Divi’s Laboratories reported a 35% year-on-year rise in Q2 net profit, reflecting strong growth across API and custom synthesis segments. Despite the earnings beat, shares fell nearly 3% as traders booked profits following a sharp pre-result rally. Revenue growth was supported by new product launches and margin expansion driven by lower raw material costs. Management reaffirmed its focus on capacity expansion and cost optimization to maintain global competitiveness in contract manufacturing over the next fiscal.