1. At a Glance – Blink and You’ll Miss the Debt
JSW Energy today is that gym bro who says “I’m cutting carbs” while secretly eating butter chicken. Market cap sits at ₹83,954 Cr, stock chilling around ₹478, down ~10% in 3 months, and the market is clearly asking: “Boss, renewable ka future hai… but EMI ka kya?”
Latest quarterly numbers look flashy on the surface—₹4,082 Cr revenue (+67% YoY) and ₹529 Cr PAT (+173% YoY). EBITDA margins are flexing at ~50%, which for a power utility is like wearing aviators indoors.
But scratch a little, and you meet the real star of the show: Debt = ₹69,104 Cr, with Debt/Equity at 2.37 and Interest Coverage at 1.46. That’s not leverage—that’s emotional dependence on lenders.
ROCE is 6.49%, ROE 7.41%, both politely waving from below the cost of capital. Meanwhile, the stock trades at 36× P/E, when the sector median is closer to 24×.
So the pitch is simple: “Trust the renewable transition, ignore the debt for now.”
Question is—are you buying the story, or are you reading the footnotes?
2. Introduction – From Thermal Titan to Green Evangelist
JSW Energy is the power arm of the JSW Group, which means scale, political capital, and the ability to raise money faster than you can say “preferential allotment”. Historically, this was a thermal-heavy utility, happily burning coal and printing steady cash flows.
But then renewables happened. ESG happened. Valuation multiples happened. And suddenly, every power company wanted to become a climate influencer.
Between FY22 and H1 FY25, thermal contribution dropped from 75% to 63%, while renewables climbed from 23% to 36%. This isn’t accidental—it’s strategy. JSW Energy wants to be seen less like NTPC and more like Adani Green (valuation-wise, not headline-wise).
And to be fair, execution has been aggressive. Wind, solar, hydro, storage, green hydrogen—if it generates electrons without smoke, JSW wants a piece of
it.
But transitions are expensive. Very expensive. Which explains why net debt ballooned from ₹6,963 Cr (FY22) to ₹24,875 Cr (Q2 FY25 net), while gross borrowings touched ₹69,104 Cr.
So this story is not about whether JSW Energy can build assets. It’s about whether those assets can earn enough before the interest meter starts screaming.
3. Business Model – WTF Do They Even Do?
Think of JSW Energy as a buffet counter of electrons.
🍗 Thermal Power
Total thermal capacity stands at 3,508 MW, spread across Ratnagiri, Barmer, Vijayanagar, Utkal, and Nandyal. Add to that the 1,600 MW Salboni thermal project (West Bengal)—freshly tied up under a long-term PPA. Coal may be uncool, but it still pays the bills.
🌬 Renewable Energy
Operational renewable capacity is 4,232 MW, split across:
- Wind: 2,166 MW
- Hydro: 1,391 MW
- Solar: 675 MW
These assets run on long-term PPAs, which means predictable cash flows and fewer “DISCOM ne payment roka” nightmares.
🔋 Storage & New Age Stuff
JSW Energy is going all-in on storage:
- 1 GWh battery storage for SECI
- 12 GWh pumped hydro project in Maharashtra
Total locked-in storage: 16.2 GWh, with dreams of 40 GWh by 2030.
And yes, there’s green hydrogen too—3.8 KTPA offtake agreement with JSW Steel, commissioning expected by
