Earnings Call Transcript - XNSE:CLEDUCATE 2026-11-04

Arjun Wadhwa, CFO

Good afternoon, ladies and gentlemen, and welcome to CL Educate Limited's H1 FY27 Analyst Call. Let me first just confirm with my fellow panelists if I'm audible, if someone could give me a thumbs up. Thank you. Thank you. As I said, welcome once again to CL Educate Limited's H1 FY27 Analyst Call. My name is Arjun Wadhwa. I'm the group CFO of CL Educate, and I'll be your host today. Once again, we are on our metaverse platform called Bosmos, which we have been using for almost four years now for our analyst calls. This call, as always, will be recorded, transcribed, and made available in the Investor Zone on our website within the next 48 hours. Should you have any questions at any point in time, please feel free to type them in the chat box in the bottom right-hand corner of your screen. We will address them at the end of the session. Joining me on this conference call today are Mr. Gautam Puri. He is our co-founder, vice chairman, and managing director. Gautam takes direct reporting of the EdTech business, including our test prep business. And Mr. Nikhil Mahajan, he's the executive director and group CEO. of our enterprise business, Nikhil Ankars, the MarTech business, and Mr. Harshit Manyar, CFO of Exit Global Limited, subbing in today for Mr. Yatrik Vin, who unfortunately is ill and recovering from a major surgery. Welcome Harshit and other gentlemen to this call. I would now like to hand over to Nikhil to take you through the presentation, After which I shall come back and assist with the Q&A. Over to you, Nikhil.

Nikhil Mahajan, CEO

Thank you, Arjun. Please confirm if I'm clearly audible.

Arjun Wadhwa, CFO

Yes, please go ahead.

Nikhil Mahajan, CEO

So before I jump into the performance and the detailed analysis of the business performance, I just wanted to give an update on a critical item regarding As you're aware, post the Dexit acquisition, there was a capital reduction scheme which was underway at Dexit. For the RPS redeemable preference shares of about 203 crores. I am happy to share that the NCLT approval came through in the month of July, and we were able to close that transaction of redeeming those preference shares and repaying the money to NSE Investments in middle of August. So this action has resulted in our overall balance sheet size getting trimmed by over 200 crores and is more reflective. of the actual business and of all the three businesses. Unfortunately, we had to go that route and that loaded the balance sheet by about 200 crores, which was beyond our control. A couple of other updates which I'll come towards the end of the session. But now I'll straight away jump into the business performance and the numbers for the gone half year. A brief snapshot of it is that our business is doing well. Our margins are expanding. As you can see, our EBITDA margin has expanded by about 3 percentage points from the same time last year. It has increased from 15.7% last year to about 18.6% this year. workers that declined in the overall revenue from 319 crores to 305 crores in H1. It has seen an increase in EBITDA from 50 crores to about 57 crores and returning to positive fat with a 350% growth impact from the same time last year. Yes, the revenue has declined by about 4%. Predominantly in two business segments. In the edtech segment, the revenue declined by about 12% growth. And it also declined by about eight, nine crores, about 10 crores in DEX, which was largely on account of the fall through of the base effect of last year, wherein in the first quarter of 2026, there were certain rollover contracts, which got executed, which were no longer there in the current fiscal. In Q2, the DEX revenues have more or less remained stable and have just marginally exceeded the revenue of Q1 in the current year. Q2 over the last year, the MarTech revenues have expanded, and as a result, a margin expansion across all three verticals has resulted in an overall 300 basis point increase in the EBITDA margin, translating into a positive EBITDA. There have been significant contract wins in Dexit Global. The total multi-year contract wins, as we speak, aggregate to about 172 crores, which will get delivered over the next two to three years. Some contracts are two-year wins, some are three-year wins, and these are over. As we speak, I think the business is on a pretty strong footing. And as we walk into H2, I think our numbers are going to look better, significantly better than what they were in the last H2. Arjun, we can move to the next slide, please. While, as I stated earlier, there has been a decline in our revenues by about 4%. As a proactive management action, we had also started acting on our cost structures. At the beginning of the current fiscal year or even earlier than that, there has been a marginal decline in service delivery costs, which is More or less prorated as a percentage of the decline in revenue, but the critical element to note is the decline in the overhead cost by about 12.5 crores in the first six months as compared to the same cost in H1 of last year. This significant optimization in terms of cost overheads spread across people, infrastructure, and various other overhead costs has translated into a positive saving of about 12 and a half crores. The savings will continue to reflect in H2 of the current fiscal year as well. However, Since the total quantum may not be 2.5 crores because the savings started to get into effect from Q4 of this year, so there will be some tempering in the cost savings in H2. But on an overall basis, I think we should be able to reflect the total cost savings of around 2022 crores on overheads during the current fiscal year during the remaining part of H2. Now, let me do a slight deep dive into each of our businesses. Our ad tech business saw a decline of revenue of about 13% with a major chunk. It's still getting attributed to the flattening trajectory, the test prep market, not just in our segments, but across multiple other segments, even which we are not operating. But despite the 13% decline, our EBITDA increased by about. 8%, which translated to a beta margin of about 21.22% against 17% same time last year. DEX also, despite a revenue decline, as I shared, driven predominantly by the impact of base effect, wherein in Q1 of FY26, there were rollover contracts from FY25, which got delivered in Q1. This is the first quarter of 26th. And if you recall, in Q1 analyst call, I had also shared that there was a decline by about 10 crores in the revenue of Dexit predominantly due to the base effect. As a result of slightly lower revenue by 8%, the absolute EBITDA declined by about 2%, but here also we reflected a growth in the EBITDA margin. MarTech revenue showed a growth of about 14%, accompanied by an EBITDA growth of about 26%. Overall, as I shared in the previous slide, we have achieved a much higher EBITDA margin of about 18.5% as compared to 15% in the previous H1. Amit, can you move to the next slide on EdTech? As stated in the previous slide, our EdTech margin expanded by about 400 basis points from 17.5% to close to 22%. And despite a decline in revenue, we were able to report a higher EBITDA. This has been achieved predominantly by a significant amount of cost optimization in terms of various overhead costs, infrastructure rationalization, and these will continue to play out. In Edge 2 as well. The test prep business continues to face headwinds, and this is a factor evident across almost all test prep segments affecting most of the test prep players, not just in the segments we are operating in. Another critical thing is our revenue mix coming from various channels, which is basically our franchise partners, and what is coming from our digital and company-owned centers has moved more towards network, and this has aided a greater achievement of a higher EBITDA margin. It also has resulted in a higher average ARPU realized because most of our network partners are still largely classroom oriented and they have been able to realize a higher fee realization. In the platform monetization division, which is our still media business, while the revenue is flat in H1 as compared to last year, but there is a reasonably strong pipeline. And there has been a shift in the seasonality because of the delayed admission cycle closure, what used to be largely the business cycle getting initiated in the month of July, August, now starts literally in October, because most of the colleges continue their previous year's admission cycle right up to end of September. So I think this vertical will see a pretty solid edge too. And a significant revenue growth in this segment is expected accompanied by a reasonably positive EBITDA margin. In the digital assessments, next business, I think I have already covered there is a marginal 11 odd crores of decline of revenue, which more or less is a pass through from Q1. I've already articulated the reason. The EBITDA margin has shown an expansion of about 171 basis points in H1 as compared to H1 of last year. I think some of the critical factors which I would want to outline are some of the new customers which have been added include Edsil, the IIT, Madras, the implementation of the gate exam, GPSC, the Bihar Civil Services, the contracts with IIBF and DGFMS. We have got renewed and extended for a further period of two to three years. The total value of multi-year contracts which have been signed in the last six months amounts to 172 crores. And of that, about 40 crores is likely to accrue in the current fiscal year. So some of that implementation has resulted in its accrual in H1, but a very insignificant amount, a significant chunk of that will accrue in H2. And that should result in a revenue expansion in Dexet in H2 over the previous year. In the marketing business, The revenue, as I have already shared, has expanded by about 14%, EBITDA by about 26.7%, a margin expansion of about 100%. We have done some pretty large marquee events for Dell. We executed Dell Forum event at the Jio World Convention Center in the month of September. We are doing the largest Dell event in Asia Pacific in Kuala Rampur next week. International revenues now account for about 40% and the India revenues account for about 60%. The technology business of Wasmos and Versa is gaining significant momentum, and we have had new wins with Infosys signing up for a global implementation. We have had wins with Salesforce and Dell, and we are currently in talks with a couple of other large IT major players for their implementation during the next 6 to 12 months. A couple of respects, before I come to the corporate update, a couple of specific pointers which I would want to highlight. And especially in our large B2B practice, both in Dex as well as Keystone, has been the stickiness of the accounts, many of which have been with us for 10, 12, 15 years, both in Dex and in Keystone. And every year, the engagement and the contribution from the older customer base has been increasing. For example, Dell has been working with us in Keystone for the last 12-13 years and their contribution. Our business overall has been increasing. Similarly, most of the DEX customers have stuck around with DEX for 10, 15, 20 years, and every year, the value they contribute towards the DEX revenues keeps increasing. I think one of the core attractiveness of both Dex and Keystone is the stickiness of our corporate B2B customers, and that largely emanates from the excellent world-class delivery we provide to our customers in this segment. Now moving to the corporate update. So, as I shared in the last analyst call in August, we had filed for the shifting of our registered office. The process of shifting our registered office to Mumbai has been completed. The form INC22 was approved by ROC Mumbai the day before yesterday. The merger scheme between CL Educate and DEX. It was approved last week by both the boards and since now the INC 22 has been received, we are working towards an early filing of NCLT sometime during the course of this month. As we have separately disclosed, we have also received a term sheet from a lender for 100 crores of debt raise in form of listed NCDs. This will largely be used to refinance a couple of existing long-term acquisition lenders who are desired to be moved out or refinanced. And refinancing is only largely replacing our existing. Existing loans, which we had taken to fund the term loans for acquisition. And they, these Refinancing are, while commercially more or less at the similar terms, but there are certain significant other subtle benefits which have emerged for which we have enabled, and we expect to complete this refinance over the next four to six weeks. With that, I come to an end, and I'm happy to take any questions from all of you. Thank you.

Arjun Wadhwa, CFO

Thank you, Nikhil. There's a question from Aditya Deora seeking an update on MySathi. GP, is this something you'd like to take?

Gautam Puri, Chairman

Yeah, Mayaswathi is progressing as per the plan, and at this point of time, we are looking at, it is essentially in the pilot stage, and we hope that it is going to be a full-fledged launch in the coming season.

Nikhil Mahajan, CEO

GP, just to add to that, I think about 15,000 MySathi tests have been executed till date, and we are hoping that over the next four to five months, 15,000 to 25,000 students will write the test. Doing its acceptance and validity in the student community as well as the university community. So, yes, while the numbers may not be significantly large, at the end of this year, we'll probably be talking about 35-40,000 students have been taking it. But I think that's a reasonably strong base from where we can work towards scaling it up pretty aggressively over the coming years.

Arjun Wadhwa, CFO

Thanks, Nikhil. The next question is from Henil Bagadia. He is asking, what are the savings that will accrue in terms of lower taxation rates after DEX is merged into CL Educate and the savings that shall accrue from the debt refinancing? How much time will it take for the formalities of the DEX merger to be completed? And will the long route of exchange and NCLT be pursued or fast-track route pursued via postal ballot since DEX is a 100% holy on subsidiary? He is also asking if Yathrik Vin is no longer with DEX and has a succession plan been put in place and is there any impact on pending? All of that on the business.

Nikhil Mahajan, CEO

Let me take it one by one. So you might have to repeat a few of those questions in case just I missed that. Let me first address the merger thing. Herald, we after deliberate discussion decided to go via the NCLT route rather than go to the RD route of a fast track merger because we felt that getting 90% Affidavit shareholder confirmation, the time taken to achieve that probably could be more or less similar, which we might have to do via the NCLT route. The time estimate given by our advisors Deloitte and the lawyers is anywhere between 9 to 15 months at Bombay NCLT. So our hope is that by end of September, October next year, the process... of NCLT approval and its implementation would have been completed. So that's a broad timeline estimate towards the process. But NCLTs, we really don't know. There are times when some holy-on mergers have gone through in six to nine months. There are times when it has taken longer, close to 15 to 18 months. But we are keeping our fingers crossed and hope to achieve it at the earliest. Coming to the savings, which will accrue on account of the merger. There are two or three kinds of savings which will probably accrue. One clearly is the tax saving, which as we have done a preliminary estimate for the next three years, we estimate that our tax savings are likely to be between 11 to 15 crores annually at the current base in terms of if the Optimized tax as a combined entity, the net cash saving, which will accrue to us. Besides that, there will be certain other savings in terms of administrative overheads, compliance overheads, audits, and all other legal fees and all that stuff, which as separate legal entities we currently end up spending, which will result in some amount of cash saving. And obviously, the administrative backend departments, there is always opportunity for greater synergizing operations in the areas of commercial, procurement, HR, finance, and to some extent, even technology. And we are starting to have the teams at both sides start working together and whatever optimizations which can be achieved worked out. To be figured out so that they can be put into place as soon as the merger is given effect. At this stage, it might be difficult for me to quantify that amount of saving, but our estimate is besides the tax savings, the other administrative and other overhead savings are likely to be between three to five crores annually. But these numbers can vary when we do the detailed analysis and Put that into practice. GP, on the Yatrik's thing, since you met him, it would be better for you to take up that question and answer that.

Gautam Puri, Chairman

Yeah. First of all, Yatrik, sir, is still on the board of DEX, and he's still the chairperson of the board. He has resigned from Kharil on the CL Educate Board, essentially because of his health issues. He had a minor surgery to be conducted, and his doctors have advised him to reduce the workload. And since being on the board of CL Educate also meant substantial amount of travel, he chose to resign from here, but he's continuing on the Dixit board. In fact, he chaired the last board meeting also. Going forward, Yathak sir is still there. And while there's a succession plan in place, we think that at least for the foreseeable future of the next in the short term, which is next three to six months, definitely Mr. Yathak would be there. And subsequent movement will be a function of his health and the advice which he receives from the doctors, for which we will hold on for another couple of months before we comment anything.

Arjun Wadhwa, CFO

Right. Thank you, Nikhil and Gautam. There are more questions from Henil Bagadia. Some of these are DEX related, so Harshit, I'll request you to take them, and then I'll come back to Nikhil and Gautam for the Martech and EdTech questions that Henil has put up. Number one... Is with new contract wins index with new customers, what is the average duration of the new contracts? And when the contracts come for rebidding or resigning, does the company have right of refusal by offering the lowest price that any other competitor may offer?

Harshit Manyar, CFO

Yeah, so good afternoon. So on this question in particular, generally the contract ranges between two to three years, that is where the multi-year contracts are awarded to DexIT. On the right of first refusal, generally these are government tender contracts, which are through an e-option platform. So in some contracts, we do have a choice where it has come up for a reverse option, where we have a right of refusal or we can do it at a lower price. But there are a few contracts which are at a fixed price where the bid can not be revised after the tenders are open. So it's multiple of both the models put together.

Arjun Wadhwa, CFO

Right. Thanks, Harshit. This is the next question from Henil. With the MarTech customers, how is the initial response on mining corporate relations for their internal corporate exams via DEX for hiring or periodic training-based examinations panning out? I think this would be more appropriate for Nikhil. Nikhil, if you'd like to take this.

Nikhil Mahajan, CEO

Yeah, so I think we have started reaching out on a selective basis to a few corporates. The response or the excitement some of those people have shown is positive. We don't want to move on to it pretty aggressively. We will do small pilots with three to five customers in the next three to six months. Largely concentrated in either BFSI sector or the IT space. And after these, our pilots are successfully executed, then we will widen both the funnel and try to go deeper into these corporates as well. So, I think maybe in two quarters from now, we will have a more. Appropriate information for us to share with. At this stage, I cannot disclose the operates in which we are delivering the pilots because of confidentiality. But I think once the contracts are signed up and done, I think we would be able to share those details.

Arjun Wadhwa, CFO

Thanks, Nikhil. Harshit, just bringing you back, there are some questions related to the IAT gate. Contract that DEX has won. The questions are, does DEX have the whole mandate? What kind of student volumes would this provide? And what was the basis of winning this contract from the previous provider of the exam if it was TCS ION?

Harshit Manyar, CFO

Okay, so IITGate generally has around 8 to 10 lakh students appearing every year. So this is not an exclusive contract because we have now got M-Paneled for the first time. So there is a split of order between the existing vendor and XIT. So they will be giving us a certain portion of the examinations that we'll do. And obviously it gets scaled up on the basis of the delivery that we do. Also, the tenders are awarded based on the technical qualification and the pricing, while TexIT has been able to gain a good position on the technical qualification as well as the pricing as well, which has led to get us this contract at TexLevel.

Arjun Wadhwa, CFO

Right. Thank you, sir. Harshit, Nikhil, this question is for you. With the merger taking place, do we plan to raise capital only at the parent level now, or are we open to raising money at the DEX level as well? Is the IPO of DEXIT ruled out in the medium term? This question is from Rahul Bansali.

Nikhil Mahajan, CEO

Okay, so we are open to all options till the merger is approved and given effect in the legal sense. If we have an attractive offer at any time prior between now and the next 12-15 months while the work is in progress. We are keeping all options open. So if tomorrow somebody is seems interested and is willing to take out or put on table or check reflecting an appropriate value, we have no hesitancy in considering that. But till that happens, we are. Proceeding on all options, the merger will proceed. If there is something which comes up, we will review it, and our boards will take an appropriate decision at that stage. Obviously, in the short run, if the merger does happen, then obviously IPO in the short run may or may not would not happen. There is somebody who is willing to write a check for a potential equity funding into DEXIT, then it could take a different course. And at this moment, while we are filing with NCLT for the process to get started, if there are attractive opportunities which emerge over the next 12-15 months, during the course of this journey, we are open to explore them on Merit.

Arjun Wadhwa, CFO

Thank you, Nikhil. There's a question from Subrat Das, Gautam, if you'd like to please take this. Can you please update the important information on NEET and any plans of it going CBT? And there's a follow-up question from Amit, who's asking if the Nilikeni panel had suggested that the only way to improve the paper leaks issue is to do exams digitally. Secondly, if government decides to move all exams online, what type of revenue pool is it likely to open up and are we in touch with the panel for pitching the text to the government?

Gautam Puri, Chairman

Okay, first of all, when you look at NEET as such, the government has already announced a few months ago that going forward, the exam will be conducted on a CBT mode, which obviously means there is going to be a huge opportunity from the next point of view more than anyone else. And going forward, I would assume that most of the exam will slowly get shifted to the same mode, primarily for the reason of being able to avoid leakages and leakages essentially. Now, what does it mean in terms of volumes? It is something which is a little difficult to estimate at this point of time, or to give a number as such, but... Given the numbers involved, when you look at NEAT, about 20 lakh students take the paper, more than that, actually. And it is safe to assume that it will not be given to one player, it will be split between multiple parties, as has been the case for government most of the time. So what share we get is going to be the question, and in the meanwhile, we are looking at increasing our capacity so that we are eligible for the NEAT exam whenever, or any other exam whenever it comes up. Aishit, anything else you would want to add with respect to Neet or this area?

Harshit Manyar, CFO

No, nothing in specific. I think you've covered a majority of the aspect of the need and the report is awaited. So once we have a final blueprint of the report, which probably is expected somewhere in January of 27, that is where we like exactly start planning out how the business on these aspects will start ramping up.

Gautam Puri, Chairman

Just one last comment based on the question asked. Are we in touch with the committee? Yes, the committee had reached out to us and I presume they had reached out to others also for inputs on what we think should be the way forward and we had shared our inputs. But beyond that, it would be presumptuous that anything else we can say about it.

Arjun Wadhwa, CFO

Gautam, if I may just add to this, in 2023, the offline assessments market was about 2,500 crores, growing at a stagger of about 8%. In a couple of years, that market size was expected to grow to about 3,500 crores. So just to help people understand what is the opportunity that lies once things move from... A pure offline mode to a potential online mode. That's the opportunity space that exists. How much of that we are able to capture, of course, is something that only time will tell. That is the last of the questions that I have in front of me right now. There are a few other questions which are related to forward-looking statements which we don't provide as part of our analyst calls. So my apologies to individuals who might have asked those which we are not able to address. So with that, I think we will wrap up today's analyst call. If there are no further questions, I'll just wait for a minute or two. And of course, you know, if you've had a question which we've not been able to address or if anything else strikes you later, these are our contact details, both of our IR team and of my colleague Amit. And, and me. So feel free to reach out to us if you have any questions. Boy, I see a flurry of late questions now. There's a question from Henil Gautam, which maybe you, it would be better if you address. What is the contribution from... The UG and PG segments currently across our businesses and at what numbers do you see stability in revenues and margins? And at what levels do you think things will start stabilizing post cost optimization? Harshit, I'll also just leave a question with you. What is our revenue per student approximately for the gate exam? And in general, what is our average revenues? I'll come back to you to take that up once your time is finished.

Gautam Puri, Chairman

Yeah, Ajun, can you just repeat the question, the three-four questions?

Arjun Wadhwa, CFO

Yeah, on the EdTech side, what is the contribution of the PG versus UG segments to our business, and where do we see stability in terms of revenues and margins in terms of the ups and downs we've seen in the business of late?

Gautam Puri, Chairman

Okay. First of all, when you look at the split between UG and PG, at present, it is close to 50-50, but going forward, we see UG becoming a bigger share, having a bigger share of the pie. Secondly, when it comes to revenues, the revenues are likely to be around the current number for maybe another one year or so, after which I see them increasing for the simple reason, the volumes and our share in the UG segment would have increased significantly. Also, the market would have stabilized at the kind of program that they are looking at. The third thing, so that takes care of the revenue and the margin, and from a margin perspective, greater the online contribution, greater is going to be the margin expansion. Obviously, it will not go to a very high number, given that we still have a significant portion of our revenues coming from offline. So I would assume that wherever we are at present, the margin will remain around the same level or go up slightly. Arjun, anything I have missed out?

Arjun Wadhwa, CFO

No, GP, but perhaps you would like to also just point out the PG versus UG behavioral habits in terms of who pays for the course and why things are stable in the UG space accordingly.

Gautam Puri, Chairman

Okay, sure, sure. Maybe I could have explained that better. Just going back to it, when you look at the UG versus PG segment, the reason why I said UG is going to grow more than the PG one, Essentially, because first of all, graduation is not an optional thing, but post-graduation is an optional item. So, everyone has to go for some kind of graduation, and with the kind of courses being offered by various colleges, like IMs, etc., the opportunity for us to grow in the UG segment is going to be much higher. Secondly, in the UG segment, it is the parent typically who is paying, while in the PG segment, it is a strong who himself or himself pays. And then the propensity to pay and propensity to go for coaching is much higher in the EUG segment as compared to the PG segment. And that's the essential reason why I said going forward, I see EUG becoming bigger, getting a bigger share of the pie, both in terms of the venues as well as in terms of margins, because the amount of fees which you're able to charge in the EUG segment typically is higher as compared to the fees which you can charge in the PG segment. Thirdly, in the PG segment, because it's the student who's paying, the propensity is to go for smaller programs, shorter duration program, while in the UG segment where the parent is paying, the propensity is going for longer program, which by and large get guarantee results as such.

Arjun Wadhwa, CFO

Thank you, GP. Harshit, if I could just bring you back in for the question.

Harshit Manyar, CFO

Yeah, sure. So on the revenue per student, it is a function of the services that the client wishes to avail when they conduct an examination with DEX. So DEX provides wide array of services right from registration portal to exam, pre-exam, post-exam, and various security aspects like CCTV, live monitoring, and post-exam analytics, and so on and so forth. So there is no specific number that can be assigned to every exam. It completely depends on tender and what all services that the client wishes to avail. Next generally does exams ranging right from starting from 150 rupees, which can go up to 1000 to 1200 rupees. And also it is a function of how many sessions in which the client will conduct the exam. So, there is a wide range of revenue per student starting from 150 which goes on up to 1200 rupees.

Arjun Wadhwa, CFO

Harshit, last year we did, what, 70, 80 lakh exams?

Harshit Manyar, CFO

Yeah, we have done around 80 examinations last year.

Arjun Wadhwa, CFO

So, at a revenue of 230, that would, on an average, give about a shade under 300 rupees per exam, right? So, just so that Amit gets an idea in terms of what the average is, but as you rightly said, you know, every exam is different and every client's requirements are different. So, those numbers could vary depending on what the client needs. Great. Thanks, Harshan. There's a question from Amit again on debt outlook for the next two years. Amit, we repay about 24 to 28 crores of debt annually as part of our current structure. So, unless there is either an equity raise or any other corporate event which causes us to repay some of the debt a little bit faster, that would continue to be the range in which the outflows would happen. Currently, our long-term acquisition debt outstanding as on 30th September was about 174 odd crores, and our short-term working capital requirements around that time were around 55-60 crores. So the short-term working capital requirements change quarter to quarter, but they would typically stay in a similar range because that's the nature of our business. And the long-term debt would obviously continue to be repaid at the rate of 24 to 30 crores a year on an average, if nothing changes. We have expressed in the past our desire to be a net debt-free company as soon as possible, and we continue to work towards that. When we have something to share in terms of a specific update on that, we will definitely share it with all investors. And with that, I think I'll wrap up today's analyst call. As I said, we remain available for any questions you might have. And thank you for joining in today. Wish you and your families a very, very happy Diwali. And we will see you in about three months time. Thank you so much, everyone. Have a good day.