Dr Reddy's Labs Q4 earnings: Net profit rises 22%, board declares dividend 

Pharmaceutical firm Dr Reddy's Laboratories announced its quarterly results for the March 2024 quarter on Friday. The company reported a 22% year-on-year rise in consolidated net profit, reaching Rs 1,594 crore, surpassing analysts' estimates of Rs 1,491 crore.

The board of the firm recommended a final dividend of Rs. 8/- per equity share of Rs. 1/- each for the financial year
2024-25.

Revenue figures also outperformed predictions, totaling Rs 8,506 crore compared to Rs 7,083 crore during the same period last year, reflecting a growth of 20%.

Breaking it down by segments, Global Generics—responsible for nearly 90% of overall revenue—generated Rs 7,536 crore, up from Rs 6,119 crore. Additionally, the Pharmaceutical Services and Active Ingredients division reported revenue of Rs 1,167 crore in Q4FY25, slightly above the Rs 1,152 crore noted previously, as per the company’s earnings report for the fourth quarter.

From an operational perspective, EBITDA climbed to Rs 2,975 crore, a 58.9% increase from Rs 1,872 crore in Q4 FY23, while margins saw an expansion of 510 basis points to 29.1%. In contrast, the company reported a margin of 24% in the corresponding quarter of the preceding fiscal year.

Commenting on the results, Co-Chairman & MD, G V Prasad said: "We achieved double-digit growth across our businesses, driven by successful product launches, increased revenues from key products in the U.S. and the integration of the acquired NRT business. We will continue to strengthen and grow our core businesses through portfolio management and operational excellence, while pursuing strategic partnerships and inorganic growth opportunities."

The earnings were announced after market hours. The stock closed marginally higher at Rs 1156.40 against the previous close of Rs 1148.70 on BSE. Market cap of the firm stood at Rs 96,491 crore.