AIA Engineering

“So what I'm trying to tell you is that this year looks to be continuing to be flat, right? Various reasons here and there, we continuously explained. We get back to 25,000, 30,000 tons from next year onwards. That's the current plan.”

“So right now, for one more quarter we are still maintaining the position of putting this Ghana, China right now on hold, though very honestly, we are going to reconsider this very soon.”

“We will be definitely looking at reactivating our geographical expansion at some point in time, hopefully by end of next quarter.”

“we have recently got some good orders, some large -- reasonably large orders which have come in the last month of this quarter. And therefore, the order book has really actually gone up a little bit.”

“But yes, it is -- there is no bunching because of the delay in dispatches, but rather there is some inflow which has come in the last month of the current -- of Q2.”

“mining sales stood at about 39,700 tons in this Q2, resulting in about 79,000 tons in the first half”

“what we can very convincingly say that our entire new strategy remains intact. That is to say, go on a value-added focus with liners and NGDS as a package, doing trials.”

“And the strategy is that once the NGDS plus liner-based success in terms of volumes start flowing in which we believe should start becoming visible in the second half of the current fiscal, the grinding media volume should also follow.”

“No structural, nothing structural, Varun, underneath that. I think it is just timing between a quarter and the rest.”

“The thing with non-mining is that it is not predictable, right? And it may not be scalable beyond the point.”

“we believe that mining industry, especially copper in South America and gold continues, and we remain excited about that.”

“And when we speak to customers in South America, for example, some have expressed that they would like for this environment to settle down.”

“the end users that we cater to, which is copper, gold, iron, they're all basic commodities, they generally look to be doing okay.”

“We are getting more competitive. So we don't really compete with China in that sense. Otherwise, we wouldn't be having this conversation. I think for us, the more important part is we sell in cross currencies.”

“However, on the operating EBITDA basis, it's about 2.5% to 3%. The primary reason for this decline on an operating EBITDA level basis is a steep increase in the cost of export freight, which has grown by over 3.5% in Q2 and H1 of this year on a Y-o-Y basis.”

“As you all know, freight costs have gone astronomically high in the current quarter. Though now on the positive side there seems to be some reduction that has started to become visible, but this was a major dampener.”

“the realization per ton or per kilo on per kg basis has increased about INR178, largely attributable to the increase in the freight, which has been passed on.”

“Secondly, on the numbers, there were some freight-related anomalies in this quarter. But overall, the quarter's figures will normalize with the rest of the year”

“We are not in a position to pass through on a spot basis, right? So we are hoping that this normalizes either with the pass-through it has sustained or hoping it normalizes soon.”

“Again, if you see my net working capital cycle in this Q2 as well as H1 remained more or less at about 129 days. That includes about 41 days of raw material stock, 79 days of WIP and finished and then about 87 days of receivables.”

“in this particular quarter for almost 2 months, that mine had stopped production. And therefore, our dispatches were also very low to this particular mine, which has again started at the normal traction from the current quarter.”

“Yes, trials which are undergoing right now at the various mining sites, including the large mines have been elongated a little bit. They are still on, and we are very bullish internally that, that should start yielding good results.”

“I think there's a 50% duty on imports from most countries into Mexico, including from India. And so there was some volume that got affected with that.”

“We don't expect any further duty-related reduction anymore. I think this is -- we are at the absolute bottom, if I were to call that.”

“It's already in that number. We actually feel that this is the absolute bottom for us.”

“So more than it being a cost issue, it is also a larger geopolitical uncertainty and risk that comes from that question.”

“We did about 61,500 metric tons sales in Q2 on a production of about 63,600 metric tons.”

“That translates into sales of about 126,000 metric tons in the first half of the current fiscal, slightly above 124,000, 125,000 tons that we did in the corresponding H1 on a Y-o-Y basis last year.”

“The top line for Q2 was INR1,093 crores -- then there was other operating income of about INR19.5 crores.”

“Similarly, that resulted into a top line of INR2,246 crores in the first half and about INR34 crores of other operating income.”

“You would have seen that we did an EBITDA of about INR361 crores in the Q2 of the current fiscal.”