Zydus Wellness Ltd
Zydus Wellness Ltd (ZYDUSWELL)

Zydus Wellness Ltd (ZYDUSWELL)

₹1624.050.79%

Key Stats

₹1605
Day's Price Range
₹1635
₹1430
52-Week Price Range
₹2476.85
1 Month Return5.49 %
3 Month Return4.95 %
1 Year Return-23.86 %

Company Financials

  • Quarterly
  • Annual
Value in ₹ crore

Peer Comparsion

PE
Rank 20
33.72
EPS
Rank 3
₹48.54
BVPS
Rank 1
₹717.87
Dividend Yield
Rank 16
0.25%
ROE
Rank 95
-1.54%
Price To Book Ratio
Rank 12
2.28
Debt To Asset
Rank 40
0.19

Company Information

Headquartered in Ahmedabad Zydus Wellness operates as an integrated consumer Group with business encompassing the entire value chain in the development production marketing and distribution of health and wellness products. The Company sells its products in India and has a plant located in Gujarat and two in Sikkim. The strategic advantage of business rests on four key pillars: financial strength product innovation manufacturing integrity and supply chain efficiency. Zydus Wellness Ltd is a subsidiary of Cadila Healthcare Ltd.Zydus Wellness Ltd was incorporated on November 1 1994 as a public limited company with the name Carnation Health Foods Ltd. The company set up a unit to manufacture Low fat Zero cholesterol Margarine as a Butter substitute and Low fat Zero Cholesterol Cheese and casienate and milk fat.The name of the company was changed from Carnation Health Foods Ltd to Carnation NutraAnalogue Foods. In December 15 1996 the company started trial runs in their manufacturing unit and in January 1997 they started commercial production activity. During the year 199798 they set up their marketing channel for the State of Gujarat.During the year 200506 the company increased the production capacity of Margarine from 3928 MT to 5500 MT. Cadila Healthcare a listed public limited company acquired 3432138 equity shares through market purchase and open offer. During the year 200607 the company launched a variant of Nutralite in retail under the brand Nutralite Premium and increased production capacity of Margarine from 5500 MT to 8500 MT in 200708.During the year 200809 as per the scheme of arrangement the consumer products division of Cadila Healthcare Ltd the holding company was demerged and transferred to the company with effect from April 1 2008. In January 5 2009 the name of the company was changed from Carnation NutraAnalogue Foods Ltd to Zydus Wellness Ltd in order to recognize them as Zydus Cadila Group Company.During the year the company increased the production of Nutraceuticals from 8500 tonnes to 14600 tones. They launched a power brand Natura Diet Sugar to bring convenience to the consumer. During the year 200910 the equity shares of the company were listed on National Stock Exchange of India Ltd with effect from November 13 2009. They launched Sugar Free Natura Flavored sachets in Lemon Mint and Ginger Masala flavours to enhance the consumer experience and offer a wider choice to the customers. In September 2010 the company extended their niche product basket with the launch of Sugar Free Mints.During the year 201314 both variants of Sugar Free the aspartame based Sugar Free Gold and sucralose based Sugar Free Natura continued to lead in their respective segments. In the Facial Mask category EverYuth launched 3 in 1 Neem Face Pack in FY 201415. In the Peel Off segment the Company drove the category singlehandedly and expanded the portfolio through the launch of a new Fairness Peel Off with Intelligent Target Delivery Whitening Technology a first in India. This launch was supported with a new multimedia campaign across TV print and digital and the initial results have been encouraging.The Company has launched a new and innovative Tulsi Turmeric Face Wash at an attractive consumer price appealing to young women seeking high performance products at affordable prices.In the Nutralite segment a new variant called Nutralite Yummy was launched in the retail segment in North India positioned on the platform of Great Taste at Great Value. This launch was supported through local media and sampling programs as well as instore activation.In 2014 the skincleansing category continued with a slower growth rate putting pressure on the Everyuth franchise. Everyuth maintained its leadership position in the Mask and Scrub segments by driving integrated campaigns across multiple mediums. During the year the Company introduced Stevia a new variant of Sugar Free in limited markets. The Company strengthened its margarine product portfolio by introducing Nutralite with Omega 3 benefits. This has further helped build equity of Nutralite amongst health conscious consumers. Everyuth continues to face stiff competition in the highly competitive Face Wash category. In keeping with its tradition of launching innovative products and formats the Company launched a Sachet pack of EverYuth Tulsi Turmeric face wash which is a first in India and is intended to provide convenience and better access to the consumer.Capital expenditure during the year 201415 was Rs. 31 million.During the year 201516 to address the challenges in the Face Wash segment Everyuth relaunched its Face Wash range with fresh new and contemporary looking packaging in March 16. This relaunch will be supported by communication across mediums. Focus in 201516 was also to further strengthen the Everyuth Tulsi Turmeric variant in the market.During the year 201516 the Company saw stabilization of its revamped distribution system in the later part of the year gone by. The company rolled out distribution expansion program named EnReach during the year which has resulted into a significant growth in the direct coverage. Through this program channel wise thrust was provided to strengthen the brand presence across general trade modern trade and Hotel/Restaurants/Caterers HORECA segments. During the FY 201617 in the Face Wash segment Everyuth reported growth revival following the relaunch of the Face Wash range with fresh new and contemporary looking packaging. During the last quarter of the financial year the Tulsi Turmeric Face wash was relaunched with improved product and packaging.The company strengthened the distribution system during the last financial year. The company rolled out a program named EnReach 2.0 to drive the next wave of distribution expansion focused on enhancing quality of direct reach. Through this program a channelwise thrust helped strengthen brand presence across the general trade modern trade and Hotel/ Restaurants / Caterers HORECA segments.To build the international business the Company entered new markets like Saudi Arabia Qatar Oman and Myanmar.Zydus Wellness reported an improvement in the growth rates of all brands viz. Sugar Free Everyuth Nutralite in 201718. Its flagship portfolio maintained leadership across respective categories in 201718. The Company collaborated with popular news channel NDTV on World Health Day to telecast Sugar Free 150 Health For All program which presented Sugar Free as a safe alternative to sugar. In the Everyuth skincleansing category the company relaunched the Golden glow peel off with new packaging with support from media activities and TV campaign in 201718.In the Scrub segment the company launched Neem Papaya scrub in May 2017 for problemprone skin which was backed by a new TV campaign in August 2017. In the Face Wash segment a new advertising campaign was launched to support the Tulsi Turmeric face wash from May.For Nutralite brand the company continued to use the digital platform innovatively with digital initiatives like Facebook live live with Chef Sanjeev Kapoor KhaneMe Twist campaign and Nutralite healthy recipes campaign on Shilpa Shettys digital assets.The company launched Nutralite Mayonnaise in three flavors for the retail segment in January 2018. This will be supported with Print TV digital and onground activation campaigns.During the year under review Zydus Wellness continued its effort to enhance distribution both in terms of numeric reach as well as depth of products available through the financial year 201718. Significant focuses were given to direct distribution of new launches and strategic SKUs stock keeping units within the existing portfolio. In an effort to build its international business the company entered new markets like Tanzania and South Africa and enhanced its portfolio with the launch of Nutralite in Middle East countries like Oman and UAE during FY 201718.In 201718 Zydus Wellness incurred capital expenditure aggregating Rs 99.6 million.During the year 2019 the company had entered into a Share Purchase Agreement jointly with Cadila Healthcare Limited to acquire 100 shareholding of Heinz India Private Limited Heinz. The Company along with its wholly owned entity Zydus Wellness Sikkim paid a consideration amount of Rs 4667.36 Crores which includes payment towards cash and bank balance of Rs 125 Crores in Heinz and acquired 100 shareholding of Heinz.During the year 2019 the Company has issued and allotted 18592055 Equity Shares of face value of Rs 10/ each at a price of Rs 1385/ including a premium of Rs 1375/ per equity share to Threpsi Care LLP Pioneer Investments Fund Cadila Healthcare Limited and Zydus Family Trust. The above shares were issued and allotted by way of preferential issue under Chapter VII of Securities and Exchange Board of India Issue of Securities and Disclosure Requirements Regulations 2018 SEBI ICDR on January 29 2019.During FY 201819 the Company incorporated two wholly owned subsidiaries in the name of Liva Nutritions Limited on December 21 2018 and Liva Investment Limited on December 24 2018. The Company also invested an amount of Rs 500000/ and Rs 2500000/ by subscribing to the Memorandum and Articles of Association of Liva Nutritions Limited and Liva Investment Limited respectively.In FY 201819 the existing group entity M/s. Zydus Wellness Sikkim ZWS a Partnership Firm which was under the majority control of the Company was converted into a Public Limited Company in the name of Zydus Nutritions Limited ZNL on February 28 2019 under chapter XXI of the Companies Act 2013. During the year under review a Scheme of Amalgamation of Heinz with ZNL was filed with the Honble National Company Law Tribunal Bench at Ahmedabad and the same was approved on May 10 2019 and made Effective from May 24 2019. In view of the same HIPL got merged into ZNL and ceased to be subsidiary from the Appointed Date i.e. March 1 2019.During the year 2019 the Company had issued equity shares to Cadila Healthcare Limited and Zydus Family Trust as per the resolutions passed by the shareholders at the Extra Ordinary General Meeting held on January 4 2019.Pursuant to the definitive agreement entered into by the Company on October 24 2018 to acquire Heinz India Private Ltd. HIPL the Company and its wholly owned entity M/s. Zydus Wellness Sikkim a partnership firm have completed the acquisition of HIPL on January 30 2019.Pursuant to the Scheme of Amalgamation between the two subsidiaries of the Company viz. ZNL and HIPL sanctioned by the Ahmedabad bench of Honable National Company Law Tribunal NCLT vide its order dated May 10 2019 and effective date being May 24 2019 HIPL has been merged with ZNL with effect from the appointed date of March 1 2019.In 201819 Zydus Wellness incurred a capital expenditure aggregating Rs 40.3 million.As on 31 March 2020the Company has four wholly owned subsidiary companies namely Zydus Wellness Products Limited formely known as Zydus Nutritions Limited Liva Nutritions Limited Liva Investment Limited and Zydus Wellness International DMCC Dubai. During the year under review the name of Zydus Nutritions Limited was changed to Zydus Wellness Products Limited w.e.f June 4 2019. Zydus Wellness International DMCC Dubai was incorporated during the year on May 28 2019.The ministry of Home Affairs vide order No.403/2020 dated March 24 2020 notified first ever nationwide lockdown in India to contain the outbreak of Covid Pandemic. As a result our operations were completely shut down during initial days of the Lockdown. However as stated before operations are gradually moving towards near normalcy now and are in relatively better shape compared to what they were during the last week of March 20 and major part of April 20.The Company has issued and allotted 2122000 and 3846000 Equity Shares of Rs 10 each to Promotors group and Qualified Institutional Placement on September 19 2020 and September 28 2020 at an issue price of Rs 1649 and Rs 1690 per Equty share respectively induding premium of Rs 1639 and Rs 1680 per Equity Shares.
OrganisationZydus Wellness Ltd
HeadquartersAhmedabad
IndustryFMCG