BF Utilities Ltd, the Kalyani Group’s lesser-known sibling, is currently trading at ₹809 with a market cap of ₹3,048 Cr. The share has given a 3-year CAGR of ~27%, but last year alone saw a –17.5% return. Debt is barely ₹10.5 Cr, almost debt-free, which looks good until you notice the P/E of 622—yes, six hundred twenty-two, higher than your blood pressure after a toll booth fight. Sales last year stood at ₹18.9 Cr with a PAT of ₹4.9 Cr, leading to a juicy 86% NPM, but most of that comes from “other income” rather than core operations. Return on equity: 10.2%, return on capital employed: 12.8%. Book value is ₹43.6, meaning the stock trades at 18.6x book. Basically, this is less about utilities and more about investor faith in the Nandi Infrastructure projects and highway cash flows.
2. Introduction
Picture this: You’re told BF Utilities is a “power company.” You imagine giant turbines, transmission lines, and green energy vibes. But reality check—it’s more about toll roads in Karnataka and investments in subsidiaries with names like Nandi Economic Corridor. The windmills? They exist, yes, generating a modest 18.33 MW. But the real meat of the business is infrastructure projects tied to the Bengaluru-Mysuru corridor.
Investors in BF Utilities are basically betting on a cocktail of wind energy, road infrastructure annuities, and the occasional sprinkling of “other income” from investments. The company is almost debt-free, which sounds like sainthood in India Inc., but then you look at the P/E of 622 and wonder: are people buying the stock or buying tickets to Lalit Modi’s next IPL revival attempt?
The business has seen management churn (chairperson resignations, auditors raising eyebrows on a ₹37 Cr advance), but the stock still finds loyalists. Maybe because it’s part of the Kalyani family—where Bharat Forge is the star child, and BF Utilities is the cousin who surprises you by turning up rich at weddings.
3. Business Model – WTF Do They Even Do?
Let’s simplify. BF Utilities operates two segments:
Wind Power: 18.33 MW capacity across Maharashtra (Padekarwadi, Gharewadi, Pawangaon, Maloshi, Kadve Khurd). Around 51 turbines of 230 kW and 11 turbines of 600 kW. That’s about enough to light up Pune’s Koregaon Park cafes. 95% of standalone revenue in FY21 came from wind, but on consolidated books, it’s barely 4%.
Infrastructure (Subsidiaries): This is where the money is. Subsidiaries like Nandi Economic Corridor Enterprises Ltd (80% revenue) and Nandi Highway Developers Ltd (18% revenue) drive consolidated numbers. Translation: Tolls and annuities, not turbines, keep the company alive.
Add in carbon credits (14.65 MW registered under CDM) and some investments in mutual funds (~₹226 Cr in FY21), and you get a company that is more of a holding play than a pure utility.
Think of BF Utilities less as “electricity company” and more as “Kalyani Group’s road-and-wind side hustle.”
4. Financials Overview
Source table
Metric
Latest Qtr (Jun’25)
YoY Qtr (Jun’24)
Prev Qtr (Mar’25)
YoY %
QoQ %
Revenue (₹ Cr)
5.77
5.45
2.37
+5.9%
+143.6%
EBITDA (₹ Cr)
–2.0
0.07
–0.56
N/A
N/A
PAT (₹ Cr)
6.42
17.5
0.07
–63.3%
N/A
EPS (₹)
1.7
4.6
0.02
–63.3%
N/A
Commentary: Revenue is small but stable. PAT swings like Virat Kohli’s form in England—good one quarter, disaster the next. EBITDA negative means operations aren’t shining; PAT is mostly “other income.” Annualized EPS at ₹6.8 gives a “normal” P/E of ~119 if sustained. But the headline 622x comes from TTM chaos.
5. Valuation Discussion – Fair Value Range
P/E Method Annualized EPS ~₹6.8. Apply sector multiple of 30–40 (infra/renewables): fair value = ₹200–₹270.
EV/EBITDA EV = ₹3,023 Cr. EBITDA TTM = –₹3 Cr (negative). Ratio = nonsense. Ignore.
