Share the post "Dr. Reddy’s Laboratories Ltd.,’s Quarterly Result and Earnings Report for Q4(Mar 2024) : Sales increased by 12.65 % in YoY and decreased by 1.7 % in QoQ"
Highlights
- Sales over the Year and quarter: The company experienced a substantial growth of 12.65 % in the past year, decrease in net sales/revenue by -1.7 %.
- Income over the Year and quarter: There has been either a marginal increase or a decline in other income over the past year which is 37.58 %. Marginal decrease of -8.18% in other income during this quarter.
- Profit over the Year and quarter: Significant improvement in profitability for Dr. Reddy’s Laboratories Ltd.,. Notable increase of 36.42 % in net profit Year to Year, Dr. Reddy’s Laboratories Ltd.,’s profitability dropped by -5.15 % Quarter to Quarter.
- EPS over the Year and quarter: EPS increased by 36.11 % Year to Year. EPS decreased by -5.16 % in previous quarter. Analysis needed for shareholder value.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 6315.2 Cr | Rs. 7236.8 Cr | Rs. 7113.8 Cr | -1.7 % | + 12.65 % |
| Expenses | Rs. 4781.3 Cr | Rs. 5213.7 Cr | Rs. 5282.6 Cr | + 1.32 % | + 10.48 % |
| Operating Profit | Rs. 1533.9 Cr | Rs. 2023.1 Cr | Rs. 1831.2 Cr | -9.49 % | + 19.38 % |
| OPM % | 24.29 % | 27.96 % | 25.74 % | -2.22 % | + 1.45 % |
| Other Income | Rs. 146.1 Cr | Rs. 218.9 Cr | Rs. 201 Cr | -8.18 % | + 37.58 % |
| Interest | Rs. 35.4 Cr | Rs. 39.4 Cr | Rs. 59.3 Cr | + 50.51 % | + 67.51 % |
| Depreciation | Rs. 315.5 Cr | Rs. 373.5 Cr | Rs. 367.7 Cr | -1.55 % | + 16.55 % |
| Profit before tax | Rs. 1329.1 Cr | Rs. 1829.1 Cr | Rs. 1605.2 Cr | -12.24 % | + 20.77 % |
| Tax % | 27.92 % | 24.54 % | 18.44 % | -6.1 % | -9.48 % |
| Net Profit | Rs. 960.1 Cr | Rs. 1380.9 Cr | Rs. 1309.8 Cr | -5.15 % | + 36.42 % |
| EPS in Rs | Rs. 57.79 | Rs. 82.94 | Rs. 78.66 | -5.16 % | + 36.11 % |
Today, we’re looking at Dr. Reddy’s Laboratories Ltd.,’s financial performance for the Q4(Mar 2024).Starting with the top line, the company reported a robust year-over-year sales growth of 12.65 %. However, it did see a marginal slip of -1.7 % from the previous quarter. Expenses ticked up slightly by 1.32 % quarter-on-quarter, aligning with the annual rise of 10.48 %. Operating profit, while up 19.38 % compared to last year, faced a quarter-on-quarter dip of -9.49 %, signaling a short-term contraction in margins.
The Operating Profit Margin (OPM) % echoes this narrative, showing resilience on an annual basis with an increase of 1.45 %, but a shrinkage of -2.22 % sequentially. Other income fell by -8.18 % compared to the last quarter, despite an annual growth of 37.58 %. Interest expenses surged remarkably by 50.51 % from the previous quarter, yet the year-over-year increase remains at a moderate 67.51 %. Depreciation costs fell by -1.55 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 16.55 %. Profit before tax grew annually by 20.77 % but saw a reduction from the preceding quarter by -12.24 %.
Tax expenses as a percentage of profits decreased slightly by -9.48 % compared to last year, with a more notable quarter-on-quarter decrease of -6.1 %. Net profit rose by 36.42 % year-on-year but witnessed a -5.15 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 36.11 % but a quarterly fall of -5.16 %. In summary, Dr. Reddy’s Laboratories Ltd.,’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 6315.2 Cr | Rs. 7236.8 Cr | Rs. 7113.8 Cr | -1.7 % | + 12.65 % |
| Expenses | Rs. 4781.3 Cr | Rs. 5213.7 Cr | Rs. 5282.6 Cr | + 1.32 % | + 10.48 % |
| Operating Profit | Rs. 1533.9 Cr | Rs. 2023.1 Cr | Rs. 1831.2 Cr | -9.49 % | + 19.38 % |
| Net Profit | Rs. 960.1 Cr | Rs. 1380.9 Cr | Rs. 1309.8 Cr | -5.15 % | + 36.42 % |
| EPS in Rs | Rs. 57.79 | Rs. 82.94 | Rs. 78.66 | -5.16 % | + 36.11 % |
In reviewing Dr. Reddy’s Laboratories Ltd.,’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 12.65 % year-on-year growth, although there was a slight dip of -1.7 % from the previous quarter. Expenses rose by 10.48 % compared to the previous year, with a 1.32 % increase quarter-on-quarter. Operating Profit surged by 19.38 % annually, and saw a -9.49 % decrease from the last quarter.
Net Profit showed yearly increase of 36.42 %, and experienced a -5.15 % decrease from the previous quarter. Earnings Per Share (EPS) rose by 36.11 % annually, however dipped by -5.16 % compared to the last quarter. In essence, while Dr. Reddy’s Laboratories Ltd., exhibits strong annual growth indicators, short-term fluctuations suggest the need for agile strategies to navigate market dynamics effectively. That’s all for now in the financial sector.
