Double digit growth on differentiated products: Dr Reddy's

Dr Reddy's reported a 20% increase in its topline during 2012-13

Indicating tougher challenges ahead in the global generics business, Dr Reddy's Laboratories Limited chairman G V Prasad said sustaining the double digit growth would depend upon the company's success in introducing differentiated and hard-to-produce medicines in global markets.

Dr Reddy's reported a 20 per cent increase in its topline to Rs 11,600 crore during 2012-13 primarily driven by North America and emerging markets in the global generics business. It had launched 104 new generic products and filed 56 new product registrations during the year, according to the annual report.

In a first-ever communication to the shareholders as chairman of the company, Prasad also listed out various steps the company has initiated to bring out these products. This involve excellence in several elements, including the right choice of molecules, quality by design and creating global R&D partnerships.

"We have started getting our early success on these fronts. In large measure, your company's good business results in FY 2013 are due to appreciable improvements made in operations-building on a company wide consolidated theme of safety, quality and productivity," he said.

The letter said in the current year products worth over $ 310 million were developed based on the principles of quality by design and this would increase over the future.

The company has been selecting the right products -- namely, those with great therapeutic upsides and having significant technical challenges- so as to carve high quality niches and also create technology-based future biosimilars, he said.