Gravita's copper bet delivers ₹376 cr in first full quarter, revenue jumps 42%
First full quarter from copper recycling lifts consolidated revenue to ₹1,475 cr, though segment margin is thin at 4.2%. Board also shuts a US unit as it consolidates operations.
— 7 earlier stories on Gravita India Ltd. →What's new
- Revenue jumped 42% to ₹1,475 cr, driven by the copper recycling business contributing ₹376 cr in its first full quarter.
- Net profit rose 14% to ₹106 cr; copper segment margin was 4.2%.
- Board approved closure of Gravita Metal Inc., a US subsidiary, effective August 1 – no material financial impact.
Why this matters
The copper acquisition is already a top-line engine, but its low margins explain why profit growth lags revenue. The US closure signals operational consolidation. The real test is whether copper margins improve over time.
What we're watching
- Copper segment margin trajectory – can it move above 4.2% as scale builds?
- Any further consolidation moves after shuttering the US unit.
- Whether profit growth catches up with revenue in coming quarters.
The full read
Gravita India's copper acquisition is already showing up on the top line. The company posted consolidated revenue of ₹1,475 crore in the June quarter, up 42% from a year ago, with the copper business chipping in ₹376 crore in its first full quarter. But the segment's operating margin of 4.2% is well below Gravita's traditional recycling margins, which is why net profit rose only 14% to ₹106 crore. The board also approved shutting Gravita Metal Inc., a small US subsidiary, as part of a routine consolidation – no material impact. The acquisition story is off to a solid start, but the next chapter has to be about margin improvement. That's where the judgment will shift.
Questions answered
- What drove the 42% revenue jump in Q1?
- The copper recycling business, acquired in late FY26, contributed ₹376 crore in its first full quarter. Excluding that, core recycling revenue also grew, but copper was the primary driver.
- Why did net profit rise only 14% when revenue surged 42%?
- The copper segment operates at a lower margin (4.2%) compared to Gravita's traditional lead and plastic recycling, diluting overall profitability. Higher operating costs also played a role.
- What is the impact of closing Gravita Metal Inc.?
- Minimal. The US subsidiary was small and its operations will be consolidated at the Jaipur plant. The company expects no material financial impact from the closure.
- How does this quarter compare to the prior quarter (Mar 2026)?
- Revenue jumped from ₹1,173 cr in Mar 2026 to ₹1,475 cr, and net profit rose from ₹92 cr to ₹106 cr. The sequential growth is partly due to the copper business ramping up.
Gravita India Ltd.
Latest quarter · Jun 2026
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All notes on GRAVITA →- 27 Jul 2026 · 4:23 PM IST Gravita's copper bet delivers ₹376 cr in first full quarter, revenue jumps 42%
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