Cautious Outlook for Dr. Reddy's

New Launches, Emerging Mkts to Fuel Growth

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As of March 2025, Dr. Reddy's had a net cash position of $250 million, bolstered by gRevlimid gains. The company invested $700 million in the Nicotine Replacement Therapy (NRT) acquisition and increased capex and R&D outlays. Management noted that it still has the capacity to pursue acquisitions in the $2.0–2.5 billion range, as per management. The company will remain selective and conscious of valuation. Thus, growth contribution from acquisition is uncertain but remains a possibility.