Innova Captab (NSE:INNOVACAP) Q1 2027 Earnings Call

0:00 Ladies and gentlemen, good day, and welcome to Innova Captab Limited Q1 FY 'twenty seven Earnings Call. As a reminder, all participant lines will be in listen only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Please note that this conference is being recorded. This conference call may contain forward looking statements about the company, which are based on the beliefs, opinions and expectations of the company as on date of this call. These statements are not guarantees of any future performance and involve risks and uncertainties that are difficult to predict. Today, from the management side, we have with us Mr. Vinaylo Hariwala, Managing Director Mr. Lokej Vasim, Chief Financial Officer and SGA Investor Relations Advisor.

0:52 I now hand the conference over to Mr. Vinaylo Hariwala, managing director of Innova Captab Limited. Thank you, and over to you, sir. Thank you. Good morning, everyone, and thank you for joining us today. It is my pleasure to welcome you all to Innova Captab Q1 F 'twenty seven Earnings Conference Call. We have started financial year 'twenty seven on a strong note, delivering strong year on year growth of 3433% in revenue and EBITDA, respectively, for the quarter. The performance is broadly in line with growth trajectory we have outlined in the year and provided provides further confidence in our ability to deliver on our guidance of 20% revenue growth and profitability outpaced revenue for FY twenty twenty seven.

1:47 This performance reflects the continued strength of our diversified business model, disciplined execution, sustained customer traction across the CDMO and branded Zenlix business. Growth during the quarter was supported by steady order flows and expanding product portfolio and deeper engagement with both existing and new customer. Our continued focus on operational excellence, manufacturing efficiency and stringent quality standard has enabled us to strengthen our competitive position and effectively address the evolving requirement of our customer across domestic and international market. Coming to our CDMO business. The CDMO business reported revenue of $3.28 crore during Q1 FY 'twenty seven, reflecting a year on year growth of 32%.

2:36 We continue to witness healthy demand across our customer base, and our focus remains on strengthening relationship with our existing customers, increasing our share of business with them and simultaneously adding new customer across therapeutic category and dosage form. Over the years, we have built a broad and diversified product portfolio supported by strong formulation development capabilities. We continue to invest in product development and complex dosage capabilities, which will enable us to address a wider range of customer requirement and further strengthening our position as a trusted CDMO partner. Our manufacturing capabilities remain a key competitive strength. With technology advanced facilities, increasing automation, robust quality system and a scalable manufacturing platform, We are well positioned to support the growing requirement of our customer while maintaining consistency, efficiency and compliance.

3:34 Coming to our Branded Genetic business. The Branded Genetic business continued to maintain healthy momentum with revenue of INR 142 crore, growth of 39% year on year basis. Our strategy remains focused on strengthening our financing existing market and gradually expanding to newer domestic and international geographies. We continue to broaden our product offering and deep... Deepen market penetration supported by our integrated manufacturing and product development capabilities. Over the medium and long term, we believe the branded generic business provides us the significant opportunity to further diversify our revenue base and strengthen our presence across the key markets. Our long term focus remains firmly aligned with building Innova Captab into a future ready scalable pharmaceutical organization while maintaining a strong focus on disciplined capital allocation and sustainable value creation.

4:33 Our strategy priorities remains clear. Improving capability utilization across our manufacturing facility, expanding our capabilities in complex dosage form, strengthening our R and D platform, deepening customer relationship and expanding our branded generic presence across key market. At the same time, remain committed to deploying capital in a disciplined and prudent manner with investment being prioritized towards opportunities that offer optimum return, strengthen our capabilities capabilities and competitiveness, support our long term growth objectives. We remain confident about the opportunity ahead and are committed to creating sustainable long term value for all our stakeholders.

5:18 With this, I would like to hand over to call to our CFO, Mr. Lokit Wazee, to take you through the financial performance for q one FY twenty seven. Thank you. Thank you, sir, and good morning, everyone. I will now walk you through the financial highlights for Q1 FY 'twenty seven. Q1 FY 'twenty seven highlights. Our Q1 performance reaffirms the growth trajectory, and we remain confident of delivering on our strategic growth objectives. With healthy demand across our businesses and continued execution focus, we believe the momentum is sustainably in the future also. Consolidated revenue for the quarter stood at INR 470.9 crores, registering a strong 34% year on year growth, supported by strong demand across both of our business areas.

6:11 Exports contributed 32% of our revenue during this quarter, reflecting the continued progress we are making in expanding our presence across international markets. Our CDMO business reported revenue of INR 328.7 crores, growing by 32% year on year. The growth was driven by an expanding product portfolio, addition of new customers and deeper engagement with existing customers, resulting in higher wallet share. Our branded general business recorded revenue of rupees 142.2 crores, representing a growth of 39% year on year, supported by continued traction across our key markets. On the profitability side, EBITDA for the quarter stood at INR 75.1 crores, a growth of 33% year on year with a margin of 16%.

7:05 Profit after tax for the quarter came in at INR 44.1 crores, reflecting a growth of 42% year on year. With this, I would like to conclude our opening remarks and open the floor for question and answers. Thank you. Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and 1 on their touch tone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while use... Asking a question. Ladies and gentlemen, we'll wait for a moment while the question queue assembles. The first question comes from the line of Achal Maheshwari from Nareedi Investment.

8:09 Please go ahead. Hello, sir. I just had two questions. So can you... Is it possible to give the breakup for our branded business between domestic and international branded? So at an overall level, while breakup... Further breakup in a business area wise, we normally do not track. But at an overall business... Overall consolidated revenue basis, our domestic business is around 70%, and export business is around 30%. Okay, sir. And just what is our current capacity utilization for our newly commissioned Jammu facility? So Jammu Jammu plant has just started ramping up. So if I see this quarter at an annualized basis, we are looking at a cap... Capacity utilization around 25 to 30% on an annualized basis based on the performance of this particular quarter.

9:08 And, sir, what are the asset terms that we expect from this particular plant? So at an optimum level, we expect that the asset term from this plant would be north of three x. Okay, sir. Thank you so much. Thank you. Participants who wish to ask a question may press star and one. The next question comes from the line of from Magnolia Financial Services. Please go ahead. Hello? Yes, ma'am. Please go ahead. Yeah. Thanks for the opportunity. Congratulations to the team for the good set of numbers.

9:55 I had a couple of questions. My first question is regarding the net working capital. Like, management was, like, aiming for the historical levels following the January ramp up. So what is the net working capital of May I request you to please use the handset as the... As your voice is not clear? Hello? Hello? Yes. Please go ahead. Yeah. I was asking about what was the net working capital cycle as of 06/30/2026? And also, are the inventory holding days and trade receivables normalizing back towards the historical levels following the Jammu ramp up?

10:50 So see, as far as our Jammu ramp up is concerned, the initial working capital has already been built up and factored in our initial ramp in this previous year itself. And as of now, we are maintaining our expected cash conversion cycle of ninety days plus minus ten days for our entire group level. Okay. Okay. Thank you, sir. And one more question, like how many new products or formulations were commercialized in first quarter? And what is the planned R and D spend percentage for sales at the remainder of the FY 'twenty seven? So our overall R and D spend range between around point seven to one percent of our total revenue in general. And at the same time, see, there is a continuous flow of new product developments and r and d keep on working on new products with a very firm timelines to be commercialized in short term, midterm, and long term.

12:00 Okay. Okay. Thank you so It's normal it's a normal course of business in which new products depending upon customer and market demands are introduced to buy r and d through proper study and research. Okay. Okay. Thank you so much. That's all. Thank you. The next question comes from the line of Deepak Ajmera from IGE India. Please go ahead. Yeah. Hi. Am I audible? Yeah. So what will... What is our revenue from the Jammu facility in absolute term if you can mention in this quarter, specifically? So this quarter, we have achieved a revenue of around 107 crores from. Got it. And what was the revenue last quarter?

12:52 Around 90 crores. Okay. You mean the ramp up at Jammu is a bit slow? No, sir. So Jammu Jammu ramp up is pacing up the way we expected. So we should also consider that normally, quarter... If there's a seasonal impact of the entire year and June... From, see, from quarter two onwards, the normal healthy season start picking up. So in coming quarters, we are expecting the Jammu plant should also ramp up as we speak. Thank you.

13:47 The next question comes from the line of Pavitra Jayvant from Time Investor. Congratulations on the numbers. I just wanted to know how should we look at possible conflict of interest between your CDMO business and your branded generic business. Is that something we should think about? So you're talking about the contribution of these two business area in our overall revenue growth? No, sir. I'm just talking about a conflict of interest. Like, for example, if you have the same product that you're making for your CDMO clients as well as under your own branded generic business, would that be considered a conflict of interest?

14:32 How would that work? See, while we are having two front end business areas, CDMO as well as branded and lead business. So from a plant perspective, from a manufacturing capability business, this... Our brand business is just considered as a normal CDMO customer by our plant. So from that party... Particular viewpoint, there is no, I would say, additional treatment or special treatment for our brand business. So from a manufacturing capability business, they are just producing for both business areas. And at the same time, it's a competitive industries and whatever product that has been transferred from manufacturing capability... From manufacturing plants to our brand is in the business are transferred on an armless basis.

15:19 And in an open market, it is an open competition. And at the same time, it's a normal industry practice, accepted practice to have that CDMO business is having also a branded journey business. So normally, it doesn't... There is no conflict of in... Interest per se having both CDMO and less branded journey business. Okay. Thank you, sir. Thank you. The next question comes from the line of from ICICI Securities. Please go ahead. Hello, sir. Am I audible? Yes, please.

16:05 Congratulations to the management for a great set of numbers. I just have one question on the gross margin front. So we have seen a Y o Y dip in the margins. Could you please throw some light on it? And how do we see the trend for the full year? See, the the movement in gross margin is a combination of our overall business mix. So it is just a 1%, one and a half percent down from year on year. So which is in in the normal course of business and mainly due to the contribution of our different business mix in overall. Correct. So on a on a overall year basis, we should not expect a major deviation.

16:56 Yes. It should it should... So as of now, we have posted a gross margin of around 35.5%. So our overall at a full year level, they should maintain between this range plus minus 2%. Okay. Got it. Thank you. Thank you. The next question comes from the line of Ankit Shah from Canada Rubaco AMC. Please go ahead. Yeah. Hi, sir. Thanks for the opportunity, and congrats on My a great first question is related to your growth. So we managed a 34% Y o Y growth. Can you break it up between volume and realization? And also excluding Jamu, what was the volume growth? You could give some sense.

17:47 Would like Anjiji, while your voice was not that audible, you were just asking the... That 34% of revenue growth breakup between existing and Jamu. Am I right? Yes. And also volume volume growth as well. Okay. Okay. Yes. Yes. Yes. So volume growth at overall level on a revenue basis, if I break this growth into two parts, volume is around 22 growth year on year at an overall manufacturing capability level. And the rest of the growth has been fueled up by favorable change in products slash sales mix and favorable pricing. Right. And of this 22%, I mean, the just from what... What they... How much would have been the volume growth? I think it should be in the range of 12 to 14%.

18:41 Got it, sir. Secondly, you gave a sense on the revenues from Jammu, but now how would the profitability look? I mean, are we now positive EBITDA margin on that? Yes, sir. So we are pleased to inform that this quarter, we have posted a positive EBITDA for Jammu to the tune of 1 to 1.5 crores. Okay. Okay. Got it. Thirdly, there is a rise in other expenses on a y o n q on q basis. So any any cost particularly given, especially in light of, you know, global supply chain disruptions or anything you would like to call out, sir? So, Ankit, if you see from a percentage basis, my other expenses are slightly reduced on year on year basis. But, yes, overall cost has improved, which is commensurate with the increase in my operations also.

19:35 And, yeah, in... As far as that conflict is concerned, there was slightly increase in logistics cost, which will be duly factored in our overall data period of time and in overall revenue scenario also. It was not that material. Oh, okay. Got And so in the light of the strong performance in this quarter, do you still maintain the guidance of, like, 20% plus growth, or is there room to upgrade that for this year? So,, whenever we say growth for projectivity is always on a volume basis. So as of now, we are maintaining that we are growing north of 20% on volume, and we would like to maintain that we would... We are very much confident that we should be growing on a 20% plus volume growth in coming period also.

20:29 Okay. Okay. And the business mix tailwinds that should continue for the coming quarters as well, or was there anything one off in this quarter? Sure. So, see, from a from a overall business perspective, while our front ending team teams are working on bringing value to the table and doing value addition to overall kitty, but since there are other macro macro, political and geopolitical reasons which keep on changing. So we will involve as and when the... These things unfolds. And lastly, can you give any updates on the... About the CapEx and also CapEx guidance for this year and next?

21:19 So as far as our general CapEx is concerned, it will go in normal course of business for both maintenance as well as our certain growth CapEx to help augment our overall capabilities in our existing manufacturing plants. And in addition to this, as we submitted also regarding that, but but the new plot that we bought last year, so the plan is of now is on same line, and we are working still in... Working to firm it up. So as and when we will firm it up, we will come to the market with more complete plan. Got it, sir. Thank you, and wish you all the best. Thank you, Jee. Thank you. You. The next question comes from the line of Pritesh Chera from Lucky Investment.

22:10 Go ahead. Sir, just on the margin bridge. So Jammu margin is about one to one and a half percent, which means on Jammu margin is plus 20%. Now, you know, we always, in our growth phase, would have a situation where there'll be a new plant which will come up. So let's say in this space, where do we see the overall margin heading before the new plant comes in? So, basically, if you see the demo extension is like a... Is a large extension when you see the existing base. When we done the 500 CapEx, that time, let's say, the ex demo CapEx is also, like, a 500 growth. So it's a 100% FCR extension to the existing one.

23:08 So the future expansion could not be in a data entry that in a single sort, the thousand words is not invested. So it could be like in a in a of, like, 200 or two fifty. So on the base of the 500... Expansion was 500 crore. Let's say if we are doing a $2.50 crore expansion, then the the operational expenses or the depreciation will not be that that that material for the overall console balance sheet. Right? So the question number two, that once the the...

23:59 Start giving a good EBITDA margin, then the the overall margin that that is at a level of 15 to 16% should expand. Your margin is 20% today. So Yeah. Should the should the overall company level margins should move eventually towards 18 to 20% number? So for margin guidance, we always maintain that 15 to 16 plus percent plus minus 2%. Right? So that that... Because of the growth engine as well as the other things. Right? So the... If the one... The the new margin is maturing and the the new factor in CapEx, right, can have the one or 2% drag. Right? So assuming 20% is is very high expectation, I think it's 17, 18 is 18 is the fair number.

24:51 Okay. So, basically, it's a 20% consistent volume growth with an margin improving to 18% in the Mhmm. In whatever... In the forthcoming years is where the business model sets in. So the... Our statement is that 20% volume growth vis a vis 20% sales growth and let the margin should put put the margin should be... Let you analyze that at least to the where the margin should go. Yeah. Okay. Okay. And just last question. On the utilization side, so the current asset, how much more volume growth is possible from the whole combined assets? So if you... Is it a two year volume growth, three year volume growth that you have with you?

25:43 So so in the last one, can also be maintained that line that... So where the... From from where the future growth will come. So one thing is that the existing capacity with the volume growth will saturate. Right? So we need to extend the existing capabilities. Right? So let's say if we have the general tablet capsule or or liquid, we need to expand in that area. The other is that we can have... We have the opportunity where we are not present currently. Like, if you see the pharmaceutically, the large bouquet of the large plate of the formulations, dosage form, and therapeutic category Yeah. Dedicated sections. Right? And we are present almost in, let's say, six or seven categories. Right? So we have that in in the in the past also, we extended one by one in the the other area, and that successfully, we have created a good revenue growth because of that as well. So our... Both of the engines will work that one is that let's extend where we are strong. We are reaching to the saturated capacity.

26:57 Let's extend in that area. And number two, let open up the new dosage form or the new therapeutic category area, right, where we are currently not present. Right? Okay. So both the engine can help the company to grow or maintain this 20% plus CAGR in the future. Okay. So there will be ongoing CapEx in certain categories which you already saturated this year. Correct? Despite Jammu facility despite Jammu facility having... Being operated at 30% or 25% utilization because those categories are not there in Jumbo. Correct? So you need to invest. Plus, if you add any new category, then there'll be an ongoing investment for that new category. That's all we have to assess.

27:43 Yes. Yes. Yes. So let's say, Jammu, we have expanded in the category of Phenom, Beta, and CEFA, where we have a sufficient capacity Yeah. Looking next two to three years. Right, where we we we we can have the terms in... It is like a general facility of the portfolio... Portfolio. Right? So in in that category, we need to expand all the basket extension extensions. Alright? So whenever we will zero on that front, any statistical concurrent move will be there with the board approval. We will definitely inform the street, and we'll come back to... With that detailed proposal. Can you give out your growth CapEx, annual growth CapEx number?

28:29 As of now, what is your annual growth CapEx number and annual maintenance CapEx number for two years? So you're talking about previous year? No. No. It's forthcoming year. FY '27 and FY '28. What will be your growth CapEx and what will be your maintenance CapEx? Yes. So my general maintenance CapEx will be there is of 20 to 25 crores. And Mhmm. Growth CapEx, by by when I'm saying growth capital, it would be only for my existing capability augmentation or certain bottleneck. It should be in the range of same range of $20.30 crores. Okay. Until you announce a bigger, large, newer category or newer grid. So this is basically a internal debottlenecking or replacement of the equipment with a better efficiency or doubling the capability of the... From the equipment per se. Right? Whereas a few CapEx goes in the maintenance replacing of the aged asset. Right? So there's two already explained by the LOCADE. And whenever there will be a green green field project expansion, we'll definitely inform the state.

29:41 Okay. Thank you very much. Thank you. Thank you. Participants who wish to ask a question may press star and 1. The next question comes from the line of from Crescent Capital. Please go ahead. Hi, sir. Am I audible? Yes, please. Right. Thank you for the opportunity, sir, and congratulations on a great set of number this quarter. So I just wanted to get an understanding the export mix in our revenue has been growing quarter on quarter since the last two quarters. And excluding the move, our margins are close to 20% as of now, which you... You're saying is a one off case. It's not sustainable. It's sustainable. It's close to 18%.

30:27 Would it be fair to assume that given that we have cost this model, even the fact that we're achieving an 18% margin? That's largely because exports export business of ours that we have, that's a higher margin business. And because of increasing contribution from it, our margins being higher than other CDM players out there. Would that be a fair assumption, sir? See, once our revenue and margin profile is a combination of a complex business area as well as geographical markets, and there is certain margin profile for each and every business. So that's why we always... Because... And in quarter to quarter and period to period, depending on the market and seasonal conditions, these contribution may try to keep on changing from period to period.

31:16 That's why we always maintain that on an average level, our margin profile will remain fifteen and sixteen blended level, contribute... Having a contribution all those business areas and manufacturing capability, plus minus 2% to factor all those volatilities. So that's so that's why we maintain a statement that, you know, on a running basis, on a normal basis, our margin profile remain in the range of 15 to 16% plus minus 2%. Got it, sir. So so the ex Jumbo margin that you achieved this quarter, has that also been impacted because of an increase in API prices quarter on quarter given that our gross margin also, if you look at on quarter on quarter basis, our gross margin have also improved. So has that also contributed to our margins?

32:05 So as I committed it out of my revenue growth of 33, 34%, today, 22% comes from volume growth. So... And and it... And my existing capabilities also contributed to that growth. So it's a it's a combination of my getting... Optimizing my resources and getting a benefit of crossing that operating leverage. At the same time, ramping up of Jamu has also been contribution to overall scenario, but you're talking about. And, yes, since we maintain a cost plus model and transferring of our customer, there may be a certain element of that addition also, but not to add material as well. Okay. So given the gross margins have expanded, would it be fair to assume there's been some positive impact of API price increases in our margin this quarter?

32:55 And is this a general So so the API price is generally the pass through. Right? Rather than gain or loss, it is a pass through model. And when... What we can say that in in few cases, you can assume that... Or we can assume that we have the inventory in hand, so it can impact positively. In few cases, we have the sales order in hand, and we have... Don't have inventory where it can negatively impact us. So we don't speculate on on the API price. Generally, our focus is the business performance rather than the API prices.

33:42 In in a broad spectrum, our line is that we have the pass through model. Understood, sir. Thank you for the explanation. And, sir, on Sharan, I believe you achieved around $2.40 crores of revenue last year. How has the revenue growth been this quarter on a year on year basis? So there has been a seasonal impact on channel performance. And on a full year level, we expect that it will be continue to growing as our expectation of our organic business. Right. So around 20% year on year growth in. Organic business, we always maintain. It should be in early teens. Early teens. So how we are getting the 20% plus is is we have covered in our previous convuls as well that early teens from the base businesses and then the flavor... Top up flavor that comes from the.

34:40 That is the... How the company's strategy is to achieve 20% plus. Got it, sir. Thank you for that clarity. And, sir, I believe in the last quarter, we had also discussed that we are developing some semaglutide products. Has there been any new has there been any new development in the same this quarter? So the semas, what we have covered in the last phone call, the status is as is. We are closely watching our development, and the plant team is working on the batches. Got it, sir. Thank you so much for all the answers, sir. Wishing you the best of luck. Yeah. That's awesome. Me. Thank you. Thank you. Thank you. The next question comes from the line of Amrita Malu from Tunceri Investments.

35:27 Please go ahead. I know, sir. This is a question. Congrats on good set of numbers. I wanted some clarity on the Jammu plant margin profile. Like as the earlier participant asked that our current base business is already in 20% margin, but still we are guiding that our overall consolidated margin will range around 16% plus minus. So what is the like if I wanted to understand what's the Jammu plant's margin profile will be? So the margin profile will be in line with the base business margin profile. Once it will cross the breakeven line that is already done. So now we we we estimate that once the Jammu ramp up, then most of the margin will go and sit in the contributing margin at the company level.

36:25 So sir, the base business EBITDA margin this quarter is approximately 20% and our overall reported margin is 16%. And as you mentioned that we have already hit breakeven or actually positive in this quarter and as we expect ramp up, our general business margin, you mean to say, will come to 20% margin. But then you are not guiding for a So multiple times, have covered that our normalized margin, like, don't take that 20. Let's take it in a band of 70 to 80. Right? So the demo will also... Once the in that. 17 to 18% of the margin profile from the base of 16, we should upgrade towards two to 3% extension.

37:14 When the the start giving the contributing margin. Okay. Okay. And, sir, there are more few things like our the new plant at peak will do a revenue of around how much? INR 1,400 crores. That is an optimum revenue that anticipate at the utilization of 65% to 70%. Okay. And like as a margin which we are contemplating for Janu plant, like is it inclusive of the government incentive or that is over and above? No, no. That is already factored in our end to end overall profitability statement. Understood. Understood. I think for now, I'm done. I'll get back to you.

38:06 Next question comes from the line of Nitish Rege from Chris Please go ahead. Hello. Hi. Hope I'm audible. Yeah. Hi, Nitish. Go ahead. Yeah. So just one question. Q1 is generally a weak quarter, and we've done 22% volume growth. So so you expect better volume growth in the coming quarters? And should we basically assume more than 20% volume growth for this year? Yeah. So, Nitesh, in the last quarter, what the statement was at a 20% plus growth expected this year. So that is based on the volume growth only, keeping the price as a constant. Right? So this this after closing the q one and in mid of the q two, we hopeful...

38:58 Hopefully, we'll deliver 20% plus volume growth. On a year on year closing basis. The next question comes from the line of Siddhant Mantri from INNOVAC Investment. Please go ahead. Yes. Hi, sir. Thank you for this opportunity. I hope I'm audible. Yes. Yes. Please go ahead. Yes, sir. So I wanted to ask on the Jammu plant, how much visibility do we have, and what kind of timelines can we assume for a optimal level of utilization? So,, if you see how the business all around the...

39:50 Any facility is being developed, the... Even if you see your facility or the the plan for the Jammu. So it is augmented by, let's say, multiple domestic market customers then our presence in the other blue market, regulated market. So once the onboarding of the customer and, let's say, the product as well, right, customers audit, countries audit, one by one, it is clear, then the dodgier approvals or the product approvals is being done, then the... How the business grow at a steady state. So initially, we have started this facility in the January last year. We have... Our team have done a wonderful job. A lot of what it has is already being done. The plant has been fixed approved now the last year. Right?

40:48 And adding the flavor of the different out of the blue countries over and above that. Right? And we are expecting that in this financial year, by the end of this financial year, we may have the product approval from the different market also. So once that all come, then the formula one plus one eleven works. Right? So that that is how we can cross the thousand quarter revenue mark from the Jammu. Onboarding of the countries, products, customers, then customers' products. So everything works altogether, then the ramp up clearly will be visible. Yes, sir. That's that's very helpful.

41:34 And, sir, I want to ask at what level of, you know, steady state utilization should we be looking for the next leg of CapEx in maybe Jammu or Badi? At what level of utilization could Jammu reach by maybe this year or, you know, second half? So overall guidance, we don't want to give at a line item level. The overall guidance is 20% that's that's on the control company level. So is it possible that the H2 will be much higher growth for given that Jammu is ramping up and we have this visibility of newer products and newer geographies, almost everything in line.

42:29 So is that on the track? Yeah. Again, the same same line that we have already given you a string in the online line term ranges, then rolling up to the console level, we have given a fair estimation of the guidance. Alright. So so no. So we don't see any challenges in the ramp up. Right? So challenges will be always there, but we need to overcome from them. Okay. No. No. So my question was coming from So so that's why that's why I'm saying that it is it is it is not the easy job that the company can grow 20% freely... Easily. So challenges will be there, but we need to... Our team need to overcome from all these challenges and to prove ourselves that we can grow at 10 to 25%.

43:25 Right, sir. Right, sir. Definitely. So any any pricing pressure have we seen in this quarter? And if you could just throw some light on that? Can you please repeat your question, Siddharth? Sir, any pricing pressures have we seen on the API side or on... In in any of our products in this quarter? So this quarter, the pricing is is in towards increasing site? Okay. So that we are right back to pricing model or we So that is our pricing model is pass through. So we... At a certain level, we able to pass through that pricing to the customer.

44:14 Okay. Okay. Thank you so much, sir. All the best. Thank you. Thank you, sir. Thank you. Thank you. Ladies and gentlemen, due to time constraints, that will be our last question. And I would now like to hand the conference over to management for closing comments. Thank you and over to you. Thanks. Thank you everyone for joining us in this earning call. We appreciate your time and showing interest in our company. In case of any queries, you can get in touch with us or SGA, our investor relations advisers. We look forward to meeting all of you over the next earning call. Thank you. Thank you. On behalf of Innova Captab Limited, that concludes this conference.

45:05 Thank you for joining us, and you may now disconnect your lines.