Kajaria Ceramics Q4 Results: Net profit falls 59% due to weak demand, plywood losses

Kajaria Ceramics Q4 Outcomes: Kajaria Ceramics Restricted on Tuesday reported a pointy 59 per cent drop in its consolidated web profit for the January-March quarter (Q4 FY25), as sluggish home demand and losses from discontinued plywood operations weighed on its efficiency.

India’s largest tile producer posted a web profit of Rs 43 crore for the fourth quarter, down from Rs 104 crore in the identical interval final fiscal, in accordance to its inventory change submitting.
The corporate attributed the decline primarily to Rs 30.79 crore loss from its now discontinued plywood enterprise.

Whereas general income from operations grew barely by 1.1 per cent year-on-year (YoY) to Rs 1,222 crore, the corporate stated home tile demand remained muted due to a slowdown in the actual property sector.

The earnings earlier than curiosity, taxes, depreciation, and Amortisation (EBITDA) additionally fell by 20 per cent to Rs 138.4 crore, with working margins narrowing to 11.3 per cent, in contrast to 14.3 per cent a 12 months earlier.

Regardless of the weak demand, Kajaria noticed tile volumes improve by 2 per cent within the quarter and 6 per cent over the monetary 12 months, reaching 114.7 million sq. metres in annual gross sales.

The corporate’s chairman famous that each export and home markets had been gentle through the quarter.

The corporate has exited its three way partnership operations within the UK due to excessive prices and won’t proceed with a deliberate Rs 30 crore tile facility below Kajaria Ultima Personal Restricted.

Nonetheless, it’s shifting ahead with a Rs 15 crore tile adhesives plant in Rajasthan, which is predicted to start operations in June 2025.

Kajaria has additionally launched a brand new subsidiary, Kajaria Adhesive Personal Restricted, and now operates 9 manufacturing items throughout India and Nepal, with a complete manufacturing capability of 90.5 million sq. metres.

Shares of Kajaria Ceramics closed the buying and selling session at Rs 798.20 on the Bombay Inventory Trade (BSE) on Tuesday, down 2.9 per cent or Rs 23.85 following the earnings announcement.