DRL posts Q2 FY17 and H1FY17 results

In Q2 FY17, EBITDA is at Rs 6.4 billion and profit after tax at Rs 2.9 billion

Dr Reddy’s Laboratories (DRL) announced its consolidated financial results for the second quarter and half year ended September 30, 2016 under International Financial Reporting Standards (IFRS).

In Q2 FY17, the company has posted revenues at Rs 35.9 billion, showing QoQ growth of 11 per cent and a YoY decline of 10 per cent. The gross profit margin is at 56 per cent. Research & Development (R&D) spend is at Rs 5.2 billion, selling, general and administrative (SG&A) expenses at Rs 11.8 billion, showing an YoY increase of six per cent. EBITDA is at Rs 6.4 billion and profit after tax at Rs 2.9 billion.

In H1 FY17, the revenue is at Rs 68.2 billion, showing a YoY decline of 12 per cent. The gross profit margin is at 56.1 per cent. Research & Development spend is at Rs 10 billion, SG&A expenses at Rs 24.1 billion, showing a YoY increase of nine per cent, EBITDA at Rs 10.4 billion and profit after tax at Rs 4.2 billion.

GV Prasad, Co-chairman and CEO, said, “All our major businesses have shown sequential improvement over the previous quarter with revenues growing by 11 per cent and EBITDA by 61 per cent. We have made considerable progress in our remediation efforts and continue to work on addressing the concerns of the regulators. Looking ahead we will continue to focus on launching new products in our generics business, improving productivity and strengthening our quality management systems.”

DRLEBITDAGV Prasad