Lowest Book Value Per Share – Top 5 Companies

Book value per share is defined as a financial measure that represents a per share assessment of the minimum value of a company's equity. This value is determined by relating the original value of a firm's common stock adjusted for any outflow (dividends and stock buybacks) and inflow (retained earnings) modifiers to the amount of shares outstanding. The formula for calculating the book value per share is the total shareholder’s equity divided by the number of shares.

To compile this list, our methodology involved the following steps. We have considered companies that have equity capital of more than Rs 50 crore and net worth of more than Rs 100 crore. After this, we came up with the list of the top 5 companies (refer to the table) in ascending order of their book value per share. All the figures are based on the companies’ FY12 consolidated numbers.

GTL Infrastructure: GTL Infrastructure is in the business of Shared Passive Telecom Infrastructure in India. The company has a portfolio of over 30,000 towers located across India that will help bring in connectivity at affordable prices. It has a portfolio of towers serving all the major cellular operators and is associated with projects promoted by DoT and COAI such as USO (Universal Services Obligation Fund) for rural telecom infrastructure and MOST (Mobile Operator Shared Tower). The company has the lowest book value per share which stands at Rs 7.41. The net worth of the company stands at Rs 709.35 crore as of FY12. On a YTD basis, the scrip has garnered returns of merely 2.44%. Its book value per share stands at Rs 7.41.

Suryachakra Power Corporation: Suryachakra Power Corporation is the flagship company of Suryachakra Group with interests in power generation – renewable energy and Clean Technology/Super Critical Thermal Power Plants and Engineering Consultancy activities. The company has established 3 wholly-owned subsidiaries for setting up renewable energy (biomass) power projects and has also acquired a stake in Sri Panchajanya Power, which has set up a 10 MW biomass power plant at Hingoli, Maharashtra. The project started its commercial operations from September 5, 2010. On a YTD basis, the company has given a negative return of 53.60%. Its net worth stands at Rs 135.62 crore on a consolidated basis at the end of FY12. The book value per share of the company is Rs 9.06.

Future Ventures India: Future Ventures India was incorporated on July 10, 1996 under the name Subhikshith Finance & Investments. In 1998, it was granted a certificate of registration by the Reserve Bank of India to carry on business as an NBFC. Further, in 2007, Subhikshith Finance was acquired by Future Value Retail. The name Subhikshith Finance & Investments was changed to Future Ventures India Pvt. Ltd., and after it ceased to be a private limited company, its name was changed to Future Ventures India Ltd. in 2007. On a YTD basis, the company has given a return of 14.97%. Its net worth stands at Rs 1437.53 crore on a consolidated basis at the end of FY12. The book value per share of the company is Rs 9.12.

Birla Pacific Medspa: A part of the Yash Birla Group, Birla Pacific Medspa operates healthcare centres in India under the brand name EVOLVE. The company engages in the business of beauty and healthcare treatment in the areas of cosmetic dermatology, cosmetic surgery and advanced dentistry. It was incorporated in 2008 and is based in Mumbai, India. Its net worth stands at Rs 106.31 crore as of FY12. On a YTD basis, the scrip has given a negative return of 63.33%. The company has a book value per share of Rs 9.48.

Entegra: Entegra engages in the development of integrated renewable energy projects, primarily in India. The company is involved in setting up power plants and generating clean energy from sources like sun and water. It also provides technology solutions using combinations of various renewable energy and energy saving sources. Its projects include Maheshwar Hydro Power project in the West Nimar district, Madhya Pradesh, the Rajiv Gandhi Proudyogiki Vishwavidyalaya Campus also in Madhya Pradesh and Palais Royale in Worli, Mumbai. On a YTD basis, the company has given a negative return of 19.39%. The net worth of the company stands at Rs 337.31 crore on a consolidated basis at the end of FY12. Its book value per share stands at Rs 10.50.