Aegis Logistics Limited (AEGISLOG) Earnings Call Transcript & Summary

Ladies and gentlemen, good day, and welcome to the Q4 and FY '27 Earnings Conference Call of Aegis Logistics Limited. Before we begin a short disclaimer. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions and expectations of the company as on the date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict. [Operator Instructions] Please note that this conference is being recorded. I will now hand the conference over to Mr. Raj Chandaria from Aegis Logistics Limited. Thank you, and over to you, sir.

Thank you very much. Good afternoon. I'm joined today by our CFO, Mr. Murad Moledina and Ms. Payal Dave from our Investor Relations team. So let me start with our Q1 FY '27 performance. We delivered a record quarter, crossing the significant milestone of INR 500 crores of profit after tax in the first quarter of this fiscal year compared to INR 175 crores in Q1 of FY '26, reflecting an exceptional 212% year-on-year growth. We reported a normalized EBITDA of INR 727 crores in Q1 compared to INR 256 crores in Q1 of FY '26, delivering a robust growth of 184% year-on-year. Earnings per share for the quarter stood at INR 13.80, which is approximately 54% of the full year EPS delivered in the whole of FY '26. And this reflects the strong operating performance and earnings momentum that we have carried into the new fiscal year. Our Liquids division delivered its highest ever Q1 EBITDA performance and has now recorded 5 consecutive quarters of EBITDA growth. As we have emphasized in the past, this division remains a well-diversified and stable cash-generating business for the company. And we continue to invest in capacity expansion within this segment, enabling us to capitalize on growth opportunities while further strengthening its contribution to our overall portfolio. Turning to our Gas division. I would like to particularly emphasize the exceptional performance delivered during the quarter. The division reported its highest ever EBITDA, registering a remarkable 296% year-on-year growth. And what makes this achievement more noticeable -- notable is that it has delivered this amidst a very challenging global backdrop marked by ongoing geopolitical tensions and disruptions arising from the war in the Middle East. and it demonstrates the resilience of our logistics business. Further, LPG sourcing volumes also remained stable and recorded a marginal growth of 1% year-on-year, highlighting the strength and reliability of our sourcing capabilities. Our gas distribution business continued its strong growth trajectory during the quarter, delivering a 91% year-on-year increase in volumes compared to Q1 of FY '26 and a 19% sequential growth over Q4 FY '26. And this performance was driven by robust demand across customer segments and continued expansion of our customer base. Over the last year, we have successfully added multiple private sector customers, and I'm pleased to share that this momentum has continued into the current fiscal year as well. And the ability to consistently onboard new customers and scale volumes is a direct outcome of our vertically integrated business model. What differentiates us is our presence across the entire value chain from sourcing and logistics to storage and distribution. And this deep integration provides us with the supply reliability, operational flexibility and a stronger value proposition for customers, which has enabled us to respond efficiently to market opportunities while ensuring uninterrupted service levels. In fact, the volume growth we are witnessing today would have been difficult to achieve without a well-integrated business model. and the seamless coordination across our sourcing, storage and distribution operations continues to be a key competitive advantage and an important driver of our growth in the gas business. So to summarize, the sharp increase in the EBITDA of the gas business was driven by 2 key factors: First, the resilience of our logistics and sourcing business, which maintains stable volumes despite the challenging global environment. And secondly, the outstanding performance of our distribution business, which achieved record volumes along with healthy margin expansion. If I can switch to the port-by-port operational performance. As far as Mumbai port was concerned, it continues to operate at a high utilization level. And in order to further strengthen our capacity and cater to future growth, we are developing an additional 64,000 cubic meters of liquid storage at an investment of approximately INR 125 crores. And I'm pleased to share that the progress is progressing as per schedule and with commissioning targeted during the first half of this fiscal year. Historically, this has been a high demand port benefiting from its important location and strong customer franchise. And based on customer interest in existing demand trends, we are confident that this new capacity will ramp up utilization quickly once it becomes operational. Just to remind people, currently, Mumbai port capacities comprise 334,000 cubic meters of liquid storage capacity and 21,000 metric tons of static LPG storage capacity. As far as JNPA port is concerned, for the benefit of everybody, JNPA in Maharashtra has emerged as India's highest revenue-generating major port in FY '26. At JNPA, the current liquid storage stands at 101,900 cubic meters, and we are executing a major -- we're executing a major expansion of approximately 318,100 cubic meters of additional liquid storage, 77,236 metric tons of LPG capacity and an LPG bottling plant with 35,000 metric tons of annual capacity with a total capital outlay of roughly INR 1,675 crores. The first phase of this liquid storage expansion of approximately 100,000 cubic meters is expected to be commissioned in Q3 of FY '27 and will start contributing as soon as the capacity becomes operational. As we had mentioned during the last quarter, we were evaluating the addition of new storage -- LPG storage capacity to this port to further strengthen our infrastructure, and I'm pleased to share that the Board of Directors in its recent meeting has approved the development of a 52,000 metric ton refrigerated double-walled steel LPG tank at JNPT. And this expansion represents a significant strategic investment and will further enhance our gas handling capabilities on the West Coast. And the CapEx reinforces our commitment to building world-class infrastructure and deepening our presence at the port and further consolidate our position as the leading logistics player in India. As far as Haldia is concerned, you know that we operate an approximately 25,000 metric ton LPG terminal at Haldia. Importantly, this asset is backed by an exclusive terminaling agreement with HPCL extending through 2038, which provides long -- a strong long-term revenue visibility from this asset. And in addition to this infrastructure -- LPG infrastructure, we also operate 226,890 cubic meters of liquid capacity, storage capacity at Haldia. And looking ahead, we continue to see growth opportunities at this location. And in that context, we have acquired a further 3 acres of land, which provides us with the opportunity to expand our liquid business there. As far as Kandla is concerned, this remains our largest and strategically most important of the port terminals for Aegis. It serves a vast hinterland across Northern and Western India, where we have 952,000 cubic meters of liquid storage and 48,000 metric tons of static LPG capacity. And during last year, this port also became VLGC compliant, and that's a very important step. The construction of the CRL 4 liquid terminal, which will add an additional 94,148 cubic meters of storage is progressing well with commissioning targeted for next year. We have signed a nonbinding memorandum of understanding with Larsen & Toubro for potential joint development of ammonia terminals, which positions us well in the energy transition opportunity at [indiscernible]. Let me provide you with an update on 2 important pipeline developments that we believe will be key drivers of volume growth at our Kandla and Pipavav terminals going forward. I'm happy to share that the -- finally, the Jamnagar-Loni pipeline, LPG pipeline is now complete and operational. In addition, the Kandla-Gorpur LPG pipeline is progressing well, and we expect this to be connected during the first half of this fiscal year. These pipeline connections will enhance evacuation infrastructure and will enable faster turnaround, better capacity utilization and support the handling of higher volumes at both Kandla and Pipavav. At Pipavav, in fact, we have commissioned, as you know, a 48,000 metric ton LPG terminal in June last year or June of 2025, taking the total LPG capacity to 70,800 metric tons and the ramp-up is progressing well. This year, is expected to be a transformational year for our Pipavav terminal with several important infrastructure improvements that will significantly strengthen the evacuation ecosystem, which is a critical enabler for handling higher volumes and improving overall terminal efficiency. There are 3 key developments that are worth noting. First is the jetty. APN Terminals, which manages the port is developing a VLGC-compliant liquids jetty, which is expected to be completed during the year, and this will enhance vessel handling capabilities and support larger cargo movements in the port. Secondly, the rail gantry, we are developing an additional liquid rail gantry and have already secured a 15-year take-or-pay agreement with a leading conglomerate for petroleum products. The committed volumes under this agreement exceed 0.5 million metric tons per annum with operations expected to commence by the end of the year. Thirdly, the pipeline connectivity at the Kandla,Gorakpur pipeline, as I mentioned, is now expected during this year. And once operational, it will definitely enable more efficient evacuation and distribution of LPG from this terminal, enhancing our throughput. So with these developments, Pipavav is evolving into another highly integrated logistics platform, comprising VLGC handling, liquid and LPG storage, bottling plant, LPG rail loading facilities, 16 truckloading days and pipeline connectivity into Central India. And this is really going to materially improve the operational efficiency for the port and strengthen its competitive positioning for Aegis Logistics. An update on the ammonia terminal, which was under development at Pipavav Port. I'm really pleased to announce the commissioning of our specialized ammonia storage and terminaling facility at Pipavav Port with a static storage capacity of 36,000 metric tons. This marks a significant milestone in our infrastructure expansion journey. This state-of-the-art terminal strengthens our position in the specialized chemicals and gas logistics sector, enhances India's ammonia handling capabilities and provides critical infrastructure to support the growing demand from the fertilizer, industrial and emerging clean energy value chains. The successful commissioning underscores our commitment to developing world-class logistics assets and creates a robust platform for future growth in ammonia and related energy transition opportunities. In this context, we have signed a 15-year take-or-pay agreement with Hindustan Zinc to service its upcoming DAP, that's die ammonium phosphate plant for part of capacity, providing long-term revenue visibility and a strong foundation for the asset from day 1. However, what excites us most about this opportunity is that the ammonia terminal is not just a storage asset. Much like our LPG business, it creates an opportunity for us to participate in the distribution of ammonia to industrial customers, enabling us to move further along the value chain and capture margins that are significantly higher than traditional storage revenues. We believe this project has the potential to create a new growth platform for the company, leveraging our expertise in sourcing, logistics and distribution while expanding our presence into an adjacent and strategically important product segment. And the attractiveness of this opportunity is also reflected in the confidence shown by our strategic partner, ITOCHU Corporation, which has acquired a 10% stake in Aegis Terminal Pipaver Limited. And ITOCHU has -- representatives have joined the Board with a long-term -- have come on board, sorry, with a long-term strategic vision and has -- they have expressed their intention to increase their stake over to 25% over the next 3 years. And this partnership brings together the strengths of a leading global trading house, Japanese trading house and our integrated infrastructure platform, further validating the long-term potential of this Pipavav asset and the opportunities that lie ahead. If I turn to Kochi Port next, the Kochi terminal, where we operate 82,545 cubic meters of liquid storage. As I mentioned during our previous call, we were evaluating the development of additional storage capacity on newly allotted land at this port. And I'm pleased to share that the Board has now approved this expansion and the construction of an additional 49,577 cubic meters of storage capacity at this site. And this new capacity is expected to be commissioned by early in the next financial year. And we will -- then upon completion, our total capacity at Kochi will increase to 132,122 cubic meters. At Mangalore Port, we've commissioned an 82,000 metric ton LPG terminal last year in June of 2025. We are developing there an LPG rail loading gantry and bottling plant infrastructure with an investment of INR 52.5 crores. This -- and furthermore, we are -- the 75,000 cubic meters of liquid capacity that was added last year is now fully operational with full utilization, bringing the total liquid storage to 193 cubic meters of capacity. And I'm pleased to say that we are -- we have secured additional land and are evaluating a further addition of 60,000 cubic meters of liquids here as well. As far as New ports are concerned, you're aware that we have signed a nonbinding memorandum of understanding to participate in the development of [indiscernible] port with a potential investment of approximately INR 20,000 crores, subject to the necessary approvals, land allocation and other regulatory clearances. And this opportunity aligns well with our long-term vision of building large-scale world-class infrastructure assets across India's energy and logistics value chain. And if taken forward, the project would enable us to develop really modern liquid and gas handling facilities and significantly expand our infrastructure platform and presence on the West Coast. So in my closing remarks, I would say that over the last 5 years, we have delivered a strong and consistent growth trajectory with earnings per share compounding at over 30% annually while maintaining a healthy and consistent dividend track record. This reflects not only the quality of our asset base, but also our disciplined approach to capital allocation and execution. Overall, then at the company level, the strong start to FY '27 and our performance in the first quarter reinforce our confidence in the growth trajectory of the business over the coming years. And we continue to see multiple growth drivers taking shape. The investments we have made over the years, coupled with the capacity expansions currently underway, really position us well to capitalize on the increasing demand and deliver sustainable growth. We remain confident in our growth trajectory and committed to creating long-term value for all our stakeholders. So that concludes my remarks. I'd now like to hand over to Mr. Murad Moledina, our CFO, who will take you through the financial performance for the quarter in greater detail. Thanks, Murad.

Thank you very much. As Mr. Raj highlighted earlier, we began FY '27 on a very strong footing, delivering record financial performance across all key metrics. Revenue from operations for the quarter stood at INR 2,357 crores, registering a healthy 37% year-on-year growth. Our operating performance was even stronger with normalized EBITDA increasing 184% year-on-year to INR 727 crores, reflecting the benefits of higher volumes and better margins. Profit after tax for the quarter grew by 212% to INR 545 crores compared to INR 175 crores in the corresponding quarter of the previous year. As a result, earnings per share increased to INR 13.80 as against INR 3.74 in Q1 of FY '26, underscoring the significant improvement in profitability and value creation for our shareholders. Let me give you a segment-wise breakup of the performance. The LPG segment reported EBITDA of INR 591 crores, representing an exceptional 296% year-on-year growth compared to Q1 FY '26. On a sequential basis as well, EBITDA grew by a healthy 8% despite already strong performance in the previous quarter. Let me briefly touch upon the volumes across the segment. Our distribution business achieved a record volume of 2.77 lakh metric tons, registering a 91% increase over Q1 FY '26 and a 19% growth compared to FY Q4 FY '26. This strong performance was driven by robust demand and continued customer additions across the market. Logistics business throughput volumes remained resilient at 1.124 million metric tons despite holding stability despite the geopolitical challenges and disruptions arising from the global war uncertainties. This demonstrates the strength of our infrastructure platform and the reliability of our operations. Meanwhile, our sourcing business continued to maintain stable performance with volumes increasing marginally year-on-year to 1.21 lakh metric tons. Let's move on to Liquid division. Liquid division. Turning to the Liquid segment. We delivered another quarter of strong and consistent growth. Revenue for Q1 FY '27 stood at INR 178 crores, representing a 24% year-on-year increase. The segment reported an EBITDA of INR 136 crores, up 28% compared to the corresponding quarter last year. As I have consistently emphasized our earlier interactions, I would like to reiterate that cumulative CapEx is to reach approximately INR 1.2 billion in this fiscal year, reflecting the pace of expansion across our port network. Looking further ahead, we have identified a CapEx pipeline of approximately INR 5 billion through the financial year 2030-'31. Investments are aligned with both infrastructure and emerging energy transition value chains. We'll pursue this growth with disciplined funding through balanced mix of equity, internal accruals and debt, targeting a gearing ratio of approximately 0.6. Low leverage, strong cash generation and a resilient fortress balance sheet gives us the financial flexibility to move quickly on opportunities. Thank you. I will now request the moderator to open the floor for the question-and-answer session.

[Operator Instructions] First question is from the line of Vibhav Zutshi from JPMorgan.

[indiscernible] segment. You mentioned multiple customer signings. So product question, is the volume growth surpassing your own expectations? And obviously, there is some disruption due to the war. But do you think that these volumes are sticky, these customer contracts are sticky? And how do you see growth now from the 280 kt levels that we saw in this quarter?

Yes, Vaibhav. So what I can tell you is that we have always had aim to reach 2 million tonnes in distribution in coming times ahead. And that's not because of the war, but because of the infrastructure layout that we are executing in LPG business. Last year, we commissioned 2 very big cryogenic terminals, Pipavav, 48,000 metric tons, 82,000 metric tons, Mangalore, which gives us the flexibility and the allege to undertake distribution business in addition to catering to our customers, handling the product of our customers. So it's like if you have allege and more locations, your distribution geography increases, new customers come on because there is a product which you can make available for the industry. Of course, it helped that this geopolitics made things more difficult, and we were poised with our partnership and the whole presence in the entire chain, vertically integrated from sourcing, shipping, terminals and the distribution network, we were able to reach products when times were really, really difficult for the industry. This -- I'm sure the fact that we have increased our presence in geography and the fact that we have delivered when it mattered the most to the industries and the fact that there will be an increase in the usage with industry year-on-year, I think all the 3 facts: increase in demand, delivering when it mattered and allege and infrastructure layout that we are consistently doing across the geography of India, I think, will always take us ahead in this distribution business doing and growing healthy volumes year-on-year. And now the fact that we have also commissioned our ammonia terminal add to the gas business by one more product, which we can now handle as we now have the infrastructure to support this distribution business. So we are very, very excited and positive about this business.

Got it. Great to know. Just a follow-up here. So is it fair to say that profitability in terms of EBITDA per tonne kind of peaked in this quarter? But just a commentary where even you talked about Pipavav will become VLGC compliant this year. So I mean, going forward, there should be considerable freight cost savings as well. So I mean, you talked about INR 6,000 to INR 7,000 being a comfortable level. But how do you think about profitability, say, from a near-term basis and medium term structurally?

I think the INR 4,000 margin, which we were earning till '24, '25 is history. We have already said that the blended margins, please do not look at it quarter-to-quarter. It has to be looked as a year as a whole blended rate. And we believe the margin of INR 7,000 looks sustainable. Of course, in '25, '26, it was driven and we have achieved probably on account of the geopolitics and the uncertainty and the difficulty that has come in this business because we are vertically integrated and we are in the entire value chain, we have been able to deliver this kind of margin, up from INR 4,000, which in the past was a standard margin in distribution business. But going forward, from '27, '28 because of the volume ramp-ups, because of what we have just said, VLGC Jetty, multimodal evacuation and the all that we are creating along will enable us to get procurement efficiencies, which I personally believe that will lead to a more stable margin around 7,000 plus that we have delivered in '25, '26 and expected to deliver with the kind of performance that we have done in Q1 looks almost a certainty for '26, '27. So yes, I think we should now look at distribution margin to be in the range of 7,000 plus going forward.

Got it. And second question is on the Logistics segment. I mean, just related to the KGPL pipeline that you were talking about. So how should we think about throughput enhancement in basic terms, right? Like if your throughput is say 70 to 80 tons, how much faster can the evacuation happen in terms of turns or, say, volume guidance, I mean, which give a better sense on your utilization potential?

So, what we do is we put up the enablers, okay? So we do the pipeline hookup. We try and try multimodal evacuation by filling up lorries, filling up rail wagons, trying to hook up in cross-country pipeline, trying for VLGC compliant jetties. We do multiple things, and these are enablers. But mind you, logistics businesses that you store for others. The customers are -- yes, the distribution division is a customer, but then there are other customers who have to then use it. We believe that year-on-year, we would always clock a worst-case scenario growth in the logistics volume of around 25%. But if these enablers are delivering on account of customers using these enablers, there would probably be a step-up kind of a growth you will see when customers start using these enablers, assuming that normalcy comes up and the geopolitics situation normalizes. I believe it's very exciting for us. I don't know -- I can't tell you for sure that this is what we will achieve, but the enablers are what we can put in place. which will deliver step-up growth. Step-up growth, which is more than the normal 25%, which we always push hard to achieve year in, year out.

The next question is from the line of Desai from Dalal & B.

Sir, if you could just give us the full year FY '26 because it has been changing quite a bit. The per unit margins for sourcing, logistics and distribution business I understand you just mentioned that the distribution business is currently at INR 7,000-odd, Hence, wanted to have a comparison on a last year basis. And also in case of the liquid business, how much would be the per unit EBITDA margins? And then I'll follow up with the question.

Yes. So liquid is very simple. You divide the EBITDA by the capacity that we have, 2 million, you will get the per CBM EBITDA margin as far as liquid is concerned, right? If you come to LPG EBITDA, it's very standard that the throughput or the logistics volumes that we do delivers close to INR 1,000 EBITDA. And then what is left, you divide by the distribution margin, leave out sourcing, sourcing hardly matters as far as EBITDA is concerned. It is a very low contributor. So then you will get the EBITDA margin for distribution business.

So sourcing, I believe we used to mention about 85 to 90 sort of a number. Is that fine to work with?

Yes, yes, still fine. Yes, you can do that.

Okay. And sir, this -- you were mentioning this current distribution margin of INR 7,000-odd is sustainable. Sir, this quarter per se was no doubt, even in the last quarter, you had mentioned around INR 5,000, if I'm not wrong. That was sort of an abbreviation because on account of the geopolitical situation. But still going ahead with the INR 7,000 number, what gives you the confidence on the short- to medium-term period for this, sir?

Yes, we have not delivered INR 5,000 margin in Q4 and Q1. It is 3x than what you have just stated. So what we say is when you look at the whole year, it gets blended and then you look at INR 7,000. So we feel because we have delivered much more in Q1 as we had delivered in Q4 of last year, the blended margin will definitely be around INR 7,000 plus. I'm not saying INR 7,000, I'm saying INR 7,000 plus. So let's see how we end the year. And we believe that this INR 7,000, which is an upgrade from INR 4,000, which we were doing up to '24, '25 is likely to sustain and sustain in the years ahead because of the volume growth that is happening in distribution business and that volume growth brings procurement efficiencies by way of shipping, by way of how -- at what rate you procure. Therefore, we believe that the uncertainty and the difficulty margin that we had achieved in Q4 and Q1 in '27, '28 will get substituted by the procurement efficiency profits that we will be able to get on account of the volume ramp-up that has happened in the 24-month period from '24, '25 to '26, '27.

Okay. Good to hear that, sir. And sir, this year, the overall volume, you did mention about 25% CAGR growth. Do we -- what kind of an upside do we see to that number? Or is that an upward gap? Or how do we see that number?

If you're talking of volume, we have already said 25% is the benchmark we always try to push and achieve. Anything above is a step-up on account of the enablers that we are making -- enablers that we are putting in place. So let's see how much those enablers help us achieve step-up growth over and above the 25%, which we always strive for. And we have said that as far as EPS is also concerned, in spite of the larger base, we have already grown from INR 6 EPS to INR 26 EPS. Even from this larger INR 26 EPS, we expect to continue our CAGR growth, which we have delivered last 10 years, 25% plus. So yes, we remain positive on that account. and we like to perform and deliver this year in every year in coming times.

The next question is from the line of Vinit Jain from Citi Capital.

Sir, my first question is on the ammonia distribution. When do you start the distribution for ammonia? And what will be your EBITDA per tonne on that? And also, what are the means of delivering ammonia, sir?

Immediate. We commission, we start -- so it might be weeks, maybe a month. I mean week and we would start a distribution. Distribution of ammonia will happen by industrial distribution. We don't pack it in cylinders nor do we put up gas stations for that. So it will only be industrial distribution to begin with. And we expect to start soonest. Margins are likely to start with -- in the range of -- I don't think I should be saying anything on that. Let's start off and then we will start saying that what are the margins that we are delivering when we get into it. So I think wait for a quarter, and you will see some action on that, absolutely.

Okay, sir. Great. Sir, on distribution, staying on distribution, has Morbi restarted with LPG distribution or still not...

We keep delivering to Morbi wherever we bring value for them. But Morbi is not be all and all for ages. The market is much bigger. The geography is the whole of India. We have been delivering all over the place now. So I think it's now life beyond Morbi, I think let's get on with life. Let's not just keep talking about Morbi all the time.

So it -- my reason for asking it was a very large market, and it was closed completely in between. So...

It has started, but they also will work on what is -- what energy they can get at the cheapest rate. They are doing great work. They are fighting competition world over. They have to deliver value, right? So whenever, whenever we deliver value, they buy from us or our counterparts, whether it is national oil companies or other LPG players. And whenever it gives value where they can work with natural gas, they do so. So I think energy market is big. It's all over. And there is place for, I think, everything and everyone. So we do -- we focus on our customers. We focus on the value we deliver to our customers. And we are very, very positive on this business.

Okay. Sir -- my next question was on the EBITDA per tonne, which you said is very large, much, much higher than INR 7,000. I understand which figure you're talking about. But as we get to settle delays, maybe 3 months down or 6 months down, we never know when we run what stops. Do you think INR 7,000 is the -- you said that you take the average for the year, but what will be the normal EBITDA? Just to have an understanding, we are targeting 2 million tonnes as a volume, but to understand the normal EBITDA. We understand all the things happening there.

Yes. So I've already said earlier that till '24, '25, it was a very standard kind of INR 4,000 EBITDA margin business. But now after 24 months, in this 24 months, the uncertainty margin has come in, right, which has taken up the blended rate to blended rate for the year to INR 7,000. We expect this INR 7,000 not to come down to INR 4,000 again when everything is normalized, say, in '27, '28 onwards. We expect that this INR 4,000 will be topped up by the procurement efficiency gain or margin additional that we will have on account of better shipping cost because the volumes have increased. So instead of getting it on a medium gas carrier, which has probably a freight of $50, we would get it on a very large gas carrier, which has a freight of, let's say, $15. So this $35 odd, I mean, I'm just quoting approximate numbers, please don't take me on that. But then that gives you that top-up of another INR 3,000. And therefore, the INR 7,000 margin, we believe will in the next year also sustain riding on the back of increased volumes that we have achieved by more geography, more customers, more terminals that we have commissioned doing distribution from all over the place, from all of our facilities.

Will you be able to give the distribution, how much do you supply to industrial and how much -- what percentage you supply to HoReCa?

We don't do that. We give logistics volumes and then we give sourcing volume and then distribution volume all put together.

Sir, one last question. You said the nation -- India at the national level still has a deficit of 15% to 20% to pre-war levels in terms of LPG. So what stops us from -- because our throughput is much higher than what we are doing. So what stops from filling up more or the tanks more because you have ITOCHU as a partner who can do wonders. So what stops you from doing more?

We don't want to be driven by greed. We don't want to become traders. We can fill up the tanks and try and sell them, but it's an industry which is very volatile. We can't take positions where if you are left footed, then you end up really taking a big fall. So we are distributors. We do it month-on-month. We are not inventory -- these are not inventory gains on which we are riding. We are doing hard core distribution every month. So the cargoes don't come 6 months in advance in our store just because we have all and then try to take price advantage, which you never know may or may not happen. So again, repeating, we are not the global traders like Trafigura or a Glencore or Vitol. We are not -- we are distributors. We get material where we see demand and then we distribute it or reach out to those customers. It's not taking positions either on inventory or on price or anything else.