Grasim Industries (GRASIM) Q2 25/26 earnings summary

Executive summary

• Consolidated revenue for Q2 FY26 rose 17% year-over-year to ₹39,900 crore, with EBITDA up 29% year-over-year to ₹5,217 crore, driven by strong Cement and Chemicals performance, and significant expansion in Paints and B2B e-commerce.

• PAT (owner's share) for Q2 FY26 was ₹553 crore, up 76% year-over-year; H1 FY26 consolidated revenue reached ₹80,018 crore, with EBITDA at ₹11,647 crore and PAT at ₹2,740 crore.

• Decorative paints business achieved double-digit market share, rapid distribution expansion to 10,000 towns, and all six greenfield paint plants commenced commercial production, reaching 1,332 MLPA capacity.

• B2B e-commerce revenues grew 15% sequentially, with annualized run-rate exceeding ₹6,000 crore, on track to surpass ₹8,500 crore by FY 2027.

• Major acquisitions and mergers, including the completion of Kesoram Industries’ cement business merger and UltraTech Cement’s controlling stake in The India Cements Limited, expanded the business footprint.

Financial highlights

• Q2 FY26 consolidated revenue: ₹39,900 crore (+17% YoY); EBITDA: ₹5,217 crore (+29% YoY); PAT: ₹553 crore (+76% YoY).

• Standalone revenue for Q2 FY26 was ₹9,610.34 crore, up 26% year-over-year; standalone EBITDA: ₹1,786 crore (+10% YoY); PAT: ₹805 crore (+12% YoY).

• Cellulosic fiber segment revenue up 1% year-over-year to ₹4,149 crore; EBITDA down 29% to ₹350 crore due to high input costs.

• Financial services lending portfolio at ₹1,78,000 crore, up 29% year-over-year; AUM at ₹5,50,000 crore, up 10%.

• Net debt to TTM EBITDA at 1.69x; consolidated net worth as of 30 September 2025 was ₹99,617.79 crore.

Outlook and guidance

• Decorative paints business targets number two revenue market share and profitability within three years of full-scale operations.

• B2B e-commerce expected to reach ₹8,500 crore revenue by FY 2027, with potential to surpass target sooner.

• Cement capacity expansion to 240.8 MTPA by March 2028; Lyocell capacity expansion on track for mid-2027 commissioning.

• Guidance for continued double-digit quarter-on-quarter growth in paints, with strong Q3 expected.