Dr. Reddy’s Laboratories Ltd. today announced its consolidated financial results for the second quarter and half year ended September 30, 2017 under International Financial Reporting Standards (IFRS).
On a sequential basis, Dr Reddy’s net profit jumped 4.6 times and revenue increased 6.8% in the September quarter.
Commenting on the results, CEO and Co-chairman, G.V. Prasad said, “Healthy performances in India, Emerging Markets, Europe and PSAI businesses, as well as continued focus on cost control, have contributed to sequential growth in our topline as well as bottom line, with an EBITDA increase of 105% over the previous quarter. Looking ahead, we expect to see results from products launched in the U.S. during the first half of this fiscal. We will continue to focus on the launching of new products, as well as on improving operational efficiencies and quality management systems across the company.”
Total expenditure declined 2.5% year-on-year to Rs3,182.9 crore during the quarter, mainly on account of a 20% fall in spending on research and development (R&D) and a 6% drop in selling and general administrative costs.
In North America, the largest market for Dr Reddy’s, generic drug sales fell 11% on year to Rs1,431.8 crore due to price erosion in the US.
Meanwhile, sales in the domestic market rose 2% to Rs637 crore and in emerging markets 14% to Rs550.6 crore.
Shares of Dr Reddy’s ended down 0.1% at Rs2,431.40 on the Bombay Stock Exchange (BSE), while the benchmark Sensex index closed down 0.2% at 33,213.13 points.