Ladies and gentlemen, good day and welcome to Ipca Laboratories Q4 FY25 Earnings Conference Call, hosted by DAM Capital Advisors. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on a touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Nitin Agarwal from DAM Capital Advisors. Thank you, and over to you, sir.
Hi, thank you, Yusuf. Hi, good afternoon, everyone, and a very warm welcome to Ipca Laboratories Ajit Kumar Jain Q4 FY25 earnings call, hosted by DAM Capital Advisors Limited. On the call today, representing Ipca Management, we've got Mr. Ajit Kumar Jain, Managing Director, and Mr. Harish Kamath, Corporate Counsel and Company Secretary. I will hand over the call to Mr. Jain to make the opening comments, and we will open the floor for questions. Mr. Jain, please go ahead, sir.
Thanks, Nitin, and DAM Capital Advisors for organizing this call, and welcome to all participants. Today's earnings call and discussions and answers given may include some forward-looking statements based on our current business expectations. This must be viewed in conjunction with riskless pharmaceutical business cases. Our actual financial purpose may differ from what is perceived or projected. You may use your own judgment on information given during the call. Our domestic business for Q4 has delivered a growth of around 11%, and overall for the whole of the year, it has delivered around 12% business growth. At March 2025, Ipca is ranked as the 16th as per IQVIA and is the fastest growing company among the top 20 players. Ipca continued to improve its market share.
In last quarter, Q4 also, we have improved our market share by around nine basis points to almost around 2.07% from 1.8% in March 2024. Both on acute and chronic segments, we have delivered better growth compared to the market. As per IQVIA, overall market growth was around 8%. Ipca delivered a growth of around 13.2%. On acute segment, the market growth was 6.9%. Ipca delivered around 10.9%. On chronic market, growth was around 9.8%. Our growth is tracked by IQVIA as 17.9% overall. Compared to industry, our contribution of chronic segment is lower, but we are fast catching up. The market gets around 61% from acute, and in case of chronic, it is 39%. For Ipca, it is around 66% for acute and 34% for chronic.
Market is not identifying rheumatoid arthritis as a chronic segment, but this is more chronic than any other segment because it's all disease-modifying agents which are to be taken for life. If you include that, then our chronic segment contribution would be much higher. You will recall that post-COVID, we have increased our coverage to the metro cities, and that has helped the company to get better share from metro markets. For market, let's say from 2022 to 2025, the chronic 30 metro cities are giving a contribution of around 2022, it was around 32.66%, which has moved to around 34.19% in 2025. There is an increase of metro cities' contribution to the market, has gone up by 1.53%. As far as Ipca is concerned, our market share in 2022 was around 32.65% for all 30 metro cities. It has now moved to around 37.52%.
There is a significant increase of almost around 4.67% contribution which is coming from metro. That has helped by our overall metro city coverage, which post-COVID we have changed that, and that has given us, and that's one of the reasons that we are also growing faster in the market. Our export formulation business, the branded formulation business, has delivered a growth of around 10% for FY2025, from INR 527 crore to around INR 582 crore. For Q4, branded formulation business has delivered a growth of around 3%. Generic business delivered a growth of around 15% from INR 312 crore to around INR 357 crore for the quarter FY2025. For full financial year, the business has grown to around INR 1,336 crore from INR 1,248 crore. There is a growth of around 7% in overall branded business, which includes the institutional business.
The lower growth for the financial year in generic business is mainly due to decline in business in South Africa from INR 113 crore to around INR 39 crore, a decline of almost around 74%. That's mainly on account of loss of certain tenders in South African market. Our API business has delivered a growth of 2% for the quarter for the Q4 2025, and for the whole of the financial year, there is just a 1% growth in the API business. We have, in the current year, improved our margins. Overall, if you look at standalone Q4 EBITDA margins, it is around 21.19%. As against 18.5% in Q4 2024, there is an improvement of almost around 2.66%. In the absolute term, your EBITDA margin has gone up from INR 279 crore to around INR 347 crore, an increase of almost around 24%. Standalone FY 2025 EBITDA margins is at around 22.66%.
As against 19.29% for FY 2024, there is an improvement of almost around 3.37%. Overall, EBITDA margins have gone up from INR 1,189 crore to around INR 1,533 crore, and there is an overall increase of almost around 27%. Consolidated EBITDA margins for Q4 is at around 18.24%. As against 14.98% in Q4 FY 2024, there is again an improvement of almost around 3.26%. Overall, EBITDA has gone from INR 305 crore to INR 410 crore. There is an increase of almost around 35%. Consolidated EBITDA margin for FY 2025 is at around 18.94%. As against 16.72% in FY 2024, an improvement of around 2.22%. Overall, EBITDA margins have gone up from INR 1,288 crore to INR 1,693 crore. There is an increase of almost around 31%. We have delivered better margins as against the guidelines given for the year. Our overall guidance for the year was around 18% kind of consolidated EBITDA margin.
As against that, we have delivered around 18.94% overall. Our subsidiary Unichem has delivered a consolidated growth of around 18% from INR 1,785 crore to around INR 2,211 crore overall business, an improvement in EBITDA margin from INR 87 crore to almost around INR 265 crore, and in percentage terms from 4.87% to around 12.55%. If you look at last two quarters' EBITDA margin, it was in the range of around 14-16%. With overall improvement in business as well as improvement in operational efficiencies, we could deliver the overall better EBITDA margin for Unichem. The guidance for next financial year, current financial year, is that we will continue to grow around 8-10% in FY 2025, and we expect our EBITDA margins to further improve by around 1% consolidated basis from 18.94% to around 20% for the current financial year.
Having given the broad numbers, now I'll request participants to ask for questions.
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on the touchstone telephone. If you wish to withdraw yourself from the question queue, you may press star and two. Participants are requested to use handset while asking a question. Ladies and gentlemen, we'll wait for a moment while the question queue assembles. First question is from the line of Surya Narayan Patra from Phillip Capital. Please go ahead.
Yeah, thank you. Thanks for the opportunity, sir. Sir, my first question about the U.S. business potential, the U.S. business that we would have done. Now, since we have integrated Unichem fully, what is the U.S. revenue that we would have reported in the consolidated number for that market? Also, if you can give some sense, now since it is integrated, part of our U.S. business is getting routed through them also. In terms of the new product introductions and the incremental business that we would have added, if you can give some sense that, okay, what is the incremental U.S. sales that we have added this year because of our own product? What is the overall U.S. number that we have seen for the group as a whole? What is our outlook that we would be having for FY2026?
As far as Ipca is concerned, U.S. has not made any significant overall contribution to the overall generic business. I think we have standalone basis, I think we have shipped goods worth around INR 65 crore, but most of the shipment has happened in the third and fourth quarters. Very small shipment was happened in the earlier quarter. Overall, and as the transit time and all put together, I think on consolidated basis, it is just contributing around INR 22-23 crore kind of business. It has not contributed a significant business in the current financial year. We have just, I think, in last financial year, we have shipped around three products, and fourth product was shipped in the month of March. I think in current year, we will be shipping almost around seven more products.
I think overall, the current year, I think overall U.S. business should contribute around INR 100 crore for us in the current financial year. That is what our internal budgets are there for U.S. business for final sales in U.S. market. Yeah. As far as Unichem is concerned, Unichem has achieved a U.S. business of around INR 1,317 crore as against INR 1,077 crore in the previous financial year. They have delivered overall growth of around 22%. This also includes the business of Bayshore, which was earlier grouped with Ipca, and now it is grouped with Unichem now. Around 22% growth they have delivered. Overall, Unichem has delivered for the whole of the financial year a growth of almost around 19% in the overall turnover. Including other income, it is around 18% overall is the overall growth Unichem has delivered.
Sure, sir. Sir, just an extended point on the U.S. business itself. Now, since Unichem is integrated, our R&D, it also should have seen some kind of integration because at the time of acquisition itself that you have been talking about, rationalizing the consolidated R&D spend by. What is the kind of, because there is no greater filing momentum that we are witnessing. Going ahead, what would be your spend for the group as a whole or for, let's say, Ipca on a consolidated level basis? What R&D priorities would you be having going ahead in terms of ANDAs, in terms of APIs?
I think Ipca has already started filing. I think first filing has been done in the, I think, in the month of April in current year. I think in current year, we should file almost around six to seven products. Overall, we have capacity to develop almost around 20 products, which globally for India, ROW, and all these other developed markets. Overall, that is the kind of development will happen. As far as R&D expenditures are concerned, we are at almost around currently around 3.25% as far as Ipca is concerned. The standalone, I am talking. This also includes the biotech. This expenditure is likely to be around 4% in the current financial year.
As far as Unichem is concerned, their business development, overall development cycle, initially their focus was shifted towards the overall, let's say, market extensions and filings in the various markets of their existing products. That journey is going on. I think they will also be filing around three to four products in the current year. What we have done is whatever duplications were there, that has been avoided. The Unichem team is independently doing their work, and Ipca team is in the. Nobody from Ipca, let's say, except the senior management, is, let's say, our operating management of R&D of Ipca is not supervising the Unichem R&D. Unichem R&D is completely independent.
Okay. Just last one, one question from my side. In fact, the export growth generally is in or export was considered to be the growth engine for Ipca some time back. In the recent period, that obviously we have seen they have faced challenges because of, let's say, the impurity issue in a couple of products and initiated by Europe. This year, FY2025 numbers are also kind of similarly weak. How should one really think about it? You also mentioned about a couple of, I think, contracts getting lost in the South African market. Is it because of the cost issue or? Could you give some sense about your overall export growth plans? That used to be the kind of a real driver for us.
Let's say overall exports, the formulation business will continue to have a growth of around 10-11% for us. We are now working on to, let's say, expediting our filing. I think R&D is gearing up and already, as I talked, that we should be able to do almost around development of around 20 products in a year. That is what is currently happening. I think U.S. market and Europe market and all, now number of filings are all increasing now.
Okay. The growth guidance that you have mentioned, sir, 10%, that is in no way showcasing any kind of synergy benefit of acquisition or the cross-selling benefit or anything. It is a normalized growth possibly we have just maintained.
Unichem's portfolio, I think, let's say filings have started happening, but approvals will take some more time. Till the time those approvals come, we are not including them in our guidelines. As and when those approvals will come, we will start adding those products overall to our basket. Yeah. That is still taking some time.
Is it more about non-U.S. markets, sir?
Yeah, it's a non-U.S. market. Yeah.
Okay. Okay. Sure, sir. Thank you. Wish you all the best, sir.
Thank you.
Thank you. Next question is from the line of Damayanti Kerai from HSBC. Please proceed.
Hi. Thank you for the opportunity. My question is again on export market. If you can talk a bit more about performance in key markets like U.S., Australia, New Zealand, etc., as well as in some branded markets. For these markets specifically, the bigger one, on an overall basis, you mentioned 10-11%. If you can also talk how should we look at growth in these bigger markets in both generics and branded parts?
Yeah. As far as the branded formulation business is concerned, we have grown this year by around 10%. CAS, which is the large branded promotional market, the growth is muted at around 2%. For the current financial year, we are guiding a growth of around 10% from the CAS business. Apart from the CAS market, all other markets have grown well in the branded generic business of the ROW market. West Africa has grown by 34%. Latin America has grown by 17%. Southeast Asia has grown by 24%. Only in the case of Middle East Africa, there is a degrowth of about 21%. It is a small market contributing around INR 70 crore . As far as the generic business is concerned, Europe has grown by 10%. USA is a new market. Last year, there was no sale. This year, the sale is around INR 65 crore .
Australia and New Zealand, there is some inventory rationalization. There is a degrowth of around 11%. From INR 301 crore, the market has come down to around INR 268 crore. Canada, there is hardly any growth. INR 116 crore was last year. This year, it is around INR 113 crore. South Africa, Mr. Jain has already said because of loss of certain tender products, there is a degrowth of around 65%. Overall, generic business is flat. INR 981 crore was last year. This year also, it is INR 981 crore. Whereas institutional business, from INR 267 crore, we have grown to around INR 355 crore, a growth of around 33%. Including institutional business, overall generic business, there is a growth of 7%. Total export business, there is a growth of 8%. 10% is promotional market. Generic market, including institutional business, 7%.
Overall generic business, there is a formulation business, there is a growth of about 10%.
Okay. Sir, just a question. CIS, why we saw like 2% growth? What has happened there?
No, it is mainly because of this currency fluctuation. Because dollar versus ruble rate. It crossed 90. Now it has come down to 79. We feel this year the growth will be better.
Okay. Okay. That's sensible. Then my second question is.
Even though there is a volume growth in the market, value growth is only 2% because of the currency fluctuation.
Okay. So volumes were heavy, but because of this currency fluctuation on a reported basis.
Yeah. Yes.
Okay. Okay. That's helpful. My second question is, if you can update on some of the newer projects which Ipca was working on. Some new plants, etc., where work has been ongoing for the last year or so. If you can update on those.
Four of the new manufacturing greenfield plants will start trial production in the current financial year. That includes monoclonal antibody facility, which is coming up at Pithampur, Madhya Pradesh. One intermediate API manufacturing facility is coming at Wardha, near Nagpur. One new formulation facility for domestic market is coming up at Devas. These are the three manufacturing facilities that are coming up in India. One more greenfield manufacturing facility is being set up by our step-down subsidiary in North Carolina. That facility will also start trial production in the current financial year. It will be injectable and oral liquids.
All the plants, they will start.
Trial production will start in the current financial year. Right.
Okay. And then scale-up should be more visible in coming year. Right? This year maybe slight.
FY27 and 28 onwards, you will see some scale-up in the business.
Okay. My last question is on Unichem. Although margins have moved up substantially, when do we see it moving closer to the consolidated average? Because during, I guess, the deal, there was talk about cross-market selling, etc. I understand on the raw material, I will say procurement part, a lot of synergies have been achieved. What about other margin drivers for the Unichem portfolio?
No, no. Whatever guidance we gave at the time of acquisition of Unichem, many things are work in progress. Since it is a regulated business, everywhere there are issues relating to dossier, application, registration. All those things are going on. So benefit of all this integration, what we spoke at the time of acquisition, hopefully will start yielding some benefit from the current financial year onwards.
Okay. So 2026 onwards, we should be seeing some more.
Yes. It will start. You will start seeing the benefit.
Okay. We will talk.
Around 300% EBITDA margins after two full years of its operation. I think we already achieved around INR 264 crore overall in Unichem. That is without, let's say, not a single API of Ipca is qualified as still in Unichem because that one they are work in progress. Not a single product of Unichem has been approved in other markets. All those synergies are yet to be it. Still, let's say the margins will keep on continuously keep on improving.
Okay. As some of these factors start delivering, as you mentioned, maybe this year onwards, we should be seeing better pickup in the margins.
Yeah.
Okay. Thank you.
Thank you. Next question is from the line of Chintan Doshi, an individual investor. Please go ahead.
Yeah. Hello, sir. Can you hear me?
Yes. Yes.
Sir, I can see a lot of activities are going at the Pithampur facility that belongs to the Unichem Laboratories. Right? So as you already mentioned.
That is API facility.
Right. So can you give us a light? Are we, it is a startup of just trial production is going to start or how it is? Is it going to contribute from this year onwards or are we looking just the number will go to contribute next year onwards?
It will be from next financial year onwards. This year, trial production will start, but scale-up will happen only in the next financial year.
Okay. Okay. Thank you. Thank you, sir.
Thank you. Next question is from the line of Shivath from Purnatha Investment Advisors. Please proceed.
Yeah. Hello. Am I audible?
Yes. Yes.
Yeah. Good afternoon. My first question is with respect to the CapEx. We've spent somewhere around INR 725 crore. If you could just throw some light on the breakup of where we've spent the amount for the next year, what will be the total CapEx of our company?
Apart from routine maintenance CapEx, which will be around INR 250 crore-INR 300 crore level, I told you four projects are currently under implementation, which will start trial production in the current financial year.
Okay. The breakup of where we are spending then?
Around $20 million is for the injectable and oral liquid facility that is coming up at North Carolina, U.S.. Around INR 250 crore for a formulation facility for the domestic market coming up at Devas. Another INR 200-250 crore for an API and intermediate facility coming up at Nagpur. Plus monoclonal antibody facility, another around INR 250 crore. These are the major CapExes which will get capitalized in the current financial year. All those facilities will start trial production in this financial year. That is FY 2026.
Okay. So biosimilar one, you had something in Pithampur. That is the same one?
That is the same one. It will start trial production in the current financial year.
Okay. Okay. You have given the overall guidance of 8-10% and EBITDA margin of 20%. How are the Unichem and the standalone breakup? If you could just throw some light. At the standalone level, how do you look at the growth and the margin at Unichem level?
Unichem currently around INR 2,000 crore annual sales and around 14-15% EBITDA margin. So whatever guidance we gave at the time of acquisition of Unichem, they achieved that one year before our guidance. Hopefully, current year also, they should improve their EBITDA margin by about 1% and about 8-10% growth in the top line.
Okay.
Whatever the synergy of our acquisition of Unichem, their products we are taking to the market where they are not present as of now, Australia, New Zealand, Europe. That is work in progress. That benefit will come perhaps a year after next year.
Okay. Those years are getting filed.
It will get registered. Then we will slowly start marketing their products.
Understood. I've noticed that Bayshore is only INR 22 crore in Unichem's revenue in the INR 2,100 crore that they.
No, no. Bayshore is about INR 150 crore, you could say, top line. Unichem acquired that from 1st of October. Okay. You said we had only INR 22 crore of sales in the U.S. No. That is Ipca. Ipca. We also, post our facility clearance, started marketing our generic formulation through Unichem in the U.S.
Where does it mostly grow, Bayshore?
Bayshore, I don't manufacture anything for Bayshore. Bayshore is acquiring products from other facilities, including from Bangladesh and all.
Okay. Okay. With respect to the standalone, we had something about the institution with respect to the funding issues that the U.S. has cut down. How are we looking at that for the next year? What kind of institutional growth are you looking at?
There is no exact clarity in that. Having said this, we are hoping we should grow that institutional business in the current financial year also. That is FY 2026.
Okay. Okay.
This year, the growth is more because a year before, our injectable line was undergoing some modernization and all. That is why the sales were less in FY 2024. That is why you feel current year, that is FY 2025, growth is higher in the institutional business. From that level also, we feel this year also we should grow that business maybe around 8-10%.
Okay. How do you look at the API thing? Prices-wise, is there any stability that is coming? How do you look at your API volume and the price?
API business and pricing was at peak during COVID time. From that time onwards, there is a consistent downward trend in the API pricing. Even though we have improved our volume compared to what we sold during COVID time, you do not see that in the value because of the prices continuously coming down. Now there is a stability. Slowly, we feel it will start slightly improving from this level.
Okay. So in this case, you feel the volume growth will be the top line growth because there will be stability in the prices?
That is correct. FY 2026, you will see volume growth as well as price growth when it comes to API business.
Right. How are you looking at it? After, in the second half onwards, it will be a slightly higher growth, or you look?
We are seeing some picking up in the market in the fourth quarter itself.
Okay. The domestic one, so consistently, we've been gaining market share, and we've done quite good in the domestic arena. You feel that will be stayed, and you will keep gaining market share and improving? How are you seeing the conversation in domestic?
Next three to four years, we will beat market growth, and we should grow 1.5x the market growth. That is what is our historically we have done. Going forward three to four years, that is our guidance.
Okay. Great. Okay. Thank you. Thanks a lot.
Thank you.
Thank you. Next question is from the line of Kunal Randeria from Axis Capital. Please proceed.
Hello. Good afternoon. So you have, I think, around 7,000 marketing reps in India. So which means your PCPM is just over INR 400,000. So with your current portfolio, what do you think would be the optimum PCPM?
See, now the business is growing around 12%. If we do not add any PSR in the market, our per man productivity also increased by 12%. However, every year we add in the normal circumstances 400-500 people just to take care of increase in the medical practitioners and all. That trend will continue. Even though value-wise, you do not see much per man productivity because of our nature of product, what we market, anti-malarial, where volumes are very high, value is very low. That also has some impact on this per man productivity.
Sure. There is still scope to increase it, right, to get it to maybe INR 500,000-INR 550,000 in four to five years?
Currently, it is around INR 400,000 and INR 430,000. It should grow around 8% maybe compounding next three to four years.
Sure. Sure. Okay. Got it.
In addition of around 400-500 people.
Got it. That will continue for the next few years. Got it. Secondly, on the U.S. business, I mean, now that you are kind of ramping up your filings and everything, do you think realistically the kind of filings here in the next three to four years this business could be a INR 400 crore-INR 500 crore business, excluding the Unichem, your own business?
That is Ipca product manufactured at Ipca India facilities.
Yes, sir. Yes.
Whatever figure you have given me is possible. Ten years back, we were doing about INR 240 crore with only around eight products. We just started. Some products have reached the U.S. Another five to six products will get commercialized in the current financial year. Thereafter, there is a pipeline for new product commercialization year after year. We have also ramped up now development of products for the U.S. market.
Right. Just to clarify, your strategy has been to back it with your own APIs. Wherever you have the DMF filings, you use that DMF filings?
Most of the filings are backed by my own API.
Okay, sir. Okay. All right. Got it, sir. Thank you.
Thank you. Before we move to the next question, a reminder to the participants to ask a question. You may press star and one. Next question is from the line of Dharmil Shah from Dalmus Capital Management. Please go ahead.
Thank you for the opportunity. I have more specific questions on Unichem. We see the fourth quarter results. Gross margin sharply declined from 64% in 3Q to almost 55%. Was there any one-off thing in these two quarters, or what was the reason for?
No, no. It is majorly because of the product mix change.
Okay. Any specific therapies that we should tilt it towards?
No, no. Nothing like that. Depending on market situation, market demand, market growth, plus minuses will happen in the therapies. Some therapies, some products give better margin, some products give slightly lower margin. Majorly, the impact is because of that. There is nothing one-off or anything in this.
In fact, fourth quarter, the contract manufacturing has gone up from INR 58 crore to INR 90 crore. So there, the margins are lower. Yeah. The metal cost is higher there. There is no marketing and other costs involved there.
Understood. On the guidance, you have one-year guidance of about 10% increase and 1% improvement in EBITDA. Once we assume the synergies come in the next two to three years, geographical synergies or maybe API coming in from Ipca, what do you expect revenue growth and margins for Unichem two to three years from now?
See, ideally, our intention, the margin should grow to around 18%, 18-20%. That is the maximum what we can achieve because they are into only generic business and API business. I am talking about Unichem.
Understood. Revenue growth over next two to three years?
Around 10-12%.
Understood. Understood.
Only silver lining is they have a lot of capacity available to grow their business. There is no need for any fresh investment in facility creation in the immediate future.
Understood. So what would be the facility utilization right now as on the?
Their major formulation facility, Goa, just last year commenced commercial production. There, they can do a lot of production. There is a lot of capacity available there. Capacity is not a constraint for Unichem.
Understood. Lastly, are there any effects of U.S. tariffs on pharma? Very broad question, but are you seeing any effects?
Whatever guidance we have given without considering what you spoke. If that comes, there will be definitely a variation in whatever guidance we have given.
Understood. Yeah. Thank you so much.
Yeah. Thank you.
Thank you. Next question is from the line of Rashmmi Shetty from Dol Capital. Please go ahead.
Yeah. Thank you for the opportunity. Couple of clarifications. How much CapEx have we spent in total CapEx spent in FY 2025, and how much are you guiding for FY 2026, the total number?
Currently, it's around INR 400 crore.
FY 2024 plus FY 2025 put together, sorry, FY 2025 plus FY 2026 put together, it will be around INR 1,000 crore.
1,000 crore. And how much of that we have already spent in 2025?
Around INR 600 crore we have already spent.
400 crore more is expected to be in FY 2026?
That is correct. Yeah.
Okay. Sir, in the API segment, what is the growth guidance for FY 2026?
Around 6%-7%, Rashmmi. Not beyond that.
6% to 7%. Last one clarification which I wanted. Earlier, you mentioned that institutional business plus generic business will give a growth of around 7%. In case if the generic business is growing flat for FY 2026 also, then your institutional business growth will be around 24%-25%?
No, no, no. FY 2026, we are projecting a growth of 10% in the generic business, including institutional business, both put together.
Okay. So your generic business will also?
The flat generic business was in the current financial year, excluding institutional business.
Got it. So your generic segment, excluding institutional business, will also grow around 8%-10%, and your institutional will also grow in that range.
Around that line. Yes.
Okay. Okay, sir. Thank you. That's it from my side.
Yeah. Thank you.
Thank you. Next question is from the line of Tushar Manudhane from Motilal Oswal Financial Services. Please go ahead.
Thanks for the opportunity, sir. Just on this product filings from Ipca site for U.S. market, the one which you referred for FY 2026, these are like what, refilings of the already approved product for U.S. market?
No, no. They are fresh development, fresh filing, Tusha.
Understood. So 6 to 7 new.
Everything got over in the last financial year.
Got it. Sir, any particular reason you would like to highlight where the business, where products being shipped but still taking longer? Is the competition pressure so much that it's a little difficult to push our product after getting into this market after many years?
It is nothing like that. As and when the inquiry gets noted, we do participate, but already people are with somebody else in contract and all. It will be a gradual progress as far as the U.S. generic business is concerned. Having said this, whatever benefit we have, cost, other thing, own API, that remains today also.
Understood. Understood. And just lastly, how many, I missed that number, how many MRs to be added for FY 2026?
Around 400.
All right. Thank you. Thank you.
Thank you.
Thank you. Participants, to ask a question, you may press star and one. Next question is from the line of Rahul Jeewani from IIFL Securities. Please go ahead.
Yeah. Thanks for taking my question. Sir, this revenue guidance which you gave of 8%-10% for FY 2026, isn't that a bit conservative number given that in the domestic business, we are beating market growth by 300, 400 basis points every year? And for the export businesses as well, we have generally indicated about a 10%, 11% kind of a growth, excluding the API business. So are we a bit conservative in terms of the overall revenue growth guidance for next year?
No, no. If you see our business segment and turnover, if API grows by 6%, 7%, and all formulation business, excluding India business, grow by around 10%, and India grows by around 12%, the overall growth will be 8%-10% only.
Okay, sir. So this is including Unichem as well you are talking about?
Yeah. Yeah. Even Unichem business also will grow around 8%-10%. So overall, company as a whole, group level also, we should grow around 8%-10%.
Sure, sir. And sir, once these integration benefits of Unichem start playing out going into the next couple of years, then do you think that this growth of 8%-10% would accelerate going forward? And with.
Around that time, the top line should grow around 12%, 12%, 13%.
Okay. Sure, sir. And sir, on the U.S. business, I missed the number for Ipca. At one point, you said INR 22 crore-INR 23 crore, and at some other point, you also indicated INR 65 crore. What is the U.S. sales sold by?
Yeah. Yeah. In our standalone accounts, what we have billed to Unichem U.S.
Okay. Okay. So there is 23%.
Yeah. Yeah. So it is 25% crore. Yeah. So what we shipped is INR 65 crore. What they sold is INR 25 crore.
Okay. Sure, sir. And sir, last question on Unichem. You indicated about 100 basis point margin expansion for Unichem going into next year. Now, would this margin expansion be on the full year margins of Unichem or the 14%-16% margins which Unichem had in the second half of last year?
No, no. It is on the whole year we are talking.
Okay. Okay. Okay, sir. Thank you. Thank you. That's it from my side.
Yeah. Thank you.
Thank you. Participants, to ask a question, you may press star and one. As there are no further questions from the participants, I would now like to hand the conference over to the management for the closing comments.
Hopefully, we have answered all the questions. I do not think there is anything further to add. Thank you very much, all the participants. Thank you.
Thank you.
Thank you.
On behalf of DAM Capital Advisors, that concludes this conference. Thank you all for joining us, and you may now disconnect your lines.
Thank you. Bye.