October 27, 2023

National Stock Exchange of India Ltd. (Scrip Code: DRREDDY-EQ) BSE Limited. (Scrip Code: 500124) New York Stock Exchange Inc. (Stock Code: RDY) NSE IFSC Ltd. (Stock Code: DRREDDY)

Dear Sir/Madam,

Sub: Outcome of Board Meeting – Unaudited Financial Results for the quarter and half-year ended September 30, 2023

In furtherance to our letter dated September 22, 2023, we would like to inform that the Board of Directors of the Company, at its meeting held on October 27, 2023, has inter alia approved the Unaudited Financial Results of the Company for the quarter and half-year ended September 30, 2023.

In terms of the above, we are enclosing herewith the following:

• 1. Unaudited Consolidated Financial Results of the Company and its subsidiaries for the quarter and half-year ended September 30, 2023, prepared in compliance with International Financial Reporting Standards (IFRS) as issued by International Accounting Standards Board (IASB);
• 1. Press Release on Financial Results of the Company for the above period;
• 1. Unaudited Consolidated Financial Results of the Company and its subsidiaries for the quarter and half-year ended September 30, 2023, as per Indian Accounting Standards; and
• 1. Unaudited Standalone Financial Results of the Company for the quarter and half-year ended September 30, 2023, as per Indian Accounting Standards.

Pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Limited Review Reports of the Statutory Auditors on the Unaudited Standalone and Consolidated Financial Results as mentioned at serial nos. 3 & 4 are also enclosed.

The Board Meeting commenced at 09:00 AM and concluded at 15:12 PM.

This is for your information and records.

Thanking you.

Yours faithfully, For Dr. Reddy's Laboratories Limited K Randhir Singh Company Secretary, Compliance Officer & Head-CSR KUMAR RANDHIR SINGH Digitally signed by KUMAR RANDHIR SINGH Date: 2023.10.27 15:14:14 +05'30'

Encl: As above

Dr. Reddy's Laboratories Ltd. 8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500 034, Telangana, India.

CIN: L85195TG1984PLC004507

Tel : +91 40 4900 2900 Fax : +91 40 4900 2999 Emil : [email protected] www.drreddys.com

DR. REDDY'S LABORATORIES LIMITED

Unandited consolidated financial results of Dr. Reddy's Laboratories Limited and its subsidiaries for the quarter and half year ended 30 September 2023 prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB)

Global Generics segment includes operations of Biologics business. Inter-segment revenues represents sales from Pharmaceutical Services and Active Ingredients to Global Generics and Others at cost.

Notes:

• The above statement of unaudited consolidated financial results of Dr.Reddy's Laboratories Limited ("the Company"), which have been prepared in accordance with recognition and measurement principles of !AS 34 as issued by the International Accounting Standards Board (IASB) and were reviewed and recommended by Audit Committee and approved by the Board of Directors at their meetings held on 27 October 2023. The Auditors have carried out a limited review on the unaudited consolidated financial results and issued an unmodified report thereon.
• 2 "Other income, net" for the quarter ended 30 September 2023 includes Rs.984 million recognized pursuant to settlement of product related litigation by the Company and its affiliates in the United Kingdom. This transaction pertain to Company's Global Generics segment.
• 3 "Other income, net" for the quarter ended 30 June 2023 includes Rs.540 million recognised pursuant to settlement agreement with Janssen Group, in settlement of the claim brought in the Federal Court of Canada by the Company and its affiliates for damages under section 8 of the Canadian Patented Medicines (Notice of Compliance) Regulations in regard to the Company's ANDS for a generic version of Zytiga®(Abiraterone). This transaction pertain to Company's Global Generics segment.
• 4 "Other income, net" for the half year ended 30 September 2022 includes an amount of Rs.5,638 million (U.S.\$71.39 million discounted to present value) towards the settlement of an ongoing litigation relating to launch of a product with Indivior Inc., Indivior UK Limited and Aquestive Therapeutics, Inc.
• 5 Included in "Other income, net" for the year ended 31 March 2023, is an amount of Rs.991 million representing the Loss on sale of Assets, pursuant to agreement dated 16 December 2022 with Delpharm Development Leiden B.V (Delpharm) for transfer of its certain assets, liabilities and employees at its site at Leiden, Netherlands.This transaction pertains to Company's Global Generics segment.
• 6 Revenues for the year ended 31 March 2023 includes :

u) Rs.2,640 million from sale of certain non-core dermatology brands to Eris Lifcscicnces Limited; b) Rs.1,399 million from sale of brands Styptovit-E, Finast, Finast-T and Dynapres to Torrent Pharmaceuticals Limited; c) Rs.902 million from sale ofbrnnds Z&D, Pedicloryl, Pcccf and Ezinopi to J B Chcmicols and Phannaccuticals Limited. The amounts recognised above are adjusted for expected sales returns. These transactions pertain to Company's Global Generics segment.

7 During the year ended 31 March 2023, Company considered impairment ofRs.540 million towards: a. The Company assessed performance of business acquired from Nimbus Health GmbH against the initial estimates and performance of the products. Basis the assessment, the Company has recorded an impairment charge of the carrying values amounting to Rs.375 million (Goodwill - Rs.272 million and Other intangibles - Rs.103 million). The said impairment charge pertains to the Company's Global Generics segment. b. Consequent to adverse market conditions with respect to certain of the Company's products related intangibles forming part of the company's Global Generics and Pharmaceutical Services and Active Ingredients segments, the Company assessed the recoverable amount of these products and recognised an amount of Rs. 165 million as impairment charge during the year ended 31 March 2023.

• 8 The Company has considered the impact of recent tax regulations and developments, including updates to its estimate on the impact of adoption of the Taxation Laws (Amendment) Act 2019, in determining its "Tax expense, net" for the half year ended 30 September 2023 and year ended 31 March 2023.
• 9 During the half year and quarter ended 30 September 2023, an amount of Rs.2,274 million and Rs.1,598 million, respectively, representing government grants has been accounted as a reduction from cost of revenues.
• IO During the quarter ended 30 September 2022, an amount of Rs.1,933 million representing government grants has been accounted as a reduction from cost of revenues.

11 Consolidated statements or financial position

I 2 The Company received an anonymous complaint in September 2020, alleging that healthcare professionals in Ukraine and potentially in other countries were provided with improper payments by or on behalf of the Company in violation of U.S. anti-corruption laws, specifically the U.S. Foreign Corrupt Practices Act. The Company disclosed the matter to the U.S. Department of Justice ("DOJ"), Securities and Exchange Commission ("SEC") and Securities Exchange Board of India. The Company engaged a U.S. law firm to conduct the investigation at the instruction of a committee of the Company's Board of Directors. On 06 July 2021 the Company received a subpoena from the SEC for the production of related documents, which were provided to the SEC.

The Company made presentations to the SEC and the DOJ in relation to the investigation with respect to certain countries during the previous fiscal years. The Company also made a presentation to the SEC and the DOJ in relation to its Global Compliance framework, including the ongoing enhancement initiatives, during the year ended 31 March 2023. The Company is complying with its listing obligations as it relates to updating the regulatory agencies. While the findings from the aforesaid investigations could result in government or regulatory enforcement actions against the Company in the United States and/or foreign jurisdictions, which can lead to civil and criminal sanctions under relevant laws, the outcomes including liabilities are not reasonably ascertainable at this time.

13 Consolidated statements of cash flows

*Rounded off to million .

.. FVTPL (fair value through profit or loss)

111 Adjusted for bank-overdraft of Rs_ 4 million and Rs. 3 million for the hulfyear ended 30 September 2023 and 30 September 2022, respectively.

14 The Company considered the uncertainties relating to the military conflict between Russia and Ukraine, in assessing the recoverability of receivables, goodwill, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, including sensitivity analysis, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions.

Place: Hyderabad Date: 27 October 2023

By order of the Board For Dr. Reddy's Laboratories Limited

Co-Chairman & Managing Director

I

r

Press Release Dr.Reddy's •·· ~;•

DR. REDDY'S LABORATORIES LTD. 8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500034. Talang1=mr1, India.

Dr. Reddy's Q2 FY24 Financial Results

Hyderabad, India, Oct 27, 2023: Dr. Reddy's Laboratories Ltd. (BSE: 500124 I NSE: DRREDDY I NYSE: RDY I NSEIFSC: DRREDDY) today announced its consolidated financial results for the quarter ended Sep 30, 2023. The information mentioned in this release is based on consolidated financial statements under International Financial Reporting Standards (IFRS).

Gross Margin 58.7%

SG&A Expenses Rs. 18,795 Mn

R&D Expenses Rs. 5,447 Mn

Profit before Tax Rs. 19,134 Mn

Profit after Tax Rs. 14,800 Mn

Revenues Rs. 68,802 Mn [Up: 9% YoY; Up: 2% QoQ]

[02 FY23: 59.1 %; 01 FY24: !'18 7%]

[Up: 13% YoY; 6% QoQ]

[7.9% of Revenues]

EBITDA Rs. 21,813 Mn [31 .7% of Revenues]

[Up: 19% YoY; Up: 4% QoQ]

[Up: 33% YoY; Up: 6% QoQ]

Commenting on the results, Co-Chairman & MD, G V Prasad said: "We delivered another quarter of strong results with highest ever sales and profits, driven by market share gains & momentum in our US generics business and robust growth in Europe. We are continuing to strengthen our pipeline both organically and through business development to drive growth and create differentiation."

Dr. Reddy's Laboratories Limited and Subsidiaries

Consolidated Income Statement

EBITDA Computation

* Includes income from Investments

All amounts in millions, except EPS All US dollar amounts based on convenience translation rate of 1 USD == Rs. 83.08

Key Balance Sheet Items

Revenue Mix by Segment

3

Revenue Analysis [Q2 FY24]

Global Generics (GG)

► Q2 FY24 revenue at Rs. 61.1 billion, YoY growth of 9% and QoQ growth of 2%. This growth was primarily driven by North America and Europe.

North America

• ► Q2 FY24 revenue at Rs. 31.7 billion, YoY growth of 13% and QoQ decline of 1 %. The growth was on account of growing momentum in our core portfolio, Mayne integration, favorable move from foreign exchange which was partly offset by price erosion.
• ► During the quarter, we launched 4 new products in US.
• ► During the quarter, we filed 2 new Abbreviated New Drug Applications (ANDAs) with the US Food and Drug Administration (USFDA). As of 30th Sep 2023, cumulatively 79 generic filings are pending for approval with the USFDA (75 ANDAs and 4 NDAs under 505(b)(2) route). Out of the pending 79 ANDAs, 41 are Para IVs, and we believe 20 have 'Firstto File' status.

Europe

► Q2 FY24 revenue at Rs. 5.3 billion, YoY growth of 26% and QoQ growth of 4%. The growth was driven by leveraging existing portfolio, contribution from new products and favorable forex which was partly offset by price erosion.

India

► Q2 FY24 revenue at Rs. 11.9 billion, YoY growth of 3% and QoQ increase of 3%. This growth was largely driven by pricing, new launches and partly offset by NLEM impact and muted demand due to weak acute season. Excluding NLEM, operational sales grew in mid-single digit.

Emerging Markets

• , Q2 FY24 revenue from Emerging Markets at Rs. 12.2 billion, YoY decline of 1 % and QoQ growth of 5%.
• Revenue from Russia for the quarter at Rs. 5.8 billion, YoY decline of 3% and QoQ growth of 3%. YoY decline was majorly due to currency devaluation, excluding which YoY growth of 4% and QoQ growth of 9%. The increase was mainly driven by favorable pricing.
• Revenue from other CIS countries and Romania for the year at Rs. 2.2 billion, YoY growth of 1 % and QoQ growth of 12%. YoY growth, primarily on account of price increases on certain products, favorable move from foreign exchange which was partly offset by decline in base business volumes. QoQ growth was primarily driven by base business demand, partly offset by pricing pressure.
• Revenue from Rest of World (RoW) territories for the year at Rs. 4.2 billion, YoY growth of 1 % and QoQ growth of 6%. YoY growth, led by new product launches, which was partly offset by pricing pressure and lower base business. QoQ growth was mainly driven by new product launches and increase in demand of existing products and was partly offset by price e • da;-

~ ~ . 0 ...,

Pharmaceutical Services and Active lngrectients (PSAI)

► Q2 FY24 revenue at Rs. 7.0 billion, with a growth of 9% YoY and 5% QoQ. YoY growth was mainly driven by new product launches, favorable move from foreign exchange partly offset with price erosion. QoQ growth was mainly driven by new product launches.

Income Statement Highlights:

• ► Q2 FY24 gross margin at 58.7% (GG: 63.6%, PSAI: 17.8%). Gross margin decreased by ~40 bps YoY and was in line with preceding quarter. The decline in gross margin was primarily driven by marginal adverse price variance in certain products and mix change offset with favorable forex benefit.
• ,- Selling, general & administrative (SG&A) expenses for Q2 FY24 at Rs. 18.8 billion, YoY increase of 13% and by 6% QoQ. The YoY SG&A spend increase is largely on account of investment in sales & marketing, digitalization, and other business initiatives.
• ► Research & development (R&D) expenses in Q2 FY24 at Rs. 5.4 billion. As% to Revenues Q2FY24: 7.9% I Q1FY24: 7.4% I Q2 FY23: 7.7%. R&D investments are driven by ongoing clinical trials on differentiated assets, as well as other developmental efforts to build a healthy pipeline of new products across our markets for both small molecules and biosimilars.
• ► Other operating income for Q2 FY24 at Rs. 1.8 billion compared to Rs. 0.3 billion in Q2 FY23. Other operating income included the one-off income benefit of~ Rs. 0.98 billion pursuant to settlement of product related litigation.
• ► Net Finance income for Q2 FY24 at Rs.1.2 billion compared to net finance expense of Rs. 0.2 billion in Q2 FY23. The higher income was primarily on account of profit on sale of units of mutual funds and other investments.
• ► Profit before Tax for Q2 FY24 at Rs. 19 .1 billion, Yo Y growth of 19%. QoQ growth of 4%
• ► Profit after Tax for Q2 FY24 at Rs. 14.8 billion. The effective tax rate for the quarter has been 22.7% as compared to 30.9% in Q2 FY23. The lower tax was primarily due to adoption of corporate tax rate under section 115BAA of the Income Tax Act of India.
• ► Diluted earnings per share for Q2 FY24 is Rs. 88.78

Other Highlights:

• ► EBITDA for Q2 FY24 at Rs. 21.8 billion and the EBITDA margin is 31.7%.
• ► Capital expenditure for Q2 FY24 at Rs. 3.2 billion.
• ► Free cash-flow for Q2 FY24 at Rs. 14.5 billion (before acquisition payout).
• ► Net cash surplus for the company at Rs. 59.1 billion as on Sep 30, 2023.

About key metrics and non-GAAP Financial Measures

This press release contains non-GAAP financial measures within the meaning of Regulation G and Item 10(e) of Regulation S-K. Such non-GAAP financial measures are measures of our historical performance, financial position or r.r1sh flows thr1t r1rP. r1clj11stP.rl to P.xr.l11rlP. or inr.l11rlP. r1mo11nts from the most directly compr1rr1hlP. financial measure calculated and presented in accordance with IFRS.

The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with IFRS. Our non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles. These measures may be different from non-GAAP financial measures used by other companies, limiting their usefulness for comparison purposes.

We believe these non-GAAP financial measures provide investors with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating our business.

For more information on our non-GAAP financial measures and a reconciliation of GAAP to non-GAAP measures, please refer to "Reconciliation of GAAP to Non-GAAP Results" table in this press release.

6

Reconciliation of GAAP measures to non-GAAP measures

Free Cash Flow

Operating working capital

Net cash surplus

7

All amounts in millions, except EPS

Computation of Return on Capital Employed

Computation of capital employed.

Computation of EBITDA

Refer page no. 2 for EBITDA computations.

Earnings Call Details (07:30p1111ST, 10:00 a111 EDT, Oct 27, 2023)

The management of the Company will host an Earnings call to discuss the Company's financial performance and answer any questions from the participants.

Conference Joining Information

Opfian 1: Express Join with Diamond.Pass™

Pre-register with the below link and join without waiting for the operator.

https://services.chorusca!Lin/DiamondPassRegjstration/register?confirmationNumber=796 7211&linkSecurityString=2c6ede051 b

No password/pin number is necessary to dial in to any of the above numbers. The operator will provide instructions on asking questions before and during the call.

Play Back: The play back will be available after the earnings call, till Nov 3rd, 2023. For play back dial in phone No: +9122 7194 5757, and Playback Code is 02796.

Transcript: Transcript of the Earnings call will be available on the Company's website: www.drreddys.com

About Dr. Reddy's: Dr. Reddy's Laboratories Ltd. (BSE: 500124, NSE: DRREDDY, NYSE: ROY, NSEIFSC: DRREDDY) is a global phannaceutical company headquartered in Hyderabad, India. Established in 1984, we are committed to providing access to affordable and innovative medicines. D1iven by our pull)Ose of 'Good Health Can't Waif. we offer a p01tfolio of products and services including APis, generics, branded generics, biosimilars and OTC. Our major therapeutic areas of focus are gastrointestinal, cardiovascular, diabetology, oncology, pain management and dennatology. Our major markets include - USA, India, Russia & CIS count1ies, China, Brazil, and Europe. As a company with a history of deep science that has led to several industiy firsts, we continue to plan and invest in businesses of the future. As an early adopter of sustainability and ESG actions, we released our first Sustainability Report in 2004. Our current ESG goals aim to set the bar high in environmental stewardship; access and affordability for patients; diversity; and governance. For more info1mation, log on to: www.drreddys.com.

Disclaimer: This press release may include statements of future expectations and other forward-looking statements that are based on the management's current views and assumptions and involve known or unknown risks and uncertainties that could cause actual results, petfonnance or events to differ materially from those expressed or implied in such statements. In addition to statements which are forward-looking by reason of context, the words "may", "will", "should", "expects", "plans", "intends", "anticipates", "believes", "estimates", "predicts", "potential", or "continue" and similar expressions identify forward-looking statements. Actual results, performance or events may differ materially from those in such statements due to without limitation, (i) general economic conditions such as perfonnance of financial markets, credit defaults , currency exchange rates , interest rates , persistency levels and frequency / severity of insured loss events (ii) mortality and morbidity levels and trends, (iii) changing levels of competition and general competitive factors, (iv) changes in laws and regulations and in the policies of central banks and/or governments, (v) the impact of acquisitions or reorganization, including related integrnrion ii; ' -~ ;i.=iinn~ ( vi) the susceptibility ofour industry and the markets addressed by our, and our customers', products and services to economic downturns as a eJ disasters, epidemics, pandemics or other widespread illness, including coronavirus ( or COVID-19), and ( vii) other risks and uncettainties ide .fi public filings with the Secu1ities and Exchange Commission, including those listed under the "Risk Factors" and "Fo1ward-Looking Stateme our Annual Report on Fonn 20-F for the year ended March 31, 2022. The company assumes no obligation to updntc company assumes no obligation to update any infonnation contained herein.

S.R. BATLIBOI & ASSOCIATES LLP Chartered Accountants

THE SKYVIEW 10 18th Floor, "NORTH LOBS Survey No. 83/1, Raidurg, Hyderabad - 500 032, Ind Tel : +91 40 6141 6000

Independent Auditor's Review Report on the Quarterly and Year to Date Unaudited Consolidated Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

Review Report to The Board of Directors Dr. Reddy's Laboratories Limited

• I . We have reviewed the accompanying Statement of Unaudited Consolidated Financial Results for the quarter and half year ended September 30, 2023 (the "Statement") of Dr. Reddy's Laboratories Limited (the "Holding Company")and its subsidiaries (the Holding Company and its subsidiaries together referred to as "the Group") and its joint ventures attached herewith, being submitted by the Holding Company pursuant to the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the "Listing Regulations").
• 1. The Holding Company's Management is responsible for the preparation of the Statement in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, (Ind AS 34) "Interim Financial Reporting" prescribed under Section 133 of the Companies Act, 2013 as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations. The Statement has been approved by the Holding Company's Board ofUireetors . Our responsibility is to express a conclusion on the Statement based on our review.
• 1. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410, "Review ofinterirn Financial Information Performed by the Independent Auditor of the Entity" issued by the Institute of Chartered Accountantsoflndia. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Stamlanlsun Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We also performed procedures in accordance with the Circular No. CIR/CFD/CMDl /44/2019 dated March 29, 2019 issued by the Securities and Exchange Board of India under Regulation 33(8) of the Listing Regulations, to the extent applicable.

1. The Statement includes the results of the following entities:

Holding Company:

Dr. Reddy's Laboratories Limited

Subsidiaries

• 1. Aurigene Oncology limited (Formerly, Aurigene Discovery Technologies Limited)
• 1. Cheminor Investments Limited
• 1. Dr. Reddy's Bio-Sciences Limited
• 1. Dr. Reddy's Formulations Limited
• 1. Dr. Reddy's Farmaceutica Do Brasil Ltda.
• 1. Dr. Reddy's Laboratories SA
• 1. Idea2Enterprises (India) Private Limited
• 1. Imperial Credit Private Limited
• 1. Industrias Quimicas Falcon de Mexico, S.A.de C.V.
• I 0. Svaas Wellness Limited
• 1. Aurigene Discovery Technologies (Malaysia) Sdn. Bhd.
• 1. A11rie~n~ Ph:rnn;ir:~11tieal Services Limited

S.R. BATL/80/ & ASSOCIATES LLP

Chartered Accountants

• 1. beta InstitutgemeinniitzigeGmbH
• 1. betapharm Arzneimittel CimhH
• 1 5. Chirotech Technology Lim itcd (Under the process of liquidation)
• 1. DRL Impex Limited
• 1. Dr. Reddy's Laboratories (Australia) Pty. Limited
• 18 . Dr. Reddy's (Beijing) Pharmaceutical Co . Limited
• 1. Dr. Reddy's Laboratories Canada, Inc.
• 20 . Dr. Reddy's Laboratories Chile SPA.
• 2 I. Dr. Reddy's Laboratories (EU) Limited
• 1. Dr. Reddy's Laboratories Inc.
• 1. Dr. Reddy's Laboratories Japan KK
• 1. Dr. Reddy's Laboratories Kazakhstan LLP
• 25 . Dr. Reddy's Laboratories LLC, Ukraine
• 1. Dr. Reddy's Laboratories Louisiana LLC
• 1. Dr. Reddy's Laboratories Malaysia Sdn. Bhd.
• 1. Dr. Reddy's Laboratories New York, LLC
• 1. Dr. Reddy's Laboratories Philippines Inc.
• 1. Dr. Reddy's Laboratories (Prop1ietary) Limited
• 1. Dr. Reddy's Laboratories Romania S.R.L.
• 1. Dr. Reddy's Laboratories SAS
• 1. Dr. Reddy's Laboratories Taiwan Limited
• 1. Dr. Reddy's Laboratories (Thailand) Limited
• 1. Dr. Reddy's Laboratories (UK) Limited
• 1. Dr. Reddy's New Zealand Limited
• 1. Dr. Reddy's Research and Development B.V.
• 1. Dr. Reddy's Sri
• 1. Dr. Reddy's Venezuela, C.A.
• 1. Dr. Reddy's Laboratories LLC
• 1. Lacock Holdings Limited
• 1. Promius Pharma LLC
• 1. Reddy HoldingGmbH
• 1. Reddy Netherlands B.V.
• 1. Reddy Pharma Iberia SAU
• 1. Reddy Pharma Italia S.R.L
• 1. Reddy Pharma SAS
• 1. Nimbus Health GmbH
• 1. Dr. Reddy's Laboratories Jamaica Limited (from 25 September 2023)

Joint ventures

• I. ORES Energy Private Limited
• 1. Kunshan Rotam Reddy Pharmaceutical Company Limited

Other consolidating entities

• I. Cheminor Employees Welfare Trust
• 1. Dr. Reddy's Employees ESOS Trust
• 1. Dr. Reddy's Research Foundation

S.R. BATL/801 & ASSOCIATES LLP

Ch11rtered Account11nts

5. Based on our review conducted and procedures pe1forn1ed as stated in paragraph 3 above, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with recognitiu11 am! rrn:asurcmcnt principlt:s laid down in the: aforesaid Indian Accounting Standards ('Ind AS') specified under Section 133 of the Companies Act, 2013, as amended, read with relevant rult:s issued thereunder and other accounting principles generally accepted in India, has not disclosed the informafon required to be disclosed in terms of the Listing Regulations, including the manner in which it is to be disclosed, or that it contains any material misstatement.

For S.R. BATLIBOI & ASSOCIATES LLP Chartered Accountants ICAI Firm registration number: I 01049W/E300004

per Shankar Sriniv san Partner Membership No.: 213271

UDIN· "I" \ • ~?-13 ')...;, B4st? ~v 2--n...,

Place: Hyderabad Date: October27,2023 .

Dr. Reddy's Laboratories Ltd. 8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500 034, Telangana, India.

CIN: L85195TG1984PLC004507

Tel : +9140 4900 2900 Fax : +91 40 4900 2999 Emil : [email protected] www.drreddys.com

DR. REDDY'S LABORATORIES LIMITED

STATEMENT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2023

See accompanymg notes to the Jfot1nc1ill results

Global Generics includes operations of Biologics business, Inter-segment revenue represents sale from Pharmaceutical Services and Active Ingredients to Global Generics and others at cost.

Segmental capital employed

As certain assets of the Company including manufacturing facilities, development facilities and treasury assets and liabilities are often deployed interchangeahly across seements, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.

Notes:

• The above statement of unaudited consolidated financial results of Dr. Reddy's Laboratories Limited ("the Company"), which have been prepared in accordance with Indian Accounting Standards ("Ind AS") prescribed under section 133 of Companies Act,2013 ("the Act") read with relevant rules issues thereunder, other accounting principles generally accepted in India and guidelines issues by the Securities and Exchange Board of India ("SEBI") were reviewed and recommended by Audit Committee and approved by the Board of Directors at their meetings held on 27 October 2023. The Statutory Auditors have carried out a limited review on the unaudited consolidated financial results and issued an unmodified reoort thereon.
• 2 "Other income" for the quarter ended 30 September 2023 includes Rs.984 million recognized pursuant to settlement of product related litigation by the Company and its affiliates in the United Kingdom. This transaction pertains to the Company's Global Generics segment.
• 3 "Other income" for the quarter ended 30 June 2023 includes Rs.540 million recognised pursuant to settlement agreement with Janssen Group, in settlement of the claim brought in the Federal Court of Canada by the Company and its affiliates for damages under section 8 of the Canadian Patented Medicines (Notice of Compliance) Regulations in regard to the Company's ANDS for a generic version of Zytiga®(Abiraterone).This transaction pertains to the Company's Global Generics segment.
• 4 During the half year and quarter ended 30 September 2023, an amount ofRs.2,274 million and Rs.1,598 million, respectively, representing government grants has been accounted as a reduction from cost ofrevenues.
• 5 During U1e quai1er ended 30 September 2022 Rs.1,933 million, representing govenunent grants has been accounted as a re,luction from cost ofrevr.nu~-•-
• 6 License fee and service income for the year ended 31 March 2023 includes:
• a. Rs. 2,640 million from sale of certain non-core dermatology brands to Eris Lifesciences Limited;
• b. Rs. 1,399 million from sale of brands Styptovit-E, Finast, Finast-T and Dynapres to Torrent Pharmaceuticals Limited;
• c. Rs. 902 million from sale of brands Z&D, Pedicloryl, Pecef and Ezinapi to J B Chemicals and Pharmaceuticals Limited.
• The amounts recognised above are adjusted for expected sales returns. These transactions pertain to Company's Global Generics segment.
• 7 During the year ended 31 March 2023, Company considered a total impairment of Rs. 540 million towards:

a. The Company assessed performance of business acquired from Nimbus Health GmbH against the initial estimates and performance of the products. Basis the assessment, the Company has recorded an impairment charge of the carrying values amounting to Rs. 375 million (Goodwill- Rs. 272 million and Other intangibles- Rs. 103 million). The said impairment charge pertains to the Company's Global Generics segment.

b. Consequent to adverse market conditions with respect to certain of the Company's products related intangibles forming part of the Company's Global Generics and Pharmaceutical Services and Active Ingredients segments, the Company assessed the recoverable amount of these products and recognised an amount of Rs. I 65 million as impairment charge.

• 8 Included in "Selling and other expenses" for the year ended 31 March 2023, is an amount of Rs. 991 million representing the Loss on sale of Assets, pursuant to agreement dated 16 December 2022 with Delpharm Development Leiden B.V (Delpharm) for transfer of its certain assets, liabilities and employees at its site at Leiden, Netherlands.This transaction pertains to Company's Global Generics segment.
• 9 The Company has considered the impact of recent tax regulations and developments, including updates to its estimate on the impact of adoption of the Taxation Laws (Amendment) Act 2019, in determining its "Tax expense/(benefit)" for the half year ended 30 September 2023 and year ended 31 March 2023.
• 10 "Other income" for the half year ended 30 September 2022 includes an amount of Rs.5,638 million (U.S.\$71.39 million discounted to present value) towards the settlement of an ongoing litigation relating to launch of a product with lndivior Inc., Indivior UK Limited and Aquestive Therapeutics, Inc.
• 11 The Company received an anonymous complaint in September 2020, alleging that healthcare professionals in Ukraine and potentially in other countries were provided with improper payments by or on behalf of the Company in violation of U.S. anti-corruption laws, specifically the U.S. Foreign Corrupt Practices Act. The Company disclosed the matter to the U.S. Department of Justice ("DOJ"), Securities and Exchange Commission ("SEC") and Securities Exchange Board of India. The Company engaged a U.S. law finn to conduct the investigation at the instruction of a committee of the Company's Board of Directors. On 06 July 2021 the Company received a subpoena from the SEC for the production of related documents, which were provided to the SEC.

The Company made presentations to the SEC and the DOJ in relation to the investigation with respect to certain countries during the previous fiscal years. The Company also made a presentation to th EC nnd the DOJ in relation to its Global Compliance Framework, including the ongoing enhancement initiatives, during the year ended 31 March 2023. The Company i~ ·r&i'l5~ its listing obligations as it relates to updating the regulatory agencies. While the findings from the aforesaid investigations could result in government or regul ato , • gain.~! the Company in the United States and/or foreign jurisdictions, which can lead to civil and criminal sanctions under relevant laws, the outcomes lncludi cs are nm ly ascertainable at this time.

DR. REDDY'S LABORATORIES LIMITED

*Rounded off to million .

.. FVTPL (fair value through profit or loss)

fl) Adjusted for bank-o,·erdroft of R.s. 4 million and R.s. 3 million for tl,e half year ended 30 September 2023 and 30 September 2022. respectively.

14 The Company considered the uncertainties relating to the military conflict between Russia and Ukraine, in assessing the recoverability of receivables, goodwill, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, including sensitivity analysis, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions.

Place: Hyderabad Date: 27 October 2023

By order of the Board For Dr. Reddy' s Laboratories Limited

Wv Prasad Co Chairman & Managing Director

S.R. BATL/80/ & ASSOCIATES LLP

Chartered Accountants

THE SI\YVIEW 10 1 Rtl1 Floor, "NORTH I OR6Y" Survey ~lo. 83/1, Raidurqam HydcrJbc1d - 500 032, lndi~ Tel : +91 40 6141 6000

Independent Auditor's Review Report on the Quarterly and Year to Date Unaudited Standalone Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

Review Report to The Board of Directors Dr. Reddy's Laboratories Limited

• I_ We have reviewed the accompanying statement of unaudited standalone financial results for the qua1tcrand half year ended September 30, 2023 (the "Statement") of Dr. Reddy's Laboratories Limited (the "Company") attached herewith, being submitted by the Company pursuant to the requirements of Regulation 33 of the SEBT (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the "Listing Regulations").
• 1. The Company's Management is responsible for the preparation of the Statement in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, (Ind AS 34) "Interim Financial Reporting" prescribed under Section 133 of the Companies Act, 2013 as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations_ The Statement has been approved by the Company's Board of Directors. Our responsibility is to express a conclusion on the Statement based on our review.
• 1. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410, "Review oflnterirn Financial Infomrntion Performed by the Independent Auditorofthe Entity" issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perforrn the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently docs not enable us to obtain assurance that we would become aware of all significant matters 'that might be identified in an audit. Accordingly, we do not express an audit opinion.
• 1. Based on our review conducted as above, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standards ('Ind AS') specified under Section 133 of the Companies Act, 2013 as amcndcd,rcad with relevant rules issued thereunder and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of the Listing Regulations, including the manner in which it is to he disclosecl, or that it contains any matcria 1 m isstatcmcnt.

For S.R. BATLIBOI & ASSOCIATES LLP Chartered Accountants ICAI Firm registration number: 101049W/E300004

1 1

per Sh ,:u.J,,..,..,...~ ;;rv-;t.";-..... Partner Membership No.: 213271

Place: Hyderabad Date: October 27, 2023

Dr. Reddy's Laboratories Ltd. 8-2-337, Road No. 3, Banjara Hills, Hyderabad - 500 034, Telangana, India.

CIN: L85195TG1984PLC004507

Tel : +91 40 4900 2900 Fax : +91 40 4900 2999 Emil : [email protected] www.drreddys.com

DR. REDDY'S LABORATORIES LIMITED

STATEMENT OF UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2023

See accompanying notes Lo the financial results.

DR. REDDY'S LABORATORIES LIMITED

Global Generics includes operations of Biologics business. Inter-segment revenue represents sale from Phannaceutical Services and Active Ingredients lo Global Generics at cost.

Segmental capital employed

As certain assets of the Company including manufacturing facilities, development facilities and treasury assets and liabilities are often deployed interchangeably across segments, it is impractical to allocate these assets and liabilities to each segment. Hence, the details for capital employed have not been disclosed in the above table.

Notes:

• I The above statement of unaudited standalone financial results of Dr. Reddy's Laboratories Limited ("the Company"), which have been prepared in accordance with the Indian Accounting Standards (''Ind AS") prescribed under Section 133 of the Companies Act, 2013 ("the Act") read with relevant rules issued thereunder, other accounting principles generally accepted in India and guidelines issued by the Securities and Exchange Board of India ("SEBI") were reviewed and recommended by the Audit Committee and approved by the Board of Directors at their meetings held on 27 October 2023. The Statutory Auditors have carried out a limited review on the unaudited standalone financial results and issued unmodified report thereon.
• 2 During the quarter and half year ended 30 September 2023, an amount of Rs. 1,590 million and Rs. 2,263 million respectively, representing government grants has been accounted as a reduction from cost of material consumed.
• 3 During the quarter ended 30 September 2022, an amount of Rs. 1,933 million representing government grants has been accounted as a reduction from cost of material consumed.
• 4 Other income for the quarter ended 30 June 2023 includes Rs.540 million recognised pursuant to settlement agreement with Janssen Group, in settlement of the claim brought in the Federal Court of Canada by the Company and its affiliates for damages under section 8 of the Canadian Patented Medicines (Notice of Compliance) Regulations in rcp,ard lo the Company's ANDS fo1 a jl,eneric ve1sion ofZytiga®(Abiralerone),This Uansaclion pe1tains to the Company's Global Generics sep;ment.
• 5 Other income for the quarter ended 30 June 2023 includes dividend income of Rs. 443 million declared by Kunshan Rotan Reddy Pharmaceutical Company Limited.
• 6 License fee and service income for the year ended 31 March 2023 includes:
• a. Rs. 2,640 million from sale of certain non-core dermatology brands in India to Eris Lifesciences Limited;
• b. Rs. 1,399 million from sale of brands Styptovit-E, Finast, Finast-Tand Dynapres to Torrent Pharmaceuticals Limited;

c. Rs. 902 million from sale of brands Z&D, Pedicloryl, Pecef and Ezinapi lo J B Chemicals and Pharmaceuticals Limited;

• The amounts recognised above are adjusted for expected sales returns. These transactions pertain to the Company's Global Generics segment.
• 7 The Company has considered the impact of recent tax regulations and developments, including updates to its estimate on the impact of adoption of the Taxation Laws (Amendment) Act 2019, in detennining its "Tax expense/(benefit)" for the half year ended 30 September 2023 and year ended 31 March 2023.
• 8 The Company received an anonymous complaint in September 2020, alleging that healthcare professionals in Ukraine and potentially in other countries were provided with improper payments by or on behalf of the Company in violation of U.S. anti-corruption laws, specifically the U.S. Foreign Corrupt Practices Act. The Company disclosed the matter to the U.S. Department of Justice ("DOJ"), Securities and Exchange Commission ("SEC") and Securities Exchange Board of India. The Company engaged a U.S. law firm to conduct the investigation at the instruction of a committee of the Company's Board of Directors. On 06 July 2021 the Company received a subpoena from the SEC for the production of related documents, which were provided to the SEC.

The Company made presentations to the SEC and the DOJ in relation to the investigation with respect to certain countries during the previous fiscal years. The Company also made a presentation to the SEC and the DOJ in relation to its Global Compliance Framework, including the ongoing enhancement initiatives, during the year ended 31 March 2023. The Company is complying with its listing obligations as it relates to updating the regulatory agencies. While the findings from the aforesaid investigations could result in government or regulatory enforcement actions against the Company in the United States and/or foreign jurisdictions, which can lead to civil and criminal sanctions under relevant laws. the outcomes includine liabilities are not reasonablv ascertainable at this time.

llR. RF.OllY'S 1.ARORATORIF.S LIMITED

UK. JlliUU\' 'S Li\HUKA l'UKltS LIMl'l lcU

*Rounded off to million.

••FVTPL (fair value through profit or loss)

'1i Adjusted for bank ol'erdrafi of Rs. Nil and Rs. 3 mi/lio11forperiods ended 30 September 2023 and 30 September 2022 respectil'ely.

11 The Company considered the uncertainties relating to the military conflict between Russia and Ukraine, in assessing the recoverability of receivables, goodwill, intangible assets, investments and other assets. For this purpose, the Company considered internal and external sources of information up to the date of approval of these financial results. Based on its judgments, estimates and assumptions, including sensitivity analysis, the Company expects to fully recover the carrying amount of receivables, goodwill, intangible assets, investments and other assets. The Company will continue to closely monitor any material changes to future economic conditions.

Place: Hyderabad Date: 27 October 2023

By order of the Board For Dr. Reddy's Laboratories Limited

U,\VP=d Co-Chainnan & Managing Director