Indosolar Ltd Q1 FY26 – From NCLT Patient to Solar Rockstar: 420% ROE on Paper, But 52x Book Value in Reality
1. At a Glance
Indosolar is that Bollywood actor who vanished after one flop, joined a rehab reality show, and suddenly came back as an OTT superstar. Manufacturing plant shut since 2018, admitted under CIRP, handed over to Waaree Energies in 2022, and magically relisted in 2025—now reporting ₹518 crore sales and ₹177 crore PAT. Stock price at ₹506 with 420% ROE? Bhai, even Munna Bhai would say “yeh kaunse medicine se aata hai?”
2. Introduction
This is not a normal company story; this is the stuff of Netflix docuseries. Founded in 2005 to make solar PV cells, Indosolar went into a coma in 2018, admitted to NCLT ICU, and then Waaree Energies pulled out the defibrillator. Today, Indosolar is back on the bourses with an ROCE of 77% and a stock that went 3x in months.
But let’s not confuse the climax—this is still a company with just 4.16 crore shares, 95% promoter holding (read: Waaree monopoly), and only 5% in public hands. Price-to-book at 52.1 screams “crypto-level valuation.”
So how did a company with zero revenues till FY23 suddenly clock ₹518 Cr sales in FY25? Simple: Waaree reverse-injected its business into Indosolar. Think of it as a patient surviving because the doctor donated his own kidney.
The story is equal parts revival, restructuring, and jugaad. If you like drama, this stock is basically the “Kasautii Zindagii Kay” of the solar sector.
3. Business Model – WTF Do They Even Do?
On paper, Indosolar manufactures:
Solar Cells
Solar Modules
Solar Solutions
In reality, until FY23, their business model was: “sit on broken machines in Greater Noida and wait for a miracle.” Enter Waaree Energies. Now Indosolar functions as Waaree’s listed arm, handling large module orders and doing related party transactions worth hundreds of crores:
Sale of modules: ₹750 Cr
Purchase of modules: ₹500 Cr
Raw material & services: ₹25 Cr
Capital goods: ₹10 Cr
Basically, Indosolar today is less a standalone company and more like Waaree’s proxy, with public shareholders holding less than 5%. Business model? Whatever Waaree decides.
Question for you: If the promoter owns 95% and does all the deals, are you an investor or just an extra in their solar film?
4. Financials Overview
Source table
Metric
Latest Qtr (Jun’25)
YoY Qtr (Jun’24)
Prev Qtr (Mar’25)
YoY %
QoQ %
Revenue (₹ Cr)
195
0
192
N/A
1.6%
EBITDA (₹ Cr)
64
-1
50
N/A
28%
PAT (₹ Cr)
117
-5
40
N/A
193%
EPS (₹)
28.07
-1.20
9.62
N/A
192%
Commentary: From -₹5 Cr loss last year to ₹117 Cr PAT now. If this were a cricket match, it’s like a batsman on duck for five years suddenly hitting a triple century. Annualised EPS = ₹112 → P/E just 4.5 on this run rate. But with such history, trusting these numbers is like trusting Baba Ramdev’s WhatsApp forwards.
5. Valuation Discussion – Fair Value Range Only
Method 1: P/E Multiple
EPS (TTM): ₹42.4
Assume range 10x–20x (industry trades at 50x but Indosolar history is shady).
