Indian Railway Catering & Tourism Corporation Limited (IRCTC) Earnings Call Transcript

Ladies and gentlemen, good day, and welcome to the IRCTC Limited Q1 FY '26 Earnings Call hosted by Dolat Capital. [Operator Instructions] Please note that this conference is being recorded. I now hand conference over to Mr. Rahul Jain from Dolat Capital. Thank you, and over to you, Mr. Rahul.

Thank you, Nitesh. Good afternoon, everyone. On behalf of Dolat Capital, we welcome you all to the Q1 FY '27 earnings conference call of IRCTC Limited. I take this opportunity to welcome the management of IRCTC, represented by Mr. Rahul Himalianji, who is CMD and Director, Tourism & Marketing; Mr. Rajneesh Narain, who is Director of Finance & CFO. And also, we have today with us Mr. Manoj Kumar Sharma, who is Director of Catering Services of the company. Now, I would like to hand the conference over to IRCTC management to take the proceedings forward. Over to you, Mr. CMD.

[Foreign Language] Good afternoon, ladies and gentlemen. I am Rahul Himalian, Director of Tourism & Marketing, and Chairman and Managing Director looking after. It is my pleasure to welcome you to IRCTC's earning call for the first quarter of this financial year, 2026-'27. The financial results for the quarter were announced yesterday and have been duly filed with the stock exchanges. I would like to begin by sharing a brief overview of our performance, following which our Director of Finance & CFO, Mr. Rajneesh Narain, will take you through the detailed financial and segment-wise performance. Quarter 1 of financial year 2026-'27 has been a quarter of resilient performance for IRCTC, reflecting the strength of our diversified business model and the continued momentum across our core business segments. During the quarter, profit after tax stood at INR 330 crores, supported by healthy performance across our Catering, Tourism, and Internet Ticketing segments. This performance was further supported by improved operational efficiencies and disciplined cost management. EBITDA stood at INR 386 crores, registering a year-on-year decline of 2.77%. Despite this moderation, the company continued to maintain a strong operating performance during the quarter. Our revenue from operations increased to INR 1,370 crores from INR 1,160 crores in the corresponding quarter of the previous year, representing a robust year-on-year growth of 18.10%. The growth was primarily driven by strong contributions from the Catering and Tourism segments. Our performance continues to be supported by a strong brand, extensive customer reach, diversified business portfolio, and growing digital capabilities. We remain focused on enhancing operational efficiency while continuously improving the customer experience. Looking ahead, we remain committed to strengthening our existing business and developing new age offerings. We will continue to leverage technology, enhance operational capabilities, and explore emerging opportunities across tourism, hospitality, and value-added services. We remain confident that our strong financial position, resilient business model, and focus on operational excellence will enable us to sustain our growth momentum and create long-term and enduring value for all our stakeholders. And before I end, I would like to say that IRCTC is a customer-centric organization for that matter. For the external customer it stands for I Really Care Towards the Customer, IRCTC, and for the internal customer, our workforce, only when they are highly inspired and motivated. So for them, IRCTC stands for I Really Care To Contribute. So with this, the entire circle gets completed, and customer is god for us. With this brief overview, I would now like to hand over the call to Mr. Rajneesh Narain, Director of Finance & CFO, who will take you through the detailed financial and segmental performance. Thank you, and I wish all of you a very productive discussion. Thank you.

Thank you, sir. Good afternoon, ladies and gentlemen. On behalf of the management of IRCTC, I extend a warm welcome to all of you to this earnings call to discuss our financial and operational performance for the Q1 '27. I am pleased to share that the company has delivered increased revenue during the quarter, reflecting our diversified business model and disciplined execution. Profit after tax stood sustainably at INR 330 crores as compared by year-on-year for the mentioned period. Total revenue for the quarter reached INR 1,370 crores, representing an 18.1% increase over the corresponding period last year. EBITDA stood at INR 386 crores with a healthy EBITDA margin of 28.17% although there is a slight decline in the margins due to changes in revenue mix, particularly higher contribution from catering and implication of additional HR cost of around INR 20 crores and increase of direct cost in ticketing segment, our overall profitability remained strong and sustainable. Let me now briefly highlight the segment-wise performance. Internet Ticketing revenue stood at INR 361 crores, up by about 0.5%, and nearly 89% of the reserved railway tickets in India are now booked through our online platform, underscoring our leadership in digital tech stack. This segment delivered an impressive EBITDA in excess of 80%, reflecting strong operating leverage and cost efficiency. Next, Catering recorded revenue of INR 732 crores, achieving a robust growth of 33.82% year-on-year. Margins were impacted due to higher sales in train catering operations and pilot initiatives such as branded catering projects, along with our continued focus on enhancing customer value and passenger satisfaction. Despite this, the segment remains a steady and scalable growth driver, supported by rising passenger volumes and ongoing service improvements. The related sector, Rail Neer, generated revenue of INR 109 crores, registering a 2.83% year-on-year growth with a margin of about 10%. Tourism delivered positive performance with revenue of INR 168 crores, marking an increase in revenue with 13.5% year-on-year. Despite temporary geopolitical disruptions, EBITDA margins improved to 11.31% from 8.78%, reflecting a better product mix and focused cost realization initiatives. Our overall first quarter results demonstrate the resilience of our business, disciplined cost management, a strong digital backbone, and unwavering focus on operational excellence. We remain confident in our growth momentum and are well-positioned to create sustainable long-term value for our stakeholders. With this, I conclude my remarks. We will now open the floor for questions. Thank you.

[Operator Instructions] The first question from the line of [ Ganesh Gupta ] from SS Family House.

My first question would be regarding the resignation Sanjayji made, although there was no reason specified in the letter that he shared. So can you please tell the reason of his resignation and assure the shareholders and stakeholders that there are no material discrepancies within the company?

Do you want me to answer this, or you'll ask the remaining questions?

No, sir, you can answer this, definitely.

Yes, yes. See, first of all, the performance, the leadership of Sanjay sir was phenomenal in railways as well as in IRCTC. This was a completely personal decision, and IRCTC will continue to grow stronger day by day, and even emulating his leadership skills will be a matter of pride for us. In personal and professional, you have work-life balance. Certain situations come across. We respect that thing. But IRCTC as an organization will continue to grow stronger with even Sanjay sir supporting from the outside in whatever capacity he can. So that we can assure you.

Okay, sir. My second question would be on Rail Neer. Sir, I would like to ask that during the channel checks conducted, we have seen meaningful availability of third-party bottled water brands across non-AC train categories and several station kiosks. So could you help us understand whether this reflects supply constraint, distribution gaps, or any kind of compliance issues? And additionally, how should the investors think about the incremental revenue potential if Rail Neer were able to materially improve its share in these channels?

See, Rail Neer at present is comfortably and has got a USP that it is priced at INR 14 as compared to other PDW in the market. But now we are talking about the capacity. The capacity of Rail Neer, the installed capacity is around 17.77. It has reduced from 18.4 because of closure of one plant. The requirement -- the supply is around 15.5 lakh bottles per day. The requirement is much higher. That is why we have a few stations which are around 30 plus, 25 lakhs bottles per day. But the issue remains that there are some mandatory stations around which Rail Neer bottles are compulsory. Now this gap sometimes is unfortunately utilized by the unauthorized vendors. It is a problem which is duly recognized by the railways, by IRCTC also, that these PDW should not come. But the immediate approach for IRCTC is, one, the augmentation of the existing capacity for which Ambernath, we are going from 2 lakh bottles to 3 lakhs. For Danapur, we are trying to increase from 1 lakh to 2 lakh bottles per day. Other than that, we are coming with upcoming 4 new plants: Prayagraj, Mysore, Ranchi, and Bhagalpur in which in Prayagraj and Mysore, the land has been allotted. In Ranchi, the confirmation for the land allotment has just come yesterday. So this is the conventional approach that we are trying to meet the gap by expansion of the existing plants and also by introduction of new plants. Now, seeing the entire ecosystem across the country of packaged drinking water and how we can leverage and utilize it is a question which will be decided by many policy decisions. But the fact remains that we are within the conventional system and within the existing framework, we are going for the new plants, and production capacity of existing plant is being augmented. Thank you.

And sir, I would also like to ask if you can give the timeline by which these new plants will become operational.

Right now the land has only been allotted. It might spill over to the next financial year, with focus on Prayagraj, Mysore and Ranchi first. And there are upcoming plants also, for which we cannot say. We may have plants in Varanasi, Pune and other places also. Depending upon the -- we have a radius of around 250 kilometers to which a plant can comfortably serve. So the timeline can easily extend to the financial year beyond '26, '27. And by this year, we will have augmentation of 2 plants should be finalized, if everything goes well, by this financial year. That is Ambernath from 2 lakh bottles to 3 lakh bottles and Danapur from 1 lakh to 2 lakh bottles. That should be finalized this year.

And sir, final question would be on the Catering side. Could you share any kind of trends in the Catering attachment rates over the last few years? And to what extent do you believe that food quality perception are affecting demand? And what measurable steps are being taken to improve the passenger experience and drive higher catering consumption? And on the quantitative side, so can you also quantify the mix of people who opt out and opt in for food for FY '26 and Q1 FY '27?

Yes. See, as far as the Catering is concerned, like you know, that there are various category of trains, including prepaid trains like Vande Bharat, Rajdhani, Shatabdi, Tejas, Duronto, Gatimaan Express. Then comes mail express trains, which have got pantry car, and TSV trains, Train Side Vending, which do not have a pantry car. But now, like I said earlier also, the focus of IRCTC is customer-centric. In the given regime, we also have the option of e-Catering, which has grown from around 1.25 lakh meals to more than 1.6 lakh meals per day. And we have also introduced the concept of e-Pantry. e-Pantry, we are reaching around more than 50 plus trains, in which the passenger can order meals from the same train through his mobile or QR code, in which the concept of overcharging will be obviated, which may reach around 100 trains. So in the same ecosystem, we are giving the passenger option of various things. Now, this is regarding quality. This is still at policy formulation. We at IRCTC understand that the quality has to -- we are also thinking, guided by our ministry, of bringing in branded players, how -- their willingness, bringing them into the ecosystem, and by way of competition or by way of quality competition, we will try to -- this exercise may take some time, but this is the need of the hour, the need of the customer, and we will go towards this.

And sir, on the prepaid mix, what would be the percentage of people who opt in and opt out for food while booking their tickets via IRCTC?

The opt-outs, like I said, that it will be around 15% to 30%. And in the complaints also, we are focusing upon around 58 crore meals per annum. We have a complaint ratio of 0.0008%. Our aim is to reduce. Sometimes this is on perception. Whenever the complaint is purely on some anomaly, like maybe the staleness of the food or some staff behavior, then we take it upon us, but sometimes it is on taste preferences, perception and all and many complaints are of suggestions, improvements, noted, demand for water, demand for baby food and all. So of around 300 to 500 complaints, which are logged on a daily basis, out of around 18 lakh meals supplied on a daily basis, it comes to less than around 0.0008%. Opt-out is around 25% to 30%, but this figure will be confirmed. This is an offhand figure I am giving for opt-out. But this again shows that we have given the facility. Earlier, it was more of opt-in. So people have started opting out and saving the catering charges.

Sir, if these necessary KPIs can be included in an investor presentations for investors to look at better, that would be really helpful next quarter onwards.

Yes. Thank you very much. We take note of your suggestion. We will go for the implementation.

All the very best for the future.

We have next question from the line of Kashish Mehta from Dolat Capital.

I would like to start, I just read a very interesting article, I think today morning or just yesterday, about Tejas, the advertising rights for Tejas being given to Sprite, and it is going to be rebranded as Sprite Tejas, which is quite novel. As of yet, a lot of times we see posters or some banners on trains, but just rebranding the whole train as a certain advertisement and just drawing those advertisement actions back to the margins, which have improved sequentially for tourism. Just wanted to get insight, is there some new leg that the company is now looking into and if these actions propel forward, how is it looking for margin in the tourism sector?

IRCTC operates 2 private trains. These are the only corporate trains that are operated all over Indian Railways. One is Lucknow Junction, NDLS Tejas Express, other one is Ahmedabad-Mumbai Tejas Express. Now, in this entire setup, we have comprehensive services of catering, security, housekeeping, and ticket checking to be done by IRCTC staff only. So the experience is elevated in terms of there are rail hostesses, then there is a lot of automation, GPS, CCTV on the train itself. And in this very thing, we have a concept of NFR, non-fare revenue, in which comes the vinyl wrapping of the coaches, either on an individual basis or a whole train basis, transcripts or boards being attached in the coaches inside in which parties can come up and we have a policy for this, and naming of the train like you can have a LIC Tejas Express, you have a Sprite Tejas Express now. There are amounts fixed, so in this way, the profitability and viability of the trains can come up other than the fare revenue and the catering charges and all, catering license fee. So this is one of the ways. This had come up in the beginning when the trains came up. It became a little slow. Now with the regional offices and zonal offices picking up, this concept of NFR will be promoted further. So this is just one step. It was always there like a dormant volcano. So it has come up for the first time. Let me inform you, the naming of the train of Tejas Express is being done for the very first time.

That was quite helpful. Sir, coming on to the catering vertical. So you did touch up broadly upon what is propelling the vertical. But to, again, confine it to a quarter-on-quarter movement, it has been really wonderful, and something which is off-beat from the past trends, where Q1 for catering is usually a bit softer, but this time it has really come up in the revenue numbers. So could you just break it down, what specifically has helped these numbers for the quarter, per se?

Yes, I would answer your question. Just one thing. See, first of all, I would like to say, before you understand, I go into the VB section of catering. If you understand that out of INR 1,160 crores done in Q1 of financial year '26, we reached INR 1,370 crores in Q1 of financial year '27, okay? Of which catering was INR 732 crores, Rail Neer INR 109 crores, Tourism INR 168 crores, and IT INR 361 crores. Catering itself was around 54%, and the delta between quarter 1 '27 and quarter 1 '26 was INR 732 crores minus INR 547 crores. That is around INR 185 crores from Catering itself, while the delta in Rail Neer was only 3%, Tourism 20%, and IT 2%, okay? So now, Catering at INR 185 crore delta, out of which onboard sale from prepaid trains rose from INR 301 crores to INR 413 crores. Number two, license fee of these prepaid mobile trains, plus other trains rose from INR 192 crores to INR 224 crores. That is, there was a rise of around INR 105 crores from these 2 combined together. Then license fee from static units grew from 20 to 33, and license fee for e-Catering grew from 9 to 22. e-Catering is another growing segment, which has grown to around 1.05 lakh meals from 26 to 1.69 lakh meals in financial '26-'27. And e-Catering revenue has grown by INR 6 crores, from INR 16 crores to INR 22 crores. Then the election specials grew from INR 5 crores to INR 41 crores. So combining these onboard sales at INR 413 crore, license fee for mobile trains at INR 224 crore, license fee from static units INR 33 crores, license fee e-Catering INR 22 crores, election special at INR 41 crores, and other income INR 15 crores, the total came out to be INR 747 crores. That was the breakup of your Catering.

Right, right. Helpful. And, sir, the last question is, again, a bit on the regulatory front regarding the payment aggregator license. So what is the progress? What is the status, and how are we looking to monetize it in terms of integration, or what are the plans that the company is actively working on right now?

See, in this, the IRCTC Payments Limited, first of all, we started off with the in-principle approval being given by RBI last year and they had given us a time limit for submitting the final application. On 4th August, 2026, we have submitted the final application, number one. Number two, the final application required a submission of SAR and MVP, that is System Audit Report and Minimum Viable Product feasibility that we have submitted. It should take this financial year for RBI to respond. At the same time, they wanted a TSP to be finalized, where there is a Technological Service Provider, which we have already engaged. So once the iPay is in position, because right now out of 15 lakh tickets which are booked on a daily basis, around 90% are booked online by IRCTC, which comprise around 53% to 54% by Rail Connect mobile app and around 17% by IRCTC website. The remaining 32% is G2G for various BSF, NSG, CRPF, CISF, and paramilitary forces, including army and around 28% with business associates. Now, in this entire setup, iPay does around 2.7 lakh transactions as of now because it cannot monopolize the entire system since it has not got the RBI license. But once we have the RBI license, we may express our expanse across IRCTC, number one. Number two, we can go to railways for various passenger and freight-related services like Terminal Management System and FOIS and all. Number one. Number two -- number three, we can go to the railways as far as GeM is concerned, as far as pension scheme is concerned. And then number three, we can go to the private market. All these things have to go step by step on a ladder. Touch wood, if everything remains good, we go with the RBI license, then we can expand like any other payment aggregator, like Razorpay, PhonePe and all. Thank you.

We have next question from the line of Navin from ithoughtPMS.

Congratulations on a good set of numbers. Just wanted to understand a couple of things. So one thing is regarding the non-convenience fee. So it would be great if you could provide the breakup between non-convenience and convenience first, and then also talk about some of the initiatives that are working, that are not working with respect to driving this non-convenience fee revenue. For example, the RailOne initiative and some of the other cross-sells that we are trying to do, including iPay. So if you could just throw some light on that. You could answer the question first, and then I will ask my next question.

So as far as Internet Ticketing is concerned, in convenience fee, I will start with, we had INR 236 crores to INR 248 crores revenue increase. But in non-convenience fee, where we went from INR 123 crores to INR 113 crores. Now non-convenience fee comes from 2 things. One is the spinoffs which are attached with your ticketing business, which are moving around the periphery, whether it is marketing or ad revenue or agent business or iPay commission or payment gateway business or e-wallet loyalty program. Now there has been a marginal -- we'll have -- one thing you will have to appreciate that like I said earlier also, that our complete focus is on customer centricity. So you must have seen an announcement and unveiling of the beta version of the UI/UX transformed IRCTC website, for which we are trying to launch the full version of it very soon. So that somewhat impacted because we are, for the time being, removing the marketing and ad revenue from the website. But in a non-invasive way, we will reintroduce it. First of all, is to win the confidence of the customers. The agent business also, we have seen that at times of 8:00 a.m., 10:00 a.m., and 11:00 a.m., we have lots of unauthorized, non-genuine, spurious, you can say, users who are trying to clog the site. So for this, we have built a regimen other than employing Akamai, who does the bot mitigation and CDN delivery, content delivery network, by offloading the static content, and other agencies who try to ensure that these queries do not come in. We have built a regimen in which the time limit has increased from 15 minutes of non-usage of this website by the agents to now 30 minutes. So this has impacted one way. Third is about RailOne. You have been speaking about RailOne. Now, the platform of RailOne ends on IRCTC and gate only. They have got comprehensive services of unreserved ticketing, reserved ticketing, platform ticketing. Later on, they will get freight also, parcel also. Now, it ends on this. So there has been some diversion to RailOne, which I said, for us, the prime most is the customer. If he gets an opportunity through RailOne, IRCTC, Rail Connect, or the website, for us, it is one and the same thing because it comes to IRCTC, the convenience fee remains unchanged. But at the same time, it gives us rigor and vigor to focus and improve our website also. Thank you.

Sir, just a small follow-up on your answer. So I am seeing that compared to our historical margins, we are around the mid-80s. We are around the 80% range, below 80% range. Would reinvestments into the business or the segment be one of the reasons why we are seeing a margin dip?

Could you please explain your question again?

No. From the historical EBIT margins level for the Internet Ticketing segment of around 85% or 84%, we are seeing a margin decline over the last 2 quarters, even the current quarter being 80%. So I understand we had some one-offs in the previous quarter, but is my understanding right in the sense that we are investing back into the business and trying to make our app better, website better? Is that why the margins have taken a hit, or is my understanding wrong?

Yes. There is something more to it, which I will share you, that after 2014 and in 2018 and '19, we tried to infuse something. There are 2 things we are trying to introduce. One is the NGET Infra Refresh. NGET is Next Generation e-Ticketing, which is the platform for the IRCTC. We are trying to upgrade its hardware by the storage, the servers, and the networking, plus the software. We will increase. Like you have seen, we have reached around 37,000 tickets per minute. This may increase to more than 1 lakh and all. This has been done with PRF modernization. So the figures I am not very aware, but around INR 150 crore has been infused into it, number one. Secondly, this quarter, INR 10 crore were booked for maintenance charges for this, and very soon, which will impact the second, third, or fourth quarter of the financial year, will be the disaster recovery. We are trying to go for an active-active disaster recovery, because sometimes if the website is down, then the passengers will have to face, and we are very much behind that 1 minute or 2 minute. This become the golden hour for us. If we will have a disaster recovery, most probably coming up at Secunderabad. Then again, because we will have to invest. So that investment is setting up across our earnings. So that is impacting and bringing it. Normally, it remains between 80%-85%, so it is, like you have seen, it is around 80% this time. These are some of the reasons which I would like to share with you. Thank you.

So, one more question before I jump back in the queue, sir. With respect to the catering segment, could you just clarify on our business model for the Vande Bharat and those kind of trains. Is it 100% onboard catering done by our staff, or is there a potential for us to give contracts out for that as well? Just trying to understand. Incrementally, we are adding many more premium trains, like the Vande Bharat, so want to understand if most of the business will be on our P&L or if we will give contracts out.

Yes. You see, IRCTC model is largely based on licensing. So in Vande Bharat also, we have got empaneled service providers for which we float a limited tender, and then we give it out as far as the catering is concerned. In future, you must have seen the shift from the chair car Vande Bharat is going towards Vande Bharat sleeper. This, in one way, will help our revenue in ticketing also and catering also, the lead will increase, and the capacity will also increase. In Vande Bharat also, chair car, there is a trend of augmentation. The number of coaches are increasing. But all these services, catering services right now in 81 Vande Bharat, are being done by IRCTC.

We have next question from the line of Jinesh Joshi from PL Capital.

Sir, I have a question on our margins in Catering division, which were at about 9%. I think in the opening commentary, you mentioned that there were some transit catering projects which led to deterioration in margins. If you can clarify a bit on this aspect. And I think there was another reason that was highlighted. So I missed that. Also, if you can just maybe touch upon that. And secondly, also from a future perspective, given the fact that share of prepaid trains is rising, and if my understanding is correct, we do not get the ITC benefit on the prepaid trains, which essentially means that our margins tend to be slightly lower. So how to think of the steady state trajectory over here?

See, IRCTC is a Navratna PSU of Indian Railways, so we have to align with the socioeconomic fabric of the country also. So as far as the GST part you said, you said rightly. If you take the Vande Bharat GST plus license fee, for this quarter, we are earning INR 105. But if you take GST 5%, for which we cannot claim input tax credit, like the Vande Bharat charges, it is INR 222. We give to the licensee INR 222 for arranging food and all, out of which GST is 5%, which we have to pay. That is around INR 11. So we lose there INR 18, but as a combined project of license fee from that, plus the GST, we earn around INR 105. So the Vande Bharat trains have to be proliferated. This aspect we will address, but at the same time, we cannot stop providing service and all. This is a small retrograde step of the GST thing, but overall, it increases. And Jinesh, the remaining part of the question, can you please repeat?

Reason why the margins were lower. You mentioned some transit catering projects were there.

Yes. Last year in quarter 1, financial year 2025-'26, quarter 1, you must have heard about proof of concept. So we introduced the proof of concept in few trains. Right now, 5 trains were there -- 6 trains were there, but the issue is that in that proof of concept, we increased the amount to be given to the licensees at the cost of IRCTC focusing on the customer and take it as an experiment. So in this quarter, the impact of that proof of concept on 6 trains, maybe around more than INR 4 crores, was impacted. Plus, there are two more impacts on the catering margin, because you have seen the margin has come to 9.29%, while it was around 10.42% for the financial year '25-'26. One was the gratuity has increased from INR 20 lakhs to INR 25 lakhs. And the HR cost of INR 10 crore has been booked in this segment because Catering takes care of around 54% of the entire revenue. This INR 10 crore includes the gratuity impact plus the post-retirement benefits to the employees. This thing will not be repeated for the next quarter because it has already been taken care of in the next quarter, so the next quarter can be immune or safe from this aspect. This is one, and proof of concept will slowly die down. There are 2 trains, I think they will finish by September, and the remaining 2 trains will finish by November. So that way it will help, and the Catering margins traditionally have been between 10% to 12%, so we will try to maintain that. Plus, considering the fact that there is the increased number of passengers, there will be increase in number of trains, the 20 trains will include, and there is 8% growth in passengers also year-on-year from the railways figure. Thank you.

Sure, sir. Just one follow-up on this part, especially with respect to that INR 10 crore of HR cost hit that you spoke about in the Catering division. If I look at our overall company-wide employee expense as well, it is up by about 37%, about INR 104 crores in this quarter. I think in the opening commentary, you also mentioned some incremental HR cost of about INR 20 crore odd. If you can maybe just sum up what was the total incremental hit that has come for all the reasons that you highlighted, and how to think about this cost going ahead on a steady state basis.

See, like I said that this was a one-time expense as far as the HR cost was concerned. The HR cost impact has been of around INR 20 crores, which includes the gratuity increase from INR 20 lakhs to INR 25 lakhs and some post-retirement benefits that we have adjusted for this. So that INR 20 crores for this quarter out of the INR 10 crore, because 54% is the revenue for Catering. So INR 10 crore we have accommodated for catering. That has led a little setback on the margins on the catering profit. And for POC, as I said that the impact of INR 4 crore will die down because there are 4 trains in quarter 2 and 2 trains left in quarter 3. Quarter 4, there will be nil trains. Because right now we will go for temporary or we are thinking of a concept which is very nascent stage to comment upon, is the engagement of branded players to improve catering, the importance of capable automated hygienic kitchens to be induced into this entire catering ecosystem.

Sure, sir. One last question from my side. I think our election special revenue in this quarter was at about INR 41 crores, if I heard you right. Just wanted to know on this bit that our margins in our election special trains, akin to our margins that we earn in the prepaid train, or is it higher, lower, and how to think about that? Was that also one of the reasons why our margins got impacted, just in case if they are lower? Trying to think on that first, sir.