RPSG Ventures Q2FY26: IPL Profits, Ayurveda Hustle, and a Balance Sheet That Lifts Heavy
1. At a Glance
RPSG Ventures Ltd — a cocktail of IT services, FMCG snacks, Ayurveda, real estate, and cricket — just dropped a Q2FY26 performance that feels like a BCCI-approved financial thriller. The company’s consolidated revenue came in at ₹2,668 crore, up 23.2% YoY, but the profit after tax did a reverse sweep, tumbling 42.9% to a loss of ₹44.4 crore.
The stock trades at ₹831, down ~6.5% in the past 3 months and 20% in the past year — clearly, investors aren’t clapping along to the IPL anthem. With a market cap of ₹2,749 crore, a P/E of 436, and a debt of ₹6,393 crore, this is not your average smallcap. The book value stands at ₹801 — yes, almost equal to the CMP — making it one of those rare diversified companies whose assets actually exist on paper.
Return on equity is negative at -2.02%, while ROCE of 11.3% offers a faint heartbeat. Meanwhile, the enterprise value has ballooned to ₹7,949 crore, pushing an EV/EBITDA of just 4.85 — a rare positive twist. So what we have here is a group with growing revenues, unpredictable profits, and an IPL team that probably performs better than the financial statements.
2. Introduction
Imagine if D-Mart, Infosys, Patanjali, and an IPL franchise had a group chat — it would probably look like RPSG Ventures.
Part of the RP Sanjiv Goenka (RPSG) Group, this company is the parent of everything from Firstsource Solutions (BPM) to Too Yumm snacks, Dr. Vaidya’s Ayurveda, Quest Mall, and the Lucknow Super Giants. Basically, it’s the industrial equivalent of a buffet — IT on one plate, sports on another, FMCG on the side, and a bit of Ayurvedic detox to help digest all that diversification.
Over the last few years, RPSG Ventures has turned into a holding company that throws capital at trends faster than a crypto bro on payday — healthcare outsourcing, plant-based snacks, real estate, D2C wellness, and even UK cricket franchises (yes, they acquired 70% of Manchester Originals in 2025). But while diversification makes headlines, the balance sheet looks like it’s playing Twister with debt.
In Q2FY26, the group’s consolidated sales rose 23.2% YoY — solid performance — but losses widened due to higher interest and depreciation. The sports business, now contributing 26% of revenue (up from 2% in FY22), is a clear focus area. Meanwhile, Firstsource Solutions — its largest revenue driver — is doing steady 4% YoY growth, and the FMCG brands like Too Yumm and Naturali continue to nibble away at market share.
The real question? Can this “mini-conglomerate” find profit consistency before the next IPL auction?
3. Business Model – WTF Do They Even Do?
RPSG Ventures isn’t just a company — it’s a holding company with commitment issues.
Here’s the breakup of their many personalities:
Business Process Services (68%) – The crown jewel is Firstsource Solutions, where RPSG holds a 54% stake. This arm serves global BFSI, healthcare, and telecom clients. In FY24, it clocked a modest 4% revenue growth, but its profits often keep the group’s consolidated P&L from flatlining.
Sports (26%) – Through RPSG Sports Ventures, the company owns Lucknow Super Giants (IPL) and, as of 2025, a 70% stake in Manchester Originals (UK). Yes, Kolkata businessmen are now colonizing English cricket. Sports revenue has shot up from 2% in FY22 to 26% in FY25, proving that entertainment is the new EBITDA.
FMCG (5%) – Handled by Guiltfree Industries, the home of Too Yumm, Naturali, and Within Beauty. It even bought Apricot Foods (Evita brand) with a 70% stake. The FMCG business grew ~12% YoY in FY24, despite a ₹78 crore tax demand and a minor factory fire (both insured, thankfully).
Real Estate (1%) – Quest Properties India Ltd runs the iconic Quest Mall in Kolkata and is dabbling in residential development. Beauty retail under “Beauty Zone” is their recent glow-up.
Ayurveda (Herbolab) – The ancient wellness biz with Dr. Vaidya’s brand clocked 11% YoY growth in FY24 and even acquired Spectrum Delight Pvt Ltd to expand its herbal empire.
Standalone IT Services – They provide IT consulting to power sector clients — small but steady 5% YoY growth.
Venture Investments – RPSG has a portfolio of 13 startups, including The Souled Store, mCaffeine, and Incnut. So yes, it’s got startup FOMO too.
Basically, RPSG Ventures is that one friend who invests in everything — gym, crypto, stocks, ayurveda, and cricket — and somehow manages to stay just about solvent.
4. Financials Overview
Metric (₹ Cr)
Q2 FY26 (Latest)
Q2 FY25 (YoY)
Q1 FY26 (QoQ)
YoY %
QoQ %
Revenue
2,668
2,166
2,971
+23.2%
-10.2%
EBITDA
306
218
600
+40.4%
-49.0%
PAT
-44.4
-73
251
+39.2%
-117.7%
EPS (₹)
-15.7
-23.5
25.1
NM
NM
NM = Not meaningful.
Commentary: Revenue is growing like a confident IPL opener, but profits are acting like a tail-ender in the death overs. After a strong Q1, Q2FY26 fell back into the red, thanks to higher depreciation (₹123 cr) and interest (₹211 cr). The EBITDA margin of 11% is okay-ish, but PAT margin of -1.6% says the financial innings ended with a hit wicket.
5. Valuation Discussion – Fair Value Range Only
Let’s play the valuation game three ways:
(a) P/E Method
Annualised EPS = latest quarter EPS × 4 = (-₹15.7) × 4 = -₹62.8 Since earnings are negative, P/E is not meaningful. Let’s skip before it depresses us.
