Brands
Pidilite earnings call: Q3 revenue up 11 per cent, exports slide 13.5 per cent
Domestic volumes rose 11 per cent while exports fell 13.5 per cent, management says
MUMBAI: Pidilite Industries delivered a resilient third quarter, leaning on strong domestic volumes to cushion a sharp export slowdown, management said during its Q3 FY26 earnings call on 4 February.
The Mumbai-based adhesives and construction chemicals maker reported standalone revenue of Rs 3,425 crore, up 11 per cent year on year, driven by underlying volume growth of 9.3 per cent. Domestic volumes grew 11 per cent, extending a recovery trend seen over the past eight quarters, while exports fell 13.5 per cent amid geopolitical disruptions.
Standalone Ebitda margin improved by around 24 basis points to 24.5 per cent, aided by softer input costs, even as the company stepped up advertising and brand investments. Profit after tax rose 12.5 per cent. Consolidated revenue increased 10.2 per cent to just under Rs 3,700 crore.
Managing director Sudhanshu Vats, said the export decline was largely concentrated in the pigments business, which has direct exposure to the US and remains affected by tariff uncertainty. While a potential tariff resolution is still several months away, he said the worst of the export impact was likely behind the company.
Domestic B2B volumes delivered mid-teens growth, with management aiming to restore overall B2B growth to similar levels. The consumer and bazaar segment posted volume growth of 9.7 per cent during the quarter.
The company incurred a one-time charge of Rs 47 crore at the standalone level under the new wage code, covering gratuity and leave encashment provisions.
Vats reiterated Pidilite’s intent to build Roff as its next large brand, following what he described as the company’s “classic playbook”. He said Roff’s positioning remains distinct from mass FMCG cleaning brands, anchored in its adjacency to tiling and construction activity rather than general household use.
Joint managing director Kavinder Singh, said demand across the construction portfolio remained robust, with no signs of slowdown across residential, commercial, infrastructure or industrial segments. Around 70 to 75 per cent of Pidilite’s construction-linked business continues to come from repair and renovation, providing insulation from any slowdown in new builds.
The tile adhesive category, which replaces traditional cement usage, is growing at an estimated 18 to 20 per cent, driven by penetration gains rather than overall tile demand. Management said Pidilite expects to continue outgrowing the category through pricing discipline and distributed manufacturing.
Beyond its core businesses, the company continues to invest in emerging segments such as electronic adhesives, which involve long testing cycles but offer strategic long-term potential. Haisha Paints remains in a calibrated rollout phase, with a wider launch contingent on establishing a clear operating model.
Chief financial officer Sandeep Batra said the company would continue to prioritise growth over short-term margin optimisation, reaffirming its long-term consolidated Ebitda comfort corridor of 20 to 24 per cent.
Brands
Dunkin’ Donuts to exit India as Jubilant FoodWorks ends 15-year franchise deal
The quick service restaurant giant is ending a 15-year franchise partnership with the American doughnut chain, even as it renews its Domino’s agreement for another 15 years
NOIDA: Dunkin’ is done in India. Jubilant FoodWorks Ltd, the country’s leading quick service restaurant operator, has decided not to renew its franchise agreement with the American coffee and doughnut chain, and will wind down its Indian stores in a phased manner before December 31, 2026, bringing a 15-year partnership to a quiet, loss-laden close.
The decision, approved by JFL’s board on March 30, 2026, ends a relationship that began with a Multiple Unit Development Franchise Agreement signed on February 24, 2011. JFL will now evaluate and undertake what it described in a regulatory filing as the “rationalisation and/or cessation of certain operations and/or sale, transfer or disposal of assets and/or assignment or transfer of franchise rights,” all in consultation with Dunkin’s brand owners and strictly within the terms of the original agreement.
The numbers tell the story bluntly. In the financial year 2024-25, Dunkin’ India posted a revenue of Rs 37 crore against a loss of Rs 19 crore — a haemorrhage that was always going to test the patience of a parent company recording revenues of Rs 6,104 crore and a profit of Rs 194 crore in the same period. Doughnuts, it turns out, were never going to move the needle.
The contrast with JFL’s handling of its other marquee franchise could hardly be sharper. Even as it walks away from Dunkin’, the company has just doubled down on Domino’s, signing a fresh Master Franchise Agreement on March 31, 2026, granting it exclusive rights to develop and operate Domino’s Pizza stores in India for 15 years, with an option to renew for a further 10.
JFL, incorporated in 1995 and promoted by the Bharatia family, operates a network of more than 3,500 stores across six markets — India, Turkey, Bangladesh, Sri Lanka, Azerbaijan and Georgia. Its portfolio includes Domino’s and Popeyes on the global side, and two home-grown brands: Hong’s Kitchen and COFFY, a café brand in Turkey.
For Dunkin’, India was always a stretch. The brand never quite cracked the cultural code in a market where filter coffee and chai command fierce loyalty and where the doughnut remains, at best, an occasional indulgence rather than a daily habit. Fifteen years, mounting losses and a parent with better things to spend its capital on was always going to be a difficult equation to solve.
The doughnut has had its last day. The pizza, however, is staying.
