Zydus Wellness shares surge over 10% amid higher than usual trading volumes

Shares of Zydus Wellness, the Ahmedabad-based packaged foods maker, rose as much as 10.37% to hit an intraday high of ₹467.95 on the National Stock Exchange (NSE) on Wednesday, December 31 amid higher than usual trading volumes. On the BSE, Zydus Wellness shares climbed as much as 10.5% to hit an intraday high of ₹468.35.

Zydus Wellness shares were witnessing higher than usual trading activity as trading volume spiked by nearly 9 times to 7.19 lakh shares compared with an average trading volume of 81,259 shares on the NSE.

On the BSE, as many as 91,000 shares changed hands compared with an average of 6,315 shares traded daily in the past two weeks.

Zydus Wellness Q2 earnings

The Ahmedabad-based company last month reported net profit of ₹7.6 crore in the second quarter of current financial year as against ₹8 crore in the same period last year.

Zydus Wellness' revenue from operations advanced 173% to ₹145 crore compared with ₹53 crore in the year-ago period.

During the quarter Zydus Wellness introduced the millet wafer protein bar, made from Jowar — with 10 gram protein, no maida, no palm oil, and zero added sugar available in three flavours.

Zydus Wellness is strengthening its international footprint with an aggressive expansion across the UK, European Union, and the United States through acquisitions aimed at accelerating the growth of its digital business platforms overseas.

The company said the performance of recently acquired businesses has broadly remained in line with expectations during the initial months post acquisition.

During the quarter, subsidiary Naturell (India) Pvt. Ltd. initiated a voluntary liquidation process. The liquidator has transferred the entire business undertaking to Zydus Wellness Limited, enabling a faster consolidation of Naturell’s business with Zydus on a going concern basis. The company reaffirmed that the Naturell acquisition remains firmly aligned with its strategic growth roadmap.

As of 10:17 am, Zydus Wellness shares traded 9.12% higher at ₹455, outperforming the NIFTY50 index which was up 0.3%.