Sure sir. Thank you very much. We will now begin the question and answer session. The first question is from the line of Abhishek Bhandari from Nomura. Please go ahead.

Thank you for the opportunity. Manish, thank you for the very detailed opening remarks where you spoke in detail about your top accounts and your ambition in the medium to long term. I have one question over there. If you could share what are the timelines you're looking to grow from this 40 to 100 on your top and the next two from 25 to 100? In the context of what happened in the history, how long did it take you to scale up these accounts? How do you go about it in terms of cross-selling? And what are the key impediments in achieving that? The place where I'm asking you from is while we look at the time it all looks very strong, b ut the growth rates what we cu rrently have are just around 10%, 11% year-on-year, while the numbers you're talking about are much, much higher. So if you could give some path over there, that would be helpful?

Sure. Thank you for the question, Abhishek. Now, it's very difficult to call out exactly how many quarters because as you would imagine we are talking 68% of our revenues coming from the top 20 pharma companies a nd they have their own pace of doing things. Now, in the past again, I had spoken about in the last call that if you take a decadal view, we had grown in the order of 24%-25%. Now, of course, that was a smaller base. And in the past, also, we have seen that customers would continue to be at a certain level and probably go up. Once in a while they can be a bit down. We don't see significant downturns. And then as soon as they get one of their activities together, which is more of an internal transformation, we see a big surge happening. And we believe some of that will continue to play out. Now, to get more specific as I had mentioned in the commentary earlier, today we are seeing a much stronger pipeline in general. If I look at the numbers including even the Q1 closed deals the quality of conversations and opportunities we are pursuing are very strategic in nature. We have spoken about how we drive consolidation across a set of marketing activities. And I remember me eting many of you and saying, if you think about 1 -10 processes, we would be doing, let's say, 5 -8, 5 -9 for our customers. Now, for the first time in so many years, we are also seeing customers talk about processes 3-4, which are much more upstream. And the reason they are doing it is that they are gearing up for new launches as have never happened before. And they are seeing that how can I get more and more budgets lined up for those new launches. So some of the pause which is happening is also happening because companies are right now trying to get prepared for the imminent launches over the next few years and rejigging their internal processes. So in that context, I would say that we expect some o f these bump -ups to happen over the medium term.

And also, just to probably add there, with some of the larger pharma companies, we also see that the decision-making gets pushed towards the end of the calendar year, which is also a reflection of their planning cycles, which are Jan to December. And as Ma nish mentioned, we see typical ramp-ups take about 4 -6 quarters post -initiation of a new engagement or expansion in the engagement.

Got it. Thank you. So Manish, this was my second and last question. Sorry if I missed it in your opening remarks. But if you look at your top 5, top 10 account portfolio, top account has done well, whereas the remaining top 2-5 or call it 2-10 there is still a weakness. I think you mentioned that you have some confidence on those growth-recovering paths. If you could tell us what kind of projects are these and by when do you think the ramp -up of these will happen in the course of Fiscal 25?

So it could be very client-specific, Abhishek. As I said, our largest client is growing and there's a very strong pipeline even after this growth. The remaining 2 in the top 25, that's where some of the weakness in the quarter 1 came in. One of them we believe was a very short-term thing, which is where I said we believe it should get corrected in a few months. The other company is going through a bit of a churn so that might take a few quarters. Now if I think about other customers, let's call it outside of these 3 customers in general, apart from 1 or 2 companies, which are facing their own challenges, they're missing their earning guidelines and hence restructuring, reorg and all this stuff across the board, we see a much stronger pipeline. And we are reasonably confident that again in the next few quarters we should start seeing all these companies ramp up. The whole pyramid of number of customers above 25 million, 10 to 25 number of million-dollar customers, we believe over the next let's call it 18 to 24 months, we should be in a much better shape from a KPI perspective.

Got it. Thank you, Manish, thank you Suhas and all the best for Fiscal 25. Thank you, Abhishek.

Thank you. The next question is from the line of Karan Surana from Monarch AI F. Please go ahead.

Hello, good morning, sir. Thank you for your opening remarks. Am I audible?

Yes, you are.

Sir, I just want to probe a little bit on the demand environment. You said that we've seen some softness in the last couple of quarters . So when you are having conversations with them, what conversations are you having on the spends with the top clients? Because as we see on your slide 18 sir, our client 3 and 4, like you already alluded, did see significant ramp downs, right? Our client 3 went from $35 million to 29 in FY '24, right? So can you just help us understand the spending environment with these clients and what transpired to see this ramp down post three years of very strong growth in these accounts?

Yes, so this is one customer which has its own issues . In this customer also, I think we would have alluded that at least in FY '21 and even '22, we had some bit of COVID -related revenues as well. Actually, FY '22 and FY '23, there was some bit of COVID -related revenues. `Those are one-offs, right? Which had to go and we are very clear of that. We had stated that earlier. So that's one impact. Subsequent to that, this is a customer which is going through significant change and that's the customer I alluded to in the earlier question which we believe it's going to take a few more quarters probably for them to stabilize and then for things to pick up. They have their own revenue issues, big client reorganizations and things like that. Suhas, you want to add on anything?

Yes, and having said that, Karan, we continue to engage with them on looking at how to shape their commercial activities as they come out of their internal reorg and other priorities in the near future. We are deeply engaged on being the digital partner fo r this client and of course, the priority today for the client is to get their act together and then we see that opportunity likely to move forward.

And again, I'm going to just double -click on and probably reiterate some of the stuff which I mentioned earlier. Across these clients and in these top three and many more clients across the board today, we are seeing that after having gone through, let's call it a wave one of consolidation in digital activities, they are now gearing up for wave two. And thinking about reorganizing to drive consolidation across those sets of activities. And we believe we are very well positioned to help them do that.

Got it, sir. So, sir, since our Q1 was kind of flat Q -o-Q for us to kind of replicate the last year's growth the ask rate from Q2 to Q4 on a CQGR is quite high. So, just to kind of understand is it naturally that our Q1 is usually soft and our growth picks up in the later half of the year or what makes us feel confident that at least we can replicate last year's growth rate? Or we might see this year, our year -on-year growth on a full -year basis might be a little bit lower than FY '24. So, just getting some sense of post-Q1, what could transpire from Q2 to Q4?

I'll let Suhas double -click on some of the things. But again, as I did mention earlier that our pipeline deal closures in Q1 and the quality of opportunities we are pursuing at reasonable stages are much more healthier than what we had in Q1 last year. Q1 last calendar year was a tough year for pharma in general . And companies were dealing with that. That was a year of slow growth. It was a year actually of degrowth for the pharma industry. It was a year of IRA being introduced as a regulation . And I think everybody now realizes what the external landscape is and things are looking better for them. And from a metric perspective, pipeline deals all the stuff is much healthier for us. And that's what makes us confident about this year as well. But Suhas, I'll pass it on to you for more details.

Yes. Manish already mentioned in his opening remarks about four opportunities that got converted. And this is what we are looking forward to from a future perspective given that those have already be en bagged by Inde gene. And of course, the pipeline and the kind of conversations, the quality of the conversations that we are having, we see that impacting us positively. The other thing that I would like to also highlight is that while our top five client concentration, if you look at got impacted adversely, Actually, when you extend that to top 20, you'll see that that has not been impacted as adversely, which indicates that there is growth in the rest of the clients in our top 20. And so it's business as usual in many of our accounts, more specifically outside of the two that Manish mentioned. And that also gives a fair indication of why we continue to remain bullish on our current year and beyond.

So just to probe a little bit, however it's encouraging that the deal pipeline or the pipeline that you guys are seeing is very strong. But just from a CQGR basis, I just didn't really get a sense whether you feel confident that in the 2H or post Q2 that our growth traject ory could replicate last year or we could even do better than last year?

Again, Karan, I would say we have demonstrated in the past an ability to grow at significant rates whether you look at it on a yearly basis or even on a medium-term basis. And we therefore continue to emphasize that it's something that we have done in the past and given the quality of conversations, pipeline and even deal closures that we are seeing, we remain bullish about the current year and future.

Okay, sir. Just squeezing in last one, sir…

Sorry to interrupt you, sir. May I request you to rejoin the queue for your follow-up question?

Okay, I'll rejoin the queue.

Thank you. The next question is from the line of Abhishek Kumar from JM Financial. Please go ahead.

Sorry to interrupt you, sir. May I request you to please use your handset?

Yes, so my question is, if I look at the segmental performance on a sequential basis, apart from Enterprise Medical Solutions, which has grown by 17%, every other segment has declined, I was just curious if, Enterprise Medical Solution has any contribution fr om Trilogy acquisition, which we closed towards the end of Q4.

Yes, so thanks, Abhishek. So from a segmental performance perspective, yes, Trilogy has contributed to that, because Trilogy being a regulatory writing business rolls up into our medical segment. But having said that, it's a very non -material acquisition. And the two client engagements that Manish , spoke about where we had a decline in volumes has adversely impacted the commercial segment more specifically, the enterprise commercial segment, and that showcases the decline quarter-on-quarter in the commercial segment. The other two segments, again, while it shows a decline, it's also on a very small base where we also have project by project kind of business being a little more significant than the two enterprise segments which contribute 80% to 83% of our revenues. And therefore, on a quarter basis, there might be some impact, sometimes positive, negative, but I wouldn't read too much into that. The recurring business and the longer business proportions are higher in the enterprise segments, which is enterprise commercial and enterprise medical. And your observation on Trilogy is accurate, but it's not a material contributor.

Sure. Next question, maybe to Manish. See, from what I understand, the work we do is a very non-discretionary sort of work, something which, pharmacovigilance or even S&M for drugs which are already in the market, they are, very critical for all the pharma companies for their operation. So, in that context, such sharp decline by a few clients, what are they cutting? Because this, if this is non-discretionary important, is this, kind of rate cuts that we are seeing or some closures of the program? Just explain, what kind of impact we are s eeing in terms of, our engagements with them?

So let me explain, and these are, that's a good question, Abhishek. And if I explain, it's client by client. One of our clients where I said they faced problems in 23 and continue to face problems, it's going to take some time. There, they're having a combination of a few things. One is in general, given the pressure they have on their financials across the board cuts . And significant reorganizations, which has resulted in general volumes dipping. So there are many things contributing to this client. Whereas the other one, it looks like that it's a very temporary thing. There is a model shift. What happens is a lot of our business, at least on the enterprise commercial segment, as I explained to many of you, that there are agencies across the world doing work for them, for the brand teams. Now they consolidated these activities . And said some of these activities will be done in a centralized way, get executed by Indegene. Now in some reorgs and all that stuff which has happened for this client, there has been leakage, and local markets have gone ahead and spent more on their own . Which is not a traditional thing. And of course, this company is committed to more centralized ways of doing things, is not only strengthening that, plugging the leakages, but also saying there are a bunch of other things which we had left to the market will also be centralized globally. And that's a thing which hit. Activities continued, of course.

All right, and this is the client where you think in a couple of months things can come?

Yes, absolutely.

Okay, great. That's very helpful. Thank you in all the best.

Thank you. The next question is from the line of V.P. Rajesh from Banyan Capital. Please go ahead.

Just trying to understand your pricing model…

Sorry to interrupt you, sir. May I request you to please use your handset?

Yes, so my question was, I'm new to the company, so I'm just trying to understand your pricing model. Are you selling a product where you have a SaaS model or is it a typical IT service type of model? Just if you can comment on that?

Sure, sir. Yes, thanks, Rajesh. So, we are not a SaaS product or our engagement models are not similar to the SaaS and subscription or licensing kind of companies. It would be closer to the IT services kind of model with a bit of nuance. We typically engage with our customers on multi - year framework agreements or master service agreements with the rates contracted for the entire tenor. This could be 2 years, 3 years, even 5 year tenors. These rate charts tend to be a combination of both time and material or FTE kind of billing and therefore per hour or per day or per month kind of rates, but also a set of predefined deliverables wherein there is a unit price which is already defined and even these could be having multi-level complexities or tiering, right? And therefore, when we design a SOW, which is typically on an annual basis, where these rates and the volumes that are estimated get aggregated and converted into a value, there is a combination of time and material and fixed price construct in the SOW whe n we contract, and this is typical for both enterprise commercial and enterprise medical, which is about 82 %, 83% of our business. So that's our typical engagement and pricing.

Great, I appreciate that. And my second question is that, given what we are seeing in the U.S. market, there could be a potential recession or definitely a slowdown that the market is anticipating over there. So in that context, as you can make out, how do you see the sales and marketing piece of the business that you talked about getting impacted, meaning your customers, which are the top 20 pharma companies, especially your top clients, coming back on some of that spending? So any thoughts and how are you thinking about that?

So from our perspective, and I think I've alluded to that in the last call, we don't see healthcare and definitely pharma sector being correlated to economic cycles. This is a sector which is much more resilient, compared to other sectors in a downturn. This sector has its own innovation cycles. There are a bunch, for example, I spoke about a bunch of launches which are coming up and hence growth will be stronger. Sometimes you have a bunch of patent expiries, which could cause slowness or like last year, what happened was a bit of a decline. But those declines are, by the way, really once in a while. In 2023, they happened. Before that, they had happened in 2012 or so . Typically, it's a long secular growth followed by one year of patent expiries coming together and impacting things. But it's reasonably immune or resilient vis-a-vis economic cycles.

Okay, thank you. That's all for now.

Thank you. The next question is from the line of Rohan Vora from Envision Capital. Please go ahead.

Yes, so first question was on the competitive landscape that you see today. So basically, as I understand, we also compete with the IT companies of the world in some part of the business and with the advancement of AI, their offerings on AI to the clients. How do you see that shaping up? Also, another aspect to this is that the pharma companies, their own AI advancements impacting the business that we can garner from them. So how do you see that s haping up is the first question? And then probably I can ask the second one.

Sure. So before, I think I would again want to reiterate we are a very different company. You've got to not think about us as an IT services company over here. We are a business services company. We're helping pharma companies do sales and marketing more effectively, managing their regulatory compliances more effectively, or helping in clinical trials. It's an area which we continue to invest in. These are super critical areas, business areas. 21% of our people are medical doctors, PhDs, pharmacologists, working with d ata engineers, data scientists. O n one hand omnichannel orchestrators, digital experts, and therapeutic area experts, oncology experts, bunch of those kind of profileson the other hand , where as you can imagine that's a very different profile set from any of the IT services companies. Now, coming back from a competitive landscape perspective, the few large categories or the incumbents in this space, servicing the areas I spoke about are - one is CROs , t he clinical research companies especially on the medical side of the business, there are agencies, specialized healthcare agencies and what are called contract sales organizations, servicing the remaining two segments which is enterprise commercial and omnichannel activation. Those are the incumbents. Significant market share still remains with them and as a factor of more and more shift towards digital, shift towards centralization, driven by the needs of better compliance, better cost and obviously doing digital in a much more effective way, a company like us has the right to exist and win. So to that extent yes those are the competent sets. Now, of course, we see IT companies playing in some of these things and not so much Indian IT companies, but I would say some of the global ones which are more credible. Outside of that as far as AI is concerned, our strategy as Indegene in many of the areas for a long period of time, has been bringing specialized expertise in various areas and technology tools and platforms to deliver better outcomes. We started investing in these A I-based tools way back in 2016-17, when Gen AI was not launched, but we were using traditional machine learning, computer vision, NLP type of technologies and techniques to build tools which are delivering differentiated outcomes. That enabled us to grow and win much more. Now, with Gen AI coming in we see that as an opportunity. There are a lot of processes which are being done in a traditional way. The level of accuracy and the benefit which can be driven by incorporating Gen AI in the solutions becomes much more. So net -net we believe in the medium to long term, that's go ing be an opportunity for us.

Got it. And on the other piece about companies doing it themselves basically so reducing our share in the wallet, does that worry you?

Not really. Some of the things which we do , especially specialize in, these are very complex, multi-skill, multi-geography type of engagements. We will have people sitting in Bangalore and those are not going be one set of skill sets. There will be digital experts, there will be technology experts, there will be content experts a nd just think about multiplying this complexity in 40 countries where we'll be executing these things and technology changing every day - that's not a pharma company internal thing. Skill sets which are very homogenous and I would say so, those are the things which companies are trying to internalize with the advent of Gen AI, but ours is operationally much more complex.

Got it, understood. And my second question was on the four new wins that you said, mid -sized companies. So a bit more color on that would be helpful, the size of the companies, the area of offering probably and just one thing on the debt part, so the interest outflow going forward will be negligible?

Let me take the second question. Interest outflow is going to be zero. We repaid the debt pretty much just before the end of the quarter. So from Q2 onwards interest outflow would be zero. And a bit more color on the wins that Manish mentioned. There are three of them are in the commercial area and one in the medical area. One out of the four is actually an expansion of an existing engagement in a significant way and these companies tend to be of a size, give or take, a little around USD5 billion in revenue. Some might be a billion lower, some would be in the range of USD5 to USD10 billion. So while these are mid-sized companies in the industry context, these are fairly large organizations, with global operations and multiple products.

Understood. Thank you. I'll get back in the queue.

Thank you. The next question is from the line of Harsh Chaurasia from Vallum Capital.. Please go ahead.

Good morning, sir. Thanks for giving me this opportunity. So I have one question. So basically last two, three months we have seen the healthcare and pharma GCC getting set up in India. So I wanted to know what can be the potential revenue impact of healthcare GCC getting set up in India on us? And secondly, could you please help us und erstand what is the kind of work, that is getting done in GCC and what we are doing? Can you differentiate between two of them? So that's it.

Sure. So that's a good question. Now let me start with that one. Every GCC is pursuing different strategies over here. There are a few GCCs which are doing a lot of IT work . They realize they don't want to do, they want to take some of the external IT spend and do it internally, given it's a very homogeneous skill set required . We have seen some of those. Some of the high value, very high value added medical stuff which was being done, we see some of them doing this part. But net-net one of the big challenges we as Indegene have faced over the last 10, 15 years is that we are going and selling to companies that what we could do a lot of your very high end, super critical work of helping you reach out to your physicians, pat ients, regulators, payers, d evelop all the material required, run the analytics, camp aigns, build technology i n an integrated way with a significant portion of our teams being in India. Customers were slightly, I would say skeptical about that. While IT services being done out of India was accepted, but some of these business services they were always worried about. The establishment of GCCs at one level actually from our perspective is an indication that customers are buying the ability that a l ot of this work can be done out of India. So net-net from our perspective we believe it's a very positive thing. We don't have to sell India anymore which we had to do a lot earlier. All the GCCs that are getting set up, all of them are our customers and while they are setting up some capabilities on their own, we are having conversations with them on what are the capabilities they would like to run with us.

Thank you. Ladies and gentlemen, due to time constraint, we will take that as the last question. I would now like to hand the conference over to the management for closing comments.

Thank you so much for joining this call and for a lot of these questions. I know we couldn't answer all the questions . Please feel free to reach out to our investor relationship team and we would be happy to answer those questions offline.

And we look forward to meeting you all in the next earnings call as well a nd thanks again for your participation. Have a good day.

On behalf of Indegene Limited that concludes this conference. Thank you for joining us and you may now disconnect your lines.