1. At a Glance
With revenue that’s gone from “blink and miss” to “gone with the wind,” Gita Renewable is technically in the renewable business, but financially? It’s generating more confusion than power. Despite a ₹119 price tag, its fundamentals scream ₹9.19.
2. Introduction with Hook
Imagine starting a solar plant, wind farm, hydro project… and then ghosting all of them. Gita Renewable is that company. With the drama of a daily soap and numbers that make even auditors sigh, it’s a classic “high expectations, zero execution” stock.
- Market Cap: ₹49 Cr
- Book Value: ₹31.9 (but trades at 3.74x)
- Last 5Y Sales Growth: -30% (reverse rocket)
- Last 5Y Profit Growth: +12% (from negative to less negative)
This is either the most misunderstood clean-tech turnaround play or a masterclass in staying listed without doing much.
3. Business Model (WTF Do They Even Do?)
Gita Renewable claims to be in the business of:
- Generating electricity from solar, wind, and hydro
- O&M services for renewable infra (their own and third party)
- No actual power sold in FY25
You read that right — in the March 2025 quarter, sales = ₹0.00 Cr. The “business model” is bordering on fictional at this point.
4. Financials Overview
| Year | Sales (₹ Cr) | Net Profit (₹ Cr) | EPS (₹) |
|---|---|---|---|
| FY22 | 0.24 | 2.38 | 5.79 |
| FY23 | 0.21 | 7.86 | 19.11 |
| FY24 | 0.08 | 0.26 | 0.63 |
| FY25 | 0.06 | -0.39 | -0.95 |
The EPS chart looks like a rollercoaster. The company’s profits swung wildly due to Other Income, not operations. Real revenue? A rounding error in Excel.
5. Valuation
- Book Value: ₹31.9
- CMP: ₹119
- P/B Ratio: 3.74x
- P/E: Not meaningful (due to losses)
Fair Value Range (EduInvesting Verdict):
Based on zero real earnings and evaporating sales:
FV Range: ₹15 – ₹35
Unless a green miracle happens, ₹100+ is just investor nostalgia.
6. What’s Cooking – News, Triggers, Drama
- FY25 Loss: ₹-0.39 Cr after 2 years of random profits
- Zero Sales in Q4 FY25: Yes, literally ₹0.00 Cr
- High Other Income in past years: Over ₹8 Cr in FY23!
- Promoter stake dipped from 73% to 69.91% over 3 years
- No dividends. Ever. (Even when they had profits)
The company is a soap opera where the plot changes every quarter — sometimes thriller, sometimes tragedy, mostly confusion.
7. Balance Sheet
| Metric | FY25 (₹ Cr) |
|---|---|
| Equity Capital | 4.11 |
| Reserves | 9.00 |
| Borrowings | 0.00 |
| Total Liabilities | 13.62 |
| Investments | 5.77 |
| Fixed Assets | 0.00 |
Key Takeaways:
- Debt Free? ✅
- Fixed Assets: Missing. The company claims to generate power but has zero fixed assets. Is this a green ghost company?
- Investments: ₹5.77 Cr = probably where the “income” came from.
8. Cash Flow – Sab Number Game Hai
| Year | CFO (₹ Cr) | CFI (₹ Cr) | CFF (₹ Cr) | Net Cash Flow |
|---|---|---|---|---|
| FY23 | 15.22 | 6.86 | -26.44 | -4.36 |
| FY24 | -0.83 | 0.79 | -0.01 | -0.04 |
| FY25 | -0.01 | 0.11 | -0.01 | 0.10 |
LOL Analysis:
- Cash from operations = near zero
- Financing = dead
- Investing = random
If this was a game of Monopoly, they’d be mortgaging Baltic Avenue for spare change.
9. Ratios – Sexy or Stressy?
| Metric | FY25 |
|---|---|
| ROE | -2.93% |
| ROCE | -2.93% |
| OPM | -833% |
| CMP / BV | 3.74x |
| Interest Cov. | Not applicable (no interest, no loans, no business either?) |
These aren’t just bad numbers — they’re “Why is this stock trading at ₹119?” numbers.
10. P&L Breakdown – Show Me the Money
| Year | Revenue | Op Profit | Net Profit | EPS |
|---|---|---|---|---|
| FY23 | 0.21 | -0.79 | 7.86 | 19.11 |
| FY24 | 0.08 | -0.42 | 0.26 | 0.63 |
| FY25 | 0.06 | -0.50 | -0.39 | -0.95 |
The only thing powering this company seems to be accounting creativity and nostalgia trades.
11. Peer Comparison
| Company | Market Cap (₹ Cr) | Sales (₹ Cr) | ROE % | CMP / BV | P/E |
|---|---|---|---|---|---|
| NTPC | 3,31,722 | 1,88,138 | 13.59 | 1.80 | 14.16 |
| Adani Green | 1,67,159 | 11,212 | 14.61 | 2.32 | 100.45 |
| SJVN | 38,854 | 3,072 | 5.79 | 2.74 | 47.5 |
| Gita Renewable | 49 | 0.06 | -2.93 | 3.74 | N/A |
You’re not supposed to be in the same comparison table as Adani Green if your annual sales can’t buy an SUV.
12. Miscellaneous – Shareholding, Promoters
| Category | Mar 2025 |
|---|---|
| Promoters | 69.91% |
| Public | 30.09% |
| FIIs / DIIs | 0.00% |
| No. of Shareholders | 13,170 |
- Promoter stake dipped by 3.14% in 3 years
- No institutional interest
- Retail is likely stuck or speculating
13. EduInvesting Verdict™
Gita Renewable isn’t just a renewable energy company — it’s a renewable disappointment machine. While the stock price shows optimism, the business shows minimal operational effort.
- Zero sales = Zero justification for price
- High P/B + negative earnings = Contradiction 101
- Past “Other Income” spikes are likely one-offs
Unless the company miraculously revives power generation, expect this stock to remain a trivia question on “what was retail thinking?”
Metadata
– Written by EduInvesting Research | 21 July 2025
– Tags: Gita Renewable, Green Energy, Penny Stocks, Zero Revenue Stocks, Audited Losses, Renewable Power, Delusional Valuations
