Dr. Reddy's Laboratories earnings calls.

Dr. Reddy's Q1 FY27 reported a 5.6% revenue declineCurrent reported value: 5.6% revenue decline. No comparable prior figure is available in the source record. to ₹8,871 crore, impacted by lower lenalidomide revenuesCurrent reported value: lower lenalidomide revenues. No comparable prior figure is available in the source record. and a ₹240 crore semaglutide API provisionCurrent reported value: ₹240 crore semaglutide API provision. No comparable prior figure is available in the source record.. Excluding the semaglutide impact (~₹290 crore including lost production incentives and inventory provisions), EBITDA margin would have been 15.4% versus reported 12.5%. The base business delivered double-digit growth across all geographies—India grew 17% YoY, Emerging Markets surged 31%, and North America base business excluding lenalidomide showed double-digit growth. Management confirmed targeting ~20% EBITDA marginsCurrent reported value: ~20% EBITDA margins. No comparable prior figure is available in the source record. going forward assuming November semaglutide resumption, with ₹1,800 crore capex guidance for FY27. Key catalysts include the December 2026 abatacept PDUFACurrent reported value: December 2026 abatacept PDUFA. No comparable prior figure is available in the source record. and resolution of USFDA's 7 observations at Bachupalli biologics facility. Risks include semaglutide API re-validation failure (80-90% confidence per CEO), potential US tariff implications on 25-30% CMO-manufactured revenues, and continued price erosion in US generics.