Source Natural Foods and Herbal Supplements Limited announced its unaudited financial results for the quarter ended December 31, 2025, along with significant strategic decisions regarding green energy investments. The board meeting held on February 14, 2026, approved the quarterly results and outlined expansion plans for subsidiary companies.

Financial Performance Overview

The company reported consolidated revenue from operations for Q3FY26, showing substantial growth across its business segments. The financial results demonstrate the company's diversified revenue streams through its Ayurveda and Energy business segments.

Segment-wise Performance

The Ayurveda segment remained the primary revenue contributor, generating ₹1461.23 lakhs in Q3FY26 compared to ₹900.06 lakhs in Q3FY25. The Energy segment showed significant expansion with revenue of ₹703.18 lakhs in Q3FY26 versus ₹250.00 lakhs in the corresponding previous quarter.

Board Meeting Outcomes and Strategic Decisions

The board meeting commenced at 11:30 a.m. and concluded at 14:00 p.m. on February 14, 2026. The directors approved two major financial commitments for green energy project development:

These decisions reflect the company's strategic focus on expanding its presence in the renewable energy sector through its subsidiary network.

Financial Position and Assets

The company's consolidated total assets stood at ₹4127.56 lakhs as of December 31, 2025, compared to ₹3002.45 lakhs in the previous year. Total liabilities increased to ₹1676.36 lakhs from ₹829.37 lakhs in the corresponding period.

Regulatory Compliance

The unaudited financial results were prepared in accordance with Indian Accounting Standards (IND AS) and reviewed by the Audit Committee before board approval. The results comply with Regulation 33 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The statutory auditor Srinaga & Giridharan issued a limited review report confirming the financial statements' compliance with applicable accounting standards.

Source Natural Foods and Herbal Supplements Limited has incorporated a wholly-owned subsidiary to enter the solar power generation sector. The company announced the establishment of Source Natural Solar Private Limited on February 06, 2026, marking its strategic expansion into renewable energy.

Subsidiary Details and Capital Structure

The newly incorporated subsidiary has been established with specific capital parameters and operational focus:

Business Objectives and Industry Focus

Source Natural Solar Private Limited will operate in the solar power generation sector with specific objectives. The subsidiary has been incorporated to develop, implement, own, operate and maintain grid-connected Solar PV power projects. This represents a significant diversification from the parent company's core business of natural foods and herbal supplements.

Regulatory Compliance and Structure

The incorporation follows proper regulatory procedures under SEBI regulations. Source Natural Foods has fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The subsidiary is classified as a related party transaction since it operates as a wholly-owned subsidiary of the listed entity.

Investment and Shareholding Details

The parent company has made the initial investment through cash consideration:

Source Natural Foods and Herbal Supplements Limited, along with its nominee shareholders, has subscribed to 100% equity shares of the incorporated company. The subsidiary represents the company's strategic entry into the renewable energy sector, specifically focusing on solar power generation and related activities.