Natco Pharma Ltd, an Indian multinational pharmaceutical company, reported a 5% increase in consolidated net profit for the quarter ended March 31, 2025, with a net profit of ₹406 crore compared to ₹386.3 crore in the same period last year. The company’s quarterly revenue also saw a significant increase of 16% year-over-year, reaching ₹1,287.3 crore from ₹1,110.3 crore in Q4 FY24. This growth was driven by strong performance in key segments.
The company’s EBITDA for the quarter stood at ₹548 crore, a 10.2% increase from the previous year, although the operating margin saw a slight dip at 44.89% compared to 46.55% in Q1FY19. The quarter’s performance was impacted by a ₹50 crore impairment charge in the Crop Health Science division and a ₹25 crore chargeback adjustment related to the company’s US subsidiary. Additionally, the company saw significant growth in research and development expenditures.
For the financial year 2025, Natco Pharma reported its highest-ever annual revenue and profit, with revenue rising 16% year-over-year to ₹4,784 crore and net profit climbing 36% to ₹1,883.4 crore. This growth was driven by robust operational performance and strategic delivery. However, the company has forecast a 20% decline in revenue and a 30% decline in net profit for the next financial year, citing pricing pressure in the US market, geopolitical uncertainties, and increasing research and development expenditures.
Natco Pharma is a leading supplier of oncology generics, cardiology, diabetology, and other pharmaceutical specialty segments at affordable prices. The company produces finished dosage forms, active pharmaceutical ingredients, and agrochemicals, and is based in Hyderabad, India. Despite the forecast decline in revenue and profit, the company remains a significant player in the pharmaceutical industry, with a strong track record of delivering affordable, high-quality products to patients around the world. Overall, Natco Pharma’s performance in FY25 was strong, but the company is cautious about the future due to various external factors.