Business Context and Reporting Period
This Form 6-K filing by Dr. Reddy's Laboratories Limited, dated June 8, 2004, reports a change in the registrant's certifying accountants for US GAAP financial statements. The filing pertains to the fiscal year ended March 31, 2004, and subsequent fiscal years.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. The document is exclusively focused on the administrative change of the auditing firm.
Material Changes
- Change in Certifying Accountant: KPMG India (an Indian partnership) notified the company that KPMG LLP (a UK limited liability partnership) would serve as the US GAAP accountants for the fiscal year ended March 31, 2004.
- Reason for Change: The change was made at the request of KPMG India to comply with SEC rules regarding the registration of foreign auditors with the Public Company Accounting Oversight Board (PCAOB).
- Indian GAAP Accountants: There was no change in the company's Indian GAAP accountants, Bharat S. Raut and Co.
Outlook, Risks, and Management Commentary
Transitory Nature: Management indicates the change is likely transitory. KPMG India is expected to be re-appointed as the US GAAP accountants once it successfully completes its registration with the PCAOB.
Audit History: Reports from KPMG India for fiscal years ended March 31, 2002, and 2003, did not contain adverse opinions, disclaimers, or qualifications regarding uncertainty, audit scope, or accounting principles.
Disagreements: There were no disagreements with KPMG India on accounting principles, practices, disclosures, or auditing procedures during the relevant periods that would have required reference in their reports.
Reportable Events: The company confirmed there were no reportable events as defined in Item 304(a)(1)(v) of Regulation S-K.
Investor Verification Checklist
- Verify the current registration status of KPMG India with the PCAOB to confirm if the re-appointment has occurred.
- Review the attached Exhibit 1 (letter from KPMG India dated May 25, 2004) for full details on the transition agreement.
- Confirm that the change in US GAAP auditors has not impacted the audit opinion for the fiscal year ended March 31, 2004.