Dr Reddy's Shifts Focus: Biosimilars, Weight-Loss Drugs to Offset Revlimid Decline

• Dr Reddy's is entering a transitional phase as generic Revlimid (Lenalidomide) revenue in the US is set to become negligible from January 1, impacting US sales.
• The company's US revenues slipped by $35 million sequentially to $338 million in the December quarter, primarily due to lower Revlimid contributions and price erosion.
• Dr Reddy's is pinning hopes on high-value launches, including the GLP-1 drug semaglutide, with a Canada launch anticipated between late February and May.
• A robust biosimilar portfolio is also key, with a Biologics License Application (BLA) filed for an intravenous formulation in the US, expected by late 2026.
• Despite US headwinds, Dr Reddy's reported resilient Q3 performance with net sales of Rs. 8,727 crores ($971 million), a 4.4 percent year-over-year growth.

Why It Matters: Dr Reddy's is strategically shifting from Revlimid dependence to biosimilars and weight-loss drugs for future growth.