Latest News | Pidilite Industries Q1 Profit Rises 32.5 Pc to Rs 473.69 Crore

New Delhi, Aug 10 (PTI) Pidilite Industries Ltd on Thursday reported a 32.5 per cent increase in consolidated net profit at Rs 473.69 crore for the June quarter, driven by a strong volume growth.

The company, which manufactures adhesives, sealants and construction chemicals, had logged a profit of Rs 357.52 crore in the April-June period a year ago.

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Revenue from operations was up 5.61 per cent at Rs 3,275.11 crore during the quarter under review. It stood at Rs 3,101.11 crore in the year-ago period, according to a regulatory filing.

"Consolidated revenue growth was also driven by strong volume growth," an earnings statement from the company said.

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Moreover, gross margins continued to "expand both sequentially and year-on-year, by 260 bps and by 812 bps, respectively, mainly on account of moderation in input prices along with operational efficiencies."

Total expenses of Pidilite Industries was almost flat at Rs 2,653.47 crore in the first quarter of FY2023-24.

Pidilite Industries' total income in the June quarter was Rs 3,298.54 crore, up 6 per cent.

Its revenue from the 'Consumer & Bazaar' segment rose 9.23 per cent to Rs 2,660.86 crore in the April-June quarter.

However, revenue from the business-to-business segment fell 6.08 per cent to Rs 678.04 crore in the June quarter as against Rs 721.95 crore a year ago.

"The domestic Consumer and Bazaar segment underlying volumes grew by 12 per cent with both Urban & Rural markets growing in double digits. Rural markets continued to grow faster, signalling a gradual recovery in the rural economy," it said.

However, exports of C&B products declined due to challenging demand conditions in the overseas markets.

"A combination of moderating input prices and operational efficiencies saw our gross margins improve substantially. Part of this was reinvested in our brands and growth facing initiatives," its Managing Director Bharat Puri said.

On outlook, he said: "Looking ahead, growths will largely be volume led. A good monsoon, increased construction activity and stable input prices enable us to look at the future with increased optimism."

Shares of Pidilite Industries settled 3.25 per cent lower at Rs 2,520.15 apiece on the BSE.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)