Ladies and gentlemen, good day, and welcome to Caplin Point Laboratories Q1 FY 2027 earnings conference call. As a reminder, all participant lines will be in listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Candice Pereira. Thank you, and over to you, ma'am. Thank you, Iqra. Good evening, everyone. I, Candice Pereira, on behalf of Dolat Capital, welcome you all to the Q1 FY 2027 earnings call of Caplin Point Laboratories Limited. Today from the management team, we have with us Mr. C.C. Paarthipan, Chairman, Mr. Vivek Partheeban, Vice Chairman, Mr. Ashok Partheeban, Vice Chairman, Dr. Sridhar Ganesan, Managing Director, and Mr. D. Muralidharan, CFO. I would like to now hand over the call to the management for their opening remarks. Over to you, sir. Thank you, Candice, and thank you to Dolat Capital. Welcome, everyone, to our earnings call to discuss the results of Q1 FY 2027. Please note that a copy of all our disclosures are available on the investor section of our website as well as on the stock exchanges. Do know that anything said on this call which reflects our outlook for the future or which could be construed as a forward-looking statement must be reviewed in conjunction with the risks that the company faces. The conference call is being recorded, and the transcript, along with the audio, will be made available on the company's website as well as the exchanges. Do note that this conference call is copyright material of Caplin Point and cannot be copied, rebroadcasted, or attributed in press or media without specific written consent of the company. With that, I would like to hand over the floor to our chairman for his opening remarks. Thank you. Good evening, all. Welcome to our investors call for the quarter ended June 2026. When everyone said Caplin was no more, we proved that we are now here. You know our sister turnaround story. Today, we are neither a parrot that talks too much but can't fly, nor an eagle, which has the power to touch the sky. However, Caplin is a Jonathan Livingston Seagull, which aims to fly like an eagle and eventually makes it also. Now let me present to you the operating architecture of our manufacturing and marketing. My colleagues will present to you about the various factories that are being built, unbuilt for the regulated markets. Further, our registration in smaller and larger geographies created the compounding effect to our company. The proof of the competitive moat is the free cash flow stands at free cash reserves, stands at INR 1,500 crore, and the total liquid asset is in the region of INR 2,875 crore. Our assets in the form of factories and others will become the engine of growth in the years to come. Now we encourage women empowerment in our shop floors. They are more obedient and disciplined. That has really brought productivity also in the shop floors compared to the earlier days. Now, most of our machines are totally automated. Either they are imported from Germany or Italy for our future facilities and also for the expansion in the current facilities. We digitized the entire factories. In fact, CSL, we have completed it to 80%-90%, and in the next six months it will become paperless. We will try to replicate the same in all our facilities so that the digitalization will be completed and the factories will become paperless. In addition to that, we are introducing the video masters for visual learning, which will help the individual from the individual memory to the institutional memory. Also that will give us the institutional intelligence. Video masters will help us to capture the entire qualifications so that what will happen, even if the person who involved in the qualification leaves the company, the knowledge will remain in the video in the company. We also further introduced the AI cameras, and then we are planning to go for digital twins, maybe in one or two years from now, which will help us to do the remote monitoring, which alone can help us to understand the transparency in the facilities also. Ours is also a vertically integrated infrastructure with intermediate APIs and finished goods for the regulated markets. Most of the APIs that we want to manufacture will be for the curative consumptions. The commodity APIs, we will not go for our own manufacturing. We'll rather buy either from India and China for our regulated market business. Now marketing. Today, products may get commoditized, but the business model, if it is unique, it will never get commoditized. That's the reason now our cash flow and profit continue to be growing in spite of the presence in the smaller geographies of Latin America. We have created the compounding effect to our business, as I told you before. Now that we are entering into the bigger geographies, where we currently have a mix of tender and private market business. However, we'll focus more on private market where there is less competition for generics from India and China. We now plan to buy a distribution company in Mexico, which will make our job easier to understand the product selection and customer identification. Our current challenge is not in the form of depth of orders, but lack of capacities in our two major factories, which is CP-I in Puducherry and the CSL in Gummidipundi. Hence, we are expanding to new factories. It's a question of time before we complete these factories. Once we complete these factories, although it may take one, two years or two and a half years, we are sure of increasing our business manifold. Our profits and cash flow will continue to be there because of our business model, and most of the time, our business, as I told you, continue to be flourishing because 20% of our products, the fast-moving products, always stay in the warehouses, which is next to the customer. The goods, 20%, which I say, is always for six months of good in the warehouses. It helps the customer, and it has created actually a fan club for Caplin products. Once we complete our all regulated market factories with all kinds of pharmaceutical formulation in two to two and a half years from now, as I told you, we are sure to reach greater heights. The compounding effect will build our business, and the strategic redundancies that is created in our factories will protect our business. We are moving from a manufacturer-to-customer towards a customer proximity inventory model by planning to buy registration in the bigger geographies too. The proximity, plus strategic redundancy, plus compounding effect model of Caplin will continue to actually flourish in the future too. Also, the manufacturer faraway, that is either India or China, with inventory close to demand and intelligence even closer to demand with data dominance of facilities are going to be our operating philosophy for Caplin Point. Our business is not defined by others. Let me end with a nice narrative, that the flame of the candle also does not fear the dark. It defines us. It defines it. We are sure of creating the right transition from good to great. Thank you. Thank you. Now I invite Vivek to give his presentation. Thank you, Chairman. Once again, welcome to everyone for joining us on this call. We have always believed the real strength of Caplin is not just in any individual product or geography or any particular quarter. It is the consistency of the underlying business model, our ability to grow across existing markets and new markets, while at the same time generate healthy cash flow, profitability and grow our top line as well, and meticulously reinvest in capabilities that will support our next phase of growth. I think Q1 is another good reflection of that. Our emerging market business continues to be a very dependable growth engine for us. Latin America has been built over two decades by Caplin through a combination of a strong distribution network, supply chain consistency, and more importantly, a deep understanding of the markets in which we operate. We continue to see opportunities virtually across all the existing markets, which goes to show you that Caplin's existing markets continue to grow. What is particularly encouraging is that we are not just trying to extract more growth from existing businesses. We expand the addressable opportunity through new areas such as oncology segment, branded generics, and also new markets such as Chile and Mexico. Coming to Mexico, we have a substantial pipeline of our internally developed products and also in-licensed products planned for filing. Chile and Central America are continuing to see good traction in tender and private market business. Coming to U.S., we continue to see robust growth in cash flow, bottom line and top line, which are the three most watched parameters for us in that particular order. We have spent several years building the capabilities to participate meaningfully in the U.S. sterile injectable space, and we are slowly starting to see the results of that now. We have a very good blend of critical care injectable products that are used in every health system in the U.S. and other markets, also supplemented by a growing ophthalmic products portfolio. Going forward, we will also see products with a lot more complexity coming out of CSL, which should add to our bottom line. The important point for us is that this is no longer about only supplying products into the U.S. We are gradually building a much more integrated platform from R&D and manufacturing to regulatory capabilities, and also having our own label for commercial operations and direct relationships with customers. This will shortly be augmented by our own API, which will also give us very good control on our supply chain, which is a critical area in this space. Caplin Steriles US is an important part of our evolution. We have already launched a meaningful number of products under our own label, and we are increasingly developing direct relationships with the large and small Integrated Delivery Networks in addition to the big wholesalers in the U.S. We believe this gives us greater control over the commercial side of the business, longevity on products, and over time, it should allow us to capture more of the value we are creating. This brings me to the most important part of our strategy. We are investing ahead of our growth. As chairman was saying about the CapEx we are putting in, the next phase of Caplin is going to be very different from simply adding more products to our existing platform. We are building capabilities across the entire value chain. We are increasing our sterile manufacturing capacity. We have already expanded into oncology. We are developing API capabilities to increase backward integration, and we are expanding our oral solids and dermatology capabilities also. Soon enough, we are also planning to build manufacturing capabilities closer to the market in Mexico. We are investing also into expansion in our Amaris Clinical for larger number of these studies for our growing portfolio of products. Importantly, we are doing this from a position of financial strength. We have not taken a single dollar from outside in the form of a bank loan. Our CFO will throw more light on our balance sheet strength. When we talk about being future-ready, this is what we mean. As we look ahead, our ambition is not just to become a larger pharmaceutical company. We want to build more into a platform with a strong presence across geographies, a broader portfolio, and greater vertical integration, and strength across manufacturing and R&D capabilities. The first phase of Caplin was about building a successful business model. The next phase is about scaling that model and building capabilities around it. We try and identify what patterns have worked for us in the past and try to repeat those patterns for our growth in future as well. With that, I hand it over to our CFO to take us through the financial performance for this quarter, and we will be opening up the floor for questions after that. Thank you. Thank you, [Srinivas]. Good afternoon, ladies and gentlemen. Let me take this opportunity to thank everyone for taking time off to be participating in this call. I am pleased to reiterate what I said during our Q1 investors call for FY 2026. What is well begun is half done. We have well begun this quarter with few of the highlights, which I would like to throw. Overall revenue grew by 20%, supported the 18% growth in our conventional market, and more importantly, 26% growth in the U.S. market. The LatAm business recorded strong growth, supported by a major tender won in El Salvador and supplied mostly in the last quarter. U.S. revenue growth predominantly driven by the U.S. subsidiary, which Sridhar mentioned, where revenues increased from INR 14.4 crores in the previous year to INR 43.1 crores, which is about threefold increase. Absolute growth of INR 30 crores over a base of INR 14.4 crores. The business is well-positioned to make a significant contribution to CSL and the group's overall growth going forward. Gross margin stood at 59.8%, which is in line with our targeted and expected, and we expect to remain at similar levels through the year. U.S. contributed approximately INR 25 crores of the total INR 50 crores increase in the gross profit. This shows how CSL is coming into party, and then they will be a more significant player in the future growth of the company. Operating expenses increased in absolute terms from INR 137 crores - INR 151 crores. However, as a percentage of revenue, they declined from 23.7% - 23.6%. This improvement in operating efficiency more than offset the movement in gross margin, resulting in an increase in EBITDA margin from 37.1% - 38.4%. Depreciation increased by INR 5.3 crores, primarily due to the capitalization of line six in CSL and the oncology project, injectable project in Kakkalur and Vizag API plant from addition four and above what we initially purchased. PBT grew by 22.1%, increasing from INR 184.5 crores- INR 223.2 crores. The effective tax rate stood at 20.5%, in line with targeted prediction. Tax stood at INR 1,009 crores, representing a 19% increase over the previous year. Cash flow from operations is expected to improve from the current INR 95 crores reported for the quarter. This is primarily due to conscious decision to increase warehouse stock from INR 429 crores in March to INR 505 crores, an increase of about INR 76 crores, which in terms of space will be at least 200 acres, to shield against potential supply disruptions and ensure supply chain continuity amid the ongoing geopolitical situation. Additionally, to shield against potential increases in raw material prices arising from escalation oil fluctuation, we have increased our RMPM inventory by INR 15 crores. These are the two factors. Apart from that, the receivables also have gone up by about INR 46 crores as compared to March, primarily due to supplies to government this quarter, and then these are all expected to be received by Q3 of FY 2027. These are the primary reasons why you would see a moderation in the CFO as compared to our conventional increase. These initiatives are not likely to repeat the same quantum going forward in the Q2 onwards. The entire profit will flow into the CFO. Cash and cash equivalents, as the chairman put it, increased by INR 266 crores. We were at INR 231 crores as of last June, and we are at INR 1,500 crores as of June 26. Liquid assets increased by 30%, that is INR 668 crores from INR 2,207 crores - INR 2,875 crores, primarily consisting of cash, receivables, and inventory. Shareholders' funds were net worth increased by 25% in the last one year of INR 762 crores. From INR 3,013 crore, it has increased to INR 3,776 crore in June 2026. We will have to be modest in saying that when we compare our peers in terms of ratio, like EBITDA, PBT and PAT, we are way ahead of our comparable peers in the market. With this opening remarks, I would like to conclude, and we will be able to answer any questions from the participants. Over to you, Mr. Vivek. Thank you, Mr. Muralidharan. We can open up the floor for questions now, please. Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question comes from the line of Abhi Jain from AJ Capital. Please go ahead. Hi. Good afternoon, [inaudible] and Muralidharan. Yes. First of all, sir, congratulations on a very set of numbers. Good to see. Thank you. The growth rate is maintained and you are on track to achieving your long-term goals. So congratulations on that. I had two questions. First, I wanted to discuss the rest of the world's profitability on the PBT level. If I look at the numbers year-on-year, in Q1 of FY 2026, that was at 37.5%, the PBT profitability for rest of the world. That came down to 34.6%, 7%, then Q4 of FY 2026. This quarter, it is down again to about 33-odd%. I just want to understand what do you see this holding up to? Can you guide us in terms of what this level would be for FY 2027 and future purposes? Because we are seeing that quarter-on-quarter, it is inching down by 1 to 2 percentage points in the last 12 months. Can you guide us on that? Yes. Okay. You have one more question to complete, or is it okay to answer? Yeah. The second question is on capital allocation. I can ask, once you have answered this, we can get onto that. Okay. See, that 1% and half percent which you are talking is actually true. But again, I would request you to look at actually the free cash reserves and the total liquid assets. See, it is quite normal actually for any company. There is a possibility of 1% or 1.5% decrease because when the business actually, especially the generic business, is in a position to actually generate cash and generate profitability, which is substantial compared to our peers, I think it is fairly okay. But now our focus also, in addition to these markets, we are moving to other markets also. The second most important thing is our expenses are also slightly increasing in these places because the products that we have been marketing, it is more of generic. The second level of marketing now, it takes that, of course, increase the expenses also. That 1% or.5% is not going to be getting reduced every year-on-year basis or every quarter-on-quarter basis. It might even improve. I am sure it will improve actually after a point of time, when we are planning to go for actually more and more of products, which will actually create value to our generic business also. The reason being, this is not a commodity kind of a business where no generics gives you this kind of properties because of the business model differentiation. Yes, please. Please go ahead. Can I get the permission? Yes. Director of finance also to give his comments. One more point for the information. Please Actually, if you recollect what we have set as a target or committed is about 50% of the contribution margin. Right We are way ahead. We have performed better. If you compare it to 55% what we have committed, and 59.8%, there is nothing to worry about. This is, as Chairman rightly put it, this is a quarter-on-quarter, we cannot say. We have to see as a year as a whole. It depends on what product we sell, which market we sell in a particular quarter, and what contributions they yield. Please rest assured, we have said that in my remarks also, I said 59.8% is what we achieved. We say put around that, about 60% is what. Though 55% and 25% is the fact we committed, we are way ahead in both the parameters. No, I understand that, sir. You are obviously maintaining and achieving your overall numbers. I just wanted to get into the details of it. I wanted to understand the business a bit better. I just wanted to understand what is a steady state level of profitability in rest of the world that we can expect. That was my question. Coming on the second part of the question, actually, you answered that the cash can result in a bit of a drag. I wanted to understand your capital allocation. I see that you have this INR 1,000 crores odd of cash in hand, and most of them is invested in debentures and bonds, et cetera. Any thoughts around improving the yield by investing in index funds? If you look at Nifty 50, Nifty 500, these have a steady compounding of 9% - 10%, give and take any four-year, five-year horizon you see. So any plans to invest part of it in index funds? These are relatively safe. They provide a yield of 100 basis points - 200 basis points higher than the corporate bond. Just wanted to keep it on the table. If you could put it into consideration, it will help improve the profitability also, annual profitability by 100 basis points - 200 basis points, looking at the INR 1,000 crores of cash reserve that you have. Thank you, and valid suggestion. In fact, this was discussed during our. Board meeting. Recent board meeting also. We've gone from a state of being ultra-conservative and having everything and only in FDs to slowly moving up the risk chain, if you want to call it that. But your points are well taken. In fact, one of our directors also suggested that we can be slightly, I wouldn't call it adventurous, but we don't have to be right at the bottom in terms of the risk appetite when it comes to investing our reserves. I think slowly we'll be moving up. Already, I think we are into credit funds and debt funds and things like that. I think index funds could be the next in line for us to evaluate. Maybe what we can do is, over a period of time, work on having an investment policy per se for excess funds. But again, we always want to make sure that capital protection is more important than the returns. But once again, point well taken. I think one or 2 percentage points with this kind of a quantum will certainly be a large number, and we should not be ignorant to that. Yeah. Yes, sir. The biggest investor and the. One more point. Yes, sir. Go ahead, sorry. Just to add one more point. In terms of the long-term investment, actually, as we have been discussing in every meeting, we are also keeping our eyes and ears open on inorganic opportunities as well. We would like to have the cash at our disposal at any point of time there. For sure. If we need. Yeah. For sure. But a part of your portfolio, a part of that INR 1,000 crores can be parked. We understand. We make a small beginning. Point well taken, we will do that. And capital protection. Because the biggest investor, Mr. Warren Buffett, uses his cash reserves when investing in index funds, investing in safe equities. Obviously, we shouldn't be so scared about it. And Indian equities, especially the index funds, have a long track record of over a four to five period horizon, giving at least 9%-10% return. I think we can be a bit more open about it. It helps improve our profitability by 1 percentage points - 2 percentage points every year, so why not do that? That's just only a suggestion. We can start with maybe 200, 300 odd crores, 20%-30% of the portfolio. And 70%, you can use it for inorganics and acquisitions, et cetera. But just thinking out of the box. If Warren Buffett can do it, certainly we can do it at our end. Thank you. Point taken. Thank you. Thank you. Thank you. Ladies and gentlemen, to ask a question, please press star and one. The next question comes from the line of Prakshal Sakaria from Sakaria Investments. Please go ahead. Hello. Hi. Am I audible? Yes, please. I have three questions. The first question is that I think Mr. Vivek mentioned that they are looking at a distribution company in Mexico. Have we narrowed down to any right now? Yes. I am the one who told that one. Oh, okay. There are opportunities, like three to four companies. The company, Ashok Partheeban, has looked at it, and of course, is going to collect the details and send it to us. After that, we will have to do the due diligence and take a call. Okay. So we can expect an acquisition soon? It all depends. If it is a meaningful acquisition. As I told you, the idea of going for a distribution company is to understand actually the products, mainly for selection of products and selection of customers. This will also give you an opportunity about the entire reach of the distributor. If distributor covers the entire country, that's a major opportunity. So that we'll understand which are the pharmacies, which are the small chains, which are the smaller hospital, which are the private hospitals the distributor is covering, then accordingly, we'll have to take a call. We'll have to take a decision. Okay. Those three types are very crucial. If he's actually selling only multinational products, it doesn't make a difference to us. If he is selling the local company products, we'll be very keen. We would like to actually buy even at a little higher cost. But if he's only selling multinational products, you know very well multinational products have been sold in any market for that matter, say 100 years or 60, 70 years, and above. Local companies means it will not be more than actually 20, 30, 35 years. So that also makes a lot of difference. Multinational products, most of them are patents, and they get expired, and that became actually a generics. Local companies, they only manufacture the patent-expired products, so something similar to our model, generic business. Okay. Understood. My second question is to Mr. Vivek. I think we are right now running five, 10 line and moving towards 17 sterile lines, which will be one of the biggest in the country. So what gives us the confidence about the healthy utilization of those 17 lines? Because 17 lines is huge. So are we expecting that much demand from us? Are we getting a lot of queries right now? Yeah. Can I get into it first, and then. Yeah I will actually ask. Yes. I mean, anyone can answer. I welcome the answer. Yeah. Currently, last four years, I have been sitting in the factory, so I would like to actually give a bit of the right question to you also. See, now, out of seven lines that we have here today, we find it very difficult to handle actually the orders that are coming to us. One main reason is when we were smaller, when we didn't know much of actually the technology, we didn't balance it properly. Most of our, like three of our lines is a mix of Terminal Sterilization and aseptic. Whenever we expanded, we expanded in such a way that it was not very actually correct also. So it leads to lot of actually complications in the sense it is not a major issue in the form of quality issues or integrity issue or a safety issue, but it leads to breakdowns. The first phase of our actually injectables, it took 10, 12 years already. We got our first USFDA inspection in 2016. The second phase were all new lines actually, like line four, five, six. So when we go for actually the phase III, we will not go for all the seven lines. We'll start with three lines and move all the aseptic to the aseptic actually, this thing, line, where it will be with isolator. Which means the aseptic practices will be totally eliminated because isolator lines doesn't require aseptic practices. Then when we go for actually ophthalmic products, ophthalmic machine, which we are going to import from Germany. This one also is a very sophisticated line, and then it involves lesser human intervention. The third one is, as I told you, we are not only getting into the automated machines, we are also getting into digitization. Once you complete the digitization, especially the LIMS and QC micro, and then the entire digitized in the form of eLog, eBMR, eBPR, it becomes paperless. The third one, as I told you actually, the visual intelligence. People will learn everything through video because seeing is believing. People can learn by. If someone teaches, there is a possibility of forgetting. But if someone happens to see and do the work, it becomes easy also for them. So with all these additional advantages in addition to AI cameras and all, when we go to the customer, we'll be one of the few companies of our size who has actually the wherewithal. So I'm sure that we'll be in a position to get actually good business going forward. Because of, A, the entire actually state-of-the-art actually model that we have told you in terms of machine, in terms of actually digitization, in terms of video way of doing things in the form of the entire qualifications. Most of the time it was done by people. People when they leave, the summary and the intelligence both leave. But now that it will live actually in the video library. So not necessarily you'll have to worry about the people. You'll have to bother more about the system. But if the system is integrated with AI cameras, then the MS also comes to us easier, and it's easier to manage also. And then someone who is actually in U.S., if they want to see whether we have taken up the products for production, they can as well see from U.S. also when the production is on actually in the nights here. You know, actually, the night here is day there. Injectable is one thing now which goes 24 by 7. So like that, I can tell you there are a lot of advantages every customer will have. And most of the CMOs of our size may not have this type of actually advantages. And on top of it, we also have R&D both for API and formulation. We will be in a position to also do something actually for the R&D and other things in the form of tech transfers, everything. These are few advantages which we have. I am sure, we are very confident we will be in a position to increase our business. Now I will invite actually the Vice Chairman to say a few words about it also. Yeah. From the commercial side, if you see, we are actually booked out till almost February of next year. We have been just about barely able to keep up with demand, and we know that expansion of capacity is extremely crucial for us to keep up with the growing demand. Number two, out of the 60 odd ANDAs that we have, only 39 has been launched. We have to continue working on launching the remaining products as well. Number three is we have another 40 + products in the pipeline in both pre-filled syringes, ophthalmic suspensions and all of that needs to also come into play. And in the new facility, we are also getting in two very niche areas such as blow-fill-seal products, inhalation products, and potentially also getting into other sterile dosage forms. All put together will be close to 15 + lines. I am not even taking into account any of the capacity requirements that we will need when we get into full scale operations in Brazil and Mexico and stuff. By no means we think this is overexpansion or anything like that. In fact, we are expanding a little bit ahead of time Finally, the last one is, we've always had an eye on getting into early-stage biosimilars, especially with a partnership with large Chinese companies that we're already in touch with over the last couple of decades from our presence in China. All of these put together, we feel that with all the automations that chairman has been talking about, we feel very confident that. The sterile space is going to be an important space for us to expand in. The most important point I forgot to mention, it's not debt actually driven. It's all from the internal cash flow, which means, suppose if it's slightly delayed also, we don't have to much worry about it. Of course, which will not happen. However, this is not actually a debt-driven infrastructure that we have created. Just to draw a parallel without mentioning names, the largest capacity of injectables in India has close to 30 lines, like 29 or 30 lines. That company also continues to invest into more, just to draw a parallel. Okay. Thank you so much for such a detailed answer. Thank you. I just have one last question, is that I am tracking the company since past five years and. Thank you. I have this, I really look up to you, but I just want to know one thing, that as a visionary, what do you see the company in the next three to four years, maybe by 2031, 2032? You always say that we will be a big company. How do you define big, and how do you see the company in the next three, four years? Okay. This is actually something what you are asking is actually like former self to future self. What is that? See, it is not that how much we have grown, what kind of a company are we becoming. If I want you to actually tell me the size, more than the size, look at actually the kind of infrastructure we are building. Be it injectable, be it tablet and capsule, be it ointments, be it any area. We will have all the facilities which will be in line with actual international standards, so that we can get into the regulated markets worldwide. We could be a global dossier in future. Second important thing, in addition to that, we also have plans to go for countries like Mexico to start our factory, where we have already bought the land. The advantage is, if you set up a factory there, 16% of price advantage for getting into the tenders. The business that we do, we are not only interested in doing business in tenders, we are also interested in doing business more in private markets, which of course is not easily replicable by companies of our size. The big companies are not very keen to get into the private market. You can even verify. Maybe few products they import or buy and sell it to the local people. Even if they have an office there, they will sell to actually the top distributors. Whereas we will go to the length and breadth of these countries because my son, Vivek, who is the Vice Chairman of the company, he has been there in this part of the world for the last 22 years. Our maximum actually focus will be there in Mexico and Brazil by Ashok and U.S. by Vivek. Even in U.S., 70% may be controlled by actually three top companies, but there is 30%. We look at the 30%. If you could do at least 10%, 15% of 30%, that itself is a huge market. Once you create the infrastructure, once you digitalize it and modernize everything, once they understand these four pillars in the form of integrity, quality, safety is ensured, the productivity will not be an issue. I am sure. If you ask me to quantify it, see, I would prefer to be one among the top 20 companies of the country. Okay. Got it. Thank you. Thank you so much for answering. Thank you. Thanks and good luck. Thank you. A reminder to all the participants, to ask a question, please press star and one. Ladies and gentlemen, to ask a question, please press star and one. The next question comes from the line of Abhi Jain from AJ Capital. Please go ahead. Yeah. Just one follow-up question on capital allocation. Do you foresee an increase in dividend payout going ahead? Or do you think that you can deploy the capital better in acquisitions and investment by yourself? Just some clarity around that. It is difficult to answer this question because if you find a very good opportunity. Yeah If you find a very good opportunity, definitely we would like to put our money actually in acquisition, if it is a meaningful acquisition. Obviously, obviously. Yeah. Perhaps. Otherwise, we would like to share actually this thing in the form of dividend also. I am sure we will be able to continue this way. That is not going to dent our actual cash flow. Right. Got it. Obviously, you should prioritize acquisitions and increasing your capital base, for sure. But if in any year you see that you don't have that opportunity, then probably a special dividend or an interim dividend can be a better use. That is up to you on the board. Just a suggestion. Correct. Thank you. The next question comes from the line of Prakshal Sakaria from Sakaria Investments. Please go ahead. Hi. Just a follow-up question. When are we expecting all the 17 lines to be running completely? And when can we start expecting numbers from those 17 lines? Yeah. It will start from one and a half year to three years. In another six to seven months, we will start our line seven. Then, in one and a half year, actually, we will start. See, at the end of the day, when we say we start, the commercials will start. But again, the registration of the products, even if you have extra, actually, ANDAs, it has to be transferred to the other facility, which is totally a different company. It's not actually a part of CSL. It's a subsidiary of Caplin Point, but it's not part of CSL. So that registration and the change in dossier, how to change the dossier, all these things, of course, Vivek will be in a position to tell you. Please go ahead, Vivek, and tell you. Yeah. Right now we have six lines in the facility, and the seventh one is coming up. Then, if you look at our oncology facility, we have a line over there as well. So at this point, you are talking about eight lines already. In the next year, this time next year, we should have five more lines in the new facility. That is what we call phase III. Then, finally, we have provision for three, four more lines, which we will activate potentially by 2029 and beyond only. So I would say we have complete visibility on when 13 lines are going to be around, including the oncology site. But the provision for the last three, four lines, I think we will have to take a call closer to commercializing of the existing one. Revenue-wise, See, when you're talking about moving a product from a current line to a new line, especially in the U.S. market, you are looking at least around 9 to 10 months for that to start, because there is something called a post-approval supplement, where you need to run batches, put them in stability for three months, and then file it. That takes six months to get approved and all of that. So any product that gets converted from a current facility to a new one will take about 9 to 10 months for it to start getting commercially operational out there. Okay. Got it. Thank you. Thank you. Thank you. The next question comes from the line of Ajay, an Individual Investor. Please go ahead. Hello. Am I audible? Yes. Yeah. I had a couple of questions. The first one, I think last quarter you mentioned that we had a chunky tender, and I think it was in the Ecuadorian market. I just wanted to know, what would the spillover from that tender be in this quarter, and what can we expect next quarter onwards? Is that tender completely done? Yeah. I think this is El Salvador, not Ecuador. Yeah. Yeah. Our CFO can throw some light on. It might not be completely accurate, please, because you continue to get replenishment tenders and all of that. We can give you a basic picture. Go ahead, Muralidharan. Yeah. Thank you. The original tender has been placed. It has been all completely supplied. There are supplementary tenders which we have been getting in, though not in the original volume, say, 10% - 15% of the original volume. We expect that repeat. Obviously, we have participated, and we are expecting that to be decided in a couple of months. Hopefully, we should get it also, but we are not committing anything as of now. Supplementary tenders will keep coming. Whatever product we supplied, additional quantities keep coming quarter on quarter. Okay. Understood. Secondly, if you could throw some light on Amaris Clinical and its contribution to our company right now, as well as how do you see it contributing two, three years down the line? Yeah. Amaris will be by and large a backward integration for us. We used to have some commercial operations out there with third-party companies. Right now, with the existing 17 beds and our increase up to 120 beds in the near future, will be largely to cater to our internal bio study. Just to give you an idea, if we did bio studies at an external BE center, if something costs us around, let's say, $100,000 per study, at Amaris, it will cost around 50% of that. The value addition will be indirect, not directly in terms of numbers. In the future, do you expect it to be internal or would you be willing to offer services? In future as well, at least next couple of years, we expect this to be. We have a significant number of products that we are doing from our oncology site, from our softgel site. Also in future, if we get into the inhalation space, this is something that we envision doing internally as well, the bio studies of it. So we expect next couple of years for it to be catering only to Caplin's requirements. Understood. Thank you. Congrats on another good quarter. Thank you. Thank you. Thank you. The next question comes from the line of Ashish Srivastava, an Individual Investor. Please go ahead. Hi. Is my line audible? Yeah. First of all, congrats on this set of numbers. You have been very consistent on every quarter-over-quarter great set of numbers. Thank you. Sir, my question is around in the last Q4 results, we mentioned about GLP-1 products approval for Central American region we were pursuing. I did not saw any update for the same in this current quarter presentation. Yeah. So it's a work in progress. The GLP-1 products. Oh, GLP. Yes the GLP-1 products. They are under registration. We don't have any commercial business out of that product yet. As and when we have some updates on that, we will let you know. They continue to be under registration at the moment. Okay. Thank you, sir. That's all my questions. Thank you very much. Thank you. The next question comes from the line of Ketan Cheda, an individual investor. Please go ahead. Yeah, hi. Thanks for the opportunity. I really don't have any questions. I just want to convey my compliments for a wonderful performance. You keep delivering quarter on quarter. Wish you godspeed. Thank you so much. Thank you so much, sir. Thank you so much. Thank you. The next question comes from the line of Ajay, Individual Investor. Please go ahead. Yeah. Hello. Yeah. Can you speak a little louder, please? You are not fully audible. What about now? Hello. Yes. Much better. I just had a follow-up on our organic growth strategy. Are we also looking at some opportunities in the Indian market in distribution or otherwise, like non-generic? No, we are not looking for any distribution company in India. But if there is an opportunity for us to go for a meaningful acquisition in the Indian market, we will also look at it. But not a distribution company, because generics in India, you don't make money in generics. Only in brand marketing, which of course, you are also aware. And we always prefer to go for actually a distributor in LatAm mainly, or maybe in U.S. But of course, Vivek will be in a position to decide. He has been taking care of that area. And coming to LatAm, we know that will add value to our entire business that we are doing currently. That will add some value to it, that can help us to increase our base from one level to the next level. Because the countries currently we are into, in the form of Mexico, Chile, and later actually in Colombia and Brazil and all, these are all huge countries. And once you get this distribution company, you will be in a position to understand the entire clientele list. That's why we are interested in a distribution in LatAm. Should I take it as it's not in our main plans to enter the Indian market, but if there is an opportunity, then we might? Indian market, to be very honest, we don't have that kind of expertise actually to take care of brand marketing in India. Moreover, you also will agree with us, it's better to focus on our core competence. We have been doing well in LatAm. The pattern, of course, which you have seen also, we continue to grow well. We'll focus more on that one actually. That's what we are planning to do. We will do more actually in U.S. too. So it will be more of North and South America, which will be our focus in future. Okay. Just a last question on the new tariffs that have been announced on pharma companies by the Trump administration two years down the line. How do we look at it and are we. I could not hear it properly. Please tell. So recently, American administration announced wave of tariffs on generics, right, which will come in two years later. I know it's a few years down the line. See, he must be knowing also. He has been announcing a lot of tariffs. Of course, we will cross the bridge when we reach there. Every country will go for a They have to protect their own industry. That is why they are different because it is a de-globalized world. Definitely, there will be opportunities when we go for our own factories in various bigger geographies, but we will have to see whether it is the ideal time to go. Probably it will take some more time because starting a generic factory in U.S. will not be cost-effective. Maybe when the machine learning in the form of, how do you call them? Seeing robots. When the robots come into manufacturing of generics, yes, every country, even if you manufacture in U.S. or any other country where the cost of production is high also, it will be one and the same like India. We should wait and watch. Understood. Thank you. Thank you very much. Thank you. Participants who wish to ask a question may press star and one. I repeat, participants who wish to ask a question may press star and one. As there are no further questions, I would now like to hand the conference over to the management for closing comments. Thank you, and over to you. Yeah. Thank you. Thanks once again to everybody that participated in the investors' call. We also appreciate Dolat Capital for hosting it. We look forward to more interactions in the near future with all of you. Thank you. Thanks to all of you. Thank you very much. Thank you. On behalf of Dolat Capital Markets Private Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.