KRM Ayurveda Limited

KRM Ayurveda Limited, established in 2019, is operating a network of hospitals and clinics across multiple cities in India as well as marked its presence in abroad through telemedicines consulting and sales. Presently, Company runs 6 (Six) Hospitals and 5 (Five) Clinics at different locations in the country. Though KRM Ayurveda started off as a kidney hospital and it continues to provide specialized treatment for kidney disorders, the Company has widened its horizons in the past few years and has now evolved for various health disorders such as kidney disorder, Liver Cirrhosis, Diabetes, Fatty Liver, Arthritis etc. Company has marked its reach globally as well through Tele-Consultancy Services.  The Company also is engaged in the processing, formulation, and marketing of portfolio of Ayurvedic therapeutic and wellness products. The product portfolio is primarily focused on addressing chronic lifestyle and metabolic disorders. The Company markets its products through its network of hospitals and clinics and also provides patient access through an integrated telemedicine service, enabling remote consultations and product delivery. The product is based on classical Ayurvedic formulations, standardized herbal extracts, controlled processing methods, and quality-assurance protocols. As per financial performance, KRM Ayurveda Limited has posted total income / net profits of Rs 89.37 / 7.59 Cr (FY23), Rs 67.57 / Rs 3.41 Cr (FY24), Rs 76.94 Cr / 12.09 Cr (FY25) and Rs 48.65 Cr / 8.13 Cr (upto Q2 FY26). So as per previous financials data, company has shown zig-zag results and sudden rise in net-profit just before IPO raises doubts. Company has an average EPS of Rs 5.63 and average RoNW of 72.74% for last three fiscals. Issue is priced at a P/BV of 5.27 as per NAV of Rs 25.64/- as on 30.09.25. If we attribute latest earnings of FY24, FY25 and annualised FY26 on equity post issue, then asking price is at a P/E of around 84.12, 23.73 and 17.63 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, NEXGEN Financial Solutions Private Limited is associated with this SME IPO, and has not handled any SME / Main board IPOs in last three fiscal years. (as on 16.01.26 ) As per financials, KRM Ayurveda Limited has shown zig-zag results, RoNW is 67.86% and P/E is 84.12, 23.73 and 17.63 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fully priced, but sudden rise in net-profit just before IPO raises doubts. Company is operating a network of hospitals and clinics and also processing, formulation, and marketing of portfolio of Ayurvedic therapeutic and wellness products, which is very competitive business segment. So, we give NEUTRAL rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.

• 1 Mr. Puneet Dhawan
• 2 Mrs. Tanya Dhawan