Baheti Recycling Industries Limited
29 April 2026
Baheti Recycling Industries posts 38% revenue rise, 50% profit jump
Baheti Recycling Industries Ltd – FY26 Financial & Strategic Update
Date: 29 April 2026
Source: Company press release (NSE Symbol: BAHETI)
Key Financial Highlights (FY26)
| Metric | FY26 | FY25 | YoY Change |
|---|---|---|---|
| Revenue from Operations | ₹724.86 cr | ₹524.31 cr | +38.3% |
| EBITDA | ₹60.97 cr | ₹40.63 cr | +50.1% |
| EBITDA Margin | 8.41% | 7.75% | +66 bps |
| PBT | ₹36.52 cr | ₹24.12 cr | +51.4% |
| PAT | ₹27.06 cr | ₹18.01 cr | +50.3% |
| PAT Margin | 3.73% | 3.43% | +30 bps |
| EPS | ₹26.08 | ₹17.37 | +50.1% |
H2 FY26 alone showed a 53.6% jump in total income, driven by a 53.4% rise in revenue.
Strategic Developments
- New OEM Clients: TVS Motor, Royal Enfield, Bajaj Auto now sourced directly, enhancing brand credibility and pricing leverage.
- Capacity Expansion:
- Investment of ₹20‑25 cr in an Aluminium Wire Rod division (Phase 1: 12,500 MT, expected revenue ₹200‑250 cr; Phase 2: 25,000 MT, potential ₹500 cr).
- Replacement of older pit furnaces with electric furnaces, raising total smelting capacity to 38,000 MT; five additional furnaces slated for FY27.
- Capital Raise: Preferential allotment of ₹7.48 cr to bolster working capital as volumes increase.
- Energy Cost Management: Captive solar plant to be operational by May 2026, reducing power costs for electric furnaces and improving margins from Q2 onward.
Market Context & Management Commentary
- Global primary aluminium supply constraints (Middle‑East disruptions) are pushing customers toward secondary aluminium, which uses ~95% less energy and benefits Baheti’s cost structure.
- Management expects the order book to start FY27 at >₹175 cr, indicating sustained demand.
- The company emphasizes a long‑term growth narrative, leveraging its lower‑energy footprint and expanding into higher‑value OEM supply chains.
Investor Implications
- Opportunities: Higher margins, diversified OEM base, and upcoming wire‑rod business could drive multi‑year revenue acceleration.
- Risks: Execution risk on new capacity projects, potential dilution from the preferential allotment, and sensitivity to automotive sector cycles.
- Catalysts: Successful commissioning of the solar plant, scaling of the wire‑rod division, and continued primary aluminium supply tightness.
Outlook
- Short‑term: Expect continued revenue growth in Q1 FY27, supported by the existing order book and margin uplift from lower power costs.
- Medium‑term: The wire‑rod division and additional electric furnaces could add ₹200‑500 cr of incremental revenue over the next 2‑3 years, enhancing earnings per share.
- Long‑term: Baheti’s low‑energy recycling model positions it favorably amid global decarbonisation trends and potential regulatory incentives for secondary metal producers.
Prepared by the Senior Finance Analyst – 29 April 2026
Original Source Document
View the original exchange filing or announcement.
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