Latest news with #Laboratories
Yahoo
3 days ago
- Business
- Yahoo
HSBC upgrades Dr Reddy's on weight loss drug semaglutide-driven earnings rebound
-- HSBC upgraded Dr Reddy's Laboratories to Buy from Hold and raised its target price to INR 1445, citing expectations that sales of semaglutide, a generic version of Novo Nordisk's blockbuster weight-loss and diabetes drug, will help drive a recovery in earnings growth from fiscal new target for the U.S.-listed ADR is $16.90, up from $14.44. The brokerage forecasts Dr Reddy's semaglutide revenues at $280 million in 2027, contributing about 18% of the company's earnings per share, with the bulk of those sales expected to come from the Canadian market. In a bullish case, HSBC sees potential sales reaching $500 million. Dr Reddy is preparing for a post-gRevlimid era. The company is expected to lose a major chunk of its earnings from generic Revlimid after January 2026, with investors concerns about what will fuel growth after that. HSBC said semaglutide, along with other efforts in consumer health and biologics, offers a promising path forward. While a court order in India has restricted semaglutide exports until the original brand's local patent expires in March 2026, HSBC believes Dr Reddy's will be among the first to launch in markets such as Canada, Brazil, and India shortly thereafter. The note highlighted tight supply and strong demand for semaglutide in these markets, which could limit price erosion, a typical challenge for generic drugs. HSBC now assumes an early FY27 launch across key geographies instead of only Canada in late FY26. The firm cut FY26 EPS estimates by 5.1% due to declining Revlimid sales but raised FY27 and FY28 forecasts by 12–13% on semaglutide-led growth. Related articles HSBC upgrades Dr Reddy's on weight loss drug semaglutide-driven earnings rebound Morgan Stanley starts Parker-Hannifin at Equal-weight rating Huawei struggles to break Nvidia's AI chip grip in China, says The Information Sign in to access your portfolio
The Hindu
3 days ago
- Business
- The Hindu
LIC raises stake in Dr. Reddy's
Life Insurance Corporation of India's stake in Dr. Reddy's Laboratories raced past the 8% mark recently with the country's largest institutional investor acquiring an additional, more than 2% in the generic drugmaker since October 2024. From about 6.20%, the holding increased to 8.21% in a period of less than eight months through open market purchases. In terms of number of shares, LIC had acquired more than 1.67 crore during this period, the Hyderabad-headquartered pharma major said in a filing. Dr. Reddy's shares closed 3.01% higher on Thursday at ₹1,289.90 apiece on the BSE.
Business Upturn
12-05-2025
- Business
- Business Upturn
Citi maintains ‘Sell' call on Dr. Reddy's stock after its Q4 FY25 results
By Markets Desk Published on May 12, 2025, 08:00 IST Citi has maintained its 'Sell' rating on Dr. Reddy's Laboratories, with a target price of ₹1,110, even after the company posted a strong Q4 beat on net profit and revenue. The brokerage remains focused on underlying margin pressure and operational concerns. Despite revenue climbing 20.1% YoY and profit jumping to ₹1,587 crore, Citi flagged that gross margins continued to decline, and noted that FY26 guidance appears ambitious given ongoing pricing pressures and slow India growth. Citi expects the next quarter to benefit from peak generic Revlimid (gRevlimid) volumes, but said this will not be sustainable in the long term. While long-term opportunities in GLP-1 drugs and biosimilars remain attractive, Citi believes the near-term setup is less favourable and warrants caution. Markets Desk at
Mint
09-05-2025
- Business
- Mint
Dr Reddy's Q4 Results: Net profit rises 22% YoY to ₹1,594 crore, revenue up 20%; announces dividend
Dr Reddy's Laboratories Q4FY25 results: Dr Reddy's Laboratories, the country's leading India-based pharmaceutical company, released its March quarter performance on Friday, May 9, reporting a 22% year-on-year jump in consolidated net profit to ₹ 1,594 crore, beating Street estimates of ₹ 1,491 crore. Revenue also exceeded estimates, coming in at ₹ 8,506 crore compared to ₹ 7,083 crore in the same period last year, marking a growth of 20%. The revenue includes ₹ 597 crore from the acquired Consumer Healthcare business in Nicotine Replacement Therapy (NRT). Excluding the NRT business, the underlying growth was 12% year-on-year and 2% quarter-on-quarter. Looking at the segment-wise performance, revenue from Global Generics—which accounts for nearly 90% of the total revenue—came in at ₹ 7,536 crore compared to ₹ 6,119 crore. Meanwhile, revenue from Pharmaceutical Services and Active Ingredients stood at ₹ 1,167 crore in Q4FY25, compared to ₹ 1,152 crore, as per the company's Q4 earnings filing. On the operating front, EBITDA came in at ₹ 2,975 crore, marking a 58.9% improvement compared to ₹ 1,872 crore in Q4FY24, while margins expanded by 510 basis points to reach 29.1%. In the same quarter of the previous fiscal year, the company had reported a margin of 24%. For the full fiscal year of FY25, the company's revenue jumped 17% YoY to ₹ 32,553 crore, while profit after tax improved slightly by 2% YoY to ₹ 5,654 crore "Commenting on the results, Co-Chairman & MD, G V Prasad said: "We achieved double-digit growth across our businesses, driven by successful product launches, increased revenues from key products in the U.S. and the integration of the acquired NRT business. We will continue to strengthen and grow our core businesses through portfolio management and operational excellence, while pursuing strategic partnerships and inorganic growth opportunities." The company announced a final dividend of ₹ 8 per equity share. The record date for determining the members eligible to receive the final dividend for the financial year ended March 31, 2025, has been fixed as July 10, 2025. 'The Board of Directors, at their meeting held on May 9, 2025, has recommended a final dividend of ₹ 8 per share, subject to shareholders' approval,' the company said in its earnings filing."
Mint
09-05-2025
- Business
- Mint
Dr Reddy's Q4 Results: Net profit rises 22% YoY to ₹1,594 crore, revenue up 20%; announces dividend
Dr Reddy's Laboratories Q4FY25 results: Dr Reddy's Laboratories, the country's leading India-based pharmaceutical company, released its March quarter performance on Friday, May 9, reporting a 22% year-on-year jump in consolidated net profit to ₹ 1,594 crore, beating Street estimates of ₹ 1,491 crore. Revenue also exceeded estimates, coming in at ₹ 8,506 crore compared to ₹ 7,083 crore in the same period last year, marking a growth of 20%.
