Corona Remedies Ltd (CORONA) Q2FY27 Concall Transcript - Sep-2026 Qtr
Moderator: Ladies and gentlemen, good day, and welcome to the Q2 and H1 FY27 earnings conference call of Corona Remedies Limited. Before we begin, I would like to point out that this conference call may contain certain forward-looking statements about the company, which are based on the beliefs, opinions, and expectations of the company as on date of this call. These statements are not the guarantee of future performance and involve risks and uncertainties that are difficult to predict. As a
Moderator: Sir. All participant lines 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-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Umesh Laddhad from Ambit Capital Private Limited. Thank you, and over to you, Umesh.
Umesh Laddhad (Ambit Capital Private Limited): Good morning, everyone. On the behalf of Ambit Capital, we welcome you all on Q2 and H1 FY '27 earnings conference call of Corona Remedies Limited. Today, on the call, we are joined by Mr. Nirav Mehta, Managing Director and CEO; Mr. Ankur Mehta, Joint Managing Director; and Mr. Bhavin Bhagat, Chief Financial Official at Corona Remedies Limited. We will begin the call with opening remarks from the management, followed by a Q&A session. Thank you, and over to you, Nirav, sir.
Nirav Mehta (Corona Remedies Limited): you all for joining us on the quarter two and half one FY '27 earning conference call for Corona Remedies Limited. Along with me on the call, I am joined by our Joint Managing Director, Mr. Ankur Mehta, our CFO, Mr. Bhavin Bhagat, other members of the senior management team, and Strategic Growth Advisors, our Investor Relationship Advisor. We have uploaded our result, press release, and investor presentation on the stock exchange and on company's website. I hope everybody has had the opportunity to go through the same. Before we discuss our performance, I would like to share a few thoughts on the Indian pharmaceutical market. The Indian pharmaceutical market continues to show strong momentum, delivering low to mid-double-digit growth since December 2025. As per PharmaTrac, IPM, Indian Pharmaceutical Market, has registered highest-ever monthly growth of 13.5% in September 2026. Interestingly, this growth is increasingly coming from volume along with other growth drivers. We believe this reflects deep structural strength that will support consistent growth for coming years. We firmly believe that Indian pharma is a sunrise sector, well-positioned for sustained long-term growth. Speaking of Corona, we are well-positioned to the to capitalize on the long-term structural growth of the Indian pharmaceutical market, and on our record track record gives us confidence in this. We have consistently outperformed the market. As per PharmaTrac, over the last three years, Corona has grown at 1.9x times, 1.9x the Indian pharmaceutical market. More importantly, this outperformance has been driven by volume growth, new introduction growth, and price growth. Our volume growth has been nearly 3.3x that of the Indian pharmaceutical market, and growth from new introduction stands about 2.2x, while price growth has been 1.2x. This reinforces our strategy of outperforming the market by expanding volumes and broadening our product basket. Corona is now amongst top 15 pharmaceutical companies at 14th rank in the covered market. Overall, Corona stands at 26th rank in Indian pharmaceutical market, and continues to be the one of the fastest growing companies in the Indian pharmaceutical market. Speaking on our quarterly performance and highlights, we are pleased to report another quarter of strong and consistent performance with revenue growing by 22% year-on-year in quarter two and similar 22% in H1 FY '27. If we remove acquired brand Wockhardt, then we are growing by 21% 21.5% in quarter two and 21.5% in H1 FY '27. Our India business delivered an impressive 22.9% year-on-year growth in Q2 FY '27, significantly outperforming the Indian pharmaceutical market which grew by around 12% during the same period as per PharmaTrac data. More encouragingly, the chronic segment of Indian pharmaceutical market continues to grow at the faster pace, recording growth of 14.9%, approximately
Nirav Mehta (Corona Remedies Limited): during the same period. Against this backdrop, our chronic business at Corona chronic portfolio has grown by around 29%, delivering nearly 2x the growth of corresponding market segment. This sustained outperformance reflects our disciplined execution, focused brand building initiatives and the continued trust and confidence that healthcare professionals place in our products. More importantly, it reinforces our confidence in the strength of our business fundamentals and the sustainability of our long-term growth strategy. Our consistent growth at Corona rests on four pillars: first, strengthening our core therapies; second, brand building; third, disciplined operational excellence; and fourth is investing in future of Corona. To conclude, I would like to highlight that, supported by a diversified diversified portfolio, strong brands, an expanding distribution network, experienced leadership and disciplined capital allocation, we remain confident of delivering sustainable growth and profitability. I would now like to hand over the call over our Chief Financial Officer, Mr. Bhavin Bhagat, to take you through financial and operational performance. Thank you, and over to you, Bhavin bhai.
Bhavin Bhagat (Corona Remedies Limited): Good morning, everyone. Thank you, Nirav bhai. A warm welcome to everyone to our Q2 FY '27 earnings call. I will take you through the financial performance for the quarter and H1 FY '27. Speaking of performance, revenue for Q2 FY '27 stood at 441 crores versus Rs. 361 crores in Q2 FY '26, reflecting a healthy growth of 22.2% YoY revenue growth in Q2. India business contributed 97% of total revenue in Q2 and H1. Revenue growth for India business stood at 22.9% for Q2 FY '27 and 22.8% for H1 FY '27. EBITDA for the quarter stood at 96 crores versus 78.5 crore rupees in Q2 FY '26, a growth of 22.3% on a year-on-year basis. EBITDA margin was stable at 21.7%. For H1 FY '27, EBITDA grew by 27.5% with EBITDA margin standing at 21.9%. Profit after tax stood at Rs. 60 crores, compared to Rs. 52 crores in Q2 FY '26, registering a year-on-year growth of 15.3%. PAT margin for Q2 FY '27 stood at 13.7%. The relative moderate growth in PAT compared to the revenue is primarily attributable to higher depreciation and amortization charges arising from our newly commissioned facilities and acquisition of brands. PAT for H1 FY '27 stood at Rs. 120 crores, a growth of 22.2% YoY, whereas PAT margin for H1 FY '27 stood at 13.9%. Return on capital employed, ROCE of H1 FY '27 stands at 49.8% and return on equity, ROE stands at 32.9%. With that, I would like to open the floor for questions. Thank you.
Moderator: Thank you so much, sir. Ladies and gentlemen, we will now begin with a question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we'll wait for a moment while the question queue assembles. Ladies and gentlemen, anyone who wishes to ask a question may press star and one. Our first question comes from the line of Pratik Dharamshi with Union Mutual Fund. Please go ahead.
Pratik Dharamshi (Union Mutual Fund): Yeah. Thanks a lot for giving the opportunity. Many congratulations Nirav bhai, Bhavin bhai for good set of numbers. My question was on the slide in the presentation where you're mentioning about expanding into newer therapeutic areas like nephrology, CNS, rheumatology, Derma, etcetera. So can you give some color
Pratik Dharamshi (Union Mutual Fund): On on the strategies around getting into newer therapies, the go-to-market action, you may be taking, so, some color on your growth strategy. That would be helpful. Thank you.
Nirav Mehta (Corona Remedies Limited): Yeah, absolutely. Thank you, Pratikbhai, for a compliment. See, as far as new therapies is concerned, we have mentioned in the slide that we will go with Infertility, nephrology, gastroenterology, spine, rheumatology, etc, etc. In CY 2026, we have started with focusing on infertility and taken the task force in this year only. You know, we are in the process to make this business streamline, and we have, you know, got a good you know, start with that business of infertility. In a quarter to come, or a year to come, we will definitely try to focus in other therapies also, which we have mentioned.
Pratik Dharamshi (Union Mutual Fund): So, are you also open to M&A on on this side, or will it be a whole organic strategy by expanding the MR strength? How would you go about this?
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