Astral (ASTRAL) Q1 2026 earnings summary

Executive summary

• Q1 FY26 saw flat volumes in the pipe business due to low demand, early monsoon, and reduced government spending, but a recovery is expected from Q2 with double-digit growth guidance for the year.

• Major backward integration initiative: in-house CPVC resin plant (40,000 MT capacity, INR 150 crore investment) to be commissioned by Q2 FY27, expected to improve margins and reduce working capital needs.

• New product launches and expansion in Bathware, Paints, and Adhesives are driving growth in these segments.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2025, were approved by the Board on August 11, 2025.

• Statutory auditors reviewed the results and found no material misstatements or non-compliance with regulations.

Financial highlights

• Consolidated revenue from operations was Rs 13,612 million, down from Rs 16,814 million in the previous quarter, but up from Rs 13,836 million year-over-year.

• Consolidated net profit was Rs 792 million, compared to Rs 1,781 million in the previous quarter and Rs 1,195 million year-over-year.

• Plumbing division revenue declined 5.85% YoY to INR 953 crore; EBITDA margin dropped to 16.41% from 17.93%.

• Adhesive India business grew 9.15% YoY to INR 261 crore; UK adhesives up 7% YoY to INR 96 crore.

• Paint business revenue up 20.72% YoY to INR 50 crore; Bathware up 27% YoY to INR 33 crore.

Outlook and guidance

• Double-digit volume growth expected for FY26, with potential for 15-20% if anti-dumping duty (ADD) and BIS certification are implemented.

• Paint and Bathware segments expected to maintain 20%+ growth rates.

• CapEx guidance for FY26 is INR 300-350 crore, with major investments in Kanpur plant and CPVC resin facility.

• Financial results for the current quarter include the newly acquired Al-Aziz Plastics, making them not directly comparable to previous periods.