EKI Energy Services Ltd Q2 FY26 – Carbon Credits, Cookstoves & Chaos: How the “Green Gold” Dream Turned into a Climate Comedy of Errors
1. At a Glance
Once upon a time, EKI Energy Services Ltd was the golden child of India’s carbon credit market — the darling of ESG investors, the Tesla of Indore. Today? It’s more like a carbon-neutral heartbreak. Trading at ₹103 a share (as of 2nd Dec 2025), this once ₹10,000 crore fantasy has been compressed into a modest ₹286 crore market cap — like the CO₂ it once promised to eliminate.
The company’s quarterly performance tells a grim but oddly entertaining story. Q2 FY26 (Sep 2025) sales came in at ₹35.06 crore — a tragic fall of 75.5% YoY — while the quarterly profit sank to a net loss of ₹2.88 crore, down 154% YoY. The company’s operating margin (OPM) for the latest quarter? A comical 5.11%, which is still a miracle compared to the earlier negative numbers that looked like someone had inverted a thermometer.
Debt? Barely ₹0.8 crore — which means they owe less to banks but more to confused shareholders. ROE stands at a depressing -3.64%, while ROCE gasps at 0.80%. Yet, the dividend yield is 1.93%, possibly as a nostalgic gesture from better times.
Market’s verdict? A stock trading at 0.74x book value, effectively telling investors, “At least the paper’s worth something.”
2. Introduction
EKI Energy once promised to make India carbon-neutral — not by planting trees, but by printing carbon credits faster than a photocopy shop prints Aadhaar cards. Founded in 2011, the company operates in carbon offsetting, climate advisory, and project implementation. At its peak, EKI was the face of a booming “green capitalism” wave — a poster child for corporate virtue signalling.
Fast forward to FY26, and the numbers look like a post-apocalyptic climate report. Revenue collapsed from ₹1,800 crore in FY22 to ₹263 crore in FY24, before slightly reviving to ₹406 crore in FY25. Profits? From ₹383 crore in FY22 to a loss of ₹129 crore by FY24. Basically, carbon neutral became profit neutral.
And if you think that’s bad, wait till you see their quarterly trajectory — it reads like a stand-up comic’s income chart. One quarter up, next quarter missing in action, followed by a mysterious “write-off” that makes auditors question reality itself.
But what truly sets EKI apart is its ambition. The company wants to save the planet while simultaneously saving its balance sheet — an ambitious task even Greta Thunberg would find exhausting.
3. Business Model – WTF Do They Even Do?
EKI operates in one of the most exotic markets in the world — carbon credits. These are basically “guilt certificates” companies buy to offset their pollution. If Reliance emits 1 ton of CO₂, EKI finds someone who reduced 1 ton of CO₂ somewhere else — maybe a cookstove project in Africa — and sells that offset to them. Boom! Everyone sleeps guilt-free.
Their services range from carbon credit registration, validation, verification, issuance, and trading — think of it as Tinder for polluters: matching industrial sinners with environmental saints.
Beyond consulting, EKI also manufactures biomass cookstoves at its Nashik plant, claiming to be the largest producer globally. Over 2 million cookstoves distributed to date — half saving the planet, half collecting dust in warehouses.
The company also runs a climate investment arm, a sustainability advisory unit, and even a Category IV power trading subsidiary (EKI Power Trading Pvt. Ltd.) — though they recently decided to sell 49% of it for ₹5.145 crore. Talk about trading power for pocket change.
So in essence, EKI’s business model is like a thali — a bit of everything: advisory, credits, cookstoves, and now, apparently, AI-driven CRM through its ₹10 crore stake in Webricks Innovations.
4. Financials Overview
Let’s look at the comedy that is EKI’s quarterly results (₹ in crore):
