Krebs Biochemicals & Industries Limited has announced its unaudited financial results for the quarter and half-year ended September 30, 2025, revealing a continued struggle with profitability despite operational efforts.

Financial Performance

The company reported a loss before tax of Rs 1,146.71 lakh for the half-year period, showing an improvement from the loss of Rs 2,093.20 lakh in the corresponding period last year. Revenue from operations stood at Rs 1,977.70 lakh for the half-year.

Key financial highlights for H1 2025:

Operational Insights

The company's cash position has weakened, with cash and cash equivalents decreasing to Rs 12.71 lakh as of September 30, 2025, from Rs 14.16 lakh at the beginning of the year. The net cash flow from operating activities remained negative at Rs 167.56 lakh, indicating ongoing operational challenges.

Manufacturing Unit Closure

The operations of the company's Vizag manufacturing unit continued to be closed pursuant to an order dated February 7, 2025, passed by the Andhra Pradesh Pollution Control Board. This closure likely contributes to the company's financial strain.

Board Approval and Auditor's Review

The Board of Directors approved these results in a meeting held on November 4, 2025. The statutory auditors have carried out a review of the financial results and issued an "Unmodified Report," indicating that the financial statements fairly represent the company's financial position.

Company Operations

Krebs Biochemicals & Industries Limited operates in a single business segment and does not have any subsidiaries, associates, or joint venture companies as of September 30, 2025.

While there has been a reduction in losses compared to the previous year, the negative cash flow and continued closure of the Vizag manufacturing unit present significant challenges for the company's operations and financial performance.

Krebs Biochemicals & Industries , a pharmaceutical company, has reported a net loss of Rs 532.43 crore for the first quarter. The company also announced significant changes in its top management, including the appointment of a new Managing Director and CEO.

Financial Performance

The company's unaudited financial results for Q1 reveal:

Krebs Biochemicals' total income from operations decreased to Rs 549.26 crore in Q1, down from Rs 643.85 crore in the previous quarter and Rs 1,292.25 crore in the same quarter last year. The net loss for the quarter stood at Rs 532.43 crore, compared to a loss of Rs 825.31 crore in the previous quarter and Rs 517.11 crore in Q1 of the previous year.

Management Changes

In a significant development, Krebs Biochemicals announced the appointment of Mr. Manish Kumar Jain as the new Managing Director and CEO of the company. Mr. Jain, a Chartered Accountant with over 25 years of experience in Strategic Planning, Finance, and Business Development, will take over from Mr. Jitendra Shah, who has resigned from his position.

Key points regarding the management changes:

1. Mr. Manish Kumar Jain has been appointed as an Additional Director and Managing Director & CEO for a five-year term, effective August 7, subject to shareholder approval at the upcoming 33rd Annual General Meeting.

2. Mr. Jitendra Shah has resigned as Managing Director, CEO, and Director of the company, citing personal reasons.

3. The company has reconstituted its Board committees, including the Audit Committee and Stakeholder Relationship Committee, to reflect these changes.

Board's Comments on Regulatory Compliance

The company also addressed a fine levied by the National Stock Exchange of India (NSE) and BSE Limited for non-compliance with Regulation 17(1) of the SEBI Listing Regulations during the quarter ended March 31. The Board stated that the non-compliance has been rectified with the appointment of four new Independent Directors on February 4. The delay was attributed to the time taken in selecting suitable candidates meeting the required criteria.

The financial results were approved by the Board of Directors at their meeting held on August 7, and have been published in newspapers as per regulatory requirements.

Krebs Biochemicals continues to face financial challenges, as evidenced by the reported losses. The appointment of a new Managing Director and CEO may signal a strategic shift as the company aims to improve its financial performance in the coming quarters.