Dr. Reddy's Q2 FY27 Results: Revenue Slips 1.5% To ₹8,671 Crore, And Net Profit Falls 36% In September Quarter

Dr. Reddy’s Laboratories reported consolidated revenue of ₹8,671 crore in Q2 FY27, a decline of 1.5% YoY. EBITDA reduced by 24% to ₹1,783 crore, with an EBITDA margin of 20.6%.

Profit before tax fell 33% to ₹1,228 crore, and profit attributable to equity shareholders also dropped 36% to ₹925 crore. The company said its underlying base business recorded double-digit growth, excluding lenalidomide sales in North America

Dr. Reddy’s share price closed at ₹1,229.50 on the National Stock Exchange (NSE) on 23 October 2026.

Dr. Reddy’s Q2 Results: Perform Across Key Markets

North America revenue increased 13% sequentially to ₹2,489 crore, although lower lenalidomide sales affected reported performance. Excluding lenalidomide, the company reported growth of 12.4%, compared with 2.1% for the US generics market, based on IQVIA data cited in the presentation.

Emerging Markets revenue grew 24% to ₹2,059 crore, supported by new launches and favourable foreign exchange movements. India revenue rose 17% to ₹1,851 crore, with the company reporting market growth of 21% against 14.7% for the Indian Pharmaceutical Market.

Europe revenue edged up 1% to ₹1,393 crore. Pharmaceutical Services and Active Ingredients (PSAI) revenue increased 12% to ₹831 crore, although lower active pharmaceutical ingredient volumes affected growth.

Key Business And Regulatory Updates

Dr. Reddy’s partnered with Takeda to launch QDENGA, a dengue vaccine approved by the Central Drugs Standard Control Organisation, in India’s private market in the first half of 2027. It also launched a nivolumab biosimilar in India and secured US Food and Drug Administration approval for a rituximab biosimilar.

Generic semaglutide was approved in 10 countries, including India and Canada. The company said it remained on track to resolve an issue involving certain semaglutide active pharmaceutical ingredient batches found to be outside specifications.

Its contract development and manufacturing organisation business under Aurigene Pharmaceutical Services generated more than US$100 million in revenue over the 12 months ended September 2026.

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