Why did Natco Pharma's share price slip 3% in trade today? Details here

Business Standard

16-06-2025

Natco Pharma share price: Pharmaceutical major Natco Pharma shares were under pressure on Monday, June 16, 2025, with the stock dropping up to 2.66 per cent to hit an intraday low of ₹888.20 per share.
Around 10:20 AM, Natco Pharma shares continued to trade lower, down 1.64 per cent at ₹897.60 per share. In comparison, BSE Sensex was trading 0.28 per cent higher at 81,348.53 levels.
Why did Natco Pharma share price slip in trade?
Natco Pharma shares slipped in trade after the company said that the United States Food and Drug Administration (USFDA) has issued one (1) observation in the Form-483 for its API manufacturing plant in Mekaguda, Hyderabad. However, Natco Pharma believes that the observation is procedural in nature
Natco Pharma further said that it is confident to address this observation comprehensively.
The US drug authority had conducted the inspection from June 9 to June 13, 2025. Catch Stock Market Updates Today LIVE
Natco Pharma results
Natco Pharma's consolidated profit after tax (PAT) rose to ₹406 crore in the March quarter of FY25, from ₹386.3 crore in the March quarter of FY24.
The company's revenue from operations, or topline, surged to ₹1,287.3 crore in Q4FY25, from ₹1,110.3 crore in Q4FY24.
At the operating level, earnings before interest, tax, depreciation and amortisation (Ebitda) soared to ₹614.4 crore in the March quarter of FY25, from ₹539.3 crore in the March quarter of FY24. However, Ebitda margin squeezed to 47.7 per cent in Q4FY25, from 48.6 per cent a year ago.
About Natco Pharma
Natco Pharma, based in Hyderabad, India, is a research-driven company engaged in the development, manufacturing, and distribution of generic and branded pharmaceuticals, specialty drugs, active pharmaceutical ingredients (APIs), and crop protection products.
A leading player in oncology and targeted therapies in the domestic market, Natco Pharma focuses on niche, limited-competition molecules in the US.
Its manufacturing facilities are approved by major regulatory bodies including the US FDA, ANVISA (Brazil), Health Canada, and the WHO, serving over 50 international markets.