Greenzo Energy India Limited Annual Reports, Balance Sheet and Financials

Greenzo Energy India Limited Consolidated Balance Sheet (Rs. in crores).

Greenzo Energy India Limited Consolidated Profit & Loss Statement (Rs. in crores).

Greenzo Energy India Limited Consolidated Cash Flow Statement (Rs. in crores).

Summary of the Cash Flow Statement for the years 2025 and 2024:

Cash Flow from Operating Activities

The company reported a modest increase in profit before tax from ₹1.31 crore in FY24 to ₹1.94 crore in FY25; however, this improvement did not translate into operating cash flows. After adjusting for non-cash items like depreciation (₹0.29 crore) and interest income, the major impact came from adverse working capital movements, including significant increases in trade receivables, inventories, and short-term loans and advances, indicating aggressive expansion without immediate cash realization. Inventories alone saw a sharp buildup, while trade payables and other liabilities declined, reflecting repayment of obligations. As a result, cash generated from operations turned highly negative at ₹44.05 crore, and after tax payments, net cash outflow worsened to ₹44.53 crore, highlighting severe stress in core cash generation.

Cash Flow from Investing Activities

Investing activities show increased capital expenditure, with ₹15.59 crore spent on fixed assets compared to ₹5.31 crore in FY24, indicating ongoing investment in capacity or infrastructure. A small inflow from security deposits (₹1.18 crore) provided limited support, resulting in a net cash outflow of ₹14.41 crore compared to ₹5.22 crore in the previous year, suggesting continued expansion but added pressure on cash reserves.

Cash Flow from Financing Activities

Financing activities supported liquidity through equity funding, with ₹20.69 crore raised via issuance of shares, though lower than ₹54.42 crore in FY24. There was a minor repayment of borrowings and no fresh debt raised, leading to a net cash inflow of ₹20.18 crore. This reflects reliance on equity rather than debt, reducing financial risk but potentially diluting ownership.

Net Increase/decrease in Cash & Cash Equivalents

Overall, the company experienced a substantial net decrease in cash of ₹38.75 crore in FY25, in contrast to a strong increase of ₹43.76 crore in FY24, primarily due to heavy operating and investing outflows not fully offset by financing inflows

Financial ratios of Greenzo Energy India Limited.

Summary of the Financial Ratio for the year 2025 and 2024.

Current Ratio

The current ratio increased significantly from 7.39 in FY24 to 13.84 in FY25, indicating extremely strong short-term liquidity. This suggests the company has ample current assets to cover its current liabilities, likely due to high cash and receivable balances. However, an excessively high current ratio may also indicate underutilized assets or inefficient working capital management.

Net Debt Equity Ratio

The net debt-equity ratio remained virtually zero (0.00 in FY25 vs 0.01 in FY24), showing that the company is almost entirely equity-financed with negligible reliance on debt. This low leverage reduces financial risk but may also limit potential growth if external funding is needed for expansion.

Return on Equity

Return on equity (ROE) declined sharply from 0.92% to 0.02%, reflecting a drastic drop in profitability relative to shareholders’ equity. Despite high liquidity, the company has generated minimal returns for its equity investors, highlighting inefficiency in converting equity into earnings.

Inventory Turnover Ratio

The inventory turnover ratio fell from 2.65 to 1.06, indicating slower movement of inventory. This aligns with the significant buildup in inventories observed in the cash flow statement and suggests potential overstocking or slower sales cycles.

Trade Receivables Turnover Ratio

The trade receivables turnover ratio declined from 2.35 to 1.04, implying slower collections from customers and potential stress on cash flows. This is consistent with the large increase in trade receivables and contributes to the company’s cash flow challenges.

Trade Payables Turnover Ratio

The trade payables turnover ratio improved from 3.73 to 7.43, indicating faster payments to suppliers. While this may strengthen supplier relationships, it also reflects higher cash outflows, which could further strain liquidity if not managed carefully.

Net Capital Turnover Ratio

The net capital turnover ratio declined from 0.29 to 0.21, signaling reduced efficiency in using net capital to generate revenue. This decrease indicates that the company’s investments in assets and working capital are not translating into proportionate revenue growth.

Net Profit Ratio

The net profit ratio improved from 6.75% to 8.67%, suggesting higher profitability relative to revenue. This is a positive sign, indicating that despite operational and cash flow challenges, the company is managing margins better.

Return on Capital Employed

Return on capital employed (ROCE) declined from 3.43% to 2.56%, showing a drop in efficiency in generating returns from the capital employed. This reflects the combined effect of lower operational efficiency and high investments that have not yet yielded adequate returns.