Caplin Point Laboratories Ltd — Q4 FY26

Caplin Point Laboratories Ltd Q4 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=3Oy59Wluuqs Published: 15 hours ago

0:01 1 second Ladies and gentlemen, good day and welcome to Kaplan Point Laboratory's Q4 FY26 earnings conference call hosted by 361 Capital Market Private Limited. 0:11 11 seconds As a reminder, all participant lines will be in the listenonly mode. There will be an opportunity for you to ask questions after the presentation 0:19 19 seconds concludes. Should you need any assistance during this conference, please signal for an operator by pressing star and then zero on your 0:26 26 seconds touchstone telephone. Please note that this conference call is being recorded. 0:31 31 seconds I now hand the conference over to Miss Julie Ma from 361 Capital Market Private Limited. Thank you and over to you ma'am. 0:39 39 seconds Thank you Far and good afternoon everyone. On behalf of 361 Capital, we would like to welcome you all to the 4Q 0:48 48 seconds SI26 conference call of Kaplan Point Laboratories Limited. Today we have with us senior management of the company 0:56 56 seconds represented by Mr. CC Partipan chairman Mr. Vive partisan vice chairman Mr. 1:03 1 minute, 3 seconds Ashok partisan vice chairman Dr. Sidelan managing director and Mr. Deidaram CFO I 1:12 1 minute, 12 seconds would now like to hand the conference over to Katherine Point management for the opening remarks over to you sir. 1:20 1 minute, 20 seconds Thank you Julie. Uh thank you everyone for joining and welcome to our Q4 and uh 1:26 1 minute, 26 seconds FY26 results um uh and earnings call. Uh please note that a copy of all our disclosures are available on the 1:34 1 minute, 34 seconds investor section of our website as well as on the stock exchanges. And also do note that anything said on this call which reflects our outlook for the 1:43 1 minute, 43 seconds 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 1:51 1 minute, 51 seconds call is being recorded and the transcript along with the audio will be made available on the company's website as well as the exchanges. Please do note 1:58 1 minute, 58 seconds that audio uh conference call is copyright material of Kaplan Point and cannot be copied, rebroadcasted or attributed in press or media without specific written consent of the company. 2:09 2 minutes, 9 seconds I would like to now hand over the floor to uh chairman for his opening remarks. 2:14 2 minutes, 14 seconds Thank you. Good evening and welcome to our investors call. Let me first list out the differentiation that we have 2:22 2 minutes, 22 seconds created in the last 5 years. Revenue doubles from,85 cr to 2,300 cr in 2526. 2:31 2 minutes, 31 seconds Liquid assets triple 928 cr to 2726 2:37 2 minutes, 37 seconds cr. Three cash reserves triple 470 cr to 1470 cr. 2:45 2 minutes, 45 seconds PBT and PAT increased by 2.5 times. 2:50 2 minutes, 50 seconds Investments in capex transfer 900 cr in the last 5 years. The gross contribution improved due to operational efficiency. 3:00 3 minutes Currently we are building new factories for indictables. 3:04 3 minutes, 4 seconds All the machines for the new factories are imported mostly from Germany and Italy. In the next two to three years, 3:13 3 minutes, 13 seconds we'll have 17 injectable lines for USA and other regulated markets of the world. Our factories will be 3:21 3 minutes, 21 seconds digitalized. Every machine that enters the factory will have video master to make the qualifications easier and also for operational efficiency. 3:33 3 minutes, 33 seconds Our video SOP for which we file the patent has some unique features. It is 3:40 3 minutes, 40 seconds visual before verbal. We do not depend on one QA or one QC or one production or 3:47 3 minutes, 47 seconds one engineer. The knowledge will be stored in the video library. 3:54 3 minutes, 54 seconds Our visual SOP ecosystem is both kinematic and non-inatic. The kinetic 4:01 4 minutes, 1 second side involves cameras, screen, voice over, online monitoring and dashboard. 4:08 4 minutes, 8 seconds And non-kinatic side visual intelligence, behavioral discipline, institutional learning and memory, 4:16 4 minutes, 16 seconds compliance consciousness, operator confidence and quality mindset. For example, China rise is a kinetic kinetic and non-kinatic story. 4:29 4 minutes, 29 seconds The present world affects the following APIs, solvents, sprite and lead time to 4:37 4 minutes, 37 seconds destination, currency swings, energy unpredictability. 4:42 4 minutes, 42 seconds However, our model of keeping the goods next to the customer in the last 20 years has produced this compounding 4:50 4 minutes, 50 seconds effect. Hence we always keep the goods in our subsidiary warehouses for a minimum of six months stock in the form 4:58 4 minutes, 58 seconds of stock in the warehouse stock in transit and work in progress. This anti-fragile model has really helped us 5:08 5 minutes, 8 seconds for the best fundamentals even in ro markets of lifetime in the last five years. 5:16 5 minutes, 16 seconds Now that we have substantial A andds, we in addition to that we also buy for our 5:23 5 minutes, 23 seconds uh business. In the next three years, we'll have maximum products registered in the highly regulated markets such as 5:31 5 minutes, 31 seconds USA, Mexico, South Africa, Brazil, Chile and Colombia. Further, we increased the 5:39 5 minutes, 39 seconds number of women employees in our shop floor which ensured the discipline. The discipline that resulted due to woman 5:47 5 minutes, 47 seconds empowerment also guaranteed the integrity and quality which are very very essential for regulatory 5:54 5 minutes, 54 seconds inspection. The financial freedom for the rural women made them comfortable at their home and also in our shops. We 6:03 6 minutes, 3 seconds always arrange to pick them up from their houses or all the ships which ensures their safety. 6:11 6 minutes, 11 seconds During volatile period the cash becomes the strategic oxygen. Our cash flow helps us to build new factories and we 6:20 6 minutes, 20 seconds are also buying as I told you before more and more AMDs for the US market and we have been trying to buy a 6:27 6 minutes, 27 seconds distribution company either in Chile, Mexico or Brazil and we are sure that we'll be able to release maximum 6:35 6 minutes, 35 seconds products in this region and that way it will help our distribution company increase if we buy that will actually 6:42 6 minutes, 42 seconds take us to the non corner of the private markets of these countries. 6:47 6 minutes, 47 seconds This one is not the main stay for big companies. Hence the focus of our business will be more on private market in addition to the standard businesses. 6:57 6 minutes, 57 seconds We will also focus more on R&D for hormone injection and inhaler areas which are unique in the regulated 7:06 7 minutes, 6 seconds markets. Further, we're also on the lookout for a meaningful acquisition of a facility as we have enough cash 7:14 7 minutes, 14 seconds resource in our system. Let me also convey that I read actually in BS 7:20 7 minutes, 20 seconds business standard 1000 of March 2026 they mentioned that the Kaplan stand at 7:28 7 minutes, 28 seconds 673 among the thousand listed companies of India which comprises of all segments in addition to pharmaceuticals. 7:38 7 minutes, 38 seconds They also mention that we stand at 42nd portion among the pharmaceutical companies. When I looked into the 7:46 7 minutes, 46 seconds details, I have found that 16 companies above us had lower profits than us. The 7:55 7 minutes, 55 seconds statistics is based on the top line, not on bottom line of cash flow. 8:01 8 minutes, 1 second Finally, when our revenue doubled and the liquid cash and liquid assets triple, we never had the extraordinary fundamentals that we are creating now. 8:12 8 minutes, 12 seconds We only have one USPS factory with three old lines and two new lines. Now that we are going for a massive infrastructure 8:20 8 minutes, 20 seconds expansion as I told you that we would have 17 lines of industry in the next two to three years 8:28 8 minutes, 28 seconds and we will also have automation digitization and visual SOPs more and 8:35 8 minutes, 35 seconds more registration of the regular market of regulated markets of LAM entering in 8:42 8 minutes, 42 seconds countries like Brazil and South Africa also will increase the prospects of our The variety of injectables in the form 8:50 8 minutes, 50 seconds of liquid injections, aptic pfs, bags, BFS, fill finish, lio, unco injectable, 8:59 8 minutes, 59 seconds hormone injectable will be there in the next 3 to four years time, two to three years time and will also take us to the 9:06 9 minutes, 6 seconds next artic which is for sure. Finally as you all know well business in the 9:13 9 minutes, 13 seconds formative years is the puddle of unknown unknown. 9:19 9 minutes, 19 seconds When you develop the cadence for your business over a period of time and you start with the KPI scope 9:27 9 minutes, 27 seconds then it's simply going above and beyond that is the deliberate growth. Thank you. Thank you very much. 9:35 9 minutes, 35 seconds Thank you chair. Now I request Ashoke to uh give us a few comments. 9:40 9 minutes, 40 seconds Thank you all. Thank you all and welcome to our investor call. I'll be talking about our uh Latin American facts and a 9:49 9 minutes, 49 seconds few points about how we we've been growing in uh Latin America. I would like to start with Chile uh which is our 9:56 9 minutes, 56 seconds newest market. We have won 35 products to the tune of $10 million for the next 10:03 10 minutes, 3 seconds 18 months to be supplied. We have also received 135 registrations in Chile so far. We have submitted around 40 more 10:11 10 minutes, 11 seconds products. Our private market is the most important in all the countries where we are. So as chairman mentioned, we have 10:20 10 minutes, 20 seconds two candidates that we are looking to offer to buy that are two solid distribution 10:29 10 minutes, 29 seconds companies that reach northern corners of uh the country in Chile. 10:34 10 minutes, 34 seconds We we have these two candidates because they are actually they actually have their own sales team. They have their 10:42 10 minutes, 42 seconds own logistic team also. So we are currently doing bio studies for more than 40 different products that are of 10:50 10 minutes, 50 seconds very good margin and have very few players in Chile. I would like to move on to Central America where we've been present since 2002. 11:01 11 minutes, 1 second So a peculiar thing about Central America what happened during COVID was that a lot of independent pharmacy 11:08 11 minutes, 8 seconds started growing a lot and during COVID what they basically did was they just started openingarmacies wherever they could find a space because a lot of 11:16 11 minutes, 16 seconds people were going out of jobs and they put their savings into the businesses. 11:21 11 minutes, 21 seconds So we made sure that all these individualies arrived and if we did a 11:29 11 minutes, 29 seconds recent recent inquiry into which we found out that their shelf space for capine products are 41% in these uh individualies. 11:39 11 minutes, 39 seconds So while we were talking about this uh with the board we wanted to we want to start a liquid manufacturing facility 11:48 11 minutes, 48 seconds and the reason for this is once we register all these liquids our shelf space in these independent pharmacy will go from 41% to 57%. 11:59 11 minutes, 59 seconds We are also getting into brand marketing in Dominican Republic, Guatemala and Nicaragua. We chose uh the 12:08 12 minutes, 8 seconds central nervous system uh line where we already have bioance done for more than 12 products and we will be starting with 12:15 12 minutes, 15 seconds that in September of this year going forward to Mexico our biggest better our biggest market uh in Latin 12:23 12 minutes, 23 seconds Latin America so far we've received 25 registration so far uh we participated in eight different products for a 12:30 12 minutes, 30 seconds two-year tender which we won all of them we also participated in a oncology tender with a partner of ours from China 12:38 12 minutes, 38 seconds who gave us four four different products and we won those products too. We plan to do a sale of around $4 million in the 12:45 12 minutes, 45 seconds coming two quarters in Mexico. As you all know, we already purchased the land in Mexico to build our uh first factory 12:54 12 minutes, 54 seconds in Mexico also because we get a 16% advantage over price when you 13:00 13 minutes participate in the tenders in Mexico. We will be having liquid 13:08 13 minutes, 8 seconds ovules, suppositories and uh uh bliss tracking facility for uh travelers 13:17 13 minutes, 17 seconds and caskets. Uh this is the update from my side and I would like to pass it on to Vick. Thank you. 13:27 13 minutes, 27 seconds Thanks uh Ash. I'll just take a few minutes to uh very quickly uh uh brief everyone on our progress in the US which 13:35 13 minutes, 35 seconds is uh continuing to be one of the most important pillars of our uh growth and long-term strategy. Um as many of you 13:43 13 minutes, 43 seconds would have seen from uh the results uh FY26 has been a very strong and meaningful uh year with progress on 13:52 13 minutes, 52 seconds almost all parameters. Um you know this is from a few years ago we were uh a cash burnita negative company and today 14:01 14 minutes, 1 second we completed around 470 grows with um EITA that sort of mirrors or comes very close to the parent company's numbers 14:09 14 minutes, 9 seconds which have been benchmarked amongst uh companies of our size. So we very happy and uh and and proud to report that on 14:17 14 minutes, 17 seconds the product front this has been a standout year for us. We've received uh approvals for 10 A&Ds in the last four quarters and we've also acquired another 14:25 14 minutes, 25 seconds 15 ADAS uh with five in Kaplan one May taking our total tally as on date to 60 A&D as of this morning and uh 14:35 14 minutes, 35 seconds importantly this expansion is not just in numbers it's also in depth because we cover uh an the you know the entire 14:42 14 minutes, 42 seconds gamut of sterile uh products you know we have products um which is in vials in pre-filled syringes is in IV bags, um, 14:51 14 minutes, 51 seconds in three-piece dropper bottles for Optal Nix, we are now getting into cartridges. We're also getting into blowfill seal. 14:58 14 minutes, 58 seconds So, um, not only are we, uh, showing good progress with the products that we have been doing, we are getting into 15:06 15 minutes, 6 seconds sort of uncharted territory for Katling Point as we get into some of these complex uh, technologies. In addition to 15:13 15 minutes, 13 seconds uh US, we will start seeing some meaningful uh revenue out of non- US markets uh in the in the coming few 15:20 15 minutes, 20 seconds years as well because we've already filed 54 products globally in non- US markets such as Canada, Canada, Europe, Australia, u South Africa, etc. And we'll start to see some progress there. 15:32 15 minutes, 32 seconds From a capacity standpoint, as chairman said, we are building phase three. uh it's at a very advanced stage and we're also expanding capacities internally in 15:40 15 minutes, 40 seconds phase one and two with uh expansion of our IV bag line to three times the capacity. It's a very niche area where 15:47 15 minutes, 47 seconds we have multiple products uh already approved. Um and as we uh uh get into the slightly more complex uh platforms, 15:56 15 minutes, 56 seconds this opens up new opportunities for us um when we uh when we put up our uh uh retail arm of uh the company shortly. So 16:06 16 minutes, 6 seconds this I think would be a good time to touch upon um Kaplan's own label in the US. Um a lot of people were very 16:13 16 minutes, 13 seconds skeptical about uh Kaplan launching our own label because our B2B business was doing so well. Um people were a little 16:21 16 minutes, 21 seconds bit skeptical saying that this might uh you know distract our partners and this might this might probably you know show some degrowth but very happy to say that 16:30 16 minutes, 30 seconds in our first full year of operations we've nearly touched 100 cr in revenue. 16:35 16 minutes, 35 seconds Now we were about uh 11 million plus in revenue with our own label and we've done this with uh no degrowth whatsoever 16:42 16 minutes, 42 seconds in uh the B2B business as well. We had launched uh 30 products under our own uh label in the last year and another 15 16:50 16 minutes, 50 seconds products is going to be launched in the coming year. We have weekly ordering from the four largest uh uh wholesalers 16:58 16 minutes, 58 seconds in the US and pretty much most of the large IBMs that do business in injectable are our customers right now 17:06 17 minutes, 6 seconds as we move from strength to strength. So um I would say that in summary our use business is transitioning from a phase 17:15 17 minutes, 15 seconds of foundation building to one uh that is scaling and uh growing in depth you know so with a very strong pipeline expansion 17:23 17 minutes, 23 seconds of capacities entry into complex technologies etc. Um we are very well positioned for s sustained and 17:31 17 minutes, 31 seconds profitable growth in the years ahead and um I would like to request our CFO to uh throw some light on the numbers before we open up for questions. 17:42 17 minutes, 42 seconds Thank you. Thank you. Uh good afternoon to all who have taken time off to take part in this call post uh FI 26 result. 17:53 17 minutes, 53 seconds The results have been highly gratifying and we are pleased that you have done well in all the across all parameters. 18:02 18 minutes, 2 seconds The numbers are already there with you for a couple of hours now and we'll be glad to clarify your theories and the 18:09 18 minutes, 9 seconds results. So going over the numbers again would like to present distinctive financial points assumption. One is an 18:18 18 minutes, 18 seconds exceptional balance sheet compounding asset that happened this year. Our measure was expounded by about 743 18:25 18 minutes, 25 seconds crores during the year from 33 631 cr from 286 18:33 18 minutes, 33 seconds in the previous year. This is 26% in one year. Uh that is the signal strong intrinsic value creation by the company. 18:42 18 minutes, 42 seconds Massive forex translation result uplift is a hidden value that is to us in the 18:49 18 minutes, 49 seconds form of network also. So for asset is RS 177 million against liability of 18:58 18 minutes, 58 seconds 22.2 million. So as as you all know that we are 100% export oriented company and the assets assets out number the 19:07 19 minutes, 7 seconds liabilities. So this has resulted in movement of about 141 cr which is gone directly into the resource of the 19:15 19 minutes, 15 seconds company. And then third point will be as already cabin is cash and zero leverage that we need to strengthen our balance 19:24 19 minutes, 24 seconds with the 4,421 crores in cash and 2726 crores in liquid assets. This 10 this 19:33 19 minutes, 33 seconds provides us with significant strategic flexibility as chair also put it that we are in the on the report for meaningful 19:41 19 minutes, 41 seconds official earnings quality and cash conversion CFO remained at strong at 523 19:49 19 minutes, 49 seconds cr representing 80% of the cash conversion of pack this shows profits 19:55 19 minutes, 55 seconds are real cash not only in books profit growth of 20% % ahead of revenue growth of 30 13% 20:04 20 minutes, 4 seconds profitability grew materially ahead of revenue growth reflecting operating leverage and improving business mix 20:14 20 minutes, 14 seconds before capex I would like to uh inform the investors that our capital R&D spend this year has been 20:21 20 minutes, 21 seconds almost 5% of turnover and this is the first time we have cross 100 20:28 20 minutes, 28 seconds in um R&D spend And the cap rate for the last year is 238 cr. And just as the 20:34 20 minutes, 34 seconds summary of the uh ongoing project out of the port what we say um we have cash 54 20:43 20 minutes, 43 seconds PW primarily representing what is our injection plant and also on industry plan which has been calculated in the 20:52 20 minutes, 52 seconds month of April post our MO approvals and whatnot and advances what we face we 20:59 20 minutes, 59 seconds have talked about enhancing on the line capacities we paid in advance of order 9 cr for various imported equipment and the 21:08 21 minutes, 8 seconds balance about 500 cr will be incurred in the next 18 to 24 months from out of our own cash penation 21:16 21 minutes, 16 seconds then turnover ratio people were asking it last time so that informed it is 21:22 21 minutes, 22 seconds about 3.91 3.91 times and the inventory held in market and w potential which has 21:31 21 minutes, 31 seconds a potential of reality for 900 close in the sale. So our strategy to keep the inventory close to the customer and then 21:39 21 minutes, 39 seconds is paying high dividends. This is exclusive source inventory in the US facility I mean US factory and the var 21:48 21 minutes, 48 seconds day. uh in summary FI26 was uh not only a growth year but also year of strong 21:55 21 minutes, 55 seconds balance sheet compounding net worth increase by quarter flow operating cash 22:01 22 minutes, 1 second flow above flow liquidity pool 10 to 2.7 22:07 22 minutes, 7 seconds by remaining free uh this is all from me for the instance we'll be more than glad to take any questions over to you Mr. 22:19 22 minutes, 19 seconds Thanks, if we can uh open up the floor for questions now, please. 22:23 22 minutes, 23 seconds Sure. Thank you very much sir. Ladies and gentlemen, we will now begin the question and answer session. Anyone who wishes to ask a question may enter star 22:32 22 minutes, 32 seconds and one on the touchstone telephones. If you wish to remove yourself from the question, you may enter star and two. 22:39 22 minutes, 39 seconds Participants are requested to please use only their handsets while asking a question. We will wait for a moment while the question queue assembles. 22:48 22 minutes, 48 seconds The first question is from the line of Aman Sony from 7 Alpha. Please go ahead. 22:58 22 minutes, 58 seconds Uh Mr. Sony, your line is unmuted. Please ask your question. 23:10 23 minutes, 10 seconds Hello. Hello. Am I? Yes. how you go ahead. 23:15 23 minutes, 15 seconds I think thanks for the opportunity and uh good evening and thanks for a good set of uh numbers. Uh the question is on 23:22 23 minutes, 22 seconds um uh with growing cash generation uh how does management is going to prioritize between the inorganic opportunities and the increment the 23:29 23 minutes, 29 seconds state tax and the and the higher shareholder payouts. 23:35 23 minutes, 35 seconds As I told you before the inorganic opportunity in fact we are waiting in the wings. It can be in the form of actually buying the A andds which of 23:43 23 minutes, 43 seconds course we have been doing actually we are waiting for more and more opportunity on that aspect and as I told you the distribution company will also 23:52 23 minutes, 52 seconds open up bigger opportunity for us for the private market especially in Latin America 23:58 23 minutes, 58 seconds and see uh going for accusation for the sake of accusation I'm sure you would not actually they would not advise us to 24:07 24 minutes, 7 seconds go for actually accusation without uh without going for a meaningful accusation that will be a vanity you know that I 24:14 24 minutes, 14 seconds don't think you know it's addressable and as I told you what is important today especially in the Waua world we 24:22 24 minutes, 22 seconds are going for the completion of facilities and we'll be completing most of the facilities no that are injectable which 24:29 24 minutes, 29 seconds are our know there are hardly three or four companies who would have 16 or 17 lines of injectable actually in India 24:37 24 minutes, 37 seconds when we complete all this injectable All these injectables we are aiming to go for US and other major markets. That means that's a great opportunity which 24:46 24 minutes, 46 seconds will open up in the form of not only the uh not only for our own products to be sold in US but also in the form of CM. 24:56 24 minutes, 56 seconds Second one is we are concentrating more on R&D for complex products. This is one of the thing which is very important as 25:03 25 minutes, 3 seconds you know well. and the tag one we are increasing the registration in many of the larger geographies. 25:10 25 minutes, 10 seconds So these are few things which are very important. If you need any other questions please tell me I would be able to answer to your question also. 25:19 25 minutes, 19 seconds Got it. Got it sir. Uh secondly the receivables part uh receivables has grown materially ahead of the revenue 25:26 25 minutes, 26 seconds revenue growth. So so is this timing related thing or uh any other reason for that? 25:33 25 minutes, 33 seconds I could not uh hear properly. Uh are you able? Yeah. Yeah. Request CFO to uh take this please. 25:41 25 minutes, 41 seconds Yes. Uh as we have mentioned in the press release also while the effect reserves which I talked about improving 25:49 25 minutes, 49 seconds my network does also increase my receivable. So out of 136 days what they 25:56 25 minutes, 56 seconds reported 11 days is attributable to this government retrieval but it's not going 26:04 26 minutes, 4 seconds to be 300 days. So but for this my 125 days we have been promising 120 as said 26:12 26 minutes, 12 seconds timing also is one of the factors that have last quarter we have one of big center in Salvador and a lot of supplies 26:20 26 minutes, 20 seconds have gone into that which are in the process of being received in the market and the the receivables will be 26:28 26 minutes, 28 seconds collected uh by end of Q2. So this is a big tender and most of the supplies have gone during February March and then we 26:37 26 minutes, 37 seconds are in the process of receipts today. So this is the one of the factor that also contributed to the interesting business. 26:44 26 minutes, 44 seconds I I would like to add one more. The currency in El Sal is dollar, US dollar. 26:52 26 minutes, 52 seconds And when I was working in this Latin American market, I used to see Colombians giving lot of credit in uh equal where the currency is dollar. The 27:01 27 minutes, 1 second currency of uh Colombia used to get weakened and they allow deliberate actually deliberately they used to do 27:08 27 minutes, 8 seconds credit mode so that their hand is also more because of the depreciation of their own currency. here of course we don't want to do that way even if the 27:18 27 minutes, 18 seconds delay the delay that happens you know uh from El Sal is going to contribute to actually in the form of increased profit 27:26 27 minutes, 26 seconds for our company as you know well you know the dollar actually is getting strengthened and our rupee is getting weaker in no way this is going to affect 27:34 27 minutes, 34 seconds our bottom line also understood and just last question on the 27:41 27 minutes, 41 seconds outlook forever 27 you on the terms of the top line and specifically uh on the on the kind of margins these are very 27:49 27 minutes, 49 seconds exceptional margins we are doing so how much structural uh uh are these these margins are going at 27:57 27 minutes, 57 seconds we will continue to do well as I told you in course of my speech the best is yet to come maybe the best will come 28:03 28 minutes, 3 seconds after two to three years if you look at actually the past in the last five years I don't want to repeat again actually 28:11 28 minutes, 11 seconds what all tripled what all doubled than all you have seen. So the next 3 to 5 years is the going is going to be the 28:18 28 minutes, 18 seconds best period for capion point and of course we will do well actually but it's difficult to tell anything on a quarteronquarter basis or on a yearly 28:26 28 minutes, 26 seconds basis. Whatever we say everything actually is happening in the form of building the factories or whatever it is because you don't see many companies of 28:35 28 minutes, 35 seconds our size building so many factories without a debt and after having invested in the airport still we have enough cash 28:43 28 minutes, 43 seconds flow that will also help us to go for inorganic growth as you mentioned but we are waiting for actually that kind of opportunity it will happen when it 28:51 28 minutes, 51 seconds happens you know whatever you expect in the form of the growth can come even in actually 6 months or one year also if you go very inorganic actually 28:58 28 minutes, 58 seconds opportunity but again we don't want to simply grab anything and everything but rather we would prefer to wait and actually go for something which is 29:07 29 minutes, 7 seconds meaningful is it okay please yes uh got my answer sir then thank you thank you very much thank you very much 29:15 29 minutes, 15 seconds and all the rest thank you so much thank you so much thank you participants with questions may enter star followed by one on your 29:23 29 minutes, 23 seconds handsets the next question is from the line of Ahmed Mada from Unifi Capital. Please go ahead. 29:31 29 minutes, 31 seconds Thanks for the opportunity. I have few questions. Firstly, uh the revenue growth in the Let FA business I mean XUS 29:40 29 minutes, 40 seconds has been pretty strong and last few quarters we had close to high single digit mid single digit growth and this quarter is relatively exceptional. So 29:48 29 minutes, 48 seconds you can give some uh sense what has led to uh high growth in uh the specific geography. 29:58 29 minutes, 58 seconds See sometimes markets fluctuate and uh whether it is B2B or B TOC 30:05 30 minutes, 5 seconds generic business is based on supply and demand. We you know we have an advantage of keeping the goods actually in the warehouse. If the profitability is not there in our sales we will not sell. 30:17 30 minutes, 17 seconds Selling for the sake of selling doesn't make any difference to the company. Sometimes you wait and actually do it. 30:23 30 minutes, 23 seconds Sometimes of course we bundle it and sell also at that point of time there is a possibility that profit may come in 30:31 30 minutes, 31 seconds single digit also but overall if you look at it as you rightly said the overall profitability for the year 2526 30:38 30 minutes, 38 seconds I think is uh is fairly good am I right from the front of revenue growth if I 30:49 30 minutes, 49 seconds look at the revenue growth of non US piece of the company that revenue growth 30:55 30 minutes, 55 seconds percentage was in single digits for last few quarters and we have spoken on the call that it will take couple of years for us to jump up and you've been doing 31:04 31 minutes, 4 seconds lot of initiatives on Chile, Mexico and other markets. So the question was uh uh that this growth is higher in this 31:11 31 minutes, 11 seconds quarter. Is there any specific sector which I think I can even highlight. See 31:18 31 minutes, 18 seconds today we don't have depth of orders. The facilities we have is running actually at the optimum capacity. If you look at 31:27 31 minutes, 27 seconds actually our business you will see at least 40 to 50% of it is in the form of actually uh outsourcing for LATAM 31:35 31 minutes, 35 seconds market. So uh we don't want to especially you know when we go for outsourcing it's not easy to get a good 31:43 31 minutes, 43 seconds facility where you can do the outsourcing very successfully that's also one of the reason for us to actually uh limit the top line but at 31:52 31 minutes, 52 seconds the end of the day what is important whether it is a Latin American growth or you know US growth overall only you have 31:59 31 minutes, 59 seconds to look at it am I right or something the Latin American growth will start uh do or start flourishing actually after 32:08 32 minutes, 8 seconds we complete the registrations mainly in markets like Mexico now that you know as a told the business of Chile will start 32:17 32 minutes, 17 seconds from this year and it will start actually increasing many force over a period of time 32:26 32 minutes, 26 seconds yeah I just increase what you referring to the growth from 450 to 420 Once you close 32:35 32 minutes, 35 seconds this quarter especially I was answering the previous question on the data it has a bearing on the tax. So 32:42 32 minutes, 42 seconds we give supply a lot of material close to the 50 55 crores during the quarter to the Salvador the tender is valued 32:50 32 minutes, 50 seconds about 15 million and most of the parts have gone from India that the reason this growth in Latin America has showing 32:59 32 minutes, 59 seconds a better mix is slightly distracted but the 33:08 33 minutes, 8 seconds reason yes pandemic business of course we had to rush and then export everything probably that's the reason you are 33:16 33 minutes, 16 seconds coming okay okay I didn't get it okay yeah no problem and on the US side uh this year I mean we have done 33:24 33 minutes, 24 seconds exceptionally well in terms of growing the business and having our own label from here on with whatever and we have 33:31 33 minutes, 31 seconds acquired and organic approvals we have got about 10 of them is it fair to assume the growth period of 20% 25% 33:40 33 minutes, 40 seconds that's sort of over 100 in uh US shall continue till we reach uh uh larger numbers. 33:48 33 minutes, 48 seconds Yeah, we we yeah we're very confident that uh current numbers can be sustained. In fact, we are confident that it can grow from here even further. 33:58 33 minutes, 58 seconds Again, the most important thing uh as what chairman was saying is we're not uh seeing a dirt of orders. In fact, we have an auto book that's full for 34:05 34 minutes, 5 seconds another 6 months almost, you know, and uh and and to an extent where some of these lower margin, very high volume uh 34:14 34 minutes, 14 seconds products, we're not even taking them uh on board, you know. So, I think uh we are certainly on track to see a very 34:21 34 minutes, 21 seconds strong uh uh next year for CSL. In fact, very strong next few years for CSL with 34:28 34 minutes, 28 seconds all the capacity uh coming through. When it comes to our own label, um the target we've set for ourselves is to double what we did last year and uh I'm I'm 34:37 34 minutes, 37 seconds fairly confident that we should be in a position to achieve that. 34:42 34 minutes, 42 seconds Would you like to sort of give a range of number what sort of growth we can achieve at least for the next year? So 34:50 34 minutes, 50 seconds of course we don't uh yeah you don't provide guidance but I just saying this is yeah okay so when it comes to what current uh 34:59 34 minutes, 59 seconds uh growth was I think it was close to 30% I think uh we can see another 25 to 30% uh um next year on the overall 35:08 35 minutes, 8 seconds capital S business when it comes to our own u uh label we did close to 100 cr so the idea is to touch uh or go very close 35:16 35 minutes, 16 seconds to 200 cr for the coming Sure that uh last question for myself in terms of uh you've spoken about 35:24 35 minutes, 24 seconds acquisition considering an acquisition even last quarter and similar this quarter uh and you spoke about obviously 35:31 35 minutes, 31 seconds buying and days and uh that sort of profile but considering the amount of uh cash balance we have uh what sort of 35:39 35 minutes, 39 seconds what profile of acquisition we'll consider apart from buying NDS which I'm assuming won't be a large ticket size so 35:46 35 minutes, 46 seconds it can give some sense of the profile of uh the company we are looking for. 35:55 35 minutes, 55 seconds Yeah. So when it comes when it comes to acquisitions there are many things like see of course being our uh being a listed company all of our reserves 36:03 36 minutes, 3 seconds surplus everything is uh in public domain and for everyone to see. So you won't be surprised when I tell you that 36:10 36 minutes, 10 seconds almost on a weekly basis we receive uh a few opportunities right they get there there are some opportunities that come in the US there are some that come in 36:18 36 minutes, 18 seconds Latin America there one or two in fact come for the domestic market as well you know so the ones that we will be uh 36:25 36 minutes, 25 seconds targeting is uh similar to what chairman was saying is good distribution entities especially in countries where we are 36:32 36 minutes, 32 seconds very early um or or we are very new or in countries uh like the us where it makes uh meaningful sense in terms of 36:41 36 minutes, 41 seconds the knowledge that we uh gather and when it comes to uh I'm looking at it personally we'll be very opportunistic 36:48 36 minutes, 48 seconds in terms of what we uh can acquire because we need to sort of strike the right balance between uh making sure that we launch all our approvers on time 36:57 36 minutes, 57 seconds and at the same time not uh run into uh any sort of dirt in the pipeline because uh typically for most companies 37:04 37 minutes, 4 seconds including ours the R&D outstrips the uh capacity Right. So in the injectable 37:11 37 minutes, 11 seconds an area of high criticality in terms of compliance and manufacturing scaling up is not as easy as it is in the oral solid. So taking that into account we'll 37:20 37 minutes, 20 seconds be very opportunistic in terms of uh having some in place of uh doing exhibit batches for new products and stuff like 37:28 37 minutes, 28 seconds that. So what that that's what we've done the last year. We are actively working on another one right now. 37:33 37 minutes, 33 seconds Hopefully that should get over the line in the coming weeks. Sure. 37:39 37 minutes, 39 seconds Thank you so much and thank you. Thank you. 37:43 37 minutes, 43 seconds Thank you. Participants with questions may enter star and one on your handset. 37:48 37 minutes, 48 seconds The next question is from the line of Jira from MS Capital. Please go ahead. 37:54 37 minutes, 54 seconds Hi, good afternoon. Thank you for the opportunity and congratulations uh Juna for a strong set of numbers. Uh I just 38:01 38 minutes, 1 second wanted to uh first uh uh ask a question on the Central American Latin American operations and uh we have a chance to 38:09 38 minutes, 9 seconds hear from GI vitamin also if you can just elaborate a little bit on the operations in that region. Uh a couple of uh annual reports ago we heard that 38:18 38 minutes, 18 seconds you have almost 14,000 daily touch points. How much has that grown to? We also believe that there's a split between uh you know smaller wholesalers 38:26 38 minutes, 26 seconds and distributors of around 60% direct pharmacy 20%. Could you just overall give us a view of the operations in the Central American market if that's possible? 38:34 38 minutes, 34 seconds Sure. Yeah. 38:36 38 minutes, 36 seconds Yeah. Thank you. Uh yeah, we every time we open a new country obviously the number of points that we 38:44 38 minutes, 44 seconds touch actually increases. So we opened Chile this year in a in a very big way and u obviously so uh there are four big 38:53 38 minutes, 53 seconds chainies in Chile and uh on top of that uh 30% of theies are also independent so 39:01 39 minutes, 1 second we obviously do not uh reach all the independenties right now through uh uh by our own sales team but we reach them 39:10 39 minutes, 10 seconds through distributors that we sell to and uh uh I cannot give you exact number of 39:16 39 minutes, 16 seconds and how many points we have grown by but uh what we have what we are doing is uh as I said uh our shelf space in these 39:25 39 minutes, 25 seconds individualarmacies that we sell to in Latin America is about 41%. What we are trying to do is strengthen our shelf 39:32 39 minutes, 32 seconds space uh to get to 50 55% where we are completely indispensable to these does that answer your question? 39:42 39 minutes, 42 seconds Yes, that was helpful. uh and Ashok if you can also sort of give us a little bit of an understanding on what proportion of our customers would be uh 39:50 39 minutes, 50 seconds still distributors or middlemen what proportion would come from uharmacies institutions or smaller traders okay uh 39:58 39 minutes, 58 seconds so in the whole of central the business that we do about 18 to 20% is institutional which is government the 40:05 40 minutes, 5 seconds rest is completely private market so what we do have to do in Central America in these countries is you have to have two co- distributors at least 40:14 40 minutes, 14 seconds So that uh they reach to thosearmacies that cannot fill in the ticket everyday 40:21 40 minutes, 21 seconds ticket sale which is uh let's say uh we only do around about 300 products. Uh a pharmacy that does let's say a sale of 40:29 40 minutes, 29 seconds $150 per day cannot buy uh all the 300 products. So we have they have to buy through our co- distributors. So you 40:38 40 minutes, 38 seconds know each of these countries we have two or three strong co- distributors uh they sell around about 10 to 12% of us there 40:46 40 minutes, 46 seconds and the rest of it all is uh us going directly to the pharmacy understood uh just to you said 10 to 12% 40:55 40 minutes, 55 seconds through those distributors yeah 10 to 12% of our sale is through the co- distributors 20% is through the government and the 41:03 41 minutes, 3 seconds rest is all directly to through to theies and when I say the It also includes the chain parity also. 41:11 41 minutes, 11 seconds Understood. Very helpful. Thank you. I'm uh the second question is just doubling down on a previous participant question on the receivable days. 41:18 41 minutes, 18 seconds Uh I understand uh I mentioned that uh you know a part of that is just FX change between the time the sale was 41:26 41 minutes, 26 seconds booked and I guess uh the closing of the books. Uh and that still bring us brings us down to 125 days which is uh uh at 41:33 41 minutes, 33 seconds least uh 25 days higher than what we have seen in the past. Is this how we think the new normal would be and uh is 41:40 41 minutes, 40 seconds this a is it a strategic call or uh how do we understand that? 41:44 41 minutes, 44 seconds Yeah. So chag in the past as well we've been uh we've been giving the messaging out that we are comfortable with 41:51 41 minutes, 51 seconds somewhere around the 100 to 120 days range. Now we are still within that range pretty much you know but uh as CFO 41:59 41 minutes, 59 seconds and chairman was saying before we've entered into a a tender uh in one of our central American markets very highly 42:06 42 minutes, 6 seconds profitable uh tender by the way where we needed to make sure that the supplies were done within 60 days so and it was a 42:14 42 minutes, 14 seconds fairly large tender as well. So those numbers sort of moved it up by five six uh days but typically I think we are 42:22 42 minutes, 22 seconds happy to be anywhere between the 100 110 120 days and that's a sweet spot for us but the larger picture that I want 42:29 42 minutes, 29 seconds everybody to really uh see is we've been consistently able to invest hundreds of crores into our own uh uh capex our own 42:38 42 minutes, 38 seconds distributions and uh despite all of that we are still increasing our reserves in surplus by a considerable able number 42:46 42 minutes, 46 seconds every year. So you can imagine that even if uh we do see another 5 days or 10 days increase in the future, we we're 42:53 42 minutes, 53 seconds going to be okay with it because uh when that money comes in more often than not it comes in at a higher exchange rate compared to what it was previously, 43:02 43 minutes, 2 seconds right? So the cash flow I would say that we are benchmarked amongst peers. We are probably depart most other companies in 43:09 43 minutes, 9 seconds the same segment. So we're not worried about that. Anywhere between like I said 100 to 130 days even is probably still okay for us uh going forward. Yeah. 43:20 43 minutes, 20 seconds And just add just to what writing of dates has been virtually 43:28 43 minutes, 28 seconds negligible and close to zero. We have not been add any bad in the past which did not recover. There is only a delay 43:34 43 minutes, 34 seconds but uh not writing off and most of these the receivables now attributing the higher number is from government so for 43:43 43 minutes, 43 seconds sure give you or take care thank you so much for the opportunity 43:52 43 minutes, 52 seconds thank you thank you thank you thank you the next question is from the line of rich from equity masters please 43:59 43 minutes, 59 seconds go ahead uh thank you for the opportunity Uh I hope I'm audible. Yes. Yes ma'am. 44:07 44 minutes, 7 seconds Yeah. Yeah. My question was uh you know uh my question was on uh you know what's happening around the world the Middle East tension. I know that's not your 44:15 44 minutes, 15 seconds core market but uh and you know being closer to the customer helps to overcome the short-term disruption. But how do 44:23 44 minutes, 23 seconds you think if at all this could impact the business or margin of prices or maybe because of economic slowdown in 44:30 44 minutes, 30 seconds the end geography if it could have an impact on your business and any vulnerabilities that you may want to highlight? 44:36 44 minutes, 36 seconds Yeah, I would like to actually give an answer on this. 44:41 44 minutes, 41 seconds In fact, if you look at our past business, we in fact we increased the business. Our profitability and everything actually went up only during 44:49 44 minutes, 49 seconds COVID time after COVID and during CO. So what is happening today as our prime minister said is something closer to CO. 44:58 44 minutes, 58 seconds So you all have to actually follow the frugal ways and we started advising is very very correct. But as a businessman we should not allow the crisis to go 45:07 45 minutes, 7 seconds waste. And how we are managing it as I told you before for the next six months we don't have to produce any products 45:15 45 minutes, 15 seconds that we have to sell in the market in Latin America. 45:19 45 minutes, 19 seconds And the same way even in our US market the goods are already available there in the US uh where also 45:28 45 minutes, 28 seconds and the for the next in addition to this six months we also bought raw materials. 45:33 45 minutes, 33 seconds Yes, there are some increase in the prices but it's not going to impact us. 45:37 45 minutes, 37 seconds The re reason being when the prices go up, if you have already agreed actually to a price to your customer in the form 45:46 45 minutes, 46 seconds of a B2B business or an LC, then of course what happens is you have to honor the commitment and then that's how you 45:54 45 minutes, 54 seconds lose money. In our case, we are selling actually through our own actually subsidiaries through our own warehouses. 46:01 46 minutes, 1 second So that's not going to create any major impact to our business. On the contrary, this will open up the opportunity. The 46:07 46 minutes, 7 seconds reason being a these smaller geographies where we are today in Latin America, the big players are only into brand marketing. I'm talking of multinational. 46:18 46 minutes, 18 seconds Second, small companies, they don't have anything in the form of actually stock and sale. They all actually sell it to 46:24 46 minutes, 24 seconds some some importer. So, they will be very worried if they supply to the importer, they may or they may or may 46:32 46 minutes, 32 seconds not pay. The reason being most of the transactions today happens in credit nobody actually pays cash for a generic 46:39 46 minutes, 39 seconds but if you have your own warehouse if you have people like you know we have more than 700 people working in the whole of actually Latin America so it 46:48 46 minutes, 48 seconds helps us to collect the money we are there for the last 2020 20 years 20 22 years and coming to currency crisis also is 46:57 46 minutes, 57 seconds very stable there is nothing in the form of no fluctuation in the currency and coming to Nicaragua and Honduras maybe 47:05 47 minutes, 5 seconds slight in slight fluctuation in the form of 3 to 4%. The rest of the markets in like 47:13 47 minutes, 13 seconds and then uh Panama Eurod the currency is dollar so it's not going to create any issue Costa Rican currency also is 47:21 47 minutes, 21 seconds stable Chile also for the last four five years the currency is stable. 47:26 47 minutes, 26 seconds Is there anything else you want me to Yeah. Thank you. Thank you so much and all the best. Thank you madam. Thank you very much. Thank you. 47:33 47 minutes, 33 seconds Thank you participants. If you have any questions at this time, please enter star and one. The next question is from the line of prince from family office. 47:42 47 minutes, 42 seconds Please go ahead. 47:44 47 minutes, 44 seconds Uh thank you for taking my question. Uh I have just one question. So going forward can the company maintain around double digit revenue growth rate and the 47:52 47 minutes, 52 seconds part that margin between 25 to 29% consistently during the year by 27 28 and 29. 48:04 48 minutes, 4 seconds Yeah. So as as explained previously we remain very confident that the business uh will continue to do well. uh we need 48:12 48 minutes, 12 seconds to be patient for the next 12 to 18 months at least because uh there is a period of stabilization in pharmaceutical which is always what 48:21 48 minutes, 21 seconds happens is there is a uh I'm getting an echo from uh someone's line 48:29 48 minutes, 29 seconds uh Prince is your line on handset or the speaker mode could you please switch to the handset yeah yeah 48:37 48 minutes, 37 seconds thank you okay so with all things when it comes to pharmaceuticals espec Especially the regulated market things take a lot more 48:44 48 minutes, 44 seconds time because your product uh development to uplift itself takes around 2 years plus. So as we enter into the larger markets of Latin America and the US and 48:53 48 minutes, 53 seconds things are going to take a little bit longer but once it starts uh uh you know I think it'll be a very sticky business. 49:01 49 minutes, 1 second Um 18 months and beyond uh we feel that these uh uh numbers are going to get back to what they were before. I'm 49:09 49 minutes, 9 seconds talking about uh um uh Latin America. So what we are seeing today in terms of the bottom line is uh uh please take into 49:18 49 minutes, 18 seconds account that we have certain segments of uh our facilities that are not breaking even uh yes if you're talking about our 49:26 49 minutes, 26 seconds API unit and if you're talking about Amaris clinical which is basically completely backward migration. So despite all these drag on our bottom 49:34 49 minutes, 34 seconds line, we are still looking at 27 28% PAT and 38 39% EIDA which um in my opinion 49:41 49 minutes, 41 seconds at least from whatever I've seen in our size segment we nobody else has these numbers. So with all these draft if you if we can continue to maintain these 49:50 49 minutes, 50 seconds numbers you can imagine that you know 18 24 months beyond this are going to be definitely uh maintained to the same level or potentially even inch up a 49:58 49 minutes, 58 seconds little bit. So I hope uh uh we've answered that. Oh, thank you. Uh the positive question. 50:06 50 minutes, 6 seconds All the best. Thank you. Thank you. Thank you very much. 50:13 50 minutes, 13 seconds Thank you. The next question is from the line of Ahmed Mad from Unifi Capital. Please go ahead. 50:19 50 minutes, 19 seconds Yeah, thanks for the opportunity. Just one question on forex gains. Uh can you 50:26 50 minutes, 26 seconds quantify what was the gain on foreign exchange booked in Q4 as well as fourth financial year? Cos 50:40 50 minutes, 40 seconds the unrealized today of one second. 50:56 50 minutes, 56 seconds So the one we have about 202 gain over the year. The remaining 36 cr 51:03 51 minutes, 3 seconds will be expensing in the um 51:10 51 minutes, 10 seconds out of 116 cr other income. What number would be roughly uh forex gains for the full year? If you can uh give just one 51:18 51 minutes, 18 seconds number we can even write that to you uh ahmed 51:26 51 minutes, 26 seconds so that we don't take everybody's time on this. 51:28 51 minutes, 28 seconds Yeah, no problem. No problem. Uh just another question considering I think the answer on the volatility part but considering the volatility in R& 51:37 51 minutes, 37 seconds general uh obviously lot of forex volatility and assuming we are net beneficiary of the INR depreciation but 51:46 51 minutes, 46 seconds overall considering everything are we able to manage the current supply chain 51:54 51 minutes, 54 seconds volatility or has there been any uh issues considering we have a fair amount of dependency on China. How will you 52:02 52 minutes, 2 seconds judge uh current situation? If you can give some remarks on Yes. So business 52:11 52 minutes, 11 seconds in the form of outsourcing is is much lesser compared to actually what we used to do in China and all. 52:19 52 minutes, 19 seconds There was a time it was a more of a natural hedging. Now the now that of course I think it's in the region of 20 to 30%. And coming to the volatility see 52:28 52 minutes, 28 seconds the global economy is drowning in debt rather than water. That of course you know that will happen but coming to us 52:36 52 minutes, 36 seconds what is happening to big companies need not happen actually the same way to a company where their fundamentals are unique or the business model is unique. 52:45 52 minutes, 45 seconds If you try and do something which is unique then of course you will not allow this crisis to go waste. That's what I called before I show prices are going 52:55 52 minutes, 55 seconds up. No doubt there is definitely it's going to go up also when it happens. It is the model that makes actually you know you to make money or lose money. 53:06 53 minutes, 6 seconds The moment we understand that the price of a material which we bought is higher we also actually define the price at 53:13 53 minutes, 13 seconds which we have to sell the product in the market. 53:16 53 minutes, 16 seconds That's why we don't face any major issues to be honest with you. 53:21 53 minutes, 21 seconds Yeah. And uh just to quantify um obviously you know with regards to uh input materials like glass and plastics 53:29 53 minutes, 29 seconds and all of those things we keep getting uh um you know increases from suppliers but of course we fight all of them back 53:36 53 minutes, 36 seconds and then try to rationalize it to the lowest amount possible but just to give you an idea the highest impact product 53:44 53 minutes, 44 seconds uh for us that we have uh we've been doing especially for the US is less than one and a half to 2%. the cogs I'm talking about that's gone up by you know 53:52 53 minutes, 52 seconds so um we haven't yet seen uh any major negative uh impacts in the in the form 54:00 54 minutes of uh input materials grow going grow 54:02 54 minutes, 2 seconds going grow going grow going grow going 54:10 54 minutes, 10 seconds thank you the next question is from the line of Pawan Kumar from RT Capital please go ahead 54:16 54 minutes, 16 seconds sir can you comment on the cex that is expected in FA 27 and 28 and what would that be spend on? 54:26 54 minutes, 26 seconds Yeah, when it comes to KEX, the residual keex that we have is the phase three of our injectable plant. We call it internally as CO2. 54:36 54 minutes, 36 seconds Um and also uh two other uh ones which is uh we are constructing a much larger capacity oral solids uh and derma 54:45 54 minutes, 45 seconds facility in uh in monerry next to what we call our CP1 plant or existing plant. 54:50 54 minutes, 50 seconds And thirdly we also will be completing our u um uh oncology API plan. In addition to this we are drawing up plans 54:58 54 minutes, 58 seconds for our uh building in Mexico that should happen sometime by uh Q3 or Q4. I mean it will start by Q3 or Q4. When it 55:07 55 minutes, 7 seconds comes to exact numbers see any any numbers you can shed some light on. 55:14 55 minutes, 14 seconds Yeah, as I mentioned during my opening remarks also that envisaged the capital plan of close to thousand cr 55:23 55 minutes, 23 seconds remain to be spent the rest they are made in the form of PWAT station and Adam3 55:32 55 minutes, 32 seconds WAP and we have made advances to 9 various lines that are being imported 55:39 55 minutes, 39 seconds this about 500 we take some It can vary the silent control will be spent over the next 18 to 24 months. 55:50 55 minutes, 50 seconds This a plan as of now and this does not contemplate the inorganic growth. It does not contemplate Mexico does not 55:59 55 minutes, 59 seconds contemplate the chili warehouses and quality control lab which we are planning right now. These are all not even asking for the drawing table right 56:08 56 minutes, 8 seconds now. So once we get some clarity probably we'll update in next quarter. 56:12 56 minutes, 12 seconds So fin sure will be the um the amount that is already identified and will be spent in the next 18 to the government. 56:22 56 minutes, 22 seconds Uh okay. Thanks. Thank you. 56:26 56 minutes, 26 seconds Thank you. The next question is from the line of Julie Maha from 361 Capital. Please go ahead ma'am. 56:33 56 minutes, 33 seconds Um thank you for the opportunity. Uh firstly congratulations on a great set of numbers uh to the entire team at 56:40 56 minutes, 40 seconds Kaplan. So uh the question basically uh it cater to the US business. So uh 56:47 56 minutes, 47 seconds the US business has now picked up decent scale and sales. So uh if you want to understand the growth breakup, how much 56:55 56 minutes, 55 seconds of that would be organic and how much we still have to account for through the new launches uh be the ones coming in or 57:03 57 minutes, 3 seconds the pipeline or the AMDs that we are yet to acquire. uh and if you could also you know share the evida margin for CSL for 4K and FI26. 57:15 57 minutes, 15 seconds Okay so on uh uh the break up in revenue I would say that more than 90% of the revenue has come from the older products 57:23 57 minutes, 23 seconds that were already in the market. So the 10 and that were approved over the uh the period of the last 12 months we have 57:31 57 minutes, 31 seconds we've launched a couple of them but the majority of it especially the larger ones are in the process of getting launched in the next few weeks. Um in 57:39 57 minutes, 39 seconds addition to that I would also suggest that that 10 uh so 15ers that we acquired from outside we are in the 57:47 57 minutes, 47 seconds process of launching them which will only happen this year. So you can assume that like I said around 90% of all the growth that you've seen is from uh 57:54 57 minutes, 54 seconds products that were already launched in the market. This is actually a good statistic as well because um when most other companies I think are somewhere in 58:02 58 minutes, 2 seconds the region of you know uh their average earnings per I believe if I'm not wrong is somewhere around 800,000 to a million 58:10 58 minutes, 10 seconds whereas ours is almost twice uh that number more than 50% high higher itself and of all the products that we have approvals for we were just discussing 58:19 58 minutes, 19 seconds about it yesterday literally just one product is the one that uh we technically uh taken off the market uh because there were no sales. Every other 58:27 58 minutes, 27 seconds product uh continues to uh show good sales and we continue to receive repeat uh orders and when it comes to uh the 58:35 58 minutes, 35 seconds AIDA margin for CSL request Satya to answer this. So thank you uh thanks for the question. 58:43 58 minutes, 43 seconds Uh the AIDA for CSL for financial year 256 is 142 crores which is 30%. as 58:50 58 minutes, 50 seconds compared to 103 crores last year which is 27.97. 58:56 58 minutes, 56 seconds Okay. And for the uh for you to get the specific number for 59:04 59 minutes, 4 seconds you summary for the fourth quarter you're asking. Yes sir. 59:12 59 minutes, 12 seconds Yeah it is 33%. 59:16 59 minutes, 16 seconds Okay that's helpful. And the last question is fin Steven. So uh also uh since we almost on a large leg of capex 59:24 59 minutes, 24 seconds now so do we have any plans for capex going forward in the next 3 to three years or will that largely be 59:31 59 minutes, 31 seconds maintenance and nothing that major uh 59:38 59 minutes, 38 seconds as we just discussed um we we had taken on close to a thousand other cr of camp of which 50% is done and then other 50% 59:47 59 minutes, 47 seconds will be completed in the next 18 to 24 months. this doesn't take into account uh the ones that we are going to be planning in Mexico, Chile etc. So yeah 59:56 59 minutes, 56 seconds there is still certain amount of um residual capex that needs to be completed. In addition to that um I will 1:00:04 1 hour, 4 seconds just give you some statistic last last year we were able to add close to 400 crores to our surplus right that is over 1:00:12 1 hour, 12 seconds what was spent in uh terms of step. So if you were to u do some numbers over the last 18 over the next 18 to 24 1:00:20 1 hour, 20 seconds months you can assume that despite the capex that will uh we will be uh putting up um the likelihood is that our 1:00:28 1 hour, 28 seconds reserves and surplus will continue to rise even further. Okay that's very helpful. Thank you. 1:00:36 1 hour, 36 seconds Thank you. 1:00:38 1 hour, 38 seconds Thank you ladies and gentlemen. That was the last question. I now hand the floor over to the management for closing comments. 1:00:46 1 hour, 46 seconds Yeah. Thank you to uh 361 uh capital market and uh uh Rohit and and Judy for 1:00:54 1 hour, 54 seconds conducting and thanks to everybody that took time out to attend our call and we hope to stay in touch with you in the future as well. Thank you. 1:01:02 1 hour, 1 minute, 2 seconds Thank you very much. 1:01:03 1 hour, 1 minute, 3 seconds Thank you very much. Thank you. Thank you. 1:01:05 1 hour, 1 minute, 5 seconds Thank you on behalf of 361 Capital Market Private Limited. That concludes this conference call. Thank you all for joining us. And you may now disconnect your lines.