Acutaas Chemicals Limited analyst Q&A

Thank you. We will now begin the question and answer session. The first question comes from the line of Rikin Shah with Boring AMC.

Congratulations on a blockbuster performance. First, I wanted to ask the overall direction of the semiconductor chemicals, both the verticals. So in the last call, we have mentioned about some new product launches and trial batches for Baba. And also, if you can shed in, the same question, but shed some light on the -- would you say, the guidance of the facility in Korea, coming up?

On Baba Fine Chem business side, as we discussed last time also, as our endeavor is to promote our products ex of Heraeus business, which we were not marketing earlier at the time of acquisition that we have started marketing in a newer geography, and that has shown a very good result. And you can see the Baba Fine Chem business has started turning around in terms of revenue. I think the last quarter was more of a kind of bottom point for us from where we have started positively from this quarter onwards. And going forward, we are expect ing some more traction coming in business. It will be a slow process, but we are already on that good part of growth. So it's an encouraging result for us. For Indichem side, the capex has started almost 4 months back, and it is progressing well as per the plan. We have already invested INR130 crores towards the capex. And hopefully, by end of this calendar, we should be able to complete the capex and start the business.

Got it, sir. All right. So -- okay. Sir, last quarter also, we had mentioned in non-CDMO business, and you've also mentioned again, a change in the product mix. Also, you've mentioned there is some conversion to flow technology. So my question is that some of the legacy molecules, they could have been transferred to flow tech much, much earlier. So what has essentially changed? And why has this increased this much right now? Just trying to reason with what is happening?

So when we talk about the changing to the flow chemistry and all those things, that is not related to the CDMO business. CDMO business is a completely with close connection with the customer. We cannot right away change to any of those...

Right, sir. I mean, the non-CDMO products only, sir?

Yes, sorry. For ex-CDMO business, this is a very standard process for us to look at every product on a monthly and a quarterly basis. If there is any threat related to margin or any cost pressure, we do the cost improvement, margin improvement measure for this. So this is how we keep on upgrading our product, working on our cost on a regular basis. And those are the permanent kind of things which get -- which is the margin improvement. More of a margin improvement for this quarter is again for the -- because of the product mix only. If you look at the gross or material margin level, it is an improvement of 1.2%, which is where you see the product mix shifting. And rest of the margin is c oming from the operational efficiency.

Got it, sir. Sir, what utilization would we be in Ankleshwar? And along the same line, sir, what is the plan for incremental pharma intermediate capex post -Ankleshwar is at peak capacity utilization?

At Ankleshwar plant, the utilization has been 40% for the quarter. And slowly -- because see, once the plant gets ready, which was completed last quarter only, so it's a time for products to get validated from the newer site. And slowly, we will start ramping up from that side. So newer products which are coming into the basket from our product portfolio and R&D line. That now we have started shifting -- we are doing with the Ankleshwar site as well as some of the existing product, which we are just slowly transferring to the newer site. In terms of capex for this site, it is still premature to announce anything. But as we mentioned, this largely covers our growth requirement till FY '28. So before 1.5 years, we may come up with some capex plan based on the market condition and future growth requirement.

For entire site, covering now all blocks, are available -- for availability of all block whatever time it was.

Got it. So -- and you have mentioned three new CDMO manufacture projects in H1 FY '26. And you had also guided that they will ramp up in H2 FY '26. So how has been the movement of these new CDMO projects, ex of our core CDMO molecules?

Ex of first CDMO of which we are talking about, we have validated in total -- four number of projects have already been validated . These are already commercial products, but meaningful revenue we are expecting from next financial year onwards. Meanwhile, there are many other products which are going for validation on a continuous basis expected from -- in this quarter also.

Got it, sir. And just the last question from my side. In terms of sustainability of margins, gross margins, what would be your outlook for that for at least if you can't say for a few years, then maybe for FY '27?

Actually, we are not guiding for any of a margin, but we can discuss at a relevant time for FY '27.

All right, sir. Thank you so much. Good luck.

Thank you. The next question comes from the line of Sudarshan Padmanabhan with ASK. Please go ahead.

Yes. Thank you for taking my question. Actually, taking forward from the previous participant, I mean, now two things. One is we know that the oncology product itself is doing well. If we go by Orion's commentary this year and also there is a lot of product life cycle extension happening. So if I look at 3 years when you're talking about the INR1,000 crores target, how is the contribution from non -oncology products going to be? So if you can give some color on the dependency of oncology and how are the other products in the pipeline?

So as we mentioned, we have already validated four more products. And during my commentary, I mentioned, this gives us the confidence that we'll be able to cross INR1,000 crore mark for the CDMO business by FY '28. So apart from that already going oncology product, we have a very good pipeline of CDMO products in our product basket. In fact, that has been very encouraging seeing the kind of growth we are seeing for all those product development happening at our end.

Sure. And sir, then coming to the electrolyte business that is on the battery chemical side. Now we are looking at vinyl carbonate and fluoroethylene carbonate, a couple of products. But if I take 2, 3 years down the line, are we looking to expand this basket? I mean, what is the strategy here in terms of growing the booking of product?

Yes, of course. This has been two pioneer or stepping stone kind of product for us through which we get into this business. But as we discussed last quarter also, we have already commercialized two more products in this space. Capex Phase 2 has already been announced, which is already under implementation and expected to get completed by Q1 FY '27. And there are additional further more products which are already under development and for which business development is also going on, you can find our list of products at our website also.

And this will largely be towards the OEMs, right? I mean the battery cell OEM partner?

Yes.

Okay. Sure. Thanks a lot, sir. I will join back in the queue. All the best for the future.

Thank you. The next question comes from the line of Krishan Parwani with JM Financial.

Congratulations once again on very strong results. Just a couple of questions from my side. First, have you signed or are looking to sign any new CDMO contract for the four products that have been validated you mentioned?

Yes, of course. Those are with the originators and relevant contract will be signed at a relevant time.

Okay. And would you be, let's say, I know you will not be giving out the names of the products, but would you be, let's say, signing the contract or no?

Sorry, I didn't get you.

I'm saying, as and when you sign the contract, would you be announcing the...

We will update as and when some material update is to be provided as per the regulatory requirement.

Sure, sure, sir. And just one clarification. On Indichem investment, you said INR150 crores will be in FY'26. So basically INR370 crores cash outflow in FY '26, correct? INR220 crores, the capex and INR150 crores investment?

We have invested INR140 crores by this year. With the combination of capex electrolyte, it should be INR220 crores. And Indichem investment is INR130 crores for the full year.

Okay. So basically, INR350 crores to INR370 crores cash outflow in FY'26, correct?

Yes. And next round of capex that can -- next round of investment for Indichem, part may come in this quarter also.

Okay. And did you mention the battery chemicals incremental capex for the two new products that you have added? What would be...

That is what the second phase is.

Yes.

Okay. And VC/FECs already begin, I think Naresh bhai mentioned from 17th January, also?

No, let me clarify on this. On the 19th of January, plant inauguration was done. Then now we are in the process of for validation, trial batches and then commercialization will happen probably by end of this quarter.

Understood. So basically, 1Q FY '27 is we can assume the contribution from VC and FEC?

Yes. Yes, you rightly said, as you would know that we have already orders in place. So by quarter end, we should be able to hopefully start commercial supply.

Perfect. And last bit, so which cost overheads, let's say, that contribute to reduction in other expenses this quarter? Because other expenses declined quite a lot in this quarter. So just wanted to understand the reason there. I mean it's only a INR3 crores reduction?

So Krishan, it was largely on account of savings on energy cost, then there are a few consumable and repair items. And we have improved many of our internal processes. And -- so those all things has helped us to reduce on other overheads for this quarter.

Understood. And the energy savings is from the solar plant that we had installed, correct?

Largely from that.

The next question comes from the line of Abhijit Akela with Kotak Securities.

First, on the battery chemicals piece, if you could please just remind me what the new capacity addition is from the two new products coming up by 1H, I guess? And what is the capex that's being invested into those?

So actually, we have not given any -- announced any capacity number for this capex. The capex plan is INR40 crores.

Okay. Got it. And with regard to Baba, given that the business has started to turn around, is there a revenue sort of guidance that we could look at for FY '26 as a whole?

So as of now, we have not given any guidance on this. Obviously, this is a season for budget also, we may give the guidance at relevant time.

All right. And just one last one from my side. With regard to the product concentration, it does seem like maybe the top CDMO product is driving a lot of the growth for the company over the last year or so. We have a lot of other growth projects coming up in the next year to 2 years. So if we look out maybe 3 to 5 years, what sort of product concentration would you expect to see from the top product just over that time frame? I mean, how significantly can we de -risk ourselves from that concentration risk?

So as we already discussed, we are working and as we mentioned, four products are already validated and there are many more products in pipeline for CDMO business apart from the traditional business. And then another growth engine of electrolyte and semiconductor is coming up. So obviously, the idea is to derisk product concentration going forward. But I will not able to give you any guidance on the product mix in next 3 years' time. But on the generic side also, the products like apixaban, rivaroxaban are already progressing well. So those are also kind of engine for -- apart from this, the CDMO space.

The next question comes from the line of Pratik with Union Mutual Funds.

Many congratulations, Abhishek bhai, Naresh bhai, for great set of numbers. A couple of questions from my side. On your onco CDMO, how is the outlook looking in terms of new indication, new geography additions? What sort of outlook are you envisaging based on your interaction with the customers for your onco CDMO?

See, for this business, as you know, this is a CDMO business, we are completely driven by the whatever projection has been given by our end customer. So obviously, as you read in the market and related to product and market expansion, but we are giving the INR1,000 crore guidance based on whatever the customer expectation is there for till FY '28.

Got it. And in terms of this recent EU FTA, will we benefit in any ways?

So let's say, for EU FTA deal, obviously, it will be a welcome deal not only for us, it's for the whole industry. So we may also be the beneficiary of whole as an industry cycle.

Are any of our products under tariffs?

So we are supplying on a product on a CIF basis, and it's a customer's requirement to get it custom clear at their end. But for us, it has not been any time matter of concern earlier also.

The next question comes from the line of Rohit Nagraj with 360 One Capital.

Congrats on very strong set of numbers. Sir, first question on CDMO front. So during the first 9 months, how many total commercial products that we are servicing on the CDMO? And what could be the mix between pharma and agro? And an allied question to that, when we see FY '28, INR1,000 crores, what is the kind of mix that we are looking at from pharma and agro?

No. When we talk about INR1,000 crores revenue, it is for the CDMO business only. So it's not -- when we talk about -- it's not about split between pharma and agro.

There is no agro business in CDMO. All the CDMO is only from pharma. Rest, Abhishek will give the answer.

Sure, sure. I'll just rephrase the question. How many molecules are currently being commercialized? And when we'll reach, say, INR1,000 crores, what is the number of molecules that will be commercialized and those will be serviced?

As on date, we have already five commercialized product, as we mentioned. And going forward, obviously, the number will be higher. It is difficult to say the number of products which will be contributing till at the end of FY '28.

Sure. That's clear. Second, on the Indichem venture, when do we expect the commercialization of the facility and probably the first year of operation and any visibility in terms of how the revenues are likely to be scaled up? And what kind of arrangement i n terms of product offtake that we are currently looking at?

For Indichem project, as I mentioned, our plant -- capex should completed by this calendar year, year 2026 and next year -- calendar year onwards, we should see revenue coming up in this business. In terms of number or the size or a scale of this business, largely, you can expect that for the semiconductor bus iness, the asset turn will be in the range of 1 to 1 and with a high EBITDA margin as compared to pharma business.

Sure. Just one clarification. For the first 9 months, what could be the CDMO contribution in our total revenues?

I'm afraid I will not be able to give you this specific number.

The next question comes from the line of Jason Soans with IDBI Capital.

Really congratulations on a very strong set of numbers. Sir, first question, just wanted to understand -- I mean, of course, I understand that the CDMO piece is doing really well. But around two quarters back, you did give some color on how the CDMO piece is doing and the non-CDMO piece is doing. So CDMO, yes, doing very well. Just wanted some color on the non- CDMO business as well. How is it shaping up?

Non-CDMO as I mentioned during my commentary also, the non-CDMO Pharma Intermediates business is also growing in a higher single-digit number. You may feel like it's a lower number. But as I mentioned, now we are more focusing towards the quality growth as compared to the commodity intermediate products. In terms of growth for this business, as I mentioned, some of the generic products, a couple of generic products are already doing well in this financial year and last quarter also and some of the new products are expected to join in this business for comi ng quarter also. So these are the products which are driving growth for us in non-CDMO business also, but because the pharma CDMO business is growing exponentially, it has become the more highlighting point for all of us.

Yes. Sure, sir. Sure. And sir, just -- I mean, you usually do give the EBITDA margins for the segment. So sir, just for the API business and for the Specialty Chemicals, what are the segmental EBITDA margins, sir, for this quarter?

For the quarter, EBITDA margin for Pharma business is around 41% and Specialty is around 12%.

Okay. And sir, related to that, just wanted to understand, I know additives hasn't started yet, but it will start, it will soon start. So just wanted to understand, initially, what kind of margin are you baking in for this additives business? And so first start and then at optimum utilization, is a 20% margin safe to basically incorporate at an optimum utilization scale?

See, we have not guided any margin expectation for this business as of now. But what I can share is the margin profile will be below the traditional Pharma Intermediates business and above the existing paraben, the commodity chemical business. Obviously, at the beginning, the margin will be lower because of the operability or the scale of the business, but it will get better. But as you know, we have a good contract in hand, so the scale -up should be much faster to get the operational -- operating efficiencies.

Sure, sure. Sure, sir. And sir, just to clarify, just if to -- the capex for the electrolyte additives was INR177 crores when you mentioned it. Now you're adding INR40 crores more to it. Is the understanding right?

Yes.

That's right. Okay. That's good. So INR177 crores and INR40 crores, you'll be adding more. And again, another clarification, which I had is you said that the capex is INR220 crores for '26. So INR220 crores plus your INR130 crores going to Indichem, that kind of totally becomes INR350 crores. Is that also understanding should be right, correct?

No. So for full year -- so for INR220 crores in full will not get completed by March '26. But when it gets completed, total -- for electrolyte, total capex will be INR220 crores. And for -- at the full company level, the total capex will be INR220 crores, including all the segments.

Okay. So even including the Indichem investment, it will be INR220 crores?

I'm talking about capex. So it will be by end of the year, capex towards electrolyte will be in the range of INR170 crores for this financial year, INR20 crores maybe towards the pilot plant and remaining will be maintenance, some portion of the solar capex, totalling to INR220 crores.

Okay. And INR130 crores is over and above this. Indichem is separate from this, that's what you are saying.

Yes. Sure, sure. And sir, just lastly, I wanted to understand, sir, I understand the BFC and Indichem are basically focused on the semiconductor space. Just sir, if you could give us some understanding on -- some color on how complex, high margin will these products be? Probably you are saying '28 -- by '28, you'll see meaningful revenue from these set of businesses as well. So if you could give us some color on how complex, how margin -- high margin these products can be or what potential these products can contribute?

So what I can share to you is you already know about the margin profile of BFC because it's already our existing business. You can refer our financial also. And on top of that, I can add that at Indichem in South Korea, we are going for further value addit ion in this space. So these are what I can share to you on this.

The next question comes from the line of Sajal Kapoor with Antifragile Thinking.

Fantastic work Acutaas team, moving -- not just looking at this quarter, I mean, moving gross margins from 40%, 45% to upwards of 55% now in just about 2 years is a clear testament to your focus on efficiency and smart execution. So well done on that. Coming to my questions, 3 years from now, what would convince us that Acutaas successfully transition from a diversified specialty chemicals company to a sort of scientifically differentiated electronics-grade chemicals platform? And what would failure look like 3 years out?

So as our Chairman, Naresh bhai already mentioned during his speech, for him, in next 3 years, he expect all his three verticals standing -- not only standing on its own feet, they would be contributing meaningfully and generating a good amount of profit in all those segments. This is what we would like to see in the next 3 years' time.

Yes. So in terms of some of the critical capabilities, I mean, be it talent, purity control, customer trust or capital, what out of these will be the hardest to scale? And how are you positioning yourself just to protect the downside?

Okay. Sajal ji, when we started this journey, we design -- when we design the plant and everything, all the time lines and requirement of the project is designed. And accordingly, we are having successfully installation of the plant as well as parallelly recruitment o f the people, talent and also technology implementation, everything is as per the program and time line, we are doing that. So we don't see any hurdle in this kind of technical people available. Secondly thing is that whatever the processes are there, that is in-house design. So we have a strong knowledge about our processes. And wherever we don't know the strongness, then we do a JV like an Indichem, where we are doing an operation, but the knowledge is coming from our partner. So this is how we solve our problem or any issues which is coming in that. So I hope this will help you to understand.

Yes, it does. Yes. And lastly, beyond absolute R&D headcount, which I think is currently about 130-odd scientists. So beyond the absolute headcount, how has our effective scientific throughput changed over the last sort of 12 to 18 months? I mean, be it -- I mean, you can measure it in terms of projects per scientist, time to qualification or successful tech transfers to manufacturing. So I'm just trying to understand the rate of change that has happened in the organization above and beyond the R&D headcount, which we keep publishing over the last 12 to 18 months because a lot of material change has happened on the gross margin, as I sai d. And I've seen many chemical companies struggle with the gross margin, 40%, 35% in that range. Clearly, we have broken out. So something must have happened beyond the absolute numbers, right? I mean, so if you can just give us some sort of a qualitative understanding.

As when I started this journey in public, we always say that we are a company with a chemistry- driven company, R&D-driven company. So our core strength is our R&D. And our team, core people are very well knowledgeable about the chemistry, what chemistry we do. We are very expertise in that. We have more than 680 molecules developed in our R&D. So that will help us to understand the chemistry. USP of incremental margin is not only R&D, but every -- all the sectors, there are several parameters which is contributing to make the margin improvement, which is not only including the process improvement, but also energy, technology, operational efficiency, these all -- utility. Everything is combinedly work on that and that's how we had improved our margin. Also the product mix lay off some products which are almost old age and no margins remain in that. So these are all things which is cumulatively effort done by the team. And accordingly, we improved our margin. So from R&D point of view, our run rate of developing around 50 -odd molecules annually and which is we are doing very well. So -- and sooner or later, we go for the expansion of our R&D also as and when we require, we will announce that as well.

Right. Because I was coming to that. So currently, we are at 130, 140, you expect that number to bump up over the next 12 months or so, right?

Yes.

The next question comes from the line of Bharat Shah, an Individual Investor. Please go ahead.

Naresh bhai, I didn't have any question, but I just wanted to congratulate you and the team from a small firm with patchy businesses to specialty and multiple products, plus much more on the unveil from kind of commodity businesses in API and intermediate to specialty and developing CDMO, semiconductor and battery chemical specialties, I think the firm has come a fantastic way and all of that in a relatively short period of time. So heartily congratulations to you and the team. This is a dramatic performance.

No. And I've also seen that interaction with your team members is never about numbers, but about the business. And how well, for example, Abhishek, invariably deals with all business - related issues and how things are progressing. It is very heartening. Otherwi se, many of these discussions end up being very mundane, but this has been a refreshing exchange of views while talking to your team.

Thank you. Thank you, Bharat bhai.

Thank you, Bharat bhai, for admiring my team. I'm really happy to hear this kind of acknowledgment from a very veteran person like you from industry.

The next question comes from the line of Vignesh Iyer with Sequent Investments.

Congratulations on excellent set of numbers. Sir, my first question is on the working capital part of it. I wanted to understand what was our working capital days in quarter 3 net working capital. If you could give us a split of the inventory receivable and payable, if possible?

So it is 111 days, debtors stand at 100 days, inventory at 55 days and payable is at 44 days.

Okay. I mean so what is the standard -- I mean, I think the inventory days are a bit higher than usual. Any specific reason for that? Will we see that the days go down in quarter 4?

So traditionally, we said that 110 days are the standard for many quarters. And what we try to always see that we should reduce and come it down to 100 days. But 110 days is a very standard period and comfortable for looking at our business. 55 days of inventory, I believe that is a good benchmark in the industry also. So 55 days is a comfortable standard for wo rking with our kind of business, In fact, there is -- obviously, there will be many scope for improvement for inventory or working capital days. And we are working and we -- in fact, if you see, we have not only gone beyond our growth for the revenue. We have always kept our eyes on the balance sheet item and the cash flow. And if you see in last 3 years also, we have always sequentially improved our working capital days. Obviously, there will be a room for the improvement of inventory days or debtor days any time, but we have always been a good cash flow generating company, if you see last 3 years' performance.

The next question comes from the line of Vivek Gautam with GS Investments.

Congratulations on a consistently good set of numbers. Sir, my question is about the opportunity size for our different segments. And number two is about the Chinese competition threat in any of the segments, sir?

For Chinese competition, see, we are into the business of chemical and intermediate. So we cannot ignore the Chinese competition. And we have been dealing with all those competition for almost more than a decade. What I can say is that we are very good at a chemistry. That is our strength. And we do multiple chemistry for any of the product at a large scale, which is a key or USP for us as against any Chinese competition. And that's the reason you can see that for majority of our top products, we are the leader, covering more than 70%, 80% of the market share. So it's nothing or something which we are dealing day in, day out. In terms of market opportunities, let's say, for some of the products like anticancer, which is already going well, you can refer some of the presentation of our customer and end customers, which can give you the insight about these things. And in terms of this product like electrolyte additive space, where VC and FEC, we have a very humble capacity of 2,000 metric ton in terms of as against whatever -- as against the total VC and FEC market in terms. So as of now, we are very small as against the opportunity size available, both for the VC/FEC electrolyte additive product as well as the semiconductor space where we have only just started in this business. So 2,000 metric ton for VC and 2,000 for FEC, i t's a very small size as of now as against the full opportunity size.

And sir, lastly, how much of the exposure we are having for the U.S. market? And any impact of tariff and other things?

We have a very small amount of direct export to the U.S. market. Largely, it is from our subsidiary called Baba Fine Chem only. So we do not have much of the impact for U.S. tariff.

The next question comes from the line of Akshay with AK Investment.

Congratulations on very strong set of numbers. Sir, all my questions have been answered. But my only question is that after FY '26, can we grow sustainably by 25% to 30% year-on-year till next 4 to 5 years for consolidated business?

Sir, we have been growing for more than 25%, not for last 2, 3 years, we have grown more than 25% for more than decades. And that is what we have already guided the market that for next 3 years also, we would be growing more than 25% at a revenue level.

Yes. That’s right and very promising. All the best for the future. Thank you so much.

Thank you. The next question comes from the line of Jason Soans with IDBI Capital.

Just a small question I had. I mean, you have a 2,000 ton capacity of VC and FEC both, right? Now I just wanted to know you also have contracted...

4,000...

Yes. 4000 in total, yes. So sir, with the contract in place, any capacity utilization you are looking at going ahead? I mean, how much would that -- with the contract in place, how much of that capacity of the 4,000 it would take?

So because of the confidentiality of the agreement, we will not be able to share the utilization. Otherwise, people will figure out the contract details. So we are not disclosing it. But as I mentioned, we have good visibility in terms of contracts for FY '27 and going forward also. And we are expecting fast scaling up of this business.

Okay. And sir, just also with all that happening in China with the anti-evolution and things and with lithium prices, electrolyte prices and additive prices also going up with lithium carbonate and all, do you think -- I mean, whatever you're seeing that bodes very positively for the additives business going ahead?

So additive business, as I mentioned, we have already signed contract in place, which is more of a fixed pricing contract with variability if is there in terms of key raw material as well as the as well as the currency pricing. So we believe in long -term supply or long-term relationship with the customers. And obviously, we earn our margin based on those already signed contracts.

Okay. So this contract is in place probably for future contracts, it would be beneficial, correct?

So as I mentioned, we believe not on the short-term gaining of this market movement, we more driven by the long-term supply contract.

The next question comes from the line of Chandra Rampuria with Arya Finvest.

Hello, can you hear me, please?

Yes.

Yes, sir. Please go ahead.

Yes. Naresh bhai, superb results and very well done. And I have been following your growth for some time now and really impressed. Short while ago, you mentioned in the context of the anticancer CDMO that the projections are from the customer are in place till '28. So just wanted to get the clarification. Is it the projections are there till '28 or is the contract till '28?

We never said that we have up to '28, we have some projection or something like that. We always said that we have a long-term supply contract for the anticancer.

Because short while ago, you mentioned about the revenue guidance till '28 and that is based on customer projections. So that's why there's this clarity?

No. So for '28, we announced INR1,000 crores CDMO business. So that CDMO business is not only belongs to anticancer. This is the cumulative of several other CDMO as well. And that will be -- we will be complete by 2028. We reached this milestone. This is what I said. But that milestone, INR1,000 crores is not belongs to the CDMO of anticancer, but this is a bundle of several CDMO business. I hope this will clarify your doubt.

Sure. That’s helpful. Thank you.

Thank you to the JM Financial team for hosting our conference call. We appreciate everyone's patience and hope we have addressed most of your queries. If we missed any of your questions, please reach out to our Investor Relations team, and we will get back to you promptly. Once again, thank you very much and have a good evening.

Thank you. On behalf of JM Financial, that concludes this conference. Thank you for joining us, and you may now disconnect your lines. Thank you. This document has been edited for readability purposes.