Dr Reddys Laboratories Ltd

About Dr Reddys Laboratories Ltd

Dr. Reddy's Laboratories Ltd. is a leading Indian multinational pharmaceutical company. It manufactures and markets a diverse portfolio including active pharmaceutical ingredients (APIs), generics, branded generics, biosimilars, and over-the-counter (OTC) products across major therapeutic areas globally, with a strong focus on emerging markets and regulated markets like North America and Europe.

Key Financial Ratios of Dr Reddys Laboratories Ltd

• P/E Ratio (TTM): Price to Earnings ratio shows how much an investor pays for every rupee of the company's earnings. Dr Reddys Laboratories Ltd's P/E ratio (TTM) is 30.35, compared to the industry median of 30.91 and large cap median of 32.45.

• P/B Ratio: Price to Book ratio compares a company's market price to its book value per share. Dr Reddys Laboratories Ltd's P/B ratio is 2.58, compared to the industry median of 3.69 and large cap median of 4.94.

• P/S Ratio: Price to Sales ratio compares a company's market value to its total revenue. Dr Reddys Laboratories Ltd's P/S ratio is 3.03, compared to the industry median of 3.74 and large cap median of 6.08.

• PEG Ratio: PEG ratio adjusts the P/E ratio for expected earnings growth. Dr Reddys Laboratories Ltd's PEG ratio is 1.72.

• EV/EBITDA Ratio: This ratio compares a company's enterprise value to its earnings before interest, tax, depreciation, and amortization. Dr Reddys Laboratories Ltd's EV/EBITDA ratio is 12.81.

• Return on Equity (ROE): ROE measures how much profit a company generates from shareholders' invested capital. Dr Reddys Laboratories Ltd's ROE is 10.97%.

• Return on Assets (ROA): ROA measures how efficiently a company converts its assets into net profit. Dr Reddys Laboratories Ltd's ROA is 11.10%.

• Return on Capital Employed (ROCE): ROCE measures how efficiently a company generates profit from all the capital it employs. Dr Reddys Laboratories Ltd's ROCE is 14%.

• Operating Margin: Operating margin shows what percentage of revenue remains after covering operating expenses. Dr Reddys Laboratories Ltd's operating margin is 19.15%.

• Net Margin: Net margin shows what percentage of revenue converts into final net profit. Dr Reddys Laboratories Ltd's net margin is 12.34%.

• Current Ratio: The current ratio measures a company's ability to pay short-term liabilities using short-term assets. Dr Reddys Laboratories Ltd's current ratio is 1.56.

• Debt to Equity Ratio: This ratio shows the proportion of debt a company uses relative to shareholders' equity. Dr Reddys Laboratories Ltd's debt-to-equity ratio is 0.04.

• Interest Coverage Ratio: This ratio shows how easily a company can pay interest on its outstanding debt from its operating earnings. Dr Reddys Laboratories Ltd's interest coverage ratio is 15.42.

• Dividend Per Share (DPS): DPS shows the total dividend paid per share in the latest financial year. Dr Reddys Laboratories Ltd's DPS is ₹8.04.

• Earnings Per Share (EPS): EPS shows how much profit is allocated to each outstanding share. Dr Reddys Laboratories Ltd's EPS is -25.82.

(Source line: "Ratios as of 25 Sept 2026, based on last traded price of ₹1171. Data sourced from BSE/NSE Exchange Filings & Public Terminal Data.")

Key Facts

• Founded: 1984

• Headquarters: Hyderabad, Telangana

• Core Offerings: Active Pharmaceutical Ingredients (APIs), Generics, Branded Generics, Biosimilars, Over-The-Counter (OTC) products

• Stock Listing: NSE (DRREDDY), BSE (500124)ADR listed on NYSE (ticker: DRL)

• Promoter: Dr. Kallam Anji Reddy Family

History of Dr Reddys Laboratories Ltd

Founded in 1984 by Dr. K. Anji Reddy, Dr. Reddy's Laboratories initially focused on manufacturing active pharmaceutical ingredients (APIs). It quickly expanded into finished dosage forms, both in India and internationally. In 1997, it became the first Indian pharmaceutical company to list on the New York Stock Exchange. Over the decades, the company has grown significantly through organic expansion, strategic acquisitions, and a strong R&D pipeline, establishing itself as a global pharmaceutical major with a presence in over 60 countries.

Business Segments and Revenue Mix

• Global Generics: Offers a wide range of generic and branded generic formulations across therapeutic areas including oncology, immunology, cardiology, and diabetes. Key markets include North America, Europe, India, and emerging markets.

• Pharmaceutical Services & Active Ingredients (PSAI): Engages in the development, manufacture, and sale of APIs, intermediates, and custom pharmaceutical services for regulated and less-regulated markets globally.

• Proprietary Products & Others: Focuses on developing differentiated and innovative products in niche therapeutic areas, primarily dermatology and neurology, aiming to address unmet medical needs.

Key Personnel

G.V. Prasad (Co-Chairman & Managing Director): Son-in-law of founder Dr. K. Anji Reddy. Joined Dr. Reddy's in 1993, playing a pivotal role in the company's global expansion and strategic direction. Erez Israeli (Chief Executive Officer): Joined Dr. Reddy's in 2018, bringing extensive global pharmaceutical experience from Teva Pharmaceutical Industries Ltd. and leading the company's operational execution.

Subsidiaries and Associate Companies

• Dr. Reddy's Laboratories, Inc. (USA)

• Dr. Reddy's Laboratories (EU) GmbH (Germany)

• Dr. Reddy's Laboratories (UK) Ltd.

• Promius Pharma, LLC (USA)

• Dr. Reddy's Bio-Sciences Ltd.

Corporate Actions

In January 2024, Dr. Reddy's announced the acquisition of certain branded and established products from Nestlé S.A. in India, further strengthening its dermatology portfolio.

References

1. Dr. Reddy's Laboratories Ltd. Annual Report FY24
2. Dr. Reddy's Investor Presentations & Exchange Filings (NSE/BSE)
3. Q4 FY24 Earnings Call Transcripts and Press Release