Dr. Reddy's Laboratories Earnings Call Transcript: Key Takeaways
Revenue declined 1.5% YoY as lower Revlimid sales in North America offset strong double-digit growth in base business and emerging markets.
- Call
- Guides 25% growth
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Revenue declined 1.5% YoY as lower Revlimid sales in North America offset strong double-digit growth in base business and emerging markets.
Q2FY27 revenue ₹8,671 Cr (-1.5% YoY), EBITDA ₹1,783 Cr (20.6%), PAT ₹925 Cr (-36% YoY). Management stresses double-digit base-business growth excluding lenalidomide in North America.
Q1FY27 revenue fell 5.6% YoY to ₹8,071 Cr due to lower Lenalidomide sales. EBITDA margin at 12.5% (15.4% ex-one-offs) was hit by semaglutide API issues and Middle East conflict costs.
Q1FY27 revenues reached ₹8,071 Cr with 12.5% EBITDA margin. Results were significantly impacted by a ₹240 Cr semaglutide API charge; underlying EBITDA margin before this impact was 15.4%.
Management discloses a significant manufacturing setback for Semaglutide injection due to out-of-specification impurity levels during scale-up, causing a temporary multi-month supply halt.