Dr. Reddy’s Laboratories announced its Q2FY26 results, highlighting near double-digit growth and steady profitability. Revenues reached ₹8,805 Cr, a 9.8% year-over-year increase. EBITDA stood at ₹2,351 Cr with a margin of 26.7%. The company reported a profit after tax (PAT) of ₹1,437 Cr. The results reflect broad-based growth across various segments, with strategic priorities driving business momentum. Net cash surplus totaled ₹2,751 Cr.
Financial Performance Overview
Dr. Reddy’s Laboratories reported a strong financial performance for Q2FY26, demonstrating significant growth and profitability. Key financial highlights include:
- Revenue: ₹8,805 Cr, reflecting a 9.8% year-over-year growth.
- EBITDA: ₹2,351 Cr, with an EBITDA margin of 26.7%.
- Profit Before Tax (PBT): ₹1,835 Cr, representing 20.8% of revenue.
- Profit After Tax (PAT): ₹1,437 Cr, or 16.3% of revenue.
Segmental Performance
The company’s revenue split indicates strong performance across key segments:
- Global Generics: Reported revenue of ₹7,850 Cr, up 10% year-over-year.
- North America: Revenue stood at ₹3,241 Cr.
- Europe: Revenue reached ₹1,376 Cr.
- India: Demonstrated strong growth with revenue of ₹1,578 Cr.
- Emerging Markets: Revenue totaled ₹1,655 Cr.
- PSAI: Revenue reached ₹945 Cr.
Business Highlights
Key business activities during the quarter included:
- Acquisition of Stugeron® brands for 18 markets.
- Launch of novel gastro-intestinal drugs in India: Tegoprazan and Linaclotide.
- Partnership to enhance access to Lenacapavir.
- Positive opinion from EMA for denosumab biosimilar candidate.
Other Key Updates
- MSCI ESG Rating: Maintained ‘A’ rating for the second consecutive year.
- Morningstar Sustainalytics: Improved ESG Risk Rating.
Source: BSE