Vilin Bio Med Ltd Management Discussions

MANAGEMENT DISCUSSION AND ANALYSIS

INDUSTRY STRUCTURE AND DEVELOPMENTS Global Pharmaceutical Market

The Global Pharmaceutical Market is now estimated to be over USD 1.6 Trillion and expected to grow atCAGR ofabout 6%. Though the Pharmaceutical Industry is developing at rapid pace, the Pharmaceutical Manufacturing Companies are confronted with enormous challenges such as: Cost, Pricing, New Medicines and Therapy Dosages, Changing Regulatory Landscape and Growing Digitisation. Indian Pharma Market is expected to grow to USD 130 Billion by 2030 thereby emerging as the 6th largest Pharmaceutical Market globally by absolute size. The growth of the Pharmaceutical Industry is globally driven by ageing population as well as about 1% increase in the global population at the same time.

Global Bulk Drugs Market

Three segments - Branded Prescription Drugs, Over-the- Counter (OTC) Drugs and Generic Prescription Drugs account for a majority of Global Bulk Drug Consumption. The Total Global Bulk Drug Consumption is expected to reach USD 230 Billion by 2026 at a CAGR 6.5% during the forecast period out of which 80% is used for Branded Prescription Drugs, 10% for OTC Drugs and 10% for Generic Prescription Drugs.

Indian Bulk Drug Market

India is expected to be the 3rd largest Global Markets for Bulk Drugs with a 7.5% increase in market share. There are 1150 bulk Drug Units producing about 350 important Bulk Drugs. The Market Analyst forecast the API markets in India to grow at a CAGR of 11% over the period of 20212026.

As cost pressures mount, particularly in developed economies, payers are recalibrating reimbursement models to ensure value-based outcomes. Efforts to moderate spending include greater emphasis on generics and biosimilars, performance-linked pricing mechanisms and cost-sharing arrangements with patients. Striking the balance between affordability and innovation remains a core priority for healthcare systems worldwide.

INDIAN ECONOMY

Indias Pharmaceutical Market is projected to see strong growth, with medicine spending expected to reach US$ 38-42 Billion by 2028, with a CAGR of 7-10% by 2028. This growth is driven by a combination of expanding access, growing demand for treatments across both acute and chronic conditions, and continued reliance on affordable generic medicines. The growth is driven by several factors, including the increasing prevalence of chronic diseases, the rising demand for generic and biosimilar drugs and advancements in drug manufacturing technologies. Additionally, the expansion of healthcare infrastructure in developing economies and the adoption of advanced technologies like Artificial Intelligence (AI) and Machine Learning (ML) in development and manufacturing are contributing to the markets expansion.

The following are the Growth Drivers of the Indian Pharmaceutical Market.

A. Government Support and Incentives various Government Schemes and Incentives, such as the Production Linked Incentive Scheme bolster the Pharmaceutical Industry, encouraging Investment and Growth.

B. Expertise in Low-Cost Manufacturing: Indias proficiency in Cost-effective end-to-end manufacturing processes enables competitive pricing of Pharmaceutical Products.

C. Improving Affordability: Rising Per Capita Incomes contribute to the improved affordability of Healthcare and Pharmaceuticals, making them more accessible to a broader segment of the population Vilin Bio Med Limited is well positioned to service its existing and potential markets through its manufacturing and distribution operations. The Company has incorporated two Subsidiary units for market expansion and increase in manufacturing capabilities.

OPPORTUNITIES, THREATS AND OUTLOOK

Vilin Bio Med Limited will be able to place itself in a strong position by expanding strategically, increasing its manufacturing capacities and enhancing capacities across the organisation. The Company is looking at different opportunities in untapped markets and also across a value chain. It plans for alliances with business associates in the Global Market, giving a huge boost to the selective products that it already deals in. We are fully conscious of our responsibility toward our customers. Our efforts are directed toward the fulfillment of customer satisfaction through the quality of products. As the consolidation of this Industry gains momentum, the need to develop a dedicated team of skilled manpower assumes urgency and importance.

We will continue to focus on training and motivation of manpower so as to develop teams of qualified and skilled personnel to effectively discharge their responsibilities in a number of projects and activities. It is, in this context, which we have been working towards promoting the skills and professionalism of our employees to cope with and focus on the challenges of change and growth.

The Company maintains a system of well-established Policies and Procedures for Internal Control of Operations and Activities. The Company has strong and adequate Internal Control System suitable to its size and nature of business.

FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

The Companys Turnover during the year was Rs. 4,226.30 Lakhs as compared against previous years Rs.1,480.99 Lakhs. During the year under review, Profit After Tax (PAT) stood at Rs.192.88 Lakhs, as compared against the previous year of Rs.22.35 Lakhs. The details of Key Financial Ratios are explained as here under:

Particulars	2025-2026	2024-2025
Inventory Turnover Ratio	5.85	3.36
Current Ratio	4.25	4.30
Debt Equity Ratio	-	18.44
Operating Margin Ratio	6.27	3.44
Net Profit Margin	4.56	1.46