Dr Reddy's to focus on licensing, collaborations in domestic market

G Naga Sridhar Updated - November 02, 2023 at 02:39 PM.

Dr Reddy’s Labs plans to target areas like cardiovascular, diabetes, CNS, oncology, to generate a better standard of care than the current one

Excluding loss of revenues from NLEM-related price reduction, Dr Reddy’s India business grew in mid-single digits

Dr Reddy’s Laboratories will be focussing on licensing and collaborating with the partners to bring innovation to India, according to its Chief Executive Officer, Erez Israeli.

“This is the most important initiative that we have for India. In addition to that, we identified a focused portfolio, biologics, in which we are growing,” Israeli said in the earnings call for the second quarter of the current financial year. 

“The biologics-focussed portfolio is growing very, very nicely. The overall performance of the portfolio that we have today is growing in mid-single digit,” the CEO said. 

In terms of therapeutic areas, the Hyderabad-based drugmaker is adopting a diversified approach. “We are primarily targeting areas like cardiovascular, diabetes, CNS, oncology, especially in areas where we can find a standard of care or something better than the current standard of care,’‘ Israel said.

Innovation is the need of the hour in the industry in this segment and the company is keen on addressing ‘unmet needs’ in this regard, he said.

In the second quarter ended September 2023, the India business recorded ₹1,186 crore revenue with a three percent year-on-year growth. 

Excluding loss of revenues from NLEM-related price reduction, India business grew in mid-single digits.

“Our focus on profitable growth, coupled with sales and marketing execution have led to gradual improvement in business performance,“ he said. 

The company signed an in-licensing deal with Hengrui’s NCE, Pyrotinib. It also launched ‘Nerivio’ in India, its first digital therapeutic products addressing the unmet needs of migraine patients. 

Further, it launched a direct-to-consumer platform, ‘celevidawellness.com’, for serving the needs of diabetic patients in India.

Published on November 2, 2023 08:40

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