Hello everyone, and a warm welcome on behalf of DAM Capital to the Q1 FY '27 earnings call of E.I.D. Parry.

We thank E.I.D. Parry's management for giving us this opportunity to host this call.

On the call today, we have Mr. Muthiah Murugappan, Whole-Time Director and CEO, along with the senior management team of E.I.D.

Parry. I hand over the call to the management for opening remarks, followed by a Q&A session.

Thank you, and over to you, sir.

Many thanks, Sanjay. Very good morning to everyone, and hope you're all doing well.

Gives me great pleasure to be a part of the Q1 FY '27 analysts call to share an update about our financial results for the first quarter. I will start with the global sugar scenario.

Global sugar markets are transitioning from a surplus-driven bearish phase towards a more balanced outlook. According to the ISO, the International Sugar Organization, the world sugar market is expected to record a surplus of 2.24 million tons in '25-26 compared to a deficit of 3.2 million tons in the previous year.

This is largely driven by a better global production of 182 million tons. However, weather concerns are increasingly supporting prices.

London white sugar prices have recovered from lows near $404 per ton in early 2026 to about $471 per ton by July 2026, while raw sugar prices remain subdued around 14 to 15 cents per pound. In Brazil, a stronger sugarcane harvest has increased ethanol production and lowered domestic ethanol prices, although more cane is currently being directed towards ethanol rather than sugar.

I come now to the Indian scenario. In sugar year '25-26, the latest estimates are as follows: gross production is 31 million tons, diversion towards ethanol a little over 3 million tons, domestic consumption 28 million tons, exports 0.8 million, and closing stocks likely at 4.2 million.

For sugar year '25-26, the net sugar production is about 28 million tons, up from 26 million in the previous year. This has largely been supported by stronger output in both Maharashtra and Karnataka, partly offset by lower production in Uttar Pradesh.

Domestic consumption, as mentioned, remains stable at 28 million, while exports are at about 0.8 million. As mentioned, the closing stocks will also be about 4.2 million metric tons, which is slightly lower than what was carried into the season.

At the same time, sugar diversion to ethanol is about 2.9 million tons, supporting the government's E20 program. While there's been lots said about E20 program in the public domain, we expect that blend levels will remain at 20% for the foreseeable future.

On the sugar front, the El Niño conditions which are prevailing in the country, coupled with tight inventories and a very steady demand, have pushed sugar prices upward. In the current month, sugar prices have moved well north of ₹45, ₹46 per kg.

We will need to wait and see if these hold. Perhaps once crushing starts, it's very likely that there may be some correction.

I will now hand over to our CFO, Mr. Venkateshwarlu, to take you through the operating performance of the company.

Thank you, Muthiah. Good morning to all participants.

It's a great pleasure to be part of the analyst call and share the key operational and financial performance of the company. I would like to take you through the key operating parameters of each segment.

During the quarter, we operated the Tamil Nadu units, and overall crush was about 54 days during the quarter against 37 days in the corresponding quarter of the previous year. We crushed about 1,47,000 metric tons of cane against 2,12,000 metric tons of corresponding quarter of the previous year.

As far as the gross recovery is concerned, we recovered at a 7.95% against 8.02% in the corresponding quarter of the previous year. We produced about 12,000 metric tons of sugar during the quarter against 20,000 metric tons in the corresponding quarter of the previous year.

Overall cane landed cost is about ₹4,031 per metric ton as against ₹3,844 per metric ton in the corresponding quarter of the previous year. This increase is mainly on account of the FRP, which is moved up in the current year about ₹3,550.

As far as the sales volume is concerned, we sold about 89,000 metric tons of the sugar and against 56,000 metric tons in the corresponding quarter of the previous year. Average sugar selling price at ₹40.02 against the ₹40.097 in the corresponding quarter of the previous year.

As far as the closing stocks is concerned, we are carrying 1.1 lakh metric tons, which is valuing at about ₹42 as against the 1,20,000 metric tons in the corresponding quarter of the previous year. As far as the revenue is concerned, we achieved about ₹410 crore against ₹347 crore in the corresponding period of the previous year, an increase driven by the higher sales volume.

All FRPs was paid as per the timelines. As far as the cogen operations is concerned, we generated 180 lakh units during the quarter as against 221 lakh units in the corresponding quarter of the previous year.

As far as the power exports is concerned, we exported about 89 lakh units during the quarter as against 122 lakh units in the corresponding quarter of the previous year. As far as the power tariff is concerned, average rate realized ₹4.89 per unit during the quarter as against ₹3.67 per unit in the corresponding quarter of the previous year.

As far as the power segment revenue is concerned, we achieved about ₹6.6 crore during the quarter as against ₹7.53 crore in the corresponding quarter of the previous year. As far as the alcohol distillery segment is concerned, we produced about 351 lakh liters during the quarter as against 412 lakh liters in the corresponding quarter of the previous year.

We sold about 380 lakh liters against the 413 lakh liters in the corresponding quarter of the previous year. Of which 380 lakh liters, we sold about ENA 138 lakh liters and ethanol 242 lakh liters.

As far as the price realization is concerned, average price realization is at ₹63.49 per liter as against the average realization of ₹67.59 per liter in the corresponding period of the previous year. As far as the Nutra is concerned, we achieved about ₹6.22 crore current quarter as against ₹6 crore in the corresponding previous quarter.

At a consolidated level, turnover was about ₹61 crore as against the previous corresponding quarter of about ₹27 crore. As far as the CPG is concerned, we achieved about turnover of about ₹94 crore against the ₹188 crore in the corresponding previous year quarter.

As far as the PSRIPL refinery closure status is concerned, as we already updated in the last analyst call, communication has been sent to all the statutory authorities about the closure and cessation of operations of the unit. As far as the bank liabilities is concerned, all bank liabilities are fully settled.

As on date, there is no bank dues as on date as far as the PSRIPL is concerned. As far as the SEZ unit exit related is concerned, we received the in-principle letter from [unclear] on the 28th April 2026, and we are in the process of debonding the entire unit, and that is in the process.

We are expected to close by 30th September. As far as the funding is concerned, as approved by the board, ₹610 crore has been infused into the PSRIPL to settle all the bank obligations that's been closed.

As far as the liquidation of plant and machinery is concerned, which is in progress, subject to the approval of the SEZ unit and denotification of the entire site. This is an update for the Q1.

Thanks for everyone. The floor is open for the questions.

Yeah. Good morning, gentlemen, and thanks for opportunity.

Sir, my first question was regarding our consumer product division. Sir, revenue fell from ₹187 [crore?]

, but the loss narrowed down. When do you expect CPG to reach quarterly break-even?

Even highlighting upon and elaborating something to understand about our evaluating into that ethnic snacks and convenience, what is that is an organic launches or is an through acquisition? Third in the same division, regarding your new jaggery plant commissioning.

Yeah. Sanjay, very good morning.

Thank you for your question. Yes, the CPG division revenue has fallen significantly.

This has been on account of a recalibration of the model, this is intentional. Our contribution margin pool, the absolute margin pool, however, has grown very well as we have focused on more margin-accretive products and a margin-accretive operating model into the market.

In terms of a quarterly break-even for this business, we are working towards another 4 or 5 quarters, we should have a quarterly break-even on this business. That's how we've designed the new operating model.

The newer categories which we're exploring, at this point in time, it's still under exploration. We could look at this both organically as well as inorganically.

We are exploring both alternatives. I think you're also asked about the jaggery plant.

Plant will be commissioned in 6 months' time, it's coming up in Karnataka. It will more than double our current jaggery capacity.

What we expect from jaggery turnover and margins from that side?

Jaggery, again, margins are substantially better than white sugar. White sugar, of course, they are commodity margins, we command a premium.

Jaggery margins are substantially better. They are more akin to gross margins you would see in food products.

In terms of the turnover, once we have both plants running, we should be able to do closer to ₹100 crore in terms of turnover just from both of these plants in terms of the quantum of jaggery which we would get.

Sir, should we expect CPG revenue to remain lower, but with materially lower losses, or can both revenue and margins recover from H2?

I think if you look at the history of the CPG segment, we've had last year was about ₹600, ₹650 crore, I think, in terms of revenue, the year prior to that was ₹800 [crore] in fact. We can expect revenues to remain lower, but yes, the margins—

Yes. I think we just answered Sanjay's questions.

Sanjay, have I clarified all of your queries?

This was much on the first question regarding consumer product business. Now my next question was regarding nutraceutical.

Sir, how much growth is from US Nutra, Valensa, versus India? What EBITDA and EBIT margin can nutraceutical reasonably achieve once scale normalizes?

Sanjay, the growth is largely coming through from the Valensa business. There've been some new product launches there, and I think some of our existing segments also are doing well.

That has driven the growth. From an EBITDA margin perspective, steady state is likely between 12% and 15%.

Right. My last question was regarding how we look beyond seasonal Q1 weakness, what are the three, four financial KPIs, the key performance indicator, by March '27 that management itself will use to judge whether disciplined approach, what we have accepted in last few quarters, is now going successful?

Sanjay, Venkat here. If you look at as far as the financial KPIs is concerned, we are more looking at efficient working capital, and also we are working on the how do we leverage the debt cost, okay?

Also if you look at as on date, we had about ₹150 crore of long-term debt, about ₹900 crore of the short-term debt or something. We are also closely working towards the monetization of all non-performing assets or something to bring the cash pool into the business so that the debt levels will be lower, and also we wanted to improve the current ratios for the business.

Also we are working towards the efficiencies on the operational side also we are working on the efficiency, and also we are working on the cost reduction programs across all the businesses so that we can have the leverage on the current balance sheet, and we are also trying to strengthen the balance sheet by March '27 and March '28.

Sanjay, just to add, I think Venkat's articulated well, those are the effort priority areas. We're certainly hoping to see a stronger balance sheet over the next 4 to 6 quarters, and I think this is the endeavor to tide over precisely the seasonality element.

I think apart from Venkat's articulation, I think even on the consumer product group, we have set out certain margin KPIs which we are well on the path towards achieving. The first quarter has been a good start.

We still have some distance to go in FY '27. Those margin KPIs will enable us to get to that quarterly break-even level in the next 4 to 5 quarters.

That's helpful to understand, sir. Thank you very much, sir.

That's all from my side. Thank you, Sanjay.

Hello? Can you hear me?

Yeah. Hi, thanks for giving me the opportunity.

Just wanted to understand, on the Nutra division, now that things have stabilized, over the next 1, 2 years, what kind of quarterly revenues can this be scaled up to?

Gautam, I think the growth on the Nutra front is largely coming through from Valensa. I think we will see that scale improving.

I don't want to give any guidance particularly, but I think we're seeing an improving trajectory this year. I will say that we're perhaps going to do this year our highest ever revenue in Nutra, and I think consequently EBITDA will also be healthy.

I want to refrain from giving any number guidance. What is rather working at Valensa is an org and a management restructuring, and product development which we have worked on over the last 2 or 3 years is now coming into the market, particularly on the derm health, which is hair and skin health side, apart from some incumbent product categories also performing very, very strongly.

It's a good performance Q1. We're seeing the traction continuing.

This 12% to 15% margin that you've indicated, is contingent on you reaching a certain scale, or how does that work?

We'll have to build a bit more scale from the current levels. I think we can get to those margins at that point in time.

Okay.

The India business, we're not really adding any capacity. It will likely remain at same levels, a more consistent order load there.

The India business is only about 20-odd percent of consolidated Nutra turnover, but we had some certification issues in Europe, not entirely our fault. In the past, those have been resolved, so that scale has to pick up a little bit more, but the lion's share does come from the US.

I think once both settle down is when we can get to these EBITDA margin levels.

Yeah. Secondly, on the consumer goods, when you say you want to break even in 4 to 5 quarters, what will be the drivers to that break-even?

Is it you achieving more scale on a quarterly basis, or your value mix shifting more towards value-added?

Gautam, that's a great question, and you've also partly answered it. Yes, value mix shifting more towards value-added.

I think you've seen that shift play out in quarter one. We see more of that play out.

I think adding new products, the browns and jaggery brown sugar, etc., is a big area of focus. I think growing revenues there will contribute.

I think distribution expansion. In the southern markets, we have a good organized trade presence, and as I say organized trade, I mean online channels as well as modern channels, large format retail.

The key now will be to build general trade distribution so that the business expands. I think these are really the KPIs which will really drive us towards that break-even.

Business expansion, distribution expansion, margin expansion, new products coming into the mix, this is what will drive. I think this is a consumer business, after all, the underlying bedrock of all of this is to strengthen brand equity.

Okay. Just a last question, can you just repeat what was the sugar inventory for the quarter, and what was it valued at?

1,16,000, Gautam. We are valuing at about ₹41.50.

Okay. Thank you.

Yeah. Good morning, sir.

How are you?

Very well, Rajesh. How are you?

I had a few questions. The first one was on the inventory, which you answered.

Secondly, we are seeing some drop in the crushing from Tamil Nadu and Andhra Pradesh, which you highlighted in the notes. How do we read this feedstock availability?

Do we see a lower crushing going on, or do we see further restructuring in the business in Tamil Nadu? How do we read this in the sugar business?

Good morning, Ashiq here. Yes, the cane availability in TN and Andhra is a concern.

It's a macro concern if you see in the industry suffering from cane as farmers shift to more lucrative crops. There are some corrections within our organization that we take to make it more economically feasible to farmers, which is an ongoing exercise.

I think the government is also seized, you have seen recently some announcement on state support in Tamil Nadu for sugarcane. We keep ourselves fully aware of the situation, and we keep evaluating the scenario and take appropriate actions in that direction.

What we are currently doing is to ensure we run a tight ship in terms of costs in these two geographies so that we improve on our margins.

Will we see a lower crush for the company because of this reason in the sugar season '26-27?

In the current year, yes, probably there is going to be flat or about a 5% drop in these geographies.

Yeah. The only place, Rajesh, where we can make up is Karnataka.

I will say the back half, while we can cheer the rains in July and August, I think the rains in the back half of August and September are very critical to ensure that yields remain intact from the cane crop, particularly in Karnataka. Now if the yields remain intact, then I think it's all set for a strong crushing season.

It will be a crushing season which starts early as per what we're hearing from the authorities, given that closing stocks are a little lower this year. Yes, the makeup can really only come from Karnataka, as you articulated, the cane volume in TN and AP is much lower.

Sir, with the current increase in the cane price in TN and the lower recoveries and the problem thereof, does it make sense to continue in TN in terms of the sugar business anymore? Because we already saw a few years ago, you had relocated one plant to Karnataka.

Is there any further plans of any kind of further restructuring in the TN sugar business particularly?

I think, Rajesh, Ashiq had articulated, we discuss various measures of how we can be stronger on our operations, and I think those discussions continue. I think our macro focus is really around working capital, cost, and efficient operations.

I think we'll really have to fall in line here in the coming quarters.

Right. My second question was on the refinery.

We have seen some operations in this quarter, will that continue into second quarter, or that will be not there at all on PSRIPL?

Rajesh, what you are seeing the operations is basically that there was an closing stock which was there as on 31st March, those closing stocks has been liquidated. Other than that, there is no other operations as such.

The operations have been ceased as on 31st March.

Right. From 2Q, it will be zero, PSRIPL.

Yes. There will be some period cost incurring will be there.

That's as per the plan.

Secondly, can you make me understand this write-off and then the write-back? Because I want to understand the cash impact of this, because you're saying ₹610 crore to meet the obligations of the subsidiary, but then again, you have taken a remeasurement of the financial guarantee and loans of ₹591 crore.

I understand is that's a non-cash, I think the cash outgo will still be ₹610 crore?

Yes, Rajesh. What you are understanding is correct.

First let me clarify on the what is 116 ₹610 crore, what is the ₹591 crore. As on 31st March, being a 100% subsidiary, we have guaranteed all the loans PSRIPL, thereby, as a parent, we have to create a financial liability as far as the PSRIPL is concerned.

That's where we have created a liability, but that doesn't mean that we have infused the money as on 31st March. The actual infusion is happened somewhere in April.

That investment which we have put it as a part of the infusion, which is same line with the board approval as on 31st March. Since the business ceased these operations, there is as per the accounting requirement, we have impaired that asset.

At the same time, since all obligations are completed, we have remeasured the financial liabilities and we reversed that liabilities. Net-net impact for the quarter what you have seen is the ₹610 crore is the impairment, ₹591 crore is the reversal of the impairment, about ₹18 crore is a fresh impairment which we have done for the quarter.

No, no, I understand the impairment part. I want to understand the cash part.

The cash part is still outgo of ₹610 crore, right, for the unwinding?

Infusion is already done, as that is there in the public, Rajesh. ₹610 crore already and we have settled, okay?

Over and above, that ₹55 crore loan also we have given. Total ₹665 crore which we have infused during the current quarter to settle all the bank liability.

Right. You mentioned also ₹130 crore, out of which you have given ₹55 crore.

Balance ₹65 crore was also left, right? Yeah.

₹65 crore is left, but over a period, based on the requirement, we will be giving it. It is not that 130 we will give at a one stretch, because today if you look at it, the 55 was required for the quarter one, we have given it.

If PSRIPL starts generating any cash or something, then we will not be giving.

In terms of the assets, will we get any value out of selling the assets in that plant?

Yes.

We will get cash out of selling the assets, yeah.

Any idea as to how much?

That prospecting is already going on. Of course, we have to get all of our clearances before we can start any dismantling.

We will get value. I wouldn't like to put a number to it.

I think that prospecting is certainly underway.

Right. Sir, after all this, what is the standalone debt as of 30th June?

I'm sorry, I missed the first part of the speech, maybe you had mentioned. No,

no. Rajesh, we were just saying that we are prospecting the sale of the asset.

We can't really dismantle anything until all of our statutory clearances come through. I think once that comes through, we would have also prospected and arrived at the plan to divest the physical assets, which we will do.

No, no, I'm asking what is the debt at the standalone level as of 30th

June. Yeah.

30th June, about ₹980 crore as far as the short-term debt is concerned, Rajesh. About ₹150 crore on account for long-term.

Sir, actually, this is just the first quarter when there's no crushing. Actually, when the crushing starts, third and fourth quarters, this debt will again go up, the short-term debt, right?

Is that a correct understanding?

Yes. Because even if you look at it as on 31st March, our short-term debt was about ₹1,250 crore.

Now it has come down to the ₹980 crore. Once the crushing starts, then because the second quarter to also then further it will reduce.

Then once the crushing starts, it will go up. The short-term debt is linked to your working capital.

Rajesh, to your point, though, I think Venkat did articulate earlier on in the call that we do have a ruthless focus on working capital. We expect to improve upon this position in the coming periods of time.

To run Tamil Nadu distilleries, etc., we had to insource a lot of feedstock on account of low feedstock availability. We've taken certain calls on how much and when we import that feedstock, we will be a bit more measured around that, basis market conditions.

To that extent, I think this number will also improve in the coming periods of time. While long-term debt certainly gets retired and we don't have too much of capex planned, which are imminent, short-term debt also you will see an improved position as there is a conviction to better this position going forward.

Right, sir. Sir, the employee costs have also shot up quite sharply from ₹51-odd crore to ₹59 crore for the quarter YoY.

I guess you're building kind of capabilities for the CPG business. How will we see the employee costs down the line?

Is it going to be similar or higher as you build up the business? Some clarity on that.

Rajesh, they've gone up because of VSS which we've done. A lot of our plants are legacy plants, we are offering VSS, you will see more of that.

This is being done with the longer-term interest in mind and overall bringing the fixed cost position down. The CPG capability building is not the reason for the employee costs going up.

This is taking legacy cost out.

This is a one-off in terms of the VSS which you have expensed, is that correct?

One-off, but one-off in one plant. There's more that we intend to do.

Right. That's very useful.

Sir, if I could sneak in a last question. In terms of a strategic point of view, how do we view E.I.D.

Parry standalone, say 3, 4 years down the line? What are the broad components or the contours of the business that is going to be shaping up, say over a period of time, if you could outline that, yeah?

Thank you.

Rajesh, the aspiration is to have a consistent EBITDA generation from the sugar and biofuels business. I think that is the core business, the mothership.

As our operations in Karnataka are very strong. In fact, I would say we have industry-leading metrics.

The operations in the other states do lag us. We will work on costs and efficiency to fix and restructure this.

I think you are seeing a broader climate of restructure in the company. We will work with conviction on this.

The second piece is to, of course, grow the consumer product group business. You have seen, I guess, a stronger, more focused operating performance in the last couple of months.

Of course, while revenues have fallen, I think our margin pool has grown. Here, I think you articulated the KPIs which we're working with fairly clearly.

Lastly, on Nutra as well, we're seeing a better performance on the Nutra segment, and I think this is in line with the strategy that we've written up so that we have the right value creation at Nutra. I think this is how we're looking at the E.I.D.

standalone in the period to come, I guess in the near to medium term.

Thank you, sir. Thank you very much.

Good morning. Thanks for the opportunity.

Sir, the first question is, given the current static ethanol prices and given the high sugar prices, does it make sense to produce more sugar than to convert the juice to ethanol?

This is Ashiq here. Yes, obviously it makes sense to produce more sugar at this current pricing.

We will evaluate our option of producing ethanol, ENA, and sugar from which feedstock is a constant review mechanism where we have, and we try to maximize our margins. There is a base volume of sugar we would still produce to take care of our customers.

Okay. On the inventory, you mentioned it's 1.6 lakh tons, right?

That is the inventory that we are carrying as—

1.16.

1.16.

Yeah.

Got it.

It's similar to what we had in last year same position.

Got it. Then the next question is on the Tamil Nadu sugar situation.

With the government announcing further incentive to increase the area under sugarcane cultivation, just wanted to know whether it will have any significant impact or do you think it's more cosmetic, the benefit that's given?

I would remain cautiously optimistic on that because it's a good increase that the government seems to have given. Obviously, it's incumbent on the farming community to evaluate.

One of the challenges in Tamil Nadu is a rampant shift towards paddy in the last 6 to 7 years. Given various reasons why paddy is better for a farmer, it's completely mechanized, and there are three cycles of planting the farmer does.

I'm sure the farming community would evaluate both the crops and treat it on merit. Initial feedback from the farming community is being optimistic is what I would say.

Okay. Will it weaken the working capital?

Because I don't know what is the framework of providing the incentive. Do the government give directly to the farmers, or just wanted to know what is the impact on the working capital?

There's no impact on working capital. It's a direct benefit transfer from the government to the farmer account.

We play a facilitating role at the end of the season. We give the farmer details, etc., to the government.

It's fairly efficient. It will not have any impact on the company's working capital.

Okay. Good.

Okay. This last question is just given the higher sugar prices and given Tamil Nadu provides harvest twice a year, just wanted to know are you doing any early crushing in the Tamil Nadu sugar mills?

Tamil Nadu sugar mills, we are currently crushing, and we would continue to crush. There is an opportunity to pre-draw from the main season to leverage the pricing advantage.

We will evaluate at the end of the crushing season depending on the maturity of the crop, so that trade-off is between how mature the crop is and is it ready for crushing, we'll take a calculated call off that.

What you're saying is there could be a lower recovery, but it will be compensated by higher price, is that what you're saying?

In this business, recovery is the key parameter. Our principle is not to try and compromise recovery for crush volume.

I think it's better to crush at the right time depending on the maturity of the crop.

No, no. Sorry to labor on that point, my question is, will you compromise on the recovery given that the higher prices are prevailing, that's my question.

Because if you're going to crush earlier, even if there's a small reduction in recovery, you'd be okay to compromise on that?

We would not want to do that in Tamil Nadu, because it's already a low-recovery zone. What I meant on pre-draw is we would test the plant crops.

We have our field teams which pick up the sugar content in the crops and the maturity of the crops basis the age. If there is an opportunity, we will leverage that.

At no stage if we have reasonable technical knowledge to see that the recovery may not be commensurate, we will not pre-draw.

Okay. Got it.

Last question is on the corporate structure. Currently, we are holding Coromandel as a subsidiary.

Are there any plans to rework on the structure?

Rajakumar, there is no such discussion at this point in time.

Sir. Thank you so much.

Hi, sir. Just want to know about the way sort of sugarcane price has gone up now in Tamil Nadu specifically.

This is, I think if I'm not wrong, if you can elaborate on is it the incentive which has been given by the government, or the entire cost has to be borne by the company?

The current sugarcane sugar price increase has more link with the sugarcane pricing because the sugarcane pricing get just got announced in the TN budget about a week, 10 days back. There is no impact for the company on this, because it's a direct benefit transfer from the government to the farmers.

Right, sir.

Right, sir. Secondly, the way the sugar prices have moved up, I think as you mentioned also, probably it makes more sense to make sugar rather than ethanol.

How much given the kind of a fungibility we have, how much ethanol volumes we can do from C-heavy plus grains? What would be the sort of impact on the ethanol volumes?

582 KLPD is our capacity, which is roughly about 18 crore liters, out of which about 120 KLPD is our grain capacity. In terms of switching between ethanol and sugar, that's an evaluated call we have to take depending on the margin profile.

Sanjay, we have to keep in mind whatever the committed volumes to the OMCs, if you are not able to supply, there will be the penalty for the each liter which we are not supplying it. When you are evaluating it, we have to take into the consideration of the commitment what we have given to the OMCs.

Right, sir.

Right, sir. Understood.

Yeah. Thank you.

Thank you very much, sir. That's all from my side.

Yeah. Hi, thanks for the follow-up.

Just I had one question. I think in the beginning of the call, you mentioned you all are looking to dispose of some non-core assets to reduce debt.

Can you just highlight what these assets are, and what would be the quantum?

Basically, some of the land parcels which we are trying to dispose it off. It is not relating to any of the operations related.

Any quantum that you can highlight?

No. As of now, no, because once it comes, then it will be resolved.

Okay. Any timelines?

We expect to do something in FY '27. We're working on it.

Okay. Thank you.

Yeah. Thank you all for logging into this earnings call.

We look forward to seeing you again at the end of the next quarter. Thank you, and take care.