Dr Reddy's Laboratories (DRL), the second largest pharma company with net sales of Rs.9,674 crore, has clocked strong growth during the first quarter ended June 2012 on account of healthy growth in key markets of North America, Russia and other emerging markets in global generics segments. Its consolidated net profit moved up sharply by 27.9 per cent to Rs.335.98 crore from Rs.262.74 crore in the corresponding period of last year and consolidated net sales went up by 28.5 per cent to Rs.2,541 crore from Rs.1,978 crore.

DRL's revenues from global generics segment improved by 32 per cent to Rs.1,910 crore from Rs.1,442 crore. Its revenues from North America increased by 37.5 per cent to Rs.792 crore from Rs.576 crore in the similar period of last year. The growth was largely driven by new product launches of clopidogrel, OTC lansoprazole and was further supported by key products of zipprasidone, fondaparinux, quetiapine, etc. It launched 5 new products and its 29 products of prescription feature among the top 3 ranks in market shares. The company filed 4 ANDA during the quarter under review. Cumulatively 73 ANDAs are pending for approval with the US FDA of which 36 are Para Ivs and 6 are with FTF status.

The sales of generics in Russia & other CIS markets remained important for the company and its sales in this region improved by 38.1 per cent to Rs.417 crore from Rs.302 crore. Revenues in Russia increased to Rs.350 crore was the highest ever with growth of 30 per cent. Its sales in Europe reached at Rs.218 crore from Rs.192 crore, a growth of 13 per cent. Its sales in Germany improved by 17 per cent to Rs.150 crore mainly on account of products supplied under the AOK tender won last year.

DRL registered growth of 18.4 per cent in domestic market with sales of Rs.348 crore as against Rs.294 crore in the same period of last year. Its biosimilars portfolio grew by 15 per cent over last period. It launched 10 new brands during the quarter.

The sales of Pharmaceutical Services and Active Ingredients (PSAI) improved by 14 per cent to Rs.684 crore from Rs.576 crore in the same quarter of last year. The company filed 7 DMFs globally and its cumulative DMF filings reached at 550 as at the end of June 2012.

The company's R&D expenditure increased to Rs.156 crore from Rs.120 crore in the corresponding period of last year. The forex loss was at Rs.20.90 crore as compared to gain of Rs.15.80 crore. The net interest charge was lower at Rs.4.40 crore from Rs.22.1 crore. DRL's EBDITA improved by 29.6 per cent to Rs.521 crore from Rs.402 crore in the last period.