Eco Recycling Limited announced its unaudited financial results for the quarter ended December 31, 2025, alongside key leadership changes during its Board meeting held on January 31, 2026. The e-waste management company reported mixed performance with declining revenues but maintained profitability across both standalone and consolidated operations.

Financial Performance Overview

The company's standalone financial results showed a significant decline in quarterly performance compared to the previous year. Revenue from operations dropped to Rs. 591 lacs in Q3FY26 from Rs. 992 lacs in Q3FY25, representing a substantial year-on-year decrease. Net profit for the quarter stood at Rs. 155 lacs, down from Rs. 541 lacs in the corresponding quarter of the previous fiscal year.

Nine-Month Performance Analysis

For the nine months ended December 31, 2025, the standalone results showed revenue from operations of Rs. 2,957 lacs compared to Rs. 3,419 lacs in the corresponding period of FY25. Net profit for the nine-month period reached Rs. 1,444 lacs, down from Rs. 2,023 lacs in the previous year. The earnings per share for the nine-month period stood at Rs. 7.48 compared to Rs. 10.49 in the previous year.

Consolidated Financial Results

On a consolidated basis, which includes subsidiaries Ecoreco Enviro Education Private Limited and Ecoreco Park Private Limited, the company reported net profit after tax of Rs. 205 lacs for Q3FY26. The consolidated revenue from operations remained at Rs. 591 lacs, similar to standalone figures, while other income contributed Rs. 114 lacs to total income of Rs. 705 lacs.

Leadership Transition

The Board approved the appointment of Arvindra Singh Parmar as Company Secretary and Compliance Officer, effective January 31, 2026. He replaces Nihal R Kare, who resigned from the position on the same date. Parmar brings over seven years of experience in secretarial compliance, listing compliance, SEBI laws, and RBI laws to his new role.

Business Operations and Notes

Eco Recycling Limited operates exclusively in the e-waste management segment, making it a focused player in the environmental recycling sector. The company received Rs. 2.25 crores during Q1 FY26 towards an insurance claim, with a balance amount of Rs. 1.66 crores still pending. The company maintains a debt-free status with finance costs relating only to lease liabilities, having no financial borrowings. No investor complaints were pending at the end of the quarter, and no complaints were received or resolved during the reporting period.

Eco Recycling has reported its third quarter financial performance, showing significant declines across key metrics compared to the same period in the previous year. The company's revenue for the quarter stood at ₹59 million, down from ₹99 million in the corresponding quarter of the previous year, while net profit dropped to ₹15.5 million from ₹54 million year-over-year.

Financial Performance Overview

The quarterly results demonstrate substantial challenges faced by the company during this reporting period. The company's EBITDA for Q3 declined to ₹34.7 million compared to ₹66 million in the same quarter of the previous year. Additionally, the EBITDA margin compressed to 58.71% from 67.10% year-over-year, indicating pressure on operational efficiency.

Profitability and Margin Analysis

The revenue decline from ₹99 million to ₹59 million represents a significant reduction in the company's top-line performance. The EBITDA performance shows a similar trend, falling from ₹66 million to ₹34.7 million, reflecting challenges in maintaining operational profitability. The compression in EBITDA margin from 67.10% to 58.71% suggests increased operational pressures or cost challenges.

Simultaneously, the net profit decrease from ₹54 million to ₹15.5 million indicates challenges in maintaining overall profitability margins during the quarter. These financial results highlight the impact of various market and operational factors on Eco Recycling's performance across multiple profitability metrics in the recycling industry.