Veerhealth Care Ltd: ₹19 Cr Sales, 85x P/E – Baba Ramdev’s Toothpaste Chhota Bhai?
1. At a Glance
Veerhealth Care Ltd is that micro-cap pharma–cum–ayurveda company which promises you glowing skin, silky hair, and cavity-free teeth while giving its shareholders cavities in patience. With a market cap of just ₹44 Cr, sales of ~₹19 Cr, and a P/E fatter than a Diwali ladoo box (85.8x), this Vapi-based manufacturer is pitching itself as India’s D2C herbal toothpaste and personal care mini-army. From Morocco to Somalia, their products are literally travelling more than most Indian middle-class families.
2. Introduction
Imagine a company that began life in 1992 as a leasing firm (yes, “Niyati Leasing Ltd”). Fast forward to 2025, it’s now trading ayurvedic potions under the brand Ayuveer, and exporting toothpaste named CALORAL to Morocco. If this feels like Netflix’s “Narcos” but with herbal paste instead of cocaine, you’re not wrong.
The company sells hair care, skin care, body care, oral care – basically every “care” except for shareholder care, considering the ROE of barely 1.8%. Its grand expansion dream? A ₹33 Cr capex with ₹8 Cr debt funding, and a rights issue of 99,99,238 shares. Yes, the same company with ₹0.5 Cr profit is raising more than 60x its PAT for expansion. Ambition ka overdose!
Still, Veerhealth does have certifications (ISO, GMP, USFDA approved in FY24), exports to 15+ countries, and bags small orders like a kirana shop filling daily bills. But then, Q1 FY26 PAT is ₹0.24 Cr – enough to buy a South Mumbai flat’s bathroom.
Question for you: Is this the next Patanjali or just another “haldi doodh” story?
3. Business Model (WTF Do They Even Do?)
Veerhealth runs on three simple engines:
Contract Manufacturing & White Labelling – They make products for others. Think toothpaste outsourcing for global pharmacies. Low margins, high dependence, but keeps the factory lights on.
D2C Brand – Ayuveer – Their “own” brand selling everything from veggie toothpaste (pure shakahari paste, no anda, no pyaaz) to hair oils. Mostly online. Question is: can they compete with Himalaya, Dabur, and Patanjali, who spend more on ads than Veerhealth’s entire revenue?
Exports – Their biggest flex. The Morocco toothpaste launch is marketed like India’s moon landing. They ship to Yemen, Somalia, Tanzania – markets where toothpaste is probably less competitive than India’s Colgate–Dabur warzone.
So, in short: they manufacture for others, dream of building their own brand, and act as India’s herbal toothpaste ambassador to struggling African economies. A good hustle, but scale ka kya scene hai?
4. Financials Overview
Source table
Metric
Latest Qtr (Jun’25)
YoY Qtr (Jun’24)
Prev Qtr (Mar’25)
YoY %
QoQ %
Revenue
₹4.49 Cr
₹2.06 Cr
₹5.62 Cr
118%
-20.1%
EBITDA
-₹0.03 Cr
-₹0.02 Cr
-₹0.16 Cr
–
–
PAT
₹0.24 Cr
₹0.12 Cr
-₹0.10 Cr
100%
Profit turnaround
EPS (₹)
0.12
0.06
-0.05
100%
–
Commentary: Revenue doubled YoY but dipped QoQ (seasonal toothpaste demand? Summer cavities?). EBITDA is still negative – margins are like toothpaste squeezed to the last drop. PAT improved, but annualised EPS is ₹0.48. At CMP ₹21.9, P/E is a comical 45x annualised. Still, Screener shows trailing 85x. Either way, baba, it’s expensive paste.
5. Valuation (Fair Value RANGE only)
P/E Method: Sector median ~33x. Apply on EPS ₹0.48 → FV range ₹16 – ₹18.
EV/EBITDA: EV ~₹47.5 Cr, EBITDA TTM ₹1.95 Cr → EV/EBITDA ~24.4x. Peer median ~15x → FV ~₹12 – ₹15.
