By BullScreen Editorial Team 
Kansai Nerolac Paints Limited reported steady growth in its Q4 results 2026, supported by strong decorative paint demand, expanding B2B projects, and healthy momentum in the automotive coatings business despite rising raw material costs and global supply chain challenges.
The company posted a 7.6% rise in standalone net revenue for the March quarter at Rs. 18,734.4 million. Operating profit, measured through PBDIT, increased 21% year-on-year, while Profit Before Tax before exceptional items climbed 12.8% during the quarter. The performance reflected improved product mix and demand across both decorative and industrial paint segments.
For the full financial year FY2025-26, Kansai Nerolac’s standalone revenue grew 3.2% to Rs. 77,392.3 million. However, annual Profit Before Tax before exceptional items slipped marginally by 0.9%, highlighting pressure from higher crude-linked raw material costs and rupee depreciation. Consolidated annual revenue rose 2.9% to Rs. 80,519.1 million.
The board declared a dividend of Rs. 2.50 per share for FY2025-26. The payout was lower than the previous two years, which had included special dividends.
The company continued to expand its decorative business through construction chemicals, waterproofing products, and premium wood finishes. Its “NxtGen” painting services are now available in over 250 cities, while more than 1.2 lakh painters are linked to its Pragati loyalty platform.
In the industrial coatings business, demand from the automotive sector remained healthy, especially in the two-wheeler and three-wheeler categories. Kansai Nerolac also introduced new products such as Excel Everlast 20 exterior paint and Perma No Heat coating technology.
Management noted that material inflation, crude oil volatility, and disruptions linked to the West Asia crisis could impact future demand visibility, even as construction activity in India remains supportive.
| Metric | Q4 FY26 | YoY Change |
|---|---|---|
| Standalone Net Revenue | Rs. 18,734.4 Million | ▲ 7.6% |
| Operating Profit (PBDIT) | — | ▲ 21.0% |
| Profit Before Tax (Pre-Exceptional) | — | ▲ 12.8% |
| Dividend Declared | Rs. 2.50 Per Share | Lower vs Rs. 3.75 Earlier |
| Consolidated Full-Year Revenue | Rs. 80,519.1 Million | ▲ 2.9% |
| Business Segment | Key Update |
|---|---|
| Decorative Paints | Growth driven by waterproofing, construction chemicals & premium wood finishes |
| Industrial Coatings | Strong demand from automotive sector, especially 2W & 3W segment |
| NxtGen Painting Services | Expanded presence across 250+ cities |
| Pragati Painter Loyalty Program | 1.2+ lakh painters connected |
| New Product Launches | Excel Everlast 20 & Perma No Heat introduced |
| Indicator | FY26 Status |
|---|---|
| Net Working Capital | Increased to Rs. 41,166 Million |
| Capital Expenditure (Capex) | Reduced to Rs. 1,741 Million |
| Inventory Days | Improved to 109 days from 121 days |
| Major Risks | Crude oil inflation, rupee depreciation & West Asia supply disruptions |
| Market Outlook | Construction demand supportive, but inflation may pressure paint prices |
Source: https://www.bseindia.com/xml-data/corpfiling/AttachLive/6b8f5d76-817d-453c-a00e-92c0ffa67064.pdf