Nureca Ltd Q2FY26 FY25: ₹37.7 Cr Revenue Party, 856% PAT Spike, But Is This Wellness Glow Real or Just a Sugar Rush?

1. At a Glance

Picture this: Nureca Ltd, the self-proclaimed guru of home healthcare, strutting around with its Dr Trust stethoscopes and Trumom baby bottles, trying to convince you it’s the next big thing in wellness. With a market cap of ₹319 crore, a stock price of ₹319, and a spicy 26.8% return over the last three months, Nureca’s got some swagger. Its Q2FY26 numbers are turning heads—revenue at ₹37.7 crore (up 21% YoY) and a PAT of ₹3.63 crore (up a jaw-dropping 856% YoY). But hold your yoga mats, folks—this company’s ROE is a grim -1.12%, and its P/E ratio is a lofty 77.7, making you wonder if this is a health tonic or just overpriced kale juice. With a debt-to-equity ratio of 0.03 and a current ratio of 8.16, it’s practically debt-free and liquid enough to swim in cash. But with a 3-year sales growth of -24.6%, is Nureca a hidden gem or a treadmill collecting dust? Let’s dig in, detective style.

2. Introduction

Nureca Ltd, born in 2016, is the kind of company that wants you to believe it’s revolutionizing your health while you’re still Googling “how to use a nebulizer.” This digitally-first player peddles everything from BP monitors to baby skincare under brands like Dr Trust and Dr Physio, aiming to be your one-stop shop for wellness. Its Q2FY26 performance screams “look at me!” with a 21% revenue jump and a PAT that’s basically doing cartwheels. But the stock’s been a rollercoaster, down 24.2% over three years, and the ROCE is a sad -0.90%. Is Nureca a fitness tracker for your portfolio or a fad diet that leaves you hungry? Let’s snoop around like a detective who’s had one too many espressos.

The company’s got 277+ SKUs, a shiny new manufacturing plant in Punjab, and a quick-commerce game that delivers faster than your Swiggy order. But with a 3-year ROE of -3.23% and working capital days ballooning to 434, something smells fishier than a protein shake left in the gym bag. Are they scaling smart or just throwing darts blindfolded? Time to put on our magnifying glass and roast this wellness warrior.

3. Business Model – WTF Do They Even Do?

Nureca’s business model is like a desi auntie’s health advice: a bit of everything, from BP monitors to baby bottles, with a side of “try this, it’s good for you.” They’re in the home healthcare and wellness game, selling devices for chronic diseases (nebulizers, glucometers), lifestyle products (massagers, fitness trackers), ortho care (memory foam pillows), and even nutrition supplements. Their brands—Dr Trust, Dr Physio, and Trumom—sound like they belong in a hospital drama, but they’re actually raking in sales through 93% online channels and 7% offline retail. With 192+ distributors and 22,000 touchpoints across 460+ towns, they’re everywhere, like that one relative who always shows up uninvited.

But here’s the roast: their product lineup feels like a health-focused Amazon wishlist gone rogue. Why sell both orthopedic cushions and baby organic skincare? It’s like they’re trying to be the Patanjali of medical devices but forgot to pick a lane. Their new Punjab plant and US FDA certifications are flexing some muscle, but with 8 lakh units of annual capacity, are they overreaching or just overenthusiastic?What’s your take—can Nureca be the king of wellness or is it just a jack-of-all-trades?

4. Financials Overview

Let’s crack open Nureca’s books and see if they’re cooking biryani or just burning toast. Here’s the financial snapshot for Q2FY26, compared YoY and QoQ:

Commentary: Oh, Nureca, you’re serving drama with these numbers! Revenue’s up 21% YoY, and PAT’s doing a Bollywood-style 856% leap—talk about a plot twist. But let’s not pop the champagne yet. The EBITDA margin’s finally positive at 8.66%, but it’s been a rough ride with negative margins in prior quarters. The P/E ratio, recalculated as (₹319 / (3.63 * 4)) = 21.96 for annualized EPS, is still high compared to the industry median of 50.1. This isn’t a value meal; it’s a gourmet dish with a side of risk. Are these numbers a sign of recovery or just a one-hit wonder?What do you think—sustainable glow-up or a flash in the pan?

5. Valuation Discussion – Fair Value Range Only

Let’s play valuation detective and figure out if Nureca’s stock is a steal or a scam. We’ll use three methods: P/E, EV/EBITDA, and DCF.

P/E Method:

• Annualized EPS (Q2FY26) = 3.63 * 4 = ₹14.52
• Industry median P/E = 50.1 (from peer comparison)
• Fair value = EPS * Industry P/E = 14.52 * 50.1 = ₹727.45
• Range: ±20% = ₹581.96–₹872.94

EV/EBITDA Method:

• Annualized EBITDA = 3.27 * 4 = ₹13.08 crore
• EV/EBITDA industry median = 39.2 (from screener)
• Enterprise Value = EBITDA * 39.2 = 13.08 * 39.2 = ₹512.74 crore
• Market Cap = EV – Net Debt (₹5.39 crore) = 512.74 – 5.39 = ₹507.35 crore
• Per share = ₹507.35 crore / 1 crore shares = ₹507.35
• Range: ±20% = ₹405.88–₹608.82

DCF Method(simplified):

• Assume FCF = Operating Cash Flow (TTM: -₹19 crore, but let’s project +₹10 crore for FY26 based on recovery)
• Growth rate = 10% for 5 years, then 5% terminal
• WACC