Mumbai: Dr Reddy’s Laboratories Ltd, India’s second-largest drugmaker by sales, reported a 16% fall in its third quarter profit due to weak sales in North America and emerging markets.
The company reported a net profit fell to Rs492.30 crore in the quarter ended 31 December, as against Rs585.70 crore in the year-ago period, while net sales fell 6.6% to Rs3,653.4 crore.
About 25 analysts polled by Bloomberg had, on average, expected the company to post net profit of Rs377.10 crore on net sales of Rs3,726.30 crore.
Sales of generic drugs in North America, which accounts for more than half of its total generic sales, fell 15% from a year ago to Rs1,659.50 crore, due to increased competition in valgancyclovir and its injectables franchise coupled with continuing pricing pressure.
Sales in India rose 2% to Rs594.70 crore from a year ago,while revenues from emerging markets declined 7% to Rs594.80 crore.
As of 31 December, the company has 92 generic filings pending for approval with the US Food and Drug Administration.
On Friday, shares of Dr Reddy’s ended at Rs3,141.60 on BSE, up 1.5% from previous close while India’s benchmark Sensex Index rose 0.05% to closed at 28240.52 points.