Gufic BioSciences Ltd

- The company targets a minimum 15% growth in sales/revenue for FY 2026-27 and FY 2027-28, with an optimistic aim of up to 20% or more depending on regulatory approvals and market factors. - International business (exports) is expected to ramp up notably from Q2/Q3 FY 2026 with the completion of audits and approvals (e.g., EU GMP certificate by March/April 2026). - The Indore plant ramp-up will contribute significantly, with production utilization projected to hit 50% by Q4 FY 2026-27 and further growth thereafter. - Export revenues from Indore are expected to start materializing in Q3/Q4 FY 2026, especially across Europe, Southeast Asia, and regulated markets. - Domestic branded business growth is seen around 8% due to correction in debtor control and divestment in certain divisions. - Botulinum toxin segment is growing strongly (22-25% YoY) with potential for further category expansion. - EBITDA margins are expected to improve with increasing capacity utilization, reaching up to 20-21% beyond 75% utilization.

- FY '27 revenue growth targeted at a **minimum of 15%**, with potential to reach **20% or more** depending on regulatory approvals and market factors (Page 14, 6). - EBITDA from the Indore plant expected to break even by **Q4 FY '25-'26** and become cash flow positive post FY '27 (Page 11). - Export revenues from Indore anticipated to start significantly contributing from **Q3/Q4 FY '26** with EU GMP and other regulatory approvals (Page 11, 6). - Debt levels expected to stay around **INR 375 crores till March '27**, then begin to reduce with term loan prepayment starting FY '28 (Page 16). - Operating expenses, including employee costs, projected to rise moderately due to increments but stabilize post-ramp-up (Page 7). - Margins likely to maintain with stable depreciation/interest costs (~INR35-36 crores) in FY '27 (Page 16). - Overall outlook is cautious but optimistic, factoring in working capital control and regulatory uncertainties.

- The current order book at Indore (Unit-2) stands at around INR150 crores to INR155 crores. - Management aims to reduce this order book to around INR80 crores to INR90 crores. - The reduction target is to bring the order book from a 90-day window to a 60-day window. - Navsari orders for exports to countries like the U.K., Portugal, and Brazil are also ramping up. - The export division has shown growth of approximately 40%, though the base is smaller (~INR120 crores). - Validation batches for GLP-1 products from Indore were completed in January, with testing ongoing in February. - Overall, there is a positive outlook on the order inflow and its impact on revenue going forward.

- Current Debt: Around INR 375 crores (term loan for Indore plant + working capital loans). - Debt Level Outlook: Expected to remain at INR 375 crores through FY '27. - Deleveraging Plan: No prepayment of term loan until after FY '27; prepayment will start from FY '28 onwards. - Working Capital: Managed largely through internal accruals rather than additional borrowing. - No mention of new equity fundraising or additional debt plans in the near term. - Focus is on internal cash flow and operational efficiencies rather than fresh fundraising for the next 2-3 years.

- Investment in Selvax, a cancer vaccine therapy for solid tumors, with over $150,000 invested over the last 4-5 years; this is a long-term, start-up-like investment with promising animal-level proof of concept and ongoing progress such as outsourcing final construct to Syngene. - Indore plant expansion with term loans taken for capacity ramp-up; expected to reach 50% utilization by Q4 FY '26-'27 and contribute to export revenue starting Q3/Q4 FY '26. - Investments in technology transfer projects like GLP-1 validation batches at Indore, enhancing production capabilities. - Implementation of Marg software in stockists to strengthen data control and optimize working capital. - No fresh major recruitments planned; focus on annual increments and productivity improvements. - Ongoing R&D and validation expenses as recurring costs for at least 1.5 to 2 years associated with product and regulatory development. Overall, capex focus is on capacity expansion, strategic long-term biotech investments, and digital infrastructure for sales and working capital management.