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Metals recycling firm Runaya sees revenues doubling in FY24
Steel

Metals recycling firm Runaya sees revenues doubling in FY24

According to Naivedya Agarwal, CEO and co-founder of Runaya, a metals recycling company that processes aluminium scrap and smelting residues from zinc, the company's revenue in 2023-24 (Apr-Mar) will more than double from 400 crore in FY23. The operating profit for the year is expected to be in the range of Rs 250-270 crore.

Aluminium production generates about 1-2% waste, which is commonly referred to as aluminium dross. Runaya, which currently obtains this dross from Vedanta smelters, uses approximately 50% of it to produce primary aluminium. The remainder is combined with chemical binders to form briquettes, which are used in steel mills.

Each year, the company processes approximately 50,000 tonnes of aluminium dross. While the primary aluminium recovered from this dross is returned to Vedanta, the company earns money from processing fees and briquette sales.

Vedanta sells this processed aluminium under the 'Restora' and 'Restora Ultra' brands, which are both low carbon aluminium brands with the same properties as primary aluminium.

Runaya currently obtains scrap only from Vedanta and BALCO, but is in discussions with Hindalco Industries, National Aluminium Co, and global smelters. "We should be able to crack these in the next six-seven months," Agarwal said.

Naivedya and Annanya Agarwal, nephews of Anil Agarwal, executive chairman of Vedanta Resources and non-executive chairman of Indian-listed natural resources conglomerate Vedanta, founded the company.

Runaya, which also processes waste from zinc processing, extracts minor metals such as nickel, cobalt, lithium, and cadmium from this waste.

It currently obtains this scrap from Hindustan Zinc and then sells some of these minor metals to companies in the automobile, battery, and semi-conductor industries on the open market. Some minor metals are also returned to the company.

The company is in the process of commissioning its minor metal recovery plant, and this business is expected to generate revenues in the range of 450-470 crore in the current fiscal year.

Runaya currently receives scrap from base metal producers for free and does not anticipate this changing anytime soon. “Companies are happier to give it (scrap) away for free than to deal with the headache of managing it,” Agarwal said.

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According to Naivedya Agarwal, CEO and co-founder of Runaya, a metals recycling company that processes aluminium scrap and smelting residues from zinc, the company's revenue in 2023-24 (Apr-Mar) will more than double from 400 crore in FY23. The operating profit for the year is expected to be in the range of Rs 250-270 crore. Aluminium production generates about 1-2% waste, which is commonly referred to as aluminium dross. Runaya, which currently obtains this dross from Vedanta smelters, uses approximately 50% of it to produce primary aluminium. The remainder is combined with chemical binders to form briquettes, which are used in steel mills. Each year, the company processes approximately 50,000 tonnes of aluminium dross. While the primary aluminium recovered from this dross is returned to Vedanta, the company earns money from processing fees and briquette sales. Vedanta sells this processed aluminium under the 'Restora' and 'Restora Ultra' brands, which are both low carbon aluminium brands with the same properties as primary aluminium. Runaya currently obtains scrap only from Vedanta and BALCO, but is in discussions with Hindalco Industries, National Aluminium Co, and global smelters. We should be able to crack these in the next six-seven months, Agarwal said. Naivedya and Annanya Agarwal, nephews of Anil Agarwal, executive chairman of Vedanta Resources and non-executive chairman of Indian-listed natural resources conglomerate Vedanta, founded the company. Runaya, which also processes waste from zinc processing, extracts minor metals such as nickel, cobalt, lithium, and cadmium from this waste. It currently obtains this scrap from Hindustan Zinc and then sells some of these minor metals to companies in the automobile, battery, and semi-conductor industries on the open market. Some minor metals are also returned to the company. The company is in the process of commissioning its minor metal recovery plant, and this business is expected to generate revenues in the range of 450-470 crore in the current fiscal year. Runaya currently receives scrap from base metal producers for free and does not anticipate this changing anytime soon. “Companies are happier to give it (scrap) away for free than to deal with the headache of managing it,” Agarwal said. Also Read PCMC writes to Maha-Metro to fix road below Dapodi-Pimpri metro line Colaba-Bandra-Seepz metro line trials to begin soon

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