Pidilite Raises Prices Amidst Raw Material Surge

Pidilite Industries has implemented calibrated price increases, averaging 12-15% on VAM-linked categories like Fevicol, to counteract sharp inflation in raw materials. The company prioritizes growth over margins, with a significant portion of these price adjustments already in effect. Despite ongoing inflationary pressures and geopolitical uncertainty, Pidilite anticipates sustained double-digit underlying volume growth if demand remains stable and global tensions de-escalate.

The company announced a robust Q4 FY26 performance, with revenue climbing 14.1% year-on-year to ₹3,583.38 crore. Gross margins improved to 56.6%, and EBITDA surged by 31.7% to ₹832.85 crore, with the EBITDA margin expanding to 23.2%. Profit after tax (PAT) also saw a significant rise of 36.6%, reaching ₹584.15 crore.

Domestic demand conditions improved throughout January and February, continuing into March despite geopolitical events. Pidilite is managing raw material inflation, with a weighted average increase of around 50% across its basket. Future price increases will be calibrated monthly, balancing demand and cost management. The company remains focused on its target of double-digit underlying volume growth, projecting mid-to-late teens revenue growth.