GRP Ltd
NSE:GRPLTD
GRP Ltd
GRP Ltd. engages in the business of manufacturing reclaimed rubber, thermos plastic elastomers, punch & split products and rubber composite and power generation from windmill. The company is headquartered in Mumbai, Maharashtra and currently employs 1,049 full-time employees. The company went IPO on 2015-02-12. The company operates through four businesses, such as Reclaim Rubber, Engineered Plastics, Polymer Composites and Tyre Retreading. The Reclaim Rubber procures tires at its end of life (EOL), to produce reclaim rubber (a replacement to natural and synthetic rubber) for use predominantly by tire manufacturers. The Engineered Plastics recovers polyamide waste from tires and along with other forms of EOL waste to produce engineering plastic compounds for sale to the plastic manufacturers in automotive and electrical applications. Polymer Composites use residue rubber to blend with recycled plastic waste to produce composite material which replaces wood and concrete. The applications for these composite boards are mainly in the transportation industry and limited to North America. Tyre Retreading helps fleet owners to extend life of their tyre by providing additional life.
GRP Ltd. engages in the business of manufacturing reclaimed rubber, thermos plastic elastomers, punch & split products and rubber composite and power generation from windmill. The company is headquartered in Mumbai, Maharashtra and currently employs 1,049 full-time employees. The company went IPO on 2015-02-12. The company operates through four businesses, such as Reclaim Rubber, Engineered Plastics, Polymer Composites and Tyre Retreading. The Reclaim Rubber procures tires at its end of life (EOL), to produce reclaim rubber (a replacement to natural and synthetic rubber) for use predominantly by tire manufacturers. The Engineered Plastics recovers polyamide waste from tires and along with other forms of EOL waste to produce engineering plastic compounds for sale to the plastic manufacturers in automotive and electrical applications. Polymer Composites use residue rubber to blend with recycled plastic waste to produce composite material which replaces wood and concrete. The applications for these composite boards are mainly in the transportation industry and limited to North America. Tyre Retreading helps fleet owners to extend life of their tyre by providing additional life.
Tariff Relief: Recent reduction in U.S. tariffs on Indian imports from 50% to 18% is expected to drive export volume recovery and better realizations, with benefits starting this quarter.
Stable Top Line: Q3 income grew 2% year-on-year to INR 1,352 million despite muted demand and global headwinds.
Margins Under Pressure: Gross profit and EBITDA declined 5% and 14% year-on-year, respectively, due to higher raw material costs and export margin compression.
CapEx Update: About INR 76 crores of planned capex deployed, with an additional INR 80 crores to be spent in FY '27 on pyrolysis and recovered carbon black projects.
Operational Adjustments: Expansion in new businesses (tyre pyrolysis, recovered carbon black, crumb rubber) is being deferred until technology stabilizes; commissioning expected by August 2026.
Domestic Growth: Domestic reclaim rubber revenues grew 27% in Q3 and 17% YTD, helping offset export declines, but at lower margins.
Positive Outlook: Management expects mid-teen volume growth in core businesses in FY '27 as tariffs normalize and new capacity ramps up.
