Table of content
Namo E-Waste Management Ltd Introduction
Namo eWaste Management Ltd. is a leading electronic waste management company in India, dedicated to providing sustainable and cost-effective e-recycling services.
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Brief about Namo E-Waste Management Ltd
Summary of the business of Namo E-Waste Management Ltd
Namo E-Waste Management Ltd is an E Waste collection, disposal and recycling company that offers comprehensive services for recycling of electrical and electronic equipment (EEE) waste like Air Conditioners, Refrigerator, Laptop, Phones, Washing Machine, Fans etc. complying with strict environmental regulations regarding handling hazardous products and disposing them safely to keep our environment green. Namo E-Waste Management Ltd is committed towards managing large volume of electrical and electronic equipment waste and able to extract all of the components of an electrical item including precious and semi-precious metals like Copper, Aluminium, Iron etc.
Namo E-Waste Management Ltd History
Company was originally incorporated as “Namo eWaste Management Limited” a public limited company under the Companies Act, 1956 at Delhi, pursuant to a certificate of incorporation dated January 13, 2014 issued by the Registrar of Companies, National Capital Territory of Delhi and Haryana. We commenced commercial operations pursuant to a Certificate for Commencement of Business dated January 29, 2014 issued by the Registrar of Companies, National Capital Territory of Delhi and Haryana. Our Company’s Corporate Identity Number is U74140DL2014PLC263441.
Naresh Kumar Jain, Neeraj Jain, Akshay Jain, Rachna Jain, Nikita Jain, Shobha Jain and Achal Jain were the initial subscribers to the Memorandum of Association of Company.
Namo E-Waste Management Ltd Promoters & Board of Directors
- Akshay Jain and Rachna Jain are the Promoters of Company.
Namo E-Waste Management Ltd Board of directors
| Name of Directors | Designation |
| Akshay Jain | Chairman &Managing Director |
| Parikshit Satish Deshmukh | Whole Time Director |
| Ujjwal Kumar | Non-ExecutiveDirector |
| Rojina Thapa | Independent Director |
| Saurabh Shashwat | IndependentDirector |
Namo E-Waste Management Ltd Share Holding pattern
| Names | % of Holding |
| Promoters | |
| Akshay Jain | 49.23% |
| Rachna Jain | 35.34% |
| Sub Total | 84.57% |
| Promoter Group | |
| Naresh Kumar Jain | 9.10% |
| Public | 6.33% |
Namo E-Waste Management Ltd Strength
- A dedicated service provider for collection, management and recycling of E-waste material through in-house factory unit.
- Stringent quality control mechanism ensuring standardized product quality
- Diversified revenue from multiple geographies
- Synergy of young and experienced management team
Namo E-Waste Management Ltd Strategies
- Expand our Domestic presence in existing and new markets
- Setup of new integrated factory unit through our subsidiary i.e. Techeco Waste Management LLP
- Focus on consistently meeting quality standards
- Scale up branding and promotional activities
Industry Outlook
What is e-waste?
E-waste is any electrical or electronic equipment that’s been discarded. They are electronic products that are unwanted, not working, and nearing or at the end of their “useful life.” Computers, televisions, VCRs, stereos, copiers, and fax machines are everyday electronic products.
E-waste is the fastest growing waste stream in India with 3.2 million tonnes of e-waste generated a year, third highest after China and USA (According to ‘Global E-waste Monitor 2020’). Fast growing ICT sector is one of the prominent contributors to this increasing number of e-wastes. Upgradation and faster obsolescence of electronic products make consumers discard their products quickly, which in turn accumulate huge e-waste to the solid waste stream. Another challenge is that major recycling of e-waste is handled by the informal sector. The methods used for recycling are primitive and hazardous. This adds to the problem of climate change and pollution in India. These prevailing challenges make e-waste sector a major focal point for both government and industry.
Ecosystem
Waste management rules were introduced in India in 2011, keeping in mind the dominant role of informal sector and the health and safety challenges that come along with informal handling of e-waste. These rules came into effect from 1 May 2012. Later, e-waste management rules were notified in 2016 in response to implementation issues and other shortcomings of 2011 rules. These rules came into effect from October 2016. These rules were further amended in March 2018.
Objectives
- Environmentally sound and safe management of e-waste
- Promote sustainable technologies through authorized dismantlers and recyclers.
- Implement Extended Producer Responsibility (EPR) (as mentioned in 2016 rules). The EPR mechanism lays emphasis on producers’ responsibility for environmentally sound management of e-waste.
- Control and minimize e-waste handling and recycling by the informal sector.
- Promote the establishment of an efficient e-waste collection mechanism, through buy-back and take-back systems.
Stakeholders
The Rules specifies various stakeholders and their respective responsibilities and activities that each of them needs to perform, right from seeking authorization to maintaining records and filing annual returns.
- Producers
- Dismantlers, recyclers, manufacturers and refurbishers
- Dealers
E-waste recycling process and role of technology
The process of e-waste recycling primarily involves two stages –
- Manual collection and processing – sorting, separating, cleaning, emptying, dismantling and segregation
- Mechanical processing – shredding, grinding etc. and selective treatment
Given that e-waste recycling involves many such stages and processes, role of technologies in this space becomes crucial to ensure sustainable and timely recycling of e-waste.
Many public R&D labs in India such as CIPET, CSIR-NML, C-MET Hyderabad, CSIR-NEERI etc. are working in this space and have also developed various technologies focusing on dismantling and segregation, processing of printed circuit boards, recovery of rare earth metals, plastic recycling etc.
One of the premier research institutions, Bhabha Atomic Research Centre (BARC) has developed several highly energy efficient and cost-effective e-waste recycling technologies, making them commercially viable. Some of these technologies include separation of high purity individual rare earths from primary as well as secondary resources, production of rare-earth value-added products such as RE metals, alloys and phosphorous and several technologies for recovery of REEs from recycling of electronic waste.
Many of these technologies by BARC are ready for transfer to any organization/company operating in the e-waste management space. This endeavor aims to fulfill our ambitious e-waste recycling goals and contribute towards an ‘Atmanirbhar Bharat’.
EPR PORTAL FOR E-WASTE MANAGEMENT
Extended Producer Responsibility (EPR) of producers are regulated through grant of Registration Certificate and issue Recycling Targets
/ EPR obligation. For Registration Certificate and Recycling Targets / EPR Obligation producers under these Rules (definition given below) are required to apply on the EPR Portal at the URL eprewastecpcb.in to CPCB. This E-Waste EPR Portal is an online E-Waste Management System, where applicant producers can apply online for grant of Registration Certificate and Recycling Targets / EPR obligation. All the stakeholders like Producer, Recyclers, Refurbishers and Manufacturers are required to register themselves on this system. The CPCB shall generate Extended Producer Responsibility Registration Certificate of Producers through the portal in favour of a Producer on receiving the required information on the portal as per the SOP. The producer shall fulfill their extended producer responsibility through online purchase of extended producer responsibility certificate from registered recyclers only and have to submit it online by filing quarterly return. ‘Producer’ means any person who, irrespective of the selling technique used such as dealer, retailer, e-retailer, etc. (i) manufactures and offers to sell electrical and electronic equipment and their components or consumables or parts or
spares under its own brand or (ii) offers to sell under its own brand, assembled electrical and electronic equipment and their components or consumables or parts or spares produced by other manufacturers or suppliers or (iii) offers to sell imported electrical and electronic equipment and their components or consumables or parts or spares.
Waste Management
E-Waste: There are 569 authorized dismantlers/ recyclers of E-Waste in the country having annual processing capacity of 17,90,348 TPA. There are 3430 Producers and 124 Recyclers, who have been granted registration at E-Waste EPR porta under E-Waste (Management) Rules, 2022.
Hazardous Waste: As per the inventory, about 12.35 Million MT of hazardous waste is generated, out of which about 7.59 Million MT i.e. 61.4% of overall hazardous waste generated has been either recycled or utilized. Out of 7.59 Million MT, about 1.64 Million
MT of hazardous waste has been recycled, 2.45 Million MT of HW has been Co-processed and about 3.51 Million MT of hazardous waste was utilized. CPCB has issued 84 Nos of Standard Operating Procedure (SOP) for utilization of about 55 types of hazardous waste under Rule 9 of HOWM Rules, 2016. During the year the CPCB has prepared 07 new SoPs for wastes namely Spent Aluminum Chloride, Calcium Hypochloride, Ammonia Liquor, Spent Sulphuric acid, Caffeine Liquor, ETP sludge of Ceramic industry & Galvanizing units) and revised 05 existing SoPs.
Apart from the above, CPCB has also prepared the following 02 guidelines during the year 2022-23:
1.Guidelines for Handling and Management of Flue Gas Desulphurisation (FGD) Gypsum
2.Guidelines for Environmentally Sound Facilities for Handling and Scrapping of End-of-life (ELVs) (Revised)
Plastic Waste: There are 2232 Brand-Owners (BO), 3639 Producers and 25472 Importers have been issued registration having Extended Producer’s Responsibility (EPR) target of 32.84 Lakh Tons for FY 2022-23. CPCB has framed the Standard Operating Procedure (SOP) and developed the online portal for certification of compostable Manufacturers/Sellers. As per provision 4 (h) of PWM Rules, 2016, certificates have been issued to 305 compostable Manufacturers / Sellers. The certified capacity has increased substantially, from nil in 2016 to approx. 3.6 Lakhs.
Battery Waste: Battery Waste Management (Amendment) Rules, 2023 has been notified on 25th Oct., 2023. Accordingly, CPCB has developed Registration Modules for Producers & Recyclers of waste batteries. CPCB has granted registration to 1,635 producers and 10 Recyclers till date.
Namo E-Waste Management Ltd Business Data
Namo E-Waste Management Ltd Verticals
- Electronic Recycling
- Refurbishment
- Extended Producer Responsibility Services (EPR)
Namo E-Waste Management Ltd Product wise break-up
(₹In Lakhs except percentages and ratios)
| Product name | Dec 31, 2023 | F.Y 2022-23 | F.Y 2021-22 | F.Y 2020-21 | ||||
| Revenue | % to Total | Revenue | % to Total | Revenue | % to Total | Revenue | % to Total | |
| Electronic Recycling | 3,395.21 | 63.23 | 5,203.85 | 89.04 | 3,797.20 | 84.8 | 2,359.59 | 77.1 |
| Refurbished Electronic Item | 958.53 | 17.85 | 541.15 | 9.26 | 376.54 | 8.41 | 514.86 | 16.82 |
| EPR Consultancy & other Service Income | 1,016.29 | 18.93 | 99.6 | 1.7 | 303.98 | 6.79 | 185.97 | 6.08 |
Namo E-Waste Management Ltd Revenue contribution from Geography presence
- We generate major domestic sales from the State of Haryana, whereas, we collect E-waste material from various states of India and outside India which results into increase in transportation and procurement cost.
Namo E-Waste Management Ltd Customer dependency
- For instance, our top ten customers for the period ending December 31, 2023 and F.Y. 2023, 2022 & 2021 accounted for 60.05%, 68.77%, 64.08% and 71.18% of our revenue from operations for the respective year and our top five customers for the period ending December 31, 2023 and F.Y. 2023, 2022 & 2021 accounted for 47.58%, 48.13%, 49.08% and 59.98% of our revenue from operations for the respective year.
Namo E-Waste Management Ltd Supplier dependency
- The amount spent for the procurement of e-waste from our top ten suppliers, as a percentage of our total purchases, was 83.01%, 88.46%, 72.64% & 85.84% in period ending December 31, 2023 and Fiscal 2023, 2022 & 2021 respectively.
Namo E-Waste Management Ltd Machinery/Plants/Factory
| Corporate Office & Factory | 14/1, Main Mathura Road, Faridabad-121003, Haryana, India. |
| Storage & Dismantling Unit | K. No. 24, Musttil No. 6, Milestone 54, Main Mathura Road, Agwanpur, Palwal, Haryana-121102,India. |
| Warehouse | Site No. 36/2, Dhawan Complex, Opp. Balaji Electro Control, Madanayakanahalli, DasanapuraHobli, Bangalore- 562162, Karnataka, India. |
| Existing Factory Unit | Gat No. 155B/2, Village Dhakambe, Tal. Dindori, Dist. Nashik 422004, Maharashtra, India. |
| Proposed Factory Unit | Gat No. 155B/1, Village Dhakambe, Tal. Dindori, Dist. Nashik 422004, Maharashtra, India. |
Namo E-Waste Management Ltd Capacity Utilisation
| Particulars | FY 2020-21 | FY 2021-22 | FY 2022-23 | For period ended December 31, 2023* |
| Metal Scrap (Copper scrap, Aluminium Scrap etc.) | ||||
| Installed Capacity per annum (Kg) | 31,20,000 | 44,20,000 | 44,20,000 | 33,15,000 |
| Actual Production per annum (Kg) | 5,85,000 | 10,01,000 | 11,96,000 | 10,33,500 |
| Capacity Utilization (in %) | 18.75% | 22.65% | 27.05% | 31.18% |
Competition
The E-waste recycling industry is competitive where the key factors of competition primarily comprise of product quality, cost, delivery, development and management. In this competitive industry, we compete with other E-waste management service providers and suppliers in the world and in India. Some of our competitors have better penetration in some of the geographical locations that we operate in. We believe that our cost effective and integrated facility, our focus on customer satisfaction and our reliability combined with our quality consciousness provides us with competitive advantage in many of our products. Some of our significant competitors in the organized segment includes Eco Recycling Ltd and Cerebra Integrated Technologies Limited. We believe that the Competition in this industry is likely to further intensify in view of the continuing awareness for environment safety.
Namo E-Waste Management Ltd Peer companies comparison
| Name of Company | CMP (₹) | Face Value | EPS | PE | RoNW (%) | Book Value(₹) | Total Income (₹ In lakhs) |
| Namo E-Waste Management Ltd | 85 | 10 | 1.62 | 52.47 | 8.58% | 18.87 | 5,856.07 |
| Peer Group | |||||||
| Eco recycling Ltd. | 596.65 | 10 | 3.21 | 185.87 | 13.51% | 23.75 | 2,153.00 |
| Cerebra Integrated Technologies Ltd. | 7.50 | 10 | 2.31 | 3.25 | 0.97% | 23.06 | 8,671.85 |
(₹In Lakhs except percentages and ratios)
| Key Financial Performance | Namo eWaste Management Limited | Eco Recycling Limited | Cerebra Integrated Technologies Limited | ||||||
| FY 2022-23 | FY 2021-22 | FY 2020-21 | FY 2022-23 | FY 2021-22 | FY 2020-21 | FY 2022-23 | FY 2021-22 | FY 2020-21 | |
| Revenue from operations | 5844.6 | 4477.72 | 3060.43 | 1774 | 1,529.00 | 1,267.00 | 8620.33 | 23107.67 | 6993.55 |
| EBITDA | 386.48 | 259.26 | 320.55 | 390 | 281 | 55 | 364.49 | 3819.93 | 795.15 |
| EBITDA Margin (%) | 6.61% | 5.79% | 10.47% | 21.98% | 18.38% | 4.34% | 4.23% | 16.53% | 11.37% |
| PAT | 241.56 | 180.89 | 192.6 | 619 | 1269 | 447 | 251.43 | 2741.42 | 123.29 |
| PAT Margin (%) | 4.13% | 4.04% | 6.29% | 34.89% | 83.00% | 35.28% | 2.92% | 11.86% | 1.76% |
| RoE(% | 8.96% | 9.73% | 18.43% | 12.97% | 31.19% | 16.11% | 0.98% | 10.11% | 0.43% |
| RoCE (%) | 11.31% | 8.17% | 11.89% | 14.29% | 23.34% | 13.63% | 1.25% | 14.77% | 2.53% |
Namo E-Waste Management Ltd Subsidiary companies
- Techeco Waste Management LLP (Formerly known as Techeco Ewaste Namo LLP)
Namo E-Waste Management Ltd SWOT ANALYSIS
- Strengths
- Strong Market Position: Namo eWaste is a leading player in the Indian e-waste management sector, giving it a competitive edge.
- ISO Certification: Compliance with ISO standards ensures high-quality and environmentally safe operations.
- Diverse Service Offerings: The company handles a wide range of electronic waste, from household appliances to IT equipment.
- Sustainable Practices: Zero waste discharge technology and eco-friendly processes enhance their reputation and operational efficiency.
- Public Awareness Initiatives: Active engagement in awareness campaigns and collection drives boosts their brand image and public trust.
- Weaknesses
- High Operational Costs: The cost of maintaining sustainable and compliant operations can be high.
- Dependency on Regulatory Environment: Changes in environmental regulations can impact operations and costs.
- Limited Geographical Reach: Primarily focused on the Indian market, which may limit growth opportunities.
- Opportunities
- Expansion into New Markets: Potential to expand services to other countries or regions.
- Technological Advancements: Adoption of new technologies can improve efficiency and reduce costs.
- Growing E-Waste Volume: Increasing electronic waste globally presents a growing market for their services.
- Partnerships and Collaborations: Opportunities to partner with tech companies and government bodies for large-scale e-waste management projects.
- Threats
- Intense Competition: The e-waste management sector is becoming increasingly competitive.
- Economic Fluctuations: Economic downturns can affect funding and operational costs.
- Regulatory Changes: Stricter regulations could increase compliance costs and operational challenges.
- Technological Obsolescence: Rapid technological changes can make current processes and equipment obsolete.
Business risk factors
- Namo E-Waste Management Ltd is an authorised E-waste recyclers to carry on the business of Ewaste collection, disposal and recycling. Failure to renew it in a timely manner may result in fines, legal penalties, or even business shutdown.
- Namo E-Waste Management Ltd is primarily dependent upon few key suppliers within limited geographical location for collection and recycling of electronic waste, with whom we have entered into long term purchase agreements which imposes fixed pricing conditions, stipulating that we must purchase the materials at predetermined prices irrespective of market fluctuations.
- The amount spent for the procurement of e-waste from top ten suppliers, as a percentage of total purchases, was 83.01%, 88.46%, 72.64% & 85.84% in period ending December 31, 2023 and Fiscal 2023, 2022 & 2021 respectively.
- Namo E-Waste Management Ltd is generate our major portion of sales from our operations in certain geographical regions and any adverse developments affecting our operations in these regions could have an adverse impact on our revenue and results of operations.
- We generate major domestic sales from the State of Haryana, whereas, we collect E-waste material from various states of India and outside India which results into increase in transportation and procurement cost.
- Substantial portion of revenues has been dependent upon few customers, with which do not have any firm commitments. The loss of any one or more of major customer would have a material adverse effect on our business, cash flows, results of operations and financial condition.
- Under-utilization of recycling capacities and an inability to effectively utilize our expanded recycling capacities could have an adverse effect on our business, future prospects and future financial performance.
Namo E-Waste Management Ltd Financials
Namo E-Waste Management Ltd Key Financial Ratios
| Ratio | December 31,2023 | March 31,2023 | March 31,2022 | March 31,2021 |
| Current Ratio | 1.46 | 1.97 | 1.90 | 0.86 |
| Debt Equity Ratio | 0.50 | 0.12 | 0.23 | 1.18 |
| Debt Service Coverage Ratio | 3.40 | 4.24 | 3.69 | 3.80 |
| Return On Equity Ratio (%) | 9.91% | 8.96% | 9.73% | 18.43% |
| Inventory Turnover Ratio | 98 | 75 | 84 | 81 |
| Trade Receivable Turnover Ratio | 29 | 24 | 28 | 31 |
| Trade Payable Turnover Ratio | 32 | 48 | 30 | 12 |
| Net Capital Turnover Ratio | 5.94 | 6.89 | 12.14 | 19.61 |
| Net Profit Ratio (%) | 5.49% | 4.13% | 4.04% | 6.29% |
| Return On Capital Employed (%) | 10.45% | 11.31% | 8.17% | 11.89% |
| Return On Investment/Total Assets (%) | 8.38% | 9.13% | 6.22% | 11.05% |
Namo E-Waste Management Ltd Key Performance Indicators
(₹In Lakhs except percentages and ratios)
| Key Financial Performance | December 31, 2023 | FY 2022-23 | FY 2021-22 | FY 2020-21 |
| Revenue from operations | 5370.03 | 5844.60 | 4477.72 | 3060.43 |
| EBITDA | 564.66 | 386.48 | 259.26 | 320.55 |
| EBITDA Margin | 10.52% | 6.61% | 5.79% | 10.47% |
| PAT | 294.90 | 241.56 | 180.89 | 192.60 |
| PAT Margin | 5.49% | 4.13% | 4.04% | 6.29% |
| RoE(%) | 9.91% | 8.96% | 9.73% | 18.43% |
| RoCE (%) | 10.45% | 11.31% | 8.17% | 11.89% |
Namo E-Waste Management Ltd Assets & Liabilities
(Rs. in Lakhs)
| PARTICULARS | December 31,2023 | March 31,2023 | March 31,2022 | March 31,2021 |
| EQUITY AND LIABILITIES | ||||
| Shareholders’ Funds | 3138.16 | 2814.76 | 2577.21 | 1139.55 |
| Non-Current Liabilities | 453.94 | 315.54 | 561.09 | 66.97 |
| Current Liabilities | 2259.22 | 781.97 | 1036.04 | 1462.13 |
| Total | 5851.33 | 3912.26 | 4174.34 | 2668.65 |
| ASSETS | ||||
| Non-Current Assets | 2169.78 | 1999.15 | 1846.98 | 1062.30 |
| Non-Current Investment | 373.63 | 370.86 | 355.88 | 341.85 |
| Current Assets | 3307.92 | 1542.25 | 1971.48 | 1264.50 |
| Total | 5851.33 | 3912.26 | 4174.34 | 2668.65 |
Namo E-Waste Management Ltd Profit & Loss
(₹In Lakhs except percentages and ratios)
| Key Financial Performance | December 31, 2023 | FY 2022-23 | FY 2021-22 | FY 2020-21 |
| Revenue from operations | 5370.03 | 5844.60 | 4477.72 | 3060.43 |
| EBITDA | 564.66 | 386.48 | 259.26 | 320.55 |
| EBITDA Margin | 10.52% | 6.61% | 5.79% | 10.47% |
| PAT | 294.90 | 241.56 | 180.89 | 192.60 |
| PAT Margin | 5.49% | 4.13% | 4.04% | 6.29% |
Namo E-Waste Management Ltd Cash Flow
(Rs. in Lakhs)
| Particulars | December 31,2023 | March 31,2023 | March 31,2022 | March 31,2021 |
| Net Cash flow from Operating Activities | (797.88) | 482.85 | 305.93 | (287.53) |
| Net cash flow from Investing Activities | (232.75) | (208.46) | (834.06) | (314.53) |
| Net cash flow from Financing Activities | 1118.39 | (283.68) | 504.16 | 619.80 |
Namo E-Waste Management Ltd Capital structure
(₹In Lakhs except percentages and ratios)
| Particulars | Pre Issue |
| Debt | |
| Short Term Debt | 1099.77 |
| Long Term Debt | 455.29 |
| Total Debt | 1555.05 |
| Shareholders’ Fund | |
| Share Capital | 647.83 |
| Reserves & Surplus | 2490.33 |
| Total Shareholders’ Fund | 3138.16 |
| Long Term Debt/Equity | 0.15 |
| Total Debt/Equity | 0.50 |
IPO Details
Namo eWaste Management IPO Details
| Feature | Details |
|---|---|
| IPO Type | Book Built Issue |
| Issue Size | ₹51.20 Crores (Fresh Issue) |
| Price Band | ₹80 – ₹85 per share |
| Lot Size | 1600 shares (Minimum) |
| Opening Date | September 4, 2024 |
| Closing Date | September 6, 2024 |
| Listing Exchange | NSE SME |
Object of the issue
| Particulars | Amount (₹ in Lakhs) |
| Funding the Capital Expenditure requirements of our subsidiary i.e. Techeco Waste ManagementLLP, towards setting up of a new Factory unit at Nashik. | 1120.00 |
| To Meet Working Capital Requirement | [●] |
| General Corporate Purpose | [●] |
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