CIPLA — earnings call
The transcript as filed. Every paragraph is addressable: its link names the page and the position it sits at in the call.
Prepared remarks
LIMITED · MR. NAVEEN BANSAL - INVESTOR RELATIONS TEAM,
MR. KEDAR UPADHYE - GLOBAL CFO, CIPLA
MR. NAVEEN BANSAL - INVESTOR RELATIONS TEAM,
Moderator · Conference Operator
MR. KUMAR GAURAV – KOTAK SECURITIES LIMITED May 14, 2021
Questions and answers
Moderator · Conference Operator
Thank you very much.
We will now begin the question-and-answer session.
The first question is from the line of Saion Mukherjee from Nomura.
Please go ahead.
Saion Mukherjee
My first question is around the India business.
Kedar, if you can break it up please for FY'21 between the key COVID-related products, how much they contributed, Trade Generics, the normal prescription business and the consumer business, that would be helpful?
And second question on India is you mentioned about 5x increase in our Remdesivir supplies from last year.
What is the outlook on supplies for antibody cocktail and Tocilizumab for this year and how that compare to last year?
Kedar Upadhye
Saion, I will take the first question.
The total COVID medicine sales for the full year at a company level is around 4% or so, it is still less than 5% on full year basis.
In Q4, it is less than 3% or so.
So I think you should work with some of those numbers.
The split of prescription, generics and CHL, we do not want to go into too much details, but generics continues to be less than 20% of the overall One India revenue that we have declared, the total One India is around Rs.7,700 crores and the Trade Generics is less than 20% of that, but it gets little tricky because as you know we have launched an active program to transition consumer brands to the CHL business.
I think the best way to look at the whole thing in totality going forward because the base would be different, Saion.
But you can roughly work with those numbers.
Overall COVID medicines for the full year is between 4% and 5% at company level, split largely to India but some into EM and South Africa and other geographies as well and the split on Trade Generics is less than 20% of total One India.
To your last question, it's actually the cocktail deal has been signed and as you know we have announced it, we feel quite good about it, I think the reports are pretty strong and it's a great weapon in the fight against pandemic.
All these details, Saion, we would be more comfortable to announce once the actual launch happens… the launch by the way is not far away from today, but I think with respect to capacity, number of orders, pricing, all that we will be comfortable to share once the launch happens.
Saion Mukherjee
My second question would be around the US market.
You had ramped up Albuterol.
So how should we think about fiscal '22 now both with respect to Albuterol and new launches if you can provide some color or growth prospects for fiscal '22?
Umang Vohra
Saion, where we are in terms of Albuterol, we still see some expansion in the market going forward and I think we adjusted Q4 as response to the competitive entry into that segment.
I think in terms of launches, we have a reasonable launch in this year.
I think some of those will start coming out starting with Q1. And I think the big year for launches obviously for us will be the next year, but we will have a reasonable year of launches this year which will allow us to May 14, 2021 sustain and grow the trajectory in the US as well.
We aren’t providing sector guidance Saion; so there will be growth in US and there will be a reasonable number of launches.
Moderator · Conference Operator
Thank you.
The next question is from the line of Prakash from Axis Capital.
Please go ahead.
Prakash
A question on the gross margin.
I missed your comments.
You spoke about shelf stock adjustment in Albuterol with the new player coming in.
Was that correct listening or you want to repeat that for the benefit of doubt please?
Kedar Upadhye
Yeah, Prakash, there are two, three reasons.
This keep happening based on quarter-on-quarter stocking of inventories but some of the products that we had built during this period which we couldn't liquidate and the charge off on our inventory overheads that happens when the stock goes down, you would have noticed a significant drop in this quarter in the inventory holding, that was with respect to the plant shutdown.
So the overhead charge-off, that is a one-time thing which hit in this quarter.
And there is a third shelf stock adjustment for Albuterol.
So, all the three contributed the total quantum is approx. 200 basis points, Prakash.
Prakash
Because YoY and QoQ you have improved on the US with higher profitability business.
So I would have assumed that the gross margin would have improved.
Kedar Upadhye
Correct, so if you adjust I think this two, three reasons, there is an improvement in the margins.
Prakash
You mentioned one more generic entry in Albuterol, is that correct?
Kedar Upadhye
This is Sandoz, right?
Prakash
No-no, but that's just replacement from one distributor to other, right?
Kedar Upadhye
Yeah, that's the same.
Prakash
So is it fair to understand that they have seen some collection in the market in terms of prices and hence you have to take readjustment, is that understanding correct?
Kedar Upadhye
Yeah, that was expected, I mean, every single additional player, while the adjustment was not very disruptive given the fact that we enjoy very high share within the Proventil market, the magnitude is not very high by the way, but after entry player, I think minimal pricing adjustment is expected.
Prakash
Second one on your market share today and where we expect to reach by end of this year for your products?
Kedar Upadhye
So within generics, TRx share is about 16.5.
If you take the total market which is brand plus AG plus GA, it's about 13.2.
Within the generic Proventil it's obviously as you know we hold the May 14, 2021 whole franchise, so that's about 87%.
And as Umang explained, there is a headroom for us to grow on the shares during the next year.
Moderator · Conference Operator
Thank you.
The next question is from the line of Nitya Balasubramanyam from Bernstein.
Please go ahead.
N Balasubramanyam
My first question is on US specialty.
So Avenue Therapeutics, we understand they do not get an approval for IV Tramadol before April 30.
So if you can explain to us what does it mean, is Cipla still likely to go ahead with the transaction, would you be renegotiating, any color on that would be helpful?
Umang Vohra
Nitya, the approval is awaited.
Cipla is still invested in Avenue and Cipla has an option to close the transaction deal on Tramadol up to a certain point in the future which I believe is six months from now.
And I think a lot of what happens will depend on what we hear from the FDA going forward.
So, I would think that the obligation for Cipla to close the deal has expired on 30th of April, but I think the right to close still exist for some time about six months or seven months later and obviously that depends more on what we hear from the FDA.
N Balasubramanyam
Do you have the option to renegotiate if the labor changes are not as expected?
Umang Vohra
There is nothing in the agreement that allow either party to renegotiate.
So, I think as long as the agreement is not mandating any of the parties to renegotiate, I don't think there is an absolute necessity to renegotiate.
N Balasubramanyam
My second question is on India sales and marketing spend.
I think in one of the earlier calls Kedar you had mentioned that you would be expecting 400-500 crores savings.
If you can update us on which was that, what part of it you potentially see being sustained that to FY'22 as well, if you can throw some color on have they normalized already if Q4 is a normal quarter in terms of the spend and how do you see that shaping up in FY'22?
Kedar Upadhye
Nitya, this is an evolving matter for us.
So for FY'21, I think we exceeded what we thought the saving target we could have vis-à-vis our operating plan.
We also said in the last call that we are pretty energized and excited with respect to the levers that we have been able to unleash during this period through multiple ways; one is obviously virtual mode of engaging with channel partners, customers and healthcare practitioners; secondly, introduction of digital wave to run our own business; and thirdly relooking at what is actually discretionary spend and what is the cost of doing business.
So, I think our discovery of how efficient our model can be for our domestic business has unleashed a lot of potential, our attempt is to preserve it in the next year and the expectation is not at all to plough back all the costs that we saved in fiscal '21.
And that's the comment that I made that vis-à-vis our historical trajectory of EBITDA to 16%-19% or so, we have been able to go to 22.5% or something and idea is to sustain and the structural levers have been unlocked.
And a large part of this improvement especially on the cost side and sales and distribution side has got to do with the India business the way it works and engages.
May 14, 2021
N Balasubramanyam
Can I assume Q4 was a fairly normal quarter for you in terms of what you would have normally spent on the ground with doctors, sales, marketing, etc.,
Kedar Upadhye
To a great extent, the team starts getting ready in the Q4 to deliver in Q1 to some extent.
While that's true the activity is lower as well, so, I think more or less I think you could model that way, but obviously the sales base of next year is higher, so the investment and the activities which are required will be different as well.
So, I would just caveat your statement with respect to this change in the shelf space.
N Balasubramanyam
On Advair, Umang, you had mentioned that you are working on a query.
Can you tell us a bit more about, have they asked you to generate additional data, is it the major CRL, minor CRL, what could be the regulatory cycle, just give us a bit more sense of when we might see this product in the market?
Umang Vohra
I don't think we have to generate any further pharmacodynamic clinical data.
I think clinical data is, from what we submitted does not have too many questions and generate data the FDA always ask for the additional information but for us it is all information related to the non- clinical portion of the product.
So, we are in the process of replying and I think we should get be able to reply shortly to it and then that would start the inspection review of the product as well.
N Balasubramanyam
This is usually six to eight months regular timeframe once you have submitted your response?
Umang Vohra
I would hope so, but I think on this product, Nitya, we had already said that from the time we filed which was May of the year before this, we said that the earliest that we can expect anything is going to be a period over two years.
I think from the time we filed, you could make the calculation, two, two and a half years period is pretty normal for a product like this.
Moderator · Conference Operator
Thank you.
The next question is from the line of Niraj Khetan from VT Capital.
Please go ahead.
Niraj Khetan
For the quarter, year-on-year growth has been 4% for India.
Can you tell us the ex-COVID growth for the quarter?
Kedar Upadhye
There are a lot of moving parts, Khetan.
I explained you the contribution of COVID on a full year basis, you should model based on that, but all the businesses continue to be strong and you would have seen the market data for April as well, so, I think you should model based on what we just said.
Moderator · Conference Operator
Thank you.
The next question is from the line of Neha Manpuria from JP Morgan.
Please go ahead.
Neha Manpuria
Just want some clarification on the EBITDA margin trajectory that you talked about.
Several times you said that the margin would improve from the 22%, you also mentioned that the efforts will be to sustain at this level.
Given that India cost will normalize to some extent next year, what are the additional drivers for the margin versus FY'21 level?
May 14, 2021
Kedar Upadhye
Neha, the investments for India business will be highly productive.
So we are not worried about that.
Even if there is an escalation which happens, as I said, we will link it to the activity and we will link it to the sales base of fiscal '22.
So any incremental marginal plough back that we have to do from the saving that we did in fiscal '21, we are not worried about that.
But I think there are several levers available; pricing is one, mix is another and the portfolio, the launch momentum as well.
So I think between these three, four across businesses, we have a plan, Neha, which suggests that the sustainable trajectory of the EBITDA is the range in which we are reporting now.
Neha Manpuria
Just to understand, what you are trying to say is that it will fluctuate, 22% to whatever percent is the range you would like to move over the medium-term?
Kedar Upadhye
That's true, Neha.
Neha Manpuria
On the gross margin, historically it was 63% to 65% number.
Even if I were to adjust the 200 basis points, we are in the lower end of the number.
Does it mean not only US markets to come through and therefore it's more FY'23, FY'24, is that the way to look at gross margin?
Kedar Upadhye
I think so.
And another reason is a large part of our Trade Generics business, to some extent our prescription business the items are bought out.
So the loan licensing operation we have, the TPO operations that we have is where we buy the product.
I certainly agree gross margin is more we should track but EBITDA is more representative when you the businesses which do not have organic source of the material, but we buy it from outside because the material cost subsumes overheads of our vendors.
I think EBITDA is a little more representative.
So, I think mix of a particular quarter and typically Q4, Neha, you have seen the trend over the years that by virtue of change in mix and the gross margin get subdued to some extent.
It's more of a blip issue in a particular quarter rather than any weakness per se.
Moderator · Conference Operator
Thank you.
The next question is from the line of Nimish Mehta from Research Delta Advisors.
Please go ahead.
Nimish Mehta
First, can you offer some clarifications regarding the shelf stock adjustment that you have taken on Albuterol, I mean are they lost sales or you see you will be able to recover it?
Kedar Upadhye
No, I think the shelf stock adjustment is typically given when you match the price, let’s say after every entry of additional player there is a price adjustment that happen, then you match and for the quantities which are being held by the customer, you offer this discount.
It's not very material by the way.
If you normalize for this, I think we are in line with the sequential revenues for the US Generics business.
But this is a regular happening within the US Generics market, Nimish.
Nimish Mehta
But you mentioned that there has been a 200 basis points impact.
I guess that would be a margin which is why….
May 14, 2021
Kedar Upadhye
No, 200 basis points impact on the margin is primarily because of certain inventory write-offs and the overhead charge-off that I refer to, the shelf stock adjustment is not the major reason and as I said I think there is a headroom from the market standpoint, I think for Albuterol there is a strong headroom that we have in fiscal '22.
Nimish Mehta
Other question is regarding again on the US Generics pipeline.
A couple of products that we see are important for Cipla and that can be launched.
If you can give some color, one is Lanthanum Carbonate and second is the Nanopaclitaxel?
Umang Vohra
I think we don't offer product-specific.
One of these is probably slated for launch in the next few months and other one is we will probably launch sometime in the latter half of next year.
Nimish Mehta
Both of them are important opportunities, right, is that a fair understanding?
Umang Vohra
Yes, if you are asking me whether these could be meaningful launches, I think one is obviously much bigger than the other, you could say these are meaningful launches for us.
Moderator · Conference Operator
Thank you.
The next question is from the line of Sameer Baisiwala from Morgan Stanley.
Please go ahead.
Sameer Baisiwala
Umang, you mentioned that fiscal '23 for US will be a big year for new launches.
Can you expand on that?
Umang Vohra
Sameer, there are quite a few products that are lined up for FY'23 for launch in the US which are meaningfully big.
Obviously, it depends, they are complex in nature and they depend on the timeline, but I think we see FY'23 is a fairly significant year for the US generics business.
Sameer Baisiwala
Other than these three, is there something else on your mind?
Umang Vohra
Yeah, there are a few others as well, Sameer, in FY'23.
Sameer Baisiwala
Secondly, on peptide products, I probably missed your comment, did you said you are partnered for five products and the presentation says of which you have filed for two including one ANDA, is that correct?
Umang Vohra
A lot of the peptides we are doing, we have partnered.
It's a fairly complicated API science as well as most of these are issues with devices and things like that.
So we have partnered and of that we file too and these filings will increase as we go forward.
Sameer Baisiwala
What do you think would be the approval cycle here, is it like three years plus going forward?
Umang Vohra
Some have IP, Sameer, so obviously that we have to follow that.
But generally for those which IP is not there, I would expect 24-months would be a regular expectation.
May 14, 2021
Sameer Baisiwala
On EBITDA margin, I am little confused, because I think in Q1, Q2, Q3, all the three quarters you were doing more like 23%, 24% and 22% looks good on a full year but in Q4 suddenly it comes down to 17%, Kedar, I think you have explained for 200 basis points.
What about the rest and why such a sharp dip and how should we think about it going forward?
Kedar Upadhye
Sameer, in Q4, historically the trend is that sequentially typically go down from Q2 and Q3 because typically Q2 and Q3 are respi seasons for us in India and sort of that changes in Q4. This is basically the mix in domestic in the overall company which is probably the only reason which causes this change.
Because fundamentally and structurally, business-by-business nothing changes, it's more the mix at the company level rather than anything else.
Sameer Baisiwala
Umang, just your thoughts on vaccines.
I know you are doing so much on the COVID, on the therapeutic side and thanks for that, it’s a wonderful job.
But on vaccine side, Cipla has not done much.
Are there any big entry barriers to this business in terms of manufacturing, etc., how are you thinking about it?
Umang Vohra
People have made a business out of vaccines and some of those companies are as big as Cipla and they have large manufacturing footprints like Cipla does.
Its been there for the years in the vaccines business.
So, I think for somebody like us to overnight compete with any of them is very difficult, we would not probably engage for us to do that.
Having said that, I think what is the easier part of vaccine is more the fill, finish.
The drug substance part of it is, science is different than what we want.
So, I don't think we have any immediate plans of developing our own vaccine, I don't think we are going to do that.
But as I mentioned earlier, we are always open to partnerships that we can have if people are interested to partner with us.
Moderator · Conference Operator
Thank you.
The next question is from the line of Charulata Gaidhani from Dalal & Broacha.
Please go ahead.
Charulata Gaidhani
I had two questions.
One, pertaining to the increasing cost of raw materials that has been in the news for quite some time.
How well is Cipla protected against this?
And do you see increase in realizations happening relating to COVID products?
Kedar Upadhye
Charulata, we have been vexed with this procurement cost escalation in fact throughout the last year, but fortunately, it is happening in select products, it's not that the whole portfolio is going up and getting escalated in terms of cost.
I think for selected products, where there is an issue with respect to closure of a particular plant or something else happening in China.
That's what we have experienced and on the whole while we have seen an escalation we have been able to handle it well from the EBITDA standpoint.
So that's how I would answer.
Our big priority actually is to secure the quantity of material that we need and we have been able to manage both the quantity and the cost of procurement.
To your second question actually the COVID products cannot have a price increase, as you know, all the seven manufacturers of Remdesivir took a price decrease in line with the affordability and access goals in India.
So that's the reality.
We are happy to work with the Indian government on those angles.
May 14, 2021
Charulata Gaidhani
Another question relating to South Africa.
This quarter we had seen a slightly lower growth in South Africa compared to the other quarters.
So do we think that this is a new base?
Kedar Upadhye
No, it's not a new base, I think we grew by 10% in ZAR in this quarter which is significant, I think our outperformance in South Africa across each quarter for the full year and is more than three to four years is phenomenal and within that you can see from our presentation the private market actually has grown by 13%.
So, when you read South Africa as an overall pharma market, is either declining or growing in low single digit, I think this performance is incredible and that goes to our leadership on the ground there.
So, I wouldn’t say that Q4 growth is muted or anything like that.
I think the outperformance vis-à-vis the overall market continues.
Moderator · Conference Operator
Thank you.
The next question is from the line of Krishnendu Shah from Quantum Mutual Fund.
Please go ahead.
Krishnendu Shah
Wanted to ask on Umang alluded to on '23 launch of Nanopaclitaxel and Lanthanum, are they partnered drugs or we are solo on that?
Umang Vohra
It's our own.
Krishnendu Saha
Just on the margin front, this quarter we are having a percentage increase, we are going to ramp up our R&D expenditure going ahead, a couple of filings to be done with partners.
So do you still maintain that EBITDA margin of 22% in spite of that going up to 6%, 7%?
Kedar Upadhye
We would do that, Krishnendu because I think add the increasing revenue scale anywhere 6% to 7%, I think now considering the pipeline that we have and the programs that we are running.
I don't think that should prevent us from growing our EBITDA.
I think there is good headroom to improve EBITDA percentage and we had committed to that.
Krishnendu Saha
It’s coming to roughly around 4.8% for the full year this year.
So next year it will probably inch up on that.
Thanks a lot.
Moderator · Conference Operator
Thank you.
The next question is from the line of Surya Patra from PhillipCapital.
Please go ahead.
Surya Patra
Kedar, the kind of digital initiatives that we have taken, that is known.
So, what is the kind of saving that one can anticipate on the cost front, let us say if we consider FY'20 is a kind of base year, from that to FY'22, what is the kind of a sustainable saving that one can anticipate on this front because of the digital initiative?
Kedar Upadhye
Surya, this initiatives span on our each area of operations throughout the company, I think starting from sales and distribution and commercial within India and across the globe, then going to manufacturing and quality, then supply chain and all the other corporate functions as well.
I think in each function we have been able to identify a very specific case of lever, Surya, which means that I think we digitize our operations which convert the activity to a virtual mode and May 14, 2021 we identify efficiency to unlock the time and the cost to run each activity.
So either you eliminate the activity if it is not value adding or you digitize, make it virtual, I think we are encouraged with this work that we have been doing throughout the company.
I would not be able to tell you the quantum which gets subjective at times because sometimes you eliminate non-value adding activity, sometimes you stop discretionary activity and sometimes you run the activity but in a different mode.
But all throughout I think we are energized, that much I can tell you and we don't want to have them as a flash in the pan for fiscal '21.
As I said, our attempt is to preserve this going forward and I can tell you one of the most active workstreams within the company.
Surya Patra
Second question is on the kind of COVID portfolio and it's kind of a profitable contribution going ahead.
How sustainable is the opportunity it looks like although there are talks and things are moving every day or it's not very clear on many aspects about COVID, but how sustainable the opportunity could be so far as contribution from this portfolio is concerned?
Is it relatively more better profitable segment compared to the current blended margin of the company?
Kedar Upadhye
I just said that the total COVID sales in fiscal '21 are around 4% or so at a company level primarily to India but into other geographies as well.
From our vantage point, we are looking at the second wave how lockdowns are evolving in each state, tough to say how much contribution will sustain but we see this longer-term business and as a responsible pharmaceutical company, we are deeply committed to it.
And the reason we are doing these deals with Roche on the COVID antibody cocktail, Baricitinib and products like that, I think it comes from this vision of caring for life.
So, it's not going to go away in months or so if that was your question, but it would be tough for us to tell you precisely, but as I said, at a company level in revenues and profits not that it's a huge contributor but whatever it is, it will sustain to a great extent in the near-term and overtime obviously it will be taper down as the cases go down and all of us want that to happen.
Surya Patra
Umang sir, if you can just share your thought on the Cipla Biotech what you have created for US?
Kedar Upadhye
I can take that, Surya.
We announced in the last quarter, this is scheme of demerger, the intention of that is to have a sharper allocation of assets.
So I think all the assets in India which service the US business, will get housed in the subsidiary.
Its not yet fully done, because it needs to pass-through several regulatory approvals.
It is been taken with all the regulators and whenever it gets completed, we will speak to you, but as you would recollect, last time we had spoken, there are two schemes to this demerger; one is US business and second is the consumer brands, which are currently housed in the generic.
So I think both these are being taken to various regulators for their approval and as of now there is no specific corporate actions subsequent to that which we have on the table, but this is just appropriate reorganization of the assets at the corporate level.
Moderator · Conference Operator
Thank you.
The next question is from the line of Nitya Balasubramanyam from Bernstein.
Please go ahead.
May 14, 2021
N Balasubramanyam
If you could throw a bit more visibility into the respiratory pipeline, the one partnered asset and the two, you mentioned are in clinical trial stage?
Umang Vohra
The partnered asset, Nitya, that partner’s process, as we mentioned last time, they are in dialogue with the FDA and submitting the data that's required.
So that is on the partnered respiratory asset.
From the rest of the pipeline, we are likely to be in clinical in two products in this year.
So, beyond that, rest of the work for India, emerging markets and Europe continues.
N Balasubramanyam
So the partnered asset you have visibility, when you might be able to launch the product and are the clinical trials already underway and when do you expect to conclude those?
Umang Vohra
I think the clinical trials are done and I think the partner is probably in the process, if not already of filing with the FDA, and post-filing it will probably take at least 12 to 18-months from an FDA.
N Balasubramanyam
On the two products which is Cipla's own where you are on clinical trials, what is your best visibility and when you are likely to file?
Umang Vohra
Nitya, we won't share that detail, but you expect filing in the mid of next year.
Moderator · Conference Operator
Thank you.
The next question is from the line of Arpit Kapoor from IDFC Mutual Fund.
Please go ahead.
Arpit Kapoor
This is regarding the US business.
If I look at the numbers, we did close to $135 million in first quarter and we are exiting the financial year this quarter at $138 million and we saw a gradual ramp up of Albuterol in all the four quarters and the numbers for the second and third quarter also in the range of $140-odd million.
So has the base business eroded so much that we don't see any delta of Albuterol sales in the overall US sales number or am I missing anything else?
Umang Vohra
I don't think there is erosion in the base business more than what we signaled.
The US business responds to launches.
The price erosion is there which is a regular feature in the US business.
As your launch trajectory starts to increase, your launches offset a significant portion of price erosion and allow you to grow.
In our case, I think if the launches start coming in, you will see the traction in the US business, even at about 115 to 120 trajectory before we launched Albuterol, we are now at our current trajectory post-Albuterol.
That's how it is in the US.
So we will see trajectory ramping up as the launches come in.
Arpit Kapoor
No, I understand but I guess even Albuterol market shares have ramped up over the last four quarters, yet our US sales have been pretty sticky around $140-odd million mark and you would have had a couple of other launches as well.
So has the base business eroded so much that, we don’t see any impact of…?
Umang Vohra
Nothing more than what we look at as a normal erosion, is that your question?
No, in a quarter where we may have not had any significant launch, we may see a two, three million impact on May 14, 2021 overall numbers in that, that doesn't mean that there is erosion, it just means that launches have not come in to supplement the business.
I don't think we are seeing any major erosion at this point.
Arpit Kapoor
I am still not able to understand why.
At least on a sequential basis our business every quarter should have improved whereas we have just remained flat for almost all the four quarters.
Okay.
So, the current base of $138 million should be the base that we should take and most of the pricing adjustment that Albuterol at least for the new generic we have taken in and that should be the base going forward for the next year?
Umang Vohra
Correct.
Moderator · Conference Operator
Thank you.
Ladies and gentlemen, that was the last question for today.
I would now like to hand the conference back to the management for their closing comments.
Over to you.
Umang Vohra
Thank you, everyone for joining us on the call today.
In case you have any follow on questions you can reach out to the investor relations team at Cipla.
Have a good night and stay safe.
Moderator · Conference Operator
Thank you.
On behalf of Kotak Securities Limited, we conclude today’s conference.
Thank you all for joining.
You may now disconnect your lines.