Lead Reclaim And Rubber Products Ltd. (LRRPL)
SME CapIndustrials stocks · SME cap · NSE
Lead Reclaim And Rubber Products Ltd. (LRRPL) converts waste rubber into high-quality, sustainable rubber products like whole tyre reclaim rubber, butyl tube reclaim rubber, natural tube reclaim rubber, rubber crumbs, and chips. It caters to Tyre, tube, conveyor belt, automobile parts, and infrastructure industries. The company is expanding into higher-margin verticals like Tyre pyrolysis, recover carbon black, and EPDM rubber.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust is acceptable, price trend is neutral, and recent execution is weak.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Average · 30/100YoY data unavailable — classification deferred
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹17.9 Cr | NDF | -18.2% |
| EBITDA | ₹5.7 Cr | +146.8% | +102.1% |
| Operating margin | 31.8% | +2127 bps | +1893 bps |
| PAT | ₹3.1 Cr | NDF | +213.1% |
| PAT margin | 17.3% | +1287 bps | +1278 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
LRRPL reported strong FY26 results with revenue up 28% YoY to INR 39.82 Cr, EBITDA surging 130% to INR 8.52 Cr, and PAT increasing 180% to INR 4.09 Cr. EPS expanded 150% YoY. Working capital days reduced from 96 to 60, improving ROCE to 28% and ROE to 60%. H2 FY26 revenue declined 18% QoQ due to lower exports.
The company delivered robust FY26 financial performance, driven by operational efficiencies and strategic investments. Aggressive expansion into higher-margin products and captive solar power are expected to sustain profitability. While H2 revenue saw a QoQ dip from lower exports, the overall growth trajectory and capacity ramp-up plans support the long-term thesis.
Expansion into Higher Margin Verticals
Aggressively expanding into Tyre pyrolysis, recover carbon black, EPDM rubber, rubber chips, rubber powders, and crumb rubbers.
Increased Manufacturing Footprint
Significantly enhancing manufacturing footprint and expanding installed capacity from 960 MT/month to 2400 MT/month across all verticals post expansion.
Captive Solar Power
Strategically invested in captive solar power to meaningfully reduce electricity expenses and improve EBITDA margins.
Structural Industry Growth
The industry is entering a strong structural growth phase driven by sustainability initiatives, increased adoption of recycled materials, and EPR regulations.
Overall Installed Capacity Expansion
Installed capacity production to increase from 960 metric tons per month to 2400 metric tons per month across all verticals post expansion.
Current Reclaim Rubber Capacity
Currently, reclaim rubber capacity is 960 metric tons per month.
GPCB Licensed Capacity
Received license from GPCB for 1960 metric tons per month.
Total Capacity Post EPDM
Total capacity will reach 4200 metric tons per month after EPDM.
Sustainability Initiatives & EPR
Strong structural growth phase in the recycling industry driven by sustainability initiatives and implementation of EPR regulations.
Reduced Raw Material Costs from Imports
Sourcing from outside the country can result in lower purchase/production costs compared to the domestic market.
Export Opportunities for TPO
Focusing on exporting TPO as fuel to nearby countries where LDO is required for jet fuel consumption.
H2 FY26 Revenue Decline
H2 FY26 revenue declined by 18% compared to H1 FY26 due to geographical effect, as exports went down.
Dependency on Government Compliances
Operationalization of TPO and RCB plants is dependent on government compliances and approvals.
TPO Export Quality & Compliances
Exporting TPO requires matching quality from BIS standards and other compliances.
Regulatory Approvals for New Plants
Operationalization of TPO and RCB plants is subject to government compliances and approvals, potentially delaying timelines.
Raw Material Price Volatility
Scrap prices and procurement cycles depend on monsoon conditions, leading to inventory build-up for strategic benefits.
Future Funding Requirements
More funds will be required in FY27 and FY28 for the next phase of expansion, beyond current fundraising for land and construction.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
FY26 financial results (revenue, EBITDA, PAT, EPS) are reported on a Year-on-Year basis, indicating overall growth. However, H2 FY26 revenue decline is noted Quarter-on-Quarter, highlighting recent sequential trends and seasonality in exports.
Revenue (FY26)
Reported revenue of INR 39.82 crore, representing a growth of nearly 28% year on year.
EBITDA (FY26)
EBITDA grew strongly by over 130% to INR 8.52 crore.
PAT (FY26)
Profit after tax increased by more than 180% to INR 4.09 crore.
EPS (FY26)
Resulted in EPS expansion of 150% year on year.
Focus on Execution and Value Creation
Remain focused on fast execution, stable growth, and long-term value creation for all partners, stakeholders, and investors.
Margin Sustainability and Improvement
Believe margins are sustainable going forward, especially once EPDM and TPO operations start, and will try to increase profit margins.
Export Growth Target
Targeting to reach 20-25% exports in the current financial year, focusing on geographically nearby countries.
TPO Quality Standardization
Planning for BIS standards and purchasing machinery to match quality for TPO, working according to export documents and compliances.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Capacity Utilization | 45% | Ramp-up to 60-75% post capex, and 80% once the TPO plant is fully operational. |
| EPDM Plant Operationalization | Not yet operational | Commissioning by October 2026. |
| TPO/RCB Plant Operationalization | Not yet operational | Commissioning by December 2026, subject to government compliances. |
| Export Contribution to Sales | 6% | Increase to 20-25% in the current financial year. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
53NeutralSMA20 -4.0% / mo · MACD +
Technical chart
LRRPLdaily · 1Y · AUTO+45.8%Daily technical trend read
Mixed signalsSignals are conflicting — long-term uptrend intact. RSI 53. Wait for confirmation.
- Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
- SMA20 falling (~4.1% over last month) — short-term momentum negative.
- RSI(14) at 53 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 11% off 52W high · 49% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation & score drivers
U-Score 50 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 50 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 53.0%.
- Growth contributes 21/25 to the score.
Main drags
- Penalty bucket subtracts 8 points.
- Cash flow is weaker at 1/10; verify the latest quarterly trend.
- Valuation is weaker at 12/30; verify the latest quarterly trend.
Blended valuation: PE, EV/EBITDA, FCF yield, and balance-sheet checks
For this sector, IndiaPulse uses a blended lens rather than relying on a single valuation ratio.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: -3 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Claim history is still being built. It ranks around the 42nd percentile of the scored universe and 40th percentile within Industrials. Main check: cash conversion is weak at 43/100.
Healthy Trust Lite: Promoter pledge is zero. Key concern: Promoter holding fell 6.2%.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · Industrials: 40th pctile, median 68 · SME: 51st pctile, median 64
1 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Mixed Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸ROCE is 21.3%.
Trust risks
- ▸Promoter holding fell 6.2%.
- ▸Only 0 years of positive FCF.
- ▸OPM spread across recent quarters is 21.3%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 18.60
- P/B
- 3.14
- EV/EBITDA
- 8.33
- Market Cap
- 76.00Cr
Profitability
- ROE
- 18.50%
- ROCE
- 21.30%
- ROA
- 10.09%
- Dividend Y
- —
Growth (CAGR)
- Revenue 5Y
- 64.20%
- EPS 5Y
- 232.48%
- Revenue 3Y
- 23.00%
- EPS 3Y
- 23.00%
Balance Sheet
- Debt/Equity
- 0.52
- Interest Coverage
- 9.79×
- Altman Z
- 5.21
- Book Value
- 28.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 0/5
- OCF
- 5.34 Cr
- EPS TTM
- 4.73
Shareholding
- Promoter Hold
- 53.24%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 73%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
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Peers
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Peers
Business-comparable peers in Industrials — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.