This ‘Taboo’ Stock Is Quietly Building a ₹400 Cr Global Wellness Empire
How Cupid Limited is Disrupting Preventive Healthcare, Diagnostics & FMCG in India and Beyond
Karan’s Substack | 19th July 2025 | Issue: 23
👋 Real Talk Before We Begin
In this week’s newsletter, while scanning through a bunch of sectors for my next research rabbit hole, I stumbled onto a company that’s not just quietly breaking out of its historical trading zone — it’s also breaking societal taboos.
We’re diving into Cupid Limited, a player in the sexual wellness and preventive healthcare space. Yep, that means condoms, lubricants, IVD kits, and more. Topics that often make people squirm at dinner tables in India, but are absolutely essential when it comes to public health, FMCG innovation, and emerging market tailwinds.
So here’s your heads-up: this edition isn’t your typical “safe” stock pick. But it is one that’s quietly transforming from a global latex exporter to a domestic retail disruptor with ambitions to conquer diagnostics and wellness in India and abroad.
Let’s get into it — unfiltered, as always.
So What Does the Company Do?
Cupid Limited, founded in 1993, is a global pioneer in the manufacturing and export of male and female condoms, water-based lubricants, and In-Vitro Diagnostic (IVD) kits. The company also forayed into the B2C space with FMCG personal care products like deodorants, perfumes, petroleum jelly, hair & body oils, and face wash.
Fun Fact: Cupid is the first company globally to earn WHO/UNFPA pre-qualification for both male and female condoms.
Beyond manufacturing, Cupid aims to create a culturally relevant, science-backed wellness brand tailored to both institutional and consumer markets. The company is using its strengths in quality assurance, regulatory compliance, and international presence to push deeper into public health and diagnostic spaces.
“We’re building Cupid into a diversified, innovation-led wellness brand for India and the world.”
— Aditya Halwasiya, CMD
Their Few Segments & Business Model
1. B2B Export Segment: WHO/UNFPA and NGO/government tenders across 110+ countries.
2. Domestic B2B/B2C: Rapid expansion in India’s condom and IVD market with Cupid-branded products.
3. IVD Kits: Diagnostics for HIV, dengue, malaria, typhoid, hepatitis, pregnancy, and ovulation
4. FMCG Retail: Entry into consumer-centric products like deodorants, sanitizers, and pocket perfumes.
“We have started with a B2C presence in all the distribution channels in India.”
— Aditya Halwasiya, Q3 FY24 Call
How Big is the Market Size & Global Potential?
Indian Contraceptive Market: Estimated at USD 1.69 billion in 2024, projected to grow to USD 2.43 billion by 2030 at a 6.3% CAGR.
India’s Contraceptive Devices (like condoms): Expected to grow from USD 264 million in 2025 to USD 378 million in 2030 (7.4% CAGR).
Global Condom Market: Valued at USD 11.6 billion in 2023, forecasted to hit USD 20.7 billion by 2030 (8.7% CAGR)
Female Condom Segment: Among the fastest-growing, with a 12.6% CAGR through 2029.
Global Non-Hormonal Contraceptive Market: Estimated at USD 21.3 billion in 2025, with ~7% CAGR through 2034.
India’s IVD Market: Estimated at USD 395 million in 2023, expected to cross USD 523 million by 2030 (4.6% CAGR).
Global IVD Market: Projected to grow from USD 80.8 billion in 2024 to USD 157.6 billion by 2034 (6.9% CAGR).
Indian Diagnostics Sector Overall: Likely to double from ₹16,000 crore to ₹32,000 crore in five years (14–15% CAGR).
“The Indian market, in particular, presents substantial growth opportunities.”
— Aditya Halwasiya, AR 2023-24
How does the Sectoral Outlook Look?
Momentum
Strong global demand from WHO/UNFPA and NGO partners.
India’s rising awareness of sexual wellness, hygiene, and early diagnostics.
Low domestic competition in the female condom & WHO-prequalified supply space.
Government-backed push for preventive diagnostics and local manufacturing.
Frictions
Export dependency on large institutional buyers.
Regulatory delays (e.g., CE approvals, WHO prequalification).
Social stigma is affecting retail traction in India.
High fragmentation in the retail wellness space.
“We are looking to expand in other geographies via acquisitions.”
— Aditya Halwasiya, Q3 FY24 Call
Their Growth Drivers & Future Game Plan:
New Palava plant: To boost capacity 1.5x (770M male & 75M female condoms extra).
Retail footprint: Targeting 1.75L+ outlets by FY26, from just 1,000 outlets currently.
B2C sales target: ₹125 Cr by FY26.
CE certifications for IVD kits in HIV, Syphilis, Hepatitis B, Pregnancy, etc., for global market access.
Lubricant business restart: UNFPA supplies resume fully from FY26 onwards.
Export market penetration: Africa, LATAM, ASEAN nations targeted with registered kits.
Private label/white-label opportunities with international pharma and wellness brands.
“We’ll be introducing 3–4 dipping lines and increasing capacity by 300 million units.”
— Aditya Halwasiya, Q3 FY24 Call
Competitive Landscape
Cupid Limited operates in a space that blends health, wellness, diagnostics, and taboo-breaking personal care — and it faces intense but segmented competition across these domains.
1. Sexual Wellness & Condoms (Domestic FMCG Rivals)
Manforce (Mankind Pharma): India’s most recognisable condom brand. Strong distribution, aggressive advertising, Bollywood brand ambassadors, and deep retail integration.
Durex (Reckitt Benckiser): Global player known for its premium image, international R&D, and high recall. Focused on urban youth markets.
Skore (TTK Healthcare): Known for modern, youth-oriented branding and aggressive expansion in tier-1 and tier-2 cities.
Moods (HLL Lifecare): Backed by a government PSU, known for institutional supply and low-cost pricing. “Competes head-on with Cupid in WHO tenders”
👉 Cupid differentiates through its dual WHO prequalification (for male and female condoms), a unique edge in tender-based B2B deals globally. Unlike others, it’s the only Indian player offering female condoms at scale.
2. Personal Lubricants & Retail Hygiene
K-Y Jelly (Reckitt Benckiser) and Durex Play dominate premium lubricant categories in metros.
Manforce Lubes also play in this field, but Cupid is rebooting UNFPA supply lines for institutional bulk.
Cupid has a price advantage and quality assurance edge (ISO + WHO), but lacks in branding and mass consumer recall — something it's working to address via D2C and retail channels.
3. IVD Kits & Diagnostics Competitors
Mylab Discovery Solutions: India's atmanirbhar Covid-19 test maker; deep R&D, strong domestic government relations, high scale.
J. Mitra & Co.: Long-standing IVD leader in India, approved by CDSCO, WHO PQ for some categories.
Roche Diagnostics & Abbott: Global majors with highly accurate, lab-based testing kits — but priced far above Cupid’s offerings.
Cupid’s IVD kits are priced lower and target markets with cost-sensitive needs — primarily government tenders, rural testing programs, and bulk procurement.
Its key edge lies in:
Fast-moving rapid test kits (HIV, Syphilis, Malaria, Pregnancy)
Government certifications & export credentials
Expanding reach in Africa, LATAM, and ASEAN regions
4. B2C FMCG & Personal Care (New Foray) Cupid has started entering the mass FMCG market with products like:
Pocket perfumes (competes with Engage On, Fogg)
Petroleum jelly (competes with Vaseline)
Deodorants (competes with Nivea, Fogg, Axe)
Face washes & hair/body oil (heavy competition from Himalaya, Patanjali, Garnier, etc.)
“We have started with a B2C presence in all the distribution channels in India.” — Aditya Halwasiya
This segment is crowded, with dominant incumbents. Cupid is playing a margin-sensitive, D2C-first, no-celebrity approach — leveraging e-commerce and selective city-based GTM rollout. In the early days, success here could significantly improve blended margins and help reduce export dependence.
What are the Risks & Limitations
Fund deployment risk: ₹385 Cr FII raise must be executed efficiently.
Regulatory risk: Global exports rely on UNFPA tender timing.
Slow B2C momentum if stigma and marketing constraints remain.
“We don’t want to overspend on B2C until we see solid traction.”
— Aditya Halwasiya
Opportunities Ahead
Expand IVD portfolio into CE & WHO-approved categories.
Strategic acquisitions to fast-track polyisoprene/PU condom lines.
GCC region distribution via GII investment in the Saudi healthcare chain.
Higher-margin domestic sales mix as brand awareness grows.
What Management & Analysts Are Saying?
On Strategic Direction & Vision:
Long-Term Vision: The company’s efforts reflect a mission to diversify globally while staying true to its preventive wellness core.
Shareholder Value Focus: New management, post-takeover, is committed to long-term stakeholder value.
Mission Clarity: "Helping the world play safe" by leading in HIV/STD prevention products.
On Financial Performance & Guidance Front:
FY24 Revenue: ₹171 Cr vs ₹159 Cr in FY23
FY24 Net Profit: ₹39.85 Cr vs ₹31.58 Cr in FY23
FY24 EBITDA Margin: 29.28% (vs 25.93%)
Target EBITDA Margin: 35%+; PAT Margin >25%
Cash Reserve: ₹173.58 Cr, debt-free
Expected Post-Expansion: ₹400 Cr topline, ₹100 Cr EBITDA
“Our remarkable performance is a testament to our financial prudence and operational excellence.” — Aditya Halwasiya
On Strategic Investments & Capital Allocation:
₹385 Cr FII Fund Raise via Warrants
Purpose: Primarily for strategic acquisitions (domestic/international)
Oversight body setup to ensure proper use
GII Healthcare deal: Strategic entry into Gulf markets
“This investment in GII opens the doors to the Gulf — a strategic, dollar-denominated expansion.” — Aditya Halwasiya
On Capacity Expansion & Product Diversification:
New Plant: Palava (1.25B male & 125M female condoms)
Timeline: End FY26
An additional 300M unit male condom capacity in 2024 via new dipping lines
IVD Kits: 11 types launched; targets CE/WHO prequalification for wider markets
Domestic penetration through IVDs and Deodorants
On Domestic & Global Reach:
110+ export countries; major B2B clients: UNFPA, NGOs, govts
India retail foray launched: 1,000+ outlets, aiming 1.75L outlets by FY26
Conservative ad spend (<10%)
Targeting D2C & e-comm for youth reach
On Operations, Quality & Inventory Management:
Inventory backlog (esp. female condoms) led to Q3 stockpile: ₹23 Cr
Q4 Female Condom Sale Target: ₹21 Cr
Cash Conversion Cycle targeted to improve by 20%
WHO prequalified, ISO certified, 100% electronic testing
“The backlog for female condoms will be cleared in Q4 to the tune of ₹21 Cr.”
— Omprakash Garg
On People, Culture & ESG:
206 employees, average 10+ years of experience
Employee health insurance, ESOP (₹140 price), maternity/daycare for women
Safety committee, risk audits, Code of Conduct, whistleblower protection
First ESG/BRSR report post-IPO
“We are dedicated to continuous improvement and meaningful stakeholder engagement as we strive for sustainable growth.” — Aditya Halwasiya
On Analyst & Leadership Sentiment:
CMD featured in the Hurun India U30 list (2025)
Multiple press appearances post-strategy rollout
“Since the takeover of Cupid in early Q3 FY24, my team and I have worked to maximize stakeholder value.” — Aditya Halwasiya
Valuation & Strategic Outlook
While Cupid trades on a modest earnings multiple, it has a clean balance sheet, large cash reserves (₹173.58 Cr), and no debt. If the capacity expansion and acquisition pipeline execute as planned, the company projects a topline of ₹400 Cr and EBITDA of ₹100 Cr+, implying aggressive growth from current run-rates.
With new FIIs onboarding and strategic funds being deployed toward M&A, its capital cycle efficiency and margin profiles are expected to improve further. The company also aims for PAT margins >25% and EBITDA margins >35%, hinting at scalable unit economics.
Cupid may look optically expensive now due to investment phase expenses, but a few quarters of execution could trigger a major market re-rating.
“We remain comfortably capitalized and are ready for the next era of profitable growth.” — Aditya Halwasiya
My Final Thoughts
Cupid may operate in a segment that's often spoken of in hushed tones, but its execution, ambition, and numbers speak volumes. It is navigating global expansion, capacity building, and product diversification while staying lean, debt-free, and focused. With a bold leadership team, new-age capital backing, and a solid demand base across developing economies, Cupid is no longer just a ‘condom company’. It’s a healthcare + wellness + FMCG hybrid quietly preparing to scale.
The risk-reward is asymmetric, not just in the stock chart, but in the story arc. If it executes even halfway through what it has planned, Cupid might just grow out of the shadows and into the spotlight of India’s next-gen FMCG champions.
Bonus (if you came this far reading):
Have covered Cupid in My Chart of the Week as it was Looking Technically Great, breaking out of its Rounding Bottom.
From ₹10 to ₹150: How CUPID Stock Became a Multibagger Dream and What's Next. Let's analyse and Deep Dive into my Chart of the Week Idea.
Link to the Full Idea:
This Week’s Recommendation:
People say Indians lack civic sense because they are not educated. But we’ve often observed that even well-educated people throw garbage on the roads, break traffic rules, break queues, and a lot more. Lack of education can’t be the only reason. So, what’s the real problem here?
Disclaimer:
“I am not a SEBI Registered Research Analyst and Investment Adviser”
This analysis is intended solely for informational and educational purposes and should not be interpreted as financial advice. It is advisable to consult a qualified financial advisor and conduct thorough research before making any investment decisions.
✉️ Enjoyed this? Hit subscribe for more clear, no-fluff breakdowns of India's hidden gems and high-growth bets.
📩 Want this in PDF or with segment-wise visuals next time? Let me know.
📬 Like this post? Drop your thoughts in the comments! 💬📢💡
If you found this useful and enjoyed this newsletter, don’t forget to
Subscribe for weekly insights, and share them with a fellow market nerd.
Honestly, i think here the product quality can be a little different and that wouldn't affect the sales but the vibe factor in the customer's mind surely would. Can't say anything until i see their whole packaging