Dr Reddys Laboratories Ltd 6-K, filed May 12, 2026
Dr Reddys Laboratories Ltd (RDY)
About this 6-K
Dr Reddys Laboratories Ltd filed this 6-K on May 12, 2026.
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13A-16 OR 15D-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
May 2026
Commission File Number 1-15182
DR. REDDY’S LABORATORIES LIMITED
(Translation of registrant’s name into English)
8-2-337, Road No. 3, Banjara Hills
Hyderabad, Telangana 500 034, India
+91-40-49002900
______________
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ______
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ______
Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ¨ No x
If “Yes” is marked, indicate below the file number assigned to registrant in connection with Rule 12g3-2(b): 82-________.
DISCLOSURE OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION
We hereby furnish the United States Securities and Exchange Commission with copies of the following information about our public disclosures regarding our results of operations and financial condition for the quarter and year ended March 31, 2026.
On May 12, 2026, we announced our results of operations for the quarter and year ended March 31, 2026. We issued a press release announcing our results under International Financial Reporting Standards (“IFRS”), IFRS Audited Consolidated Financial Results, Ind AS Audited Consolidated Financial Results with audit report and Ind AS Audited Standalone Financial Results with audit report for the quarter and year ended March 31, 2026, a copy of which is attached to this Form 6-K as Exhibit 99.2 , 99.3 , 99.4 and 99.5 respectively.
We have also made available to the public on our web site, www.drreddys.com, the following: IFRS Audited Consolidated Financial Results, Ind AS Audited Consolidated Financial Results and Ind AS Audited Standalone Financial Results for the quarter and year ended March 31, 2026.
Exhibits
| 2 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
|
DR. REDDY’S LABORATORIES LIMITED (Registrant) | |||
| Date: May 12, 2026 | By: | /s/ K Randhir Singh | |
| Name: | K Randhir Singh | ||
| Title: | Company Secretary & Compliance Officer | ||
| 3 |
Exhibit 99.1
 |
Dr. Reddy's Laboratories Ltd. 8-2-337, Road No. 3, Banjara Hills Hyderabad – 500 034, Telangana, India CIN: L85195TG1984PLC004507
Tel: + 91 40 4900 2900 Fax: + 91 40 4900 2999 Email: mail@drreddys.com Web: www.drreddys.com |
May 12, 2026
National Stock Exchange of India Ltd. (Scrip Code: DRREDDY)
BSE Limited. (Scrip Code: 500124)
New York Stock Exchange Inc. (Stock Code: RDY)
NSE IFSC Ltd. (Stock Code: DRREDDY)
Sub: Outcome of Board Meeting held on May 12, 2026
Dear Sir/Madam,
In continuation to our letters dated March 23, 2026, and April 16, 2026, we would like to inform that the Board of Directors of the Company, at its meeting held today, i.e., May 12, 2026, inter alia considered and approved the following:
| 1. | Audited Financial Results |
Approved the Audited Financial Results of the Company for the quarter and financial year ended March 31, 2026. Accordingly, the following are enclosed:
| a) | Audited Consolidated Financial Results of the Company, as per the International Financial Reporting Standards (IFRS) as issued by International Accounting Standards Board (IASB). |
| b) | Press Release on Audited Financial Results. |
| c) | Audited Consolidated Financial Results of the Company, as per Indian Accounting Standards (Ind AS). |
| d) | Audited Standalone Financial Results of the Company (Ind AS) |
Pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, (“SEBI Listing Regulations”), the Audit Reports of the Statutory Auditors on the aforesaid financial results are enclosed.
A declaration under Regulation 33(3)(d) of the SEBI Listing Regulations, signed by Chief Financial Officer in respect of Audit Reports issued by Statutory Auditors with un-modified opinion is attached herewith.
| 2. | Dividend |
Recommended a final dividend of INR 8/- per equity share of face value of Rs. 1/- each for the financial year 2025-26, subject to approval of shareholders at the ensuing Annual General Meeting. Pursuant to Regulation 42 of SEBI Listing Regulations, the record date for determining the members eligible to receive the said dividend has been fixed as July 10, 2026.
| 3. | Annual General Meeting |
Approved convening of the 42nd Annual General Meeting (“AGM”) of the Company on Thursday, July 23, 2026.
| 4. | Re-appointment of Dr. K P Krishnan (DIN: 01099097) as an Independent Director |
Approved re-appointment of Dr. K P Krishnan (DIN: 01099097) as an Independent Director for a second term of five consecutive years from January 7, 2027 to January 6, 2032, not liable to retire by rotation, subject to approval of the shareholders at the ensuing AGM.
Dr. Krishnan is not related to any of the Directors or Key Managerial Personnel of the Company and is not debarred from holding the office of Director by virtue of any SEBI order or any other such authority. He meets the criteria for being re-appointed as an Independent Director under the applicable laws.
| 5. | Appointment of Mr. Srikanth Velamakanni (DIN: 01722758) as an Independent Director |
Approved appointment of Mr. Srikanth Velamakanni (DIN: 01722758) as an Additional Director, categorized as an Independent Director, for a term of five consecutive years, from July 1, 2026 to June 30, 2031, not liable to retire by rotation, subject to approval of shareholders at the ensuing AGM.
Mr. Srikanth is not related to any of the Directors or Key Managerial Personnel of the Company and is not debarred from holding the office of Director by virtue of any SEBI order or any other such authority. He meets the criteria for being appointed as an Independent Director under the applicable laws.
| 6. | Appointment of M/s Deloitte Haskins & Sells, LLP, Chartered Accountants as Statutory Auditors |
Approved appointment of M/s Deloitte Haskins & Sells, LLP, Chartered Accountants (Firm Registration No. 117366W/W-100018), as the Statutory Auditors of the Company, for a term of five consecutive years, commencing from the conclusion of the 42nd AGM till the conclusion of the 47th AGM, subject to the approval of the shareholders at the ensuing AGM.
| 7. | Re-appointment of M/s Sagar & Associates, Cost Accountants as Cost Auditors |
Approved re-appointment of M/s Sagar & Associates, Cost Accountants (Firm Registration No. 000118), as the Cost Auditors of the Company for the Financial Year 2026-27.
| 8. | Elevation of Mr. Sandeep Khandelwal as a Senior Management Personnel |
Approved elevation of Mr. Sandeep Khandelwal, Global Generics India Head, as a Senior Management Personnel of the Company and induction as a member of the Management Council, effective May 12, 2026. The revised list of Senior Management Personnel is attached.
The disclosures required under Regulation 30 of the SEBI Listing Regulations read with SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026, are attached as Annexures.
The Board Meeting commenced at 2:00 PM IST and concluded at 3:47 PM IST.
This is for your information and records.
Thanking you.
Yours faithfully,
For Dr. Reddy’s Laboratories Limited
K Randhir Singh
Company Secretary, Compliance Officer & Head-CSR
Encl: as above
Details of Dr. K P Krishnan (DIN: 01099097)
| Sl.no. | Particulars | Details |
| 1. | Reason for change viz. |
Re-appointment |
| 2. | Date of |
Based on the recommendation of the Nomination, Governance and Compensation Committee, the Board has approved the re-appointment of Dr. K P Krishnan (DIN: 01099097) as an Independent Director of the Company for a second term of five consecutive years from January 7, 2027 to January 6, 2032, not liable to retire by rotation, subject to approval of the shareholders at the ensuing AGM. |
| 3. | Disclosure of relationships between directors (in case of appointment of a director) |
Dr. K P Krishnan is not related to any of the Directors of the Company
|
Brief Profile of Dr. Krishnan:
Dr. K.P. Krishnan is a former IAS officer with 37 years of distinguished service in public policy, economic governance, and regulatory reform across the Government of India, Government of Karnataka, and the World Bank. He has held key national leadership roles, including Secretary, Ministry of Skill Development and Entrepreneurship; Additional/Special Secretary in the Ministries of Finance and Rural Development; and Secretary to the Prime Minister’s Economic Advisory Council.
A respected academician, he has taught at IIM Bangalore, ISB, and Ashoka University, held the Bok Visiting Professorship at the University of Pennsylvania Law School, and served as IEPF Chair Professor at NCAER, New Delhi. He is currently a Distinguished Fellow at the Isaac Centre for Public Policy, Ashoka University.
Dr. Krishnan serves on the boards and advisory councils of several leading corporates and non-profits, including Dr. Reddy’s Laboratories, Tata Consumer Products, Shriram Capital, ASREC India, Helios Trustee, Razorpay, and the Sanmar Group. He holds degrees in Economics (St. Stephen’s College), Law (Campus Law Centre, University of Delhi), and a Ph.D. in Economics (IIM Bangalore).
Details of Mr. Srikanth Velamakanni (DIN: 01722758)
| Sl.no. | Particulars | Details |
| 1. | Reason for change viz. appointment, |
Appointment |
| 2. | Date of appointment/ |
Based on the recommendation of the Nomination, Governance and Compensation Committee, the Board has approved the appointment of Mr. Srikanth Velamakanni (DIN: 01722758) as an Additional Director, categorized as an Independent Director for a term of five consecutive years, effective from July 1, 2026 to June 30, 2031, not liable to retire by rotation, subject to approval of shareholders at the ensuing AGM. |
| 3. | Disclosure of relationships between directors (in case of appointment of a director) |
Mr. Srikanth Velamakanni is not related to any of the Directors of the Company |
Brief Profile: Mr. Srikanth Velamakanni
Mr. Srikanth Velamakanni is one of India’s most influential technology leaders and a global champion of artificial intelligence. He is the Co-Founder and Group Chief Executive of Fractal, India’s first publicly listed pure-play AI company. He also serves as the Chairperson of Nasscom and as a Founder-Trustee of Plaksha University. Srikanth's work is guided by a long-term commitment to building technology that expands human potential.
Details of Statutory Auditors
| Sl.no. | Particulars | Details |
| 1. | Reason for change viz. appointment, re-appointment, |
Appointment |
| 2. | Date of appointment/ |
Based on the recommendation of the Audit Committee, the Board has approved the appointment of M/s Deloitte Haskins & Sells, LLP, Chartered Accountants (Firm Registration No. 117366W/W-100018), as the Statutory Auditors of the Company, for a term of five consecutive years, commencing from the conclusion of the 42nd Annual General Meeting (AGM) till the conclusion of the 47th AGM, subject to the approval of the shareholders at the ensuing AGM. |
| 3. | Brief profile (in case of appointment) |
Deloitte Haskins & Sells, Mumbai was constituted in 1997 and has been converted to a Limited Liability Partnership (LLP), with the name Deloitte Haskins & Sells LLP ("“DHS LLP”" or "“Firm"”), w.e.f. November 20, 2013. DHS LLP is registered with the Institute of Chartered Accountants of India (Registration No. 117366W/W-100018) and is a part of Deloitte Haskins & Sells & Affiliates being the Network of Firms registered with the ICAI. The registered office of the Firm is One International Center, Tower 3, 31st Floor, Senapati Bapat Marg, Elphinstone Road (West), Mumbai - 400013, Maharashtra, India. |
| 4. | Disclosure of relationships between directors (in case of appointment of a director) |
Not applicable
|
Details of Cost Auditors
| Sl.no. | Particulars | Details |
| 1. | Reason for change viz. appointment, re-appointment, |
Re-appointment |
| 2. | Date of appointment/ |
Based on the recommendation of the Audit Committee, the Board has approved the re-appointment of M/s Sagar & Associates, Cost Accountants (Firm Registration No. 000118), as the Cost Auditors of the Company for the Financial Year 2026-27. |
| 3. | Brief profile (in case of appointment) | M/s Sagar & Associates, Cost Accountants (Firm Registration No. 000118) is a peer reviewed leading firm of Cost & Management Accountants having diversified activities in cost and management accounting area. The firm consisting of qualified cost accountants has undertaken many assignments in various industries. The registered office of the Firm is at 205, Raghava Ratna Towers, Chirag Ali Lane, Abids, Hyderabad – 500001 |
| 4. | Disclosure of relationships between directors (in case of appointment of a director) |
Not applicable
|
Details of Mr. Sandeep Khandelwal
| Sl.no. | Particulars | Details |
| 1. | Reason for change viz. appointment, |
Elevation of Mr. Sandeep Khandelwal, Global Generics India Head as Senior Management Personnel |
| 2. | Date of appointment/ |
Based on the recommendation of the Nomination, Governance and Compensation Committee, the Board has approved elevation of Mr. Sandeep Khandelwal, Global Generics India Head as Senior Management Personnel of the Company and his induction as a Member of Management Council, effective from May 12, 2026. |
| 3. | Disclosure of relationships between directors (in case of appointment of a director) |
Not applicable
|
Brief Profile of Mr. Sandeep Khandelwal
Sandeep Khandelwal brings 26 years of leadership experience across General Management, Sales, Marketing and functional roles, with deep sectoral expertise spanning Pharmaceuticals, OTC, FMCG and Consumer Durables and extensive exposure across South Asia.
Sandeep joined Dr. Reddy’s Laboratories in 2018 and currently heads the India sub-continent business, a USD 750 million operation spanning India, Nepal, Sri Lanka, Myanmar, Maldives and Mauritius. He leads a 10,000-strong organization across more than 45 divisions and six countries.
Over the last seven years, Sandeep has led a significant transformation of Dr. Reddy’s India business, evolving it from a branded generics-centric model into a multi-engine organization, with innovative assets and consumer businesses shaping the next phase of growth. During this period, the India topline has grown from Rs 2,300 crore to Rs 7,000 crore, EBITDA margins have expanded from 19 percent to 24 percent, and the company’s market rank in India has improved from 16th to 9th. The business has consistently delivered quarter-on-quarter market-beating growth over the last 1.5 years.
He has shaped and is executing a clear strategic agenda focused on strengthening core brands, sharpening portfolio choices and structurally improving profitability. The emphasis has been on elevating business quality through higher throughput efficiency, disciplined gross-to-net management and selective pruning of non-core elements, while progressively refreshing the portfolio through differentiated internal R&D-led launches and curated in-licensing partnerships with global and regional pharmaceutical players. In parallel, he instituted strong medical and marketing excellence capabilities to anchor a sustained, multi-year growth runway for the company’s flagship brands.
Sandeep has embedded a strong “Playing to Win” performance culture across the organization and accelerated the adoption of digital and multi-channel engagement models, resulting in a 14 percent improvement in field force productivity. He has also led complex change-management efforts across employees, channel partners, trade bodies and employee unions.
Key milestones under his leadership include the
Wockhardt and Novartis acquisitions, the establishment of the Nestlé–Dr. Reddy’s Nutrition joint venture, and expansion
across high-growth platforms such as Vaccines, Biologics, Nutrition, OTC, E-commerce, Trade Generics, alternate channels and rural markets.
Prior to Dr. Reddy’s, Sandeep held senior leadership roles at Abbott India, including Commercial Director for Women’s Health, Gastroenterology, Hepatic and OTC therapies, and Director, Commercial Excellence. Earlier in his career at Marico Limited, he held multiple frontline and enterprise leadership roles across sales, trade marketing, channel development and regional management, including heading sales for the Rs. 2,100 crore personal care portfolio.
Sandeep has also driven a step-change in leadership diversity, significantly enhancing gender diversity and diversity of thought within leadership and commercial teams. He actively represents the organization at leading industry forums such as FICCI and the Indian Pharmaceutical Alliance. Key recognitions include being named among the “40 Under 40: Hottest Business Leaders” by The Economic Times in association with Spencer Stuart.
List of revised Senior Management Personnel
| Sl.No | Name of the SMP | Designation |
| 1 | Mr. Satish Reddy | Chairman and Whole-time Director |
| 2 | Mr. G V Prasad | Co-Chairman and Managing Director (KMP) |
| 3 | Mr. Erez Israeli | Chief Executive Officer (KMP) |
| 4 | Mr. M V Ramana | CEO Global Generics |
| 5 | Mr. Sanjay Sharma | Chief Operating Officer |
| 6 | Mr. M V Narasimham | Chief Financial Officer (KMP) |
| 7 | Mr. Deepak Sapra | Chief Executive Officer, API and Services |
| 8 |
Mr. Krishna Venkatesh |
Global Head of IPDO - Integrated Product Development Organization |
| 9 | Mr. Patrick Aghanian | Head - Consumer Health Organization |
| 10 | Mr. Phanimitra B | Chief Digital and Information Officer |
| 11 | Mr. Milan Kalawadia | Chief Executive Officer, North America |
| 12 | Mr. M S Madhu Sundar | Global Head of Quality and PV |
| 13 | Mr. Sandeep Khandelwal | Global Generics India Head |
| 14 |
Mr. K Randhir Singh |
Company Secretary, Compliance Officer and Head-CSR (KMP) |
Exhibit 99.2
| CONTACT | ||
| DR. REDDY'S LABORATORIES LTD. | Investor relationS | Media relationS |
|
8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500034. Telangana, India. |
AISHWARYA SITHARAM aishwaryasitharam@drreddys.com |
PRIYA K priyak@drreddys.com |
Dr. Reddy’s Q4 & Full Year FY26 Financial Results
Hyderabad, India, May 12, 2026: Dr. Reddy’s Laboratories Ltd. (BSE: 500124 | NSE: DRREDDY | NYSE: RDY | NSEIFSC: DRREDDY) today announced its consolidated financial results for the quarter and year ended March 31, 2026. The information mentioned in this release is based on consolidated financial statements under International Financial Reporting Standards (IFRS).
| Particulars | Q4FY26 | FY26 |
Revenues1
|
₹ 75,162 Mn [Down: 11.6% YoY; 13.9% QoQ] |
₹ 335,933 Mn [Up: 3.2% YoY] |
Gross Margin2
|
44.8% [Q4FY25: 55.6%; Q3FY26: 53.6%] |
52.8% [FY25: 58.5%] |
EBITDA3
|
₹ 9,807 Mn [13.0% of Revenues] |
₹ 76,595 Mn [22.8% of Revenues] |
Profit before Tax4
|
₹ 1,991 Mn [2.6% of Revenues] |
₹ 54,817 Mn [16.3% of Revenues] |
Profit after Tax attributable to Equity Holders |
₹ 2,201 Mn [2.9% of Revenues] |
₹ 42,850 Mn [12.8% of Revenues] |
Notes: The results include the adverse impact of a Shelf Stock Adjustment (‘SSA’) related to lenalidomide of ₹ 4,530 Mn, impairment of CAR-T assets and Eftilagimod Alfa of a total of ₹2,277 Mn, provisions related to VAT liability of ₹1,141 Mn in Q4FY26. In addition to the above, FY26 includes adverse impact of VAT liability provision of ₹695 Mn and New Labour Codes of ₹ 1,170 Mn. The above items impacted :
| · | Revenue growth by 5.3% YoY and 5.2% QoQ in Q4FY26 and 1.4% in FY26. |
| · | Gross Margin by 3.2% in Q4FY26 and 0.7% in FY26. |
| · | EBITDA Margin by 6.5% in Q4FY26 and 1.9% in FY26. |
| · | PBT Margin by 9.9% in Q4FY26 and 2.7% in FY26. |
Commenting on the results, Co-Chairman & MD, G V Prasad said: “Our performance this year reflects the impact of lower lenalidomide sales and several one-offs. The resilience of our branded businesses and currency tailwinds helped partially mitigate this impact. We remain focused on strengthening our base business and improving margins, through cost efficiencies and portfolio optimization. In parallel, we continue to build long-term franchises in biosimilars, consumer health and innovation to deliver sustainable value.”
| 1 |
| All amounts in millions, except EPS | All US dollar amounts based on convenience translation rate of 1 USD = ₹93.83 |
Dr. Reddy’s Laboratories Limited & Subsidiaries
Revenue Mix by Segment for the quarter
| Particulars | Q4FY26 | Q4FY25 | YoY | Q3FY26 | QoQ | |||||||||||||||
| (₹) | (₹) | Gr % | (₹) | Gr % | ||||||||||||||||
| Global Generics | 65,802 | 75,365 | (13 | ) | 79,113 | (17 | ) | |||||||||||||
| North America | 17,562 | 35,586 | (51 | ) | 29,644 | (41 | ) | |||||||||||||
| Emerging Markets | 18,057 | 13,981 | 29 | 18,961 | (5 | ) | ||||||||||||||
| India | 15,663 | 13,047 | 20 | 16,032 | (2 | ) | ||||||||||||||
| Europe | 14,520 | 12,750 | 14 | 14,476 | 0.3 | |||||||||||||||
| Pharmaceutical Services and Active Ingredients (PSAI) | 9,124 | 9,563 | (5 | ) | 8,018 | 14 | ||||||||||||||
| Others | 236 | 132 | 79 | 137 | 73 | |||||||||||||||
| Total | 75,162 | 85,060 | (12 | ) | 87,268 | (14 | ) | |||||||||||||
Revenue Mix by Segment for the year
| Particulars | FY26 | FY25 | YoY | |||||||||
| (₹) | (₹) | Gr% | ||||||||||
| Global Generics | 299,033 | 289,552 | 3 | |||||||||
| North America | 113,737 | 1,45,164 | (22 | ) | ||||||||
| Emerging Markets | 67,608 | 54,772 | 23 | |||||||||
| India | 62,186 | 53,734 | 16 | |||||||||
| Europe | 55,501 | 35,882 | 55^ | |||||||||
| PSAI | 34,774 | 33,846 | 3 | |||||||||
| Others | 2,127 | 2,137 | (0 | ) | ||||||||
| Total | 335,933 | 325,535 | 3 | |||||||||
^Excluding acquired Consumer Healthcare business in Nicotine Replacement Therapy (NRT) sales; revenue growth is at 14% YoY.
| 2 |
Consolidated Income Statement for the quarter
| Particulars | Q4FY26 | Q4FY25 | YoY | Q3FY26 | QoQ | |||||||||||||||||||||||||||
| ($) | (₹) | ($) | (₹) | Gr% | ($) | (₹) | Gr% | |||||||||||||||||||||||||
| Revenues | 801 | 75,162 | 907 | 85,060 | (12) | 930 | 87,268 | (14) | ||||||||||||||||||||||||
| Cost of Revenues | 442 | 41,471 | 403 | 37,797 | 10 | 431 | 40,462 | 2 | ||||||||||||||||||||||||
| Gross Profit | 359 | 33,691 | 504 | 47,263 | (29 | ) | 499 | 46,806 | (28 | ) | ||||||||||||||||||||||
| % of Revenues | 44.8 | % | 55.6 | % | 53.6 | % | ||||||||||||||||||||||||||
| Selling, General & Administrative Expenses | 296 | 27,762 | 256 | 24,055 | 15 | 287 | 26,918 | 3 | ||||||||||||||||||||||||
| % of Revenues | 36.9 | % | 28.3 | % | 30.8 | % | ||||||||||||||||||||||||||
| Research & Development Expenses | 58 | 5,463 | 77 | 7,258 | (25 | ) | 66 | 6,149 | (11 | ) | ||||||||||||||||||||||
| % of Revenues | 7.3 | % | 8.5 | % | 7.0 | % | ||||||||||||||||||||||||||
| Impairment of Non-Current Assets, net | 28 | 2,586 | 8 | 768 | 237 | 3 | 271 | 854 | ||||||||||||||||||||||||
| Other (Income)/Expense, net | (37 | ) | (3,445 | ) | (26 | ) | (2,465 | ) | 40 | (8 | ) | (770 | ) | 347 | ||||||||||||||||||
| Results from Operating Activities | 14 | 1,325 | 188 | 17,647 | (92 | ) | 152 | 14,238 | (91 | ) | ||||||||||||||||||||||
| Finance (Income)/Expense, net | (7 | ) | (620 | ) | (25 | ) | (2,352 | ) | (74 | ) | (12 | ) | (1,168 | ) | (47 | ) | ||||||||||||||||
| Share of Profit of Equity Investees, net of tax | (0 | ) | (46 | ) | (1 | ) | (55 | ) | (16 | ) | (0 | ) | (23 | ) | 100 | |||||||||||||||||
| Profit before Income Tax | 21 | 1,991 | 214 | 20,054 | (90 | ) | 164 | 15,429 | (87 | ) | ||||||||||||||||||||||
| % of Revenues | 2.6 | % | 23.6 | % | 17.7 | % | ||||||||||||||||||||||||||
| Income Tax Expense/(Benefit) | (2 | ) | (214 | ) | 45 | 4,181 | (105 | ) | 38 | 3,533 | (106 | ) | ||||||||||||||||||||
| Profit for the Period | 23 | 2,205 | 169 | 15,873 | (86 | ) | 127 | 11,896 | (81 | ) | ||||||||||||||||||||||
| % of Revenues | 2.9 | % | 18.7 | % | 13.6 | % | ||||||||||||||||||||||||||
| Attributable to Equity holders of the Parent Co. | 23 | 2,201 | 170 | 15,939 | (86 | ) | 128 | 12,098 | (82 | ) | ||||||||||||||||||||||
| % of Revenues | 2.9 | % | 18.7 | % | 13.9 | % | ||||||||||||||||||||||||||
| Attributable to Non-controlling interests | 0.04 | 3 | (1 | ) | (66 | ) | (105 | ) | (1 | ) | (202 | ) | (102 | ) | ||||||||||||||||||
| Diluted Earnings per Share (EPS) | 0.03 | 2.64 | 0.18 | 16.94 | (84 | ) | 0.15 | 14.51 | (82 | ) | ||||||||||||||||||||||
Earnings before Interest, Tax, Depreciation & Amortization (EBITDA) Computation for the quarter
| Particulars | Q4FY26 | Q4FY25 | Q3FY26 | |||||||||||||||||||||
| ($) | (₹) | ($) | (₹) | ($) | (₹) | |||||||||||||||||||
| Profit before Income Tax | 21 | 1,991 | 214 | 20,054 | 164 | 15,429 | ||||||||||||||||||
| Interest (Income) / Expense, net* | (4 | ) | (346 | ) | (7 | ) | (627 | ) | (4 | ) | (422 | ) | ||||||||||||
| Depreciation | 37 | 3,459 | 28 | 2,636 | 34 | 3,178 | ||||||||||||||||||
| Amortization | 23 | 2,117 | 20 | 1,919 | 22 | 2,037 | ||||||||||||||||||
| Impairment | 28 | 2,586 | 8 | 768 | 3 | 271 | ||||||||||||||||||
| EBITDA | 105 | 9,807 | 264 | 24,749 | 218 | 20,493 | ||||||||||||||||||
| % of Revenues | 13.0 | % | 29.1 | % | 23.5 | % | ||||||||||||||||||
*Includes income from Investment
| 3 |
Consolidated Income Statement for the year
| Particulars | FY26 | FY25 | YoY | |||||||||||||||||
| ($) | (₹) | ($) | (₹) | Gr% | ||||||||||||||||
| Revenues | 3,580 | 335,933 | 3,469 | 325,535 | 3 | |||||||||||||||
| Cost of Revenues | 1,691 | 158,669 | 1,440 | 135,107 | 17 | |||||||||||||||
| Gross Profit | 1,889 | 177,264 | 2,030 | 190,428 | (7 | ) | ||||||||||||||
| % of Revenues | 52.8 | % | 58.5 | % | ||||||||||||||||
| Selling, General & Administrative Expenses | 1,138 | 106,763 | 1,000 | 93,870 | 14 | |||||||||||||||
| % of Revenues | 31.8 | % | 28.8 | % | ||||||||||||||||
| Research & Development Expenses | 256 | 24,058 | 292 | 27,380 | (12 | ) | ||||||||||||||
| % of Revenues | 7.2 | % | 8.4 | % | ||||||||||||||||
| Impairment of Non-Current Assets, net | 38 | 3,519 | 18 | 1,693 | 108 | |||||||||||||||
| Other (Income)/Expense, net | (81 | ) | (7,627 | ) | (46 | ) | (4,358 | ) | 75 | |||||||||||
| Results from Operating Activities | 539 | 50,551 | 766 | 71,843 | (30 | ) | ||||||||||||||
| Finance (Income)/Expense, net | (44 | ) | (4,132 | ) | (50 | ) | (4,724 | ) | (13 | ) | ||||||||||
| Share of Profit of Equity Investees, net of tax | (1 | ) | (134 | ) | (2 | ) | (217 | ) | (38 | ) | ||||||||||
| Profit before Income Tax | 584 | 54,817 | 818 | 76,784 | (29 | ) | ||||||||||||||
| % of Revenues | 16.3 | % | 23.6 | % | ||||||||||||||||
| Income Tax Expense | 132 | 12,351 | 208 | 19,539 | (37 | ) | ||||||||||||||
| Profit for the Period | 453 | 42,466 | 610 | 57,245 | (26 | ) | ||||||||||||||
| % of Revenues | 12.6 | % | 17.6 | % | ||||||||||||||||
| Attributable to Equity holders of the Parent Co. | 457 | 42,850 | 603 | 56,544 | (24 | ) | ||||||||||||||
| % of Revenues | 12.8 | % | 17.4 | % | ||||||||||||||||
| Attributable to Non-controlling interests | (4 | ) | (384 | ) | 7 | 701 | (155 | ) | ||||||||||||
| Diluted Earnings per Share (EPS) | 0.55 | 51.42 | 0.72 | 67.78 | (24 | ) | ||||||||||||||
EBITDA Computation for the year
| Particulars | FY26 | FY25 | ||||||||||||||
| ($) | (₹) | ($) | (₹) | |||||||||||||
| Profit before Income Tax | 584 | 54,817 | 818 | 76,784 | ||||||||||||
| Interest (Income) / Expense, net* | (25 | ) | (2,347 | ) | (36 | ) | (3,402 | ) | ||||||||
| Depreciation | 135 | 12,621 | 112 | 10,505 | ||||||||||||
| Amortization | 85 | 7,985 | 70 | 6,553 | ||||||||||||
| Impairment | 38 | 3,520 | 18 | 1,693 | ||||||||||||
| EBITDA | 816 | 76,595 | 982 | 92,133 | ||||||||||||
| % of Revenues | 22.8 | % | 28.3 | % | ||||||||||||
*Includes income from Investment
Key Balance Sheet Items
| Particulars | As on 31st Mar 2026 | As on 31st Dec 2025 | As on 31st Mar 2025 | |||||||||||||||||||||
| ($) | (₹) | ($) | (₹) | ($) | (₹) | |||||||||||||||||||
| Cash and Cash Equivalents and Other Investments | 1,050 | 98,509 | 929 | 87,191 | 728 | 68,299 | ||||||||||||||||||
| Trade Receivables | 1,079 | 101,219 | 1,100 | 103,206 | 964 | 90,420 | ||||||||||||||||||
| Inventories | 816 | 76,531 | 842 | 79,009 | 758 | 71,085 | ||||||||||||||||||
| Property, Plant, and Equipment | 1,236 | 115,930 | 1,231 | 115,544 | 1,042 | 97,761 | ||||||||||||||||||
| Goodwill and Other Intangible Assets | 1,257 | 117,952 | 1,223 | 114,727 | 1,158 | 108,613 | ||||||||||||||||||
| Loans and Borrowings (Current & Non-Current) | 824 | 77,341 | 722 | 67,732 | 498 | 46,766 | ||||||||||||||||||
| Trade Payables | 356 | 33,411 | 435 | 40,796 | 379 | 35,523 | ||||||||||||||||||
| Equity | 4,055 | 380,457 | 4,005 | 375,756 | 3,593 | 337,166 | ||||||||||||||||||
| 4 |
Key Business Highlights for Q4FY26
| · | Received the Notice of Compliance from Pharmaceutical Drugs Directorate for generic Semaglutide injection in Canada, indicated for treatment of Type 2 diabetes. |
| · | Launched generic Semaglutide Injection in India for treatment of Type 2 diabetes, under the brand name ‘Obeda®‘ on Day 1 of market formation post loss of exclusivity. |
| · | Received marketing authorization for generic Semaglutide tablets in India for treatment of Type 2 diabetes from Drugs Controller General of India (DCGI), following the recommendation of Subject Expert Committee (SEC) under Central Drugs Standard Control Organization (CDSCO). |
| · | Forayed into Hormone Replacement Therapy in India with acquisition of Progynova® and related assets. |
| · | Acceptance for review by United States Food and Drug Administration (USFDA) of the Biologics License Application (BLA) for the Intravenous (IV) presentation of our abatacept biosimilar in the US. |
| · | Integration of 95% of acquired Consumer Healthcare business in Nicotine Replacement Therapy (NRT) business by value completed as of March 2026. |
| · | First-to-market launch of Olopatadine Hydrochloride Ophthalmic Solution USP, 0.7% (OTC) in the US. |
| · | Launched Tegoprazan in Russia, following a successful launch in India. |
ESG Highlights for Q4FY26
| · | Named by BusinessWorld among India’s Top 5 Most Sustainable Companies, ranking first in the Indian healthcare and pharmaceutical industry for 2024-25. |
| · | Recognized in the ‘Leadership Category’ of the 2025 Indian Corporate Governance Scorecard for the third consecutive year, jointly by Institutional Investor Advisory Services (IiAS), the International Finance Corporation (IFC) and the Bombay Stock Exchange (BSE). |
Other Updates for Q4FY26
| · | Received ‘VAI’ classification, following a GMP and a PAI conducted by the USFDA in December 2025 at formulations manufacturing facility, FTO-SEZ PU01, in Srikakulam, Andhra Pradesh, India. |
| · | Divested two non-core brands in India. |
| · | Discontinuation of trial of licensed novel drug candidate, Eftilagimod alfa, by partner, Immutep, following a planned interim futility analysis. |
| · | Discontinuation of certain R&D programs in CAR-T therapy, as part of portfolio rationalization. |
| · | The Board has recommended a dividend payment of Rs. 8 per equity share of face value Re. 1/- each (800% of face value) for year ended March 31, 2026, subject to shareholder approval. |
| 5 |
Revenue Analysis
| · | Q4FY26 consolidated revenues at ₹75.2 billion, decline of 11.6% YoY and 13.9% QoQ. |
FY26 consolidated revenues at ₹335.9 billion, growth of 3.2% YoY.
Growth was broad-based across key markets, except for North America which declined primarily on account of lower Lenalidomide sales and a one-time Shelf Stock Adjustment (SSA) of ₹4.5 billion related to the product. Favourable foreign exchange rate movements further supported overall growth.
Excluding the one-time SSA, consolidated revenues were at ₹79.7 billion in Q4FY26, a decline of 6.3% YoY and 8.7% QoQ and ₹340.5 billion in FY26, a growth of 4.6% YoY.
Global Generics (GG)
| · | Q4FY26 revenues at ₹65.8 billion, decline of 13% YoY and 17% QoQ. |
FY26 revenues at ₹299.0 billion, growth of 3% YoY.
Excluding the one-time SSA mentioned above, revenues for the segment posted a decline of 7% YoY and 11% QoQ in Q4FY26 and a growth of 4.8% YoY in FY26.
North America
| · | Q4FY26 revenues at ₹17.6 billion, decline of 51% YoY and 41% QoQ. |
FY26 revenues at ₹113.7 billion, decline of 22% YoY.
Decline was largely due to lower Lenalidomide sales and the one-time SSA mentioned above.
Excluding this one-off, revenues for the segment posted a decline of 38% YoY and 25% QoQ in Q4FY26 and 19% YoY in FY26.
| · | During the quarter, we launched seven new products, while a total of 25 new products were launched during FY26. |
| · | We filed five new Abbreviated New Drug Applications (ANDAs) with the USFDA during the quarter, taking the total to 15 for FY26. |
| · | As of March 31, 2026, filings pending approval from USFDA were 77 including: |
| - | 75 ANDAs (43 are Paragraph IV applications, and 22 may have a ‘First to File’ status) and |
| - | Two New Drug Applications (NDAs) filed u/s 505(b)(2), of which one is a Paragraph IV application. |
Emerging Markets
| · | Q4FY26 revenues at ₹18.1 billion, growth of 29% YoY and a decline of 5% QoQ. |
FY26 revenues at ₹67.6 billion, growth of 23% YoY.
YoY growth was largely driven by new launches across markets and higher volumes, further supported by favourable forex. QoQ decline was primarily on account of lower volume uptake in Russia.
| - | Q4FY26 Russia revenues at ₹8.4 billion, growth of 28% YoY and decline of 21% QoQ. |
FY26 Russia revenues at ₹34.8 billion, growth of 34% YoY.
In Q4FY26, YoY growth was supported by new launches, price increase in certain brands and favorable foreign exchange movements, while QoQ decline was primarily on account of lower sales volumes.
| - | Q4FY26 Other Commonwealth of Independent States (CIS) countries and Romania revenues at ₹2.3 billion, decline of 4% YoY and QoQ. |
| 6 |
FY26 CIS and Romania revenues at ₹9.1 billion, growth of 2% YoY.
In Q4FY26, decline was largely on account of weaker volumes, with sequential performance further impacted by lower prices in certain products.
| - | Q4FY26 Rest of World (RoW) revenues at ₹7.3 billion, growth of 47% YoY and 23% QoQ. |
FY26 RoW revenues at ₹23.7 billion, growth of 19% YoY.
Growth was largely on account of higher sales volumes from existing products across countries.
| · | During Q4FY26, we launched 49 new products across countries, taking the total to 129 for FY26. |
India
| · | Q4FY26 revenues at ₹15.7 billion, growth of 20% YoY and decline of 2% QoQ. |
FY26 revenues at ₹62.2 billion, growth of 16% YoY.
Growth was driven by revenues from new brand launches, including our innovation portfolio, price increases, higher volumes and contributions from recently acquired portfolios.
| · | As per IQVIA data published for March 2026, our rank in the Indian Pharmaceutical Market (IPM) was at 9th on a Moving Quarterly Total (MQT) and 10th on a Moving Annual Total (MAT) basis. We continued to outperform the IPM, with secondary sales growth of 15.2% as compared to IPM growth of 11.6% on a MQT basis and 12.1% as compared to IPM growth of 9.9% on a MAT basis. |
| · | During the quarter, we launched ten new brands, taking the total to 28 for FY26. |
Europe
| · | Q4FY26 revenues at ₹14.5 billion, growth of 14% YoY and flat QoQ. |
FY26 revenues at ₹55.5 billion, growth of 55% YoY. Excluding NRT, growth was at 14% YoY.
Contributions from the NRT portfolio, revenues from new generic product launches, higher volumes and favourable forex movement were moderated by pricing pressure in generics.
| - | Q4FY26 NRT revenues at ₹7.0 billion, growth of 16% YoY and decline of 8% QoQ. |
FY26 NRT revenues at ₹28.2 billion, versus ₹12.0 billion in FY25 for the period following its acquisition.
| - | Q4FY26 Germany revenues at ₹3.8 billion, growth of 8% YoY and decline of 5% QoQ. |
FY26 Germany revenues at ₹15.0 billion, growth of 16% YoY.
| - | Q4FY26 UK revenues at ₹2.3 billion, growth of 6% YoY and 38% QoQ. |
FY26 UK revenues at ₹7.3 billion, flat YoY.
| - | Q4FY26 Rest of Europe revenues at ₹1.4 billion, growth of 35% YoY and 15% QoQ. |
FY26 Rest of Europe revenues at ₹5.1 billion, growth of 37% YoY.
| · | During the quarter, we launched seven new products in the region, taking the total to 38 for FY26. |
Pharmaceutical Services and Active Ingredients (PSAI)
| · | Q4FY26 revenues at ₹9.1 billion, decline of 5% YoY and growth of 14% QoQ. |
FY26 revenues at ₹34.7 billion, growth of 3% YoY.
Decline in Q4FY26 was on account of lower volume uptake in the API business.
| · | During the quarter, we filed 48 Drug Master Files (DMFs) globally, taking the total to 128 for FY26. |
| 7 |
Income Statement Highlights:
Gross Margin
| · | Q4FY26 at 44.8% (GG: 48.3%, PSAI: 19.9%), a decline of 1,074 basis points (bps) YoY and 881 bps QoQ. |
FY26 at 52.8% (GG: 56.7%, PSAI: 17.2%), a decline of 573 bps YoY.
The YoY decline for the quarter was primarily on account of reduced sales of Lenalidomide, price erosion in North America and Europe Generics and a one-time SSA impact indicated earlier. FY26 was further impacted by one-time new Labour Code related provision in Q3FY26.
Excluding the one-offs related to SSA and new Labour Codes, gross margin for Q4FY26 at 48.0% (GG: 51.7%) and FY26 at 53.5% (GG: 57.5%).
Selling, General & Administrative (SG&A) Expenses
| · | Q4FY26 at ₹27.8 billion, increase of 15% YoY and 3% QoQ. |
As % to Revenues – Q4FY26: 36.9% | Q4FY25: 28.3% | Q3FY26: 30.8%.
FY26 at ₹106.8 billion, increase of 14% YoY.
As % to Revenues – FY26: 31.8% | FY25: 28.8%.
The YoY increase was driven by focused investments in our branded franchises, particularly the acquired consumer healthcare business in NRT and branded generics as well as a provision related to a potential VAT liability in one of our subsidiaries of ₹1.1 billion in Q4FY26. FY26 also was impacted by a similar provision in Q2FY26 and one-time new Labour Codes related provision in Q3FY26.
Excluding the impact of VAT liability and new Labor Codes provision, SG&A as a % of revenues excluding SSA impact : Q4FY26: 33.4% | FY26 : 30.6%.
Research & Development (R&D) Expenses
| · | Q4FY26 at ₹5.5 billion, decrease of 25% YoY and 11% QoQ. |
As % to Revenues – Q4FY26: 7.3% | Q4FY25: 8.5% | Q3FY26: 7.0%.
FY26 at ₹24.1 billion, decrease of 12% YoY.
As % to Revenues – FY26: 7.2% | FY25: 8.4%.
R&D expenditure was lower due to reduced development spends in Biosimilars, following completion of a large part of the investments related to Abatacept. R&D spends remain focused on complex generics including peptides and biosimilars. Q4FY26 was also impacted by charges related to certain discontinued CAR-T assets, while FY26 included the one-time new Labour Codes provision.
Excluding the impact of CAR-T related charges and new Labor Codes provision, R&D as a % of revenues excluding SSA impact for Q4FY26 : 6.8% | FY26 : 7.1%.
Impairment
| · | Q4FY26 charge at ₹2.6 billion compared to ₹0.8 billion in Q4FY25. |
FY26 charge at ₹3.5 billion compared to ₹1.7 billion in FY25.
Q4FY26 includes charges related to discontinuation of some R&D programs within the Chimeric Antigen Receptor T cell (CAR-T) therapy portfolio of ₹1.3 billion as well as a charge on account of discontinuation of trial of Eftilagimod Alfa, by parter Immutep of ₹0.9 billion.
| 8 |
Other Income
| · | Q4FY26 income at ₹3.4 billion compared to ₹2.5 billion in Q4FY25. |
FY26 income at ₹7.6 billion compared to ₹4.4 billion in FY25.
Q4FY26 includes income from divestment of certain non-core product related intangibles i.e., trademarks and marketing rights of ₹1.89 billion.
Net Finance Income/Expense
| · | Q4FY26 income at ₹0.6 billion compared to ₹2.4 billion in Q4FY25. |
FY26 income at ₹4.1 billion compared to ₹4.7 billion in FY25.
Net finance income in Q4FY26 was lower primarily on account of lower foreign exchange gain this quarter, in comparison to the corresponding quarter last year.
Profit before Tax (PBT)
| · | Q4FY26 at ₹2.0 billion, decline of 90% YoY and 87% QoQ. |
As % to Revenues – Q4FY26: 2.6% | Q4FY25: 23.6% | Q3FY26: 17.7%.
FY26 at ₹54.8 billion, decline of 29% YoY.
As % to Revenues – FY26: 16.3% | FY25: 23.6%.
Excluding the impact of SSA, VAT liability provision, costs related to discontinued CAR-T and impairment of Eftilagimod Alfa, new Labour Codes provision, PBT as a % of revenues : 12.5% in Q4FY26 | 19.0% in FY26.
Income Tax
| · | Q4FY26 benefit at ₹0.2 billion. As % to PBT – Q4FY26: (10.8)% | Q4FY25: 20.9% | Q3FY26: 22.9%. |
FY26 at ₹12.4 billion. As % to PBT – FY26: 22.5% | FY25: 25.4%.
The ETR was lower in Q4FY26 primarily due to a recognition of deferred tax assets on carry forward losses in one of our subsidiaries and a favourable jurisdictional mix for the quarter, in comparison to the same period in the previous year.
Profit attributable to Equity Holders of Parent Company
| · | Q4FY26 at ₹2.2 billion, decline of 86% YoY and 82% QoQ. |
As % to Revenues – Q4FY26: 2.9% | Q4FY25: 18.7% | Q3FY26: 13.9%.
FY26 at ₹42.9 billion, decline of 24% YoY.
As % to Revenues – FY26: 12.8% | FY25: 17.4%.
Diluted Earnings per Share (EPS)
| · | Q4FY26 is ₹2.64. |
FY26 is ₹51.42.
| 9 |
Other Financial Highlights:
EBITDA
| · | Q4FY26 at ₹9.8 billion, decline of 60% YoY and 52% QoQ. |
As % to Revenues – Q4FY26: 13.0% | Q4FY25: 29.1% | Q3FY26: 23.5%.
FY26 at ₹76.6 billion, decline of 17% YoY.
As % to Revenues – FY26: 22.8% | FY25: 28.3%.
Excluding the impact of SSA, provisions related to VAT liability and new Labour Codes and CAR-T related charges, EBITDA as a % of revenues excluding SSA impact: Q4FY26: 19.5% | FY26 : 24.7%.
Others:
| · | Operating Working Capital: As on 31st March 2026 at ₹144.3 billion | As on 31st March 2025 at ₹126.0 billion |
| · | Capital Expenditure: Q4FY26 at ₹4.4 billion | FY26 at ₹23.0 billion. |
| · | Free Cash Flow (post acquisition related payout): Q4FY26 at ₹2.8 billion | FY26 at ₹16.9 billion. |
| · | Net Cash Surplus: As on 31st March 2026 at ₹32.7 billion. |
| · | Net Debt to Equity: As on 31st March 2026 is (0.09). |
| · | Return on Capital Employed (RoCE): FY26 stood at 15.8%. |
Excluding the impact of SSA, provisions related to VAT liability and new Labour Codes, costs related to discontinued CAR-T and impairment of Eftilagimod Alfa, RoCE for FY26 at 17.5%.
| 10 |
About key metrics and non-GAAP Financial Measures
This press release contains non-GAAP financial measures within the meaning of Regulation G and Item 10(e) of Regulation S-K. Such non-GAAP financial measures are measures of our historical performance, financial position or cash flows that are adjusted to exclude or include amounts from the most directly comparable financial measure calculated and presented in accordance with IFRS.
The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with IFRS. Our non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles. These measures may be different from non-GAAP financial measures used by other companies, limiting their usefulness for comparison purposes.
We believe these non-GAAP financial measures provide investors with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating our business.
For more information on our non-GAAP financial measures and a reconciliation of GAAP to non-GAAP measures, please refer to "Reconciliation of GAAP to Non-GAAP Results" table in this press release.
| 11 |
All amounts in millions, except EPS
Reconciliation of GAAP Measures to Non-GAAP Measures
Operating Working Capital
| Particulars | As on 31st Mar 2026 | As on 31st Mar 2025 | ||||||
| (₹) | (₹) | |||||||
| Inventories | 76,531 | 71,085 | ||||||
| Trade Receivables | 101,219 | 90,420 | ||||||
| Less: | ||||||||
| Trade Payables | (33,411 | ) | (35,523 | ) | ||||
| Operating Working Capital | 144,339 | 125,982 | ||||||
Free Cash Flow
| Particulars | Three months ended 31st Mar 2026 | Year ended 31st Mar 2026 | ||||||
| (₹) | (₹) | |||||||
| Net cash generated from operating activities | 17,259 | 70,281 | ||||||
| Less: | ||||||||
| Taxes | (1,614 | ) | (13,526 | ) | ||||
| Investments in Property, Plant & Equipment and intangibles | (9,646 | ) | (36,715 | ) | ||||
| Free Cash Flow before Acquisitions | 5,999 | 20,040 | ||||||
| Less: | ||||||||
| Acquisitions related pay-out | (3,152 | ) | (3,152 | ) | ||||
| Cash Flow | 2,847 | 16,888 | ||||||
Net Cash Surplus and Debt to Equity
| Particulars | As on 31st Mar 2026 | |||
| (₹) | ||||
| Cash and Cash Equivalents | 15,368 | |||
| Investments | 83,141 | |||
| Short-term Borrowings | (65,138 | ) | ||
| Long-term Borrowings (Current & Non-current) | (12,203 | ) | ||
| Less: | ||||
| Restricted Cash Balance – Unclaimed Dividend and others | (109 | ) | ||
| Lease liabilities (Included in Short-term and Long-term Borrowings) | 14,407 | |||
| Equity Investments (Included in Investments) | (2,752 | ) | ||
| Net Cash Surplus | 32,714 | |||
| Equity | 380,457 | |||
| Net Debt/Equity | (0.09 | ) | ||
| 12 |
Computation of RoCE
| Particulars | As on 31st Mar 2026 | |||
| (₹) | ||||
| Profit before Tax | 54,817 | |||
| Less: | ||||
| Interest and Investment Income (Excluding forex gain/loss) | (2,347 | ) | ||
| Earnings Before Interest and taxes [A] | 52,469 | |||
| Average Capital Employed [B] | 332,856 | |||
| Return on Capital Employed (A/B) (Ratio) | 15.8 | % | ||
Computation of Capital Employed:
| Particulars | As on | |||||||
| Mar 31, 2026 | Mar 31, 2025 | |||||||
| Property Plant and Equipment | 115,930 | 97,761 | ||||||
| Intangibles | 105,059 | 96,803 | ||||||
| Goodwill | 12,893 | 11,810 | ||||||
| Investment in Equity Accounted Associates | 5,673 | 4,811 | ||||||
| Other Current Assets | 36,256 | 30,142 | ||||||
| Other Non-Current Assets | 1,226 | 972 | ||||||
| Inventories | 76,531 | 71,085 | ||||||
| Trade Receivables | 101,219 | 90,420 | ||||||
| Derivative Financial Instruments | (6,743 | ) | (729 | ) | ||||
| Less: | ||||||||
| Other Liabilities | 53,702 | 48,788 | ||||||
| Provisions | 7,659 | 6,324 | ||||||
| Trade payables | 33,411 | 35,523 | ||||||
| Operating Capital Employed | 353,272 | 312,440 | ||||||
| Average Capital Employed | 332,856 | |||||||
Computation of EBITDA
Refer page no. 3 & 4.
| 13 |
Earnings Call Details
The management of the Company will host an Earnings call to discuss the Company’s financial performance and answer any questions from the participants.
Date: Tuesday, May 12, 2026
Time: 19:30 pm IST | 10:00 am ET
| Conference Joining Information |
| Pre-register with the below link and join |
|
https://drreddys.zoom.us/webinar/register/WN_DW56_eZ6SAGF8FWL6wa-EQ |
Audio Link and Transcript will be available on the Company’s website: www.drreddys.com
About Dr. Reddy’s: Dr. Reddy’s Laboratories Ltd. (BSE: 500124, NSE: DRREDDY, NYSE: RDY, NSEIFSC: DRREDDY) is a global pharmaceutical company headquartered in Hyderabad, India. Established in 1984, we are committed to providing access to affordable and innovative medicines. Driven by our purpose of ‘Good Health Can’t Wait’, we offer a portfolio of products and services including APIs, generics, branded generics, biosimilars and OTC. Our major therapeutic areas of focus are gastrointestinal, cardiovascular, diabetology, oncology, pain management and dermatology. Our major markets include – USA, India, Russia & CIS countries, China, Brazil, and Europe. As a company with a history of deep science that has led to several industry firsts, we continue to plan and invest in businesses of the future. As an early adopter of sustainability and ESG actions, we released our first Sustainability Report in 2004. Our current ESG goals aim to set the bar high in environmental stewardship; access and affordability for patients; diversity; and governance.
For more information, log on to: www.drreddys.com.
Disclaimer: This press release may include statements of future expectations and other forward-looking statements that are based on the management’s current views and assumptions and involve known or unknown risks and uncertainties that could cause actual results, performance, or events to differ materially from those expressed or implied in such statements. In addition to statements which are forward-looking by reason of context, the words "may", "will", "should", "expects", "plans", "intends", "anticipates", "believes", "estimates", "predicts", "potential", or "continue" and similar expressions identify forward-looking statements. Actual results, performance or events may differ materially from those in such statements due to without limitation, (i) general economic conditions such as performance of financial markets, credit defaults , currency exchange rates , interest rates, persistency levels and frequency / severity of insured loss events (ii) mortality and morbidity levels and trends, (iii) changing levels of competition and general competitive factors, (iv) changes in laws and regulations and in the policies of central banks and/or governments, (v) the impact of acquisitions or reorganization , including related integration issues, and (vi) the susceptibility of our industry and the markets addressed by our, and our customers’, products and services to economic downturns as a result of natural disasters, epidemics, pandemics or other widespread illness, including coronavirus (or COVID-19), and (vii) other risks and uncertainties identified in our public filings with the Securities and Exchange Commission, including those listed under the "Risk Factors" and "Forward-Looking Statements" sections of our Annual Report on Form 20-F for the year ended March 31, 2025, our quarterly financial statements filed in Form 6-K with the US SEC for the quarter ended June 30, 2025, September 30, 2025, December 31, 2025 and our other filings with US SEC. The company assumes no obligation to update any information contained herein.
| 14 |
Exhibit 99.3
| Dr. Reddy’s Laboratories Ltd. | ||
 |
8-2-337, Road No. 3, Banjara Hills, | |
| Hyderabad - 500 034, Telangana, | ||
| India. | ||
| CIN : L85195TG1984PLC004507 | ||
| Tel | : +91 40 4900 2900 | |
| Fax | : +91 40 4900 2999 | |
| : mail@drreddys.com | ||
| www.drreddys.com | ||
DR. REDDY'S LABORATORIES LIMITED
Audited consolidated financial results of Dr. Reddy's Laboratories Limited and its subsidiaries for the quarter and year ended 31 March 2026 prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB)
| All amounts in Indian Rupees millions | ||||||||||||||||||||||
| Quarter ended | Year ended | |||||||||||||||||||||
| 31.03.2026 | 31.12.2025 | 31.03.2025 | 31.03.2026 | 31.03.2025 | ||||||||||||||||||
| S. No. | Particulars | (Audited) | (Unaudited) | (Audited) | (Audited) | (Audited) | ||||||||||||||||
| 1 | Revenues | 75,162 | 87,268 | 85,060 | 335,933 | 325,535 | ||||||||||||||||
| 2 | Cost of revenues | 41,471 | 40,462 | 37,797 | 158,669 | 135,107 | ||||||||||||||||
| 3 | Gross profit (1 - 2) | 33,691 | 46,806 | 47,263 | 177,264 | 190,428 | ||||||||||||||||
| 4 | Selling, general and administrative expenses | 27,762 | 26,918 | 24,055 | 106,763 | 93,870 | ||||||||||||||||
| 5 | Research and development expenses | 5,463 | 6,149 | 7,258 | 24,058 | 27,380 | ||||||||||||||||
| 6 | Impairment of non-current assets, net | 2,586 | 271 | 768 | 3,519 | 1,693 | ||||||||||||||||
| 7 | Other income, net | (3,445 | ) | (770 | ) | (2,465 | ) | (7,627 | ) | (4,358 | ) | |||||||||||
| Total operating expenses | 32,366 | 32,568 | 29,616 | 126,713 | 118,585 | |||||||||||||||||
| 8 | Results from operating activities [(3) - (4 + 5 + 6 + 7)] | 1,325 | 14,238 | 17,647 | 50,551 | 71,843 | ||||||||||||||||
| Finance income | 1,677 | 2,112 | 3,008 | 7,870 | 7,553 | |||||||||||||||||
| Finance expense | (1,057 | ) | (944 | ) | (656 | ) | (3,738 | ) | (2,829 | ) | ||||||||||||
| 9 | Finance (expense)/income, net | 620 | 1,168 | 2,352 | 4,132 | 4,724 | ||||||||||||||||
| 10 | Share of profit of equity accounted investees, net of tax | 46 | 23 | 55 | 134 | 217 | ||||||||||||||||
| 11 | Profit before tax (8 + 9 + 10) | 1,991 | 15,429 | 20,054 | 54,817 | 76,784 | ||||||||||||||||
| 12 | Tax expense, net | (214 | ) | 3,533 | 4,181 | 12,351 | 19,539 | |||||||||||||||
| 13 | Profit for the period/year (11 -12) | 2,205 | 11,896 | 15,873 | 42,466 | 57,245 | ||||||||||||||||
| Attributable to: | ||||||||||||||||||||||
| Equity holders of the parent company | 2,201 | 12,098 | 15,939 | 42,850 | 56,544 | |||||||||||||||||
| Non-controlling interests | 4 | (202 | ) | (66 | ) | (384 | ) | 701 | ||||||||||||||
| 14 | Earnings per equity share attributable to equity shareholders of parent | |||||||||||||||||||||
| Basic earnings per share of Re.1/- each | 2.64 | 14.53 | 19.13 | 51.48 | 67.88 | |||||||||||||||||
| Diluted earnings per share of Re.1/- each | 2.64 | 14.52 | 19.11 | 51.42 | 67.78 | |||||||||||||||||
| (Not annualised) | (Not annualised) | (Not annualised) | ||||||||||||||||||||
 |
 |
| Segment information | All amounts in Indian Rupees millions | |||||||||||||||||||||
| Quarter ended | Year ended | |||||||||||||||||||||
| 31.03.2026 | 31.12.2025 | 31.03.2025 | 31.03.2026 | 31.03.2025 | ||||||||||||||||||
| Sl. No. | Particulars | (Audited) | (Unaudited) | (Audited) | (Audited) | (Audited) | ||||||||||||||||
| Segment wise revenue and results: | ||||||||||||||||||||||
| 1 | Segment revenue: | |||||||||||||||||||||
| a) Global Generics | 65,802 | 79,113 | 75,365 | 299,033 | 289,552 | |||||||||||||||||
| b) Pharmaceutical Services and Active Ingredients | 11,075 | 9,675 | 11,675 | 42,043 | 43,235 | |||||||||||||||||
| c) Others | 236 | 137 | 132 | 2,127 | 2,137 | |||||||||||||||||
| Total | 77,113 | 88,925 | 87,172 | 343,203 | 334,924 | |||||||||||||||||
| Less: Inter-segment revenues | 1,951 | 1,657 | 2,112 | 7,270 | 9,389 | |||||||||||||||||
| Total Revenues | 75,162 | 87,268 | 85,060 | 335,933 | 325,535 | |||||||||||||||||
| 2 | Segment results: | |||||||||||||||||||||
| Gross profit from each segment | ||||||||||||||||||||||
| a) Global Generics | 31,809 | 45,375 | 44,707 | 169,698 | 179,606 | |||||||||||||||||
| b) Pharmaceutical Services and Active Ingredients | 1,817 | 1,385 | 2,518 | 5,984 | 9,157 | |||||||||||||||||
| c) Others | 65 | 46 | 38 | 1,582 | 1,665 | |||||||||||||||||
| Total | 33,691 | 46,806 | 47,263 | 177,264 | 190,428 | |||||||||||||||||
| Less: Selling and other un-allocable expenditure, net of other income | 31,700 | 31,377 | 27,209 | 122,447 | 113,644 | |||||||||||||||||
| Total profit before tax | 1,991 | 15,429 | 20,054 | 54,817 | 76,784 | |||||||||||||||||
Global Generics segment includes operations of Biologics business. Inter-segment revenues represent sale from Pharmaceutical Services and Active Ingredients to Global Generics and Others at cost.
Segmental capital employed
As certain assets of the Company including manufacturing facilities, development facilities, treasury assets and liabilities are often deployed interchangeably across segments, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.
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Consolidated statements of financial position
| All amounts in Indian Rupees millions |
| As at | As at | |||||||
| 31.03.2026 | 31.03.2025 | |||||||
| Particulars | (Audited) | (Audited) | ||||||
| ASSETS | ||||||||
| Current assets | ||||||||
| Cash and cash equivalents | 15,368 | 14,654 | ||||||
| Other investments | 72,446 | 43,254 | ||||||
| Trade and other receivables | 101,219 | 90,420 | ||||||
| Inventories | 76,531 | 71,085 | ||||||
| Derivative financial instruments | 155 | 557 | ||||||
| Other current assets | 36,256 | 30,142 | ||||||
| Total current assets | 301,975 | 250,112 | ||||||
| Non-current assets | ||||||||
| Property, plant and equipment | 115,930 | 97,761 | ||||||
| Goodwill | 12,893 | 11,810 | ||||||
| Other intangible assets | 105,059 | 96,803 | ||||||
| Investment in equity accounted investees | 5,673 | 4,811 | ||||||
| Other investments | 10,695 | 10,391 | ||||||
| Deferred tax assets | 22,436 | 18,508 | ||||||
| Tax assets | 3,459 | 1,821 | ||||||
| Other non-current assets | 1,226 | 972 | ||||||
| Total non-current assets | 277,371 | 242,877 | ||||||
| Total assets | 579,346 | 492,989 | ||||||
| LIABILITIES AND EQUITY | ||||||||
| Current liabilities | ||||||||
| Trade and other payables | 33,411 | 35,523 | ||||||
| Short-term borrowings | 59,135 | 38,045 | ||||||
| Long-term borrowings, current portion | 6,003 | 857 | ||||||
| Provisions | 7,550 | 6,168 | ||||||
| Tax liabilities | 4,310 | 3,028 | ||||||
| Derivative financial instruments | 6,898 | 1,286 | ||||||
| Other current liabilities | 50,259 | 45,485 | ||||||
| Total current liabilities | 167,566 | 130,392 | ||||||
| Non-current liabilities | ||||||||
| Long-term borrowings | 12,203 | 7,864 | ||||||
| Deferred tax liabilities | 15,568 | 14,108 | ||||||
| Provisions | 109 | 156 | ||||||
| Other non-current liabilities | 3,443 | 3,303 | ||||||
| Total non-current liabilities | 31,323 | 25,431 | ||||||
| Total liabilities | 198,889 | 155,823 | ||||||
| Equity | ||||||||
| Share capital | 835 | 834 | ||||||
| Treasury shares | (1,815 | ) | (2,264 | ) | ||||
| Share premium | 11,364 | 11,133 | ||||||
| Share based payment reserve | 1,684 | 1,642 | ||||||
| Capital redemption reserve | 173 | 173 | ||||||
| Retained earnings | 351,984 | 315,793 | ||||||
| Other reserves | 3,979 | 3,979 | ||||||
| Other components of equity | 8,859 | 2,098 | ||||||
| Equity attributable to equity holders of the parent | 377,063 | 333,388 | ||||||
| Non-controlling interests | 3,394 | 3,778 | ||||||
| Total equity | 380,457 | 337,166 | ||||||
| Total liabilities and equity | 579,346 | 492,989 | ||||||
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Consolidated statements of cash flows
| All amounts in Indian Rupees millions |
| Year ended | ||||||||
| 31.03.2026 | 31.03.2025 | |||||||
| Particulars | (Audited) | (Audited) | ||||||
| Cash flows from/(used in) operating activities : | ||||||||
| Profit for the year | 42,466 | 57,245 | ||||||
| Adjustments for: | ||||||||
| Tax expense, net | 12,351 | 19,539 | ||||||
| Fair value changes and profit on sale of financial instruments measured at FVTPL*, net | (2,359 | ) | (3,554 | ) | ||||
| Depreciation and amortization | 20,605 | 17,058 | ||||||
| Impairment of non-current assets, net | 3,519 | 1,693 | ||||||
| Allowance for credit losses (on trade receivables and other advances) | 690 | 161 | ||||||
| Profit on sale/disposal of assets, net | (2,547 | ) | (1,522 | ) | ||||
| Share of profit of equity accounted investees | (134 | ) | (217 | ) | ||||
| Foreign exchange (gain)/loss, net | (529 | ) | 211 | |||||
| Interest (income)/expense, net | 12 | 152 | ||||||
| Inventories write-down | 7,517 | 5,220 | ||||||
| Equity settled share-based payment expense | 326 | 424 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Trade and other receivables | (6,722 | ) | (10,283 | ) | ||||
| Inventories | (8,601 | ) | (12,753 | ) | ||||
| Trade and other payables | 2,790 | 340 | ||||||
| Other assets and other liabilities, net | 897 | (7,293 | ) | |||||
| Cash generated from operations | 70,281 | 66,421 | ||||||
| Income tax paid, net | (13,526 | ) | (19,993 | ) | ||||
| Net cash generated from operating activities | 56,755 | 46,428 | ||||||
| Cash flows from/(used in) investing activities : | ||||||||
| Purchase of property, plant and equipment | (23,326 | ) | (27,504 | ) | ||||
| Proceeds from sale of property, plant and equipment | 309 | 512 | ||||||
| Purchase of other intangible assets | (15,099 | ) | (6,894 | ) | ||||
| Proceeds from sale of other intangible assets | 1,401 | 732 | ||||||
| Payment for acquisition of businesses | (3,152 | ) | (53,096 | ) | ||||
| Investment in associates | (51 | ) | (317 | ) | ||||
| Purchase of other investments (including bank deposits) | (46,718 | ) | (28,492 | ) | ||||
| Proceeds from sale of other investments (including bank deposits) | 19,602 | 53,610 | ||||||
| Interest and dividend received | 1,521 | 3,372 | ||||||
| Net cash used in investing activities | (65,513 | ) | (58,077 | ) | ||||
| Cash flows from/(used in) financing activities : | ||||||||
| Proceeds from issuance of equity shares (including treasury shares) | 397 | 193 | ||||||
| Purchase of treasury shares | - | (1,389 | ) | |||||
| Proceeds from short-term loans and borrowings, net | 20,257 | 24,490 | ||||||
| Repayment of long-term borrowings | (1 | ) | - | |||||
| Proceeds from issuance of equity shares in subsidiary to Non-controlling interests | - | 7,056 | ||||||
| Payment of principal portion of lease liabilities | (1,263 | ) | (1,294 | ) | ||||
| Dividend paid | (6,659 | ) | (6,662 | ) | ||||
| Interest paid | (4,441 | ) | (3,483 | ) | ||||
| Net cash from financing activities | 8,290 | 18,911 | ||||||
| Net increase/(decrease) in cash and cash equivalents | (468 | ) | 7,262 | |||||
| Effect of exchange rate changes on cash and cash equivalents | 1,243 | 224 | ||||||
| Cash and cash equivalents at the beginning of the year | 14,593 | 7,107 | ||||||
| Cash and cash equivalents at the end of the year(1) | 15,368 | 14,593 | ||||||
*FVTPL (fair value through profit or loss)
(1)Adjusted for bank-overdraft of Rs. 61 million for the year ended 31 March 2025.
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Notes:
| 1 | The above Statement of audited consolidated financial results of Dr. Reddy’s Laboratories Limited (the “parent company”), together with its subsidiaries (collectively, the “Company”), joint ventures and associates, have been prepared in accordance with recognition and measurement principles of IFRS as issued by the International Accounting Standards Board (IASB), and presented as per the format of Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, and were reviewed and recommended by Audit Committee and approved by the Board of Directors at their meetings held on 12 May 2026. The independent auditors have issued an unqualified report thereon. |
| 2 | During the quarter ended 31 March 2026, consequent to resolution of a Shelf Stock Adjustment claim arising from reduction in price of its generic product Lenalidomide in the United States, the Company has recorded an amount of Rs. 4,530 million (USD 50 million) as a reduction of “Revenue from sale of goods” in the Company's Global Generics Segment. |
| 3 | During the quarter ended 31 March 2026, the Company has decided to discontinue certain of its R&D programs associated with Chimeric Antigen Receptor T-cell (CAR-T) therapy portfolio in light of the current development status and recent clinical trial outcomes. Consequent to this decision, the Company has recognized a net loss of Rs. 1,350 million in the Company's Global Generic segment, comprising of: |
a. Impairment of non-current assets of Rs. 1,291 million (i.e., towards Property, plant and equipment, Other Intangible assets and Right of use assets) and
b. Other development program related wind down cost under Selling, general and administrative expenses (“SG&A”) of Rs. 59 million.
| 4 | During the quarter ended 31 March 2026, the Company has recorded an impairment loss of Rs.914 million (USD 10 million) consequent to discontinuation of the Phase III study in first line non-small cell lung cancer conducted by Immutep Limited following the results of the futility analysis. |
| 5 | During the year ended 31 March 2026, consequent to certain technical challenges in product development, the Company decided to discontinue development of conjugated estrogen at its site in Middleburgh, New York. Consequent to discontinuance of development, the Company recorded the following financial impacts in the Company's Global Generic segment, resulting in a net loss of Rs.47 million: |
- Impairment loss of the entire carrying value of Rs.535 million for property, plant and equipment;
- Inventory related provisions of Rs.260 million;
- Other development program related wind down costs of Rs.129 million;
- Gain recognized under Other Income, net from the write back of liabilities no longer required of Rs.877 million.
| 6 | "Impairment of non-current assets, net" for the year ended 31 March 2025 primarily includes: a. Impairment of intangibles pertaining to acquisition from Mayne: -an amount of Rs.907 million towards Haloette® (a generic equivalent to Nuvaring®), a product-related intangible, due to constraints on procurement of the underlying product from its contract manufacturer, resulting in a lower recoverable value compared to the carrying value. -an amount of Rs.270 million pertaining to impairment of certain product related intangibles, due to adverse market conditions resulting in lower recoverable value compared to the carrying value. b. Other impairments: During the year ended 31 March 2025, consequent to adverse market conditions with respect to certain product related intangibles, the Company assessed the recoverable value of certain products and recognized impairment loss of Rs.288 million pertaining to products forming part of the Company’s business in India and Europe. The above impairment charge pertains to Company's Global Generics segment. |
| 7 | “Other income, net” includes: a. Rs. 1,400 million recognised pursuant to settlement of product related litigations representing payment for avoided litigation costs by the Company and its affiliates in the United States and the United Kingdom during the year ended 31 March 2026. b. Gain on sale of non-current assets, net amounting to Rs. 1,890 million towards divestment of certain product related intangibles i.e., trademarks during the quarter ended 31 March 2026. |
| 8 | “Other income, net” for the year ended 31 March 2025 includes cumulative amount of foreign exchange gain of Rs. 1,551 million, reclassed from the foreign currency translation reserve to the Other income, net, and a loss of Rs. 52 million due to turnaround fees paid upon divestment of the membership interest in the subsidiary “Dr. Reddy’s Laboratories Louisiana LLC” to Jaguar labs Holdings LLC during March 2025. |
This transaction pertains to the Company's Global Generics segment.
| 9 | The Company received a field tax audit report from the Federal Tax Service authority in respect of one of its foreign subsidiaries for the period from January 2020 to December 2022. The report concluded that certain services were subject to value-added tax (VAT). The Company filed objections to the findings, and a revised audit report was issued on 15 September 2025 with a reduced VAT liability. Based on its best estimate, the Company had recorded a provision of Rs. 695 million under SG&A during the quarter ended 30 September 2025. |
The Company continued to defend its position and submitted further objections, asserting that the specified services should not be subject to VAT. On 23 March 2026, the Company received the final order from the Federal Tax Service authorities, pursuant to which the originally proposed VAT liability was substantially reduced. Based on the final order, an additional provision of Rs. 1,141 million, including applicable interest and penalties, was recognized for the periods covered under audit as well as subsequent period from calendar year 2023 through 31 March 2026.
This additional provision was recorded
under SG&A during the quarter ended 31 March 2026. The Company believes that the likelihood of any further liability on account
of this field tax audit is not probable.
This transaction pertains to the Company’s Global Generics segment.
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|
| 10 | The Government of India has consolidated 29 existing labour legislations into a unified framework comprising four labour codes as follows: Code on Wages, 2019, Code on Social Security, 2020, Industrial Relations Code, 2020 and Occupational Safety, Health and Working Conditions Code 2020 (collectively referred to as the “New Labour Codes”). The New Labour Codes are effective from 21 November 2025 and introduce changes, among other things, setting a uniform definition of wages. The New Labour Codes have implications on employee benefits including gratuity, leave encashment, and other related obligations. The Company has assessed the implications of the New Labour Codes and has recognized an incremental cost of Rs.1,170 million towards employee benefits during the year ended 31 March 2026. The Company continues to monitor the developments pertaining to the implementation of the New Labour Codes, including related rules there to and the impact of these will be accounted in accordance with applicable accounting standards. |
| 11 | The Company received an anonymous complaint in September 2020, alleging that healthcare professionals in Ukraine and potentially in other countries were provided with improper payments by or on behalf of the Company in violation of U.S. anti-corruption laws, specifically the U.S. Foreign Corrupt Practices Act. The Company disclosed the matter to the U.S. Department of Justice (“DOJ”), Securities and Exchange Commission (“SEC”) and Securities Exchange Board of India. The Company engaged a U.S. law firm to conduct the investigation at the instruction of a committee of the Company’s Board of Directors. On 6 July 2021 the Company received a subpoena from the SEC for the production of related documents, which were provided to the SEC.
The Company engaged with the SEC and DOJ, including through submissions and presentations regarding the initial complaint and additional complaints relating to other markets, and in relation to its Global Compliance Framework, which included enhancement initiatives undertaken by the Company, and the Company complied with its listing obligations as it relates to updating the regulatory agencies. On 23 February 2026 the Company received a letter from the SEC stating that, based on the information available to it, the SEC has concluded its investigation and does not intend to recommend any enforcement action against the Company at this time. On 5 March 2026, the Company received a letter from the DOJ stating that, based on the information available to it, the DOJ has closed its inquiry. |
| 12 | The Company considered the on-going uncertainties relating to geo-political conflicts (including Russia and Ukraine) in assessing the recoverability of receivables, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions. |
| 13 | The Board of Directors, at their meeting held on 12 May 2026, have recommended a final dividend of Rs.8 per share subject to approval of shareholders. |
| 14 | The figures of the fourth quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures up to the third quarter of the relevant financial year. Also the figures up to the end of third quarter were only reviewed and not subjected to audit. |
| By order of the Board | |
| For Dr. Reddy's Laboratories Limited | |
 | |
| Place: Hyderabad | G V Prasad |
| Date: 12 May 2026 | Co-Chairman & Managing Director |
| DIN: 00057433 |
| |
|
Exhibit 99.4
 |
THE SKYVIEW 10 18th Floor, “NORTH LOBBY” Survey No. 83/1, Raidurgam Hyderabad - 500 032, India Tel: +91 40 6141 6000 |
Independent Auditor’s Report on the Quarterly and Year to Date Consolidated Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended
To
The Board of Directors of
Dr. Reddy’s Laboratories Limited
Report on the audit of the Consolidated Financial Results
Opinion
We have audited the accompanying ‘Statement of Audited Consolidated Financial Results for the quarter and year ended 31 March 2026 (the “Statement”)’ of Dr. Reddy’s Laboratories Limited (the “Holding Company”) and its subsidiaries (the Holding Company and its subsidiaries together referred to as “the Group”), its associates and joint ventures attached herewith, being submitted by the Holding Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (“Listing Regulations”).
In our opinion and to the best of our information and according to the explanations given to us and based on the consideration of the reports of the other auditors on separate audited financial statements of the subsidiaries referred to in the Other Matters paragraph below, the Statement:
| i. | includes the results of the following entities: |
Holding Company
Dr. Reddy’s Laboratories Limited
Subsidiaries
| 1. | Aurigene Discovery Technologies (Malaysia) Sdn. Bhd. |
| 2. | Aurigene Oncology Limited (Formerly, Aurigene Discovery Technologies Limited) |
| 3. | Aurigene Pharmaceutical Services Limited |
| 4. | beta Institut gemeinnützige GmbH |
| 5. | betapharm Arzneimittel GmbH |
| 6. | Cheminor Investments Limited |
| 7. | Dr. Reddy’s Farmaceutica Do Brasil Ltda. |
| 8. | Dr. Reddy’s Laboratories (EU) Limited |
| 9. | Dr. Reddy’s Laboratories (Proprietary) Limited |
| 10. | Dr. Reddy’s Laboratories (UK) Limited |
| 11. | Dr. Reddy’s Laboratories Canada, Inc. |
| 12. | Dr. Reddy’s Laboratories Chile SPA |
| 13. | Dr. Reddy’s Laboratories Inc. |
| 14. | Dr. Reddy’s Laboratories Japan KK |
| 15. | Dr. Reddy’s Laboratories Kazakhstan LLP |
| 16. | Dr. Reddy’s Laboratories Malaysia Sdn. Bhd. |
| 17. | Dr. Reddy’s Laboratories New York, LLC |
| 18. | Dr. Reddy’s Laboratories Philippines Inc. |
| 19. | Dr. Reddy’s Laboratories Romania SRL |
| 20. | Dr. Reddy’s Laboratories SA |
| 21. | Dr. Reddy’s Laboratories Taiwan Limited |
| 22. | Dr. Reddy’s Laboratories (Thailand) Limited |
| 23. | Dr. Reddy’s Laboratories LLC, Ukraine |
| 24. | Dr. Reddy’s New Zealand Limited |
S.R. Batliboi & Associates LLP, a Limited Liability Partnership with LLP Identity No. AAB-4295
Regd. Office: 22, Camac Street, Block ‘B’, 3rd Floor, Kolkata-700 016
| 25. | Dr. Reddy’s SRL |
| 26. | Dr. Reddy’s Bio-Sciences Limited |
| 27. | Dr. Reddy’s Laboratories (Australia) Pty. Limited |
| 28. | Dr. Reddy’s Laboratories SAS |
| 29. | Dr. Reddy’s Netherlands B.V. (Formally Dr. Reddy’s Research and Development B.V.) |
| 30. | Dr. Reddy’s (Beijing) Pharmaceutical Co. Limited |
| 31. | DRL Impex Limited |
| 32. | Dr. Reddy’s Formulations Limited |
| 33. | Idea2Enterprises (India) Pvt. Limited |
| 34. | Imperial Owners and Land Possessions Private Limited (Formerly, Imperial Credit Private Limited, till August 05, 2025) |
| 35. | Industrias Quimicas Falcon de Mexico, S.A. de CV |
| 36. | Lacock Holdings Limited |
| 37. | Dr. Reddy’s Laboratories LLC, Russia |
| 38. | Promius Pharma LLC |
| 39. | Reddy Holding GmbH |
| 40. | Reddy Netherlands B.V. |
| 41. | Reddy Pharma Iberia SAU |
| 42. | Reddy Pharma Italia S.R.L. |
| 43. | Reddy Pharma SAS |
| 44. | Svaas Wellness Limited |
| 45. | Nimbus Health GmbH |
| 46. | Dr. Reddy’s Laboratories Jamaica Limited |
| 47. | Dr. Reddy’s and Nestle Health Science Limited (Formerly, Dr. Reddy’s Nutraceuticals Limited) |
| 48. | Northstar Switzerland SARL |
| 49. | North Star OpCo Limited |
| 50. | North Star Sweden AB |
| 51. | Dr. Reddy's Denmark ApS |
| 52. | Dr. Reddy’s Finland Oy |
| 53. | Dr. Reddy’s Laboratories (Vietnam) Company Limited (incorporated on May 09, 2025) |
Associates
| 1. | O2 Renewabale Energy IX Private Limited |
| 2. | Clean Renewable Energy KK 2A Private Limited |
Joint Venture
| 1. | DRES Energy Private Limited |
| 2. | Kunshan Rotam Reddy Pharmaceutical Co. Limited (including Kunshan Rotam Reddy Medicine Company Limited) |
Other Consolidating Entities
| 1. | Dr Reddy’s Employees ESOS Trust |
| 2. | Cheminors Employees Welfare Trust |
| 3. | Dr. Reddy’s Research Foundation |
| ii. | are presented in accordance with the requirements of the Listing Regulations in this regard; and |
| iii. | gives a true and fair view in conformity with the applicable accounting standards, and other accounting principles generally accepted in India, of the consolidated net profit and other comprehensive income and other financial information of the Group for the quarter and year ended March 31, 2026. |
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing (SAs), as specified under Section 143(10) of the Companies Act, 2013, as amended (“the Act”). Our responsibilities under those Standards are further described in the “Auditor’s Responsibilities for the Audit of the Consolidated Financial Results” section of our report. We are independent of the Group, its associates and joint ventures in accordance with the ‘Code of Ethics’ issued by the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence obtained by us and other auditors in terms of their reports referred to in “Other Matters” paragraph below, is sufficient and appropriate to provide a basis for our opinion.
Management’s Responsibilities for the Consolidated Financial Results
The Statement has been prepared on the basis of the consolidated annual financial statements. The Holding Company’s Board of Directors are responsible for the preparation and presentation of the Statement that give a true and fair view of the net profit and other comprehensive income and other financial information of the Group including its associates and joint ventures in accordance with the applicable accounting standards prescribed under section 133 of the Act read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations. The respective Board of Directors of the companies included in the Group and of its associates and joint ventures are responsible for maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of their respective companies and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and the design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Statement that give a true and fair view and are free from material misstatement, whether due to fraud or error, which have been used for the purpose of preparation of the Statement by the Directors of the Holding Company, as aforesaid.
In preparing the Statement, the respective Board of Directors of the companies included in the Group and of its associates and joint ventures are responsible for assessing the ability of their respective companies to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.
The respective Board of Directors of the companies included in the Group and of its associates and joint ventures are also responsible for overseeing the financial reporting process of their respective companies.
Auditor’s Responsibilities for the Audit of the Consolidated Financial Results
Our objectives are to obtain reasonable assurance about whether the Statement as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the Statement.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
| · | Identify and assess the risks of material misstatement of the Statement, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. |
| · | Obtain
an understanding of internal control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances. Under Section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the company has adequate internal financial controls with reference to financial statements in place and the operating effectiveness of such controls. |
| · | Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors. |
| · | Conclude on the appropriateness of the Board of Directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the ability of the Group and its associates and joint ventures to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the Statement or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Group and its associates and joint ventures to cease to continue as a going concern. |
| · | Evaluate the overall presentation, structure and content of the Statement, including the disclosures, and whether the Statement represent the underlying transactions and events in a manner that achieves fair presentation. |
| · | Obtain sufficient appropriate audit evidence regarding the financial results/financial information of the entities within the Group and its associates and joint ventures of which we are the independent auditors and whose financial information we have audited, to express an opinion on the Statement. We are responsible for the direction, supervision and performance of the audit of the financial information of such entities included in the Statement of which we are the independent auditors. For the other entities included in the Statement, which have been audited by other auditors, such other auditors remain responsible for the direction, supervision and performance of the audits carried out by them. We remain solely responsible for our audit opinion. |
We communicate with those charged with governance of the Holding Company and such other entities included in the Statement of which we are the independent auditors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
We also performed procedures in accordance with the Master Circular issued by the Securities Exchange Board of India under Regulation 33 (8) of the Listing Regulations, to the extent applicable.
Other Matters
| 1. | The accompanying Statement includes the audited financial results/statements and other financial information, in respect of one subsidiary, whose financial results/statements include total assets of Rs. 31,687 Mn as at March 31, 2026, total revenues of Rs. 8,836 Mn and Rs. 35,102 Mn, total net profit after tax of Rs. 487 Mn and Rs. 797 Mn, total comprehensive income of Rs. 487 Mn and Rs. 797 Mn, for the quarter and the year ended on that date respectively, and net cash inflows of Rs. 803 Mn for the year ended March 31, 2026, as considered in the Statement which have been audited by its independent auditor. The independent auditor’s report on the financial results of this entity has been furnished to us by the Management and our opinion on the Statement in so far as it relates to the amounts and disclosures included in respect of this subsidiary is based solely on the reports of such auditor and the procedures performed by us as stated in paragraph above. |
| 2. | The accompanying Statement includes unaudited financial results and other unaudited financial information in respect of two associates and two joint ventures, whose financial results includes the Group’s share of net profit of Rs. 46 Mn and Rs. 134 Mn and Group’s share of total comprehensive income of Rs. 46 Mn and Rs. 134 Mn for the quarter and year ended March 31, 2026 respectively, as considered in the Statement whose financial results/statements and other financial information have not been audited by their auditors. These unaudited financial results have been approved and furnished to us by the Management and our opinion on the Statement, in so far as it relates to the amounts and disclosures included in respect of these joint ventures and associates, is based solely on such unaudited financial results. In our opinion and according to the information and explanations given to us by the Management, these financial results are not material to the Group. |
Our opinion on the Statement is not modified in respect of the above matters with respect to our reliance on the work done and the report of the other auditor and the financial results/financial information certified by the Management.
| 3. | The Statement includes the results for the quarter ended March 31, 2026 being the balancing figures between the audited figures in respect of the full financial year ended March 31, 2026 and the published unaudited year-to-date figures up to the end of the third quarter of the current financial year, which were subjected to a limited review by us, as required under the Listing Regulations. |
For S.R. Batliboi & Associates LLP
Chartered Accountants
ICAI Firm Registration Number: 101049W/E300004
 |  |
per Shankar Srinivasan
Partner
Membership No.: 213271
UDIN: 26213271FALXKG8081
Place: Hyderabad
Date: May 12, 2026
 |
Dr. Reddy’s Laboratories Ltd. 8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500 034, Telangana, India. CIN : L85195TG1984PLC004507
Tel :+91 40 4900 2900 Fax :+91 40 4900 2999 Email :mail@drreddys.com www.drreddys.com |
DR. REDDY'S LABORATORIES LIMITED
STATEMENT OF AUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED 31 MARCH 2026
All amounts in Indian Rupees millions
| Quarter ended | Year ended | |||||||||||||||||||||
| 31.03.2026 | 31.12.2025 | 31.03.2025 | 31.03.2026 | 31.03.2025 | ||||||||||||||||||
| Sl. No. | Particulars | (Audited) | (Unaudited) | (Audited) | (Audited) | (Audited) | ||||||||||||||||
| 1 | Revenue from operations | |||||||||||||||||||||
| a) Sales | 72,957 | 84,204 | 82,105 | 326,213 | 316,320 | |||||||||||||||||
| b) License fees and service income | 2,205 | 3,066 | 2,955 | 9,720 | 9,215 | |||||||||||||||||
| c) Other operating income | 302 | 264 | 224 | 1,069 | 904 | |||||||||||||||||
| Total revenue from operations | 75,464 | 87,534 | 85,284 | 337,002 | 326,439 | |||||||||||||||||
| 2 | Other income | 4,754 | 2,688 | 5,221 | 13,584 | 10,973 | ||||||||||||||||
| 3 | Total income (1 + 2) | 80,218 | 90,222 | 90,505 | 350,586 | 337,412 | ||||||||||||||||
| 4 | Expenses | |||||||||||||||||||||
| a) Cost of materials consumed | 11,986 | 18,255 | 17,165 | 65,012 | 56,835 | |||||||||||||||||
| b) Purchase of stock-in-trade | 16,577 | 15,421 | 11,275 | 61,616 | 48,411 | |||||||||||||||||
| c) Changes in inventories of finished goods, work-in-progress and stock-in-trade | 3,564 | (2,723 | ) | 60 | (4,236 | ) | (5,447 | ) | ||||||||||||||
| d) Employee benefits expense | 14,468 | 15,885 | 14,006 | 59,909 | 55,800 | |||||||||||||||||
| e) Depreciation and amortisation expense | 5,571 | 5,210 | 4,547 | 20,588 | 17,037 | |||||||||||||||||
| f) Impairment of non-current assets, net | 2,575 | 270 | 768 | 3,518 | 1,693 | |||||||||||||||||
| g) Finance costs | 1,057 | 944 | 656 | 3,738 | 2,829 | |||||||||||||||||
| h) Other expenses | 22,469 | 21,551 | 22,031 | 86,648 | 83,676 | |||||||||||||||||
| Total expenses | 78,267 | 74,813 | 70,508 | 296,793 | 260,834 | |||||||||||||||||
| 5 | Profit before tax and before share of equity accounted investees(3 - 4) | 1,951 | 15,409 | 19,997 | 53,793 | 76,578 | ||||||||||||||||
| 6 | Share of profit of equity accounted investees, net of tax | 46 | 23 | 55 | 134 | 217 | ||||||||||||||||
| 7 | Profit before tax (5+6) | 1,997 | 15,432 | 20,052 | 53,927 | 76,795 | ||||||||||||||||
| 8 | Tax expense/(benefit): | |||||||||||||||||||||
| a) Current tax | (237 | ) | 2,074 | 4,323 | 13,945 | 22,581 | ||||||||||||||||
| b) Deferred tax | 21 | 1,462 | (138 | ) | (1,594 | ) | (3,038 | ) | ||||||||||||||
| 9 | Net profit after taxes and share of profit of associates (7 - 8) | 2,213 | 11,896 | 15,867 | 41,576 | 57,252 | ||||||||||||||||
| 10 | Net profit after taxes attributable to | |||||||||||||||||||||
| a) Equity shareholders of the parent company | 2,209 | 12,099 | 15,933 | 41,960 | 56,551 | |||||||||||||||||
| b) Non-controlling interests | 4 | (203 | ) | (66 | ) | (384 | ) | 701 | ||||||||||||||
| 11 | Other comprehensive income/(loss) | |||||||||||||||||||||
| a) (i) Items that will not be reclassified subsequently to profit or loss | 168 | (16 | ) | (117 | ) | 143 | (293 | ) | ||||||||||||||
| (ii) Income tax relating to items that will not be reclassified to profit or loss | (56 | ) | - | 24 | (56 | ) | 24 | |||||||||||||||
| b) (i) Items that will be reclassified subsequently to profit or loss | 2,167 | 1,810 | 1,425 | 6,916 | 2,376 | |||||||||||||||||
| (ii) Income tax relating to items that will be reclassified to profit or loss | 179 | (24 | ) | (238 | ) | 392 | (58 | ) | ||||||||||||||
| Total other comprehensive income/(loss) | 2,458 | 1,770 | 1,094 | 7,395 | 2,049 | |||||||||||||||||
| Total comprehensive income (9 + 11) | 4,671 | 13,666 | 16,961 | 48,971 | 59,301 | |||||||||||||||||
| 12 | Total comprehensive income attributable to | |||||||||||||||||||||
| a) Equity shareholders of the parent company | 4,667 | 13,869 | 17,027 | 49,355 | 58,600 | |||||||||||||||||
| b) Non-controlling interest | 4 | (203 | ) | (66 | ) | (384 | ) | 701 | ||||||||||||||
| 13 | Paid-up equity share capital (face value Re. 1/- each) | 835 | 835 | 834 | 835 | 834 | ||||||||||||||||
| 14 | Other equity | 378,080 | 334,662 | |||||||||||||||||||
| 15 | Earnings per equity share attributable to equity shareholders of parent(face value Re. 1/- each) | |||||||||||||||||||||
| Basic | 2.65 | 14.53 | 19.12 | 50.41 | 67.89 | |||||||||||||||||
| Diluted | 2.65 | 14.52 | 19.10 | 50.35 | 67.79 | |||||||||||||||||
| (Not annualised) | (Not annualised) | (Not annualised) | ||||||||||||||||||||
See accompanying notes to the financial results
 |  |  |
DR. REDDY'S LABORATORIES LIMITED
| Segment information | All amounts in Indian Rupees millions |
| Quarter ended | Year ended | |||||||||||||||||||||
| 31.03.2026 | 31.12.2025 | 31.03.2025 | 31.03.2026 | 31.03.2025 | ||||||||||||||||||
| Sl. No. | Particulars | (Audited) | (Unaudited) | (Audited) | (Audited) | (Audited) | ||||||||||||||||
| Segment wise revenue and results: | ||||||||||||||||||||||
| 1 | Segment revenue : | |||||||||||||||||||||
| a) Global Generics | 65,925 | 79,568 | 75,432 | 299,460 | 289,810 | |||||||||||||||||
| b) Pharmaceutical Services and Active Ingredients | 11,247 | 9,472 | 11,819 | 42,672 | 43,868 | |||||||||||||||||
| c) Others | 243 | 151 | 145 | 2,140 | 2,150 | |||||||||||||||||
| Total | 77,415 | 89,191 | 87,396 | 344,272 | 335,828 | |||||||||||||||||
| Less: Inter-segment revenue | 1,951 | 1,657 | 2,112 | 7,270 | 9,389 | |||||||||||||||||
| Total revenue from operations | 75,464 | 87,534 | 85,284 | 337,002 | 326,439 | |||||||||||||||||
| 2 | Segment results: | |||||||||||||||||||||
| Gross profit from each segment | ||||||||||||||||||||||
| a) Global Generics | 31,768 | 45,411 | 44,707 | 169,696 | 179,606 | |||||||||||||||||
| b) Pharmaceutical Services and Active Ingredients | 1,849 | 1,360 | 2,526 | 6,002 | 9,178 | |||||||||||||||||
| c) Others | 74 | 43 | 40 | 1,581 | 1,665 | |||||||||||||||||
| Total | 33,692 | 46,814 | 47,273 | 177,280 | 190,449 | |||||||||||||||||
| Less: Selling and other un-allocable expenditure/(income), net | 31,694 | 31,382 | 27,221 | 123,352 | 113,654 | |||||||||||||||||
| Total profit before tax | 1,997 | 15,432 | 20,052 | 53,927 | 76,795 | |||||||||||||||||
Global Generics includes operations of Biologics business. Inter-segment revenue represents sales from Pharmaceutical Services and Active Ingredients to Global Generics and Others at cost.
Segmental capital employed
As certain assets of the Company including manufacturing facilities, development facilities and treasury assets and liabilities are often deployed interchangeably across segments, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.
| | |
DR. REDDY'S LABORATORIES LIMITED
| Consolidated Balance Sheet | All amounts in Indian Rupees millions |
| As at | As at | |||||||
| 31.03.2026 | 31.03.2025 | |||||||
| Particulars | (Audited) | (Audited) | ||||||
| ASSETS | ||||||||
| Non-current assets | ||||||||
| Property, plant and equipment | 100,778 | 72,984 | ||||||
| Capital work-in-progress | 14,602 | 23,994 | ||||||
| Goodwill | 14,797 | 13,139 | ||||||
| Other intangible assets | 105,058 | 96,141 | ||||||
| Intangible assets under development | - | 662 | ||||||
| Investment in equity accounted investees | 5,673 | 4,811 | ||||||
| Financial assets | ||||||||
| Investments | 8,942 | 2,393 | ||||||
| Other financial assets | 2,917 | 8,875 | ||||||
| Deferred tax assets, net | 22,190 | 18,325 | ||||||
| Tax assets, net | 3,503 | 1,821 | ||||||
| Other non-current assets | 981 | 940 | ||||||
| Total non-current assets | 279,441 | 244,085 | ||||||
| Current assets | ||||||||
| Inventories | 76,534 | 71,085 | ||||||
| Financial assets | ||||||||
| Investments | 38,233 | 33,307 | ||||||
| Trade receivables | 101,234 | 90,420 | ||||||
| Derivative financial instruments | 155 | 557 | ||||||
| Cash and cash equivalents | 15,368 | 14,654 | ||||||
| Other bank balances | 18,119 | 9,948 | ||||||
| Other financial assets | 22,255 | 3,142 | ||||||
| Other current assets | 29,895 | 27,068 | ||||||
| Total current assets | 301,793 | 250,181 | ||||||
| TOTAL ASSETS | 581,234 | 494,266 | ||||||
| EQUITY AND LIABILITIES | ||||||||
| Equity | ||||||||
| Equity share capital | 835 | 834 | ||||||
| Other equity | 378,080 | 334,662 | ||||||
| Equity attributable to equity shareholders of the parent company | 378,915 | 335,496 | ||||||
| Non-Controlling interests | 3,394 | 3,778 | ||||||
| Total equity | 382,309 | 339,274 | ||||||
| Liabilities | ||||||||
| Non-current liabilities | ||||||||
| Financial liabilities | ||||||||
| Borrowings | - | 3,800 | ||||||
| Lease liabilities | 12,203 | 4,064 | ||||||
| Other financial liabilities | 432 | 198 | ||||||
| Provisions | 338 | 298 | ||||||
| Deferred tax liabilities, net | 15,467 | 14,038 | ||||||
| Other non-current liabilities | 3,011 | 2,256 | ||||||
| Total non-current liabilities | 31,451 | 24,654 | ||||||
| Current liabilities | ||||||||
| Financial liabilities | ||||||||
| Borrowings | 62,935 | 38,045 | ||||||
| Lease liabilities | 2,203 | 857 | ||||||
| Trade payables | ||||||||
| Total outstanding dues of micro enterprises and small enterprises | 334 | 210 | ||||||
| Total outstanding dues of creditors other than micro enterprises and small enterprises | 30,045 | 26,268 | ||||||
| Derivative financial instruments | 6,898 | 1,286 | ||||||
| Other financial liabilities | 40,085 | 39,698 | ||||||
| Other current liabilities | 11,921 | 13,190 | ||||||
| Tax Liabilities, net | 4,353 | 3,028 | ||||||
| Provisions | 8,700 | 7,756 | ||||||
| Total current liabilities | 167,474 | 130,338 | ||||||
| TOTAL EQUITY AND LIABILITIES | 581,234 | 494,266 | ||||||
| | |
DR. REDDY'S LABORATORIES LIMITED
| Consolidated statement of cashflows | All amounts in Indian Rupees millions |
| Year ended | Year ended | |||||||
| 31.03.2026 | 31.03.2025 | |||||||
| Particulars | (Audited) | (Audited) | ||||||
| Cash flows from/(used in) operating activities : | ||||||||
| Profit before tax | 53,927 | 76,795 | ||||||
| Adjustments for: | ||||||||
| Fair value changes and profit on sale of financial instruments measured at FVTPL*, net | (2,359 | ) | (3,554 | ) | ||||
| Depreciation and amortisation expense | 20,588 | 17,037 | ||||||
| Impairment of non-current assets, net | 3,518 | 1,693 | ||||||
| Allowance for credit losses (on trade receivables and other advances) | 690 | 161 | ||||||
| Profit on sale/disposal of assets, net | (2,547 | ) | (1,512 | ) | ||||
| Share of profit of equity accounted investees | (134 | ) | (217 | ) | ||||
| Unrealized exchange loss/(gain), net | (529 | ) | 211 | |||||
| Interest income | (3,726 | ) | (2,677 | ) | ||||
| Finance costs | 3,738 | 2,829 | ||||||
| Equity settled share-based payment expense | 326 | 424 | ||||||
| Inventories write-down | 7,517 | 5,220 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Trade receivables | (6,722 | ) | (10,283 | ) | ||||
| Inventories | (8,601 | ) | (12,753 | ) | ||||
| Trade payables | 2,790 | 340 | ||||||
| Other assets and other liabilities, net | 1,787 | (7,293 | ) | |||||
| Cash generated from operations | 70,263 | 66,421 | ||||||
| Income tax paid, net | (13,526 | ) | (19,993 | ) | ||||
| Net cash from operating activities | 56,737 | 46,428 | ||||||
| Cash flows from/(used in) investing activities : | ||||||||
| Purchase of property, plant and equipment | (23,306 | ) | (27,504 | ) | ||||
| Proceeds from sale of property, plant and equipment | 309 | 512 | ||||||
| Purchase of other intangible assets | (15,099 | ) | (6,894 | ) | ||||
| Proceeds from sale of other intangible assets | 1,401 | 732 | ||||||
| Investment in associates | (51 | ) | (317 | ) | ||||
| Purchase of investments (including bank deposits) | (46,718 | ) | (28,492 | ) | ||||
| Proceeds from sale of investments (including bank deposits) | 19,602 | 53,610 | ||||||
| Payment for acquisition of businesses | (3,152 | ) | (53,096 | ) | ||||
| Interest and dividend received | 1,521 | 3,372 | ||||||
| Net cash used in investing activities | (65,493 | ) | (58,077 | ) | ||||
| Cash flows from/(used in) financing activities : | ||||||||
| Proceeds from issuance of equity shares (including treasury shares) | 397 | 193 | ||||||
| Purchase of treasury shares | - | (1,389 | ) | |||||
| Proceeds from short-term borrowings, net | 20,257 | 24,490 | ||||||
| Repayment of long-term loans and borrowings | (1 | ) | - | |||||
| Proceeds from issuance of equity shares in subsidiary to Non controlling interest | - | 7,056 | ||||||
| Payment of principal portion of lease liabilities | (1,263 | ) | (1,294 | ) | ||||
| Dividend paid | (6,659 | ) | (6,662 | ) | ||||
| Interest paid | (4,441 | ) | (3,483 | ) | ||||
| Net cash from financing activities | 8,290 | 18,911 | ||||||
| Net increase/(decrease) in cash and cash equivalents | (466 | ) | 7,262 | |||||
| Effect of exchange rate changes on cash and cash equivalents | 1,241 | 224 | ||||||
| Cash and cash equivalents at the beginning of the year | 14,593 | 7,107 | ||||||
| Cash and cash equivalents at the end of the year(1) | 15,368 | 14,593 | ||||||
*FVTPL (fair value through profit or loss)
(1)Adjusted for bank-overdraft of Rs. Nil and Rs. 61 million for the year ended 31 March 2026 and 31 March 2025 respectively.
| | |
DR. REDDY'S LABORATORIES LIMITED
Notes:
| 1 | The above statement of audited consolidated financial results of Dr. Reddy's Laboratories Limited ("the parent company"), together with its subsidiaries (collectively, "the Company") joint ventures and associates, have been prepared in accordance with the Indian Accounting Standards ("Ind AS") prescribed under section 133 of Companies Act,2013 ("the Act") read with relevant rules issues thereunder, other accounting principles generally accepted in India and guidelines issued by the Securities and Exchange Board of India ("SEBI") were reviewed and recommended by Audit Committee and approved by the Board of Directors at their meetings held on 12 May 2026. The Statutory Auditors have issued an unqualified report thereon. |
| 2 | During the quarter ended 31 March 2026, consequent to resolution of a Shelf Stock Adjustment claim arising from reduction in price of its generic product Lenalidomide in the United States, the Company has recorded an amount of Rs. 4,530 million (USD 50 million) as a reduction of “Revenue from operations” in the Company's Global Generics Segment. |
| 3 | During the quarter ended
31 March 2026, the Company has decided to discontinue certain of its R&D programs associated with Chimeric Antigen Receptor T-cell
(CAR-T) therapy portfolio in light of the current development status and recent clinical trial outcomes. Consequent to this decision,
the Company has recognized a net loss of Rs. 1,350 million in the Company's Global Generic segment, comprising of: a. Impairment of non-current assets of Rs. 1,291 million (i.e., towards Property, plant and equipment, Other Intangible assets and Right of use assets) and b. Other development program related wind down cost under "Other expenses" of Rs. 59 million. |
| 4 | During the quarter ended 31 March 2026, the Company has recorded an impairment loss of Rs.914 million (USD 10 million) consequent to discontinuation of the Phase III study in first line non-small cell lung cancer conducted by Immutep Limited following the results of the futility analysis. |
| 5 | During the year ended
31 March 2026, consequent to certain technical challenges in product development, the Company decided to discontinue development
of conjugated estrogen at its site in Middleburgh, New York.Consequent to discontinuance of development, the Company recorded the
following financial impacts in the Company's Global Generic segment, resulting in a net loss of Rs.934 million in the consolidated
financial results - Impairment loss of the entire carrying value of Rs.545 million for property, plant and equipment; - Inventory related provisions of Rs.260 million; - Other development program related wind down costs of Rs.129 million; |
| 6 | "Impairment of non-current
assets, net" for the ycar ended 31 March 2025 primarily includes: a. Impairment of intangibles pertaining to acquisition from Mayne: -an amount of Rs.907 million towards Haloette® (a generic equivalent to Nuvaring), a product-related intangible, due to constraints on procurement of the underlying product from its contract manufacturer, resulting in a lower recoverable value compared to the carrying value. -an amount of Rs.270 million pertaining to impairment of certain product related intangibles, due to adverse market conditions resulting in lower recovcrable value compared to the carrying value. b. Other impairments: During the year ended 31 March 2025, consequent to adverse market conditions with respect to certian product related intangibles, the company assessed the recoverable value of certain products and recognised impairment loss of Rs. 288 million pertaining to products forming part of the Company's Global Generic business in India and Europe. |
| 7 | Other income includes: a. Rs. 1,400 million recognised prusuant to settlement of product related litigations representing payment for avoided litigation costs by the Company and its affiliates in the United States and the United Kingdom during the year ended 31 March 2026. b. Gain on sale of non-current assets, net amounting to Rs. 1,890 million towards divestment of certain product related intangibles i.e., trademarks during the quarter ended 31 March 2026. |
| 8 | "Other income" for the year ended 31 March 2025 includes cumulative amount of foreign exchange gain of Rs.1,551 million, reclassified from the foreign currency translation reserve upon divestment of the membership interest in the subsidiary “Dr. Reddy’s Laboratories Louisiana LLC”. This transaction pertains to the Company's Global Generics segment. |
| 9 | The Company received a
field tax audit report from the Federal Tax Service authority in respect of one of its foreign subsidiaries for the period from January 2020
to December 2022. The report concluded that certain services were subject to value-added tax (VAT). The Company filed objections
to the findings, and a revised audit report was issued on 15 September 2025 with a reduced VAT liability. Based on its best
estimate, the Company had recorded a provision of Rs. 695 million under “Other Expenses” during the quarter ended
30 September 2025. The Company continued to defend its position and submitted further objections, asserting that the specified services should not be subject to VAT. On 23 March 2026, the Company received the final order from the Federal Tax Service authorities, pursuant to which the originally proposed VAT liability was substantially reduced. Based on the final order, an additional provision of Rs. 1,141 million, including applicable interest and penalties, was recognized for the periods covered under audit as well as subsequent period from calendar year 2023 through 31 March 2026. This additional provision was recorded under “Other Expenses” during the quarter ended 31 March 2026. The Company believes that the likelihood of any further liability on account of this field tax audit is not probable. This transaction pertains to the Company’s Global Generics segment. |
| 10 | The Government of India
has consolidated 29 existing labour legislations into a unified framework comprising four labour codes as follows: Code on Wages,
2019, Code on Social Security, 2020, Industrial Relations Code, 2020 and Occupational Safety, Health and Working Conditions Code
2020 (collectively referred to as the “New Labour Codes”). The New Labour Codes are effective from 21 November 2025 and
introduce changes that include, among other things, setting a uniform definition of wages.The New Labour Codes have implications
on employee benefits including gratuity, leave encashment, and other related obligations. The Company has assessed the implications of the New Labour Codes and has recognized an incremental cost of Rs.1,170 million towards employee benefits during the year ended 31 March 2026. The Company continues to monitor the developments pertaining to the implementation of the New Labour Codes, including related rules there to and the impact of these will be accounted in accordance with applicable accounting standards. |
| | |
DR. REDDY'S LABORATORIES LIMITED
| 11 | The Company
received an anonymous complaint in September 2020, alleging that healthcare professionals in Ukraine and potentially in other countries
were provided with improper payments by or on behalf of the Company in violation of U.S. anti-corruption laws, specifically the U.S.
Foreign Corrupt Practices Act. The Company disclosed the matter to the U.S. Department of Justice (“DOJ”), Securities
and Exchange Commission (“SEC”) and Securities Exchange Board of India. The Company engaged a U.S. law firm to conduct
the investigation at the instruction of a committee of the Company’s Board of Directors. On 06 July 2021 the Company received
a subpoena from the SEC for the production of related documents, which were provided to the SEC. The Company engaged with the SEC and DOJ, including through submissions and presentations regarding the initial complaint and additional complaints relating to other markets, and in relation to its Global Compliance Framework, which included enhancement initiatives undertaken by the Company, and the Company complied with its listing obligations as it relates to updating the regulatory agencies. On February 23 2026 the Company received a letter from the SEC stating that, based on the information available to it, the SEC has concluded its investigation and does not intend to recommend any enforcement action against the Company at this time. On 05 March 2026, the Company received a letter from the DOJ stating that, based on the information available to it, the DOJ has closed its inquiry. |
| 12 | The Company considered the on-going uncertainties relating to geo-political conflicts (including Russia and Ukraine) in assessing the recoverability of receivables, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions. |
| 13 | The Board of Directors, at their meeting held on 12 May 2026, have recommended a final dividend of Rs.8 per share subject to approval of shareholders. |
| 14 | The figures of the fourth quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the third quarter of the relevant financial year. Also the figures upto the end of third quarter were only reviewed and not subjected to audit. |
| By order of the Board | |
| For Dr. Reddy's Laboratories Limited | |
 | |
| Place: Hyderabad | G V Prasad |
| Date: 12 May 2026 | Co-Chairman & Managing Director |
| DIN: 00057433 |
| | |
Exhibit 99.5
 |
Dr. Reddy’s Laboratories Ltd. 8-2-337, Road No. 3, Banjara Hills Hyderabad – 500 034, Telangana, India CIN: L85195TG1984PLC004507
Tel: + 91 40 4900 2900 Fax: + 91 40 4900 2999 Email: mail@drreddys.com www.drreddys.com |
May 12, 2026
National Stock Exchange of India Ltd. (Scrip Code: DRREDDY)
BSE Limited (Scrip Code: 500124)
New York Stock Exchange Inc. (Stock Code: RDY)
NSE IFSC Ltd. (Stock Code: DRREDDY)
Dear Sir/Madam,
Subject: Decaration under Regulation 33(3)(d) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
Dear Sirs/Madam,
Pursuant to the provisions of Regulation 33(3)(d) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, I, M V Narasimham, Chief Financial Officer of the Company hereby declare that, the Statutory Auditors of the Company, M/s. S R Batliboi & Associates LLP, Chartered Accountants (Firm Registration No. 101049W/E300004), have issued an Audit Report with unmodified opinion on the annual Audited Financial Results of the Company (Standalone & Consolidated) for year ended on March 31, 2026.
Request you to kindly take this declaration on your records.
|
M V Narasimham Chief Financial Officer
Date: 12.05.2026 Place: Hyderabad
|
 |
 |
THE SKYVIEW 10 18th Floor, “NORTH LOBBY” Survey No. 83/1, Raidurgam Hyderabad - 500 032, India
Tel : +91 40 6141 6000 |
Independent Auditor’s Report on the Quarterly and Year to Date Audited Standalone Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended
To
The Board of Directors of
Dr. Reddy’s Laboratories Limited
Report on the audit of the Standalone Financial Results
Opinion
We have audited the accompanying “Statement of Audited Standalone Financial Results for the quarter and year ended 31 March 2026” (“Statement”) of Dr. Reddy’s Laboratories Limited (the “Company”), attached herewith, being submitted by the Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the “Listing Regulations”).
In our opinion and to the best of our information and according to the explanations given to us, the Statement:
| i. | is presented in accordance with the requirements of the Listing Regulations in this regard; and |
| ii. | gives a true and fair view in conformity with the applicable accounting standards and other accounting principles generally accepted in India, of the net loss and other comprehensive loss and other financial information of the Company for the quarter March 31, 2026 and net profit and other comprehensive loss and other financial information of the Company for the year ended March 31, 2026. |
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013, as amended (“the Act”). Our responsibilities under those Standards are further described in the “Auditor’s Responsibilities for the Audit of the Standalone Financial Results” section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our opinion.
Management’s Responsibilities for the Standalone Financial Results
The Statement has been prepared on the basis of the standalone annual financial statements. The Board of Directors of the Company are responsible for the preparation and presentation of the Statement that gives a true and fair view of the net loss and other comprehensive loss of the Company and other financial information in accordance with the applicable accounting standards prescribed under Section 133 of the Act read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and the design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.
S.R. Batliboi & Associates LLP, a Limited Liability Partnership with LLP Identity No. AAB-4295
Regd. Office : 22, Camac Street, Block ‘B’, 3rd Floor, Kolkata-700 016
In preparing the Statement, the Board of Directors are responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
The Board of Directors are also responsible for overseeing the Company’s financial reporting process.
Auditor’s Responsibilities for the Audit of the Standalone Financial Results
Our objectives are to obtain reasonable assurance about whether the Statement as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the Statement.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
| · | Identify and assess the risks of material misstatement of the Statement, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. |
| · | Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under Section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the company has adequate internal financial controls with reference to financial statements in place and the operating effectiveness of such controls. |
| · | Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors. |
| · | Conclude on the appropriateness of the Board of Directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial results or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Company to cease to continue as a going concern. |
| · | Evaluate the overall presentation, structure and content of the Statement, including the disclosures, and whether the Statement represents the underlying transactions and events in a manner that achieves fair presentation. |
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
Other Matters
The Statement includes the results for the quarter ended March 31, 2026 being the balancing figure between the audited figures in respect of the full financial year ended March 31, 2026 and the published unaudited year-to-date figures up to the third quarter of the current financial year, which were subjected to a limited review by us, as required under the Listing Regulations.
For S.R. BATLIBOI & ASSOCIATES LLP
Chartered Accountants
ICAI Firm Registration Number: 101049W/E300004
 |  |
per Shankar Srinivasan
Partner
Membership No.: 213271
UDIN: 26213271HWYRVT2241
Place: Hyderabad
Date: May 12, 2026
| |
Dr. Reddy’s Laboratories Ltd. 8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500 034, Telangana, India. CIN : L85195TG1984PLC004507
Tel :+91 40 4900 2900 Fax :+91 40 4900 2999 Email :mail@drreddys.com www.drreddys.com |
DR. REDDY’S LABORATORIES LIMITED
STATEMENT OF AUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED 31 MARCH 2026
All amounts in Indian Rupees millions
| Quarter ended | Year ended | |||||||||||||||||||||
| 31.03.2026 | 31.12.2025 | 31.03.2025 | 31.03.2026 | 31.03.2025 | ||||||||||||||||||
| Sl. No. | Particulars | (Audited) | (Unaudited) | (Audited) | (Audited) | (Audited) | ||||||||||||||||
| 1 | Revenue from operations | |||||||||||||||||||||
| a) Sales | 37,197 | 40,718 | 54,063 | 201,022 | 218,448 | |||||||||||||||||
| b) License fees and service income | 829 | 1,946 | 1,400 | 3,584 | 12,020 | |||||||||||||||||
| c) Other operating income | 194 | 163 | 166 | 722 | 686 | |||||||||||||||||
| Total revenue from operations | 38,220 | 42,827 | 55,629 | 205,328 | 231,154 | |||||||||||||||||
| 2 | Other income | 5,672 | 3,603 | 4,144 | 16,896 | 10,034 | ||||||||||||||||
| Total income (1 + 2) | 43,892 | 46,430 | 59,773 | 222,224 | 241,188 | |||||||||||||||||
| 3 | Expenses | |||||||||||||||||||||
| a) Cost of materials consumed | 11,212 | 10,668 | 9,426 | 43,325 | 37,997 | |||||||||||||||||
| b) Purchase of stock-in-trade | 4,790 | 7,692 | 5,347 | 26,358 | 24,399 | |||||||||||||||||
| c) Changes in inventories of finished goods, work-in-progress and stock-in-trade | 1,162 | (1,315 | ) | 822 | (2,305 | ) | (1,739 | ) | ||||||||||||||
| d) Employee benefits expense | 8,345 | 9,602 | 7,971 | 35,499 | 32,875 | |||||||||||||||||
| e) Depreciation and amortisation expense | 3,185 | 3,143 | 2,645 | 12,074 | 10,394 | |||||||||||||||||
| f) Impairment of non current assets, net | 1,211 | 157 | 1,036 | 1,405 | 1,036 | |||||||||||||||||
| g) Finance costs | 543 | 414 | 311 | 1,483 | 1,099 | |||||||||||||||||
| h) Other expenses | 16,499 | 15,027 | 16,597 | 61,872 | 62,768 | |||||||||||||||||
| Total expenses | 46,947 | 45,388 | 44,155 | 179,711 | 168,829 | |||||||||||||||||
| 4 | Profit/(loss) before tax (1 + 2 - 3) | (3,055 | ) | 1,042 | 15,618 | 42,513 | 72,359 | |||||||||||||||
| 5 | Tax expense/(benefit) | |||||||||||||||||||||
| a) Current tax | (1,147 | ) | 130 | 3,643 | 9,177 | 17,905 | ||||||||||||||||
| b) Deferred tax | 286 | 6 | (32 | ) | 1,139 | 960 | ||||||||||||||||
| 6 | Net profit/(loss) for the period/year (4 - 5) | (2,194 | ) | 906 | 12,007 | 32,197 | 53,494 | |||||||||||||||
| 7 | Other comprehensive income | |||||||||||||||||||||
| a) (i) Items that will not be reclassified to profit or loss | 134 | - | (103 | ) | 134 | (103 | ) | |||||||||||||||
| (ii) Income tax relating to items that will not be reclassified to profit or loss | (34 | ) | - | 26 | (34 | ) | 26 | |||||||||||||||
| b) (i) Items that will be reclassified to profit or loss | (854 | ) | 94 | 1,046 | (1,698 | ) | 234 | |||||||||||||||
| (ii) Income tax relating to items that will be reclassified to profit or loss | 214 | (24 | ) | (263 | ) | 427 | (59 | ) | ||||||||||||||
| Total other comprehensive income/(loss) | (540 | ) | 70 | 706 | (1,171 | ) | 98 | |||||||||||||||
| 8 | Total comprehensive income/(loss) (6 + 7) | (2,734 | ) | 976 | 12,713 | 31,026 | 53,592 | |||||||||||||||
| 9 | Paid-up equity share capital (face value Re. 1/- each) | 835 | 835 | 834 | 835 | 834 | ||||||||||||||||
| 10 | Other equity | 312,821 | 287,732 | |||||||||||||||||||
| 11 | Earnings per equity share (face value Re. 1/- each) | |||||||||||||||||||||
| Basic | (2.63 | ) | 1.09 | 14.41 | 38.68 | 64.22 | ||||||||||||||||
| Diluted | (2.63 | ) | 1.09 | 14.39 | 38.64 | 64.13 | ||||||||||||||||
| (Not annualised) | (Not annualised) | (Not annualised) | ||||||||||||||||||||
See accompanying notes to the financial results.
 | |  |
DR. REDDY’S LABORATORIES LIMITED
| Segment information | All amounts in Indian Rupees millions |
| Quarter ended | Year ended | |||||||||||||||||||||
| 31.03.2026 | 31.12.2025 | 31.03.2025 | 31.03.2026 | 31.03.2025 | ||||||||||||||||||
| Sl. No. | Particulars | (Audited) | (Unaudited) | (Audited) | (Audited) | (Audited) | ||||||||||||||||
| Segment wise revenue and results | ||||||||||||||||||||||
| 1 | Segment revenue | |||||||||||||||||||||
| a) Global Generics | 31,487 | 38,129 | 48,287 | 182,027 | 204,602 | |||||||||||||||||
| b) Pharmaceutical Services and Active Ingredients | 8,350 | 6,257 | 9,140 | 29,750 | 33,904 | |||||||||||||||||
| c) Others | 130 | 57 | 45 | 464 | 1,410 | |||||||||||||||||
| Total | 39,967 | 44,443 | 57,472 | 212,241 | 239,916 | |||||||||||||||||
| Less: Inter-segment revenue | 1,747 | 1,616 | 1,843 | 6,913 | 8,762 | |||||||||||||||||
| Total revenue from operations | 38,220 | 42,827 | 55,629 | 205,328 | 231,154 | |||||||||||||||||
| 2 | Segment results | |||||||||||||||||||||
| Profit/(loss) before tax and interest from each segment | ||||||||||||||||||||||
| a) Global Generics | (3,141 | ) | 2,494 | 15,231 | 43,716 | 69,966 | ||||||||||||||||
| b) Pharmaceutical Services and Active Ingredients | 67 | (794 | ) | 256 | (883 | ) | 353 | |||||||||||||||
| c) Others | 147 | 73 | 47 | 494 | 1,419 | |||||||||||||||||
| Total | (2,927 | ) | 1,773 | 15,534 | 43,327 | 71,738 | ||||||||||||||||
| Less: (i) Finance costs | 543 | 414 | 311 | 1,483 | 1,099 | |||||||||||||||||
| (ii) Other un-allocable (income)/expenditure, net | (415 | ) | 317 | (395 | ) | (669 | ) | (1,720 | ) | |||||||||||||
| Total profit/(loss) before tax | (3,055 | ) | 1,042 | 15,618 | 42,513 | 72,359 | ||||||||||||||||
Global Generics includes operations of Biologics business. Inter-segment revenue represents sale from Pharmaceutical Services and Active Ingredients to Global Generics at cost.
Segmental capital employed
As certain assets of the Company including manufacturing facilities, development facilities and treasury assets and liabilities are often deployed interchangeably across segments, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.
| | |
DR. REDDY’S LABORATORIES LIMITED
| Balance sheet | All amounts in Indian Rupees millions |
| As at | As at | |||||||
| 31.03.2026 | 31.03.2025 | |||||||
| Particulars | (Audited) | (Audited) | ||||||
| ASSETS | ||||||||
| Non-current assets | ||||||||
| Property, plant and equipment | 77,527 | 58,654 | ||||||
| Capital work-in-progress | 13,691 | 21,564 | ||||||
| Goodwill | 853 | 853 | ||||||
| Other intangible assets | 28,921 | 22,817 | ||||||
| Intangible assets under development | - | 404 | ||||||
| Financial assets | ||||||||
| Investments | 123,613 | 103,105 | ||||||
| Loans | 5 | 14 | ||||||
| Other financial assets | 2,686 | 8,562 | ||||||
| Tax assets, net | 2,650 | 1,244 | ||||||
| Other non-current assets | 843 | 662 | ||||||
| Total non-current assets | 250,789 | 217,879 | ||||||
| Current assets | ||||||||
| Inventories | 49,556 | 45,758 | ||||||
| Financial assets | ||||||||
| Investments | 32,335 | 28,830 | ||||||
| Trade receivables | 41,186 | 59,590 | ||||||
| Derivative instruments | 39 | 539 | ||||||
| Cash and cash equivalents | 3,375 | 3,197 | ||||||
| Other bank balances | 16,201 | 6,571 | ||||||
| Loans | 1,002 | - | ||||||
| Other financial assets | 19,351 | 910 | ||||||
| Other current assets | 22,187 | 19,635 | ||||||
| Total current assets | 185,232 | 165,030 | ||||||
| TOTAL ASSETS | 436,021 | 382,909 | ||||||
| EQUITY AND LIABILITIES | ||||||||
| Equity | ||||||||
| Equity share capital | 835 | 834 | ||||||
| Other equity | 312,821 | 287,732 | ||||||
| Total Equity | 313,656 | 288,566 | ||||||
| Liabilities | ||||||||
| Non-current liabilities | ||||||||
| Financial liabilities | ||||||||
| Lease liabilities | 2,501 | 765 | ||||||
| Provisions | 120 | 54 | ||||||
| Deferred tax liabilities, net | 5,899 | 5,154 | ||||||
| Other non-current liabilities | 2,420 | 1,852 | ||||||
| Total non-current liabilities | 10,940 | 7,825 | ||||||
| Current liabilities | ||||||||
| Financial liabilities | ||||||||
| Borrowings | 54,190 | 33,855 | ||||||
| Lease liabilities | 679 | 309 | ||||||
| Trade payables | ||||||||
| Total outstanding dues of micro enterprises and small enterprises | 316 | 210 | ||||||
| Total outstanding dues of creditors other than micro enterprises and small enterprises | 18,726 | 19,721 | ||||||
| Derivative instruments | 6,785 | 1,273 | ||||||
| Other financial liabilities | 20,268 | 19,955 | ||||||
| Other current liabilities | 6,320 | 7,006 | ||||||
| Tax Liabilities, net | 1,072 | 794 | ||||||
| Provisions | 3,069 | 3,395 | ||||||
| Total current liabilities | 111,425 | 86,518 | ||||||
| TOTAL EQUITY AND LIABILITIES | 436,021 | 382,909 | ||||||
| | |
DR. REDDY’S LABORATORIES LIMITED
| Statement of cash flows | All amounts in Indian Rupees millions |
| Year ended | Year ended | |||||||
| 31.03.2026 | 31.03.2025 | |||||||
| Particulars | (Audited) | (Audited) | ||||||
| Cash flows from/(used in) operating activities : | ||||||||
| Profit before tax | 42,513 | 72,359 | ||||||
| Adjustments for: | ||||||||
| Fair value changes and profit on sale of financial instruments measured at FVTPL*, net | (2,052 | ) | (3,128 | ) | ||||
| Depreciation and amortisation expense | 12,074 | 10,394 | ||||||
| Impairment of non-current assets, net | 1,405 | 1,036 | ||||||
| Allowance for credit losses (on trade receivables and other advances) | 175 | 103 | ||||||
| Loss /(Profit) on sale/disposal of assets, net | (2,074 | ) | 428 | |||||
| Unrealized exchange (gain)/loss, net | (3,117 | ) | (116 | ) | ||||
| Interest income | (7,771 | ) | (4,825 | ) | ||||
| Finance costs | 1,483 | 1,099 | ||||||
| Equity settled share-based payment expense | 299 | 382 | ||||||
| Inventories write-down | 4,488 | 2,771 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Trade receivables | 18,278 | (13,451 | ) | |||||
| Inventories | (8,287 | ) | (8,340 | ) | ||||
| Trade payables | (889 | ) | (517 | ) | ||||
| Other assets and other liabilities, net | (447 | ) | (81 | ) | ||||
| Cash generated from operations | 56,078 | 58,114 | ||||||
| Income taxes paid, net | (9,473 | ) | (15,864 | ) | ||||
| Net cash generated from operating activities | 46,605 | 42,250 | ||||||
| Cash flows from/(used in) investing activities : | ||||||||
| Purchase of property, plant and equipment | (20,492 | ) | (23,393 | ) | ||||
| Proceeds from sale of property, plant and equipment | 258 | 323 | ||||||
| Purchase of other intangible assets | (8,888 | ) | (1,374 | ) | ||||
| Proceeds from sale of other intangible assets | 980 | 104 | ||||||
| Purchase of investments (including bank deposits) | (41,354 | ) | (22,484 | ) | ||||
| Proceeds from sale of investments (including bank deposits) | 14,968 | 52,788 | ||||||
| Investments in subsidiary/associates | (5,791 | ) | (67,541 | ) | ||||
| Interest/dividend income received | 3,463 | 3,998 | ||||||
| Loans and advances given to subsidiaries | (1,050 | ) | (57 | ) | ||||
| Loans and advances repaid by subsidiaries | 59 | 660 | ||||||
| Net cash used in investing activities | (57,847 | ) | (56,976 | ) | ||||
| Cash flows from/(used in) financing activities : | ||||||||
| Proceeds from issuance of equity shares (including treasury shares) | 397 | 193 | ||||||
| Purchases of treasury shares | - | (1,389 | ) | |||||
| Proceeds from short-term loans and borrowings, net | 20,281 | 25,840 | ||||||
| Payment of principal portion of lease liabilities | (382 | ) | (281 | ) | ||||
| Dividend paid | (6,659 | ) | (6,662 | ) | ||||
| Interest paid | (2,469 | ) | (1,794 | ) | ||||
| Net cash from financing activities | 11,168 | 15,907 | ||||||
| Net increase/(decrease) in cash and cash equivalents | (74 | ) | 1,181 | |||||
| Effect of exchange rate changes on cash and cash equivalents | 252 | 2 | ||||||
| Cash and cash equivalents at the beginning of the year | 3,197 | 2,014 | ||||||
| Cash and cash equivalents at the end of the year | 3,375 | 3,197 | ||||||
*FVTPL (fair value through profit or loss)
| | |
DR. REDDY’S LABORATORIES LIMITED
Notes:
| 1 | The above statement of audited standalone financial results of Dr. Reddy’s Laboratories Limited (“the Company”), which have been prepared in accordance with the Indian Accounting Standards (’‘Ind AS’’) prescribed under Section 133 of the Companies Act, 2013 (“the Act’’) read with relevant rules issued thereunder, other accounting principles generally accepted in India and guidelines issued by the Securities and Exchange Board of India (“SEBI’’) were reviewed and recommended by the Audit Committee and approved by the Board of Directors at their meetings held on 12 May 2026. The Statutory Auditors have issued an unqualified report thereon. |
| 2 | Revenue from sale of goods for the quarter ended 31 March 2026 includes the consequential impact of reduction in selling price of Lenalidomide product in the United States of USD 50 million. This transaction pertains to the company’s Global Generics segment. |
| 3 | “License fees and service income” for the year ended 31 March 2025 includes an amount of Rs. 8,113 million (excluding GST) received as a consideration towards transfer of its nutraceutical and vitamins, minerals, herbals, and supplements portfolio to Dr. Reddy’s and Nestlé Health Science Limited (the “Nutraceuticals subsidiary”) as part of the definitive agreement. This transaction pertains to Company’s Global Generics segment. |
| 4 | During the quarter ended 31 March 2026, the Company
has decided to discontinue certain of its R&D programs associated with Chimeric Antigen Receptor T-cell (CAR-T) therapy portfolio
in light of current development status and recent clinical trial outcomes. Consequent to this decision, the Company has recognized
a net loss of Rs. 1,350 million in the Company’s Global Generics segment, comprising of : a. Impairment of non-current assets of Rs. 1,135 million (i.e., towards Property, plant and equipment, Intangibles and Right of use assets), b. Research and development cost reimbursment to subsidiary of Rs.198 million and c. Other development program related wind down cost of Rs. 17 million. |
| 5 | “Impairment of non-current
assets, net” for the year ended 31 March 2025 primarily includes: a. an impairment loss of Rs. 862 million (31 March 2024: Rs. 288 million) towards investment in equity shares and preference shares in the subsidiary, Svaas Wellness Limited, consequent to management’s decision to scale down the business operations of certain digital initiatives. This impairment loss pertains to the Company’s Others segment. b. an impairment loss of Rs. 174 million, consequent to adverse market conditions with respect to certain product related intangibles forming part of the Company’s Global Generics segment. |
| 6 | “Other income” for the quarter ended 31 March 2026 includes gain on sale of non-current assets, net of Rs. 1,890 million towards divestment of certain product related intangibles i.e., trademarks. |
| 7 | In respect of the field
tax audit report from the Federal Tax Service authority relating to one of its foreign subsidiaries for the period from January 2020
to December 2022, based on its best estimate, the Company had recorded a provision of Rs. 695 million under “Other
Expenses” during the three months ended 30 September 2025. On 23 March 2026, pursuant to the final order from the Federal Tax Service authorities the originally proposed VAT liability was substantially reduced. Based on the final order, an additional provision of Rs. 1,141 million, including applicable interest and penalties, was recognized for the periods covered under audit as well as subsequent period from calendar year 2023 through 31 March 2026. This additional provision was recorded under “Other Expenses” during the quarter ended 31 March 2026. The Company believes that the likelihood of any further liability on account of this field tax audit is not probable. This transaction pertains to the Company’s Global Generics segment. |
| 8 | The Government of India
has consolidated 29 existing labour legislations into a unified framework comprising four labour codes as follows: Code on Wages, 2019, Code on Social Security, 2020, Industrial Relations Code, 2020 and Occupational Safety, Health and Working Conditions Code 2020 (collectively referred to as the “New Labour Codes”). The New Labour Codes are effective from 21 November 2025 and introduce changes that include, among other things, setting a uniform definition of wages. The New Labour Codes have implications on employee benefits including gratuity, leave encashment, and other related obligations. The Company has assessed the implications of the New Labour Codes and has recognized an incremental cost of Rs.1,101 million towards employee benefits during the year ended 31 March 2026. The Company continues to monitor the developments pertaining to the implementation of the New Labour Codes, including related rules there to and the impact of these will be accounted in accordance with applicable accounting standards. |
| | |
DR. REDDY’S LABORATORIES LIMITED
| 9 | The Company received an
anonymous complaint in September 2020, alleging that healthcare professionals in Ukraine and potentially in other countries were
provided with improper payments by or on behalf of the Company in violation of U.S. anti-corruption laws, specifically the U.S. Foreign
Corrupt Practices Act. The Company disclosed the matter to the U.S. Department of Justice (“DOJ”), Securities and Exchange
Commission (“SEC”) and Securities Exchange Board of India. The Company engaged a U.S. law firm to conduct the investigation
at the instruction of a committee of the Company’s Board of Directors. On 6 July 2021 the Company received a subpoena from
the SEC for the production of related documents, which were provided to the SEC. The Company engaged with the SEC and DOJ, including through submissions and presentations regarding the initial complaint and additional complaints relating to other markets, and in relation to its Global Compliance Framework, which included enhancement initiatives undertaken by the Company, and the Company complied with its listing obligations as it relates to updating the regulatory agencies. On 23 February 2026 the Company received a letter from the SEC stating that, based on the information available to it, the SEC has concluded its investigation and does not intend to recommend any enforcement action against the Company at this time. On 5 March 2026, the Company received a letter from the DOJ stating that, based on the information available to it, the DOJ has closed its inquiry. |
| 10 | The Company considered the uncertainties relating to geo-political conflicts (including Russia and Ukraine) in assessing the recoverability of receivables, goodwill, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions. |
| 11 | The Board of Directors, at their meeting held on 12 May 2026, have recommended a final dividend of Rs.8 per share subject to the approval of shareholders. |
| 12 | The figures of the fourth quarter are the balancing figures between audited figures in respect of the full financial year and published year to date figures upto the third quarter of the relevant financial year. Also the figures upto the end of third quarter were only reviewed and not subjected to audit. |
| By order of the Board | |
| For Dr. Reddy’s Laboratories Limited | |
 | |
| Place: Hyderabad | G V Prasad |
| Date: 12 May 2026 | Co-Chairman & Managing Director |
| DIN: 00057433 |
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