Dr Reddys Laboratories Q2 Results Live : Dr Reddys Laboratories announced its Q2 results on November 5, 2024, revealing a mixed performance. The company’s topline saw a significant increase of 16.45% year-over-year, yet profit fell by 15.28%, indicating challenges in maintaining profitability despite higher revenues.
In comparison to the previous quarter, revenue grew by 4.45%. However, profit experienced a decline of 9.82%, highlighting ongoing pressures on the company’s bottom line. The rise in selling, general, and administrative expenses by 3.5% quarter-over-quarter and 21.37% year-over-year suggests increased operational costs that may be impacting overall profitability.
The operating income also reflected a downward trend, decreasing by 3.99% from the previous quarter and 2.99% year-over-year. Notably, the earnings per share (EPS) for Q2 stood at ₹15.85, which is a stark decrease of 81.27% year-over-year, raising concerns among investors about the company’s earnings capacity.
In terms of market performance, Dr Reddys Laboratories has delivered a -0.2% return over the last week, a 1.65% return over the past six months, and a 9.71% return year-to-date. The company’s current market capitalization is ₹105980.1 crore, with a 52-week high of ₹1421.49 and a low of ₹1063.96.
As of November 6, 2024, analysts remain cautious regarding Dr Reddys Laboratories, with 4 analysts recommending a Strong Sell, 10 suggesting a Sell, 9 advising Hold, 4 recommending Buy, and 6 advocating for Strong Buy. The consensus recommendation is currently to Hold, reflecting a wait-and-see approach as the company navigates its financial challenges.
Dr Reddys Laboratories Financials
| Period | Q2 | Q1 | Q-o-Q Growth | Q2 | Y-o-Y Growth |
|---|---|---|---|---|---|
| Total Revenue | 8038.2 | 7696.1 | +4.45% | 6902.6 | +16.45% |
| Selling/ General/ Admin Expenses Total | 3502.6 | 3384 | +3.5% | 2885.8 | +21.37% |
| Depreciation/ Amortization | 397 | 380.6 | +4.31% | 375.5 | +5.73% |
| Total Operating Expense | 6358.7 | 5946.8 | +6.93% | 5171.4 | +22.96% |
| Operating Income | 1679.5 | 1749.3 | -3.99% | 1731.2 | -2.99% |
| Net Income Before Taxes | 1917.4 | 1882.6 | +1.85% | 1916.7 | +0.04% |
| Net Income | 1255.7 | 1392.4 | -9.82% | 1482.2 | -15.28% |
| Diluted Normalized EPS | 15.85 | 83.5 | -81.02% | 84.6 | -81.27% |
