Pidilite Posts 11% Sales Growth and 12.5% Profit Increase in Q3 FY26

Pidilite Industries Limited, India’s leading manufacturer of adhesives, sealants, and construction chemicals, closed the December 2025 quarter on a confident note. The company reported double-digit growth across revenue, profits, and operating margins, reflecting steady demand, disciplined cost management, and the continued strength of its consumer-facing brands.

For a company closely tied to construction activity, home improvement, and industrial demand, the results signal resilience even as market conditions remain uneven across sectors.

Revenue Growth Driven by Volumes, Not Just Pricing

On a standalone basis, Pidilite’s net sales for the quarter reached ₹3,425 crore, marking an 11 percent year-on-year increase. Importantly, this growth was backed by healthy underlying volume growth (UVG) of 9.3 percent, indicating real demand rather than price-led expansion.

For the nine months ended December 2025, standalone net sales rose 10.7 percent to ₹10,165 crore, maintaining consistency through the year. This steady performance highlights Pidilite’s strong distribution network and the continued relevance of its products across urban and semi-urban markets.

Profitability Strengthens as Margins Expand

Pidilite’s earnings before interest, tax, and depreciation (EBITDA) grew 12.1 percent year-on-year in the quarter to Rs. 840 crore. EBITDA margins improved to 24.5 percent, up from 24.3 percent last year.

Gross margins expanded by nearly 200 basis points, primarily due to lower input costs. This gain was partially offset by one-time provisions linked to the new labour code and higher spending on advertising and sales promotion. Even with these headwinds, margin improvement reflects tighter cost control and operational efficiency.

Profit after tax (PAT) stood at Rs. 601 crore for the quarter, up 12.5 percent year-on-year, while nine-month PAT grew 12.8 percent to Rs. 1,837 crore.

Consumer & Bazaar Segment Leads the Charge

The Consumer and Bazaar (C&B) segment remained the primary growth engine for Pidilite. Revenue from this segment rose 12.4 percent in the quarter to Rs. 2,802 crore, supported by strong volume growth of 9.7 percent.

Earnings before interest and tax (EBIT) for C&B grew even faster at 14.4 percent, with margins improving to 31.2 percent. Over nine months, the segment delivered double-digit growth across revenue and profitability, reaffirming the strength of Pidilite’s flagship brands in adhesives, waterproofing, and home improvement solutions.

The performance reflects steady housing activity, renovation demand, and sustained consumer trust in established brands.

B2B Sees Moderate Growth Amid Export Challenges

Pidilite’s Business-to-Business (B2B) segment posted a more modest growth of 2.9 percent during the quarter, with revenues reaching ₹667 crore. Volume growth stood at 7.4 percent, though overall performance was affected by lower exports of industrial products.

On a year-to-date basis, B2B revenue grew 7.7 percent, indicating gradual recovery but also highlighting the segment’s sensitivity to global demand conditions. Despite near-term pressures, the segment continues to provide diversification and long-term potential.

Consolidated Results Mirror Standalone Strength

On a consolidated basis, Pidilite reported quarterly net sales of Rs. 3,699 crore, up 10.2 percent year-on-year. EBITDA rose 12 percent to rs. 894 crore, while profit after tax increased 12 percent to Rs. 624 crore.

Gross margins improved by 222 basis points compared to the same quarter last year, reinforcing the benefits of lower input costs and improved operating leverage. Consolidated EBITDA margins expanded to 24.2 percent, reflecting stable performance across subsidiaries.

A Steady Outlook Anchored in Core Strengths

Pidilite’s December 2025 results underline the company’s ability to grow consistently while improving profitability. Strong volume-led growth, margin expansion, and the continued dominance of the Consumer & Bazaar segment provide a solid foundation. While B2B faces near-term export-related challenges, overall performance suggests that Pidilite remains well-positioned to navigate market cycles and sustain long-term growth.