Dr. Reddy’s Laboratories announced its Q3 and 9MFY26 results, showcasing revenue of ₹87,268 Mn, up 4.4% YoY. Nine-month revenue reached ₹260,771 Mn, an increase of 8.4% YoY. Growth was supported by momentum in branded businesses and favorable forex, offsetting lower Lenalidomide sales. The company remains focused on base business growth and pipeline advancement.
Financial Performance
Dr. Reddy’s Laboratories reported a revenue of ₹87,268 Mn for Q3FY26, representing a 4.4% year-over-year increase and a 0.9% sequential decline. For the nine months ended FY26, the company’s revenue stood at ₹260,771 Mn, up 8.4% compared to the previous year.
Segment Highlights
Global Generics: Q3 revenues were ₹79.1 billion, up 7% YoY.
North America: Revenues were ₹29.6 billion, a decline of 12% YoY, due to lower Lenalidomide sales.
Europe: Revenues grew by 20% YoY to ₹14.5 billion, driven by new product launches and NRT portfolio growth.
India: Revenues increased by 19% YoY to ₹16.0 billion, driven by innovation, brand launches, and price increases.
Emerging Markets: Revenues grew by 32% YoY to ₹19.0 billion, supported by new product launches.
PSAI: Revenues stood at ₹8.0 billion, a 2% YoY decline.
Gross Margin and Expenses
Gross margin stood at 53.6% in Q3FY26, impacted by reduced Lenalidomide sales and a one-time employee benefits provision. Selling, General & Administrative (SG&A) expenses increased by 12% YoY to ₹26.9 billion. Research & Development (R&D) expenses decreased by 8% YoY to ₹6.1 billion.
Key Business Updates
- Entered into a strategic collaboration with Immutep for Eftilagimod Alfa.
- Launched Hevaxin®, a recombinant vaccine for Hepatitis-E, in India.
- Received marketing authorization for Semaglutide injection in India.
- Completed filing of the BLA for the intravenous presentation of our abatacept biosimilar.
Aurigene Pharmaceutical Services Limited (APSL) served as the exclusive API manufacturer for two of 46 Novel Drugs approved by USFDA in 2025.
Source: BSE
