Dr Reddys Laboratories trades in fine fettle on the bourses

Dr Reddy's Laboratories is currently trading at Rs 1666.45, up by 20.15 points or 1.22% from its previous closing of Rs 1646.30 on the BSE.

The scrip opened at Rs 1646.00 and has touched a high and low of Rs 1667.45 and Rs 1641.85 respectively. So far 16916 shares were traded on the counter.

The BSE group 'A' stock of face value Rs 5 has touched a 52 week high of Rs 1818.00 on 20-Apr-2012 and a 52 week low of Rs 1387.00 on 22-Aug-2011.

Last one week high and low of the scrip stood at Rs 1667.45 and Rs 1632.05 respectively. The current market cap of the company is Rs 28229.72 crore.

The promoters holding in the company stood at 25.57% while Institutions and Non-Institutions held 40.32% and 17.32% respectively.

California-based Santarus Inc along with the University of Missouri, licensor of the Santarus patents, has filed a court case against Dr Reddy's Laboratories, accusing the latter for infringing its patents on heartburn drug Zegerid. The move is in response to the company’s abbreviated new drug application (ANDA)with US Food and Drug Administration, stating its intent to market generic versions of Zegerid before July 2016, when Santarus' patents on the drug expires. Zegerid capsules, which treat heartburn and other symptoms, related to gastroesophageal reflux disease, brought in sales of $10.3 million in the April-June period.

Zegerid has filed for patent infringement case as it has challenged the ruling of US district court and is currently awaiting a decision on the case. In 2010, a Delaware federal court ruled that the patents were invalid because of obviousness in light of prior art. California-based Santarus has reportedly challenged the district court's decision, arguing that the prior art used to invalidate the patents actually taught away from the claimed invention.

On the standalone basis, Dr Reddy's Laboratories posted a fall of 60.87% in its net profit at Rs 177.66 crore for the quarter ended June 30, 2012 as compared to Rs 454.05 crore for the same quarter in the previous year. However, total income has increased by 4.70% at Rs 1834.94 crore for quarter under review as compared to Rs 1752.50 crore for the quarter ended June 30, 2011.

On the consolidated basis, the company has posted a rises of 27.87% in its net profit at Rs 335.98 crore for the quarter ended June 30, 2012 as compared to Rs 262.74 crore for the same quarter in the previous year. Total income has increased by 28.31% at Rs 2562.46 crore for quarter under review as compared to Rs 1997.02 crore for the quarter ended June 30, 2011.

Dr Reddy's is an integrated global pharmaceutical company, committed to providing affordable and innovative medicines for healthier lives. Through its three businesses - Pharmaceutical Services and Active Ingredients, Global Generics and Proprietary Products - the company offers a portfolio of products and services including APIs, custom pharmaceutical services, generics, bio-similars, differentiated formulations and NCEs.