Mumbai, July 26 (IANS) Integrated pharmaceutical company Dr. Reddy’s Laboratories on Thursday reported an exponential rise of 672 per cent in its consolidated net profit for the first quarter of 2018-19, at Rs 456.1 crore from Rs 59.1 crore during the corresponding period of the previous fiscal.
“Profit after tax at Rs 4.6 billion. The effective tax rate is 8.9 per cent for the quarter. This is lower primarily on account of profit mix and favourable resolutions of certain tax related litigations pertaining to earlier years. The effective tax rate in Q1FY18 was 23.5 per cent,” the company said in a statement.
The company’s Q1 revenues were up 12 per cent to Rs 3,720.7 crore from Rs 3,315.9 crore earned during the like period of previous year.
“Improvement primarily aided by contribution from new launches including gSuboxone, leverage benefit, better product mix coupled with favorable foreign exchange,” the statement added.
“This was partially offset by higher price erosions due to channel consolidation and increased competitive intensity in some of our key molecules in the US.”