Dr.Reddy’s Pharmaceutical Company Q2 FY08 revenue at Rs 12,670 million

Nov. 15, 2007 - PRLog -- Dr. Reddy’s Laboratories Ltd(http://www.drreddys.com/).  today announced its unaudited financial results for the quarter ended September 30, 2007.

Growth in revenues at 20% in dollar terms excluding the upsides from authorized generic pharmaceuticals in Q2 FY07 of Rs 7.8 billion ($196 mn)
Q2 FY08 Revenue at Rs 12.7 billion ($319 mn) as against Rs 20 billion ($504 mn) in Q2 FY07
Q2 FY08 PBT at Rs 1,422 million ($36 mn) as against Rs 3,531 million ($89 mn) in Q2 FY07
Q2 FY08 PAT at Rs 2,672 million ($67 mn) as against Rs 2,798 million ($70 mn) in Q2 FY07
Reversal of deferred tax liability related to betapharm results in a benefit of Rs 1.5 billion ($36.5 mn) in Q2 FY08

Q2 FY08 Key highlights
•   Revenues at Rs 12.7 billion ($319 mn) in Q2 FY08 as against Rs 20 billion ($504 mn) in Q2 FY07, representing a decrease of 37%
o   Revenues increase by 4% (in rupee terms) in Q2 FY08 after excluding the upsides from authorized generics in Q2 FY07.
•   Revenues in India (finished dosage) increase by 9% to Rs. 2 billion ($52 mn) in Q2 FY08 from Rs. 1.9 billion ($48 mn) in Q2 FY07 driven by growth in key brands and new product launches.
•   Revenues in Russia (finished dosage) increase by 25% to Rs. 980 million ($25 mn) in Q2 FY08 from Rs. 783 million ($20 mn) in Q2 FY07 driven by growth in key brands as well as contribution from new product launches in FY07.
•   Revenues from North America (finished dosages) increase by 63% to Rs 2 billion ($52 mn) excluding the benefit of upsides from authorized generics in Q2 FY07 of Rs 7.8 billion. Combined revenues from fexofenadine and finasteride at Rs 1.2 billion ($31 mn) during Q2 FY08.
•   Revenues from Germany (betapharm) at Rs. 1.9 billion ($47 mn) in Q2 FY08 as compared to Rs. 2.6 billion ($ 64 mn) in Q2 FY07. The decline in revenues is on account of ongoing supply constraints as well as rupee appreciation against the Euro.
o   As per INSIGHT August 2007, betapharm recorded a combined 28% growth in pharmacy volumes for July and August.
o   Around 20 products transferred out of Salutas including 6 to India; On track to transfer the key products out of Salutas by end of FY08
•   Revenues in the API business increase by 11.5% to Rs 3.2 billion ($82 mn) in Q2 FY08 from Rs 2.9 billion ($73 mn) in Q2 FY07 primarily driven by growth across key markets.
•   Revenues from organic segment of custom pharmaceuticals services business increase by 125% to Rs 528 million ($13 mn) in Q2 FY08 from Rs 234 million ($6 mn) in Q2 FY07.

About Dr. Reddy's:
Established in 1984, Dr. Reddy's Laboratories  is an emerging global pharmaceutical company with proven research capabilities. The Company is vertically integrated with a presence across the pharmaceutical value chain. It produces finished dosage forms, active pharmaceutical ingredients and biotechnology products and markets them globally, with focus on India, US, Europe and Russia. The Company conducts research in the areas of cancer, diabetes, cardiovascular, inflammation and bacterial infection.

For more information please visit http://www.drreddys.com

Contact Information
Investors and Financial Analysts:
Nikhil Shah at nikhilshah@drreddys.com or on +91-40-23731946 ext. 308

Media
M Mythili at mythilim@drreddys.com or on +91-40-66511620

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About Dr. Reddy's Laboratories  is an emerging global pharmaceutical company established in 1984, with proven research capabilities. The Company is vertically integrated with a presence across the pharmaceutical value chain. It produces finished dosage forms, active pharmaceutical ingredients and biotechnology products and markets them globally, with focus on India, US, Europe and Russia. The Company conducts research in the areas of diabetes, cardiovascular and cancer.

Website: www.drreddys.com/