Kesoram Industries Limited , a diversified company with interests in rayon, transparent paper, and chemicals, has reported a challenging first quarter for the fiscal year 2025-26, marked by a decline in revenue and a widened net loss.

Financial Performance

The company's unaudited financial results for the quarter ended June 30, 2025, reveal:

• Revenue from operations decreased to ₹61.05 crore, down from ₹67.28 crore in the same quarter of the previous year.
• The consolidated net loss widened to ₹99.34 crore, compared to a loss of ₹61.37 crore in the corresponding quarter last year.

Key Highlights

• Total income, including other income, stood at ₹73.36 crore for the quarter.
• The company faced a loss before exceptional items and tax of ₹9.62 crore from continuing operations.
• An exceptional item of ₹89.81 crore further impacted the bottom line.

Segment Performance

Following the demerger of its cement division in the previous year, Kesoram Industries now operates with a single reportable segment: Rayon, Transparent Paper, and Chemicals.

Operational Costs

The company's expenses for the quarter totaled ₹82.98 crore, with major components including:

Management Changes

The Board of Directors approved several key appointments during their meeting on July 14, 2025:

1. Snehaa Shaw was appointed as Company Secretary, effective July 14, 2025.
2. Mr. P. Radhakrishnan was re-appointed as a Whole-Time Director & CEO for a period of 1 year, effective August 8, 2025, subject to shareholder approval.

Outlook

While Kesoram Industries faces challenges in the current economic environment, the company continues to focus on its core operations in the rayon, transparent paper, and chemicals segments. The widened losses and revenue decline indicate ongoing pressures, and investors will be watching closely to see how the company navigates these headwinds in the coming quarters.

The company's management and newly appointed officials will likely be tasked with implementing strategies to improve operational efficiency and return to profitability in the face of current market conditions.

Note: All figures are in accordance with Indian Accounting Standards (Ind AS) as required under Section 133 of the Companies Act 2013.

Kesoram Industries , a prominent player in the Indian cement industry, saw significant market activity as major stakeholders, including global investment firm Morgan Stanley, reduced their holdings in the company.

Morgan Stanley's Stake Reduction

Morgan Stanley, a leading global financial services firm, made headlines by selling a substantial portion of its stake in Kesoram Industries. The investment bank offloaded 19.30 lakh shares of the company at a discounted price of Rs 4.20 per share, totaling approximately Rs 81.06 lakh. This sale price represented an 11.00% discount from the previous day's closing price.

Market Reaction and Stock Performance

The news of Morgan Stanley's stake reduction had an immediate impact on Kesoram Industries' stock price. By the end of the trading session, the company's shares closed at Rs 4.50, marking a 4.26% decline from the previous day's close.

Other Significant Block Deals

Morgan Stanley's move was not isolated, as other notable stakeholders also participated in block deals during the same period. The market witnessed selling activity from:

• Mundhra Homes
• Devi Traders
• Ishaan Tradefin

These simultaneous block deals by multiple parties suggest a broader trend of stakeholder realignment in Kesoram Industries.

Implications for Investors

The concerted selling by multiple stakeholders, particularly at a discounted price, may raise questions among investors about the company's near-term prospects. However, it's important to note that such transactions can occur for various reasons, including portfolio rebalancing or liquidity requirements, and may not necessarily reflect the long-term outlook for the company.

Investors and market analysts will likely be watching Kesoram Industries closely in the coming days to gauge any potential impact on the company's operations or future performance following these significant stake reductions.