Dr Reddy's Labs Sheds 11% After Profit Falls 1.5% To Rs 570 Crore In June Quarter

Share price of Dr Reddy's Laboratories declined more than 11 per cent on Tuesday, July 27, after the company announced its April-June quarter results for the financial year 2021-22. On Tuesday, Dr Reddy's Labs opened on the BSE at Rs 5,421, inching to an intra day high of Rs 5,445, and an intra day low of Rs 4,786.26, in the trading session so far. The pharmaceutical company reported a net profit of Rs 570.8 crore on a consolidated basis in the first quarter of the current fiscal, down 1.5 per cent compared to Rs 579.3 crore in the year-ago period.

The Hyderabad-based pharma company's revenue from operations increased 11.4 per cent to Rs 4919.4 crore in the Juen quarter, compared to Rs 4,417.6 crore in the corresponding quarter last year.

The company's sales in India jumped 69 per cent to Rs 1,060 crore tracking a low base in the year-ago period. During the quarter, the topline performance of the company was driven by domestic and European operations, according to a regulatory filing by the firm to the stock exchanges.

The earnings before interest, tax, depreciation and amortization (EBITDA) declined 12.3 per cent to Rs 1,019 crore, and the margin slid by 560 bps to 20.7 per cent from the year-ago period.

On the NSE, Dr Reddy's Labs opened at Rs 5,438, and registered an intra day high of Rs 5,444.95 and an intra day low of Rs 4,780, in the session so far. It was last trading 11.61 per cent lower at Rs 4,783.05 on the NSE.

Shares of Dr Reddy Laboratories were last trading 11.37 per cent lower at Rs 4,794.35 on the BSE.