Thank you and good evening everyone, and welcome to the Q3 FY26 earnings call of JSW Infra. We have with us today Mr.

Rinkesh Roy, Joint Managing Director and CEO; Mr. Lalit Singhvi, Strategic Advisor and Board Member; Mr.

Nagarajan J, Chief Financial Officer; and Mr. Vishesh Pachnanda, Head of Investor Relations.

I would now hand over the call to the management to provide some opening remarks and then we can proceed to the Q&A. Thank you and over to you, sir.

Thank you, Alok. Happy New Year and Happy Makar Sankranti and Pongal to you all and your families.

Good evening and thank you all for joining our earnings call for the quarter and nine months ended 31st December. The global economy remains in a phase of gradual adjustment, shaped by uneven growth across regions, stabilizing monetary conditions and ongoing geopolitical uncertainties.

Global trade continues to be a key engine of economic activity, supply chain and customer diversification gaining importance in the global trade. India's economic environment remained resilient, supported by strong domestic consumption and sustained government spending.

Exceptionally low inflation, with CPI in the vicinity of 1%, provided room for monetary easing, enabling the Reserve Bank of India to further cut the repo rate by 25 bps in December, while maintaining a neutral stance to balance growth and stability. On the rail cargo side, different initiatives like the liberalized Special Freight Train Operator framework are encouraging private participation and specialized wagon investments.

These schemes are already showing traction, with new operational flexibility introduced under LSFTO to optimize steel and bulk cargo movements. Indian Railways' freight performance continues to strengthen India's economic backbone, with cumulative loading this year crossing the 1 billion ton mark in November 25.

At JSW Infrastructure this quarter, we strengthened our presence across both business segments: ports and logistics. In the ports business, we have entered into an agreement with Mineral Development Oman to develop a greenfield port with a capacity of 27 million tons per annum, backed by an investment of USD 419 million.

Additionally, I am pleased to share that we have successfully completed construction at the JNPA liquid terminal and the final commissioning certificate is awaited from the authorities. Regarding our ongoing projects, the 302-kilometer iron ore slurry pipeline continues to progress steadily and remains on schedule.

To date, 227 kilometers of welding and 205 kilometers of pipeline loading have been completed. One of the key long-lead items, the electrical pump, has also been delivered to site.

The project is on track for completion by March 27. Once operational, it will significantly improve the efficiency and reliability of iron ore transportation.

Meanwhile, the construction activities at the Jatadhar port are in full swing, with pile foundation work completed by 40% and 5.6 million cubic meters of dredging being completed, with a work completion target of March 27. As communicated earlier, our operations and maintenance contracts in the UAE at the ports of Fujairah and Dibba have delivered strong operational performance.

Notably, the port of Fujairah has exceeded its minimum cargo volume commitments, reflecting strong throughput and efficient handling. This outperformance resulted us to benefit from a share in the profitability generated from the incremental cargo of 0.8 million tons, further enhancing the commercial value of our engagement at the port.

In our logistics business, we have expanded into the rail rake segment by acquiring 100% equity in three entities from the group at an enterprise value of rupees 1,211 crore. This acquisition provides immediate access to Indian Railways' GPWIS and LSFTO schemes, along with long-term licenses under these programs.

The target entities hold a fleet of 22 rakes as of December 25, with three additional rakes to be delivered this quarter, taking our total count to 25 rakes. We expect the closure of the acquisition shortly.

Additionally, our subsidiary Navkar Corp has received a letter of acceptance for the development of a Gati Shakti multimodal terminal on railway land at Somatane. At Kudithini, which is near Bellary, first container rake was flagged off, marking the first private rail terminal in the region.

At GCT, Arakkonam, the setting up of railway track work is 90% completed and we expect the rail operations to commence in Q4 of FY26. Overall, JSW Infrastructure handled 90 million tons of cargo during the period April to December 25, marking a 5% year-on-year growth.

The growth was driven by strong performance at South West Port, Dharamtar Port and interim operations from JNPA and Tuticorin, while the growth was offset by subdued cargo volumes at the Paradip iron ore terminal, which saw a decline of approximately 3.9 million tons due to challenging macroeconomic conditions in the seaborne iron ore export market. However, the recent monthly trends in Paradip iron ore are encouraging, with monthly volumes of 0.8 million in November and 1 million in December.

Logistics segment, which is mainly Navkar, delivered a standout performance during the period April to December FY26, marked by strong operational volumes. The total exempt cargo volumes reached 245,000 TEUs, representing a robust 23% year-on-year growth, and domestic cargo volumes stood at 1.07 million tons, up 35% compared to the same period last year.

The operating EBITDA for the nine months stood at 78 crores. Overall, on a consolidated basis, our operating revenue was rupees 3,839 crores for the nine months of FY26, representing a 20% year-on-year growth.

Operating EBITDA for the period stood at 1834 crores, marking a 13% increase, while net profit reached 1,123 crores, reflecting a strong growth of 11%. Following a detailed review of the progress achieved across our port expansion and capacity enhancement projects, and in light of the strong and consistent performance delivered by the logistics segment, we have gained improved visibility into our medium-term growth trajectory.

In parallel, we have been cognizant of the feedback from many of you regarding growth outlook for FY27 and FY28, with FY28 representing a landmark year in our expansion journey. Taking this external feedback together with our internal assessments and operating momentum, we are pleased to formally articulate our operating revenue and EBITDA guidancees for FY27 and FY28, reflecting disciplined execution and a continued focus on value-accretive growth.

We are targeting a consolidated revenue of rupees 5,400 crores and operating EBITDA of rupees 2,600 crores for FY2026. Building on this FY26 base, we anticipate EBITDA growth of approximately 15% in FY27 and expect it to double approximately by FY28.

This outlook reflects our confidence in strong operational performance, clear visibility of growth projects in the port business, and our ability to transition rolling assets from capex to EBITDA contribution in the logistics segment. With this, let me hand over to Mr.

Nagarajan to take you through the financials and other details.

Thank you, sir, and good evening, everybody. Let me first talk about our port business.

In Q3 FY26, the company handled cargo volume of 31.7 million tons as compared to 29.4 million tons for the quarter ended December 24th. The 8% volume jump was primarily driven by strong performance at Goa, Dharamtar port, and also overseas operations.

Additionally, interim operations at Tuticorin terminal and JLPL liquid terminal contributed positively. Despite the strong contributions from key ports and terminals, growth was impacted by lower volumes at our Paradip ports, which is the iron ore and the port terminal.

Third-party cargo went up to 15.7 million tons from 14.3 million tons, representing a 10% growth, and the share of third-party volume stood at 50% versus 49% a year ago. The growth in cargo volume and the change in volume mix resulted in a 9% YOY increase in operational revenue, which stood at 1,164 crore in Q3 FY26.

Operational EBITDA for the port segment was at 611 crores, up from 570 crores, an increase by 7%, on the back of strong operational performance at both Dharamtar and Southwest Ports. Navkar Corporation delivered strong operational financial results in Q3 FY26.

Total exim cargo volumes reached 85,000 TEUs, representing a jump of 19% YOY basis. Domestic cargo volumes stood at 4 lakh 5,000 tons, up 45% compared to same period last year.

Revenue from operations for Navkar rose to 186 crores, while operating EBITDA jumped to 33 crores, showing substantial improvement, while net profit increased to 9 crores, a significant turnaround from a loss of 11 crores in previous year. Total consolidated operating revenue for the company stood at 1,350 crore, and total operating EBITDA stood at 644 crores, reflecting a YOY growth of 14% and 10% respectively.

Consolidated depreciation was at 164 crores versus 138 crores previous year, increase being primarily on account of consolidation of Navkar Corp and capitalization of our covered shed project at SWPL Goa. Finance cost was at 79 crores in the current quarter as compared to 97 crores in the quarter ended December, due to retirement of a commercial paper of 1,000 crores.

During the quarter ended December 25, we recognized a forex loss of 14 crores, primarily driven by the fluctuation in USD-INR exchange rate. This is a non-cash accounting adjustment in accordance with Ind AS 109.

In contrast, the same quarter last year recorded a loss of 159 crores. Almost 32 crores we have also transferred to OCI.

As a result, PBT for Q3 FY26 stood at 446 crores compared to 276 crores in Q3, showing an increase of 62% YOY. Effective tax rate for Q3 stood at 17% as compared to a tax credit of 56 crores in the same period last year.

The tax credit was due to recognition of credits related to ESOPs in Q3 last year. PAT for the current quarter increased by 9 percentage at 365 crores as compared to 336 crores in the same period last year, driven by higher EBITDA.

The aggregate financial commitment across all growth projects, encompassing awarded work orders and procurement of materials, stood at approximately 4,000 crores and a capex spend of 1,383 crores up to December 2025. As of December 25, we have a net debt of 1,088 crores with a net debt to operating EBITDA of 0.76 and one of the strongest balance sheets in the sector.

This, coupled with steadily increasing annual cash flows from the current asset base, we are well positioned to pursue a growth plan to enhance our present cargo handling capacity to 400 million tons and parallelly grow our logistics business. With this, I request the operator to open the lines for Q&A.

Thank you.

Sir, yes, please.

Good evening. Good to see that the commissioning timelines for your major port projects are largely unchanged.

Could you help us with the capex in the nine-month period split into ports and logistics, and what is your guidance for FY26? You had mentioned about 55 billion rupees on the previous call.

Also, I see that you are giving guidance for 26 to 28 for the port and logistics business on revenue, etc. It would be great if you can help us spell out your capex targets for FY27 and 28 across ports and logistics.

That will be my first question.

For FY26, we expect a spend of 3,500 crores, primarily 2,000 crores on the port side and 1,500 crores on the logistics space. In logistics, we expect the closure of the transaction which we announced in December in this quarter.

That itself will be a 200 crore outflow. So 3,500 crores spend for FY26, and FY27 to 28, both the years put together, we are saying that port spend will be around 13,000 crores, and logistics spend will be 3,500 crores.

Okay. Your FY26 target for capex seems to have come off by about 20 billion rupees versus earlier guidance.

It was 40 billion rupees for ports and 15 billion for logistics. Is there any specific reason for the port capex to have reduced?

orders, the purchase orders have been raised, as I have already highlighted. It is just that the payout has been deferred because we have gone for some bank guarantees and MCs and all.

Payouts we have deferred to the next two years, but the purchase orders, raising of purchase orders are on track. Just to add on the logistics segment, we have actually been better than the guidance because there is an acquisition into the...

Second question is, you had reduced your volume growth guidance to 8 to 10%. The impact on Paradip coal and iron ore is well noted, but now is the revised target lower?

Because the fourth quarter ask seems to be quite high with even 8% growth.

We will be looking at a reasonable target of around 123 million tons for this year. For the coming year, it could be in the range of 6 to 7%.

Then on we will have a massive ramp-up, 265 to 275 million tons

for FY28.

That's FY28, correct.

Okay. Also one last question.

I know I've already asked two. On the logistics side of your revenue target for FY27 of 18.2 billion rupees, now with the acquisition from the group that you have done of 12.2 billion enterprise value, and your growth from the MMLP that you are developing in Navkar, what kind of number is already sort of visible from what you have in your business so far?

What is, see, of the 3x jump that we are looking at from FY26 to FY27, where is it that additional visibility would be required, or would come through beyond what you have told us? So

as you have seen, we did a remarkable turnaround in Navkar. What was earlier when we took over the company, it was doing around 3 crore per month EBITDA.

We have now gone up to around 13 crores, and that journey is still ongoing. For FY27, we are looking at broadly in the range of 450 to 500 EBITDA for Navkar, and between 750, for the entire logistics business, and 750 to 800 for the entire logistics business in FY28.

Yeah. What I was asking is that how much of this EBITDA projection is from what you already have in terms of the rail business is acquired from the group, Navkar, or is some other acquisition or non-linear growth required to reach this target?

Yeah. So 160 crores is what we are expecting for FY27 from Navkar, taking a run rate of 40 crores per quarter.

Already we have guided the market that 150 crores we will be getting on the 25 rakes, which we will be buying from JW Shipping. That takes it to 310, and we are placing orders for additional rakes, because that also is something which we have guided the market that overall we'll be having 67 LSFO stroke BPWS rakes.

As a part of that story, incremental orders will be placed for LSFO rakes and container rakes. All of which will commence from February onwards, placement of orders.

All these rakes obviously delivery will start by, say, August, September. All in put together we can expect this EBITDA is what we have guided.

Got it.

Thank you and wish you all the best.

Thanks for the opportunity, sir, and of course I would say quite a good turnaround in Navkar in particular. My question actually builds on, let's say, Sumit's question earlier.

Since you have given us more or less a roadmap 700 crores of EBITDA in logistics, can you further elaborate, how does this 700 crores goes to, let's say, the eventual target of 2,000 crores by FY30? What sort of contributions will come from the GCTs, the containers?

If you can share some more details, GCT economics, how does it work, if you can slightly elaborate.

Broadly, if you look at the entire logistics business, there are three main components: one are terminals, and number two is the rates, and number three are the physical containers. These are the three main components which drive the logistics business.

In each of the three components, we have fixed target ratio, so that we end up broadly having around 25 terminals across India in the next three years. Similarly, the rate fleet, we are looking at upping it over 200 plus, including LSFO and container rates.

The container, physical containers, that we are looking at upping it to close to 8,000 to 10,000 acquisition over the next three years to get into that EBITDA number. As and when we have been applying and getting all these terminals through bids and acquiring something, these numbers are holding true, and we are finding that we'll be comfortably be able to achieve these targets.

If I may just ask, with 25 terminals, let's say, when you put it in place by FY29, what sort of EBITDA we should be able to make in that terminal space itself?

For roughly just to give a breakup, 50 container rates, we are targeting 200 crores EBITDA from FY28 perspective, I'm saying, 50 container rates, and 50 LSFO rates we are looking at around 275 crores of EBITDA, just a breakup by means that 200 plus 275 stands at 475. Navkar already will clock around 180 crores in FY28, plus the terminals like Kudithini and a few more which we have, that will all take us to 700 crores.

These are our terminals which are growing up, and we'll be having around 6 to 7 of them, which will all be in the expansion phase, gradual ramp-up phase is what I can say.

Okay.

The drivers, for the first two years will be coming from this container rates and the LSFO rates, because the lead time is just a few months. Whereas the ICDs and the CFS, the driver EBITDA driver will be coming more in FY29 and 30, because by that time the construction would have happened and the contributions and EBITDA ramp-up will begin.

That's very clear. Broadly it would mean in a steady state, maybe almost close to, let's say, 1,000-odd crores can come from the terminals itself, broad understanding, FY30, everything.

Absolutely. And

stopping at this 50 rakes on container and 50 rakes on LSFO. Obviously it's a matter of as and when the routes are mapped in, we can always go and buy out more container rakes and more LSFO rakes.

If I may just squeeze one more in. For the port segment, you are roughly highlighting 2,485 crores in FY26, and then this port EBITDA is crossing 4,000-crore levels in FY28.

If you can elaborate which are the key ports in your opinion, or let's say contributions from slurry pipeline, if that is included. How do we reach this 4,300-odd levels?

If you can just elaborate a bit. That's my last question.

Yeah. Slurry, we have a take or pay contract, which can clock 800 crores if constructed on time.

Jaigarh can give another 300 to 400 crores. The rest of the two brownfield expansions which are happening at Dharamtar and Jaigarh can give out the balance numbers with a 50% capacity utilization, because we expect the steel business to commence in the second half.

That is the way we have calibrated our numbers for these two ports, i.e. Jaigarh and Dharamtar.

Okay. That's very clear, sir.

Thank you for the detailed answer.

Good evening, everyone, and thank you for the opportunity. I'll go ahead with my questions.

The first one being on the port EBITDA margin. It seems that there's been a YOY decline that has happened.

Just wanted to get a sense as to what is driving it. Is it something linked to pricing trends that you are discovering, or other factors behind it?

The growth, if you see, has mostly come from low EBITDA terminals at JNPT or at Tuticorin, and that is the main reason why you getting the EBITDA margin is lower. It's not a major lower, but marginally it has reduced.

Also in Q3 of this financial year, in one of our NBFCs in Jaigarh, we have taken a repair of eight crores. That was a one-off item incurred in this quarter.

Also in Paradip coal terminal, we have taken some maintenance, preventive maintenance, to the tune of eight crores. These are two expenses to the tune of around 17 crores, which have been incurred in these ports, which have been booked in Q3.

This is a one-time spend, I would say, which should not be taken that it will be recurring in nature. To that extent there is a distortion in the percentage.

Could you also clarify what is the delta from an EBITDA charge perspective on a YoY basis in this quarter?

Last year it was 15.37. Current year it is 5.38.

I

am talking of Q3.

Understood.

Net it back to about 7.37.

Understood. Sir, last point of clarity, maybe then we'll come back in the queue.

Just focusing on the standalone financials, which in my sense represents more your Goa operations, correct me if I am wrong, it seemed as if the incremental gross margins were quite limited over there. Just trying to get a sense whether there is anything to read over there or not.

It's a small thing, I was just trying to clarify standalone operations and incremental margins on a YoY basis.

We couldn't get you. Could you please repeat what you said?

The standalone margins incremental sales and incremental EBITDA coming on a YoY basis is pretty low for the third quarter as well as for the nine-month period. Just trying to get a sense of what's driving the same.

It is more to do with the mix. This is again from the subsidiaries only, otherwise there is nothing much to infer in that.

Thank you for this response. I'll get the clarity.

Thank you.

Good evening. Thank you for the opportunity.

Just one quick clarification. You said EBITDA to grow 15% YOY in FY27 and double in FY28.

Do you mean doubling from FY26 or doubling from FY27?

FY26, doubling from FY26.

Understood. Thank you for that clarification, sir.

The second question I have with respect to the target capacities, does it require now more acquisitions to achieve the same, or we are broadly through? Now the focus is entirely only on executing the existing project.

We are broadly through. We are now totally focused on completion of these projects.

As I told you, the slurry pipeline, Jatadhar, the terminals, one of the terminals which we have taken on PPP, it has already, it's on the verge of commissioning.

We are broadly on track into completing and executing these projects on time. While the focus is on completing the projects, we will also be participating in the PPP process, and any good opportunity comes up, we will definitely be bidding for those.

If you would have seen our presentation, 400 plus is what they will be adding on. This triple P projects will be adding on beyond the 400 million ton capacity that we are targeting.

Right, I was to ask in the second question that only, sir. How is the momentum?

Has it considerably slowed down compared to what people were hoping for, say about three quarters back?

No, if you look at it, we won the bids for berth 7 and 8 in Syama Prasad Mookerjee port, and now we are looking, we have again applied for another bid in the same place. We are on track and we are evaluating each opportunity as and when it comes.

Understood. Just one more question with respect to the tariff.

There were earlier some thoughts about we would be able to re-price or have the freedom to charge the tariff at the major port terminals what we operate. So

As we clarified earlier also, these are in the new MCA. The two terminals that we are talking of JNPA and Tuticorin, as well as the one which we won in Kolkata, all the three terminals have this clarity on free pricing.

Right. What about existing?

Is there any case of...? So

that is an issue that will be taken. A call will be taken by the ministry.

We can't really base our entire business on when that is going to happen. The new ones are on this.

Is there a discussion on, I wanted to check if there is any update?

Yeah. Is there

any advanced stage or anything?

That discussion is on, but we can't really tell you a date or something.

Yeah. That is fair, sir.

All right, sir. That's all from my end.

Thank you so much.

Thank you, sir. Just a question on the expansion capacities of slurry pipeline and Jatadhar port.

I just wanted to understand how much of the cargo in these ports on these infrastructure assets is towards our group cargo from JSW Steel in the slurry pipeline and from the Jatadhar port.

The slurry pipeline and Jatadhar, as of now, in the initial period, it will be entirely group. We should have clarity on that.

The slurry pipeline is built primarily serving a captive mine to a captive port. These quantities will be on the group cargo.

We expect, let me also further clarify to you, we expect that in by 27-28, we should be landing up into 53 to 55% group versus 47 to 45% third party. Because of these two developments.

Understood. Sir, is this depend on existing facilities of JSW Steel, or is it on an expansion project in Odisha with which these assets will be utilized?

These are with the existing mines, iron ore mines at Nuagaon. JSW Westport iron ore mines at Nuagaon.

That is connected. The iron ore movement is connected to that particular set of mines.

The movement further will be depending on Dolvi or Vijayanagar, depending on the demand.

Understood. Just also will this cannibalize the cargo from Paradip iron ore terminals we already have?

No, this is a separate stream of cargo.

Understood.

Because in the current period, most of the cargo that we brought at Paradip is mostly third-party cargo. It was less of group cargo.

There is absolutely nothing that we are looking at cannibalizing from Paradip.

Understood. Thank you for the response.

Just one last question, if you would help me understand the railway rakes segment which we are entering in, about the acquisition, the rationale, and the opportunity size in this, if you could just explain a bit about the business model and how attractive this is.

basically there are two major components on these rakes that we have acquired. One is called through something called the GPWS scheme.

These are called General Purpose Wagon Investment Schemes. These are currently operating in the eastern area, that is they serve BPSL and Paradip port, to Bengal they carry clinker.

It's a broad triangulated kind of movement that is done. The balance is of LSFTO wagons.

LSFTO wagons have two components. Here again we have one group of wagons which deliver iron ore to Vijayanagar and UBSE, and we have another set of wagons which carry finished steel.

If you look at it, the rationale was that Vijayanagar currently in India has now ramped up production to 18 million tons per annum. This has now become a single point where you are looking at an output of 1.5 million tons of steel coming out from that plant.

In that, the majority is being carried by Indian Railway rakes or by road. The margin, the movement through these specialized wagons are very less.

That is where we want to enter and we want to further ramp it up, as we had told earlier. These numbers we are looking at ramping it up from 25 gradually to 50, and then further onwards moving it up.

Similarly Dolvi, on the west coast, is also ramping up its production from 10 to 15. Every month you are looking at output of a million tons plus coming out from these two locations.

That is where we had thought that we will enter into this area.

Understood, sir. Thank you.

I'll get back in touch with you.

Thank you for taking my question and congratulations on a good quarter with a strong set of numbers. My first question is regarding the slurry pipeline.

If you could please provide a bit of color regarding the kind of margin profile or the return profile that one might expect from this asset?

Margins will be around two-thirds.

Two-thirds? Okay.

Another question is based on the guidance that you have given for FY26, basis that, for Porky, there seems to be a bit of a higher growth rate around 21-21%, if my calculation is correct. Could you please shed some light on what will be driving this high sort of growth rate in the fourth quarter for us to meet the guidance for FY26?

Yes. Every year we have been booking in the fourth quarter an income of around 70 to 75 crores, which accrues from one of our contracts in the LNG terminal, which we have at Jaigarh.

This year also it won't be much different because we have a take-or-pay contract with one of our customers at Jaigarh. That will be a lump sum income which will be booked in Q4 to the tune of around 70 to 75 crores.

That is what is skewing your Q4 a bit favorably.

Understood, sir. I have a second question, one last question regarding the logistics business.

Our 2030 roadmap states a target of around 8,000 crores of revenue, and based on the guidance that we have given till FY28, so that still, translates into sort of a very steep required run rate for the remaining two years, that is FY29 and FY30. Will we be including any sort of inorganic acquisitions to reach our longer roadmap target?

Or would it be coming through all the assets that we already have acquired or we have under us?

There will be further acquisitions or construction of CFS, ICDs, which will be ongoing. As I said, what we have already announced, that ramp-up itself will be happening from 28 onwards gradually, point number one.

Plus acquisition of further container rakes and LSFTO rakes will continue.

Got it. Those were my three questions.

Thank you, and all the best for the remaining quarter.

Thank you

Hi. Good evening, sir, and thanks for the opportunity.

My first question is what kind of numbers or volumes you are baking in from Jaigarh and Dharamtar due to steel expansion at Dolvi? Do you see any risk of delay in steel expansion by six months or?

Because that will start affecting our FY28 numbers.

Well, 10 million is what we have baked for FY28. Plus our understanding is that even if the steel business has to start, the working capital accretion should commence a quarter before.

That is the way we have done our workings.

Mohit, just to add, see, the peak cargo that can come is close to 27 to 28 million tons, but in this guidance, on a very conservative side, we have assumed only 10 million tons in first year, which is financial year 28. Just to make a case, if there is a delay of one or two months, even up to six months, this 10 million tons is very, very safe and conservative.

That is how we are looking at it. If you ask me what is the peak potential, this would be 27, 28 million tons.

Basically baking at one-third of the one-third.

Yeah.

Understood. My second question is you are acquiring JSW Rail business, right?

What is the gross block of the asset you are acquiring? Are there any other JSW group which has similar rail business outside of this particular transaction?

gross block is around 830 crores, and as we speak, we have already gotten around 22 rakes, and two rakes are expected to come this month, and one rake is expected in February. Put together it will be around 830 crores, inclusive of GST.

My question is, are there any other businesses which also have similar logistics business which you might be interested in? I think JSW Shipping also has some ships, right?

Is there any plan to get into shipping and et

cetera? No.

No, we are not getting into shipping.

Understood, sir. Thank you.

All the best. Thank you.

Good evening, sir, for the opportunity. Just one question I had.

Most of the questions were answered. Thanks for giving this year-by-year, assessment on how the ports business and logistics business will shape up.

My question is more pertaining to FY28, where we see a really sharp jump in the ports revenue as well as in the logistics business. Just wanted to understand how that will come, because we are looking at almost a 65%-plus growth in revenue across the ports side and even at the consolidated side.

How are you looking at it?

Look. I think in one of the answers Nagarajan actually articulated, there are four projects which will contribute to this incremental or the large bump which we are talking about 27 to 28.

One of them is slurry pipeline project, which is on take-or-pay contract, your revenues and EBITDA are almost sure. Then you have Jattadhar port, which is, again in our guidance we are very conservative, building only to 10 to 12 million tons of cargo, and then the Jaigarh and Dharamtar expansion, two projects put together.

This chunk of port projects provides you a meaningful growth in FY28.

Here at point to be noted is in all these four projects, there is no concept of royalty. Per se in all these four projects EBITDA margin will be elevated.

Yes. Sure.

Just one last question. In logistics even in FY28 we are capturing around 20% or slightly lower than 20% margins if I just take the revenue and EBITDA guidance which we have given out.

In FY30 we are almost looking at a 25% EBITDA margin. What would really change there that we are looking at a 6-700 basis points improvement in the two-year period 28 to 30.

Because by FY28 itself our logistics business will be quite stable, the margins should ideally be the stable state margins. That would be my question.

Yeah. FY27 and 28 if you see the revenue as well as EBITDA is primarily driven from acquisition of these container rates and LSFTO rates.

Just to give a split between an elevated 27 EBITDA margin versus a bit lower 28 EBITDA margin, because the focus will be more on LSFTO rates, as you are aware for GPWS there is a moratorium, and from an EBITDA percentage perspective the first 25 rates which we have acquired, 19 are under GPWS and six will be under LSFTO. In LSFTO the margins are slightly lower vis-à-vis under GPWS.

GPWS margins are typically higher. In our total pack of 50 rates, 19 rates which will be there in FY27 will continue in 28 also, but the incremental 25 rates is all for LSFTO, wherein the margins will be lower.

That is where you can see the logistics business margin is slightly dropping from 27 to 28, FY27 to FY28. To answer your second question on overall margins moving up from 20 to 25 percentage, the ICDs and CFS revenue income EBITDA will accrete in FY29-30, which will all be under construction and under ramp-up phase from 27-28 onwards.

generally the clearances to get the permission for ICDs and all, they generally take one and a half to two years, so that is where you will have that terminals and their conversion into ICDs there being a time gap in there.

Sure. Got it, sir.

Thank you so much, sir, and all the best.

as we have been, and I have been repeatedly stressing, there are three main focus areas for the management team, and that we have been continuously trying to do. Number one, early completion of projects, which will result in doubling of EBITDA by FY28.

The focus on ramping up of our logistics business, which are rolling assets in nature, and will result in immediate conversion to EBITDA. The third is on efficiency gains.

These are our three prime focus areas, and we remain committed to it. Thank you.