While most FMCG names are still peeling off the effects of rural slowdown, Pidilite decided to launch a bonus issue after 15 years — and a special dividend — just to flex on Founder B.K. Parekh’s 101st birth anniversary. Q1 FY26 saw consolidated revenue up 10.6% YoY to ₹3,742 crore, with underlying volume growth (UVG) at 9.9% and EBITDA margins rising 101 bps to 25.6%. Rural growth outpaced urban, Dr. Fixit and Roff tile adhesives stuck to double-digit gains, and even the paint pilot Haisha kept adding dealers. Input costs stayed benign, letting management talk about landing margins at the top end of their 20–24% guidance band.
Why it matters? Because eight straight quarters of double-digit B2B UVG and steady core category growth make Pidilite the rare glue stock that hasn’t lost its bond.
Stick around—things get spicier two scrolls down.
AT A GLANCE• Revenue +10.6% – 9.9% UVG led by rural, both C&B and B2B strong• EBITDA margin 25.6% – 101 bps up YoY, VAM blip aside• Bonus 1:1 + ₹10/sh dividend – 15 years since last bonus• Haisha paint pilot – growing in all 5 states, dealers + tinting machines up
MANAGEMENT’S KEY COMMENTARY
Sandeep Batra (CFO):“Bonus issue after 15 years, special dividend too.”Translation:Numbers so good, we’re gifting ourselves a party hat.
Sudhanshu Vats (MD):“AP and Gujarat issues eased; Kerala a current weak spot.”Translation:We fix leaks fast — except maybe God’s own country.
“Roff tile adhesive portfolio is complete and growing faster than market.”Translation:Our tiles stick harder than the competition’s excuses.
“UnoFin pivoting from retail to large
projects like Jewar Airport.”Translation:Go big, spray fast, avoid labour drama.
“Rural and rurban doubling direct coverage over 5 years.”Translation:We’ve gone deeper into Bharat than your favourite OTT app.
“Margins likely at high end of 20–24% band this year.”Translation:Barring a geopolitical curveball, the glue factory’s printing cash.
NUMBERS DECODED
| Metric | The Hero | The Sidekick | The Drama Queen |
|---|---|---|---|
| Revenue (₹ cr) | 3,742 | +10.6% YoY | 9.9% UVG + 0.7% price |
| EBITDA (₹ cr) | NA | 25.6% margin | VAM uptick short-lived |
| PAT growth | +18% | 8th straight double-digit B2B UVG | Bonus + dividend sugar rush |
C&B UVG 9.3%, B2B 12.6%; domestic subs +11.5% sales, +31.7% EBITDA. International grew 6.5% sales, +9% EBITDA.
ANALYST QUESTIONS
Q: “Tile adhesive premium vs paints competition?”A: We hold a slight retail premium; Hyderabad is rival turf, but expansion beyond unlikely.Translation:Our fortress walls are grouted.
Q: “Paint market disruption from new entrants?”A: We’re focused on small-town 5-state pilot, adding dealers, not chasing metro noise.Translation:Let the big boys fight in the malls.
Q: “B2B
