v3.26.1
Property, plant and equipment
 12 Months Ended
Mar. 31, 2026
Disclosure of detailed information about property, plant and equipment [abstract]  
Property, plant and equipment
11. Property, plant and equipment
 
A.
The following is a summary of the changes in carrying value of property, plant and equipment including right-of-use assets:
 
Particulars
 
Land
 
 
Buildings
 
 
Plant and
equipment
 
 
Furniture,
fixtures
and office
equipment
 
 
Vehicles
 
 
Total
 
Gross carrying value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of April 1, 2024
 
Rs.
4,309
 
 
Rs.
33,032
 
 
Rs.
107,701
 
 
Rs.
8,369
 
 
Rs.
2,268
 
 
Rs.
155,679
 
Additions
 
 
85
 
 
 
4,972
 
 
 
14,396
 
 
 
1,583
 
 
 
1,073
 
 
 
22,109
 
Disposals
(2)
 
 
(133
)
 
 
(3,502
)
 
 
(6,092
)
 
 
(1,720
)
 
 
(598
)
 
 
(12,045
)
Effect of changes in foreign exchange rates
 
 
(18
)
 
 
151
 
 
 
(463
)
 
 
9
 
 
 
120
 
 
 
(201
)
Balance as of March 31, 2025
 
Rs.
4,243
 
 
Rs.
34,653
 
 
Rs.
115,542
 
 
Rs.
8,241
 
 
Rs.
2,863
 
 
Rs.
165,542
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as on April 1, 2025
 
Rs.
4,243
 
 
Rs.
34,653
 
 
Rs.
115,542
 
 
Rs.
8,241
 
 
Rs.
2,863
 
 
Rs.
165,542
 
Additions
 
 
-
 
 
 
12,499
 
 
 
26,270
 
 
 
1,289
 
 
 
1,185
 
 
 
41,243
 
Disposals
 
 
-
 
 
 
(2,960
)
 
 
(1,316
)
 
 
(264
)
 
 
(555
)
 
 
(5,095
)
Effect of changes in foreign exchange rates
 
 
103
 
 
 
648
 
 
 
1,493
 
 
 
209
 
 
 
243
 
 
 
2,696
 
Balance as of March 31, 2026
 
Rs.
4,346
 
 
Rs.
44,840
 
 
Rs.
141,989
 
 
Rs.
9,475
 
 
Rs.
3,736
 
 
Rs.
204,386
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated Depreciation/Impairment loss
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of April 1, 2024
 
Rs.
70
 
 
Rs.
15,654
 
 
Rs.
70,064
 
 
Rs.
6,456
 
 
Rs.
1,011
 
 
Rs.
93,255
 
Depreciation for the year
 
 
-
 
 
 
2,114
 
 
 
6,956
 
 
 
1,012
 
 
 
423
 
 
 
10,505
 
Impairment
(2)
 
 
-
 
 
 
-
 
 
 
3
 
 
 
-
 
 
 
-
 
 
 
3
 
Disposals
(2)
 
 
(73
)
 
 
(3,323
)
 
 
(6,000
)
 
 
(1,283
)
 
 
(345
)
 
 
(11,024
)
Effect of changes in foreign exchange rates
 
 
3
 
 
 
86
 
 
 
(244
)
 
 
8
 
 
 
26
 
 
 
(121
)
Balance as of March 31, 2025
 
Rs.
-
 
 
Rs.
14,531
 
 
Rs.
70,779
 
 
Rs.
6,193
 
 
Rs.
1,115
 
 
Rs.
92,618
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of April 1, 2025
 
Rs.
-
 
 
Rs.
14,531
 
 
Rs.
70,779
 
 
Rs.
6,193
 
 
Rs.
1,115
 
 
Rs.
92,618
 
Depreciation for the year
 
 
-
 
 
 
2,619
 
 
 
8,446
 
 
 
1,090
 
 
 
615
 
 
 
12,770
 
Impairment
(1)
 
 
35
 
 
 
375
 
 
 
716
 
 
 
85
 
 
 
-
 
 
 
1,211
 
Disposals
(1.b)
 
 
-
 
 
 
(2,462
)
 
 
(1,312
)
 
 
(265
)
 
 
(474
)
 
 
(4,513
)
Effect of changes in foreign exchange rates
 
 
2
 
 
 
297
 
 
 
1,175
 
 
 
175
 
 
 
87
 
 
 
1,636
 
Balance as of March 31, 2026
 
Rs.
37
 
 
Rs.
15,360
 
 
Rs.
79,704
 
 
Rs.
7,278
 
 
Rs.
1,343
 
 
Rs.
103,722
 
Particulars
 
Land
 
 
Buildings
 
 
Plant and
equipment
 
 
Furniture,
fixtures
and office
equipment
 
 
Vehicles
 
 
Total
 
Net carrying value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As of March 31, 2024
 
Rs.
4,239
 
 
Rs.
17,378
 
 
Rs.
37,637
 
 
Rs.
1,913
 
 
Rs.
1,257
 
 
Rs.
62,424
 
As of March 31, 2025
 
Rs.
4,243
 
 
Rs.
20,122
 
 
Rs.
44,763
 
 
Rs.
2,048
 
 
Rs.
1,748
 
 
Rs.
72,924
 
Add: Capital-work-in-progress
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Rs.
24,838
 
Less: Impairment of Capital-work-in-progress
(2)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1
)
Total as of March 31, 2025
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Rs.
97,761
 
As of March 31, 2026
 
Rs.
4,309
 
 
Rs.
29,480
 
 
Rs.
62,285
 
 
Rs.
2,197
 
 
Rs.
2,393
 
 
Rs.
100,664
 
Add: Capital-work-in-progress
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Rs.
15,409
 
Less: Impairment of Capital-work-in-progress
(1.b)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(144
)
Total as of March 31, 2026
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Rs.
115,930
 
 
(1)
Impairment losses recorded for the year ended March 31, 2026 include the following:
 
a.
Consequent to certain technical challenges in product development, the Company discontinued development of conjugated estrogen at its site in Middleburgh, New York and recorded an impairment loss of Rs.535 in the Company’s Global Generics segment representing the full carrying value of the property, plant and equipment at this site.
 
In addition, the Company recorded the following impacts in the consolidated income statements:
 
-
Inventory related provisions of Rs.260;
-
Other development program related wind down costs of Rs.129; and
-
Gain recognized under Other Income, net from the write back of liabilities no longer required of Rs.877.
 
b.
During the year ended March 31, 2026, the Company has decided to discontinue certain of its research and development programs associated with
its
Chimeric Antigen Receptor T-cell (CAR-T) therapy portfolio in light of the current development status and recent clinical trial outcomes. Consequent to this decision, the Company has recognized a net loss of Rs.885 relating to property, plant and equipment (including Capital-work-in-progress and Right
-
of
-
use assets) in the Company's Global Generic segment.
 
In addition, the Company recorded the following impacts in the consolidated income statements:
 
-
Impairment of intangible assets Rs.406; and
-
Other development program related wind down costs under Selling, general and administrative expenses of Rs.59.
 
(2)
This represents the impairment loss recognized on additions made during the year in respect of the Company’s subsidiary, Dr. Reddy’s Laboratories Louisiana, LLC, as the recoverable amount remained lower than the carrying amount. The subsidiary had been fully impaired during the previous year ended March 31, 2022.
 
During the year ended March 31, 2025, the Company divested its membership interest in this subsidiary and accordingly derecognized property, plant, and equipment that were fully depreciated and impaired. As a result, an amount of Rs.6,038 was reduced from both the gross carrying amount and accumulated depreciation.
 
(Refer to Note 22 of these consolidated financial statements for further details on the divestment of Dr. Reddy’s Laboratories Louisiana, LLC.)
 
B.
Right-of-use assets
 
Below are the carrying amounts of right-of-use assets recognized and the movements during the year included in the above property, plant and equipment.
 
Particulars
 
Land
 
 
Buildings
 
 
Plant and
equipment
 
 
Furniture,
fixtures
and office
equipment
 
 
Vehicles
 
 
Total
 
Gross carrying value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of April 1, 2024
 
Rs.
85
 
 
Rs.
5,040
 
 
Rs.
3
 
 
 
82
 
 
 
1,171
 
 
Rs.
6,381
 
Additions
 
 
-
 
 
 
2,353
 
 
 
-
 
 
 
-
 
 
 
614
 
 
 
2,967
 
Disposals
 
 
-
 
 
 
(1,215
)
 
 
(3
)
 
 
(82
)
 
 
(443
)
 
 
(1,743
)
Effect of changes in foreign exchange rates
 
 
2
 
 
 
140
 
 
 
-
 
 
 
-
 
 
 
1
 
 
 
143
 
Balance as of March 31, 2025
 
Rs.
87
 
 
Rs.
6,318
 
 
Rs.
-
 
 
Rs.
-
 
 
Rs.
1,343
 
 
Rs.
7,748
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Balance as of April 1, 2025
 
Rs.
87
 
 
Rs.
6,318
 
 
Rs.
-
 
 
Rs.
-
 
 
Rs.
1,343
 
 
Rs.
7,748
 
Additions
(1)
 
 
-
 
 
 
9,382
 
 
 
-
 
 
 
-
 
 
 
998
 
 
 
10,380
 
Disposals
 
 
-
 
 
 
(2,941
)
 
 
-
 
 
 
-
 
 
 
(468
)
 
 
(3,409
)
Effect of changes in foreign exchange rates
 
 
16
 
 
 
330
 
 
 
-
 
 
 
-
 
 
 
61
 
 
 
407
 
Balance as of March 31, 2026
 
Rs.
103
 
 
Rs.
13,089
 
 
 
-
 
 
 
-
 
 
Rs.
1,934
 
 
Rs.
15,126
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated Depreciation
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of April 1, 2024
 
Rs.
-
 
 
 
2,732
 
 
Rs.
3
 
 
Rs.
38
 
 
Rs.
601
 
 
Rs.
3,374
 
Depreciation for the year
 
 
-
 
 
 
944
 
 
 
-
 
 
 
-
 
 
 
305
 
 
 
1,249
 
Disposals
 
 
-
 
 
 
(1,061
)
 
 
(3
)
 
 
(38
)
 
 
(251
)
 
 
(1,353
)
Effect of changes in foreign exchange rates
 
 
-
 
 
 
52
 
 
 
-
 
 
 
-
 
 
 
(1
)
 
 
51
 
Balance as of March 31, 2025
 
Rs.
-
 
 
Rs.
2,667
 
 
Rs.
-
 
 
Rs.
-
 
 
Rs.
654
 
 
Rs.
3,321
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance as of April 1, 2025
 
Rs.
-
 
 
Rs.
2,667
 
 
Rs.
-
 
 
Rs.
-
 
 
Rs.
654
 
 
Rs.
3,321
 
Depreciation for the year
 
 
-
 
 
 
1,278
 
 
 
-
 
 
 
-
 
 
 
424
 
 
 
1,702
 
Impairment
(2)
 
 
-
 
 
 
95
 
 
 
-
 
 
 
-
 
 
 
-
 
 
 
95
 
Disposals
 
 
-
 
 
 
(2,445
)
 
 
-
 
 
 
-
 
 
 
(406
)
 
 
(2,851
)
Effect of changes in foreign exchange rates
 
 
-
 
 
 
80
 
 
 
-
 
 
 
-
 
 
 
36
 
 
 
116
 
Balance as of March 31, 2026
 
 
-
 
 
Rs.
1,702
 
 
 
-
 
 
 
-
 
 
Rs.
708
 
 
Rs.
2,410
 
 
Particulars
 
Land
 
 
Buildings
 
 
Plant and
equipment
 
 
Furniture,
fixtures
and office
equipment
 
 
Vehicles
 
 
Total
 
Net carrying value
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As of April 1, 2024
 
Rs.
85
 
 
Rs.
2,308
 
 
Rs.
-
 
 
Rs.
44
 
 
Rs.
570
 
 
Rs.
3,007
 
As of March 31, 2025
 
Rs.
87
 
 
Rs.
3,651
 
 
Rs.
-
 
 
Rs.
-
 
 
Rs.
689
 
 
Rs.
4,427
 
As of March 31, 2026
 
Rs.
103
 
 
Rs.
11,414
 
 
Rs.
-
 
 
Rs.
-
 
 
Rs.
1,226
 
 
Rs.
12,743
 
 
The following are the amounts recognized in income statement:
 
 
 
For the Year Ended March 31,
 
 
 
2026
 
 
2025
 
 
2024
 
Depreciation expense of right-of-use assets
 
Rs.
1,702
 
 
Rs.
1,249
 
 
Rs.
1,143
 
Interest expense on lease liabilities
 
 
802
 
 
 
391
 
 
 
256
 
 
(1)
Additions to right-of-use assets for buildings during the year ended March 31, 2026 primarily consist of:
 
a.
the lease of an additional facility in India, amounting to Rs.1,825, with a lease term of 10 years, and
b.
the modification of an existing lease arrangement for a warehouse in the United States, which extended the lease term by an additional 10 years. The lease modification resulted in a re-measurement of the
lease liability
with a
 corresponding
 adjustment to right-of-
use assets
of
Rs.5,436.
 
 
(2)
Refer
to
N
ote 11
 
A
(
Property, plant and equipment
)
for further details
on
 impairment.
Capital commitments
 
As of March 31, 2026 and 2025, the Company was committed to spend Rs.9,716 and Rs.14,567, respectively, under agreements to purchase property, plant and equipment. This amount is net of capital advances paid in respect of such purchase commitments.
 
Interest capitalization
 
During the years ended March 31, 2026 and 2025, the Company capitalized interest cost of Rs.983 and Rs.729, respectively, with respect to qualifying assets. The rate for capitalization of interest cost for the years ended March 31, 2026 and 2025 was approximately 6.48% and 7.01%, respectively.