Dr. Reddy’s Laboratories Q3 Results FY2023, PAT at Rs. 12471 million

On 25th January 2023, Dr. Reddy’s Laboratories announced its results for the third quarter of FY2023.

Key Highlights:

- Revenues from operations at Rs. 67700 million
- Profit before tax stood at Rs. 16346 million
- The company reported PAT at Rs. 12471 million.

Business Highlights:

- Revenues from the Global Generics segment at Rs. 59.2 billion. Year-on-year growth of 33% and sequential quarter growth of 6% was primarily driven by new product launches, increase in volumes of our base business and favorable forex movement, offset partially due to price erosion in our generic markets. 
- Revenues from North America at Rs. 30.6 billion. Year-on-year growth of 64%, driven by new product launches, an increase in volumes and a favorable forex movement, which was partly offset by price erosion. Dr. Reddy launched five new products in US during the quarter. These were desmopressin MDV, OTC guaifenesin ER, fingolimod capsules, thiotepa injection and biorphen injection. The company filed one new ANDA during the quarter. As of 31st December 2022, cumulatively 78 generic filings are pending for approval with the USFDA
- Revenues from Europe at Rs. 4.3 billion, Year-on-year growth of 6%, driven by new product launches, increase in volumes which was partly offset by price erosion and adverse forex rates. - Revenues from Germany at Rs. 2.2 billion. Year-on-year decline of 1 % and sequential decline of6%. 
-  Revenues from UK/OL at Rs. 1.3 billion. Year-on-year growth of 25% and sequential growth of16%. 
- Revenues from other European countries at Rs. 0.8 billion. Year-on-year growth of 3% and sequential growth of 8%. 
- Revenues from India at Rs. 11.3 billion, Year-on-year growth of 10%, driven by an increase in sales prices and new product launches, partly offset by reduction in volumes for certain products. 
- Revenues from Russia at Rs. 6.9 billion. Year-on-year growth of 45% was on account of increase in volumes and prices, new product launches, and favorable forex rates. Sequential quarter growth of 16% was primarily on account of increase in volumes.
- Revenues from other CIS countries and Romania at Rs. 2.2 billion. Year-on-year decline of 6% was due to reduction in volumes and adverse forex movement, partly offset by increase in sales price of some products and new product launches. Sequential quarter growth of 4% was driven by new product launches and favorable forex movement.  
- Revenues from Rest of World (RoW) territories at Rs. 4.0 billion. Year-on-year decline of 10% was on account of higher base in previous year due to the covid product sales and decrease in sales price of some of our key molecules, which was partly offset by new product launches
- Revenues from Pharmaceutical Services and Active Ingredients (PSAI) at Rs. 7.8 billion, Year-on-year growth of 7% was driven by favorable forex movement and an increase in volumes partly offset by price erosion. 

Commenting on the results, Co-chairman & MD, G V Prasad said "Our strong financial performance was supported by growth in the US and the Russia markets. We continue to strengthen our development pipeline to reach more patients globally."