Ladies and gentlemen, good day. Welcome to Gufic Biosciences Limited Q4 and FY 2026 Earnings Conference Call. As a reminder, all participant lines will be in the listen only mode. There will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on a touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Ami Shah, Company Secretary, Gufic Biosciences Limited. Thank you. Over to you, ma'am. Thank you, Yusuf. Good afternoon, everyone. I thank you all for joining us today to discuss Gufic Biosciences Limited's financial results for the fourth quarter and full year ended FY 2026. The press release and investor presentation relating to today's result have been submitted to the stock exchanges and are also available on our website for your reference. Let me now begin with introducing the management team who has joined today's call. Sorry. We have with us Mr. Pranav Choksi, CEO and Director, Mr. Devkinandan Roonghta, CFO, and Mr. Avik Das from the investor relations team. We will now commence the session with the opening remarks from Avik, following which we will open the floor for an interactive Q&A session. Please note that this conference call is being recorded. The record will be made available on our website later today. The transcript will be shared within the prescribed timeline. Before we begin, I would like to remind everyone on the safe harbor statement. Certain comments made during this call may contain forward-looking statements. These statements are based on management's current expectations and are subject to various risks and uncertainties that could cause actual result performance or achievements to differ materially from those expressed or implied in such statements. We encourage participants to review the relevant disclosures and risk factors available in our public filing. With that, I would now like to hand over the call to Avik for his opening remarks. Thank you. Thank you, Ami, and good evening, everyone. Thank you for joining us today. Before I get into the business updates, I want to take a step back for a moment because I think Q4 FY 2026, and actually the full year, deserves a bit of context before we jump into the divisional performance. FY 2026 was a year we came in knowing would be heavy. We were carrying the full fixed cost load of a new facility that was just finding its feet. We were simultaneously making a deliberate call to fix our working capital structure in one of our main divisional clusters, which cost us revenue in the short term, and we were investing significantly in the leadership bandwidth, bringing in new heads across international infertility, aesthetics, and the hospital care platform. People whose contribution will reflect more in FY 2027 than in FY 2026. When you look at the full year numbers, INR 940 odd crores in revenue and a PAT of INR 63 crores on the surface, it may look like a flattish year, but the more important story is what Q4 looks like versus where we started. Revenue in Q4 was around INR 252 crores, our strongest quarter ever. EBITDA came in at almost INR 44.7 crores with a margin of 17.7%, up from 13.2% in Q4 of the prior year, and the PAT more than doubled year-over-year in this quarter. The sequential trajectory from Q1 through Q4 is exactly what we said it would be, and it ends in a place that gives us genuinely a cleaner runway heading into FY 2027. That's the context. Let me take you through what actually moved within each of the divisions and business units. [So,] Indore. I want to start here because Indore has been the centerpiece of our journey for the last 6 quarters, and Q4 is where we close the loop on what we committed. We told you at the start of the year that we would reach 30% capacity utilization by year-end. We got there on target. Indore, in Q4, reached its EBITDA break even with the capacity scaling up. What I want to flag, because it matters for how you think about FY 2027, is that Indore story is now moving into a different phase. The qualification tech transfer validation batch phase, that's essentially behind us. We have 40 product tech transfers complete with another 27 under development and stability testing. We have almost 200 plus State FDA approvals in hand. We have more than 220 Indian pharma companies that have audited or actively using Indore as the CMO base. That's not just revenue, that's third party quality validation of the facility and builds the foundation for the next leg of our growth. The EU GMP audit, which was also committed, was completed in the first week of December 2025 by the Portuguese competent authority. The certificate is pending. We expect that to come through soon, and that will open up multiple EU markets for us. On the international business front, the international business grew highest ever in FY 2026, but the number itself is less important part of the journey. What actually changed this year is our model. We spent several years building up an opportunistic distributor-led filing model where the distributor held the marketing authorization and we were essentially a price-sensitive supplier. That model has its limits and ceilings. We've spent FY 2026 switching to a model where Gufic now holds the marketing authorization through Gufic Ireland for the EU market, for example, and through our own filings in key markets. We control the IP in this setup. When you hold the MA, you monetize the asset in three distinct ways, the direct supply, the out licensing, and the tech transfer fees. That's a structurally different and more durable business in our opinion. T o give you all a sense of the progress in Q4 alone, we've received new product approvals in Myanmar, the Philippines, South Africa, Colombia, Germany, and Ecuador. We filed dossiers in 18 new countries for multiple of our complex injectable molecules. A major global health organization has now finally partnered with us on our most complex injectable asset, giving us access to public health procurement across 109 countries. This is the kind of partnering that takes years to build credibility for, and it tells us that international positioning is working for us. The INR 824 million addressable market across select molecules in the identified geographies that we laid out in our presentation, that number hasn't changed. What has changed is the quality and structure of how we are going after it. Now coming to our domestic business. On the domestic business side, there are two very different journeys this year, and I want to be clear about both. The first is the working capital reset within the critical care cluster. We went into FY 2026 with outstanding receivables from direct hospital billing that was sitting at almost 140-150 days plus, and that was simply not sustainable. Over the course of FY 2026, we made a conscious decision to shift back to CFA-led, stockist-driven distribution architecture. That transition roughly caused INR 22 crores in revenue impact spread across the second, third, and the fourth quarter. We took it because the alternative was continuing to fund hospital working capital at our own balance sheet expense. The market data layer we rolled out to our distribution partners means we haven't lost visibility. We've just moved the credit risk now again. The correction is now essentially complete, and we are very certain this will not recur in FY 2027. The second story on the domestic side is the genuine growth that was happening in parallel. The women's health platform, which spans our fertility and gynecology businesses, delivered its strongest year ever. The reproductive immunology franchise in Ferticare achieved category leadership. Our gonadotropin flagship hit its highest-ever annual sales milestone. Our new hormone, introduced two years ago, crossed its annual target and was ranked among the best new introduction in its segment by IQVIA in the last quarter of this year. Zenova's power brands continued to compound, and we began building out into chronic therapy adjacencies in women's health that gives this platform a much longer runway. On the botulinum toxin front, we are now firmly the number 2 brand in India, sitting at approximately 23% market share in a market that the innovator holds dominant position. We had a strong growth this year. The more important development in Q4 is that we formally signed an in-licensing agreement with a leading Canadian aesthetics company, one that holds a significant market share in U.S. for fillers and biostimulators. This deal fills what was the biggest gap in our aesthetic portfolio, a credible filler offering. Doctors who currently hesitate to shift their full aesthetic business to us because we offer only a toxin will now have a reason to consolidate with Gufic. Our launch preparations are underway, targeting maybe the third or fourth quarter of this financial year. The neurology side of our toxin platform, our therapeutic franchise, continued its methodical expansion into urology, ophthalmology, pain management, and neurosurgery. This is a long-cycle business built on guideline-driven indications where adoption, once established, is sticky and recurring. In our mass speciality nutraceutical and Ayurveda division, we continue to sharpen the portfolio around chronic themes, pain, arthritis, and GI. Some differentiated formulation launches in Q4 includes a first-in-India formulation in our heritage orthopedic brand using an upgraded delivery format. This showed meaningful early traction and reinforced our conviction that modern formulation science applied to a well-trusted brand is a durable competitive edge. With that, it wraps up our update on all the divisions, and I'll hand over the call to Roonghta sir for finance updates. Thank you, Avik. I will going to highlight the financial for the Q4 of FY 2026 versus the Q4 of FY 2025, as well as the financial result for FY 2025/2026 versus the financial result for FY 2024/2025. The Q4 of FY 2025, the top line was INR 205 crore. The Q4 of FY 2025/2026, the top line is INR 252 crore. There is a jump of around more than 15%. The EBITDA for the Q4 of the financial year was INR 27 crore. The EBITDA for the financial year Q4 of FY 2025-2026 is INR 44.77 crore. The EBITDA margin in the Q4 of last financial year was 13.17%. The EBITDA margin for Q4 of the current financial year is 17.73%. Profit before tax, Q4 of the last year was INR 10.8 crore. The Q4 for the current financial year is 27.6%. The PAT margin in last year, Q4, was 5.27%. The current Q4 was 10.9%. Profit after tax Q4 of the last year was INR 8 crore. This year, Q4 is INR 20.5 crore. The PAT margin has further increased in Q4. It was 3.90%, and Q4 of this year is 8.3%. Now I will highlight the financial results for the financial year 2024/2025 versus 2025/2026. The top line for financial year 2024/2025 was INR 820 crore. The top line for financial year 2025/2026 was INR 940.50 crore. The EBITDA for the financial year 2024/2025 was INR 138.6 crore. The EBITDA for the financial year 2025/2026 is INR 152.9 crore. The EBITDA margin for financial year 2024/2025 was 16.91%. The EBITDA margin for financial year 2025/2026 is 16.26%. The profit before tax for financial year 2024/2025 was INR 94.54 crore. For financial year 2025/2026, it's INR 85.5 crore. The profit after tax for financial year 2024/2025 was INR 69.9 crore. For financial year 2025/2026, it's 63.2%. The profit after tax 2024/2025 was 8.53% and 2025/2026 was 6.72%. Thank you very much. Thank you very much, sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to withdraw yourself from the question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. First question is from the line of Bhavya Sonawala from Samaasa Capital. Please go ahead. Am I audible? Yes, please go ahead. Yeah. Thank you for the opportunity and congratulations to the whole team. It's a good set of results. Just a couple of questions. Can you just talk about how sustainable these margins are? Is it operating leverage playing in or some product mix or something that's changed? Hi, Pranav here. Hope I'm audible and clear. Yeah. In regard to the operating margins, as you must have seen in the last few conferences also in the quarters and otherwise, we always feel that there will be an improvement happening in the gross margins for two or three main reasons. The first reason is, of course, the business reset happening between domestic and international versus the CMO. Launch of new molecules and also in international market upgrading to more profitable geographies. These are the main things which will be also where, as Avik also rightly mentioned, where the most of the efforts are also being put that these continues to mature further, and there's still huge scope before saturation kicks in. These will continue to help us to go for that improvement of 0.5%-1% year-over-year gross margin improvement. Okay, understood. I think in the presentation, the GLP-1 validation batches were spoken about. Just trying to understand, is this like a confirmed contract or deal, or how is it working? If you can just throw some light on that. Basically, there are various drug delivery systems for the GLP-1 right now. Mostly, of course, I'm talking the injectable space, there are mostly vials and cartridges which are being there. From the Navsari factory, as mentioned in the last few conferences, we are working on the cartridge and the pen type. Now from Indore, we have signed an agreement with another player who will be focusing on the lyophilized vial form. We are very clear that our focus and our, I would say, play in this entire supply chain would be purely as a CDMO or a CMO, let's put it very specifically. That is where we see that we will be playing a role. Our front-end ambitions right now are limited maybe to a couple of brands in India. For international markets, we would be riding the wave with our partners. Okay. Is it possible to quantify what kind of revenues can come from this or is it too premature? It's too premature. If you see, both India and international are going to have a two different roadmaps. Of course, they will be quite, as you must have seen in the IQVIA data for the last few quarters and even before when MOUNJARO came in. This is here to stay and it's going to be growing. Maybe the margins, what you see might come down. Definitely the markets will be increasing. We see a good upside, but how much? Like I said, our projections never spoke about this. This is an additional benefit which will come via the CMO operations of the organization and where our front-end partners have more of a role to play. It'll be very immature on my part or very preliminary on my part to comment on the numbers. It depends on my customers and my partners' front-end efforts. No, understood. Just a last question. When you spoke about the in-licensing, just to understand it better and sorry for my English, it's only going to be for India, right? Whatever we get the in-licensing or do we manufacture and can supply it internationally too? The in-licensing you're referring to which particular product line? Sorry. Oh, okay. Yeah. As you know, toxin and fillers always go hand in hand in every aesthetic practice. Currently, the in-licensing is for the India market only, and down the line, if economy of scale comes, there are of course other trigger points which hit the relationship going forward. Right now, very frankly, for the next 2-3 years or maximum till 5 years, we are looking at in-licensing of the molecule to complement our toxin journey in the India market only. Understood. Thanks for that. I'll join back, please. Thank you. Next question is from the line of Nitya Shah from KamayaKya Wealth Management. Please go ahead. Yeah. Hi, team. Congrats on a good set of numbers. Nice to see the capacity finally reaching breakeven. I had more of a bookkeeping question. I saw there is an investment made into a cooperative bank of INR 6.5 crores. I just wanted to understand what is the entire arrangement. Is this due to some regulatory requirement, and what kind of benefits do we get out of doing this investment? Yeah. Roonghta. Sir, you like to take this? Yeah. Yeah. No, I will explain. Basically, Saraswat Bank is one of the leading banks with Gufic, and we are associated with this bank for more than 15 years. The bank has come with a proposal to allot only 24 top customers for this year allotment as a face value of INR 10 each. The past history of the bank is that they are giving a dividend of around 15% every year. If we get a 15% return on the investment, whereas we borrow the same amount at 8%, one advantage is that we will going to earn because of this extra income of 7%-8%. That is one reason. Secondly, to keep the relationships with the bank, we decided to go for this investment. Okay, understood. What's the total exposure you'll have with this bank in terms of borrowings? Total, I think the total exposure including fund base, non-fund base, and term loan will be around INR 250 crores. Okay, INR 250 crore. Your interest rate you said is around 8% that they charge, right? In case of Saraswat Bank, one is term loan, one is WCDL, and one is working capital loan. Working capital is 8.2%, term loan and WCDL is 8%. Okay, understood. In the future, since you plan to continue working with this bank, that's why you have made this investment. Yeah. We want to continue because this bank has been associated with the group, and all the difficult times, this bank has given a very big help to the company to grow this level. For a pity of amount, we do not want to leave the bank. We want to continue with bank. Yes, we added another bank also. Now in a consortium banking, there is HDFC Bank, ICICI Bank, and Axis Bank. Say, for example, once you finish banking arrangements with this bank, do they return you this investment or does it continue to stay? You can anytime, when you want to break the relationship with Saraswat, you can sell the same share to the Saraswat Bank. They will going to return only the face value, not any premium or anything. Understood. Okay. That's it from my end. All the best for the coming financial year. Thank you. Next question is from the line of Vishal Mehta from Oaklane Capital. Please go ahead. Hello, sir. Am I audible? Yes. Please go ahead. Hi, sir. I just had a couple of questions. One is regarding botulinum toxin. What is the size of the revenues and profit for Gufic today as an FY 2026? Yeah. Sorry, actually, I was on mute. Yeah. The total botulinum toxin market is divided in two, therapy and aesthetics. Totally, it must be contributing to around 3.5% ± to the total revenue. Okay. In terms of this filler, do we need to do any CapEx for that or that will not be anything significant? No. As if you see in the last few calls also, currently for the India and ROW markets and emerging markets, I think the capacity has already been built in the last four, five years. Tomorrow, if we decide to go to the international market, specifically regulated markets like U.S., Europe or for that matter, even for Japan or others, there is a different CapEx required where also when the time comes, there will always be other options of joint investment or getting someone else in for the CapEx and focusing on the front end on our own. Those were the thoughts which were explored in the past also, and in the future also, if need be, because it's a very selective and a niche thing, there'll always be takers who help us to take care of the investment to joint with us going forward for the regulated markets. Sure. Sorry, Pranav, I was asking about this fillers in-licensing. Will that need a CapEx? Oh, fillers. fillers. Sorry, I thought as a pillar. Okay, fillers. fillers in-license, there is no CapEx involved. It's a direct product manufactured in Canada, and we are importing it and selling it in India in our brand name. Okay. Sorry, not in our brand name, in the international brand name only. Sorry. My mistake. Yeah. How do you see this, say maybe from 3.5% today, how do you see the botulinum toxin growth over the next two, three years? To put it into perspective, always the reason for getting them as a compliment is the toxin and fillers go hand in hand, and that is where the doctors also normally feel, if I want to use your toxin, I am getting arm twisted with the compulsion when I have to use their fillers. Going forward also, like I said before, the total market of India of toxin and filler versus the total population versus when we compare it with Russia, Turkey, Philippines, Thailand, or any other country for that sort, where the penetration also is much higher, there's still a long way to go. Apart from not only helping as an additional tool to satisfy the doctor's needs, the use of toxin and fillers with the help of when the Canadian company comes in, they already are the top two or the top three players in the U.S. also. It's a U.S. FDA approved thing. They also have the best doctors of the world, especially in U.S., in Europe, endorsing their brand. Those will be also called as special speakers here to get the new development and training done of toxin and fillers in combination. The certain beauty trends which are not being done by the Indian doctors can be further enhanced. We feel that market expansion also will be helpful. At the same time of market share increase also would be there because of this relationship. Got it. Very interesting. My second question is regarding your guidance. If you could just give us some guidance in terms of what are your expectations of how the top line growth will pan out over the next 2-3 years, and how do you see margin profile changing with the new higher exports or the new plant coming on stream and operating levers playing out. If you could just give us some guidance on that. If you could add how do you see the debt panning out over this period? I think part of this question I'll request Roonghta sir to help me. Before that, I'll just give you a little bit of a revenue guidance in terms of the debt and in terms of the margins also. Roonghta sir will come and help me answer the remaining questions. Firstly, as I always have been saying for the past few quarters, we expect a 15% revenue jump year-over-year. Of course, the effort is for much more, but of course, those are internal targets, but we feel a 15% year-over-year is something which we feel is achievable. Secondly, the gross margins, as already discussed some time ago, we expect that 0.5%-1% gross margins improvement will always be there. That is what we factor in for. We factor in for more because of the product mix, the geography mix, and the budgeting when we get it too. Always, something like what happened just recently, like the Middle East issue, and there are always challenges and the rupee and the dollar equation also changing. Sometimes that 1%, 1.1% suddenly goes to 0.5%, 0.6%. That's why, I still feel on a minimum level, 0.5% gross margins will be possible. Coming to the debt thing and other margins, I'll request Roonghta sir to please address it. If you see the EBITDA margin for the financial year 2025/2026 was 16.21%. After the scale-up of the Indore, I feel the EBITDA margin for 2026/2027 should be in the range of around 18%. Over year-by-year, there will be improvement of between 0.5%-1% over the year-to-year. By 2030, it can go above 20%. That is our EBITDA margin. Today, our debt is around INR 400 crore. Total gross debt is around INR 400 crore. Looking to the present situation, because the top line will going to increase, there will be additional requirement of working capital. We feel this INR 400 crore will be the toughest loan and it is going to remain at this level only. Got it. Thank you so much, sir. I'll get back in the queue. Thank you. Before we move to the next question, a reminder to the participants to ask a question, you may press star and one. Next question is from the line of Kumar Saurabh from Scientific Investing. Please go ahead. Hello, sir. Am I audible? Yes, please go ahead. Yes. My question is on the slide number 12, the international business, the business model change, going from the traditional distribution model to more IP based. How this is going to impact in terms of P&L? Will there be any change, if you can update? There are two things to answer that. Two things are there. One is whenever you go for this change in model, the additional costs which comes in are most important in terms of dossier and also in terms of the registration cost. Every year you see that in our other expenses also, these have been already factored in. If you remember in 2023, this thought process was already initiated, and that's how when Motilal Oswal also invested with us, we wanted that cash flow coming in to ignite and to kickstart this process of having our own IP creation globally. Year-over-year, you will see, I mean, in the last three years also, you've seen in the other expenses, going forward, you'll see in the other expenses, our registration cost, dossier cost goes up. Even our gross margins, in spite of getting the RM, PM and the consumption done of all the consumable matter to get dossiers and three batch filings done. In spite of them, we will see a 0.5%-1% improvement because more and more investment is being done in terms of getting the dossier processes done. There's a natural improvement also happening because once we move on to more countries or we have gone from a B2B to a B2C in certain countries like Africa, Southeast Asia, or for Philippines going forward, we see those margins improvement happening. Of course, initially there is a little bit of a cost escalation because of registration cost, because of, again, dossier cost and also manpower cost. Of course, last year also there was some expansion of manpower done for certain geographies. Again, this year we continue for having our own head office in the Philippines. We are also having a separate team in Africa, which is directly working on the field on our thing. Some other team members have been taken from Mexico to control the Central and the South America. We also are looking at a Southeast Asian market head based in the Southeast Asian market outside India. Such things will be all factored in our expense going forward. Hopefully, I'm sure leading to a gross margin improvement year-over-year. Sure, sir. We have a slide on R&D regarding peptide and API self-reliance. One question, currently what% of our raw material cost we outsource, and how these projects can change that raw material dependence? If you can tell something more in layman terms, because pharma is very technical. How the peptide and now NDDS, whatever they are working on, if you can give more information in terms of layman terms so that we can understand the opportunity for these. Yeah. There are 2 types of peptide application. One is a synthetic peptides like thymosin, leuprolide, octreotide, cetrorelix. I'm getting little into technical part, but please bear with me. These are peptides which are used for our gynac portfolio, our aesthetic portfolio, or they are used for our anti-infective portfolio. There are also aminoglycosides, which are used for our antibiotics and all that. Somehow this peptide, I would say foray was important for us because they complement our parent products. Since some years, we have gone into APIs backward integration for our fungins, for our anti-infectives, also for our antifungals specifically. For these monobactams like avibactam and now very soon we'll be filing our relebactam also. The API foray is much more where we focus on. Again, I'll be very upfront that it's not that we are changing our percentage, but we are getting more and more deeper where we are importing higher key starting materials by which the value addition, let's say we are buying an item at INR 100, but now we are starting to manufacture item locally by which the costing goes down to INR 70. That is where expansion margins also takes place. Also we become more controlling. Right now if you have registered some suppliers API, then you are stuck with them for some international market. When you file a dossier where you file your own API in your own dossier, then you are independent. You can always change around the key starting material by validating two, three different suppliers from day one. You are not stuck to someone and you know the price increase and price falling now do not hold you at ransom. That's why backward integration always helps you to control the business, make it more stability, the supply is more consistent, and this also leads to margin expansion going forward. Third thing is there are certain APIs which are not available in the market where we have to be much more upfront. That is where the peptides market comes in. There are some future peptides for aesthetics where we feel that there are not many, I would say, dependable supplies coming in, and there are also where the quantity is also very low, and that's why lot maybe many people are interested. However, for us as injection portfolio, they really make sense. These are the peptides we want to be backward integrated completely from scratch, where we import the amino acids and we completely sequence the peptide on our own so that we're not dependent on anyone. This is the 3 different type of applications which help us, and that is where our thought process goes. We become more and more independent. Earlier, maybe we were 80%-85% outsourced. Now we have come to around 65%. Down the line, we hope that 50% of our API can be done in-house eventually. Of course, this 50% will still come from outside because the product basket expansion is also happening with new suppliers helping us. Got it, sir. Thanks for detailed response. Just one question. Will it require any kind of CapEx or given we are done with our major CapEx, next two, three years you see maybe maintenance CapEx? Again, our CapEx has been very clear that except it's some strategic new thing coming in, I think for the next 2 years we don't see any foresee CapEx. Of course, as you know, Navsari is almost now some machines are 20 years old, some are 15 years old, some are recent. Always there'll be a replacement CapEx of around INR 20 crore year-over-year, which will keep on happening to ensure the continuation of business. At least as of now, I don't foresee any greenfield CapEx happening in the next 2 years. Great. Thanks, sir. Wish you the best for future. Thank you. Participants, to ask a question, you may press star and one. Next question is from the line of Harsh Shah from Seven Rivers Holding. Please go ahead. Yeah. Hi, good afternoon, sir. My question is on the margins. Again, you mentioned that the Indore facility is now operating at breakeven. We are at 30% utilization and it is operating at breakeven. If I exclude that, then the margin for our Navsari business comes to somewhere around 21%-22%. Is that sustainable and should we assume similar margins, say 3-4 years down the line once Indore is fully ramped up? Yeah. Devkinandan Roonghta sir, you would like to take this? Yeah. Indore margin we have touched to 20% EBITDA, but over a period of time, the Indore capacity has been fully utilized. The cost is increasing every year by 18%. There is an increasing in the salary, other expenses. The Indore margin, sorry, Navsari margin was 20%, and because of the increasing the cost every year, we feel that Navsari margin will going to remain at around 18%-18.5%. Whereas in case of Indore, because of the new plant, energy efficient plant and large size of lyophilized products, therefore the Indore margin we expect around 21%-22%. Overall EBITDA margin will be going to in the range of around 20%. Okay. Sir, has the tech transfer for our Navsari products already happened for Indore? It's a continuous process. Already, like Avik mentioned, most of them are done. We are not going to take all the products from Navsari to Indore. Indore has its own complex injectable portfolio also. However, there will be always a calendar set out for the next 12 to 14 months, where there will be not only new tech transfers coming directly from the Indore R&D, from the Navsari R&D also. At the same time, there will be some molecules from the Navsari pipeline which will also come in as we foresee some saturation happening in capacities in Navsari also. Our major focus in Indore would be the complex injectables, depots and liposomes, followed by more suspensions going forward, which will be directly tech transfers coming in from the R&D now. Okay. Sir, where are we in terms of new launches? I mean, aztreonam, rezafungin, contrast media, et cetera, and even on the infertility side. How much should we expect the new launches to contribute in FY 2027 and FY 2028? Sir, new launches generally, depending on like last year, we did not have any new launch. Except like I mentioned, what Avik mentioned, the HMG was there, which came in the top 10 launches of the year by IQVIA. aztreonam-avibactam has just been launched by us this week. It will start seeing more prominent sales from Q2 2027. We foresee that every year there will be around INR 20 crore-INR 30 crore of new launches, depending on the molecules. Also there are around INR five crore-INR 10 crore of molecules which we stop also, the tail end molecules. The net delta would be around INR 20 crore-INR 25 crore, till of course, some, I would say, new blockbuster comes, which we foresee some of them might coming in 2028, 2029 or 2027, 2028, with some special unique molecules for osteoarthritis, one for pain management, other one for infertility. These things would come with a higher delta maybe of around INR 40 crore-INR 50 crore also adding to the top line. Got it. Sir, do you reveal how much CMO separately contributes to our revenue? Yeah, I just did it around. Sometime over again, I'll do it for you. Export is around 20%-22%, CMO is around 18%-19%, and domestic business would be around 48%-50%, and remaining would be APIs and tenders and other businesses. Yeah. Sure. Once we fully ramp up Indore, where would our CMO business be in terms of contribution? Right now, because of GLP-1 this year, we will see this CMO business this year go a little bit higher by 1%-2% more, maybe at the cost of domestic. It's not that domestic will increase further, but the CMO might be a little bit more higher because of the GLP-1 foray this year specifically going up. I still say that as you see at peak also, it would be at around 40%-45% of domestic. CMO would be around 15%-18%, and export would be around 30% plus or minus. That is what we see at peak is our main aim, I think. Got it. Sure, sir. Thanks a lot. Thank you so much. Thank you. Participants, to ask a question, you may press star and one. Ladies and gentlemen, anyone who wishes to ask a question may press star and one on their touchtone telephone. Next question is from the line of Kumar Saurabh from Scientific Investing. Please go ahead. Sir, my question is on the critical care vertical. Given now we have gone back from the direct-to-hospital model, what kind of cash flow improvement one should we achieve? Last year, we have lost some revenue because of that. How do you see the growth happening in the critical care vertical and how you see the cash flows shaping up? If you can, at a consolidated level, if you can say either EBITDA, what kind of percentage of EBITDA we'll be converting into operating cash flows. I'll just talk about critical care, then I'll request Roonghta sir to talk about the EBITDA conversion to cash flow. For the critical care, we foresee because even when the volumes are increasing higher, there's always a price erosion which happens there. Even if the volumes increase by maybe double digits, the growth which we are putting up this year and budgeting will be around 6%-8% only or maximum to 9%, except the new launch, which will add to a different delta for sure. That is what is our expectation from the critical care as of now, assuming still the volumes would still be to double digits. In terms of now the cash flow, Roonghta sir, you can take it up. Yeah, no problem. Yeah. The cash flow is depending upon the lot of factors, it's collection as well as different sales. In case of a domestic sale, our collection will be around 30-45 days. In case of a CMO business, it is around 90-120 days. The cash flow generation will be around 12%-13% of the total sales of the critical care division. Got it. If we look at the incremental growth for next three, four years, it looks like bulk of the growth might come from export, correct me if I'm wrong, and also primarily from European market in case you are targeting that 5%-10% market share, which comes around INR 400 crore-INR 800 crore. The general sense is usually regulated markets, they trail at a higher EBITDA margin. Given the incremental revenue ideally might come from a regulated market, do you see that also contributing to the margin expansion? No, actually, I would still say that the main delta would still come from domestic as well as international. Domestic, I will just give you a brief about the critical care, but the new products launches of aztreonam, avibactam and also future other molecules would of course, add up to that. Also, you have to figure out that as I mentioned the previous few calls, we also have the dual chamber bags which have been launched by Sparsh. Sparsh, which is the other offshoot of the critical care division also would start growing at a much faster rate. There we have two, three other molecules also launched as their inherent business change has happened as a strategy. The IVF division which was in double digit last year would still continue because we have a recombinant product also being launched in the next one year and again in the year after that, there is one other recombinant product which is going to be launched in addition to the current portfolio what we have. IVF also would be in domestic space growing at a decent pecentage. The botulinum toxin, of course, even though the base is quite small, it's like I mentioned, it's around 3.53%-4% of the current revenue. They would be growing at a much faster rate. This along with the ortho gyne portfolio where we are launching some injectables which are the only one in India, first time for osteoarthritis and there's, like I said, next year we'll be launching for pain management also. The domestic piece of business which continue the growth going forward. Overall, the international market of course comes with a higher margin expansion. I see the margin expansion happening both in domestic as well as international business. CMO business is something which again I'm repeating. The GLP-1 is a, I would say, this year maybe next year phenomena also. We see that saturation coming in down the line as a CMO partner. We foresee there'll be static margins happening there. Whereas the other CMO business which anyway our capacity is being diverted to international domestic market, the CMO business would also little bit to lead to a margin reduction. That is why keeping all these three factors in mind, we still say that margin expansion will happening more. Again, due to both domestic as well as international business. Got it. I have one request. I know we provide lot of detailed information on all the businesses, how they are doing qualitatively. If you can have one or two slides highlighting each business financial numbers, I think it will become easier for us to have all those slices and dices of how each of the business units are performing. That's just what it is. That's all I get. Already all my seasoned investors tell me you're giving too much information, don't give more. Because of too complicated. I don't know. On a lighter side, of course. If I see some merit, I will discuss internally and will get back to you for this point. Yeah. Sure. Thank you. Yes, sir. Thank you. Next follow-up question is from the line of Nitya Shah from KamayaKya Wealth Management. Please go ahead. Yeah, I just had a question that in your investor presentation FY 2029 you say USFDA and Gufic will be a pure play CDMO partner. Could you speak a little bit more about this long-term vision with regards to CDMO and how you see this shaping up, say once you receive approvals in FY 2030? Just for me to understand how the management is thinking. Sure. As you see USFDA is a, I would say very new I would not say a new thing for us, but it's more in terms of the risk appetite we are going step by step. Over the years I always feel there are so many other delta of opportunities in the rest of the world and Europe and other markets where even the IP would be more focused and we would be much better to have IP created there which are the next growth levers. U.S. was done simply because there were some products and some complex injectables which are available to us, which we feel there's a need there. Just giving again telling you about the timelines. We have taken some batches. There are some batches which are going to be taken in July and August which would trigger our USFDA inspection by the end of the year once we file them. We hope for a, I would say inspection maybe as per their of course, our clients and the USFDA depending on their calendars they will trigger the inspection maybe next year or something and that's why we were confident of 2029 or 2028 also U.S. operations to start provided everything goes well. Again, USFDA is a very complex market and the front end risks are quite, I would say different than what we are used to. We foresee that for the next two, three or four years we want to be very clear. We want to start be as a CMO then a CDMO where our risks are very well defined and controlled in a black and white manner without going overboard, which should not affect our other growth levers of the rest of the world market, European markets, Brazil, South Africa and for that matter even Canada and even the Far East. We don't want to compromise on that. As well as like I said domestic also we have our bandwidth quite sorted. This is our approach to the U.S. market in a nutshell. Okay, understood. Regarding the debt levels, if I'm not wrong I heard that the debt levels would continue to be the same for the next two to three years. I saw that even your cash and cash equivalents are also going up at the same time. I think currently there's INR 75 crores cash on the March 26 balance sheet. I was under the assumption that there could be a scale down in terms of debt. Just correct me if my understanding is wrong. I think what Roonghta sir tried to explain was keeping in mind the working capital which might be required for the next two to three years. We are confident that the current short-term debt level is enough to take care of that. Okay. Of course, the long-term debt as you see has been reducing year over year. Yes. Since there will be no more greenfield project, of course, except for replacement investment which might come, which might be part of the CapEx going forward. Those are the only plus or minus changes which will happen. Just to give you a small example, when this GLP-1 opportunity came up in the last two years also we have invested more than INR 30 crore, INR 35 crore from these numbers to ensure that we become like a suitable CMO player also in terms of machinery, in terms of validation, in terms of even certain dossier requirements also for our partners. That's why since that growth and Gufic always has been that always keep on investing for the future in terms of dossiers, new products, or licensing or something. We foresee that always there will be some investments done in that direction. You just saw how we did it for Selvax also, or we doing it for one more other. A normal clinical trial, which we just in-licensed some time ago, is going to cost up some INR 40-INR 50 crores, which is going to be a long-acting product, but a short-acting clinical trial is always INR 15- INR 20 crores. All that also, we don't want any debt to happen. We want it to be done from our own cash flow. We foresee that this will be the peak. I'm sure that there will be a reduction of debt, but we don't want to say or comment anything on that. Let it come very naturally when we don't want to compromise our growth levers just for the sake of reducing debt. Got it. Yeah. Sure. Thanks for a detailed answer and wish you all the best. Yeah. Thank you. Thank you. Next question is from the line of Madhur Rathi from Counter Cyclical Investments. Please go ahead. Sir, thank you for the opportunity. Sir, I'm relatively new to the company, so I wanted to understand, sir, there's a competitor called Sakar Healthcare. Even they are into lyophilization. How are we different from them and why do they make upwards of 25%-28% margin? Sir, I think you are asking me to do your job, right sir? Sakar, how is it different from us? You tell us. Sir, from my understanding, their margins are higher than us due to a larger share of exports and oncology products. Okay. You mentioned that the Navsari facility will move towards manufacturing more export-oriented lyophilization injectables. How should I look at the margin for this particular facility going forward? Can that delta between us and them reduce going forward? Is that a fair understanding? Sir, okay. I'll not comment anything on Sakar because I really don't know anything about it. I know it's a good company. I'll tell you, Gufic is more, if you divide the business of Gufic, it's a domestic business, it's an export business, it's a CMO business, and APIs. If you see in the last two to three years, most of our interest going up or our depreciation going up is where most of the investment is because of the Indore facility. Also till last year, the Indore cost was capitalized till the third quarter, and then you see a sudden cost increase this year, and that's the reason where you see certain costs coming in our P&L. Coming specifically the business side of it, I don't know what is the life cycle of the company there. We are right now starting our life cycle of the next foray of Gufic. When we have to go for the international market, the expansion of capacity. Right now we have one of the largest lyophilized capacity. For anyone in the market who wants to create a capacity of our level, they will at least take two to three years. Also to get to the level of maybe around one million vial capacity in that period is very difficult. Our efforts in the last two to three years have been to not only focus and take care of the Indore expansion, but also side by side blend it with a proper dossier as well as regulatory expansion, which is seen in other expenses, which is another load on our P&L, but it's all investment done for the future. That's why you see even the employee cost suddenly came up because of the recruitment of now people in the international market which have taken up. When I was a B2B supplier around four to five years ago, before Indore started, I also had a very healthy set of, what do you say, numbers. When the expansion time comes, when you want to go to a particular scale, there are certain things which we need to invest in the near term to ensure your long term you are taken care of. At that time also what we realized that today in any country, tomorrow they find a manufacturer who is cheaper than me, they can easily replace me and get it done from them because they have a lower overhead and my overhead year-over-year will always increase. Tomorrow, when you go for your own product investment, your own market authorization, and you have a basket to control, your, I would say, pillar or your base is much more solid, is much more intact, and you can actually get a much better pie because the margins are much better. Whenever we in-license any new product from the international market or from our own when we do an R&D development. Because every year we do almost R&D, which is worth at least 8%-12%, depending on the year and how the CFO gives us any budget. We spend 8%-10% of our top-line revenue in our R&D budget every year, which I don't know how many companies of our size do that. The patents created are much higher. Answering your question related to Gufic, we foresee that whatever investment was supposed to be done in CapEx is done. Our dossiers which were supposed to be done, which is an ongoing thing, but still we have reached that. We have done a good, recent amount, and we foresee the next two to three years to four years, we should now reap the benefits of what we have invested in the last two to three years in terms of our other P&L and other parameters being improvement, what you investors want to see eventually. Let's hope the next two to three years with our hard work and my team's hard work, we can deliver, and we can get those numbers high and get those, I would say,% as per your requirement for which we have worked for the last three years. Got it. Also, sir, you mentioned that gross margin improvement, one of the drivers or catalysts would be the higher share of international business in the CMO business. Where are we on that front? Have we been able to get any orders or some kind of commitments from customers? What kind of products are we targeting? If you could help us understand. Again, my reason has not been CMO for gross margin expansion. I've said that the gross margin expansion would be, of course, because of the domestic some pieces and international pieces for sure. In terms of the international business, there are marketing authorization which we are working on, where front-end business would be a little bit more controlled by us, not only in terms of tenders, but in terms of actual private markets also. This is where we see the margin expansions coming in, for which we have put in people for the last two years. There are two markets. One is, of course, Europe, which is a tender market. At the same time, there is the rest of the world markets where it's more than tender, it's the private markets also, where our field force goes and actually works in the market similar to how we have in India. Those are the margin expansion. With geographies being added in the B2B market, like Europe, tomorrow maybe U.S., before that already South Africa and Canada and Brazil and others. There we see the margin expansion coming in because of not only the existing molecule, but we keep on adding more and more molecules year over year. This is in regard to the margin expansion due to international market. Domestic market also, I explained that there are new product launches. There are IVF, I would say toxin and ortho gynae and other markets and divisions where we are going to introduce new products and also there are already the natural growth progression also happening by which market expansion will be done. Madhur Avik here. As you read more about us, you can reach out to me. I think there are many things to piece in Gufic. I'll be happy to take you through it as you build your thesis. Yeah. Perfect, sir. That would be great. Sir, thank you so much, and I'll contact you via the email. Thank you so much and all the best. Thank you. Ladies and gentlemen, as there are no further questions from the participants, I now hand the conference over to Ms. Ami Shah for her closing comments. Over to you, ma'am. Thanks, Yusuf. Thank you everyone for joining the call. Should you have any additional questions or queries, please get in touch with the IR team and we will be happy to address them. Thank you everyone. Take care. Thank you. On behalf of Gufic Biosciences Limited, that concludes this conference. Thank you all for joining us and you may now disconnect your lines.