Gravita India Share Price Sees Modest Uptick as Q1 Earnings Improve

Market Performance

Gravita India share price saw a modest increase in early trade on Tuesday, July 29, following the company’s improved financial performance for the first quarter (Q1) of the current fiscal year.

• At 9:20 AM, the Gravita India share price was up by 0.5%, trading at ₹1,823.7 apiece on the exchange.

Main News: Lead Business Drives Q1 Earnings Recovery

Gravita India's Q1 earnings showed significant recovery compared to the same quarter last year.

This growth was largely driven by the lead business segment, which recorded a healthy rise in revenue and margins.

• Finance costs dropped by over 50%, aiding profitability.
• Net profit rose by 37% YoY to ₹93 crore from ₹68 crore.

The steady performance of the core lead business was a key factor in strengthening the company’s overall financial results for the quarter.

Company Financial Highlights

Gravita India’s financial data for Q1 indicates robust growth across multiple metrics.

Revenue

• Revenue rose 17% YoY to ₹1,070 crore, up from ₹914 crore in the previous year.

EBITDA

• EBITDA (including other income) surged by 39% YoY to ₹130.76 crore compared to ₹94.35 crore.

EBITDA Margins

• Margin expansion was evident, supported by hedging-related gains, which are part of the company's core operational strategy.

Net Profit

• Net profit increased to ₹93 crore, marking a 37% growth over the ₹68 crore recorded last year.

Lead Business Performance

The lead segment, which is Gravita India’s primary business driver, posted notable figures:

• Lead revenue rose by 12% to ₹928.2 crore, compared to ₹832 crore YoY.
• EBIT (Earnings Before Interest & Taxes) from the lead business climbed 40% to ₹115.6 crore, up from ₹82.52 crore.
• EBIT margins widened to 12.5%, a sharp rise from the previous 9.9%.

Volume and Realization

• Lead volume stood at 46,215 tonnes, a 10.3% rise from 41,913 tonnes last year.
• EBITDA per tonne jumped 13%, reaching ₹21,790 from ₹19,321.

Summary of the Article

The Gravita India share price witnessed a slight boost following the company’s Q1 results, which showed steady recovery backed by the lead business. Financial metrics including revenue, EBITDA, and net profits all displayed double-digit growth.

With strong operational performance and lower finance costs, Gravita India has reported a financially sound first quarter, reinforcing its position in the metal recycling sector.