Gravita India Limited – Investor Presentation Summary

Scrip Code/Symbol: GRAVITA

Key Operational Highlights

  • Total volume processed in Q1 FY27: 48,889 MT across all business verticals
  • Lead volume: 43,897 MT in Q1 FY27
  • Aluminium volume: 4,812 MT in Q1 FY27
  • Plastic volume: 2,414 MT in Q1 FY27
  • Copper volume: 3,696 MT in Q1 FY27 (post RMIL acquisition)
  • Global scrap collection network: 3,30,000+ MT through 2,200+ touch points across 39 owned yards
  • Recycled products delivered: 2,13,000+ MT to 400+ customers across 37 countries

Key drivers of operational performance: Strategic capacity additions, enhanced value-added product mix, and global procurement network optimization.

Segment-wise Performance

  • Lead business: Primary revenue contributor with 43,897 MT volume in Q1 FY27
  • Aluminium business: 4,812 MT volume in Q1 FY27
  • Plastic business: 2,414 MT volume in Q1 FY27
  • Copper business: 3,696 MT volume in Q1 FY27 (through RMIL acquisition)
  • Non-lead businesses contribution target: 35-40% of total business
  • Value-added products contribution target: 45-50% of product mix

Financial Highlights

Revenue: ₹1,040 crore (RMIL FY26 full year revenue)

EBITDA: ₹82 crore (RMIL FY26 full year EBITDA)

YoY comparison: Revenue growth of 42%, EBITDA growth of 29%, PAT growth of 14% in Q1 FY27

PAT Margin: Not specified

Drivers of financial performance: Capacity expansion, operational excellence, value-added product mix enhancement, and strategic diversification.

Geographical Revenue Split

Domestic vs Export Revenue: Not specified

Regional Breakdown:

  • Americas: 2,250+ MT delivered to 6 customers in 4 countries
  • Europe: 5,400+ MT delivered to 11 customers in 6 countries
  • Middle East: 35,700+ MT delivered to 32 customers in 8 countries
  • Asia: 1,54,000+ MT delivered to 340 customers in 13 countries
  • Africa: 3,700+ MT delivered to 19 customers in 5 countries

Balance Sheet Snapshot

Net Debt/Equity: Not specified

Reserves: Not specified

Current Assets/Liabilities: Not specified

Financial Health Insights: AA- external credit rating from ICRA & India Ratings, reflecting strong financial profile and prudent capital management.

Capex & Cash Flow Health

Capital Expenditure: ~₹30 crore incurred in Q1 FY27

Free Cash Flow: Not specified

Operating Cash Flow: Not specified

Investment Rationale: Capacity expansion, technology upgrades, and strategic diversification into new verticals.

Strategic & R&D Initiatives

Investments in Innovation: Pilot lithium-ion battery recycling project commissioned, copper recycling through RMIL acquisition, planned diversification into steel recycling

Expected impact on growth: Expansion to 800,000+ MTPA capacity by FY2029, targeting 20-25% volume CAGR

Strategic Rationale: Reinforcing leadership in core recycling businesses while strategically diversifying into high-growth verticals

Industry Trends & Business Environment

Macro/Industry Trends: Expanding circular economy opportunity, growing demand for recycled materials, increasing environmental regulations

Impact on Company: Creating opportunities for market expansion, margin enhancement through value-added products, and competitive advantage through global presence

Management Commentary & Growth Outlook

Strategic Outlook: "Gravita continued its growth trajectory in Q1FY27, translating strategic capacity additions, operational excellence, and an enhanced value-added product mix into strong financial performance"

FY Guidance: Targeting 20-25% volume CAGR, 30-35% profitability growth, sustained high ROIC (~25%), 800,000+ MTPA capacity by FY2029

Risks and Opportunities: Risks related to fiscal policy, competition, inflationary pressures, and general economic conditions affecting demand/supply and price conditions in domestic and international markets

ESG Updates

  • Renewable power usage: 1.16 million units of RE power, targeting 25-30% renewable power usage
  • Energy efficiency: Targeting 8-10% reduction in energy consumption
  • Clean technology: Oxygen trials at Phagi, electric forklift implementation, 10 KLD STP commissioned in Senegal
  • Certifications: 100% plants ISO 9001:2015 certified, 50% plants ISO 14001 & 45001 certified
  • Employee statistics: 3,500+ employees, 250+ professionals, 34 years average employee age, 4 years average employee association
  • Women employment: 7% of total workforce
  • ESOPs: 4 rounds completed
  • 100% health insurance coverage for employees