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Pidilite Industries reports sales growth of 45% in Q4FY21

Robust growth was registered across all major categories like adhesives, construction chemicals and DIY segment driven by continued demand momentum in both rural and urban geographies
Pidilite Industries reports sales growth of 45% in Q4FY21
Pidilite Industries reports sales growth of 45% in Q4FY21

Pidilite Industries, India’s leading manufacturer of adhesives, sealants and construction chemicals recently announced its financial results for the quarter and year ended March 31, 2021.

The Consumer and Bazaar (C&B) segment registered volume and value growth in excess of 45 percent during this quarter. Robust growth was registered across all major categories like adhesives, construction chemicals and DIY segment driven by continued demand momentum in both rural and urban geographies. The Business to Business (B2B) segment posted sequential strong volume and value growth in excess of 26 percent aided by gradual and consistent pick-up in economic activities.

Overseas subsidiaries have reported high double-digit constant currency revenue growth as well as strong earnings growth.

Consolidated Performance

Net sales at Rs. 2,230 Cr grew by 45 percent over the same quarter last year. Net sales at Rs. 7,251 Cr, reported flat growth over last year. On a like to like basis (excluding Pidilite Adhesives – PAPL) Net Sales in Q4 grew by 38 percent and declined 2 percent for the full year.

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) before non-operating income at Rs. 460 Cr grew by 52 percent over the same quarter last year. EBITDA for the year ended stood at Rs. 1,683 Cr and grew by 7 percent over last year. On a like to like basis (excluding – PAPL) EBITDA in Q4 grew by 41 percent and 3 percent for the full year.

Profit before Tax and Exceptional items (PBT) at Rs. 415 Cr grew by 63 percent over the same quarter last year. PBT at Rs. 1,526 Cr, reported flat growth over last year. On a like to like basis (excluding PAPL) PBT in Q4 grew by 49 percent and declined 4 percent for the full year.

Profit after tax (PAT) at Rs. 307 Cr grew by 96 percent over the same quarter last year. PAT at Rs. 1,126 Cr, reported flat growth over last year. On a like to like basis (excluding PAPL) PAT in Q4 grew by 80 percent and declined 4 percent for the full year.

The company acquired 100 percent stake in Pidilite Adhesives (PAPL) [formerly known as Huntsman Advanced Materials Solutions (HAMSPL)] on November 3, 2020.

Standalone Performance

Net sales at Rs. 1,851 Cr grew by 42 percent over the same quarter last year with underlying sales volume and mix growth of 40 percent. This was driven by 45 percent growth in sales volume and mix of C&B and 26 percent growth in sales volume and mix of B2B. Net sales for the year ended stood at Rs. 6,187 Cr and declined by 2 percent over last year.

EBITDA before non-operating income at Rs. 408 Cr grew by 43 percent over the same quarter last year. EBITDA for year ended stood at Rs. 1,550 Cr and grew by 4 percent over last year.

Profit before Tax and Exceptional Items (PBT) at Rs. 376 Cr grew by 43 percent over the same quarter last year. PBT for the year ended stood at Rs. 1,457 Cr, declined by 3 percent over last year.

Profit after Tax (PAT) at Rs. 277 Cr grew by 73 percent over the same quarter last year. PAT for the year ended at Rs 1,081 Cr declined by 2 percent over last year.

Speaking on the quarter performance, Bharat Puri, Managing Director, Pidilite Industries said, “This quarter witnessed robust broad-based growth across all businesses and geographies. Despite significant challenges in FY 21, we have displayed adaptability and resilience while building capacity and capability. Gross margins continue to be impacted due to unprecedented inflation in input costs. Despite pricing and cost actions, we expect margins to remain under pressure in the coming quarters. The current second wave of the pandemic poses challenges and Pidilite remains committed to working with our partners to overcome this crisis.”

Read more: What makes Pidilite Industries successful in rural markets? Salil Dalal speaks

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