Kerala Ayurveda Limited announced its Q1 FY27 financial results, reaffirming its Vision 2030 ambition to scale consolidated revenue from ₹100 Cr in FY24 to ₹1,000 Cr by FY30.

Financial Performance

Consolidated Results:

  • Revenue from Operations: ₹33.2 Cr in Q1 FY27, representing 16.0% growth from ₹28.6 Cr in Q1 FY26
  • Operating EBITDA (Adj.): Loss of ₹-3.82 Cr (-11.5% margin), showing improvement of ₹3.28 Cr (~50% improvement) quarter-on-quarter from Q4 FY26 loss of ₹-7.10 Cr
  • PBT: Loss of ₹-8.23 Cr compared to profit of ₹+2.81 Cr in Q1 FY26 (which included one-time gain from land sale)
  • PAT: Loss of ₹-8.08 Cr compared to profit of ₹+2.03 Cr in Q1 FY26

Standalone Business:

  • Revenue from Operations: ₹22.5 Cr in Q1 FY27, representing 28.3% growth from ₹17.6 Cr in Q1 FY26

Segment Performance Breakdown (₹ in Crs.)

Global E-Product: ₹6.51 Cr (+32.3% YoY)

  • India D2C: ₹4.72 Cr (+38.9% YoY) with repeat customer contribution rising to 33%
  • US E-Product: ₹1.79 Cr (+17.6% YoY) with 400%+ growth on Amazon

Global Health Services (Ex. US): ₹9.23 Cr (+10.3% YoY)

  • Clinics: ₹3.86 Cr (+23.8% YoY)
  • Resorts (THV): ₹0.87 Cr (+12.1% YoY)
  • HS - Resorts (AVGM): ₹3.02 Cr (-7.7% YoY) due to international guest cancellations from geopolitical tensions

US Academy & Wellness Center: ₹7.41 Cr (+16.9% YoY)

  • US Academy: ₹4.19 Cr (-8.2% YoY) due to macro-economic headwinds and India immersion program cancellation
  • US Wellness Clinic: ₹3.22 Cr (+81.9% YoY)

India Medical Sales: ₹9.80 Cr (+10.6% YoY)

Operational Highlights

The EBITDA improvement reflects stronger gross margins, disciplined marketing spending, lower staff costs, and tighter overheads demonstrating emerging operating leverage. The PBT loss was impacted by a 5x increase in promoter loan interest expense.

The company is navigating geopolitical challenges, US macro-economic headwinds, capex funding constraints, and input-cost pressures with mitigation actions underway.

Restructuring and Cost Optimization

Plan is underway to shut down/restructure 5 loss-making clinics, with two already actioned and two more to be relocated to save costs.

Future Outlook and Expansion Plans

FY2027 Milestones:

  • Target to reach Monthly Operating EBITDA (Adj.) breakeven by September 2026
  • Proposed conversion of all promoter loans to equity expected in H2 FY27 to ease interest burden and strengthen Debt/Equity ratio

Expansion Initiatives:

  • New clinics planned in San Jose (California), Eindhoven (first European clinic), and new flagship clinic in India - all opening by November 2026
  • Total planned clinic openings for year: 10
  • New resorts: The Health Village property in Karwar, Karnataka (October 2026) and Ayurvedagram property in Costa Rica (January 2027)
  • New premium Ayurveda brand launch targeting luxury wellness segment in November 2026
  • ERP-Next implementation from October 2026 for improved operational visibility

Company Background

Kerala Ayurveda Ltd is an 80-year-old full spectrum listed Ayurveda company with operations spanning Academies, Wellness Resorts, Hospitals, Clinics, Products and Services across India & USA. The company has over 400 products, serves 100,000 patients annually, and has trained over 3,500 graduates through its US Academy.

Regulatory Disclosure

The document includes a safe harbor statement noting that forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from expectations.