Dr. Reddy's Lab - 1QFY21 - Angel Broking

Yash Gupta, Equity Research Associate, Angel Broking Ltd

Dr. Reddy's consolidated revenue from operations for Q1FY21 stood at Rs.4,418 crore up by 15% YoY from Rs.3,844 crore in Q1FY20, driven by Europe business which was up by 47.7%. Revenue from Global generic business was up by 6% from Rs.3,298 Crore to Rs.3,507.5 Crore while revenue from API up by 88.43% from Rs.453.9 crore to Rs.855.3 crore in Q1FY21.Gross margins stood at 56.0% in Q1FY21 up by 430 bps from 51.7% in Q1FY20 on account of a favorable product mix and forex benefit. Profit before tax for the quarter stood at Rs.878.9 Crore up by 3% YoY as the base quarter had one off other income of Rs.375.9 Crore which had inflated profits. we remain positive on the future prospectus of the company.

Shares of DR.REDDY'S LABORATORIES LTD. was last trading in BSE at Rs.4300.2 as compared to the previous close of Rs. 4050.45. The total number of shares traded during the day was 135335 in over 14473 trades.

The stock hit an intraday high of Rs. 4334.2 and intraday low of 4082.45. The net turnover during the day was Rs. 572649269.

Source : Equity Bulls

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