Dhanuka Agritech Limited (NSE: DHANUKA) Q1 2026 Earnings Call dated Aug. 01, 2025
Corporate Participants:
Unidentified Speaker
Analysts:
Unidentified Participant
Manish Mahavar — Analyst
Bhavya Gandhi — Analyst
Shubham Segal — Analyst
Darshita Shah — Analyst
Hussain Baruchwala — Analyst
Shubham Panderia — Analyst
Elara Capital — Analyst
Ankit Gupta — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to Tanuka Agritech Limited Q1FY26 earnings conference call hosted by Antique Stock Broking Limited. As a reminder, 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 this conference call, please signal an operator by pressing on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Manish Mahavar from Antique Stock Broking Limited. Thank you. And over to you sir.
Manish Mahavar — Analyst
Thank you. Good afternoon everyone. I am pleased to host the today’s earning call on Bhanuka Agritech VM Leadership Team represented by Mr. N.T. bhanuka, Chairman, Mr. Rahul Hanukkah, Managing Director, Mr. Hashim, Expert Director and Mr. V.K. bhaktal, CFO. On the call without any delay, I would like to invite this NP Dhanuka to start with opening comments post which we will move to the pna. Thank you. And over to Ranuka.
Manish Mahavar — Analyst
Thank you. Manishi. Good afternoon ladies and gentlemen. I, M.K. dhanuka, Chairman of Dhanuka Agritech Limited welcome you all to the Q1 and FY26 earnings call. I have with me Mr. Rahul Dhanuka, Managing Director, Mr. Harsh Danuka, Executive Director and Mr. V.K. bansal, CFO of the company. As you are aware, Dhanuka Agritech is a leading Indian agrochemical company. Dhanuka is working with the vision of agriculture. We have a pan India presence in all major states to reach out to more than 10 million farmers with our production services. Dhanuka’s key focus have been on introduction of novel chemistries and extensive product development.
Distinguish us from rest of the industry. With four manufacturing units and 41 warehouses across India we cater to around 6,500 distributors and 80,000 retailers. Dhanuka had a strong sales and marketing team to promote and develop new products. Danuka with two R&D laboratories has world class NABL accredited laboratories as well as an excellent team for new product registration and development. Dhanuka has international collaboration with 10 leading global agrochemical companies from Japan, US and Europe which helps us to introduce the latest technology in India. The April to June 2025 quarter remained challenging for the Indian agrochemical industry.
A delayed and uneven onset of the southwest monsoon impacted the timely sowing of curry crops leading to subdued demand for agri imports, particularly herbicides. Farmers exercise caution in purchases due to uncertainty in rainfall and lower realization from previous harvest. Additionally, channel inventories remained elevated in certain regions further affecting primary sales. However, towards the later part of June, rainfall improved, reviving optimism for the upcoming season and setting a foundation for recovery in the second quarter. India is likely to achieve a new record in food grain Production during the 202526 Kharif season starting next month. Buoyed by forecasts of above normal monsoon rains, the Indian Meteorological Department has forecasted an above normal southwest monsoon for the entire 2025 Khari season that is June to September.
As shared in the last call, we introduced one new 9.3product in Q1 Dinkar with the help of the Hoko Chemicals Japan which is a herbicide for paddy crops and it has received encouraging response from farmers especially in south region. Further, I would like to share that we are on track to introduce the second product from our Dahed plant in H2 of FY26. Also our sales of Bifentrin Technical from Dahed is on track in line with our annual objective. Now moving on to the financial performance for the last quarter our revenue from Operations stood at Rupees 528.29 crore in Q1 of FY25.26 versus Rupees 493.58 crores in Q1 of FY24 25 showing a growth of 7%.
EBITDA stood at 83.19 crore in Q1 of FY25 26 versus Rupees 71.72 crores in Q1 of FY 2425. Profit After Tax stood at Rs.55.5 crore in Q1 of FY25:26 versus Rupees 48.89 crores in Q1 ofFY24:25. Zone wide share of turnover for Q1 of FY25:26 is North India:31%, East India:9%, West India:41% and South India:19%. Product category wise share of turnover for q1 of FY25:26 insecticide:23% fungicide:11%, herbicide:50% others:16%. The shareholders of the company in the 40th Annual General Meeting held today at 11:00am declared the final dividend of 100% I.e. rupees:2 per equity share having face value of Rupees:2 per share.
The company has already rewarded its equity shareholders with buyback of 5 lakh equity shares at the rate of rupees 2000 per equity share absorbing rupees 100 crores. We consider ourselves responsible towards securing the farmers welfare and preserving food security of the nation. We continue to strengthen our association with the agricultural universities, Krishna Vigan and other critical institutions to impart knowledge and latest technology to the farmers. Thank you very much for your kind attention. And now we would like to open the forum to take the questions. Thank you.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may please press star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Bhavya Gandhi from Dalal and Brocha Stockbroking Private Limited. Please go ahead.
Bhavya Gandhi
Yeah, hi. Thanks for the opportunity. My first question is regarding the onset of monsoon. Monsoon was in fact earlier this year. And overall our revenue growth has been flattish. I mean a single digit 7% odd. So if you can throw some light on that, despite monsoon being early, why are we not seeing significant growth in Q1?
Manish Mahavar
Right. In terms of revenues? Right. So monsoon did happen the way it happened. And it when it was raining in May, that rain was actually out of place and not the monsoon rains, so to say. And that rain did not do much to help some critical crops like soya bean and cotton. In fact, it led to resowing in many places. Which means that whatever farmer had sown got wasted and farmer had to go again for sowing the seeds. So that was a re swing that happened. And there was a mismatch in the crop cycle and the consumption opportunity because of which this quarter has shown single digit growth.
Bhavya Gandhi
Okay. And on the full year guidance, if you can again allude, are we sticking to the full year guidance in terms of revenue and EBITDA margin?
Manish Mahavar
Yeah. So in terms of revenue we are committed to double digit growth, maybe a smaller, but we are sticking to our double digit growth objective. And in terms of EBITDA margin also, do we still stick to the guidance. In terms of EBITDA margin? We are of the opinion there would be around 100 basis point decline in the EBITDA margin in this financial year.
Bhavya Gandhi
Okay. And sir, is it possible to share the capacity utilization at our plant? Technical plant?
Manish Mahavar
So capacity utilization for the entire year will be close to 60% in this year. 60 years. Okay. And in terms of top line, is it possible to share some number. For. The age plant this year? The age plant we are expecting a revenue of 65 crores.
Bhavya Gandhi
Okay, fair enough. Fair enough. That’s it from my end. Yeah. Thank you.
operator
Thank you sir. The next question is from the line of Shubham Segal from Simpl. Please go ahead.
Shubham Segal
Hello. Yes sir. Yeah, thank you for the opportunity. My first question is so how much was the B2B sales and EBITDA in Q1 and similarly what was royalty income. Pertaining to beer products?
Manish Mahavar
You see from beer product royalty in terms of royalty is around 9 crore. And what was the, what was the B2B sales and EBITDA in Q1 P2V. Sales is not really significant.
Shubham Segal
Okay, my second question was. So we saw material drop in our ITI index in Q1. Any particular reason behind this?
Manish Mahavar
You see the ITI index dropped because of this is IJ index protection of current year plus last three years. So basically this year the we have launched only one molecule and three years ago we launched one pill and tornado. Their contribution is bigger as compared to this year contribution of Denka because of which IG index is declined as compared to the previous year.
Shubham Segal
Okay, got it. My question was on Tempera and Tiger Cooper are two molecules. So I just wanted to know that compared to the potential of these two molecules currently where we stand that in terms of let’s say market coverage and our wallet share and also how has the price fence or competition intensity been in these two molecules for us? Yes.
Manish Mahavar
Yeah. Right. So finds its opportunity in soya bean, cotton, ground nut, black gram, onion and depending upon the crop acreage shift the consumption sometimes does shift. So for example we are very upbeat about the onion opportunity which has emerged with onion prices going up. So Targa will find a very good opportunity in onion and black gram. However it has received a setback in soya markets of Madhya Pradesh where BD side consumptions have been subdued in the first quarter.
Shubham Segal
Yeah, actually my question was so in terms of market coverage and wallet share, where do we stand currently compared to the potential of these two volley games?
Manish Mahavar
Yeah, so market coverage is like in its top chemistry. This is a pop chemistry and grassy weed killer in that chemistry segment it is one of the leading products although many in terms of the competition many more products and generics have been launched. Turgasuttur still commands a premium position with the farmer in soya bean and cotton. And Sampra which is a herbicide finding opportunity in sugarcane and maize is like really doing well. We have launched variants also of Sampra this year earlier in Dizome shape and Sentra is being really well accepted with growing acreages of maize and Increasing value of sugarcane.
Okay.
Shubham Segal
And so what would you say like how many brands currently for us might be more than let’s say 550 or 100 crores versus five years back. And how many of these brands being entire products or as an announcement.
Shubham Segal
So you see, brand wise revenue we do not disclose. You not share the number?
Manish Mahavar
No, I am not asking for any revenue figure. But just like how many brands would be greater than 50 or 100 crores for us. Yearly basis is around more than is around 10 on yearly basis. More than each one. More than around 10. Around 10 brands, 50 crore plus. And if you see five years ago, maybe two, three.
Shubham Segal
Okay. And like out of these 10 brands, like just approximately, roughly. Do we know how many you would make tire products versus in house products?
Manish Mahavar
Maybe around 50. 50.
Shubham Segal
Okay, got it. Okay, I’ll join you back in the queue.
operator
Thank you, sir. Ladies and gentlemen, to ask a question please press star and one Now. Participants who wish to ask questions may please press star and one at this time. The next question is from the line of Darshita Shah from BSP Asset Managers. Please go ahead.
Darshita Shah
Yeah. Hi. Thank you for taking my question.
operator
Sorry to interrupt you, ma’. Am. Your voice is very low. Please use your hands.
Darshita Shah
I am on my handset. Is it better now?
operator
Yes, ma’, am, better.
Darshita Shah
Okay. So my first question was regarding how the liquidation has been so far in the month of July. And if we have seen any improvement on sequential basis so far in the second quarter.
Manish Mahavar
Yes. So the month of July has been better in terms of consumption over previous quarter. Although the previous quarter concluded with inventories in the pipeline. So the net effect is subdued only for the July as well. Because as a matter of hygiene practice at Dhanuka, you try and take back unsold stocks from the market. So July consumptions have moved forward. However, soybean as a crop remains subdued in terms of weedy side consumption.
Darshita Shah
Okay. And in your opening remarks you mentioned that a few regions are seeing elevated channel inventory. Could you throw some light on that? And if channel inventory has reduced at this point?
Manish Mahavar
Yes. Herbicide segment in particular is seeing more of channel inventory. And we have seen this happening in Madhya Pradesh, Maharashtra, parts of Karnataka and Telangana also. Where soya bean has been an important crop. Herbicide consumption has been subdued in cotton also in large parts of Telangana, Karnatak and Maharashtra. So these two crops and their relevant geographical pockets are having still inventory for the channel.
Darshita Shah
Got it. Okay. And what is your sense on how the demand should improve for probably the rest of the quarter and Are we yet to place our inventory for insecticides and fungicides at this point or is it already done and should that number be seen in the second quarter volume growth?
Manish Mahavar
It has rained really well I believe which is already showing significant jump in fungicide consumption and we are pretty upbeat about the insecticide consumption also coming up pretty soon. So this is the time when insecticide consumptions happen. But the widespread and intense rain is also going to give a boost to the fungicide portfolio. So both the segments are going to have a beat time over next 50, 60 days. Further, these increased rains would help the farmer to increase the acreages wherever possible. Padi is going to get a booster with this rainfall. So we are also looking at a very strong consumption in Padi with a very strong portfolio that we have to offer to the Padi farmer across the country.
Darshita Shah
Got it. How is the pricing pressure now in the domestic market? And Bansalti mentioned that we are still expecting a 100bps to decline although the first quarter has still seen a YY increase on EBITDA margin front. So I mean how are we expecting this 100bps decline to come on the EBITDA margin front? And I mean when will that kind of play out?
Manish Mahavar
Yeah, you see in the quarter one the gross margin is comparatively on lower side and if you see in the previous financial year forward to gross margins were 42% as ever highest. And you see because of the ban in four biofertilizer molecules which is highly profitable because of product mix, we are seeing the impact in the gross margin. And last year we could get the advantage of the declining technical prices which is now rested prices are more or less stable. Therefore we are expecting a hundred basis point decline in the gross margin and since we are expecting the double digit growth on lower side.
So similar impact would appear on the EBITDA as well.
Darshita Shah
And my question on the pricing pressure that we are witnessing in the market currently. Could you repeat that? I am not getting.
Manish Mahavar
No, no sir. Any pricing pressure on the technicals or the formulation front that we are witnessing at this point. Pricing pressure across our wide portfolio. There are some products which have felt pricing pressure but this incessant rainfall which has happened over last four or five weeks has actually given a boost to some herbicides and insecticide and fungicide consumption. What I’m looking at is stable to northward pricing in coming weeks.
Darshita Shah
Okay, got it. And just one last question on if we can break down the 7% top line growth number between volume and price.
Manish Mahavar
You see in the there is hardly any difference in the value and volume growth. The volume growth is actually 5% and 7% value growth is coming on account of the 9 crore payment received from Bear India towards net economic benefit.
Darshita Shah
Got it. And sorry, just one last on the hedge. If you can give the first quarter revenue and the EBITDA loss that we saw during the quarter.
Manish Mahavar
EBITDA losses in first quarter is 3 crore. And revenue is 16.5 crores.
Darshita Shah
Perfect. Okay, thank you so much.
operator
Thank you. Ma’. Am. The next question is from the line of Hussain Baruchwala from Carnival Asset Management. Please go ahead.
Hussain Baruchwala
Hello. Hello. Yes sir, please go ahead. Last year we had a revenue growth of almost 33% in the Q1. And because there was sales return in sudo and numbers were subdued this year in the Q1 their revenue is just 7% and still guiding a double digit growth at the higher end of double digit. So how do you see the numbers going forward? Do you see the sales return will be lower or because the season has shifted a little bit in Q2. Is that the reason also we need to look into?
Manish Mahavar
Yes. So we are pretty upbeat that given the subsequent rainfalls and the agriculture spread we are going to have a double digit growth. And we are quite positive about that. We have made necessary corrections in our forecast of intensive growth or EBITDA correction as well. So we are pretty confident we will be doing double digit growth. And I do higher end of double digit rate. Double digit.
Hussain Baruchwala
Yes, got it. Got it. And sort of in terms of when you look at your competitors, they. They are. They have reported a very strong set of numbers compared to our numbers are little softer comparatively. Any sense on why is our numbers a little bit softer if you can give some glimpse in that sense?
Manish Mahavar
Well, I can give a reason if that would satisfy you. If we compare the quarter on quarter then last year quarterly performance was certainly superior. Much superior for Dhamuka which means a much better and wider base as compared to our competitors. Yeah. So that for one.
Hussain Baruchwala
Got it. Good, good. So that’s it from my side. I’ve rejoined the place. Thank you.
operator
Thank you, sir. The next question is from the line of Shubham Panderia from Tamohar Investment. Please go ahead.
Shubham Panderia
Hi. Hello. I’m audible.
operator
Yes, please go ahead.
Shubham Panderia
Yeah. So in our opening note we mentioned one of the reasons for the subdued growth was due to lower realization from previous harvest. Right. So my question is do we have our portfolio exposure for the top five crops?
Manish Mahavar
I don’t know what you exactly said in the first part. I’m not very sure of that. But the quarter one growth is subdued also because of Dhanuka having a deeper lease sized portfolio. Soybean and cotton. Soybean and cotton Herbicide consumption has been muted. And that’s the reason, one of the key reasons why this has been low.
Shubham Panderia
What are our top five products? Based on the foliage we have of herbicide, pesticides and fungicides combined.
Manish Mahavar
Right. So our main crops remain rice, fruits and vegetables. We have significantly expanded our portfolio in maize. Chili has been an important crop. And we have positioned ourselves strongly in grapes as a horticulture segment. Conventionally, soya bean has been a very important crop for us which has had a muted herbicide consumption this year. Targa Super Cover LaneVO decide. These are some of our key products. Okay. And we have a wide offering across all segments. Insecticide, herbicides and herbicides.
Shubham Panderia
Okay, Understood. Going forward, launches. That’s why 26. We do half a number on that.
Manish Mahavar
So your voice is cracking for me. I can’t catch you.
Manish Mahavar
The rest of the year. Sorry, not able to catch you. I am on my handset. Is it clear now? Yes, sir. Please, it’s better.
Manish Mahavar
Yes. I was asking about the launches that you have planned for the coming year. We have already launched a Padi herbicide from Hoko Japan in name of Dinka. As we speak, the product is being consumed in South India. Foco team along with Dhanukar team is covering length and width of Telangana and Andhra Pradesh right now. Which is Padi herbicide. Moving ahead, we will be launching Kinzan which is again on Nissan Japan. Fungicide for grapes and potato. Then we of course have launched Melody Duo this year which we acquired from Bayer Crop Science last year. And going forward we’ll be launching few more products. At least two more. Me too. Products this year.
One fungicide and. Your voice is cracking, sir. I couldn’t catch you.
operator
Can you please use your hand?
Shubham Panderia
I am on my handshare. I don’t know why is it cracking? It’s fine. I’m done with my questions. I’ll join the queue. Thank you.
operator
Thank you, sir. Ladies and gentlemen, to ask a question please press Star and one Now. Participants who wish to ask questions may please press Star and one at this time. The next question is from the line of Prashant Tiani from Elara Capital. Please go ahead.
Elara Capital
Yeah. Thank you for the opportunity. Rahulji, you just mentioned that we have a deeper VD side portfolio which has not done well in Q1. And I would assume most of the season would be over. And then last year we had a good law we had a good launch year vis a vis that the number of launches may be a bit less this time. But still you are sounding pretty confident of a double digit growth which is fine. But where from is this growth then coming from?
Manish Mahavar
Right. So Prashanti, we have had a setback in soya bean and cotton herbicides. So yes, that has kind of pulled us back. So we have recalibrated our whole approach in terms of how we are going to catch the remaining season. Our launches which included last year were Lanugo which is an insecticide, micro super which is a plant nutrition booster, purge which was also soyadin herbicide and many more products. So while firm has had a setback in terms of our last year launches, our other last year launches, various other launches which we are going to do this year are going to drive the growth along with our very strong portfolio of 90 products.
Elara Capital
Right. And sir, the delayed start to rainfall that we have seen in Andhra and Telangana that would not have hampered the herbicide demand. It would have just deferred. It is the understanding, right?
Manish Mahavar
Yeah. Like nothing is shifted. Actually everything is on track and appears.
Elara Capital
To be good answer. Skymed forecast at the start of monsoon and so for IMD as well was I think both of them were expecting the heavy or expensive in August, September in central India and till now also it has been fine. But still herbicide demand has been impacted. What is the reason for that?
Manish Mahavar
So what happened is the seed sowing which was done for Soyadin and in various geographies of Madhya Pradesh, Maharashtra, it actually got washed out because of the heavy rainfall. At that point of time, farmer had to go for resewing wherever he could. And then the opportunity did not coincide with the application of different herbicides. So herbicides in different categories where Tanaka offers pre emergence post emergence broadleaf narrow leaf option one, option two. So all these herbicides for Dhanuka as well as for the industry has been impacted. Now at Dhanuka because we do a relatively faster churn.
So whatever was not consumed in May was picked back in June. Whatever was not consumed in June is picked back in July. We have a more clear picture of the pipeline inventory. And what is it we are going to do? What is our channel partner going to do as a matter of corrective action to keep the business on track. Sure.
Elara Capital
Thank you for answering the questions. Thank you.
operator
Thank you. Sir, the next question is from the line of Shubham Segal from Simpl. Please go ahead. Yes sir. Please go ahead.
Shubham Segal
Yes, my question was on exports. So what is the size of exports, registrations portfolio. Now in terms of number of molecules and also in terms of number of countries or types, how has it grown versus 2024 and how much of this is manufactured in house?
Manish Mahavar
Yeah, so export registration portfolio is only for the products that we are manufacturing at the age of and the melody range of products. These are the only products for which we are going for the international registration and for the Dharh products currently it is one product by Fentanyl and as mentioned earlier we will be introducing the second product by H2 of this year and accordingly the registration process will start after that. So in terms of the registrations for the existing product, we have applied for registration in about six, seven additional countries in this year. And the melody range of products and the Tridimena as well, these are registered in more than 25 countries across the world.
So we are in the process of registration transfer of these registrations.
Shubham Segal
Okay, okay, got it. Thank you.
Shubham Segal
The next question was.
Manish Mahavar
Your voice is breaking.
Shubham Segal
Is it better now?
Manish Mahavar
Yes sir.
Shubham Segal
Yeah. So my next question was. So we report our different segments like insecticides, herbicides, fungicides and there is also others segment. So I just wanted to ask what products and segment. What products are in in the other segment and like see any like growth for like quarter one because like the ratio towards the other segment has increased. So what is in the other segment and what drove the growth in other.
Manish Mahavar
Segment covers the basically sale of technical, bulk and PGR category and growth is doubled in double digit.
Shubham Segal
Could you repeat sale of what?
Manish Mahavar
Sale of molecule, PGR category and bulk and technical that comes under other category and the growth in other categories in double digit.
Shubham Segal
Okay, okay, all right, got it. My next question was. So like if we see the royalty income of 14 crore like is this from the two beer products we arrived like the royalty of income is this from the two products that we acquired?
Manish Mahavar
I couldn’t get the question. Can you repeat your question?
Shubham Segal
Yes. So the royalty income was this solely from the two beer products?
Manish Mahavar
Yes, yes.
Shubham Segal
Okay, okay, got it. My next question was Suri. We had talked about manufacturing to traded revenue mix at is to 15 in 2085. So what products are there in the traded segment?
Manish Mahavar
Can you repeat your question?
Shubham Segal
So we have like kind of two segments. One is manufacturing and one is traded products or traded revenue. So what products do we have in the traded revenue?
Manish Mahavar
You see in the trade category there. Are seven brands which we take from our basically in technical tie up or the principles in the pandemic form like Tornado, the bush, Nabu, Largo, These are the molecules. Few more.
Shubham Segal
Right. Okay. Okay, got it. Just last question. So he saw markdown in the value of investment in the Iotech World aviation liquid drone manufacturing company. It was marked down from 31 crores to 22.5 crores. Yeah. Right. So what explains this?
Manish Mahavar
Basically that this is. This loss is basically provided on the basis of valuation report on mark to mark basis.
Shubham Segal
Okay. Okay. All right. So it’s because of Mark. Yeah. Okay. Okay. Just this last question on our investment itself. So can you come back and queue your voice?
operator
Yes, sir. Please, ladies and gentlemen, to ask a question, please press star and one now. Participants who wish to ask questions may please press star and one at this time. Participants who wish to ask questions may please press star and one at this time. The next question is from the line of Ankit Gupta from Bamboo Capital. Please go ahead.
Ankit Gupta
Thanks for the opportunity. So I just wanted to check, you know, on the technical prices. The prices, as you’re saying, have started, have. Have stopped declining and have stabilized. So you know, how do you see the technical prices, you know, trending for this financial year and if possible next financial year? Are we seeing, you know, Chinese oversupply, you know, coming down? And how is the inventory situation globally for the technical prices? Any views on that?
Manish Mahavar
Okay, so the technical prices in general are now inching upwards or flat. And for the entire year, as we communicated in the previous quarter, we are expecting maybe a 2% increase in the overall volume versus value, 2% higher value because of the price increase. So that is the scenario regarding the price pressure from China right now. Also the price pressure is there. That is the low prices are prevailing in most of the products. There are few products where the prices have increased to a certain extent. But on a larger product portfolio, there has been not a significant increase in the prices as yet.
Globally, the technical prices remain stable, although the demand seems to have picked up in last few months.
Ankit Gupta
Sure. So you’re saying, you know, demand in the key markets like us, Latin America and even Europe has picked up now for the past few months.
Manish Mahavar
Yes, it is starting to pick up still. There are inventories of selected products in these markets as well. But in general, in comparison to FY25, FY26, the demand is better.
Ankit Gupta
Sure. And secondly, on our technical plant in the H, how many products are we manufacturing currently and how do you see its performance for this financial year? Next month and next financial year?
Manish Mahavar
Yeah. So this financial year we are expecting a revenue of 65 crores. Currently we are manufacturing one product. And in H2 we will be introducing the second product from Dahij. So that is for this year and for next year. We are working on number of products in our R and D lab and some of them have qualified for further development. And we’ll be announcing when we’ll be introducing more plugs in the future.
Ankit Gupta
This will all be generic products, right?
Manish Mahavar
Yeah, these will all be generic products.
Ankit Gupta
Okay. Any update on, you know, we were looking to get into, you know, CDMO contracts with some of our, you know, partners on the formulation side. Any progress on that?
Manish Mahavar
There are ongoing discussions but no deal has been signed as yet.
Ankit Gupta
Okay. Okay. Okay. Okay. Thank you. Thanks so much.
operator
Thank you, sir. As there are no further questions from the participants, I now hand the conference over to management for closing comments.
Manish Mahavar
Thank you. Once again I would like to thank all the investors and analysts for your support and confidence in Dhanuka with setting up a plant in dais and expanded our reach in 20 plus countries by acquisition of two brands. From there we have embarked on our next era of growth and business success. I reassure our stakeholders that we are committed to the task of transforming the landscape of agriculture and farmers in India. India GA Pranam Harkisanki Nam thank you and goodbye until next time.
operator
Thank you sir. On behalf of antique Stock Brokering Ltd. That concludes this conference. Thank you for joining us and you may now disconnect your lines.