RIR Power Electronics Ltd Q2 FY26 – India’s Only Power Semiconductor Player Goes Nuclear with ₹618 Cr SiC Fab, 134% PAT Boom, and a P/E That Could Power an Entire Solar Park

1. At a Glance

Welcome to the only place in India where electrons are scared to slow down —RIR Power Electronics Ltd, formerly Ruttonsha, a tiny Gujarat-based company that just decided to challenge global semiconductor giants armed with soldering irons and government subsidies. The Q2 FY26 numbers? Electrifying. Revenue shot up36% YoYto ₹25.6 crore, while PAT exploded134%to ₹4.23 crore. But here’s the spicy detail: this company trades at aP/E of 185, which makes even overhyped AI stocks look humble.

With amarket cap of ₹1,687 crore, this ₹93 crore revenue firm is proof that India doesn’t need semiconductors imported anymore—it’ll just print them on passion and press releases. The Odisha government already threw in₹32.56 crore of fiscal support, and RIR’s ₹618 crore SiC (Silicon Carbide) plant is under construction — a project bold enough to make Taiwan nervous.

But before you imagine an army of engineers in clean suits, remember: this same company made ₹30 crore in sales just five years ago. So yes, the journey from diodes to “Digital India dreams” is very much in process — literally.

2. Introduction – From Diodes to Dreams

RIR Power Electronics started life makingboring but criticalcomponents — bridges, rectifiers, thyristors — the electrical equivalent of plumbing pipes. Then someone in management must’ve watched too many Tesla videos and said,“Why not us?”

So, they’re no longer content with being the “company that makes diodes for Indian Railways.” Nope. They now want to beIndia’s first Silicon Carbide semiconductor fab, promising high-power, high-efficiency chips for EVs, grids, and clean energy. This is like a local kirana store announcing it’ll open a 5-star hotel because it’s really good at managing inventory.

Still, give them credit. They’ve got theonly power semiconductor manufacturing capabilityin India right now, with technology collaborations fromInternational Rectifier (California)andSilicon Power Corporation (USA). And unlike most smallcaps that only talk about “vision,” RIR is actually spending — ₹618 crore kind of spending.

Their story is equal parts ambition, adrenaline, and accounting. But hey — at least they’re building stuff, not just tweeting about “India’s semiconductor mission.”

3. Business Model – WTF Do They Even Do?

Think of RIR Power Electronics as the electrician of India’s energy revolution. They make semiconductor devices likediodes, thyristor modules, and bridge rectifiers(43% of FY24 revenue) andpower equipmentlike rectifier panels, battery chargers, and substations (57% of FY24 revenue).

In simple terms:

• They build theheart of power electronics— tiny devices that convert, control, and deliver energy efficiently.
• Their products are used in everything fromaircraft testingtoelectric locomotives, fromhydrogen power systemstodefence radars.

And their upcomingSilicon Carbide (SiC) fab? That’s the holy grail of semiconductors — chips that can handle higher voltages, temperatures, and tantrums. These are crucial for EVs, solar inverters, and green hydrogen projects.

They’re alsoIndia’s only power semiconductor manufacturer— everyone else imports. That monopoly sounds good until you realize they sell to300+ clientslike ABB, BHEL, NTPC, Suzlon, Adani Power, GAIL, and SAIL — all big names, all notorious for squeezing margins.

So yes, they’re in a profitable niche, but it’s a niche that requires both brains and billions. Luckily, they’re halfway there.

4. Financials Overview

Annualised EPS: ₹2.12 → P/E ≈ 100x (though screener shows 185 due to past trailing EPS).

Commentary:This quarter, RIR’s margins sparked