Sanofi India Ltd — Q3 FY26

Sanofi India Ltd Q3 FY2025-26 Earnings Conference Call https://www.youtube.com/watch?v=48MfBbyAPJ4 Published: 2 months ago

0:01 1 second Good evening everyone and a very warm welcome to the investor conference call hosted by Sanopi India Limited. 0:10 10 seconds Joining the call we have Mr. Deepak Kara managing director, Mr. Rashid Kayari, full-time director and CFO and Mr. 0:18 18 seconds Hareshwala, company secretary from Sonopi India Limited. 0:23 23 seconds Before we begin this investor call, there are two important announcements. 0:28 28 seconds Please note that the proceedings of this meeting are recorded. 0:32 32 seconds Secondly, please note a standard disclaimer that there are certain statements in this call which may be forwardlooking and actual results may 0:41 41 seconds vary depending on various other factors which may impact the future performance. 0:47 47 seconds Moving on to the agenda, we will cover the performance for the quarter and year end December 2025 and other highlights. 0:56 56 seconds Thereafter, they will have a Q&A session which will end exactly sharp at 5:00 p.m. All investors and participants are 1:04 1 minute, 4 seconds please requested to keep their questions please and avoid repetition. 1:10 1 minute, 10 seconds 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. 1:20 1 minute, 20 seconds Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchstone 4. 1:29 1 minute, 29 seconds I now hand over to the management to take to take us through the presentation. 1:34 1 minute, 34 seconds Thank you so much. Um my name is Deepak Kara. I'm the managing director for Sonophi and Limited and country lead for India. A warm welcome to the quarter and 1:44 1 minute, 44 seconds the year- end uh uh performance call financial results. Um let me start uh giving a little bit perspective of uh 1:52 1 minute, 52 seconds last year which was the year of transformation for us. So the next slide please which talks about the pivotal transformation which was created and 1:59 1 minute, 59 seconds executed as Senopi India Limited have fundamentally modernized our business uh and I will I will talk about again in 2:06 2 minutes, 6 seconds terms of how we position ourselves as we move forward towards a sustainable and profitable growth. Next slide. It has 2:15 2 minutes, 15 seconds three components as we say that we are modernizing our business model to position ourselves as sustainable profitable growth. First is the business 2:22 2 minutes, 22 seconds model transformation as a new organization being an R&D driven AI enabled uh biioarma organizations and 2:32 2 minutes, 32 seconds making sure that we are what we doing is for towards the patient centricity uh customer centric digitally and AI 2:39 2 minutes, 39 seconds empowered uh capabilities. You all are very well aware about the partnership model to grow our legacy portfolio in 2:46 2 minutes, 46 seconds CV, CNS and oral anti-diabetic agents and last but not the least lead to financial performance. While our 2:53 2 minutes, 53 seconds domestic sales were flat for25 and you are well aware in terms of the changes or transformation which was happening to make sure 2026 starts at a good note. 3:04 3 minutes, 4 seconds Last but not the least de merger which happened, stabilization of the business with the partnership. We still had a plus 1% profit before tax driven by the 3:13 3 minutes, 13 seconds business and OPEX efficiency. Basically that is franchise momentum and last but not the least partnership model as per the expectations. Next slide. 3:24 3 minutes, 24 seconds Talking about Seni in terms of leading diabetes and being the leader in the insulin segment and making sure that we win the portfolio for both basil and 3:33 3 minutes, 33 seconds premix segment. Lis which has been our flagship brand is continued to have market leadership of 31% in basil 3:42 3 minutes, 42 seconds segment with a volume acceleration of plus 6%. And in my view this is after all the turbulence happening in the in 3:48 3 minutes, 48 seconds the insulin market and last but not the least with what GLP1 is trying to invade it. Toio preferred second generation 3:57 3 minutes, 57 seconds basil insulin growing in double digits and last but not the least our innovation into the market to make sure that we accelerate our reach by winning 4:05 4 minutes, 5 seconds into the public sector and al as well as continuing the growth in the private sector and keeping the leaprog growth 4:12 4 minutes, 12 seconds based on the GLP1 how the GLP1 market is growing market expansion is key tapping the potential of public sector which is 4:20 4 minutes, 20 seconds basically into care segment like CGHS ESI uh railways is defense and also into state uh rate contracts. And last but 4:29 4 minutes, 29 seconds not the least, keeping the momentum as the market is growing with insulin initiation and maximization being in the digital reach with tier 2 and tier three 4:38 4 minutes, 38 seconds cities. future ready to go uh future ready to put to the go to market capabilities uh always with our patient 4:46 4 minutes, 46 seconds support program being customer centric AI enabled activities and initiatives and last but not the least innovative customer journey organizations. So these 4:55 4 minutes, 55 seconds are some of the work which was been done last year to make sure that we were ready in terms of picking up the 5:02 5 minutes, 2 seconds maximization looking into transformation to performance and last but not the least continuing our leadership in the insulin segment. Next slide. 5:13 5 minutes, 13 seconds As we talk about the uh R&D driven organization, I think I want to remind ourselves about the landmark real world evidence study which was concluded with 5:22 5 minutes, 22 seconds 382 sites and close to around 6,000 patients in a three years longitudinal study. Lot of publications came our way and there are many more which will be 5:31 5 minutes, 31 seconds also uh getting published this year and also at the IDF next year. We are happy to share that we have achieved a major 5:38 5 minutes, 38 seconds milestone in the last patient in on 12th December 2025 with the recruitment of 105 patients in nine sites in India. 5:46 5 minutes, 46 seconds This was to remind us we evaluate the safety and efficacy of solqua in obese adults with uncontrolled type 2 diabetes. The publication is awaited. 5:55 5 minutes, 55 seconds Last but not the least, I think important piece is also how we keep on fueling our uh potential pipeline and bringing the product to to answer some 6:04 6 minutes, 4 seconds of the unanswered questions for treatment of type 1 and type two diabetes. There is uh a lot going on for phase two and phase three study across 6:13 6 minutes, 13 seconds with capisum map where we call til vivikim and also fret map and also to 6:21 6 minutes, 21 seconds share that the noble pen which we are bringing into the market we are also looking into combining it with some digital solutions for better adherence 6:29 6 minutes, 29 seconds uh to make sure and AI enabled for patients to have a better control in in in management of diabetes. 6:37 6 minutes, 37 seconds Next slide. 6:39 6 minutes, 39 seconds With this I hand over to Rashid to talk about the financial uh yeah thank you Deepak. Good evening 6:46 6 minutes, 46 seconds everyone. Uh so I echo what Deepak said that 2024 2025 uh you know there is 6:53 6 minutes, 53 seconds significant transformation of the business with the de merger of uh consumer health business in uh in 2024 7:01 7 minutes, 1 second in addition to the signature of the partnership both in Q1 2024 and in uh 7:08 7 minutes, 8 seconds July uh 2025. And this is is complexifying a bit you know the reading of the financial statement and the and 7:15 7 minutes, 15 seconds the performance. So we we try to clarify uh and show the impact coming from uh this transformation and we will be uh 7:24 7 minutes, 24 seconds happy to to answer to all the questions uh coming from uh from the ambassadors and the particip participants of the 7:31 7 minutes, 31 seconds course. So um before before starting I think it's uh it's important to explain 7:38 7 minutes, 38 seconds a bit the total income which is mainly coming from the sales. So the domestic sales and the export that we will uh 7:48 7 minutes, 48 seconds deep dive in in the in the next slide and which is uh you know um 92% of 92 to 7:55 7 minutes, 55 seconds 93% of the total uh income. uh other operating income it's uh related mainly 8:02 8 minutes, 2 seconds to um uh service activity toing um to uh 8:09 8 minutes, 9 seconds consumer health and certain um uh uh uh illegal entities from from the group and 8:16 8 minutes, 16 seconds um this is we see uh a drop um but there is no impact at the end on the on the profit of the company. This is related 8:25 8 minutes, 25 seconds mainly to uh activity that the change in the activity with the with consumer health and at the same time there are 8:33 8 minutes, 33 seconds certain service that we were giving in the past as promotion to uh the private company that are not anymore there 8:41 8 minutes, 41 seconds because we we signed partnership as well for the private uh private go and finally um the other income which is 8:50 8 minutes, 50 seconds mainly related to the interest and the ethics uh gain in loss. So, uh can we move to the next please? 8:59 8 minutes, 59 seconds Yeah. So, um the total uh net sales as you can see um uh in 2025 for the 9:07 9 minutes, 7 seconds domestic is um uh 15 uh 1511 u 9:14 9 minutes, 14 seconds which is um let's say half of it almost related to diabetes and half it's 9:21 9 minutes, 21 seconds partnership. So as you can see in uh in year 2025 we uh we we have a consistent growth of 9:30 9 minutes, 30 seconds the diabetes as mentioned by uh by Deepak uh and um for the quarter we we have double digit growth uh 11 11%. 9:41 9 minutes, 41 seconds uh regarding uh the the partnership part. So um in the in the full year we we we have minus two versus uh last year 9:51 9 minutes, 51 seconds uh and uh this is maybe uh coming from uh system movement of the stock. So uh based on the broadening period with the 10:00 10 minutes with the partners. So uh this is what he's explaining um mainly um the the the 10:06 10 minutes, 6 seconds deviation uh in the in the in the full year or uh in in the quarter. uh another 10:14 10 minutes, 14 seconds point which is impacting the quarter as well is related to the gross donate that we are uh giving to um the OAD to the 10:21 10 minutes, 21 seconds partner and this is compared to last year it's it's it's a new coming in addition uh in the financial statement 10:29 10 minutes, 29 seconds the major impact uh on the top line and this is where um was discussed in previously and in the previous quarter 10:38 10 minutes, 38 seconds as well the drop of the of the export where we can see significant drop in uh in the quarter and in the full year. And 10:46 10 minutes, 46 seconds uh this is is related to the development of Ankishawar site with Zentiva in 2021. 10:54 10 minutes, 54 seconds And uh we continued uh to um to to for 11:01 11 minutes, 1 second 2024 when they get the authorization from the Indian authorities um to um to 11:07 11 minutes, 7 seconds to to commercialize the product. So uh it was anticipated from the past and it was communicated in the previous course. 11:17 11 minutes, 17 seconds Can we uh can we move to the next? Yeah. In term of uh operating expenses. 11:24 11 minutes, 24 seconds So we we see that um you know significant effort is made uh for the opex uh reduction. So what we are 11:32 11 minutes, 32 seconds showing here what we are shown here is mainly the employee cost and uh the other optation 11:41 11 minutes, 41 seconds uh is is flat uh and the interest part is not material. So minus 17% uh in the 11:49 11 minutes, 49 seconds in the quarter and minus 17% in in the full year and this is reflecting the the strategy of the company with signature 11:57 11 minutes, 57 seconds of the different contract with with the different partners as well. Can you move to the next? 12:05 12 minutes, 5 seconds Yeah, thank you. So uh in term of profit before tax we end up with plus 1% um in 12:13 12 minutes, 13 seconds in a full year uh which is um you know I think uh achievement good achievement versus what we all the transformation 12:22 12 minutes, 22 seconds that happen and impacting the the the profitability and the aim and in term of the quarter we see uh there is a 12:29 12 minutes, 29 seconds significant drop but it's uh it's more uh more phasing and topline impacted by the movement of the stock rather than 12:37 12 minutes, 37 seconds other things. Uh because when we look to the different you know uh when we look to the data uh in the secondary we see 12:45 12 minutes, 45 seconds that you know the partners are uh delivering ads uh per uh per the agreement that we we we have. So no major deviation uh for for partnership. 12:58 12 minutes, 58 seconds Next please. 13:00 13 minutes Yeah. regarding to the dividend proposal and based on the uh yesterday board meeting. So uh the proposal to the 13:08 13 minutes, 8 seconds general assembly will be uh plus 5% versus 2024. 13:13 13 minutes, 13 seconds So uh in term of um earning per share so it's 142 and the dividend per share will be 123 part of it was already 13:22 13 minutes, 22 seconds distributed in the interim uh in the the previous period and we the final one once it will be approved by the general 13:29 13 minutes, 29 seconds assembly it will be after the in in May June of this year. 13:36 13 minutes, 36 seconds Thank you Rashid. Next slide. I think while we are on the financial results, we want to make sure that we also remind ourselves in terms of our CSR 13:44 13 minutes, 44 seconds initiatives and giving back to the society. Very happy to share um on behalf of Seni and the the the leadership of the complete CSR task 13:53 13 minutes, 53 seconds force that we became much more reaching out strongly and building our strong communities with kids and diabetes in schools. the one of the flagship 14:01 14 minutes, 1 second initiative of ours which had an expansion in UP and also the enablement of the sucker free shukrair which was 14:09 14 minutes, 9 seconds started an initiative in Goa the outreach was close around 1,200 schools close to around 1250 teachers were uh 14:19 14 minutes, 19 seconds you know trained to improve our capacity and capability and the reach to students was around 232k mobile medical units 21 MMU operated 14:28 14 minutes, 28 seconds across 11 districts in Maharashtra led to 1.1 million beneficiaries reached and around 6,000 camps conducted with 332 uh 14:37 14 minutes, 37 seconds beneficiaries which were being uh screened or led to diagnosis early or late scale stages but making sure that we close the loop in terms of screening, 14:46 14 minutes, 46 seconds diagnosis and treatment. Humanitarian aid which was supported to the families and communities which are affected by the flood in Himatra Pradesh. And last 14:55 14 minutes, 55 seconds but not the least, our own volunteering week which helped in terms of having our employees 270 employees participating to 15:03 15 minutes, 3 seconds close to around 750 volunteering arts in 10 plus cities. So very proud in terms of giving back to the society. ending um 15:11 15 minutes, 11 seconds ending note or before we get into the question answer uh the the next slide again I think reiterating our um our 15:20 15 minutes, 20 seconds achievements or in terms of the performance as Rashid talked about plus 6% uh growth in insulin overall for 15:28 15 minutes, 28 seconds years and if you look at the accelerated momentum in quarter 4 that plus 6% was closer around 11% in quarter 4 alone 15:35 15 minutes, 35 seconds which also assures back in terms of whatever transformation happened today will help us position for tomorrow along 15:42 15 minutes, 42 seconds with the future ready capabilities to position uh Senopi India Limited to capture India's high growth diabetes opportunity as well as we can see that 15:51 15 minutes, 51 seconds the partnership is stabilizing and will give us better returns as we move forward in 2026. With this I open for question answers. Thank you. 16:05 16 minutes, 5 seconds Thank you very much. We will now begin with the question and answer session. 16:10 16 minutes, 10 seconds Anyone who wishes to ask a question may press star and one on the touchstone telephone. 16:17 16 minutes, 17 seconds If you wish to remove yourself from the question queue, you may press star and two. Participants, you are requested to use handsets while asking a question. 16:28 16 minutes, 28 seconds Ladies and gentlemen, we will wait for a moment while the question to send. 16:41 16 minutes, 41 seconds Participants, you may press star and one to ask a question. 16:50 16 minutes, 50 seconds We have the first question from the line of Raja Kumar Zinatan from RK Investment. Please go ahead. 16:58 16 minutes, 58 seconds Yeah. Good evening. Can you hear me? Yes. 17:03 17 minutes, 3 seconds Yeah. Thanks for the opportunity. Uh uh the first question is uh to the uh uh CEO uh Deepak. Uh sir uh I would like to 17:12 17 minutes, 12 seconds know what is happening on this partnership uh sales why there's a drop of 13%. Uh year on year absolutely if I 17:20 17 minutes, 20 seconds compare Q3 versus Q4 also there is a significant drop. you you did almost close to 200 crores partnership sales in 17:28 17 minutes, 28 seconds Q3. Now in Q4 you have done only 150 crores. So why is this so much of volatility in this segment? 17:38 17 minutes, 38 seconds Thank you so much for uh for the question. I think the partnership if you look at compared to 24 25 is stabilizing. I understand the quarter 4 17:46 17 minutes, 46 seconds drop and that was basically due to phasing based on the stock stabilization and replenishment which was required and 17:53 17 minutes, 53 seconds there was a frozen period as we get into any new partnership example is the OADs additional growth to net for OADS also 18:01 18 minutes, 1 second impacted us and last but not the least a little bit of headwind related to certain accounts and institutional business where there was an aggressive 18:08 18 minutes, 8 seconds discount from competition which we are trying to tackle and see what can be the innovative access models as we get into 1226. 18:19 18 minutes, 19 seconds Okay. So, uh, so can we consider this current quarter partnership number as a steady state number or uh there's lot of 18:26 18 minutes, 26 seconds uh one-offs in that. Uh, so I would like to know what would be the base number that we can uh we can take uh for 18:34 18 minutes, 34 seconds comparison as move forward to 2026. 18:40 18 minutes, 40 seconds question I I didn't get the is there any base number for 206 which we can take in account yeah because in Q3 you did 200 crores now in 18:49 18 minutes, 49 seconds Q4 you are saying 153 crores so I just want to know what would be the base number because you are saying there are 18:56 18 minutes, 56 seconds a lot of one-offs in this 153 yeah exactly I think uh uh yeah despite the fact that we are not giving any 19:04 19 minutes, 4 seconds forward looking but I think the the fluctuation will uh will continue uh in 2026. I think by end of 2026 we will 19:13 19 minutes, 13 seconds stabilize uh this partnership because as mentioned by by Deepak as well that you know there are certain agreements with 19:20 19 minutes, 20 seconds the partners in terms of stock replenishment and this is uh systematically will uh will continue to 19:28 19 minutes, 28 seconds to give a kind of fluctuation uh for um you know uh for for 2026 I 19:40 19 minutes, 40 seconds Okay, does that answer your question? Yeah, thank you. 19:48 19 minutes, 48 seconds Thank you. A reminder to all the participants. You may press star and one to ask a question. 19:56 19 minutes, 56 seconds We have the next question from the line of Vishal Machenda from systematics. Please go ahead. 20:02 20 minutes, 2 seconds Hi, good evening everyone and thanks for the opportunity. Uh could you share the end market growth for the partnered portfolio? 20:17 20 minutes, 17 seconds The in growth for the portfolio or supply and cure separately. 20:30 20 minutes, 30 seconds I think uh 20:41 20 minutes, 41 seconds I think we should not keep an account of the O because we just entered the partnership. We can talk about the CV portfolio of MQR and the overall for 20:49 20 minutes, 49 seconds Zippla. It was in the low single digit if I remember because again uh for uh CV for Tippla there was a little bit 20:58 20 minutes, 58 seconds turbulence in terms of the push of discounts by the by the competition. So I think the first two quarters were not 21:05 21 minutes, 5 seconds very good but for OAD we have I think it was um higher singledigit which was better than the performance in the first 21:12 21 minutes, 12 seconds half when we look at the OAD when when MQ took over but overall I think it will be a single digit growth at a lower lower level. Yeah, if we take out you 21:21 21 minutes, 21 seconds know the 30 FS we should be at uh in volume growth we should be at plus plus 4%. 21:30 21 minutes, 30 seconds Yeah, got it. Thank you. And uh would you be able to kind of share some uh color on 21:38 21 minutes, 38 seconds your pricing of this portfolio going forward? Will this be a fixed percentage of the MRP of the portfolio or this is a 21:47 21 minutes, 47 seconds fixed price and the and your partner is able to so partner can basically take any markup on that fixed price 21:57 21 minutes, 57 seconds uh in term of uh pricing. So for uh the NABM products I suppose that they will 22:04 22 minutes, 4 seconds follow uh you know the WPI uh growth from one year to another and uh for uh 22:13 22 minutes, 13 seconds for the rest of the portfolio where there is no restriction uh depending on the market condition. So 22:20 22 minutes, 20 seconds we have still uh they have 10% you know to increase the the prices. So uh and it will be uh product by by product 22:29 22 minutes, 29 seconds dependent on the market condition. So we we can have a look to what they are proposing. Um but at the end of the day 22:37 22 minutes, 37 seconds I suppose that uh you know continuing increasing the price to certain level makes sense. 22:46 22 minutes, 46 seconds Okay. And and if you could share uh how do you kind of intend to scale up the diabetes uh business that's under your 22:55 22 minutes, 55 seconds control. So one is Solqua whether you would also look to kind of uh do other products in the therapy or you would 23:03 23 minutes, 3 seconds only stick to the parent portfolio for growth in this segment. 23:09 23 minutes, 9 seconds So for for now I think we have lot to do uh with the current portfolio and I think so is just one year old in the in 23:16 23 minutes, 16 seconds the in the game. Um you know how GLP1 is accelerating in the market and we should be leaprogging along with GLP1 23:23 23 minutes, 23 seconds activation in the market because solqua is a combination of both largene and uh GLP1. uh our a plan is to how we can 23:32 23 minutes, 32 seconds accelerate the double-digit growth for solqua moving forward both in private and in public sector and then also 23:39 23 minutes, 39 seconds continue expanding uh Tojio which is also an innovator which is uh U300 glarine in the public sector. So for now 23:47 23 minutes, 47 seconds I think we we have a lot that we can maximize a lot with the current portfolio as we look forward for pipeline as it comes. 23:55 23 minutes, 55 seconds Okay. And uh any sense on uh what? So is this so my understanding is soliki will 24:04 24 minutes, 4 seconds largely target the premill premeal insulin market uh sorry the yeah premeal insulin market. So any sense on what market share you can take in that space. 24:17 24 minutes, 17 seconds So it will be playing in both uh you know a premixed market as well as at the failing of the OADs looking at the 24:24 24 minutes, 24 seconds guidelines and where GLP ones are being put in across across the segment of patients not getting controlled on basil 24:31 24 minutes, 31 seconds patient not getting controlled on ODS and also patients uh requiring a bit stricter control on a premix. Solua has 24:40 24 minutes, 40 seconds has a has a unique opportunity of playing in all the three three segments. 24:44 24 minutes, 44 seconds We look forward but I think it's could not be a forward looking but whatever market steal we can take from all the three segments will be a win for solo. 24:54 24 minutes, 54 seconds Got it. Okay. Thank you. That's welcome. Thank you. 25:03 25 minutes, 3 seconds Thank you. A reminder to all the participants. You may press star and one to ask a question. 25:10 25 minutes, 10 seconds We will take the next question from the line of Bulsha from RW equity. Please go ahead. 25:18 25 minutes, 18 seconds Thank you for this uh opportunity. 25:21 25 minutes, 21 seconds Uh just wanted to understand in terms of uh you know the broader uh therapy areas 25:29 25 minutes, 29 seconds the you know where the uh Sanopi India can actually play in the future. So are 25:37 25 minutes, 37 seconds are we in the listed company only confined to these therapies which we 25:42 25 minutes, 42 seconds have uh currently or uh is there a plan to actually uh enter into more therapy 25:50 25 minutes, 50 seconds areas? You know for example one of your European peers just sort of in the 25:58 25 minutes, 58 seconds December quarter entered into the ancology space with two innovative products which were global product. 26:06 26 minutes, 6 seconds So is there something like that which uh you know son of India plans to do? 26:14 26 minutes, 14 seconds You want to go ahead. 26:16 26 minutes, 16 seconds Yeah. So uh look you know um based based on the group strategy as well. So we want to focus on certain therapeutic 26:25 26 minutes, 25 seconds area and not to expand if there is no if there is opportunity yet. But for now the strategy for the listed company is 26:34 26 minutes, 34 seconds to focus mainly on diabetes entry and this is I think the strategy is working well as we can see in the numbers uh 26:43 26 minutes, 43 seconds double digit growth for Q4 and at the same time so cardiovascular and CNS I 26:50 26 minutes, 50 seconds think cardiovascular it's a it's a big market for us where uh we we can see certain synergy there uh but 26:57 26 minutes, 57 seconds diversifying today you know to another uh area we don't see that there will be fixed synergy with the with the current portfolio with the currency. 27:08 27 minutes, 8 seconds Yeah. Because I mean if I were to uh actually you know look at the patient 27:14 27 minutes, 14 seconds pool uh in the long run uh and you know with the uh with the therapies which you 27:22 27 minutes, 22 seconds know Sani India is playing uh there will at some point you know come a saturation in terms of the market size which we could address. 27:33 27 minutes, 33 seconds uh I mean frankly you know obvious you have uh uh within the group you know very innovative vaccine play but 27:42 27 minutes, 42 seconds obviously that's outside the listed company. Uh so just wanted to uh you know get a sense that is there sort of 27:49 27 minutes, 49 seconds any thought process or plan of uh bringing all the uh you know operating 27:56 27 minutes, 56 seconds companies uh uh in India under a single sort of a legal ownership where then you 28:03 28 minutes, 3 seconds know the the therapy areas can actually be a very very divergent uh you know for for growth. 28:13 28 minutes, 13 seconds Yeah. It's it's it's a good point. 28:15 28 minutes, 15 seconds Honestly, we thought about it in the past and we tried to evaluate if there would be a real synergy between you know uh the portfolio that we we we have in 28:24 28 minutes, 24 seconds the listed company and in the private crew. We we didn't find you know uh that uh you know it will be bring value for uh the shareholders. 28:35 28 minutes, 35 seconds Uh so if we take the you know if we launched the you know uh this the 28:42 28 minutes, 42 seconds vaccine product in the private school we we are evaluating as well uh how the market react to the new products as well 28:50 28 minutes, 50 seconds right so based on this experience maybe in the future we can think about it there are certain uh reflection that we are making but today to say that there 28:59 28 minutes, 59 seconds is a direction or decision to launch new therapeutic area in uh in the listed company nothing is uh is confirmed today 29:08 29 minutes, 8 seconds uh for that so uh yeah I don't know if you have anything no I think I I will reiterate looking at the population of India the atlas 2035 29:17 29 minutes, 17 seconds if you look at uh the non-communicable diseases they are growing by double digit and last but not the least now the tier 2 and tier three literacy in terms 29:26 29 minutes, 26 seconds of improved awareness is helping in terms of getting these patients early on because of the screening diagnosis on the treatment OAD stands and and 29:35 29 minutes, 35 seconds continues to grow despite of you know the new innovation coming in and so is insulin. So I think if you focus what we have today and reach out and maximize 29:44 29 minutes, 44 seconds and expand I think we have a we have a good case in terms of bringing the value proposition of what we have from 29:51 29 minutes, 51 seconds established portfolio partnership and last but not the least the insulin portfolio as well. 29:59 29 minutes, 59 seconds Thank you. We have the next question from the line of AI GIA from GIA investment. Please go ahead. 30:07 30 minutes, 7 seconds Thank you for keeping this investor call. Uh with your permission, I would like to go ahead with my question. I 30:14 30 minutes, 14 seconds told I have total four questions. Shall I ask all of it together or one by one? 30:22 30 minutes, 22 seconds Go ahead. One one by one if you don't mind. Thank you. 30:26 30 minutes, 26 seconds Yeah. Thank you. Why are the results and the numbers going down year on year? 30:34 30 minutes, 34 seconds So if we if we take you know now um so first the result we are uh you know positive for for the year in term of uh 30:42 30 minutes, 42 seconds profit uh before exceptional items plus 1% and for the you know profit after tax we are 30:51 30 minutes, 51 seconds at plus 4%. So we are not negative last year it's uh it's not as well. uh now as we we mentioned the impact I think uh 30:59 30 minutes, 59 seconds you know why we don't see u the the real performance of the legal entity uh because all this transformation that we 31:08 31 minutes, 8 seconds we have done in the past so the de merger of the CHC there are certain uh transaction that were done to support 31:16 31 minutes, 16 seconds them in the past that are not anymore uh in in 2025 and there is this partnership that the partnership that we we signed 31:23 31 minutes, 23 seconds as well there is an impact uh in term of um top line but uh we we are saving in in the opex and the real impact as we uh 31:33 31 minutes, 33 seconds we we made the analysis uh it's not it will not be immediate I think starting uh you know when we we analyze uh and we 31:41 31 minutes, 41 seconds we we presented the business case it's within three four years and I think we are on track on versus the forecast that 31:50 31 minutes, 50 seconds we we have done so no uh we don't see major issue coming but the transformation uh and this transition uh is is taking a bit time. 32:03 32 minutes, 3 seconds Okay. Noted. Thank you. Now my next question is considering noart's exit is sophia on the same way since last five 32:12 32 minutes, 12 seconds years track of is on the exact similar lines as of noarted 32:20 32 minutes, 20 seconds I think India remains a very important market for us and that's why we you see that our transformation journey is to improve growth in in in the insulin and 32:29 32 minutes, 29 seconds diabetes segment and it's been 70 plus years that we continue our commitment to support healthcare of communities and 32:36 32 minutes, 36 seconds individuals. So I think uh for now I would say that uh we need to focus on what we have and continue not only from 32:43 32 minutes, 43 seconds a product perspective but also impact from our CSR initiatives to support. You also know our manufacturing facility in 32:51 32 minutes, 51 seconds Goa produces best-in-class essential medicine for both domestic and international market exporting to around 25 countries worldwide which should give 33:00 33 minutes you an assurance that we are here and we'll be serving our patients. 33:05 33 minutes, 5 seconds Okay, thank you. Uh, next is we also saw few appointments 33:13 33 minutes, 13 seconds while independent director seems experienced but the executive director does not have any experience of being on 33:19 33 minutes, 19 seconds board of a listed company. We also saw her appointment was done recently in June 2025. So what led the management 33:29 33 minutes, 29 seconds consider her as a board candidate in shutter short span 33:39 33 minutes, 39 seconds not sure who you're talking about oh executive experiences yeah yeah yeah I think you should look 33:47 33 minutes, 47 seconds into the experience the person is bringing in from a legal perspective so I think uh uh and I thought someone has 33:54 33 minutes, 54 seconds to start from somewhere right uh so the experience which Sudipa brings in from legal angle. It will be a big value 34:02 34 minutes, 2 seconds addition to us as we move forward and I'm sure you will see that as we move forward in maybe next next call or next year. So thanks for the question. 34:13 34 minutes, 13 seconds Okay, last question. Uh what are the upcoming products for Sanopi India for 2026? 34:23 34 minutes, 23 seconds Uh there are no new products in 2026 for us but as you have seen that we will be putting our real world evidence for landmark some new publications. So 34:32 34 minutes, 32 seconds soliqua as we completed the real world study the new publication will come in um solqua in public sector will be new 34:39 34 minutes, 39 seconds and also to expansion in public sector will be new for us but any new entry for now there is not in the in the plan for 206. 34:49 34 minutes, 49 seconds Okay that's that's it for me. Thank you management for replying all the questions. Thank you. 34:57 34 minutes, 57 seconds Thank you for your question. 35:00 35 minutes Thank you. A reminder to all the participants. You may press star and one to ask question. We have the next 35:08 35 minutes, 8 seconds question from the line of Rajakumar Vinatan from RK Investments. Please go ahead. 35:22 35 minutes, 22 seconds Mr. Raja Kumar, please proceed with your question. 35:36 35 minutes, 36 seconds Due to no response, a reminder to all the participants, you may press star and one to ask a question. 35:57 35 minutes, 57 seconds A reminder to all the participants, you may press star and one to ask a question. 36:09 36 minutes, 9 seconds We have the next question from the line of Lakshmi Narayana, an individual investor. Please go ahead. 36:17 36 minutes, 17 seconds Hi. Uh good evening gentlemen. Uh my first question is on the margins. Uh the AITA margins came in at 21.5%. 36:25 36 minutes, 25 seconds So 8 quarter low. Can you walk us through segment three? Uh you know the 36:32 36 minutes, 32 seconds margins held up in diabetes segment and also the partnerships. 36:37 36 minutes, 37 seconds Uh also uh exports where exactly uh what was the reason for this? It's an 36:45 36 minutes, 45 seconds eight quarter low. That is my first question. Second question would be 36:52 36 minutes, 52 seconds um what are the 3 to five year um expectations from the partnership business in terms of uh CNS OE market 37:01 37 minutes, 1 second share gains or uh profit growth from these initiatives because um it was 37:08 37 minutes, 8 seconds never clear to us investors um about what management is trying to do here or what exactly the targets are 37:17 37 minutes, 17 seconds over a medium medium to longterm time frame 3 to 5 years. So those are my two questions. First is on the AITA margin 37:24 37 minutes, 24 seconds decline. Uh uh can you assure us that uh the margins in diabetes and uh 37:31 37 minutes, 31 seconds partnership business are intact and it's only negative leverage or exports that was the reason that's what we are waiting to hear. And uh second of course 37:39 37 minutes, 39 seconds the long-term expectations of the uh partnerships uh what do you expect from there in terms of gains market gains and profitability. 37:49 37 minutes, 49 seconds Thank you. 37:52 37 minutes, 52 seconds So I I I will start with uh with the margin. So we we we I'm sorry we are not allowed to to give you know u the the 38:01 38 minutes, 1 second detects by by business they say between the partnership in term of merger. So the impact in uh I think you know when 38:09 38 minutes, 9 seconds you look to the full year uh they we kept almost almost the same. So the quarter as mentioned you know was 38:17 38 minutes, 17 seconds impacted mainly more by phasing rather than other change. So when we look to the total business uh I think 38:25 38 minutes, 25 seconds exceptionally I think you know for this year we we are flat or uh because all this transformation that that happened 38:34 38 minutes, 34 seconds uh it's more than uh other things so uh so this is regarding the margin regarding the partnership I think you 38:42 38 minutes, 42 seconds know uh it's a strategic uh partnership that we are signing here and we have even a team following you know this 38:49 38 minutes, 49 seconds partnership so we are looking for growth from this partnership and we are looking to for patients in a tier two and tier 38:58 38 minutes, 58 seconds three and I think you know the investment that is done by by our partners is uh is giving us uh you know 39:06 39 minutes, 6 seconds the comfort uh that they will do better than what we were doing in the past. So we we look to the forecast and we look 39:15 39 minutes, 15 seconds uh you know in the in the investment that they are doing. Um I think you know uh we are expecting growth from from the partnership. 39:24 39 minutes, 24 seconds Taking out again you know any one off uh or um um movement of the stock that will 39:33 39 minutes, 33 seconds not be uh something that we we we we control we we have to but when we look to the you know the data in the market I 39:43 39 minutes, 43 seconds think you know the growth will be there from from the different partnership. 39:47 39 minutes, 47 seconds Just adding if you look at the IQIA data uh you will see that there was a 5% growth by by if you look at the 39:55 39 minutes, 55 seconds portfolio given on MQ cardio and OAD there is a growth happening despite of the transformation despite of the 40:02 40 minutes, 2 seconds changes there is a singledigit growth which can get better uh if if the focus is on as we say the footprint of mure or 40:10 40 minutes, 10 seconds supply is much better and higher than ours and the the key is about the threshold which we can create in the tier to NT market. So plus 5% growth is 40:19 40 minutes, 19 seconds is a good starting point and I think we can we can strengthen on it as we move forward. 40:27 40 minutes, 27 seconds Sure. Thank you and uh all the very best. Thank you. Thank you. 40:35 40 minutes, 35 seconds Thank you. We have the next question from the line of Manish an individual investor. Please go ahead. 40:44 40 minutes, 44 seconds Hello sir, I'm audible. Yes. Yes. Yes. Hello. Yeah. Hi. Hi. Hi. Good evening. 40:51 40 minutes, 51 seconds Good evening. And sir, I have a query. 40:54 40 minutes, 54 seconds You know, I'm an individual investor. As a layman term, can you explain what's happening with the partners? Why is the revenue declining? 41:04 41 minutes, 4 seconds And when do you think it will stabilize? 41:08 41 minutes, 8 seconds Yeah. Um because we are growing in sorry. 41:14 41 minutes, 14 seconds So as as we you know yeah thank you thank you for your your question. So uh the partnership as mentioned you know uh 41:23 41 minutes, 23 seconds I think you know is in term of growth taking out the stock effect or one off is growing as per the expectation as 41:31 41 minutes, 31 seconds growth uh the impact is coming you know there are certain uh you know close of the contract where we we have 41:39 41 minutes, 39 seconds to ship certain uh certain level of inventory that will fluctuate and it will continue to fluctuate. So uh that's 41:46 41 minutes, 46 seconds what is impacting from one quarter to another but if you look to the full year it was stabilized it's almost flat so 41:53 41 minutes, 53 seconds it's minus 2%. Uh so it's stabilizing uh the major impact 42:00 42 minutes is coming from the fluctuation of the inventory that is shipped based on the certain frozen period from from the 42:07 42 minutes, 7 seconds partner. But all you know if you take the partnership taking out you know any uh one off or inventory uh impact or uh 42:17 42 minutes, 17 seconds replenishment the partnership is is is growing as per expectation. 42:25 42 minutes, 25 seconds Okay. So if my second query is that if you check the diabetes is growing double digit and we are having some issues with 42:32 42 minutes, 32 seconds the partnership. If we don't if we did not have that what would have been the growth for example if everything went well 42:40 42 minutes, 40 seconds now everything there's a problem we grow 4% because of the partner if if for example everything went went well what would have been the growth 42:48 42 minutes, 48 seconds yeah taking out all you know all the oneoff and the inventories uh impact I I think 42:57 42 minutes, 57 seconds it's it's 4% growth yeah I understand that but I'm saying that if there was no impact we would 43:06 43 minutes, 6 seconds have grown something 4 plus X right what was what would it be 4 plus X it could have been 8% 10% 12% if there 43:15 43 minutes, 15 seconds was no impact any idea any estimate on that 43:27 43 minutes, 27 seconds I think the question is that as diabetes continue growing and we taking the one off issue shoes with I see 43:34 43 minutes, 34 seconds what have been the uh overall growth uh yeah yeah good question I'm sorry that I I didn't catch the the question yeah so 43:41 43 minutes, 41 seconds if we we are 6% yeah it should be a kind of four five% yeah yeah so if you look at the diabetes 43:50 43 minutes, 50 seconds market right growing by plus 6% and add if there was no the frozen period the replenishment of the stock at the 43:58 43 minutes, 58 seconds apartment level that 6% would have been plus+ right? Uh for for the full year and for the quarter with person diabetes 44:06 44 minutes, 6 seconds and no impact on on the replenishment and the and the other aspects this could have been a double digit growth. 44:15 44 minutes, 15 seconds Okay. So now your the third query is sir not a forward looking statement but every as 44:22 44 minutes, 22 seconds per your comment if everything goes all good we might go by double digit. Is my understanding correct? 44:32 44 minutes, 32 seconds No pressure. We will try what what our investors and shareholders are telling. 44:36 44 minutes, 36 seconds But you know there is always volatility uh in the market with dynamics changing. But we'll give our level best. 44:43 44 minutes, 43 seconds Yeah. But if you look at the Yeah. If you look to the market, I think you know it will be you know double digit aggressive. 44:52 44 minutes, 52 seconds Yeah. So yeah if you take out everything. 44:55 44 minutes, 55 seconds Yeah. As I say with the market dynamics what what we are setting in we should we should always look for the best but uh 45:02 45 minutes, 2 seconds we'll wait how future awaits in terms of the opportunities for us 45:13 45 minutes, 13 seconds yeah just one point I mentioned you know the at the beginning of the call that this fluctuation will continue uh in 45:22 45 minutes, 22 seconds 2026 so uh we are expecting that this partnership will grow up but the the you 45:29 45 minutes, 29 seconds know this fluctuation will continue uh till 26. 45:35 45 minutes, 35 seconds Yes. So as a just uh what is the thumbs up to San India uh we as a retail investor uh are very happy with it 45:42 45 minutes, 42 seconds because you have always been uh retail investor friendly always had good dividend qualities and all. So we just 45:50 45 minutes, 50 seconds uh wish that you continue going with double digits so that we can grow along with you. 45:58 45 minutes, 58 seconds Thank you. Thank you. 46:05 46 minutes, 5 seconds Thank you. We have the next follow-up question from the line of Vishal Maninda from Systematics Group. Please go ahead. 46:13 46 minutes, 13 seconds Yeah. Hi, thanks for the followup. Uh on uh just one clarification on the partnered portfolio. Uh so wanted to understand is it fair to assume that 46:22 46 minutes, 22 seconds your growth on the partnered portfolio would be the volume growth that your partner generates plus the WPA linked inflation that you can charge on the 46:30 46 minutes, 30 seconds supply price. Is that is that the right way to think about it? 46:35 46 minutes, 35 seconds Yeah. So depending on the product so it will be the volume growth plus uh WPI for uh the NM product the control 46:43 46 minutes, 43 seconds product and for the uncontrolled I don't know if we can call them control products they have the ability to increase the prices till 10%. 46:53 46 minutes, 53 seconds Uh so for for the non NLM products it would be in line with the MRP increase is that right? Yeah, exactly. Exactly. 47:02 47 minutes, 2 seconds Exactly. 47:03 47 minutes, 3 seconds Understood, understood. And on solici wanted to understand if that is if that also comes in a reusable pen uh like we have for lantus. 47:16 47 minutes, 16 seconds No, for now the the solqua is currently in the soloar which is the uh disposable set. 47:25 47 minutes, 25 seconds Okay. Would you are you considering getting that into reusable version? 47:30 47 minutes, 30 seconds Yes, you are right. We are considering bringing the reusable pen. 47:35 47 minutes, 35 seconds India is one of the pioneer market in term of cartridge and the reusable uh pen and even the group we they are uh 47:44 47 minutes, 44 seconds you know changing their strategy based on on India. So they are more for uh for reusable pen for uh you know u for uh 47:53 47 minutes, 53 seconds for the environment reason as well. So this is the project is is in progress and I hope that it will happen in the next upcoming years. 48:03 48 minutes, 3 seconds So maybe FI27 or FI28. 48:10 48 minutes, 10 seconds We are working on the business case. Um okay right and just uh if you could share uh 48:17 48 minutes, 17 seconds whether there was any benefit that the company got from no one discontinuing their pen versions of human insulin. 48:26 48 minutes, 26 seconds So did Lantas get any benefit or your insummen human insulin versions got benefit from that? 48:36 48 minutes, 36 seconds I think the overall analogs got benefit of moving from human to analog. So we were party of it. Uh that's why you see 48:44 48 minutes, 44 seconds a plus 6% overall and 11% growth especially driven by the double digit growth from Tojo and Solqua and also a 48:51 48 minutes, 51 seconds single good digit growth coming from Lantis. So it's a market which is moving and and and these kind of uh you know 48:59 48 minutes, 59 seconds nudges help in terms of moving the market to innovation. 49:03 49 minutes, 3 seconds And would you have a sense on how how the market is uh currently like what or if you could just share what number of 49:11 49 minutes, 11 seconds patients are using Tojio and Lantas uh just Tojio and Lantas for for your brands number of patients. 49:19 49 minutes, 19 seconds Yeah, it would be very it would be very difficult because uh we get Ike data only in the private segment. We don't get the data in the public segment. So 49:28 49 minutes, 28 seconds bifurcating toioa and lantis will be little difficult as of now. 49:34 49 minutes, 34 seconds Not bifurcating put together uh lanttology put together what would be a number number of patients. 49:43 49 minutes, 43 seconds Yeah, we need to calculate that. 49:45 49 minutes, 45 seconds We will come back to you. We'll come back to you on that specific question. 49:49 49 minutes, 49 seconds Total new patients versus patients continuing on the in portfolio. We can we can answer it back. Yes. Thank you for the question. Great. Yeah. 49:57 49 minutes, 57 seconds Thank you. Thank you. That's all for my Thank you. 50:03 50 minutes, 3 seconds Thank you. We have the next follow-up question from the line of Lakshmi Narayana and individual investor. Please go ahead. 50:16 50 minutes, 16 seconds Mr. Lakshmi Narayana, please proceed with your question. 50:23 50 minutes, 23 seconds Hi, thank you for uh letting me uh with one more question. uh because of the the 50:29 50 minutes, 29 seconds GLP1 drugs etc. in our entire insulin portfolio uh did we see faster growth in 50:36 50 minutes, 36 seconds soloqua versus the the I mean I know you said double digit growth for solo 50:43 50 minutes, 43 seconds uh but that was for the quarter or was it for the school year? My question is basically are the 50:52 50 minutes, 52 seconds isol gaining uh at the at the expense of uh others. 50:58 50 minutes, 58 seconds I think it's for both if you look at the quarter and for the year and as I said I think uh we should take the advantage of the shadows of GLP1 uh and try to to 51:08 51 minutes, 8 seconds maximize on that with the uh fixed dose combination coming in with both uh Gargene along with the along with the 51:16 51 minutes, 16 seconds GLP1 and remember I think there are p patients who are uncontrolled on ODS uncontrolled on basil insulin um there 51:25 51 minutes, 25 seconds will be uh another option which is available for these patients to get on. 51:29 51 minutes, 29 seconds So has unique USPS basically controlling not only diabetes but also you know that with insulin usage there is an increase 51:37 51 minutes, 37 seconds in the weight. So Liqua provides uh weight neutrality with better control. 51:42 51 minutes, 42 seconds So that that's a unique feature what solqua brings in with very low or no hypoglycemia. 51:49 51 minutes, 49 seconds Sure. And if one last unis may be allowed. uh we have heard that there was some uh disruption in land of 51:57 51 minutes, 57 seconds availability especially in Maharashtra uh in urban Maharashtra and uh this was 52:04 52 minutes, 4 seconds based on a informal survey of a few diabetists etc. uh was that uh uh 52:12 52 minutes, 12 seconds rectified or uh how do you uh what do you attribute that to? 52:19 52 minutes, 19 seconds Yeah, I don't think it was uh dis disruption which uh really made any difference. Uh 52:26 52 minutes, 26 seconds we had enough stock for supporting the patients on the therapy. Um and we we we we we have enough stock in terms of 52:34 52 minutes, 34 seconds continuity as well. So if it was I think it was oneoff maybe reason of uh sending the stocks to the respective 52:41 52 minutes, 41 seconds distributors to supply in that respective market of Maharashtra but otherwise uh I haven't heard and neither we we we we have enough stock and 52:50 52 minutes, 50 seconds there's a continuity of supplies for Lantis and other products as well. 52:54 52 minutes, 54 seconds Sure. Sure. The reason I brought it up was one of the one of the senior most uh 25 plus years experience he was saying 53:02 53 minutes, 2 seconds he he stopped writing planters uh because the patients would say it's not available. I was just respecting to that. 53:11 53 minutes, 11 seconds Yeah. 53:13 53 minutes, 13 seconds Anyway, thanks for sharing the information. 53:16 53 minutes, 16 seconds Yeah. Thank you. Don't hesitate to contact us in such case. Yeah. 53:28 53 minutes, 28 seconds Thank you very much. As there are no further questions from the participants, I now hand the conference over to Mr. Deeper Kurora for closing comments. 53:37 53 minutes, 37 seconds Thank you so much. I think for an open uh debate and discussion. Um we really enjoyed and I think you as well. uh I 53:45 53 minutes, 45 seconds would say I think just key path forward again looking into that we have to focus on the growth operational efficiency is 53:52 53 minutes, 52 seconds important for us stabilizing the partnership to grow and last but not the least now maximizing on the transformation year which was very 53:59 53 minutes, 59 seconds pivotal to bring back sustainable and profitable growth as we move forward so thank you again for uh hearing us and uh 54:07 54 minutes, 7 seconds being a key stakeholder for for the growth and partnership with Senopi thank you thank you so Thank you. 54:15 54 minutes, 15 seconds Thank you members of the management. On behalf of Senophi India Limited, that concludes this conference. Thank you very much for the quality of the 54:23 54 minutes, 23 seconds questions. Thank you for joining us and you may now disconnect your lines. Thank