Analysis: Lead Reclaim & Rubber Products Ltd.

NSE:LRRPL Rubber - Products Market cap: ₹64 cr

Growth thesis

Lead Reclaim converts waste rubber into sustainable products including reclaimed rubber, crumb rubber, and pyrolysis-derived materials like TPO and RCB. Key segments include reclaim rubber (targeting 2400 metric tons/month by FY27), crumb rubber, and emerging TPO/RCB/EPDM lines. Growth is driven by 160% capacity expansion to 4200 metric tons/month by October 2026, a 1.2 MW solar plant cutting costs, and a 60 metric ton/day TPO plant launching by December 2026. The business targets INR 190 crores revenue by 2029 with 10-12% PAT margins, leveraging EPR regulations and 20-25% export growth. Key execution risk is timely Gujarat government approvals for the TPO/EPDM plant, critical to achieving 80% capacity utilization and 60% TPO/RCB revenue contribution by FY29.

Why is Lead Reclaim & Rubber Products Ltd. stock rising?

  • Expanding into higher-margin verticals: tyre pyrolysis, recovered carbon black (RCB), EPDM rubber, rubber chips, powders, and crumb rubbers to diversify beyond reclaimed rubber
  • Installing a 1.2 MW captive solar plant to reduce electricity costs and improve EBITDA margins
  • Targeting capacity expansion from 960 metric tons per month to 2,400 metric tons per month across all verticals, with a medium-term goal of 4,200 metric tons per month after EPDM plant goes live
  • EPDM plant (250 metric tons per month) expected to be operational by September–October 2026
  • TPO (tyre pyrolysis oil) and RCB plant with 60 metric tons per day capacity targeted for operational readiness by December 2026, subject to government approvals

Research report

companyname: Lead Reclaim and Rubber Products Limited ticker: LRRPL sector: Reclaimed Rubber / Recycling Industry Lead Reclaim and Rubber Products Limited (LRRPL) converts waste rubber into high-quality, sustainable, and value-added rubber products. The company has been in this business since 2012, operating from a single manufacturing facility in Kheda district, Gujarat. Its core today is reclaimed rubber--taking scrap tyres, inner tubes, and other rubber waste and processing them into materia...

Read the full report →

Catalysts

capex, margin expansion, new product segment, geographic expansion

Growth guidance

Revenue guided at INR 190 crores by 2029 driven by capacity expansion and new verticals

RS rating: 78 Stage: Stage 2

Get valuation models, detailed research reports, thematic primers, one-pagers, risk analysis, growth triggers, bear case, capex tracker, walk the talk, and more for Lead Reclaim & Rubber Products Ltd. and 4,900+ companies.

Sign in
5-day free pass. No card required.
More in Rubber - Products