regulation change in our product category. The tonnage has to be mentioned on the BEE label.

Earlier in India, you are classifying the product as a three-star or a five-star machine, but the tonnage was not mandatory. From 1st July, the tonnage has got mandatory.

Now because of that, what is happening is that in the market there is a mixed inventory, like in a particular category like 1.5-ton, the machines are available from 4,400 W to 5,200 W. What we are expecting is that by Diwali, we are expecting this inventory to be liquidated.

Post that, we see that the market to be at equalized level. We expect a strong summer starting from November month.

We are not expecting very, very high demand on this coming festive season. This is what looks like now, but obviously, being a seasonal business every month, this can change.

Natasha, this is not a festivity product. It has shifted to mobiles and smart watches.

Got it. Understood, sir.

Thank you so much, and all the very best.

Hi, sir. Thank you for the opportunity.

Sir, just wanted to recheck on the electronics guidance. For the full year, we have earlier given a 40% plus guidance.

Are we sticking to this number? Just wanted to recheck on that.

Yes. As guided earlier, we hope that we will be able to deliver that number.

Sure, sir. Sir, secondly, also wanted to check if you can share some update on this mega AC plant for which we have also done some groundbreaking ceremony and what is the capacity plan here, what kind of capex we are looking over the years in a phased manner?

Basically, the groundbreaking of the plant, because these are two plants in vicinity to each other, and it was a big function which we organized where the Chief Minister of Uttar Pradesh and our honorable Union ministers were there to do the groundbreaking. The HDI plant construction has started.

The plant of air conditioners, that construction will start next year. We are just at a planning mode right now, and we expect that '28 the construction will start, and by '29 it'll start the trial productions.

Sure, sir. Sir, lastly, just wanted to recheck on this minority interest.

Is the understanding correct that this negative minority interest could be on the account of exceptional item related to the Ascent stake? Can we get the adjusted minority interest number?

I was about to tell that I have just checked that where that earlier question has came up for the minority interest negative. If you see in our overall group, there are few of the entities where we create the minority interest.

Like in ILJIN, we don't have a put call option, we create a minority interest for shareholder who is holding 8.96%. Then around 8%.

Then there is a STELLTEQ, there is a minority interest, then Unitronics and ILJIN Technology. All these entities falls under electronics division, where this exceptional loss of ₹123 crore has occurred.

That is why, on a net basis, there's a loss in the electronics division after the exceptional item, which has been allocated to the minority interest. That is the reason that 19 crore is coming negative, and 22 crore is coming positive in the other than minority interest.

Sir, what would be the adjusted minority number?

Maybe I'll just answer. I understand.

That we need to calculate, and we'll update you that how much is the minority interest in case there's no exceptional loss was there. Yeah.

The

next question, please.

Yeah. Good morning, team.

Thank you for the opportunity. First, I wanted to understand, what is the extent of impact on the PCB margins, if you could quantify?

How do you see it you've mentioned it is getting passed on with a lag, but at the same time, the costs are rising. How do we see the margins, if you could give us some sense for next two quarters?

Achal, the standard PCB margins which we were enjoying earlier was about 16%. Right now, we are hovering around 12%.

We expect this to come back gradually because the price increases have started happening. On a gradual basis, I think on a normalized level, this business is in 15% to 16% range.

Currently, it'll continue to be impacted for next quarter as well. From Quarter 3 onwards, you will see the margins coming back to normalized level.

Only subject to no further CCL price increases are happening.

Commodity price hike. Yes.

Understood. Sir, if you could give us some sense in terms of you said you are hopeful of achieving that 40% revenue growth guidance for electronic.

If you could give us some sense in terms of the key drivers for them in terms of which particular business or entity will drive that? Also related question is that at an aggregate electronics business level, what is the minority interest percentage we should work with?

If you could clarify, I think that would be wonderful. Thank you.

See, on the strategy, we are a B2B company, and for a B2B company, scale and efficiency is both play a very important role. If the scale teams can balance the volume and value of the businesses, value type of businesses, then it becomes a very unique proposition, and that's what we are attempting to do here.

We started our journey with a PCBA business in consumer durable, which are at a lower margin, but then we kept on expanding our applications. From 2018, when we acquired this company, till 2023, we were very focused in PCBA, but we were expanding our applications like we added hearable, wearable; we added telecom; then we added automobile business for two-wheeler and four-wheeler businesses; and some small defense portfolio also got added.

That was the organic play which we did. On the value side, especially on the industrial side, we acquired companies of Unitronics and Powerone.

They are also growing pretty well. Then, as a backward integration strategy, first step we chose PCB as our one-step vertical.

PCB again is a value-driven proposition. It's complete import substitution.

On the strategy side, we are just balancing the volume and value play. On the volume side, we have just added many other applications.

At value side, industrial has got added. Now we wish to add medical and defense and aerospace moving forward for next 3 to 4 years' time.

Teams have been formed, and they have started working on that, both organically and inorganically. We want to create a very unique EMS platform which is balanced on the scale side in volume and value.

Value is which gives you entry barrier, stickiness, and margins, and volume is which gives you scale. On the backward integration side, the first part which we have picked up is the PCB world.

We are quite excited about this journey which we are developing. I think in last 7 years of journey, we have seen margins going from 2.8% in 2018 when we acquired the company to 10.8% now.

In fact, if PCB business was at a normalized level, this 10.8 would have been 12 today. That's it.

That's on the strategy side. On the minority interest, I will tell Sudhir to answer your question.

Hi, Achal. On the minority interest, if your question is on the perspective of how much the profit will be allocated to the minority interest, it will be difficult to give you the specific percentage.

Reason is that every entity wherever the minority interest is there will depend on the profitability of that particular entity. Like in ILJIN, we create a minority interest; in Unitronics, we create a minority interest.

Standard percentage will not work to calculate the group-level minority interest allocation.

Got it. Sorry to harp on the previous question, sir, with respect to the growth, this 40% growth

Sorry to interrupt, Mr. Lohade.

Sorry, this was

just a clarification, if I may go ahead.

Yes, please.

Sorry to harp on that, sir. 40% growth guidance, I was just curious to know which segment will drive in terms of PCBA or PCB, and within PCBA, which particular vertical?

That was

All three divisions within the electronics division is growing. PCBA is growing.

We are adding new customers and we are adding new applications. On PCB, you all know about our journey, and on the industrial power electronics side also, we are witnessing a good growth.

All three put together will lead to this 40% mark.

Got it. Thank you.

I'll fall back in the queue.

Hi. Thank you.

Firstly, just a couple of clarifications. On the consumer durable, you had mentioned that it will grow in line with the industry, and that number was 12% to 15% last year you had given.

Does that number still hold? Secondly, again a clarification on the EBITDA margins.

Last time, you had said overall margin will decline 50 to 100 basis point for the full year given the RM inflation. How 1Q has panned out, again does that guidance hold or do you want to change that guide?

Currency and commodities are still very volatile, I think we were earlier expecting 50 to 100 bps, but now we think that these margins are normalized at where we are, in case there is no further disruption in the currency and commodity. On the consumer durable question, I think, Sachin, you can answer.

Your question was that does our guidance stand intact? It's intact to the industry growth.

It can vary it should range between 13% to 15%. We are in line to that.

Okay. The second question is on OPPO partnership.

Do we have any clarity in terms of how the revenues will be recognized? Because I think last time you had mentioned it could be either on a sales purchase basis or on a job work basis.

Any clarification we have got from them, or is it still work in progress?

It's very at a final stage. I think another 15 to 20 days the clarity will come, and we'll let you know.

Okay. Just lastly, last month, the board had approved fundraising options at the ILJIN level.

Any progress on that in terms of some quantum and where will the funds raised will be utilized in terms of which part of the ILJIN business?

Currently it is difficult to tell you the exact quantum. We have given the clarification that we will be raising up to ₹5,000 crore.

We'll tell you that whenever we finalize that how much fundraise is happening, we'll update everyone that how much is the fundraise and

in which form also we are raising a fundraise. We'll update you as soon as we finalize the same.

This is the enabling resolution we have passed from the board.

Okay. Got it.

Thank you.

Hi. Thank you for the opportunity, Jasbir ji.

Three questions. Number one, at OPPO level, we understand the revenue recognition is still being finalized, but have we decided will it be at Amber group level or at ILJIN level?

Inderjeet, both are at a final level because there is a ERP integration which has to happen between both the groups. Looking into that, we are evaluating whether it should be in ILJIN or whether it should be in Amber, whatever suits and whichever formalize the timelines, we will go for it.

I think we have to formalize it before the mid of September. We'll let you know in the next call exactly.

Sure. That is helpful.

Two questions to Sudhir ji. Sir, first, when you calculate your minorities, what stake do you take for ILJIN, for the entity ILJIN, not for Ascent and all?

That gets consolidated in ILJIN's PAT, but when you're calculating the minority at ILJIN, what stake do you calculate?

We calculate based on the diluted basis. We consider around 60 point something percentage after reducing for Mr.

Sim, who is the previous promoter shareholder, and the CCPS issued to the private equity players who has invested in ILJIN in last year. All those that around 30 and around 40% or 39% has been treated as a minority interest, and balance is treated as a other equity.

Mr. Sim is roughly 9%, right, if I recall correctly?

Around 8.7 or 8.6, something like that. Sure,

sure. Last question: what is the net debt number as of March '26 and as of June '26, the way you calculate?

For ILJIN or at a console level?

For Amber as a group, at a console level.

Just a sec.

Also for ILJIN if you can,

yeah. Just announce after the next question.

I'll just tell you after the next question.

Sure, sir. Sure.

That's all from my side. Thank you.

Hi. Good morning to everyone on the call.

Jasbir ji, just one question. We just want to appreciate the electronic growth better.

We all understand that it's in a growing phase. We're talking about 40% growth this year.

Just run through some bit of revenue breakdown between ILJIN Ever versus Ascent and versus the newly acquired entities. Just give us a revenue build-up over the next 3 years.

It will really help us to appreciate the growth better and the margins profile better. You just take us through whatever is comfortable in terms of ILJIN Ever's business growth this year, next year, fiscal '29 capacity increases.

That will really help us to shape up the overall growth better. Thank you so much.

See, as I explained that all the three verticals within electronics division are growing. PCBA, we are growing in the applications, and we are adding customers in existing applications.

Then PCB divisions, you all know about the capex which we have announced. You can map out along with the capex.

Generally, the asset turns in this business is 0.8 to 1, depending on what level of complexity of the printed circuit boards you are producing. We have already announced capex of close to about ₹3,200 crore in Jewar and about ₹1,000 crore in Hosur.

The plant will be up and running this financial year of Hosur, and for Jewar, it'll take about 18 months from now for the trial productions to start. That is on the PCB side.

As far as on the power electronics side, which comprises of programmable logical controllers and human-machine interface, HMI, and all the power electronics products, solar inverters, UPS, BESS, there's a very decent growth of 35% to 40% coming in. It'll be very difficult to give you a 3-year kind of a number, because all the three verticals, I would say, in the electronics are moving very positive.

We are very excited with this journey, and as we continue our PCB and power electronics side, which is a value proposition for us, and that's the reason why we guided earlier that we will surpass a double-digit number on the margin side, which we have achieved. We expect that we will be able to maintain it.

Yes, on the growth side, I think it's a big ocean. Total addressable market for all the three verticals is huge.

We are sitting at import substitution. We are sitting at $185 billion of consumption of electronics.

We were not present in the mobile segment as a group earlier. We've added into that also.

On the electronic side, even if you have to categorize out of that $185 billion just the PCB part, then the PCBA part, and power electronics part, it's a total TAM of about $16 to $17 billion at the moment. This $185 billion is going to about $300 billion, business as usual.

Though there are a lot of efforts from government side that we need to achieve $500 billion, but even if we take a conservative approach of $300 billion by FY30, business-as-usual case, you can imagine the TAM of current $16 billion for three verticals going to about $35 to $40 billion. We want to be a dominant shareholder in this TAM.

That's the strategy, to be honest. Giving a number is very difficult at this moment of time.

Got it, Jasbir ji. Broadly, if you consolidate all the entities, we are looking at ₹5,000 crore kind of sales number for the entire electronic business this year.

Aspirationally, we are looking at doubling that in 3 years. Is that a fair statement to say?

Please don't put some words in my mouth. We would like to definitely be one of the largest diversified electronics EMS platform moving forward.

That's all I can say.

All right, Jasbir ji. Got that.

Thank you so much to the entire team, and thanks for answering my question. All the best.

Thank you.

I'll

just update one last question which was asked by I think Achal, that the net debt level as on 30th June is around ₹1,225 crore, and last year March '26, it was around ₹510 crore.

Inderjeet

has asked.

Indrajit, I think. Indrajit has asked.

Sorry.

Hi. Thanks for the opportunity.

Just wanted to understand, as you said commodity inflation you are able to pass through, in commodity de-inflation kind of scenario, do you hold on to the margins or again you have to pass it back? Just wanted to understand is there any additional margin which will sit in if the commodity price inflation reverses?

You have to be very fair with your customers. If it goes down, you have to pass on that also at a quarterly lag.

Now you can be lucky if it is a peak season, you can earn a little more, but sometime they get lucky. That's a normal thing.

Over a period of few quarters, I have seen that because of a B2B nature of the business, you are able to pass on positive, negative, you have to do it.

Got it. Sir, because you said the EBITDA margin, if adjusted for the copper inflation, would have been closer to 12%, can we assume that on a 3 to 4-year basis, on the electronics division, we can achieve a margin of closer to 14%, 15%, or that is hard to achieve including everything, PCB, PCBA, everything put together?

On the electronic side, as explained that we've traveled our journey from 2.8% to 10 10.5%, 10.8% now. Yes, our endeavor is definitely to go upward north, but giving a year and giving a number is very difficult.

That's the endeavor which team is attempting. That's the strategy that we have to add more value-added businesses, and that's how we will maintain this double-digit number moving forward.

Got it. Fair enough.

Thank you so much. That's it from my end.

Good morning, sir. Sir, can you please give the break-up of the consumer durable segment into RAC and non-RAC share in this quarter?

RAC and non-RAC actually it's standard. We have been operating in a range of 75-25 kind of a range.

When I say RAC, means RAC finished goods plus RAC components.

Okay. The pure RAC would be how much?

70%?

Should be around 60%, 55% to 60%. It keeps on changing from quarter to quarter because sometime customers ask us to supply semi-knocked-down kits, which comes under components.

Sometime we have to give full boxes, which is finished goods. Sometime only the components.

It's very difficult to map on quarter-to-quarter basis.

Okay. Sir, thank you, sir.

Thank you very much.

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