Natural Capsules Limited

NCL is promoted by Sunil Kumar Mundra, Managing Director, and his family members. Mundra is a chartered accountant by qualification and has more than 30 years of experience in the pharma sector. Prior to incorporating NCL, the promoters were engaged in API distribution and manufacturing. The company has two manufacturing units – one each in Bengaluru and Puducherry, with a combined capacity of 18 billion capsules per annum as on March 31, 2023.

With over three decades of experience in the pharma sector, the company has built a strong customer base both, domestically as well as in the rest of the world (RoW) markets, which include emerging markets like South Africa, Iran, Bangladesh, Pakistan, Brazil, etc. NCL supplies capsules to diversified customers both, domestically as well as internationally, leading to low customer 1Complete definition of the ratings assigned are available at www.careedge.in and other CARE Ratings Ltd.’s publicat

The company’s product profile is well diversified with the production of a wide range of empty hard gelatine capsule (EHGCs) and hydroxy propyl methyl cellulose (HPMC) having diverse applications. Over the years, NCL had adapted itself to the changing market dynamics with various forms of complex formulations as well as the manufacturing of HPMC capsules (vegetarian capsules) that are used in nutraceuticals and herbal products.

The scale of operations of the company improved by 27.62% in FY23 and stood at around ₹172.37 crore in FY23 as compared to ₹135.07 crore in FY22. NCL achieved a total operating income ( TOI) of ₹37.87 crore in Q1FY24. The profit before interest, lease rentals, depreciation and taxation (PBILDT) margin of the company has improved and stood at 20.52% in FY23 as compared to 18.09% in FY22, mainly on account of better absorption of the fixed cost .

The company is currently undertaking two projects – one for capacity enhancement to increase the existing capsule capacity to 22-24 billion capsules per annum. The second project pertains to setting up a new API unit in Tumkur, Karnataka, under its wholly owned subsidiary, Natural Biogenex Private Limited (NBPL), to manufacture three steroidal APIs, namely, betamethasone, dexamethasone, and prednisolone, aggregating to a total installed capacity of 37 metric tonne.The company is expecting the

NCL is engaged in the manufacturing of capsule shells, which is a raw material (excipient) for the pharmaceutical and food supplement industry. The industry is characterised by a high level of competition, having the presence of several small and big players. Furthermore, domestic capsule manufacturers also face stiff competition in the international market from Chinese players, thereby restricting their pricing flexibility, and thus, the ability of the company to pass on the increase in the pri