Gravita India shares fall 8% after Q1 results; announces unit closure

Gravita Metal accounted for ₹92.24 crore, or 2.65 per cent, of the company's turnover, while contributing ₹1 crore, or 0.05 per cent, to Gravita India's net worth.

Gravita India's share price cracked over 8 per cent on Tuesday, a day after the company reported its June quarter (Q1FY27) results and announced the closure of subsidiary Gravita Metal with effect from August 1, 2026.

 

The company reported a profit of ₹106 crore for the June quarter, a 14 per cent jump from ₹93 crore profit reported in the year-ago June quarter.  Gravita India's revenue surged nearly 42 per cent to ₹1,475 crore for Q1FY 27 compared to ₹1,040 crore a year earlier.

 

Regarding the closure of Gravita Metal, the company, in an exchange filing, said, "the operations of the said subsidiary will be discontinued, as the same line of business is being carried out at the Company's other manufacturing facility at Jaipur, which offers greater operational and cost efficiencies".

 

 

It added that, in the interest of optimal utilisation of the Group's resources, the management has decided to discontinue operations of the said subsidiary. 

 

The company also added that the closure of Gravita Metal is not expected to have any material impact on the company's financial position. The unit accounted for ₹92.24 crore, or 2.65 per cent, of the company's turnover, while contributing ₹1 crore, or 0.05 per cent, to its net worth. The unit also reported a profit after tax (PAT) of ₹1.63 crore, representing 0.55 per cent of Gravita's total PAT for the financial year ended March 31, 2026.

 

At 12:54 PM, Gravita India's share price was trading 7.78 per cent lower at ₹1,650 per share on NSE. In comparison, Nifty 50 was up 0.73 per cent at 24,013.50. In intraday trade, the stock declined 8.3 per cent to touch the day's low at ₹1,639 per share.

 

Vipin Kumar, AVP research at Globe Capital Market, said that Gravita India's counter has been hovering in a consolidation range (₹1,540–₹1,870 zone) since mid-April 2026. Immediate support is placed around the ₹1,560–₹1,540 zone, while resistance lies around the ₹1,800–₹1,870 zone. "Going forward, we expect it to continue moving sideways as long as it trades within this range. A breakout on either side will set the stage for its next short-term directional move," he added.

 

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