Sirca Paints India Limited announced its Q4 and FY25 results along with an investor presentation.
The company acquired the entire business under the brand name "Wembley" from Wembley Paints & Chemicals and Indo Wembley Paints Private Limited, integrating Wembley’s products like thinners, wall paints, enamels, and other coatings into its portfolio. Wembley, established in 1961, is known for its NC sealers and lacquers.
In Q4 FY25, revenue from operations increased to ₹101.10 crore from ₹82.63 crore in Q4 FY24, a growth of 22.4%, driven by a better product mix focusing on high-value product sales.
EBITDA increased to ₹18.97 crore in Q4 FY25 from ₹16.25 crore in Q4 FY24, a growth of 16.8%. However, the EBITDA margin declined from 19.66% to 18.77% due to increased competition leading to higher schemes and discounts.
Profit After Tax (PAT) increased to ₹14.16 crore in Q4 FY25 from ₹12.51 crore in Q4 FY24, a growth of 13.11%.
Other key highlights include expanded dealer network in Tier 2/3 cities, strengthened retail footprint in South India, and successful execution of an Architect Meet in the Maldives.
For Q1FY26, Sirca plans continued market penetration in Tier 2/3 markets, new OEM tie-ups, launch of a new product range under the "Wembley" brand, strategic integration of the Wembley portfolio, and new capex for streamlining Wembley production. They also plan to strengthen architect and influencer engagement and foray into the ultra-premium wall paint segment.
Management Commentary: Growth driven by better product mix with a focus on high-value product sales. Expect an increase in demand after IMD forecast of normal monsoons in India coupled with RBI policies of enhancing liquidity into the system and government thrust on increase in consumption by its favorable fiscal policies.