Grasim Industries (GRASIM) Q4 24/25 earnings summary

Executive summary

• Achieved record consolidated revenue of ₹1,48,478 crore in FY25, up 13% YoY, with Q4 FY25 standalone revenue at INR 8,929 crore, up 32% YoY, driven by new businesses and core segment strength.

• EBITDA for FY25 was ₹20,023 crore (down 4% YoY), with adjusted PAT at ₹3,902 crore (down 37% YoY); profitability impacted by investments in new businesses and higher input costs.

• Paints business (Birla Opus) became India's #3 decorative paint brand within six months, with a double-digit market share when combined with putty.

• Major capacity expansions and new business launches in paints, B2B e-commerce, and renewables supported future growth ambitions.

• Board approved a final dividend of ₹10 per share, marking 62 consecutive years of dividend payments.

Financial highlights

• FY25 consolidated revenue was ₹1,48,478 crore (up 13% YoY), EBITDA ₹20,023 crore (down 4% YoY), and adjusted PAT ₹3,902 crore (down 37% YoY); standalone revenue for FY25 was ₹31,563 crore (up 22% YoY).

• Cellulosic fiber achieved highest-ever annual revenue of ₹15,987 crore, up 6% YoY, though profitability declined 12% due to higher raw material costs.

• B2B e-commerce (Birla Pivot) reached an annual run rate of ₹5,000 crore, growing 3.3x YoY, on track for ₹8,500 crore by FY27.

• Net worth increased to ₹97,509 crore as of March 31, 2025, with net debt rising to ₹35,402 crore and net debt/EBITDA at 1.77x.

• Dividend payout of ₹10 per share recommended, subject to shareholder approval.

Outlook and guidance

• Building Materials segment targets cement capacity of over 215 MTPA by FY27 and B2B e-commerce revenue of ₹8,500 crore by FY27.

• Paints business aspires to maintain double-digit market share and reach ₹10,000 crore revenue within three years of full-scale operations; 6th plant at Kharagpur to be operational in H1 FY26.

• Ongoing investments in digital platforms, specialty chemicals, and logistics to drive future growth.

• Cellulosic fiber and chemicals expected to maintain strong performance, with new projects and debottlenecking to increase capacity.

• Paints market expected to see low single-digit growth in FY26, with potential for double-digit growth as premiumization increases.