Shares of Zydus Wellness Ltd. tanked more than 3% after the company reported a decline in its net profit for the first quarter, even as revenue and operating profit posted strong year-on-year growth.
The stock was trading at Rs 538.95 apiece on NSE at around 12.30 pm, with a price-to-earnings multiple of 90.3 times. The stock was down from its previous day's close at Rs 559.85 per share.
The decline in the net profit, coupled with the contraction in operating margin, weighed on investor sentiment.
Revenue Growth Remains Strong But Profit Declines
The company reported a consolidated net profit of Rs 119 crore for the quarter ended June, down 7% from Rs 128 crore in the corresponding period last year.
Profit declined even though revenue from operations rose 66.9% year-on-year to Rs 1,437 crore, compared with Rs 861 crore in the year-ago period, reflecting robust top-line growth during the quarter.
Operating performance also improved in absolute terms, with Ebitda (earnings before interest, taxes, depreciation, and amortisation) increasing 55.3% to Rs 242 crore from Rs 156 crore a year earlier.
Despite the rise in operating profit, profitability came under pressure as the Ebitda margin narrowed to 16.8% from 18.1% in the corresponding quarter last year.
In a separate exchange filing, the company intimated about its earnings conference call schedule.
“The Company has scheduled investor interaction through a teleconference call at 3:00 p.m. (IST) on Tuesday, August 4, 2026, post announcement of unaudited financial results for the quarter ended on June 30, 2026, “ the company stated in the filing.
Also read: UNO Minda Q1 Result: Net Profit Sees Marginal Increase, Revenue Jumps 24% YoY
Stock Movement
The stock has been down for over a month now, losing close to 10%, which includes today's fall as well.
Having said that, over a year, the stock remained up with 31.2% gains during the period.
The company had a market cap of Rs 17,153.6 crore as at the end of the previous trading session.
Also Read: 54% Return In One Year: Largecap Stock Falls 3% In Trade Even As Q1 Topline Surges 36% YoY
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