Epic Energy Limited

Industrials — Electrical Equipment & Parts · BSE

₹41.85−₹2.15 (−4.89%)

DalalBaazaar Score

64 / 100

🟢 Good

Verdict

NEUTRAL

Risk

Moderate

Driven by negative free cash flow, micro-cap size, which brings thin liquidity, falling profits.

In simple words: The business is earning a fairly low return on the money invested in it, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:57 pm

Understanding the Business

Company site ↗

The 60-second version of Epic Energy Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Epic Energy Limited provides energy solutions in India. It operates through Power Conditioners & Savers, and Renewable Energy and Energy Saving Appliances segments.

IndustryElectrical Equipment & Parts

SectorIndustrials

Employees10

Annual revenue₹5 Cr

How does it make money?

Turns over ₹5 Cr a year. Of every ₹100 of sales, about ₹14 reaches shareholders as profit, with ₹16 left at the operating level before interest, tax and depreciation. Each of its 10 employees supports ₹48.7 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹48.7 lakh

Who are its competitors?

The closest listed comparisons in its industry are SIEMENS LTD, ABB INDIA LIMITED, HAVELLS INDIA LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 4.6% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE17.1%

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +323% while net margin moved -138% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+323%

Margin effect-138%

DalalBaazaar Score

64/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of -0.48 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

70/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

54/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

46.0x

2Y Median

43.6x

28 monthly readings · mean 74.9x · range 18.8x–239.0x

Sector Median

88.8x

median of 3 sector peers

🟡Currently trading close to its 2y median of 43.6x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 48% below the peer median of 88.8x.

vs. its own history

Fair

43.6x median over 28 months · +5%

vs. sector peers

Cheap

88.8x median of 3 peers · -48%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

45.9x

PEG

—

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from -24.2% to 15.6% over 3 years.
Return on equity is rising
ROE has improved from -6.8% to 5.2%.
Return on capital is rising
ROCE has improved from -7.4% to 4.6%.
Very low debt
Debt/Equity of 0.13x leaves the balance sheet with plenty of headroom.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

1 item require attention · 1 watch

🟡Free cash flow is negativeFinancial
Free cash flow was -₹2 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -24.2% to 15.6%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Cheaper than its peers
It trades 48% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 46% a year✓ 61.8% CAGR
Latest reported year was 134.3%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 14%✓ 15.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA stays below 2x✗ 2.3x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
4Free cash flow remains positive✗ -₹2 Cr
Profit that never becomes cash eventually stops being profit.
5ROCE stays above 8%✗ 4.6%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

6 / 11 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✗ Profit growing year-over-year
✗ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

3 good · 3 neutral · 5 weak

Market Cap

₹33 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

46.0x

Expensive

Expensive — verify against sector peers

P/B Ratio

2.26x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹0.91

Profitable

Profitable on a per-share basis

ROE

5.2%

Weak

Weak capital efficiency

ROCE

4.6%

Weak

Low return on total capital employed

Debt/Equity

0.13x

Low

Conservative leverage

Revenue Growth (YoY)

134.3%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-70.0%

Falling

Profits are shrinking

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹2 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

1.3%

Weak

Thin margins leave little room for error

Net Margin

10.3%

Good

Strong bottom-line conversion

Current Ratio

1.44

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

-0.48

Defensive

Steadier than the market

52W Range Position

55%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

36.9 / 34.8

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

68.2

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1 Cr	₹3 Cr	₹4 Cr	₹5 Cr	+61.8%
EBITDA	-₹0 Cr	₹1 Cr	₹1 Cr	₹1 Cr	—
EBITDA Margin	-24.2%	16.9%	31.8%	15.6%	—
PAT (Net Profit)	-₹0 Cr	₹0 Cr	₹1 Cr	₹1 Cr	—
EPS	₹-0.6	₹0.5	₹1.81	₹0.96	—
ROE	-6.8%	5.4%	16.2%	5.2%	—
ROCE	-7.4%	4.8%	11.4%	4.6%	—
Total Debt	—	—	₹1 Cr	₹2 Cr	—
Free Cash Flow	₹0 Cr	₹0 Cr	₹0 Cr	-₹2 Cr	—

🟢 Revenue has grown at 61.8% a year over 3 years.

🟢 EBITDA has turned positive, from -₹0 Cr to ₹1 Cr.

🟢 EBITDA Margin has risen from -24.2% to 15.6% over 3 years (+39.8 pts).

🟢 PAT (Net Profit) has turned positive, from -₹0 Cr to ₹1 Cr.

🟢 EPS has turned positive, from ₹-0.6 to ₹0.96.

🟢 ROE has risen from -6.8% to 5.2% over 3 years (+11.9 pts).

🟢 ROCE has risen from -7.4% to 4.6% over 3 years (+12.0 pts).

🔴 Free Cash Flow has turned negative, from ₹0 Cr to -₹2 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹20 Cr

Total Liabilities

₹7 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹2 Cr

Capex

-₹4 Cr

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

58.5%

Corporate Actions

Ex-Dividend Date

20 Sept 2012

Peer Comparison

Company	P/E	ROE
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%
HAVELLS INDIA LIMITED	43.5x	17.1%

Recent News

2 mixed4 general

EPIC ENERGY LTD. Share Price

Upstox, 05 May

Epic Energy Ltd. Peer Comparison – Compare with Others

Value Research, 30 Aug

Epic Energy discloses AGM voting results; all resolutions pass

scanx.trade, 22 SeptResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Epic Energy Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 30 Aug

Epic Energy Limited Reports Q3 FY26 Financial Results with Strong Revenue Growth

scanx.trade, 14 FebResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

SOLLFEGE SMART ELECTRONICS LTD. Stock/Share price , NSE/BSE Forecast News and Live Quotes

Equitymaster, 09 Oct

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongFinancial Health · Growth

MiddlingBusiness Quality · Profitability · Valuation

WeakRisk

Points for each in the Score ↑

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself.

3 of 5 tripwires tripped — Debt / EBITDA stays below 2x; Free cash flow remains positive; ROCE stays above 8% · see Key things to watch ↑