Attended the concall but missed a few minutes intermittently due to work calls.
Concall brief-
-Industry growth 27% CAGR. Company likely to cross the industry growth rate and grow at a faster pace.
-Margins will be maintained.
-5 new clients signed. Mix of smartphone and computer/laptop waste. Not disclosed for confidentiality sake. Agreements ranging from one year to 3 years. No clause of extension in the agreements.
-EPR certificates will be a game changer for the company.
-Company is choosing only those products where there is not much competition.
-Current capacity 7200 MTA.
New capacity being set-up 18,000 MTA.
-Capex 45 Cr from internal accruals.
-Will achieve full capacity utilisation next year.
Competition – Yes, there is but market size is huge so all competition can co exist. List of competition available on CPCB website.
Org and unorganised mkt. 4mn MT market size. Govt tgt 2mn MT this year. 5mn next year.
40-50% will remain informal sector.
We are focusing on corporates only.
Revenue distr-
Metal
Plastic
Glass
Refurbished eqpt.
Li ion bty recycling licence obtained.
Earlier all bty were being exported to Korea now they will be recycled here as govt wants it to be fine within India and Li so recycled can be used in batteries in India. No plans for car battery recycling as of now. (Makes sense as there’s still time when they come up for recycling in terms of scale).
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