Driven by increased generic sales in North America and Russia, drug major Dr. Reddy's Laboratories reported a 7 per cent increase in net profit in the second quarter ended September 30, 2011, at Rs.307 crore against Rs.286 crore during the same period in the previous year.
Revenue grew by 21 per cent to Rs.2,268 crore from Rs.1,870 crore.
Releasing the results at a press conference here on Tuesday, Managing Director K. Sathish Reddy said the revenue growth was 42 per cent in North America at Rs.629 crore against Rs.442 crore. It went up by 26 per cent in Russia from Rs.227 crore to Rs.290 crore, by 9 per cent in India from Rs.316 crore to Rs.346 crore.
However, there was a decline in revenue from Germany by 27 per cent, but went up by 26 per cent in rest of Europe.
He said the growth in pharmaceutical services and active ingredients was 28 per cent, from Rs.462 crore to Rs.593 crore.
Mr. Reddy said the generics growth in North America was driven by five new launches and market share improvements. While continuing tender pricing pressures were among the reasons for decline in Germany, the year-on-year growth in India was largely driven by new product launches and volume growth in key products. The growth in the Russian market was also driven by volume increase in key products.
Replying to a question, he said higher growth was expected in the second-half of this year.
