Q4 25/26

May 25, 2026

Summary

FY 2026 revenue fell 8% as PI/API destocking offset strong contrast media growth. FY 2027 visibility is improving, with double-digit contrast media growth expected, while major capacity investments and uncertain logistics costs shape the outlook.

Good afternoon and a warm welcome, everyone, to Q4 and FY 2026 earnings call of Blue Jet Healthcare Limited. Please note the investor presentation and the financial results are available on the company website and the stock exchanges. Also, anything said on this call which reflects our future outlook or which could be construed as a forward-looking statement must be reviewed in conjunction with the risks that the company faces. The conference call is being recorded, and the transcript along with the audio of the same will be made available on the website of the company as well as on the exchanges. Please also note that the audio of the conference call is the copyright material of Blue Jet Healthcare Limited and cannot be copied, rebroadcasted, or attributed in the press or media without specific and written consent of the company. From the management, we have with us Mr. Shiven Arora, Managing Director; Mr. V.K. Singh, Chief Operating Officer; Mr. Ganesh Karuppannan, Chief Financial Officer; Mr. Sanjay Sinha, Deputy Chief Financial Officer. I would now like to hand the call over to the management of Blue Jet Healthcare Limited for opening remarks. Thank you. Good afternoon, everyone, and thank you for joining us today. FY 2026 has been an important year for Blue Jet Healthcare, a year where we continue to invest in building the foundation of our next phase of growth across manufacturing, R&D, and customer engagement. Over the last few quarters, we have remained focused on strengthening our position across our complex chemistry platforms while simultaneously expanding our operational capabilities and future growth infrastructure. From a business perspective, FY 2026 reflected a mixed operating environment across segments. While the API business was impacted by customer-side inventory normalization, the contrast media segment continued to demonstrate strong momentum and partially offset the impact. Importantly, despite near-term volatility in parts of PI segment, we continue to invest behind future growth platforms, customer engagement and capacity readiness. Encouragingly, as we enter FY 2027, we are seeing improved visibility across several parts of the business, supported by healthy customer engagement in CM segment and confirmed order visibility across select EI programs. One of the key milestones during the year has been the commencement of our Vizag greenfield expansion project. With the groundbreaking ceremony completed and the project activities now underway, the project represents a significant long-term growth platform for the company and is being developed in a phased manner to support future opportunities across APIs and intermediates. We believe the scale, infrastructure readiness, and strategic location of Vizag will further strengthen Blue Jet's positioning as a reliable global partner in complex chemistry platforms. Over the last few quarters, we have also continued to strengthen our development pipeline and R&D capabilities, which we believe will support the company's next phase of growth over the medium term. While FY 2027 will continue to be an investment-intensive year for the company, we believe underlying momentum across our core businesses remains encouraging. As validation activities convert into commercial supplies and new capabilities progressively ramp up, we expect our investments across manufacturing, R&D, and pipeline development to support the company's next phase of growth. Just to summarize, FY 2026 has been a year of strategic execution and platform building for Blue Jet Healthcare. As we move into FY 2027, we believe that the company is gradually transitioning from an investment and preparation phase into a broader commercialization and growth cycle, supported by expanding capacities, improving business visibility, and multiple emerging growth opportunities. Thank you once again for your continued support and confidence in Blue Jet Healthcare. I now invite Mr. V.K. Singh to share further operational and business updates, followed by the financial review from our CFO, Mr. Ganesh. Thank you, Shiven, and good evening, everyone. While FY 2026 was relatively flat from a revenue standpoint, we believe that this has been a foundational year for preparing Blue Jet and catapulting it into the next phase of growth. For a credible and differentiated CDMO, two elements are critical: manufacturing capacity and strong R&D capabilities. During the year, we made significant progress on both fronts. At Mahad unit three site, we are progressing well on the backward integration project for the key raw material within our contrast media portfolio. This project is strategically important as it strengthens supply chain reliability, improves integration, and enhances resilience against global disruptions. At the same time, we have commenced development activities at our Vizag greenfield site spread across approximately 100 acres. Vizag will form an important part of the Blue Jet's long-term growth roadmap. In phase one, we plan to develop dedicated manufacturing blocks across contrast media intermediates, high-intensity sweeteners, and pharma intermediates. The total CapEx that we envisage for Vizag projects is approximately INR 1,000 crores over a period of approximately three years. The investments being undertaken across the three sites remain closely aligned with customer engagement, future product opportunities, and long-term business visibility. On the R&D and CDMO platform strengthening front, alongside our manufacturing expansion, we are also strengthening on R&D and development capabilities. Our upcoming R&D center in Hyderabad, with a planned investment of about INR 40 crores, will focus on newer chemistry platforms, including peptide-related intermediates, GLP-1 linked opportunities, biocatalysis, and of course, a faster turnaround of CDMO development programs. This expansion is aimed at increasing our participation in innovator-led programs, including opportunities emerging from both the large pharma and the smaller bio segments. Encouragingly, the PI segment, which had witnessed inventory buildup over the last previous quarters, has now started normalizing, and shipment trends improving order visibility are evident. Over the last one year with regard to product portfolio and pipeline, we have significantly strengthened our product and development pipeline across multiple chemistry platforms. In the contrast media segment, we expect three to four new product launches during the current year, further expanding our participation across advanced intermediates within this space. Within the PI and CDMO segment, we have been tracking approximately 20 active RFPs, primarily across chronic therapeutic areas, including intermediates linked to GLP-1 programs and peptide building blocks. Encouragingly, we believe that two of these opportunities are expected to move into the commercialization phase during the current year. In addition, we are evaluating two high-conviction commercial stage opportunities which may potentially evolve into strategic platform entries, for which dedicated capacity is being factored into our long-term planning at Vizag. In the high-intensity sweetener segment, one high-volume product is currently under validation, and we expect trial quantities to be shipped over the coming quarters. With regards to sustainability and operational excellence, the focus in the company is high. Today, close to 70% of our energy consumption is supported through renewables, and the company is awarded the CII National Award for Excellence in Energy Management. With this, I pass over to my colleague, Ganesh, for the financial review. Good evening. I will now share financial performance for FY 2026. Revenues. Q4, we reported a revenue of INR 235 crore, an increase of 22% on quarter-over-quarter basis and a decline of 31% year-over-year basis. Our reported revenue from operations in FY 2026 of INR 947 crore is a decline of 8% compared to FY 2025. We will analyze revenues by product category. Contrast media. Q4, we reported a revenue of INR 193 crore, an increase of 55% on quarter-over-quarter basis, and an increase of 91% year-over-year basis. Our reported revenue from operations in FY 2026 full year of INR 495 crore is an increase of 23% compared to FY 2025. Despite higher goods in transit, our flagship product has increased volumes compared to FY 2025. Annual forecast from the customer has a mid-single digit growth for FY 2027. Our intermediate for NCE molecule commercialized in FY 2025 saw strong offtake in FY 2026. Based on the customer's forecast, we expect this performance to continue in the near term. Based on the current forecast, we expect this category will continue to have a positive momentum in FY 2027. Moving on to PI/API category. Q4, our reported revenue of INR 2.4 crore against a revenue of INR 40 crore in Q3 and against a revenue of INR 196 crore in Q4 FY 2025. Our reported revenue from operations in this category for FY 2026 full year of INR 298 crore is a decline of 35% compared to FY 2025. The decline in FY 2026 is predominantly attributable to intermediate for a cardiovascular drug due to de-stocking by the customer. Our participation in the supply network in FY 2027 of this innovator customer will enable us to normalize the growth and grow over the peak sale we had achieved in FY 2025. Artificial sweetener. Q4, we reported a revenue of INR 37 crore which is an increase of 43% quarter-on-quarter basis and a decline of 24% on year-over-year basis. Our reported revenue from operations in FY 2026 of INR 131 crore is a decline of 2% compared to FY 2025. This category faced pricing pressure from imports, and we will remain opportunistic. Gross margin. Our reported Q4 gross margin is 56% compared to 52% in Q3 and 55% in Q4 2025. For the full year FY 2026, our reported gross margin is at 54% compared to 55% in FY 2025. In FY 2026, rupee depreciation improved realization of exports and negated raw material price increase, which happened in the last month of the financial year, due to Iran war. The discussions are increasing with select customers on pricing and passthrough based on current geopolitical situation. Moving on to operating expense. With renewable energy source, the company has sustained electricity cost in FY 2026. Freight cost post March 2026 have increased, while the impact is not felt in FY 2026. Logistics cost in FY 2027 will have to be evaluated. With Hyderabad R&D going live in H2 2027, we expect investment in product development to increase in this current financial year. EBITDA. Reported EBITDA for FY 2026 is 31% against 37% for FY 2025. FY 2026 EBITDA has been muted by lower volumes in PI API category. Moving on to other income. Reported other income for FY 2026 is at INR 69 crores compared to INR 46 crores for FY 2025. This increase is due to exchange gain of INR 36 crores recognized this year. In addition, an income of INR 5 crore on account of insurance claim has been recognized. Note, the entire loss on account of the fire incident was booked as an expense in the year of incident. Profit after tax. Reported profit after tax continued to be healthy at 26% for FY 2026 against 30% in FY 2025. Moving on to CapEx. The total CWIP as on March 2026 stood at INR 301 crores. This predominantly includes capital work in progress at Mahad and investments for the made in Vizag in terms of land acquisition. Mahad facility is in the final stages of completion and is expected to start commencement of production in H2 FY 2027. We propose to spend approximately INR 400 crores in FY 2027 towards Vizag greenfield, completion of Mahad, and other additions in Ambernath. Moving on to cash and bank. We ended FY 2026 with liquid financial assets of INR 400 crores as against INR 306 crores in FY 2025. As on year-end, we are a debt-free company. Cash flow from operating activities stood at INR 334 crores. ROC and asset turn continues to remain strong in FY 2026. With this summary, I open the floor for Q&A. Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question, press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking the question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Sanjesh from ICICI Securities. Please go ahead. Yeah, good afternoon. Thanks for taking the questions. I got two. Couple of things from the observation. I am sorry to interrupt, Sanjesh. Can you use your handset mode, please? I am on handset mode. Can you hear me? Yeah, right now. Okay. Thank you. Couple of observations from the opening remarks. First, on the existing product, we said that in the PI section, we are expecting to cross the previous peak of FY 2025 with the destocking behind. What's giving us this confidence and have you got a confirmed order for it? How are we looking at PI section? Is this all led by the same product, or you're also expecting the PI section PI to have more products to come in, which VK mentioned in his opening remark, in peptides and two lateral products, which we are looking to enter. Number two, on the contrast media, what is driving the strong growth? Does this also include the shipment of iodinated API, which we were anticipating? They're my initial questions. Thank you. Hi, Sanjay. Good afternoon. Hi, sir. I think great set of questions. On the PI part, Sanjay, we are gaining confidence because whatever inventory had been built up, that inventory, the destocking has happened. If you recall, last time we said that the orders were already in our hand, but the supplies were deferred. That was one part. Subsequent to the supply chain realignment, we have some more orders with us. We are quite confident that in the PI segment, we are getting to very good set of numbers in the coming year. We also believe that there'll be some new products which will get launched. But to gain traction and to get to some critical scale, those products will take time because they are completely new products. We are not factoring much from that side. But then there will be new product launches on the PI side, and there will be new product launches on the contrast media side, both. So I think, as far as the product portfolio and pipeline is concerned, I think with the last six quarters, very intensive work has been happening, and we are getting to a stage when that will all start fructifying. And just to add on to that, on the contrast media side, thematically, we believe that some select partnerships that we have on key molecules is just translating into deeper partnerships. So we feel their offtake requirements also increasing, and that's a combination of the existing molecules plus the launch of new molecules in FY 2026. And this quarter growth was all led by the existing customer, existing product, or 90% growth. I know that we did mention about supply starting NCE. What about the other product, the iodinated API? Has that started or this is all coming from these two products? As far as this quarter is concerned, I think that excludes the sale, but in FY 2026, there was some contribution by the select molecule you spoke about. Got it. You talked about the lateral entry, and VK also mentioned that we are looking to put up a dedicated block in Vizag for two lateral product. Where are we in the process? When we are talking about dedicated, they must be really large in size. Can you give more detail or an understanding? I know we cannot reveal the product, but therapeutic area, how large the opportunity could be, some of those details will be helpful. Sanjay, I think all that we can say right now is that we have very high conviction on those lateral entries, and that is the reason that we are mentioning specifically only two. They will take a while to fructify. As and when they happen, there will be significant opportunities, and that is the reason that we are looking at deploying dedicated capacity at Vizag for that. As you know, Vizag is completely greenfield, and we envisage 24 to 30 months for that capacity to get online. What is more critical is that our portfolio is growing, and we are tracking some very large opportunities in that portfolio. Our portfolio is growing on the NCE side, our portfolio is growing on the lateral entry sides. The lateral entry is clearly the commercialization, and the peaking will happen faster. We have to wait for Vizag to come up. Got it. What about the peptides, VK? Where are we there in peptide? Sorry, you mentioned in your opening remark, some of the opportunities in GLP-1 and peptide. Where are we there in the process? We are with a couple of these GLP innovators, but not for the end peptide, but for the building blocks, for the intermediates of the peptides. Have you started lab supplies, pilot supplies? Yes, we have started lab supplies to some innovators, and we have also started some lab supplies to some very large peptide CDMOs. Got it. One last question on- I am sorry to interrupt, Sanjay. You may please return the queue for more questions. Fair enough. Thank you. Thanks for answering all those questions, and best of luck. Thank you, Sanjay. Thank you. Thank you. Ladies and gentlemen, in order to ensure that the management is able to address questions from all the participants in the conference, kindly limit your questions to two per participant. Should you have a follow-up question, please return the queue. We will take the next question from the line of Pritesh Chheda from Lucky Investments. Please go ahead. Sir, your comments on contrast media was not clear. One, this growth that we see in the quarter four, was the iodinated contrast media or product started being a part of it or the new product that you were supposed to supply, is it? What were your exit comments for FY 2027? Should we look at the quarter four number or was it somewhere different that we had to look at the 2027 growth? Those comments were not clear. If you could reiterate them, please. See, if you look at Q4, majority of the turnover is from the existing customer, existing product. Okay? Okay. When you look at FY 2027, whatever we have marketed, the forecast is quite encouraging, and we should be in a position to with couple of new launches we are expecting. We do expect one or two validations and one commercial launch, which should actually ensure that we will actually get into a double-digit growth. That's what we are expecting. Okay. That validation is the iodinated contrast media product validation, or it is some other product? It will be combination of both gadolinium and iodinated. Okay. The validation is for those two, and then there is a completely new commercial launch? Yeah, we are looking at. Okay. What explains this 22% growth? Because in the past calls that you've mentioned, the market growth is not so significant on the existing product. Is it something on the market share that we need to understand or any other comment that you have? Generally, like in contrast media, the volumes are forecast. We get it a couple of quarters ahead. What you need to really appreciate is the customer offtake. It is generally not uniform across all months. So based on customer need, there could be variations within the month, year. But generally, if you look at a 12-month period, normally the customers meet their commitment. Whatever they had actually agreed to pick up, they take it on. So in this particular CDMO activity, one should not look at monthly or a quarterly. I think as long as we get that annual number right, I think that would be a better way to forecast. But sir, you never guided for the growth in the beginning of the year. No, we actually talk about what the annual numbers are. We talk about how we can look at the forecast, because these things are all not confirmed. It is a forecast. So based on that, we actually talk about what could be the likely trend in that particular category. Okay. This last one is contrast media. Backward integration. Where are we? Will it click this year in contrast media? Yes. That- The plant will go on stream this year, and we will start consuming the quantities that we produce. We plan a slow ramp-up. The full impact maybe will come after a year. The iodinated contrast media- I am sorry to interrupt, Sridhar. You have to repeat the question. Ma'am, it is on the same topic only. The iodinated contrast media, the revenues will flow this year, or is this validation? We will try to be a bit more general in terms of the overall guidance for the segment. I think as far as the offtake requirements for this particular specific molecules are a bit confidential at this point in time. Things look encouraging so far. Okay, sir. Thank you very much. Thank you. Thank you. Next question is from the line of Sumeet Jainoy Basak from Kotak Institutional Equities. Please go ahead. Good afternoon, team. My first question is, BK sir, during the opening remarks, you spoke about two commercial opportunities in the PI and API segment. Could you just elaborate on these opportunities a bit, like what kind of products these are and what kind of an opportunity are you talking about? I guess you're speaking about the two lateral entries that we spoke in the narrative, right? Yes. Yes. There, as I said in my answer to a question earlier, the best that we couldn't disclose for the time being is what we have said. Being lateral entries, the peak volumes will come much faster because it's not an NCE. Let's just wait and see how they pan out. We will not be able to disclose much about the therapeutic category or anything because then it becomes very obvious, and we have very strict NDAs at this point of time. In terms of peak potential, can we expect it in FY 2028? Vizag will take. While some quantities may go from our existing capacity, the main volumes will start going from Vizag, and Vizag we envisage anything between 24 to 30 months for the blocks to come up and go on stream. Okay, sir. Secondly, on the contrast media part. This INR 190 crores top line compared to the INR 125 crores in the previous quarter. How much of this incremental INR 65 crores is due to the revenue booking of goods which were shipped in the previous quarter? How much was actually due to the demand in this quarter? Could you quantify that, please? Actually, this goods in transit has normalized. There is no significant variance. This entire INR 190 crores, does this belong to the fourth quarter or the book? Yeah. I am sorry to interrupt, Mr. Basak. You have please three last second for more question. Yes, I have just one last question. My third question is: what kind of a margin outlook are you expecting for the next fiscal, given the geopolitical scenario and the pressures on logistics and trade costs? Could you elaborate on that part? Actually, the cost structures are evolving. We need to actually watch how the Q1 cost structures pan out. We will be in a better position to talk about it during the Q1 results. Do you expect any margin expansion because we are also guiding for some incremental sales from that cardiovascular intermediate, which is an innovative product. So due to that. You know the impact of crude oil price, which has actually impacted most of the chemicals' logistics costs. There is also going to be a domino effect. Today, whatever we saw in the month of March 26th was very limited. The impact was not fully seen for many of these companies. So you have to give us a quarter time. So Q1 could actually give you a good representation of how the cost structures have evolved and how the margins are. Today it will be too early to talk about the impact. Okay, sir. Thank you. Thank you. Next question is from the line of Sajal Kapoor from Anti-Fragile Thinking. Please go ahead. Yeah. Hi. Thank you for the opportunity. I have only got two questions. First is, are we at a stage where Blue Jet is deliberately optimizing more for future strategic positioning and embedded customer relevance rather than near-term operating efficiency? If you look at our leading financial metrics and indicators, I think we are one of the best in the industry, so I do not see why you should be asking that we are not optimizing for the near term. But as a CDMO, we always say that the gestation is 2 to 4 years. So any CDMO will have to have that type of time horizon and plan for the future. That is exactly what Blue Jet is doing, and that is the reason that we said that while FY 2026 might have been flattish, the year was foundational because we are sowing the seeds for doubling our capacity and doubling our chemistry platforms in R&D. So we are very clearly planning or bracing up for a bright future because we see tailwind for the country, and we see a lot of opportunities for us as a company. That is helpful, Vijay. Second, with Mahad backward integration block expected to go live this fiscal, should we think of initial impact more through gross margin improvement and supply chain control with the top-line benefits perhaps becoming visible only after customer validations and scale-up? Or how do you see that? I think you are spot on. When we started the project, the primary objective was to gain strategic independence and avoid the volatility that we were seeing in the pricing of the product because of very sketchy and choppy energy prices. As you know, we were importing from Europe as well as China, and that was the primary reason for the vertical integration, that we should be able to insulate ourselves from such choppiness. When we made the two products that are a part of the vertical integration, we realized that there is a market for these products as well. That is supplementary, and that will be just an add-on. We are not talking of any numbers as far as those products are concerned for vertical integration, but it is clear that when we will make them, and we will make them at a scale at which we plan to, there will be incremental top-line opportunities as well, where we will sell to third parties and not just consume. No, that is helpful. Thank you so much. Thank you. Thank you. Next question is from the line of Kritika from Valuequest. Please go ahead. I have one question. Guerbet, one of your customers has seen a warning letter for their sole formulation plant, which is for Optiray as well as any serum. Wanted to understand if we are seeing any kind of risk from this warning letter that they've received in October, and we are going ahead, what's our plan of action? Is there any communication if this escalates to import alert or anything on that? If you can help us understand. See, Kritika, we know only as much as they're in the public domain. Even if we would have more information, let us say just in case we did, you know it's a very sensitive matter, and we will not be able to talk about these things on this open call. But then, as you have yourself very rightly said that they yet do not have an import alert, which means that the commercial impact should not be there until the time there's an import alert. I think it's also not reflecting in our production schedules or their offtake requirements, not a particular customer, but in general in this particular vertical. Sorry. As of now, currently there is no supply disruption due to this. Is that what you mean? Going ahead, obviously, we do not know. But up till now, we've not seen any supply disruption from this. From my side, I think it's business as usual in this particular segment, and we don't foresee any disruption in the coming quarters also. Sure. That's helpful. Thank you so much. Thank you. Next question is from the line of Shashank Krishna Kumar from Emkay Global. Please go ahead. Hi. Thanks for taking my question. I think in one of our earlier responses, we mentioned double-digit growth in contrast media in FY 2027. Does that imply we'll potentially exceed our FY 2023 peak in terms of revenue in FY 2027? A related question is whether this trial order from a Japanese customer, which you have mentioned in the presentation, whether that will also contribute. Also wanted to check which product are we referring to for this new customer, this iodinated API, or is it some new product? Just wanted to check that. I think our endeavor to meet this double-digit growth is backed by certain visibility by our customers. Now it's more about execution. I think we'll be more comfortable limiting this indication as of now. Got it. Any comment on this new product, which are shipping to a Japanese customer, which one is that item? It is a trial quantity. But I think the clinical indications are extremely encouraging from a future growth perspective. Perfect. Just the second one on the artificial sweetener which we have been referring to. Will we see any meaningful commercial volumes in FY 2027 or will it largely come on stream once the Vizag facility gets commercialized? I think it would be the most significant milestone if we are able to deliver this key validation. I think our objective would be to meet our quality targets, our efficiencies, and yields from this particular milestone. Once this is completed, we will be more happy to share the future updates around it. Important. Thank you and all the best. Thank you. Thank you. Next question is from the line of Ahmed Madha from Unifi Capital. Please go ahead. Thanks for the opportunity. Similar question in the contrast media business. If I look at our commentary, say, a year ago, two years ago, we were speaking about having a step jump in contrast media business. I would like to understand, will you see FY 2027 as a step jump year in terms of growth, or it will be a steady growth? If you can elaborate a little bit, please. I think when we look at step jump, I think it is most important to understand how the company is looking at new launches. From our perspective, a double-digit growth at the back of certain launches, I think it is quite encouraging to start with. Okay, sure. Thank you so much. Thank you. Next question is from the line of Dheeraj Kumar Reddy from Alpha Square. Please go ahead. Hello, am I audible? Hello. Yes, you are audible. Hello. I have a couple of questions. The first one being, I know that we made vampa droid transit intermediate. I just wanted to understand from your sense, how many competitors are there across the globe? And typically, even if someone wants to supply, what is the typical timeline for these innovator intermediates? And typically, how many players end up actually getting the supplies right? Are you referring to contrast media? No, vampa droid. Okay. See, the critical thing to understand is that the molecule is still under patent. There will not be any great number of suppliers or people who are selling the product on the market. Once the patent expires, then of course, the market will get inundated by suppliers. At the moment, it's protected. Got it. My question is basically what stops another such player who is actually doing even API into getting into this intermediate? What gives them that competitive edge in actually supplying this intermediate? Competitive edge. Firstly, this is a very advanced intermediate. Anybody, everybody cannot supply because of the complexities and because of the regulatory pathway. What gives us a competitive edge? Our the chemistry and the fact that we have a dedicated plant, which is highly automated, and the fact that the unit operations, we are extremely good. That gives us the competitive edge. Of course, to add to that, the scale. Got it, sir. My next question is, basically, I know that we will be implementing peptides, which will be the next phase of growth probably in Vizag. I just wanted to again understand here, how much time has the company or organization invested into this particular category? What is the sort of capability building you are currently going through? If possible, even in terms of R&D, how many scientists are being allocated, and how do you see this entire vertical, probably, if not say three years, maybe five years out? How do you see which kind of categories are you focusing on, what is the kind of peptides you are currently working on in Vizag? Peptides have been on the market for decades now. But because of certain new indications, for which peptides are getting qualified, the market has grown exponentially. At Blue Jet, if you see our trajectory, we are a company which has always focused, grown, and built ourselves on building blocks. On the peptide side also, our starting point is doing the building blocks for the peptides or doing the peptide fragments. They could be pentamers or decamers or whatever, but peptide fragments which will get joined to make the peptide. As we advance and we get clientele and we get experience in doing the peptide blocks, doing the final peptide will be the natural corollary. That will come after some time, and at Vizag, we do plan to create a capacity that can be deployed for peptide manufacture and production. Understood, sir. Will the initial peptide molecules be margin accretive, or do you think they will have slightly lower margin in general? Because again, these are very starting intermediates. The margins will be very good, in line or better than what we have. But then you must understand that as compared to the other segments, there could be faster, higher price erosion in this segment. In contrast media and the patented CDMO segment, we don't have that type of price erosion, which perhaps we may see in the peptide segment. Understood, sir. Thanks a lot. I join back with you. Thank you. Next question is from the line of Ravi Purohit from Securities Investment Management. Please go ahead. Yeah, hi. Thanks for taking my question. Just two things. If you look at contrast media production, sorry, revenues for the current year, it's about INR 190 crores. Would it be fair to assume that's like peak capacity for our contrast media division? Like in the sense if I refer to earlier calls, I mean, typically, I think we have mentioned about INR 600 crore-INR 800 crore kind of range for our peak capacity. So if you could just kind of help us understand whether that is the case here as well. Second was on the pharma intermediate. I think we had mentioned that we are talking of growing above the levels of FY 2025. So FY 2025, I think our revenues were some INR 460 odd crores. Have you already started shipping to the customers as in from or it's still like orders that are in hand and the shipping will kind of happen during the year? I think we are, as far as contrast media is concerned, we are far away from the peak utilization levels because of the ongoing works from the company side in terms of capacity creation, debottlenecking across products, and you also see a large capacity being built in unit 3. I think all the capacity creation is in sync with the customer needs from a 5 to 10-year perspective. I think we are very well-positioned as far as contrast media is concerned. In terms of Pharma Intermediates, I think, the outlook as a segment is very encouraging and we just have to execute our plans well, despite what we are seeing geopolitically in terms of the raw material prices and everything. I think as a segment or as a vertical as a whole, it's quite resilient. We've been able to, in some cases, pass on, have a pass-through mechanism on the pricing and the margin security standpoint. Both from a top line and a margin sustainability standpoint, I think we should be well-positioned in the PI vertical. Okay. In contrast media, how is the pricing arrangement like? Because, I mean, is this INR 192 crore revenue in this current quarter, does it also reflect some sort of higher prices? Or is it normal prices? Is it entirely volume growth? If price escalations do happen, because contrast media is a very long period contract that we have from our customer, our largest customer. If you could just help us explain how this pricing works on the contrast media side. I think without going into other specifics, I think, in the past few quarters, we have seen a volume growth. I think that should answer quite a few aspects around this vertical. The optimism for the current year, FY 2027, also is on a higher volume growth this year as well. Partially due to some volume growth, but also due to the new launches that we are expecting. Okay. Sure. Thanks a lot. Thank you. Next question is from the line of Sachin Mahasepkar from Global Consilient Research. Please go ahead. Am I audible? Yes, you are. Thank you for the opportunity. I had a question regarding the demand trends. How is the inventory restocking trend shaping up from the global innovators, and what is the overall demand outlook for your key molecules going forward? I think the end market in all our three verticals, they are growing, and I would say that all three of them are sunrise segments. If you are talking of the CDMO, PI vertical, then there one of the key molecules is showing a fantastic growth at the final formulation level. So I guess Blue Jet as being in all the three segments with our key customers being as a primary and main supplier, and a supplier with scale. I think we are very well poised to capture the upsides that we will have in these opportunities. Thank you so much. That's helpful. Thank you. Next question is from the line of Ashwin Patel from Intelligence Limited. Please go ahead. Ashwin, your line is unmuted. You may please proceed with your question. Thank you for the opportunity. Already answered my question. Thank you. Thank you. Next question is from the line of Keshav Bagdi from Vedant Fashions Family Office. Please go ahead. Keshav, your line is unmuted. You may please proceed with your question. particular for the Pharma Intermediates and the API segment. I am sorry to interrupt, Keshav. Can you repeat your question, please? Am I audible? Yes, right now we can hear you. Please proceed. Yeah. Okay. I just had one question. I joined the call a little late, so please excuse me if my question is repetitive in nature. I just wanted to check on the pharma intermediaries and the API outlook for this segment for the coming fiscal year. Keshav, we do not really give guidances. All that we will say is that whatever destocking had to happen has happened, and the plant has been now running to optimum capacity, and the shipments have started rolling out, and you will soon see that in the data. The worst is behind for this particular segment? Absolutely. Thank you, sir. That's a good summary. Thank you. Next question is from the line of Saket Sorag from Sagari Capital. Please go ahead. Hi, thanks for the opportunity. Am I audible? Yeah. Yeah. So sir, the question was pertaining to one of the private equities acquiring our innovator company. In the past, there have been cases that while change of hands of standalone companies is a normal phenomenon, those change of hands sometimes also leads to supplier consolidation or vendor consolidation. So any thought that you have had or any interaction that you have had with the private equity folks or the new owners as to regarding this continuity of supply or any thought that you may have on this front? I think, given the product where it is in its life cycle, it is patent protected. So typically, any change has a regulatory pathway. So I think from our standpoint, we feel that the end molecule is growing. So there is definitely some merits from a medium to long-term perspective. So we are in the right game, it is quite encouraging to know that it is acquired by a stronger partner. So from our standpoint, business as usual. There are certain positive growth levers around it as well. Okay, sir. No, that is encouraging. Sir, now coming to the lateral opportunity that you talked about. Is it safe to assume these are more end life cycle management products, who are on the verge of going patent? Is that a fair way to describe those lateral opportunities, or these are, say, recently commercialized, yet to hit their peak market? These are CDMO opportunities, which are backed by, which have some sensitivities around CDA. But I think from a next decade perspective, we feel that it is worthwhile investing in capacity buildup. But yes, they are all mature fields. Okay, sir. But no, that was what I was referring to. Yeah. Sorry. Thank you. Now, specifically to the peptides one. Now, you talked about GLP. So these are weight loss opportunities or more like metabolic disorders? Also, in some of the cases, especially semaglutide, we have seen a fair amount of price erosion, given the increasing competition that is getting into that space. So any thoughts on, is that a risk in our opportunity as well, this price erosion thing? Are they pertaining to weight loss or, say, non-weight loss areas, which is still an emerging space, sir? I think they are in both categories, and as far as the price erosion part is concerned, it is too premature for us to comment. We have just about started sending some small validation quantities. So just let us wait and watch. Let us see. Is it safe to assume this is non-semaglutide? We wouldn't comment. Okay, fine. Thanks for the opportunity and best of luck for the coming quarter, sir. Thank you. Thank you. Next question is from the line of Hitanshu from Neo Alternate Asset Managers. Please go ahead. Hi, am I audible? Yes, you are audible. I just had one question pertaining to the fundraise. Are we looking to raise funds in particular to the buyback investment or any sort of stance that you would want to give? We are actually like Hello? I think the situation is dynamic right now. I think we will be able to update you in the coming quarters. But I think from a company standpoint, given the liquidity it has, I think we are going rather accelerating our CapEx plan. So we are well-positioned as a debt-free company. Well, thanks a lot. That is it from my end. Thank you. Ladies and gentlemen, that was the last question for today. I now hand the conference back to the management for closing comments. Yeah. We thank all the participants, and we will see you in Q1 call. Thank you. Thank you very much. On behalf of Blue Jet Healthcare Limited, that concludes this conference. Thank you all for joining us today and you may now disconnect your lines.