Ladies and gentlemen, good day and welcome to the Q2 and H1 FY 2027 earning conference call of CORONA Remedies Limited. Before we begin, I would like to point out that this conference call may contain certain forward-looking statement about the company, which are based on the beliefs, opinions, and expectation of the company as on date of this call. These statement are not the guarantee of future performance and involve risk and uncertainties that are difficult to predict.
As a reminder, all participant line will be in the listen-only mode and there will be an opportunity for you to ask question after the presentation conclude. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Umesh L addha from Ambit Capital Private Limited. Thank you, and over to you, Umesh.
Good morning, everyone. On the behalf of Ambit Capital, we welcome you on Q2 and H1 FY 2027 earnings conference call of CORONA Remedies Limited. Today on the call, we are joined by Mr. Nirav Mehta, Managing Director and CEO, Mr. Ankur Mehta, Joint Managing Director, and Mr. Bhavin Bhagat, Chief Financial Official at CORONA Remedies Limited. We will begin the call with opening remarks from the management, followed by a Q&A session. Thank you, and over to you, Nirav sir.
Thank you all for joining us on the quarter two and half one FY 2027 earning conference call for CORONA Remedies Limited. Along with me on the call, I am joined by our Joint Managing Director, Mr. Ankur Mehta, our CFO, Mr. Bhavin Bhagat, other members of the senior management team, and strategic growth advisors, our investor relationship advisor. We have uploaded our result, press release, and investor presentation on the stock exchange and on company's website. I hope everybody has had the opportunity to go through the same.
Before we discuss our performance, I would like to share a few thoughts on the Indian pharmaceutical market. The Indian pharmaceutical market continues to show strong momentum, delivering low to mid double-digit growth since December 2025. As per PharmaTrac, IPM, Indian Pharmaceutical Market, has registered highest ever monthly growth of 13.5% in September 2026. Interestingly, this growth is increasingly coming from volume along with other growth drivers.
We believe this reflects deep structural strength that will support consistent growth for coming years. We firmly believe that Indian pharma is a sunrise sector, well-positioned for sustained long-term growth. Speaking of CORONA, we are well-positioned to capitalize on the long-term structural growth of the Indian pharmaceutical market, and our track record gives us confidence in this. We have consistently outperformed the market. As per PharmaTrac, over the last three years, CORONA has grown at 1.9x the Indian pharmaceutical market.
More importantly, this outperformance has been driven by volume growth, new introductions growth, and price growth. Our volume growth has been nearly 3.3 times that of the Indian pharmaceutical market, and growth from new introduction stands about 2.2 times, while price growth has been 1.2 times. So t his reinforces our strategy of outperforming the market by expanding volumes and broadening our product basket. CORONA is now amongst top 15 pharmaceutical companies at 14th rank in the covered market. Overall, CORONA stands at 26th rank in Indian pharmaceutical market and continues to be one of the fastest-growing companies in the Indian pharmaceutical market.
Speaking on our quarterly performance and highlights, we are pleased to report another quarter of strong and consistent performance, with revenue growing by 22% year-on-year in quarter two and similar 22% in H1 FY 2027. If we remove acquired brand Wokadine, then we are growing by 21.5% in quarter two and 21.5% in H1 FY 2027. Our India business delivered an impressive 22.9% year-on-year growth in Q2 FY 2027, significantly outperforming the Indian pharmaceutical market, which grew by around 12% during the same period as per PharmaTrac data.
More encouragingly, the chronic segment of Indian pharmaceutical market continues to grow at the faster pace, recording growth of 14.9%, approximately 25% higher than the overall market during the same period. Against this backdrop, our chronic business at CORONA, chronic portfolio has grown by around 29%, delivering nearly 2x the growth of corresponding market segment. This sustained outperformance reflects our disciplined execution, focused brand-building initiatives, and the continued trust and confidence that healthcare professionals place in our products. More importantly, it reinforces our confidence in the strength of our business fundamentals and the sustainability of our long-term growth strategy.
Our consistent growth at CORONA rests on four pillars. First, strengthening our core therapies. Second, brand building. Third, disciplined operational excellence. And fourth is investing in future of CORONA. To conclude, I would like to highlight that supported by a diversified portfolio, strong brands, and expanding distribution networks, experienced leadership, and disciplined capital allocation, we remain confident of delivering sustainable growth and profitability. I would now like to hand over the call over our Chief Financial Officer, Mr. Bhavin Bhagat, to take you through financial and operational performance. Thank you, and over to you, Bhavin Bhai.
Good morning, everyone. Thank you, Nirav Mehta. A warm welcome to everyone to our Q2 FY 2027 earnings call. I will take you through the financial performance for the quarter and H1 FY 2027. Speaking of performance, revenue for Q2 FY 2027 stood at INR 441 crore versus INR 361 crore in Q2 FY 2026, reflecting a healthy growth of 22.2% YoY revenue growth in Q2. India business contributed 97% of total revenue in Q2 and H1. Revenue growth for India business stood at 22.9% for Q2 FY 2027 and 22.8% for H1 FY 2027. EBITDA for the quarter stood at INR 96 crore versus INR 78.5 crore in Q2 FY 2026, a growth of 22.3% on a year-on-year basis. EBITDA margin was stable at 21.7% for H1 FY 2027. EBITDA grew by 27.5%, with EBITDA margin standing at 21.9%.
Profit after tax stood at INR 60 crore compared to INR 52 crore in Q2 FY 2026, registering a year-on-year growth of 15.3%. PAT margin for Q2 FY 2027 stood at 13.7%. The relative moderate growth in PAT compared to the revenue is primarily attributable to higher depreciation and amortization charges arising from our newly commissioned facilities and acquisition of brands. PAT for H1 FY 2027 stood at INR 120 crore, a growth of 22.2% YoY, whereas PAT margin for H1 FY 2027 stood at 13.9%. Return- on- capital employed, ROCE, of H1 FY 2027 stands at 49.8%, and return- on- equity, ROE, stands at 32.9%. With that, I would like to open the floor for questions. Thank you.
Thank you so much, sir. Ladies and gentlemen, we will now begin with the question- and- answer session. Anyone who wishes to ask a question may 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 a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Our first question comes from the line of Pratik Dharmshi with Union Mutual Fund. Please go ahead.
Yeah, thanks a lot for giving the opportunity. Many congratulations, Nirav Mehta and Ryan for a good set of numbers. My question was on the slide in the presentation where you are mentioning about expanding into newer therapeutic areas like nephrology, CNS, rheumatology, derma, etc . So can you give some color on the strategy around getting into newer therapies, the go-to-market actions you may be taking? Some color on your growth strategy. That would be helpful. Thank you.
Yeah, absolutely. Thank you, Pratik Dharmshi, for a compliment. As far as new therapies is concerned, we have mentioned in the slide that we will go with infertility, nephrology, gastroenterology, spine, rheumatology, etc . In CY 2026, we have started with focusing on infertility and taken the task force in this year only. We are in the process to make this business streamlined, and we have got a good start with that business of infertility. In a quarter to come or a year to come, we will definitely try to focus in other therapies also, which we have mentioned.
So are you also open to M&A on this side, or will it be a whole organic strategy by expanding the MR strength? How would you go about this?
No. Yeah, so we are always been open for the fitment. If we find any fitment in the new therapy or in the same therapy, we are been open for inorganic things. At the same time, we have opportunity for organic also. We are evaluating some of the proposal as of now. Nothing concrete or nothing objective onto it. Once something has been find out, so we are open for organic and inorganic both the route. As of now, it is just two quarters, just before two quarters, we are making our investments and the efforts towards infertility, and we are growing ahead with that stream. Now, in the days to come or a quarter to come, we will definitely focus with some other therapy in organic or inorganic manner.
Got it. Thanks a lot and wish you all the best. Yeah.
Thank you, Pratik Bhai.
Thank you so much. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Our next question comes from the line of Kushal Shah with Bharat Investment. Please go ahead. Kushal, you may please proceed ahead with the question. Yes.
Good morning, sir. So as we have given another steady performance in the quarter, so I just wanted to know how the new acquisition of Wokadine and other brands from Bayer has performed during the quarter, and what would be the growth without the said acquisitions?
So we have commercialized Wokadine this year. We have completed Wokadine integration from distribution and supply chain perspective. We are changing the business model for Wokadine, keeping future outlook in the mind. We are able to maintain the base sales for Q2. The integration and change in business model is little slower than the expected, but next two quarters would give us more visibility. We are still being very, very confident to have 25% CAGR for Wokadine over three to four years. Hope I have able to give you the answer.
Yes, sir. Sir, I had another question regarding EBITDA. So, you have mentioned earlier that EBITDA margin will most likely improve towards the mid-20s gradually. Can you share any further inputs on that? By what time we can be there, and what can be the sustainable margin profile for CORONA going forward?
Kushal Bhai, I would like to answer over here. We have given a guidance on two sides, that is revenue and PAT. Revenue will be growing by 15%, and PAT would be by 20%. We have never given a guidance on an operating margin side. But having said that, what you have asked for the question, if you see our FY 2026 EBITDA margins were 20.9%. Whereas we have infused 400+ medical reps in the last quarter, so the impact of the EBITDA would be slowing down, improving in the coming years down the line. But we would like to share that our operating margins will improve in coming years down the line. But mid-20, what you are mentioning, we have not mentioned it.
Thank you, sir.
Thank you. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Our next question comes from the line of Rahul Jeewani with IIFL Securities Limited. Please go ahead.
Yeah, thanks, sir, for taking my question. Sir, can you talk about in terms of how the IVF scale-up has been progressing for us, where we had added a dedicated team of around 50 MRs?
Yeah. So, thanks, Rahul Bhai, for asking a question. We have already deputed 46 people task force. As of now, we have reached about INR 7 lakh PCPM in the first six months of time. And I think so by year-end, we are expecting about INR 8 lakh- INR 9 lakh of PCPM. And we are growing well, positioned well as far as this IVF task force is concerned.
Sure, sir. Given that, let's say, the PCPM for the IVF business right now at INR 7 lakh obviously is very good, do you think that you would need to expand the MR team within this division to further drive growth in the portfolio, or what's your thought process there?
So as far as first year is concerned, we don't have any plan to expand the thing because it's just a six month in the business. We will not expand in CY 2027 even, but if required, we may think to expand in the half of CY 2027 or early of 2028, not before that. But first, let us establish in that particular territory. We have a good base as of now, but a long way to go as far as infertility market is concerned in the particular territory.
Sure, sir. And how many doctors are we able to cover right now with this team of, let's say, 46 MRs?
So, it is about 60 per representative. So, it is about 2,500 infertility professionals and top-class gynecologists in the category.
Sure, sir. What would, let's say, be the target, as in terms of the available TAM on the IVF and the gynae side? So, how many doctors essentially are we covering as of now, let's say, in markets where the team is present?
As of now, we are covering about 75%- 80% of market, and we are happy with this because 80%, another 20% may be with academicians or the government hospitals and few other hospitals. But today, we are covering about 80% of the market.
Sure, sir. And can you talk about, or let's say, can you call out the MR number for the quarter? And we saw this MR addition happening in fourth quarter of last year, so w hen do you, let's say, plan to again add to your MR team?
We have added about 400 medical representative in quarter four of FY 2026. And with this, we have about 3,111 medical representative in our team. As of now, we don't have any plan to add the medical representative. We will look at the situation once we enter in the FY 2028, and then if at all we would like to add, we will add in the tune of around 150 people, somewhere anytime in FY 2028, but not decided yet.
Sure, sir. And sir, in your opening comment, you talked about the acceleration in IPM growth, which is also being driven by a better volume growth. So two parts to that question. There seems to be an echo, sorry. So two parts to that question. So what is leading to, let's say, according to you, this acceleration in IPM volume growth and g iven that the market growth itself has accelerated, would you want to revise your earlier revenue guidance of 15%?
Rahul Bhai, every time when we talk about 15%, it was not 15%, it was 1.5x to the IPM, considering IPM will grow about 10%, and then we have given a estimate of 15% as the revenue growth. So the estimation of 1.5x in the IPM is always been a guidance, and it will remain as the guidance as far as revenue is concerned and w e are very happy to see the Indian pharmaceutical market growth since last three quarters. And moving forward for another three, four quarters, we expect lower double-digit revenue growth in the Indian pharmaceutical market. It may be because of loss of LOE or awareness, or God knows, but we wish and we hope that this momentum will continue at least about a 10%-12% of the IPM growth, and hence our guidance on 1.5x remains 1.5x.
Sure, sir. So then essentially that implies there could be some upside risk to our guidance of 15% if the market growth continues to remain strong.
Yes, sir. 1.5x is the guidance.
Sure, sir. Thank you. I will join back with you.
Thank you, sir.
Thank you. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Our next question comes from the line of Alankar Garude with Kotak Institutional Equities. Please go ahead.
Hi, good morning, everyone. Sir, you just now mentioned about growth in the IPM being strong because of more LOEs, better awareness. Can you help elaborate on this? And w hen you talk about a low double-digit number, growth number for IPM over the next three, four quarters, I mean, what exactly seems to be supporting this expectation?
Alankar Bhai, this is just my individual gut feel. God knows. And when IPM was about 8%-10%, people were figuring out the answer of generic, Janaushadhi , etc . Now market is about 12% in this period. People are talking about and we are thinking about loss of LOE, the loss of this exceptionally, whatever product has been exclusivity, loss of exclusivity is one of the reason people says. Another thing is our awareness increased. So nobody knows the reason, to be very honest. We are just predicting that this may be one of the reason. I am not an expert to comment on this, but I'm expecting that IPM will continue to grow on 10% at least in a quarter to come, looking at the current momentum.
Understood, sir. And on ground, have you seen any change in the competitive intensity? And when I say competitive intensity, this is more the smaller branded generic players as well as the alternate channels, so be it trade generics or Jana ushadhi or private label generics. Has there been any change in the competitive intensity at all over the last three, four quarters?
We have not, sir, honestly observed that, whether it is because of the competitive landscape, is there any change or not. I am not expert to comment on this. But yes, one thing is sure, the patients are increasing at the doctor cabin and the corporate hospitals. Now, it is because of the awareness or because of any other reason, it is difficult to predict as of now.
Understood, Nirav Bhai. The second question is on international. The growth in international has been soft, if you look at the first half, second quarter as well. I know it is a very small number. Can you firstly elaborate on what exactly has contributed to this? Then maybe secondly, given that in the last two quarters you got EU GMP clearance, there is now the ANVISA clearance as well. Can you help elaborate on your plans on the international side over the next one to two years?
Yes. So Alankar Garude, we are in the process of developing dossiers. Our endeavor is to strengthen in hormone market. We always try to look at the niche as far as international market is concerned, and we have chosen niche out of the hormone market. We are in the advanced stage of hormone dossiers preparation. We are trying to prepare about 10- 12 dossiers and taken it to the regulated, semi-regulated market.
However, looking into the market, it will take about two to three years once you prepare, you have given the dossier to the partners, they are going to take it a route of registration. It will take about one to two years. So I think so we are going to get the fruits in two to three years of time. However, our core focus on India business and the international business, even after two, three years, would be less than 10% CI of the total revenue.
Got it, sir. And which are the main markets you would be looking at within international in this two to three year time frame when it comes to hormones?
We are looking at Europe, Brazil, Mexico, CIS, Russia, and LATAM, and of course, the Asia market.
Okay. Sorry, just on what happened in the first half, second quarter, anything specific which you would like to call out on the international side?
To be very honest, it's been B2B business model, so s ome countries has a different guideline on the mark and the registration guideline. So it's been a normal course, but I think at the end of the year, if you consider CY or FY, we have about 15% revenue growth as far as international is concerned.
Got it, sir. And one final question, with your permission. semaglutide, you had said that the plan is to be amongst the top 10 players in the generics market. And clearly, there is lot of focus on it internally as well. Firstly, as far as your own trajectory is concerned, maybe if you can add how the market also has been performing, do you think that this is more or less in line with the expectations at the time of launch in March or April, o r is there anything specific you would like to call out which has impacted growth, and what are your expectations over the next couple of years in this molecule?
So Alankar Bhai, we have taken entry in GLP-1 market. Market will gradually increase as clinicians will gain the trust on efficacy and safety based on their clinical outcome. Today also, we are in top 10 as far as companies is concerned, as far as semaglutide market is and w e expect around INR 1,200 crore- INR 1,400 crore market of semaglutide. However, our focus would be more on existing 33 engine brands, which contributes about 80% of India business and growing more than 22% internally. So our focus remains more on engine brand. Nevertheless, we are not ignoring semaglutide as a molecule and w e are expecting when semaglutide has launched, people are talking about INR 3,000 crore, INR 4,000 crore, INR 5,000 crore market in the first year. We are expecting about INR 1,200 crore- INR 1,400 crore market in the first year.
Got it, Nirav Bhai. That is very helpful. Thank you and all the best.
Thank you, sir.
Thank you. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Our next question comes from the line of Siddharth Negandhi with CWC. Please go ahead.
Hi, thank you for the opportunity. Congratulations, Nirav Bhai, Bhavin Bhai, on a good set of numbers. Two questions. One, the trajectory of your price growth has been moving up substantially. So if we look at the longer term, trajectory was more in the range of 5% from FY 2023- FY 2026, but now you are more in the range of 8.5% in quarter one, 8.74% in quarter one, and 8.9% in quarter two. Are you looking at a change in your price positioning and price strategy? That was question one.
Question two is on hormones. Could you help us understand the framework basis which you've selected hormones as a therapy to expand internationally? Are there specific catalysts, or is this more competitive intensity and profit pool led? What are the reasons why you've selected that? Yeah, those are the two questions.
So, answer number one, as far as price growth is concerned, we always understand that there are three levers of the growth in Indian pharmaceutical market: volume, new introduction, and price. So price has always been important, as important as volume and new introductions. Price growth has always been, as far as market is concerned, one is the price revision can absorb by the market, or it is possible by the competitor landscape. This is one. And two, your NLEM and non-NLEM, so regulated things in this market.
So we're always looking at both the things, NLEM, non-NLEM, so regulated front and a market front, and then try to go for the price revision. Historically, it was like that our price growth was about possibly about 5%, 5.5%. And this time, we have got little good traction as far as price growth is concerned a nd we understand that this will more or less continue with the volume growth and new introduction price growth will be a third pillar for us as far as CORONA is concerned, to go for 1.5x than the IPM.
And as far as your answer two is concerned, see, hormone, categorically, we are one of the leading company as far as women's healthcare is concerned in India. So we have always been working in hormones and around hormones as far as India market is concerned. Number two, we have taken a stake in a company called La Chandra. CORONA has taken a stake in La Chandra, which is a hormonal API player, because in hormone API is concerned, there are very, very few API company based in India. Otherwise, we are dependent on outsourcing as far as hormone is concerned.
La Chandra is one of the player. We have invested, CORONA has invested in La Chandra, and we have got RoFO and certain conditions because La Chandra has given us. We have then decided to build in this segment in the international market. If you look at the world market and India market and the world market, male and female ratio is more or less 50%-50%.
As economy grows, as environment grows, we firmly believe that there is a good chance in the hormonal market in India and in the world. That's how we have built our hormonal block of forward integration because we already have a backward integration from the La Chandra end and forward integration in the Ahmedabad, we have built a plant. Now we are in the line of preparing the dossiers, and then we will go all out in the world market. We are quite bullish. Let's see that this will work well.
Got it. Thank you. And just one other follow-up, if I may, on the new introduction bit. What is your current covered therapy, as in terms of therapy coverage, and how much? Today, obviously, a large part of the growth comes because there are new launches happening as you increase your covered market share. At what point can we expect this to relatively come down versus IPM as your covered market improves?
Let me talk first about the IPM. Today, we are about 0.77% market share in IPM is concerned, and number one company has about 8.5% market share. So long, long, long way to go a company like us as far as IPM is concerned. Number two, if you look at the core therapies where we have been available, our market share is about 2.3%, and this market is growing about 25% ahead than the IPM.
So, there is a good chance that we can grow in our covered therapy also. As far as new therapy introduction is concerned, we always try to enter into the new therapies in the time of two to three years. We are trying to find out something, new specialty, and try to build and try to enhance our covered market. I think so, a company like CORONA has a long way to go as far as IPM is concerned and as far as world market is concerned.
Very useful. Thank you. So this is really helpful. Thank you.
Thank you.
Thank you. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Next question comes from the line of Gaurav Bama with JM Financial. Please go ahead.
Thank you, sir, for the opportunity. Am I audible?
Yeah, absolutely.
First of all, sir, congratulations on the good set of numbers. I just had a couple of questions. The first is on the engine brand. My understanding is that this will continue to be the growth driver going forward too, but how do you see that contribution of the new therapies that we are entering to? What sort of range are we expecting of their contribution to what we have down the line in terms of revenue?
So thank you so much. We have about 80% contribution out of the engine brand, 79% very precisely, and which is growing by 22%. So what we do, we try to go with every divisions, we have about 11 divisions, and try to find out about two to three brands from each division and try to focus them. So we have a concept of engine brand and important brand within CORONA. We are focusing on this 33 brand, which contributes about 80% of the business. Once we have got that another about 33 important brands, once they are potentially become a engine brand, we try to give them a different focus.
We actually, we have done the same while launching another division in quarter four of FY 2026. We have tried to say, given a space to a potential engine brand and try to make another three engine brand and three important brand. So we try to focus because pharma industry is all about brand building, brand building, and brand building. If we have a sale and we don't have a brand, I think we are in a wrong business if you talk about IPM and a sustainability of the growth. So this 33 brand are potential INR 100+ crore brand, and we are working into it.
Understood, sir. The 22% growth you mentioned, that's the CAGR, if I'm correct. What would be the last one year growth for these brands?
22%, sir.
22% itself?
Yes, sir.
Understood. Secondly, a bookkeeping question. If you can tell me the total export number for Q2 and H1.
For Q2, so my export business is INR 12.6 crore, whereas my H1 is INR 25.3 crore.
Understood. Understood. We are expecting ramp up of the same from next year onwards, right?
We are expecting to have about, looking into the order book, we are thinking to close the INR 60 crore- INR 65 crore business as far as international is concerned, as per my understanding and then i t will further grow in the tune of 15% in next year.
Understood. So this year guidance around INR 60 crore, INR 65 crore, and then next year onwards 15% growth. Right, sir?
Yeah.
Thank you, sir. That is all from my side. Thank you, sir.
Thank you. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Next question comes from the line of Rahul Jeewani with IIFL Securities Limited. Please go ahead.
Nirav Bhai, are you looking at, let's say, M&A opportunities in India, and if you can talk about in terms of where do you see gaps in the portfolio, which you can continue to fill?
So Rahul Bhai, I think so as far as current portfolio is concerned, there is hardly a gap. So now we are looking at inorganic things for entering the new therapies. Interested new therapies are nephrology, neuropsychiatry, gastroenterology, spine, and rheumatology. So these five categories we are working into some deals like brand or small companies to acquire. So we are working into it, who gives us the entry and expedite the progress in the particular therapy.
Sure, sir. And specificaly, in the past, our acquisitions have largely been from MNCs. So do you see MNCs having portfolio in some of these therapies which would enable you to acquire these assets?
So we are working with MNC, but not in the five therapies which I am talking about. With the little different therapies where we have already been in to strengthen the therapies, they have few of the products. We are looking at that proposal as of now, b ut if you look at five therapies which I'm talking about, nephrology, rheumatology, spine, neuropsychiatry, and gastro, there is nothing on the desk by the MNC.
Sure, sir. And what kind of, let's say, valuation multiples would you be comfortable paying in terms of acquiring assets within these new therapy areas?
So Rahul Bhai, as we have said earlier also, we never try to think on the multiples which we are giving. We always try to calculate what we are going to gain out of it, and how our business model looks like, how we are thinking to take this brand and moving for another three to five years, how we can able to build it. Whatever our business plan suggests, then we try to give the multiple accordingly. It's never been about how market thinks or how investor thinks. We think that how we can be better, for better CORONA, what we can able to do, and then accordingly we work.
Sure, sir. Last question from my end. Can you talk about, let's say, the regulatory risks which you see for the domestic pharma market, including yourself? There has been a lot of noise around drug pricing and drug margin caps. So let's say if more products get included under price control, on the cardiac side or the diabetes side, what kind of an impact do you see for the overall market and yourself? So just some thoughts in terms of this increasing regulatory scrutiny around pricing.
Sir, to be very honest, this is the sub judice matter, so I don't want to comment much on it. On a broader aspect, see, in India, the price regulation happens with the essential list of the products. And essential list of products, if you see the essential list of products, mostly cardio-diabeto products have been already been there in as far as NLEM list is concerned. So, I don't see much risk on the side of NLEM because they already, they have added the products in the category of NLEM, and we have about 9% contribution going down to 7.5% contribution as far as NLEM portfolio within CORONA.
And number two, if you look at the trade margin cap, this trade margin cap has nothing to do with the pharmaceutical industry. It's been with the trade channel, whether it's a hospital or it's the pharmacy, etc . Trade margin cap also, government has gone with trade margin cap in some of the or majority of the onco products. There also, I don't see any traction change as far as pharmaceutical industry is concerned. If tomorrow they are going to add the products in trade margin cap, I don't understand that how it can hurt the industry. But to be very honest, we are also study this trade margin cap, etc . As of now, we are not being impacted with this trade margin cap or NLEM at all.
Sure, sir. You said NLEM revenue contribution for us is around 7.5%.
Yes, sir.
And sir, of the top five brand SKUs which we have, how many of those are already under NLEM?
I think so there is 0%.
0%, okay. Also, sir.
Some SKUs which contribute about 7%, 8% in the brand of Cortel, there are only few SKUs. So it is about 7%, 8% in the same range.
Yes, sir. So question was more on those lines that obviously government has been getting further products under price control. So let us say if some of your products come under control, that was my question in terms of the risk.
Yeah, understood. I understand.
Sure, sir. Thank you. That is it from my side.
Thank you, Rahul Bhai.
Thank you. Ladies and gentlemen, anyone who wishes to ask a question, may press star and one. Ladies and gentlemen, as there are no further questions from the participant, I now hand the conference over to the management for the closing remarks. Thank you, and over to you, team.
Thank you all once again for joining us today on the Q2 FY 2027 earning call. We will keep the investor and analyst community posted with any update relating to CORONA Remedies Limited. We hope we have been able to address all your queries. For any further information, kindly get in touch with us or SGA, our investor relationship partner. At last, wishing you all a very happy Diwali and festive wishes in advance. Thank you very much.
Thank you so much, sir. Ladies and gentlemen, on behalf of Ambit Capital Private Limited and CORONA Remedies Limited, that concludes today's call. Thank you for joining us, and you may now disconnect your lines.