Q3 2026 Nucleus Software Exports Ltd Earnings Call

February 11, 2026

Operator: Welcome to Nucleus Software Q3 FY26 investor conference call. Please stay connected. Your conference will begin shortly.

Speaker #2: Please stay connected; your conference will begin shortly. Welcome to Nucleus Software Q3, FI26 investor conference call. Please stay connected; your conference will begin shortly.

[Company Representative] (Nucleus Software Exports): Good afternoon, everyone. This is Madhuri. A very warm welcome to all of you for this Nucleus Software Earnings Conference Call for the quarter and nine months ended on December 31, 2025. Discussions we have here from the management team, Mr. Vishnu R. Dusad, our Managing Director, Mr. Parag Bhise, CEO and Executive Director, Mr. Anurag Mansinghka, COO, Mr. Ashok Kumar Burra, Chief Financial Officer, Mr. Apurva Chamaria, Chief Business Officer, Mr. Mukesh Bangia, Vice President, Mr. Abhishek Pallav, Vice President, Ms. Swati Patwardhan, Chief Human Resources Officer, Mr. Pradeep Malik, Vice President, and Mr. Tapan I. Jaiswal, Financial Controller. As you all are aware, Nucleus Software does not provide any specific revenue earnings guidance.

Speaker #2: Welcome to the Nucleus Software Q3 FY26 investor conference call.

Speaker #5: Good afternoon, everyone. This is Madri. A very warm welcome to all of you for this Nucleus Software earnings conference call for the quarter and nine months ended December 31, 2025.

Speaker #5: The discussions we have here from the management team: Mr. Vishnu R. Desar, our Managing Director; Mr. Parag Dese, CEO and Executive Director; Mr. Anurag Mansi, COO; Mr. Ashok Kumar Bura, Chief Financial Officer; Mr. Apurva Kamaria, Chief Business Officer; Mr. Mukesh Bhangia, Vice President; Mr. Abhishek Pallav, Vice President; Ms. Swati Patwarden, Chief Human Resource Officer; Mr. Pradeep Malik, Vice President; and Mr. Tapan Jaiswal, Financial Controller.

Speaker #5: As you all are aware, Nucleus Software does not provide any specific revenue earnings guidance. Anything which is said during this call, which may reflect companies' outlook for the future, or which may be construed as a forward-looking statement, must be reviewed in conjunction with the risks that the company faces.

[Company Representative] (Nucleus Software Exports): Anything which is said during this call, which may reflect company's outlook for the future or which may be construed as a forward-looking statement, must be reviewed in conjunction with the risks that the company faces. An audio and the transcript of this call will be shortly available on the investors section of company's website, www.nucleussoftware.com. With this, we are now ready to begin with the opening comments on the performance of the company, and post that, we would be available for the question and answer session. With this, I now pass it over to Mr. Vishnu. Over to you, sir.

Speaker #5: An audio and the transcript of this call will shortly be available on the investor section of the company's website, www.nucleussoftware.com. With this, we are now ready to begin with the opening comments on the performance of the company, and after that, we will be available for the question-and-answer session.

Speaker #5: With this, I now pass it over to Mr. Vishnu. Over to

Speaker #5: yourself. A warm welcome

Vishnu R. Dusad: A warm welcome to our investor call for quarter ending 31 December 2025. We continue to be grateful to you for your continued interest in Nucleus Software. This quarter, we are delighted to welcome Apurva Chamaria, our Chief Business Officer, who brings more than two decades of very rich experience with companies like HCL, RateGain, Tech Mahindra, and Google. We look forward to his contributing to the betterment of the company, and with those words, I'll pass it on to Parag.

Speaker #6: To our investor call for the quarter ending December 31, 2025. We continue to be grateful to you for your continued interest in Nucleus Software. This quarter, we are delighted to welcome Apuri Chemaria, our Chief Business Officer.

Speaker #6: Who brings more than two decades of very rich experience with companies like HCL, Aidgain, Tech Mahindra, and Google. we look forward to his contributing to the betterment of the company and, with those words, I pass it on to Parag.

Speaker #6: Thank you so much, sir. And my warm welcome to everyone who has joined this call. I would also like to welcome Apur to the Nucleus family and am looking forward to learning from his experience and his contributions.

Parag Bhise: Thank you so much, sir. And my warm welcome to everyone who has joined this call, and I'd like also to welcome Apurva to the Nucleus family and looking forward to learn from his experience and his contributions. Yeah, this quarter also has been a quarter of steady performance for us, I would say, both on the order booking side and on the implementation side. And otherwise, we continue to work on our long-term strategy as we've been talking about. Thank you.

Speaker #6: yeah, this quarter also has been, a quarter of, steady performance for us, I would say. Our, both on the order booking side and on the implementation side.

Speaker #6: And, otherwise, we continue to work on our long-term strategy, as we've been talking about. Thank you.

[Company Representative] (Nucleus Software Exports): Yeah, Madhuri, now we can start with question and answer?

Speaker #7: yeah, Madri, now we can start with question and answer. Now we come to you.

[Company Representative] (Nucleus Software Exports): Yeah, Madhuri, now we can start with question and answer?

[Company Representative] (Nucleus Software Exports): Okay.

[Company Representative] (Nucleus Software Exports): Now over to you.

Speaker #5: Okay. With this, we are

Speaker #7: Yeah. Thank you. Oh, sorry.

[Company Representative] (Nucleus Software Exports): Thank you. With this, we are now open for question and answer-

Speaker #5: Now open to questions and answers. Madri, we can start with Mr. Tapan—financial comments? Tapan sir, over to you.

[Company Representative] (Nucleus Software Exports): Sorry, Madhuri. We can start with Mr. Tapan's financial comment. Saman sir, over to you.

Speaker #5: You. Madri, am I— Yes, sir. You're audible. Please go.

Ashok Kumar Bhura: Sorry, am I audible?

Speaker #6: audible?

[Company Representative] (Nucleus Software Exports): Yes, sir, you're audible. Please go ahead.

Speaker #6: The consolidated revenue for the quarter is at Rs 220.03 crore, against Rs 213.51 crore quarter on quarter, and Rs 205.70 crore year on year.

Ashok Kumar Bhura: Our consolidated revenue for the quarter is at INR 220.03 crores, against 213.51 crore quarter-on-quarter, and INR 205.7 crore year-on-year. Total revenue in foreign currency, including India rupees revenue, is $24.92 million for the quarter, against $24.47 million quarter-on-quarter, and $24.41 million year-on-year. Product revenue for the quarter is at INR 185.58 crore, against INR 181.02 crore quarter-on-quarter, and INR 174.83 crore year-on-year.

Speaker #6: Overall revenue in foreign currency, including Indian rupees, revenue is US dollars $24.92 million for the quarter, against US dollars $24.47 million quarter on quarter, and US dollars $24.41 million year on year.

Speaker #6: Product revenue for the quarter is at Rs 185.58 crore, against Rs 181.02 crore quarter on quarter, and Rs 174.83 crore year on year. Revenue from projects and services for the quarter is at Rs 34.45 crore, against Rs 32.49 crore quarter on quarter, and Rs 30.87 crore year on year.

Ashok Kumar Bhura: Revenue from projects and services for the quarter is at INR 34.45 crore, against INR 32.49 crore quarter-on-quarter, and INR 30.87 crores year-on-year. Moving on to expenses. Cost of delivery, including cost of product development for the quarter, is 70% of revenue, against 73.9% of revenue quarter-on-quarter, and 70.7% of revenue year-on-year. In absolute terms, this is INR 155 crores, against INR 157.7 crore quarter-on-quarter, and INR 145.49 crores year-on-year. Marketing and sales expenses for the quarter is 7.8% of revenue, against 7.3% of revenue quarter-on-quarter, and 5.6% year-on-year.

Speaker #6: Do we want to expenses? Cost of delivery, including cost of product development for the quarter, is Rs 70.0% of revenue, against Rs 73.9% of revenue quarter on quarter, and Rs 70.7% of revenue year on year.

Speaker #6: In absolute terms, this is Rs 155 crore, against Rs 157.7 crore quarter on quarter, and Rs 145.49 crore year on year. Marketing and sales expenses for the quarter are 7.8% of revenue, against 7.3% of revenue quarter on quarter, and 5.6% year on year.

Speaker #6: In absolute terms, this is Rs 17.2 crore, against Rs 15.67 crore quarter on quarter, and Rs 11.55 crore year on year. Clean expenses for the quarter are 6.9% of revenue, against 8% of revenue quarter on quarter, and 7.6% year on year.

Ashok Kumar Bhura: In absolute terms, this is INR 17.2 crore, against INR 15.67 crore quarter-on-quarter, and INR 11.55 crore year-on-year. Expenses for the quarter is 6.9% of revenue, against 8% of revenue quarter-on-quarter, and 7.6% year-on-year. In absolute terms, this is INR 15.10 crore, against INR 17.07 crore quarter-on-quarter, and INR 15.64 crore year-on-year. EBITDA for the quarter is at INR 32.72 crore, against INR 23.08 crore quarter-on-quarter, and INR 33.02 crore year-on-year.

Speaker #6: In absolute terms, this is Rs 15.10 crore, against Rs 17.07 crore quarter on quarter, and Rs 15.64 crore year on year. EBITDA for the quarter is at Rs 32.72 crore, against Rs 23.08 crore quarter on quarter, and Rs 33.02 crore year on year.

Speaker #6: Other income from investments and deposits is at Rs 14.87 crore, against Rs 13.50 crore, quarter on quarter, and Rs 14.78 crore, year on year.

Ashok Kumar Bhura: Other income from investments and deposits is at INR 14.87 crore, against INR 13.50 crore quarter-on-quarter, and INR 14.78 crore year-on-year. Total other income for the quarter is at INR 15.12 crore, against INR 16.16 crore quarter-on-quarter, and INR 15.57 crore year-on-year. Total taxes, 0.96 crore, against INR 9.12 crore quarter-on-quarter, and INR 10 crore year-on-year. Net profit is at INR 20.7 crore for the quarter, against INR 26.29 crore quarter-on-quarter, and INR 24.97 crores year-on-year.

Speaker #6: Total other income for the quarter is at Rs 15.12 crore, against Rs 16.16 crore quarter-on-quarter, and Rs 15.57 crore year-on-year.

Speaker #6: Total taxes 0.96 crore, against Rs 9.12 crore, quarter on quarter, and Rs 10 crore, year on year. Net profit is at Rs 20.7 crore for the quarter, against Rs 26.29 crore, quarter on quarter, and Rs 34.97 crore, year on year.

Speaker #6: Other comprehensive income is at Rs 3.58 crore for the quarter, against Rs 2.77 crore, quarter on quarter, and -1.69 crore, year on year. Total comprehensive income which includes net profit and other comprehensive income is at Rs 24.28 crore for the quarter, against Rs 29.06 crore, quarter on quarter, and Rs 33.28 crore, year on year.

Ashok Kumar Bhura: Other comprehensive income is at INR 3.58 crore for the quarter, against INR 2.77 crore quarter-on-quarter, and INR -1.69 crore year-on-year. Total comprehensive income, which includes net profit and other comprehensive income, is at INR 24.28 crore for the quarter, against INR 29.06 crore quarter-on-quarter, and INR 33.28 crore year-on-year. EPS for the quarter is at INR 7.86, as against INR 9.99 in the previous quarter, and INR 13.28 year-on-year. In terms of foreign currency hedges on 31 December, we had $3 million of forward contracts at an average rate of 89.38.

Speaker #6: EPS for the quarter is at Rs 7.86, as against Rs 9.99 in the previous quarter, and Rs 13.28 year on year. In terms of foreign currency hedges, on December 31st, we had US dollars 3 million in a forward contract, at an average rate of 89.38.

Speaker #6: There is a mark-to-market loss of ₹0.37 crore, which is taken to the hedging reserve in the balance sheet. Revenue contribution from the top five clients for the quarter is 27.02%, against 27.12% in the previous quarter.

Ashok Kumar Bhura: There is a Mark-to-Market loss of INR 0.37 crore, which is taken to hedging reserve in the balance sheet. Revenue contribution from the top five clients for the quarter is 27.02%, against 27.12% in the previous quarter. Our order book position is INR 656.68 crore, including INR 588.74 crore of the product business and INR 67.94 crore of projects and services business. On 30 September, the order book position was INR 671.1 crore, including INR 579.67 crore of product business and INR 91.43 crore of projects and services business.

Speaker #6: The order book position is Rs 656.68 crore, including Rs 588.74 crore, of the product business, and Rs 67.94 crore of projects and services business.

Speaker #6: On September 30th, the order book position was Rs 671.1 crore, including Rs 579.67 crore of product business and Rs 91.43 crore of projects and services business.

Speaker #6: Total cash and cash equivalent, as on December 31st, are Rs 971.6 crore, against Rs 961.66 crore, as on September 30th. This includes balances in current accounts of Rs 41.15 crore, various schemes of mutual fund Rs 634.30 crore, fixed deposits of Rs 263.17 crore, investments in tax-free bonds of Rs 32.98 crore.

Ashok Kumar Bhura: Total cash and cash equivalents as on December 31 are INR 971.6 crore, against INR 961.66 crore as on September 30. This includes balances in current accounts of INR 41.15 crore, various schemes of mutual fund, INR 634.30 crore, fixed deposits of INR 263.17 crore, investments in tax-free bonds of INR 32.98 crore. With regards to receivables, we are at INR 117.44 crore, against INR 116.19 crore in the previous quarter. During the quarter, there is a gross addition of fixed assets of INR 2.94 crore.

Speaker #6: With regards to receivables, we are at Rs 117.44 crore, against Rs 116.19 crore in the previous quarter, during the quarter, there is gross addition of fixed assets of Rs 2.94 crore, consisting primarily of Rs 0.18 crore on computer and servers, 0.01 crores on office equipment, 0.17 crore on plant and machinery, 0.15 crore on furniture and fixtures, and Rs 2.43 crores on software.

Parag Bhise: ... consisting primarily of INR 0.18 crore on computer and servers, 0.01 crores on office equipment, 0.17 crore on plant and machinery, 0.15 crore on furniture and fixtures, and INR 2.43 crores on software. Now I'll hand it over to Swati.

Speaker #6: I'll hand it over to Swati.

Swati Patwardhan: Thank you, sir. With this, now we are open for the question and answer session. Over to you, Marty.

Speaker #1: Thank you, sir. With this, now we are open for the question and answer session. Over to you, Madvi.

[Company Representative] (Nucleus Software Exports): Thank you, ma'am. With this, we are now open for the question and answer session. If you wish to ask a question, please press star and one on your telephone keypad, and wait for your name to be pronounced. If you wish to cancel your request, please press star and one again. First question comes from Raghav Maheshwari, from Kotak Wealth Management. Please go ahead.

Speaker #2: We are now open for the question and answer session. If you wish to ask a question, please press star and one on the telephone keypad, and wait for your name to be announced.

Speaker #2: If you wish to cancel your request, please press star and one again. First question comes from Raghav hav Maheshwari from Kamyakya Wealth Management. Please go ahead.

[Analyst] (Kotak Wealth Management): Inside of numbers. So, we have been following this company, and there was a doubt about migration of the legacy customer base from FinOne to FinOne Neo. So, last time the management had, had mentioned that the migration is going well, sir. And so could you give us a qualitative sense of where we are in this journey, like in terms of your total installed base? Are we 30% through the migration, or 50%, or just starting? And what is the target by this, you know, upcoming year end?

Speaker #3: I'm going to read out the numbers. So, we have been following this company, and there was a doubt about migration of the legacy customer base from 21 to 29.

Speaker #3: So last time the management had mentioned that the migration is going on, sir, and so could you give us a qualitative sense of where we are in this journey, like in terms of your total install base, are we 30% through the migration or 50% or just starting?

Speaker #3: And what is the target by this upcoming

Speaker #3: year-end?

Parag Bhise: Yeah, thank you for your question, Mr. Raghav. So, difficult to quantify. I would only say that, the migration process is on. We are getting customers moved to the new platform. I had also mentioned earlier that, it is, it is a time-taking journey. Our customers are comfortable with our existing products, so, though technology obsolescence is a challenge, but, and, of course, the, any change is, is difficult. So we are- we have migrated some large customers. Some are in progress, both in India and, other geographies. And we are encouraging everyone to, upgrade. But at this time, difficult to give any, definitive response on timelines or numbers.

Speaker #2: Yeah. Thank you for your

Speaker #2: question, Mr. Raghav. So difficult to quantify. I would only say that the migration process is on. We are getting customers moved to the new platform.

Speaker #2: I had also mentioned earlier that it time-taking journey. Our customers is a are comfortable with our existing product, so though technology obsolescence is a challenge, but and of course, the any change is difficult.

Speaker #2: So we are we have migrated from large customers; some are in progress, both in India and other geographies. And we are encouraging everyone to upgrade.

Speaker #2: But at this time, difficult to give any definitive response on timelines or

Speaker #2: numbers. Sir, is it

[Analyst] (Kotak Wealth Management): Sir, but is it, by when are we planning to complete this migration?

Speaker #3: by when are we planning to complete this migration?

Parag Bhise: We would want to do it as early as possible, but yeah, difficult. And as such, with our customers on older platforms, we're not facing any challenges. We are serving them also. We are having maintenance contracts with them. So we are not... We would want them to migrate at the earliest, at the same time, but if we have to talk about some timeline, then maybe I think next 3 to 4 years.

Speaker #2: We would want to do it at the earliest possible. But yeah, difficult. And as such, with our customers on older platforms, we're not facing any challenges.

Speaker #2: We are serving them also. We are having maintenance contracts with them. So we are not—we would want them to migrate at the earliest.

Speaker #2: At the same time, but if we have to talk about some timeline, then maybe I think next three to four years.

Speaker #3: Understood, sir. And sir, my next question would be around cost of delivery. I think from last quarter, our cost of delivery has come down to 70% something.

[Analyst] (Kotak Wealth Management): Understood, sir. And, sir, my next question would be around cost of delivery. I think from last quarter, our cost of delivery has come down to 70% something, and I think this is a contribution given by less employee costs because of this all migration and all happening. So, sir, just to get an idea, is this cost of delivery sustainable for the coming time, or can we see some uptick in this as well?

Speaker #3: And I think this is a contribution given by lower employee cost because of all this migration and all that's happening. So, sir, just to get an idea, is this cost of delivery sustainable for the coming time, or can we see some uptick in this as well?

Speaker #3: well? So we will

Parag Bhise: So, we will see, we should see a little jump because of this new labor code getting injected. I think that impact will definitely impact the P&L going forward as well.

Speaker #2: see we should see a little jump because of this new labor code getting injected. I think that impact will definitely impact the P&L going forward as

Speaker #2: Well, and particularly talking about cost,

[Analyst] (Kotak Wealth Management): I'm particularly talking about cost of delivery, sir.

Speaker #3: of delivery, sir.

Speaker #2: So the cost of delivery includes the manpower cost as well. So that definitely is going to increase based on the recent labor code changes.

Parag Bhise: So the cost of delivery includes the manpower cost as well. So, that definitely is going to increase based on the recent labor code changes. So-

Speaker #2: So the hit which you have taken as I think somewhere around 18 crores, that is not a one-time thing? No, no. So that is definitely a one-time impact, but that has not got factored in EBITDA.

[Analyst] (Kotak Wealth Management): The hit which you have taken, as I think, somewhere around INR 18 crore, that is not a one-time then?

Parag Bhise: No, no. So that is definitely a one-time impact, but that has not got factored in EBITDA. That has got recorded as an exceptional item below EBITDA. But however, going forward, it will start impacting EBITDA, because then it will become business as usual.

Speaker #2: That will, that has got recorded as an exceptional item below EBITDA, but going forward, will start impacting EBITDA because then it will become business as usual.

Speaker #3: Understood, sir. So this 70% can go a little bit higher from this, right? In the coming time.

[Analyst] (Kotak Wealth Management): Understood, sir. So, this 70% can go a little bit higher from this, right, in the coming years?

Speaker #2: Absolutely. While I can't quote a percentage because there are a lot of initiative we would take to contain that, maybe in a longer term, if we see an option of AI may help reducing some cost, but that might get offsetted by some I would say marketing-related expenses where we set our foot in a different geographical territory.

Parag Bhise: Well, I can't quote a percentage, because there are a lot of-

[Analyst] (Kotak Wealth Management): Of course.

Parag Bhise: Yeah, initiatives we would take to contain that. Maybe in the longer term, if you see, adoption of AI may help reducing some costs, but that might get offset by some, I would say, marketing-related expenses, where we set foot in a different geographical territory. So we keep on getting impacted by these things. While we will keep a close watch on, they should not increase exponentially, we will definitely figure out some way to contain it. But yes, these are the factors which will, which will keep impacting us in form of costs.

Speaker #2: on getting impacted So we'll keep by these things, while we will keep a close watch on we should not increase exponentially. We will definitely figure out some way to contain it, but yes, these are the factors which will keep impacting us in the

Speaker #2: form of cost.

Speaker #3: Understood, sir. And lastly, sir, have you added any new logos in this

[Analyst] (Kotak Wealth Management): Understood, sir. Lastly, sir, have you added any new logos in this quarter?

Parag Bhise: ... we do have added logos, and if you talk about this full year, we have added around seven logos this year.

Speaker #2: We do quarter? have added logos, and if you talk about this full year, we have added around seven logos this year.

Speaker #3: So that makes around two.

[Analyst] (Kotak Wealth Management): That makes around two-

Speaker #2: We have added two logos.

Parag Bhise: We have added two logos.

[Analyst] (Kotak Wealth Management): Two logos, right. And these are all coming for the new one, right? The 8.5 version or 8, 8.4 version.

Speaker #3: Two logos, right? And these are all coming for the new one, right? The 8.5 version or 8.0 version?

Speaker #2: Yes. Yes. Absolutely. Absolutely. Any new customer acquisition doesn't make sense to acquire at any older version while we are chasing for upgrading them to the newer version.

Parag Bhise: Yes, yes, yes, absolutely. Absolutely. Any new customer acquisition doesn't make sense to acquire at any older version. While we are chasing for upgrading them to the newer version, obviously, that is the, that is the thought process behind acquisition of each and every new customer.

Speaker #2: Obviously, that is the thought process behind acquisition of each and every new customer.

Speaker #3: Okay, sir. I have more questions. I'll join back in the future.

[Analyst] (Kotak Wealth Management): Okay, sir. I have no question. I will join back in the future.

Parag Bhise: Okay.

Speaker #4: Next question comes from Ruchab Okay. Shah from Bagal Rock PMS. Please go

[Company Representative] (Nucleus Software Exports): Next question comes from Rishabh Shah from Buglerock PMS. Please go ahead.

Speaker #4: ahead. Hi, sir.

Rishabh Shah: Hi, sir. Thank you. Am I audible?

Rushabh Shah: Hi, sir. Thank you. Am I audible?

Speaker #3: Thank you. Am I

Speaker #3: audible? Yes, sir.

Parag Bhise: Yes, sir, but you can be a little louder.

Speaker #2: But you can hear a little

Rishabh Shah: Yeah. Am I audible now?

Speaker #3: Yeah. Am I audible

Rushabh Shah: Yeah. Am I audible now?

Speaker #3: now? Yes.

Parag Bhise: Yes, yes, sure.

Speaker #2: Yes. You are.

Speaker #3: Yeah. So sir, I had a question. We had entered the Australian market in 2015, and then again in 2021, when the Bank of Sydney appointed Nucleus to lead its digital lending transaction, but so we still in that market, we are not able to scale up.

Rishabh Shah: Yeah. So, I had a question. We had entered the Australian market in 2015, and then again in 2021, when the Bank of Sydney appointed Nucleus to lead its digital lending transaction. But, so we still in that market, we are not able to scale up. So what challenges are we facing in that market?

Rushabh Shah: Yeah. So, I had a question. We had entered the Australian market in 2015, and then again in 2021, when the Bank of Sydney appointed Nucleus to lead its digital lending transaction. But, so we still in that market, we are not able to scale up. So what challenges are we facing in that market?

Speaker #3: So what challenges are we facing in that

Speaker #3: market?

Parag Bhise: No challenge. I think the market is a high-yield market, but at the same time, the number of players are not as many as... It's not as such a dense market as India or Middle East. So that's one. So no challenge as such; it's just that things are moving slowly. Of course, I would want to say that we are, we are still there. We have sales presence there. We have a few people positioned there, and we are also taking inputs from that market and continuously working on aligning our products to what what would sell in that market. So that work is continuously on.

Speaker #2: No challenge. I

Speaker #2: think the market is ideal market, but at the same time, the number of players are not as many as it's not as such East.

Speaker #2: So that's one. So a dense market as India or the Middle no challenge as such is just that things are moving slowly. Of course, I would want to say that we are we are still there.

Speaker #2: We have sales presence there. We have a few people positioned there, and we are also taking inputs from that market and continuously working on aligning our products to what would sell in that market.

Speaker #2: So that work is continuously on.

Speaker #3: So sir, as you said, it is not as dense a market. So do we have let's say there are less number of players in that market.

Rishabh Shah: So, sir, as you said, there, it is not a as dense market. So do we have, let's say there are less number of players in that market, so do we have an upper hand in Australian market?

Rushabh Shah: So, sir, as you said, there, it is not a as dense market. So do we have, let's say there are less number of players in that market, so do we have an upper hand in Australian market?

Speaker #3: So do we have an upper end in Australian

Speaker #3: market? Yeah.

Parag Bhise: Upper hand? Yes, because, okay, it's not that we are coming across a lot of competition. Our products, whenever, wherever we pitch is, we are able to make an impression, we are able to impress people with what we have. So that way, if you say, yes, we are very reasonably placed there.

Speaker #2: Upper end. Yes. Because, okay, it's not that lot of competition. Our products, whenever, wherever it is, we are able to make an impression. We are able to impress people with what we have.

Speaker #2: So that way, if you say, "Yes, we are very reasonably placed there."

Speaker #3: Okay. So, sir, my second question is that when we launch a new product, let's say it's an upgrade of an existing software, how difficult is it for an existing customer to convince them to upgrade to the newer version?

Rishabh Shah: Okay. So, so, my second question is that when we launch a new product, let's say it's an upgradation of an existing software. So how difficult is it for our existing customer to convince him to upgrade to the newer version? Because historically, we have had problems with conversion of customers to a newer version of the software.

Rushabh Shah: Okay. So, so, my second question is that when we launch a new product, let's say it's an upgradation of an existing software. So how difficult is it for our existing customer to convince him to upgrade to the newer version? Because historically, we have had problems with conversion of customers to a newer version of the software.

Speaker #3: Because historically, we have had problems with conversion of customers to our newer software.

Speaker #2: So I'll explain it in two parts. One is what I spoke in the in response to an earlier question, the first question. Our from old platform to new platform.

Parag Bhise: So I'll explain it in two parts. One is what I spoke in response to an earlier question, the first question. Our from old platform to new platform, that conversion is a bit difficult, because, as I said, customers are, one, very comfortable with the old product, and that journey is still, I would say, even for customer, a heavy investment, because oftentimes, when old product we come out with a completely new product. But when it comes to upgrading our existing FinOne Neo or FinnAxia customers to a higher version of same product, that journey is relatively easy. There have been instances where we've been able to upgrade our customers over a weekend, and there's a continuous effort to make that journey very smooth.

Speaker #2: That conversion is a bit difficult because as I said, customers are one very comfortable with the whole product, and that journey is still, I would say, even for customer, a heavy investment because once again, like I said, the whole product will come out with a completely new product but when it comes to upgrading our existing FinOne Neo or Finexia customers to a higher version of the same product, that journey is relatively easy with being they've been instances where we've been able to upgrade our customers over a weekend.

Speaker #2: And there's a continuous effort to make that journey very smooth. So once they are on the new technology stack, new products suit, then it's a very relatively very easy journey, I would say.

Parag Bhise: So once they are on the new technology stack, new product suite, then it's a very, relatively, very easy journey, I would say. But from the old stack to the new stack is where we need to do more convincing, and efforts also there are more.

Speaker #2: But from the old stack to the new stack is where we need to do more convincing and the efforts also there are more.

Speaker #3: Okay. Okay. And sir, my next question is since we work in multiple geographies, is working since we work in multiple geographies, is working of banking industry similar in all in all the geographies, or is it that the different geographies require different types of software?

Rishabh Shah: Okay. Okay. Sir, my next question is, since we work in multiple geographies, is working of banking industry similar in all the geographies? Or is it that the different geographies require different types of software, so we have to make a customized software for our customers? So, if we make the customized software for n, do the complexities of the software increase, and are we able to command the pricing in our software?

Rushabh Shah: Okay. Okay. Sir, my next question is, since we work in multiple geographies, is working of banking industry similar in all the geographies? Or is it that the different geographies require different types of software, so we have to make a customized software for our customers? So, if we make the customized software for n, do the complexities of the software increase, and are we able to command the pricing in our software?

Speaker #3: So we have to make customized software for our customers. So, if we make the customized software for them, do the complexities of the software increase, and are we able to command the pricing in our software?

Parag Bhise: So, yeah, my product specialist will answer this question.

Speaker #2: Yeah, my first. Specialist will answer this question. The document—so this is where the product capability and configuration comes in. And the value that the platform brings is the regional and the geographical nuances and capability that can be taken care of by configurations.

[Company Representative] (Nucleus Software Exports): Good afternoon. So this is where the product capability and configuration function, and the value that the platform brings is,

[Company Representative] (Nucleus Software Exports): ... the regional and the geographical nuances and capability that can be taken care by configurations. Of course, platform is based, built on layered architecture, so there is a dedicated layer for that, and that takes care of the geographical aspects, and bootstrapping. Okay.

Speaker #2: Of course, platform is based built on layered architecture. So there is a dedicated layer for that. And that takes care of the geographical aspects and bootstrapping of that

Speaker #2: answer.

Rishabh Shah: Yeah. So the last question is, in a couple of quarters back on your conference call, you had said that in that quarter we had lost two customers. So I wanted to know what were the reasons of losing those customers? Was and whether it was that they got a better software from there, or they were not comfortable with the price of the Nucleus Software? And also, how were they huge customers, like, did they contribute significantly towards our revenue?

Rushabh Shah: Yeah. So the last question is, in a couple of quarters back on your conference call, you had said that in that quarter we had lost two customers. So I wanted to know what were the reasons of losing those customers? Was and whether it was that they got a better software from there, or they were not comfortable with the price of the Nucleus Software? And also, how were they huge customers, like, did they contribute significantly towards our revenue?

Speaker #3: is in a couple of quarters back on the conference call you had said that in that quarter, we had lost two customers. So I wanted to know what were the reasons of losing those customers and was it.

Speaker #3: It was that they got a better software somewhere, or they were not comfortable with the price of the Nucleus software? And also, were they huge customers like did they contribute significantly towards our revenue?

[Company Representative] (Nucleus Software Exports): We need to check because we don't recollect any such. Yeah, some customers. I don't recollect talking about specific customers, but then, look, some customers do move out because their mergers happen, acquisitions happen. There are smaller customers who have moved out, who have closed down their businesses. Those situations have happened. It happens, especially during COVID, some after that also. Those instances are there. Otherwise, we don't recollect talking about any significant movements out.

Speaker #2: So, we need to check, because if you go to select any such—yeah, some customers—I don't recollect talking about specific customers. But then, look, some customers do move out because mergers happen and acquisitions happen.

Speaker #2: There are smaller customers who have moved out of who have closed down their businesses. Those situations have happened. These happened specifically during COVID. Some after that also.

Speaker #2: Those instances are there. Otherwise, we do not recollect talking about any significant movements out.

Speaker #3: Okay. Thank you, sir. Thank you.

Rishabh Shah: Okay. Thank you, sir. Thank you.

Rushabh Shah: Okay. Thank you, sir. Thank you.

[Company Representative] (Nucleus Software Exports): Next question comes from Rahul Jain, from Dolat Capital. Please go ahead.

Speaker #1: from Rahul Jain from Dolus Next question comes Capital. Please go ahead.

Speaker #2: Hello. Hello.

Rahul Jain: Hello? Hello, is my line open?

Speaker #2: Is my line okay? Yeah. Yeah. Please go ahead. Yeah. Yeah. Yeah. Thanks for the opportunity. A couple of questions. So, firstly, on the investment that we've been doing for some time in terms of adding the manpower or the senior leadership to strengthen our business, we have done that job.

[Company Representative] (Nucleus Software Exports): Hello. Yeah, yeah.

Speaker #4: Hello.

Rahul Jain: Yeah, thanks for the opportunity. A couple of questions. So firstly, on the investment that we've been doing for some time in terms of adding the manpower, or the senior leadership to strengthen our business, we have done that job. We've been doing that for some time. However, in terms of the order booking, we have not seen any meaningful data coming out yet. So is it right now setting into an expanded pipeline and may come into order book eventually over the next 6 to 12 months, or any other comment you want to share on that?

Speaker #2: We've been doing that for some time. However, in terms of the order booking, we have not seen any meaningful delta coming out yet. So is it right now settling into an expanded pipeline and may come into the order book eventually over the next 6 to 12 months, or any other comment you want to share on that?

Speaker #4: So hi, yes, these changes have been done in the organization, and as it takes a little time to settle and start reflecting into the results.

[Company Representative] (Nucleus Software Exports): So, hi, Rahul. Well, yes, these changes has been done in the organization, and as it takes a little time to settle and start reflecting into the results. I hope you will also appreciate the fact that these, whatever deals we do are long-term deals. These deals are, these deals do take time to come up, fructify, because there are a lot of steps which are discussed and debated before a deal is signed off or the order also comes. There are a lot of steps which are involved, and it may take, and may, it may go on for months, and few may even change the financial year as well.

Speaker #4: I hope you will also appreciate the fact that these whatever deals we do are long-drawn deals. These deals are these deals do take time to come up, fructify, because there are a lot of steps which are discussed and also comes.

Speaker #4: There are a lot of steps which are involved, and it may take—and it may go on for months—and a few may even change a financial year as well.

[Company Representative] (Nucleus Software Exports): Having said that, you will be happy to know that in this financial year, we have added 7 new logos. So, I think, yes, we are moving in the right direction, we are on the right trajectory, and we are on the right path. And, given the kind of leadership we have got now, and, with the team below us, I think we are on the right path.

Speaker #4: Having said that, you will be happy to know that in this financial year, we have added seven new logos. So, I think, yes, we are moving in the right direction.

Speaker #4: We are on the right trajectory, and we are on the right given the kind of leadership we have got path. And now and with the team below us, I think we are on the right

Speaker #4: path. Thanks for that,

Rahul Jain: Thanks for that, Kailash. Now, specific to the most buzzword, which is AI. So what is our strategy right now in terms of embedding that into some underwriting tool like we hear in the market? Where are we on that journey? And secondly, from a demand side of it, are the customers seeking incrementally AI-powered solutions from company like us, and where are we on that path?

Speaker #2: Khaled. Now specific to the most buzzword, which is AI. So what is our strategy right now in terms of embedding that into some underwriting tool like we hear in the market?

Speaker #2: Where are we on that journey? And secondly, from a demand side of it, are the customers seeking incrementally AI-powered solutions from companies like us?

Speaker #2: And where are we on that path?

Speaker #4: So AI strategy is part of our product roadmap and the organizational long-term and immediate strategy. So we have a strategy that is being built, and there is a draft version that has already taken a shape.

[Company Representative] (Nucleus Software Exports): So AI strategy is part of our product roadmap, and the organization is long-term in an immediate strategy. We have a strategy in that is being built, and there is a draft version that has already taken a shape. As far as AI baking into the product that is embedded AI, yes, that is part of our product offering. Even Assisted Credit Decisioning has come up as part of our GA track. And more and more similar AI capabilities around the product capabilities are being built, and some of them already exist. As far as the customers our demands are concerned or expectations from AI is concerned, yes, we are getting inputs and guidance from our customers on what they are looking for.

Speaker #4: As far as AI baking into the product—that is, embedded AI—yes, that is part of our product offering. Even assisted credit decisioning has come up as part of our GA 5.

Speaker #4: And more and more similar AI capabilities around the product capabilities are being built, and some of them already exist. As far as the customers' demands are concerned, or expectations on AI are concerned, yes, we are getting inputs and guidance from our customers on what they are looking for, be it on the GenAI side, or the deep learning or machine learning models or expectations.

[Company Representative] (Nucleus Software Exports): And, be it on the GenAI side or the deep learning or machine learning models or expectations, so that is already on. So we are in touch with our customers and leaders, thought leaders, and we are aligning our strategy towards that accordingly.

Speaker #4: So that is already on. So we are in touch with our customers and leaders thought leaders and we are aligning our strategy accordingly.

Speaker #2: So, are we expected to have an AI-branded offering, also—something like FinOne AI, or something? Or will we just embed those technologies into the existing brand or product?

Rahul Jain: So are we expected to have an AI branded offering also something like FinOne, FinOne AI or something? Or if we would just embed those technology into the existing brand or product offering?

Speaker #2: offering? Embed it.

[Company Representative] (Nucleus Software Exports): Embedded. We'll embed it as part of our product offering.

Speaker #4: We'll embed it. As part of our product offering.

Rahul Jain: One question-

Speaker #2: And we're not seeing that as a separate revenue line item coming up. It will always be embedded because we want our customer to be able to serve their customers in a better way.

Rahul Jain: One question-

[Company Representative] (Nucleus Software Exports): We are not seeing that as a separate revenue line item coming up. It will always be an embedded, because we want our customer to be able to serve their customers in a AI type question.

Speaker #2: way.

Speaker #4: FinOne Neo AI

Speaker #2: That is what I was thinking. Registration.

Parag Bhise: Yes.

Speaker #4: Yeah. Yeah. So I hope that answers.

[Company Representative] (Nucleus Software Exports): So I hope that answers.

Speaker #2: So while some of the good capabilities around financial literacy, which is interactive statement of account, 360-degree sentiment analysis on collection size, and there are others key capabilities have already come up.

Parag Bhise: So while some have good capabilities around financial literacy, which is interactive statement of account, 360-degree sentiment analysis on collection size, and there are others, key capabilities has already come up, and there are several others which are under pipeline being built. That will be released as part of the year, in the upcoming year.

Speaker #2: several others which are on the pipeline And there are being built. That will be released as part of the upcoming view.

Speaker #4: Sure. Sure. That's good to know. And one last question from my side is on the capital allocation side. This question keeps coming once in a while.

Rahul Jain: Sure, sure. That's good to know. And one last question from my side is on the capital allocation side. This question keeps coming once in a while. We've been accumulating cash; we've been generating a lot of cash. So is there any roadmap in terms of giving out a special dividend or doing a large buyback as a way of deploying this capital? Because as our business does not require a huge sum of capital, but we keep generating every year and getting accumulated.

Speaker #4: We've been accumulating cash. We've been generating a lot of cash. So is there any roadmap in terms of giving out a special dividend or doing a large buyback as a way of deploying this capital?

Speaker #4: Because as our business does not require a huge sum of capital, but we keep generating every year and getting

Speaker #4: accumulated. So

[Company Representative] (Nucleus Software Exports): So, Rahul, as of now, we would like to sit with some cash, because as you know, this AI thing has heated up. A lot of stuff is happening. It might require a lot of investment at our end also. We want to be, we are treading that path steadily, and we will look into that maybe once a clear picture emerges in next one or two, three quarters, and that is where we will be in a position to decide which way we want to go.

Speaker #3: Rahul, as of now, we would like to sit with some cash because, as you know, this AI thing has heated up. A lot of stuff is happening.

Speaker #3: It might require a lot of investment in R&D also. We want to be sure we are treading that path steadily, and we will look into that.

Speaker #3: Maybe once the clear picture emerges in the next one, two, or three quarters, that is when we will be in a position to decide which way we want to go.

Speaker #4: Sure, sure. That's it from my side. Thank you.

Rahul Jain: Sure, sure. That's it from my side. Thank you.

[Company Representative] (Nucleus Software Exports): Thank you.

Speaker #5: The next question comes from Sanjot Kare, an individual investor. Please go ahead.

[Company Representative] (Nucleus Software Exports): The next question comes from Sanjot Kare, an individual investor. Please go ahead.

Sanjot Kare: Hello, good afternoon. Am I audible?

Speaker #4: Hello. Good afternoon. Am I audible? Yes, sir.

Sanjot Kare: Hello, good afternoon. Am I audible?

[Company Representative] (Nucleus Software Exports): Yes.

Sanjot Kare: Yeah. Yes, sir. So, I just want to understand, the quarter gone by, Q3. So, we have closed couple of deals, and, last call you have mentioned that there was, delay in, closure of the deals, like, customers are taking longer time. So just want to understand your view with the quarter gone by, how was the performance was, as per your expectation or below expectation? And, how are we seeing that the deals closure will be, happening in Q4? I mean, some deals couldn't close in Q3, but will be closed in Q4.

Speaker #4: So I just want to, yes, understand the quarter gone by—Q3. So I think we have closed a couple of deals, and on the last call, you also mentioned that there was a delay in closure of the deals.

Speaker #4: Customers are taking a longer time. So, just to understand your view—the quarter gone by, how was the performance as far as your expectation? Or was it below expectation?

Speaker #4: And how are we seeing that the deals' closure will be happening in Q4? I mean, some deals couldn't close in Q3, but those will be closing in—

Speaker #4: Q4.

Speaker #2: So definitely

Parag Bhise: So definitely better than earlier quarters. We've been saying that we are getting traction from the market, and now we are seeing that conversions have also starting to happen. A few that has happened, which Ashok talked about. And yes, there is a significant pipeline that we have, which we hope to convert in coming quarters.

Speaker #2: Better than earlier quarters. We've been saying that we are getting traction from the market, and now we are seeing that conversions have also started to happen.

Speaker #2: A few that have happened, which Ashok talked about. And yes, there is a significant pipeline that we quarters.

Speaker #2: in the coming have which we hope to convert Sure.

Sanjot Kare: Sure. And this recent updates happened on, like, a tariff deal with EU and USA. Are we seeing that that will be positive for the business going forward?

Speaker #4: And this recent update happened on a tariff deal with EU and USA. Are we seeing that that will be a positive for the business going

Speaker #4: forward? We are

[Company Representative] (Nucleus Software Exports): We are a product company, and as such, those arrangements are not going to impact much in any way. So, we don't have too much of traction anyway in Europe. And if you talk about US, we have minimal interest as of now there, while we are trying to get our foothold there and gradually succeeding on that path. But, deal per se is not going to have any significant impact on us.

Speaker #3: We are a product company, and as such, those arrangements are not going to impact much in any way. So we don't have too much of traction anyway in Europe.

Speaker #3: And if you talk about the US, we have minimal interest as of now there. While we are trying to get our foothold there, and gradually succeeding on that path.

Speaker #3: But the deal per se is not going to have any significant impact on

Speaker #3: us.

Speaker #5: Thank you,

[Company Representative] (Nucleus Software Exports): Thank you, sir. The next question comes from Chinmay Nema, from Crescent Capital. Please go ahead.

Speaker #5: Sir, the next question comes from Chinmay Neema from Reshiyan Capital. Please go ahead.

Speaker #5: ahead. Hi, sir.

Chinmay Nema: Hi, sir. Hope I'm audible.

Speaker #4: Hope I'm audible.

Speaker #3: Yes, sir.

[Company Representative] (Nucleus Software Exports): Yes.

Chinmay Nema: Sir, in the last quarter, you talked about growing through partnerships. Could you talk about how that initiative is has been going on? Have you been able to make any inroads in the quarter? Some color around that.

Speaker #4: Sir, in the last quarter, you talked about growing through partnerships. Could you talk about how that initiative is has been going on? Have you been able to make any inroads in the quarter?

Speaker #4: Some color around that?

Speaker #2: So of course, partnership with partners like AWS, Oracle, that is steadily progressing. We I think we had updated about our global head of partnership joining in.

Parag Bhise: So, of course, partnership with partners like AWS, Oracle, that is steadily progressing. We, I think we had updated about a global head of partnership joining in. And, so groundwork has started and, we are in a, I think, exploratory stage as of now. These things take time. Of course. On other side, one area where we are progressing more is on establishing partnerships with various fintechs, because that is the ecosystem today has become very, very highly integrated. So that part is moving faster. Of course, bigger player partnership, that will take some time, but we are making progress on that.

Speaker #2: And so groundwork has started. And we are in, I think, exploratory stage as of now. These things take time. Of course, on the other side, one area where we are progressing more is on establishing partnerships with various fintechs because that is the ecosystem today has become very, very highly integrated.

Speaker #2: So that part is moving faster. Of course, bigger player partnerships will take some time. But we are making progress on—

Speaker #2: that. Got

Chinmay Nema: Got it. And secondly, with the new hiring that has happened in the sales team, as well as the increase in the senior leadership, could you talk about what should be some of the key monetables or milestones that you want to achieve over the next 1 year?

Speaker #4: And secondly, with the new hiring that has happened in the sales team, as well as the increase in the senior leadership, could you talk about what should be some of the key monitorables or milestones that you want to achieve over the next one year?

Speaker #2: So as we've been saying, we are focused on long-term, and we've been talking about various initiatives at fundamental level. We are taking one of the core parameters that we have set for ourselves is improving customer NPS.

Parag Bhise: So, as we've been saying, we are focused on long term, and we've been talking about various initiatives at fundamental level we are taking. One of the core parameter that we have set for ourselves is improving customer NPS. The entire leadership team, entire organization is actually focused on that, which is by way of lean initiatives. Of course, by strengthening the sales team and leadership joining in that, we expect to have more sales, more implementation. Focus on existing customers and fundamentals is what is the key focus.

Speaker #2: And the entire leadership team, entire organization is actually focused on that. This is by way of lean initiatives. Of course, the by strengthening the sales team and leadership joining in that, we expect to have more sales, more implementations.

Speaker #2: But focus on existing customers and fundamentals is what is the key

Speaker #2: focus. Okay, sir.

Chinmay Nema: Okay, sir. Thank you.

Speaker #4: Thank

Speaker #4: You, the participants, if you have any questions,

[Company Representative] (Nucleus Software Exports): The participants, if you have any questions, please press star and one on your telephone keypad. The follow-up question comes from Raghav Maheshwari, from Kotak Wealth Management. Please go ahead.

Speaker #5: Please press star and one on your telephone keypad. The follow-up question comes from Raghav Maheshwari from Kammikya Wealth Management. Please go ahead.

[Analyst] (Kotak Wealth Management): Yeah. Hi, thanks. So, sir, my follow-up question is basically on this client additions that we have done for this year, like 7 client addition. So can you tell us how many, like, what is the bifurcation of that into FinOne Neo and so basically the lending management system and the transaction banking part of it?

Speaker #4: Yeah. Hi. Thanks. So, sir, my follow-up question is basically on this client additions that we have done for this year. Like seven client additions.

Speaker #4: Can you tell us how many—what is the bifurcation of that into FinnOne Neo in the, so basically, the lending management system and the transaction banking part of it?

Parag Bhise: These seven are all lending.

Speaker #2: These seven are all lending.

Parag Bhise: These seven are all lending.

Speaker #4: Okay. Lending. And, sir, what part of our current revenue—let's say H1—is lending, sir, in terms of percentage?

[Analyst] (Kotak Wealth Management): Okay, lending. And, sir, what part of our current revenue, let's say H1, is lending, sir, in terms of percentage?

Parag Bhise: So I think Tapan talked about high-level bifurcation. Beyond that, we track it at that level.

Speaker #2: So I think 2%. Tapas talked about high-level bifurcation; beyond that, we track it at that.

Speaker #2: level. Understood, sir.

[Analyst] (Kotak Wealth Management): Understood, sir. And, sir, next thing I wanted a clarification on was that, we had introduced FinOne Neo. It's been, it's been quite a while now, and whatever clients, like you mentioned, we are adding, we are adding in the new, basically new version. So, sir, as of now, let's say if you have 100 clients, what percentage of those clients are into this new platform, and what percentage are in just the FinOne? If you can just give an approx range.

Speaker #4: And, sir, next thing I wanted a clarification on was that we had introduced Finland Neo. It's been quite a while now. And whatever clients like you mentioned, we are adding we are adding in the new basically new version.

Speaker #4: So, sir, as of now, let's say if you have 100 clients, what percentage of those clients are on this new platform, and what percentage are just in Finland?

Speaker #4: If you can just give a proxy.

Speaker #4: range. Yeah.

Parag Bhise: Yeah, in terms of roughly, in terms of, broad bifurcation, that would be 50/50, in terms of number of customers, roughly.

Speaker #2: Look, roughly in terms of broad bifurcation, that would be 50/50 in terms of number of customers,

Speaker #2: roughly. 50/50.

[Analyst] (Kotak Wealth Management): 50/50. By the end of next year, sir, are we targeting it somewhere around 60/40 or 70/30?

Speaker #4: And by the end of next year, sir, are we targeting it somewhere around 60/40 or 70/30?

[Analyst] (Kotak Wealth Management): 50/50. By the end of next year, sir, are we targeting it somewhere around 60/40 or 70/30?

Speaker #2: Definitely, as we gain, the approach is that whether it will be 60/40 or 70/30, that's difficult to say.

Parag Bhise: Definitely, as we said, the approach is that, whether it will be 60/40, 70/30, that's difficult to say.

Speaker #4: Understood, sir. And, sir, my next question is, as of now, what is your focus? Is it to get new client addition each quarter, or to focus more on migration of existing ones into the GA?

[Analyst] (Kotak Wealth Management): Understood, sir. And, sir, my next question is, sir, as of now, what is your focus? Is it to get new client addition each quarter or to focus more on migration of existing ones into the GA?

Parag Bhise: Both, I would say, because there are these are different focus areas. So definitely there's focus on new customer acquisition, there's focus on giving new capabilities to existing customers, as well as migration. So these are separate focus areas.

Speaker #2: Both, I would say, because these are different focus areas. So, definitely, there’s focus on new customer acquisition. There’s focus on giving new capabilities to existing customers as well as migration.

Speaker #2: So these are separate focus

Speaker #2: areas. Understood, sir.

[Analyst] (Kotak Wealth Management): Understood, sir. And, sir, lastly, I wanted to talk about industry tailwind a bit, sir, because we are seeing good credit growth on the retail sector coming in. All the banks are boasting good numbers. I think there is some sort of a industry tailwind, if you can give some light upon that. And also, for that matter, sir, for the next coming year, like FY 2027, can you tell us, sir, like I'm not asking for any guidance here, but just some qualitative factors, as in where can the growth come from?

Speaker #4: And, sir, lastly, I wanted to talk about industry tailwind a bit, sir, because we are seeing good credit growth on the retail sector coming in.

Speaker #4: All the banks are posting good numbers. So I think there is some sort of an industry tailwind. If you can give some light upon that.

Speaker #4: And also, for that matter, sir, for the next coming year, like FY ’27, can you tell us, sir—I’m not asking for any guidance, sir—but just some qualitative factors, as in, where can the growth come from?

Speaker #2: Yes. So we've been talking about growth of the MSME sector. I think the entire industry, government, regulators, everyone is talking about it. So that's definitely a growth area.

Parag Bhise: Yes. So we've been talking about growth of the MSME sector. I think the entire industry, government, regulators, everyone is talking about it, so that's definitely a growth area. The other business lines that we are seeing traction is gold loan, finance others, again, securities, co-lending. These are the three areas from where we are getting a lot of traction.

Speaker #2: The other business lines that we are seeing traction is gold loan, financial against securities, school lending. These are the three areas from where we are getting a lot of

Speaker #2: Traction. Sir, what exactly are you doing in gold?

[Analyst] (Kotak Wealth Management): Sir, what exactly are you doing in Gold Loan?

Speaker #2: So we loan? have as we call it lines of business. So gold loan is also a line of business that is available with us.

Parag Bhise: We have, as you call it, a line of business. So Gold Loan is also a line of business that is available with us. So is the finance against securities, so is Co-lending, which is our newest one, and, of course, all others that we already have.

Speaker #2: So is the finance against securities. So is coal lending, which is our newest one. And of course, all others that we already have.

Speaker #4: Understood, sir. All right, sir. Thank you. And I hope to interact with you in the

[Analyst] (Kotak Wealth Management): Understood, sir. All right, sir. Thank you, and I hope to interact with you in the next quarter.

Speaker #4: next quarter. Thank you

Parag Bhise: Thank you so much.

Speaker #3: Thank so much.

Speaker #3: you. Thank you,

Vishnu R. Dusad: Thank you.

[Company Representative] (Nucleus Software Exports): Thank you, sir. As there are no questions, now I hand over the floor to Ms. Swati for closing comments.

Speaker #5: sir. As there are no questions, now I hand over the floor to Ms. Swati for closing

Speaker #5: comments. Now, we would

Chinmay Nema: Now we would like to thank all the investors for joining us today on this call. Now I will pass over to Vishnu, sir, for his closing comments. Over to you.

Speaker #6: I would like to thank all the investors for joining us today on this call. Now, I will pass over to Vishnu sir for his closing comments.

Speaker #6: Over to you, sir.

Speaker #3: We thank you very much for your continued interest in nuclear software. And would like to reassure you of our commitment to deliver value to all our stakeholders in decades to come.

Vishnu R. Dusad: We thank you very much for your continued interest in Nucleus Software, and would like to reassure you of our commitment to deliver value to all our stakeholders in the days to come. Thank you very much.

Speaker #3: Thank you very much.

[Company Representative] (Nucleus Software Exports): That concludes our conference for today. Thank you for your participation. You may all disconnect your lines now.

Parag Bhise: Uh-

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