Astral (ASTRAL) Q3 25/26 earnings summary

Executive summary

• Achieved 17% volume growth and maintained an 18.2% EBITDA margin in Q3 FY26 despite industry volatility and fluctuating polymer prices.

• Consolidated revenue for Q3 FY26 was Rs. 15,415 million, up from Rs. 13,970 million year-over-year, with net profit at Rs. 1,077 million.

• Expanded product portfolio and geographic reach, leveraging INR 1,400 crore CapEx over the last four years.

• New plants in Hyderabad and Kanpur contributed to volume and market share gains.

• Upgraded DJSI ESG score from 48 to 60, well above the industry average.

Financial highlights

• Q3 FY26 total revenue rose to INR 1,541 crore from INR 1,397 crore year-over-year.

• Q3 EBITDA increased to INR 247 crore from INR 231 crore year-over-year; EBITDA for the quarter was Rs. 1,608 million, up from Rs. 1,543 million.

• Pipes revenue grew to INR 1,072 crore (from INR 990 crore), adhesives India to INR 319 crore (from INR 280 crore), adhesives UK to INR 90 crore (from INR 77 crore), and paint to INR 61 crore (from INR 50 crore).

• Inventory loss of INR 20-25 crore due to PVC and CPVC price reductions impacted Q3 results.

• Exceptional item of INR 16.5 crore (Rs. 165 million) provided in Q3 due to labor code changes, reducing PAT.

Outlook and guidance

• Confident of achieving double-digit volume growth for the full year, with Q4 expected to be strong.

• EBITDA margin guidance: 16%-18% for polymers, 12%-14% for adhesives and paint.

• CPVC plant trial runs expected in Q3 FY27, with commercial production in Q4 FY27 and full contribution from FY28.

• Paint business expected to maintain 20%+ growth; adhesives India to continue 15% growth run rate.

• Recent acquisitions are expected to contribute to future growth, though current period results are not fully comparable due to consolidation of new subsidiaries.