ICICI Direct: Zydus Wellness Q2 Review - Debt Reduction, Benign Raw Material Cost To Aid Profit
Sugar Free brand manufactured by Zydus Wellness Ltd. (Source: Company website)

ICICI Direct: Zydus Wellness Q2 Review - Debt Reduction, Benign Raw Material Cost To Aid Profit

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BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Direct Report

Zydus Wellness Ltd. reported mixed results with 9.3% growth in gross sales led by strong growth in Sugarfree, Nycli and revival in Everyuth.

Net sales grew at slower 4.8%, mainly as goods and services tax related benefits for one of the plants expired in January 2020.

Gross margins fell 300 basis points, mainly due to expiry of GST benefits, utilisation of high priced milk inventory and 10% increase in palm oil prices.

The company held high cost inventory of skimmed milk powder in February-March.

Click on the attachment to read the full report:

ICICI Direct Zydus Wellness Q2FY21 Result Update.pdf

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