** Shares of Dr Reddy's Laboratories REDY.NS decline 0.4% to 1,274 rupees; quarterly earnings due later in the day

** Nifty Pharma .NIPHARM index down 0.4%

** Analysts, on average, expect profit to fall nearly 42% to 9.25 billion rupees, as per data compiled by LSEG

** HSBC anticipates the quarter to have been challenging, with U.S. sales and operating margins expected to reset following the expiry of generic Revlimid benefits

** Brokerage notes investors will likely seek clarity on future growth drivers, particularly regarding semaglutide approval in Canada

** Jefferies expects Q4 performance to be pressured by sequential decline in U.S. sales, marking the first full quarter after gRevlimid's loss of exclusivity in the U.S.

** Forecasts steepest North America sales drop for Dr Reddy's at approximately 22% Q/Q in USD terms, likely driving EBITDA margin compression

** Stock rated as "hold" on average by 38 analysts; median PT at 1,300 rupees as per data compiled by LSEG

** YTD, stock up 0.6% vs Nifty Pharma up 5.9%