Shares of Onesource Specialty Pharma Ltd. declined 7.4% to hit an intraday low of ₹1,506.1 on Friday, July 10, following concerns about semaglutide supply delays from key client Dr Reddy's Laboratories. According to reports from CNBC TV18, the stock recovered to trade 2.1% lower at ₹1,591.2 after opening lows. The stock has declined 10.7% year-to-date, reflecting ongoing market concerns about the supply chain disruption.
Dr Reddy's Laboratories informed exchanges on Thursday about concerns regarding semaglutide supply delays, stating that certain batches of the drug were found to be out of specification due to issues with the Active Pharmaceutical ingredient (API) used in the product. As reported by CNBC TV18, the company is investigating the root cause and taking appropriate measures to ensure product quality. The company has now announced that commercial supplies will be halted until at least October, with unspecified impurities identified during active pharmaceutical ingredient manufacturing scale-up. The company warns that until the issue is resolved, commercial supply would be delayed for a certain period, though there is no impact on patient safety or existing global regulatory filings.
Despite the supply disruption, the broader GLP-1 market showed annual growth of 238% as of June 2026, growing to ₹2,055 crore. However, this growth was largely dominated by tirzepatide from Eli Lilly's Mounjaro brand, which accounted for ₹1,300 crore in moving annual total sales, while semaglutide contributed ₹649 crore. Generic semaglutide brands have begun to plateau after an initial surge, with value gains flattening at ₹40 crore in May and June after growing to ₹38 crore in April. Generic brands accounted for 82% of total unit sales in June, but experts suggest the expansion may be optimally covered with no further exponential growth expected.
According to CNBC TV18, Dr Reddy's management reiterated strong demand and unchanged long-term strategy during an investor meet on Thursday, with alternate API sourcing progressing as backup. Vishal Manchanda, Pharma Analyst at Systematix Group, told CNBC-TV18 that Dr Reddy's growth outlook from its semaglutide opportunity remained largely intact, provided the company resolves supply issues within the next month. The analyst noted that semaglutide is a technically complex peptide, making manufacturing scale-up challenges relatively common, with the impact on earnings depending on how quickly normal production is restored. Despite the supply issues, the GLP-1 category is still expected to grow 111% in value terms in the next six months, according to Pharmarack.
