By: IPP Bureau
Last updated : August 14, 2026 5:51 pm
Consolidated revenue drops to Rs. 7,944 million against a high base in Q1 FY26, even as EBITDA margin recovers sequentially
NATCO Pharma Limited has reported its financial results for the first quarter of FY27, the quarter ended June 30, 2026, showing a sharp year-over-year decline in revenue against an unusually strong prior-year comparison.
Consolidated total revenue for Q1 FY27 stood at Rs. 7,944 million, down from Rs. 13,906 million in Q1 FY26, though up from Rs. 8,169 million in the preceding quarter, Q4 FY26. International Formulations, including profit share and subsidiaries, contributed Rs. 4,771 million, while Domestic Formulations revenue came in at Rs. 1,364 million.
EBITDA for the quarter stood at Rs. 2,457 million, with an EBITDA margin of 30.9% — an improvement from 25.1% in Q4 FY26, though down from 45.5% in Q1 FY26.
Profit after tax stood at Rs. 1,222 million, with net profit rising to Rs. 2,065 million after accounting for a Rs. 843 million profit share from associate Adcock Ingram Holdings Ltd. Net profit margin stood at 26.0%, and reported earnings per share came in at Rs. 11.53, compared to Rs. 26.84 in Q1 FY26 and Rs. 14.96 in Q4 FY26.
Within the business mix, API revenue stood at Rs. 667 million, while total Pharmaceutical Formulations revenue reached Rs. 6,135 million. Crop Health Sciences contributed Rs. 408 million, and other operating and non-operating income added Rs. 734 million to the consolidated total. Export formulations remained the dominant revenue contributor at 60.1% of total revenue in Q1 FY27, followed by domestic formulations at 17.2%, API at 8.4%, and Crop Health Sciences at 5.1%.
NATCO holds a 35.75% stake in South Africa-based Adcock Ingram Holdings, one of the largest pharmaceutical and healthcare companies on the African continent, alongside majority shareholder The Bidvest Group Limited, which holds 64.25%. As of July 31, 2026, NATCO's holding in Adcock Ingram had increased to 49%, following an additional 13.25% stake acquisition.
Adcock Ingram reported revenue of $592 million and net profit of $57 million in FY26, up from $549 million and $48 million respectively in FY25. The company operates three manufacturing facilities near Johannesburg and holds a 49% stake in an Indian joint venture running two additional manufacturing facilities.
During the quarter, NATCO received final approval for Eribulin Mesylate Injection from the U.S. FDA. As of June 30, 2026, the company's U.S. product pipeline included 28 Para IV filings, with more than 20 First-to-File opportunities (including sole and shared), and 17 products approved either tentatively or fully.