Natural Capsules Limited has announced a 1.33% revenue growth for the second quarter of fiscal year 2026, as reported on November 14, 2025. The company, a leading manufacturer of hard capsule shells in India, detailed its unaudited standalone and consolidated financial results for the quarter ending September 30, 2025. Despite a stable performance in their capsules business, external factors, particularly tariffs imposed on Indian exports to the US, negatively impacted demand and growth projections. The company’s Executive Director, Mr. Sunil Mundra, emphasized that while they remain on track with their capital expenditure plans, the tariffs have hindered the anticipated performance.

In terms of financial highlights, Natural Capsules recorded an EBITDA of ₹45.80 crore for Q2 FY26, alongside a notable 25.24% drop in Profit After Tax (PAT), which is reported at ₹6.76 crore. The company also noted a decline in its earnings per share (EPS), reflecting the challenges faced during this quarter. For the half-year period ending September 30, the revenue was up 13.18% year-on-year, yet the operational hurdles, including delays in regulatory approvals and technical difficulties in scaling up their Active Pharmaceutical Ingredient (API) production, have cast a shadow on their growth prospects.

Looking ahead, Natural Capsules is optimistic about overcoming these challenges. Mr. Mundra expressed confidence that once clarity on US tariffs is achieved and production issues are resolved, the company will be well-positioned for growth. The anticipated commissioning of a new production line by the end of the quarter is expected to enhance their operational capabilities. Despite the tough landscape in FY26, the company believes that it will emerge stronger, aiming for improved performance in the upcoming quarters and reaffirming its commitment to expanding its market presence and capabilities in high-end API manufacturing.