Grasim Industries Q4: Shares trade around 1.5% lower ahead of earnings; here is how firm fared in Q4 FY25

The company is slated to announce its March quarter (Q4 FY26) numbers today.

The stock traded nearly 1.5% lower at ₹2,893.80 on the NSE.

Q3 FY26 earnings

Grasim Industries reported a 28.76% increase in its consolidated net profit to ₹2,232.95 crore for the December quarter of FY'26 (Q3 FY26), led by a good performance across businesses.

The company had posted a net profit of ₹1,734.16 crore during the October-December quarter a year ago, according to a regulatory filing by Grasim Industries, which is the holding firm for group companies such as UltraTech, Aditya Birla Capital, and Aditya Birla Renewables.

Its revenue from operations was up 25.25% to ₹44,311.97 crore in the December quarter under review. It was at ₹35,378.34 crore in the corresponding period of the previous fiscal.

"Consolidated EBITDA in Q3FY26 stood at ₹6,215 crore, up by 33% YoY, driven by favourable operating leverage and improved cost efficiencies," said an earnings statement from Grasim Industries.

Total expenses of Grasim Industries were 23.36% higher in the December quarter to ₹41,270.21 crore.

Its total income, which includes revenue from other sources, was at ₹44,577.19 crore, up 24.7% in the December quarter.

Grasim's revenue from its Cellulosic Fibre business in the December quarter was up 9.24% to ₹3,934.09 crore.

Here is how Grasim fared in Q4 of FY25

Aditya Birla Group's flagship holding firm, Grasim Industries Ltd, reported a 9.23% rise in its net profit to ₹2,973.26 crore for the March quarter of FY25 (Q4 FY25), and revenue from operations grew 17.33% to ₹44,267.26 crore.

The company reported a net profit of ₹2,721.81 crore for the March quarter of FY24, and its revenue from operations stood at ₹37,727.13 crore, according to a regulatory filing by the company.

Grasim reported a decline of 21.85% in its net profit to ₹7,756.33 crore for the financial year ended March 31, 2025, due to investments in the building materials business.

The company has posted a net profit of ₹9,925.65 crore in FY24.

Grasim's revenue from operations rose 13.36% to ₹1,48,477.89 crore, reaching an all-time high, according to the company.

The total consolidated income of Grasim stood at ₹1,49,936.93 crore, marking an increase of 13.4% from ₹1,32,242.58 crore in FY24.

“Specifically, the Building Materials and Financial Services businesses delivered a robust performance. EBITDA for the year stood at ₹20,023 crore, down by 4% Y-o-Y due to initial investments for building a strong consumer-facing paints business, Birla Opus," it said.

However, profit after tax (PAT) declined due to "higher interest and depreciation charges on account of investments in the building materials business", the company said.

During the March quarter, Grasim's revenue from its cellulosic fibre business rose 7.68% to ₹4,050.93 crore.

The board of directors of Grasim had recommended a dividend of ₹10 per equity share of ₹2 for the year ended March 31, 2025.

What the company said about the outlook

Over the outlook, Grasim said its standalone business is undergoing a "strategic transformation, marked by a decisive foray into consumer-facing and digital ventures in decorative paints and B2B e-commerce for construction materials".

"The rapid scale-up of these verticals signals the emergence of robust new growth engines in a fast-evolving economic landscape. These new high-growth businesses are now well poised to complement Grasim's legacy of manufacturing-led growth," it said.

About Grasim Industries

Aditya Birla Group's Grasim Industries Limited started as a textile manufacturing company in 1947. The company was incorporated just 10 days after India's Independence. Over the years, it diversified its portfolio to establish itself as an important player across many sectors.

The company is a leading producer of viscose, diversified chemicals, linen yarn, and fabrics. Grasim Industries has interests in the paint, financial services, cement, and clean energy businesses.

Grasim Industries started fabric production at its Gwalior unit in 1950. Four years later, it started VSF production at its unit in Madhya Pradesh's Nagda. The company set up an engineering division for plant and machinery in 1962. Grasim Industries composite textile mill was set up in Haryana's Bhiwani in 1963. The firm began rayon production at its facility in Marayoor, Kerala.

Another pulp plant came up in Karnataka's Harihar in 1972. The company began caustic soda production at Nagda for captive use. Today, the company is the largest producer of caustic soda in India. In 1985, the company entered the cement business with Vikram Cement by setting up its first plant at Jawad in Madhya Pradesh.

In 2021, Grasim entered the paint business. The company announced a foray into the B2B e-commerce space for building materials, Birla Pivot, in 2022. The company announced that it will invest ₹2,000 crore over the next five years. The platform began operation in 2023, catering to customers in Madhya Pradesh, Maharashtra, and Delhi.