Pidilite Industries Ltd: Q3 FY25 Results, 9% Profit Growth, Market Leadership and Business Insights
Pidilite Industries Ltd: Overview
Pidilite Industries Ltd is a leading Indian adhesives and specialty chemicals company, well-known for its flagship product, Fevicol. Founded in 1959 and headquartered in Mumbai, the company has established itself as a market leader in adhesives, sealants, construction chemicals, and arts and crafts products. Pidilite caters to a diverse range of industries, including packaging, furniture, construction, automotive, and consumer goods, offering innovative solutions that meet specific needs. The company operates with a strong portfolio of brands like Dr. Fixit, M-Seal, and Fevikwik, which enjoy widespread recognition and trust among consumers and professionals alike. With a robust distribution network that spans across urban and rural areas, Pidilite Industries ensures its products reach the remotest parts of India while also expanding its global footprint. The company emphasizes sustainable practices and continuous innovation, aligning its operations with emerging trends and customer preferences. The Indian specialty chemicals and adhesives market is experiencing rapid growth, driven by rising construction activities, urbanization, and increasing consumer spending on home improvement. As industrial activity and infrastructure projects gain momentum, the demand for adhesives and sealants is expected to rise. Pidilite, with its extensive product offerings and strong brand equity, is well-positioned to benefit from this growth. Globally, the specialty chemicals market is being shaped by advancements in technology, sustainable product development, and the growing focus on green solutions, providing further opportunities for Pidilite to expand its market presence.
Latest Stock News
The Consumer and Bazaar (C&B) segment demonstrated steady performance with a Unit Volume Growth (UVG) of 7.3%, reflecting consistent demand in its core markets. Meanwhile, the Business-to-Business (B2B) segment showcased remarkable growth momentum, achieving an impressive UVG of 21.7%, highlighting its strong traction across industrial and institutional clients. However, the performance of international subsidiaries, excluding Pidilite USA and Pulvitec Brazil was relatively modest.
This was attributed to ongoing global economic uncertainties, persistent inflationary pressures, and political instability in specific regions, which impacted their sales growth. Despite these challenges, the company’s overall revenue for the quarter exhibited a robust increase of 9.3%, fueled by a UVG of 9.7% across various product categories and geographic markets, demonstrating resilience and widespread demand for its offerings. Additionally, the company continued to prioritize shareholder value, maintaining a substantial total dividend payout of 45.4% in FY24, reflecting its commitment to delivering consistent returns.
Business Segments
- Consumer and Bazaar Products: This is Pidilite’s largest business segment, contributing significantly to its revenue. It includes products like adhesives (Fevicol, Fevikwik), sealants (M-Seal), construction chemicals (Dr. Fixit), and arts and crafts products (Fevicryl, Hobby Ideas). These products cater to individual consumers, craftsmen, and contractors and are widely used in home improvement, repair, and construction projects.
- Industrial Products: This segment provides adhesives, sealants, and specialty chemicals to industries such as packaging, textiles, paper, leather, and automotive. Pidilite’s industrial products are tailored to meet the specific needs of its business clients and are integral to their manufacturing processes.
- Exports: Pidilite exports its products to over 80 countries, catering to the demand for adhesives, construction chemicals, and art products in international markets. The company has established a strong presence in markets like the Middle East, Africa, and Southeast Asia.
- Others: This includes a variety of niche products and solutions, such as automotive maintenance products, waterproofing services, and wood finishes. The company also operates in the animal health and crop care segment through specialty chemicals.
Subsidiary Information
- Nina Waterproofing Systems Pvt Ltd: Nina Waterproofing Systems Pvt Ltd specializes in providing comprehensive waterproofing solutions for large-scale infrastructure and construction projects. This subsidiary is known for its advanced expertise in waterproofing technologies, offering a wide range of services and products designed to enhance the durability and structural integrity of buildings. Its portfolio complements Pidilite Industries’ existing offerings in the construction chemicals sector, strengthening the company’s position as a leading provider of innovative and reliable waterproofing solutions.
- Percept Waterproofing Services Ltd: Percept Waterproofing Services Ltd is a key subsidiary of Pidilite Industries, focused on delivering high-performance waterproofing solutions for large-scale construction projects. The company works in close collaboration with contractors, architects, and builders to ensure superior results that meet the highest quality standards. Its contributions play a pivotal role in enhancing Pidilite’s reputation as a trusted partner in the waterproofing domain.
- CIPY Polyurethanes Pvt Ltd: CIPY Polyurethanes Pvt Ltd, a significant acquisition by Pidilite Industries, is a leading manufacturer of floor coatings and polyurethane products. This subsidiary primarily serves the industrial and commercial flooring markets, offering innovative and durable solutions that meet the rigorous demands of various sectors. Its product portfolio includes epoxy and polyurethane-based floor coatings, which are essential for environments requiring high resistance to wear, chemicals, and abrasion.
- Pidilite MEA Chemicals LLC: Pidilite MEA Chemicals LLC serves as Pidilite’s regional hub for operations in the Middle East and Africa, enabling the company to tap into these high-growth markets. This subsidiary focuses on providing a diverse range of adhesives, construction chemicals, and specialty products tailored to the unique needs of clients in the region. By catering to local market demands and preferences, Pidilite MEA Chemicals LLC helps the parent company establish a robust presence in international markets, driving growth and brand recognition.
Q3 FY24 Earnings
- Revenue of ₹3369 crore in Q3 FY24 up by 5.3% YoY from ₹3130 crore in Q3 FY24.
- EBITDA of ₹798 crore in this quarter at a margin of 24% compared to 24% in Q3 FY24.
- Profit of ₹557 crore in this quarter compared to a ₹511 crore profit in Q3 FY24.
Financial Summary
| INR Cr. | Q3 FY24 | Q3 FY25 | FY23 | FY24 |
| Revenue | 3130 | 3369 | 11799 | 12383 |
| Expenses | 2388 | 2571 | 9813 | 9675 |
| EBITDA | 742 | 798 | 1986 | 2708 |
| OPM | 24% | 24% | 17% | 22% |
| Other Income | 37 | 56 | 55 | 63 |
| Net Profit | 511 | 557 | 1289 | 1747 |
| NPM | 16.3% | 16.5% | 10.9% | 14.1% |
| EPS | 10 | 10.9 | 25.1 | 34 |