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Stakeholdersβ Education | Corporate Governance Research | Corporate Governance Score | Proxy Advisory
STAKEHOLDERS EMPOWERMENT SERVICES
1 | P A G E
SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
URJA GLOBAL LTD. www.urjaglobal.in
Urja Global Ltd. NSE Code - URJA TABLE 1 - MARKET DATA (STANDALONE) (AS ON 01ST DECEMBER, 2017)
Sector - Trading NSE Market Price (`) 3.45 NSE Market Cap. (βΉCr.) 196.29
Face Value (`) 1.00 Equity (` Cr.) 50.72
Business Group β N.A. 52 week High/Low (βΉ) 3.45/0.80 Net worth (βΉCr.)* 123.05
Year of Incorporation - 1992 TTM P/E (TTM) 172.50 Traded Volume (Shares) 46,279
TTM P/BV 1.60 Traded Volume (lacs) 1.60
Registered Office - Source β Capital line, TTM - Trailing Twelve Months, N.A. - Not Applicable, * As on 30th September, 2017
487/63 1st Floor, COMPANY BACKGROUND
National Market Peeragarhi, Urja Global Limited (Urja) is an India-based company, which is engaged in developing and
operating non-renewable and renewable energy. The Company is engaged in design,
consultancy, integration, supply, installation, commissioning and maintenance of off-grid
and grid connected solar power plants and decentralized solar application. Its products are
Urja solar water heater, Urja e-rikshaw battery, Urja Complete Solar LED Street Light, Urja
Solar PV Panels, Urja Inverter Battery, Urja Solar Roof Top System, Urja Solar Mini Home
Light, Urja Solar Lantern, Urja Solar Battery, Urja LED Bulb and Urja Solar Charge
Controller. Its e-rickshaw battery includes Bold 120 ampere-hour (Ah) and Dynamic 100Ah.
Its business focus is on segments, such as solar modules, hybrid inverters and batteries. It
has various solar projects across India, including its Haryana project, which is of five
megawatt (MW); Gujarat project, which is of 100 MW, and Andhra Pradesh project, which
is of 100 MW.
New Delhi - 110 087, New Delhi
Company Website:
www.urjaglobal.in
Revenue and Profit Performance
The revenue of the Company decreased from βΉ32.73 crores to
βΉ28.54 crores from quarter ending Sepβ16 to quarter ending
Sepβ17. The Company made a profit of βΉ0.41 crores in quarter
ending Sepβ17 and Sepβ16.
Source: Money control
Performance vis-Γ -vis Market
TABLE 2- Returns
1-m 3-m 6-m 12-m
Urja Global Ltd. 115.63% 73.91% 283.33% 176.00%
Nifty -2.90% 1.68% 4.62% 11.22%
Source β Capital line/NSE
28.54 30.5532.73
0.41 0.15 0.41
0
10
20
30
40
Sep'17 Mar'17 Sep'16
Quarterly revenue and Profit (βΉ CRORE)
Revenue Profit
0.40
0.90
1.40
1.90
2.40
2.90
Mar 17 May 17 Jul 17 Sep 17 Nov 17
Urja Global Ltd NIFTY
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STAKEHOLDERS EMPOWERMENT SERVICES
2 | P A G E
SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
URJA GLOBAL LTD. www.urjaglobal.in
TABLE 3 - FINANCIALS
(βΉ Cr.) Sepβ17 Marβ17 Sepβ16 % Change
Sep β17 vs Marβ17 Marβ17 vs Sepβ16
Net Worth 123.05 122.31 122.38 0.61% -0.06%
Current Assets 62.72 44.85 81.69 39.84% -45.10%
Non-Current Assets 123.06 111.71 110.93 10.16% 0.70%
Total Assets 185.78 156.55 192.63 18.67% -18.73%
Investments 53.40 53.40 53.49 0.00% -0.17%
Finance Cost 0.01 0.01 0.01 0.00% 0.00%
Long Term Liabilities 0.00 0.00 0.00 N.A. -100.00%
Current Liabilities 62.74 34.24 70.24 83.24% -51.25%
Turnover 28.54 30.15 32.50 -5.34% -7.23%
Profit After Tax 0.41 0.15 0.41 173.33% -63.41%
EPS (βΉ) 0.01 0.00 0.01 N.A. N.A.
Source - Money Control/Stock exchange filing
AUDIT QUALIFICATIONS
Audit Qualifications in last 3 years: The Auditors have not raised any qualified opinion in their Report for the FY 2016-17, 2015-
16 and 2014-15.
Response Comment
Frequency of Qualifications No -
Have the auditors made any adverse remark in last 3 years? No -
Are the material accounts audited by the Principal Auditors? Yes -
Do the financial statements include material unaudited financial statements? No -
TABLE 4: BOARD PROFILE (AS PER ANNUAL REPORT - FY 2016-17)
Regulatory Norms Company
% of Independent Directors on the Board 50% 50%
% of Promoter Directors on the Board - None
Number of Women Directors on the Board At least 1 2
Classification of Chairman of the Board - Executive Director
Is the post of Chairman and MD/CEO held by the same person? - Yes
Average attendance of Directors in the Board meetings (%) - 72.73%
Composition of Board: As per Regulation 17(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations,
2015 "Listing Regulations, 2015", the Company should have at least 50% Independent Directors as the Chairman of the Board is
an Executive Director. The Company has 50% of Independent Directors and hence, it meets the regulatory requirements.
Board Diversity: The Company has 6 directors out of which 4 are male and 2 are female.
Holding of position of MD/ CEO & Chairman by same person: The Company has appointed Mrs. Honey Gupta as the Chairman
and Managing Director of the Company. Appointment of a single person as the Chairman and Managing Director of the
Company is not a good governance practice as this may lead to concentration of power in a single person.
Stakeholdersβ Education | Corporate Governance Research | Corporate Governance Score | Proxy Advisory
STAKEHOLDERS EMPOWERMENT SERVICES
3 | P A G E
SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
URJA GLOBAL LTD. www.urjaglobal.in
TABLE 5 - FINANCIAL RATIOS
Ratios Sepβ17 Marβ17 Sepβ16
% Change
Sep β17 vs
Marβ17
Marβ17 vs
Sepβ16
Turn
ove
r
Rat
ios
Inventory Turnover 259.45 231.92 232.14 11.87% -0.09%
Debtors Turnover 0.46 0.83 0.40 -44.73% 106.98%
Fixed asset Turnover 0.23 0.27 0.29 -14.07% -7.88%
Current Asset Turnover 0.46 0.67 0.40 -32.31% 68.97%
Ret
urn
Rat
ios Operating Profit Margin 0.18% 0.56% 1.32% -68.93% -57.38%
Net Profit Margin 1.44% 0.50% 1.26% 188.75% -60.56%
Return on Assets (ROA) 0.22% 0.10% 0.21% 130.33% -54.98%
Return on Equity (ROE) 0.33% 0.12% 0.34% 171.69% -63.39%
Return on Capital Employed (ROCE) 0.33% 0.12% 0.33% 171.71% -63.39%
Liq
uid
ity
Rat
ios
Current Ratio 1.00 1.31 1.16 -23.68% 12.63%
Quick Ratio 1.00 1.31 1.16 -23.59% 12.49%
Cash Ratio 0.00 0.24 0.00 -98.55% 6,198.56%
Working Capital Turnover ratio -20.50 0.01 0.04 -1,45,103.33% -60.52%
Solv
ency
Rat
ios Debt to equity ratio 0.01 0.01 0.00 0.66% 54.99%
Interest Coverage Ratio 5.00 17.00 43.00 -70.59% -60.47%
Trad
ing
Rat
ios
Market Cap / Sales 2.04 2.44 0.00 -16.21% N.A.
Market Cap/ Net Worth 0.47 0.60 0.00 -21.16% N.A.
Market Cap/PAT 142.27 490.27 0.00 -70.98% N.A.
Market Cap/EBITDA 1,166.60 432.59 0.00 169.68% N.A.
Source - Money Control/Stock exchange filing
TABLE 6 - TRADING VOLUME
Particulars Sepβ17 Marβ17 Sepβ16
% Change
Sep β17 vs
Marβ17
Marβ17 vs
Sepβ16
Trading Volume (shares) (avg. of 1 qtr) 5,62,577 3,48,014 Shares were
not traded
during
Julβ16 to
Septβ16
period
61.65%
Not Applicable
Trading Volume (shares) (high in 1 qtr) 36,89,016 6,07,052 507.69%
Trading Volume (shares) (low in 1 qtr) 26,902 1,59,344 -83.12%
Ratio - High/low trading volume 137.13 3.81 3,499.45%
Ratio - High/average trading volume 6.56 1.74 275.92%
Source - Capital line
TABLE 7 (A): OWNERSHIP & MANAGEMENT RISKS
Sep-17 Jun-17 Mar-17 Comments
Shar
eho
ldin
g (%
)
Promoter shareholding 33.52 33.52 33.52 β’ No new equity shares were issued during the
period from 1st April, 2017 to 30th Sep, 2017.
β’ No changes were observed in the shareholding
pattern during the said period.
β’ The promoters have not pledged any shares.
Public - Institutional shareholding 0.89 0.89 0.89
Public - Others shareholding 65.59 65.59 65.59
Non-Promoter Non-Public
Shareholding 0.00 0.00 0.00
Source - NSE
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4 | P A G E
SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
URJA GLOBAL LTD. www.urjaglobal.in
MAJOR SHAREHOLDERS (AS ON 30TH SEPTEMBER 2017)
S. No. Promoters Shareholding S. No. Public Shareholders Shareholding
1 Nandanvan Commercial Pvt. Ltd. 33.52% 1 MDS Infrastructure Pvt. Ltd. 4.52%
2 Anita Gupta 2.84%
3 Sheetal Duggar 2.46%
4 Ashish Begwani 2.27%
5 Ashish Begwani 2.27%
Source - NSE
TABLE 7 (B): OWNERSHIP & MANAGEMENT RISKS
Market Activity of Promoters The promoters have not sold/bought any shares in FY 2016-17. (Source: Form MGT β 9
Annual Report 2016 -17, page no. - 34)
Preferential issue to promoters No preferential issue of shares was made to the promoters in FY 2016-17.
Preferential issue to others No preferential issue of shares was made to other shareholders during FY 2016-17.
GDRs issued by the Company The Company did not issue any GDRs during FY 2016-17.
Issue of ESOPs/ Issue of shares
other than Preferential allotment The Company does not have any ESOP Scheme in FY 2016-17.
Source - Annual Report FY 16-17
TABLE 8: PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY
Sr.
No.
Name and Description of main products / services
% to Total
turnover of the
Company
1 Urja Engaged in Design, Consultancy, integration, supply, installation, commissioning &
Maintenance of off-grid and grid connected Solar Power Plants and decentralized Solar Application 100
Source - Annual Report FY 16-17
Stakeholdersβ Education | Corporate Governance Research | Corporate Governance Score | Proxy Advisory
STAKEHOLDERS EMPOWERMENT SERVICES
5 | P A G E
SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
URJA GLOBAL LTD. www.urjaglobal.in
Glossary
Equity: The equity shares capital of the Company
Net Worth: The amount by which the Assets exceeds the liabilities excluding shareholdersβ funds of the Company
Turnover: The revenue earned from the operations of the Company
EPS: Earning Per Share is net profit earned by the Company per share
πΈππ =Profit After Tax
Number of outstanding shares
P/E ratio: It is the ratio of the Companyβs share price to earnings per share of the Company
π/πΈ πππ‘ππ =Price of each share
Earnings per share
Current Assets: Cash and other assets that are expected to be converted to cash in one year
Fixed Assets: assets which are purchased for long-term use and are not likely to be converted quickly into cash, such as land,
buildings, and equipment
Total Assets: Current Assets + Fixed Assets
Investments: An investment is an asset or item that is purchased with the hope that it will generate income or appreciate in
the future.
Finance Cost: The Financing Cost (FC), also known as the Cost of Finances (COF), is the cost and interest and other charges
incurred during the year in relation to borrowed money.
Long Term Liabilities: Long-term liabilities are liabilities with a maturity period of over one year.
Current Liabilities: A company's debts or obligations that are due within one year.
Inventory Turnover ratio: Inventory Turnover is a ratio showing how many times a company's inventory is sold and replaced
over a period.
πΌππ£πππ‘πππ¦ ππ’ππππ£ππ πππ‘ππ =Sales Turnover
Inventory
Debtors Turnover: Accounts receivable turnover is an efficiency ratio or activity ratio that measures how many times a business
can turn its accounts receivable into cash during a period
π·πππ‘πππ ππ’ππππ£ππ πππ‘ππ =Sales Turnover
Accounts recievables
Fixed Asset Turnover: The fixed-asset turnover ratio is a financial ratio of net sales to fixed assets
πΉππ₯ππ π΄π π ππ‘ ππ’ππππ£ππ πππ‘ππ =Sales Turnover
Fixed Assets
Current Asset Turnover: The current-asset turnover ratio is a financial ratio of net sales to fixed assets
πΆπ’πππππ‘ π΄π π ππ‘ ππ’ππππ£ππ πππ‘ππ =Sales Turnover
Current Assets
Operating Profit Margin: Operating margin is a measurement of what proportion of a Companyβs revenue is left over after
paying for variable costs of production such as wages, raw materials etc. It can be calculated by dividing a Companyβs operating
income (also known as βoperating profitβ) during a given period by its sales during the same period.
ππππππ‘πππ ππππππ‘ ππππππ =Operating profit
Sales Turnover
Net Profit Margin: Net profit margin is the percentage of revenue left after all expenses have been deducted from sales
πππ‘ ππππππ‘ ππππππ =Net profit
Sales Turnover
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6 | P A G E
SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
URJA GLOBAL LTD. www.urjaglobal.in
Return on Assets: ROA tells you what earnings were generated from invested capital (assets)
π ππ‘π’ππ ππ π΄π π ππ‘π =Net profit
Total Assets
Return on equity/net worth: return on equity (ROE) is the amount of net income returned as a percentage of shareholdersβ
equity.
π ππ‘π’ππ ππ πΈππ’ππ‘π¦ =Net profit
Net worth
Return on Capital Employed: Return on capital employed (ROCE) is a financial ratio that measures a company's profitability
and the efficiency with which its capital is employed.
π ππ‘π’ππ ππ πΆππππ‘ππ πΈπππππ¦ππ =Net profit
Total Debt + Equity share capital
Current ratio: The current ratio is a financial ratio that measures whether or not a firm has enough resources to pay its debts
over the next 12 months. It compares a firm's current assets to its current liabilities.
πΆπ’πππππ‘ πππ‘ππ =Current Assets
Current Liabilities
Quick ratio: The quick ratio is a measure of how well a Company can meet its short term financial liabilities.
ππ’πππ πππ‘ππ =Current Assets β Inventories
Current Liabilities
Cash ratio: The ratio of the liquid assets of a Company to its current liabilities.
ππ’πππ πππ‘ππ =Current Assets β Inventories β Account Recievables
Current Liabilities
Working Capital Turnover ratio: The working capital turnover ratio is also referred to as net sales to working capital. It indicates
a Company's effectiveness in using its working capital.
πππππππ πΆππππ‘ππ ππ’ππππ£ππ πππ‘ππ =πππππ ππ’ππππ£ππ
Current Assets β Current Liabilities
Debt to Equity ratio: The debt-to-equity ratio (D/E) is a financial ratio indicating the relative proportion of
shareholders' equity and debt used to finance a company's assets.
π·πππ‘ π‘π πΈππ’ππ‘π¦ πππ‘ππ =πβπππ‘ ππππ π·πππ‘ + πΏπππ ππππ π·πππ‘
πππ‘ ππππ‘β
Interest Coverage ratio: The Interest coverage ratio is a debt ratio and profitability ratio used to determine how easily a
Company can pay interest on outstanding debt.
πΌππ‘ππππ π‘ πΆππ£πππππ π ππ‘ππ =πΈππππππ π΅πππππ πΌππ‘ππππ π‘ πππ πππ₯
πΉππππππ πΆππ π‘
Market Cap/Sales ratio: Market Cap/sales ratio, Priceβsales ratio, P/S ratio, or PSR, is a valuation metric for stocks. It is
calculated by dividing the company's market cap by the revenue in the most recent year; or, equivalently, divide the per-
share stock price by the per-share revenue.
ππππππ‘ πΆππ/πππππ πππ‘ππ =ππππππ‘ πΆππ
πππππ ππ’ππππ£ππ
Market Cap/ Net Worth ratio: It is a valuation ratio calculated by dividing Companyβs market cap to net worth.
ππππππ‘ πΆππ/πππ‘π€πππ‘β πππ‘ππ =ππππππ‘ πΆππ
πππ‘π€πππ‘β
Market Cap/ PAT ratio: It is a valuation ratio calculated by dividing Companyβs market cap to net profit.
ππππππ‘ πΆππ/ππ΄π πππ‘ππ =ππππππ‘ πΆππ
πππ‘ ππππππ‘
Market Cap/ EBITDA ratio: It is a valuation ratio calculated by dividing Companyβs market cap to EBITDA.
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SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
URJA GLOBAL LTD. www.urjaglobal.in
ππππππ‘ πΆππ/πΈπ΅πΌππ·π΄ πππ‘ππ =ππππππ‘ πΆππ
πΈπ΅πΌππ·π΄
Trading Volume (shares) (avg. of 1 year): Average number of shares/day traded in 1 year
Trading volume (shares) (high in 1 year): Highest number of shares/day traded in 1 year
Trading volume (shares) (minimum in 1 year): Lowest number of shares traded on any one day in 1 year
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SECTOR: TRADING REPORTING DATE: 6TH DECEMBER, 2017
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DISCLAIMER
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www.sesgovernance.com
Research Analyst: Sumit Tank