Dr. Reddy's Laboratories Ltd. · NSE:DRREDDY

Dr. Reddy's Laboratories — Q2 FY2012 Earnings Presentation

13 slides from Dr. Reddy's Laboratories's earnings presentation, Oct 25, 2011

  1. Slide 1: Q2 FY12 Results Update

    Q2 FY12 Results Update October 25, 2011

  2. Slide 2: Safe Harbor Statement

    Safe Harbor Statement This presentation contains forward-looking statements and information that involve risks, uncertainties and assumptions. Forward-looking statements are all statements that concern plans, objectives, goals, strategies, future events or performance and underlying assumptions and

  3. Slide 3: Consolidated Key Financial Highlights

    Consolidated Key Financial Highlights Q2 Revenues at `2,268 crs ; YoY growth of 21% H1 Revenues at `4,246 crs ; YoY growth of 19% Q2 EBITDA* at `511 crs ; 23% to sales ; YoY growth of 20% H1 EBITDA* at `945 crs ; 22% to sales ; YoY growth of 23% Q2 PAT** at `310 crs ; 14% to sales ; YoY growth of 8%

  4. Slide 4: Segmental Analysis: Revenues

    Segmental Analysis : Revenues Global Generics Q2 FY12 Revenues at `1,614 crs (18% YoY gr) • `629 crs • `346 crs • YoY gr 42% • YoY gr 9% North India America Russia & Europe CIS • `338 crs • `212crs • YoY gr 23% • YoY gr (10%) 4

  5. Slide 5: Global Generics: North America

    Global Generics : North America `Crs. Consistent sequential growth $ Mn YoY 42% 629 137 131 129 106 442 95 77 85 64 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q2 FY11 Q2 FY12 FY10 FY10 FY11 FY11 FY11 FY11 FY12 FY12 Growth driven by new launches and market share improvements 24 Rx products among the Top 3 ranks in mark

  6. Slide 6: Global Generics: Russia

    Global Generics : Russia `Crs. YoY QoQ 28% 17% 290 290 227 248 Q2 FY11 Q2 FY12 Q1 FY12 Q2 FY12 Growth driven by volume increase across key products – Nise, Cetrine, Ciprolet, Omez & Keterol Secondary sales growth of 20% vs Industry growth of 10% ; Market rank 12th (Source: Pharmexpert MAT August 201

  7. Slide 7: Global Generics: India

    Global Generics : India YoY `Crs. QoQ 9% 18% 346 316 346 294 Q2 FY11 Q2 FY12 Q1 FY12 Q2 FY12 YoY growth was largely driven by new product launches and volume growth in key products such as Omez, Stamlo & Razo YoY growth of 22% in biosimilars portfolio, representing 6% of overall sales 3 new products

  8. Slide 8: Global Generics: Europe

    Global Generics : Europe `Crs. Germany RoEU 26% (27%) 93 163 74 118 Q2 FY11 Q2 FY12 Q2 FY11 Q2 FY12 Germany decline due to continuing tender pricing pressures ; one time vaccine sales last year AOK tender supplies Challenging due to low margins Growth in Rest of Europe driven by new launches in UK a

  9. Slide 9: Pharmaceutical Services & Active Ingredients

    Pharmaceutical Services & Active Ingredients `Crs. YoY QoQ 28% 23% 593 593 462 483 Q2 FY11 Q2 FY12 Q1 FY12 Q2 FY12 Growth in Active Ingredients driven on the back of new product launches in Europe Pharmaceutical Services grew on the back of improved customer order book status 11 DMF filings in the q

  10. Slide 10: Other Updates

    Other Updates Infrastructure expansion • Capex spend in H1 FY12 `358 crs Successful USFDA audits in September at API plants of CTO6 & CTO2 FY12 Outlook • Higher second half expected on the back of new launches (including 180 days exclusivity of olanzapine), new customer orders in Shreveport and scal

  11. Slide 11: Q&A Session

    Oct 25, 2011 LIFE . RESEARCH . HOPE

  12. Slide 12: P&L Q2 FY12

    P&L Q2 FY12 All figures in `Crs. except EPS Q2 FY12 Q2 FY11 Gr% Revenue 2,268 1,870 21% Gross Profit 1,221 999 22% % to sales 54% 53% SG&A 722 571 26% % to sales 32% 31% R&D 146 127 15% % to sales 6% 7% EBITDA 520 425 22% % to sales 23% 23% PAT 308 287 7% % to sales 14% 15% EPS 18.1 16.9 7% 12

  13. Slide 13: Key Balance Sheet Items

    Key Balance Sheet Items `Crs. Sep 11 June 11 Cash & Cash Equivalents 760 547 Trade & Other receivables 2,057 1,714 Inventories 1,859 1,740 Property, plant & equipment 3,145 3,052 Loans & borrowings (current & non current) 3,130 2,394 Trade accounts payable 894 843 Net Debt – Equity ratio at 0.49 in

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