Dr. Reddy’s Laboratories Q1 FY22 profit down by 1% to Rs 571cr

Dr. Reddy’s Laboratories has reported a 1% drop in its profit after tax for the first quarter of the fiscal year 2022 (Q1 FY22) to INR 571 crores ($77 million), compared to INR 579 crores ($78 million) in the same quarter of the previous fiscal year.

The Indian pharma giant had diluted earnings per share of INR 34.34 in Q1 FY22, compared to INR 34.86.

Its Q1 FY22 revenues were INR 4,919 crores ($662 million), an increase of 11% compared to INR 4,417 crores ($594 million) in Q1 FY21.

Dr. Reddy’s Laboratories had a 17% year-over-year growth in its revenues for global generics business in Q1 FY22 at INR 4,111 crores.

The company’s Q1 FY22 revenues for its pharmaceutical services and active ingredients (PSAI) business were down by 12% YoY to INR 754 crores. On the other hand, Dr. Reddy’s Laboratories made revenues of INR 54 crores from its proprietary products and others business during the reported quarter, which is a 1% reduction YoY.

G V Prasad — Co-Chairman and MD of Dr. Reddy’s Laboratories said: “The financial performance of the quarter has been driven by healthy sales growth. I am confident about improving our margins in the upcoming quarters which will be led by the scale up of recent launches, new product launches and productivity.

“While we continue to sharpen execution in our core business, we are also conducting pilots in areas such as Nutrition, Direct-to-Customer, and Digital Health & Wellness, which can be future growth drivers.”