Gravita India Limited , a leading recycling company, has announced plans to establish a lithium-ion battery recycling unit in Mundra, Gujarat, as part of its expansion strategy. The company also reported robust financial results for the first quarter, demonstrating significant growth across key metrics.

Expansion into Lithium-Ion Battery Recycling

Gravita India revealed its intention to set up a lithium-ion battery recycling facility in Mundra, with operations expected to commence in the second quarter. This strategic move aligns with the growing demand for sustainable solutions in the battery recycling sector.

Strong Financial Performance in Q1

The company reported impressive financial results for the quarter ended June 30:

Gravita India's consolidated revenue grew by 15% year-over-year to ₹1,040.00 crore in Q1. The company's EBITDA saw a significant increase of 22%, reaching ₹112.00 crore, while Profit After Tax (PAT) surged by 39% to ₹93.00 crore compared to the same period last year.

Growth Projections and Margin Expectations

Looking ahead, Gravita India projects 15-16% volume growth from its existing businesses and an additional 7-8% growth from new additions. The company expects lead EBITDA margins to be around ₹19-20 per kg, while aluminum EBITDA margins are projected at ₹14-15 per kg.

Diversification into Rubber Sector

Gravita India is also expanding its presence in the rubber sector, anticipating an EBITDA of ₹7-8 per kg and revenue of ₹300-400 crore by FY28. This diversification strategy aims to create additional revenue streams and enhance the company's overall growth prospects.

Long-Term Targets

The company has set ambitious long-term targets, including:

• Volume growth exceeding 25%
• Profit growth above 35%
• Return on invested capital over 25%

These targets reflect Gravita India's confidence in its business model and growth strategy.

Commitment to Sustainable Recycling

Yogesh Malhotra, Whole-time Director & CEO of Gravita India, emphasized the company's commitment to responsible recycling, stating, "At Gravita, we understand that responsible recycling not only creates sustainable value for the green economy but also for all our stakeholders. We have maintained a growth trajectory and are confident to keep progressing on our vision: 'To be the most valuable company in the recycling space globally.'"

Gravita India's expansion into lithium-ion battery recycling, strong financial performance, and ambitious growth targets position the company as a key player in the recycling industry, with a focus on sustainability and value creation for stakeholders.

Gravita India Limited , a leading recycling company, has announced ambitious expansion plans alongside robust financial results for the first quarter. The company aims to significantly boost its capacity and diversify its product portfolio over the next few years.

₹1,500 Crore Investment Plan

Gravita India has revealed plans to invest ₹1,500 crores with the goal of achieving a capacity of 7 lakh tonnes per annum (LTPA) by FY28. This substantial investment underscores the company's commitment to growth and its confidence in the recycling sector's potential.

Strategic Objectives

The company has set forth several key targets as part of its expansion strategy:

• Over 25% volume growth
• More than 35% profit increase through non-lead products
• Global expansion by 2029

These objectives highlight Gravita's focus on diversifying its product range and expanding its international presence.

Q1 Financial Highlights

Gravita India's financial results for Q1 demonstrate strong performance across key metrics:

The company's consolidated revenue saw a healthy increase of 14.55% year-over-year, reaching ₹1,039.94 crore. Earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by an impressive 22.42% to ₹111.70 crore, indicating improved operational efficiency.

Profit after tax (PAT) showed remarkable growth, surging by 38.52% to ₹93.26 crore. This translated to an earnings per share (EPS) of ₹12.81, representing a 30.45% increase compared to the same quarter last year.

Segment Performance

Gravita's lead segment continued to be the primary revenue driver, contributing ₹928.47 crore to the total revenue. The aluminium segment showed significant growth, generating ₹94.41 crore in revenue. The plastics segment contributed ₹16.41 crore, while turnkey projects and other segments added ₹0.64 crore and ₹0.31 crore respectively.

Management Commentary

Yogesh Malhotra, Whole Time Director & CEO of Gravita India, commented on the company's performance: "Q1 marked a strong start to the fiscal year, with Gravita delivering solid operational and financial performance across all key segments. Building on the record-setting momentum of the previous fiscal year, the company remains firmly aligned with its VISION 2029 roadmap."

Future Outlook

Gravita India's investment plans and strong financial results position the company for continued growth in the recycling industry. The focus on capacity expansion, product diversification, and global reach aligns with the increasing demand for sustainable solutions in waste management and resource recovery.

As the company progresses with its strategic initiatives, investors and industry observers will be keenly watching Gravita's ability to execute its ambitious plans while maintaining its strong financial performance.