Dr Reddy’s Labs Q3 Results: Dr Reddy’s Laboratories (DRL) on Wednesday, January 21, posted a 14% decline in the consolidated net profit during the third quarter of the financial year 2025-26 (Q3FY26).
The pharma major, part of the Nifty 50 index, said its net profit stood at ₹1209.8 crore in Q3 FY26 as against ₹1413.3 crore in the same period a year ago. However, analysts, on average, had estimated profit to fall to ₹1070 crore, as per data compiled by LSEG, showed a Reuters report.
Its revenue from operations rose 4.4% to ₹8726.8 crore in the quarter under review compared with ₹8358.6 crore in Q3FY25.
On the operating front, Dr Reddy’s Labs’ EBITDA declined 10.8% YoY to ₹2049.3 crore. The gross margins moderated to 53.6% in Q3FY26 from 58.7% in Q3FY25 and 54.7% in Q2FY26, according to the press release.
Region-wise Revenue Breakdown
Growth was broad-based across key markets, except for North America Generics, which reported a decline primarily on account of lower Lenalidomide sales, the company said. Growth was further aided by favourable foreign exchange rate movements.
Overall, global generics revenue in Q3FY26 was at ₹1,791 crore, a growth of7% YoY and 1% sequentially. North America Generics, the biggest revenue contributor, saw a 12% decline in revenue while other regions like Europe, India and emerging markets reported 20%, 19% and 32% growth, respectively.
The Pharmaceutical Services and Active Ingredients (PSAI) segment reported a 2% YoY decline in revenue to ₹800 crore.
