Graphite India’s Q1 Net Profit Drops 44% YoY to ₹133 Crore

2 Aug 2025 , 09:17 PM

Shares of Graphite India Ltd. dropped nearly 8% on Friday, August 1, following the release of its June quarter financial results that reflected a broad-based year-on-year decline in performance.

The company’s net profit fell sharply by 43.6%, settling at ₹133 crore. This is compared to ₹236 crore in the same quarter of the previous financial year. Revenue also declined 8.7%, with total income coming in at ₹665 crore. This is down from ₹728 crore in the year-ago period.

Operating performance weakened significantly. EBITDA plunged 61.2% to ₹43 crore, against ₹113 crore recorded during the corresponding quarter last year.

EBITDA margin shrank to 6.5%, a steep fall from the 15.5% margin posted a year earlier, pointing to margin pressure possibly due to cost challenges or reduced realizations.

Despite subdued earnings, the company reported stable operations, with its existing production capacity of 80,000 tonnes per annum (TPA) in India running at a utilization rate of 80–85%.

Graphite India is now planning a 25,000 TPA capacity expansion, to be executed in two stages over the coming years.

• Phase 1 will involve adding 13,000 TPA, expected to be completed within the next 12 months.
• Phase 2 will contribute another 12,000 TPA, planned over a timeline of 36 months.

The total capital expenditure for the expansion is pegged at ₹600 crore, with ₹100 crore earmarked for a captive renewable power generation facility, supporting sustainable energy use.

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