Ladies and gentlemen, good day. Welcome to Kwality Pharmaceuticals Q1 FY 2027 earnings conference call hosted by Grow India Advisors LLP. As a reminder, all participants' 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 touchtone phone. Please note that this conference is being recorded. I now hand over the conference to Ms. Soumya from Grow India Advisors LLP. Thank you. Over to you, ma'am. Good evening, everyone. Welcome to Q1 FY 2027 earnings con call of Kwality Pharmaceuticals Limited. We have on call with us Mr. Aditya Arora, Director and CFO. We must remind you that discussion on today's call may include certain forward-looking statements and must be therefore viewed in conjunction with the risk pertaining to the business. I request the management to take us through the quarterly update. Post that, we'll open the floor for Q and A. Thank you. Over to you, sir. Good evening, everyone. Welcome to con call for Kwality Pharmaceuticals. Kwality Pharmaceuticals, I'll give you a very brief introduction about the total plants and the revenue. Kwality Pharmaceuticals has five operational units, which includes biological, general facility, oncology, cephalosporin, beta-lactam, and hormone plant, which is the sixth unit, will be commencing by November 2026. Our total sales revenue expected in FY 2027 will be plus INR 700 crore and with EBITDA margins between 26%-27%. We are registering new molecules every quarter and on quarter, and this shows the growth in our revenue in each quarter. We welcome all your questions. Please feel free. 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 touchtone 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 is from the line of Aryan Mehta from Schroders Capital. Please proceed with your question. Hi. Congratulations on the good set. I wanted to understand the change in mix for this quarter. Why was onco at 20% kind of down from 26%? Are we still guiding for 30% by this year or next year? And the 1% revenue from unit 5 also. Can you throw some light on that? Okay, sir. Firstly, oncology will be roughly between 25%-30%, considering the timelines for getting the oncology registrations will be getting little delayed. Probably we'll have the expected registrations by quarter four of FY 2027. In the last two quarters, we got multiple registrations from the general facilities from MENA region and the LATAM region, specifically from Mexico and few from Algeria, Morocco, and Tunisia. Regarding the biological section, 5th unit, the pre-clinical was successfully completed for erythropoietin. Now we have got the permission to conduct the clinical trials. The clinical trials will probably begin by November or December this year. Initially, we will finish with the PK/PD study, which is the laboratory analysis of the human study. Then finally, the clinical closure will be by October or November FY 2028. We are likely to commence the erythropoietin sales in the domestic and international market before end of calendar year 2027. Wouldn't there be some time between the submission and then the approval and then you can launch, right? Wouldn't that be around six months to a year for erythropoietin? Indian sales will be immediate, sir. Regarding the foreign submission, we do not have to wait for complete clinical trials. We can begin with the first four-month study of 40 patients. We can start submission of the dossier. By November or December, we will have, at least in the ROW market, 10 to 12 countries that the product will already be registered. Okay. November, December of 2027, right? Correct, sir. Okay. We have actually already started registering in many countries where the evaluation will begin by next year. We have already started filing in almost 10 to 12 geographies. Okay, thanks. I wanted to understand a bit more on our distributors that we work with. I understand we have good visibility from the distributors, that's why we're guiding so aggressively. We've also stuck to our guidance for this quarter. We are in markets which are barely growing in single digits, right? How are we growing so fast in these end markets? Can this be attributed to our distributors, which are like top distributors of that country? Or is it our quality of products or presence in certain niche products? I just want to understand what is our right to win and how are we growing so fast? Basically, sir, Kwality Pharmaceuticals is becoming more competitive due to the number of plants which we have in portfolio and the number of products and the line. Along with this, all these lines are PIC/S certified, European certified. Along with this, we have a big basket of ready dossiers with bioequivalence studies. For example, if we get registrations in high regulated country, we can use the same dossier in filing across 60 or 70 countries. The model is very simple that we want to become masters in the first generic and second generic market. We have prepared a big portfolio of those products where there's a huge gap in the market between the reference product and the. We want to capture that gap and we want to create a portfolio of at least 200 to 250 products wherein we can do filing across 70, 80 countries. Every quarter we are getting at least two or three registrations. Each registration contributes roughly around INR 1.5 million or INR 2 million on yearly sales. Last three quarters, we have got almost 60, 70 registrations. As on each quarter we get more registrations, we'll be continuously revising the revenue targets. Okay, that's good. Basically you identified certain niche where there's a gap between the reference product and generic product. Yes, sir. How come is it that other companies are not looking at these gaps? What is our specialty here? There's lot of competition, right? In generic. There is actually very less competition, sir. Considering, let's say, the LATAM market, there are not many players who are actively supplying or registering these products. How many plants are Colombian approved, COFEPRIS Mexican approved, European approved with at least 25 or 30 injectable lines? Those with the ready dossiers as well. Kwality's ability to prepare dossiers every year is like preparing 60, 70 new product dossiers. In that case, we get a competitive edge over the others. Got it. It's also because of the involvement of the directors also, sir, and the hard work which we are putting in. That is great. My final question is, what is our relationship with Deepak Bansal and SD Biopharmaceuticals? There's a filing and there's an entity called Calor Biopharma, which is promoted by Deepak Bansal and our promoter Ramesh Arora. There's also some land purchase agreement which was made with Kwality, and that too at some double price or something. Can you throw some light on this entity and what's the current status on this? Basically, Deepak Bansal is one of our business associates who has developed Kwality sales over the European and LATAM markets. There's an association with him, an understanding, wherein there's a European company called Mana Pharma who has made lot of investments in Kwality dossiers across various geographies. That's the kind of relationship which we have. The SD Pharma is basically an entity of Mana Pharma in India, wherein they purchase from Kwality in India and then supplies to various countries like Venezuela, Colombia, Mexico and all these countries. Okay, got it. This entity called Calor Biopharma, is this still active and this land purchase agreement, is that still on or what happened to that? I don't think it is very active, sir, because earlier there was an arrangement wherein Mana Pharma was supposed to, through their representative, Deepak Bansal, they wanted to make an investment in India where they wanted to put up an oncology plant, an additional plant wherein Kwality would have got some stake and they wanted some stake and they wanted to manufacture certain niche injectable molecules and export it across various geographies. I think that plant is on hold as of now. Probably that land is going to be either sold or some other arrangement would be made. Okay, sir. Thank you so much and all the best. Thank you. Ladies and gentlemen, anyone who wishes to ask a question, please press star and one on your touchtone telephone. The next question is from the line of Utkarsh Samia from I-Quantum Solutions Private Limited. Please proceed with your question. Hi, this is Utkarsh from I-Quantum Solutions. Thank you. You had earlier told us that you are in the process of getting a new global auditor. Can you please throw some light on that? Yes, sir. Most probably it is planned for the quarter three or quarter four. KPMG, we have already filed an agreement. Probably in Q3 or Q4 they'll be appointed. We are just waiting for the software updates which is to be made that we'll be giving them the kind of data they want in a faster way. The basic issue is with the software upgrades and the systems in place that is required. In any case, we'll try to do it before end of this FY 2027. Understood. Sir, similar to the guidance you've given in FY 2027, which is 40% growth, do you think the similar growth rate will continue in FY 2028? Yes, sir. Basically, sir, the kind of registrations and the kind of investments we have made across the geography with respect to the dossiers and everything, I think we have developed a revenue model wherein we believe by 2030, we can easily reach INR 1,500 crore revenue mark. We are talking about doubling our revenues before end of FY 2030. We will see a year-on-year growth of 25%-30%. Okay. Base case, 25% you all have built in your internal projections. Correct. How do we see your EBITDA margins grow in FY 2028? Because FY 2029, you've already told us you'll hit 30%. How will the journey be from 27% in FY 2027 to 30% in to FY 2029? Sir, you will see a growth in EBITDA margins. I think at INR 1,000 crore revenue, the EBITDA should be roughly around 30%. Close to 30%. Considering that the operating cost will not increase that much, probably at INR 1,000 crore revenue, you'll see a 29%-30% EBITDA margin. Will it be linear wherein you'll grow 100 basis points per year, at least, if not more, and thereby reaching 30% in FY 2029? Sir, it's very much possible. Again, there are certain things which are in control of the Ministry of Health of various countries. Sometimes there is a delay which might affect the sales targets what we have given. This financial year, we do believe that 100%, the sales will cross INR 700 or INR 720 crore mark. Next financial year, I think with the registrations which have been promised, again, 25%-30% could be expected, but you can take 25% as a minimum growth. Okay. Sir, everything you are telling us sounds really nice. Is there any risk we should be cognizant of or anything you internally consider a risk and are trying to mitigate? Sir, risk with respect to, let's say, local regulatory authorities or external regulatory authorities, I don't think there's a risk because everything has been properly validated. We already had risk-based investigations from CDSCO seven times almost now in last three years. In neither of these investigations where there was any issue. Every month we are facing two external audits from higher regulated. Russia or Ukraine or Europe or LATAM. Every two months we have one or two external audits. With respect to product, with respect to facilities, and with respect to team, we don't have any risk. It is now very important that the directors should not get carried away with small successes. I think it is very important for us to stay grounded and keep up with the good work. Perfect, sir. Good luck and best of luck. Thank you. Thank you. Thank you. The next question is from the line of Nishita from Sapphire Capital. Please proceed with your question. Yeah. Am I audible? Hello. Yes, ma'am. Yeah. Yes, you're audible. Yeah. You mentioned that every quarter we are registering two to three new products. Do we see this going up and by how much? Okay, ma'am. Basically, let's say, if I take Mexico as an example, we have totally made submissions of 70 products, out of which we just got registration of 18 to 19 products. All these submissions were made in FY 2026. Probably, we can say maybe next quarter we can get five registrations. Similar case is with Colombia. We made submissions of 25, 30 products. Chile and Algeria and all other parts of MENA region. In fact, the new country which will open for us, because recently we got the certificates and approvals, and in last financial year, we made almost 12 to 13 submissions in Saudi Arabia. Saudi Arabia could also be the next upcoming venue where it will be Saudi and GCC entire, UAE and Oman and all those parts. Probably by end of third quarter, we'll start seeing the revenues from these countries. We believe that MENA and GCC region, quarter four will be the highest percentage, followed by the LATAM region. Okay. Understood. Can we expect from next quarter, each quarter will have around four to five new product registrations? Yes, ma'am. Probably six to seven. Across all countries. We are expecting. Yeah, we are expecting six to seven registrations. Yes. Okay. My next question is that once we commercialize our biological facility, hormone manufacturing facility, how fast can we ramp it up? Biological or hormone? Hormone. My bad. Ma'am, see, hormone, we are again focused on two, three aspects. The first one is the immediate sales, wherein only the GMP certificate will be required, and we can commercialize at least in the ROW markets like Iraq or you can say in some tender business in African markets or LATAM markets. That you can say INR 70 crore-INR 80 crore revenue we can generate in FY 2028. For Kwality to get the GMP and complete with the bioequivalence studies of various oral solid and injectable products of hormone, I think by FY 2029 we can generate a INR 200 crore revenue. Immediate sales, you can take INR 70 crore-INR 80 crores in FY 2028. INR 200 crore you said in FY 2029, right? FY 2029. Correct. Okay. Understood. When do you expect this GMP certificates to be approved? Ma'am, manufacturing license will be in November. After that six months stability, probably in June or July you will expect the GMP. However, in this tender markets and these markets you do not require. Only manufacturing permission will be enough for us. Okay. Understood. Thank you so much. Thank you. Before we take the next question, a gentle reminder to participants: to ask a question, please press star and one now. The next question is from the line of Nirali Shah from Ashika Investment Managers. Please proceed with your question. Hi. Thank you for the opportunity. I have three to four questions. First one is on the BE programs that are underway, the 40 oral solid BE programs. Just wanted to know how should we look at this from a conversion funnel point of view, say over next two years. Ma'am, initially we finished the bioequivalences of six, seven molecules in Q3 of FY 2026 and two or three in Q4 of FY 2026. Those six or seven molecules can be commercialized before end of FY 2027. That means Q4, FY 2027 we'll be able to commercialize at least five or six molecules, I believe. If there is a certain delay, probably in Q1 of FY 2028. The remaining 32 products, they'll probably be finished before November, December. All BE studies will be finished. We'll try to file at least five or six products in this quarter and six product molecules in next quarter, and probably all submissions will be finished before Q1 of FY 2028. You can expect that, let's say we estimated that overall with 40 bioequivalences, probably we can generate a revenue of INR 600 crores, INR 700 crores by FY 2029. Next year you can expect at least INR 80 crore to INR 100 crore revenue from the BE program. FY 2029 will be an immediate jump to at least INR 400 crore or INR 500 crore revenue. Thank you. The second one is on the KEYTRUDA studies. We did receive CDSCO approval. Can you throw some more light on that? Ma'am, the first step in any cell line development is the R&D part, which we already finished. We did the due diligence of the cell line. We brought it to Kwality site along with the technology transfer. The entire R&D was outsourced. After that we made the application to CDSCO and the GEAC modification in India, wherein they evaluate all the R&D data, they evaluate the cell line, their characteristics and everything. Based on that, they give us an approval to conduct the stability batches and preclinical. That approval we have got. Probably by December this year, we will begin with the preclinical studies and March next year we'll be able to finish it, the preclinical study. Subsequently we'll start with the clinical batches and clinical trials. Since it is a oncology molecule, probably it will take one and a half year to finish the clinical trials. Before end of calendar year 2028, we think we will be able to commercialize this product. Considering that end of calendar year 2028, the patent is going to get expired. We will be in the first wave of launch. In the first wave of launch, yes. Kwality will be part of first launch. Fantastic. Next is on the debtor days. FY 2026 saw elevated debtor days, and I believe it was because of the geopolitical disruptions. How is the Q1 working capital improving? Do you see any structural improvement coming in the customer payment behavior, or is it primarily inventory-led improvement? Any color on that front? I think the debtor days will come down to 165 or 170 days. We are trying that in our regular operations it should be roughly around 155 to 160 days. This will be from 208 days it will come down to 165, 170 days, considering the payment cycle specifically from the MENA region and CIS region and GCC part. It is now improving. We recently got a lot of payments made from this region. Okay. Just lastly, we are focusing more on liposomes and complex injectables, long-acting especially. Where do you see the strongest competitive moat today? Is it the formulation know-how, is it the manufacturing capabilities, regulatory approvals, or customer relationships? Ma'am, right now with the bioequivalence program, we have considered only three injectables. One is liposomal, that is Amphobiy. In Amphobiy, liposomal Kwality will be second generic. Then we have considered Octreotide LAR. In I think 70% of the markets, Kwality will be the first generic after the Sandoz second leader brand. Then we have considered leuprolide 45 mg. This trend particularly will be first generic in 75%-80% of the markets. All these three BE programs, out of these, the first two, Amphobiy and Octreotide, that will finish by April or May. Quarter one of 2028, then we'll start submitting. Le uprolide probably by quarter two of FY 2028. Okay. Where do we see our strongest moat? As Kwality as a brand, what is the strongest moat? Like you mentioned, should I assume that technical know-how is something that holds the anchor for Kwality Pharma? I think the ability to imitate the correct formulation of the reference product is one ability. In these niche molecules, there are sometimes a lot of challenges with respect to developing them equivalent to the reference product. Now and then having the failure of batches, doing disruptions and continuously improving, and putting all the hard work of the R&D head, director, and technical people, then developing this molecule which is equivalent to the reference product and filling that gap in the first generic market. I think that is the key. Fair enough. Understood. Thank you and all the best for the future. Thank you. Thank you. The next question is from the line of Abhijit from Paul Asset. Please proceed with your question. Thanks for the opportunity. Am I audible? Yes. Yes, you're audible. Yes. My first question is regarding the gross margin contraction in this quarter on a year-on-year basis. Can you help us understand the reasons behind that? Was it due to a higher raw material cost or a different mix? What was it? I think the gross margins have improved from the last quarter. Actually, the last quarter, the gross margins were roughly around 56% or 57%. It is now 53%. Probably, I think when the revenues are 700 or 700+, it should be between 49%-51%. Ideally, it should be considering the BE program and the BE products along with the niche injectable registration. It should come down to 47%. Ideal number should be 47%, because 35% revenue or 40% revenue is still from the ROW market. That's why the gross margins are less. Understood. It is going to improve. It is going to improve on each quarter. Okay. Can you help us understand the raw material pricing trends across your key APIs? Considering the geopolitical issues, are you seeing any cost inflation or any supply pressure from the suppliers? sir, 80%-85% of the total procurement of Kwality is from the domestic API, and only 15% is from China. Until now, there has not been much disruption. Understood. Again, regarding the working capital, in the last con call, you had mentioned about delayed receivables from the Middle East. What is the current status? Have the things normalized? Again, lately there was some disruption. With revenues scaling to INR 160 crore, what is the current receivables position? Receivables will be, sir, roughly around 165 to 170 days now. I think if we take probably INR 700 crore number, probably if I see the debtors to be roughly around INR 300 crore. The receivables should be by end of FY 2027, it should be 165 days. Understood. Nearly 40% of the revenue would be in receivables, right? 40%, sir. Okay, will the cash flow remain sufficient enough to fund the CapEx from internal accruals without taking any additional debt? I think you have a multi-year CapEx plan. We have actually taken an extended loan. However, we have not utilized it. We are considering if there is any disruption in the cash flow, we might use INR 15 crore, INR 20 crore, as of now, there is no such utilization. Right now with the running cash flows, we are able to make all these investments. Sir, the hormone plant will finish in November, then the CapEx of oncology expansion, that will finish by March next year. After hormone only, the remaining CapEx of oncology is to be done. The biological clinical trial study is to happen by quarter two or quarter three. We do not require any further CapEx in biological also. Right now with the current cash flows, hormone can easily be done. Okay. Can you give us the breakup of INR 195 crore CapEx that you have mentioned in the investor presentation? How much are you going to put in, sir? You can say INR 70 crores probably in hormone, sir. INR 50 crores will be in oncology. I think the bioequivalence will be roughly around INR 25-INR 30 crores. Working capital will be INR 20 crores. What is the other? Biosimilar R&D will roughly around INR 10-INR 15 crores. Okay. We are looking at overall INR 185-INR 190 crores CapEx. Understood. The large part of CapEx you would be incurring after FY 2027. It will be almost same, sir. Basically, sir, there are three biosimilars. The first biosimilar- Okay. Clinical trial will be almost finishing, then the second will start, then the third will start. Overall, in biosimilar clinical trials, we require INR 150 crore CapEx. INR 150 crore CapEx is to be spent between quarter three of FY 2028 to quarter four of FY 2029. We have almost 1.5 to 2 y ears. Understood. Lastly, in the last con call, you had mentioned about the partnership with one Algerian company. I think it was for R&D. Can you share the status of that and what kind of arrangement you are looking at post-commercialization? Will it be any profit sharing or any milestone-based mechanism also? Sir, there will be a joint venture kind of a thing, wherein there will be a manufacturing plant set up in Algeria, which will be a fill-finish plant where the API and the registration will be from Kwality, and they will do bulk filling of the biosimilar products. The investment in the plant is to be made by the counterpart. Plus, for technology transfer, Kwality will get the equity for bringing in the technology and the clinical results and the clinical data of the three molecules. Basically, our investment will be bringing in complete technology of the three, four molecules of biosimilar, and they will make the investment in the plant and jointly we'll register the product and commercialize in entire MENA region. This arrangement is not only in Algeria. We are almost there to encash it in Mexico and other Latin countries as well. What is the timeline for this? Sir, the timeline would be much less considering that we do not require initially the clinical data. After developing the complete dossier without the clinical data, we can make a submission to the ministry and get a permission to take the stability batches in Algeria itself. It will save a lot of time. Till the time they will take batches in Algeria, submit for the stability studies, by that time, Kwality will have the clinical data, and then we will submit the clinical data. Everything will happen parallelly. Understood. That's it from my side. Thank you, and all the best. Thank you. The next question is from the line of Manan from Wallfort Fund Management. Please proceed with your question. Yes. Thank you so much for the opportunity and congratulations to the team. You all have done a great work. Sir, just wanted to ask a few questions regarding those slides. One of the question is that on 21st, the PPT slide number 21. It says that 500L expansion is completed. That is one. On the other slide, where in the biologics slide, it says that we are installing 500 L. Just wanted an understanding, is it done or we still have to do? Basically, right now, we got the CDSCO approval for 100 L only, sir. 500 L, it is already installed and it will be five times the capacity, the CDSCO approval is still to be awaited. We are not also hurrying it up because considering that right now we only are taking clinical batches. Probably once the clinical batches is finished, we'll start getting the bioreactor registered with CDSCO. Okay, understood. Sir, second question would be that you said we could be doing around INR 200 crores from hormone in FY 2029, the PPT says potential revenue is INR 150 crores. Can you please explain that, sir? It will be roughly around INR 150-INR 200 crores, sir, depending upon the registration. Okay. Normally, for the investor market and shareholder market, we try to give a number on the lower side so that this makes up. Correct. Comes in future. Yeah, that makes sense. Sir, just last question would be that in that same 21st number slide, it says that, I mean, you had previously also said that hormone and biologics are not considered in the guidance given. Sir, it just seems that a lot is going to come in in the future which you have not really guided for much. Biologics, you said it can do INR 400 crore in FY 2029, and hormone can do about INR 150, INR 200 in FY 2029. Our guidance has been of INR 1,000 crore. This can, if everything goes well, in FY 2029 itself, we can do INR 1,500 crore, and then FY 2030 can be more. Is my understanding correct? Just if everything goes in a very good sense. Your understanding is correct, sir. In INR 1,000 crore revenue next year, probably close to INR 1,000 crore revenue. I think the hormones we have not taken into consideration. Because we believe that if from the registrations don't come on time, then probably hormone revenues will add up. Correct. Help us in reaching that number. You're right on this part that if you're looking at FY 2030, number of INR 1,500 crore, in that we didn't take the biological and the hormone revenues into consideration. If that comes into play and we get registration of hormones and biologics on time, I think FY 2029 we can achieve that number. You are right about it. Okay. Thank you. Just one last thing will be that even as our revenues from biologics and hormone is going to be maybe more than 40% in the coming future by 2029, 2030. Sir, are those margins also close to 30%? No, no. The margins will definitely increase, sir. We do not know how many players are going to enter the biological market and what is going to be the price of the product. We believe that there will be huge, huge profits and the market size will increase because when the prices of these biosimilars, after the patent expiry, will come down. Probably they become into usage with all the hospitals and everything. The volume will increase, but the price will substantially come down. We cannot right now calculate the amount of EBITDA or margins what we'll have in FY 2029. Definitely it will be on the higher side. Yeah, not a problem. Just understanding that our margin trajectory, even for those products, is higher than 30%. To keep ourselves on a overall level, to keep ourselves on 30%, this could be more than 30%. That's all. Right, sir. It will be more than 30. Right. Okay. Thank you so much, sir. Thank you so much. All the best for the future. God bless you. Thank you. Thank you. The next question is from the line of Hemant, an individual investor. Please proceed with your question. Sir, congratulations on a very good set of numbers and thank you for providing me the opportunity. I just wanted to ask a few things. First thing which I wanted to know is what can be the revenue potential from unit 5 in FY 2029? Sir, basically erythropoietin will be commercialized in FY 2028. FY 2028 initial commercialization, if we see from Indian market, I think roughly around again INR 80 crore-INR 100 crore we can do. In FY 2028 we will do INR 80 crore-INR 100 crore from erythropoietin. FY 2029, we see the registrations in the international market for erythropoietin only. That will again give INR 200 crore or INR 250 crore revenues. It might postpone to FY 2030. That is why in FY 2029 we have not taken the international sales of erythropoietin into consideration. That number could be in FY 2030 also. If that comes in FY 2029, again, this could add up to the total sales revenue. Other biosimilars we cannot commercialize before end of FY 2029. FY 2030, they could generate a good revenue for Kwality. Is it fair to assume, sir, that INR 200 crore-INR 250 crore of revenue latest by FY 2030 from unit 5 and INR 150 crore-INR 200 crore of revenue from unit 6 latest by FY 2030? Firstly, FY 2030, INR 250 crore without pembrolizumab KEYTRUDA. INR 200 crore-INR 250 crore is 100% achievable, sir. If KEYTRUDA is registered on the timelines what we are telling, I think then this number could go to a bigger number also. I really cannot explain that number right now, but it will definitely be on a very higher side. Coming to the hormone facility, by FY 2030, yes, INR 200 crore-INR 250 crore you can take into consideration. Sir, around INR 1,400 crores of revenue is much likely by FY 2030, right? 100%, sir. 100% possible. Sir, what is the probability of hitting that INR 150 crores-INR 200 crores of revenue from unit 6 in FY 2020? Unit 6, FY 2020. FY 2029. 2029. Sir, see, basically if the bioequivalences and the registrations do not happen on time, then the revenues will be INR 60 crore-INR 70 crore, depending upon what tenders we win, what ROW market we are able to get immediate sales. It will be simply dependent upon that. Because in this 40 bioequivalence studies, what we have done for this year, that do not contain the hormonal products. Next year probably we are going to take, or from December we are going to take the hormone bioequivalence into consideration once we have the manufacturing license. Once the BE is finished and on their success and on the registration success, it all depends upon whether we'll reach INR 200 crore or not. That's why in FY 2030, we do believe that INR 200 crore mark will cross. FY 2028 or FY 2029, it cannot be predicted right now. Okay. Of course, we put our 100% effort. We'll put up our 100% efforts, and we'll try that the BE and the registrations happen on time. Okay. Just to sum it up, INR 1,000 crore of revenue by FY 2029 and INR 30 crore to INR 400 crore of revenue by FY 2030 is very much likely. 200% sir. Okay, sir. Thanks a lot. Thank you. The next question is from the line of Achal Maheshwari from Naredi Investments. Please proceed with your question. Hello, sir. Good evening. Can you give me a capacity utilization for each unit? How much is the capacity currently being utilized for each of our units? Ma'am, the general facility, I think by 75%-80% has already been utilized. The oncology also, the existing facility is again 75%-80% utilized. Remaining of the units, biologics has not commercialized. Cefa and Beta, I think, they are up to around 20%-25%. We are making an expansion in the oncology facility. Once that expansion is completed, again, an additional 45%-50% capacity will be enhanced. We are making certain machinery improvements and extending a little area in the general facility as well, which will add at least 20% more to the existing capacity. Okay. Thank you so much, sir. Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants in this conference, please restrict your question to one per participant. Should you have follow-up questions, please rejoin the queue. The next question is from the line of Nishita from Sapphire Capital. Please proceed with your question. Thank you. The next question is from the line of Kunal Dubey, an individual investor. Please proceed with your question. Am I audible? Yes, sir. Sir, congratulations on the great set of numbers. I have couple of questions from the governance front. Last quarter, you had mentioned that KPMG would be auditing us, the Big Four would come into picture, and you specifically named KPMG. I don't see your statutory auditors have changed, and I don't think so they are going to change in next two to three years also. What is the status on that? Is the Big Four or a KPMG kind of auditor coming in picture or not yet? No, sir, they are probably before end of this FY or I mean, the last quarter of this financial year will be audited by KPMG. That is unlike you are trying to say for Q4. If I see your special resolution, it stated your current auditor is there for five more years, which got updated last year itself. You are trying to say now that. No, there will be an EGM will happen and it will be appointed. Okay. KPMG will be appointed. In my last call also, I told that in Q3 or Q4 we'll do. Okay. By Q3 of FY 2027, you are saying KPMG will come into picture. Correct, sir. That was one of the point. The second question was on the oncology thing. I understand that your oncology, you said INR 100 crore of revenue. Did you do any kind of revenue this quarter in oncology in the existing plant? Sorry, the revenue from the oncology plant, sir? Yes. Like you had mentioned in the last call, INR 100 crore is the estimation for FY 2027. We did INR 30 crore-INR 35 crore in this quarter, sir. Okay. You are saying your expansion plan on oncology will generate revenue from FY 2028, you are trying to say, right? Or it will generate some revenue in FY20- No, expansion plan will generate revenue immediately, sir, because we'll make the submissions to each of the ministries, even the European Ministry, Hungary, we will make the expansion submission we will make there in ANVISA Brazil also, Colombia also, that we have made this expansion and please come for the audit. We don't have to do any. We can use the same registrations and start commercializing immediately. Fair. It's in the same facility. The expansion is connected to the same facility. If you say INR 100 crore was your FY 2027 guidance and you have already done INR 30 crore. You are saying, I should be around more than INR 100 crore. Am I correct in my understanding? No, sir. Can you just repeat your question? Sorry. You did INR 30 crore in oncology in this quarter. Correct. Your guidance in the last con call was oncology will do almost INR 100 crores of revenue in FY 2027. Correct. Okay. Okay, it is same. You are maintaining the INR 100 crore target. That's correct. Somebody also asked the same question. Okay. Sorry. No. In the sense that we are expecting in Q3 and Q4, we are expecting more of generic registration in comparison to the oncology registration. Probably INR 100 crore-INR 110 crore will be achieved from oncology. You'll see a more jump in the general facility registration. Okay. Fair. Last question, if you want to comment on it. You said INR 600 crore for FY 2026 was your guidance. You said INR 50 crore-INR 70 crore probably on the LATAM thing, if that thing happens. Any clarity after Q1, if you got some update in it? I am sorry if you keep repeating because I joined the queue late. I'm very sorry about it. Our target for this year has been revised to INR 700 crore plus revenue. Oh. I think 35%-40% will be again from the LATAM region. The percentage of the generic registration and generic revenue will be more in comparison to the oncology one. Fair. Thank you very much for the opportunity. There are two people who are doing very good. One is [inaudible] from Cricket and other is Kwality Pharma. Keep doing the great work, guys. Thank you, sir. Thank you. Thank you. Thank you very much. Thank you. The next question is from the line of Saurabh Gupta from Financially Free. Please proceed with your question. Hi, sir. Am I audible? Yes, sir. Yes, you're audible. Sir, thanks for the opportunity and congratulations for the amazing set of numbers, sir. Sir, I just have couple of questions. If we see our last con call, when you have guided, you have excluded the revenue from onco and hormone and similar guidance this quarter. What could be the reason that we are excluding onco revenue and hormone revenue from our guidance, sir? Not onco, sir. Biological and hormone from the- Yes. Sorry, sir. Biological and hormone. One will be commercialized from next financial year, sir, hormone facility and biological because since a lot of things are going in clinical trials. We have taken these two into the major consideration in FY 2030, not in FY 2029. We think that hormone, if we do not get registrations done up till FY 2029, we might do some sales in the ROW market, but that will be less than INR 60, INR 70 or INR 80 crores. That may or may not add up much to the total revenue mark. We have taken their sales into consideration from FY 2030. Okay, sir. Got it, sir. The second question that I have is, sir, if the business is on track, we are doing CapEx for complex products. Is there any plan of increasing stake by the promoter through warrant or from open market or any color on that, sir? It will increase investor confidence to the next level, sir. Probably, we'll plan something, sir. As of now, we had certain money in Q3 of FY 2026 where we did some purchase from the market. Probably, we'll plan something. As of now, there is no such plan. Okay, sir. Got it, sir. Thank you, sir. That's it from my side. Thank you. Ladies and gentlemen, if you wish to ask a question, please press star one now. The next question is from the line of Shubhanu Bangal from Three Head Capital. Please proceed with your question. Yeah. Hope I'm audible, and great set of number. Sir, I have just one question on FY 2030. Suppose we achieve FY 2030 revenue around INR 1,500 crore, then what will be our revenue mix? Revenue mix, sir, probably again from the general facility, you will have 40%, and that too from the LATAM market again, we'll do 30%-35%. This time in FY 2030, I think the 10% of the sales, 10%-15% of the sales should be from the European market. Because the amount of registrations, what we are expecting from the European region, that are likely to commercialize from FY 2028. So 10%-15% you can expect from Europe. The remaining mix will remain more or less the same, where 35% will be from the LATAM region, 15%-20% from the MENA region, and then GCC of also 10%-15%. From FY 2030, when the Indian market comes into play, once we have the biosimilar clinical trials completion. India will again be a big sales for Kwality starting from the initial wave of commercialization of biosimilar. Got it. Can you tell me the product price, like how much come from our general product and biosimilar and hormone? Sir, FY 2030, hormone products will be INR 200 crores, will be roughly around, let's say, 15%-20%. 25% will be from the oncology products. Biosimilar, if we are able to get the KEYTRUDA registered, then probably 30%, otherwise it will be 15% from the erythropoietin. The generic will be the major contributor of 35%-40%. Remaining 10%-15% from Beta-Lactam and Cephalosporin combined. Got it. Thank you, sir. Thank you. Thank you. Ladies and gentlemen, that was the last question for today. I now hand over the conference to management for closing comments. Over to you, sir. Thank you, everyone. I think I tried my best to answer all your queries. We'll keep the good work and we'll try to keep you posted about Kwality's registrations and new developments. Thank you for joining. Thank you. On behalf of Grow India Advisors LLP, that concludes this conference. Thank you for joining us, and you may now disconnect your lines. Thank you.