Alkem Laboratories Limited (ALKEM) Earnings Call Transcript & Summary

Good morning, ladies and gentlemen. I welcome all the members to the 48th Annual General Meeting of the company. Considering the ongoing COVID-19 pandemic, this meeting is being held through video conference in accordance with the circulars issued by the Ministry of Corporate Affairs and SEBI. The company has taken all feasible efforts under the current circumstances to enable members to participate through video conference and vote at the AGM. I hope all of you are safe and are in good health. I am attending this meeting from the registered office of the company. As you may aware that our beloved Joint Managing Director; Mr. Dhananjay Kumar Singh passed away on 28th October 2021. He had a distinguished tenure for more than 3 decades at Alkem. His immense contribution towards building Alkem into a foremost company will always be remembered. I would now request everyone to stand up in silence for 2 minutes to offer our heartfelt condolences. Before we start the main proceedings of the meeting, I would like to introduce all the Board members who are attending on the video conference platform. Mr. Sandeep Singh, Managing Director of the company attending the meeting from registered office of the company. Mr. Mritunjay Kumar Singh, Executive Director of the company attending the meeting from registered office of the company. Mrs. Madhurima Singh, Executive Director of the company attending the meeting from registered office of the company. Mr. Sarvesh Singh, Executive Director of the company attending the meeting from registered office of the company. Mr. Arun Kumar Purwar, Independent Director and Chairman of Audit Committee of the company attending the meeting from his residence at Parel. Ms. Sudha Ravi, Independent Director of the company attending the meeting from her residence at Bhandara. Ms. Sangeeta Singh, Independent Director of the company attending the meeting from her residence at Colaba. Dr. Dheeraj Sharma, Independent Director and Chairman of the Nomination and Remuneration Committee of the company attending the meeting from his office at Rohtak. Mr. Narendra Kumar Aneja, Independent Director of the company attending the meeting from his residence at Prabhadevi. Mr. Sujjain Talwar, additional Director designated as an independent Director of the company attending the meeting from his office at Nariman Point. Mr. Manish Narang, President, Legal, Company Secretary and Compliance Officer of the company attending the meeting from registered office of the company. Mr. Rajesh Dubey, CFO, of the company attending the meeting from registered office of the company and other senior executives joining from their respective locations. I would like to inform you that Mr. Balmiki Prasad Singh, Executive Director of the company is not present at the meeting due to health concerns. The representatives from BSR & Company LLP as statutory auditors and Ms. Manish Ghia & Associates secretarial auditors have joined this meeting from their respective locations. Apart from them, we also have other senior management team of the company joining from their respective locations. I thank all the members of the Board, auditors and the senior management of the company for joining this meeting over video conference. We have the requisite quorum present through video conference to conduct proceedings of this meeting. Participation of members through video conference is being reckoned for purpose of quorum for the circulars issued by MCA and Section 103 of the Companies Act 2013. The quorum being present, I call this meeting to order. I now request Manish Narang, Company Secretary, to provide general instructions to the members regarding participation in this virtual meeting. Manish Narang?

Thank you. Thank you, Chairman, sir. Dear shareholders, thank you for joining our 48th Annual General Meeting today and for taking time to participate in today's AGM. Members may note that this AGM is being held through video conference in accordance with the Companies Act 2013 and circulars issued by the Ministry of Corporate Affairs and SEBI. Facility for joining this meeting through videoconferencing or other audiovisual team is made available for the members on a first-come-first-serve basis. As the AGM is being held through video conference, the facility for appointment of proxies by the members is not applicable. Hence, the proxy register for inspection is not available. The register of Directors and key managerial personnel and their shareholding, the register of contracts or arrangement in which directors are interested have been made available electronically for inspections by the members during the AGM. Members seeking to inspect the documents can send their requests to investors at alkem.com. The company has provided the facility to cast the votes electronically on all resolutions set forth in the notice. Members who have not yet cast their votes electronically and who are participating in this meeting will have an opportunity to cast their votes during the meeting through the e-voting system provided by CDSL. Members can click on vote tab one the video conferencing screen to avail this feature. Members are requested to refer to the instructions provided in the notice for a seamless participation through video conference. In case member face any difficulty, they may reach out on the helpline numbers provided in the notice. Company Secretary, Manish L. Ghia, Partner Ms. Manish Ghia & Associates practicing Company Secretary, has been appointed as the scrutinizer for scrutinizing the e-voting process. I now wish to inform you that as per Section 145 of the companies Act 2013, since the reports of statutory auditors and the secretarial auditors, which are included in the annual report sent to you all in advance, do not contain any qualifications, observations and other remarks, which may have adverse effect on the functioning of the company. The said reports are not required to be read. The company has received requests from a few members to register them as speakers at the meeting. Accordingly, the floor will be open for those members to ask questions or express their views once the Chairman opens the floor for questions and answers. Members can also vote their views or questions in the chat box tab on their video conference screen. Thank you. Now I hand it over back to our Chairman, sir.

Thank you, Manish. Dear shareholders, good morning. On behalf of the Board of Directors of Alkem Laboratories Limited, it is my privilege to welcome you to the 48th Annual General Meeting of your company. I thank you all for your presence today. As our nation has celebrated 75 years of independence with the campaign Azadi Ka Amrit Mahotsav. Alkem is entering into its Golden Jubilee year as we take the first stage towards our 50th year of excellence, it is a right moment for us to reminisce our glorious past and reignite our passion to further strengthen the legacy that was incorporated on 8th August 1973. On this occasion, I recall with gratitude the zeal of our Chairman Emeritus late Samprada Singh whose old vision and aspiration initiated the magnificent journey of Alkem. Let us embrace this golden year with our open arms and continue to work with determination to ensure further growth of Alkem in the years to come. Before we take up the agenda items in the notice of the meeting, let me briefly explain to you the performance of the company in general on account of the continuing COVID-19 impact and threat and considering the safety of our dear shareholders as also permitted by regulatory authorities, the executive for the consecutive third year, this general meeting is conducted on virtual mode, which also allowed wider participation of the shareholders across the country. The annual report for the financial year ending 31st March 2022, comprising the Board's report, the audited annual financials, the auditor's report and the management discussion and analysis report have been circulated to you, and I assume them to be read. The fiscal year began on a somber note with the loss of countless lives and a surge in COVID-19 infections in India. Sadly, some of our team members also succumbed to the deadly virus since the outbreak of COVID-19. On behalf of the Alkem Board, we offer our deepest condolences to the bereaved families. The fiscal year 2022 had been a year of multiple global economic and political challenges. The world GDP slumped from 5.7% in 2021 to 2.9% in 2022. The geopolitical problems have their own adverse impact on the Indian economy. The rising fuel prices leading to a spike in inflation and rising input costs, sliding Indian rupee against the major currencies of the world, supply chain bottlenecks, pricing pressure in the U.S. market amongst others, affected the working of your company. Against the backdrop of multiple challenges in the operating environment, I am pleased to share that the company reported healthy performance. We recorded revenue growth of 20% on a year-on-year basis. Our EBITDA margin stood at 19.3% while net profit growth has stood at 3.8%. We continue to maintain a disciplined approach to our cash flow, adding INR 4 billion of net cash to end the year resulting in a net cash balance of INR 9.7 billion. In line with the dividend distribution policy adopted, the company had paid an interim dividend of INR 30 per share and proposed for the approval, a final dividend of INR 4 per share, resulting in a total of INR 34 per share of INR 2 each. Let me now take you through our India performance in greater detail. Our domestic business recorded solid growth of 29.9%. We continue to outperform the Indian pharmaceutical market as per secondary sales data reported in IQ here, Alkem grew by 27.6% compared to IPM's growth of 18.2%. Our acute therapy segment contributed to a strong volume-led growth. Most of our mega brands continued to outperform in their respective markets, thereby maintaining their leading positions. Our chronic portfolio also performed well, growing almost 2x faster than the market. Our trade generic business achieved a robust growth on a high base. We recently launched the Pulmocare division catering to the respiratory segment. This division has made a promising start growing faster than the therapy growth rate. Thus, as you can understand, our solid domestic growth has been brewed best. With regard to our international business, in the U.S., significant pricing pressure on our base portfolio resulted in sales declining by 4% on a year-on-year basis while several new products were launched significant pricing pressure completely offset the impact of these new launches. During the year, we filed 14 ANDAs with U.S. FDA and received 21 approvals. We now have a product pipeline of 160 ANDAs filed with U.S. FDA, with nearly half of them yet to be commercialized. This strong pipeline of filings provides considerable opportunity for scaling of our U.S. business. Apart from the U.S., our other international markets delivered a robust growth of 34.8%. Your company has been giving top priority on the R&D spending, which works out to around 6%. Being more cost effective than their biologic counterparts, biosimilars expand patient access to critical medicines much like generic medications. I am glad to share that our nascent business of biosimilars is making good progress. Enzene, our biotech subsidiary, launched 3 biosimilar drugs in India and onboarded multiple new customers for contract development and manufacturing services. Additionally, Enzene signed out licensing agreements with leading international companies to develop and commercialize products in key markets across the globe. Our subsidiary also commenced global clinical trials on selected products. As a responsible pharmaceutical manufacturer, Alkem places the highest focus on regulatory compliance. All our manufacturing facilities supplying to the U.S., except St Louis facility, which received 3 observations in the recently concluded U.S. FDA inspection, have an establishment inspection report, EIR, as of date. Talking about the performance in the first quarter of the current financial year, your company achieved revenue of -- revenues of INR 2,576 crores, which is 5.7% lower than the previous year. Also, our net profit after tax came in at INR 128 crores, which is 72.7% lower than the corresponding quarter in the previous year. Alkem is focused on being a sustainable and socially responsible company. Going beyond financial metrics, we place an equal emphasis on key performance indicators related to environment, health and safety. In the area of cancer care, our initiatives in partnership with Tata Memorial Center is making good progress. With the establishment of 3 mini cancer units in the districts of Bihar, namely Buxar, Jehanabad and Bhagalpur and the construction of an independent radiotherapy block of the company in the Homi Bhabha Cancer Hospital & Research Center Muzaffarpur that Unit Tata Memorial Center, Mumbai, which intends to offer a state-of-art cancer treatment to needy cancer patients of the region -- that region. Alkem has proudly partnered with the India Olympic gold first by supporting the training cost of 156 national level sports representatives, out of which 23 athletes in the various sports have represented India in Commonwealth Games 2022. It is a proud moment for us to announce that 11 participants supported by Olympic Gold Quest have owned and -- owned 8 gold medals, 2 bronze Medals and 1 silver medal in category of different sports. We have also planted over 1 million trees in drought-prone area of Maharashtra. In closing, I would like to thank our employees for their hard work and dedication. I would also like to take this opportunity to extend my gratitude to our valued customers, business partners, the medical fraternity and government agencies, banks, state governments for their support over the past year and my sincere appreciation to my fellow Board members for their guidance and support. Finally, I thank you all esteemed shareholders for your continued support and trust in Alkem. My best wishes for your health and safety. Thank you. As the notice is already circulated to all members, I take the notice convening the meeting as read. Before we proceed I am pleased to bring to your notice that as required under the Companies Act 2013, the company had provided you all the facility to cast your vote electronically on resolution set forth in the notice. As has been conveyed by the Company Secretary, members who have not cast their vote electronically and who are participating in this meeting will have an opportunity to cast their vote through the e-voting system provided by CDSL. Members may please note that there will be no voting by show of hands. We now take up the resolutions as set forth in the notice. We will open the floor for any questions by members after all the resolutions are tabled. Item #1, to receive, consider and adopt the audited stand-alone and consolidated financial statements of the company for the financial year ended 31st March 2022 and the reports of the Board of Directors and auditors thereon. Number two, to confirm the payment of interim dividend of INR 30 per equity share of INR 2 each and to declare a final dividend of INR 4 per equity share of INR 2 each for the financial year ended 31st March 2022. Item #3, relating to reappointment of Mr. Balmiki Prasad Singh as a Director stands withdrawn, pursuant to corrigendum to the AGM's notice issued in the newspaper -- newspapers. Item #4, reappointment of Mr. Sarvesh Singh as a Director. Item #5, reappointment of Mr. Sandeep Singh as Managing Director liable to retire by rotation for a term of 5 consecutive years with effect from 16th October 2022 to 16th October 2027. Item #6, ratification of the remuneration paid to Mr. Suresh D. Shenoy as cost auditor of the company for the financial year 2021, '22. I would now invite the members who have registered themselves as a speakers to ask any question and provide their comments, which may be limited to 3 minutes for each speaker and not to repeat the questions already raised by the earlier speakers. Members are requested to keep their questions brief and specific. To avoid repetition, the answers to all the questions will be provided towards the end. Before we go live, the question and answer here are some points to note for your convenience. Kindly turn you -- kindly turn on your video when your name has been called out and mute yourself and proceed to ask the questions. Please mention your name and the location from where you are joining. Now I request [indiscernible] to unmute herself and kindly proceed with the question.

[Foreign Language]

[Foreign Language]

[Foreign Language]

Thank you, ma'am. Now, Mr. Jamshed Patel, please.

She's not with us, sir.

Jamshed Patel?

She's not with us.

Mr. [indiscernible]

Chairman, Board of Directors and my fellow shareholders. My name is [indiscernible] I think you can listen now. Can you listen me, sir?

Yes. Yes. [Foreign Language]

Sir, I'm from Mumbai and a very old shareholder since inception. I've received your balance sheet. It is very nice, colorful. It contains everything which we require by the Companies Act. It is something more we have received than the what Companies Act demands. Thank you for the same. Sir, now coming to the -- we have lost our Managing Director, Mr. Dhananjay Ji. It is very sad incident for our company. We are very sad for that same. Sir, now coming to the dividend, we have declared INR 34 dividend, INR 30 interim and INR 4 we are going to pay now. But sir, looking to the our income of INR 137 earnings per share, it is very less. And this is one of the reasons our share price is going down and down, sir. Our performance is not that bad. No doubt, COVID period is over, but our products are essential. These medicines are there, essential. So in medicine, the share prices have not going that much down. I'm giving you the example of Lexo -- we have -- I don't want to compare with anybody. But in pharmaceutical, the share price should not go down. Our share price last -- in the last AGM, it was around INR 4,000. It has gone now to INR 2,920 today. So I'm not concerned about price. I'm not -- company should not think about the share price. But if you declare the dividend properly that how Lexo and other pharmaceutical giving high dividends. So the share price never goes down. The people don't want to come to the sale. They keep as an investment. Now coming to the this, sir, our foreign exchange is INR 1,992 crores and spend is INR 391 crores. So sir, it is we have excess foreign exchange earning is INR 1,601 crores. Last year, it was INR 1,709 crores. So this year, we have received less of INR 108 crores. So -- but no doubt, sir, but last year, sir, our -- this rupee value was -- to the dollar was INR 68 and now it has gone to around INR 80. And it is going to touch INR 81. So sir, we will be gaining from this devaluation of the rupee. So sir, how much we will be benefited, please do answer. Sir, our turnover is increased, no doubt. But sir, our raw material price, it seems it has increased. So how much percentage has been increased in the raw materials and whether we will -- we are able to transfer this to our customers? Sir, our total turnover is INR 10,634 crores. So sir, I want to know how much is the -- we have benefited in the current year from the export turnover? Sir, crude prices has gone up very high, sir. How much that will affect our business in the margin because this year, I have noted that our margin has decreased. So -- and what steps you are going to maintain this. Sir, it is very nice to note that we have -- Alkem as a very -- taken very nice steps to save water and electricity and started using solar power. That is a very nice step towards the environment. We have also done so many good ESR activities, particularly we have 30,000 students have been benefited. This is my one of the requests that we should give more this scholarship to girls rather than boys because in village, normally, people don't encourage their daughters. So this is my request that you will divert that fund to the girls. It is good to note that we have achieved one like consultancy on -- consultancy service by doctors on the phone. That is very nice. We are updated with our technology and the person -- people who are updated with technology, they will only survive in this world. Sir, on Page 41, our profit after tax is INR 1,645 on turnover of INR 10,634 crores, which is up by 3.8%, but margin is under pressure. Sir, our export turnover is INR 1,959 crores. And last year, it was INR 1,910 crores. It is only up by INR 2.90 crores, sir, we should try to export more because the rupee is depreciating, so we can gain from there. Sir, now coming to the balance sheet. Our sundry data, last year, it was INR 1,556 crores has gone up by INR 1,768 crores. It is up by 14% and inventories also have gone up from INR 1,513 crores to INR 1,975 crores. It is up by 30%. Sir, it is my request that we should try to control these expenses. And sir, we have also bank balance of INR 2,215 crores. Sir, I want to know why we are maintaining so much bank balances -- liquid bank balances. Sir, we can use this by -- on purchasing the raw materials, et cetera, on cash basis and get this discount of 2% to 5% minimum. And we can -- by that way, we can earn more profit. Sir, it is very nice to note that interest expense, we have very negligible, only INR 38 crores. It is very nice that we are doing this. Sir, ours is a debt free company. So sir, I think we can declare bonus. It is my request that if you will declare bonus, the share price will go above INR 4,500. Sir, now coming on Page 145, 146, profit and loss account, other expenses. Marketing expense, it was last year, INR 293 crores, it has gone to INR 518 crores. It is up by 77%. Selling and distributing expenses, last year, it was INR 186 crores. It is now gone to INR 280 crores. It is up by 51% and traveling expense likewise, it was INR 127 crores, it has gone to INR 192 crores. Here we should try to be conservative. Thank you, sir. I hope you will find it.

Thank you, sir. Now I call on at Jamshed Patel again now.

No, sir, we can move ahead.

Now we call Mr. [indiscernible].

Once again thank you for the opportunity to speak today and hope to see a positive moving forward on all. Sir, finally, sir, is it possible for you me to meet you person in office. Also sir, always have digital forum for me to switch but how and I can...

Sir, we can call the next speaker. I think he is in some other meeting.

Okay, fine. So Ms. [indiscernible] , please.

She is not with us.

Okay. Next, [indiscernible] please?

Can you hear me, sir?

Yes. Yes. We can hear you, please.

Thank you, sir. Respected Chairman sir, Board of Directors and my fellow members, good morning to all of you. Myself [indiscernible] from Mumbai. First of all, I'm very much thankful to our company secretary, Manish especially [indiscernible] for extending very good investor services and also sending me the AGM notice well in time, which is full of knowledge. Thank you, Chairman sir for explaining about company. Congratulation for excellent work. Sir, I pray to god that he always showers the blessing upon you. I would thank to all the personnel company for receiving awards and recognition by the various times during the year '21 and '22. And also I'm glad the company is doing very well, the CSR activities. Sir, I would like to ask few questions. My question is how much is our expenditure on our pharmaceutical products in brand building and marketing, et cetera? My second question, we have presence in more than 40 countries, which are the market which contributes most revenue to profitability. My third question is, we have been to more than 150 ANDAs. With the U.S. FDA, how many have received the approval for and the processes? My fourth question is how many R&D units we have outside Mumbai and the number of scientists working in the units? So I would like to say I strongly support all the resolutions for today's meeting and my best wishes always our company and its prosperity. Thank you, sir.

Thank you. Next is Mr. Satish Shah.

We can go ahead, sir.

Mr. Gautam Tiwari, please.

Can you listen to me, sir?

Yes, we can hear you. Please proceed.

And sir, can you see me, sir?

No. You just on your video please.

Can you see me, sir?

No, we can't see you.

Now?

Yes. Now we can see you.

Okay. Thank you very much, sir. I really wanted to see you and I was -- I wanted you to see me also, sir. Very, very good morning, dear sir. Our very, very honorable respectable chairman sir then our very, very eminent highly dignified Board of Directors, team Alkem Laboratories Limited, myself Gautam Tiwari participating at this AGM from Mumbai. First of all, I would really like to thank that we have been taking the good inspiration and initiative from our pioneer Samprada Singh leading position and the way he has done for the company, we're just following and progressing the company day by day in -- for greater -- to actual greater and greater heights. Sir, I would like to -- my deep condolences. I've been watching -- I have been hearing right from day 1 I've been with you, and I really very happy when I used to listen to Dhananjay Kumar Singh who has been our joint Managing Director who passed away on 28th of February '21. And my very deep condolences and may his soul rest in eternal peace and may he get the best of the things where he is. Although he's physically away from us, but he's always there in our heart of hearts, and we'll keep on getting inspirations from him each and every time. Sir, his contribution, he was very committed and dedicated contribution for the company he has given. And our company has been progressing during his period of tenure for more than 30 years, really got blessing with the choices [indiscernible] Dear, sir, now I have received really timely the strong -- very much robust annual report along with the notice there and very much colorful it is and additive to all norms of corporate governance with all facts and figures in place. Also secretarial departments our company is a debt-free company for which I'm really proud sir. And our department, secretary department, especially investor care and investor service is exceptionally outstanding under leadership of Manish Narang right from the -- one has to remember Manish Narang, you are listening to us. [Foreign Language] the way you had given the respect, the way you had tendered your hospitality towards shareholders is marvelous and I really salute to you for keeping such a cordial relation with our investors and with our shareholders. I'll be -- I still cherish those sweet memories [Foreign Language] because of corona. I hope in the near future, we will meet again. Sir, similarly, [Foreign Language] more than 13 years, she has been there with us. Each and every time, each and every issue problem has been solved by her instantaneously every time whenever we call her, she always answers our calls and she always responds very well with same politeness, same pleasentness and same hospitality, we are thankful to Divya also. And dear sir, we are thankful to the management for providing such excellent service providers to -- in the interest of shareholders and for shareholders always and all the time. CM sir, I would like to thank especially our MD Sandeep Singh, CS, Rajesh Dubey, CS, Manish Narang and the entire management of the company for delivering exceptionally outstanding and classic performance and wonderful results despite multiple challenges and difficulties at national and international level and still rewarding the shareholders with general dividend year-on-year. Sir, I would like to know when our company when this stock has happened, from which INR 10 to INR 2 and has our company given any bonus in the past and if it all when it was given? Sir, I'm a shareholder of your company right from Day 1 and I have been observing as to how company has unlocked and multiplied wealth of our shareholders each and every year by taking amazing, wonderful and timely decisions. Alkem Laboratories has always worth in the interest of small shareholders. I thank the company for paying a good dividend of INR 34, rather very generous dividend it is for case value of INR 2. Sir, I also congratulate our management for winning various awards and accolades time and again. I also congratulate each and every member offices or committee for delivering the best Noble CSR activities and CSR services not only during the year, but all these years for the benefit of the community, society and the public of our state level and the national level at large. Sir, a few queries which I have got in my mind. Sir, [Foreign Language] you are all very much experts and you have been leading the company so fiercely and so nicely we are really proud of being a shareholder of your company for all these years. We never would like to part from you, sir. Sir, first, the medicines manufactured by Alkem Laboratories [Foreign Language] immunity boosters, up price and A to Z. This was needed by everybody for maintaining and developing immune system, especially during the corona period. [Foreign Language] how much is the revenue and profitability generated out of sales of these medicines in India and abroad as it stands today sir? Secondly, which our top brands constitute to more than 50% of its sales volume? Sir, what is the vaccination status of our employees? I'm very sure it must have a very good -- it has been really good. I am very good. Can you listen to me now?

Yes. Yes.

And how much is the company -- sir, you have already said that our company's R&D spend is 6%. So each and every field how much it is -- we will be happy to note about it if you can please inform? Sir, what is the percentage of product under price control that we have and do we depend upon China for our raw material supplies for our manufacturing units. And what is the capacity utilization of manufacturing plants in India and abroad? And how many new launches we have done during the year and how many are in the pipeline waiting for approvals? And sir, how many of our subsidiaries are loss-making and how many are profit making? And what is our strategy of the company for loss-making subsidies? Sir, as usual, I strongly support all appointments and reappointments of all directors. Also strongly support all resolutions, and I've already voted favorably for all of them. Sir, we have had the total trust confidence and faith in the management and shall always keep on supporting the management till we breathe our last -- even after that also. And for days and days ahead and years, we wish you a really long, safe, happy, healthy, wealthy life with a bright future for the company and with best wishes and compliments for upcoming festivals like Ganapathi, Dussehra, Diwali, Raksha Bandhan, Christmas, New Year. And we wish -- and we promise that we'll be there with you throughout our life and even our offsets we will be here to bless you and support you in the days to come, and we will always maintain our relationship with you, never part way from you. Thank you very much for patient listening, sir. [Foreign Language]

Thank you. Mr. Asif A. Modi.

He is not with us, sir.

The next one, Ms. [indiscernible]

I think you can see me. Is there a video there?

No. We can hear you now. Please proceed, no problem. Yes, yes, we can see you.

Thank you. [Foreign Language] Respective Chairman, Mr. B. N. Singh, MD, Sandeep Singh, MK Singh, BT Singh, I cannot forget Mr. [indiscernible] I know him from many companies, other Board members, our fellow shareholders in this VC -- my name is [indiscernible] . I am speaking from Mumbai. First of all, I thank Mr. Manish Narang and his team, respected lady is there always any query we can always approach her and sending me an annual report and also registering me on this -- in this VC meet at my request and the entry was not at all difficult, quite easy. Now the annual report, I can -- the annual report is full of pictures, information, self-explanatory, adhering to all the norms of the corporate governance. Our working is good. Revenue is up, INR 34 per share of INR 2. What can we expect? It is really very, very in this difficult days to get a dividend of INR 34 and market capitalization also is quite good quite -- quite up. So next is I congratulate you for all the awards received, all are documented on the annual report. I don't want to speak of each one. I appreciate the CSR work, so many pages are there, which is showing how our company goes for the CSR. Also, good ESG initiatives are taken. I would like to know whether we have gone for ESG rating and if rating, what is our score and who is the rating agency? Now my queries, sir. We have total around 16,500 employees in 40 countries. I would like to know what is on the average attrition level? And what is the average age of the employees? Are more of young age because young age employees, I have seen in many balance sheets I have read, there's a lot of hopping there. Then there is second number is there are 19 manufacturing facilities all over the world. The capacity -- average capacity utilization of them. Next one is we have 6 R&D centers, driven by plus 500 scientists. Here, even I would like to know what is the average age, attrition level of these scientists. I would like to know also how much is spent in percentage on R&D of the total sales. Do we also take [indiscernible] business in R&D? Next one is, have we got the business sales or plant in Russia and Ukraine? I would like to know whether any effect on our margin due to geopolitical issues, namely supply chain, logistic bottlenecks, rising oil prices and also rising interest rate due to inflation, et cetera, et cetera. Could you throw some light on this? The future road map for the next 3 years, especially for CapEx or any organic and inorganic growth. I support all the resolutions. I wish my company the best of health and because from wealth, we can always get health, we can get wealth. So therefore, I wish you all very good health. And now Mr...

Executive Chairman, members of the Board and my fellow shareholders. Good morning to you all. My name is the [indiscernible] At the outset, I thank the management, company secretary for sending me a balance sheet, which I received on time. It is self-explanatory and enormous. Our results are excellent, as shown by facts and figures and a very handsome removable dividend, very good sir, keep it up. Now many questions that have been asked by my wife and predecessor shareholders. I don't like to repeat. I have only 1 question to ask. Since we are export house, we export to different countries of the world. I see that most of the payments we receive are in dollar terms. Now if we receive in dollar term, we stand to gain. So how much is the gain we received by way of dollar because dollar is going up day by day and depreciating rupee. And also, I want to know whether we are hedging and only this, how much we have received dollar remittance. With this, I end my speech wishing you personally, all the board members and more importantly, all the employees, all the very best. We are in the midst of a festive season, I wish you one of our very happy festive season. With this, sir, thank you very much for patient hearing.

Thank you. Mr. [indiscernible]

Am I audible to you, sir?

Yes, you are audible.

Good evening, Board of Directors and my fellow dear shareholders. my name is [indiscernible] from Mumbai. So I received your balance sheet in time along with digital balance sheet also. So for that I want to thank to our secretarial team, Mr. Manish Narang and [indiscernible] because they are the real pivot of the company for helping the shareholders. Even today, I was finding it very difficult to connect with you. But then I called her, and I could connect so I am very thankful to all of them. Now for the outset I would express my condolence for the loss of the life of many of your members, employees due to this pandemic because that was a very worst period, including our Joint Manager, Dhananjay Singh, but I don't know whether our Joint Managing Director had some other medical complication or it was due to corona. Can you please elaborate on that, sir. Of course, I feel very aggrieved that such a nice person who has been with you for a long period is no more with the firm. Anyway, on performance of the company, 20% revenue where Chairman has already mentioned, sir, it is very heartening because it was not expected in this particular year when there were a lot of uncertainties going on due to corona disruption or all those things. So we have done really well. And I feel it is commendable, however, our EBITDA and profit could not increase due to the challenges stressed by entire management due to the various factors. This I strongly believe you could have got better, but whatever you have done, I think it is fairly nice. Now it can be assumed that it is a satisfactory performance. But then when our Chairman gave a figure for our this quarter, June quarter. Then if there is something -- some performance wise somewhere we are lacking maybe due to geopolitical tensions, now that Ukraine war going with Russia, all those things are causing uncertainty. And that is the reason our share price also fallen. So we should not worry for that because company is on the very right track, because when I found that our earnings per share for the last year has been INR 137. It is a very [ pertinent use ] because we were not expecting that much. Not only get the cash generated by you which was INR 15 crores last year has been increased to almost INR 82 crores. So you are on very solid footing sir. There will not be any problem, I believe. And also because you are also almost debt-free. So there will not be any problem for moving ahead. But I would like to know, sir, what is the forecast of future achievements for this company? Because everybody has asked this question and because of on certain period going ahead, I think we have to be more careful and protect our term in terms of the turnover as well as the profitability because our market value should not fall so much as one of the shareholders already pointed out. One question -- can we go for a stock split? Because somebody asked bonus. I do not know at this point of time, you can go for bonus. But if you take this is type of stock split, although our share first value only INR 2, it can be a notional value of INR 1, which many of the companies have done. That is also our value per cup in the market. There will be more transition going around and it will more influence. So once again, thank you for giving me the opportunity, sir. And I wish you all the best. Looking for better returns in future. And 1 last question, sir, sometimes where, the company also arranged a trials visit for the shareholders. That time I was abroad, sir. So we were looking ahead for such an -- second opportunity, but with corona and all that, we could not meet personally. And now is the time I think you can thinking in that direction so that we can also have a similar opportunity. Thank you.

Thank you. Jamshed Patel, please. Jamshed Patel you there? Mr. Yousuf [indiscernible].

Yes. Good morning, dynamic chairman. [Foreign Language].

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[Foreign Language] Let's move to next now. Mr. Bimal Panchal, please. Mr. Bimal Panchal.

So my name is Bimal Panchal, I'm from Prabhadevi, Mumbai. At the outset, heartiest congratulations for robust performance, various awards and accolades, note worthy is India's based companies to work by [ ET ]. So our annual report with channels message, letters from MD, management discussions and analysis and also your opening statement and higher -- also higher R&D spend is very much -- your MD, management discussion analysis and opening statement is very much informative. And it gives a confidence and optimistic view about the future. Sir, we highly appreciate an involvement of our employees in various projects towards enriching communities, enhancing levels in our CSR spend. And it is -- our CSR spend is also very well diversified and highly acknowledgeable, sir. Sir, a little -- sir, on Page 65. Hello?

Yes, yes, we can hear you. Please proceed.

On Page 65, there's little typographical mistake. The second line is Homi Bhabha Cancer Hospital. So it is not Homi B-A-B-A,it is B-H-A-B-H-A. So a just little correction typographical just wanted to highlight. Sir, our equity capital of the company has to be [ commencement ] with the size of the company. In coming -- in the 2 years, we'll be entering into the Golden Jubilee years. So my humble request is to consider the giving the bonus. And there is not much queries -- lots of questions. My question has been asked by the previous shareholders also. It is in the similar line, so I'm not repeating all these questions. And I support all the resolutions and wish you all the best to the company in the years to come. Thank you very much, sir.

Yes. Thank you. Mr. Bimal Agarwal.

Can you hear me?

[Foreign Language].

Good afternoon to everyone. First of all, thank the company Secretary and his speech and also the management and companies equity, they have sent me the link. That's why I could join and don't give the meeting in [ CDSL ]. Always came in NSDL. [ CDSL ], they don't give their timing, but that's daily -- the NSG has -- give daily timing chat -- chart they give or when every meeting is here, when the meet started, that time they put the other thing. Don't keep in [ PDSL ], they keep it in NSDL. And because my speaker, that's why we got a link. Who are not speaker, they don't get the link and it's become a problem for them to join. Tell [ CDSL ] to give -- be like professional like NSDL. [ CDSL ] doesn't put their timing [indiscernible]. We have to note it down every time. it's better like our -- keep it in NSDL. That's okay. And how many -- what are the patent drugs we got. That's all the questions are asked by the other people. I don't want to waste your time. Thank you very much. That's all from me.

Next Mr. Bharat Shah at Savita Shah.

Hello? [Foreign Language].

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