Kansai Nerolac sees flat Q2 revenue, profit dip amid market shifts

Kansai Nerolac Paints Limited (KNPL) reported a net revenue of Rs. 1871.02 Crores for the second quarter of FY26, a 0.4% growth over the corresponding previous year's quarter. However, EBIDTA saw a 1.5% de-growth to Rs. 211.85 Crores, and Profit Before Tax (PBT) declined by 4.0% to Rs. 184.39 Crores for the quarter.

For the half-year ended September 30, 2025, net revenue grew 1.1% to Rs. 3958.44 Crores. In contrast, EBIDTA for the half-year decreased by 4.7% to Rs. 523.82 Crores, and PBT de-grew by 4.1% to Rs. 494.47 Crores compared to the previous year. The automotive segment sustained growth, while demand in decorative paints was impacted by extended monsoons.

The board also approved the scheme of amalgamation of Nerofix Private Limited, a wholly-owned subsidiary, with the company, effective April 1, 2025, pending regulatory approvals. The domestic paint industry is estimated at Rs. 77500 crores as of March 2025, with infrastructure, core sector, automobile, and real estate growth expected to positively influence demand.