Earnings Review
Pidilite Q1 revenue growth highest in 11 quarters
This story was originally published at 19:00 IST on 6 August 2025
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--Pidilite Apr-Jun consol net profit INR 6.72 bln
--Analysts saw Pidilite Apr-Jun consol net profit at INR 6.10 bln
--Pidilite Apr-Jun consol net profit INR 6.72 bln vs INR 5.67 bln year ago
--Pidilite Apr-Jun consol revenue INR 37.53 bln vs INR 33.95 bln year ago
--Pidilite Apr-Jun consumer, bazaar sales INR 30.07 bln vs INR 27.41 bln
--Pidilite Apr-Jun business to business sales INR 8.07 bln vs INR 7.26 bln
--Pidilite to pay INR 10 per share special interim dividend
--Pidilite approves 1-for-1 bonus share issue
--Pidilite special interim dividend record date is Aug 13
--Pidilite Apr-Jun consol EBITDA INR 9.41 bln, up 15.8% on year
--Pidilite Apr-Jun underlying volume growth 9.9% on year
By Avishek Rakshit
KOLKATA – A jump in sales volume helped adhesives and sealant major Pidilite Industries Ltd. report the highest on-year revenue growth of 10.5% in 11 quarters and beat the Street's estimate for both revenue and net profit. The company reported a top line of INR 37.5 billion against the Street's projection of INR 36.6 billion. Its consolidated net profit grew 18.6% on year to INR 6.7 billion and was higher than the Street's projection of INR 6.1 billion.
In the year-ago period, the company reported a top line of nearly INR 34 billion and a net profit of INR 5.7 billion. In the March quarter, its revenue was INR 31.4 billion and the bottom line was INR 4.2 billion.
The company's revenue growth was supported by an underlying volume growth of 9.9% across product categories and geographies. The consumer and bazaar segment reported an underlying volume growth of 9.3% on a trailing basis and the business-to-business vertical reported an underlying volume growth of 12.6% which was the eighth consecutive quarter of double-digit growth for this segment.
Sales of the consumer and bazaar vertical, which usually accounts for around 80% of the total sales and 87% of the pre-tax profits, increased by 9.7% on year to over INR 30 billion. Business-to-business sales, which account for the residual 20% of total sales and 13% of the profit, rose by 11.2% on year to INR 8.1 billion. The pre-tax profit from the consumer and bazaar vertical increased by 17.6% on year to INR 9.5 billion and the profit from business-to-business sales increased by 20.5% on year to INR 1.3 billion.
The company's domestic subsidiaries reported double-digit sales growth of 11.5% with earnings before interest, tax, depreciation, and amortisation growing by 31.7% on year driven by fall in input costs. Its overseas subsidiaries grew by 6.4% on year and reported an EBITDA growth of 9% on year.
In a statement, Managing Director Sudhanshu Vats said that despite the challenging macro-economic demand environment, the company delivered strong underlying volume growth and healthy operating margins. "As we look ahead, we continue to remain cautiously optimistic as the domestic operating environment improves with good monsoons, steady demand conditions especially in the construction sector, lower interest rates and recent measures to improve liquidity," he said.
Pidilite's gross margin was flat on year but the EBITDA margin improved by 101 basis points and the consolidated EBITDA increased by 15.8% on year. The EBITDA before non-operating income at INR 9.4 billion grew by 15.8% over the same quarter of the last financial year.
"We however remain watchful of geopolitical developments with its likely impact on supply chain disruptions and uncertainty around global tariffs. We remain committed to our strategic agenda of delivering consistent, profitable volume led growth through investment in our brands, supply chain and people," Vats said.
To commemorate the 101st birth anniversary of the company's founder, B.K. Parekh, Pidilite announced a bonus share issue and a special dividend. The board approved issue of one bonus share of INR 1 face value for one share held in the company. The company announced a special interim dividend of INR 10 per share and set the record date of Aug. 13.
On the National Stock Exchange, shares of Pidilite Industries closed 1.5% higher at INR 3,041.80. The company announced its June quarter results during market hours. End
Edited by Ashish Shirke
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