Gravita India Ltd Q1 FY26 – Lead Recycler Becomes Global Scrap Kingpin
1. At a Glance
Gravita India is like the kabadiwala who went to IIM. From scrap batteries to aluminium cans, they recycle everything and mint margins that would make metal traders jealous. Q1 FY26 results showed revenue at ₹1,040 Cr (+15% YoY) and PAT at ₹93 Cr (+39% YoY). Stock trades at ₹1,656 with a P/E of 36—basically, the market is pricing in a “leadership in lead” story with an ESG halo.
2. Introduction
If Reliance is India’s oil-to-telecom giant, Gravita is India’s scrap-to-ESG darling. Started in 1992 in Jaipur, today it’s one of the largest lead recyclers in India and runs operations from Africa to Europe.
Lead contributes nearly 90% of revenue, but Gravita has bigger dreams: aluminium, plastics, rubber, and even turnkey projects where they build recycling plants for others. Think of it as the McKinsey + L&T combo of the recycling world.
The company recently raised ₹1,000 Cr via QIP to turbocharge its expansion—clearing debt, boosting working capital, and funding capacity growth. Ambition is loud: 500,000 MTPA by FY27, with half of revenues from value-added products and 30% from non-lead segments by FY28.
But is this the next Hindalco-lite with ESG shine, or just a fancy kabadi shop with global subsidiaries?
3. Business Model – WTF Do They Even Do?
Gravita runs four verticals:
Lead (88% revenue): Lead alloys, sheets, bricks, red lead, lead oxide. Customers = battery makers, cable industries, paints/pigments.
Aluminium (8%): Customised alloys for die casting and auto.
Plastics (3%): Plastic granules, PET flakes (food-grade).
Turnkey Projects (1%): Recycling plant setups in 30+ countries.
USP = Global footprint. Plants in Ghana, Senegal, Mozambique, Tanzania, Togo, Sri Lanka, Oman, Romania, Dominican Republic. Basically, Gravita goes wherever scrap is cheap.
Distribution network: 31 yards, 1,700+ touchpoints, 325 global customers, 200 domestic.
Question for you: Would you trust an Indian recycler running plants in Africa and Latin America to manage environmental compliance better than your neighbourhood scrap dealer?
