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RDY

Dr. Reddy's Laboratories Limited

RDY

Dr. Reddy's Laboratories Limited • NYSE
$14.05 ▲ 0.43% (+0.06)
Market Cap $11.69 B
52w High $16.17
52w Low $12.26
Dividend Yield 0.09%
P/E 17.78
Volume 769.04K
Outstanding Shares 832.37M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q2-2026 $88.051B ▲ $30.627B ▼ $14.372B ▲ 16.322% ▼ $17.27 ▲ $24.308B ▼
Q1-2026 $85.452B ▲ $31.152B ▲ $14.178B ▼ 16.592% ▼ $17.04 ▼ $24.642B ▼
Q4-2025 $85.06B ▲ $29.616B ▼ $15.938B ▲ 18.737% ▲ $19.13 ▲ $25.264B ▲
Q3-2025 $83.586B ▲ $30.332B ▲ $14.133B ▲ 16.908% ▲ $16.96 ▲ $24.279B ▲
Q2-2025 $80.162B $30.218B $12.553B 15.66% $15.06 $23.899B

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q2-2026 $69.811B ▲ $542.005B ▲ $179.923B ▲ $358.489B ▲
Q1-2026 $66.688B ▲ $519.537B ▲ $165.782B ▲ $350.059B ▲
Q4-2025 $57.908B ▼ $492.989B ▲ $155.823B ▼ $333.388B ▲
Q3-2025 $59.179B ▼ $481.059B ▲ $159.494B ▲ $317.721B ▲
Q2-2025 $63.074B $465.955B $156.672B $305.344B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2026 $14.268B ▲ $15.573B ▲ $-9.543B ▲ $-5.323B ▼ $902M ▲ $5.438B ▲
Q1-2026 $14.096B ▼ $14.629B ▼ $-19.192B ▼ $-1.203B ▲ $-5.589B ▼ $4.482B ▼
Q4-2025 $15.872B ▲ $21.996B ▲ $-13.3B ▼ $-7.37B ▼ $1.561B ▼ $10.75B ▲
Q3-2025 $14.038B ▲ $6.62B ▼ $-5.458B ▲ $590M ▼ $1.747B ▼ $-2.199B ▼
Q2-2025 $13.415B $9.316B $-19.071B $16.15B $6.372B $1.407B

Five-Year Company Overview

Income Statement

Income Statement Dr. Reddy’s has grown its revenue steadily over the last five years while also lifting profitability. Earnings have increased meaningfully, and profit per share has climbed at a strong pace, showing that growth is not just coming from expansion but also from better efficiency and product mix. There was some bumpiness in margins in the middle of the period, likely reflecting pricing pressure and product launches, but more recently profitability has recovered. Overall, the income statement points to a business that is scaling up, with healthier profits and better operating leverage than a few years ago, although not in a perfectly straight line.

Balance Sheet

Balance Sheet The balance sheet looks stronger over time, with total assets and shareholder equity steadily rising. Debt has increased in the most recent year but still appears moderate relative to the company’s size and equity base, suggesting a conservative use of borrowing rather than aggressive leverage. Cash on hand is not very large, but given consistent profitability and positive operating cash flow, liquidity does not appear strained. In short, Dr. Reddy’s has been building a larger asset base and thicker equity cushion while using debt in a controlled way to support growth.

Cash Flow

Cash Flow Dr. Reddy’s consistently generates cash from its operations, which provides a solid foundation for ongoing investment. Free cash flow has been positive in all years, though it has swung up and down as the company spends more on capital projects. Rising capital expenditure indicates active reinvestment in plants, technology, and capacity, which suppresses free cash flow in the short term but can support future growth. The pattern suggests a healthy business funding its own expansion, rather than one dependent on external financing to keep the lights on.

Competitive Edge

Competitive Edge The company holds a strong position in global generics and specialty pharmaceuticals, helped by its vertical integration into active ingredient manufacturing and a broad, diversified product portfolio. Its move up the value chain into complex generics and biosimilars gives it products that face fewer direct rivals and can support better margins than simple generics. Strategic acquisitions and partnerships, especially in the U.S. and other key markets, deepen its reach and add new therapeutic areas, such as women’s health. The main ongoing challenges remain intense price competition in generics, regulatory scrutiny across multiple jurisdictions, and the need to continuously refresh the portfolio as older products commoditize.

Innovation and R&D

Innovation and R&D Innovation is a clear strategic focus. Dr. Reddy’s uses digital tools and artificial intelligence to speed up development and improve the odds of technical success, and it has centralized R&D through its integrated development organization. The company is pushing hard into biosimilars, complex generics, and even new chemical entities in oncology, giving it multiple potential growth engines beyond traditional generics. It is also experimenting with digital therapeutics and consumer health products. These initiatives expand its opportunity set but come with the usual R&D risks: high upfront spending, long timelines, and uncertainty over which projects will ultimately succeed or gain regulatory and commercial traction.

Summary

Overall, Dr. Reddy’s combines steady growth and improving profitability with a solid, conservatively financed balance sheet and reliable cash generation. Management appears to be deliberately reinvesting in capacity, technology, and a more complex, defensible product mix, which could support longer-term growth and stronger margins. At the same time, the company operates in a highly competitive, regulation-heavy industry where pricing pressure, approval delays, and development setbacks are constant risks. The story here is of a generics player that has been upgrading itself into a more innovative, higher-value pharmaceutical company, with financials that broadly support that strategic shift but still subject to the usual ups and downs of the sector.