Dr. Reddy’s Bets on Three High-Value Launches — Semaglutide, Denosumab & Abatacept — to Revive US Growth Amid Revlimid Pressure

Dr. Reddy’s Laboratories is banking on three strategic molecules — semaglutide, denosumab, and abatacept — to offset declining sales of generic Revlimid and restore growth in its key US business. “Semaglutide, denosumab and abatacept are the three molecules that will help us mitigate the impact of declining Revlimid sales and bring back growth momentum,” said M.V. Narasimham, CFO, following the company’s Q2 FY26 results. Semaglutide is awaiting regulatory clearance in Canada, where Dr. Reddy’s is also engaged in patent litigation, and will be rolled out across 87 global markets including India, Brazil, and Turkey. Denosumab, licensed from Alvotech, has received a positive opinion from EU regulators and is expected to be approved in both the US and Europe by December 2025 — marking Dr. Reddy’s first biosimilar to be directly distributed in the US. Abatacept, a biosimilar for rheumatoid arthritis, is targeted for filing in Dec 2025 (IV) and Q1 FY27 (SC), with a potential commercial launch in early 2027. The company has expanded its biosimilar manufacturing capacity with new facilities in Bachupally, Hyderabad (CCM4, CCM5, FFM2 blocks), ensuring readiness for commercial scale-up. For Q2 FY26, Dr. Reddy’s reported a 7% YoY rise in net profit to ₹1,347 crore (below estimates of ₹1,450 crore), while revenue grew nearly 10% YoY to ₹8,828 crore, surpassing expectations. Despite near-term margin pressure from Revlimid competition, management expects single-digit growth in the US over the next 2–3 years, supported by a pipeline of 75 pending ANDAs and strong performance in India, Europe, and emerging markets. In India, Dr. Reddy’s entered the top 10 pharma ranking, driven by differentiated launches and structural improvements. #DrReddys #PharmaNews #Biosimilars #Semaglutide #Denosumab #Abatacept #Revlimid #USMarket #IndiaPharma #EarningsUpdate #StockMarketIndia #HealthcareStocks #StockYardResearch