Dr Reddy's Q2 profit rises 33% YoY to Rs. 1,480cr
What's the story
Dr Reddy's Laboratories experienced a 33% year-on-year (YoY) rise in consolidated net profit for the July-September quarter, reaching Rs. 1,480 crore.
In Q2 of the previous year, the company recorded a net profit of Rs. 1,112.8 crore.
Revenue from operations during Q2 experienced a 9% YoY increase, totaling Rs. 6,880 crore. In Q2 of the previous year, the pharma major posted a revenue of Rs. 6,305.7 crore.
Details
EBITDA margin at 31.7%
EBITDA stood at Rs. 2,181.3 crore, while the EBITDA margin was 31.7% vs 30.6% in the previous year's corresponding quarter.
In Q2 FY24, the gross margin was 58.7%, representing a YoY decrease of approximately 40 basis points (bps) compared to 59.1% in Q2 FY23.
This decline was primarily due to slightly unfavorable price changes in certain products and a change in product mix, but it was partially offset by a positive impact from foreign exchange rates, revealed an exchange filing.
What Next?
Growth factors
Co-Chairman and MD, GV Prasad said, "We delivered another quarter of strong results with highest ever sales and profits, driven by market share gains and momentum in our US generics business and robust growth in Europe."
"We are continuing to strengthen our pipeline both organically and through business development to drive growth and create differentiation."
Dr. Reddy's shares closed nearly unchanged on the BSE following the results announcement on Friday.