Kansai Nerolac slides as Q3 PAT slumps 75% YoY to Rs 131 cr

Kansai Nerolac Paints tanked 2.26% to Rs 223 after its standalone net profit tanked 75.08% to Rs 131.20 crore in Q3 FY26, compared with Rs 526.49 crore in Q3 FY25.

However, revenue from operations rose 3.53% to Rs 1,907.35 crore in Q3 FY26 as against Rs 1,842.16 crore posted in the same quarter last year.

EBITDA stood at Rs 247.8 crore, registering a marginally growth of 0.2% over the same quarter of the previous year.

Profit before tax (PBT) in Q3 FY26 was Rs 174.28 crore, down 75.25% from Rs 707.28 crore reported in Q3 FY25.

For the nine-month period, Kansai Nerolac Paints reported net revenue of Rs 5,865.79 crore, up 1.9% year-on-year. EBITDA stood at Rs 771.10 crore, down 3.2% compared with the same period last year, while PBT (before exceptional items) declined 4.0% to Rs 714.18 crore. PAT (after exceptional items) was recorded at Rs 498.99 crore.

 

On its outlook, the Indian paint industry, valued at around Rs 77,500 crore as of March 2025, is poised for robust growth in the coming years. Expansion in infrastructure, core sectors, automobile, and real estate is expected to sustain demand for both industrial and decorative paints. Rising urbanization, modernization of commercial and residential spaces, and premiumization of paint products are likely to further strengthen the industrys long-term growth trajectory.

Pravin Chaudhari, MD, Kansai Nerolac Paints, said, That industrial coatings recorded strong growth, driven primarily by the automotive segment. The recent GST rate cuts have boosted demand across various OEM categories. In the decorative segment, demand remained subdued due to a shorter festival season, but the companys internal initiatives in projects, distribution, waterproofing, and construction chemicals helped sustain growth.

Raw material prices remained stable, although the quarter experienced forex volatility and geopolitical uncertainty. Looking ahead, momentum in automotive and performance coatings is expected to continue, while recovery in decorative paints will remain gradual.

Kansai Nerolac is one of the leading paint companies in India and is the leader in Industrial paints. The company has eight strategically located manufacturing units all over India and a strong dealer network across the country. The company manufactures a diversified range of products ranging from decorative paints coatings for homes, offices, hospitals, and hotels to sophisticated industrial coatings for most of the industries.

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