Natco Pharma

On consolidated basis

Quarter ended December 2024 compared with Quarter ended December 2023.

Net sales (including other operating income) of Natco Pharma has declined 37.41% to Rs 474.8 crore.  

Profit before interest, tax and other unallocable items (PBIT) has slumped 35.57% to Rs 168.10 crore.  

Overall PBIT margin rose from 34.39% to 35.40%.  

Operating profit margin has declined from 35.34% to 8.17%, leading to 85.53% decline in operating profit to Rs 38.80 crore.  Raw material cost as a % of total sales (net of stock adjustments) increased from 12.71% to 14.43%.   Purchase of finished goods cost rose from 5.06% to 7.76%.   Employee cost increased from 16.81% to 28.11%.   Other expenses rose from 28.46% to 42.00%.   

Other income rose 376.49% to Rs 176.3 crore.  PBIDT fell 29.50% to Rs 215.1 crore.  Provision for interest fell 4.35% to Rs 4.4 crore.  

PBDT fell 29.88% to Rs 210.7 crore.  Provision for depreciation rose 6.33% to Rs 47 crore.  

Profit before tax down 36.13% to Rs 163.70 crore.  Share of profit/loss were nil in both the periods.  Provision for tax was expense of Rs 31.3 crore, compared to Rs 43.6 crore.  Effective tax rate was 19.12% compared to 17.01%.

Minority interest was nil in both the periods.  Net profit attributable to owners of the company decreased 37.47% to Rs 133.00 crore.  

Promoters' stake was 49.62% as of 31 December 2024 ,compared to 49.71% as of 31 December 2023 .  

For year-to-date (YTD) results analysis.

Net sales (including other operating income) of Natco Pharma has increased 9.49% to Rs 3208.5 crore.  

Profit before interest, tax and other unallocable items (PBIT) has jumped 48.83% to Rs 1,799.20 crore.  

Overall PBIT margin rose from 41.25% to 56.08%.  

Operating profit margin has jumped from 42.79% to 51.36%, leading to 31.40% rise in operating profit to Rs 1,647.90 crore.  Raw material cost as a % of total sales (net of stock adjustments) decreased from 13.75% to 11.26%.   Purchase of finished goods cost fell from 4.19% to 3.84%.   Employee cost increased from 13.32% to 13.34%.   Other expenses fell from 25.07% to 21.01%.   

Other income rose 234.73% to Rs 288.2 crore.  PBIDT rose 44.46% to Rs 1936.1 crore.  Provision for interest rose 5.38% to Rs 13.7 crore.  

PBDT rose 44.85% to Rs 1922.4 crore.  Provision for depreciation rose 4.27% to Rs 136.9 crore.  

Profit before tax grew 49.30% to Rs 1,785.50 crore.  Share of profit/loss were nil in both the periods.  Provision for tax was expense of Rs 308.1 crore, compared to Rs 193.9 crore.  Effective tax rate was 17.26% compared to 16.21%.

Minority interest was nil in both the periods.  Net profit attributable to owners of the company increased 47.58% to Rs 1,478.80 crore.  

Promoters' stake was 49.62% as of 31 December 2024 ,compared to 49.71% as of 31 December 2023 .  

Full year results analysis.

Net sales (including other operating income) of Natco Pharma has increased 47.72% to Rs 3998.8 crore.  

Profit before interest, tax and other unallocable items (PBIT) has jumped 93.14% to Rs 1,692.70 crore.  

Overall PBIT margin rose from 32.37% to 42.33%.  

Operating profit margin has jumped from 34.56% to 43.80%, leading to 87.20% rise in operating profit to Rs 1,751.40 crore.  Raw material cost as a % of total sales (net of stock adjustments) decreased from 17.41% to 13.21%.   Purchase of finished goods cost fell from 6.43% to 3.83%.   Employee cost decreased from 17.82% to 13.27%.   Other expenses rose from 24.08% to 25.42%.   

Other income rose 22.47% to Rs 128.1 crore.  PBIDT rose 80.69% to Rs 1879.5 crore.  Provision for interest rose 32.41% to Rs 19.2 crore.  Loan funds rose to Rs 371.20 crore as of 31 March 2024 from Rs 166.70 crore as of 31 March 2023.  Inventories declined from Rs 742.90 crore as of 31 March 2023 to Rs 700.50 crore as of 31 March 2024.  Sundry debtors were higher at Rs 1,188.90 crore as of 31 March 2024 compared to Rs 856.10 crore as of 31 March 2023.  Cash and bank balance rose to Rs 952.90 crore as of 31 March 2024 from Rs 546.30 crore as of 31 March 2023.  Investments rose to Rs 539.40 crore as of 31 March 2024 from Rs 392.30 crore as of 31 March 2023 .  

PBDT rose 81.37% to Rs 1860.3 crore.  Provision for depreciation rose 14.04% to Rs 186.8 crore.  Fixed assets increased to Rs 2,572.10 crore as of 31 March 2024 from Rs 2,436.00 crore as of 31 March 2023.  Intangible assets increased from Rs 55.20 crore to Rs 56.00 crore.  

Profit before tax grew 94.16% to Rs 1,673.50 crore.  Share of profit/loss were nil in both the periods.  Provision for tax was expense of Rs 285.2 crore, compared to Rs 146.6 crore.  Effective tax rate was 17.04% compared to 17.01%.

Minority interest was nil in both the periods.  Net profit attributable to owners of the company increased 94.09% to Rs 1,388.30 crore.  

Equity capital decreased from Rs 36.50 crore as of 31 March 2023 to Rs 35.80 crore as of 31 March 2024 .  Per share face Value remained same at Rs 2.00.  

Promoters' stake was 49.71% as of 31 March 2024 ,compared to 48.84% as of 31 March 2023 .  

Cash flow from operating activities increased to Rs 1,211.60 crore for year ended March 2024 from Rs 849.10 crore for year ended March 2023.  Cash flow used in acquiring fixed assets during the year ended March 2024 stood at Rs 358.70 crore, compared to Rs 205.60 crore during the year ended March 2023.  

Other Highlights

The board Declared third interim dividend of Rs 1.50 each per equity share of Rs 2 each for the financial year 2024-25. Record date is fixed as Tuesday, the 18th February, 2025.

In Q3 FY25, Domestic formulations contributed 15% of total revenue, exports 44%, API 10%, Crop Health Sciences (CHS) 2% and others 29%.

Natco Pharma : Consolidated Results

Quarter ended Year to Date Year ended Particulars 202412 202312 Var.(%) 202412 202312 Var.(%) 202403 202303 Var.(%) Net Sales (including other operating income) 474.80 758.60 -37.41 3,208.50 2,930.50 9.49 3,998.80 2,707.10 47.72 OPM (%) 8.17 35.34 -2,717 bps 51.36 42.79 857 bps 43.80 34.56 924 bps OP 38.80 268.10 -85.53 1,647.90 1,254.10 31.40 1,751.40 935.60 87.20 Other Inc. 176.30 37.00 376.49 288.20 86.10 234.73 128.10 104.60 22.47 PBIDT 215.10 305.10 -29.50 1,936.10 1,340.20 44.46 1,879.50 1,040.20 80.69 Interest 4.40 4.60 -4.35 13.70 13.00 5.38 19.20 14.50 32.41 PBDT 210.70 300.50 -29.88 1,922.40 1,327.20 44.85 1,860.30 1,025.70 81.37 Depreciation 47 44.2 6.33 136.9 131.3 4.27 186.8 163.8 14.04 PBT 163.70 256.30 -36.13 1785.5 1195.9 49.30 1673.5 861.9 94.16 Share of Profit/(Loss) from Associates 0 0 - 0 0 - 0 0 - PBT before EO 163.7 256.3 -36.13 1785.5 1195.9 49.30 1673.5 861.9 94.16 EO Income 0 0 - 0 0 - 0 0 - PBT after EO 163.7 256.3 -36.13 1785.5 1195.9 49.30 1673.5 861.9 94.16 Taxation 31.3 43.6 -28.21 308.1 193.9 58.90 285.2 146.6 94.54 PAT 132.4 212.7 -37.75 1477.4 1002 47.45 1388.3 715.3 94.09 Minority Interest (MI) -0.6 0 - -1.4 0 - 0 0 - Net profit 133 212.7 -37.47 1478.8 1002 47.58 1388.3 715.3 94.09 P/(L) from discontinued operations net of tax 0 0 - 0 0 - 0 0 - Net profit after discontinued operations 133 212.7 -37.47 1478.8 1002 47.58 1388.3 715.3 94.09 EPS (Rs)* 7.43 11.88 -37.47 82.56 55.94 47.58 77.51 39.94 94.09 * EPS is on current equity of Rs 35.82 crore, Face value of Rs 2, Excluding extraordinary items. # EPS is not annualised bps : Basis points EO : Extraordinary items Figures in Rs crore Source: Capitaline Corporate Database

Natco Pharma : Consolidated Segment Results

td>-   Quarter ended Year to Date Year ended % of (Total) 202412 202312 Var.(%) % of (Total) 202412 202312 Var.(%) % of (Total) 202403 202303 Var.(%) Sales Pharmaceutical 96.82 459.70 0.00 - Agro Chemical 3.18 15.10 0.00 - Total Reported Sales 100.00 474.80 758.60 -37.41 100.00 3,208.50 2,930.50 9.49 100.00 3,998.80 2,707.10 47.72 Less: Inter segment revenues   0.00 0.00 -   0.00 0.00   0.00 0.00 - Net Sales 100.00 474.80 758.60 -37.41 100.00 3,208.50 2,930.50 9.49 100.00 3,998.80 2,707.10 47.72 PBIT Pharmaceutical 112.67 189.40 0.00 - Agro Chemical -12.67 -21.30 0.00 - Total PBIT 100.00 168.10 260.90 -35.57 100.00 1,799.20 1,208.90 48.83 100.00 1,692.70 876.40 93.14 Less : Interest 4.40 4.60 -4.35 13.70 13.00 5.38 19.20 14.50 32.41 Add: Other un-allcoable 0.00 0.00 - 0.00 0.00 - 0.00 0.00 - PBIT Margin(%) Pharmaceutical   41.20 0.00 4,120.08   58.94 0.00 5,893.64   45.04 0.00 4,504.05 Agro Chemical   -141.06 0.00 -14,105.96   -142.32 0.00 -14,232.46   -55.03 0.00 -5,503.23   0.00 43.17 -4,316.56   0.00 33.32 -3,332.08   0.00 -5.76 575.92   0.00 -29.34 2,933.99 PBT 100.00 163.70 256.30 -36.13 100.00 1,785.50 1,195.90 49.30 100.00 1,673.50 861.90 94.16