Full Press Release Details
| DR. REDDY S LABORATORIES LTD. 8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500034. Telangana, India. | CONTACT | ||
| INVESTOR RELATIONS | MEDIA RELATIONS | ||
| KEDAR UPADHYE kedaru@drreddys.com (Ph: +91-40-66834297) | CALVIN PRINTER calvinprinter@drreddys.com (Ph: +91-40- 49002121) |
Dr. Reddy s Q3 and 9M FY16 Financial Results
Hyderabad, India, February 9, 2016: Dr. Reddy s Laboratories Ltd. (NYSE: RDY | BSE:
500124 | NSE: DRREDDY) today announced its consolidated financial results for the quarter ended December 31, 2015 under International Financial Reporting Standards (IFRS).
Q3 FY16: Key Highlights
9M FY16: Key Highlights
Commenting on the company s third quarter results, Co-chairman and CEO, G V
Prasad said Despite multiple challenges we have had a satisfactory quarter in terms of our financial performance. All of our key markets continue to perform well and show healthy growth. However, our performance has been impacted due to
adverse macro-economic conditions across key emerging market territories. The two approvals and one tentative approval of our NDAs in the very first review cycle has been a positive development and lays the foundation for building a strong and
sustainable proprietary products business. Enhancing our quality management practices and meeting the US FDA expectations continues to be our highest priority.
Dr. Reddy s Laboratories Limited and Subsidiaries
Consolidated Income Statement
| Particulars | Q3 FY 16 | Q3 FY 15 | Growth % | |||||||||||||||||||||||||
| ($) | (Rs.) | % | ($) | (Rs.) | % | |||||||||||||||||||||||
| Revenues | 599 | 39,679 | 100.0 | 581 | 38,431 | 100.0 | 3 | |||||||||||||||||||||
| Cost of revenues | 243 | 16,089 | 40.5 | 243 | 16,079 | 41.8 | 0 | |||||||||||||||||||||
| Gross profit | 356 | 23,590 | 59.5 | 338 | 22,352 | 58.2 | 6 | |||||||||||||||||||||
| Operating Expenses | ||||||||||||||||||||||||||||
| Selling, general & administrative expenses | 182 | 12,039 | 30.3 | 168 | 11,151 | 29.0 | 8 | |||||||||||||||||||||
| Research and development expenses | 62 | 4,095 | 10.3 | 65 | 4,316 | 11.2 | (5 | ) | ||||||||||||||||||||
| Other operating expense / (income) | (2 | ) | (122 | ) | (0.3 | ) | (5 | ) | (341 | ) | (0.9 | ) | (64 | ) | ||||||||||||||
| Results from operating activities | 114 | 7,578 | 19.1 | 109 | 7,226 | 18.8 | 5 | |||||||||||||||||||||
| Finance expense / (income), net | 1 | 62 | 0.2 | (15 | ) | (1,013 | ) | (2.6 | ) | NA | ||||||||||||||||||
| Share of profit of equity accounted investees, net of income tax | (1 | ) | (64 | ) | (0.2 | ) | (1 | ) | (47 | ) | (0.1 | ) | 38 | |||||||||||||||
| Profit before income tax | 115 | 7,580 | 19.1 | 125 | 8,286 | 21.6 | (9 | ) | ||||||||||||||||||||
| Income tax expense | 27 | 1,788 | 4.5 | 38 | 2,541 | 6.6 | (30 | ) | ||||||||||||||||||||
| Profit for the period | 88 | 5,792 | 14.6 | 87 | 5,745 | 15.0 | 1 | |||||||||||||||||||||
| Diluted EPS | 0.51 | 33.86 | 0.51 | 33.61 | 1 |
| Particulars | Q3 FY 16 | Q3 FY 15 | ||||||||||||||
| ($) | (Rs.) | ($) | (Rs.) | |||||||||||||
| Profit before tax | 115 | 7,580 | 125 | 8,286 | ||||||||||||
| Interest (income) / expense net* | (4 | ) | (236 | ) | (5 | ) | (347 | ) | ||||||||
| Depreciation | 25 | 1,685 | 22 | 1,462 | ||||||||||||
| Amortization | 13 | 892 | 9 | 579 | ||||||||||||
| Impairment | 3 | 194 | 8 | 534 | ||||||||||||
| EBITDA | 153 | 10,115 | 159 | 10,515 | ||||||||||||
| EBITDA (% to sales) | 25.5 | 27.4 |
Key Balance Sheet Items
| Particulars | As on 31 st Dec 15 | As on 30 th Sep 15 | ||||||||||||||
| ($) | (Rs.) | ($) | (Rs.) | |||||||||||||
| Cash and cash equivalents and Other current Investments | 575 | 38,028 | 514 | 34,050 | ||||||||||||
| Trade receivables | 633 | 41,904 | 647 | 42,840 | ||||||||||||
| Inventories | 403 | 26,689 | 410 | 27,147 | ||||||||||||
| Property, plant and equipment | 797 | 52,736 | 771 | 51,055 | ||||||||||||
| Goodwill and Other Intangible assets | 374 | 24,739 | 365 | 24,155 | ||||||||||||
| Loans and borrowings (current & non-current) | 511 | 33,801 | 560 | 37,072 | ||||||||||||
| Trade payables | 179 | 11,833 | 193 | 12,766 | ||||||||||||
| Equity | 1,944 | 128,681 | 1,836 | 121,499 |
Revenue Mix by Segment
| Particulars | Q3 FY 16 | Q3 FY 15 | Growth % | |||||||||||||||||||||||||
| ($) | (Rs.) | % | ($) | (Rs.) | % | |||||||||||||||||||||||
| Global Generics | 507 | 33,558 | 84 | 473 | 31,335 | 81 | 7 | |||||||||||||||||||||
| North America | 19,417 | 16,462 | 18 | |||||||||||||||||||||||||
| Europe* | 1,937 | 1,702 | 14 | |||||||||||||||||||||||||
| India | 5,805 | 4,328 | 34 | |||||||||||||||||||||||||
| Emerging Markets # | 6,399 | 8,843 | (28 | ) | ||||||||||||||||||||||||
| PSAI | 77 | 5,082 | 13 | 92 | 6,112 | 16 | (17 | ) | ||||||||||||||||||||
| North America | 1,037 | 894 | 16 | |||||||||||||||||||||||||
| Europe | 1,951 | 2,639 | (26 | ) | ||||||||||||||||||||||||
| India | 622 | 948 | (34 | ) | ||||||||||||||||||||||||
| Rest of World | 1,472 | 1,631 | (10 | ) | ||||||||||||||||||||||||
| Proprietary Products & Others | 16 | 1,039 | 3 | 15 | 984 | 3 | 6 | |||||||||||||||||||||
| Total | 599 | 39,679 | 100 | 581 | 38,431 | 100 | 3 |
Note: Effective Q1 FY 16, there was a change in the monitoring of performance of one product from Global Generics to Proprietary Products.
Consequently, revenues and related costs of this product for the previous periods have been reclassified to conform to such change.
Revenues from Global
Generics segment for Q3 FY16 are at
33.6 billion, year-on-year growth of 7%, primarily driven by North America, Europe and India.
Four new generics filings in the US during the quarter (3 ANDAs and 1 NDA). Cumulatively, 82 generic filings are pending for
approval with the USFDA (79 ANDAs and 3 NDAs under 505(b)(2) route). Of these 79 ANDAs, 52 are Para IVs out of which we believe 18 have First to File status.
Normalizing for contribution from the UCB portfolio, growth of the base business during the quarter is healthy and in line with
Pharmaceutical Services and Active Ingredients (PSAI)
Income Statement Highlights:
Earnings Call Details (06.30 pm IST, February 9, 2016)
The Company will host an earnings call at 06.30 pm IST on February 9, 2016, to discuss the performance and answer any questions from
participants. This call will be accessible through an audio dial-in and a web-cast.
Audio conference Participants can dial-in on the numbers below
| Primary number: | 91 22 3960 0616 | |||||||
| Secondary number: | 91 22 6746 5826 | |||||||
| International Toll Free Number | USA | 18667462133 | ||||||
| UK | 08081011573 | |||||||
| Singapore | 8001012045 | |||||||
| Hong Kong | 800964448 |
| Playback of call: | 91 22 3065 2322, 91 22 6181 3322 | |
| Conference ID: | 375# | |
| Web-cast | More details will be provided through our website, | |
| www.drreddys.com |
Transcript of the event will be available at www.drreddys.com. Playback will be available for a few days.
About Dr. Reddy s: Dr. Reddy s Laboratories Ltd. (NYSE: RDY) is an integrated pharmaceutical company, committed to
providing affordable and innovative medicines for healthier lives. Through its three businesses - Pharmaceutical Services & Active Ingredients, Global Generics and Proprietary Products Dr. Reddy s offers a portfolio of
products and services including APIs, custom pharmaceutical services, generics, biosimilars and differentiated formulations. Our major therapeutic areas of focus are gastro-intestinal, cardiovascular, diabetology, oncology, pain management and
anti-infectives. Dr. Reddy s operates in markets across the globe. Our major markets include USA, Russia & CIS, Venezuela and India. For more information, log on to: www.drreddys.com
Disclaimer: This press release may include statements of future expectations and other forward-looking statements that are based on the
management s current views and assumptions and involve known or unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. In addition to
statements which are forward-looking by reason of context, the words may , will , should , expects , plans , intends , anticipates , believes ,
estimates , predicts , potential , or continue and similar expressions identify forward-looking statements. Actual results, performance or events may differ materially from those in such statements due to
without limitation, (i) general economic conditions such as performance of financial markets, credit defaults , currency exchange rates , interest rates , persistency levels and frequency / severity of insured loss events (ii) mortality
and morbidity levels and trends, (iii) changing levels of competition and general competitive factors, (iv) changes in laws and regulations and in the policies of central banks and/or governments, (v) the impact of acquisitions or
reorganisation , including related integration issues.
The company assumes no obligation to update any information contained herein.