Zydus Wellness Limited (ZYDUSWELL)
Large CapFMCG stocks · Large cap · NSE
Zydus Wellness Limited is an Indian consumer goods company focused on health and wellness products. It operates with 4 manufacturing facilities in India and 23 global 3P manufacturers, supported by a dedicated R&D Centre. The company reaches over 70 million families through 1,950+ distributors and 2.8 million stores, offering a portfolio aligned with global health and wellness trends.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust needs verification, price trend is neutral, and recent execution is weak.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Bad · 0/100PAT -7% YoY · margin compression · Rev +67% YoY
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,437 Cr | +66.9% | -3.2% |
| EBITDA | ₹242 Cr | +55.1% | -10.4% |
| Operating margin | 17.0% | -100 bps | -100 bps |
| PAT | ₹119 Cr | -7.0% | -26.5% |
| PAT margin | 8.3% | -659 bps | -263 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
Q4 FY26 Net Sales surged 62.1% YoY, with FY26 Net Sales up 46.4% YoY, driven by acquisitions. Gross Contribution % expanded significantly. However, reported PAT declined -5.8% YoY in Q4 and -43.2% YoY for FY26, impacted by acquisition-related costs and exceptional items.
While top-line growth is robust, largely due to acquisitions, the significant decline in reported PAT raises concerns about the profitability and integration costs of these new businesses. Gross margin expansion is positive, but the mixed performance in domestic categories and ongoing geopolitical risks warrant close monitoring of adjusted profitability and organic growth drivers.
Geographic Mix for FY26
Latest issuer-disclosed distribution across 2 reported categories.
Max Protein Portfolio Expansion
Maintains high momentum and leadership in protein snacking, entering four new categories and demonstrating ability to capitalize on trends.
Sugar Free Green Momentum
Continued strong momentum, delivering double-digit growth for the 20th consecutive quarter.
Everyuth Tan Removal Range
Delivered strong double-digit growth in FY26 and strengthened saliency with the Q4 FY26 launch of Tan Removal Face Wash.
International Business Growth
International business excluding Comfort Click delivered high double-digit topline growth despite geopolitical disruptions.
Rural Demand Revival
Demand remains steady, supported by a strong revival in rural demand that continues to outpace urban recovery.
E-commerce & Quick Commerce Growth
Quick Commerce and E-commerce maintain strong growth momentum, contributing to distribution expansion.
Acquired Brands Contribution
Gross margin uplift further supported by the newly acquired brands.
Geopolitical Risks
Global geopolitical developments continue to create some pressure on costs and supply chains.
Divergent Commodity Pricing
Key commodities continue to show divergent pricing trends, impacting input costs.
Seasonal Headwinds
Performance of brands like Nycil and Glucon-D was impacted by softer category demand from adverse weather conditions in FY26.
Category Decline for Complan
The nutrition drink category declined by 4.8% vs last year, posing growth challenges for Complan.
Acquisition-Related Profitability Impact
Higher finance costs from acquisition funding and amortization of acquired brands led to lower reported PAT.
Competition and Economic Conditions
Forward-looking statements involve risks related to growth, competition, and domestic/international economic conditions affecting demand and prices.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
YoY comparison is essential for assessing annual performance and Q4 results in a seasonal business. QoQ trends are relevant for understanding sequential momentum in gross margins and the impact of fluctuating input costs.
Gross Margin % to Net Sales
Q4 FY26: 64.8% (+1000 bps YoY); FY26: 60.2% (+772 bps YoY). Most brands recorded gross margin expansion, supported by newly acquired brands.
Rural Demand Trend
Strong revival in rural demand continues to outpace the gradual recovery in urban areas.
Organized Channel Saliency
Stood at 30% in FY26, comprising Modern Trade at 13% and E-commerce at 17%. Quick Commerce and E-commerce maintain strong growth momentum.
Market Share - Sugar Substitute
Sugar Free retained No. 1 position with 96.1% market share, supported by a 24 bps year-on-year gain (MAT Mar 2026).
Max Protein Category Expansion
Management believes Max Protein's ability to swiftly capitalize on emerging consumer trends contributes to category growth, market expansion, and long-term momentum.
Nycil Market Activation
Nycil is gearing up to strengthen brand communication and scale mass-market activations to enhance household penetration and retail reach.
Complan User Acquisition & Distribution
Management is focused on acquiring new users for Toddler & Adult nutrition portfolios through digital funnels, clinical credibility, expert outreach, and channel-led initiatives.
International Business Expansion
The company is leveraging global wellness opportunities through channel expansion (e.g., Boots.com) and geographical expansion (e.g., Amazon in UAE).
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Adjusted PAT Growth | Q4 FY26: +17.0% YoY; FY26: +2.3% YoY | Sustained growth in adjusted PAT, indicating successful integration and profitability of acquired businesses. |
| Gross Margin Trend | Q4 FY26: 64.8%; FY26: 60.2% | Continued expansion or stability, especially given volatile input costs and competitive pricing pressures. |
| Seasonal Brands Performance | Q4 FY26: -9.8% YoY; FY26: -18.8% YoY | Recovery in demand for seasonal brands like Glucon-D and Nycil, indicating effective mitigation of weather-related impacts. |
| International Business Contribution | High double-digit topline growth (ex-Comfort Click) | Continued expansion and increasing contribution to overall revenue and profitability, validating global market access strategy. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
47NeutralSMA20 -9.0% / mo · MACD + · near 52W low
Technical chart
ZYDUSWELLdaily · 1Y · AUTO+38.8%Daily technical trend read
NeutralTrend is undirectional — long-term uptrend intact. RSI 51.
- Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
- SMA20 falling (~9.9% over last month) — short-term momentum negative.
- RSI(14) at 51 — sideways, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 80% off 52W high · 45% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Relative Strength & Trend Stage
- Price is 7.7% above the 30-week proxy.
- The 50-DMA is above the 30-week proxy and its slope is rising +2.5%.
- Both 3-month and 6-month returns are positive.
Valuation & score drivers
U-Score 27 · OVERVALUED · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 27 · OVERVALUED · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
OVERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 7/9.
- Balance sheet contributes 10/15 to the score.
- Cash flow contributes 4/10 to the score.
Main drags
- Fair-value margin of safety is negative at -1323.3%.
- Quality is weaker at 0/20; verify the latest quarterly trend.
- Valuation is weaker at 2/30; verify the latest quarterly trend.
Healthcare valuation: PE/EVEBITDA with regulatory and pipeline checks
Healthcare valuation needs both earnings quality and regulatory/pipeline context.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Claim history is still being built. It ranks around the 25th percentile of the scored universe and 7th percentile within FMCG. Main check: financial discipline is weak at 28/100.
Mixed Trust Lite: Promoter holding is 69.6%. Key concern: 2 latest quarters had PAT decline worse than 25% YoY.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · FMCG: 7th pctile, median 78 · Large: 14th pctile, median 73
120 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Mixed Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 69.6%.
- ▸Promoter pledge is zero.
- ▸10 years of positive FCF.
- ▸4/4 latest quarters had positive YoY revenue growth.
Trust risks
- ▸2 latest quarters had PAT decline worse than 25% YoY.
- ▸ROCE is low at 4.9%.
- ▸ROE is low at 4%.
- ▸Revenue CAGR is 21% but EPS CAGR is -10%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 76.40
- P/B
- 2.91
- EV/EBITDA
- 25.50
- Market Cap
- 16917.00Cr
Profitability
- ROE
- 3.98%
- ROCE
- 4.91%
- ROA
- 1.84%
- Dividend Y
- 0.23%
Growth (CAGR)
- Revenue 5Y
- 16.00%
- EPS 5Y
- -2.00%
- Revenue 3Y
- 21.00%
- EPS 3Y
- -10.00%
Balance Sheet
- Debt/Equity
- 0.55
- Interest Coverage
- 4.89×
- Altman Z
- 3.96
- Book Value
- 183.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 10/5
- OCF
- 226.00 Cr
- EPS TTM
- 5.92
Shareholding
- Promoter Hold
- 69.63%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 69%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in FMCG, ranked by similarity
Peers
Business-comparable names in FMCG, ranked by similarity
Peers
Business-comparable peers in FMCG — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.