Aimtron Electronics Limited (AIMTRON) Earnings Call Transcript & Summary

Ladies and gentlemen, on behalf of Kaptify Consulting Investor Relations team, I welcome you all to the H1 FY '26 Post Earnings Conference Call of Aimtron Electronics Limited. Today on the call from the management team we have with us, Mr. Mukesh Vasani, Chairman and Promoter; Mr. Nirmal Vasani, Senior Technology Director and Promoter; Mr. Sneh Shah, Whole Time Director. As a disclaimer, I would like to inform all of you that this call may contain forward-looking statements, which may involve risks and uncertainties. Also, a reminder that this call is being recorded. I would now request the management to brief us about the business performance highlights for the period ended September 2025, the growth plan and vision for the coming year, post which we will open the floor for Q&A. Over to the management team.

Thank you, Vinay ji. Good morning. Hello, everyone. Thank you for joining today. It is my pleasure to welcome all of you, our investors, our business partners and well wishers who continue to support this exciting Aimtron journey. We'll look back when I started in 2011, I had 1 simple dream, to build a company that stands and 3T for technology, for trust and T for work. We began small, as you all know, but with a big belief that Indian talent with American quality standards and Indian soil can create world-class manufacturing and that is the differentiator for Aimtron. Today, Aimtron is 1 of the India's fastest-growing STM company, providing design, manufacturing, and complete EMS with system integration. I'm just repeating that word, with system integration, across India and throughout the globe. As we move forward into the next phase of growth, what we proudly call Aimtron 2.0, I would like to welcome our Senior Technology Director, Nirmal Vasani, to walk you through our performance and in action. Nirmal?

Thank you. Aimtron 2.0 is about transformation, building a future-ready company that connects design, data and manufacturing into 1 powerful ecosystem. For the first half of Aimtron delivered some record results. Our revenue is up 12%. Our EBITDA and PAT are equally record-breaking and we've maintained strong profitability supported by a very strong product mix, better cost controls and more efficient operations. Our order book as of the end of September stands at a record-breaking INR 4,635 million, which is about 3x our fiscal year 2025 revenue. And this is a clear sign of strong customer trust and long-term visibility. Some of the major deals that we've signed today speak to this, it reflects the growing trust in Aimtron's capabilities. On one hand, we have a INR 975 million ODM contract with leading U.S. infrastructure firm. We have a domestic AI IoT box build order for 50,000 units worth over $460 million, as well as a strategic order from a Navaratna PSU in the communications domain. I also want to share some other exciting opportunities that we have on the horizon. We've received a tooling and prototype manufacturing order from an existing Texas-based drone military customer. This project supports the naval as well as ground-based troop applications and marks Aimtron's next major step into high-precision design and prototyping for the defense industry. We've started construction on a new 3-acre greenfield facility, which will include 6 state-of-the-art SMT lines as well as a dedicated ODM research and defense zone helping us build smarter, faster and greener manufacturing for the future. Thank you. Would you like to proceed with the presentation?

Thank you, Nirmal. I think Nirmal's Aimtron 2.0 is more than growth. It is a new way of thinking. We are building man on 3 strong pillars, like 3 Is: I for innovation, creating a new design and manufacturing solution in AI, IoT, EV, defense and aerospace, you name it, we have it. For integration, bringing together India Global operations under 1 system. And as you know, we are globally in the U.S. and India and maybe future, you might have a question about M&A. So in that scenario, bringing together India and global operation under 1 system, 1 culture that is integration is also a very important pillar at Aimtron. And third one, is impact, building technology that is not the only mix business success or not to make the business sense, but also support society through jobs, learning and sustainability a full ecosystem. That's what we are also trying to accomplish on these 3 I. We just announced our big milestone, AS9100, I think you've already seen the message under in exchange, which opens now new door to global aerospace and defense customers. We just connected through a couple of prospects Airbus A350 programs. So there is so many opportunities -- again, the horizon is open up. I think in execution, Nirmal, you want to add a minute, I would like to request, again, you can see if you can source the outlook.

As we move forward, our execution is evolving entirely. We're focusing on converting the strong order pipeline that we have today into consistent high-margin growth. We're strengthening automation, digital systems and people capabilities. Our goal for the next 3 years is to create a platform of an even higher revenue scale while maintaining the same Aimtron culture of humility, teamwork and performance. Thank you.

At the closing, Vinay ji, thank you for attending this call. And to all our investors and networking business partners. Thank you for believing in Aimtron and walking this back together. Aimtron is growing fast, but we are growing with purpose to lab company growing fast in a lot of companies grow, but our goal is to grow with purpose. We are not only building product. We are building the possibilities and that's about Aimtron. Aimtron is our bridge to the future, a future where innovation and impacting together. Thank you. And before your questions, I would like to request our Director, Mr. Sneh Shah, to share the PPD very quickly, and then we can go on question-and-answer. Once again, thank you so much for cemtifying and our investor and our friends. Thank you.

Thanks, Mukesh and Nirmal for the trajectory on what exactly we are eying on man. Coming to the presentation. So probably, like we'll go in that and a quick glimpse of it. So we'll go with the company overview first, followed by business profile and way forward. And then we'll just see the business or financial highlights. So as you know, like as Aimtron like we are into SDM that is electronic system design in manufacturing, where we focus on concept to creation kind of an aggregation as a one-stop solution. We started 2011 in Gujarat, Vadodara and down the line like we have now presence in Bangalore and U.S. that is in Texas. And as of now, we have like 5 asset lines, 4 in Gujarat Vadodara and 1 in Bangalore. So the current diversification that we have, so there are myriad of sectors that we are already serving, for instance, automotive or specific to BMS or somewhat of that kind and then power or outroboutics. And industrial are a couple of major contributors this year as well as the coming down the line. You already met both the promoters, Mukesh and who is the Founder, part of the Aimtron Group and Nirmal coming up with Aimtron 2.0. And if we come with the progression of our time lines were, so 2014, we inaugurated like our Baroda facility that was indicated by [indiscernible] he was the Karnataka Governor. And then 2018, we crossed INR 20 crores. And like 2021, 2022, we started the post-COVID facility in Bangalore. And that facility also was integrated by [indiscernible]. IT administered at that pace of time. And then with the time like we thought of to enter more into an ODM model, so we started our design house both in Gujarat, Vadodara and Ahmedabad. So that has like a capability for one-stop solution for hardware design, mechanical design and a complete R&D kind of an opportunity or a facility. And then down the line, we had a couple of certifications like with global standards, and we got listed under NSE. From that, our journey got shifted completely the trajectory has changed. On what exactly we do? Like, as we stated, like, initially, we help the customers to provide anyone comes with a concept, we help them to design the complete product or the complete opportunity from concept to creation. So that includes like hardware design, like we have like Altium licenses for our hardware designs like PCB, Gorbalaout and all that activities. Then we do have SOLIDWORKS for mechanical design. And a couple of other softwares like ViO for PC assembly when it comes to DFM. So once design gets ready, we need to review the design and more of a technical front that we do DFM and then we take that opportunity for prototype first. Once prototypes are approved, it goes to the pilot batch and then it comes to the mass production. So PCB assembly, it's an heart of it. And then we like have started aggressively for complete box builder system integration. So that includes like plastic, sheet metal, die casting. Cable assembly, we started in-house post like our IPO journey. So -- and now we are providing complete one-stop solution even to that level that we can ship to the end customer directly as a part of drop shipment. Moving in a complete product as a finish product, finished good including packaging and all, and we can ship to their end customer directly. So again, this is in depth on what exactly a vertically integrated one-stop solution. So once design and new product development comes into the picture, posted PCB assembly, then comes heat metal magnetics. So all these probably sheet metal, plastics and other mechanical parts, we are outsourcing. But then the new greenfield project that we are eyeing at, we are eyeing that how can we do it in-house. And how can we like remove the -- or how can we self-reliance on that front to, along with the PCB assembly that we are doing it in-house. And then focusing down the line more on a more bigger box build project like size of a cabinet or ATM size projects or casino short mucins kind of a project, that is what down the line the goal would be. And ODM, that's an important zone now because everyone on EMS has a $500 million journey by 2030, similarly, this particular segment of ODM, if you see post COVID to what 1 country plus 1 strategy is going around. So globally, like by 2024, the size of that ODM model is around $1.2 trillion. And that is now getting shifted to almost $2 trillion plus by 2030. And that is what the projections numbers are. And so now we have started focusing more on this ODM model kind of projects where we provide complete capabilities and focusing more on concept. So till date, like last decade of Aimtron, if I say, whatever design projects were there, that was like initially used to engage in production or manufacturing projects. Through that, we used to get design projects. Now we are trying to reverse the story where we can get a design project first and then through that tailwind, we can get the manufacturing projects. So in that scale, like with high precision assembly and complete solutions by like market ready packaging, labeling and complete quality assurance kind of in product, so fit to market, we are just seeing so that any customer, like just an example in China or any other part of the world where ODM still and proactively more for like any -- like global developed economy. So if anyone wants a product, they will just keep 10 products in front of you for same product line. You just brand it, name it, and then they will sell it with their brand name. So there are design houses in India who have this IPs ready, but they don't know where to sell, how to sell. So we are just trying to breeze that gap as a complete ecosystem where we can own that IP, and we can just see to it how can we deliver that to customer because today no 1 is ready to wait for design, say, like 1 year, 12 months because any design project, you go, it's going to take like years, like a year or 2 years of time frame. But in today's past centric world, no 1 is ready on that front. So we can just expedite that with minor changes here and that with base reference, and we can see how can we transform that. So that's part of product engineering service, like whatever hardware, embedded systems and power electronics and a couple of other stuff that we do with multilayer PCB design and with like software, like LTM or solid Works. These are like global standards, like, for example, 13485 specific for Mattel that is for made in India local for local. And 16949, that's an International Automotive Taskforce Certification. So that is also complied now. And we have CSat is for Canadian standard Association, that is Canada and South America market opportunity gets opened up. And that even considering all the factors, we recently covered ES100 as well, that is for aviation and defense industries. All these sectors with keeping in mind, environmental management system. So we have ISO 4000 as well. So like 0 carbon credits, conflict mineral policies and all. So we just try to say that we almost 10 to 0 as of now, and just try to see on how can we maintain environmental management as well. So this is in depth of what we have in terms of machineries. Will not go in that like everyone knows that more or less -- so in line we have in line automated X-ray machines, and it's more of a state-of-the-art facility where like complete -- without any human intervention, the complete PCs can be manufactured in SMT.

I'd like to add 1 line here. Machine can be bought by 50,000 from China and 500,000 from Japan. So -- but we have the top of the line machines. That's what I would like to highlight here because we like that quality standards.

And the new like AI integration, the IT integration that we are doing it. So even if I reflect on this, probably we have like MES system. -- and it's a complete people's documentation system and process. So even sitting anywhere on any part of the world, we can just say to it, what is going around in the manufacturing shop floor, which -- what is going to be the next product line item that is going to be on the line and much more complete collaborative systems that starts from RFP to final shipment, everything that's counter through that system itself. So these are just the product line that we are doing it as of now for specific to automotive, like we do onboard chargers, climate systems. Climate systems get exported to European markets. Industrial and gaming. Industrial, it's a major contributor. So more of like industrial pump controller units or HVAC kind of PCBS for that. Defense and Aerospace, a bit on a lower end as of now, we already started. So recently, there was an emergency procurement from Government of India. So a couple of our customers were part of it. When they received the orders, we were passed on that PCB orders, a couple of them in drone industry are a leading drone manufacturer of India, we are the 1 who provides them the PCBA solutions. And down the line we may even start box bill SMEs as well for them. And then a couple of military communication systems-related PCBAs for Navaratna PSUs in Bangalore and a couple of -- like southern part of India. Anyhow, like telecom has been a significant rollover now. So we are doing our network switches and more of a security networking kind of activities. MedTech volume would be less, but then they are high margin kind of a business. So smartwatch variables specific to like medtech critical equipments like x-ray or like ventilators, so PCBs for that. The rental variables where like we see that stores coming up and all the PCBs. So that's our flex PCB, FlexPlus rigid PCB is a combination of all. And then aerospace and defense, that's a growing correction as of now. And so we have a strong new inquiries, as Nirmal stated. So we already got 1 momentum from Texas for specific to U.S., like drops and all that is going to be for Navy and U.S. troops. And India also, we are working aggressively probably down the line, we may have some strong like announcement on that front that we are meeting a couple of projects to PSUs in India. Again, that's kind of an ODM model, where we will support them from design and from design, we'll take it up to the complete production level. We forward like strategies, more focusing on ODM model and the complete system integration. Our geographical expansion is in place, like post IP also, we started one sales of remote sales office in Germany. And then 1 office in Texas, U.S. under Aimtron Electronics, India directly. And then we also have done implementation of Lean and Six Sigma and a couple of other programs to increase the operational efficiency and enhance that. And as a part of my word integration, we already started cable assembly in-house and then as a part of forward integration and expansion, we already have announced a new greenfield project that is going to be coming up down the line. Post IPO, I believe like we have gone for a much more trajectory to what we have been eyeing at. We have seen committed 40%, 50% CAGR growth, but we have been surpassing there quarter-on-quarter or half year to half year and year-on-year, both last year as well as this year. And post IPO, probably we have reflected 3 results and all 3 are evidence of it. And if you see like a major contribution that was part of the new ODM model project that we won, that is like almost INR 100 crores kind of an infrastructure, U.S. led form. And it's an almost $8 billion company. And we are now targeting such kind of Tier 1 prospects or Tier 1 pipelines are already in place, where even they are floated now bigger RFQ than the current one. And we are trying to see on how can we encounter that kind of opportunities down the line. And PSUs, like already started activities on that front. So last quarter, probably last 6 months or last 6 to 9 months, we are just trying to see on how can we take entry to that kind of players. So registration, certifications and audits and all that were in process. And probably down the line fruits are going to be there in that part of bookstore. Strategic expansion, as we stated, like greenfield projects that will have down the line 6 assembly lines, again, not immediately, but down the line. And the new lines that we like had last year. It's an AI inspection capabilities, and we can see the reflection in our current results that with almost minimal manpower or with negligible increase in expenses, we can increase our output to 2x, 3x, 4x kind of an activity. And then post like a global footprint like we started a greenfield project. Until today, we are still debt-free as on 30th September. And all the certifications now well in place, where to enter into the new segments, new markets, emerging sectors. And past 1 year, we entered a couple of new sectors. One was AI, 1 was IoT. We even entered this year, green energy, that's upcoming because 0 carbon credits and all that is something people are eyeing at a sustainable growth for like in terms of renewable energies. And now we are eyeing at Aerospace and Defense also is 1 of the sectors down the line. So key financials, probably, I think, as everyone is aware, like we had an 112% year-on-year growth, and net profit also increased by almost 81% year-on-year. This is just a revenue breakdown on how exactly the bifurcation was on what exactly the contribution was. So box billing first half of the year was almost 35%. And down the line, that would increase to more than 50% in second half of the year. Still as a part of to what everyone had in question during the tariff situation, we worked proactively and we just try to balance the way out on how can we balance with India and export as a customer base. And so this time, almost like 60%, 65% was our domestic revenue with Global Client. And then down the line, around 35%, 40% was approximately an export market. Current open order book INR 463 crore, almost 3x the revenue of FY '25. So if we say to what like RFQs we were having, like when Located in last call. So we were having an open pipeline of around INR 700 crores to INR 800 crores RFQ. Probably this is just a glimpse of that reflection on how much got converted on that front and still couple of discussions are ongoing that may get reflected in second half of the year because typically, for a sales cycle takes place around 6 to 9 months and might be more as well. Because at ODM project, we talked about, it took us almost more than around 12 months of time to close on that project. So that is something like it takes time. So it's not going to be an overnight journey, but definitely, fruits will be on a positive side. I'm not going in depth on results as everyone would have seen that. So industry insights, like by 2030, everyone is expecting $500 billion, and that's even government is tailwind in this sector on how can we just see to it. And down the line, even AI contribution to like what target we are in a government of India. So the $1 trillion opportunity is something that we are eyeying on. And EMS is going to be 1 of the powerhouse with strong manufacturing design and export-related activities. So these are the key segments and emerging areas or emerging investment areas as of now. PLI ECMS scheme. We are also exploring on that front. We already explored like a couple of things on that. So once we have a right time, probably, we'll go with that discussion. But ECMS on component side, we already have started working on that front. I believe that's it from my. Yes, important stuff like we received 2 awards this time, 1 from Alsina for export contribution towards in SME segment and 1 was for related to business excellence on what exactly we are doing in ESG as a sector.

I think more likely today is Investors Day. So let them ask questions. Thank you taking up this presentation. So Vinay, we can open up for the question and answers, so for half an hour, and then we can conclude.

All those who wish to ask a question may kindly use the option of raise hand -- once we raise hand, we'll invite you to ask questions in case it's a problem at your end please put a message in the chin box, and we'll invite you to ask the question. We'll take the first question from. You can go ahead, please.

My question here is, what is the revenue expectation for H2.

We already have given the guidelines of 40%, 50% CAGR year-on-year. And probably, this time, we may surpass it. And in first half of the year, we have given the projections of around INR 250 crore plus, somewhere around 20 -- so we are in line with that number as on this financial year.

Okay. And the next 1 being, can we sustain the 25% EBITDA for the next 2 or 3 years, maybe.

We already have stated like in terms of EBITDA and PAT to what we focus is upcoming telling technologies and ODM kind of model. So EBITDA and Peter probably like 20% on an order side of it, probably we can expect that. And PAT also 15% plus or minus a couple of person here and there definitely is going to be a sustainable one.

Okay. And 1 final question being, what is the segment which is like contributing very highly to the margins for us like that segment continued.

I would not say like sectors, but I would say it's more of a product portfolio that we are on because, as I stated, like we focus more of an upcoming pending technologies, which is going to be just an example like, for example, telecom players as of now. Most of them are doing Wi-Fi 5 kind of an equipment. But today, to what equipment we are doing, that is WiFi 6 level and plus kind of an equipment. So we invested to testing side for power electronics. And in that, we have capabilities to test up to WiFi 7 kind of an equipment. So that is something that we are on. And down the line, if you see the current open order, there is a tailwind towards in box bill. So probably contribution of Boxbeis going to be on the high side down the line. That is going to help us for -- to maintain and sustain our like margins. Like structured profitability will be an alignment, I would say.

I request the participants to limit yourself 2 questions only since there are a lot of participants. And we'll take the next question from Milan go ahead, please. You are not audible.

[Technical Difficulty].

You can just post your question and chat. I will ask it on your behalf. Next, we'll take the next question from Mr. Eli Hill.

So we saw that the revenue growth has increased significantly. But on the PAT level, PAT margins, if you compare H1 of the last year. the PAT margins have quite gone down. So -- and I didn't notice the COGS has gone significantly up if we compare to the H1 of last year. So just wanted to understand the reason behind this, that this is the expansion plan that we executing are any other reasons associated with the increment in the port.

Thanks, for the question. So probably if you see when we are raging on scalability down the line, then it's going to be part of it. But if you see the major part of this was like because Box ville is getting contributed more -- so hotel date, it was more of a PCBA or PCB assembly. But then down the line, like if you see that, it's going to be more of in system integration. So that will include like cable assembly, plastic sheet metal, system integration or a complete box build. So that's the prime reason. And probably, that will help us to not only like increase the revenue, but also margin will be normalized. I don't think so like our such profitability will be in pain. So that is something that is still reasonable, like to what we are projecting as of now. And the greenfield project, probably to what you like are looking for. So -- next year is something that we are aging on somewhere around Q3 and/or Q4 is something we are raging at to get it into the operational mode. But if something gets on a positive note with a couple of things going around, we may be on a faster note. But as of now, like you can expect to be operational by somewhere around December or next year Q4.

So are we expecting expansion in the PAT margins in the coming second half of the year? But is it will be on the same levels?

I would say it would be more or less same like with the same sustainability that we are trying to because we already have stated like 15% with few percent changes here and there. So structured profitability will be in alignment.

Just to add 1 line to Sneh. Even though like situation never happened in the past like tariff situation, geopolitical situation, we mean Aimtron did a wonderful job to manage the -- and maneuver and make the right move to maintain the revenue and the Patmore. I think that's what really a good and beautiful thing about Aimtron. Continuous smart analysis, continuous thinking how we can make it, how we can turn it around, how we can be agile and that's where we did it. So I think maybe an interest in answer. Thank you, Ali.

Thank you. We'll take the next question from the line of Maan Kapanen go ahead, please.

Tim, thank you for the amazing set of results and the detailed walk-through of the presentation. Most of my questions have been answered. Just 1 left, which is on the NovaThin order that we have bagged recently. Just wanted to understand 3 things about it. First of all, is it related to aerospace or defense Secondly, is there any direction in terms of value or execution time line that you can give us? And thirdly, is this a major part of the order book that was shared earlier?

Sure. So I think good tale of questions, I would say. So if I would like to give a glimpse of first on how exactly our strategy is going to be for our defense program. Because if you see defense program have like much longer qualification cycles and they are lumpy nature with higher working capital needs. So we would rather grow sustainably, then change the near-term optics. So we have seen like a couple of peers who has been affecting on profitability. So currently to what we are working on is again in high-tech kind of an activity -- so you may see that order activity might not exceed like double-digit kind of an overall contribution, but the value of it would be much more higher than that. So recently, like to what rates we are working currently -- so that is more of a military communication kind of an activity, Radar and surveillance and all that kind of an equipment PCBs that we are working. So 1 -- just 1 example. So 1 PCBs just 32-layer -- and then on BG model that we put on top of it, that BGM model is around 32 lakhs. Just 1 module itself is 32 lakh kind of worknoan model. So that kind of PCB is something or that kind of an opportunity is something that we are ring -- and so we are consciously working on it, but not that aggressive in defense right now despite of opportunities. But yes, in case, again, like anything in global terms, definitely, we are eyeing on it. And working with a couple of global players on just set it on how can we go into that global -- like what we are doing. So something similar to that. yes.

And I would like to add 1 line bank. Defense is a buzz word. Honeywell does a tailwind and Honeywell does the black box for defense, I'm just talking about. So what Entra is focusing on the control box. So the size of the order is also matters, but also the PAT and gross margins also matters. So I think we are balancing that also because a lot of companies, they do different business, but still they don't make money. It happens too. So that was -- we are very careful on that.

Just to add that -- just another question that I had.

So I believe this was answered in the last con call, but I didn't get it fully. So I think in H2 of '26, we are going to have higher contribution from Box build, as was stated earlier in the presentation. So should we expect some sort of margin improvement either in terms of EBITDA margin or PAT margin on H2 versus H1? That would be do. But whatever right now, we are targeting 15% plus, minus 1 or 2 SP-8 Got it.

Thank you. We'll take the next question from the line of Deepa Pola.

Thank you much, sir, for this opportunity. So just wanted to understand, first, if you mentioned about a lot of P1 pipeline are already in place. So our current order book is INR 65 crores. So how should -- I mean what's the quantum of the pipeline we are looking at in terms of accretion to our order books. So can you throw some light on that, that would be very hard.

Sure. So if I just give you, like, as I stated in the presentation as well, so just to give you a glimpse of it, that INR 97.5 crores or INR 100 crores kind of an ODM project. So that's an EUR 8 billion revenue group or global leader in providing solutions for data centers and communication network, who is -- in India is a key market for outsourcing design like OEM projects. So we already have secured 1 project and down the line, they are even in at like you can say, 400 or 500 kind of an opportunity in the next 3 to 5 years. And then there are a couple of other companies like where like the initial phase of discussions are ongoing. So 1 is again related to a power sector who is a leading from India, again, a global player based in India, where audits are completed, and that also can be a scale of around INR 50 crores to INR 100 crores next couple of years of time frame. So such kind of players, we already have started activities and engagement -- but again, as I stated, for specific to sales cycle, it takes time. ODM project, it took us almost 15 months of time frame to get converted from like initial discussion to a final closure. -- because then you discuss initially then comes like when both leadership comes into the picture, engagement of them -- then post that, we just say to it like RF share, then comes to the audit phase post audit. Again, negotiation phase comes up. And then it comes to the proto batch once protos done, if in case designed and designed after that proto and then production beds comes into the picture. So if you see the complete cycle of it, then probably 12 to 15 months is something that we eye on for a closure.

And what would be the total quantum of this pipeline? I mean, overall and income that may get added to your order book over the next 6 months.

Same kind of a trajectory we have like to what it was there in first half of the year. So we are just trying to see on how can we more get into the conversion mode. So same kind of RFP pipeline, we still have in debt.

Any kind of year-end order book target we would have, I mean, compared to what INR 465 crores, we would have currently.

Sorry, if you can be louder, your voice was not on.

So I was just trying to understand any kind of order book target you would have at year-end FY '26 and by March 26, what sort of order book we want to maintain.

I think a good question. So based on that, you can even assume next year revenue. But next year, revenue, you can say again, 40%, 50% CAGR is something that we are going to eye on. So we'll remain with almost, you can say, like what we are projecting next year, we'll be helping you out later end of this year. But yes, we do have some targets internally on what should be the open book. And we'll give you more clarity towards the end of the year.

We'll take the next question from Ryan. Rehan, you can admit and got please. Yes, so there is some background noise from my side. So would you please check my chatbox if you could Okay. Like what was right?

So like you have answered a camera questions, so I have laid one. So sir, could you please share on more on the nature of recent AI ID order from the U.S. plant and metering lead to recurring ODM programs to follow or follow-on orders regarding side.

Okay. So both are different. So like AI, we already closed that order. We announced that last quarter -- last half of the year itself, that was $1.8 million kind of an order. And execution has already started on that front. And IoT, there are 2 major orders. One is from the U.S. client that has recently spoke. So more opportunities are coming up from the door as well related to the, again, ODM kind of a model itself. And another local domestic project that will close with 50,000 units down the line, they are even expecting more on that front. And this 50,000, again, the engagement of deliverables has started and down the line by like our financial year, we're expecting something more on the trajectory.

And just more clarification on the PLS came regarding the component. So sir, my second question is on the side of the with the new Balimara components and strong lean initiatives for defense and tech manufacturing. So are you evaluating any participation in any of these policy programs?