1. At a Glance – The Drama in One Breath
RattanIndia Power Limited is that classic Indian power stock which refuses to die, refuses to thrive, and survives mostly because courts, regulators, and accountants keep it on life support. Market cap around ₹4,564 Cr, stock chilling near ₹8.51, trading almost exactly at book value (because book value itself is confused after a ₹10,659 Cr exceptional gain). Q3 FY26 shows profit, headlines scream turnaround, but scratch the surface and you realise most of the excitement came from derecognising a subsidiary that went into CIRP.
Installed capacity remains 2,700 MW thermal across Amravati and Nashik. Operationally stable, financially volatile, legally active. Debt has come down sharply versus history, but interest coverage is still meh. PLF and PAF slipped YoY, merchant power contribution is tiny, and receivables from MSEDCL still behave like a government office after lunch.
Is this a phoenix or just a well-dressed zombie? Let’s dig.
2. Introduction – From Indiabulls to Court Bulls
Incorporated in 2007 as Sophia Power, rebadged to Indiabulls Power, then finally becoming RattanIndia Power Limited, this company has seen more identity changes than a Bollywood actor in the 2000s.
Post group split, RattanIndia Power was left holding large thermal assets, long-term PPAs, and even longer debt tenures. For years, profits were negative, interest costs were savage, and investors aged faster than coal boilers.
FY25–FY26 marks a visible shift: debt
reduction, legal wins, and one massive accounting event. But before you shout “turnaround!”, remember—thermal power companies don’t turn around, they grind slowly.
3. Business Model – WTF Do They Even Do?
Very simple. Burn coal. Sell electricity. Argue with regulators. Repeat.
- Amravati Plant: 1,350 MW, 25-year PPA for 1,200 MW with MSEDCL
- Nashik Plant (Sinnar): Now effectively out of the picture due to CIRP
Revenue mix FY25:
- Sale of power: 78%
- Lease income: 22%
This is not a growth business. This is a cash-flow-harvesting machine—if tariffs, coal supply, and regulators cooperate (big “if”).
4. Financials Overview – Quarterly Reality Check
Quarterly Comparison (₹ Cr)
| Metric | Latest Qtr (Q3 FY26) | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 728 | 733 | 654 | -0.7% | 11.3% |
| EBITDA | 127 | 90 | 52 | 41% | 144% |
| PAT | 54 | 4 | -32 | 1153% | NA |
| EPS (₹) | 0.10 | 0.01 | -0.06 | NA | NA |
Annualised EPS (Q3 rule)
Average of Q1–Q3 EPS × 4 ≈ ₹0.25 (matches trailing EPS)
👉 Commentary:
Yes, profits improved. No, this is not explosive growth. Operating margins bounce quarter to quarter, driven
