Finolex Industries (FINPIPE) Q4 24/25 earnings summary

Executive summary

• Modest growth in pipes and fittings volumes despite weak demand; Q4 FY25 volume up 2% YoY to 102,253 MT, FY25 up 4% to 347,982 MT.

• CPVC segment saw strong volume growth of 17% YoY, with share in overall mix at 5%.

• Revenue declined 5% in Q4 FY25 and 4% for FY25, mainly due to weaker realizations from PVC price volatility.

• Audited standalone and consolidated financial results for the quarter and year ended 31 March 2025 were approved, with an unmodified audit opinion from statutory auditors.

• Significant management changes included the resignation of the Chief Human Resources Officer and the appointment of a new Head - Management Audit.

Financial highlights

• Q4 FY25 total income from operations at INR 1,172 crore vs INR 1,235 crore YoY; FY25 revenue at INR 4,142 crore, down from INR 4,317.43 crore YoY.

• Q4 FY25 EBITDA at INR 171 crore vs INR 209 crore YoY; FY25 EBITDA at INR 476 crore vs INR 585 crore YoY.

• FY25 PAT at INR 778 crore (including exceptional gains) vs INR 455 crore YoY; consolidated net profit at INR 800.03 crore, up from INR 473.59 crore.

• Exceptional gain of INR 416.99 crore recorded from transfer of leasehold land rights.

• Net cash surplus as of March 31, 2025, at INR 2,535 crore, up from INR 1,820 crore YoY.

Outlook and guidance

• No formal volume or margin guidance; internal targets set for double-digit growth, but management avoids specific projections due to market uncertainties.

• Focus for FY26 is on margin recovery through cost control, better product mix, and pricing strategies.

• CPVC expected to continue double-digit volume growth.

• Industry CAGR for plastic pipes expected at 8-10% over the next 5-6 years.

• The Board recommended a total dividend of ₹3.60 per share for FY25, pending AGM approval.