Astral Limited, a manufacturer of CPVC pipes and fittings, has announced its unaudited financial results for the first quarter ended June 30, 2025 (Q1 FY26). The company reported performance impacted by weak demand in the polymer industry and fluctuating polymer prices, while also making strategic moves to strengthen its long-term positioning.
On a year-on-year (YoY) basis, Astral’s consolidated revenue from operations stood at ₹1,361.2 crore in Q1 FY26, down from ₹1,383.6 crore in Q1 FY25, reflecting a decline of approximately 1.62%.
EBITDA decreased to ₹194 crore from ₹226.3 crore, marking a decline of 14.27%, with the EBITDA margin contracting from 16.4% to 14.3%.
Profit After Tax (before other comprehensive income) dropped to ₹79.2 crore from ₹119.5 crore, a fall of 33.72%, while PAT margin fell from 8.6% to 5.8%.
Cash profit was ₹151.1 crore compared to ₹175.1 crore previous year's June quarter, showing a decline of 13.71%.
The plumbing business, which includes pipes, fittings, water tanks, and bathware, reported revenue of ₹953.9 crore in Q1 FY26 versus ₹1,013.2 crore in Q1 FY25, a YoY decline of 5.85%. Segment EBITDA fell to ₹156.5 crore from ₹181.7 crore, down 13.87%, with the margin decreasing to 16.4% from 17.9%. However, sales volume showed a marginal increase, with 56,074 M.T. sold in Q1 FY26 compared to 55,810 M.T. a year earlier. Production capacity increased from 3,81,957 M.T. to 3,87,501 M.T. during the quarter. Within this segment, the bathware division posted sales of ₹33.3 crore, up 27.4% from ₹26.2 crore.
The paints and adhesives business, which includes Resinova, Seal It, and Astral Coatings, reported revenue growth of 9.96% YoY to ₹407.3 crore from ₹370.4 crore. Segment EBITDA, however, declined by 15.92% to ₹37.5 crore from ₹44.6 crore, with the margin reducing from 12.0% to 9.2%.
The adhesive business in India grew 9.2% with an EBITDA margin of 14%, while the paint business in India grew 20.7% with a margin of 1.4%. In the UK, the adhesive business registered growth of 7.1% with an EBITDA margin of 5.42% before forex losses, resulting in a net margin of 0.21%.
Astral announced two major strategic steps during the quarter. The first is backwards integration into CPVC resin manufacturing. Following three years of R&D, the company has developed the capability to produce CPVC resin at international quality standards and competitive costs. Astral signed an agreement to acquire 80% equity of NEXELON CHEM PRIVATE LIMITED for ₹80,000 par value. The total project cost is estimated at ₹150 crore for a capacity of 40,000 M.T., with Astral investing approximately ₹120 crore for its share. Commercial production is expected to begin by Q2 FY27, with the transaction closing in 60 days and investments phased over the next 12 months.
The second initiative is the acquisition of Al-Aziz Plastics Private Limited, completed effective April 1, 2025, for ₹33 crore. Al-Aziz Plastics manufactures fittings and accessories for water, gas, electricity, and solar power distribution. This company is now a wholly-owned subsidiary, and its financials are included in Q1 FY26 results, affecting YoY comparability.
Q1 FY26 was marked by weak demand in the polymer industry and significant PVC price volatility, with average PVC prices dropping about 14% YoY and 4-5% compared to Q4 FY25. This decline led to inventory losses and lower realisations. Astral noted that PVC prices have begun stabilising from the start of Q2 FY26, which could improve realisations and demand. Early July 2025 data shows a 30% YoY volume growth in the piping division and over 30% value growth in the adhesive division in India.
As of June 30, 2025, Astral’s consolidated cash and bank balances stood at ₹488.8 crore, providing financial stability as the company moves ahead with its strategic growth initiatives.
On Tuesday, Astral share price fell by over 7% after the company reported its Q1FY26 results. As of 12:51 pm IST, the stock price was trading at ₹1,280.10 per share, down by 7.35%.
Disclaimer: The article is for informational purposes only and not investment advice.
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