Now Reading: Natco Pharma Q1 profit plunges 57% to Rs 207 crore
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Natco Pharma Q1 profit plunges 57% to Rs 207 crore
Natco Pharma reported a 57% year-on-year drop in net profit to Rs 207 crore for the June quarter, NDTV Profit says. Revenue fell 45% to Rs 1,074 crore from a year ago.…
The Story in Brief
Natco Pharma reported a 57% year-on-year drop in net profit to Rs 207 crore for the June quarter, NDTV Profit says. Revenue fell 45% to Rs 1,074 crore from a year ago. Operating performance weakened sharply, with EBITDA declining 67.4% to Rs 186 crore.
The company did not provide reasons for the fall. Natco Pharma, a generic drugmaker, had posted strong numbers in the year-ago quarter partly due to a one-time licensing income. The results mark a return to more normal levels of earnings.
The Indian Opinion
Headlines about a 57% profit drop suggest a crisis, but a more level-headed view is that Natco's previous year quarter was unusually high. Generic pharma companies often see lumpy earnings due to product launches and licensing deals. Instead of a panic, the test will be whether the company can maintain steady margins in the coming quarters without one-off boosts. What was the underlying operational run rate excluding extraordinary items?
Source: ndtvprofit.com
This story was synthesised by AI from the source linked above.
