Do Pidilite Industries Results Signal Rural Demand Strength?
Pidilite Industries results reported an 8.2% YoY revenue growth in Q4 FY25, driven by a 9.8% underlying volume growth (UVG) across categories.
The Consumer & Bazaar segment grew 9.3%, while B2B surged 13.9%.
Rural demand outperformed urban, fueled by initiatives like ‘Pidilite Ki Duniya.’
Gross margins expanded 150 bps YoY due to declining VAM prices, despite A&P spending rising to 5.4% of sales.
Operating margins improved 30 bps.
New ventures in lending and decorative paints show potential, though global uncertainties and urban demand softness pose challenges.
Trading at 57 times FY27 earnings, the stock’s premium valuation suggests waiting for a better entry point.
Read More at Moneycontrol
