Praj Industries Ltd

- The company is considering capital allocation for various upcoming projects including GenX, PLA pilot plants, and IOCL JV (CBG plus SAF plants). - They expect capital expenditure to be higher in the near term due to new projects kicking off. - To fund this capital allocation, the company is exploring different avenues and it is not necessary that funding will be entirely from internal sources. - No specific mention of new debt or equity fundraising was stated, just that multiple funding avenues are being considered to support capital needs. - The company is cautious with capital allocation and looking to balance funding sources to support growth initiatives.

- Current CAPEX for FY25 is projected to be around ₹75 to ₹100 crores. - Investment ongoing for GenX technology; full CAPEX not yet completed, with some to occur this year. - Plans to allocate capital for new projects like CBG, SAF plants, and IOCL JV, which could increase capital needs depending on project kick-offs. - Exploring different funding avenues for capital allocation, not solely relying on internal funding. - Capital allocation may increase if new projects, including CBG and sustainable aviation fuel initiatives, commence in FY25 and beyond.

- The company expects order bookings to improve as election-related delays and feedstock uncertainties (especially Molasses B/Syrup and rice from FCI) get resolved. - Domestic 1G ethanol projects have a healthy pipeline, with growth expected once feedstock issues normalize. - Export orders are rising, particularly in engineering and technology supply, contributing to higher-margin business and nearly 42% of order book. - New facilities (e.g., Mangalore plant) are ramping up, expected to drive revenue growth starting H2 FY25. - The company is engaging with several international projects, including low carbon ethanol in the US and grain-based ethanol in Brazil, signifying growth in overseas markets. - CBG and SAF project pipelines are developing, with significant traction expected from 2H FY25 onwards. - Overall, management is optimistic about better order bookings and revenue compared to the previous year but does not give firm revenue guidance.

- Company expects improved order booking this year compared to last year, indicating positive growth outlook. - No specific revenue guidance given; management remains cautiously optimistic about better results year-on-year. - EBITDA margin improved due to moderation in input costs and favorable revenue mix, supporting better profitability. - Export business and engineering services gaining traction, expected to be margin accretive. - Working capital expected to remain stable despite revenue growth, reflecting efficient management. - Capital expenditure planned around Rs. 75-100 crores for FY25, focusing on growth areas like GenX, PLA, IOCL JV, CBG, and SAF plants. - Continued investment in R&D and new technologies (e.g., bioenergy, ethanol) to drive future earnings. - Challenges like feedstock issues and policy uncertainties noted but expected to resolve, enabling growth momentum. - Overall, earnings and operating profits likely to strengthen gradually, aligned with the growing inquiry pipeline and order book expansion.

- Order backlog as of June 30, 2024, is Rs. 40.44 billion, with 67% domestic orders. - Q1 order intake was Rs. 8.88 billion: 58% domestic, 52% bioenergy, 38% engineering, 10% PHS. - Engineering orders vary in execution timeline: 8-15 months for major projects (like SAF engineering); non-engineering orders around 12-15 months. - Export orders (42% of order book) generally deliver higher margins and are a growing component. - Slow-moving orders constitute about 5% (approx. Rs. 200-250 crore), mainly due to feedstock clarity and election-related delays. - Inquiry pipeline for domestic ethanol remains healthy despite feedstock restrictions; expected better order booking than previous year by year-end. - CBG orders expected to build up gradually, mostly in H2 FY25 as ecosystem develops and blending mandates kick in. - Mangalore facility recently operational; order executions from there expected in H2 FY25.