GRP Limited, formerly known as Gujarat Reclaim and Rubber Products Ltd, was incorporated in June 1974 and changed its name to GRP Limited in June 2012. It is an India-based company primarily engaged in the manufacturing of reclaim rubber, upscaled polyamide from nylon waste, and engineered products die-cut from end-of-life tires.
The company has established itself as a significant player in the rubber recycling industry, focusing on sustainable manufacturing practices by converting waste materials into valuable products. GRP Limited manufactures and sells reclaimed rubber products for tyre and non-tyre rubber goods in India and internationally.
GRP Limited operates five distinct business verticals: Reclaim Rubber, Engineering Plastics, Repurposed Polyolefins, Polymer Composite, and Custom Die Forms.
- Reclaim Rubber: This segment procures end-of-life (EOL) tires to produce reclaim rubber, which serves as a replacement for natural and synthetic rubber, predominantly used by tire manufacturers. The company offers reclaim natural and synthetic rubber products for various applications, including inner liners and tubes, tyre sidewalls and piles, tyre treads and retreads, conveyor belts, moulded goods, adhesives, and footwear, as well as rubber mattings, profiles, and roofing.
- POLYCOAT: An elastic powder in compounded form, POLYCOAT is used in NBR-based moulded products, metal-to-rubber bonded parts, NBR-based oil seals, NBR matting/sheeting, and NBR-PVC blends. It also finds applications in tyres, conveyor belts, moulded products, sheeting/matting, tread rubber, seals/gaskets, and flaps.
- Engineering Plastics: This vertical comprises glass-filled and unfilled reprocessed nylon 6 and modified nylon 6,6, which are utilized in automotive, electrical and electronics, consumer, and industrial applications.
- Repurposed Polyolefins: This segment includes impact copolymer polypropylene, IC PP custom colors, and PP-based elastomers used in paint and lubricant pails, automotive battery covers, and pallets.
- Custom Die Forms: Offerings in this segment include link, door, and industrial mats, as well as dock bumpers, primarily for use in civil and agricultural applications.
GRP Ltd has a market capitalization of ₹1,471 Crore as of May 7, 2025, and is classified as a Small Cap company. The company has demonstrated strong financial performance with significant growth in recent quarters.
The company's net profit jumped 66.67% year-over-year to ₹19.45 Crore in Q4 FY2024-25. GRP reported a 20 percent year-over-year revenue growth for both Q3 and the first nine months of FY2024-25, despite facing margin pressures from elevated raw material costs. The company recorded a total income of INR 1,327 million in Q3 FY2024-25, with EBITDA margins holding steady at 9.8 percent.
- Market Capitalization: ₹1,471 Crore (as of May 2025)
- Revenue (Q1 FY2025-26): ₹160.34 Crore (as of March 2025)
- Net Profit (Q1 FY2025-26): ₹19.45 Crore (as of March 2025)
- Net Profit Growth (Q4 FY2024-25 YoY): 66.67%
- Promoter Holding: 40.06% (as of March 2025, down from 40.30% in Aug 2024)
- 3-Year Return: 99.7%
- Last 12 Months Share Price Change: +28.23% (BSE)
- Last 3 Years Share Price Change: +784.06% (BSE)
As of May 7, 2025:
- P/B Ratio: 8.58 times, representing a 26% premium to its peers' median range of 6.81 times.
- P/E Ratio: 64.18 times, representing a 152% premium to its peers' median range of 25.44 times.
- Latest P/E (price-to-earnings) Ratio: 65.66
- Latest P/B (price-to-book) Ratio: 8.92
In Q3 FY2024-25, the company achieved a 20% income growth, bolstered by rising volumes in both Reclaim and non-Reclaim sectors. This growth occurred despite challenges from elevated raw material costs and fixed pricing agreements that pressured gross margins. Harsh Gandhi, Managing Director of GRP Limited, noted, "We achieved a 12 percent increase in volumes on a standalone basis, with Reclaim Rubber volumes growing nine percent despite subdued global tyre demand."
GRP is actively pursuing its INR 2.5 billion expansion plan, having secured financing from the French development finance institution Proparco. "We remain on track to commence operations for the first line of crumb rubber and continuous pyrolysis line by Q4 of this financial year," Gandhi stated, confirming that INR 330 million has already been invested in the project.
The strategic shift towards higher-grade reclaim rubber and investments in sustainability initiatives, including recycled polyamide compounds and Extended Producer Responsibility (EPR) credits, present promising growth avenues. The company recognized INR 121 million in EPR credits year-to-date, with an additional INR 180 million worth of credits valued at minimum support price still available for sale.
The Chairman of the company is Rajendra V Gandhi, and Jyoti Sancheti serves as the Company Secretary & Compliance Officer. The promoter holding in GRP Ltd has slightly decreased to 40.06 per cent as of March 2025 from 40.30 per cent as of August 2024.
GRP Ltd. specializes in manufacturing reclaimed rubber, thermoplastics, and custom polymer blends, operating multiple facilities in India. The company serves automotive, tire, and industrial sectors in domestic and international markets with a strong focus on sustainability and innovation. As regulatory changes increasingly drive demand for recycled materials, GRP is well-positioned to capitalize on emerging market opportunities while navigating the complexities of pricing dynamics and competitive positioning in the evolving landscape.
The company is registered at Plot No 8 GIDC Estate, Ankleshwar, Bharuch, Gujarat-393002, and continues to expand its operations to meet the growing demand for sustainable rubber products across various industries.
