Thanks, [Arav?] .

Good morning, everyone. On behalf of DAM Capital, we welcome you all to Q4 FY26 conference call of MapmyIndia.

We have with us Mr. Rakesh Verma, Co-Founder and Chairman of the company; Mr.

Rohan Verma, MD, Mappls DT Private Limited; Mr. Anuj Jain, CFO of the company; Ms.

Sapna, Chief Operating Officer; and Mr. Nikhil, President of the Government Business.

I'll now hand over the call to Mr. Rakesh Verma for his opening remarks.

Post that, we can start the Q&A session with the entire management team. Over to you, sir.

Thank you, Anmol. Good morning, all of you.

Thank you for joining us for the Q4 and full year 2026 earnings call of MapmyIndia. I extend a warm welcome to all our shareholders, analysts, investors, partners, and members of the financial community joining us today.

Let me begin with our Q4 financial performance. Compared to Q3 FY26, the fourth quarter delivered a strong sequential improvement, with revenue growing by 54.8%, EBITDA increasing by 141%, and PAT also growing by 171%.

Q4 FY26 EBITDA margin has expanded 460 bps year-on-year to 44.6%, and PAT margin has expanded 233 bps year-on-year to 31.3%. The board was pleased to express its gratitude to all the shareholders by declaring a final dividend for FY26 of ₹3.50 per equity share of ₹2 each at the rate of 175%.

These results reflect improved business movement, strong execution, and a meaningful recovery in operating performance during the quarter. On an yearly basis, let me give you a perspective.

Since IPO days, 5 years have gone by. Our revenue growth CAGR for the 5 years is at 24%.

Our EBITDA growth CAGR over the 5 years is at 19%. Our PAT growth over the 5 years CAGR is 11%.

I think this probably will give you some good perspective from the time we went for IPO and where you all joined and own the MapmyIndia shares. Probably gives a good perspective of our past.

In many ways, the trajectory that we witnessed through much of the FY26 has meaningfully reversed in the last quarter. While the earlier part of the year saw a gradual softening in momentum from Q1 through Q3, Q4 marked a positive inflection point with improving business activity and stronger execution.

We are encouraged by this shift and remain optimistic that this renewed upward trajectory will sustain through FY26-27, supported by a stronger order pipeline of over ₹1,750-plus crores, improved visibility, and growing demand across our businesses. FY26 has been a year of consolidation, resilience, and strategic execution for the company, marked by meaningful progress across leadership alignment, organizational accountability, and technology adoption.

At the same time, we continue to sharpen our focus on technology and innovation, particularly around the adoption of AI to drive productivity and innovation. It is important to note that during the year, we secured several large and strategic order wins across automotive OEMs, enterprise digital transformation, government, logistics, and mobility segments.

We have also witnessed a meaningful increase in our open order book and pipeline visibility. The strong growth in executable orders provides us with the enhanced revenue visibility and strengthens our confidence in delivering improved growth momentum for FY27.

One of the most encouraging developments for us continues to be in growing adoption and engagement of the Mappls app ecosystems, which has recorded 45-plus million downloads till date and 10-plus million downloads during the year. We are seeing increasing consumer acceptance, improving user engagement metrics, stronger retentions behavior, and expanding use cases across navigation, mobility, EV experiences, logistics, safety, and geo-intelligence.

The Mappls platform today is evolving beyond navigation into a comprehensive digital location and mobility ecosystems for consumer, enterprises, and developers alike. We remain highly confident about the long-term opportunities ahead of us and are committed to creating sustainable value for all stakeholders.

With this, I would like to close my opening remarks. Thank you for your patience.

Hi. Thanks for the opportunity.

Couple of things, sir, wanted to understand. Firstly, what led to a weaker performance in both A&M and C&E vertical for the year, and what is the outlook now for FY27 from here on?

I don't know if I understood the question, it was clear or not. Can you repeat, Anmol?

Am I audible?

Yeah.

Sir. Sir, wanted to understand what led to a weaker performance in both automotive and mobility and consumer enterprise vertical for the year, and what is the outlook now for FY27?

See,

first part is the entire year had a muted growth overall from ₹463 to ₹474 crores. Naturally, overall growth in either one of them is not much expected.

It might be a little bit growth more in the one and a little bit slowdown in the other. That's how it makes up the same number.

On a quarter-on-quarter, if you look at it,

C&E has increased

142%. Sequential quarter-on-quarter I'm talking about has increased 142%.

Right, sir. Sir, but overall C&E vertical has shown a decline for the full year.

Just wanted to understand what were the issues at least in the previous quarter towards the first 9 months of the year?

Now you're talking about the full year. If the C&E declined by -3%, A&M increased by 9%.

Coming to C&E specifically, its decline if you are talking about 3%, well, C&E also includes the government. The government business that was expected for the whole year, a lot of them got delayed or deferred for the next year.

That's why you see that decline.

Right, sir. Sir, considering there is a deferment of contracts on the government side, should we return back to 20% kind of plus growth levels in FY27?

Oh, you're talking about overall or just the government?

Overall.

See, overall, as I gave you the 5-year CAGR has been of 24%, right? While last year itself, it has been like 1%, 2% types.

Your question is can we expect to come back above 20 20% for FY26? That's the guidance you're asking about?

Right, sir.

Rohan?

I'll talk from the government angle. I think we are fairly confident that we'll do this.

If you see, we closed the government

business

with an open order book of more than ₹200

crores,

significantly more than ₹200 crores. I think for the first 9 months, we had already explained in Q3 what were the dynamics across the different segments.

We saw a strong Q4. That's the inflection point that we have seen.

The government business itself should see a significant growth in this year. Also the IoT business, which is basically underpinning or being driven across government, but also automotive and the corporate, that is also going to see a significant growth.

In that sense, we are fairly confident and fairly excited about the year to come and

a large pipeline now.

The overall pipeline for the company is about ₹1,750 crores, which is the order book. In general across this different segments,

there are lots of large opportunities. Or I would not say lots of large opportunities, some extremely large opportunities in each area.

Even if a few of those convert, this probably will have a significant impact in the future of the company. Besides those few extremely large opportunities, there's obviously a fairly robust and diversified pipeline, funnel, which are to be converted into orders the same way that happened last year.

Overall things are looking good. We've had our strategy session, we've had our annual planning session, we've had our budgeting exercise, and I think all the teams are raring to go.

Okay. Okay.

Understood, understood. Secondly, we have always given a data point, which is revenue conversion from our open order book in our annual report.

Now this number has been coming down from some 21%, 22% in FY22 to now nearly about 13% in FY25. How would this number be in FY26?

I'm just asking so that we can project how much of the current order book will convert into revenues for next year. See,

in FY26, the conversion from open order, let's say that open order book FY26 beginning was ₹1,500 crores, correct, Anmol?

Correct.

From that ₹1,500 crores, around 17% 18%, I guess, 18% got converted into revenue. That makes it from 1,500 and 18%, you can calculate, it is something like ₹270 crores.

The rest of the ₹200 crores revenue came in FY26 was from the new orders that we booked, which was how much new order we booked? ₹780 crores we booked new orders in FY26.

Out of that, ₹200 crores got converted into revenue itself, leaving behind ₹580 crores for the future.

Sir, going ahead as well, should we expect that the order conversion would be in the range of 17%,

18%

of the open order book?

Hard to explain because depends on different contracts. We have given you a trend.

Previous year, it was different. Next year could be different.

It could be higher. The potential could be higher towards more higher side than the lower side of the percentage.

Okay. Understood, understood.

Just one last thing from my end. We have close to about ₹600 crores of cash with us.

How are we planning to use it? Just wanted to understand our capital allocation policy over here.

Very good question, Anmol. If you see our cash and cash equivalent is what you're talking about that's close to 600, right?

Right.

The previous year also, it was similar. The year we generated a lot of cash also.

Overall, what we have done the capital allocation in FY26 was ₹120 crores for organic growth. This organic growth included the growth in the government business.

It included in IoT business. It included in creating intellectual property.

These were the three primary ones. Some small acquisition also happened, but that was a smaller number.

Overall, ₹120 crores of capital allocation did happen last year.

Right. Right.

How are we planning to go ahead in FY27? We are planning to acquire companies or invest it more organically or thinking about any dividends or buybacks?

Our first priority, which we believe is the right way to do is to provide organic growth. Now remember, there are three verticals, market segments, right?

Government, auto, and corporate. In terms of segments, you can think we already are giving you Map-led and IoT-led.

Investments in IoT part of it, because IoT also requires capital. I can explain the reason.

When we get the IoT business, it is done on an OpEx model for the customers, where hardware and software are put together. That's where we get the subscription on a monthly basis.

When the hardware goes to the customer, it is treated as a fixed asset in the company's books and gets depreciated over the next 3 years. As we keep growing IoT business, and you will see a very good growth in the IoT in this year and the coming years.

Because we have now a full, clear management focused on growing the IoT business. Similarly, when we come to the government business, there is a requirement of working capital requirement there, particularly in the form of receivables.

Because the government payments in our case, we have not seen any write-off in the government business, which is the hallmark of our selecting which government business we take or we don't take. The only thing that happens is the delayed payments in the government.

That's all. That means if there's a delayed payment on the government, it requires working capital support.

In that scenario, Mappls DT and Gtropy both require internal capital allocation in whatever the legal format is, but we need to invest there.

Understood. Understood.

Sure, sir. Thanks for answering my question.

I'll get back in the queue.

Hi, sir. Thanks for the opportunity.

Couple of questions. Firstly, again, on the order book to revenue conversion.

Here definitely this year was very difficult in terms of, let's say, revenue conversion, and you pointed out that there were some government orders which got delayed. If you can just elaborate on the point, or let's say, quantify where were the impacts and whether those, let's say, deferrals will come in FY27 as far as the revenue growth is concerned?

As we explained during the Q3 earnings call, some government contracts were delayed. Now Q4, you've already seen the strong or sharp recovery.

We see that going into FY27 as well with that open order book in government side being significantly past ₹200 crores with a pretty strong pipeline, and hopefully some extra large deals also on the anvil besides a robust pipeline. We are fairly confident on how this year will play out when it comes to government.

Okay. Okay.

Any update on our FY28 guidance?

FY28?

₹1,000 crore revenue guidance, which we had.

We have been talking about it a lot with you people, one-on-one also, in the earnings call also, that back in '23, we set a roadmap of ₹1,000 crore target for ourselves. The roadmap showed that in FY28, we will try to achieve it.

Okay? For the last 1 year, we have been saying that while ₹1,000 crore number is not changed, the question is only could be of timing.

Our roadmap continues with ₹1,000 crores. The team, entire leadership team is working on it.

The the timing is something we'll have to watch year every year. Let's say right now, you know where we have reached and what could be the expectation.

We talked about that 24% has been the CAGR over the years. Last year, the growth rate was muted, maybe 1%.

Now once we pick up that with a large open order, then we'll have to wait for FY27 to happen, and we'll know where we have reached from ₹474 crores to the next. Okay.

Okay. It is just that because, let's say, because we already had open order book last year as well, right?

This year, because of few factors, your government order got delayed despite ₹100 crore billing already happened this year. As an analyst, we are not able to, let's say, get that confidence that we can grow 25%, 30% sort of in FY27.

Because of that, I wanted few data points,

yeah. For the data point, now from that last year, we said that we could convert open order by 18%, correct?

Certain orders got execution got deferred to this year, FY27. Otherwise, it would have been higher than 18%.

One is the conversion. Now we have a ₹1,750 crores of open order.

One way to look at it is see that whether it is 18% or 20% of the open order getting converted. I'm talking from an analyst angle only.

If that number, let's say, is 20 20%, then 20% of 1,700 is almost like ₹350 crores. Then the current year also, we saw how much we could convert right away.

So

25%.

Something. All those things add up to when you say look at that, then you will find that, yes, there is no reason not to believe that we cannot grow at 25% in the FY27.

The actual versus real actual versus potential can vary. That you'll watch it over quarter quarter after quarter.

Okay. Okay.

Just one request, if you can quantify what was the size of the, let's say, government orders which got delayed? It's

hard to say. New orders that could have been won and then could have been executed in part, especially some extra large orders.

It's hard to say that what is that number. Again, like Mr.

Verma said, last year, the in-year orders of ₹780 crores, about 200 of them, ₹200 crores of them was consumed, so that's about 25% in-year orders. With new set of orders this year, we'll see how much percentage can be consumed.

It's all pointing in the right direction only, at least from our perspective. You can track it by quarter.

Okay. Thank you very much.

Hey, hi. Thanks for taking my question.

Hope I'm audible. Mr.

Verma, just the first thing, right, like the previous participants, what we are trying to hint is the lack of visibility that we have on how the revenues are getting converted across line items. Just in continuation, and you are asking us to believe that if we have been doing in the past 5 years, why will it not happen?

This year clearly was a disappointment, right, overall year basis, I'm just talking about. Just specifically, you are trying to compare Q3 versus Q4, and you have coached us for so many years that do not look at our business quarter-on-quarter, it's an year-on-year business.

Now suddenly we are seeing the momentum is picking up back. When I see the numbers specifically, you said in Q3 that there is no reason why Q4 growth should not be similar or better than last year Q4.

If I take that number, it looks like it's a ₹45, ₹50 crore miss in the revenue. It should have been ₹190-odd crores, it's about 145.

Can you help me understand, because as an analyst, as an outsider, we do not understand it. Can you help me understand specifically where is this ₹45, ₹50 crore miss?

Unless I start telling you the names of the accounts, it won't be clear however I try to explain it. We are making an overall statement that, yes, Q4 by itself and on a sequential basis, you have seen the kind of growth, 51% revenue growth or something like that on a sequential basis.

If more revenue could have been converted in Q4, it would have been 75%. That's the gap.

The gap is maybe five accounts or six accounts, but the orders exist. Sapna, you want to?

Gautam, just keep in mind, it's a B2B business primarily. If the order gets delayed even by a few months, then that automatically defers the revenue conversion on that.

When we talk about it, we talk about basis what we believe is when the orders will come and post-order, how soon we'll be able to execute it or deliver on it. Sometimes the new orders that we are expecting which can convert into revenue do get delayed.

It's a natural course of activity. Many times we talk about it basis the funnel that we have, which is in the late stage and where we have significant confidence.

If that slips by a few months, then unfortunately, it doesn't convert into revenue. It doesn't change the fundamentals of the business, it just changes the timing.

Rohan, I totally get it. See, you did your last call around Feb, first, second week.

It was already 40, 45 days which you had seen the business, right? Order book was there already, ₹1,500 crores at the start of the year, ₹1,750 crores or ₹1,780 crores at end of Q3.

I don't think so you did not have the order. You had the visibility, right?

Mr. Verma indicated that he feels it would be a similar growth quarter, but still there was some kind of a miss.

I'm just trying to understand as an outsider because you guys are seeing it internally. There is a miss, right?

There's a ₹45-odd crore miss, almost 30% of revenue in Q4. I'm just trying to bridge that gap.

I can help you without naming couple of them,

and

if Rohan can help with couple more. Because naming is not right.

Yes, there was an IoT order in the automotive sector, which we had thought that it happened in the Q4 only. We thought that we will be able to consume it in the quarter itself, and if we could have consumed it, its value could have been ₹20 crores.

You're talking about that ₹45 crores, right? I gave you the name without naming, I gave you a specific account.

Now that 20 that got delayed for certain not the execution capability of ours, but there were certain regulatory things which we had to fulfill, and now we have fulfilled that. That will start reflecting in Q1 and Q2.

It also depends on the customer's fleet being ready to go on the roads, right? Because in IoT, we have to install it in the customer's vehicles.

As Mr. Verma said, if there's a large fleet that has to get rolled out of the customers, if their vehicles only are not ready to roll out, then how do we install the IoT and start billing for it?

He kind of talked to you about an existing order that Existing order that came in Q4.

Yes.

That gives you one example. The other example I can give you is in the government side, large emergency response system for one of the largest states in India, very large order for us.

Should have been executed in Q3, then should have been executed latest by Q4. The government itself was delaying on the system, it is a little bit out of our hands.

That gives you one other government order. Third, we had won a very large tender in the again in the IoT space related to government.

Unfortunately, that went for a retender. Otherwise, the execution of that should have started already.

To us,

Go on, Gautam.

Understood. No, actually, this helps, right?

That's what. See, as externals, we don't understand exactly the dynamics.

What I am hearing right now is large part of the miss was more customer-related than our execution capability. See, this was at least not clear to us.

This gives some more color. Fairly, what you just explained is all customer-related issues, ₹20-odd crores IoT plus some government-side pushouts.

Is it fair these are just pushouts, right? Someday it has to come.

It's just getting delayed. It's not that

Pushouts

to Q1 and Q2.

We also really wish that these had all got executed in Q4. Whatever, these are just pushouts, so.

Fair. Fair.

No, so that helps. These are just pushouts, it helps.

Other thing, just on a full-year basis, what I wanted to understand, right? See, in the C&E business, you have three broad parts.

One is your consumer IoT, the second is government, and then there is core C&E business, which is the APIs which you give to the e-commerce companies, etc., etc., right? When we just try to carve out because you have fairly in past also given what is your government business, and you have also indicated what is the IoT business which sits in consumer.

If we just carve out those things, it looks like this core C&E business is stuck around somewhere in the 80, ₹85 crore range for 3, 4 years. It was only '25 where this number was north of 100, ₹120 crores.

This is all back-of-the-envelope calculation. Can you just help us understand how does this business

Let me give you our plan because I know it not only confuses you guys, it confuses us also. Going forward, from Q1, we are thinking of changing that reporting of C&E and A&M to auto and retail as one, corporate as a second one, and government as a third one.

We're thinking on those, planning for it. If we go ahead with that, then we will break up for FY26 Q1, Q2, Q3, Q4 also so that you can have a comparison.

Now coming to your difficult question, which confuses us also and confuses you, I don't know if Rohan

I'll just say that in the corporate world, once large apps integrate our APIs and SDKs as one example, as their usage ramps up, our revenues ramp up. You've seen one of the largest new entrants in quick commerce, one of the largest e-com companies

We have looked at it. We have looked at it, yes.

I think they're going very aggressive in quick commerce now, expanding rapidly. We are front and center in their app.

It's probably one of the best examples. I'm talking about Amazon Now they're integrating MapmyIndia's APIs and SDKs.

Anybody using Amazon Now will see Mappls SDK.

I think in Bangalore, they have fully launched it. Bombay also they're rolling out now.

As it scale, but that's just one example I'm trying to give.

There

is a gestation period in some of the corporate API, SDK customers. Our objective is to be inside of as many apps or as many enterprises, and as their usage scales, that should lead to better outcomes.

Also, I would say on the corporate side of IoT, and this is across the group, the three companies, but primarily two are focused in the private sector, one is almost exclusively focused on the public sector. There is a pretty strong push in the corporate world to put more and more of our IoT solutions, and we're seeing some significant wins there as well.

With IoT, the SaaS revenues kind of compound, as their number of vehicles also increase. I would say it's in a good space, and probably we'll see C&E also, which is the corporate and government kind of you'll see some good growth there going forward.

Amazing. Amazing.

If I may just squeeze one more for Sapna. Sapna, is this Q4 core auto business seems like a bit soft, right?

Because the kind of growth we are seeing in the automotive world, even if I adjust for the Hyundai variation which you are having, is it a bit soft, and is there a reason or is it normal in your mind?

I believe that the contracts that we have in place, the open orders that we have in place, see, in the automotive space, most of our business in order, yes. It is the new orders that come, they would give us business in future years unless they are IoT-related order.

Whatever contracts that we have with us, and broadly you have an idea that where all we are present and where all we are not. We have seen growth in quantity aligned with the industry.

That applies to the programs that we are present in, and our attach rate has grown only as compared to last year it has grown. In totality, our presence across different programs has increased, accepting, of course, we have already named the Hyundai that has created that difference which could have otherwise given us good growth.

Fair. Okay.

Thanks a lot. I'll come back in the queue.

All my questions are answered. Thank you.

Thanks a lot.

Hello?

Yes.

Thanks for the opportunity. Sir, just a couple of questions.

The first one is on this government contracts. I see that the AR numbers have gone up significantly.

Any reason for that?

We couldn't hear your question clearly. What were you saying?

Now I'm talking about your accounts receivable number that you're showing for March '26. That has gone up significantly, and based on your presentation, I understand it's due to poor collection from government contracts.

The the government business actually things are things have really, over the course of year, what we went with the government business, let me give you some color. At the beginning of the year, we decided to kind of professionalize our our wholly-owned subsidiary, call it Mappls DT, with the focus that we will grow our government business within that.

The the team moved to that subsidiary, orders that had been collected in MapmyIndia from the government, that open order book was subcontracted down to the subsidiary, and the team kept working on collecting new orders and had I think I would say really good success in different areas, whether it was in defense, whether it was in oil and gas, whether it was in emergency response, and urban planning. The other point of the year was, so one is we had to kind of make sure that this subsidiary became a full-fledged operational company, which was able to kind of operate the business in a healthy manner.

The cadence of sales continued, but the cadence of delivery, the cadence of collection, all of that had to go smoothly. That's why we are happy that, we crossed 100-plus crores in cash collection from customers, we crossed 100 crores in billing or revenue from the customers, and we crossed 200-plus crores in the open order book.

This is strong foundation led very ably with a very good team at the next level, which is focused on building very strong platforms for GovTech, whether it is in the civil area or whether it is in the defense area, and some of it is fairly advanced frontier tech as well, in the digital twin space or the defense space, combining GIS, combining 3D, combining AR, VR. In that sense, I think we are excited for what the government business can do.

At the same time, we yes, as we've always said, we are calibrated, we are careful that we take on the business where we believe we can collect the money.

Do you think this aberration will get corrected go forward, or you think it's going to remain elevated for some time? No,

which aberration, sorry?

This higher DSO days, will it get corrected go forward? Yeah.

See,

I think if you look at our DSO vis-a-vis industry, we are fairly good vis-a-vis industry. Having said that, even internally, we set ourselves to pretty high standard.

The teams, if last year also we could collect so well, this year we want to collect even better. In that sense, yes, we do want to further improve.

If you benchmark to overall industry, you'll find us to be a much, much stronger, fiscally prudent, clean balance sheet company compared to those who are in the government or even who are in our similar space of GIS, listed or unlisted.

The worry is your AR has gone up significantly with the revenue remaining almost flat line. That is a concern.

What's has gone?

The AR days, that trade receivable, it was ₹133 crores in last year, that is March '25. That has gone to ₹176 crores in March '26.

I don't know whether yeah, I think this is just the nature of government,

and I don't think we are

Yeah, this year, well, and I don't think this is overly concerning us. Like I'll tell you why.

We also look at the flow of of collection. When we look at what was the receivable from gov- like what was the receivables the year before when we started this year, have we collected almost all or all or almost all of that cash?

Chances is, yes, we have. That is a good sign that which flow is coming from the customers, right?

It's not getting stuck. Now so when you look at BR versus when you look at what is actually overdue versus what is within the credit period, I think you start getting different perspectives.

As the flow has been pretty solid, it's BR might look be there, but it's not overdue necessarily. The overdue component will be lower than what you're seeing as the BR.

One of the reasons we are actually moving on two fronts in the government. One part, as Rohan has been saying, we have almost, if not really fully, but almost zero bad debt in the government.

That is very important for us to note. The collection period might be higher, but that's again a nature of that beast.

Now for us as a company to keep growing, we are in a good position as CE Info Systems Limited, that entire group of companies, that MDT, Mappls DT, the government business is not concerned about non-availability of the funds. This is a very interesting, good situation to operate upon where if they get any good quality business, they will not leave it.

Okay. Got it, sir.

The second question is given this war situation, government finances are already strained. Do you think this will be one more excuse for the government companies to defer the contracts with us?

I don't know whether we can predict what happens. Sapna of us are very great to predict what the global governments or Indian governments will do.

I think we are also concerned about it that what's going to happen. At the same time, I think we're getting only positive signs from government that not that the kind of activities we are involved in are necessarily impacted.

We'll see. As of now, for us, BAU, but something to

We also extended our revenue projection from the contracted value in order to minimize that impact.

Yeah. I think we are dealing with the situation the best we can deal with, but how can we say what will the government of India and the government of US, etc.

do?

Okay. The last question is this ₹1,000 crore top-line guidance,

Yeah.

Hi. Good morning, Rakesh sir and team.

Sir, I had only one question which was on the order book slide. You have mentioned a figure, you've given the order book breakup.

The billing figure is ₹520 crores and the sales figure is ₹470 crores. This difference is due to what exactly, if you can just explain us?

Oh. Simple answer.

When we book an order, we have to book the order with GST.

Okay.

When we do the revenue, we do it without the GST. If there's a ₹1,750 crores of open order, it includes 18% GST because when we do the billing, we do the billing with GST because we are obligated to collect that money.

Did that answer your question?

Yes, yes. Very much, sir.

Thank you so much for that.

Hey, thanks for the follow-up. Mr.

Verma and Rohan, we see this order inflows from fixed-price contracts has been increasing materially over the last 3, 4 years, right? Earlier, your variable as well as fixed price used to be similar.

Suddenly, specifically last 2 years, the inflow in fixed price seems to be quite strong. Can you help me understand how fixed-price contracts are different?

Is it irrespective you will have to deliver this and will be paid in full over the next 3, 4 years which you write in the presentation? Because in volume-based at least, that volume has to happen, right, like autos have to produce, APIs have to be consumed.

Are fixed price different in that manner?

First, what if I may ask you, sorry, I should not be asking you, it's time for you to ask me. If I may ask you, is the fixed price good or bad in your thinking?

No, I'm just trying to understand. Actually, I don't know enough, and that's why I'm trying to understand.

Okay. Fixed price are different types.

In the government, if you can take it, it's a milestone-based project delivery. Okay?

Okay.

That's fixed price there. In the corporate sector, the fixed price is based on certain parameters.

Some of the big customers, you know who they are for us, they expect certain deliveries to happen during the year, and they say for this, I'll give you a lumpsum of so much money. That is a kind of a fixed price.

Another fixed price model could be that there's a minimum guarantee that I will pay you so much, and if the consumption increases, I will give you more. These are the different types of fixed price unless Rohan remembers something else.

IoT related is if, supposing we are told that these are the number of vehicles that we have to install and that's kind of fixed or at least either fixed or minimum guarantee, either way, then we know that what the fixed price of that order is. If, supposing we are told that the term of the order is 5 years or 3 years where the hardware with SaaS has to be delivered for, that's all fixed.

The fixed also could be where they pay us on a quarterly basis, we will do the billing also on that quarterly basis.

My question mainly was, is fixed-price contracts better in terms of conversion to revenue versus variables where you also have to depend a lot on what customer produces eventually? Does it give you better visibility is what I'm trying to understand, or is it typically

It gives us very clear visibility, fixed price. With volume projections, yeah, it does depend on the customer.

It can flex up or down. Usually, historically, it has been flexing up only.

I think we have been a bit conservative now. I understand we're a bit conservative now when we project volume.

That's why you might be also seeing the mix change a little bit.

Got it. This is helpful.

Just if I may, one more. Rohan, amazing performance on the IoT business, right?

Also it came with a strong margin uptick in Q4 specifically. Any specific thing happened differently in Q4 or how should we look at this?

See the IoT-led business performance is a reflection of the actions of the business leaders across the three group companies, which means that all the folks leading automotive, corporate, and government, as well as retail, they all have been able to lead and grow the IoT business in a pretty healthy way. There is some top-line growth, but there's also good margin that folks are bringing in.

Also, I think over the course of the year, that was the objective that how do we optimize the cost and increase the efficiency and productivity. That exercise, by the way, is still on.

In the sense that while we believe that we have a pretty strong and stable kind of foundation, team led well with the next level also organized well and focused, we still see opportunities for cost efficiency which we are focused on. Let's hope that over the course of the year, I think we increased EBITDA from 14% to 16%.

Last quarter, of course, was stellar, it was 33%. Over the course of the year, that was the number.

We are hoping to increase that 16% in this year.

Just was trying to understand, is 33 the right number to look at going forward, or is it somewhere 17 might improve to say whatever 18, 19, 20 that way?

33 was for the quarter. Every quarter will vary, right?

There's operating leverage in this business. Also, there's a fixed cost and all of that.

I can't say by quarter what the margin will be. Directionally, we have pointed out that in the steady state, this can be a higher margin business than 16% clearly, and we're on that trajectory, which is good.

There's still headroom for margin expansion.

Got it. Thanks a lot.

Thanks for the opportunity. My question is again on the IoT margins for Q4, which are double of the FY26 margins.

Now what we are seeing is that globally, DRAM and NAND prices are going up significantly, and still you have been able to post good margins in the IoT segment. What I can also see is that our inventory levels have also increased for IoT products.

Is it that we have made inventory gains on new orders for IoT, and that's why the margin is high?

Our inventory levels have grown

It has no relation to that.

Inventory levels have grown to stock up to support the increased demand that we see for IoT across the three businesses. We basically maintain inventory to meet the forecast.

We try to minimize overage, we try to minimize underage, we try to optimize our supply chain correctly. That's why inventory is going up because we believe that the demand is going to go up.

Unfortunately, prices are increasing. We are doing our part to try to mitigate those price changes.

There's continuous kind of value engineering that we do and other things that we do, but yeah. Sir,

my question was, is there inventory gain in the margins because we have stocked inventory and we would have supplied that at higher prices? Is it because of that?

No, no. You mean I'm trying to understand the question.

Inventory quantity has gone up.

No, no, sir, what I'm saying is that IoT prices are going up because your memory prices are also going up. We have stocked a significant inventory of IoT devices.

Is it possible that in new contracts, we would have supplied this inventory, there we would have made extra margins because we would have purchased at a lower cost, and when we would have supplied, the prices would have gone up, and that's why higher margin in the segment?

I don't think that's the reason. I wish.

I wish. No, the reason for margin expansion is simply operating leverage, huh?

It's just operating leverage. Revenue went up, the mix was better, more SaaS.

That mix was better. That's why the margin went up.

Inventory is just a function of what our future demand is.

Basically, you don't buy inventories against a specific order, right? You stock up in advance, or is it against

No, no. We buy inventory based on the overall forecast across a portfolio of products and portfolio of projects or customers that we have.

There might be few very specific made-to-order projects, but usually we have a portfolio of products, and one or more of which are sold by our customers.

Going forward, how should we see these margins? Will it normalize again to 18%

to 20%? Over the course of the year, like I said, every year we've been able to increase the IoT-led margin.

Last year, it went to 16% from 14%, and this year also we'd like to increase that.

Okay. Okay.

You are still seeing price increases, right? From last year, what will be the inflation in IoT devices?

When you have a combination in the IoT business, not just the hardware, but a hardware and a SaaS, when we do the pricing, we'll think about it, and accordingly price the entire solution to a customer. It's not classic trading.

If it was a classic trader, then yes.

No, no, I understand there is a software SaaS component to it. It's just that because prices are going up, ideally there should have been compression of margins, but you have delivered better margins, which is good.

Just wanted to understand what is contributing to this.

You're not wrong by saying that prices of the hardware is going up, the cost of purchase or acquisition is going up. Obviously, we also look at that, and when we get the new orders, we try to make sure that that's accounted for.

Okay. Okay.

Sir, my second question is in Q2, we had highlighted that we had made certain investments for a specific government project. Are all those investments now behind us?

No such investment expected in H1 at least, right?

Yeah. See, again, let's say for that specific order, the investment that was made, those future investments will reduce.

In general, if we want to expand our business into certain areas, we have to kind of do investments. Not going to specifics of what might happen in the future with specific orders, but as a overall portfolio, we are on the right track when it comes to government and IoT.

It was initially CapEx-driven, now on OpEx activities giving a better margin.

Correct. Like Nikhil is saying, it was originally CapEx-driven and now the OpEx is giving increased margins.

Okay. Okay.

Such investments may continue in future as well, that's what I understand, to get more orders, right?

I can't say right now. I can't say right now.

Okay. Sir.

Thank you.

Thank you all for listening to us. I hope we have been able to give all of you a good perspective about the future as well as the achievements that we made in Q4.

We hope to remain transparent the way we have been. Also I believe that investors should have confidence in what MapmyIndia as a group is building its business, making sure that the capital allocation happens in the right place and is able to earn margins and revenue growth in the maximum way we can.

Thank you so much for attending the session today.