NATCO Pharma share price declined significantly today, falling nearly 19% to ₹976.05 per share. The decline is primarily due to the company’s disappointing financial performance in Q3 FY2025.
Key Financial Highlights:
- Net Profit: Consolidated net profit declined 37.75% to ₹132.4 crore from ₹212.7 crore in the corresponding quarter of the previous fiscal.
- Revenue: Consolidated revenue from operations declined 37.4% to ₹474.8 crore as compared to ₹758.6 crore in the corresponding period of the previous year.
- Formulation Exports: A major reason for the decline in revenue was the steep decline in formulation exports, which declined to ₹285.8 crore from ₹605.6 crore in the corresponding quarter of the previous year.
- Domestic Sales: Domestic formulation sales also witnessed a marginal decline, falling to ₹96.1 crore from ₹99.4 crore in the same quarter last year.
- API Revenue: On a positive note, revenue from active pharmaceutical ingredients (APIs) increased to ₹66.6 crore from ₹46.3 crore in the same quarter last fiscal.
In response to NATCO pharma results, the company’s board declared a third interim dividend of ₹1.50 per equity share of ₹2 each for the financial year 2024-25. The record date for this dividend has been fixed as February 18, 2025, with payment commencement from February 28, 2025.
The sharp decline in net profit and revenue, particularly on account of a sharp reduction in formulation exports, has led to negative market sentiment, resulting in a significant decline in the share price of NATCO Pharma today.