This biotech stock falls over 30% in two days after Q3 earnings, wiping out ₹1,600 crore from Rakesh Jhunjhunwala’s portfolio

The ongoing downfall in stock markets has led to a loss of ₹1,600 crore in ace investor Rakesh Jhunjhunwala’s portfolio from a significant decline in a single stock.

Concord Biotech Ltd shares continued to decline for the sixth straight day on February 17 amid the volatility in the broader market. The stock dropped as much as 12.39% to hit an intraday low of ₹1,482.6 apiece on the NSE. The stock plunged nearly 20% on Friday and settled at ₹1,692.3 apiece.

In the last five sessions, the stock has declined 33% since February 10 amid the downfall in the broader market.

Three discretionary trusts, named after the children of Jhunjhunwala, collectively own nearly one-fourth of shareholding in Concord Biotech Ltd. Rakesh Jhunkhunwala portfolio included 2,51,99,240 equity shares, as of December 31, 2024, according to reports. With the decline in the stock price, the value of Concord Biotech shares in the portfolio declined to ₹3,736.03 crore at Monday’s intraday low price on the NSE compared to ₹5,321.32 crore on Thursday, leading to a loss of ₹1,585.29 crore in just two sessions. The stock closed at ₹2,111.7 apiece on the NSE on Thursday.

The Rare Enterprises-backed company is struggling amid a volatile market, further pressured by weak quarterly earnings for the period ending December 2024, announced on February 13. The company reported a consolidated net profit of ₹75.9 crore, marking a decline of 2.19% year-on-year (YoY) basis. Its revenue for the same period was recorded at ₹244.2 crore, a marginal increase compared to ₹240.8 crore in the corresponding quarter of the last financial year.

In its financial statement, Concord Biotech Ltd reported earnings before interest, taxes, depreciation, and amortisation (EBITDA) at ₹98 crore, a 7.46% decline compared to ₹105.9 crore for the same quarter in the previous financial year.

A research and development-driven biopharma company, Concord specialises in the manufacture of Active Pharmaceutical Ingredients (API) through fermentation and semi-synthetic processes. Founded in 2000, it has transformed from a single-product company to a broad-spectrum solution provider, offering products across diversified therapeutic segments.