CMRGREEN Q4 FY26 earnings call

CMR Green Technologies Limited successfully listed on NSE and BSE on June 10, 2026, following an IPO of ₹630 crores. The company, established in 2006, is a leader in its field, boasting an installed capacity four times larger than its nearest competitor and ranking among the top 12 globally according to an ICRA report. It holds a significant 45% market share in the Indian automotive recycled aluminum sector, supplying nearly every second vehicle on the road.

For FY26, total volume increased by a remarkable 24% to 80,381 metric tons. The aluminum segment saw 27% growth to 65,636 metric tons, while the non-ferrous metal segment grew 18% to 14,745 metric tons. Current installed capacity stands at 6.05 lakh metric tons, with plans to expand to nearly 7 lakh tons by FY27. Two new plants are under construction in Shoolagiri (for electric vehicle parts) and Bawal (driven by existing customer demand), with ₹200 crores allocated for FY27 capex.

CMR has strategically diversified beyond the automotive sector into new areas. This includes a beverage can recycling plant in Odisha, supplying liquid recycled metal to Hindalco Industries. Additionally, the company has established a facility for producing recycled green billets and sheet ingots, a first in India, catering to the construction and rapidly growing solar panel manufacturing sectors. These initiatives are aimed at supplying new metal to primary producers and expanding market reach.

As a recycling company, CMR emphasizes its commitment to environmental, social, and governance (ESG) principles. It is rated #6 globally on the S&P Global Corporate Sustainability Index for aluminum and recently achieved a Bronze medal (84 percentile) in the EcoVadis assessment. The company operates with zero liquid and solid discharge, and one-third of its power requirement is met through solar energy, saving millions of tons of critical materials annually.

CMR maintains a dominant market position, supplying to most OEMs for two-wheelers and four-wheelers, and Tier 1 auto component suppliers. Relationships with customers are long-standing, often involving single-source or major supplier roles. The company's strategy of locating plants near customers enables liquid metal supply and ensures predictable, high-repeat orders. CMR also holds patents for safe liquid metal transportation and process control.

To mitigate risks from potential scrap export bans or duties (e.g., from UAE, EU), CMR sources raw materials from all six continents, ensuring a diversified supply chain. The company employs a strong risk management policy, including hedging positions to counter aluminum price volatility. Pricing with auto customers is monthly, passing on changes in aluminum prices or exchange rates, while the company hedges its exposure for the initial 60-day period.

For the full fiscal year 2026, consolidated revenue stood at ₹8,640 crores, marking a 30% year-on-year growth. EBITDA for FY26 was ₹449 crores, a 50% increase YoY, with a margin of 5.2% or ₹11,000 per ton. Profit after tax for FY26 reached ₹228 crores, reflecting a 47.30% YoY growth. In Q4 FY26, revenue grew 45% YoY to ₹2,364 crores, and EBITDA saw a significant 160% YoY increase to ₹128 crores, with a 5.4% margin or ₹11,400 per ton.