Zydus Wellness Limited conducted its Q3FY26 earnings conference call on February 3, 2026, providing comprehensive insights into the company's financial performance and strategic initiatives. The call was hosted by ICICI Securities Limited with CEO and Whole-Time Director Tarun Arora and CFO Umesh Parikh representing the management.

Financial Performance Highlights

The company reported exceptional revenue growth during Q3FY26, with net sales registering growth of 113.7% year-on-year. The Food & Nutrition segment delivered robust growth of 134%, while the Personal Care segment declined by 1.4% during the quarter. Excluding newly acquired businesses, volumes delivered double-digit growth, reflecting strong underlying demand momentum.

On a consolidated basis, the company recorded EBITDA of ₹610 million, representing quarter-on-quarter growth of 312.2%. EBITDA margin expanded to 6.3%, up from 3.2% in the previous year, with gross margins reaching 63% due to the inclusion of higher-margin Comfort Click business.

Acquisition Performance and Integration

Management highlighted strong performance from recent acquisitions, with RiteBite Max Protein business significantly outperforming internal expectations. The business doubled its legacy performance and exceeded projections, with EBITDA margins improving from breakeven at acquisition to approaching double-digit levels. The brand maintains its leadership position in protein snacking across both value and volume metrics.

Comfort Click continued performing in line with expectations, operating at EBITDA margins of 14% plus. The business expanded its European footprint by entering Poland, Finland, and Portugal through the WeightWorld brand, while maintaining strong repeat purchase rates above 50% across marketplaces.

Brand Portfolio Strength

The company's established brands maintained strong market positions despite quarterly challenges. Sugar Free expanded market share by 80 basis points as per MAT December 2025 report, while Sugar Free Green delivered its 19th consecutive quarter of double-digit growth. Everyuth continued leading in niche subsegments with double-digit growth year-to-date, and Nutralite delivered consistent double-digit growth with strong 6-year CAGR performance.

Strategic Outlook and Guidance

Management provided guidance on sustainable EBITDA margins, targeting Comfort Click to operate at 14% plus EBITDA margins with continued double-digit top-line growth. The base business is expected to reach 16-18% EBITDA margin levels over the next 1-2 years. On an annualized basis, consolidated gross margins are projected at 66-67%.

The management emphasized focus on innovation, geographic expansion, and leveraging AI-powered creatives for sustainable long-term growth, with upcoming product developments and seasonal opportunities expected to provide incremental growth momentum through calendar year 2026.

Zydus Wellness Limited has officially notified stock exchanges about its upcoming Board of Directors meeting scheduled for Tuesday, February 3, 2026. The meeting will focus on approving the company's unaudited financial results for the third quarter of fiscal year 2026, covering the quarter and nine months ended December 31, 2025.

Regulatory Compliance and Meeting Details

The company has issued formal notices to both BSE Limited and the National Stock Exchange of India Limited, adhering to Regulation 29(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The notification was signed by Nandish P. Joshi, Company Secretary & Compliance Officer, on January 21, 2026.

Trading Window Restrictions

In compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, Zydus Wellness has implemented a trading window closure for its Directors and Designated Persons. The restrictions will be effective until the financial results are made public.

Meeting Agenda

While the primary focus of the Board meeting will be the approval of Q3FY26 unaudited financial results, the company has indicated that other agenda items will also be considered during the session. The financial results will cover both the quarterly performance for the three months ended December 31, 2025, and the cumulative nine-month performance for the same period.

The scheduled Board meeting represents a routine corporate governance practice, ensuring timely disclosure of financial performance to stakeholders and maintaining transparency in line with regulatory requirements.