Dr Reddy’s Laboratories has posted a reasonable set of financials, though lower than some analyst estimates, for the fiscal first quarter ended June 30.
Net profit rose 28% to 3.36 billion rupees (about $60 million), and sales were also up 28% to 25.40 billion rupees. Growth was driven by a 38% increase in revenues from North America to 7.92 billion rupees.
That rise was helped by generics of Sanofi/Bristol-Myers Squibb’s bloodthinner Plavix (clopidogrel) and an over-the-counter version of Takeda’s Prevacid/Takepron (lansoprazole) gastrointestinal drug, plus copies of GlaxoSmithKline’s bloodthinner Arixtra (fondaparinux) and AstraZeneca’s antipsychotic drugs Seroquel (quetiapine). However, growth was “marginally offset by regular year-on-year price declines in existing product basket”.
Dr Reddy’s also did well in Russia and other Commonwealth of Independent States, where revenues rose 38% to 4.17 billion rupees. In Europe, sales climbed 14% to 2.18 billion rupees, while at home in India, turnover was up 19% to 3.48 billion rupees.
Revenues from Dr Reddy’s pharmaceutical services and active ingredients division reached 5.53 billion rupees, up 14%.
