Name: Latest research reports of Dr. Reddy's Laboratories Ltd. authored by JM Financial and published by - Trendlyne research reports.
Item: Dr. Reddy's Laboratories Ltd.
Rating: 1
Author: JM Financial

Dr. Reddy's Laboratories Ltd.

NSE: DRREDDY | BSE: 500124 | ISIN: INE089A01031 | Industry: Pharmaceuticals
| Slowing Down Stock

1107.9500 20.05 (1.84%)

NSE Apr 08, 2025 15:31 PM

New 52W Low in past week

Volume: 1.6M

Dr. Reddy's Laboratories Ltd.

23 May 2018

1107.95

1.84%

Dr Reddys NCD

Sell: Dr. Reddy's Laboratories Ltd.

JM Financial

4QFY18 was a weak operating quarter for Dr Reddy's with Revenues/EBITDA/PAT being 4%/22%/13% below our estimates. Revenues declined 1% YoY to INR 35.3bn mainly driven by the decline in (i) US generics (-6% YoY; -10% QoQ) due to increasing competition in key products, and, (ii) Russia (-25% YoY; -24% QoQ) due to lower off-take by channels. While gross margin improved 230bps YoY to 53.5% (vs. JMFe 54.1%), EBITDA margin declined 83bps YoY to 15.6% (JMFe 19.3%) due to increase in SG&A; expenses (+10% YoY), translating into EBITDA declining 6% YoY to INR 5.5bn (22% miss). PAT declined 3% YoY (10% QoQ) to INR 3.0bn (13% miss), partly benefitting from gains from sale of investments (net finance income of INR 1.0bn in 4QFY18)....

Dr. Reddy's Laboratories Ltd. is trading below all available SMAs