Company Update Dr. Reddy's Lab - Myiris.com - Personal finance ...

Key Financials
Dr. Reddy’s Lab Confluence: Pharma; Pre-conference note
Rs mn Q1FY11 Q2FY11 Q4FY11 Q1FY12 Q2FY12 YoY % QoQ %
Revenues 16831 18704 20173 19783 22679 21.3 14.6
Raw Material 5035.2 5707 4059 5830 6804 19.2 16.7
% to sales 29.9 30.5 20.1 29.5 30.0
Manufacturing Cost 2882.3 3011 5165 3303 3669 - -
% to sales 17.1 16.1 25.6 16.7 16.2
Gross Profit 8914 9986 10949 10651 12206 22.2 14.6
Operating Expenses
SGA 4508.8 4661 5064 5483 5948 27.6 8.5
% to base sales 26.8 24.9 25.1 27.7 26.2
R&D cost 992.9 1270 1491 1197 1459 14.9 21.9
% to base sales 5.9 6.8 7.4 6.0 6.4
Total operating expenses 5501.7 5931 6555 6680 7407 24.9 10.9
EBITDA 3412.1 4055 4394 3971 4799 18.3 20.8
Depreciation 973 1048 1061 1233 1268 21.0 2.8
Other exp/ (income) -186.4 -218 -512 -187 -390 78.9 108.6
Finance exp/ (income) 9 -34.9 99 -221 -225 - -
Share of profit/loss 4.7 -3 -4 4 -13 - -
PBT 2639 3193 3742 2708 3709 16.1 36.9
Tax -357.3 -326.5 -567 -119.4 -631.0 93.3 428.5
Reported PAT 2096 2867 3346 2628 3078 7.4 17.1
EPS 12.4 17.0 19.8 15.6 18.2 7.4 17.1
Extraordinary
VRS 0 0 0 136 -98 - -
Forex gain/ (loss) -225 49 171 158 151 - -
Interest on debentures 0 0 0 0 118
Profit on sale on investment 39 0 0 17 0 - -
PBT after EO 2453 3242 3913 2747 3729 15.0 35.7
Adjusted PAT 2257 2872 3201 2591 2973 3.5 14.7
Adjusted EPS 13.4 17.0 19.0 15.3 17.6 3.5 14.7
bps bps
EBITDA margins 20.3 21.7 21.8 20.1 21.2 -52 109
PAT margins 12.5 15.3 16.6 13.3 13.6 -176 29
Tax Rate 13.5 10.2 15.2 4.4 17.0 679 1260
Revenue break-up
(Rs mn) Q2FY11 Q3FY11 Q4FY11 Q1FY12 Q2FY12 YoY (%) QoQ (%)
Global Generics 13,667 13,589 14,166 14,424 16,136 18.1 11.9
NA 4416 4765 5918 5756 6287 42.4 9.2
Europe 2366 2123 2005 1917 2117 -10.5 10.4
India 3160 3007 2745 2936 3459 9.5 17.8
Russia & Other CIS 2751 2875 2680 3018 3380 22.9 12.0
Others 974 819 818 797 893 -8.3 12.0
PSAI 4,617 4,980 5,551 4,832 5,933 28.5 22.8
North America 814 770 749 842 1068 31.2 26.8
Europe 1551 1830 2084 1693 2303 48.5 36.0
India 653 622 711 662 752 15.2 13.6
RoW 1599 1758 2007 1635 1810 13.2 10.7
Proprietary products 420 417 453 528 610 45.2 15.5
Total 18,704 18,986 20,170 19,784 22,679 21.3 14.6
Emkay Research 17 November 2011 14