Graphite India (GRIL IN) – Management Meet Update – Play on rising EAF steel production share – Not Rated
Published on 16 Dec 2025
We met the management of Graphite India (GRIL) to understand the industry dynamics and the company’s long-term strategy. GRIL is one of the largest graphite electrode producers in India with an installed capacity of 80ktpa. The company has a geographically well-diversified customer base, with a leading market share (50%+) in India and also exports to the rest of Asia, Europe and the US. The management highlighted that weakness in the electrode business is expected to continue through H2FY26, with improvement likely thereafter as steel demand improves. Graphite electrodes are consumables used in electric arc furnace (EAF) to melt the scrap. Global steel production via the EAF route has been growing at 2.3% CAGR over the last two decades. This share is expected to increase further as the decarbonization drive intensifies, driving demand for graphite electrodes. Chinese curtailment of steel production and improvement in developed economies’ steel sector remain key monitorables for graphite electrode demand over the medium-to-long term. . The stock is trading at EV of 31.3x of FY25 EBITDA. Not Rated.
