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

Dr. Reddy's Laboratories — Q2 FY16 Earnings Presentation

16 slides from Dr. Reddy's Laboratories's earnings presentation, Oct 29, 2015

  1. Slide 1: Press Meet Q2 FY16

    Press Meet Q2 FY16 Oct 29, 2015 Dr. Reddy’s Laboratories Limited

  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: Business Highlights

    Business Highlights  Highest ever sales and EBITDA performance despite headwinds across businesses  Strong base business • US Generics: Sustained performance in Injectables portfolio, Valganciclovir and Habitrol®. • India formulations: Continued momentum. Sales of newly acquired portfolio from UCB

  4. Slide 4: Financial highlights

    Financial highlights Q2 FY15 Q2 FY16 Revenues (₹Cr) Gross profit (%) % of revenues 3,989 61.3% Gr% 11% 3,588 58.5% R&D (₹Cr) EBITDA (₹Cr) 447 1,139 Gr% Gr% 11.2% 28.6% 9% 31% 411 872 11.5% % of revenues 24.3% % of revenues Q2 FY16 Press meet 4

  5. Slide 5: Global generics: Q2 FY16 Revenues of ₹3,277 Cr (YoY 15% Gr)

    Global generics: Q2 FY16 Revenues of ₹3,277 Cr (YoY 15% Gr) NAG: ₹1,856 Cr Emerging markets: ₹662 Cr YoY Growth: 32% YoY decline: 22% Europe: ₹212 Cr YoY Growth: 65% India: ₹546 Cr YoY Growth: 14% Q2 FY16 Press meet 5

  6. Slide 6: Global generics: US

    Global generics: US Revenues (₹Cr) Market share 1,856 Product May-15 Aug-15 32% Decitabine 82% 72% 1,403 Azacitidine 52% 51% Metoprolol 19% 27% Divalproex ER 18% 21% Zoledronic Acid (Reclast) 65% 51% Fondaparinux 54% 51% Omeprazole DR 17% 16% Q2 FY15 Q2 FY16 ANDA Pipeline 230 cumulative 76 pending 5

  7. Slide 7: Global generics: Emerging markets

    Global generics: Emerging markets Revenues (₹Cr) Russia 849  Registered growth of 11% in constant currency terms. -22% 662  Focus on mega brands and portfolio 355 augmentation  OTC revenues at 40% of total revenues 267 81 101 RoW 413 293  Venezuela: Committed to the market. Cautious stand in vie

  8. Slide 8: Global generics: India

    Global generics: India Revenues (₹Cr) India 14% 546  2 new brands launched 480  Select portfolio of products acquired from UCB fully integrated into our supply chain  Adjusted for some of the despatches which got spilled over to October, growth is quite strong and in line with the trend of recent

  9. Slide 9: Pharmaceutical services and active ingredients

    Pharmaceutical services and active ingredients Revenues (₹Cr) PSAI  10 DMF filings during the quarter  Stable performance during the quarter with -7% improved margins sequentially 639 592  Focus on healthy orderbook and pipeline DMF filings Region Filings US 222 Q2 FY15 Q2 FY16 Canada 79 Europe 2

  10. Slide 10: Capex, R&D and Free cash flows

    Capex, R&D and Free cash flows Capex (₹Cr) R&D (₹Cr) 1,008 1,745 934 667 1,240 767 257 297 439 447 FY13 FY14 FY15 Q1 FY16 Q2 FY 16 FY13 FY14 FY15 Q1 FY16 Q2 FY 16 Free cash flows (₹Cr) Net debt/Equity 1,468 0.12 0.1 877 754 589 569 0.03 0.02 FY13 FY14 FY15 Q1 FY16 Q2 FY 16 FCF as above is before acq

  11. Slide 11: Key Priorities

    Key Priorities  Execute on the growth agenda through organic and in-organic means  Achieve the targeted development milestones for complex generics & differentiated products pipeline  Enhancement in quality management systems & infrastructure in the evolving regulatory environment Q2 FY16 Press m

  12. Slide 12: Q&A Session

    Q&A SESSION Q2 FY16 Press meet

  13. Slide 13: Thank You

    Dr.Reddy’s b Thank You

  14. Slide 14: Abridged P&L – Q2 FY16

    Abridged P&L – Q2 FY16 Particulars (₹Cr) Q2 FY16 Q2 FY15 Growth% Revenues 3,989 3,588 11% Gross Profit 2,447 2,099 17% % to revenues 61.3% 58.5% SG&A 1,106 1,067 4% % to revenues 27.7% 29.7% R&D 447 411 9% % to revenues 11.2% 11.5% EBITDA 1,139 872 31% % to revenues 28.6% 24.3% PAT 722 574 26% % to

  15. Slide 15: Key Balance sheet items – September 2015

    Key Balance sheet items – September 2015 Particulars (₹Cr) Sep-15 Jun-15 Cash, cash equivalents and other investments 3,405 3,512 Trade receivables 4,284 4,203 Inventories 2,715 2,615 Property, plant and equipment 5,105 4,939 Goodwill and Other Intangible assets 2,415 2,411 Loans & borrowings (curre

  16. Slide 16: Q2 FY16 Press meet

    Registered Office: Dr. Reddy’s Laboratories Ltd. 8-2-337 | Road No. 3, Banjara Hills, Hyderabad - 500034, Telengana, India. Tel: 91 40 4900 2900 | Fax: 91 40 4900 2999 | Email: [email protected] | Web: www.drreddys.com Q2 FY16 Press meet

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