3 days ago
Pidilite Sees Steady Demand, Rules Out Immediate Price Hikes
Pidilite makes products such as adhesives and construction chemicals.
Its managing director says customers are still buying these products at a steady rate.
The company raised prices earlier because crude oil and other costs increased.
It does not think another price increase is needed right now.
However, it will keep watching crude oil prices because they could rise again.
Pidilite expects its sales volumes to grow by more than 10% in the next financial year.
Demand is strong in both cities and rural areas.
The company also wants to expand its factories and international business.
Pidilite Industries says demand in July and August broadly matched the June quarter despite inflationary pressures.
The company does not currently plan additional price increases after raising prices by up to 12% in the June quarter.
Managing Director Sudhanshu Vats expects double-digit underlying volume growth in FY27 with a 20-24% profitability corridor.
Pidilite says urban and rural demand remain strong because its products support renovation, construction and repair activity.
The company plans selective expansion in Africa and is evaluating a manufacturing plant in northern India.
- Who
- Pidilite Industries and its Managing Director Sudhanshu Vats.
- What
- The company reported steady demand, ruled out immediate further price increases and outlined growth and expansion plans.
- Where
- India, with international expansion focused primarily on South Asia and selectively on Africa and Southeast Asia.
- When
- The comments were published on August 30, 2026; demand in July and August was discussed in comparison with the June quarter.
- Why
- Pidilite raised prices to offset higher crude-related costs but currently sees no need for additional increases as commodity-price volatility has eased.
Key facts
- Recent price increases
- Up to 12%, implemented in tranches during the June quarter.
- Current pricing plan
- No immediate further price increase is planned, although the company will monitor crude prices.
- Expected FY27 volume growth
- Double-digit underlying volume growth.
- Profitability corridor
- 20-24%.
- Crude oil comparison
- Prices were around USD 60 per barrel before the West Asia crisis and have stabilized closer to USD 80, according to Vats.
- International revenue
- International business contributes around 10% of overall revenue.
- Raw material exposure
- The company uses Vinyl Acetate Monomer, a crude-derivative input used to make Polyvinyl Acetate for products such as white wood adhesives.
Quotes
Sudhanshu Vats
Managing Director of Pidilite Industries
“We will deliver double-digit underlying volume growth at a profitability corridor or a better profitability corridor of 20-24 per cent. So we will consistently deliver double digit underlying volume growth.”
thehindubusinessline.com
“We do not think that there is a necessity at this moment to take up any further price increase. But we will watch this space”
thehindubusinessline.com
Sources
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