Daily Investor's Edge

Edition 12

Welcome to Investors’ Edge— your daily dose of business insights, trends, and updates that matter. In this space, we go beyond the headlines to explore the evolving world of companies and industries. Each day, we bring you thoughtfully curated insights, sharp observations, and key developments shaping the business landscape.

Whether it's a strategic pivot by a market leader or an under-the-radar company making waves, we break it down for you — clearly, concisely, and consistently.

Today is the 17th June and in the 12th edition of investor’s edge we've compiled key insights from numerous Q4 FY25 concalls, offering a comprehensive look at companies across diverse sectors. Our analysis spans Pharma, Capital Goods, FMCG, Geospatial, and many more industries.

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Ceinsys Tech Limited

How we are looking at this order book. Gentlemen, what we are trying to do is, if you see our growth rate this year, we want to make sure at every beginning of next year, we have a possibility to execute orders higher than this current growth rate. So Q-on-Q and Y-o-Y, our growth rates will not come down in the medium-term future. And whatever is order book required for that is what we will keep generating.

One of the concerns we have in terms of keeping building that order book beyond the capacity of execution is we don't want to be faltering on the timelines of the government orders which we take. This is not an excuse not to grow, but this is the planning stage at which to appropriately working for the growth as well as the business government as well as execution of the growth.

I would like to reiterate before I give the numbers. And normally, we don't discuss about the pipeline, but as we have already indicated in the past also, our pipeline normally is in the range of INR 300 crores to INR 400 crores every quarter and at any point of time. So even as we speak, we have a pipeline for which we have bid in the range of around INR 355 crores. So and that is what we expect something to happen within next one month or so. About these out of INR 355 crores, we expect the disposal of at least two of the large projects, which could be aggregating to more than INR 280 crores in the next one month or so. That given, the point is the order book is also dependent on the opportunities which are aligned to us.

I think the order book increase during the year was around INR 800 crores. You are talking of the quarter. You are right that the order book, which has been consumed for the execution was around INR 190 crores. And the new orders, which have been added during the quarter, was less than that. However, this is no indication that there is any dearth of opportunities or there is any dearth of new order book to be followed.
— Prashant Kamat

As at the March, the total order book confirmed order book stands at around INR 1,197 crores. Of this, projects in the water domain account for INR 1,019 crores and the geospatial enterprise solutions services contribute to around INR 178 crores.

— Kaushik Khona

Gland Pharma

Gland is also building a robust CDMO setup for biologics, leveraging our existing biologics manufacturing capabilities. The biosimilars market is a significant driver in this effort. A key step in our strategic expansion into biologics is our collaboration with Dr. Reddy's Laboratories, which marks a significant step in this direction with revenue contribution expected in FY'26. Gland Pharma Limited May 20, 2025 value formats like dry powders and have already successfully initiated several new CMO projects.

Our future pipeline now targets major therapies like ophthalmology, CNS, cardiology with near-term generic opportunities covering a $1.25 billion market, which is about 40 new ANDAs, a 1- to 3-year pipeline targeting $2.12 billion, and a longer-term pipeline in a $2.34 billion market. In total, our in-house pipeline includes 71 new ANDAs with $5.71 billion TAM.

In FY25, we launched 31 new products in the US, and we expect this momentum to continue. Additionally, we have filed 3 RTU infusion bag products with 10 more in development as part of our 14 registered RTU bag products targeting a ~$530 million US market. We are also focusing on additional complex injectables and have 19 products in this bucket with 6 already launched and 3 more anticipated for approval, addressing an IQVIA market opportunity of approximately $6.5 billion.

To accelerate our pipeline and portfolio expansion, we are pursuing co-development wherein we are partnering with the specialty injectable development company for 15 products, out of which 6 are 505(b)(2) and 9 ANDA submissions, which are focusing on key therapeutic areas like immunology, chemo adjuvants, mineral supplements, pain management, endocrinology, and radiocontrast agents.

Biologies: Gland is also building a robust CDMO setup for biologies, leveraging our existing biologies manufacturing capabilities. The biosimilars market is a significant driver in this effort. A key step in our strategic expansion into biologies is our collaboration with Dr. Reddy's Laboratories, which marks a significant step in this direction with revenue contribution expected in FY'26.

FY'26, overall, we are seeing 15% growth. It's a combination of some growth coming from Cenexi because the numbers will improve that. You have already seen that in the last two quarters. So, some growth will come from there. Some growth will come from the new launches. And some with the tech transfer projects what we started, some dry powder contracts what we have done contribute about 60 crores -70 crores. About 60 crores-70 crores from that.

— Srinivas Sadu

Wockhardt

ZAYNICH, which is a breakthrough in innovation has an addressable market of about 9 billion globally and Miqnaf has an addressable market in India of INR10,800 crores. Our diabetes portfolio in the emerging market which includes Insulin Glargine and Aspart has an opportunity of about $3 billion. As I mentioned we are doubling our capacity in the next 24 to 36 months and that would help tap into the growing demand and we expect to double the business in the next 3 years.

We also have another product which is 4282: Foviscu and where we are completing the phase - - of the Phase 2 clinical trial. This is another product for hospital and in the gram negative space where ZAYNICH is at the top end of the pyramid. This would be at an entry level product and the usage of this would be very wide and would cover a large base and would be the first drug of choice for gram negative infections in the hospital

—Murtaza Khorakiwala

Mrs. Bectors Foods

So just to brief you on the -- especially on the biscuit side demand. So from the quarter 4, we have started seeing a positive trend. And so we are building on that positive trend of growth. So the growth are greater than what it was in the first 3 quarters of financial year '25. So the growth trajectory is there. I mean it's kind of started building it up. So that's on the kind of a growth side of the biscuit -- domestic biscuits.

On the English Oven side, again, as it was highlighted in the speech that we have launched a health brand. It's a new brand called NaturBaked and we want to build up that brand and different products under the brand. Alongside that, as in the last 2-3 years, we built up of frozen product business, and we are doing that business and we have built up that business well with B2B, where we enhance on B2B. So as a pilot, we have launched a few products under the frozen category in English Oven on a B2C side. And the objective will be to also start building that up as we see the results on that side. So there is a fairly strong pipeline this year both for Biscuit and Bakery and also primarily on a differentiated product side.

HCG

Management getting confident about growth opportunities with KKR joining them as their new strategic partner

In the last 4 years, we have been in a consolidation mode. We have taken a call to expand with merger acquisition and including what Raj Gore mentioned about the greenfield centers. All of this, I believe, particularly with the new partner coming, KKR, who will be a solid foundation for future long-term growth of HCG.

- B.S Ajaikumar , Executive Chairman

Aims to operationalize over 900 beds in next 3 years

of the current capacity, I think we have almost about 200 beds, which are still not operational. In addition to that, we'll be investing in the remaining 600 to 700 beds over the next 2- 3 years.

- Ashutosh Kumar , Assistant general manager

Operating leverage to play out as emerging centres continues to grow

As our emerging centers continue to grow, which is again reflected in last year's performance, you will see that our revenue grew by 32% and our EBITDA has grown by 44% in the same quarter for emerging centers, reflecting an increase in EBITDA margin as well. As they inch closer towards the EBITDA margin of the established centers, we expect our EBITDA margins to improve going forward.

- Ashutosh Kumar , Assistant general manager

Rainbow Children's medicare

Capacity addition in FY26 updates

Our 100-bed regional hospital in Rajahmundry, Andhra Pradesh, is in the final stages and is expected to commence operations by the end of Q1 FY26. Two new spoke hospitals in Bengaluru—Electronic City (90 beds) and Hennur (60 beds)— are expected to begin operations by the end of Q2 FY26.

IVF an emerging trend

Our IVF services have shown strong progress, reinforcing their potential as a key growth driver. The IVF business has performed very well. It's now operational in 12-13 of our hospitals, and it’s growing rapidly. Given the low base, we’ve seen strong year-on-year growth — close to 70%. In terms of contribution to overall revenue, it's still relatively modest — around 2.9% — but the trajectory is clearly upward.

– Vikas Maheshwari , Group CFO

Goodluck India

Precision tubes and defence segments to drive value added growth

This side, this product, normally in our precision tube and auto tubes, EBITDA margins are 13%, 14%. In this product, we hope that it should be at least 400 bps point plus, but once it gets stabilized, so by September, I hope what I am saying it will be proved again. Auto tubes and the defence sector. So major contribution will come from there. And in these sectors, in auto tube, normally EBITDA is 12%, 13%. And in defence, as I have said, we don't know. But from the market intelligence, it should be 20% plus.

Ambitious FY26 top-line target with maintained margins

“For next year, we hope that it should be INR 4,500 crore plus. Basically, a growth of 15% to 20%… Margin likely to be maintained because we are in the niche segment in all our products..... Our major emphasis will be on auto tubes and the defence sector… In auto tube, normally EBITDA is 12%, 13%. And in defence… from the market intelligence, it should be 20% plus.”

Supplied for first ever bullet train order

The company is on the verge of completing the first order of 22,000 tons for the bullet train and recently developed a second design for the bullet train and has secured a new order of INR52 crores.

—-Ram agarwal , CEO

Dee Development

Strong growth and margin guidance for FY26

“Sir, we had given a guidance of INR1,300 crores with an EBITDA margin of ranging between 19% to 20%. And some impact would be there on the EBITDA margin because of the downward rates by the commission in the tariff of our power units. So that needs to be assessed. Otherwise, our guidance remains the same, which we had given earlier”

—Sameer Agarwal

Going forward with backward integration in seamless pipes + Doubling down with current capacity at Anjar

“We expect to commission an additional 15,000 metric ton per annum capacity by October 2025, bringing the total capacity at Anjar, excluding heavy fabrication to 30,000 metric tons per annum. Simultaneously, the development of our high-wall seamless pipe plant is advancing on schedule. We remain on track to commence commercial production by January 2026. A key step in our backward integration strategy aimed at improving supply chain efficiency and cost competitiveness.”

– Krishan Lalit Bansal

Allied blenders and distilleries

Transformation in first year of listing

“FY ‘25 was our first year as a listed company, and I am pleased to share that it has been a transformational year for ABD marked by record performance, disciplined execution and strategic progress across key pillars of our growth agenda.”

Four-pillar strategic agenda

“We had four broad themes on which we worked. First, premiumization. Align our portfolio with the consumption trends to gain market share. We have also built our Super-Premium to Luxury portfolio in the high growth, high margin segment. Backward integration to ensure both supply security and margin growth. Margin expansion, deliver industry parity gross margins and expand our EBITDA margins. And our fourth theme, which is around governance culture, strengthening of our internal processes including digitization in identified areas.”

Backward integration capex delivering margin accretion

“Our newly acquired ENA distillery in Aurangabad is running at 100% capacity and the produce is being used for captive use. Our project on the expansion of 61 million liters over the next three years is on track… These initiatives are margin accretive and are expected to deliver approximately 300 basis point EBITDA margin improvement over the medium term.”

Strong balance‐sheet de-risking

“Our net debt-to-equity improved to 0.5x as on 31st March 2025 from 1.8x as on 31st March 2024. And net debt-to-EBITDA improved to 1.7x as on 31st March 2025 from 3x as on 31st March 2024, creating room for future growth investments.”

Conclusion

And there you have it—a deep dive into the insights from companies across sectors. From strategic expansions in healthcare to robust order books in infrastructure and innovative pipelines in pharma, the Q4FY25 concalls reveal a dynamic business landscape poised for growth. Keep an eye on these developments, as they not only reflect current trends but also lay the groundwork for future opportunities. Stay tuned for more, as we continue to bring you the