Ladies and gentlemen, good day and welcome to RPG Life Sciences Q2 FY 2027 result conference call hosted by Dolat Capital. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note, this conference is being recorded. I now hand the conference over to Ms. Candice. Thank you, and over to you, ma'am. Thank you, Nazneen. Good evening, everyone. I, Candice Pereira, on behalf of Dolat Capital, welcome you all to the Q2 FY 2027 earnings call of RPG Life Sciences Limited. I would like to thank the management for giving us this opportunity to host the call. Today, from the management team, we have with us Mr. Ashok Nair, Managing Director, and Mr. Amol Lone, CFO. I will now hand over the call to the management for their opening remarks. Over to you, sir. Thanks, Candice. Good afternoon, everyone, and thank you for joining us. It is a pleasure to connect with you again and take you through our performance for the second quarter and first half FY 2027. In fact, quarter two has been a quarter of milestones for RPG Life Sciences. For the first time, we crossed INR 200 crore in quarterly revenue and INR 50 crore in quarterly EBITDA. All three of our business grew, and in parallel, we completed the most significant strategic step in the history of our API business with the creation of RPG Active Pharma and the acquisitions of Actis and Raghava. I will take you through each of this today. But before we get into quarter two and H1 highlights, I want to give a brief company introduction for those joining us for the first time. RPG Life Sciences has a legacy for more than five decades. From its origin as a joint venture between a global MNC and the RPG Group, the company has evolved into an integrated pharmaceutical company with three businesses: domestic formulations, international formulations, and active pharmaceutical ingredients. In India, we reach over 100,000 doctors, including more than 36,000 specialties across nephrology, rheumatology, onco, urology, cardio, orthopedics, neuropsychiatry, and gastroenterology. Our portfolio includes six textbook brands that have been prescribed and taught in medical colleges for decades. Internationally, we supply to more than 50 countries. Now, if you see over the past few years, we have undertaken a structured transformation journey, sharpening our portfolio, strengthening our execution capabilities, and building a more disciplined and scalable operating model. The transformation is reflected not only in our financial performance, but also in the way we approach markets, engage with healthcare professionals, and improve productivity across the organization. With the two acquisitions this quarter, our manufacturing footprint has expanded from three to five sites, two formulation facilities, and three API facilities at Navi Mumbai, Visakhapatnam, and Kamareddy near Hyderabad, supported by integrated R&D. Over the last few years, we have undertaken a structured transformation, sharpening our portfolio, strengthening execution, and building a scalable operating model. The results of that work are now showing consistency quarter-over-quarter. We have a professional team size of over 1,800 employees, providing us with the right set of talent, intent, and capability to further accelerate our growth trajectory. If I talk about the performance highlights, the revenue from operations for quarter two grew 16.5% to INR 211.6 crore compared to INR 181.7 crore in quarter two last year. I want to emphasize one point, the growth is almost entirely organic. The acquired sites contributed only INR 50 lakhs in quarter two, as the transaction closed in September. Their full revenue contribution will begin from quarter three. We also delivered our first INR 50 crore EBITDA quarter with our adjusted EBITDA, excluding one-time restructuring and API acquisition link cost of INR 5.5 crore. We grew 15% to INR 50.1 crore in quarter two versus INR 43.6 crore last year. Gross margins also expanded by 260 basis points, despite multiple industry tailwinds and West Asia war impact. The margin expansion in a challenging external environment highlights the strength of our operation, procurement strategies, and execution discipline that has helped us mitigate this impact and grow our bottom line faster than our revenue growth. For the first half, revenue growth grew 16.2% to INR 407.3 crore, crossing the INR 400 crore mark for a half year. H1 adjusted EBITDA grew 16.1% to INR 97.9 crore, with a margin at 24.0%. Our adjusted PBT before exceptions has also grown by 13.6% this year. Coming to domestic formulations, which contributes approximately 70% of our revenue, we grew 11.6% in quarter two to INR 145.7 crore and 13% in H1 to INR 278 crore, continuing our momentum of market-beating growth. This is the sixth straight quarter where we have delivered market-beating growth performance. What gives me the most confidence is the quality of this growth. It has been driven by volumes, which reflect real prescription demand. Our volume growth in H1 was 6.8%, almost twice the market of 3.4%. As per PharmaTrac September 2026 database, RPG Life Sciences is now the fourth fastest-growing company in the Indian pharma market on a MAT basis. We achieved top 50 ranking during quarter two, notably having advanced 12 ranks in a short period from rank 62 in March 2025 to rank 50 today. Within our covered market, which is about INR 49,600 crore in size and growing at 9.8% H1, we are the fastest-growing company as per the PharmaTrac latest database. Growth has been broad-based, with every key basket growing in double digits. In quarter two, MAT grew at 24%, nephrology and rheumatology grew at 23%, cardio grew at 18%, and immunosuppressants grew at 13%. Importantly, each of these baskets is growing faster than they did last year, which indicates acceleration and not merely contribution. Digitalization has stabilized. Our medico-marketing programs are delivering high returns, and our sales force effectiveness and digital interventions are visibly improving field productivity, with our PCPM increasing from INR 6.5 lakhs to INR 7.7 lakhs this year. Our leading brand in the pain management category, Naprosyn, continues to deliver strong performance. A key milestone this quarter is that Naprosyn has crossed INR 100 crore in secondary sales on a MAT basis, making it one of the fastest-growing large brands in India. H1 primary sale was INR 47.9 crore, up 13.6%, and we are on track to cross INR 100 crore in primary sales internally too. We are investing to make this growth durable through Ortho Ignite programs. We engaged over 300 orthopedic surgeons in the CMEs this year. We also are carrying out Naprosyn Master programs, where we engaged more than 550 young orthopedic surgeons, and we are in the process of building relationships with tomorrow's prescribers today. We have also added over 4,000 orthopedic surgeons to our master doctor list to reinforce our ortho and pain reach. Our new launches for our philosophy has been simple, launch products with complete focus on making them succeed. The 12 brands we launched in FY 2026 delivered INR 12.4 crore in H1, nearly double the INR 6.3 crore in H1 last year. Quarter two sales from these launches were up 15% year-on-year. Brands such as [Preserve] and Arpicet are building into meaningful franchises. At the same time, we have improved the quality of sales, reduced returns, and rationalizing trade discounts. We also revitalized legacy brands like Norpace and Serenace. Norpace in particularly grew 40% in H1, and we are scaling up awareness through CMEs, journal publication, and targeted campaigns. In FY 2027, we also made three strategic launches. Naprosyn ES is India's first naproxen and esomeprazole combination. [Critipinum], which extends our orthopedic franchises into anti-infectives. [Fluaxis] marks our entry into medical devices, building our nephrology credibility. In October, we also entered the GLP-1 space with the launch of semaglutide injections across our nephrology and cardiology divisions. Our focus remains on building depth with therapies to sustain our growth trajectory. We have strengthened our operating disciplines through a set of focused initiatives designed to improve the field effectiveness. By integrating digital tools, iPads, and automation into our workflows, we are enabling our medical representatives to make better use of their time, and we are already seeing enhanced productivity in the field. Our proprietary doctor engagement, RPG Serv, continues to play a central role in strengthening our digital engagement with doctors. We are currently enhancing the platform further with more intelligent and personal capabilities, including AI-led content delivery and sharper segmentation. This helps us move from one-size-fits-all approach to more contextual engagement with our doctors. Going forward, RPG Serv will continue to play a big role in deepening and customizing our reach and engagement. Coming to API, from acquisitions to value creation, our API business delivered an exceptional quarter, growing at 85.5% to INR 27.5 crore in quarter two. H1 revenue grew 57.1% to INR 54.1 crore. This is entirely organic and was delivered while the team was simultaneously executing two acquisitions, which reflects the strengths of our core Navi Mumbai business. On the strategic front, we moved with speed and discipline. On July 29, we announced the transfer of our API business to RPG Active Pharma, the investment by InvAscent, and the acquisition of Actis. The subsidiarization became effective on August 14. We announced the Raghava acquisition on September 2nd and subsequently affected both acquisitions in end September. The scale we have built is significant. The expanded network has five times the manufacturing capacity, four times the reactors, three times the product and pipeline molecules, and twice the customers and employees. With the transaction completed, our focus has anchored firmly on value creation, where our three priorities include improving asset utilization, accelerating customer acquisition and exports, strengthening the product pipeline, and delivering procurement process and cost synergies. We remain committed to our ambition of delivering 25%+ CAGR in the API business over the next five years through a combination of organic growth and disciplined acquisitions at prudent valuation. In short period, we have transformed a standalone API business into significantly larger, multi-site, backward-integrated organization with further committed capital available for organic and inorganic growth. Every acquisition we look for API will be with the lens of being a building block in one integrated company focused on deep capabilities, capacity, chemistry, product portfolio, approvals, and customers. We will also look to incorporate U.S. FDA approvals and therefore access to the U.S. market as part of the larger strategy. It is also important to note that the strong API business is complementary to our formulation business and will make it even stronger. The API carve-out increases management bandwidth for the formulation engine as RPGAP as a separate dedicated management team. Therefore, focus deepens on both verticals, and we expect better overall performance of both. Coming to international formulations, its international formulation is back on a growth path with revenue of INR 36.7 crore in quarter two and 7% in H1 to INR 71.7 crore. Our core franchises continues to perform well, while the key brands like sodium valproate growing 38% in South Africa and 17% in Australia. We are also deepening channel engagement, including a dedicated channel partner program in Myanmar to mark 25 years of Siloxogene in the market. We stepped up our customer outreach significantly. At CPHI this year, we met 162 customers and held more than 75 discussions with potential partners, with strong interest from Balkans, Middle East. We are winning tenders with recent wins in LATAM, Ethiopia, and other markets. We expect to add about INR 10 crore of revenue from FY 2029 from Chile and Ethiopia. We also completed our first CDMO project on time, which is expected to add about INR 8 crore from FY 2029 in U.K., and CDMO inquiries will continue to grow for us. To sustain this momentum, we are accelerating R&D and building the portfolio. We have built a data-led R&D roadmap targeting about INR 25 crore by FY 2030. Our expanded API portfolio gives IF a forward integration advantages on these new molecules. We have also added depth to the team with two senior hires who bring strong international marketing expertise. Together, these steps give international formulations a clear and sustainable growth runway. On building a future-ready organization, our three business are our growth engines, but a large business needs a stronger foundations. Over the last few quarters, we have focused on strengthening our business support functions in line with our growth ambitions as we scale. In digital, 100% of medical representatives are now active on Salesforce, with iPad-based detailing translating into better field outcomes. Our RPG Serv platform continually deepen doctor engagement through scientific content, patient education, and personalized services. Market intelligence reports are now produced 75% faster at no additional cost. We have invested ahead of the curve in sales force effectiveness, deploying multiple AI-enabled dashboards to strengthen campaign monitoring, commercial analytics, and data-led decision-making. Our internal medical representative app, RXR, has also been upgraded to RXR 3.2, with enhanced Salesforce capabilities for customer tracking and engagement analytics. These interventions are not only helping representatives save time, but also enabling more targeted customer outreach and improving field productivity. IT upgradation projects across both corporate operations and plant modernizations are underway. In finance, we are moving to paperless workflows. On talent and HR, we have hired critical leaders with deep sector expertise, including a dedicated CEO for RPG Active Pharma, redesigned HR roles across sites, and put in place detailed succession plans with a strong middle management layer. In training, we have introduced industry-first curricular AI-led customized training for medical reps based on the identified skill gaps. On ESG, our sustainability framework is on track for completion by December 2026. Our FY 2026 BRSR and GRI reports are published. Scope one and two assessments are complete, and Scope three analysis will be completed in quarter three. Coming to our financial roundup, to sum up the financials, quarter two delivered 16.5% revenue growth and 15% adjusted EBITDA growth, with gross margin expanding 260 basis points despite the impact of the West Asia war conflict on input costs. We mitigated this proactively through price increase, product mix, and securing strategic inventory. PBT before exceptional items grew 11.3% to INR 42.5 crore in quarter two and 13.6% to INR 83.7 crore in H1. Reported PBT reflects two one-off items. Last year included an INR 11.2 crore gain from the fire insurance recovery, while this quarter includes INR 5.5 crore of one-time restructuring and acquisition-related costs such as fees and et cetera. Closing, as we look ahead, our priorities are clear. In domestic formulation, we aim to grow faster than the market, retain our top 50 position, and scale our new launches, including semaglutide. In API, we will integrate both plants carefully, focus on value creation pillars, and align our R&D infrastructure with the expanded pipeline. In international formulations, we will deliver our FY 2027 plan while protecting margins, close partnership discussions, and onboard further CDMO projects. Our approach remains one of disciplined, cautious optimism, delivering today's commitment while investing in tomorrow's growth. We now have a market-beating formulation business, a substantially large and well-capitalized API business, and a stronger organization to support both. I am confident that this position of RPG Life Sciences is well for sustained and profitable growth. Thank you for your continued trust and support. We will be happy to take the questions. 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 touch-tone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Ranjeet Verma from Sameeksha Capital. Please go ahead. Yeah. Hello. Yes. The voice is a bit feeble. Now is it clear? Yes, this is better. Please go ahead. Thank you for the opportunity. I have two questions. First, for the acquired API entity, would you please quantify the contribution of the revenue and the EBITDA for FY 2027? Second, the cash flow generation was relatively weak in H2, primarily due to high working capital. How do we look the working capital days or the cash conversion cycle on a steady state basis going forward? On the revenue and EBITDA front, EBITDA is, like we said in earlier calls also, it will be in mid-20s, similar in line with our existing business of API. From the top line, it is H2 that we are now setting up the business and all acquisition-related integration things. The top line will be directionally in the range of INR 25 crores-INR 30 crores for the H2. To Amol, you said what is going to happen to our acquired assets. Actually, the billing will come in from quarter three for both the sites. We registered INR 50 lakh sales in quarter two from [Magnus]. Okay. On a cash flow generation? Cash flow generation is too early because it is an integration right now is happening. Probably there will be, we are expecting some CapEx as well. We will come back on this point as we conclude Q3 and Q4, once the operation stands and then the operation normalizes at the acquired properties. Okay. Thank you. Thank you. Thank you. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. Next question is from the line of Mohammed Patel from Edelweiss Public Alternatives. Please go ahead. Can you hear me? Yes, please. I have a couple of questions. First one is, what led to the gross profit margin expansion on a year-over-year basis? Gross profit margin, we had an increase of 260 basis points in spite of the feedstock prices and the headwinds we had. We had a strong process on this, and we increased it by 260 basis points. I just wanted to understand what led to this improvement. Yeah, there are multiple things. Though 2.6% it looks positive, we also had a hit from the West Asia war front. However, we were ready, like we are completely disclosing and transparent in earlier calls. We were taking a lot of efforts in price increase, passing the cost to our customers. Then internally, we have some initiatives at a company level where cost-saving initiatives we are driving. All these together product mix, these three, four initiatives, we end up having a little impact on our way. I mean, we could control the impact on West Asia, or slightly also there was an upside on the effects on the dollar front, so that also helped us in controlling the loss and as well as contributing positively on a year-on-year gross profit. Yeah. Besides that, we also built our strategic inventory that was there, and we improved our product mix, as per that what Amol said. That led to overall improvement in what we did. This product mix improvement has happened in which of the business? It is multiple, like largely, it is not only one particular division segment, but then we have largely looked out all our three segments. I mean, be it as an international formulation, API, domestic formulation, where limited scope we have. There are also other initiatives internally we drive, like converting customer from CIF to ex-works or something like that. All these initiatives are quite aggressively being driven internally at an organization, and that is the reason we could see the gross margin in quarter two. Okay. My next question is, employee benefit expenses have also grown higher in revenue. What is the reason for the same, and do we expect this higher rate to continue? See, there are two things that at an organizational level we have done. We have, one is that there is a mix of the contractual labor converting into the fixed employees. There is some benefit there what we see in the contract labor. Having said that, last year, with some pressure on the margin and all, quarter three and four, we had a headcount freeze. All the headcount and all we did in this year, and then all market-related development, medical rep increase, all those field force that we have got up. For the incremental revenue, whatever we are targeting, we require the field force that we are driving through this. This is FY 2027 specific investments that we are doing. Next year, we should expect some normalization? Yeah, this will be now at this level, and this will be a normal level. This headcount has been normalized. Whatever we did was for the H1 and the quarter one. Going forward, almost all the talent and the hirings have been taken care. In fact, now we will really start seeing their output in the next H2. Okay. Also other expenses, if I exclude the one-off INR 5.5 crore, that has also grown much faster as compared to revenue. If you can highlight the reason for that as well. There is only one major reason, again, West Asia war. There is a freight component gets reported into that. No, no. The export freight and the domestic freight that has been contributed in that line. If you see the difference is around INR 7 odd crores. Out of that, INR 5.5 crore is about the strategic initiatives, and the rest is largely upon the freight and all. Okay. Again, this will also be getting normalized starting maybe H2. It depends on, again, West Asia war. These all increases coming from the freight forwarders and the domestic supply chain. If it normalizes, it is directly linked to the petrol prices, diesel prices, and the crude prices. It depends totally on the West Asia war scenario. My next question is domestic formulation business growth. I think Q4 and Q1 we grew 18% and 15%, and this quarter we see a reduction in growth to 12%. What is the reason for the reduction in growth? For that, first of all, our DF is a long-term transformational story for us and very important as we contribute 70% of our business. If you look the difference between, if you already know that there is almost a 10% difference in the recorded sale price to retailer, the price to stockist. However, for us, two important things happened. One was our inventory days have come down to 42 to 38 days. We wanted to strengthen the business, make it more hygienic, and ensure that the prescriptions are larger rather than the primary stock. We had almost had a four days inventory reduction there. Second, one of our key third-party manufacturer, where we almost had supply challenges because he had issues because of the West Asia crisis. However, and there were some issues in registration of some products. However, happy to say that all those things have been cleared in October. In fact, we almost recovered some of the sales which we lost in September due to the supply challenges which we faced. If you look without that impact, our DF would have been actually at 15.2% growth. Our outlook for quarter three remains positive for DF. In fact, it will continue to get back to the growth which we were getting. Okay. My next question was related to this. We continue to aspire for 1.5 x the market growth going forward? Yeah, absolutely. That is very clear that even if you see the 11.5% or 13% which grew is also 1.5 x, 1.2 x. Our thing will continue, and as I said, with these two challenges resolved for us, we will be above 1.5x in the coming quarters also. Coming quarters and continuing. What will be the major driver for this outperformance, two, three? For domestic? For domestic outperformance versus the market, which will be the two, three major growth drivers? We have launched. As we mentioned that our new launches, whatever we did last year, continue to be successful. We are almost going 50% by this. We have also launched three new molecules, Naprosyn ES for the first time, which already we have clocked INR 3 crores now. We have launched Tigecycline, which again is a very severe for bone infections. And the third is our [[Fluaxis]], a medical device which supplements our nephrology transplant business. The other thing is the divisionalization which we did has reduced the portfolio clutter. And in fact, our cardiology, the new division which we created, has grown by 18%. And if you see, one of the reasons why Naprosyn has become INR 100 crore is because we decluttered the whole business, and we divided the business into primary care and specialty care. Primary care focusing on general medicine and bone health and pain, and specialty care focusing on nephrology, rheumatology, cardiology, and urology. This strategy itself, decluttering and ensuring clear focus in each and every specialty, is the one which will actually drive the business besides the new molecules. And also our medico-marketing activities, which we recently started, are actually been one of the leading things which we do. If you see our Naprosyn flagship brand has crossed INR 100 crore, and the secondary is growing at about, say, 14%. MAPs are growing at 24%. This is more to do the quarter three, and the quarter four will actually have very robust growth considering what we are doing. My next question is related to international formulation business. It has been, after recovery, it has been growing at single digit for the last two quarters. Do we expect to go to double-digit growth rates in the next year, and what will drive that? In fact, our recent interventions which we did in international formulations with building up a new team, with our own participation in exhibition and CPHI, we have now making foray into 13 new markets. We have tied up with three R&D players in this country to buy out MAs and dossiers. In fact, the double-digit growth will happen from H2 itself. I do not think it is, the next year will be far better. The H2 looks far better. Our order pipeline looks far better. Many of our tenders which was opening, we have won already two tenders. The second quarter, third quarter, H2 will actually have the double-digit growth. Our CDMO projects, we completed in time, so we are getting another three products to develop for them. CPHI Milan, as I mentioned, we almost met 150 customers. We added talent and depth. IF will look right from H1 itself in a double-digit growth. H2 soon. Okay. Any update on Naprosyn Canada? Yes. It is good you asked that question. In fact, we just got an approval a week before. The site audit approval got cleared, and by December mid, we will be able to start supplying. This will be a key aspect to the growth going forward? It will be a key aspect to the There are two things in this. First is, this will be our first product which will be OTC in the global space. Second, it is the only second product in Canada where the originator is there and we are there. We believe that at least to start off 25%-30% of market share to come to us. Going forward, this has got lot of potential because Naprosyn globally is considered to one of the best non-steroidal anti-inflammatory drug. In fact, we are very excited about this prospect. Shipment will, as I said, shipment will start in December itself. Okay. I have some questions for API business now. The API business, I think starting next quarter, I think the base effect will go away. At the current base of INR 30 crore-INR 35 crore, what should be the growth for the organic API business on a medium-term basis? Yeah. Organic API will continue to grow in double-digit growth with what we were growing earlier. In fact, that is something it will Considering again here with some of the new products which we have got into foray and some new markets have come. In fact, we will be growing better than the earlier times in the organic. Whatever we add inorganically is a plus and an upside for us. Okay. I have one question related to the acquired API business. Just before that, if you see, just before that, on the revenue front, if you see, our CAGR growth on next three to five years, including both organic and inorganic, should be at least 30% for us. Which means our API business should at least be at INR 300 crores-INR 350 crores by FY 2030 and INR 500 crore by FY 2032, subject to further acquisitions as well. For now, we have a very strong order book for Actis and ramp-up for Raghava plant is started. Okay. My next question was related to that. Now the acquisition has been into RPG system. Anything that changes from the last call that we had regarding the outlook for Actis or Raghava? Nothing changes from the last call to this call. The only thing which changes is the order pipeline has become stronger than we thought. Okay. Thank you so much. All the best. Thank you. Thank you. Next question is from the line of Rajas Joshi from ChrysCapital. Please go ahead. Thank you for the opportunity. Am I audible? Yes, yes. Good evening, sir. I had a question regarding our domestic formulations business. I mean, there has been, I believe there has been a discrepancy with regards to the numbers, growth numbers that we see on PharmaTrac versus the numbers that are actually reported by us. Could you please explain if at all this discrepancy is there and what are the reasons for this discrepancy that exists? I actually answered this question before to the other gentleman who asked. However, I will just answer, and I am sure that you are aware that any pharma market database reports sales at PTR levels, and that is the prices what is sold to the chemist. However, in our case, we had to bring more strong hygiene in the business and bringing robustness in business. We, by design, have reduced the inventory days from 42 days to 37 days, 38 days. That itself is around INR 500+ crores. The second thing I said, one of our key third-party manufacturers who supplies for us the key products underwent two structural changes. One, of course, because of the West Asia war, and there was some U.S. FDA auditing there. So, the supplies became a challenge. However, happy to say that we have already got that cleared, and in October, the supplies have started. This one-time inventory corrections has actually helped us to have a strong, stable, and sustainable business. Our secondary business is a clear reflection that the increase, if you see the volume growth of 6.8% itself is a clear indication that there is an increased prescription and there is an increased secondary sales. So, all markets are growing, if you see, and we are investing ahead in our medico marketing and taking measures to see the growth rates continues to grow. Over the last six quarters, you must have been seen that we are continuously outsmarted the prospects. So, we would be at 15% primary growth, and we will almost recover the INR 5 crore-INR 5.5 crore from the supply challenges which we faced in this quarter. Thank you for that clarification. The same question again would be on the domestic piece itself. I think some of the, I mean, there has been a lot of talk and chatter about there being rationalization in terms of distribution margins for some of our key products. Especially with the Supreme Court case also going on. Just wanted to check if there will be any impact on our pricing/margins, if at all some of these stringent rules are to come into enforcement. Yeah. Before that, first of all, we welcome the government's move because making cancer treatment more affordable to patients and thereby access, it increases and widens. See, I am sure you must be seeing what happened in 2017. Our selling price does not change, okay? The rationalization caps trade margins and the mark-up added further down the chain. Mainly at the hospital level, where some drugs were sold above the procurement cost, and the government has come hard on that and have rightly intervened. The MRP comes down. For us, there is not much difference where, not only for us, for any organization for which it is, that the MRP will come down, but the price at which we sell to our distributor stays broadly the same. There is no material impact on our sales and margins. In fact, I believe that over time it will actually help us because better affordability should bring more patients into treatment, which will support volumes across our oncology and specialty portfolios. Even if you see the 2017 instance, the last five years actually the oncology business has grown, the patients have widened, and care has become more approachable. Understood, sir. No, I think, thank you for this detailed answer and wishing you all the very best. Thank you. Thank you. Thank you. Next question is from the line of Mohammed Patel from Edelweiss Public Alternatives. Please go ahead. Thanks for the I have one follow-up question. We used to do 24.5% margin in FY 2025. So, what are the steps we are doing to reach those levels, and by when can we expect the same to reflect in the numbers going forward? See, our primary focus is also on the growth. When we are doing a lot of activities towards the growth of the business, I think we probably will have to compromise a little bit on the bottom line because when we are getting into the new segment of the competitors, there are expenses and there are things which we will have to do. Of course, 25% at FY 2025 level is the aspiration, but we will take all of the efforts to be near to or above that level. We are at 24% EBITDA margin H1, so we are not very far off. We are strategically investing into our future growth. There is a team and an operational ramp as we require and grow as well. We are aspiring towards that, and we should reach that. Okay. Any change in the CapEx for this year or next year? There is no change in the CapEx that we already have planned, except those which will be coming for the acquired assets, if anything is come, which we are already anticipated, but not major to indicate. So we expect 7%-8% of sales of CapEx? 7%-8% CapEx? No, sorry. No, we expect the CapEx to be 7%-8% of sales? Yeah, yeah. Below that, correct. Okay. Thank you. Thank you. Thank you. Anyone who wishes to ask a question may press star and one on their touchtone telephone. As there are no further questions, I now hand the conference over to the management for closing comments. Thank you very much, and thank you for being here. We hope we have addressed all the questions and queries which you had. Looking forward to meet you next time. Thank you. Thank you. Thank you. On behalf of Dolat Capital, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.