Dr. Reddy’s Laboratories Limited

Two of our key promises have been addressing unmet patient needs, and helping patients to manage disease better. Nothing has underscored the importance of these promises as the COVID-19 pandemic. During the year, we launched 20 brands in India, including Invista, Redyx, Avigan which aided growth. Thirteen of our brands — Omez , Omez -D, Atarax , Redyx, Bro- Zedex , Razo-D , Ketorol, Nise , Stamlo, Zedex , Practin , Mintop and Econorm — are among the top 300 brands of the Indian pharmaceuticals market. The R&D expenses for FY2021 were Rs 1654 crore, or 8.7 per cent of revenue, versus 8.8 per cent in FY2020. The R&D spends in FY2021 increased by 7 per cent over FY2020, due to an increase in the development activities pertaining to generics segment, including COVID-19 related products development. Within manufacturing, we are building Digital Lighthouse plants to increase plant productivity, while in R&D, multiple digital solutions are being deployed to drive reduction in cycle time of drug development. The pricing pressures in the US, Europe and certain emerging markets have continued. However, our strong performance was led by volume growth and new product launches across these markets. Having said that, some delays in launch of a few key products hampered further growth. We have enough levers of growth in terms of expanding our market share, new product launches, scale up of several businesses and opportunities arising from COVID-19 products. These should enable us to deliver satisfactory performance in FY2022.

- K SATISH REDDY

Chairman Dr. Reddy’s Laboratories Limited

During FY20-21, Hyderabad-based Dr. Reddy’s Labs invested 8.7 per cent of its total revenue into R&D, amounting to Rs 1654 crore. At the heart of the company’s research and development organisation is its state-of-the art R&D Centre in Hyderabad, spread over 300,000 sq ft. The centre houses more than 70 laboratories and has more than 800 research scientists working on various projects. This R&D Centre works in close conjunction with other centres across the U.K. and the Netherlands. The work at the R&D centres result in a wide-ranging suite of capabilities and services—from synthetic organic chemistry to formulations development; from intellectual property management to regulatory science; from polymorphism to biopharmaceutics.

Key Highlights of FY20-21

■ Partnered with The Russian Direct Investment Fund (RDIF), Russia’s sovereign wealth fund, for conducting clinical trials and distribution of Sputnik V vaccine in India.

■ Completed Phase III trial for Sputnik V vaccine, which demonstrated efficacy at 91.6 per cent, following its launch in the Indian market.

■ Created a partnership with the Biotechnology Industry Research Assistance Council (BIRAC) for advisory support on Sputnik V vaccine.

■ Signed a licensing agreement with Gilead Sciences, Inc. for right to register, manufacture and sell Remdesivir

■ Launched Remdesivir under the brand name Redyx in India.

■ Entered into a licensing agreement with Fujifilm Toyama Chemical for Avigan (Favipiravir) in all countries other than Japan, China and Russia.

■ Launched Avigan 200 mg tablets in India and few other markets.

■ Conducting Phase III trials of Avigan 200mg in North America for outpatient setting with mild to moderate symptoms.

■ Developed 2-DG in collaboration with by

Defence Research and Development Organisation (DRDO) laboratories, as adjunct therapy for moderate to severe hospitalised COVID-19 patients.

■ Working on Molnupiravir, Baricitinib and other COVID-19 drugs for treatment ranging from mild to severe conditions.

■ Filed 20 new Abbreviated New Drug Applications (ANDAs) and one New Drug Application (NDA) with USFDA.