Ganesha Ecoverse Limited

Industrials — Waste Management · BSE

₹24.19₹0.00 (0.00%)

DalalBaazaar Score

47 / 100

🟡 Moderate

Verdict

CAUTION

Risk

High

Driven by the company is currently loss-making, micro-cap size, which brings thin liquidity.

In simple words: The company is currently losing money, but sales are shrinking. Whether sales start growing again is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:10 pm

Caution warranted. Multiple fundamental metrics — flagged in red below — point to either valuation stretch, leverage risk, or weakening profitability. This doesn't mean avoid the stock outright, but it does mean the burden of proof is on the growth story to justify the current price.

Understanding the Business

Company site ↗

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

What does this company do?

Ganesha Ecoverse Limited engages in the trading of post-consumer PET bottle waste and scrap. The company also trades and sales in various kinds of plastic and textile products.

IndustryWaste Management

SectorIndustrials

Annual revenue₹0 Cr

How does it make money?

Turns over ₹0 Cr a year. Of every ₹100 of sales, about ₹-1439 reaches shareholders as profit, with ₹-1544 left at the operating level before interest, tax and depreciation.

EBITDA margin-1544.4%

Net margin-1439.3%

Who are its competitors?

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

LARSEN & TOUBRO LTD.P/E 30.1x · ROE 15.2%

SIEMENS LTDP/E 88.8x · ROE 10.5%

ABB INDIA LIMITEDP/E 92.6x · ROE 19.1%

What is its competitive advantage?Little sign of one

Returns on capital of -12.1% 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.

ROCE-12.1%

ROE-13.6%

Peer median ROE15.2%

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 +256% while net margin moved -55% 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+256%

Margin effect-55%

DalalBaazaar Score

47/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ No meaningful P/E — the company is lossmaking

Quality vs. Valuation

Company Quality

51/ 100

Average

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

Valuation

29/ 100

Expensive

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.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

No P/E — the company is lossmaking

P/E (Trailing)

Not meaningful

P/B

1.67x

EV/EBITDA

—

PEG

—

Dividend Yield

None

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from -3175.7% to -1544.4% over 3 years.
Return on equity is rising
ROE has improved from -40.2% to -14.6%.
Return on capital is rising
ROCE has improved from -15.5% to -12.1%.

🔴 What Needs Attention2

Debt is rising
Total debt is up 566% over 3 years — worth checking what it funded.
Free cash flow is negative
The business is not currently covering its capital spending from operations.

Red Flags

6 items require attention · 5 high · 1 watch

🔴Debt has risen sharplyFinancial
Total debt is up 566% over 3 years, from ₹2 Cr to ₹12 Cr.
🔴Thin interest coverageFinancial
Operating profit covers interest only -28.1x — little room if earnings dip.
🔴Free cash flow negative for 4 yearsFinancial
The business has not covered its capital spending from operations for several years running, which has to be funded externally.
🔴Profit up while operating cash flow fallsFinancial
Reported profit rose but cash generated by operations declined — worth checking whether earnings are being supported by non-cash items or working capital.
🔴The company is lossmakingFinancial
Net profit of -₹5 Cr in the latest reported year.
🟡Shareholders have been dilutedOwnership
Shares outstanding are up 51% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -3175.7% to -1544.4%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 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.
Several serious flags at once
5 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

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

1Revenue growth stays above 40% a year✓ 52.7% CAGR
Latest reported year was -86.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above -1546%✓ -1544.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹0 Cr
Profit that never becomes cash eventually stops being profit.
4Interest cover stays above 3x✗ -28.1x
How much operating profit can fall before interest stops being comfortably covered.
5ROCE stays above 8%✗ -12.1%
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

₹59 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

1.67x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹-2.12

Loss-making

Negative earnings per share — the business is losing money

ROE

-13.6%

Weak

Weak capital efficiency

ROCE

-12.1%

Weak

Low return on total capital employed

Debt/Equity

0.34x

Low

Conservative leverage

Revenue Growth (YoY)

-86.8%

Shrinking

Sales are contracting

Profit Growth (YoY)

64.9%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

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

Free Cash Flow

₹3 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹24.19

ROA

-0.3%

Weak

Assets generate little profit

Operating Margin

394.1%

Good

Healthy core-business profitability

Net Margin

0.0%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.31

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.88

Market-like

Moves roughly in line with the market

52W Range Position

36%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

23.7 / 24.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

52.2

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹0 Cr	₹6 Cr	₹7 Cr	₹0 Cr	+52.7%
EBITDA	-₹3 Cr	-₹0 Cr	-₹12 Cr	-₹6 Cr	—
EBITDA Margin	-3175.7%	-0.2%	-173.2%	-1544.4%	—
PAT (Net Profit)	-₹3 Cr	₹4 Cr	-₹15 Cr	-₹5 Cr	—
EPS	₹-1.98	₹2.59	₹-8.46	—	—
ROE	-40.2%	47.1%	-36.3%	-14.6%	—
ROCE	-15.5%	20.5%	-26.5%	-12.1%	—
Total Debt	₹2 Cr	₹2 Cr	₹2 Cr	₹12 Cr	+88.2%
Free Cash Flow	-₹1 Cr	-₹0 Cr	-₹0 Cr	-₹0 Cr	—

🟢 Revenue has grown at 52.7% a year over 3 years.

🟢 EBITDA Margin has risen from -3175.7% to -1544.4% over 3 years (+1631.3 pts).

🟢 ROE has risen from -40.2% to -14.6% over 3 years (+25.6 pts).

🟢 ROCE has risen from -15.5% to -12.1% over 3 years (+3.4 pts).

🔴 Total Debt has grown at 88.2% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹48 Cr

Total Liabilities

₹12 Cr

Total Debt

₹12 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

-₹0 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

24.3%

Peer Comparison

Company	P/E	ROE
LARSEN & TOUBRO LTD.	30.1x	15.2%
SIEMENS LTD	88.8x	10.5%
ABB INDIA LIMITED	92.6x	19.1%

Recent News

2 mixed4 general

Compare VINTRON INFORM with

Equitymaster, 15 Oct

Ganesha Ecoverse closes trading window ahead of Q2FY27 results

scanx.trade, 28 SeptResults

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

Ganesha Ecoverse passes all four AGM resolutions with requisite majority

scanx.trade, 29 Sept

Compare with

Equitymaster, 30 Sept

Ganesha Ecoverse approves merger with GESL Spinners

scanx.trade, 30 JunM&A

🟡Mixed / dependsAcquisitions change the balance sheet before they change the earnings. Look at what was paid, how it was funded, and whether debt rose.

GANESHA ECOVERSE LIMITED Share Price

Upstox, 26 Mar

Watch Items

Revenue growth is negative (-86.8%) on the latest reported period — check if this is one-off or a trend.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

🔴Business QualityWeak7.5/20

🟡Financial HealthAdequate11.7/20

🟢GrowthStrong13/20

🔴ProfitabilityWeak6.2/15

🔴ValuationDemanding5.1/15

🔴RiskHigh3.6/10

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you. 5 high-severity red flags sit above this conclusion and should be read first.

This thesis breaks if

✓Revenue growth stays above 40% a year52.7% CAGR
✓EBITDA margin holds above -1546%-1544.4%
✗Free cash flow remains positive-₹0 Cr
✗Interest cover stays above 3x-28.1x
✗ROCE stays above 8%-12.1%