Dr Reddy's Q2 Net Profit Down 9.3%, Revenue Up 16.5% - Business News

New Delhi, Nov 5 (PTI) Pharma major Dr Reddy's Laboratories (DRL) on Tuesday reported a 9.35 per cent decline in its consolidated net profit to Rs 1,341.5 crore for the second quarter ended September 2024.

DRL had posted a net profit of Rs 1,480 crore in the July-September quarter a year ago, according to a regulatory filing from the Hyderabad-based firm.

However, its revenue increased 16.51 per cent to Rs 8,016.2 crore in the September quarter from Rs 6,880.2 crore in the year-ago period.

"Year-on-year growth was primarily driven by growth in global generics revenues. QoQ growth was primarily driven by global generics revenues in emerging markets, India, Europe as well as PSAI," DRL said in its earnings statement.

Its total operating expenses grew 34.3 per cent to Rs 3,021.8 crore in Q2 FY25.

Its Co-Chairman and MD GV Prasad said: "We delivered another good quarter and maintained the growth momentum across businesses. We made progress on our future growth drivers, operationalised our venture with Nestle and completed the acquisition of Nicotinell and related brands".

DRL's revenue from Pharmaceutical Services and Active Ingredients rose 16.76 per cent to Rs 1,103 crore.

Its revenue from the Global Generics segment surged 17.17 per cent to Rs 7,157.6 crore in the September quarter.

This growth "was broad-based, driven by improved sales volumes and new product launches. Sequential growth was primarily driven by emerging markets and Europe", it said.

However, its revenue from the 'Others' segment fell 73.83 per cent to Rs 17.9 crore.

On the outlook, Prasad said: "We will continue to drive efficiency, strengthen our core businesses, and positively impact patient lives through science and innovation".

Shares of Dr Reddy's Laboratories (DRL) on Tuesday settled at Rs 1,272.55 on BSE, up 0.36 per cent from the previous close.