Dr Reddy’s Q2 FY26 profit rises 6% YoY to Rs 1,426 crore; revenue up 9%

Pharmaceutical major Dr Reddy’s Laboratories reported a 6.36 per cent YoY profit growth in the second quarter of FY2025-26. The pharma company posted a consolidated net profit of Rs 1,426 crore in Q2 FY26. In the same quarter of the previous fiscal year, the company’s consolidated net profit was Rs 1,341 crore. 

Further, Dr Reddy’s reported 8.9 per cent YoY revenue growth in the quarter. The company’s consolidated revenue from operations in Q2 FY26 stood at Rs 8,805 crore, compared to Rs 8,016 crore in Q2 FY25. 

Margin decline

Dr Reddy’s EBITDA in the quarter stood at Rs  2,351 crore, against an EBITDA of Rs 2,280 crore in the corresponding quarter of FY25. The pharma major’s gross margin came down to 54.7 per cent in Q2 FY26 from 59.6 per cent in Q2 FY25. 

Dr Reddy’s Europe business saw a massive 138 per cent YoY growth in the quarter. However, its business from North America declined 13 per cent YoY in the quarter.