₹7083 crore, but the drop in Ebitda was steeper at nearly 12% to ₹1,784 crore. DRL’s US sales dropped 2.2% sequentially, driven by lower Revlimid sales and price-erosion in a few other molecules. Some analysts reckon DRL’s US revenue from Revlimid, a key product, may well have peaked in FY24.
If that's the case, the big challenge for DRL in the coming quarters is to build alternative revenue streams before Revlimid goes off-patent in January 2026. The company is already working toward this, having adopted a multi-pronged strategy involving partnerships and licensing agreements for complimentary products; acquisitions; and a focus on developing new products. Also read: KKR wins bidding war to acquire medical devices firm Healthium DRL has formed separate partnership agreements with Sanofi and Bayer to distribute some of their products in India, and has another licensing agreement with a US company.
In April, it formed a joint venture with Nestle for nutraceutical brands. As for acquisitions, the company bought a women’s health products business in the US and has been looking for more opportunities. It had acquired a cardiovascular brand from Novartis in FY23 for about ₹500 crore.
With almost ₹6,500 crore of surplus cash, it has enough leverage to scout even bigger opportunities. Also read: ICMR institutes to take on broader role in healthcare Dr Reddy's has also launched two new products in the UK and a wearable device in Germany and South Africa. The company launched 21 new molecules in the US in FY24 and is preparing to launch more than 20 in FY25.
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