That this conference is being recorded. I now hand the conference over to Mr. Prashant Nair from Ambit Capital. Thank you, and over to you, sir. Yeah, thank you, Sejal. Good morning, and thank you, everyone, for joining the AMI Organics 4QFY24 earnings call. From the management, we have today Mr. Naresh Patel, CMD, Mr. Bhavin Shah, CFO, and Mr. Abhishek Patel, Vice President Strategy. I'll now hand over the call to Mr. Naresh Patel for opening remarks, and then we can take it from there. Over to you, sir. Thank you, Prashant. Thank you very much, everyone. I'm very happy to welcome you all on this earnings call. I would like Bhavin to start. Yes. Thank you, Naresh sir. Good morning, everyone. We are pleased to welcome you all to our earnings conference call to discuss Q4 FY24 financials. Please note that a copy of our disclosure is available on the investor section of our website, as well as on the stock exchanges. Please do note that anything said on this call, which reflects our outlook towards 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 of the same will be made available on the website of the company and exchanges. Please also note that the audio of the conference call is a copyright material of AMI Organics and cannot be copied, rebroadcast, or attributed in press or media without specific and written consent of the company. Today on call along with me, we have Mr. Naresh Patel, Chairman and Managing Director. Mr. Abhishek Patel, Vice President Strategy. Now I would like to hand over the floor to our CMD, Mr. Naresh Patel, for his opening statement. Over to you, sir. Thank you, Bhavin. Good morning, everyone. I hope you all are doing well. A warm welcome to our Q4 FY24 earnings conference call. Before diving into AMI Organics' performance for the quarter and year, I will discuss the current global economic landscape and prevailing industry trends. Globally, trade is anticipated to rebound in 2024 as interest rates stabilize, with hopes for a downward shift this year. While inflation remains persistent, it is expected to trend downward as we progress through the year. Overall improved global trade is poised to stimulate economies worldwide. Fostering a positive global economic environment, turning to our industry, export demand is gradually recovering, with expectations for a robust uptick in the second half of this fiscal year. Raw material prices have stabilized, indicating stability in final product prices, with an upward bias expected in the second half of the year. Coming to AMI Organics' performance for the quarter and full year, I am delighted to say that we've been successfully navigating through the tough industry scenario to deliver quarterly all-time high revenue from our operations of INR 225 crore, which is 21% growth year-on-year, which is an exceptional 35% growth on subsequent basis. As guided in previous calls, our EBITDA margins continue to grow strongly on subsequent basis to deliver strong EBITDA margins of 19.2% for the quarter. I will let Bhavin discuss the financials in detail. Let me move on to the business highlights. Starting with the Advanced Pharmaceutical Intermediates business for the quarter, the business grew strongly by 18% year-on-year and 47% quarter-on-quarter to INR 190 crore. We have been strategically growing this business segment with the introduction of large CDMO contracts to balance the business model. We are working aggressively on this front. Our extensive trade records and long-standing relationships with major customers dating back over a decade are helping us make new strides in this arena. So even on the CDMO side, we will be targeting the NCE market, innovator market, as well as the lifecycle management market. I would like to highlight that our existing CDMO project is expected to ramp up from the second half of FY25 onwards with the confirmed order in hand. Moving on to the specialty chemicals business, overall business grew by 36% during the quarter. Addition of Baba Fine Chemicals surely helps in this robust growth, but excluding Baba Fine Chemicals business, our organic specialty chemical business grew strongly by 18% in quarter four FY24. We have been adding various levers to our specialty chemicals business, such as battery chemicals as well as semiconductor chemicals. I will spend a couple of minutes on each of these niche businesses that we are building. Starting with Baba Fine Chemicals, which is focused on semiconductor chemicals, the integration process has been started, and it will take its own time. However, I would like to highlight that the business will see steady organic growth. This business, by nature, is a kind of CDMO business. Therefore, in the future, as we onboard a new client for an existing product or a new product, we will see a step-up jump in numbers. Therefore, you might see steady growth some quarters, but I hope you now understand the rationale behind it. Moving on to the battery chemical business, I will start with electrolyte additives. Our commercial operations have been started during the quarter. We have a firm order in our hand, and supplies are expected to slowly start from quarter two FY25 onwards. The ramp-up will be slow in FY25, but we expect to grow this business by 100% in FY26 on an FY25 base with capacity expansion of the electrolyte additives business. Another leg of this business, which is electrolyte solutions, is still in nascent stage. We have collaborated with global MNC players for this business. We will disclose more details as things move on. Moving on, I would like to highlight that our relentless pursuit of innovation in manufacturing complex intermediates using cost-effective technologies while maintaining superior quality continues to set us apart in the advanced pharmaceutical intermediate industries. Filing patents for our innovative processes is essential to safeguard our intellectual property, and I am thrilled to inform you that we have received a grant of three process patents during the quarter. Two of these three products are very niche and complex, and we have been able to develop an indigenous process which is not only better in terms of cost, efficiency, and yield, but also environmentally friendly. To conclude, I believe we have navigated industry challenges adeptly in FY24, and as we progress with an improved overall prospect for the industry, I firmly believe we will sustain our growth trajectory targeting for a revenue growth range of 25% for the year FY25. With that, I request our CFO, Mr. Bhavin Shah, to discuss the financials with you. Over to you, Bhavin. Thank you. Thank you, sir. I would like to briefly touch upon the key performance highlights for the quarter and year ended 31st March 2024, and then I will hand over the floor to Abhishek for his remarks. I will begin with the quarterly update. Revenue from operations for the quarter was at INR 224.9 crore, up 20.7% on a YoY basis, and up 35.2% on a sequential basis. The growth was driven by strong volume growth. The gross profit for the quarter was at INR 89.9 crore, which was up 10.6% when compared to the same period last year and 25.9% on a sequential basis. The gross margin for the quarter was at 40% compared to 43.6% in Q4 FY23. Lower gross margin is on account of an unfavorable product mix. Moving on to EBITDA for the quarter was at INR. 43.2 crores, up 5.9% on a YoY basis and 62.8% on a sequential basis. As guided in the previous conference call, the EBITDA margin continued to show a strong sequential growth trend, coming in at 19.2% for the quarter, which is down by 269 basis points on a YoY basis and an expansion of 326 basis points on a sequential basis. The EBITDA margin was driven by operating leverage, lower freight, and other costs. The PAT for the quarter was at INR 25.7 crores compared to INR 27.1 crores in Q4 FY23. The PAT margins for the quarter were at 11.4%. Lower PAT margins for the quarter were driven by higher depreciation and finance costs. Moving on to the FY24 updates, revenue from operations for FY24 was at INR 717 crores, up 16.3% as compared to INR 617 crores in FY23. Gross profit for FY24 was at INR. 305.8 crores, up 7% on a YOY basis. The gross margin for FY24 was at 42.6%. The EBITDA for FY24 was at INR 128.5 crores, up 4.8% as compared to INR 122.6 crores in FY23. The EBITDA margin for FY24 was at 17.9%. The adjusted PAT for FY24 was at INR 80.8 crores, with adjusted PAT margins of 11.3%. Adjusted PAT figures exclude one-time full impairment of investment in JV AMI Onco-Theranostics, LLC. With that, I request our Vice President, Mr. Abhishek, to discuss the financials view. Over to you, Abhishek. Thank you, Bhavinbhai. Good morning, everyone. I will briefly touch upon the key financial highlights and other business updates. The export for the year was 56%, whereas the home business was at 44%. On the cash flow and balance sheet side, even during this difficult year, we have been able to keep tight control on our working capital cycle, leading to a strong generation of cash from operating activity, which stood at INR 125.2 crores. This was driven by a sharp improvement in the debtor cycle. Coming to CapEx, the total CapEx for FY24 was INR 280 crores. Out of those INR 280 crores, INR 230 crores was towards Unit 2 Ankleshwar CapEx, and the remaining was regular maintenance and other CapEx. Out of the INR 310 crores CapEx planned for Unit 2 Ankleshwar, we have spent around INR 240 crores till the end of FY24. For the year FY25, we are expecting CAPEX to be around INR 250 crores. The split of the current CAPEX will be around INR 70 crores, which is the pending CAPEX of Ankleshwar Unit two. Around INR 100 crores CAPEX is related to electrolyte additives and related infrastructure, and INR 50 crores CAPEX is towards the captive solar power plant. The remaining around INR 30-40 crores maintenance CAPEX will be for FY25. On the borrowing side, the total long-term borrowing for the year ended FY24 was INR 114 crores. Cash and cash equivalents during the year at the end of the year was at INR 53 crores as of 31st March 2024. On the ESG side, I am also delighted to announce that we have achieved the gold medal accreditation by EcoVadis. We extend our sincere thanks and congratulations to the entire AMI Organics team for their remarkable speed in obtaining the gold certification within just three years of the initial audit by EcoVadis. Despite being in the chemical manufacturing industry, we remained committed to the ESG goal, propelled by an intensified focus on green chemistry and green initiatives. This commitment underscores our proactive approach to environmental responsibility and sustainability. Before concluding, I would like to highlight that, as our MD also highlighted, we are hoping for strong growth of around 25% in FY25 revenue. But kindly understand that in the past, also, our H1 and H2 revenue ratio was around 45-55. Now, given we are expecting CDMO contracts commercializing in H2 FY25, the split will readjust to a 40-50 ratio. In short, we will see growth in H2 of FY25, which will overall drive the growth for the year. With this, I request the moderator to open the floor for a question-and-answer session. Thank you. Thank you very much. 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 remove yourself from the question queue, you may press star and two. Participants are requested to use hands-free 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 Sudarshan Padmanabhan from JM Financial. Please go ahead. Thank you for taking my question. So my question is to understand what would be the utilization across your specialty chemicals and the pharma intermediate plants? Abhishek, can you take up this question, please? Yes. On the pharma intermediate side, let me tell you that Unit 1, as stated, is utilized at 72% of the total capacity in FY24, and it is a specialty chemical where the overall capacity utilization level is 50%. Unit 2 is just started, so we are not commenting on Unit 2 capacity yet. The capacity utilization will start in FY25 onwards. Mr. Sudarshan, can you please unmute your line from your end? There is a lot of disturbance. Yeah. Can you hear me now? Yeah. There is a lot of disturbance from your side. Okay. Is it better? Yes, sir. Because. Yeah. It's now better. Yeah. Yeah. So my second question is to understand the operating leverage and the margin because in the fourth quarter, we have basically seen a 19% margin despite the gross margin being lower. So while we are talking about 25%, I mean, I would understand that the growth in EBITDA and profitability should be much higher given that as this 70% utilization goes up and as Unit 2 increases, your margins will also kind of improve substantially. So can you give some color on what is expected in margin expansion? Abhishek, can you say? Sudarshan, we have seen progressive growth on improvement in margin. So last quarter, we have achieved a 19.2% margin with better utilization. Even if our gross margin is a little suppressed, as we have already explained in the past conference call, due to this pricing environment, with improved utilization and other things, we will see steady growth in improvement in margin from here now onwards. Any number that you have in mind, sir, in terms of margin? I mean, would it be upwards of 20%? Because that is what we were, I mean, a couple of years ago. We say that we are on the growth trajectory and improving our utilization. We will see a better number from here onwards on the margin front. See, the initial intention is to go back to our historical margin level, and from there, it will go up. Sure. One final question before I join back. We are happy to see several process patents being filed. If you can give some color with respect to what is the commercial value? I mean, what is it that we can derive in terms of monetizing some of these patents? What is the uniqueness of some of these patents that we have developed? See, I will take up the question. The Process Patent, the main intention is to avoid the competition as well as give the leverage of the generic manufacturer to have a process which is non-infringing. So there are two main concerns for which we are filing this kind of patent. This is also helping us to take the preferred supplier for a big generic player for doing the DMF filing. So this is how we normally do that. In the past, we were not doing that, and then we observed that after two to three years, we started facing the competition from local as well as the world market. So then we decided the strategy to protect ourselves right from the beginning so that when the product gets matured and when it becomes generic, we will be having a larger pie of the cake. So this is why we are filing this kind of patents. And value-wise, this patent can be helping us to get the better portion. That is the main aim in the product pipeline. Sure. Thanks a lot, sir. I'm done talking. Thank you. The next question is from the line of Rikin Shah from The Boring AMC. Please go ahead. Hi, Nareshbhai. Congratulations on a very good quarter. My question was more on the strategy side. Now we have four different verticals: advanced intermediate, Gujarat Organics, electrolyte additives, and Baba Fine Chemicals. Apart from the advanced intermediate segment, we don't have that deep of a history in the other segments, and they are sort of new for us. Naturally, there will be differences in customers and regulations. Considering that these verticals, we have ambitious plans to grow, what kind of team-related changes and hiring are we doing here? First of all, thank you, Rikinbhai. See, each and every vertical has a huge potential to go upside. And advanced pharmaceutical intermediate business is highly matured and having full strength with the manpower and everything, whereas the other three segments are right now becoming more in the trajectory of growth as well as establishment. So from Gujarat Organics' point of view, we had done all the integration, everything as per our systems, and manpower marketing sourcing, everything is established. So now, from a year onwards, it will be helping us to get more. And you can see also in this quarter, we have an incremental growth in sales trajectory as well. Whereas the Baba Fine Chemicals is a very niche area where we have a very specific established manpower there, which is under integration process. That will be once we do full integration, and then we already started marketing promotion of that product to other geographies. But that product is not the same product which we are selling to our core partner in the U.S. But that also, slowly, slowly, when demands arise, we will start recruiting the people in that area as well. All right. Got it. So with respect to Baba, you already explained. So are we sort of, we can say, in an order book formation mode? With these initiatives, over time, we will sort of see that product book being built for us? Yes. Yes. Definitely. And that is the purpose of putting on acquiring or growing the portfolio. See, all these are niche areas, and particularly battery electrolyte additives as well as this semiconductor is a very new area, not only for us as well as for India as well. So there, we are going very cautiously and firmly. So we assess the opportunity. We try to make sure that that opportunity will be for the long term, and then we make our strategy so that it will be sustained for the longer time with our technology advancement as well as our niche capability and a lot of things involved in that. All right. Thank you. Got it. With this trend to understand the capital structure better for the future, so we have intimated the exchange about a potential QIP and also taken preferential investment. So can we get a little bit elaborated version of what we are trying to focus here on? I think Abhishek can take this question. So as I already mentioned, we have a very good growth plan in place with a strong expectation of revenue around 25%. And I also shared the CAPEX figure with you on this. So to fund this CAPEX partly, we need to raise the fund as well as we want to deleverage our balance sheet and will make the prepayment of some of our existing loans. This will help us to grab any opportunity in the future in terms of organic or inorganic business. So this is how we want to structure our whole capital structure to be aligned to our growth and development plans. All right. That's it from my end. Thanks. Thank you. The next question is from the line of Sudhanshu from Marcellus Investment Managers. Please go ahead. Good morning, sir. I have a couple of questions. First one, thank you to the previous participant. Can you please come nearer to the mic and speak? Sure. Is it any better? Yes, sir. Please go ahead. All right. Okay. A few questions from my end. One is continuing on the same question as the previous participant. In the exchange filings, we have notified of both equity rate as well as debt ceiling increase. So can you help us understand what is the rationale since Abhishek mentioned that some of the debt would be prepaid, so why we have increased the ceiling on debt? So on our exchange filing, we mentioned that we want to increase the debt ceiling. This is to comply with the statutory requirement of the Companies Act wherein because we have taken up some of the debt for the purpose of expansion at Ankleshwar Unit, and because of that compliance, we wanted this resolution from the shareholder side. And for the equity side, as I mentioned, to align with our growth and investment plans. Okay. So, sir, what did you share to assume that we don't intend to actually utilize the debt ceiling to the extent which is allowed now? You would be primarily using the equity raised through QIP and preferential allotment for the CAPEX that you outlined? Yes. We will be raising the equity fund, but we do not intend to hit that limit of debt as of now, at least going forward for a few years. Okay. And you outlined a CAPEX of INR 250 crore for FY25, and we already did a CAPEX of INR 280 crore. So leaving aside the maintenance CAPEX, we would be incurring close to INR 450 crore-INR 500 crore of CAPEX between FY24 and FY25 on the new projects. So can you help us understand what is the peak asset turns for each of these CAPEX plans that we have? Because this is substantial investment that you made in the last two years and planning to make in the next year as well. So last year, if you see, our revenue to net asset block is around 2.8 asset turns. And in current year also, if we exclude the CWIP and the last leg of capitalization of Unit 2 Ankleshwar, our asset turnover, again, is at 2.8 x. Going forward from next and here onwards, it will get suppressed a little bit because of all the assets getting capitalized. But in the next two years' time, two to two and half years' time, we are again expecting it to be in the trajectory of 2.5x-3x the asset turnover on the net block basis because we have some good contracts in hand for all of the business wherein we are doing CAPEX. Okay. This is useful. Now, one final question on the business side. Any update on the commercial supplies for Apixaban? And secondly, on Baba Fine Chemicals, we understand that integration and some other aspects are going on, but we see a significant decline in the sales YoY for Baba Fine Chemicals. So can you help us understand why is that happening? So I will come into Apixaban. Apixaban is a strong product for us, and it will be definitely growing starting from H2 FY25. And it will be going to peak in FY26-27 at the time of launching in January. We had an advantage in FY23 because of the pre-launching by some of our generic manufacturers. But because of the lawsuit loss by them in a few territories, it was a little bit on a decline side. But there is a firm demand, and we are part of more than 26 DMFs of the customers. So it is good visibility for us for Apixaban. Coming to what was Baba Fine Chemicals? So Baba Fine Chemicals, this is a very niche area, and it is a very strong documentation process is happening. And for changing all the licensing, all the papers at the customer end, it took a little bit longer time because we are creating a JV between Baba and AMI Organics. And that will be, I think, in this quarter one or quarter two, it will be fully converted, and then the orders start releasing for all the products. So we are making products for several applications. So some applications are faster. Some applications are at the latest stage using it. So that will be a little bit on a slower side. So that will be finished. We are expecting to be complete using this for the start of this FY25. Very good. Thank you very much for this explanation. Just one follow-up question on that. Baba Fine Chemicals, you were saying we are transferring the business from the standalone partnership business to this new JV that is getting created. Sometimes there is a documentation timeline. Is that understanding correct, or I'm missing something? So there are two aspects parallelly going on. One at the customer end, and second at India and as an operational and legal end. So both are India operation is not hampering it. The hampering is the customer has to qualify us for all their applications and vendor qualification system. So it is not that similar kind of vendor qualification system like in pharma or semicon. It is a very different kind of qualification system over there because the utilization of the product is all it's a lengthy process. Let me tell you like that rather than one-on-one, if you want, I can explain you also later on. Okay, sir. This is helpful. We expect it to start normalizing so much too even in this segment. Is that correct? Yeah. This is how today's whatever the backyard and whatever the commitments are happening from the customer as well. So this Q1 and Q2 will be the timeline. Within that, we might be closing all the approvals. Okay. Thank you very much. All the best. Thank you. Thank you. The next question is from the line of Dhara from ValueQuest. Please go ahead. Hello. Hello. Yes, ma'am. Can you please come nearer to the mic and speak, please? Is it better now? Yes, ma'am. Please go ahead. I would like to understand the highlights or the update or the progress that we are making with the MOU that we assigned with the Gujarat government for the electrolyte project. At what stage are we, and what is the progress on the project? Let me take this. On the MOU announced with the Gujarat government, let me ask the regional team manager that we have a tie with one of the largest manufacturers of the electrolyte solutions in the world. So at present, we are working on both fronts to finalizing the CAPEX for this project as well as the governing structure of this joint venture. And we will be soon announcing something on this very soon on this. But as of now, we cannot share much on this. Sure, sir. My second question was on your gross margins. So we have seen gross margins in the last six quarters consistently going down from 46% to now at 40% in Q4. While you have mentioned that it is because of unfavorable product mix, can you explain us more specifically which are these products that are causing pressure? So Dhara, in the last few quarters, we have already explained that there is some price pressure we are discussing with our customer, and we have taken a hit on the top line also on this. Even in recent time also, we have converted a few of our contracts from CIF to FOB basis. So when there is on a CIF basis, you will get a rate in your top line, and expense will sit in the other expense. So 1% we see 1% hit is there on this account. And again, quarter-on-quarter, there is a change in the product mix. We have some validation done for our CDMO business in this Q4. So putting all this together, this lower gross margin of 40% is coming up for this quarter. But going forward, we'll see a steady state recovery again in this as the inflationary and other pressure is stabilizing. So in the future, we'll see a better number on the gross margin front. Sure. Thank you so, so much for the explanation. That's it from me, sir. Thank you. Thank you. The next question is from the line of Jason from IDBI Capital. Please go ahead. Yeah. Thanks for taking the question, sir. Sir, I just wanted to understand why I think that the goodwill basically in the budget has gone from. Sorry to interrupt you, sir. There is a break in your voice. Can you please repeat your question? Yeah, sure. Yeah. So sir, I'll just repeat my question. I'm saying that the goodwill, which was in FY23, went on to INR 20 crore, has gone on to INR 57 crore in FY24. So I just wanted to know the reason for this. Is the position of Baba Fine Chemicals the reason for this as well? Yes. So Jason, there is two things in this. In the past year, goodwill was on account of our JV, AMI Onco-Theranostics, LLC, which we have fully provided during the current year. Now, the amount which is appearing in the books is on account of investment in Baba Fine Chemicals. Okay. So that's because of investment in Baba Fine Chemicals. Right. And the AMI Onco-Theranostics' goodwill is completely gone, right? Yes. Okay. Okay. Okay. Sir, just in this quarter, you've seen good sequential recovery, and I understand that it's been a difficult year. Just wanted to know what has changed. Of course, you have gone back to the spot business. I'm seeing competitive pressures outside. Now, I just wanted to know what has changed this quarter, and margins have also increased to 19%. Overall, your margin started on 18% for the full year. Now, I just want to know going back what we can take as sustainable margin as a business and some update on the business and how price pressure is looking. Jason, as we have explained earlier also, our first target is to go back to our previous best margin of 21. That is our first target. From there onwards, we'll see again a good growth journey, but we'll see a steady state growth in the margin from here onwards now. I believe the current year is the base formation, and we'll see improved and better numbers from here onwards. Okay. Sure, sir. Sir, my next question, I just wanted to know in terms of the electrolyte additives business. So VC prices, they have corrected very, very sharply going back. And sort of electrolyte additives, lithium, etc., all this corrected very sharply. So I just wanted to know in this business, of course, when you have started to invest, there must be a certain thing. But now as the prices have corrected very sharply, how do you see the plan going ahead for this business? It's a really good question, I can say. But as always, I'm saying, we have yet not done any CapEx because considering all these approvals as well as strong demand in our hand, and our existing capacity can be sustained on that. But now, we have some agreements that are already in place which we cannot disclose to the customer as per their requirement. And with that also, there is a and mainly, these agreements are for IRA application, which is giving us a leverage of $1 or $2 against China. So that's helping us. And our processing technology is so strong so we can be able to sustain our margin with this decremental as well. Okay. Sure, sir. Okay. So in terms of the next question, sir, just want to understand, I mean, sir, how much of the pressure we have for Darylutamide? And of course, then it becomes like a Fermion contract. So in terms of revenue, in terms of revenue, so how do you see the ramp-up going ahead? Are we too much exposed on Darylutamide, and what steps are we going to take to diversify it? No. FY2024, we are not that much dependent on Darylutamide even though we have done good growth in that. FY2025 is a year of qualification, and it will be ramped up here. From FY2026, it will be go for the full total for us. Darylutamide is not a part of our system from FY2023, but it is part of our system since FY2010, 2011. So we are a very old supplier of this raw material to the Fermion. Okay. How do you see the pipeline going ahead, sir, in terms of various NMEs? We have a strong pipeline. We have a lot of products which are having long visibility for every year expiry as well as some new CDMO entering into the basket. And then NC program, as we stated several times in call as well as in investment phase, every year, we are getting five to six new NC programs. So that also giving us a good visibility. So they are also moving from phase 1 to phase 2, phase 3 like that. So it's a mix of product mix where we have long, sustainable products. We have high volume. Some are high volume, and then these are NCs and CDMOs. So it's a basket is mixed, and that's how we survive with this. And you can see consistently, on our top line, we are consistently improving ourselves. If this top line was not compromised this year, it will be a heavy lesson for us. So this is all because of the 10, 15 years what we have done in our product identification, qualifications, development. So credit goes to all this area. Yes. So would it be possible to give a number in terms of Darylutamide? How much does it contribute to the API business? No. It's not possible to give the exact number on that, but. Ballpark, ballpark also. See, Darolutamide originator has announced that they will go to $3 billion. So if they are from current base to three times, they are expecting the growth. So similarly, we can able to get this kind of growth. And importantly, we have all fine intermediates of key intermediates of that product. So we have a larger expectation from Darolutamide from the originator. Okay. Sure, sir. Sure. Sir, just lastly, I just wanted to understand, sir, when you said the CAPEX plan and utilization of unit one wasn't very clear. So if possible, could you please repeat those numbers, the CAPEX plan for 2025 and 2026 on the utilization of unit one and unit two as well? Abhishek, can you take up this? Unit one, in terms of capacity utilization, it will be a kind of normal growth because at Unit one, we do not see much of the opportunities available to expand the capacity further. So slowly, slowly, it will increase capacity, and that will hit the ceiling. It is already operating at 72%. Yes. At Unit two, we already integrated and commercialized one production block for the particular customer. And going forward in the next three years, we are expecting other two blocks also to get filled up with new products with new other innovators as well as the additional capacity utilization coming in from the existing products which are not being catered at Unit one because of the capacity constraint at Unit one. So in three years' time, we are again targeting that capacity utilization should reach at an optimum level of more than 60%-65% in the next three years' time. And for Unit 3 also, it is underutilization of around 50% for FY2024, which is again, we are growing at more than 20%-25%. And next three years' time, we're expecting that this capacity utilization should also ramp up in a similar fashion as we are expecting in Unit 2 and 1 also. Okay. Okay. So the first block is at Unit 2. Is that right? This is the one which you have commercialized, the one production block which you mentioned, right? Okay. And sir, that's fine. Okay. And sir, finally, just CAPEX numbers from total what you're estimating. For which year? FY25? 2026 and 2026. You're talking about this. CAPEX, sir. The CAPEX plan. What CAPEX for FY25 and 2026? CAPEX. As I mentioned during my opening remarks that we are expecting CAPEX of around INR 250 crore for FY25, out of which INR 70 crore is the balanced CAPEX at Ankleshwar unit, INR 100 crore CAPEX expected at unit three for electrolyte additive business, and INR 50 crore CAPEX for captive solar power plant. And the remaining INR 34 crore-INR 40 crore will be in the range will be for the normal maintenance CAPEX. And similarly, the similar CAPEX is expected for FY26 also for maintenance. For any additional project CAPEX, we have not yet decided or announced any CAPEX as of now. Okay. Sure, sir. And just finally, sir, just one thing, this unit that you mentioned, is that basically to cater specifically to the battery chemicals business only? Yes. Yeah. So it will include. Yes. So it will include one part will be there in maintenance CAPEX for this. And there is a specific CAPEX also for electrolyte additive. Okay. No, sir, my question was, so Unit 3 is only catering to battery chemicals, or is it catering to the API business as well? Unit 3 is completely dedicated to our specialty chemical business excluding semiconductor business which is at Baba Fine Chemicals. So Unit 3 caters our business related to paraben, salicylic acid, and electrolyte additive business. No pharma intermediate at Unit 3. Sure, sir. Okay. Got it. Got it. Thank you. That's all from us. Thank you so much. Thank you. The next question is from the line of Ridhima Goyal from Aequitas Investment Consultancy. Please go ahead. Hi, thank you so much for taking my question. I think most of my questions have been answered. It is just one question I'm left with is. I just wanted to know the volume growth which we have across all our segments, like the API in the second, and what are the EBITDA margins and the EBITDA figure which we have reached in? Hello? Bhavin, can you take up the call, please? Yes. Ridhima, can you come again? My question is, what is our volume growth in both our segments, both API and second, and also the EBITDA margin levels which we have achieved in both these segments? Yes. So we have 100% volume growth for both these segments in the current year. EBITDA margin for the specialty is at 68%, entire specialty. For advanced pharma intermediate, it is at 19.53%. Okay. Okay. I just wanted to understand one thing else. So we have seen the drop in the margins. So is it because of the increase in the second business on an overall revenue basis, or there is an increase in the revenue from some of the low margin APIs only? Ridhima, it has both the thing. There is a definite growth in volume of low-margin specialty also. Last year, as we have mentioned in the past three quarters, was a difficult year for the entire industry. We have seen some pricing pressure also from our customer end in other segments also. Okay. What is the price growth which we have seen in this quarter? Pardon? What is the price growth which we have seen in this quarter, Q4? See, that's what I'm explaining you. That for Q4, growth is coming from volume only. Volume only. So price has been. Stabilized. Price is stabilized. On a year-on-year basis, right? Q4 FY23 versus Q4 FY24? Yes. Understood. Understood. One last question I just wanted to understand is, what exactly are we manufacturing in the electrolyte business? Is it the solution or the salt or the solvents? What are exactly we're producing or we're planning to produce? So in electrolyte, we have two segments. One is additive. So in the past, we have only two additives two-three quarters back commercialized like VC, FEC. But in the last one year, we developed another around eight different additives required for different formulations. So these are the key additives that we see, FEC. Then there are so many other additives which are used by the different formulators battery makers based on their formulations. So we had those around six to eight in that segment. So now we have more than 10 additives in electrolyte additive segment which is mature enough now. And now for that only, we are targeting to do some CAPEX as well. And another segment came up in this year, and that is CDMO work for one of the solution manufacturers in India. So that is a different segment. This is the second segment where we are working in making the final formulation based on this recipe of the CDMO player. That will be the second segment in electrolyte. We will be manufacturing additive only in the CDMO part? No. CDMO is going to consume the additives as well as other salts and solvents and make the formulation. So it's two different segments. Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants, please limit your question to two per participant. The next question is from the line of Krishan Parvani from JM Financial. Please go ahead. Yes, hi, sir. Thanks for taking my question. And congrats on. Sorry to interrupt you, sir. Can you come near to the mic and speak, please? Yeah. Is it better? Yes, sir. Please go ahead. Yeah. Thanks for taking my question. And congrats on good set of numbers. Just one clarification. So of the 25% sales growth that you guided for FY25, how much would be from the firm orders in place that you have? Because I think you highlighted that you have firm orders for electrolyte additives as well. So can you just throw some light on that? See, the visibility depends on because we have a mix of product mix is very big compared to other players like us. We have more than 500 products out of that commercially active in pharma is around 80-200. And then the rest is also in specialty as well as in semiconductors. So it's a big basket. In that, we have firm commitments as well as firm orders coming from the contract as well as from the regular customers. So it's a strong visibility we have that if there is any lightning last year, there is a top-line pressure. And that has reduced our top line. But if everything goes well, we are very strong from here that we will definitely make 25% and maybe up if everything goes normalized. Yeah. I mean, because I think your prices have normalized, so I think the volume growth should translate directly to the sales growth. So I mean, there is a possibility that you could probably outperform it. Is that correct understanding? Yes. Yes. Perfect. We can state also this because, see, in these all four quarters, the important highlight is that every quarter, we had increase in our volume. So if our volume is intact, then the only question is the price which is offered by the customer. So if your volume is losing, then definitely, you can have whatever deal you do, but that will not be able to sustain because volume is decreasing. But our important message is that our volume is increased every quarter. So that will also give us a boost of confidence that definitely, we will make these numbers. That's great, sir. Yeah. I mean, I would agree on the volume growth part. And thank you for taking my question, and I wish you all the best for the future. Thank you. Thank you very much. The next question is from the line of Rohit Nagraj from Centrum Broking. Please go ahead. Yeah. Thanks for the opportunity. Congrats on good set of numbers. My first question is again on electrolyte additives. On slide number 35, we have mentioned that electrolyte additives sample approved at plant scale for six customers. Have we started the commercial supplies, and what could be the potential for us in terms of the opportunity size? Thank you. See, basically, commercial supply is not yet started because we already started manufacturing of the electrolyte additives. We got some firm orders, and based on that, we already started manufacturing of that. Now, we are in the process of final product because these all depend on the formulations. Final quality is demanded by the customer. So, customers' green signal, based on the different specification, we will do the final packaging for them, and we will see that. That's why we say that by Q2, we will start commercial supply to the customer. Right. And what could be the opportunity size for us? For the time being, we had discussed several times on this subject since long. When we started, it was $42. Now, it dropped down to $8, $7. But still, we have a huge potential. That's why we are also now started because demands are incremental, and that's how we also now started. After two and a half years, we started deciding to put up a larger capacity plant for both the additives. Right. And sir, second question is again that we have also mentioned that seven new products are at various stages of qualification. So what are the timelines that we are looking at in terms of, again, getting approval from the customers? And are we targeting the domestic customers as well apart from the global customers? Thank you. See, additive is used for anywhere. So it's not that only made for export. It is also domestic. If somebody comes for the formulation in domestic, definitely, we will be supplying them as well. So there is no bar. And importantly, if we go with our CDMO, JV will be forming this and moving ahead. And then they will be also our customer as well in India. So we have an additive point of view. We are securing ourselves not only the export but also indigenously, our own JV might be one of the customers for us as well. Sure. Thanks for answering all the questions and all the best, sir. Thank you. Thank you. The next question is from the line of Vignesh Iyer from Sequent Investments. Please go ahead. Congratulations, sir, on good set of numbers. And thank you for the opportunity. I wanted to understand on our new Ankleshwar facility, what is the break-even sales that we need to achieve? I mean, sir, what is the sales that we need to achieve to reach break-even margin? So let me present percentage of utilization also would do. I mean. So let me bring it to you, Andrew. That Ankleshwar, we have already commercialized. We have integrated and commercialized one production block at Ankleshwar Unit 2. And the rest of the units are still not operational. So capacity utilization and the break-even point will depend on those commercialization or each and every block on a sequential basis. We are expecting around 30%-35% of the utilization at which we should be able to hit the break-even for a particular block and not for overall the unit two level. If I understood it right, the block that has been commercialized now can hit break-even at 30%-35% utilization. Any subsequent block would depend on the product or, say, for that specific block, the break-even would be different, right? Yes. Yes. Okay, sir. Got it. Got it. So one more question from my side would be, so I was looking to balance the P&L. And our net tax payer for this year is 41%. I understand we might have taken some match credit. Are we moving to a 25% tax bracket for the coming financial year? When you see this number, basically, for standalone, AMI Organics Limited, rate is 25.16%. There is an exceptional item in the P&L which is not allowed in income tax. So that is one of the differences. There is a different tax rate for our fine chemicals. Mix of this is showing you this number. One has to understand that we are at 25.16% only. Okay. Got it. Got it. So what is the tax rate that is applicable to Baba Fine Chem? So yeah, it's a partnership firm. So tax rate is at 35%. 35%. Okay. Right. Got it. Got it. Thank you, sir. Thank you, sir. That's all from my side and all the best. Thank you. The next question is from the line of Rikin Shah from The Boring AMC. Please go ahead. Hi, Nareshbhai. Thanks for taking my question again. So in terms of the process patent that we have achieved in Lumateperone, so my understanding is that this drug is sort of a combination for three particular diseases which are schizophrenia, bipolar 1, 2, and MDD. So with this, the estimated sales of the innovator is very large. However, I believe that this could be an entry for us when the global patent would expire. So in that particular year, what sort of addressable size is possible from this product? Thank you, Rikinbhai. Yes, you are right that you can see the antidepressant segment is growing worldwide. That segment is having a lot of subdivision as well. Most of the products which we are working in that, we are in a key position in this segment as well. Lumateperone is definitely a very good drug. Few of our generic manufacturers also first to file in the U.S. as well. So we are expecting a lot of traction in this area, and it's a very high-value low-dose molecule. It's also our backup of Trazodone as well. So this is how we had posed this product. We started working since very long. That's why we also get this special protection as well. So that helps us to get a bigger market. As you rightly say, this market is growing very fast. That will also help us to encourage us to get the bigger portfolio. In 2029, it will be a larger volume product for us. So just expanding on this, so I just read into the patent, and I sort of discovered that our process of making this is perhaps helping with a better yield. And also compared to the catalyst used by the competitors, they use sort of Xantphos and Pd(dba)2. Our catalyst is green. And so all these things, do they help eventually with costing and becoming a preferred source of supplier? Yes. Yes. That is the reason why. See, when product becomes generic, the biggest problem is the price pressure. And in that, if you want to sustain in that area, you should be cost-effective for your generic API manufacturer. So that is where AMI Organics is always focusing on. All of our product which we are working for the generic development is like this so that when these products are coming into the market, we will not be kicked out by the generic API manufacturer because our cost is not competitive. So that is one of the reasons. And it's a very unique chemistry we have developed. And to protect ourselves in this chemistry, that's how we went into the fight. All right. Got it. Thanks for commenting on that. Lastly, sorry for asking the same question in a different way. An earlier participant sort of asked how the ramp up in Ankleshwar would be happening. So we understand that the one CDMO and key contract is dedicated to the innovator. But with the other two blocks, we may be in contract negotiations with other CDMO players. Or that will take its own time. So for the time being, once Surat is sort of at its peak utilization, do we have the basket of products to manufacture from the other two blocks? Yes. Yes. Definitely. That expansion is basically when we started is to back up the Surat Unit 1 only because Unit 1 is going to be mature. And because of the thanks to our flow chemistry introduction, we are reducing some capacity, and we are sustaining Unit 1. But basically, Unit 2, Ankleshwar was a backup further forward support to the Unit 1 product pipeline only. And that is why we had put up on Unit 2. Luckily, we got one block with the CDMO contract, and that helped us to move faster in this area. But we are in very active negotiation and discussion and approval with some other CDMO regulators. And sampling and these are happening. But that process is a little bit longer. So that's how we will get a few more products from CDMO in unit two as well as our future product which are coming in launching in 2026, 2027. That will help us to produce in unit. And normally, we have to 3x in all our CAPEX, and that will be also possible in this unit two as well. All right. Thanks a lot, Nareshbhai. That's it again. Thank you. The next question is from the line of Prateek Oza from Share India Securities. Please go ahead. Yeah. Hi, sir. Thank you for the opportunity. Am I audible? Yes, sir. You're audible. Yeah. So some of the question is on the CDMO part. So basically, CDMO remains a very large business. So I just wanted to know what is the expected growth we can achieve in FY25. And also wanted to understand whether we are in early-stage molecules or we are into late-stage molecules. So it's a mix of that. We are doing CDMO since long with big organizations in Europe for their after-expiry molecule sustainability. So that is the one segment. Whereas we have several products which are in NCE program also which is going forward into the launching area. There also, we do some CDMO as well. And then all of a sudden, some organizations capacity consult started. And like this, we have one of the biggest CDMO right now working for us. Sorry. So it's a mix of that. And we want to incremental CDMO segment in our portfolio. And that is where we are working in that. So from going onward, CDMO portfolio is a very sizable portion in our total market. Okay. Just wanted to add that. So just wanted to understand, so on these small molecules, typically, the margins are higher as compared to large molecules. Am I understanding right? See, obviously, CDMO has a little bit compromised in that because it's a completely toll manufacturing for the big player. But in that as well, also, if you have your own process or something newer technology, you can have a leverage in that. But because we have a mix of products where we have NCE programs, where we have margin is very good, products which are going further regulatory market is a 2%-3% up our side margin than the generic portfolio. So that is why we have a. And then importantly, once you understand that we are not in API or we are not in formulation where we have a regulatory compulsion, stronger compulsion leverage. We are in a bottom chain of the supply. So that will not give us more leverage in that. So that's how we are now starting putting ourselves in patents as well so that we can get a little bit advantage of that as well. Okay, sir. Thank you. Thanks a lot. All the best. Thank you. Thank you. Ladies and gentlemen, due to time constraints, we will take that as a last question. I now hand the conference over to the management for closing comments. Thank you, Ambit team, for hosting our conference call. Thank you, everyone, for your questions. We hope we have been able to answer most of your queries. If we have missed out on any of your questions, kindly reach out to our investor relations team, and we will get back to you. Once again, thank you very much. Have a nice day. Nice week. Bye-bye. On behalf of Ambit Capital, that concludes this conference. Thank you for joining us, and you may now disconnect your line.