DRREDDY

Shares of Dr. Reddy's Laboratories came under pressure after the drugmaker posted a steep decline in earnings for the March quarter, weighed down by weaker generics performance and multiple one-time charges. The company reported a consolidated net profit of ₹220 crore for Q4FY26, marking a sharp drop compared to the year-ago period as profitability was impacted by lower sales of Lenalidomide, pricing pressure in key overseas markets, and inventory-related adjustments. Revenue for the quarter also declined to ₹7,516 crore amid softer demand in North America and Europe generics businesses. Margins narrowed significantly due to adverse product mix, shelf stock adjustments linked to Lenalidomide, and exceptional expenses including impairment charges related to CAR-T assets and Eftilagimod Alfa, along with VAT-related provisions. Despite the weak quarterly performance, the company reported modest revenue growth for the full FY26, although annual profit declined on account of continued pressure in the generics segment and higher exceptional costs.