Grasim Industries Q4 Results: Net loss narrows to ₹288 crore, revenue up 32% YoY; Dividend declared

Grasim Industries Q4 Results: Grasim Industries, the flagship company of the Aditya Birla Group, reported a net loss of ₹288 crore for Q4FY25, narrowing from ₹441 crore in the year-ago period.

Revenue grew 31.9% year-on-year to ₹8,926 crore, ahead of the estimated ₹8,675 crore. However, operating performance lagged expectations. EBITDA came in at ₹221 crore, down 58.1% from ₹527 crore last year.

The board recommended a dividend of ₹10 per equity share of face value ₹2 each, applicable to both fully and partly paid-up shares proportionately, subject to shareholder approval at the upcoming AGM.

Grasim Industries Ltd. has secured its lowest-cost local-currency bond since June 2020, a sign that interest rate cuts and recent cash infusions by the Indian central bank are benefiting companies.

The flagship of billionaire Kumar Mangalam Birla plans to raise as much as 10 billion rupees ($117 million) selling a bond due in five years, according to people familiar with the matter. The note carries a coupon of 6.56%, they said, asking not to be identified as the information is private.

In terms of standalone results, Grasim reported a 40.3 per cent increase in expenses year-on-year to ₹9,406.91 crore, as it continued its large, ₹10,000 crore capital expenditure towards building its decorative paints business, branded Birla Opus. Grasim has stated its plans of breaking even within three years of the launch of full operations in paints.

Birla Opus, the paint brand owned by Aditya Birla Group firm Grasim Industries, has grown in high single digit in FY25, and expects to continue the momentum next fiscal with expansion of the dealers' network and widening of the portfolio, CEO Rakshit Hargave said earlier this month.

The company, a new entrant into the segment, will continue to work on the fundamentals and to keep gaining market share every quarter, he said. "There is a long journey ahead of us. We do not expect any major change in our strategy. We will continue to operate like we are. We will drive more throughput for dealers and increase the range available at dealers," Hargave told PTI.