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Pidilite Industries LtdQ4 FY26 earnings call

All quarters

Summary generated by AI from the official transcript Pidilite Industries Ltd filed with BSE on 15 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries

The short read

Pidilite reported standalone Q4 FY26 revenue of Rs 3,272 crore, up 15.3% with underlying volume growth of 15.3%, and EBITDA margin expansion of 280 basis points to 23.4%. Management attributed the acceleration to broad-based demand buoyancy across Consumer and Bazaar and B2B segments, while noting export disruption in March due to the Gulf and West Asia conflict. Management also discussed raw material inflation of 40-50% on a weighted average basis and price increases taken in April and May in response.

1 statement from this call is not shown because its supporting quote could not be reproduced within our quoting limits. Nothing shown here is affected: every statement on this page carries its verified quote.

Numbers mentioned

Standalone revenue: Rs 3,272 crores (Q4 FY26)

p. 3
In the Current quarter, our stand-alone revenue at INR 3,272 crores grew by 15.3% in value terms and was underpinned by underlying volume growth of 15.3%.

Sandeep Batra, page 3 of the filed PDF · View the filing

Underlying volume growth: 15.3% (Q4 FY26)

p. 3
This compares to underlying volume growth of 9.8% that we had delivered till December and 9.3% UVG that we delivered in FY '25.

Sandeep Batra, page 3 of the filed PDF · View the filing

Consumer and Bazaar UVG: 15.4% (Q4 FY26)

p. 3
Consumer and Bazaar was 15.4% and B2B was 14.8%.

Sandeep Batra, page 3 of the filed PDF · View the filing

EBITDA margin: 23.4% (Q4 FY26)

p. 3
And EBITDA margin at 23.4% expanded by 280 bps versus same period last year.

Sandeep Batra, page 3 of the filed PDF · View the filing

EBITDA growth: 31.1% (Q4 FY26)

p. 3
And for the quarter, EBITDA grew by 31.1%.

Sandeep Batra, page 3 of the filed PDF · View the filing

Consolidated revenue growth: 14.1% (Q4 FY26)

p. 4
Consequently, our total consolidated revenue grew by 14.1%.

Sandeep Batra, page 4 of the filed PDF · View the filing

Consolidated PAT growth: 36.6% (Q4 FY26)

p. 4
All of it flows down to PAT, which grew by 36.6%.

Sandeep Batra, page 4 of the filed PDF · View the filing

Full year consolidated revenue: Rs 14,553 crores (FY26)

p. 4
For the full year, again, consolidated revenue at INR 14,553 crores was up by 11.1% and EBITDA margin expanded by 120 bps over all of FY '25.

Sandeep Batra, page 4 of the filed PDF · View the filing

Full year PAT growth: 17.9% (FY26)

p. 4
And PAT grew by 17.9%.

Sandeep Batra, page 4 of the filed PDF · View the filing

Final dividend: Rs 11.5 per share (FY26)

p. 4
The Board also approved a final dividend of INR11.5 per share on an expanded share capital.

Sandeep Batra, page 4 of the filed PDF · View the filing

International subsidiaries growth: 8% (Q4 FY26)

p. 4
If I look at how our subsidiaries performed, the international subsidiaries in the quarter grew by 8% and domestic subsidiaries grew 5.3%.

Sandeep Batra, page 4 of the filed PDF · View the filing

Nina waterproofing business decline: 16% (Q4 FY26)

p. 4
So the Nina waterproofing business would have declined by 16%, but the rest of the businesses, which are largely Consumer and Bazaar recorded very strong growth and very strong profitability.

Sandeep Batra, page 4 of the filed PDF · View the filing

Raw material inflation: 40% to 50% (current)

p. 8
I think inflation is real on our weighted average raw material basket, inflation is anywhere between 40% to 50%.

Sudhanshu Vats, page 8 of the filed PDF · View the filing

VAM price: $840 a tonne (Q4 FY26)

p. 19
VAM for the last quarter was around $840 a tonne, pretty much in line with the previous quarter.

Sandeep Batra, page 19 of the filed PDF · View the filing

Capex: Rs 570 crores (FY26)

p. 16
And last year, we would have spent close to INR 570 crores on capex compared to INR 430 crores in the prior year.

Sandeep Batra, page 16 of the filed PDF · View the filing

FY26 UVG: 11.1% (FY26)

p. 7
And what I am happy about here is to talk about the FY '26 UVG growth numbers, which is about 11.1%.

Sudhanshu Vats, page 7 of the filed PDF · View the filing

VAM share of raw material basket: less than 10% (FY26)

p. 16
So if you look at last year, it would be less than 10% and I'm expressly calling out that if you look at FY '25-26, VAM would be under 10% of our raw material consumption for the company.

Sandeep Batra, page 16 of the filed PDF · View the filing

What management said it would do

A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.

EBITDA margin band — 20% to 24%

stated firmly by Sudhanshu Vats

p. 12
As far as we are concerned, at this moment, I would say we have guided a corridor of 20% to 24%. We stay committed to that guidance.

Sudhanshu Vats, page 12 of the filed PDF · View the filing

Price increases already taken — about 4% to 5% in April and another 7% to 8% in early May at company level · April-May

stated firmly by Sandeep Batra

p. 20
I think Sudhanshu mentioned at a company level, we have taken in April around 4% to 5%. And in early May, another 7% to 8%.

Sandeep Batra, page 20 of the filed PDF · View the filing

UVG growth trajectory — about 100-odd bps expansion · FY27

stated as an aspiration by Sudhanshu Vats

p. 16
So therefore yes, I think this about 100-odd bps expansion as we go forward is something we are planning for and we would like to deliver.

Sudhanshu Vats, page 16 of the filed PDF · View the filing

FY27 UVG outlook — FY27

stated conditionally by Sandeep Batra

p. 17
It's not a normal year. If it was a normal year, maybe yes, what you are saying would have been something that we could have agreed to. But this year is very unique and special.

Sandeep Batra, page 17 of the filed PDF · View the filing

Capex as percentage of revenue — 3% to 5% of revenue

stated firmly by Sudhanshu Vats

p. 15
So I think that's the thing. And as far as our capex philosophy is concerned, there are 3 buckets in which we do capex.

Sudhanshu Vats, page 15 of the filed PDF · View the filing

Q&A highlights

Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.

Management said the deal was driven by strategic synergies and BuildNext finding a better home at JSW One, with Pidilite becoming a small shareholder.

Answered by Sudhanshu Vats

Asked by Abneesh Roy: Why did Pidilite transfer BuildNext to JSW One and is it a financial or strategic investment given the paints overlap?

p. 4
So Abneesh, I think the reason is that we found strategic synergies in doing this transaction. I think BuildNext basically has a good home in JSW One.

Sudhanshu Vats, page 4 of the filed PDF · View the filing

Management denied any one-offs and attributed growth to genuine urban demand buoyancy linked to GST 2.0 and prior tax relief measures.

Answered by Sudhanshu Vats

Asked by Abneesh Roy: Is the current volume growth driven by any one-off, such as manufacturing shifted from Oman?

p. 5
No, no. First of all, there are no one-offs. I can ask Sandeep to further elaborate, but absolutely no one-offs.

Sudhanshu Vats, page 5 of the filed PDF · View the filing

Management outlined priorities of employee safety, supply security via alternate sourcing, and calibrated price increases to pass on cost inflation.

Answered by Sudhanshu Vats

Asked by Sonali Salgaonkar: How is Pidilite navigating the Middle East supply chain disruption and VAM price surge?

p. 7
Our second and a very important priority is supply security and perhaps that's what your question is about.

Sudhanshu Vats, page 7 of the filed PDF · View the filing

Management specified about 5% in April and 7-9% in early May for the Fevicol division, totaling roughly 12-15%.

Answered by Sudhanshu Vats

Asked by Sonali Salgaonkar: What quantum of price hikes were taken in April and May specifically for Fevicol?

p. 8
There, we have taken about a 5% increase in April, and we have followed it up with another 7% to 9%, again, varies from product to product within the Fevicol division as well in early May.

Sudhanshu Vats, page 8 of the filed PDF · View the filing

Management said demand compression is possible but hard to predict, and near-term momentum appeared intact, though full-year assumptions should not be extrapolated.

Answered by Sudhanshu Vats

Asked by Percy Panthaki: What is the price elasticity of demand given the current inflation environment?

p. 12
But with this kind of inflation, once it settles in fully, should there be any kind of demand contraction, how much will it be and when will it be is something to be watched out for.

Sudhanshu Vats, page 12 of the filed PDF · View the filing

Management said Pidilite follows a long-standing practice of not loading stock in March and denied any channel stuffing.

Answered by Sudhanshu Vats

Asked by Naveen Trivedi: Was there any trade channel stocking benefit behind the 15% volume growth in Q4?

p. 13
So I think, therefore, to answer your question, no, if I could say so. This is a buoyancy.

Sudhanshu Vats, page 13 of the filed PDF · View the filing

Management explained a one-off provision rollback related to the wage code caused the low comparative growth this quarter.

Answered by Sandeep Batra

Asked by Naveen Trivedi: Why did employee expenses grow only 3% in the quarter versus double-digit for the full year?

p. 15
So that discretionary benefit we rolled back in the fourth quarter. Both amounts are, if I round off, around INR 20 crores.

Sandeep Batra, page 15 of the filed PDF · View the filing

Management said it is too early to hazard a guess on FY27 UVG given the unusual environment, though the intent to keep raising growth remains.

Answered by Sandeep Batra

Asked by Jay Doshi: Should FY27 UVG be expected higher than FY26 given the West Asia situation stabilizes?

p. 17
So I don't think we will hazard a guess as to what will be the UVG for this year. It's too early to say.

Sandeep Batra, page 17 of the filed PDF · View the filing

Management said the unorganized sector likely struggles more in volatility but it is too early to confirm market share gains.

Answered by Sudhanshu Vats

Asked by Jay Doshi: Are unorganized players struggling more due to supply disruptions, leading to market share gains for Pidilite?

p. 17
I think it's very early at this moment to comment on this.

Sudhanshu Vats, page 17 of the filed PDF · View the filing

Management said seasonal construction restrictions (pollution-related work stoppages) in winter affect site work and therefore waterproofing application timing, not order demand.

Answered by Sandeep Batra

Asked by Jay Doshi: Why does Nina waterproofing still show quarter-to-quarter volatility despite strong order books?

p. 18
I think the issue with Nina is not about lack of orders. We have a very, very healthy order book.

Sandeep Batra, page 18 of the filed PDF · View the filing

Management specified blended price increases of about 4-5% in April and 7-8% in early May at the company level, varying by category.

Answered by Sandeep Batra

Asked by Abneesh Roy: What is the overall consolidated price hike percentage across the portfolio given 40-50% RM inflation?

p. 20
No, higher than that. I think Sudhanshu mentioned at a company level, we have taken in April around 4% to 5%. And in early May, another 7% to 8%.

Sandeep Batra, page 20 of the filed PDF · View the filing

Risks flagged

Export revenue disruption due to Gulf and West Asia conflict affecting supply chains

p. 3
I think the only area line of business that saw some disruption was in exports.

Sandeep Batra, page 3 of the filed PDF · View the filing

Raw material inflation of 40-50% on weighted average basket

p. 8
I think inflation is real on our weighted average raw material basket, inflation is anywhere between 40% to 50%.

Sudhanshu Vats, page 8 of the filed PDF · View the filing

Possible demand compression from cumulative inflation across categories in FY27

p. 12
But, so some of it to be pretty honest with you, with this kind of inflation, Percy, to be honest, and again, now on a more serious note, if you were to look at FY '27, with the kind of inflation across categories, across businesses, there will be some demand compression.

Sudhanshu Vats, page 12 of the filed PDF · View the filing

VAM supply disruption from Saudi Arabia vendor due to conflict

p. 19
So VAM, yes, there were some supply disruptions from vendors who are located in that area. So we had a supply source in Saudi Arabia, which obviously got impacted.

Sandeep Batra, page 19 of the filed PDF · View the filing

Winter pollution-related construction restrictions curtailing waterproofing project work

p. 18
So a lot of activity gets curtailed. And that construction is one activity that gets impacted.

Sandeep Batra, page 18 of the filed PDF · View the filing

Prolonged West Asia conflict as a headwind to demand buoyancy

p. 6
And I think we have to wait and watch as to how long it continues. And if at all, any of the West Asia conflict would be a headwind to it as we go forward.

Sudhanshu Vats, page 6 of the filed PDF · View the filing

Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.