NEW DELHI (India CSR): In a clear demonstration of its unwavering commitment to societal well-being, Dr. Reddy’s Laboratories Limited (DRL), a global pharmaceutical powerhouse, has released its detailed Corporate Social Responsibility (CSR) spending report for the Financial Year 2024-25. Guided by its profound purpose, “Good Health Can’t Wait,” the company has not only met but exceeded its statutory CSR obligations, channeling significant resources into critical areas like healthcare, education, livelihood enhancement, and environmental sustainability. This report highlights Dr. Reddy’s holistic approach to creating long-term value for its stakeholders and the communities it serves globally.
A Commitment Beyond Business: Dr. Reddy’s CSR Philosophy
At the heart of Dr. Reddy’s operations lies a deep-rooted philosophy inspired by its founder, Dr. K. Anji Reddy, emphasizing giving back to society. This ethos translates into a credo that accelerates access to affordable and innovative medicines, recognizing that good health cannot wait for anyone. Beyond its core business, Dr. Reddy’s is dedicated to catalyzing replicable, sustainable, and innovative actions for social change, fostering inclusive growth and empowering communities to build resilient, self-reliant futures. The company integrates Environmental, Social, and Governance (ESG) principles directly into its business strategy, reflecting a performance overview across financial, operational, and sustainability parameters.
Key Facts Table: Dr. Reddy’s Laboratories FY2025 CSR Report
| Category | Details |
|---|---|
| Company | Dr. Reddy’s Laboratories Limited (DRL) |
| Headquarters | Hyderabad, India |
| CSR Philosophy | Guided by the credo “Good Health Can’t Wait”, focusing on healthcare, education, livelihoods, and sustainability |
| Average Net Profit (FY2025) | Rs 38,701.27 crore |
| Statutory CSR Obligation (2%) | Rs 77.40 crore |
| Total CSR Expenditure (FY2025) | Rs 77.45 crore |
| Breakdown of Spending | Rs 76.78 crore in CSR projects; Rs 45.21 lakh on administrative overheads; Rs 21.70 lakh on impact assessments |
| Excess CSR Spent | Rs 4.67 lakh (available for set-off in future years) |
| Education Initiatives | Kallam Anji Reddy Vidyalaya; School Improvement Programme (₹3.50 crore); CAN-DO ETR Program (Rs 1.00 crore) |
| Livelihood Enhancement | MITRA project (Rs 6.30 crore) – agriculture skilling, climate-friendly farming, farmer resilience |
| Healthcare Initiatives | Strengthening hospital infrastructure (Rs 1.48 crore); Rare Disease Initiative with DRILS (₹8.50 crore); DRFHE training over 6 lakh healthcare professionals |
| Environmental Projects | Water positive since FY2023; 60% carbon neutral; 68% renewable energy; 7.75 mn kWh energy saved; 8,073 tonnes CO2 reduced |
| Key Environmental Investments | Rs 38.9 crore in renewable energy; Rs 61 crore in environmental technologies; 75,761 KL rainwater harvested; 54% water reused/recycled |
| Governance | Oversight by Sustainability & CSR Committee; external assurance by DNV Business Assurance |
| Employee Volunteering | 1,200+ volunteers, 1,500+ hours in FY2025 |
| Impact Reach | Products reached 19.2 crore patients in LMICs; CSR healthcare initiatives aligned to target of reaching 1.5 billion patients by 2030 |
FY2025 CSR Spending: A Detailed Breakdown
For the financial year ended March 31, 2025, Dr. Reddy’s Laboratories demonstrated a robust allocation of funds towards its social and environmental initiatives. The average net profit of the company, as per Sub-section (5) of Section 135 of the Companies Act, 2013, stood at an impressive Rs 38,701.27 crores. Consequently, the statutory CSR obligation, calculated as two percent of this average net profit, amounted to Rs 77.40 crores.
Dr. Reddy’s not only fulfilled this obligation but surpassed it, reporting a total CSR expenditure of Rs 77.45 crores for FY2025. This comprehensive spending includes:
- Rs 76.78 crores directly invested in various CSR projects, encompassing both ongoing and newly initiated programs.
- Rs 45.21 lakhs allocated to administrative overheads associated with CSR activities.
- Rs 21.70 lakhs spent on impact assessment studies to evaluate the effectiveness and outcomes of its CSR projects.
The company’s diligent efforts resulted in an excess expenditure of Rs 4.67 lakhs for the financial year, which is available for set-off in succeeding financial years. This demonstrates a proactive and dedicated approach to corporate responsibility.
Empowering Communities Through Education and Livelihoods
Education remains a cornerstone of Dr. Reddy’s CSR strategy, focusing on improving access to quality education for children from marginalized communities. Initiatives range from early schooling and Science, Technology, Engineering, and Mathematics (STEM) scholarships to vocational training, supporting holistic learning and skill development, particularly for girls and first-generation learners. Notable programs include:
- Kallam Anji Reddy Vidyalaya (KARV), a flagship initiative focusing on strengthening academic foundations.
- The School Improvement Programme (SIP), which saw an investment of Rs 3.50 crores to enhance Foundational Literacy and Numeracy (FLN) & English Literacy (EL) and Water, Sanitation, and Hygiene (WaSH) activities in 100 government schools across Andhra Pradesh and Telangana.
- The Dr. K Anji Reddy’s CAN-DO ETR program, receiving Rs 1.00 crore, supports scientific excellence by funding research scholars and fostering healthcare innovation within Indian academia.
In the realm of livelihood enhancement, Dr. Reddy’s equips youth and persons with disabilities with employability skills and supports small and marginal farmers. The Making Integrated Transformation through Resourceful Agriculture (MITRA) project, with an outlay of Rs 6.30 crores, specifically focuses on agriculture skilling for farmers, deploying climate-friendly techniques and boosting crop resilience, such as through the adoption of biostimulants.
Advancing Healthcare Access and Public Well-being
True to its core purpose, Dr. Reddy’s extensive healthcare initiatives within its CSR framework aim to ensure accessible, affordable, and dependable community healthcare. In FY2025, the company’s products reached approximately 19.2 crore patients in low and middle-income countries. While much of this is part of their core business, their CSR efforts actively contribute to the broader public health vision of reaching 1.5 billion patients by 2030. Key projects include:
- Improving Services by Strengthening Health Infrastructure in Hospitals, with an investment of Rs 1.48 crores, providing equipment support to healthcare facilities like Aakar Asha Hospital and Banaras Hindu University (BHU), which improved efficiency in performing surgeries.
- The Rare Disease Initiative, receiving Rs 8.50 crores, is a collaboration with Dr. Reddy’s Institute of Life Sciences (DRILS) focused on setting up advanced research facilities and developing models for rare diseases, addressing unmet medical needs.
- Additionally, through the Dr. Reddy’s Foundation for Health Education (DRFHE), the company has positively influenced over 6 lakh healthcare professionals to date, enhancing healthcare delivery systems in India.
Pioneering Environmental Stewardship
Dr. Reddy’s commitment extends to environmental sustainability, recognizing water as a finite resource and striving for carbon neutrality. The company became water positive in FY2023 and continues to invest in water efficiency, rainwater harvesting, and sustainable agriculture projects. Initiatives within their environmental sustainability focus areas include:
- Achieving 60% carbon neutrality and a 68% renewable power share in FY2025.
- Saving 7.75 million kWh of energy and reducing CO2 emissions by ~8,073 tonnes through energy-saving initiatives.
- The Action for Climate and Environment (ACE) project, integrated into CSR, helps small and marginal farmers adopt climate-friendly practices.
- Investing Rs 38.9 crores in renewable energy and Rs 61 crores in environmental technologies.
- Utilizing 75,761 kilolitres of harvested rainwater and reusing/recycling 54% of water.
Transparency, Governance, and Employee Engagement
Dr. Reddy’s upholds robust governance structures and transparency in its CSR endeavors. The Sustainability and Corporate Social Responsibility (SCSR) Committee, comprising both executive and independent directors, oversees the company’s ESG goals and strategy implementation. An independent agency, DNV Business Assurance India Private Limited, conducted assurance for the Business Responsibility and Sustainability Report, providing reasonable assurance for core metrics and limited assurance for other non-financial disclosures.
The spirit of giving back is also deeply ingrained in Dr. Reddy’s employees, with over 1,200 volunteers contributing more than 1,500 hours across diverse causes during FY2025. This collective effort underscores the human-centered approach that drives Dr. Reddy’s comprehensive CSR initiatives.
In essence, Dr. Reddy’s Laboratories is not just a pharmaceutical company; it’s a dedicated architect of positive change, leveraging its resources and expertise to build healthier, more equitable, and sustainable communities, one initiative at a time. This extensive CSR investment is like planting seeds across various fields – from health and education to environmental care – ensuring a robust and flourishing harvest for future generations.
(India CSR)
