RACENSERace Eco Chain LimitedMediumNeutral
Announced Tue, 19 Aug · 14:22 IST

Race Eco Chain Limited has informed the Exchange the Copy of Presentation on Financial Results for the Quarter ending on 30th June, 2025

Mgmt Guided Margin ImprovementMgmt Guided Margin PressureInvestor Communications View source PDF

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Race Eco Chain submitted its Q1FY26 earnings presentation to the exchanges, showing consolidated revenue of ₹156.73 crore (up 81% YoY) with EBITDA rising 108% to ₹2.91 crore and PAT quadrupling to ₹0.41 crore. Growth was led by the plastic packaging waste segment, which posted 97% YoY revenue growth to ₹155.31 crore on a consolidated basis. The biofuel business, however, saw revenue collapse 95% YoY to ₹0.33 crore due to procurement chain disruptions, with management initiating a restructuring of the biomass supply chain. The presentation also highlighted the JV with Ganesha Ecosphere for rPET washing plants and a proposed demerger splitting the company into three listed entities (waste management, biomass briquettes, and recycled products).

Likely market impact

Shareholders may benefit from potential value-unlocking through the proposed three-way demerger, but near-term caution is warranted given the biofuel segment's sharp revenue fall and thin consolidated EBITDA margin of around 1.86%.