Kerala Ayurveda , a prominent player in the Ayurveda sector, has released its financial results for the second quarter of fiscal year 2025, revealing a mixed performance with increased revenue but widening losses.

Key Financial Highlights

*Q1 FY2025 showed a profit

Revenue Growth and Operational Performance

Kerala Ayurveda demonstrated strong top-line growth in Q2 FY2025, with consolidated revenue increasing to Rs. 3,483.85 lakhs from Rs. 2,861.16 lakhs in the previous quarter, marking a 21.76% quarter-on-quarter growth. This growth indicates robust demand for the company's Ayurvedic products and services.

Profitability Challenges

Despite the revenue growth, the company faced significant profitability challenges:

• Standalone Performance: Kerala Ayurveda reported a standalone net loss of Rs. 540.06 lakhs for Q2 FY2025.
• Consolidated Results: On a consolidated basis, the company's performance declined further, with a net loss of Rs. 635.94 lakhs, compared to a profit of Rs. 202.76 lakhs in Q1 FY2025.

Balance Sheet and Cash Flow

As of September 30, 2025, Kerala Ayurveda's financial position showed:

• Total assets of Rs. 13,545.80 lakhs
• Cash and cash equivalents of Rs. 490.98 lakhs
• Total equity of Rs. 900.98 lakhs

Management Approval and Audit Status

The Board of Directors approved these unaudited financial results on November 14, 2025. The company's statutory auditors have completed a limited review of the results, as required by SEBI regulations.

Segment Information

Kerala Ayurveda operates in a single business segment - Ayurveda Business - as per Ind AS 108 on "Operating Segments."

Outlook

While Kerala Ayurveda has shown strong revenue growth, the significant increase in losses poses challenges. The company may need to focus on cost management and operational efficiency to improve its bottom line in the coming quarters.

Note: All financial figures are based on the unaudited consolidated results for the quarter ended September 30, 2025, as approved by the company's Board of Directors.

Kerala Ayurveda Limited , a prominent player in the Ayurvedic healthcare sector, has witnessed a significant change in its shareholding pattern. Katra Phytochem (India) Private Limited, a promoter of the company, has sold a substantial portion of its stake in the open market.

Stake Sale Details

Katra Phytochem (India) Private Limited executed the sale of 324,000 equity shares through open market transactions on September 2 and 3, 2025. This move has drastically reduced the company's shareholding in Kerala Ayurveda Limited from 324,399 shares to a mere 399 shares.

Impact on Shareholding Percentage

The stake sale has resulted in a significant decrease in Katra Phytochem's ownership percentage:

Company's Equity Structure

Despite this substantial sell-off by the promoter, Kerala Ayurveda's total equity share capital remains unchanged at 12,060,198 shares.

Regulatory Compliance

The transaction was disclosed in compliance with SEBI regulations governing substantial acquisition of shares and takeovers. Katra Phytochem (India) Private Limited, represented by Director Ramesh Vangal, submitted the necessary disclosures to the Bombay Stock Exchange on September 4, 2025.

Market Implications

While the exact reasons for the stake sale have not been disclosed, such a significant reduction in promoter holding could potentially impact market perception and investor sentiment towards Kerala Ayurveda Limited.

Company Background

Kerala Ayurveda Limited, with its registered office in Athani, Aluva, Kerala, is known for its Ayurvedic products and services. The company operates in the growing market for traditional Indian healthcare solutions.