On Friday, Wockhardt Limited, a pharmaceutical company, saw its shares hit a 10% upper circuit in the stock market. The stock closed at ₹1,415.60, up ₹128.65 from its previous close of ₹1,286.95.
This marks a remarkable recovery, as the stock had hit its 52-week low of ₹421 in February 2024.
Key Drivers Behind the Stock Rally
The surge in Wockhardt’s stock price is attributed to the success of its flagship product, Zaynich.
The drug demonstrated 96.8% efficacy in its Phase 3 trial, which included 530 patients from the US, Europe, Latin America, China, and India.
In a stock exchange filing, the company announced that Zaynich could be instrumental in treating urinary tract infections caused by multidrug-resistant (MDR) or extensively drug-resistant (XDR) pathogens, such as Enterobacter and Pseudomonas aeruginosa.
Future Plans and Financial Growth
Wockhardt is now among the few Indian pharmaceutical companies capable of developing and marketing a global antibiotic.
The company plans to submit a New Drug Application to the US FDA and a Marketing Authorization Application (MAA) to the European Medicines Agency (EMA).
Financially, the company is performing well. In the first half of FY 2024-25 (April–September), its EBITDA grew by 112% year-on-year to ₹239 crore.
Revenue also rose by 10%, reaching ₹1,565 crore compared to ₹1,420 crore in the same period last year.
Shareholding Details
Currently, the promoters hold a 49.09% stake in Wockhardt Limited, while the public owns the remaining 50.91%.
