Features Screener Stocks Charts
Sign In Sign Up

Natco Pharma Limited Key Financial Ratios

NSE:NATCOPHARM | PHARMACEUTICALS

Showing 2 of 10 years of data. Sign up free for 3 years, or upgrade for full access.

View Plans

Profitability Margins

2-year trend showing gross, operating, and net profit margins

FY 2024 - FY 2025

Natco Pharma Limited's net profit margin of 39.4% in FY2025 reflects excellent profitability, with operating margin at 48.4% and gross margin at 85.6%.

Understanding Profitability Margins

In FY 2025, Natco Pharma Limited posted a gross margin of 85.6%, an operating margin of 48.4%, a net margin of 39.4%. Gross Margin = (Revenue - COGS) / Revenue; Operating Margin = EBIT / Revenue; Net Margin = Net Income / Revenue. Typical healthy ranges: Gross 20-40%, Operating 10-20%, Net 5-10%+. Consistent or improving margins indicate strong competitive positioning.

Company Performance

2-year trend showing revenue, gross profit, and net profit

FY 2024 - FY 2025

Natco Pharma Limited's revenue grew 15.9% to 47.84B and net profit grew 35.7% to 18.83B YoY in FY2025, indicating healthy business momentum.

Understanding Company Performance

In FY 2025, Natco Pharma Limited's revenue grew by 15.9% year-over-year. Revenue is total income from operations. Gross Profit is revenue minus cost of goods. Net Profit is the bottom line after all expenses. Consistent growth across all three signals a healthy, expanding business.

Return on Equity (ROE)

2-year trend showing shareholder returns

FY 2024 - FY 2025

Natco Pharma Limited's ROE of 24.7% in FY2025 indicates excellent capital efficiency.

Understanding Return on Equity (ROE)

In FY 2025, Natco Pharma Limited reported an ROE of 24.7%. ROE = (Net Income / Shareholders' Equity) x 100. Measures how efficiently the company turns equity into profit. Above 15% is generally strong; above 25% is excellent. Very high ROE may signal high leverage — check alongside debt levels.

Net Income vs Free Cash Flow

2-year trend comparing profitability with cash generation

FY 2024 - FY 2025

Understanding Net Income vs Free Cash Flow

Free Cash Flow = Operating Cash Flow - Capital Expenditure. When FCF exceeds net income, it suggests high-quality, cash-backed earnings. Persistent gaps may indicate aggressive accounting or heavy capex needs.

Net Income vs Operating Cash Flow

2-year trend comparing profitability with cash from operations

FY 2024 - FY 2025

Understanding Net Income vs Operating Cash Flow

Operating Cash Flow is the actual cash from core operations. OCF exceeding net income signals strong cash collection. OCF trailing net income may indicate aggressive revenue recognition or working capital issues.

Leverage Ratios

Measure a company's financial leverage, liquidity, and ability to meet financial obligations.

Current Ratio Analysis

2-year trend showing short-term liquidity position

FY 2024 - FY 2025

Natco Pharma Limited's current ratio of 5.59x in FY2025 indicates excessively high liquidity that may signal inefficient asset management.

Understanding Current Ratio

In FY 2025, Natco Pharma Limited reported a current ratio of 5.59. Current Ratio = Current Assets / Current Liabilities. Measures short-term liquidity. A ratio of 1.5-3.0 is generally healthy; below 1.0 signals liquidity risk; above 3.0 may indicate underutilized assets.

Interest Coverage Ratio Analysis

2-year trend showing ability to service debt

FY 2024 - FY 2025

Natco Pharma Limited's interest coverage ratio of 96.9x in FY2025 indicates comfortable debt servicing capacity.

Understanding Interest Coverage Ratio

In FY 2025, Natco Pharma Limited reported an interest coverage ratio of 96.9x. Interest Coverage = EBIT / Interest Expense. Shows how many times operating profit covers interest payments. Above 5x is comfortable; below 1.5x signals potential difficulty servicing debt.

Debt-to-Equity Ratio Analysis

2-year trend showing financial leverage and capital structure

FY 2024 - FY 2025

Natco Pharma Limited's debt-to-equity ratio of 0.04x in FY2025 reflects a conservative, low-leverage capital structure.

Understanding Debt-to-Equity Ratio

In FY 2025, Natco Pharma Limited reported a debt-to-equity ratio of 0.04. Debt-to-Equity = Total Debt / Total Equity. Below 1.0 is conservative; 1.0-2.0 is moderate; above 2.0 indicates higher financial risk. Capital-intensive industries naturally carry higher ratios.

Total Debt Analysis

2-year trend showing total debt with year-over-year changes

FY 2024 - FY 2025

Natco Pharma Limited's debt decreased 24.7% YoY in FY2025 — positive deleveraging improves financial flexibility.

Understanding Total Debt

In FY 2025, Natco Pharma Limited's total debt decreased by 24.7% year-over-year. Total Debt includes short-term debt, long-term loans, debentures, and capital leases. YoY changes (shown as percentages) reveal whether the company is leveraging up or deleveraging.

Shares Outstanding

Year-over-year change in diluted shares outstanding

Natco Pharma Limited's diluted shares decreased 0.2% YoY in FY2025, indicating shareholder-friendly buybacks.

Over 2 years (FY2024–FY2025), diluted shares decreased 0.2% from 179.50M to 179.11M, reflecting long-term shareholder value creation.

Understanding Shares Outstanding

In FY 2025, Natco Pharma Limited's diluted shares decreased by 0.2% year-over-year. Diluted Shares accounts for stock options, warrants, and convertibles. Positive YoY change means dilution (red); negative means buybacks (green). Consistent dilution above 5% annually is a red flag.

Data from audited consolidated filings. For educational purposes only — not investment advice. Last update: FY 2025