Company News
Dr Reddy’s Q4 Preview: Profit To Rise 37% YoY To Rs 413cr; EBITDA Margin May Touch 23%
Dr Reddy’s Laboratories is slated to come out with its fourth quarter earnings on May 17. Kotak Institutional Equities expects the pharma major to report a net profit of Rs 413.6 crore, up 36.9 percent year-on-year and down 14.8 percent quarter-on-quarter. Sales are expected to increase 7.7 percent YoY (down 1.1 percent QoQ) to Rs 3,807.5 crore.
Earnings before interest, tax, depreciation and amortisation (EBITDA) is likely to rise 42.6 percent YoY (down 3.7 percent QoQ) to Rs 785.5 crore.
The research firm expects the US business to grow $10 million QoQ, given the benefits of Propofol and Suboxone launches, but the same could be offset by continued erosion in Metoprolol sales. It forecasts 13 percent YoY growth for India and Russia/CIS 17 percent, with CIS benefiting from a favourable base effect as well. Rest of the World is expected to grow at 27 percent. Proprietary products, it said, will continue its sluggish trend, with only six percent QoQ growth off a low base.
