Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16]

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

July 2024

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): ______

Yes ¨ No x

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): ______

Yes ¨ No x

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 ended June 30, 2024.

On July 27, 2024, we announced our results of operations for the quarter ended June 30, 2024. We issued a press release announcing our results under International Financial Reporting Standards (“IFRS”), IFRS Unaudited Consolidated Financial Results, Ind AS Unaudited Consolidated Financial Results with Limited Review report and Ind AS Unaudited Standalone Financial Results with Limited Review report for the quarter ended June 30, 2024, a copy of which is attached to this Form 6-K as Exhibit 99.1 , 99.2 , 99.3 and 99.4 respectively.

We have also made available to the public on our web site, www.drreddys.com, the following: IFRS Unaudited Consolidated Financial Results, Ind AS Unaudited Consolidated Financial Results and Ind AS Unaudited Standalone Financial Results for the quarter ended June 30, 2024.

Exhibits

Exhibit Number		Description of Exhibits

99.1		Press Release, “Dr. Reddy’s Q1 FY2025 Financial Results”, July 27, 2024.

99.2		IFRS Unaudited Consolidated Financial Results for the quarter ended June 30, 2024.

99.3		Ind AS Unaudited Consolidated Financial Results for the quarter ended June 30, 2024.

99.4		Ind AS Unaudited Standalone Financial Results for the quarter ended June 30, 2024.

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: July 27, 2024	By:	/s/ K Randhir Singh
		Name:	K Randhir Singh
		Title:	Company Secretary & Compliance Officer

Exhibit 99.1

	CONTACT
DR. REDDY'S LABORATORIES LTD.	Investor relationS		Media relationS
8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500034. Telangana, India.	Richa Periwal AISHWARYA SITHARAM	richaperiwal@drreddys.com aishwaryasitharam@drreddys.com	USHA IYER ushaiyer@drreddys.com

Dr. Reddy’s Q1FY25 Financial Results

Hyderabad, India, July 27, 2024: Dr. Reddy’s Laboratories Ltd. (BSE: 500124 | NSE: DRREDDY | NYSE: RDY | NSEIFSC: DRREDDY) today announced its consolidated financial results for the quarter ended June 30, 2024. The information mentioned in this release is based on consolidated financial statements under International Financial Reporting Standards (IFRS).

Q1FY25

Revenues	₹ 76,727 Mn [Ut: 14% YoY; 8% QoQ]

Gross Margin	60.4% [Q1FY24: 58.7%; Q4FY24: 58.6%]

SG&A Expenses	₹ 22,691 Mn [Up: 28% YoY; 11% QoQ]

R&D Expenses	₹ 6,193 Mn [8.1% of Revenues]

EBITDA	₹ 21,599 Mn [28.2% of Revenues]

Profit before Tax	₹ 18,821 Mn [Up: 2% YoY; 18% QoQ]

Profit after Tax	₹ 13,920 Mn [Down: 1% YoY; Up: 7% QoQ]

Commenting on the results, Co-Chairman & MD, G V Prasad said: “We had a good start to the new fiscal year and our growth & profitability was mainly driven by our generics business. We continue to strengthen our core businesses and have made strategic investments in biologics, consumer healthcare and innovation to drive patient impact and value creation.”

All amounts in millions, except EPS

All US dollar amounts based on convenience translation rate of 1 USD = ₹ 83.33

Dr. Reddy’s Laboratories Limited & Subsidiaries

Revenue Mix by Segment for the quarter

	Q1FY25		Q1FY24		YoY			Q4FY24		QoQ
Particulars	(₹)		(₹)		Gr %			(₹)		Gr%
Global Generics		68,858		60,083		15			61,191		13	%
North America		38,462		32,002		20			32,626		18	%
Europe		5,265		5,047		4			5,208		1	%
India		13,252		11,482		15			11,265		18	%
Emerging Markets		11,878		11,552		3			12,091		(2	%)
Pharmaceutical Services and Active Ingredients (PSAI)		7,657		6,709		14			8,219		(7	%)
Others		212		592		(64	)		1,420		(85	%)
Total		76,727		67,384		14			70,830		8	%

Consolidated Income Statement for the quarter

Particulars	Q1FY25						Q1FY24						YoY			Q4FY24						QoQ
	($)			(₹)			($)			(₹)			Gr%			($)			(₹)			Gr%
Revenues		921			76,727			809			67,384			14			850			70,830			8
Cost of Revenues		365			30,383			334			27,831			9			352			29,347			4
Gross Profit		556			46,344			475			39,553			17			498			41,483			12
*% of Revenues*					*60.4*%						*58.7*%									*58.6*%
Operating Expenses
Selling, General & Administrative Expenses		272			22,691			212			17,702			28			246			20,476			11
*% of Revenues*					*29.6*%						*26.3*%									*28.9*%
Research & Development Expenses		74			6,193			60			4,984			24			83			6,877			(10	)
*% of Revenues*					*8.1*%						*7.4*%									*9.7*%
Impairment of Non-Current Assets, net		0			5			0			11			(55	)		(2	)		(173	)		(103	)
Other Operating (Income)/Expense		(6	)		(470	)		(9	)		(780	)		(40	)		(8	)		(656	)		(28	)
Results from Operating Activities		215			17,925			212			17,636			2			180			14,959			20
Finance (Income)/Expense, net		(10	)		(837	)		(9	)		(784	)		7			(12	)		(1022	)		(18	)
Share of Profit of Equity Accounted Investees, net of tax		(1	)		(59	)		(1	)		(43	)		37			(0	)		(35	)		69
Profit before Income Tax		226			18,821			222			18,463			2			192			16,016			18
*% of Revenues*					*24.5*%						*27.4*%									*22.6*%
Income Tax Expense		59			4,901			53			4,438			10			35			2,946			66
Profit for the Period		167			13,920			168			14,025			(1	)		157			13,070			7
*% of Revenues*					*18.1*%						*20.8*%									*18.5*%

Diluted Earnings per Share (EPS)		1.00			83.46			1.01			84.22			(1	)		0.94			78.35			7

EBITDA Computation for the quarter

Particulars	Q1FY25						Q1FY24						Q4FY24
	($)			(₹)			($)			(₹)			($)			(₹)
Profit before Income Tax		226			18,821			222			18,463			192			16,016
Interest (Income) / Expense, net*		(12	)		(1,037	)		(8	)		(685	)		(10	)		(835	)
Depreciation		30			2,508			27			2,281			29			2,421
Amortization		16			1,302			16			1,302			15			1,291
Impairment		0			5			0			11			(2	)		(173	)
EBITDA		259			21,599			256			21,372			225			18,720
% of Revenues					28.2%						31.7%						26.4%

*Includes Income from Investment

Key Balance Sheet Items

Particulars	As on 30^th Jun 2024			As on 31^st Mar 2024			As on 30^th Jun 2023
		($)	(₹)		($)	(₹)		($)	(₹)
Cash and Cash Equivalents and Other Investments		1,147	95,599		990	82,529		734	61,162
Trade Receivables		973	81,088		964	80,298		925	77,095
Inventories		823	68,568		763	63,552		629	52,398
Property, Plant, and Equipment		964	80,343		923	76,886		807	67,207
Goodwill and Other Intangible Assets		497	41,374		494	41,204		508	42,306
Loans and Borrowings (Current & Non-Current)		368	30,675		240	20,020		150	12,520
Trade Payables		409	34,109		371	30,919		332	27,682
Equity		3,536	2,94,627		3,367	2,80,550		2,943	2,45,259

Key Business Highlights

Acquired Nicotinell^® and related brands in the Nicotine Replacement Therapy category in markets outside the US from Haleon plc for a total consideration of GBP 500 million, with an upfront cash payment of GBP 458 million and performance-based contingent payments of up to GBP 42 million, payable in 2025 and 2026. The transaction is expected to close in early Q4 of calendar year 2024.

Entered into a joint venture agreement with Nestlé India to bring science-backed nutritional portfolio to more consumers in India. The JV is expected to become operational in Q2FY25.

Partnered with Novartis Pharma LLC to distribute two of their leading anti-diabetes brands, Galvus^® and Galvus Met^®, in the Russian retail market.

Received exclusive rights from Ingenus Pharmaceuticals to commercialize Cyclophosphamide Injection in the US.

Collaborated with Alvotech for commercialization of their denosumab biosimilar candidate in the US on an exclusive basis, as well as in Europe and UK.

Launched drug-free migraine management device, Nerivio^®, in Germany, Spain, UK and South Africa.

Inaugurated a 70,000 sq.ft. state-of-the-art Biologics facility of Aurigene Pharmaceutical Services in Genome Valley, Hyderabad, India. The process and analytical development laboratories are operational while the commissioning of manufacturing capacity will be completed in 2024.

ESG & other Updates

Only Indian Pharma Company which featured in the 2024 list of Global 500 Most Sustainable Companies by Time Magazine and Statista.

Named ‘Asia-Pacific Climate Leader’ by Financial Times for the second consecutive year in 2024, scoring the highest amongst Indian Pharma peers.

Won the 'Masters of Risk’ award in ‘Healthcare and Pharma' at the India Risk Management Awards.

Improved FTSE Russel’s ESG Score from 3.9 to 4.2 out of 5.

Received a Form 483 with two observations after the USFDA completed a routine GMP inspection at two of our formulations manufacturing facilities in Duvvada, Visakhapatnam.

Received a Form 483 with four observations after the USFDA completed a GMP inspection at our API manufacturing facility in Srikakulam, Andhra Pradesh.

Revenue Analysis

Q1FY25 consolidated revenues at ₹ 76.7 billion, YoY growth of 14% and QoQ growth of 8%. The growth was largely driven by growth in global generics revenues in North America as well as India.

Global Generics (GG)

Q1FY25 revenues at ₹ 68.9 billion, YoY growth of 15% and QoQ growth of 13%. YoY growth was primarily volume led, aided by new launches and integration of recently in-licensed vaccine portfolio in India, partially offset by price erosion. Sequential growth was due to change in product mix partly offset with adverse price erosion.

North America

Q1FY25 revenues at ₹ 38.5 billion, YoY growth of 20% and QoQ growth of 18%. Our growth was largely on account of increase in volumes of our base business, contribution from new launches, partly offset by price erosion.

During the quarter, we launched 3 new products in the U.S.

During the quarter, we filed one new Abbreviated New Drug Application (ANDA) with the U.S. FDA. As of June 30, 2024, 80 generic filings were approvals pending from the U.S. FDA. These comprise of 75 ANDAs and five New Drug Applications (NDAs) filed under the Section 505(b)(2) route of the US Federal Food, Drug, and Cosmetic Act. Of the 75 ANDAs, 45 are Paragraph IV applications, and we believe that 23 of these have the ‘First to File’ status.

Europe

Q1FY25 revenues at ₹ 5.3 billion, YoY growth of 4% and sequential growth of 1%. Growth was primarily on account of improvement in base business volumes, new product launches, partly offset by price erosion.

Germany at ₹ 2.8 billion, YoY growth of 14% and QoQ decline of 1%.

UK at ₹ 1.6 billion, YoY decline of 7% and QoQ growth of 5%.

Rest of Europe at ₹ 0.9 billion, YoY growth of 1% and flat QoQ.

During the quarter, we launched 12 new products across various countries in the region.

India

Q1FY25 revenues at ₹ 13.3 billion, YoY growth of 15% and QoQ growth of 18%. YoY growth was mainly on account of new product launches including the recently in-licensed vaccine portfolio. As per IQVIA, our IPM rank was at 10 for the quarter.

During the quarter, we launched 13 new brands in the country, in addition to exclusive rights to promote and distribute Sanofi’s vaccine brands.

Emerging Markets

Q1FY25 revenues at ₹ 11.9 billion, YoY growth of 3% and QoQ decline of 2%. YoY growth is attributable to market share expansion and new product launches, partly offset by unfavorable forex and price erosion.

Revenues from Russia at ₹ 5.5 billion, YoY decline of 2% and QoQ growth of 11%.

YoY decline was majorly due to unfavorable currency exchange rate movements, partially offset by price increases and higher base business volumes.

QoQ growth was driven by increase in base business volumes.

Revenues from other Commonwealth of Independent States (CIS) countries and Romania at ₹ 1.9 billion, decline of 2% YoY and 11% QoQ.

YoY decline was primarily on account of decline in base business volumes, partly offset by increase in prices.

QoQ decline was driven by decline in base business volumes.

Revenues from Rest of World (RoW) territories at ₹ 4.4 billion, growth of 11% YoY and a decline of 11% QoQ.

YoY growth was largely attributable to increase in volumes of base business, contribution from new products, partly offset by price erosion.

QoQ decline was primarily driven by decline in base business volumes and erosion.

During the quarter, we launched 17 new products across various countries in the region.

Pharmaceutical Services and Active Ingredients (PSAI)

Q1FY25 revenues at ₹ 7.7 billion, with a growth of 14% YoY and a decline of 7% QoQ. YoY growth was mainly driven by improved volumes in base business, and contribution from new products, QoQ decline was driven by decrease in volumes of certain existing products.

During the quarter, we filed 11 Drug Master Files (DMFs) globally.

Income Statement Highlights:

Gross Margin

Q1FY25 at 60.4% (GG: 64.7%, PSAI: 23.1%), an increase of 170 basis points (bps) over previous year and 183 bps sequentially. The increase is on account of favourable product mix and overhead leverage, partially offset by price erosion in generics markets.

Selling, General & Administrative (SG&A) Expenses

Q1FY25 at ₹ 22.7 billion, YoY increase of 28% and 11% QoQ.

The increase is primarily on account of investment in new business initiatives, higher freight costs, business integration costs, annual merit increases, and building commercial capabilities to enhance operational efficiencies.

Research & Development (R&D) Expenses

Q1FY25 at ₹ 6.2 billion. As % to Revenues – Q1FY25: 8.1% | Q1FY24: 7.4% | Q4FY24: 9.7%.

R&D investments is reflecting our biosimilars pipeline, development efforts across generics as well as our novel oncology assets, which will support future growth.

Other Operating Income

Q1FY25 at ₹ 0.5 billion as compared to ₹ 0.8 billion in Q1FY24.

Net Finance Income

Q1FY25 at ₹0.8 billion compared to ₹ 0.8 billion in Q1FY24.

Profit before Tax

Q1FY25 at ₹ 18.8 billion, a YoY growth of 2% and a QoQ growth of 18%.

As % to Revenues – Q1FY25: 24.5% | Q1FY24: 27.4% | Q4FY24: 22.6%.

Profit after Tax

Q1FY25 at ₹ 13.9 billion, a YoY decline of 1% and a QoQ growth of 7%.

As % to Revenues – Q1FY25: 18.1% | Q1FY24: 20.8% | Q4FY24: 18.5%.

The Effective Tax Rate (ETR) for the quarter was 26.0% as compared to 24.0% in Q1FY24.

Diluted Earnings per Share (EPS)

Q1FY25 is ₹ 83.5.

Other Highlights:

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

Q1FY25 at ₹ 21.6 billion, YoY growth of 1% and QoQ growth of 15%.

As % to Revenues – Q1FY25: 28.2% | Q1FY24: 31.7% | Q4FY24: 26.4%.

Others:

Operating Working Capital: As on 30^th June 2024 at ₹ 115.5 billion.

Capital Expenditure: Q1FY25 at ₹ 4.9 billion.

Free Cash Flow: Q1FY25 at ₹ 2.3 billion.

Net Cash Surplus: As on 30^th June 2024 at ₹ 67.3 billion

Debt to Equity: As on 30^th June 2024 is (0.23)

RoCE: Q1FY25 annualized at 33%.

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.

All amounts in millions, except EPS

Reconciliation of GAAP Measures to Non-GAAP Measures

Operating Working Capital

	As on 30^th Jun 2024
Particulars	(₹)
Inventories		68,568
Trade Receivables		81,088
Less:
Trade Payables		34,109
Operating Working Capital		115,547

Free Cash Flow

	Three months ended 30^th Jun 2024
Particulars	(₹)
Net cash generated from operating activities		10,027
Less:
Taxes		(1,531	)
Investments in Property, Plant & Equipment, and Intangibles		(6,224	)
Free Cash Flow		2,272

Net Cash Surplus and Debt to Equity

	As on 30^thJun 2024
Particulars	(₹)
Cash and Cash Equivalents		4,913
Investments		90,686
Short-term Borrowings		(23,165	)
Long-term Borrowings, Non-Current		(6,229	)
Less:
Restricted Cash Balance – Unclaimed Dividend		155
Lease liabilities (included in Long-term Borrowings, Non-Current)		(2,429	)
Equity Investments (Included in Investments)		1,174
Net Cash Surplus		67,305
Equity		2,94,628
Net Debt/Equity		(0.23	)

Computation of Return on Capital Employed

	As on 30^th Jun 2024
Particulars	(₹)
Profit before Tax		18,821
Less:
Interest and Investment Income (Excluding forex gain/loss)		1,037
Earnings Before Interest and taxes [A]		17,784

Average Capital Employed [B]		215,327

Annualised Return on Capital Employed (A/B)		33	%

Computation of Capital Employed:

	As on
Particulars	30^th Jun, 2024		31^st Mar, 2024
Property Plant and Equipment		80,343		76,886
Intangibles		37,131		36,951
Goodwill		4,243		4,253
Investment in Equity Accounted Associates		4,236		4,196
Other Current Assets		24,483		22,560
Other Investments		973		1,059
Other Non-Current Assets		1,659		1,632
Inventories		68,568		63,552
Trade Receivables		81,088		80,298
Derivative Financial Instruments		91		(299	)
Less:
Other Liabilities		40,379		46,866
Provisions		5,532		5,444
Trade payables		34,109		30,919
Operating Capital Employed		222,795		207,859
Average Capital Employed		215,327

Computation of EBITDA

Refer page no. 3.

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: Saturday, July 27, 2024

Time: 16:30 pm IST | 07:00 am ET

Conference Joining Information

Option 1: Pre-register with the below link and join without waiting for the operator

https://services.choruscall.in/DiamondPassRegistration/register?confirmationNumber=9959258&linkSecurityString=3f1c80877a

Option 2: Join through below Dial-In Numbers

Universal Access Number:

+91 22 6280 1219

+91 22 7115 8120

International Toll-Free Number:

USA: 1 866 746 2133

UK: 0 808 101 1573

Singapore: 800 101 2045

Hong Kong: 800 964 448

No password/pin number is necessary to dial in to any of the above numbers. The operator will provide instructions on asking questions before and during the call.

Play Back: The play back will be available after the earnings call, till August 3^rd, 2024. For play back dial in phone No: +91 22 7194 5757, and Playback Code is 57537.

Audio and Transcript: Audio and Transcript of the Earnings call 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, 2024. The company assumes no obligation to update any information contained herein.” The company assumes no obligation to update any information contained herein.

Exhibit 99.2

Dr. Reddys 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

Unaudited consolidated financial results of Dr. Reddy's Laboratories Limited and its subsidiaries for the quarter ended 30 June 2024 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
Sl. No.	Particulars	30.06.2024			31.03.2024			30.06.2023			31.03.2024
		(Unaudited)			(Audited)			(Unaudited)			(Audited)
1	Revenues		76,727			70,830			67,384			279,164
2	Cost of revenues		30,383			29,347			27,831			115,557
3	Gross profit (1 - 2)		46,344			41,483			39,553			163,607
4	Selling, general and administrative expenses		22,691			20,476			17,702			77,201
5	Research and development expenses		6,193			6,877			4,984			22,873
6	Impairment of non-current assets, net		5			(173	)		11			3
7	Other income, net		(470	)		(656	)		(780	)		(4,199	)
	Total operating expenses		28,419			26,524			21,917			95,878
8	Results from operating activities [(3) - (4 + 5 + 6 + 7)]		17,925			14,959			17,636			67,729
	Finance income		1,435			1,615			1,155			5,705
	Finance expense		(598	)		(593	)		(371	)		(1,711	)
9	Finance income, net		837			1,022			784			3,994
10	Share of profit of equity accounted investees, net of tax		59			35			43			147
11	Profit before tax (8 + 9 + 10)		18,821			16,016			18,463			71,870
12	Tax expense, net		4,901			2,946			4,438			16,186
13	Profit for the period/year (11 -12)		13,920			13,070			14,025			55,684
14	Earnings per share:
	Basic earnings per share of Rs.5/- each		83.59			78.49			84.40			334.65
	Diluted earnings per share of Rs.5/- each		83.46			78.35			84.22			334.02
			(Not annualised)			(Not annualised)			(Not annualised)

Segment information		All amounts in Indian Rupees millions
		Quarter ended						Year ended
Sl. No.	Particulars	30.06.2024		31.03.2024		30.06.2023		31.03.2024
		(Unaudited)		(Audited)		(Unaudited)		(Audited)
	Segment wise revenue and results:
1	Segment revenue:
	a) Pharmaceutical Services and Active Ingredients		10,309		11,526		9,218		40,580
	b) Global Generics		68,858		61,191		60,083		245,453
	c) Others		212		1,420		592		3,910
	Total		79,379		74,137		69,893		289,943
	Less: Inter-segment revenues		2,652		3,307		2,509		10,779
	Net revenues		76,727		70,830		67,384		279,164

2	Segment results:
	Gross profit from each segment
	a) Pharmaceutical Services and Active Ingredients		1,768		2,350		1,009		6,919
	b) Global Generics		44,518		37,933		38,387		154,268
	c) Others		58		1,200		157		2,420
	Total		46,344		41,483		39,553		163,607
	Less: Selling and other un-allocable expenditure, net of other income		27,523		25,467		21,090		91,737
	Total profit before tax		18,821		16,016		18,463		71,870

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.

Notes:

The above statement of unaudited consolidated financial results of Dr.Reddy's Laboratories Limited ("the Company"), which have been prepared in accordance with recognition and measurement principles of IAS 34 as issued by the International Accounting Standards Board (IASB) and were reviewed and recommended by Audit Committee and approved by the Board of Directors at their meetings held on 27 July 2024. The Auditors have carried out a limited review on the unaudited consolidated financial results and issued an unmodified report thereon.

During the quarter ended 30 June 2024 and 31 March 2024, an amount of Rs.809 million and Rs.810 million respectively, representing government grants has been accounted for as a reduction from cost of revenues.

“Other income, net” for the year ended 31 March 2024 includes:

a. Rs. 540 million recognised, in April 2023, pursuant to settlement agreement with Janssen Group in settlement of the claim brought in the Federal Court of Canada by the Company and its affiliates for damages under section 8 of the Canadian Patented Medicines (Notice of Compliance) Regulations in regard to the Company’s ANDS for a generic version of Zytiga®(Abiraterone).

b. Rs. 984 million recognised in September 2023 pursuant to settlement of product related litigation by the Company and its affiliates in the United Kingdom. These transactions pertains to the Company's Global Generics segment.

On 25 April 2024, the Company entered into a definitive agreement with Nestlé India Limited (“Nestlé India”), for manufacturing, developing, promoting, marketing, selling, distributing, and commercializing nutraceutical products and supplements in India and other geographies as may be agreed by the parties. The aforesaid business activities shall be carried out through Dr. Reddy’s Nutraceuticals Limited (the “Nutraceuticals subsidiary”) which was incorporated on 14 March 2024. Subsequently, the Nutraceutical subsidiary’s name was changed to Dr. Reddy’s and Nestlé Health Science Limited on 13 June 2024.

The aforesaid definitive agreement is subject to certain closing conditions and is expected to become effective by the quarter ended 30 September 2024, upon infusion of funds and completion of other closing conditions.

As per terms agreed, the Company will hold 51% and the Nestlé India will hold 49% of the paid-up share capital in the Nutraceuticals subsidiary with shareholder rights to voting, dividend distribution and other economic rights as agreed in the aforesaid definitive agreement. As per agreed terms, the Company and Nestlé India will transfer license of its nutraceuticals brands to Nutraceuticals subsidiary.

Further, Nestlé India will have a call option to increase their shareholding up to 60% in the Nutraceuticals subsidiary after six years from subscription date for a payment at fair market value. However, the Company shall continue to hold at least 40% of the shareholding after Nestlé India exercises its call option.

On 26 June 2024, the Company entered into definitive agreement with Haleon UK Enterprises Limited (“Haleon”) to acquire Haleon’s Ex-US global portfolio of consumer healthcare brands in the Nicotine Replacement Therapy category (“NRT Business”).

The definitive agreement for the acquisition of this NRT Business from Haleon includes the transfer of intellectual property, employees, agreements with commercial manufacturing organization, marketing authorizations and other assets relating to the commercialization of four brands- i.e., Nicotinell, Nicabate, Thrive, and Habitrol. The proposed acquisition will be inclusive of all formats such as lozenge, patch, spray and/or gum in all applicable global markets outside of the United States.

Completion of this transaction is subject to satisfying closing conditions, including the completion of certain reorganization by Haleon Group, and obtaining foreign direct investment approval in Sweden and merger control approvals in Brazil, Saudi Arabia and the United Arab Emirates. The transaction is expected to close during the early part of the quarter ended 31 December 2024.

Upon completion of closing conditions, the Company will acquire this NRT Business by purchasing the shares of Northstar Switzerland SARL (a Haleon Group Company) for a total consideration of up to GBP 500 million (approximately Rs. 52,739 million as translated based on forex rate as at 30 June 2024), consisting of an upfront cash payment GBP 458 million (approximately Rs. 48,309 million) and performance-based contingent payments of up to GBP 42 million (approximately Rs. 4,430 million), based on attainment of agreed-upon sales targets in calendar year 2024 and 2025, and meeting other parameters.

These NRT Business will transition gradually into the Company in a phased approach between April 2025 and February 2026. During the transition period, Haleon Group will provide distribution and related services in the markets, facilitating successful integration of the business across various geographies into the Company.

The Company considered the uncertainties relating to the escalation of conflict in the middle east, and duration of military conflict between 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, including sensitivity analysis, 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.

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 has continued to make presentations to the SEC and the DOJ in relation to the ongoing investigation and in relation to its Global Compliance Framework, which includes enhancement initiatives undertaken by the Company. The Company continues to respond to requests made by the SEC and the DOJ and is complying with its listing obligations as it relates to updating the regulatory agencies. While the findings from the aforesaid investigations could result in government or regulatory enforcement actions against the Company in the United States and/or foreign jurisdictions which can lead to civil and criminal sanctions under relevant laws, the outcomes, including liabilities, are not reasonably ascertainable at this time.

The Board of Directors of the Company at their meeting held on 27 July 2024, have approved the sub-division/ split of each equity share of face value of Rs.5/- (Rupees five only) each, fully paid-up, into 5 (Five) equity shares having face value of Re.1/- (Rupee one only) each, fully paid-up, by alteration of the Capital Clause of the Memorandum of Association of the Company. Further, each American Depositary Share (ADS) of the Company will continue to represent 1 (One) underlying equity share as at present and therefore, the number of ADSs held by an American Depositary Receipt holder would consequently increase in proportion to the increase in number of equity shares. The sub-division/ split will be subject to approval of the shareholders of the Company through postal ballot process. The record date for the said sub-division/ split will be intimated in due course.

Pending approval of the shareholders, the basic and diluted EPS disclosed above have not been adjusted to give effect to such split in accordance with requirements under IAS 33, Earnings per share.

The figures for the quarter ended 31 March 2024 are the balancing figures between audited figures in respect of the full financial year and the published unaudited year to date figures up to the third quarter of the relevant financial year, which were subject to limited review.

By order of the Board

For Dr. Reddy’s Laboratories Limited

Place: Hyderabad	G V Prasad
Date: 27 July 2024	Co-Chairman & Managing Director

Exhibit 99.3

S.R. Batliboi & Associates LLP
Chartered Accountants

THE SKYVIEW 10
18th Floor, NORTH LOBBY
Survey No. 83/1, Raidurgam
Hyderabad - 500 032, India

Tel : +91 40 6141 6000

Independent Auditor’s Review Report on the Quarterly Unaudited Consolidated Financial Results of Dr. Reddy’s Laboratories Limited Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

Review Report to

The Board of Directors

Dr. Reddy’s Laboratories Limited

We have reviewed the accompanying “Statement of Unaudited Consolidated Financial Results for the Quarter Ended 30 June 2024” (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 requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the “Listing Regulations”).

The Holding Company’s Management is responsible for the preparation of the Statement in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, (Ind AS 34) “Interim Financial Reporting” prescribed under Section 133 of the Companies Act, 2013 as amended, 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 Statement has been approved by the Holding Company’s Board of Directors . Our responsibility is to express a conclusion on the Statement based on our review.

We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We also performed procedures in accordance with the circular issued by SEBI under Regulation 33(8) of the Listing Regulations, to the extent applicable.

The Statement includes the results of the following entities:

Holding Company

Dr. Reddy’s Laboratories Limited

Subsidiaries

Aurigene Oncology limited

Cheminor Investments Limited

Dr. Reddy’s Bio-Sciences Limited

Dr. Reddy’s Formulations Limited

Dr. Reddy’s Farmaceutica Do Brasil Ltda.

Dr. Reddy’s Laboratories SA

Idea2Enterprises (India) Private Limited

Imperial Owners and Land Possessions Private Limited

Industrias Quimicas Falcon de Mexico, S.A.de C.V.

10.

Svaas Wellness Limited

11.

Aurigene Discovery Technologies (Malaysia) Sdn. Bhd.

12.

Aurigene Pharmaceutical Services Limited

13.

Beta Institut gemeinmitzige GmbH

14.

betapharm Arzneimittel GmbH

15.

Chirotech Technology 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

S.R. Batliboi & Associates LLP
Chartered Accountants

16.

DRL Impex Limited

17.

Dr. Reddy’s Laboratories (Australia) Pty. Limited

18.

Dr. Reddy’s (Beijing) Pharmaceutical Co. Limited

19.

Dr. Reddy’s Laboratories Canada, Inc.

20.

Dr. Reddy’s Laboratories Chile SPA.

21.

Dr. Reddy’s Laboratories (EU) Limited

22.

Dr. Reddy’s Laboratories Inc.

23.

Dr. Reddy’s Laboratories Japan KK

24.

Dr. Reddy’s Laboratories Kazakhstan LLP

25.

Dr. Reddy’s Laboratories LLC, Ukraine

26.

Dr. Reddy’s Laboratories Louisiana LLC

27.

Dr. Reddy’s Laboratories Malaysia Sdn. Bhd.

28.

Dr. Reddy’s Laboratories New York, LLC

29.

Dr. Reddy’s Laboratories Philippines Inc.

30.

Dr. Reddy’s Laboratories (Proprietary) Limited

31.

Dr. Reddy’s Laboratories Romania S.R.L.

32.

Dr. Reddy’s Laboratories SAS

33.

Dr. Reddy’s Laboratories Taiwan Limited

34.

Dr. Reddy's Laboratories (Thailand) Limited

35.

Dr. Reddy’s Laboratories (UK) Limited

36.

Dr. Reddy’s New Zealand Limited

37.

Dr. Reddy’s Research and Development B.V.

38.

Dr. Reddy’s Srl

39.

Dr. Reddy’s Venezuela, C.A. (till April 17, 2024)

40.

Dr. Reddy’s Laboratories LLC, Russia

41.

Lacock Holdings Limited

42.

Promius Pharma LLC

43.

Reddy Holding GmbH

44.

Reddy Netherlands B.V.

45.

Reddy Pharma Iberia SAU

46.

Reddy Pharma Italia S.R.L

47.

Reddy Pharma SAS

48.

Nimbus Health GmbH

49.

Dr. Reddy’s Laboratories Jamaica Limited

50.

Dr. Reddy’s and Nestle Health Science Limited (Formerly, Dr. Reddy’s Nutraceuticals Limited) India

Associates:

02 Renewable Energy IX Private Limited

Clean Renewable Energy KK2A Private Limited (From 30 May 2024)

Joint Ventures:

DRES Energy Private Limited

Kunshan Rotam Reddy Pharmaceutical Company Limited

Other Consolidating Entities:

Cheminor Employees Welfare Trust

Dr. Reddy’s Research Foundation

Dr. Reddy’s Employees ESOS Trust

S.R. Batliboi & Associates LLP
Chartered Accountants

Based on our review conducted and procedures performed as stated in paragraph 3 above, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with recognition and measurement principles laid down in the aforesaid Indian Accounting Standards (‘Ind AS’) specified under Section 133 of the Companies Act, 2013, as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of the Listing Regulations, including the manner in which it is to be disclosed, or that it contains any material misstatement.

For S.R. Batliboi & Associates LLP

Chartered Accountants

ICAI Firm registration number: 101049W/E300004

per Shankar Srinivasan

Partner

Membership No.: 213271

UDIN: 24213271BKELHF5941

Place: Hyderabad

Date: July 27, 2024

Dr. Reddys 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 UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER ENDED 30 JUNE 2024

		All amounts in Indian Rupees millions
		Quarter ended									Year ended
Sl. No.	Particulars	30.06.2024			31.03.2024			30.06.2023			31.03.2024
		(Unaudited)			(Audited)			(Unaudited)			(Audited)

1	Revenue from operations
	a) Sales		75,396			68,258			66,143			271,396
	b) License fees and service income		1,331			2,572			1,241			7,768
	c) Other operating income		234			308			195			947

	Total revenue from operations		76,961			71,138			67,579			280,111

2	Other income		1,872			1,975			1,740			8,943

3	Total income (1 + 2)		78,833			73,113			69,319			289,054

4	Expenses
	a) Cost of materials consumed		12,272			10,962			12,968			44,901
	b) Purchase of stock-in-trade		13,801			11,759			8,771			43,991
	c) Changes in inventories of finished goods, work-in-progress and stock-in-trade		(4,256	)		(1,800	)		(2,363	)		(6,805	)
	d) Employee benefits expense		14,137			12,836			11,897			50,301
	e) Depreciation and amortisation expense		3,806			3,677			3,533			14,700
	f) Impairment of non-current assets, net		5			(173	)		11			3
	g) Finance costs		598			593			371			1,711
	h) Other expenses		19,703			19,242			15,674			68,389

	Total expenses		60,066			57,096			50,862			217,191

5	Profit before tax and before share of equity accounted investees(3 - 4)		18,767			16,017			18,457			71,863

6	Share of profit of equity accounted investees, net of tax		59			35			43			147

7	Profit before tax (5+6)		18,826			16,052			18,500			72,010

8	Tax expense/(benefit):
	a) Current tax		5,215			2,823			7,197			19,459
	b) Deferred tax		(313	)		131			(2,747	)		(3,228	)

9	Net profit after taxes and share of profit of associates (7 - 8)		13,924			13,098			14,050			55,780

10	Other comprehensive income/(loss)
	a) (i) Items that will not be reclassified subsequently to profit or loss		(91	)		(44	)		106			(28	)
	(ii) Income tax relating to items that will not be reclassified to profit or loss		-			4			-			4
	b) (i) Items that will be reclassified subsequently to profit or loss		115			(565	)		147			(749	)
	(ii) Income tax relating to items that will be reclassified to profit or loss		(6	)		48			(210	)		117
	Total other comprehensive income/(loss)		18			(557	)		43			(656	)

11	Total comprehensive income (9 + 10)		13,942			12,541			14,093			55,124

12	Paid-up equity share capital (face value Rs. 5/- each)		834			834			833			834

13	Other equity		-			-			-			281,714

14	Earnings per equity share (face value Rs. 5/- each)

	Basic		83.61			78.66			84.55			335.22
	Diluted		83.48			78.53			84.36			334.59
			(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
Sl. No.	Particulars	30.06.2024		31.03.2024		30.06.2023		31.03.2024
		(Unaudited)		(Audited)		(Unaudited)		(Audited)
	Segment wise revenue and results:
1	Segment revenue :
	a) Pharmaceutical Services and Active Ingredients		10,472		11,725		9,365		41,295
	b) Global Generics		68,929		61,289		60,130		245,673
	c) Others		212		1,431		593		3,922
	Total		79,613		74,445		70,088		290,890
	Less: Inter-segment revenue		2,652		3,307		2,509		10,779
	Total revenue from operations		76,961		71,138		67,579		280,111

2	Segment results:
	Gross profit from each segment
	a) Pharmaceutical Services and Active Ingredients		1,772		2,349		1,013		6,929
	b) Global Generics		44,518		37,937		38,386		154,272
	c) Others		58		1,202		156		2,423
	Total		46,348		41,488		39,555		163,624

	Less: Selling and other un-allocable expenditure/(income), net		27,522		25,436		21,055		91,614
	Total profit before tax		18,826		16,052		18,500		72,010

Global Generics includes operations of Biologics business. Inter-segment revenue represents 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 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.

Notes:

The above statement of unaudited consolidated 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 Companies Act,2013 ("the Act") read with relevant rules issues thereunder, other accounting principles generally accepted in India and guidelines issues 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 27 July 2024. The Statutory Auditors have carried out a limited review on the unaudited consolidated financial results and issued an unmodified report thereon.

“Other income” for the year ended 31 March 2024 includes :

a. Rs.540 million recognised in April 2023, pursuant to settlement agreement with Janssen Group, in settlement of the claim brought in the Federal Court of Canada by the Company and its affiliates for damages under section 8 of the Canadian Patented Medicines (Notice of Compliance) Regulations in regard to the Company’s ANDS for a generic version of Zytiga^®(Abiraterone).This transaction pertains to the Company's Global Generics segment.

b. Rs.984 million recognised in September 2023, pursuant to settlement of product related litigation by the Company and its affiliates in the United Kingdom. This transaction pertains to the Company's Global Generics segment.

During the quarter ended 30 June 2024 and 31 March 2024, an amount of Rs. 809 million and Rs. 810 million respectively, representing government grants has been accounted as a reduction from cost of material consumed.

Agreement with Nestlé India:

DR. REDDY'S LABORATORIES LIMITED

Agreement with Haleon:

On 26 June 2024, the Company entered into a definitive agreement with Haleon UK Enterprises Limited (“Haleon”) to acquire Haleon’s Ex-US global portfolio of consumer healthcare brands in the Nicotine Replacement Therapy category (“NRT Business”).

The definitive agreement for the acquisition of this NRT Business from Haleon includes the transfer of intellectual property, employees, agreements with commercial manufacturing organization, marketing authorizations and other assets relating to the commercialization of four brands i.e., Nicotinell, Nicabate, Thrive, and Habitrol. The proposed acquisition will be inclusive of all formats such as lozenge, patch, spray and/or gum in all applicable global markets outside of the United States.

Upon completion of closing conditions, the Company will acquire this NRT Business by purchasing the shares of Northstar Switzerland SARL (a Haleon Group Company) for a total consideration of up to GBP 500 (approximately Rs. 52,739 as translated based on forex rate as at 30th June 2024), consisting of an upfront cash payment GBP 458 (approximately Rs. 48,309) and performance-based contingent payments of up to GBP 42 (approximately Rs. 4,430), based on attainment of agreed-upon sales targets in calendar year 2024 and 2025, and meeting other parameters.

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.

Pending approval of the shareholders, the basic and diluted EPS disclosed above have not been adjusted to give effect to such split in accordance with requirements under Ind AS 33, Earnings per share.

By order of the Board

For Dr. Reddy’s Laboratories Limited

Place: Hyderabad	G V Prasad
Date: 27 July 2024	Co-Chairman & Managing Director

Exhibit 99.4

S.R. Batliboi & Associates LLP
Chartered Accountants

THE SKYVIEW 10
18th Floor, NORTH LOBBY
Survey No. 83/1, Raidurgam
Hyderabad - 500 032, India

Tel : +91 40 6141 6000

Independent Auditor’s Review Report on the Quarterly Unaudited Standalone Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

Review Report to

The Board of Directors

Dr. Reddy’s Laboratories Limited

We have reviewed the accompanying “Statement of Unaudited Standalone Financial Results for the Quarter Ended 30 June 2024” (the “Statement”) of Dr. Reddy’s Laboratories Limited (the “Company”) for the quarter ended June 30, 2024 attached herewith, being submitted by the Company pursuant to the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the “Listing Regulations”).

The Company’s Management is responsible for the preparation of the Statement in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, (Ind AS 34) “Interim Financial Reporting” prescribed under Section 133 of the Companies Act, 2013 as amended, 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 Statement has been approved by the Company’s Board of Directors. Our responsibility is to express a conclusion on the Statement based on our review.

Based on our review conducted as above, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standards (‘Ind AS’) specified under Section 133 of the Companies Act, 2013 as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of the Listing Regulations, including the manner in which it is to be disclosed, or that it contains any material misstatement.

For S.R. BATLIBOI & ASSOCIATES LLP

Chartered Accountants

ICAI Firm registration number: 101049W/E300004


per Shankar Srinivasan
Partner
Membership No.: 213271

UDIN: 24213271BKELHG6789

Place: Hyderabad

Date: July 27, 2024

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

Dr. Reddys 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 UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER ENDED 30 JUNE 2024

					All amounts in Indian Rupees millions
		Quarter ended									Year ended
Sl. No.	Particulars	30.06.2024			31.03.2024			30.06.2023			31.03.2024
		(Unaudited)			(Audited)			(Unaudited)			(Audited)

1	Revenue from operations
	a) Sales		58,076			50,304			54,034			192,764
	b) License fees and service income		163			514			167			1,277
	c) Other operating income		173			230			172			797
	Total revenue from operations		58,412			51,048			54,373			194,838

2	Other income		2,178			2,127			2,336			8,623

	Total income (1 + 2)		60,590			53,175			56,709			203,461

3	Expenses
	a) Cost of materials consumed		9,111			9,077			8,139			32,915
	b) Purchase of stock-in-trade		7,403			5,463			3,842			19,866
	c) Changes in inventories of finished goods, work-in-progress and stock-in-trade		(1,261	)		(520	)		(163	)		(2,388	)
	d) Employee benefits expense		8,559			7,795			7,402			30,857
	e) Depreciation and amortisation expense		2,498			2,462			2,372			9,756
	f) Impairment of non current assets, net		-			260			-			260
	g) Finance costs		71			59			45			218
	h) Other expenses		15,070			15,187			12,876			54,064

	Total expenses		41,451			39,783			34,513			145,548

4	Profit before tax (1 + 2 - 3)		19,139			13,392			22,196			57,913

5	Tax expense
	a) Current tax		4,666			2,702			5,387			13,618
	b) Deferred tax		301			342			415			875

6	Net profit for the period / year (4 - 5)		14,172			10,348			16,394			43,420

7	Other comprehensive income / (loss)
	a) (i) Items that will not be reclassified to profit or loss		-			27			1			21
	(ii) Income tax relating to items that will not be reclassified to profit or loss		-			(7	)		-			(7	)

	b) (i) Items that will be reclassified subsequently to profit or loss		55			(189	)		521			(446	)
	(ii) Income tax relating to items that will be reclassified to profit or loss		(14	)		49			(130	)		114

	Total other comprehensive income / (loss)		41			(120	)		392			(318	)

8	Total comprehensive income (6 + 7)		14,213			10,228			16,786			43,102

9	Paid-up equity share capital (face value Rs. 5/- each)		834			834			833			834

10	Other equity											241,574

11	Earnings per equity share (face value Rs. 5/- each)

	Basic		85.10			62.14			98.66			260.95
	Diluted		84.97			62.04			98.45			260.46
			(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
Sl. No.	Particulars	30.06.2024			31.03.2024		30.06.2023			31.03.2024
		(Unaudited)			(Audited)		(Unaudited)			(Audited)
	Segment wise revenue and results
1	Segment revenue
	a) Pharmaceutical Services and Active Ingredients		8,520			9,842		6,885			30,742
	b) Global Generics		52,447			44,006		49,678			173,405
	c) Others		61			353		131			678
	Total		61,028			54,201		56,694			204,825

	Less: Inter-segment revenue		2,616			3,153		2,321			9,987
	Total revenue from operations		58,412			51,048		54,373			194,838

2	Segment results
	Profit / (loss) before tax and interest from each segment
	a) Pharmaceutical Services and Active Ingredients		(70	)		1,246		(596	)		(287	)
	b) Global Generics		19,667			12,172		22,492			57,670
	c) Others		97			239		(9	)		536
	Total		19,694			13,657		21,887			57,919

	Less: (i) Finance costs		71			59		45			218
	(ii) Other un-allocable expenditure / (income), net		484			206		(354	)		(212	)
	Total profit before tax		19,139			13,392		22,196			57,913

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

Notes:

The above statement of unaudited 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 27 July 2024. The Statutory Auditors have carried out a limited review on the unaudited standalone financial results and issued unmodified report thereon.

“Other income” for the year ended 31 March 2024 includes:

a) Rs.540 million recognised in April 2023, pursuant to settlement agreement with Janssen Group, in settlement of the claim brought in the Federal Court of Canada by the Company and its affiliates for damages under section 8 of the Canadian Patented Medicines (Notice of Compliance) Regulations in regard to the Company’s ANDS for a generic version of Zytiga®(Abiraterone).This transaction pertains to the Company's Global Generics segment.

b) Dividend income of Rs. 445 million recognised in June 2023, declared by Kunshan Rotan Reddy Pharmaceutical Company Limited, joint venture of the company.

During the quarter ended 30 June 2024 and 31 March 2024, an amount of Rs. 804 million and Rs. 806 million, representing government grants has been accounted as a reduction from cost of material consumed.

Agreement with Nestle:

Dr. Reddys Laboratories Limited.

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.

By order of the Board

For Dr. Reddy’s Laboratories Limited

Place: Hyderabad	G V Prasad
Date: 27 July 2024	Co-Chairman & Managing Director

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