1. At a Glance
Swan Energy (or Swan Corp Ltd as of July 2025) is the corporate equivalent of a buffet — textiles, LNG, petrochemical trading, real estate, warehouses, and now shipbuilding. FY25 wasn’t exactly a victory parade: sales flat at ₹5,009 Cr, operating margins in the red (-9.9%), and Q1 FY26 profits plunging 86% YoY. But debt is down to ₹2,802 Cr from nearly ₹5,000 Cr in FY23, the LNG terminal at Jafrabad is nearly ready, and the RNEL shipyard is back online.
2. Introduction
Founded in 1909 as Swan Mills, the company spent most of its life weaving cotton fabrics before deciding in the 21st century that the future wasn’t in cloth but inanything else that makes money.
Over the last decade, Swan has turned itself into a holding of ambitious bets:
- Agreenfield LNG terminalin Gujarat (India’s first FSRU-based import facility).
- Majority stake inVeritas India Ltd, a chemicals and petrochemicals distributor with UAE assets.
- RNEL shipyard– India’s largest dry dock, scooped from bankruptcy court in 2024.
- Commercial real estate leased to Google and Harman in Bengaluru & Hyderabad.
- Warehousing and a remnant textile business for old times’ sake.
Diversification looks bold on paper. The real question: can they stitch these pieces into a consistently profitable empire?
3. Business Model (WTF Do They Even Do?)
Distribution & Development (74% of H1 FY25 revenue)
- Veritas India trades petrochemicals and chemicals used in paints, oil refining, etc.
- Terminal operations in UAE with 1,70,000 MT capacity.
Energy (18%)
- LNG terminal at Jafrabad (10 MMTPA capacity, Phase 1 at 5 MMTPA nearing completion).
- 4.5 MMTPA booked on 20-year “use or pay” contracts with GSPCL, IOCL, BPCL, and ONGC.
Construction
(3%)
- 26.16 lakh sq. ft executed across metros.
- Leasing income ~₹31 Cr/year from marquee tenants.
Warehousing (3%)
- 6 lakh sq. ft assets via Veritas Logistics in Mumbai, Bengaluru, and Delhi.
Textiles (2%)
- Processing unit in Ahmedabad (1 lakh meters/day).
New Entry – Shipbuilding
- RNEL shipyard revived in Dec 2024; scope includes ship repair, heavy fabrication.
4. Financials Overview
| Metric | Latest Qtr (Jun’25) | YoY Qtr (Jun’24) | Prev Qtr (Mar’25) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 1,213 | 1,142 | 856 | +6.26% | +41.7% |
| EBITDA | 27 | 381 | 14 | -92.9% | +92.9% |
| PAT | 19.1 | 268 | -22 | -86.2% | NA |
| EPS (₹) | 0.61 | 4.43 | -0.57 | -86.2% | NA |
Commentary:Other income props up full-year profits, but operating margins remain fragile.
5. Valuation (Fair Value RANGE only)
P/E Method:EPS (TTM) = ₹20.3Industry P/E (Petrochemicals/Infra mix) = 15–20FV Range = ₹305 – ₹406
EV/EBITDA Method:EV = ₹14,809 CrEBITDA (TTM) ≈ ₹1,490 Cr (inflated by other income)Industry EV/EBITDA = 8–10FV Range = ₹380 – ₹475
DCF Method:Assuming LNG terminal ramps from FY27 with stable tolling income + RNEL monetisation, FV = ₹350 – ₹460
Fair Value
