Kajaria Ceramics margins rise despite revenue decline

Kajaria Ceramics reported consolidated revenue of INR1,104 crores for Q1 FY'26, down 1% year-on-year due to low tile volume growth and closure of its ply division. However, margins improved to 16.72% from 15% in the previous year.

The company is integrating its three tile divisions into one unified team to streamline operations and reduce costs. Promoters have forgone their salaries for the year, targeting an EBITDA run rate of INR1,000 crores before resuming compensation.

Export markets are projected to recover with expectations of INR18,000-20,000 crores for FY'26, up from INR16,000 crores in FY'25. The Bathware division targets INR480 crores turnover while Adhesives aims for over INR120 crores with 17% EBITDA margin.