Dr Reddy's Labs Reports Flat Q2 Performance, Highest Net Sales in 5 Quarters

Nov 07 2024 04:46 PM IST
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Dr Reddy's Laboratories, a leading pharmaceutical company, reported its financial results for the second quarter of FY24-25. While net sales were the highest in five quarters, PAT and EPS saw a decline. MarketsMojo has given a 'Hold' call for the company's stock.

Dr Reddy's Laboratories, a leading pharmaceutical company in the largecap industry, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Hold' call by MarketsMOJO.

According to the financial report, Dr Reddy's Labs has seen a flat performance in the second quarter of the fiscal year 2024-2025. The company's score has fallen from 2 to -4 in the last three months.

However, there are some positive aspects to the company's financials. The net sales for the quarter were the highest in the last five quarters, standing at Rs 8,038.20 crore. The near-term sales trend is also positive.

On the other hand, the profit after tax (PAT) for the quarter has fallen by 9.7% compared to the average PAT of the previous four quarters. The earnings per share (EPS) for the quarter were also the lowest in the last five quarters, indicating a decline in profitability. The company's dividend payout ratio (DPR) for the last five years is also at its lowest, indicating a lower distribution of profits as dividends.

Overall, Dr Reddy's Labs has shown a mixed performance in the second quarter of FY24-25. Investors are advised to hold their positions in the company's stock, as suggested by MarketsMOJO.
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