The share price of large-cap pharmaceutical companies increased by 2.14% to Rs. 5,535 after announcing the USFDA approval of a new wearable therapy device.
Dr. Reddy’s Laboratories Ltd. has announced the roll-out of Nerivio in India, a state-of-the-art United States Food and Drug Administration (USFDA) approved wearable therapy device for drug-free management of migraine.
Nerivio is a non-invasive device used to treat migraines with or without aura in adults and adolescents aged 12 and above. It requires a prescription and can be used for acute and preventive treatment.
Nerivio is an effective non-invasive therapy with no systemic adverse events and has been shown to reduce the need for drugs used for acute treatment in nearly 9 out of 10 patients.
Dr. Reddy signed exclusive agreements with Theranica to distribute Nerivio in India and in several European countries. Nerivio received an expanded CE mark approval for dual-use migraine treatment in August 2021.
The company has reported its net revenue increased by 9.1 percent year on year from Rs 6,305 crores in Q2FY23 to Rs 6,880 crores in Q2FY24. On a quarter-on-quarter basis, their revenue increased 2 percent from Rs 6,738 crore in Q1FY24 to current levels.
In addition, net profit rose 33 percent year on year, from Rs 1,112 crores in Q2FY23 to Rs 1,480 crores in Q2FY24. On a sequential basis, their net profit rose by 5 percent from Rs 1,402 crores in Q1FY24 to current levels.
Dr. Reddy Laboratories is a large-cap company with a Market capitalization of Rs 92,277 crores. It also has a return on equity (ROE) of 21 percent and a return on capital employed (ROCE) of 26 percent.
The company’s promoters hold a 26 percent stake in the company, with 28 percent owned by foreign institutional investors, 10 percent owned by the general public, 21 percent owned by domestic institutional investors, and 14 percent others.
The share price of Dr. Reddy Laboratories has increased by 23 percent in the last six months and by 30 percent year to date.
Dr. Reddy’s Laboratories is an Indian multinational pharmaceutical corporation headquartered in Hyderabad. Kallam Anji Reddy, a former employee of the Indian Drugs and Pharmaceuticals Limited mentor institute, founded the business. In India and overseas, Dr. Reddy’s produces and distributes a large variety of pharmaceutical products.
Written by Sriram KV