HYDERABAD: A Mixed Financial Performance

Despite achieving record revenues, Dr Reddy’s Laboratories, a leading pharmaceutical company, announced a modest 2% rise in consolidated profit after tax (PAT) for the third quarter. The PAT stood at Rs 1414.3 crore, compared to Rs 1,379 crore in the same period last fiscal year.

The company's revenues saw a significant 16% increase, reaching nearly Rs 8,359 crore in Q3FY25, up from around Rs 7,215 crore in Q3FY24. This growth was partly fueled by a Rs 605 crore revenue boost from the nicotine replacement therapy business of Haleon Plc, acquired in the first quarter of FY25.

Global Generics and Market Performance

Revenues from global generics experienced a 17% rise to Rs 7,375 crore, with the European market witnessing a remarkable 143% jump to Rs 1209.6 crore, thanks to the NRT business. However, the North American market saw a slight 1% decline in revenues to Rs 3383 crore.

In contrast, the Indian market and emerging markets showed positive growth, with revenues increasing by 14% and 12%, respectively.

Leadership Insights

GV Prasad, Dr Reddy’s co-chairman & managing director, credited the double-digit growth to the newly acquired NRT business, new product launches, and enhanced operational efficiencies.