Shares of Gravita India Limited rose 2.55% or ₹45 to ₹1,808 on the NSE on May 11, touching an intraday high of ₹1,819.50, as investors responded positively to a strong operational performance in Q4 FY26 accompanied by significant strategic announcements including a new copper recycling facility and a major acquisition completed during the year.
The stock opened above its previous close of ₹1,763 and maintained gains through early trade. At ₹1,808, Gravita India is trading in the upper half of its 52-week range of ₹1,266.90 to ₹2,170, with market capitalisation at approximately ₹13,197 crore. The trailing P/E ratio is 34.85 with a dividend yield of 0.35%. Average daily volume is around 3.11 lakh shares.
What did Gravita India report in Q4 FY26?
Revenue for Q4 FY26 rose 13.1% year-on-year to ₹1,173 crore from ₹1,037 crore in Q4 FY25. EBITDA grew 22% to ₹113 crore from ₹92 crore, with EBITDA margin expanding to 9.6% from 8.9% in the year-ago quarter — a healthy 70 basis point improvement reflecting stronger operating leverage in Gravita’s lead and aluminium recycling operations.
Net profit, however, declined 3.4% year-on-year to ₹92 crore from ₹95 crore in Q4 FY25, suggesting higher depreciation, interest, or tax costs at the bottom line despite the improved EBITDA performance — likely related to the debt and amortisation costs associated with the RMIL acquisition completed during the year.
What are the key strategic developments?
Gravita India announced the setting up of a copper recycling plant at Mandvi in Gujarat with an estimated capital expenditure of ₹160 crore. The company said the project is aimed at strategic diversification of business operations, optimal utilisation and monetisation of existing land assets, and long-term shareholder value creation. The copper recycling addition marks a meaningful expansion of Gravita’s multi-metal recycling platform, which currently encompasses lead, aluminium, and plastic waste processing.
The company also disclosed the acquisition of a 98.95% equity stake in Rashtriya Metal Industries Limited (RMIL) during FY26, for an aggregate consideration of ₹559.08 crore under a share purchase agreement executed on March 12, 2026. RMIL manufactures copper and copper alloy products and operates an integrated manufacturing facility at Sarigam in Gujarat. RMIL became a subsidiary of Gravita India with effect from March 12, 2026, with purchase price allocation, fair value adjustments, and goodwill recognition reflected in the consolidated financial statements.
Separately, the company announced the closure of its subsidiary Recycling Infotech LLP, a routine rationalisation of the group structure.
Why does the copper pivot matter?
The RMIL acquisition and the new Mandvi copper recycling plant together represent Gravita’s deliberate push into copper — India’s third most consumed metal after steel and aluminium and a critical material for electric vehicles, power infrastructure, and renewable energy. Copper recycling is a significantly higher-margin business than lead recycling on a per-tonne basis, and Gravita’s entry into integrated copper processing via RMIL gives it immediate manufacturing capability rather than requiring a greenfield build from scratch. The ₹160 crore Mandvi plant would complement RMIL’s Sarigam facility with recycling-specific capacity, creating an end-to-end copper value chain within the group.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors are advised to consult a registered financial advisor before making any investment decisions. Business Upturn does not hold any position in the securities mentioned.