Ujaas Energy Ltd Q1 FY26 – Market Cap ₹3,240 Cr, Sales Crash -58% QoQ, P/E 431. From Insolvency Court to EV Dreams
1. At a Glance
Welcome to the most dramatic “comeback story” on Dalal Street — Ujaas Energy Ltd. Market cap ₹3,240 crore, CMP ₹292, and a P/E so insane (431x) that even Adani Green looks like value investing. FY25 sales were a microscopic ₹23 crore, but PAT clocked ₹7.5 crore, giving it a net margin of 31% — not because solar is magical, but because “Other Income” played fairy godmother.
Stock has given 278% returns in 3 years, which makes sense only if you believe insolvency courts are new incubators. ROE is around 9.7%, book value is ₹4.8/share, and CMP/BV ratio is 61x — basically, the market is valuing this company like it’s selling iPhones, not struggling solar parks. Debt is down to ₹24 crore from ₹105 crore two years ago, thanks to a fancy NCLT-approved haircut.
In short: once bankrupt, now a multibagger. Is this solar power or sheer market delusion?
2. Introduction
Some companies make money by innovating. Some make money by cost-cutting. And then there’s Ujaas Energy, which makes money by surviving courtrooms.
Founded in 1999, Ujaas once dreamt of being India’s solar champion. By 2018, it was juggling projects, debt, and defaults like a reality-show contestant. By 2020, NCLT stepped in — “beta, ab bas.” Finally, in Oct 2023, the SVA Family Welfare Trust and M&B Switchgears swooped in, cleaned the balance sheet, and became new promoters with a 95% stake. Old equity? Sliced and diced like onions in a roadside pav bhaji stall.
Fast forward to FY25: sales shrank to ₹23 crore (smaller than some kirana shops’ annual turnover), but profits turned positive. Why? Because debt was written off and “Other Income” did all the heavy lifting. Investors, however, are treating Ujaas like it’s Tesla + NTPC + Adani Green rolled into one.
Question for you, dear reader: when you see a company with 431x P/E and -10% sales growth TTM, do you call it turnaround or tulip mania?
3. Business Model – WTF Do They Even Do?
Ujaas has more business verticals than actual revenues:
a) Solar Power Plant Ops (56% of revenue): They own a tiny 14 MW portfolio of solar plants. To put this in perspective, NTPC sneezes out more MW in a week.
b) Manufacturing & Sale of Solar Systems (33%): They’ve set up 235 MW cumulative capacity for clients, but current sales are so low that even rooftop solar installers in Delhi might outsell them.
c) EV Segment (~11%): Launched a 2-wheeler EV called E-Spa. Because why not? Every failed infra company is now suddenly a “green EV play.”
Product suite includes:
Ujaas Park: Set up solar units in pre-developed parks.
Ujaas My Site: Installations for corporates.
Ujaas Home: Rooftop solutions.
Transformers: Because why stop at solar, when you can make transformers up to 25,000 KVA?
It’s like a restaurant menu with 40 dishes but only one order per day.
4. Financials Overview
Quarterly Snapshot (₹ Crore)
Source table
Metric
Q1 FY26 (Jun’25)
Q1 FY25 (Jun’24)
Q4 FY25 (Mar’25)
YoY %
QoQ %
Revenue
2.65
6.29
7.77
-57.9%
-65.9%
EBITDA
-3.24
0.54
0.62
-700%
-622%
PAT
2.49
3.82
0.30
-34.8%
+730%
EPS (₹)
0.22
0.17
0.02
+29.4%
+1000%
Commentary: Sales collapsed by 58% YoY, EBITDA went negative, yet PAT came positive. How? Magic wand = “Other Income” (₹6.5 crore this quarter). Without that, results look uglier than your cousin’s failed MBA project.
1. P/E Based: EPS (TTM) = ₹0.5. Industry PE ~30. Fair Value = 0.5 × (20–30) = ₹10–15.
2. EV/EBITDA: EV = ₹3,261 crore. EBITDA (TTM) ~₹10 crore (inflated by other income). EV/EBITDA = 320x vs peers at ~12x. Fair EV at 12x = 120 crore → Equity Value ≈ 100 crore → Per share ≈ ₹9.
