Shares of Gravita India hit a 52-week high of Rs 567.65, up 11% on the BSE in heavy volume in Wednesday’s intraday trade. Over the past two sessions, shares of the recycling company surged 12% after the company reported solid earnings for the March quarter (Q4FY23). The company’s market price surpassed the previous high of Rs 539.45 on February 13, 2023.

Gravita was quoted 9% higher at Rs 558.05 at 12:13 pm, while the S&P BSE Sensex was down 0.42%. 2.2 million shares representing 3.1% of Gravita India’s total share capital, changed hands on the NSE and BSE.

In Q4FY23, Gravita’s EBITDA margin increased 56 basis points year-over-year to 11% due to lower operating expenses. Reported lead EBITDA/mt was stable year-over-year. Operating income rose 12% year-on-year to Rs 749 crore. Profit after tax rose 8.5% to Rs 63.81 crore.

Regarding project updates, Gravita said that the second phase of the Mundra plant would be commissioned in April 2023, adding 60ktpa of lead recovery capacity (from 40.5ktpa previously). This includes the transfer of 19.5ktpa of Gandhidham capacity to Mundra. Mundra commissioned 7.5ktpa of plastic recycling and 4.8ktpa of red lead (VAP) capacity. The commissioning of 4ktpa aluminium recycling capacity each in Senegal and Togo led to a 31% year-on-year increase in aluminium production in Q4FY23.

Meanwhile, Gravita Group has raised a €34 million ESG long-term loan from European development finance institutions in a separate development. The facility enables Gravita’s offshore operations to gain financial independence for its capital expenditure and working capital needs. The facility is secured by the parent company Gravita India.

The company said the recent ESG financing is an essential milestone for Gravita to become the most valuable company in the global recycling industry.