A company press release said that a 10 per cent growth in sales was achieved despite reduced exposure to the CIS markets by the company this year. In 1998-99, 35 per cent of the annual sales to the CIS was recorded in the first quarter, prior to the Russian economic breakdown.

Segment-wise performance details reveal that the company's finished dosage business sales increased to Rs 73.27 crore as against Rs 68.49 crore in the corresponding period last year. The domestic business contributed 82 per cent of the finished dosage turnover.

The domestic formulations business grew 33 per cent to touch Rs 60.37 crore during the first quarter compared with the corresponding period last year.

International business contributed Rs 12.90 crore as sales compared with Rs 23 crore in the previous year. Twenty-fiveadditional registrations were obtained in Tanzania and Thailand, taking the total number of registrations till date to 273. The company's Brazilian JV obtained registrations for 10 products and discussions for a joint venture agreement in China had been completed and an agreement is expected to be signed shortly.

The bulk drugs business registered a sales growth of 18 per cent to touch Rs 50.1 crore and the bulk domestic business maintained a steady growth curve, despite a highly volatile market. Bulk exports grew 33 per cent to touch Rs 16.8 crore and the company launched pantoprazole in the gastro-intestinals segment in the export market.

The company's diagnostics business achieved sales of Rs 2.69 crore as against Rs 3.2 crore in the previous year, while the critical care division saw brands like Mitotax and Dacotin increase their market share.

On the research front, the release added that that the Dr Reddy's Research Foundation (DRF) is expected to complement its discovery research efforts with thesetting up of a satellite research lab in the US.