Q2FY27 Financial Performance Summary

Revenue Performance:

  • Consolidated Revenue from Operations: ₹19,933.14 lakhs in Q2FY27, representing 54.58% YoY growth from ₹12,894.82 lakhs in Q2FY26
  • Half-year Revenue (H1FY27): ₹37,293.37 lakhs compared to ₹23,253.08 lakhs in H1FY26

Segment-wise Revenue Breakdown (Q2FY27):

  • Export Sales (SEZ): ₹470.09 lakhs (down from ₹1,094.98 lakhs in Q2FY26)
  • Davaindia Sales: ₹16,846.81 lakhs (76.25% YoY growth from ₹9,558.59 lakhs)
  • Domestic Sales: ₹2,459.13 lakhs (up from ₹1,790.50 lakhs in Q2FY26)
  • Everyday Herbal Group: ₹806.79 lakhs (78.99% YoY growth from ₹450.75 lakhs)
  • Others: ₹21.81 lakhs
  • Inter-segment Eliminations: -₹671.49 lakhs

Profitability Metrics:

  • Gross Profit: ₹11,994.05 lakhs in Q2FY27 (up from ₹7,650.26 lakhs in Q2FY26)
  • Gross Margin: 60.17% in Q2FY27 (vs 59.33% in Q2FY26 and 61.96% in Q1FY27)
  • EBITDA: ₹791.72 lakhs in Q2FY27 (positive turnaround from -₹955.40 lakhs in Q1FY27)
  • EBITDA Margin: 3.97% in Q2FY27 (vs -5.50% in Q1FY27 and 6.17% in Q2FY26)
  • Half-year EBITDA: -₹163.68 lakhs in H1FY27 (vs ₹1,278.98 lakhs in H1FY26)

Operational Metrics

Davaindia Store Network (as of September 30, 2026):

  • Total Stores: 2,840 (1,859 COCO + 981 FOFO)
  • YoY Growth: From 2,055 stores in Q2FY26 (1,207 COCO + 848 FOFO)

Q2FY27 Store Activity:

  • New Stores Added: 20 (4 COCO + 16 FOFO)
  • Stores Closed: 5 FOFO stores

Customer Metrics (Q2FY27):

  • Quarterly Footfall: 66.17 lakh customers (48.67 lakh COCO + 17.50 lakh FOFO)
  • Quarterly GMV: ₹18,791 lakhs (₹13,787 lakhs COCO + ₹5,004 lakhs FOFO)
  • Average Wallet Spend: ₹283 (COCO) and ₹286 (FOFO)

Corporate Actions

Subsidiary Restructuring:

  • Converted ₹119.52 crore of outstanding unsecured loan and accumulated interest receivable from wholly owned subsidiary Davaindia Health Mart Limited (DHML) into equity
  • Allotted 2,35,512 equity shares at ₹5,075 per share on preferential basis
  • No fresh cash outflow involved in the transaction

Management Commentary

Mr. Ketan Kumar Zota, Chairman, commented on the performance:

  • Company strengthened underlying fundamentals of the business with 54.58% YoY revenue growth
  • Consciously moderated pace of Davaindia store additions during Q2FY27 following significant expansion in previous quarters
  • Efforts directed towards consolidating expanded store network, monitoring performance of recently added stores, improving store-level productivity, and strengthening execution
  • Measured approach enabled focus on operating performance and cash-generation profile
  • Despite moderated store additions, operating momentum remained healthy
  • Intends to accelerate Davaindia network additions during H2FY27 and progress towards full-year expansion plans
  • Maintains focus on store-level productivity, operating efficiency, and cash generation

Business Overview

Zota Health Care Limited operates through three main divisions:

1. Marketing division

2. Export division

3. Retail pharmacy chain (Davaindia)

Davaindia offers over 2,000 SKUs of quality medicines with strategic business model ensuring efficient management of entire product life cycle through backward and forward integration.

The company employs over 635 professionals and specializes in development, manufacturing, and marketing of pharmaceutical, ayurvedic, nutraceutical, and over-the-counter products.