Akzo Nobel India’s Q2 2025-26: Revenue dips, profitability holds steady

Akzo Nobel India Limited reported a 1.5% decrease in revenue to INR 8,349 million for Q2 2025-26, down from INR 8,477 million (restated) in the prior year. This was primarily due to pricing corrections offsetting volume growth. Despite this, the company maintained a stable EBIT% of 11.1%, attributed to profitability and OPEX management, generating EBIT of INR 923 million. PAT (excluding exceptional items) also saw a slight decline of 3.7% to INR 730 million, compared to INR 758 million (restated) previously.

The Decorative Paints vertical experienced high single-digit growth in the Premium segment driven by brand and market activation. However, B2C performance was impacted by inclement weather and a shortened festive season, while B2B momentum continued on a high base. The company celebrated 5 years of Dulux Assurance and announced the completion of the Powder Coatings business divestment, resulting in an exceptional income of INR 18.7 billion.

The investor call presentation also highlighted updates on the JSW acquisition, with CCI approval received on September 16 and SEBI clearance for the open offer on October 23. The tender window closed on November 6, and the conclusion of the acquisition is expected by the end of November.