New Delhi: Pidilite Industries on Tuesday reported double-digit growth in the December quarter, with standalone net sales rising 11% year-on-year to ₹3,425 crore, supported by strong underlying volume growth and an improvement in operating margins.
Earnings before interest, tax and depreciation (EBITDA) increased 12.1% to ₹840 crore, while profit after tax climbed 12.5% to ₹601 crore. EBITDA margin improved to 24.5%, aided by a sharp moderation in input costs, although the company said part of the benefit was offset by a one-time provision related to the new labour code and higher spends on advertising and sales promotion.
On a consolidated basis, net sales grew 10.2% to ₹3,699 crore, while EBITDA rose 12% to ₹894 crore and profit after tax increased 12% to ₹624 crore. Gross margins expanded by over 220 basis points year-on-year, reflecting a favourable raw material environment.
The consumer and bazaar (C&B) segment remained the main growth driver, with revenue up 12.4% and underlying volume growth of 9.7%.
The business-to-business (B2B) segment grew 2.9% during the quarter, with the company citing slower exports of industrial products, particularly pigments, as a drag on performance.
Sudhanshu Vats, managing director of Pidilite, said the company delivered double-digit revenue growth with healthy operating margins and remains optimistic about demand conditions, aided by favourable monsoons, the impact of GST 2.0, and increased thrust on infrastructure and urbanisation in the Union Budget, while remaining watchful of geopolitical risks to supply chains.
Pidilite, maker of brands such as Fevicol, M-Seal and Dr Fixit, said it will continue to focus on driving consistent, profitable, volume-led growth through investments in brands, supply chain and people.