Pidilite ad-sales promotion spends increased to 5.4% of net sales in Q4 FY25

Pidilite Industries Limited, manufacturer of adhesives, sealants, and construction chemicals, announced its financial results for the quarter and year ended March 31, 2025.

For Q4 FY25, the company reported a revenue growth of 10.2%, driven by a robust underlying volume growth (UVG) of 9.8% across categories and geographies. The Consumer and Bazaar (C&B) segment recorded a UVG of 8.0%, reflecting sequential improvement, while the Business-to-Business (B2B) segment maintained strong momentum with a UVG of 16.4%.

Gross margins improved by 154 basis points (bps) over Q4 FY24 and by 86 bps over Q3 FY25, primarily due to lower input costs. Advertising and sales promotion (A&SP) expenditures increased to 5.4% of net sales in Q4 FY25, compared to 4.7% in Q4 FY24 and 3.9% in Q3 FY25, reflecting a push for demand generation. EBITDA margins remained steady at 20.6%, in line with Q4 FY24.

For the full year FY25, revenue grew by 8.1%, supported by an overall UVG of 9.3%. Within this, C&B reported a UVG of 7.2%, while B2B posted a strong 19.2% UVG. Gross margins expanded by 254 bps year-on-year, largely due to reduced input costs. EBITDA margins for FY25 stood at 23.6%, up from 22.9% in FY24.

Pidilite continued to focus on enhancing supply chain resilience and investing in new and upgraded manufacturing facilities. Innovation across both C&B and B2B segments continued to contribute positively to overall revenue.

Domestic subsidiaries achieved double-digit sales and EBITDA growth compared to Q4 FY24. International subsidiaries, excluding Pidilite USA and Pulvitec Brazil, maintained sales performance at levels similar to Q4 FY24.

Consolidated Financial Performance for Q4 FY25:

• Net Sales: Rs 3,130 crore, up 10% year-on-year (excluding Pidilite USA and Pulvitec Brazil)
• EBITDA (before non-operating income): Rs 633 crore, up 10% year-on-year
• Profit Before Tax and Exceptional Items (PBT): Rs 601 crore, up 21% year-on-year  

In Q4 FY25, Pidilite Industries reported a Profit After Tax (PAT) of Rs 428 crore, reflecting a growth of 41% over the same quarter in the previous year. It is noteworthy that Q4 FY24 included an exceptional loss of Rs 72 crore related to the divestment of the Brazil subsidiary, while Q4 FY25 incurred a smaller exceptional loss of Rs 25 crore, primarily due to impairment of a loan and investment in an associate entity.

Standalone Performance – Q4 FY25

• Net Sales stood at Rs 2,839 crore, up 10% year-on-year.
• EBITDA (before non-operating income) was Rs 584 crore, registering an 11% growth.
• Profit Before Tax and Exceptional Items (PBT) reached Rs 606 crore, a 31% increase over the prior year.
• Profit After Tax (PAT) stood at Rs 446 crore, marking a 26% growth. The prior-year quarter had an exceptional gain of Rs 7 crore from a share buyback of the USA subsidiary and divestment of the Brazil unit. The current quarter recorded an exceptional loss of Rs 20 crore, mainly due to impairment of a loan to an associate entity.

Consolidated Performance – FY25

• Net Sales for the full year reached Rs 13,094 crore, reflecting 8% growth (excluding Pidilite USA and Pulvitec Brazil).
• EBITDA (before non-operating income) came in at Rs 3,013 crore, up 11% year-on-year.
• PBT (before exceptional items) stood at Rs 2,848 crore, a 16% increase over FY24.
• PAT rose to Rs 2,096 crore, growing 20% over the previous year.

Standalone Performance – FY25

• Net Sales for the year stood at Rs 12,023 crore, showing an 8% year-on-year increase.
• EBITDA (before non-operating income) was Rs 2,835 crore, up 11% from last year.
• PBT (before exceptional items) reached Rs 2,786 crore, a growth of 16%.
• PAT for FY25 stood at Rs 2,074 crore, up 15% compared to FY24.