Dr Reddy's profit rises marginally to Rs 1 410 cr in Jun qtr

     New Delhi, Jul 23 (PTI) Dr Reddy's Laboratories on Wednesday reported a marginal increase in consolidated net profit to Rs 1,410 crore in the June quarter, aided by sustained growth in Europe and India.
     The Hyderabad-based drug major posted a net profit of Rs 1,392 crore in the year-ago period.
     Consolidated revenue rose 11 per cent to Rs 8,545 crore in the period under review from Rs 7,673 crore a year earlier.
     "We delivered double-digit growth this quarter over the same period last year, reflecting our strength in branded markets and positive momentum in the Nicotine Replacement Therapy portfolio," Dr Reddy's Co-Chairman & MD G V Prasad said.
     The pricing pressure on Lenalidomide is expected to intensify in the US generics market, he noted.
     "We remain focused on strengthening our base business by delivery of our pipeline assets, improving overall productivity and business development," Prasad said.
     The company noted that growth during the quarter was broad-based, aided by contributions from the acquired consumer healthcare portfolio in nicotine replacement therapy (NRT) and sustained performance in the company's branded markets.
     In the North American market, its revenue declined by 11 per cent year-on-year to Rs 3,412 crore in the June quarter as compared with Rs 3,846 crore in the year-ago period.
     The decline was primarily due to increased price erosion in certain key products, including Lenalidomide, it stated.
     In Europe, the company reported a revenue of Rs 1,274 crore for the first quarter as compared with Rs 526 crore in the year-ago period.
     The growth in Europe was largely driven by revenues from the acquired NRT portfolio and incremental contributions from new product launches, though partly offset by price erosion, it stated.
     In India, revenue stood at Rs 1,471 crore against Rs 1,325 crore, a growth of 11 per cent year-on-year.
     Growth for the quarter was driven by introduction of new products, price increases and commercial execution, Dr Reddy's said.
     Shares of the company ended 0.58 per cent up at Rs 1,247.55 apiece on the BSE.

(This story has not been edited by THE WEEK and is auto-generated from PTI)