1. US generics portfolio expansion - The US business, already 65% of FY26 revenue, grew 22.2% in FY25 on new ANDA launches and now holds 70 approved ANDAs from 84 filings. Each new launch from the remaining 14 pending ANDAs adds high-margin revenue to the company's largest and fastest-growing segment.
2. API capacity expansion at Pithampur - Phase I of the Pithampur API plant added 210 KL, taking total capacity to 469.5 KL at a cost of ₹200 crore, with the expanded output directed mainly to captive use. Backward integration into APIs removes a key input-cost variable and improves operating leverage across the formulations business.
3. Ipca Group procurement and market-access synergies - Centralised raw-material buying through Ipca has already lowered input and logistics costs, and Ipca's presence across geographies opens new export markets for Unichem. The parent's stronger banking relationships give Unichem access to cheaper finance, directly lifting margins and funding growth without straining its own balance sheet.
4. Complex generics R&D pipeline - R&D spend rose to ₹98.6 crore in FY26, directed at modified-release formulations, long-acting injectables, and inhalation products. These complex dosage forms carry higher entry barriers and more stable margins than plain generics, widening the earnings moat as approvals convert to launches.
5. Manufacturing cost optimisation - Yield improvements, solvent recovery, energy conservation, larger batch sizes, and manpower optimisation were implemented across plants in FY26, with 9.4 billion tablets/capsules manufactured. Management expects these completed capex plans to deliver returns as capacity utilisation rises.
6. API new molecule registrations in regulated markets - New product registrations for Apremilast, Lacosamide, and Memantine are underway, alongside cost-improvement programmes on flagship molecules. Securing regulated-market approvals for these APIs diversifies the customer base beyond the current 22% domestic API business and builds a higher-value export mix.
7. Solar power at Roha and Kolhapur - Power purchase agreements are in progress for solar plants at the Roha and Kolhapur formulation facilities. On-site solar cuts electricity costs at two major plants, directly improving site-level margins once commissioned.