Thank you very much. Good afternoon and a very warm welcome to all the participants.

I would like to thank you for joining us today for Shaily Engineering Plastics Q4 and FY26 earnings conference call. I have with me Mr.

Sanjay Shah, our Chief Strategy Officer, and SGA, our Investor Relations advisors. I hope everyone has had the opportunity to review our financial results and investor presentations, which have been uploaded on the stock exchange as well as company's website.

Before discussing business performance, I would like to briefly comment on our broader operating environment. The quarter has witnessed heightened geopolitical uncertainty, particularly due to ongoing tensions across global trade corridors, which impacted freight movement, supply chain, and input cost dynamics.

For the plastics and polymer industry, this translated into raw material price inflation and selective logistical disruptions across certain export routes. Despite this environment, we were able to navigate the quarter in a stable manner, supported by a diversified customer base, long-standing customer relationships, disciplined execution, and very strong operational planning.

Coming to key business developments. During the quarter, Shaily achieved a landmark milestone with the successful commercial launch of our Shaily Harmony and Shaily Neo pen injectors with multiple customers for semaglutide in India as well as other global markets.

We have also today made a press release announcing this significant milestone, which can be found on our website. This is a significant achievement for us.

It represents years of development, qualification, and regulatory work coming to fruition at commercial scale. The semaglutide market is one of the fastest-growing drug segments globally, and our positioning as a supply partner in this space is a strong strategic asset.

Pen injectors manufactured by Shaily for semaglutide have been successfully launched by our customers in the Canadian market. This marks our entry into one of the most regulated and quality-demanding pharmaceutical markets in the world, and is a strong validation of our manufacturing standards, regulatory compliance, and the trust our customers place in us as a supply partner for critical drug delivery devices.

In addition to the launch in Canada, Shaily Shaily's pen and its customer are the first to receive tentative approval in the US market for semaglutide as well. Also, one of our customers received European market authorization for teriparatide.

These approvals are important validation milestones. They affirm the quality and the regulatory compliance of our manufacturing platforms across multiple geographies and therapeutic areas.

I'm pleased to share that we successfully commenced commercial supplies to our consumer electronics customer during Q4 FY26. This is a business we've been preparing and qualifying for over the past several quarters, and the commencement of commercial deliveries marks an important new growth vector for Shaily.

We are now an active participant in the consumer electronics precision component ecosystem, a space characterized by high complexity, tight tolerances, and less than a handful of players. We have signed a supply agreement with a Korean company for the manufacturing and supply of semiconductor trays.

This marks Shaily's entry into the semiconductor supply chain, a strategically significant development at a time when India is actively being positioned as an alternative manufacturing destination under the China-plus-one policy framework. Semiconductor trays are precision critical components, and our ability to win this business reflects our manufacturing depth and the trust global companies are beginning to place in Shaily.

In the industrial vertical, we received new business confirmation from customers for power tool and LED light components. These additions diversify our industrial base and expand the range of precision engineering applications that Shaily offers, from automotive components to power tools and lighting infrastructure.

Reflecting the confidence in Shaily's next phase of growth and the multiple new opportunities ahead of us, the board of directors have approved an enabling resolution to raise up to ₹500 crores. I would like to clarify that this is intended to be an annual affair.

The company will seek a fresh enabling resolution each year to maintain financial flexibility and ensure that capital is always available to seize high-quality, high-growth opportunities without delay. This is not a signal of an immediate, specific fundraise plan, but rather a disciplined approach to being prepared with capital.

As Shaily continues to evolve into a diversified, IP-led global manufacturing platform serving healthcare, consumer electronics, semiconductor trays, industrial, and other consumer segments, the pace and scale of opportunity demands that we remain agile. Having this resolution in place ensures that if and when a compelling, large, time-sensitive opportunity presents itself, the company remains ready for it.

We've also taken some significant steps organizationally to strengthen our operations to deliver the scale-up we have planned by onboarding Mr. Joe Camm.

An announcement was made earlier in February regarding Shaily hiring its Chief Operating Officer for Healthcare. I'm very happy to announce that Joe has hit the ground running and is taking real ownership and showcasing great leadership, taking Shaily's operational strengths further.

He has a very disciplined approach and is a stickler for quality, something that we hold very close to our hearts at Shaily. Coming to segment-wise performance.

The healthcare segment was the standout performer in Q4 FY26, with revenue doubling in Q4 FY26. For the full year, healthcare revenue surged 139% to ₹393 crores, contributing 40% of our consolidated revenue, up from 21% in FY25.

This shift in revenue mix is the central storyline of FY26 and reflects the compounding benefits of our multi-year investments in R&D, in pen injector platforms, and drug delivery capabilities. The consumer segment unfortunately degrew in Q4 '26, primarily reflecting weaker market demand for home furnishings across Europe and the US, our two largest export markets for this vertical.

For the full year, consumer revenues were at ₹512 crores, down 9%. While the near-term environment has been softer, I want to emphasize that the consumer business continues to add new customer programs, and we remain focused on building sustainable revenue streams in this segment, particularly through consumer electronics and semiconductor trays.

The industrial segment continues to grow, with Q4 FY26 growing at 60% year-on-year. For the full year, industrial revenues grew 41% to ₹87 crores, reflecting new customer additions and expanding engineering applications.

We secured new business from customers in power tool and LED lighting, both of which speak of the increasing precision and complexity of application that Shaily is now being entrusted with. As we look ahead to FY27, our priorities are clear: continue scaling the healthcare vertical, build and scale the Abu Dhabi facility on plan, deepen consumer electronics and semiconductor programs, and restore growth momentum in the consumer home furnishings segment.

The building blocks are firmly in place, and the team has demonstrated consistently that we have the capability to execute. I now hand over the call to Sanjay to walk you through the operating and financial highlights in more detail.

Thank you very much.

Thank you, Amit. Good afternoon to everyone on the call.

I will start with the operating metrics for the quarter and full year ended 31st March 2026, and then move on to the financial performance. Operationally, we continue to improve efficiencies across our manufacturing network.

Our machine utilization improved to 47.6% in FY26, compared to 42.2% last year. Exports continue to remain strong and contributed around 68% of our revenue in FY26.

Let me now summarize the consolidated financial highlights for Q4 FY26. Revenue stood at ₹237 crores, as compared to ₹218 crores during Q4 FY25, a growth of 9% year-on-year.

EBITDA stood at ₹69 crores, as compared to ₹55 crores in Q4 FY25, a growth of 27% year-on-year. EBITDA margin stood at 29.3%, an increase of 420 bps over Q4 FY25.

PAT stood at ₹40 crores, as compared to ₹29 crores during Q4 FY25, a growth of 40% year-on-year. PAT margin stood at 17%, an increase of 390 bps over Q4 FY25.

Coming to segmental revenue breakup for Q4 FY26. In the consumer segment, revenue stood at ₹102 crores, as compared to ₹148 crores during Q4 FY25, a degrowth of 31%.

Amit, in his opening remarks, has fully explained the reasons why this degrowth happened. In the healthcare segment, revenue stood at ₹113 crores, as compared to ₹56 crores during Q4 FY25, a growth of 110%.

In the industrial segment, revenue stood at ₹22 crores, as compared to ₹14 crores during Q4 FY25, a growth of 60%. Now coming to FY26 consolidated highlights.

Revenue stood at ₹991 crores, as compared to ₹787 crores during FY25, a growth of 26% year-on-year. EBITDA stood at ₹288 crores, as compared to ₹178 crores during FY25, reflecting a growth of 61% on a YoY basis.

EBITDA margins stood at 29%, an increase of 630 bps over FY25. PAT stood at ₹170 crores, as compared to ₹93 crores during FY25, a growth of 83% year-on-year.

PAT margins stood at 17.2%, an increase of 540 bps over FY25. Cash PAT for FY26 was reported at ₹219 crores, as compared to ₹135 crores during FY25, a growth of 62% year-on-year.

Our ROCE and ROE stood at 35.8% and 26.9% respectively as on 31st March 2026. Our debt to equity stood at 0.3x, and our fixed asset turnover ratio stood at 1.7x as on 31st March 2026.

Now coming to segmental revenue breakup for FY26. Consumer segment, revenue stood at ₹511 crores, as compared to ₹561 crores during FY25, a degrowth of 9%.

In the healthcare segment, revenue stood at ₹393 crores, as compared to ₹161 crores during FY25, a growth of 139%. In the industrial segment, revenue stood at ₹87 crores, as compared to ₹61 crores during FY25, a growth of 41%.

That concludes the update from my side. We will now open the floor for questions.

Hi. Am I audible?

Yes.

Hi. Congratulations, Amit.

Congrats to Sanjay bhai. Great set of numbers and sudden milestones in this quarter.

To begin with, let's talk about the healthcare. Amit, my question is what are your customers talking about?

Are you seeing basically what I try to understand, are your customers are coming back and asking more from you, given there's a good reception of semaglutide in India and other markets have opened up? Are there instances of that to begin with?

Yes. Given only two launches in Canada, we are asked for more product, and we're doing what we can to install more capacity as fast as we can to supply that product.

There are instances of being asked for more, certainly.

That's basically a great great indicator. Now since you touched upon the capacity, we have 25 million capacity came up in March, and then we have 30 million, right, earlier.

Are you using part of that 30 million also to supply semaglutide?

No, semaglutide is only from-- so we have the 25 million capacity that we installed in March is currently running at roughly 45% operational efficiency. It's a process to get into that final optimal speed.

We're going through that process of scale-up. We have consistently been producing at these levels for the last 45 days, which means that we will now be enhancing it [further in?]

coming months. From the 30 million of original capacity, that is a mixed capacity between several product lines, including insulin, including teriparatide, including several of our other including the autoinjectors, etc.

There is only a small portion of that capacity which is being used for semaglutide. The additional 25 million that will come in by July-August is purely for semaglutide, which will be, again, used for the global markets where the product is launched.

What kind of a optimal capacity we can achieve in these lines, both the lines?

See, what our target is that by the end of the year, both lines should be able to produce at 65 to 67 parts per minute effectively, which gives us a combined capacity of both these two new lines of around 40 to 42 million pens combined. That's where-- so

basically, 40 to 42 million is something which is the optimal 40 to 42 million pen is the say peak utilization, or the optimal utilization? Shaleen, the peak utilization--

For this year.

For this year,

yeah. Then and then what see, as you learn more about the lines and you figure out what upgrades are needed to to take it further.

Got it. No.

I'm

Hi, team. Thanks for the opportunity.

Firstly, congratulations on the new customer win in semiconductor and consumer electronics. Two questions from my side.

Firstly, on the semiconductors client with which we are kind of signed an agreement, right, how should one think about in terms of the supplies would be made to a fab player or an OSAT player? Is the understanding correct that these supplies would be happening in India?

Harsh, it will basically go to the OSAT players currently. Eventually, when fabs get set up in India, it will also go to the fab players.

Yes, supplies will currently be made in India, but there could be a possibility where we could look at exports also to this company. Currently, we'll basically be looking at supplies in India.

When should one expect these supplies to start from?

Q4 of the current financial year.

Got it. Okay.

Secondly, on the consumer electronics segment, right, you have mentioned that the commercial supplies have already begun. Here, is this a case similar to semiconductor vertical wherein the supplies would be happening in India, or is there a possibility that we could even export to say country like China or somewhere else?

Also related to this, how large is this opportunity for this specific client, if you could give some color on it?

Supplies will happen both in India as well as it will be exported. In terms of an opportunity, I think, Harsh, last time on the call Amit had mentioned that over a period of 5 years, this opportunity could be fairly large.

He had mentioned the numbers also at that point of time.

Got it. Just last, if I can squeeze in, this question is to Amit sir.

If you have to kind of give a roadmap, say 5 years from now, which vertical are you most excited about, say in terms of the potential or the scale? Or rather, let me put it this way, if you have to rate in terms of say the absolute size that Shaily as a company can achieve say on all the newer verticals as well as your existing verticals, how would you rate them, say between healthcare, consumer electronics, semiconductors?

I would say it's a tough question because nobody knows what happens 5 years out, but I would say healthcare and consumer electronics represent the two largest opportunities. Which scales faster is a very difficult question.

As you can imagine, the consumer electronics market is significantly larger than the pen market. There are very limited number of players in the pen market.

We, as being one of the few players present in that market, have a very significant opportunity to scale up. Those two I would put either number one and two, or both of them would be number one.

Semiconductor would be the second largest scale of opportunity we see. Then the industrial and consumer.

Industrial and consumer would more or less be together. Consumer is going through a bit of a rough time right now, but it will bounce back.

We've gone through these cycles in past. This is not the first of its kind, it will bounce back at some point.

Got it. Perfect.

That was helpful. I'll get back in the queue.

Thank you.

Thanks.

Thanks for the opportunity, and congratulations for the solid execution. My first question is on the pen side, healthcare side.

Would you be able to quantify the volumes which we would have done approximately for FY26? Because if I recollect well, we were guiding for around 26 million, 25-26 million of volumes for full year, if we were able to achieve that number.

That's my first question. Yeah.

Akhil, is it?

Yeah. Amit.

Akhil, I don't have the exact number, but I remember the last time I saw them, they're in the range of 23.3 or 23.5 million devices. Now, I don't know the exact tally off the top right now, but they're a little lower than what we had said, and primarily because our capacities are not able to produce what we had projected.

Sure. Sure, this is helpful.

Second, on the capacity ramp-up, right, the new capacity new additions what we have been doing, I believe that we'll be adding total 50 million by July-August as you indicated, of which 25 is already added. Is it safe to assume total capacity of 50 million should get completely utilized by end of FY28?

By FY28, I think what we're targeting is 40 million, 35 to 40 million pens from that capacity should more or less be in supply by end of FY28. FY28 is March '27, right?

March '28, yeah.

Yeah.

Hi, sir. Thanks for the opportunity.

First question is related to consumer electronics. Sir, just wanted to understand how should one look at margin profile, ROCE, and incremental capex which we might need for this category?

It's a difficult question, and the reason is that all numbers are not bad, they're quite good, but they only happen when you have scale, okay? If you look at Shaily's history, even consumer when we didn't have scale in home furnishings business, EBITDA margins were single digit, profit margins were to be very low single digits, right?

Consumer electronics is going to go through a cycle. Maybe the ramp-up will be a lot faster, but it will go through a cycle where until you have a certain amount of scale, you will not be able to see great margins.

The reason is very simple, because it's a technically challenging manufacturing environment. Your overheads are going to remain high even when you have less revenue.

A certain scale is necessary. Maybe that scale is $20 million, $15 million, or somewhere around there before you actually start seeing good margins come in.

Any indicative range, sir, should be in here about consumer ware margins?

Bhavin, we would not be able to give individual margins.

Very, yeah.

It's a B2B business, and I think you'll understand the reasons for that. All

right. Any incremental capex that we need for this business?

We have said that we would need to set up a plant down south. We are evaluating.

Our estimate is we will need an initial capex of somewhere around ₹100 crores when we set up the plant.

All right. Second question is related to, sir, eye applicator.

We have recently commissioned machines for eye applicators. Just trying to understand at what stage we are right now and when should we expect incremental revenues flowing in from this category.

Also if you can throw some light on what could be the market opportunity over here.

The eye applicator is being done for a single customer at the moment. Market already exists for that customer.

We won't be able to give you names, but the market already exists and it's a substitute product for one that they are importing. Again, it's meant for regulated markets, and we have factored the commercialization of the eye applicator in the current financial year.

Thank you for the opportunity. Am I audible?

Yes.

Yeah. Congratulations on the good set of numbers, sir.

My first question to you is, what are the entry barriers for someone looking to enter this space, and how long is the process for a partner to change or add an additional supplier to their drug filing made with regulators in let's say Canada and Brazil?

Okay. We'll talk about Canada.

If Canada you want to add another device to your filings, you have to run the full program, the full development program. It's time-consuming.

I would say nothing less than 24 to 36 months, and one really needs to look at costs and risks. Your costs are not going to be less than what you've spent on the first program, and then the risk of potential failure to get approval.

It's not impossible, certainly. I hope that answers your question.

What could be the approximate cost?

Look, on average, generic companies are spending ₹100, ₹150 crores, I think, on a program. I'd say probably 70, 80% of that you'd need to spend to add another device.

Sir. That is helpful.

My second question is, of the filings made in varied geographies, specially Canada and Brazil, what percent of the filings have been made with Shaily's device?

I've stated this in the past. I think if I look at the first six filers in Canada, 70, 80% is ours, I believe, 70% is ours.

In Brazil, it's a little bit more difficult because in Brazil it's a lot of partnership filings, not direct from our customers. We are not privy to all the partners in Brazil.

I am confident we will be in the first wave of Brazil approvals.

Sir. Thank you.

That was all from my side.

Dhruv, just to add to what Amit said, the two pharma companies who have got approval in Canada, both are with Shaily.

Sir.

Hi, good afternoon everyone and congratulations for a very strong performance. Sir, my first question is, you mentioned that this year we ended the year with 23.5 million kind of pens and I think we were thinking about around 36 million next year, 36, 37 million, and maybe 50 million, closer to 50 million the year after that.

Now that the Canada approval is in place for the two large players, but Brazil is still nowhere in sight, and India is taking off, given all this, do we still hold onto this number?

Look, for the current fiscal year that we're in, obviously our order book is frozen. It's now about how quickly our capacities come up and how effectively they're able to produce.

These are very, very complicated lines, it doesn't have a whole lot to do with our skill set to produce. It has more to do with how quickly can the lines be running at the speed they're specified.

I think for the current year, I'm fairly confident we should be on track. Of course, a big unknown at the moment is the line that comes in in August, which is not installed yet.

I think we'll be able to give you a better perspective on this probably towards our earnings call in September, October.

In Q2. In Q2, yeah.

Okay. Sir, a follow-up on that, sir.

Our supply to both the players in Canada would have started and will ramp up. If there is any bottlenecks on the production side, will that supply suffer?

How should we look at that part?

Bottlenecks on the? Sorry.

You're saying that we are ramping up the production, right? That are still in the early phases of production ramp-up.

If that doesn't go as per plan, is there any risk to the supply to any of these customers?

Oh yeah, if we can't supply enough, then there is a risk, right? Yeah.

Okay.

Okay. Sir, second question is, we are working with the innovators on the new project.

If you can give any update on that. You talked in the initial commentary that Abu Dhabi capex we are going, and that's one of the kind of a roadmap for the current year.

With the current geopolitical thing, any kind of rethinking on that project or any thoughts on that? These two questions, sir.

On the geopolitics, we don't we don't see it as as it being a long-term impact. If anything, it's a very, very short-term impact.

Again, it's not really impacting our project timelines. We have factored in adequate additional time for bringing up the facility in Abu Dhabi, and we're probably eating into some of that buffer at the moment.

Beyond that, it's a it's a great region. You've got significant amount of benefits on certainly on operational costs, ease of ease of supply chain, availability of really, really international talent.

As you can imagine, be very difficult for us to, while we have done a good job, it's difficult for us to attract very good talent in a city like Baroda. Abu Dhabi becomes overall a much friendlier place to to scale this business.

If we were looking at healthcare has been growing at almost 100% every year. If we want to continue that momentum, we need the right people.

Increasingly, what we pay for talent in for expat talent in India is much, much more than what we would in a country like Abu Dhabi.

Got it. Sir, on innovator part?

These conversations are advancing well. That's all I can say.

Until we have some breakthrough, I won't be able to divulge any further information.

Okay. Got, sir.

Thank you. That's it from my side.

Thank you.

Thank you for the opportunity. Am I audible?

Yes.

Just want clarity on the previous commentary you did on the capacity utilization. As you said that capacity which was live in March, we are doing 45% of our efficiently utilized the facility currently.

By the end of FY28 when we expect or along with the 25 million capacity which is going to come in July and so I just want a number for the FY27 and '28 that what optimum utilization we can expect from the total capacity which we'll have by the end of FY27 and '28.

I think the first, I've answered--

Bhavika, you've partially answered that question

also. I have answered these questions partially, but I'll just go through it again.

Look, our projections are what, 36 million pens this year, roughly 50 next year. When you look at all the smaller capacities we have, for example on Tristan, on Toby, those products aren't in supply, right?

When they get approval and they get into supply, those capacities will be utilized. On semaglutide we have, let's say for example, a total of 50 by the end of the year we'll have about 50 million capacity, we intend to fully or as fully as possible utilize that over the next 2 years.

Then we'll have a capacity on insulin, which we also intend to utilize at least up to a 60, 70% level. That's roughly as capacity stands today.

You can look at it as a range of somewhere between 40 to a 60 million kind of pens by at the end of 24, 30 months from now.

Got it. Sir, a second question I have on the margin side.

We did a quite good margin in this year. Do we expect this to sustain over time with the semiconductor segment coming in and along with the Dubai capacity?

Abu Dhabi capacity.

Short answer, yes.

It will be as Sorry. Yeah.

Just as long as we don't look at Shaily from a quarter-on-quarter perspective, otherwise the margins are sustainable.

Sustainable at 28% and more?

Bhavika, I think what we've been saying is if you look at more on a year-on-year basis, margins would be sustainable and we see margins improving.

Okay. Got it.

We would not want to get into numbers. Yeah.

Thank you for answers.

Good evening, team. Just two questions, Amit.

First, since our product was launched, I think, last week in Canada by both our customers, what has been the initial feedback from the customers? As well as can you also talk about the feedback from India launch, both two, three devices which we have launched in India?

Any complaints and all those things we have received?

I think we've two two two complaints. One one was a a user error.

It wasn't related to the device. One was related to the device.

It was slightly we had an issue on one of our printing, where we print numbers. There was a small issue.

In terms of performance, there's been no complaints. There is a particular Reddit forum that I tend to read from time to time, which, has kind of different user experiences in India, at least, on taking different GLP-1 different generic semaglutides.

Happy to say, at least, that, people seem to have trust in the in the Dr. Reddy's product, which is also, I believe, marketed by Torrent.

Sure. That is helpful.

Second question is, Canada launch has happened, but in your rough estimate, when do you expect the other three big geographies, say Brazil, Turkey, Mexico, to happen? Even rough estimate is okay for us.

Brazil we're expecting soon, very soon. I don't know if soon means end of this month, end of next month, but somewhere Brazil should come in.

Okay. Any update on say Turkey and Mexico?

These are also big geographies.

I think they will only happen after Brazil, to be honest. I'm not sure if they're able to come before.

Okay. These are from my side.

Thank you. Mm-hmm.

Thanks for the opportunity, sir, and congratulations for a great year. On our UK subsidiary, for the past two quarters, Amit, if you look at it, it has been the lowest margins as well as revenues over the past two years.

Earlier when in the calls, we used to tell that we should be able to maintain the growth rate and margins there. How should we look at the performance of the UK subsidiary with the commercial launch on the sema front happening across geographies and most of the customers would have been already onboarded to the platforms?

We're doing slightly more longer-term projects in the UK. Agreements, maybe engagement with customers that are going into multiple years, milestone-based revenue.

Sometimes you're not able to recognize certain revenue. We've significantly scaled the UK ops from a human resource perspective.

Again, doing some of these more complex projects. See, we've done all the pens and autoinjectors possible.

We cannot be only doing pens and autoinjectors, right? There's a next generation of drug delivery devices that we're working on, and those will be in development for a substantial period of time, be 3 years, 4 years, 5 years.

Now, we will still maintain margins in the UK, but you will need to look at working similar services between UK and UAE, right? The teams in both geographies kind of work in unison, look at a combined margin for the UK and UAE, if you will, and that'll give you a better perspective.

Sure. This margins that we have reported prior to the second half, should that not be considered going forward in our financials from FY27 onwards?

I think you should probably look at margins more on a year-on-year basis

rather

than on a quarter-on-quarter basis.

Yeah. Growth also should bounce back there?

Yeah.

Okay. The second question was on the purpose of the fundraise.

Of course, you have mentioned everything, but there was an interesting line that you had used that time-sensitive, capital-intensive and competitively rare, if you can elaborate more on this, what kind of capital intensity will be required here? Is it an urgent project where you highlighted that we'll be commencing supplies from Q4.

If you can elaborate more on this. Comments, no,

I think those two were very unrelated. The enabler, the resolution for fundraise is essentially just to be prepared.

We're not raising any capital right now. I mentioned that very categorically in my speech.

What we're finding more and more now are discussing projects where the scale and volume of the project and the capex required are very, very high.

Okay. Right?

Where we're looking at setting up capacities for 50 to 100 million pens or devices a year, we're not going to be able to service that from India or from Abu Dhabi, right? That capex would be a one-off substantial capex.

That is why the resolution is, so that if such an opportunity arises, we're able to quickly act on it.

Sure. Okay.

Thanks so much. Mm.

Hello, sir. I just have two questions.

One is with respect to the semiconductor tray. What will be our total addressable market once we start manufacturing to multiple clients?

As of now, we are doing only for one Korean customer, but what do you think is the total addressable market for this product?

We would be looking at supplying to everybody who is setting up semiconductor manufacturing in India or chip manufacturing in India.

Let me just rephrase the question. I just want to understand out of the total value chain of the semiconductor, what percentage of this in terms of value will be this product?

I think this is more of a volume game, where this is a consumable that would be needed by the semiconductor plants on a day-to-day basis.

Okay.

Obviously, the chip value will be much higher. This is for packaging, but it's a fairly decent value.

Understood, sir. Sir, my second question is with respect to the pen injectables, we have a existing capacity of 30 million pens, and we have added 25 million pens in March, and we are planning to add another 25 million by July-August.

What will be the incremental revenue from this newly addition 50 million once it reaches your optimum efficiency of 60, 65% in next 2, 3 years?

We've given out a total revenue number which is possible from the capacity. You should look at that instead of a incremental number.

It will be difficult to talk about it.

Total as in with respect to the total 80 million, right? What is that revenue?

Based on the fixed investment in fixed assets which we have, you could probably look at a 2 to 2.5x as a figure. That's the way to look at it.

Understood, sir. Thank you.

Thank you, sir.

Hello, am I audible?

Yes.

Thanks for the opportunity and Sanjay bhai, Amit bhai. I have a few questions basically.

The first was you alluded last quarter that you're seeing some rejections happening on machine. Rejecting 30%.

Just wanted an update on that. What is the rejection rate right now in healthcare and any other manufacturing challenges that you could face at scale?

Rejection has come down to 8% on the on the on the line,

and

the speed has also gone up. Now what happens with increased speed when we run it for several shifts, we come across the come across a breakdown.

That breakdown needs to be resolved permanently so that it doesn't affect the speed again. At the moment, we're running, at roughly 30 35 34 parts per minute on an 80-part-per-minute line, which is why I said that, we're running at 45% overall equipment efficiency.

The rejections are down substantially. It's work in progress.

It's should be resolved. It's not I think it's not an impossible task, it's just a matter of time.

Sir, could learning from this 25 million capacity that came in March, when you again come up with the newer capacity of additional 25 million over there, is it fair to assume that the initial rejections would be low given the learning curve you would have had till then?

Yes. It's not going to be zero, but it'll be lower, for sure.

Look, also much our learning, I think what we need to start doing is, we look at an investment cycle from triggering the investment to it going on stream of about 12 12 months. I think we need to look at 18 to 24 months now.

We have to initiate the builds far sooner. These are very, very complex lines, and as you can imagine, there's also a handful of suppliers globally who make these lines.

Got it. Sir, my second question is that the two more big areas that you're looking at now, that is consumer electronics and semiconductor.

Just wanted to understand that what sort of maybe hiring or depth in talent you're looking for in these areas and when would that hiring begin?

For consumer electronics, we're not doing anything in the Middle East. Middle East is purely healthcare.

Hiring will begin towards maybe quarter one next FY, all the way into September, October next year.

Got it. Okay.

Will you be looking to have someone like Mr. Joe that you hired for healthcare, would that be that sort of hiring, or would it be more in manufacturing related?

No, Joe's the Chief Operating Officer. I don't need two of them.

He's responsible for the India side, he's responsible for any site we put up globally. The team Okay.

For consumer

electronics and semiconductors, similar to that level you will be looking for, or that are maybe not that complex so yeah, you may not look for that is the question, sir.

I think what we need on the consumer electronics side is a very high degree of technical expertise rather than organizational expertise. We might lean towards someone with much higher technical expertise and maybe less administration or organizational expertise.

Again, it's candidate to candidate. We kind of take a call when we evaluate candidates.

Right. Fair enough.

Sir, just one last question, the semiconductor order that you got, just if you could qualitatively speak about it that time it took for us to qualify, how many players was Shaily competing against, and what is our edge in this product? That is all from my side.

Thank you.

Sorry, I too much echo on your line, Aman Tattani (Solitary Investment Managers): Okay. What was it?

In the semiconductor order just if you could qualitatively speak about it in terms of the time it took for you to qualify, how many players was Shaily competing against, and our edge in this product against other players, yeah.

Sanjay, you want to take that? I really don't know how many players were competing against, to be honest.

There was just too much of echo, I couldn't hear Aman properly.

Participants,

Am I audible now?

Yes.

Much better. Yeah.

Sir, in the semiconductor order, I just wanted to understand qualitatively that the time it took for us to qualify and how many players was Shaily competing against, and our basically edge or USP in this product, basis which we got selected for this order, yeah.

I think the reason we were able to tie up with this customer is basically because of the technical competence which we have. While the product looks very simple, it's extremely complicated, and it's made of conductive plastic, so that key technical skills required for molding the product.

I don't know how many people were there in the discussions, but I'm sure they would be in discussion with multiple people. The way we've looked at it is we'll be the sole manufacturing partner in India.

Got it, sir. I'll get back in the queue.

Thank you so much. Thank you.

Hi, sir. Am I audible?

Yeah. Sir, just a continuation to the previous participant's question.

Just wanted to understand on the semicon trays in terms of the landscape, is this largely China replacement sort of a opportunity? Because I understand you will be sole suppliers for your client, but how do we look at it from a more 5-year perspective over here?

Who will we be competing, even if it is in India? See,

if you look at from a global perspective, there are players in Korea, there are players in China, there are players in Philippines who basically manufacture chip trays. Some of them might come and set up shop here.

Then you'll be basically competing against them. I don't think on a long-term basis any of the chip manufacturers would look at importing these trays on a day-to-day basis because this is something which is required by them everyday to run the plant.

Okay. Sir, assuming these players do come into India and set up shop, going down the line, do you think that there will be sort of pressure on the profitability that we would probably enjoy in the first few years?

It's a little too early to talk about it in terms of that question. Again, a lot of it will also depend on the quality, and if you're tied up with them earlier, then you have a much more longer duration ship, then the customer would not be willing to make that change also, there could be multiple factors to work around that.

Okay. Sir, roughly would we know how cost-competitive say a Chinese player would be versus us?

Again, it's something which is currently difficult to answer, Heena.

Understood. Sir, one small question.

I think we did speak about what sort of pen supplies we'll be doing this year. I think initially I heard 40 to 42 million, but then we also mentioned 36 million.

Just wanted to understand the right number for FY27 that we would be targeting.

I think Amit mentioned this to be 36 million, right, Amit?

Yeah. That's correct.

Got it. Understood.

Okay. Thank you.

Those were my questions.

Thanks.

Hi, thanks for the opportunity. Am I audible?

Yeah.

I wanted to know that on the recently announced ₹423 crores order of pen injectors from a large domestic pharma company, can you clarify whether this order is entirely incremental or it includes extension of any existing business orders? Also, can you share any broad details regarding the customer profile?

We are bound by NDA, we will not be able to share the name of the customer. Otherwise, we would have put it in the press release.

The other details are already in the release. It's a supply over 4 years.

Pen injectors.

It is incremental over the 4 years, right?

The supplies are spread over 4 years. I don't understand what you mean by incremental.

Order win, yeah, exact. Sorry.

My second question is that have we signed any agreements or entered into any commercial engagements with the innovator companies in the GLP-1 segment?

No, not yet.

Thank you. That's it from my side.

Yeah.

My question is about the healthcare revenue that grew almost 139% in FY26, but the consumer declined almost 9% and now sits at almost 52% of the revenue versus 71% a year ago. Now, you have this ₹423 crore pen injector order that is spread over 4 years.

Can you help us understand the quarterly healthcare revenue run rate that you expect in FY27? Specifically, what proportion of this ₹393 crores of FY26 healthcare revenue was one-time ramp-up versus the recurring supply, and at what point does the consumer need to recover for you to sustain almost something say like a 25% consolidated top-line growth?

Shrenik, I think it's very difficult and we do not give out quarterly numbers, the way you are looking at it.

Only for the pen injector order, just kind of a run rate is what I was thinking. No, so

that's the same thing. We do not give out that, and quarter on quarter would be very, very difficult for us to do that, we don't give that out.

The second question is what sort of revenue comes from one-time and what is regular supplies. It's a combination.

Again, we don't give the breakup of those numbers, but this year you will see a lot of ramp-up happening on GLP-1s with the launches that which have happened in India, in Canada, and expected launches in other countries. A lot of it will basically be regular supplies which will happen, you will see a ramp-up happening on that.

Any lights on when you expect or when you feel that the consumer need to recover, the consumer division?

See, the consumer business has seen a degrowth in the second half of the year. When you look at first half, the consumer business grew.

That's because of what's happening globally. With the US and Europe, two large economies seeing a dip in demand, in quarter four we also saw some cancellation of orders or something from Middle East because of the war happening there.

I think as and when the global situation improves, you would see that demand coming back. At the same time, as we have mentioned in the presentation also and earlier, we continue to add more products on the consumer space, and we will continue to do that.

The growth will depend on how the global situation pans out.

All right. All the best to you guys.

Thank you very much. Thank you.

Thank you very much. FY26 was marked by disciplined execution and continued improvement in operational performance.

Our focus remains on scaling our new capacities with disciplined finance management. We remain confident of delivering profitable, sustainable growth in years ahead.

Again, thank you, everyone, for joining the call. We hope that we've been able to answer all your questions adequately.

For any further information, I request you to get in touch with SGA, our Investor Relations advisors. Thank you, and have a nice evening.