EduInvesting.in | May 12, 2025
Remember that stock tip you got from your friend’s cousin’s gym trainer’s barber? You know, the one that said “Buy GEM Enviro, it’s the next multibagger bro. It’s in ESG. ESG = Riches.”?
Well, let’s just say the only “green” GEM delivered was the colour of envy when investors saw the actual FY25 results.
📉 FY25 Numbers: The Only Thing These Guys Are Managing is Expectations
Let’s break down this performance gem (pun intended):
| Particulars | FY25 (₹ in Lakhs) | FY24 (₹ in Lakhs) | YoY Change |
|---|---|---|---|
| Revenue from Operations | 5,200.61 | 3,014.68 | +72.5% |
| Total Income | 5,708.31 | 3,178.68 | +79.5% |
| Total Expenses | 5,058.01 | 2,527.09 | +100.1% |
| Profit Before Tax | 650.30 | 651.87 | -0.24% |
| Profit After Tax | 476.20 | 508.66 | -6.4% |
| EPS (Diluted) | ₹2.74 | ₹5.37 | -48.9% |
Yup. You read that right.
Revenue doubled. Profits fell. EPS halved.
What kind of black magic accounting is this? Oh wait, it’s just bad margin control. Or maybe too many “consultants” on the payroll?
🕵️ The WhatsApp Pump & Dump Special
This stock was pushed like a black salwar suit during Diwali:
“ESG theme bhai, solid multibagger. Buy now before institutions come.”
Spoiler alert: the only thing that came was regret. Institutions didn’t touch it. Retailers bought the top. And now we have this masterpiece of mediocrity.
Let’s be honest — this wasn’t investing, this was charity with extra steps.
🧻 Expenses on the Rise Like a Delhi Summer
Let’s zoom in on the expenses because apparently that’s where the action is:
- Operating Expenses: ₹2,252 lakh (up from ₹1,428 lakh)
- Employee Benefits: ₹1,309 lakh (up from ₹690 lakh)
What are they paying for? A gold-plated recycling bin?
They call themselves “waste management experts,” but clearly someone forgot to manage the financial waste.
😭 EPS Collapse: From 5-Star to 2-Rupee Chai
- FY24 EPS (Diluted): ₹5.37
- FY25 EPS (Diluted): ₹2.74
That’s a 49% drop in earnings per share. If you’d held this expecting compounders, you just got compounded… by disappointment.
Your ₹50,000 “dream ESG investment” is now worth slightly more than your 2013 microwave.
🧪 What Do They Actually Do?
GEM Enviro is into:
- Plastic waste recycling ♻️
- ESG services 📉
- Carbon credit workshops for bored corporates 🌍
Sounds cool, right? But remember — sustainability is good for the planet, not necessarily for your portfolio.
They launched a subsidiary called “GEM Green Earth Fine Pvt Ltd” in March 2025. Classic move: when in doubt, start a new company and issue a press release. Boom — stock up 10%. Then reality hits.
🧂 EduInvesting’s Honest Take:
“GEM Enviro promised sustainability, but what they really sustained is investor losses. Their only recycling was in PowerPoint decks and reused jargon. ESG was just the glitter — and this, friends, was a full-blown pump, dump, and disappear.”
🔍 EduInvesting Investor Spice Rating: 1.9/5
| Category | Rating (out of 5) |
|---|---|
| Revenue Growth | 4.0 |
| Profit Growth | 1.0 |
| Transparency | 2.0 |
| Valuation | 2.0 |
| Hype Level | 🔥🔥🔥🔥🔥 |
📉 Final Words:
If you bought this based on WhatsApp tips, don’t feel bad. Even seasoned investors sometimes fall for a shiny green brochure. But maybe next time ask:
“If it’s so good, why are they emailing it to my uncle at 3AM?”
