1. Opening Hook
Extended monsoons, sluggish August, and a short Diwali—basically the holy trinity of bad luck for paint companies. Yet Indigo Paints somehow managed to brush up a smile on its numbers. The management sounded like they just survived a weather apocalypse with a roller and a prayer. Still, CMD Hemant Jalan believes the worst is over, and the industry’s long dry spell (ironically caused by too much rain) might be ending. Grab your color charts, folks — things are about to getinteresting.
2. At a Glance
- Revenue up 4.2% (₹312.1 Cr)– Rain couldn’t wash away their sales streak.
- EBITDA up 12.1% (₹46.5 Cr)– Margins painted themselves a little brighter.
- PAT up 13.5% (₹25.2 Cr)– The bottom line finally picked a bold color.
- Gross margin 45.1%– Creamier than last year’s 44.1%, courtesy of premium shades.
- Apple Chemie revenue up 22.6%– Waterproofing profits? Yes, please.
- Dealer count 18,900+; tinting machines 11,650+– The retail army expands quietly.
3. Management’s Key Commentary
“We are pleased to see growth picking up again despite extended monsoons.”(Translation: The rain gods were unkind, but we still found a dry patch to sell paint.)😏
“Gross margins expanded to 45.1% from 44.1% last year.”(Translation: Premium paints and fewer discounts — finally, some math that adds up!)
“EBITDA margin improved to 15.3%.”(Translation: Operational efficiency met a fresh coat of discipline.)
“Apple Chemie grew 22.6% with better product mix.”(Translation: Our side hustle in chemicals is now the teacher’s pet.)
“Demand is showing clear signs of recovery.”(Translation: Consumers finally remembered walls need love too.)
“New competitors’ discounts didn’t impact us.”(Translation: Others fought a price war; we just waited for them to get tired.)
“Diwali was short, but dealers paid up fast.”(Translation: Money flowed, stocks moved, and prayers were answered.)🎨
4. Numbers Decoded
| Metric | Q2FY26 | YoY Growth | Comment |
|---|---|---|---|
| Revenue (Consol) | ₹312.1 Cr | +4.2% | Modest but resilient growth amid weather woes |
| EBITDA | ₹46.5 Cr | +12.1% | Higher margins despite muted volumes |
| PAT | ₹25.2 Cr | +13.5% | Profit palette looking brighter |
| Gross Margin | 45.1% | +100 bps | Premium paints save the day |
| Dealers | 18,900+ | +10% | Expanding canvas |
| Tinting Machines | 11,650+ | +8% | More colors, more reach |
| Apple Chemie Revenue | ₹13.6 Cr | +22.6% | Waterproofing gold mine |
Comment:When margins climb while the rain pours, you know someone’s mixing the right shades of strategy.
5. Analyst Questions
Q:Why not double-digit growth yet?A:Blame the longest monsoon in living memory. But double digits will return soon — Q4 is our Q4tune.
Q:What’s the deal with competition and heavy discounts?A:“Let them play with extra litres; we’ll play with logic.”
Q:Bihar’s election freebies boosting sales?A:“Not really. But Bihar’s already painting itself happy with high double-digit growth.”
Q:What about innovation in painting speed?A:“Spray tech is here, but online paint shopping still doesn’t stick.”
6. Guidance & Outlook
Management expects double-digit growth by Q4FY26, betting on revived consumer sentiment, strong wedding season, and rural cash flow post-monsoon. Apple Chemie is set to clock ₹200–₹300 crore in 3 years — provided infrastructure spending doesn’t take a nap. Capex at Jodhpur is nearly done, setting the stage for
