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6-K 1 rdy0925_6k.htm FORM 6-K

 

 

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

Form 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13A-16 OR 15D-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

 

July 2026

 

Commission File Number 1-15182

 

DR. REDDY’S LABORATORIES LIMITED

(Translation of registrant’s name into English)

 

8-2-337, Road No. 3, Banjara Hills

Hyderabad, Telangana 500 034, India

+91-40-49002900

 

 

(Address of principal executive office)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

  Form 20-F    x   Form 40-F    ¨  

 

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

 

  Yes    ¨   No    x  

 

If “Yes” is marked, indicate below the file number assigned to registrant in connection with Rule 12g3-2(b): 82-________.

 

 

 

 

  

DISCLOSURE OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION

 

We hereby furnish the United States Securities and Exchange Commission with copies of the following information about our public disclosures regarding our results of operations and financial condition for the quarter ended June 30, 2026.

 

On July 22, 2026, we announced our results of operations for the quarter ended June 30, 2026. We issued a press release announcing our results under International Financial Reporting Standards (“IFRS”), IFRS Unaudited Consolidated Financial Results, Ind AS Unaudited Consolidated Financial Results with review report and Ind AS Unaudited Standalone Financial Results with review report for the quarter ended June 30, 2026, a copy of which is attached to this Form 6-K as Exhibit 99.2 , 99.3 , 99.4 and 99.5 respectively. 

 

We have also made available to the public on our web site, www.drreddys.com, the following: IFRS Unaudited Consolidated Financial Results, Ind AS Unaudited Consolidated Financial Results and Ind AS Unaudited Standalone Financial Results for the quarter ended June 30, 2026.

 

Exhibits

 

Exhibit Number   Description of Exhibits
     
99.1   Outcome of the Board Meeting held on July 22, 2026
     
99.2   Press Release, “Dr. Reddy’s Q1 FY2027 Financial Results”, July 22, 2026.
     
99.3   IFRS Unaudited Consolidated Financial Results for the quarter ended June 30, 2026.
     
99.4   Ind AS Unaudited Consolidated Financial Results for the quarter ended June 30, 2026.
     
99.5   Ind AS Unaudited Standalone Financial Results for the quarter ended June 30, 2026.

 

  2  

 

  

SIGNATURES

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

   

DR. REDDY’S LABORATORIES LIMITED

(Registrant)

           
Date:  July 22, 2026   By:   /s/ K Randhir Singh  
      Name:  K Randhir Singh   
      Title: 

Company Secretary & Compliance

Officer

 

 

  3  

 

 

EX-99.1 2 rdy0925_ex99-1.htm EXHIBIT 99.1

 

Exhibit 99.1

 

Dr. Reddy’s Laboratories Ltd.

8-2-337, Road No. 3, Banjara Hills

Hyderabad – 500 034, Telangana, India

 

CIN: L85195TG1984PLC004507

 

Tel: + 91 40 4900 2900

Fax: + 91 40 4900 2999

Email: mail@drreddys.com

Web: www.drreddys.com

 

July 22, 2026

 

National Stock Exchange of India Ltd. (Scrip Code: DRREDDY)

BSE Limited. (Scrip Code: 500124)

New York Stock Exchange Inc. (Stock Code: RDY)

NSE IFSC Ltd. (Stock Code: DRREDDY)

 

Dear Sir/Madam,

 

Sub: Outcome of Board Meeting held on July 22, 2026

 

Pursuant to Regulations 30 and 33 and other applicable provisions of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“SEBI Listing Regulations”) and in furtherance to our letter dated June 22, 2026, we would like to inform that the Board of Directors of the Company, at their meeting held today, i.e. July 22, 2026, have inter alia considered and approved the following:

 

1. Unaudited Financial Results for the quarter ended June 30, 2026:

 

a. Unaudited Consolidated Financial Results of the Company for the quarter ended June 30, 2026, prepared in compliance with International Financial Reporting Standards (IFRS) as issued by International Accounting Standards Board (IASB);

 

b. Press Release on Unaudited Financial Results of the Company for the quarter ended June 30, 2026;

 

c. Unaudited Consolidated Financial Results of the Company for the quarter ended June 30, 2026, as per Indian Accounting Standards;

 

d. Unaudited Standalone Financial Results of the Company for the quarter ended June 30, 2026, as per Indian Accounting Standards; and

 

e. Limited Review Reports of the Statutory Auditors on the Unaudited Standalone and Consolidated Financial Results as mentioned above.

 

2. Appointment of Senior Management Personnel

 

Pursuant to the recommendation of the Nomination, Governance and Compensation Committee, the Board of Directors of the Company, at their meeting held today, approved the appointment of Dr. Sridevi Khambhampaty as Global Head of Biologics and Senior Management Personnel of the Company, and her induction as a Member of the Management Council, effective July 22, 2026.

 

The updated list of the Company’s Senior Management Personnel, reflecting the above appointment, is enclosed as Annexure A1.

 

 

 

 

 

3. Appointment of M/s Deloitte Haskins & Sells, LLP as Independent Registered Public Accounting Firm

 

This is in continuation of our letter dated May 12, 2026, wherein the Company had informed that it has appointed M/s Deloitte Haskins & Sells, LLP, (Firm Registration No. 117366W/W-100018), as the Statutory Auditors of the Company, in terms of the provisions of Companies Act, 2013, for a term of five consecutive years, commencing from the conclusion of the 42nd AGM till the conclusion of the 47th AGM, subject to the approval of the shareholders at the ensuing AGM.

 

We further wish to inform that to align with the above and basis the recommendation of the Audit Committee, the Board of Directors have approved the appointment of M/s Deloitte Haskins & Sells, LLP, as the Independent Registered Public Accounting Firm of the Company for the purpose of auditing the financial statements of the Company to be included in the Company’s Annual Report on Form 20-F and reviewing the interim financial statements to be filed with the U.S. Securities and Exchange Commission on Form 6-K.

 

The disclosure required under Regulation 30 of the SEBI Listing Regulations read with SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026, is enclosed as Annexure A and B.

 

The Board Meeting commenced at 2:30 p.m. IST and concluded at 4:03 p.m. IST.

 

This is for your information and records.

 

Thanking you.

 

Yours faithfully,

For Dr. Reddy’s Laboratories Limited

 

K Randhir Singh

Company Secretary, Compliance Officer & Head-CSR

 

Encl: as above

 

 

 

 

 

Annexure A

 

Details of Dr. Sridevi Khambhampaty

 

Sl.no. Particulars Details
1. Reason for change viz. appointment, re-appointment, resignation, removal, death or otherwise Appointment of Dr. Sridevi Khambhampaty as Global Head of Biologics and Senior Management Personnel of the Company, and her induction as a Member of the Management Council
2. Date of appointment/re-appointment/cessation (as applicable) & term of appointment/re-appointment July 22, 2026.  
3. Brief profile (in case of appointment) As mentioned below
4. Disclosure of relationships between directors (in case of appointment of a director)

Not applicable

 

 

 

Brief Profile of Dr. Sridevi Khambhampaty

 

 

Dr. Sridevi is an accomplished biopharmaceutical leader with over two decades of experience spanning Biologics R&D, Quality, and Business leadership. Most recently, she served as the CEO of Shilpa Biologics, where she led the organization’s growth and strategic direction. Prior to this, she held senior leadership roles at Syngene International and Intas Biopharma.


In her previous stint at Dr Reddy’s, Dr. Sridevi led teams in Product Development and Quality Control at Biologics and contributed to several of our current products in biosimilars. She brings deep expertise in biologics, development strategy, regulatory sciences, and cross-functional leadership, along with extensive experience in building and scaling high-performing teams. She holds a PhD in Biological Sciences from NCBS (TIFR) and completed her postdoctoral research at Stanford University School of Medicine.

 

 

 

 

 

Annexure A1

List of revised Senior Management Personnel

 

Sl.No Name of the SMP Designation
1 Mr. Satish Reddy Chairman and Whole-time Director
2 Mr. G V Prasad Co-Chairman and Managing Director (KMP)
3 Mr. Erez Israeli Chief Executive Officer (KMP)
4 Mr. M V Ramana CEO Global Generics
5 Mr. Sanjay Sharma Chief Operating Officer
6 Mr. M V Narasimham Chief Financial Officer (KMP)
7 Mr. Deepak Sapra Chief Executive Officer, API and Services
8

Mr. Krishna Venkatesh

Global Head of IPDO - Integrated Product Development Organization
9 Mr. Patrick Aghanian Head - Consumer Health Organization
10 Mr. Phanimitra B Chief Digital and Information Officer
11 Mr. Milan Kalawadia Chief Executive Officer, North America
12 Mr. M S Madhu Sundar Global Head of Quality and PV
13 Mr. Sandeep Khandelwal Global Generics India Head 
14 Dr. Sridevi Khambhampaty Global Head of Biologics
15

Mr. K Randhir Singh

 

Company Secretary, Compliance Officer

and Head-CSR (KMP)

 

 

 

 

 

 

 

Annexure B

 

Details of M/s Deloitte Haskins & Sells, LLP, Chartered Accountants as Independent Registered Public Accounting Firm

 

Sl.no. Particulars Details
1. Reason for change viz. appointment, re-appointment, resignation, removal, death or otherwise Appointment
2. Date of appointment/re-appointment/cessation (as applicable) & term of appointment/re-appointment July 22, 2026
3. Brief profile (in case of appointment)

Deloitte Haskins & Sells, Mumbai was constituted in 1997 and has been converted to a Limited Liability Partnership (LLP), with the name Deloitte Haskins & Sells LLP (“DHS LLP” or “Firm”), w.e.f. November 20, 2013. DHS LLP is registered with the Institute of Chartered Accountants of India (Registration No. 117366W/W-100018) and is a part of Deloitte Haskins & Sells & Affiliates being the Network of Firms registered with the ICAI. The registered office of the Firm is One International Center, Tower 3, 31st Floor, Senapati Bapat Marg, Elphinstone Road (West), Mumbai - 400013, Maharashtra, India.

 

4. Disclosure of relationships between directors (in case of appointment of a director)

Not applicable

 

 

 

 

 

EX-99.2 3 rdy0925_ex99-2.htm EXHIBIT 99.2

 

Exhibit 99.2

 

 

DR. REDDY’S LABORATORIES LTD.

8-2-337, Road No. 3, Banjara Hills,

Hyderabad - 500034. Telangana, India.

CONTACT
Investor relationS Media relationS

AISHWARYA SITHARAM

aishwaryasitharam@drreddys.com

SANTOSH VYAS

santoshvyas@drreddys.com

  

 

 

Dr. Reddy’s Q1FY27 Financial Results

 

Hyderabad, India, July 22, 2026: Dr. Reddy’s Laboratories Ltd. (BSE: 500124 | NSE: DRREDDY | NYSE: RDY | NSEIFSC: DRREDDY) today announced its consolidated financial results for the quarter ended June 30, 2026. The information mentioned in this release is based on consolidated financial statements under International Financial Reporting Standards (IFRS).

 

Particulars Q1FY27
   

Revenues

 

₹ 80,705 Mn

[Down: 5.6% YoY; Up: 7.4% QoQ]

   

Gross Margin

 

46.5%

[Q4FY26: 56.9%; Q4FY26: 44.8%]

   

EBITDA

 

₹ 10,088 Mn

[12.5% of Revenues]

   

Profit before Tax

 

₹ 5,526 Mn

[6.8% of Revenues]

   

Profit after Tax

attributable to Equity Holders

₹ 4,435 Mn

[5.5% of Revenues]

 

Notes: Results include the adverse impact of a provision of ₹ 2,397 Mn towards inventory and other associated costs related to semaglutide’s active pharmaceutical ingredient (’semaglutide API related impact’), resulting in a decrease in gross profit, EBITDA and PBT margins by ~3%.

 

Commenting on the results, Co-Chairman & MD, G V Prasad said“Our Q1FY27 performance reflected the expected transition beyond lenalidomide revenues, along with an unexpected impact related to semaglutide API. However, our underlying base business continued to deliver healthy double-digit growth across all key geographies. Our focus remains on improving the health of our base business through disciplined execution and operational excellence, while building our future pipeline of peptides, biosimilars, and innovative assets to deliver long-term growth.”

  

 

    1

 

 

All amounts in millions, except EPS All US dollar amounts based on convenience translation rate of 1 USD = 94.66

 

Dr. Reddy’s Laboratories Limited & Subsidiaries

 

Revenue Mix by Segment for the quarter

 

Particulars   Q1FY27     Q1FY26     YoY     Q4FY26     QoQ  
    (₹)     (₹)     Gr%     (₹)     Gr%  
Global Generics     71,993       75,620       (5 )     65,802       9  
North America     22,048       34,123       (35 )     17,562       26  
Emerging Markets     18,328       14,042       31       18,057       2  
India     17,177       14,711       17       15,663       10  
Europe     14,440       12,744       13       14,520       (0.6 )
Pharmaceutical Services and Active Ingredients (PSAI)     8,519       8,181       4       9,124       (7 )
Others     193       1,651       (88 )     236       (18 )
Total     80,705       85,452       (6 )     75,162       7  

 

 

Branded businesses, namely India, Emerging Markets and the acquired consumer health portfolio in

Nicotine Replacement Therapy, account for 52% of Q1FY27 revenues.

 

 

    2

 

 

Consolidated Income Statement for the quarter

 

Particulars   Q1FY27     Q1FY26     YoY     Q4FY26     QoQ  
    ($)     (₹)     ($)     (₹)     Gr%     ($)     (₹)     Gr%  
Revenues     853       80,705       903       85,452       (6 )     794       75,162       7  
Cost of Revenues     456       43,165       389       36,825       17       438       41,471       4  
Gross Profit     397       37,540       514       48,627       (23 )     356       33,691       11  
% of Revenues             46.5 %             56.9 %                     44.8 %        
Selling, General & Administrative Expenses     304       28,820       271       25,647       12       293       27,762       4  
% of Revenues             35.7 %             30.0 %                     36.9 %        
Research & Development Expenses     61       5,766       66       6,244       (8 )     58       5,463       6  
% of Revenues             7.1 %             7.3 %                     7.3 %        
Impairment of Non-Current Assets, net     0.2       15                         27       2,586       (99 )
Other (Income)/Expense, net     (9 )     (845 )     (8 )     (739 )     14       (36 )     (3445 )     (75 )
Results from Operating Activities     40       3,784       185       17,475       (78 )     14       1,325       186  
Finance (Income)/Expense, net     (18 )     (1,734 )     (17 )     (1,570 )     10       (7 )     (620 )     180  
Share of Profit of Equity Investees, net of tax     (0.1 )     (8 )     (0.02 )     (2 )     300       (0.5 )     (46 )     (83 )
Profit before Income Tax     58       5,526       201       19,047       (71 )     21       1,991       178  
% of Revenues             6.8 %             22.3 %                     2.6 %        
Income Tax Expense/(Benefit)     12       1,178       52       4,950       (76 )     (2 )     (214 )     (650 )
Profit for the Period     46       4,348       149       14,096       (69 )     23       2,205       97  
% of Revenues             5.4 %             16.5 %                     2.9 %        
Attributable to Equity holders of the Parent Co.     47       4,435       150       14,178       (69 )     23       2,201       102  
% of Revenues             5.5 %             16.6 %                     2.9 %        
Attributable to Non-controlling interests     (1 )     (87 )     (1 )     (82 )     6       0.04       4       (2,697 )
Diluted Earnings per Share (EPS)     0.06       5.32       0.18       17.02       (84 )     0.03       2.64       101  

 

Earnings before Interest, Tax, Depreciation & Amortization (EBITDA) Computation for the quarter

 

Particulars   Q1FY27     Q1FY26     Q4FY26  
      ($)       (₹)       ($)       (₹)       ($)       (₹)  
Profit before Income Tax     58       5,526       201       19,047       21       1,991  
Interest (Income) / Expense, net*     (9 )     (825 )     (11 )     (1,028 )     (4 )     (346 )
Depreciation     36       3,380       31       2,894       37       3,459  
Amortization     21       1,992       20       1,871       22       2,117  
Impairment     0       15                   27       2,586  
EBITDA     107       10,088       241       22,784       104       9,807  
% of Revenues             12.5 %             26.7 %             13.0 %

 

*Includes income from Investment

 

Key Balance Sheet Items

 

Particulars   As on 30th Jun 2026     As on 31st Mar 2026     As on 30th Jun 2025  
      ($)       (₹)       ($)       (₹)       ($)       (₹)  
Cash and Cash Equivalents and Other Investments     967       91,508       1,041       98,509       773       73,169  
Trade Receivables     1,062       100,557       1,069       101,219       1,005       95,137  
Inventories     850       80,473       808       76,531       799       75,600  
Property, Plant, and Equipment     1,221       115,549       1,225       115,930       1,086       102,784  
Goodwill and Other Intangible Assets     1,230       116,463       1,246       117,952       1,136       107,572  
Loans and Borrowings (Current & Non-Current)     760       71,952       817       77,341       514       48,644  
Trade Payables     396       37,497       353       33,411       396       37,457  
Equity     4,086       386,735       4,019       380,457       3,737       353,755  

 

 

    3

 

Key Business Highlights for Q1FY27

 

· First-to-market launch in the United States of Bosutinib Tablets 400mg, with 180-days of generic drug exclusivity.

 

· Launched generic semaglutide injection in Canada, indicated for treatment of Type 2 diabetes, after receiving the Notice of Compliance from Pharmaceutical Drugs Directorate.

 

· Launched generic semaglutide tablets in India for treatment of Type 2 diabetes.

 

· Celevida GLP+’ launched in India by Dr. Reddy’s-Nestlé Health Science to support nutritional needs of GLP-1 users.

 

· Toripalimab, in-licensed novel therapy for treatment of nasopharyngeal carcinoma, surpassed revenues of ₹100 crores in less than two years of launch in India.

 

· Entered into an agreement with Innoviva Specialty Therapeutics to exclusively develop and commercialise, XACDURO® (sulbactam for injection; durlobactam for injection), used in treatment of hospital-acquired bacterial pneumonia in select markets across South and Central America, the Caribbean, Russia and CIS countries.

 

· Filed Marketing Authorization Application abatacept intravenous (IV) presentation with European Medicines Agency (EMA).

 

· Fast Track Designation granted by USFDA for partnered product, COYA 302, for the treatment of Amyotrophic Lateral Sclerosis (ALS).

 

ESG Highlights for Q1FY27

 

· Completed 25 years of listing on the New York Stock Exchange as the first and only Indian pharmaceutical company listed on the exchange.

 

· Placed in the top 1% globally by FTSE Russell.

 

· Ranked 165th globally and 5th among Indian companies by TIME–Statista among the World’s Most Sustainable Companies.

 

Other Updates for Q1FY27

 

· Received a Form 483 with seven observations, following a Pre-License Inspection (PLI) by United States Food and Drug Administration (USFDA) at our biologics manufacturing facility in Bachupally, Hyderabad in June 2026, to which responses were provided within the stipulated timeline.

 

· Certain batches of semaglutide were found to be out of specification due to an issue associated with the active pharmaceutical ingredient (API) used in the product. Appropriate measures are being taken to ensure product quality and resumption of supplies.

 

 

    4

 

 

Revenue Analysis

 

· Q1FY27 consolidated revenues at ₹80.7 billion, decline of 6% YoY and growth of 7% QoQ.

 

Growth was impacted primarily on account of lower lenalidomide revenues. The underlying base business, i.e. excluding lenalidomide, continued to deliver healthy double-digit growth across all geographies, including North America, aided by favourable currency movements.

 

Global Generics (GG)

 

· Q1FY27 revenues at ₹72.0 billion, decline of 5% YoY and growth of 9% QoQ, accounting for 89% of consolidated revenues.

 

· Branded businesses, namely India, Emerging Markets and the acquired consumer health portfolio in Nicotine Replacement Therapy (NRT), account for 52% of Q1FY27 revenues.  

 

North America

 

· Q1FY27 revenues at ₹22.0 billion, decline of 35% YoY and growth of 26% QoQ, accounting for 27% of consolidated revenues.

 

Decline was largely due to lower Lenalidomide sales.

 

· During the quarter, we launched six new products in the region.

 

· During the quarter, we filed five new Abbreviated New Drug Applications (ANDAs) and one New Drug Application (NDA) with the USFDA.

 

· As of June 30, 2026, filings pending approval from USFDA were 79 including:
- 76 ANDAs (45 are Paragraph IV applications, and 24 may have a ‘First to File’ status) and
- Three NDAs filed u/s 505(b)(2), of which one is a Paragraph IV application.

 

Emerging Markets

 

· Q1FY27 revenues at ₹18.3 billion, growth of 31% YoY and 2% QoQ, accounting for 23% of consolidated revenues.

 

YoY growth was largely driven by new launches across markets, further supported by favourable forex.

 

- Q1FY27 Russia revenues at ₹9.0 billion, growth of 28% YoY and 8% QoQ.

 

YoY growth was supported by price increase in certain brands, new product launches and favorable currency movements.

 

- Q1FY27 Other Commonwealth of Independent States (CIS) countries and Romania revenues at ₹2.2 billion, growth of 12% YoY and decline of 6% QoQ.

 

YoY growth was largely on account of higher sales volumes and favourable exchange movements.

 

- Q1FY27 Rest of World (RoW) revenues at ₹7.1 billion, growth of 42% YoY and decline of 3% QoQ.

 

YoY growth was largely on account of higher sales volumes from existing products and new product launches across countries, aided by favourable currency movements.

 

· During the quarter, we launched 43 new products across countries.

 

 

    5

 

 

India

 

· Q1FY27 revenues at ₹17.2 billion, growth of 17% YoY and 10% QoQ, accounting for 21% of consolidated revenues.

 

Growth was driven by revenues from new brand launches, including innovative assets and recently acquired portfolios, price increases and higher sales volumes.

 

· As per IQVIA data published for June 2026, our rank in the Indian Pharmaceutical Market (IPM) was at 9th on a Moving Quarterly Total (MQT) and 10th on a Moving Annual Total (MAT) basis. We continued to outperform the IPM, with secondary sales growth of 14.6% as compared to IPM growth of 13.5% on a MQT basis and 13.5% as compared to IPM growth of 11.1% on a MAT basis.

 

· During the quarter, we launched seven new brands.

 

Europe

 

· Q1FY27 revenues at ₹14.4 billion, growth of 13% YoY and flat QoQ, accounting for 18% of consolidated revenues.

Revenues from new generic product launches and favourable forex movement were moderated by pricing pressure in generics. NRT revenues declined primarily due to the change in operating model post-integration, under which rebates and discounts are offered to distributors, as compared to the transition period when sales were managed by the seller, Haleon.

 

- Q1FY27 NRT revenues at ₹6.6 billion, decline of 2% YoY and 6% QoQ.

 

- Q1FY27 Germany revenues at ₹4.1 billion, growth of 29% YoY and 6% QoQ.

 

- Q1FY27 UK revenues at ₹2.3 billion, growth of 33% YoY and flat QoQ.

 

- Q1FY27 Rest of Europe revenues at ₹1.5 billion, growth of 29% YoY and 4% QoQ.

 

· During the quarter, we launched 24 new generic products in the region.

 

Pharmaceutical Services and Active Ingredients (PSAI)

 

· Q1FY27 revenues at ₹8.5 billion, growth of 4% YoY and decline of 7% QoQ.

 

Growth was largely on account of momentum in our services business, aided by favourable currency fluctuations.

 

· During the quarter, we filed 38 Drug Master Files (DMFs) globally.

 

 

    6

 

 

Income Statement Highlights:

 

Gross Margin

 

· Q1FY27 at 46.5% (GG: 51.6%, PSAI: 4.5%), a decline of 1,039 basis points (bps) YoY and an increase of 169 bps QoQ.

 

The YoY decline for the quarter was primarily on account of an adverse product mix, primarily on account of reduced sales of Lenalidomide, price erosion in North America and Europe Generics, a semaglutide API related impact indicated earlier and elevated solvent costs arising on account of the Middle East crisis.

 

Excluding the semaglutide API related impact, gross margin was 49.4% (GG: 53.8%| PSAI: 12.9%).

 

Selling, General & Administrative (SG&A) Expenses

 

· Q1FY27 at ₹28.8 billion, increase of 12% YoY and 4% QoQ.

 

As % to Revenues – Q1FY27: 35.7 % | Q1FY26: 30.0% | Q4FY26: 36.9%.

 

The YoY increase was due to higher personnel costs, including increments, adverse forex movement, targeted investments in branded businesses and higher freight costs due to Middle East crisis.

 

Research & Development (R&D) Expenses

 

· Q1FY27 at ₹5.8 billion, decrease of 8% YoY and increase of 6% QoQ.

 

As % to Revenues – Q1FY27: 7.1% | Q1FY26: 7.3% | Q4FY26: 7.3%.

 

R&D expenditure was lower due to reduced development spends in biosimilars. R&D spends remain focused on complex generics, including peptides and biosimilars.

 

Profit before Tax (PBT)

 

· Q1FY27 at ₹5.5 billion, decline of 71% YoY and increase of 178% QoQ.

 

As % to Revenues – Q1FY27: 6.8% | Q1FY26: 22.3% | Q4FY26: 2.6%.

 

Excluding the semaglutide API related impact, PBT margin was 9.8%.

 

Income Tax

 

· Q1FY27 expense at ₹1.2 billion. As % to PBT – Q1FY27: 21.3% | Q1FY26: 26.0% | Q4FY26: (10.8)%.

 

The ETR was lower in Q1FY27 primarily due to reversal of previously recognized tax provisions no longer required consequent to favorable resolution of tax assessment pertaining to earlier year and a favourable jurisdictional mix for the quarter, in comparison to the same period in the previous year.

 

Profit attributable to Equity Holders of Parent Company

 

· Q1FY27 at ₹4.4 billion, decline of 69% YoY and increase of 101% QoQ.

 

As % to Revenues (before semaglutide API related impact) – Q1FY27: 5.5% | Q1FY26: 16.6% | Q4FY26: 2.9%.

 

Diluted Earnings per Share (EPS)

 

· Q1FY27 is ₹5.32.

 

 

    7

 

 

Other Financial Highlights:

 

EBITDA

 

· Q1FY27 at ₹10.1 billion, a decline of 1,416 bps YoY and 55 bps QoQ.

 

As % to Revenues – Q1FY27: 12.5% | Q1FY26: 26.7% | Q4FY26: 13.0%.

 

Excluding the semaglutide API related impact, EBITDA margin was 15.4%.

 

Others:

 

· Operating Working Capital: As on 30th June 2026 at ₹143.5 billion

 

· Capital Expenditure: Q1FY27 at ₹3.1 billion.

 

· Cash Flow (before acquisition related payout): Q1FY27 at ₹(2.2) billion.

 

· Net Cash Surplus: As on 30th June 2026 at ₹30.6 billion.

 

· Net Debt to Equity: As on 30th June 2026 is (0.08).

 

· Annualised Return on Capital Employed (RoCE): Q1FY27 stood at 5.3%.

 

Excluding the semaglutide API related impact, annualised RoCE at 8%.

 

 

    8

 

  

About key metrics and non-GAAP Financial Measures

 

This press release contains non-GAAP financial measures within the meaning of Regulation G and Item 10(e) of Regulation S-K. Such non-GAAP financial measures are measures of our historical performance, financial position or cash flows that are adjusted to exclude or include amounts from the most directly comparable financial measure calculated and presented in accordance with IFRS.

 

The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with IFRS. Our non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles. These measures may be different from non-GAAP financial measures used by other companies, limiting their usefulness for comparison purposes.

 

We believe these non-GAAP financial measures provide investors with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating our business.

 

For more information on our non-GAAP financial measures and a reconciliation of GAAP to non-GAAP measures, please refer to “Reconciliation of GAAP to Non-GAAP Results” table in this press release.

 

 

    9

 

 

All amounts in millions, except EPS

 

Reconciliation of GAAP Measures to Non-GAAP Measures

 

Operating Working Capital

 

Particulars   As on 30th Jun 2026  
      (₹)  
Inventories     80,473  
Trade Receivables     100,557  
Less:        
Trade Payables     (37,497 )
Operating Working Capital     143,533  

 

Free Cash Flow

 

Particulars   Three months ended
30th Jun 2026
 
      ()  
Net cash generated from operating activities     1,015  
Less:        
Taxes     (1,942 )
Investments in Property, Plant & Equipment and intangibles     (1,231 )
Free Cash Flow before Acquisitions     (2,158 )
Less:        
Acquisitions related pay-out     (220 )
Cash Flow     (2,378 )

 

Net Cash Surplus and Debt to Equity

 

Particulars   As on 30th Jun 2026  
       ()  
Cash and Cash Equivalents     11,204  
Investments     80,304  
Short-term Borrowings     (57,688 )
Long-term Borrowings (Current & Non-current)     (14,264 )
Less:        
Restricted Cash Balance – Unclaimed Dividend and others     (102 )
Lease liabilities (Included in Short-term and Long-term Borrowings)     14,264  
Equity Investments (Included in Investments)     (3,150 )
Net Cash Surplus     30,568  
Equity     386,735  
Net Debt/Equity     (0.08 )

 

 

    10

 

 

 Computation of RoCE

 

Particulars   As on 30th Jun 2026  
       ()  
Profit before Tax     5,526  
Less:        
Interest and Investment Income (Excluding forex gain/loss)     (825 )
Earnings Before Interest and taxes [A]     4,701  
         
Average Capital Employed [B]     356,973  
         
Annualised Return on Capital Employed (A/B) (Ratio)     5.3 %

 

Computation of Capital Employed:

 

Particulars   As on  
    30th Jun 2026     31st Mar 2026  
Property Plant and Equipment     115,549       115,930  
Intangibles     103,603       105,059  
Goodwill     12,860       12,893  
Investment in Equity Accounted Associates     5,798       5,673  
Other Current Assets     36,364       36,256  
Other Non-Current Assets     1,111       1,226  
Inventories     80,473       76,531  
Trade Receivables     100,557       101,219  
Derivative Financial Instruments     (4,538 )     (6,743 )
Less:                
Other Liabilities     46,540       53,702  
Provisions     7,066       7,659  
Trade payables     37,497       33,411  
Operating Capital Employed     360,674       353,272  
Average Capital Employed     356,973

 

Computation of EBITDA

 

Refer page no. 3.

 

 

    11

 

  

Earnings Call Details

 

The management of the Company will host an Earnings call to discuss the Company’s financial performance and answer any questions from the participants.

 

Date: Wednesday, July 22, 2026

 

Time: 19:30 pm IST | 10:00 am ET

 

Conference Joining Information

 

Pre-register with the below link and join

https://drreddys.zoom.us/webinar/register/WN_xVkKzh0MSyaxs-eKX8_0wg

 

Audio Link and Transcript will be available on the Company’s website: www.drreddys.com

 

 

About Dr. Reddy’s: Dr. Reddy’s Laboratories Ltd. (BSE: 500124, NSE: DRREDDY, NYSE: RDY, NSEIFSC: DRREDDY) is a global pharmaceutical company headquartered in Hyderabad, India. Established in 1984, we are committed to providing access to affordable and innovative medicines. Driven by our purpose of ‘Good Health Can’t Wait’, we offer a portfolio of products and services including APIs, generics, branded generics, biosimilars and OTC. Our major therapeutic areas of focus are gastrointestinal, cardiovascular, diabetology, oncology, pain management and dermatology. Our major markets include – USA, India, Russia & CIS countries, China, Brazil, and Europe. As a company with a history of deep science that has led to several industry firsts, we continue to plan and invest in businesses of the future. As an early adopter of sustainability and ESG actions, we released our first Sustainability Report in 2004. Our current ESG goals aim to set the bar high in environmental stewardship; access and affordability for patients; diversity; and governance.

 

For more information, log on to: www.drreddys.com.

 

 

Disclaimer: This press release may include statements of future expectations and other forward-looking statements that are based on the management’s current views and assumptions and involve known or unknown risks and uncertainties that could cause actual results, performance, or events to differ materially from those expressed or implied in such statements. In addition to statements which are forward-looking by reason of context, the words “may”, “will”, “should”, “expects”, “plans”, “intends”, “anticipates”, “believes”, “estimates”, “predicts”, “potential”, or “continue” and similar expressions identify forward-looking statements. Actual results, performance or events may differ materially from those in such statements due to without limitation, (i) general economic conditions such as performance of financial markets, credit defaults , currency exchange rates , interest rates, persistency levels and frequency / severity of insured loss events (ii) mortality and morbidity levels and trends, (iii) changing levels of competition and general competitive factors, (iv) changes in laws and regulations and in the policies of central banks and/or governments, (v) the impact of acquisitions or reorganization , including related integration issues, and (vi) the susceptibility of our industry and the markets addressed by our, and our customers’, products and services to economic downturns as a result of natural disasters, epidemics, pandemics or other widespread illness, including coronavirus (or COVID-19), and (vii) other risks and uncertainties identified in our public filings with the Securities and Exchange Commission, including those listed under the “Risk Factors” and “Forward-Looking Statements” sections of our Annual Report on Form 20-F for the year ended March 31, 2026, and our other filings with US SEC. The company assumes no obligation to update any information contained herein.

 

 

    12

 

 

EX-99.3 4 rdy0925_ex99-3.htm EXHIBIT 99.3

 

Exhibit 99.3

 

 

Dr. Reddy’s Laboratories Ltd.

8-2-337, Road No. 3, Banjara Hills,

Hyderabad - 500 034, Telangana,

India.

CIN : L85195TG1984PLC004507

 

Tel     : +91 40 4900 2900

Fax    : +91 40 4900 2999

Email : mail@drreddys.com

www.drreddys.com

 

 

DR. REDDY’S LABORATORIES LIMITED

Unaudited consolidated financial results of Dr. Reddy’s Laboratories Limited and its subsidiaries for the quarter ended 30 June 2026 prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB)

 

        All amounts in Indian Rupees millions  
    Quarter ended     Year ended  
         30.06.2026      31.03.2026      30.06.2025      31.03.2026  
Sl. No.   Particulars    (Unaudited)      (Audited)      (Unaudited)      (Audited)  
    1   Revenues     80,705       75,162       85,452       335,933  
    2   Cost of revenues     43,165       41,471       36,825       158,669  
    3   Gross profit (1 - 2)     37,540       33,691       48,627       177,264  
    4   Selling, general and administrative expenses     28,820       27,762       25,647       106,763  
    5   Research and development expenses     5,766       5,463       6,244       24,058  
    6   Impairment of non-current assets, net     15       2,586       -       3,519  
    7   Other income, net     (845 )     (3,445 )     (739 )     (7,627 )
    Total operating expenses     33,756       32,366       31,152       126,713  
    8   Results from operating activities [(3) - (4 + 5 + 6 + 7)]     3,784       1,325       17,475       50,551  
    Finance income     2,989       1,677       2,400       7,870  
    Finance expense     (1,255 )     (1,057 )     (830 )     (3,738 )
    9   Finance income, net     1,734       620       1,570       4,132  
  10   Share of profit of equity accounted investees, net of tax     8       46       2       134  
  11   Profit before tax (8 + 9 + 10)     5,526       1,991       19,047       54,817  
  12   Tax expense, net     1,178       (214 )     4,951       12,351  
  13   Profit for the period/year (11 - 12)     4,348       2,205       14,096       42,466  
                                     
    Attributable to:                                
    Equity holders of the parent company     4,435       2,201       14,178       42,850  
    Non-controlling interests     (87 )     4       (82 )     (384 )
                                     
  14   Earnings per equity share attributable to equity shareholders of parent                                
    Basic earnings per share of Re.1/- each     5.32       2.64       17.04       51.48  
    Diluted earnings per share of Re.1/- each     5.32       2.64       17.02       51.42  
          (Not annualised)       (Not annualised)       (Not annualised)          

 

 

 

 

 

 

 

Segment information   All amounts in Indian Rupees millions  
    Quarter ended     Year ended  
         30.06.2026      31.03.2026      30.06.2025      31.03.2026  
Sl. No.   Particulars    (Unaudited)      (Audited)      (Unaudited)      (Audited)  
    Segment wise revenue and results:                                
    1   Segment revenue:                                
    a) Global Generics     71,993       65,802       75,620       299,033  
    b) Pharmaceutical Services and Active Ingredients     10,527       11,075       9,709       42,043  
    c) Others     193       236       1,651       2,127  
    Total     82,713       77,113       86,980       343,203  
    Less: Inter-segment revenues     2,008       1,951       1,528       7,270  
    Net revenues     80,705       75,162       85,452       335,933  
                                     
    2   Segment results:                                
    Gross profit from each segment                                
    a) Global Generics     37,123       31,809       46,086       169,698  
    b) Pharmaceutical Services and Active Ingredients     381       1,817       1,082       5,984  
    c) Others     36       65       1,459       1,582  
    Total     37,540       33,691       48,627       177,264  
    Less: Selling and other un-allocable expenditure, net of other income     32,014       31,700       29,580       122,447  
    Total profit before tax     5,526       1,991       19,047       54,817  

 

Global Generics segment includes operations of Biologics business. Inter-segment revenues represent sale from Pharmaceutical Services and Active Ingredients to Global Generics at cost.

 

Segmental capital employed


As certain assets of the Company including manufacturing facilities, development facilities, treasury assets and liabilities are often deployed interchangeably across segments, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.

 

 

 

 

 

 

 

Notes:

 

1 The above Statement of unaudited consolidated financial results of Dr. Reddy’s Laboratories Limited (the “parent company”), together with its subsidiaries (collectively, the “Company”), joint ventures and associates, have been prepared in accordance with recognition and measurement principles of IAS 34 as issued by the International Accounting Standards Board (IASB), and presented as per the format of Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, and were reviewed and recommended by Audit Committee and approved by the Board of Directors at their meetings held on 22 July 2026. The Auditors have carried out a limited review on the unaudited consolidated financial results and issued an unmodified report there on.

 

2 Certain batches of Semaglutide were found to be out of specification due to an issue associated with the active pharmaceutical ingredient (API) used in the product. Consequently, based on its best estimate, the Company has made a provision of Rs.2,397 million towards inventory and other associated costs during the quarter ended 30 June 2026.

 

3 During the quarter ended 31 March 2026, consequent to resolution of a shelf stock adjustment claim arising from reduction in price of its generic product Lenalidomide in the United States, the Company has recorded an amount of Rs. 4,530 million (USD 50 million) as a reduction of “Revenue from sale of goods” in the Company’s Global Generics Segment.

 

4 During the quarter ended 31 March 2026, the Company decided to discontinue certain of its R&D programs associated with Chimeric Antigen Receptor T-cell (CAR-T) therapy portfolio in light of the development status and clinical trial outcomes. Consequent to this decision, the Company has recognized a net loss of Rs. 1,350 million in the Company’s Global Generic segment, comprising of:

a. Impairment of non-current assets of Rs. 1,291 million (i.e., towards Property, plant and equipment, Other Intangible assets and Right of use assets) and
b. Other development program related wind down cost under Selling, general and administrative expenses (“SG&A”) of Rs. 59 million.

 

5 During the quarter ended 31 March 2026, the Company has recorded an impairment loss of Rs.914 million (USD 10 million) consequent to discontinuation of the Phase III study in first line non-small cell lung cancer conducted by Immutep Limited following the results of the futility analysis. This transaction pertains to Company’s Global Generics segment.

 

6 During the year ended 31 March 2026, consequent to certain technical challenges in product development, the Company decided to discontinue development of conjugated estrogen at its site in Middleburgh, New York. Consequent to discontinuance of development, the Company recorded the following financial impacts in the Company’s Global Generic segment, resulting in a net loss of Rs.47 million:

- Impairment loss of the entire carrying value of Rs.535 million for property, plant and equipment;
- Inventory related provisions of Rs.260 million;
- Other development program related wind down costs of Rs.129 million;
- Gain recognized under Other Income, net from the write back of liabilities no longer required of Rs.877 million.

 

  

 

 

 

 

 

7 “Other income, net” includes:
a. Rs. 1,400 million recognised pursuant to settlement of product related litigations representing payment for avoided litigation costs by the Company and its affiliates in the United States and the United Kingdom during the year ended 31 March 2026.
b. Gain on sale of non-current assets, net amounting to Rs. 1,890 million towards divestment of certain product related intangibles i.e., trademarks during the quarter ended 31 March 2026.

 

8 During the year ended 31 March 2026, based on a final order received from the Federal Tax Service authority in respect of one of its foreign subsidiaries, based on its estimate the Company had recorded a VAT provision of Rs. 1,836 million (including provision of Rs.1,141 million recorded during the quarter ended 31 March 2026) under “Selling, general and administrative expenses” including applicable interest and penalties and covering the periods both under audit as well as subsequent period up to 31 March 2026.

The Company believes that the likelihood of any further liability that may arise on account of this field tax audit is not probable. This transaction pertains to Company’s Global Generics segment.

 

9 The Company considered the on-going uncertainties relating to geo-political conflicts (including Russia, Ukraine and the Middle East) in assessing the recoverability of receivables, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions.

 

10 The figures for the quarter ended 31 March 2026 are the balancing figures between audited figures in respect of the full financial year and the published unaudited year to date figures up to the third quarter of the relevant financial year, which were subject to limited review.

 

   By order of the Board
   For Dr. Reddy’s Laboratories Limited
   
   
 Place: Hyderabad  G V Prasad
 Date:  22 July 2026  Co-Chairman & Managing Director
 

DIN: 00057433

 

 

 

 

EX-99.4 5 rdy0925_ex99-4.htm EXHIBIT 99.4

 

Exhibit 99.4 

  

 

THE SKYVIEW 10

18th Floor, NORTH LOBBY

Survey No. 83/1, Raidurgam

Hyderabad - 500 032, India

Tel: +91 40 6141 6000

 

Independent Auditor’s Review Report on the Quarterly Unaudited Consolidated Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

 

Review Report to

The Board of Directors of

Dr. Reddy’s Laboratories Limited

 

1. We have reviewed the accompanying Statement of Unaudited Consolidated Financial Results of Dr. Reddy’s Laboratories Limited (the “Holding Company”) and its subsidiaries (the Holding Company and its subsidiaries together referred to as “the Group”), its associates and joint ventures for the quarter ended June 30, 2026 (the “Statement”) attached herewith, being submitted by the Holding Company pursuant to the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the “Listing Regulations”).

 

2. The Holding Company’s Management is responsible for the preparation of the Statement in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, (Ind AS 34) “Interim Financial Reporting” prescribed under Section 133 of the Companies Act, 2013 as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations. The Statement has been approved by the Holding Company’s Board of Directors. Our responsibility is to express a conclusion on the Statement based on our review.

 

3. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

 

We also performed procedures in accordance with the Master Circular issued by the Securities and Exchange Board of India under Regulation 33(8) of the Listing Regulations, to the extent applicable.

 

4. The Statement includes the results of the following entities:

 

Holding Company:

 

Dr. Reddy’s Laboratories Limited

 

Subsidiaries:

 

1. Aurigene Discovery Technologies (Malaysia) Sdn. Bhd.
2. Aurigene Oncology Limited
3. Aurigene Pharmaceutical Services Limited
4. beta Institut gemeinnützige GmbH
5. betapharm Arzneimittel GmbH
6. Cheminor Investments Limited

 

 

 

S.R. Batliboi & Associates LLP, a Limited Liability Partnership with LLP Identity No. AAB-4295

Regd. Office: 22, Camac Street, Block B, 3rd Floor, Kolkata-700 016

 

 

 

 

 

7. Dr. Reddy’s Farmaceutica Do Brasil Ltda.
8. Dr. Reddy’s Laboratories (EU) Limited
9. Dr. Reddy’s Laboratories (Proprietary) Limited
10. Dr. Reddy’s Laboratories (UK) Limited
11. Dr. Reddy’s Laboratories Canada, Inc.
12. Dr. Reddy’s Laboratories Chile SPA
13. Dr. Reddy’s Laboratories Inc.
14. Dr. Reddy’s Laboratories Japan KK
15. Dr. Reddy’s Laboratories Kazakhstan LLP
16. Dr. Reddy’s Laboratories Malaysia Sdn. Bhd.
17. Dr. Reddy’s Laboratories New York, LLC
18. Dr. Reddy’s Laboratories Philippines Inc.
19. Dr. Reddy’s Laboratories Romania SRL
20. Dr. Reddy’s Laboratories SA
21. Dr. Reddy’s Laboratories Taiwan Limited
22. Dr. Reddy’s Laboratories (Thailand) Limited
23. Dr. Reddy’s Laboratories LLC, Ukraine
24. Dr. Reddy’s New Zealand Limited
25. Dr. Reddy’s SRL
26. Dr. Reddy’s Bio-Sciences Limited
27. Dr. Reddy’s Laboratories (Australia) Pty. Limited
28. Dr. Reddy’s Laboratories SAS
29. Dr. Reddy’s Netherlands B.V.
30. Dr. Reddy’s (Beijing) Pharmaceutical Co. Limited
31. DRL Impex Limited
32. Dr. Reddy’s Formulations Limited
33. Idea2Enterprises (India) Pvt. Limited
34. Imperial Owners and Land Possessions Private Limited
35. Industrias Quimicas Falcon de Mexico, S.A. de CV
36. Lacock Holdings Limited
37. Dr. Reddy’s Laboratories LLC, Russia
38. Promius Pharma LLC
39. Reddy Holding GmbH
40. Reddy Netherlands B.V.
41. Reddy Pharma Iberia SAU
42. Reddy Pharma Italia S.R.L.
43. Reddy Pharma SAS
44. Svaas Wellness Limited (ceased to be step subsidiary w.e.f April 07, 2026)
45. Nimbus Health GmbH
46. Dr. Reddy’s Laboratories Jamaica Limited
47. Dr. Reddy’s and Nestle Health Science Limited
48. Northstar Switzerland SARL
49. North Star OpCo Limited
50. North Star Sweden AB
51. Dr. Reddy’s Denmark ApS
52. Dr. Reddy’s Finland Oy
53. Dr. Reddy’s Laboratories (Vietnam) Company Limited

 

 

 

 

 

 

Associates:

 

1. O2 Renewabale Energy IX Private Limited
2. Clean Renewable Energy KK 2A Private Limited

  

Joint Venture:

 

1. DRES Energy Private Limited
2. Kunshan Rotam Reddy Pharmaceutical Co. Limited (Including Kunshan Rotam Reddy Medicine Company Limited)

 

Other Consolidating Entities:

 

1. Dr Reddy’s Employees ESOS Trust
2. Cheminors Employees Welfare Trust
3. Dr. Reddy’s Research Foundation

 

 

5. Based on our review conducted and procedures performed as stated in paragraph 3 above, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with recognition and measurement principles laid down in the aforesaid Indian Accounting Standards (‘Ind AS’) specified under Section 133 of the Companies Act, 2013, as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of the Listing Regulations, including the manner in which it is to be disclosed, or that it contains any material misstatement.

 

 

For S.R. Batliboi & Associates LLP

Chartered Accountants

ICAI Firm registration number: 101049W/E300004

 

   

per Shankar Srinivasan

Partner

Membership No.: 213271

 

UDIN: 26213271WECXGO5648

 

Place: Hyderabad

Date: July 22, 2026

 

 

 

 

 

Dr. Reddys Laboratories Ltd.

8-2-337, Road No. 3, Banjara Hills,

Hyderabad - 500 034, Telangana,

India.

CIN : L85195TG1984PLC004507

 

Tel     :+91 40 4900 2900

Fax     :+91 40 4900 2999

Email :mail@drreddys.com

www.drreddys.com

 

DR. REDDY’S LABORATORIES LIMITED

STATEMENT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER ENDED 30 JUNE 2026

 

        Quarter ended     Year ended  
    30.06.2026     31.03.2026     30.06.2025     31.03.2026  
Sl. No.   Particulars   (Unaudited)     (Audited)     (Unaudited)     (Audited)  
                             
1   Revenue from operations                                
    a) Sales     78,608       72,957       82,666       326,213  
    b) License fees and service income     2,097       2,205       2,786       9,720  
    c) Other operating income     293       302       269       1,069  
                                     
    Total revenue from operations     80,998       75,464       85,721       337,002  
2   Other income     3,547       4,754       2,903       13,584  
3   Total income (1 + 2)     84,545       80,218       88,624       350,586  
                                     
4   Expenses                                
    a) Cost of materials consumed     16,538       11,986       20,358       65,012  
    b) Purchase of stock-in-trade     19,738       16,577       12,159       61,616  
    c) Changes in inventories of finished goods, work-in-progress and stock-in-trade     (2,425 )     3,564       (4,442 )     (4,236 )
    d) Employee benefits expense     16,516       14,468       15,035       59,909  
    e) Depreciation and amortisation expense     5,366       5,571       4,761       20,588  
    f) Impairment of non-current assets, net     15       2,575       -       3,518  
    g) Finance costs     1,255       1,057       830       3,738  
    h) Other expenses     22,017       22,469       20,875       86,648  
    Total expenses     79,020       78,267       69,576       296,793  
5   Profit before tax and share of equity accounted investees (3 - 4)     5,525       1,951       19,048       53,793  
6   Share of profit of equity accounted investees, net of tax     8       46       2       134  
7   Profit before tax (5+6)     5,533       1,997       19,050       53,927  
8   Tax expense/(benefit):                                
    a) Current tax     1,575       (237 )     10,261       13,945  
    b) Deferred tax     (398 )     21       (5,310 )     (1,594 )
9   Net profit after taxes and share of profit of associates (7 - 8)     4,356       2,213       14,099       41,576  
10   Net profit after taxes attributable to                                
    a) Equity shareholders of the parent company     4,443       2,209       14,181       41,960  
    b) Non-controlling interests     (87 )     4       (82 )     (384 )
11   Other comprehensive income/(loss)                                
    a) (i) Items that will not be reclassified subsequently to profit or loss     (7 )     168       5       143  
    (ii) Income tax relating to items that will not be reclassified to profit or loss     2       (56 )     -       (56 )
    b) (i) Items that will be reclassified subsequently to profit or loss     1,888       2,167       2,077       6,916  
    (ii) Income tax relating to items that will be reclassified to profit or loss     (333 )     179       (33 )     392  
    Total other comprehensive income/(loss)     1,550       2,458       2,049       7,395  
    Total comprehensive income (9 + 11)     5,906       4,671       16,148       48,971  
12   Total comprehensive income attributable to                                
    a) Equity shareholders of the parent company     5,993       4,667       16,230       49,355  
    b) Non-controlling interest     (87 )     4       (82 )     (384 )
13   Paid-up equity share capital (face value Re. 1/- each)     835       835       835       835  
14   Other equity                             378,080  
15   Earnings per equity share attributable to equity shareholders of parent(face value Re. 1/- each)                                
    Basic     5.33       2.65       17.04       50.41  
    Diluted     5.33       2.65       17.02       50.35  
          (Not annualised)       (Not annualised)       (Not annualised)          

 

See accompanying notes to the financial results

 

   

 

 

 

 

DR. REDDY’S LABORATORIES LIMITED  

 

Segment information

 

        Quarter ended     Year ended  
    30.06.2026     31.03.2026     30.06.2025     31.03.2026  
Sl. No.   Particulars   (Unaudited)     (Audited)     (Unaudited)     (Audited)  
    Segment wise revenue and results:                                
1   Segment revenue :                                
    a) Global Generics     72,083       65,925       75,732       299,460  
    b) Pharmaceutical Services and Active Ingredients     10,730       11,247       9,874       42,672  
    c) Others     193       243       1,643       2,140  
    Total     83,006       77,415       87,249       344,272  
    Less: Inter-segment revenue     2,008       1,951       1,528       7,270  
    Total revenue from operations     80,998       75,464       85,721       337,002  
2   Segment results:                                
    Gross profit from each segment                                
    a) Global Generics     37,127       31,768       46,086       169,696  
    b) Pharmaceutical Services and Active Ingredients     386       1,849       1,087       6,002  
    c) Others     36       74       1,459       1,581  
    Total     37,549       33,691       48,632       177,279  
    Less: Selling and other un-allocable expenditure/(income), net     32,016       31,694       29,582       123,352  
    Total profit before tax     5,533       1,997       19,050       53,927  

 

Global Generics includes operations of Biologics business. Inter-segment revenue represents sales from Pharmaceutical Services and Active Ingredients to Global Generics and Others at cost.

 

Segmental capital employed

As certain assets of the Company including manufacturing facilities, development facilities and treasury assets and liabilities are often deployed interchangeably across segments, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.

 

Notes:

1 The above statement of unaudited consolidated financial results of Dr. Reddy’s Laboratories Limited (“the parent company”), together with its subsidiaries (collectively, “the Company”) joint ventures and associates, have been prepared in accordance with the Indian Accounting Standards (“Ind AS”) prescribed under section 133 of Companies Act,2013 (“the Act”) read with relevant rules issues thereunder, other accounting principles generally accepted in India and guidelines issued by the Securities and Exchange Board of India (“SEBI”) were reviewed and recommended by Audit Committee and approved by the Board of Directors at their meetings held on 22 July 2026. Thc Statulory Auditors have carried out a limited review on the unaudited consolidated financial results and issued an unmodified report thereon.

 

2 Certain batches of Semaglutide were found to be out of specification due to an issue associated with the active pharmaceutical ingredient (API) used in the product. Consequently, based on its best estimate, the Company has made a provision of Rs.2,397 million towards inventory and other associated costs during the quarter ended 30 June 2026.

 

3 During the quarter ended 31 March 2026, consequent to the resolution of a shelf stock adjustment claim arising from reduction in price of its generic product Lenalidomide in the United States, the Company has recorded an amount of Rs. 4,530 million (USD 50 million) as a reduction from “Revenue from operations” in the Company’s Global Generics Segment.

 

4

During the quarter ended 31 March 2026, the Company decided to discontinue some of its R&D programs associated with Chimeric Antigen Receptor T-cell (CAR-T) therapy portfolio in light of the development status and clinical trail outcomes. Consequent to this decision, the Company has recognized a net loss of Rs.1,350 million in the Company’s Global Generic segment, comprising of:

a. Impairment of non-current assets of Rs. 1,291 million (i.e., towards Property, plant and equipment, other Intangible assets and Right to use assets ) and

b. Other development program related wind down cost under “Other expenses” of Rs. 59 million.

 

5 During the quarter ended 31 March 2026, the Company has recorded an impairment loss of Rs.914 million (USD 10 million) consequent to discontinuation of the Phase III study in first line non-small cell lung cancer conducted by Immutep Limited following the results of the futility analysis. This transaction pertains to Company’s Global Generics segment.

 

6 During the year ended 31 March 2026, consequent to certain technical challenges in product development, the Company decided to discontinue development of conjugated estrogen at its site in Middleburgh, New York.Consequent to discontinuance of development, the Company recorded the following financial impacts in the Company’s Global Generic segment, resulting in a net loss of Rs.934 million in the consolidated financial results

- Impairment loss of the entire carrying value of Rs.545 million for property, plant and equipment;

- Inventory related provisions of Rs.260 million;

- Other development program related wind down costs of Rs.129 million;

 

7 Other income includes:

a. Rs. 1,400 million recognised prusuant to settlement of product related litigations representing payment for avoided litigation costs by the Company and its affiliates in the United States and the United Kingdom during the year ended 31 March 2026.

b. Gain on sale of non-current assets, net amounting to Rs. 1,890 million towards divestment of certain product related intangibles i.e., trademarks during the quarter ended 31 March 2026.

 

   

 

 

 

 

DR. REDDY’S LABORATORIES LIMITED  

 

8 During the year ended 31 March 2026 based on a final order received from the Federal Tax Service authority in respect of one of its foreign subsidiaries, based on its estimate, the Company had recorded a VAT provision of Rs.1,836 million (including provision of Rs.1,141 million recorded during the quarter ended 31 March 2026) under “Other expenses” including applicable interest and penalties and covering the periods both under audit as well as subsequent period up to 31 March 2026.

 

The Company believes that the likelihood of any further liability that may arise on account of this field tax audit is not probable. This transaction pertains to Company’s Global Generics segment.

 

9 The Company considered the on-going uncertainties relating to geo-political conflicts (including Russia, Ukraine and the Middle East) in assessing the recoverability of receivables, goodwill, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions.

 

10 The figures for the quarter ended 31 March 2026 are the balancing figures between audited figures in respect of the full financial year and the published unaudited year to date figures upto the third quarter of the relevant financial year, which were subject to limited review.

 

   
   
  By order of the Board
  For Dr. Reddy’s Laboratories Limited
   
 
   
Place: Hyderabad G V Prasad
Date: 22 July 2026 Co-Chairman & Managing Director

 

 

 

 

 

 

 

 

 

 

EX-99.5 6 rdy0925_ex99-5.htm EXHIBIT 99.5

 

Exhibit 99.5 

 

 

THE SKYVIEW 10

18th Floor, “NORTH LOBBY”

Survey No. 83/1, Raidurgam

Hyderabad - 500 032, India

 

Tel : +91 40 6141 6000

 

Independent Auditor’s Review Report on the Quarterly Unaudited Standalone Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

 

Review Report to

The Board of Directors

Dr. Reddy’s Laboratories Limited

 

1. We have reviewed the accompanying statement of unaudited standalone financial results of Dr. Reddy’s Laboratories Limited (the “Company”) for the quarter ended 30 June 2026 (the “Statement”) attached herewith, being submitted by the Company pursuant to the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the “Listing Regulations”).

 

2. The Company’s Management is responsible for the preparation of the Statement in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, (Ind AS 34) “Interim Financial Reporting” prescribed under Section 133 of the Companies Act, 2013 as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations. The Statement has been approved by the Company’s Board of Directors. Our responsibility is to express a conclusion on the Statement based on our review.

 

3. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

 

4. Based on our review conducted as above, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standards (‘Ind AS’) specified under Section 133 of the Companies Act, 2013 as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of the Listing Regulations, including the manner in which it is to be disclosed, or that it contains any material misstatement.

 

S.R. BATLIBOI & ASSOCIATES LLP

Chartered Accountants

ICAI Firm registration number: 101049W/E300004

 

per Shankar Srinivasan

Partner

Membership No.:213271

UDIN: 26213271UIZJGF2392

Place: Hyderabad

Date: July 22, 2026

 

S.R. Batliboi & Associates LLP, a Limited Liability Partnership with LLP Identity No. AAB-4295

Regd. Office : 22, Camac Street, Block ‘B’, 3rd Floor, Kolkata-700 016

  

 

 

 

 

Dr. Reddy’s Laboratories Ltd.

8-2-337, Road No. 3, Banjara Hills,

Hyderabad - 500 034, Telangana,

India.

CIN : L85195TG1984PLC004507

 

Tel     :+91 40 4900 2900

Fax     : +91 40 4900 2999

Email :mail@drreddys.com

www.drreddys.com

 

DR. REDDY’S LABORATORIES LIMITED

STATEMENT OF UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER ENDED 30 JUNE 2026

 

All amounts in Indian Rupees millions

        Quarter ended     Year ended  
        30.06.2026     31.03.2026     30.06.2025     31.03.2026  
Sl. No.   Particulars   (Unaudited)     (Audited)     (Unaudited)     (Audited)  
                             
1   Revenue from operations                                
    a) Sales     50,517       37,197       77,520       201,022  
    b) License fees and service income     633       829       367       3,584  
    c) Other operating income     216       194       208       722  
    Total revenue from operations     51,366       38,220       78,095       205,328  
                                     
2   Other income     4,404       5,672       3,983       16,896  
                                     
    Total income (1 + 2)     55,770       43,892       82,078       222,224  
                                     
3   Expenses                                
    a) Cost of materials consumed     13,056       11,212       11,355       43,325  
    b) Purchase of stock-in-trade     9,022       4,790       6,638       26,358  
    c) Changes in inventories of finished goods, work-in-progress and stock-in-trade     (520 )     1,162       (2,129 )     (2,305 )
    d) Employee benefits expense     9,670       8,345       8,873       35,499  
    e) Depreciation and amortisation expense     3,177       3,185       2,798       12,074  
    f) Impairment of non current assets, net     15       1,211       -       1,405  
    g) Finance costs     731       543       192       1,483  
    h) Other expenses     15,649       16,499       14,988       61,872  
                                     
    Total expenses     50,800       46,947       42,715       179,711  
                                     
4   Profit/(loss) before tax (1 + 2 - 3)     4,970       (3,055 )     39,363       42,513  
                                     
5   Tax expense/(benefit)                                
    a) Current tax     501       (1,147 )     9,417       9,177  
    b) Deferred tax     422       286       334       1,139  
                                     
6   Net profit/(loss) for the period/year (4 - 5)     4,047       (2,194 )     29,612       32,197  
                                     
7   Other comprehensive income                                
    a) (i) Items that will not be reclassified to profit or loss     -       134       -       134  
    (ii) Income tax relating to items that will not be reclassified to profit or loss     -       (34 )     -       (34 )
    b) (i) Items that will be reclassified to profit or loss     1,325       (854 )     248       (1,698 )
    (ii) Income tax relating to items that will be reclassified to profit or loss     (333 )     214       (63 )     427  
    Total other comprehensive income/(loss)     992       (540 )     185       (1,171 )
8   Total comprehensive income/(loss) (6 + 7)     5,039       (2,734 )     29,797       31,026  
                                     
9   Paid-up equity share capital (face value Re. 1/- each)     835       835       835       835  
                                     
10   Other equity                             312,821  
                                     
11   Earnings per equity share (face value Re. 1/- each)                                
    Basic     4.86       (2.63 )     35.59       38.68  
    Diluted     4.86       (2.63 )     35.54       38.64  
          (Not annualised)       (Not annualised)       (Not annualised)          

 

See accompanying notes to the financial results.

 

 

 

 

 

 

 

 

DR. REDDY’S LABORATORIES LIMITED

 

Segment information

        Quarter ended     Year ended  
      30.06.2026     31.03.2026     30.06.2025     31.03.2026  
Sl. No.   Particulars   (Unaudited)     (Audited)     (Unaudited)     (Audited)  
    Segment wise revenue and results                        
1   Segment revenue                        
    a) Global Generics     45,777       31,487       72,241       182,027  
    b) Pharmaceutical Services and Active Ingredients     7,449       8,350       7,103       29,750  
    c) Others     107       130       257       464  
    Total     53,333       39,967       79,601       212,241  
                                     
    Less: Inter-segment revenue     1,967       1,747       1,506       6,913  
    Total revenue from operations     51,366       38,220       78,095       205,328  
                                     
2   Segment results                                
    Profit/(loss) before tax and interest from each segment                                
    a) Global Generics     5,642       (3,141 )     38,387       43,716  
    b) Pharmaceutical Services and Active Ingredients     (1,716 )     67       (221 )     (883 )
    c) Others     60       147       226       494  
    Total     3,986       (2,927 )     38,392       43,327  
                                     
    Less: (i) Finance costs     731       543       192       1,483  
    (ii) Other un-allocable (income)/expenditure, net     (1,715 )     (415 )     (1,163 )     (669 )
    Total profit/(loss) before tax     4,970       (3,055 )     39,363       42,513  

 

Global Generics includes operations of Biologics business. Inter-segment revenue represents sale from Pharmaceutical Services and Active Ingredients to Global Generics at cost.

 

Segmental capital employed

As certain assets of the Company including manufacturing facilities, development facilities and treasury assets and liabilities are often deployed interchangeably across segments, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.

 

Notes:

1 The above statement of unaudited standalone financial results of Dr. Reddy’s Laboratories Limited (“the Company”), which have been prepared in accordance with the Indian Accounting Standards (“Ind AS”) prescribed under Section 133 of the Companies Act, 2013 (“the Act”) read with relevant rules issued thereunder, other accounting principles generally accepted in India and guidelines issued by the Securities and Exchange Board of India (“SEBI”) were reviewed and recommended by the Audit Committee and approved by the Board of Directors at their meetings held on 22 July 2026. The Statutory Auditors have carried out a limited review on the unaudited standalone financial results and issued unmodified report thereon.

 

2 Certain batches of Semaglutide were found to be out of specification due to an issue associated with the active pharmaceutical ingredient (API) used in the product. Consequently, based on its best estimate, the Company has made a provision of Rs.2,397 million towards inventory and other associated costs during the quarter ended 30 June 2026.

 

3 Revenue from sale of goods for the quarter ended 31 March 2026 includes the consequential impact of reduction in selling price of Lenalidomide product in the United States of USD 50 million. This transaction pertains to the Company’s Global Generics segment.

 

4 During the quarter ended 31 March 2026, the Company decided to discontinue certain of its R&D programs associated with Chimeric Antigen Receptor T-cell (CAR-T) therapy portfolio in light of development status and clinical trial outcomes. Consequent to this decision, the Company has recognized a net loss of Rs. 1,350 million in the Company’s Global Generics segment, comprising of :

a. Impairment of non-current assets of Rs. 1,135 million (i.e., towards Property, plant and equipment, Intangibles and Right of use assets),
b. Research and development cost reimbursment to subsidiary of Rs.198 million and
c. Other development program related wind down cost of Rs. 17 million.

 

 

 

 

 

 

 

 

 

DR. REDDY’S LABORATORIES LIMITD

 

5 “Other income” for the quarter ended 31 March 2026 includes gain on sale of non-current assets, net of Rs. 1,890 million towards divestment of certain product related intangibles i.e., trademarks.

 

6 During the year ended 31 March 2026 based on a final order received from the Federal Tax Service authority in respect of one of its foreign subsidiaries, based on its estimate, the Company had recorded a VAT provision of Rs.1,836 million (including provision of Rs.1,141 million recorded during the quarter ended 31 March 2026) under “Other expenses” including applicable interest and penalties and covering the periods both under audit as well as subsequent period up to 31 March 2026.

 

The Company believes that the likelihood of any further liability that may arise on account of this field tax audit is not probable.This transaction pertains to the Company’s Global Generics segment.

 

7 The Company considered the on-going uncertainties relating to geo-political conflicts (including in Russia, Ukraine and the Middle East) in assessing the recoverability of receivables, goodwill, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions.

 

8 The figures for the quarter ended 31 March 2026 are the balancing figures between audited figures in respect of the full financial year and the published unaudited year to date figures up to the third quarter of the relevant financial year, which were subject to limited review.

 

    By order of the Board
    For Dr. Reddy’s Laboratories Limited
     
Place:  Hyderabad G V Prasad
Date: 22 July 2026  
    Co-Chairman & Managing Director