Dr Reddy’s Lab (DRRD) delivered in-line 2QFY25 performance. DRRD exhibited robust YoY growth in North America (NA), Russia, and ROW markets and a healthy scale-up in the pharmaceutical services and active ingredients segment.

KEC International Ltd (KECI)’s results were a mixed bag with in-line revenue being offset by a PAT miss. Revenue growth could have been higher; however, it was impacted by labor shortage and heavy monsoons in certain states.

Cipla’s revenue was largely in-line with our estimates (-2.0%), EBITDA was in-line (+0.2%) and Adj. PAT beat our estimates (+3.4%) due to lower-than-expected finance costs and higher-than-expected other income.

IGL indicated near-term increase of Rs 5-6/kg due to loss of APM gas allocation for CNG segment and confirms need for price increase

Goa plant receiving VAI likely to speed up gAbraxane launch in FY25E. In its 2QFY25 earnings call CIPLA said this would be delayed to H1FY27

Laxmi Organic’s revenue beat our estimates significantly due to strong double digit volume growth. EBITDA beat our estimates significantly due to higher-than-expected gross profit.
We increase our FY26E EPS estimates to INR 8.2 (previously: INR 7.8) as we believe favourable geographical mix and product mix will continue supported by the Specialty segment and demand in industrial solutions and pharma segments remains steady.