This small-cap stock engaged in recycling lead, aluminium, and plastic, providing sustainable solutions through global operations, advanced technology, and efficient environmental management practices, jumped 10 percent after the company reported March quarterly results with a 37 percent QOQ increase in net profit and announced a 318 percent dividend.
With a market capitalization of Rs. 14,327.70 crores, the share of Gravita India Limited has reached an intraday high of Rs. 1,995 per equity share, rising nearly 10.10 percent from its previous day’s close price of Rs. 1,812.05. Since then, the stock has retreated and is currently trading at Rs. 1,941.20 per equity share.
Q4 FY25 Result Walkthrough
Coming into the quarterly results of Gravita India Limited, the company’s consolidated revenue from operations increased by 20.11 percent YOY, from Rs. 1037.07 crore in Q4 FY24 to Rs. 863.41 crore in Q4 FY25, and grew by 4.08 percent QoQ from Rs. 996.42 crore in Q3 FY25.
In Q4 FY25, Gravita India Limited’s consolidated net profit increased by 36.73 percent YOY, reaching Rs. 94.92 crore compared to Rs. 69.42 crore during the same period last year. As compared to Q4 FY25, the net profit has increased by 21.60 percent, from Rs. 78.06 crore in Q3 FY25. The basic earnings per share increased by 31.45 percent and stood at Rs. 13.04 as against Rs. 9.92 recorded in the same quarter in the previous year, 2024.
Dividend: The Gravita India board of directors has recommended paying a final dividend at the rate of 317.50 percent on the face value of paid-up equity shares of Rs. 2 each for the financial year 2024-25, which is a dividend of Rs. 6.35 per equity share. The record date of the dividend shall be 8 May 2025.
FY25 Result: Gravita India Limited’s revenue has increased from Rs. 3,868.77 crore in FY24 to Rs. 3,160.75 crore in FY25, which is a growth of 22.40 percent. The net profit has also grown by 29.15 percent, from Rs. 312.90 crore in FY24 to Rs. 242.28 crore in FY25.
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Management Commentary
“Gravita remains well-positioned to realize its VISION 2029 roadmap, targeting capacity expansion across core verticals (lead, aluminium, plastic, rubber, turnkey solutions) and new verticals like lithium-ion, paper, and steel. The company aims for a 25%+ volume CAGR, 35%+ profitability growth, 25%+ ROIC, with 50%+ contribution from value-added products and 30%+ from the non-lead segment supported by a strong commitment to our ESG roadmap,” says Yogesh Malhotra, Whole Time Director & CEO of Gravita India Limited
Capacity Expansion & CAPEX
Gravita India Limited plans to expand its capacity to 728,459 MT by FY28, focusing on lead, aluminum, plastic, and rubber. The company’s capex strategy includes an investment of more than Rs. 1,500 crore by FY28. From FY24 to FY28, capex spending will rise progressively, with Rs. 98 crore in FY24, Rs. 107 crore in FY25, Rs. 326 crore in FY26, Rs. 343 crore in FY27, and Rs. 402 crore in FY28, split between existing verticals and new ventures.
Written By – Nikhil Naik
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