Dr Reddys Laboratories Ltd

About

Dr. Reddy's Laboratories Ltd is a leading India-based pharamceutical company which offers a portfolio of products and services, including Active Pharmaceutical Ingredients (APIs), Custom Pharmaceutical services (CPS), generics, biosimilars and differentiated formulations.

Key Points

Global Generics Segment (~80% of revenues)
This is the main business of the company wherein it offers 400+ high-quality generic drugs, keeping costs reasonable by leveraging its integrated operations. The company benefits from its expertise in active ingredients, product development skills, a keen understanding of regulations and intellectual property rights & streamlined supply chain.[1]
Top revenue contributors of the segment are nervous system drugs (19%), gastrointestinal (14%) & oncology (13%).[2]

Read More
  • Market Cap 76,486 Cr.
  • Current Price 4,596
  • High / Low 5,615 / 4,135
  • Stock P/E 47.3
  • Book Value 1,050
  • Dividend Yield 0.54 %
  • ROCE 15.0 %
  • ROE 11.4 %
  • Face Value 5.00

Pros

  • Company is almost debt free.
  • Company has been maintaining a healthy dividend payout of 19.72%

Cons

  • The company has delivered a poor sales growth of 5.34% over past five years.
Loading peers table ...

Quarterly Results

Standalone Figures in Rs. Crores / View Consolidated

Dec 2018 Mar 2019 Jun 2019 Sep 2019 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021
2,732 2,645 2,509 3,446 3,044 2,852 3,244 3,346 3,408 3,351 3,434 3,823
2,045 2,209 2,078 2,285 2,288 2,331 2,316 2,529 2,634 2,748 2,872 3,075
Operating Profit 687 437 431 1,161 756 521 929 817 774 603 562 748
OPM % 25% 17% 17% 34% 25% 18% 29% 24% 23% 18% 16% 20%
Other Income 93 73 471 77 69 127 645 27 63 82 186 118
Interest 16 9 12 12 12 12 14 9 6 17 6 11
Depreciation 194 204 197 204 196 192 198 214 212 211 197 207
Profit before tax 570 296 693 1,021 618 444 1,362 620 618 457 544 649
Tax % 30% 32% 21% -34% 16% -13% 30% 22% 28% 32% 24% 31%
Net Profit 399 203 548 1,365 522 503 950 481 444 312 413 449
EPS in Rs 24.05 12.21 33.00 82.16 31.40 30.26 57.16 28.93 26.68 18.73 24.85 26.98

Profit & Loss

Standalone Figures in Rs. Crores / View Consolidated

Mar 2010 Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 TTM
4,512 5,243 6,740 8,370 9,728 10,011 10,292 9,720 9,359 10,626 11,850 13,349 14,016
3,401 4,052 5,189 6,383 6,950 7,608 8,219 7,899 7,990 8,290 8,967 10,212 11,329
Operating Profit 1,111 1,191 1,551 1,987 2,778 2,403 2,073 1,820 1,370 2,336 2,883 3,137 2,687
OPM % 25% 23% 23% 24% 29% 24% 20% 19% 15% 22% 24% 24% 19%
Other Income 212 118 78 140 135 211 317 516 164 202 730 801 449
Interest 16 10 69 61 78 64 64 57 63 57 48 47 41
Depreciation 222 248 301 313 380 490 650 735 774 781 789 835 827
Profit before tax 1,085 1,052 1,259 1,753 2,454 2,060 1,677 1,544 697 1,701 2,776 3,056 2,268
Tax % 22% 15% 28% 28% 21% 18% 18% 10% 19% 25% -6% 28%
Net Profit 846 893 912 1,266 1,933 1,679 1,374 1,384 567 1,277 2,938 2,186 1,618
EPS in Rs 50.11 52.79 53.81 74.51 113.62 98.57 80.55 83.51 34.17 76.92 176.79 131.47 97.24
Dividend Payout % 22% 21% 26% 20% 16% 20% 25% 24% 59% 26% 14% 19%
Compounded Sales Growth
10 Years: 10%
5 Years: 5%
3 Years: 13%
TTM: 12%
Compounded Profit Growth
10 Years: 8%
5 Years: 7%
3 Years: 51%
TTM: -34%
Stock Price CAGR
10 Years: 11%
5 Years: 8%
3 Years: 20%
1 Year: -6%
Return on Equity
10 Years: 14%
5 Years: 12%
3 Years: 14%
Last Year: 11%

Balance Sheet

Standalone Figures in Rs. Crores / View Consolidated

Mar 2010 Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Sep 2021
84 85 85 85 85 85 85 83 83 83 83 83 83
Reserves 5,830 5,936 6,633 7,698 9,244 10,549 11,993 11,518 11,725 12,655 15,209 17,097 17,384
Borrowings 563 1,536 1,535 2,100 2,666 3,126 3,085 2,355 2,589 1,065 1,457 1,214 1,814
1,764 1,707 2,087 2,106 2,513 2,696 2,422 2,491 2,704 2,445 2,726 3,235 3,940
Total Liabilities 8,242 9,263 10,341 11,989 14,508 16,456 17,585 16,447 17,100 16,248 19,476 21,630 23,222
1,316 1,691 1,897 2,387 2,748 3,249 4,438 4,842 4,717 4,683 4,434 5,844 5,903
CWIP 745 546 618 423 576 488 616 540 675 400 412 901 1,084
Investments 2,555 2,462 2,478 2,379 2,806 3,862 5,076 3,102 3,636 3,934 5,486 4,989 4,542
3,626 4,564 5,348 6,800 8,377 8,856 7,455 7,963 8,072 7,231 9,145 9,895 11,693
Total Assets 8,242 9,263 10,341 11,989 14,508 16,456 17,585 16,447 17,100 16,248 19,476 21,630 23,222

Cash Flows

Standalone Figures in Rs. Crores / View Consolidated

Mar 2010 Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021
1,253 246 1,403 289 906 1,786 2,747 1,016 1,539 2,762 1,839 3,514
-1,117 -609 -425 -524 -874 -2,031 -1,919 1,430 -1,180 -546 -1,689 -1,454
-152 61 -195 152 28 189 -693 -2,582 -304 -2,223 -224 -794
Net Cash Flow -16 -302 783 -84 60 -56 135 -135 54 -8 -74 1,266

Ratios

Standalone Figures in Rs. Crores / View Consolidated

Mar 2010 Mar 2011 Mar 2012 Mar 2013 Mar 2014 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021
Debtor Days 86 123 105 129 171 172 138 165 164 128 143 112
Inventory Days 267 245 249 217 233 223 234 256 258 242 224 250
Days Payable 355 139 138 109 123 93 99 110 147 124 109 118
Cash Conversion Cycle -2 229 217 237 281 302 273 311 274 246 257 243
Working Capital Days 127 140 99 153 181 179 156 182 180 149 160 128
ROCE % 18% 15% 17% 20% 23% 16% 12% 11% 5% 12% 19% 15%

Shareholding Pattern

Numbers in percentages

Dec 2018 Mar 2019 Jun 2019 Sep 2019 Dec 2019 Mar 2020 Jun 2020 Sep 2020 Dec 2020 Mar 2021 Jun 2021 Sep 2021
26.77 26.77 26.76 26.76 26.76 26.75 26.74 26.74 26.73 26.74 26.73 26.72
29.69 30.93 30.73 30.05 30.04 30.15 29.33 29.58 29.13 29.03 29.04 27.76
15.98 14.53 13.77 14.99 15.10 14.35 14.64 13.92 14.73 14.90 15.74 21.40
27.43 27.64 28.50 27.97 27.87 28.51 29.06 29.53 29.19 28.99 28.17 23.83
0.12 0.13 0.24 0.24 0.24 0.24 0.22 0.23 0.22 0.35 0.32 0.29

Documents