MTARTECH - MTAR Technologies Limited Share Price

Question 1: "Thank you for sharing the road map for capacity expansion in clean energy going from 8,000 to 20,000 units over let's say next 18 months. If you could also share some details how much of this expansion would require you to set up a new facility and what kind of capex will it entail?"

Answer: "Initially, from 8,000 to 12,000, we'll utilize existing plants, requiring around INR35 crores to INR40 crores for equipment. For the next phase to reach 20,000 units, we'll need approximately INR60 crores in capex. Each phase should see 4,000 units added by March 2027, and we plan to leverage existing infrastructure to manage this demand surge efficiently."

Question 2: "You mentioned earlier that the hot boxes would probably get upgraded from 55 kilowatt to 75-kilowatt consideration. Also, you are doing a lot more components for these hot boxes which is increasing your wallet share. What proportion of the final box will be at this year?"

Answer: "Currently, we are focusing on increasing our wallet share within hot boxes and expect to capture a larger segment as we progressively enhance our production capabilities. However, specific proportions of the final box cannot be disclosed due to competitive confidentiality. We are positively assessing our positions and expanding as per demand trajectories."

Question 3: "You mentioned you're expecting around orders this month or this financial year for Kaiga-5 and 6. Do we have enough capacity to cater to these orders?"

Answer: "Yes, we anticipate significant orders totaling around INR800 crores from Kaiga-5 and -6 and refurbishment projects, which we can handle with our existing capacities. We're only addressing minor bottlenecks worth INR20 crores to INR30 crores to fully meet this demand."

Question 4: "Can you elaborate on the AMCA project tie-up with Adani? What are we looking at over the next 5-10 years?"

Answer: "We've signed an Expression of Interest with Adani for the AMCA project as a non-lead partner. Adani will lead with a 50% equity stake. The project aims to produce five prototypes, transitioning to production for 126 aircraft. The government hopes to roll out the first prototype by around 2028, which represents a significant milestone for Indian aerospace."

Question 5: "What are the key challenges we faced in Q2? What are the implementations to achieve our targets for a 2x revenue growth in H2?"

Answer: "The primary challenge in Q2 was negotiating tariffs, which delayed several dispatches. However, we are confident about doubling our revenues in H2, backed by a strong order book and ongoing strategic initiatives aimed at enhancing our operational efficiencies and capacity utilization."

Question 6: "What's the current situation regarding your expanding orders in the nuclear segment?"

Answer: "We're set to close the financial year with around INR800 crores in nuclear orders, primarily from Kaiga-5 and -6 and refurbishment efforts. We anticipate prompt execution timelines within 1-3.5 years, ensuring significant contributions to our revenue from this vertical in the coming years."