Jagsonpal Pharmaceuticals Limited (JAGSNPHARM) Q4 2026 Earnings Call Transcript

Ladies and gentlemen, good day and welcome to Jaxonpal Pharmaceuticals Limited Q4 and FI26 earning conference call hosted by Go India Advisor. As a reminder, all participant line will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touch-down phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Swamy Achajal. Thank you, and over to you, ma'am.

Good evening, everyone, and welcome to Q4 and FI26 Earnings Conference Call of Jacksonville Pharmaceuticals Limited. We have on call with us Mr. Manish Gupta, Managing Director, Mr. Amrit Medhikar, Chief Operating Officer, and Mr. Nira Bora, Chief Financial Officer. We must remind you that the discussion on today's call may include certain forward-looking statements and must be therefore viewed in conjunction with the risks pertaining to the business. I now request the management to take us through the scene and provide some more insight on the quarter and year gone by. For that, we will open the floor to G&A. Thank you and over to you, sir.

Thank you, Swamia, and good afternoon, everyone. Thanks for joining the call, and we appreciate your continued interest and support for Jetson Park. I am pleased to report that Jetson Park is back on growth in Q4 after two quarters of latest performance. This is on the back of Sharpen's focus on execution, especially in the area of MR productivity and retention. At the industry level, while the IPM grew between 7 to 8% during Q4 and most of the year, we have outperformed meaningfully at both the quarter and MIT levels, giving us the necessary confidence of growth acceleration going forward. For FY26, while the revenue growth has been modest at around 7%, and net profit has grown at 19% before exceptional items. The performance is underpinned by financial discipline and focused execution, which is also reflected in a strong cash position, which was upwards of 190 crore at the end of the year, or 31st March. While we continue to scout for strategic inorganic initiatives, the board of the Jetsalpa is also guided by capital allocation philosophy that remains focused on disciplined value creation and efficient cash deployment. Alongside the 40 crore buyback announced on 12th March at Rs. 250 per share, with no promoter participation, the board has also recommended a 200% dividend for the year, which includes a one-time special dividend of 75%. While the shareholder approval for the buyback was received on 27th April, the enhanced dividend is subject to the shareholder approval in the forthcoming age year. These steps of the board are fully reflective of the focus on improving the return on capital employed and or return on equity, as also their confidence in acceleration of business in FY27 and beyond, driving strong, continued cash flow generation for the business. Looking at it. Our strategic priorities remain consistent, which is about driving organic growth to enhance MR productivity, sharper brand focus, and disciplined cost management, while we continue to evaluate value-recreative inorganic opportunities. With a stronger execution framework, we are confident of sustaining and accelerating the growth momentum, while delivering consistent long-term value to our stakeholders. I will note it with... Amrath, our Chief Operating Officer, to take you through the operational performance.

Thank you, Manish, and good evening, everyone. And as Manish rightly mentioned that the last two portals have centered around strengthening the execution engine of the business, and we are now beginning to see the impact of these efforts transmitting into stronger operational performance. While the broader industry, which is IPM, has grown at around 7 to 8 percentage, Just some part has started to outperform meaning to me. On an M.A.T. business, which is annual sales, the company has delivered 12.2% growth as per Parmaid, outperforming the market by 3.6%. And this momentum has accelerated further in the last quarter, which is quarter 4, where the growth reached 14.2% against the industry growth of 10.5%. This performance was driven. Thank you. This is an asset-like business model that allows us to remain agile, efficient, and consistently cash-generated. On the other side, if you look at... Thank you. Thank you. These segments have shown strong doctor engagement and improved prescription conversion, supported by focused execution and sharper brand investments. The strength in these high-growth segments has more than offset with it.

For the full year, FY26 revenue grew by approximately 7% to Rs.287 crore and operating EBITDA stood at close to Rs.61 crore with a margin of approximately 21%. The profitability level, our profits from operations grew by 19% year-on-year to close to Rs.45, reflecting a margin of about 16%. The only exceptional item during the year was the impact of new labour code, which was taken in Q3, and overall, the business continues to show meaningful improvement in... Thank you. Thank you very much. This move is expected to have significant impact on our return ratio, with ROE increasing from across 16% to 18%, while ROC shall improve from across 22% to close to 26%. This reinforces the board's focus on efficient capital employment and long-term value creation for public shareholders. The record debt is May 04-26 for the same. The detailed highway timeline and process will continue as per regulatory requirements. Alongside this, the board has also recommended a two-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred-hundred. Thank you. Thank you so much, sir.

Ladies and gentlemen, we will now begin with the question and answer session. Anyone who wishes to ask a question may press star and 1 on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we'll wait for a moment while the question queue assemble. Our first question comes from the line of Dipesh from Mania Finance. Please go ahead.

Hi, am I audible?

Yes, sir, you are.

Now, Q4 marks a very strong recovery after two relatively muted quarters. How much of this improvement is structural versus feasible?

We hardly have products which are seasonal in nature. And therefore, what we see today is purely driven by operational strengthening, as well as some of the steps that we have taken in terms of our brand building and MR productivity improvement. So all the growth which is there seems to be completely strategic and structurally made in favor of yields. And I don't see any of the seasonal impact there.

So, what was key triggers behind such a sharp improvement in Q4 execution? And how can the company, I mean, going forward, will the company perform the same way?

If you remember, Deepesh, I'm not sure you were there in the last phone call, but we had given you this guidance that we will be delivering a WDT route. And that's what exactly we have delivered. So, we have done the walk on the top. But second part is, we have also given you a guidance that we will be looking at beating the market growth. And that is what our objective has been. And obviously, we are taking an aspiration to beat it by 1.5x, which is 1.5x more than the Indian market growth. And in that direction, we have taken several steps, which I elaborated in my talk, which includes improving our field cost productivity. By way of improving their training, their skills, upskilling them, and more importantly, trying to engage more customers so that our prescription value for doctor increases and thereby resulting in lesser of cost for acquisition of newer business. And therefore, I always call it as a profitable growth for Bob.

Right. So, what is the biggest execution risk in achieving the targets which you have given?

Execution risk may be macro. On a micro level, at an organization level, I do not see because we have very well established, very old legacy brand, which continue to drive its market share in the current therapies and molecule bucket. However, there are certain new product opportunities, obviously, which we are continuously looking at, which are into our strength areas, which we intend to build. Maybe one execution risk may be that we may go over inspirational on certain products, but yet we want to give them a full try with our heart and soul so that we are able to achieve them. But we are not sure how those molecules will eventually emerge as a macro market. So I only see a macro is happening for the organization. At our level, internally within the organization, we are super confident of delivering operational excellence and growth which is backed by profits.

And what gives the management confidence of further acceleration beyond the current IPM performance, outperformance?

One is obviously it is too early for us to say, and as I said earlier on, this is our first quarter, wherein we had committed your double-digit growth. That's what we have aimed for and we tried to deliver. And I am hopeful that the steps that we are taking towards rationalizing some of our resources and also reallocating those resources for more productive use, I think that will be one of the three key drivers. Besides, of course, improving our own capability and skills of the team so that they perform better in the market and are able to compete meanfully in clinic for the doctor.

And how should investors think about FY27 growth versus the stated target of 1.5x IPM growth?

We continue to maintain that guidance, sir. Okay.

And just my last question, what is the reason of, you know, distributing so much of cash to shareholders? I mean, don't we see any growth opportunity beyond, I mean, in our company or any investment as such?

I think this is not an easy question for the vote. Simply because how much cash is adequate, it depends from person to person. Personally, as a company, the board is of the view that keeping too much cash is also not productive, especially in the scenario of falling yields and also in a scenario wherein now we have access to bank finance. So if you look at our own balance sheet. You can easily believe that we can raise upwards of 200 crores as fresh debt in the company. We have close to 190 crores of cash, and given our cash flows, we are very hopeful of recouping whatever we are paying out within the next 12 months. So technically, we do have wherewithal to undertake an acquisition of up to 400 crores with our own balance sheet. I think that is more than sufficient in the view of the board, and I think they took a very pragmatic decision of not keeping too much cash in the company beyond what is potentially needed.

Sir, just to counter that.

I'm sorry to interrupt you, sir, but you may rejoin the queue for more questions.

It's just a counter question because it's related to the previous answer, that's right. Yeah. So, basically, your total ROE, what you're doing on your cash as well as on your assets is 17% to 18%. Now, if you're making that good in ROE, why don't you deploy your cash into the business and give a better ROE? I mean, investors would be happy with dividend, of course. But point is, if you're giving a good ROE on the money which we are keeping in your company, I think that is good enough for us. Why distribute the entire cash and, you know, take debt and have that interest outgo? I mean, that was just my thought process.

I will just address this. Basically, pharmaceutical industry for growth is not capital intensive. It is brand intensive. And brand requires execution excellence at a field force level, which is what we are focused on. We do not require any capital beyond what we are spending in terms of growing our business. So, any use of real cash that we have is only for inorganic strategy and not otherwise. So, you are right that if we can generate 70 and 80% from our core business, but that is only working capital that is invested there. By pumping in more working capital, I cannot grow the business. We can only grow faster than the market through better execution in the marketplace, which we are already focusing on. So, Per se, capital is not required for the organic growth. It's only for inorganic growth, and keeping that cash at 7% in the bank pre-tax, I think defeats the objective.

Great, great, sir. Thank you so much. Clear that. Thank you.

Thank you. Our next question comes from the line of Anupam Agarwal from Lucky Investments. Please go ahead.

Yeah, thank you so much for taking my question and congratulations on good numbers, sir. My first question is that if you can break down your full year growth of 12.2% as per PAMARAC between the four therapy segments, that will be really helpful.

Thank you.

We don't have the latest numbers, but roughly half of our business is gynecology, 25% would be ortho, and another...

No, my question was more so on the growth. Which business therapy is kind of driving that growth, largely?

Largely driven by number one, gynae, and number two is derma.

Sir, you've talked about MR productivity. Just a question on that. So, what is the MR count today, and what was the productivity, let's say, last, same quarter, last year, and what was it in the fourth quarter?

So, the number of MRs continues to be same. There is no new addition of MRs in the last quarter, which is under reference now. And productivity, the growth that you're looking at is purely, you know, productivity improvement.

Understood. Sir, in your presentation, there are a couple of lines mentioned about you launching or ideating one to two products every quarter. How are we placed on that? What is the kind of new product launches that we've run in the fourth quarter? What was it in the last whole year, and what are we planning for the next year?

So, we had a total of six new product launches and three SPUs, I mean the brand extensions. We intend to have a similar number, approximately 9 to 10 in this current year as well. In this, half of it will be more of rejuvenating the older brands, the legacy brands that we have. So, some brand extensions in the same brands with a brand extension. And there will be close to around 5 or 6 opportunities which will be in the new product therapies.

New product therapies or new products within the existing therapies?

New products, the same therapies, our strength area, which is gynec, ortho, and derma.

Great, sir. I just wondered your breakup of the growth therapy-wise, so maybe I'll take that offline.

That's it for my time.

Thank you so much.

Thank you. Our next question comes from the line of Gautami Agarwal from Puppetutty Venture. Please quit.

Hello, sir. Am I audible? So, my first question is on the gross margin side. As we can see, QOQ this year, the gross margins have declined, and on the other hand, the other expenses have increased QOQ and YOY. So, is there a particular factor, or is it fair to assume that these are the stable numbers going ahead?

You're referring to any specific number of water pour, or? Water pour, sir.

No, sir. Are you referring to Cotterpour or for the full year? Because full year gross margins are largely in line. There has been minor change, but it is more or less 64.2% versus 60. Yeah, about 20-30 bps, which is just a product mix issue, nothing more than that.

All right, sir. And what about the other expenses part?

Thank you. It is also, it is, look at, that has marginally increased, I mean, 30 days, that could be attributable to largely, I mean, largely, this is a bit of timing, let me just give you an example, like, when you conduct your CISL meeting, your annual CISL meeting, budget meeting, last year might have happened in April, and this year, it might have happened in March, so, On the size of a balance sheet, one crore of a PNL, one crore difference here and there makes a difference in the percentage, but structurally there is no increase in our cost structure beyond the normal inflation.

Okay, okay, sir. Got it, fair. My next question is on the guidance side. So, previously, our guidance had been of 12 to 14% on the top line and 100 to 150 basis points on the EBITDA margin level, where I see that this year has been a one-off year. And since growth has been exceptionally well compared to the IPM data, so is it fair to assume that we will be sticking to the earlier guidance going forward?

We had given the guidance, ma'am. We are targeting 1.5x of the pharma industry growth. Currently, the pharma industry is trending anywhere between 6-7% to 8-9%. So, this is the window in which it is operating. And if I calculate 1.5x of that, it translates to anywhere between 12% to 15% right now. As the scenario moves forward, because now you have some glut of launches into metabolic, anti-obesity, and things like that, obviously the market is also expected, I am repeating the word, and underlining this word, expected to perform better. We are saying, even if we are not present in anti-obesity right now, our portfolio is strong enough to still beat the market and deliver a 1.58 to the growth.

Okay, sir. Got it. Thank you, sir. That's it from my side.

Thank you. Our next question comes from the line of Sejal Kapoor from Antifragile Thinking. Please go ahead.

Yeah, thank you for the opportunity. Hi, team. A few questions from my side. If we track the next two quarters, What quantitative thresholds, I mean, for example, MR productivity growth or volume growth would kind of validate that this turnaround that we have reported in Q4 is on track versus slipping back to the industry level growth. Any few, maybe two quantitative thresholds that we can actively monitor?

Hi, Sajal. Very good afternoon to you. This is Amrup Medekar. Hi, I'm all good. So, Sajal, let's take a look at the last reported numbers of PharmaRack, that is what we look at on IQV also. Almost similar numbers for the industry. I'll just break it down for you. So, volume has been almost flat for the pharma industry. So, yearly, the volumes have been almost flat. It ranges anywhere between 0.5% to 1.2% to 1.3% on a month-on-month basis. The new product contribution is upward of 3%. This is roughly around 5% plus. And therefore, the annualized growth is roughly in the range of 7 to 9% month on month. Now, if you look at this JPL, which is Jacksonville numbers, and look at PharmaRack data only, and try to mirror this, our volume growth is reflected as 2% there. Our new product is matching the industry growth, which is 3% plus. Our price goes a little shade higher, which is at around 6.5% to 7% on the price side. So overall, our reflection is showing as 12%. So this is where the industry and justin budget as far as the external reflections are considered. Internally, we are certainly trying to keep these numbers also, Sajal. And I think I'd indicate it to you on the same question last quarter as well, that we foresee, as you ask specifically for the next two quarters, I see same numbers getting even better.

No, definitely. We certainly hope for that, Amrit, and thank you for answering that. And next question is, I mean, we have, so our top 10 brands. And today contribute about 58-60% of revenue, our top 10. And these have driven the recent recovery, obviously. So over the next two, three quarters, what is specific? Indicators, I mean, such as growth contribution from the next 10 brands, so to speak, a new product revenue share or reduction in top brand dependency should be tracked to assess, you know, whether growth is broad, broad based rather than concentrated. I mean, at what point? Would you consider the portfolio sufficiently diversified to sustain the aspirational 1.5x IPM growth without relying sort of disproportionately on few large brands?

Yes. So, Sajjal, this is industry-wise, I think, a very common question which comes across. See, most of the industry and especially the old organization will have this legacy impact. So you will have some brands which are very old but constituting a very large chunk of your top line. And hence, it becomes very, very important for you to trend your line when you grow, in your growth trajectory, that line has to be kind of, you know, managed very well. That you are not trending your core brand, the volumes remain, or rather grow. So that's your core engine, right? That's going to funnel your growth or fund your growth, future growth. While new products will obviously accelerate that growth. So our focus will continue to be on our power brands, our core brands, which are kind of two or three brands, each of the business units or vertical, directly vertical that we operate with. That's where our majority of the resources will be deployed. At the same time, we are trying to build a portfolio which is future growth proof, meaning some of the products where we see next 10 years, 20 years growth. These are the products in which we have identified, which are complementing our strength and which possibly will have much better chance of success, Sajal. So, as I rightly, I think, put the numbers to you, we are certainly looking at upward of 3% growth coming purely from these strong new product launches as well, while ensuring that our volume and price growth matches or betters the farmer industry.

And that's helpful, Amrit. And lastly, we still of the view that the trade generics is not a competition as far as our business is concerned. And this lack of volume, which is an industry-wide phenomenon, it may or may not be partially, if not fully linked to the trade generics growth. But that has nothing to do with any challenges that we see as on today.

Currently, none, because this is not a new phenomenon, Sajal. This is going on for almost a decade, and last five years, possibly, it got a little accelerated post-COVID scenario, when the generics have taken a front seat because of a lot of generosity cameras coming up, as well as generic businesses of the large pharma companies are also trying to take away the market share. But none of these numbers are currently validated, Sajal. There is no custom report which is available saying that Jandit is eating into the bracket formulation. So, I am very sure the way we are operating today, we are able to drive volume growth. We are able to make new product success. And we are also able to take premiumized pricing. So, that also talks about our brand strength in clinic with the doctor's mind.

Sure, sure. No, that's helpful. That's helpful, Amrit. Thank you so much. Thank you.

Thank you. Our next question comes from the line of Omnish Parman from Vaikarya. Please go ahead.

Yeah, hi. Good afternoon. Thanks for taking my question. I just had a question about the potential, you know, impact of whatever is happening in the Middle East. If you can just outline whatever impact the business is facing. And also, if you can just touch upon, I guess that all your manufacturing is outsourced. So, are you having any kind of feedback from your CMO partners in terms of constraints on raw material supplies, be it API or solvents or packaging materials?

Yeah. So, I'll respond to it in two parts. Clearly, from a demand perspective, there is no impact of whatever is happening on the Middle East. Okay, so the demand remains secular as far as the industry is concerned. Having said that, clearly, there are certain pressures on the cost front, especially packaging material. Clearly, all the vendors are seeing cost increases, and they obviously, when they are getting certain inventories, they will be looking to pass on some of the cost increases. Finally, I think all of us will find an equilibrium. Having said that, I believe pharmaceutical industry overall will be lesser impacted, given that the gross margins in this industry are better than most other industries. So with 65% to 80% gross margin that most of the branded companies enjoy, I think our ability to take some of these cost increases are far superior, and we are also allowed a 10% price increase. So some of it will get consumed within that price increase. So all in all, yes, there will be cost impact. Will it have any impact on the, or any significant impact on the profitability of the company? I don't believe so.

Okay, thanks, Manish. Just to follow up on that, hypothetically speaking, let's say the API cost increases by, let's say, 50% for the CMO manufacturer is... I just wanted to have a sense on how the contracts are structured. Is all of that cost increase passed on to the marketing company, or it's like a share of the pain kind of a system where, you know, some pain is shared by the CMO guys, and only a part of the pain is passed on to the marketing company. How is the structure usually in the contract?

Thanks for this question. I'm sure you would know that I also have a little bit of CMO background. So, typically, the call doesn't get as it's transferred to a buyer or a client. So, depending on the structure of the agreement, it is typically absorbed over a period of time and in a staggered session as per your purchase orders. Because even your purchase orders are not there for every 15 days or every week. Your purchase orders are also staggered over a part of. And therefore, the absorption is also real-time as per the prices prevailing at that particular point of time when the purchase order is getting released. And while we have an agreement which is longer term in nature, the agreement also allows you time to absorb those increases over quarters. So, it's not one-quarter impact at all.

No, no, that's fine, I understand. My question was that, over time, is it completely passed on to the marketing company, which then passes on to the market by pricing increases, or some is absorbed by the CMO?

I mean, even though price increases are normally not seen being permanent, they will also fall when the scale also happens for those molecules, and the supply chains typically kind of smoothens out. So today what we are looking at supply chain constraints is less related to movement of the products, more related to the insurance past. So typically those will also drop down.

Just to further add on, finally nobody will do business at a loss. Right? So we have to find a middle ground between the CMO and us, and also a middle ground between us and our customers. Okay, so... Everyone absorbs what they can, everyone will pass on what they can, and the new equilibrium gets a separation. But having said that, as I was mentioning, the overall cost in our team of things is not that significant as it is for many other industries.

Yeah. Last question from my side. You mentioned three of your dominant therapies, Gainak, Oslo, and Dharma. If you see in the last three, four months, IPM growth has kind of picked at about close, let's say 10-11%. If you take a blended growth for these three strong therapies of yours, are these therapies on a blended basis growing higher than IPM or lower than IPM?

No, they are in line with the IPM growth currently.

Okay, so when you say you are going to grow at 1.5x of ITL, that also practically means that you are growing at 1.5x of your covered market growth. Correct to assume that? Okay, okay. Thank you. I'll get back to you.

Thank you. Next question comes from the line of Madhur Rathi from Counter Cyclical Investment. Please go ahead.

So, Mr. Gupta, I am trying to understand that what percentage of our revenue is coming from e-pharmacies, that is the online, NetMed, and 1MG, etc., and what are the terms of trades in terms of credit period, working capital, as well as margins, are they higher or lower versus the traditional, our sales channel?

I'm sorry, I didn't get your name, please. Can you repeat? Mathur Rati.

My name is Mathur Rati.

Yeah, Mr. Ratti, thank you for this question. Apparently, the number is almost insignificant for us to have any mention of this in terms of supplies to these online pharmacies. However, the structure for every organization differs for these pharmacy chains. Some of the supplies do happen from the authorized stock listing each and every warehouse of theirs. First for the location, geographical location, and second is you also get into the read contracts which are annual in nature for some of the products which are high prescription and high volumes. So apparently we don't have, per se, a very high volume or value contribution from these e-pharmacies.

Understood. And also, when large did we take a price hike across our product portfolio and what was the quantum of the price hike? And what is the average salary hike that we are looking on account of our MRs this year?

Madhul sir, in terms of exact percentage, I won't be able to share this because we are yet to close our upriser cycles and KPI completions for the last FY. We are in that process, and while we conclude this, it will possibly be this quarter. Second part of your question was that when the price increases will happen. So price increases will be SKU based because as per 12 month, complete 12 month period gets over, then only one SKU is allowed for a price increase. And that's when we actually take as well. It all depends on how much inventory you have with you and how much is the need for the extra inventory to create a purchase order or to create, trigger a purchase order.

Right. And so, just a final question, sir. If I look at our scale versus the size of the market, it's much larger in terms of, I think, SKU offering as well, sir. So, are we... So, our growth estimates of 1.5 times the market, are we being conservative in that in either new product tradition or growing in these three segments of gynec, ortho, and dermatology? So, either in new product tradition, are we being conservative because our scale is not that high?

I am not able to hear you clearly, but I can possibly sense what you wanted to ask.

I'll repeat my question.

I'll just answer that. See, our market, as you said, is, I think Manishi has already elaborated those numbers to you. One is the earlier question which you asked about the price increase. Our 92% of the portfolio is outside the LLM, which is price control. So almost you can say 90% of my portfolio, I can go up to a price increase of 9.9%. Second part that you asked the question is whether our participated market or covered market is big enough to drive our growth upward of 1.5x. Is my question understood correctly?

Yes, sir. And also on the new product radiation because versus the target market, product radiation can be much faster. So, yeah.

Yeah, correct. So, we are trying to rejuvenate that. As I mentioned in my opening remarks as well, we are trying to rejuvenate our portfolio, but obviously, we are working with a speciality segment where prescription pickup doesn't happen from day one. New product establishment is a very, very hard work for prescriptions to start flowing in from each and every PIN code of the country, which will take possibly a year plus for us to do that. And that's what we are working on with New Product Edition. As I mentioned, as per PharmaRate, We are matching or doing better than the pharma industry in terms of our new product performance. So we are already at 3% plus in terms of our gross contribution from the new products. And we are trying to further accelerate that.

Got it. Sir, that is for mine. Thank you so much and all the pleasure.

Thank you. Next question comes from the line of Aditya Cheda from Ingrid Asset Management. Please go ahead.

Hi, good afternoon. Can you break your Q4, FI26, and FI26 both in price, volume, and new products?

Yeah, I'll give you the breakup. For Q4, which you are asking, Sir, volume growth was almost in line with the market. I'll give you the, first the pharma numbers, how they reflected. For, unfortunately, I don't have the quarter right now, I have the year. So, can I give you for the year right now?

Yes, that is fine.

So, I have given it earlier, I repeat it. So, for the Indian pharma market, the volume growth has been approximately Thank you. New product has been little higher than 3%. It was around 3.1. And price is little less than 5. So it was around 4.8. So sum total of this is around 8.5. If you round it off, it will become 9%. Okay? Now for Jacksonville, the numbers reported are volume growth is 2%. New product is matching, which is 3.2%. Our price growth is in the range of 6 to 7 percentage, sum total of this comes to 12%.

Body. Yeah, that's it.

Thank you. The next question comes from the line of Itindra Pradhan from Maximal Capital. Please go ahead.

Hi, sir. I hope I am audible. Sorry, I missed this. Like our new product pipeline, which therapies you said those molecules will be?

Your molecules you will possibly come to know in a month's time, but we are looking at some good breakthrough molecules and hopefully we will be in the second wave of launch for this first in India product. So we are preparing ourselves for gynecology, one therapy, second obviously we are looking at ortho and dermal. So you will come to know about this, we will make an announcement at the opportune time, mostly either May end or June first week.

Thanks, sir. On the second, on the MR efficiency that we are working on, so these new products, I assume, will be aligned, and, you know, that will help us increase the efficiency of our field force, because if my understanding is correct, I mean, there were some churning issues, and, you know, we were trying to tackle that and improve the efficiency from our field forces. So, I assume all the new products will be aligned and that would be, you know, helpful to increase or, you know, manage the productivity.

Yes, absolutely. So, as I said, there is one upskilling workshop which has happened. There is a very good product and therapy training which was given to all the MRs. We are also looking at the, you know, talent improvement within the organization so that all the promotions also happen internally as a policy for the organization. While we try to blend with the external hiring, in case we are not able to find anybody internally for a new position. The third piece that we are working on is whether the geography in which we are operating, we are able to get more productivity. So we are not adding any geographies, we are not adding any new MR, but we are trying to see whether organically, from the same geography, we are able to extract more. And thereby, preserving our cost as well.

Got it. And that would have any implications on our incremental cost, margins, or working capital, all these initiatives?

No, not at all. Any implications on our operating costs and our working capital? No. As you would have noticed, we are already working on a very... It's lean working capital, 11 days, and this has been consistent for two years now. So, we believe we are best in class as far as working capital management is concerned, and we intend to stay that way.

Got it, sir. So, final one on the capital return policy, like I see that, you know, The strategy seems to be like we want to return back, you know, the dividend, prior dividend or share buy back and so that our net cash kind of remains below 200 here. So is that understanding correct? I mean, we will continue to do that. I mean, we are generating healthy cash flow. So we don't want to kind of, you know, keep surplus cash over like 200 here.

I don't think we have a number in mind, but yes, we believe with the robustness of our cash flows, which continues, we have adequate cash currently, and even what we are paying out through both buyback and or enhanced dividend will fully get recouped within the year itself. I mean, you can arrive at the number, but yes, we believe that the current cash position of the company is more than sufficient to fulfill any inorganic initiative that we may need to undertake.

Got it, sir. Thank you, sir, and all the best. Yeah, thanks.

Thank you. Ladies and gentlemen, anyone who wishes to ask a question, may press star N1 on their touch-tone telephone. Our next question comes from the line of Anukam Agarwal from Lucky Investment Managers. Please go ahead.

Yeah, hi. Thank you for the call-up. Sir, just on the top 10 brands, so if you can call out what the growth has been for those top 10 brands on a basket level, and what has been the growth for the tail end brand, which is the 42% of the business?

Can you repeat the question, Norma Thun? The line wasn't too good.

Yeah, I'm asking the top 10 brands, which contribute 58% to your revenue, what was growth in those 10 brands, and what was the growth in the balance 42% of the business?

It's almost in line. So, top 10 brands are obviously constituting much more healthier bottom line for us. So, our growth on those brands has been in line with the rest of the portfolio. Finally, 1% change.

We have not added the numbers and seen it. We will come back, but it will be very, very different.

Understood. And, sir, do you have different divisions for each of these therapies in terms of MR or are they interested in terms?

Can you please repeat this or maybe a little bit away from the mic. I think it's getting smudged.

Yeah, can I audible now, sir?

Yes, you are audible, sir.

Yeah, I was asking, in terms of your MR productivity, between the three brands, between the three therapy segments, do you show the MR in terms of division or separate independent division by itself?

Anupam, I'm really sorry, but if you're wearing a Bluetooth or anything, can you please remove the Bluetooth, because your voice is echoing, and we can't hear you properly. Can I keep hearing now, sir? No, sir.

No, I repeat the question. Anupam, just tell me yes or no. You asked me whether the three pieces are separate divisions, and whether we are going equally, something like that? So all three businesses are independent. We are trying to have a character around those businesses. One is a clear-cut, you know, gynae business, which has absolutely no confusion. So entire portfolio is pure play gynae. Second business is what we are trying to build up is around orthopedics, which doesn't have all pure play orthopedic grants currently. Third business is again clearly a derma-focused business. So, the Dharma focus, the gynec focus is absolutely there in place, while the third vehicle, which is still to be built or work in progress, you can say, is the heart of energy, which will happen as the quarter progresses over the next couple of quarters. And all the three engines will fire equally well. I am confident about it for contributing towards the profitable growth for the organization.

Got it. So, the last question, if I may. Can you quantify in absolute figure what is the MI productivity for each of the three business

I won't be able to give you exact numbers there for each of these businesses in terms of productivity. However, I can promise you one thing that the growth will be entirely driven with the productivity improvement as we don't intend to increase the MR numbers currently or managers number currently. So, manpower remaining same, our growth will be still higher than the IP. Can you rank them in what is highest in terms of MR productivity? I think we'll be higher, number one, or two will be number two, and number three will be double. Okay. Thank you so much. That's it from my perspective. Thank you so much. Thank you.

Thank you. Next question comes from the line of Aditya Chira from Ingrid Asset Management. Please go ahead.

Hi. Just one clarification. The number you mentioned for Jackson Paul is 12%. This is the reported number of 7%. This is the lead lag in the data reported in Pharma Rack. That's the only difference there, right?

Correct, correct. You are right. This is the reported numbers in the Pharma Rack external audit for the Pharma industry as well as Jetson Park.

Okay. Thanks.

Thank you. As there is no further question from the participant, I would like to hand the conference over to the management for the closing remarks. Thank you, and over to your team.

Thank you, all participants, for your valuable questions and engagements. We appreciate your interest in Daximpa. Should you have any further queries or any requirement of additional information, please do not hesitate to contact our IR team and go in the advisor. We remain committed to engaging with you, all of you, fostering transparent communication as we continue advancing our objectives of creating value for our shared work. Thank you once again for your participation and wishing you a very good evening. Thank you.

Thank you. Ladies and gentlemen, on behalf of CoIndia Advisor, let's conclude this conference. Thank you for joining us and you may now disconnect your line.