Mumbai, May 8: Pidilite Industries Limited reported a strong financial performance for Q4FY26, supported by robust underlying volume growth (UVG) across segments and geographies, with the Consumer & Bazaar (C&B) business recording its highest growth in the last three years.

The company reported consolidated net sales of Rs 35.8 billion for the quarter, up 14.1% year-on-year, while EBITDA rose 31.7% to Rs 8.3 billion. EBITDA margins expanded 310 basis points year-on-year to 23.2%, supported by favourable input costs and operating leverage.

Reported Profit After Tax (PAT) increased 37.2% year-on-year to Rs 5.79 billion, surpassing market expectations. Excluding a one-time impairment loss in an associate company, recurring PAT stood at Rs 5.92 billion.

Pidilite’s standalone revenues grew 15.3% year-on-year, driven by strong volume growth across categories. The Consumer & Bazaar business recorded 15.4% UVG, its strongest growth in three years, while the B2B segment grew 14.8%, although exports remained under pressure.

The company stated that domestic demand momentum remains healthy, while higher Vinyl Acetate Monomer (VAM) prices and input cost trends will remain key monitorables in the near term.

International subsidiaries also delivered steady performance, with the Middle East and Africa business reporting 11% revenue growth, while Asia revenues increased 6% year-on-year during the quarter.

Pidilite continued to maintain a strong balance sheet with healthy cash flows, remaining virtually debt free. Cash and cash equivalents stood at Rs 42.1 billion as of March 2026 compared to Rs 35 billion a year earlier.

At the current market price of Rs 1,438, the stock trades at FY27E and FY28E price-to-earnings multiples of 54x and 48x respectively, according to the research note.