At a Glance Inox Wind Energy has morphed from perennial losses to a ₹425 Cr profit in FY25, riding a 5-year sales CAGR of 81%. Debt down by ₹578 Cr, merger shuffle with Inox Wind Ltd, and valuations at 86× trailing EPS raise eyebrows. KMP include Bhavesh Ganatra (CEO) and Debashish Roy (CFO).
1. Introduction with Hook
Five years ago, Inox Wind Energy (IWEL) was bleeding cash like a leaky turbine.
Today? It’s posting profits and commanding a P/E of 86.7× – more dizzying than its blades.
Is this a genuine turnaround or just market hype blowing in the wind? Let’s dissect.
2. Business Model (WTF Do They Even Do?)
Wind farm EPC: Design, procurement, erection, and commissioning of on-shore wind farms.
Turbine Manufacturing: In-house production of blades, towers, nacelles under INOXGFL Group.
Financing Cash Flow: +₹277 Cr (primarily net debt repayments and merger restructuring).
Net Cash: +₹9 Cr – from near zero to positive.
8. Ratios – Sexy or Stressy?
Ratio
FY23
FY24
FY25
Debtor Days
414
238
276
Inventory Days
–
–
238
Payable Days
–
–
188
Cash Conversion Cycle
414
238
326
ROCE (%)
–9%
4%
11%
Debtor Days: Flickering around 276 days – working capital hog alert.
Cash Cycle: 326 days – tightrope walking between receivables and payables.
ROCE Jump: From negative in FY23 to 11% in FY25 – respectable for an EPC provider.
9. P&L Breakdown – Show Me the Money
Revenue Mix FY25:
EPC Services: 65%
Turbine Sales: 25%
O&M & Spares: 10%
Cost Structure:
Raw Materials & Purchased Components: ~70% of sales.
Employee Expenses: 8%.
Other Overheads: 15%.
10. Peer Comparison – Who Else in the Game?
Company
CMP (₹)
P/E
Mar Cap (₹ Cr)
ROCE (%)
Suzlon Energy
65.92
43.2
89,576
32.4
ABB India
5,756.5
64.6
122,030
38.7
BHEL
258.7
168.8
90,098
4.5
Inox Wind Energy
10,293
86.7
12,400
11.4
Takeaway: IWEL’s P/E is top-quartile among peers, yet its market cap is a fraction of ABB or BHEL – a valuation paradox.
11. Miscellaneous – Shareholding, Promoters
Promoter Holding: 69.5% (steady since Mar 2024).
FIIs: 3.7% (down from 5.2%).
DIIs: 2.5% (up from 0.8%).
Public Float: ~24.3%.
KMP:
Bhavesh Ganatra – WTD & CEO
Debashish Roy – CFO
12. EduInvesting Verdict™
Verdict Tone: Neutral wit, zero buy/sell nudges.
Summary: Inox Wind Energy has executed a textbook turnaround in FY25, delivering profit, margin expansion, and debt reduction. However, the stock’s sky-high valuation (86× P/E) and extended working capital cycle warrant caution. The merger shuffle and government incentives provide near-term tailwinds, but long-term growth hinges on order execution and capital discipline.