Reddy’s net up 32 per cent

The company also said it was bullish on the performance of its German arm Betapharm,which had been denting it’s profits considerably.

G V Prasad,vice chairman and CEO,Dr Reddy¿s said the measures taken by the company in Germany might yield good results in the coming quarters.

“Germany is one of the top five priority areas for us. In the overall scheme of things,it may be just 10 per cent contribution to the company now. But for generic business it is an important component,” he said after the announcement of Q2 results.

According to Prasad,Dr Reddy¿s launched as many as 13 new products during the quarter and spent Rs 220 crore on capital expenditure.

“We have good visibility of the launches of new products we planned there,” he added.

Though revenue from Europe has declined on account of poor performance from Betapharm,income from Indian and Russian markets made up the numbers,the company said.

While revenue from Europe declined to Rs 240 crore from Rs 280 crore last year,revenue from Russia and other CIS markets grew by 17 per cent to Rs 280 crore from Rs 240 crore.

Income from Indian operations stood at Rs 320 crore,up 25 per cent against last year¿s Rs 250 crore.

Income from North America,on which the company had been pinning hopes,was nearly flat at Rs 440 crore as against Rs 430 crore last year.

However,giving a forecast,Prasad said the company overall expected better performance for the next half.

“The growth in the first half itself was as planned. On the strength of new product launches and the growth in India and Russia we expect better results,” he said.