Indian pharmaceutical companies Dr Reddy's and Cipla reported weaker results for the June quarter due to falling profits in the US market. Their domestic operations performed better and provided some offset. Analysts lowered earnings estimates for future years as a result.
The firms experienced significant drops in net profits and operating margins amid declining US business contributions. Domestic sales remained a bright spot and supported overall performance during the period.
Obesity therapies and new specialty product launches are expected to support growth ahead. These initiatives form part of efforts to strengthen pipelines despite current pressures.
Analysts responded by reducing earnings forecasts for the upcoming fiscal years. The adjustments reflect ongoing challenges in the North American segment for both companies.