NATCO Pharma Q3: Profit Down 37% Despite Dividend

NATCO Pharma Q3 Results: Profit Declines 37% to Rs 132 Crore

NATCO Pharma Ltd has reported a 37.75 percent decline in consolidated net profit to Rs 132.4 crore in the December quarter. This decrease was primarily attributed to a drop in formulations exports.

Key Financial Results for Q3

• Net Profit: Decreased by 37.75% to Rs 132.4 crore compared to Rs 212.7 crore in the same quarter last year.
• Revenue from Operations: Stood at Rs 474.8 crore, down from Rs 758.6 crore in the year-ago period.

Detailed Breakdown of Performance

Expenses

Total expenses in the third quarter were lower at Rs 487.4 crore compared to Rs 539.3 crore in the year-ago period.

Formulation Sales

• Formulation Exports: Lower at Rs 285.8 crore compared to Rs 605.6 crore in the same period of the last fiscal year.
• Formulation Sales (Domestic): Stood at Rs 96.1 crore, down from Rs 99.4 crore in the year-ago period.

API Revenue

On a positive note, API (active pharmaceutical ingredient) revenue stood at Rs 66.6 crore, up from Rs 46.3 crore in the corresponding quarter last fiscal year.

Dividend Announcement

Despite the profit decline, the board of directors at their meeting held on Wednesday declared a third interim dividend of Rs 1.50 each per equity share of Rs 2 each for the financial year 2024-25.

Overall, NATCO Pharma's Q3 results reflect the challenges faced due to a decline in formulations exports. However, the company's API revenue showed positive growth, and the declaration of an interim dividend demonstrates a commitment to shareholder value.

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Categories: dividend, NATCO Pharma, Q3 Results