Grasim Industries Limited (GRASIM)
₹2,920.00 +1.18% last close, 16 Oct
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Grasim Industries' revenue was ₹48,716 Cr (+21.4% year on year, -4.7% on the previous quarter), and net profit ₹3,846 Cr (+39.0% year on year); the operating margin was 22.9%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹48,716 | +21.4% | -4.7% |
| Operating profit | ₹11,152 | +75.4% | +2.5% |
| Net profit | ₹3,846 | +39.0% | +1.2% |
| EPS (₹) | 31.64 | +51.3% | +10.0% |
| Operating margin | 22.9% | — | — |
GRASIM delivery percentage and open interest
NSE end-of-day data for
On Fri, 16 Oct 2026, 52.86% of the GRASIM shares traded on NSE were taken to delivery, against the stock's own 20-session average of 59.08%. That is close to its usual level. In GRASIM futures, open interest fell 0.71% while the futures price rose 0.83%: short covering (shorts closing out).
Delivery in the last 5 sessions: 47.0% · 42.4% · 60.1% · 59.1% · 52.9%
A description of what the exchange published, not a recommendation. Names such as "accumulation" or "long buildup" label a pattern in the numbers. How delivery is analysed
📢 Recent Corporate Announcements
Grasim Industries submitted its quarterly compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018 for the period ending September 30, 2026. During the quarter from July 1, 2026, to September 30, 2026, a total of 26,519 equity shares were dematerialised (14,380 via NSDL and 12,139 via CDSL), while zero shares were rematerialised. As of September 30, 2026, 67,74,90,164 shares stand in demat form, representing 99.55% of the company's total equity base.
- 26,519 total equity shares dematerialised during the quarter ended September 30, 2026
- 14,380 shares dematerialised through NSDL and 12,139 shares through CDSL
- Nil shares were rematerialised during the quarter
- Total shares in dematerialised form reached 67,74,90,164, representing 99.55% of total equity
Grasim Industries has subscribed to 23,15,27,093 equity shares of its subsidiary, Aditya Birla Renewables Limited (ABReN), on a preferential basis for a total consideration of ₹235 crore (₹234,99,99,994). The allotment was completed at an issue price of ₹10.15 per share (face value ₹10 plus a premium of ₹0.15). Following this allotment, ABReN's paid-up equity share capital increased from ₹1,683.51 crore to ₹1,915.03 crore, bringing its total paid-up share capital to ₹3,505.03 crore. The capital infusion is small relative to Grasim's scale, representing roughly 0.13% of its TTM revenue of ₹1,84,029 crore and 0.06% of its market cap.
- Subscribed to 23,15,27,093 equity shares of subsidiary Aditya Birla Renewables Limited
- Allotment price set at ₹10.15 per share (₹10 face value plus ₹0.15 premium)
- Total investment consideration of ₹234,99,99,994 (approx. ₹235 crore)
- ABReN paid-up equity capital expanded from ₹1,683.51 crore to ₹1,915.03 crore
- Total paid-up share capital of ABReN reached ₹3,505.03 crore including ₹1,590 crore preference capital
Grasim Industries has announced that its 45%-owned Canadian joint venture, AV Group NB Inc. (AVNB), is temporarily idling its dissolving-grade pulp facility at Nackawic, New Brunswick, around the end of October 2026. The facility holds a capacity of approximately 190K TPA out of AVNB's total 332K TPA capacity. Grasim's total investment in the JV stands at Rs 187.41 crore (Rs 153.04 crore in equity and Rs 34.37 crore in preference shares). Given Grasim's consolidated TTM revenue of Rs 184,029 crore and net worth of Rs 55,277 crore, the direct financial exposure to this JV is negligible (<0.4% of net worth), though it highlights weak global pulp market conditions.
- AVNB to temporarily idle ~190K TPA pulp facility at Nackawic, New Brunswick around end of October 2026
- Grasim holds a 45% stake in the JV with a total investment of Rs 187.41 crore
- Total AVNB dissolving grade pulp capacity is ~332K TPA across Nackawic and Atholville mills
- Decision driven by ongoing challenges in prevailing market conditions and macroeconomic factors
Customs authorities conducted a search under Section 105 of the Customs Act, 1962, at Grasim Industries' Cellulosic Staple Fiber (CSF) manufacturing unit in Nagda, Madhya Pradesh. The search began on the evening of September 11, 2026, and concluded on the morning of September 12, 2026. The enquiry primarily reviewed records regarding import-export transactions, and no Show Cause Notice (SCN) or order has been issued as of date. Grasim stated that there is no material impact on its operations or financials, and plant activities continue as usual.
- Search initiated on September 11, 2026 (evening) and concluded on September 12, 2026 (morning)
- Conducted under Section 105 of the Customs Act, 1962 by Superintendent, Office of the Commissioner of Customs, Indore
- Pertains to Cellulosic Staple Fiber (CSF) business manufacturing unit at Nagda, Madhya Pradesh
- No Show Cause Notice (SCN) or demand order has been issued as on date
Grasim Industries Limited has notified the exchanges of its participation in the Jefferies India Forum 2026 scheduled for September 16, 2026. The interactions will involve physical Group and One-to-One meetings held in Gurgaon. The company clarified that existing investor presentations available on its website will be referenced, and no unpublished price sensitive information (UPSI) will be discussed.
- Investor meeting scheduled for September 16, 2026
- Interaction to take place at the Jefferies India Forum 2026 in Gurgaon
- Format includes both Group and One to One physical meetings
- Company confirmed no unpublished price sensitive information (UPSI) will be shared
Grasim Industries has released its comprehensive Corporate Dossier detailing business overview, structural growth drivers, and financials. The company outlined a planned standalone capex of ₹3,157 Cr for FY27, up from ₹1,980 Cr spent in FY26, primarily led by Cellulosic Fibres (₹1,603 Cr) and Chemicals (₹843 Cr). In FY26, consolidated revenue grew 18% YoY to ₹1,75,431 Cr with an EBITDA of ₹25,872 Cr and adjusted owner's PAT of ₹5,208 Cr. The presentation reinforces its focus on scaling high-growth ventures including Birla Opus (decorative paints) and Birla Pivot (B2B e-commerce).
- Planned FY27 standalone capex stands at ₹3,157 Cr vs ₹1,980 Cr spent in FY26
- Consolidated FY26 revenue rose 18% YoY to ₹1,75,431 Cr, while EBITDA increased 29% YoY to ₹25,872 Cr
- Cellulosic Fibres segment accounts for ₹1,603 Cr of planned FY27 capex, including ₹1,100 Cr for capacity expansion
- Consolidated net debt stood at ₹36,915 Cr as of March 31, 2026, with a net debt/equity ratio of 0.28x (ex-financial services)
Crisil ESG Ratings & Analytics Limited has assigned an ESG rating of 'Crisil ESG 65' under the 'Strong' category to Grasim Industries Limited for FY 2026. This represents an improvement from the 'Crisil ESG 61' score assigned for FY 2025. The intimation was received on 28th August 2026 following an independent and voluntary assessment by Crisil, which the company noted it did not formally commission or endorse.
- Assigned ESG rating of 'Crisil ESG 65' under 'Strong' category for FY 2026
- Score improved by 4 points compared to 'Crisil ESG 61' reported for FY 2025
- Intimation received from Crisil on 28th August 2026
- Independent and unsolicited rating; the company did not engage the agency nor does it endorse the rating
Grasim Industries has informed the exchanges of upcoming one-to-one meetings with institutional investors between August 31, 2026, and September 2, 2026. Interactions include a virtual meeting with Goldman Sachs on August 31, followed by physical meetings in Mumbai with HDFC Mutual Fund on September 1 and Aditya Birla Mutual Fund on September 2. The company confirmed that no unpublished price sensitive information (UPSI) will be discussed and discussions will rely on publicly available investor presentations.
- Virtual one-to-one interaction scheduled with Goldman Sachs on August 31, 2026
- Physical meeting scheduled with HDFC Mutual Fund in Mumbai on September 1, 2026
- Physical meeting scheduled with Aditya Birla Mutual Fund in Mumbai on September 2, 2026
- Company confirmed no unpublished price sensitive information (UPSI) will be shared
Grasim Industries Limited informed the exchanges that ESG Risk Assessments & Insights Limited has assigned an unsolicited ESG score of '66 – Strong' for FY 2026. This represents an improvement from the ESG score of 59 assigned in FY 2025. The company clarified that it did not engage or mandate the rating provider, and the assessment was conducted independently without Grasim's endorsement.
- ESG score for FY 2026 assigned at '66 – Strong'
- Previous ESG score stood at 59 for FY 2025
- Rating assigned by SEBI-registered Category I provider ESG Risk Assessments & Insights Limited
- Company confirmed the rating was unsolicited and not formally engaged or endorsed by Grasim
Grasim Industries Limited announced that shareholders at its 79th Annual General Meeting held on August 21, 2026, approved the appointment of Deloitte Haskins & Sells Chartered Accountants LLP as Joint Statutory Auditors. The appointment is for a term of 5 consecutive years, running from the conclusion of the 79th AGM until the 84th AGM in FY 2030-31. This is a routine governance action ensuring regulatory compliance with auditor rotation and statutory audit requirements.
- Shareholders approved the appointment at the 79th AGM held on August 21, 2026
- Deloitte Haskins & Sells Chartered Accountants LLP appointed as Joint Statutory Auditor
- Appointed for a 5 consecutive year term up to the 84th AGM in FY 2030-31
Grasim Industries Limited announced the voting results and scrutinizer's report for its 79th Annual General Meeting held on August 21, 2026. All ordinary and special resolutions were passed with the requisite majority, with overall voting participation at approximately 81.05% of eligible voting rights. Key approvals include the adoption of FY2026 standalone and consolidated financial statements (99.96% in favour), declaration of dividend (99.998% in favour), and the reappointment of Mr. Kumar Mangalam Birla as Director (94.65% in favour). Additionally, the appointment of Deloitte Haskins & Sells LLP as Joint Statutory Auditors and commission payment to Non-Executive Directors were approved.
- Overall voter turnout stood at 81.05% across 54.96 crore votes polled out of 67.81 crore total voting rights
- Adoption of FY2026 financial statements passed with 99.96% votes in favour
- Declaration of dividend passed with 99.998% votes in favour (54,96,77,663 votes)
- Reappointment of Mr. Kumar Mangalam Birla approved with 94.65% votes in favour
- Deloitte Haskins & Sells Chartered Accountants LLP approved as Joint Statutory Auditors
Grasim Industries, alongside group companies Hindalco Industries (50%) and UltraTech Cement (41%), has incorporated UHG Holdings IFSC Private Limited in GIFT City, Gujarat on August 20, 2026. Grasim subscribed to a 9% equity stake (9,000 shares of ₹10 face value) for a total consideration of ₹90,000. The IFSC entity is set up to purchase, lease, charter, and operate aircraft, ships, and ocean vessels subject to IFSCA approval. Given Grasim's TTM revenue of ₹1,84,029 Cr, the initial financial outlay is negligible.
- Grasim acquired a 9% stake (9,000 shares) for a cash consideration of ₹90,000.
- Hindalco holds a 50% stake (₹5,00,000) and UltraTech holds a 41% stake (₹4,10,000) in the new entity.
- Total initial paid-up equity capital is ₹10,00,000 (1,00,000 shares of ₹10 face value).
- Entity will engage in purchasing, leasing, and chartering aircraft, ships, and ocean vessels.
- Requires regulatory approval from the International Financial Services Centres Authority (IFSCA).
Grasim Industries concluded its 79th Annual General Meeting (AGM) on 21st August 2026. During the proceedings, Chairman Kumar Mangalam Birla highlighted the company's FY26 financial performance, achieving record consolidated revenue of ₹1,75,431 crore and an all-time high EBITDA of ₹25,872 crore. Key resolutions transacted included the adoption of FY26 accounts, dividend declaration, reappointment of directors, and the appointment of Deloitte Haskins & Sells as Joint Statutory Auditors for a 5-year term. Final e-voting results will be disclosed within two working days.
- 79th AGM held successfully on 21st August 2026 via video conferencing
- Reported landmark FY26 consolidated revenue of ₹1,75,431 crore and peak EBITDA of ₹25,872 crore
- Appointment of Deloitte Haskins & Sells Chartered Accountants LLP as Joint Statutory Auditors for a 5-year term
- Transacted resolutions for dividend declaration and commission payment to Non-Executive Directors for 5 years
- Remote e-voting was conducted from 17th August to 20th August 2026, alongside Insta Poll during the meeting
At Grasim Industries' 79th Annual General Meeting, Chairman Kumar Mangalam Birla outlined the strategic roadmap, projecting consolidated revenue to reach ₹2,00,000 crore in FY27, up from ₹1,75,431 crore achieved in FY26. Key growth drivers include Birla Opus, which captured a 10% standalone revenue market share in decorative paints in FY26, and Birla Pivot, which crossed ₹8,500 crore in revenue ahead of guidance. The company is investing nearly ₹4,000 crore to expand Lyocell fibre capacity fivefold, while its renewables platform targets 20 GW+ supported by the ~5 GW Sprng Energy acquisition. The Board approved a dividend of ₹10 per share, maintaining an uninterrupted 63-year payout track record.
- Targeting ₹2,00,000 crore consolidated revenue in FY27 compared to ₹1,75,431 crore reported in FY26 and ₹25,872 crore EBITDA.
- Birla Opus achieved a 10% standalone revenue market share in Indian decorative paints, reaching early teens along with Birla White putty.
- Birla Pivot surpassed its ₹8,500 crore annual revenue guidance a full year ahead of schedule.
- Underway with nearly ₹4,000 crore capex in the Cellulosic Fibres business to expand Lyocell capacity ~5x.
- Aditya Birla Renewables has clear visibility of ~10 GW (aiming for 20 GW+), augmented by the ~5 GW Sprng Energy acquisition from Shell.
Grasim reported a 21% YoY rise in consolidated Q1 FY27 revenue to Rs 48,716 crore, marking its 24th consecutive quarter of YoY top-line growth. Standalone revenue grew 28% YoY to Rs 11,795 crore, while standalone EBITDA more than doubled (+107% YoY) to Rs 1,094 crore. Birla Opus decorative paints generated Rs 1,661 crore in revenue (up 64% YoY and 17% QoQ), gaining 30 bps sequential market share despite taking an 8.8% price increase to offset raw material cost shocks. Additionally, B2B e-commerce venture Birla Pivot grew 75% YoY toward an annualized Rs 10,000 crore run rate, targeting EBITDA breakeven by the end of FY27.
- Consolidated Q1 FY27 revenue reached Rs 48,716 crore, up 21% YoY, representing 24 consecutive quarters of YoY revenue expansion.
- Standalone business posted revenue of Rs 11,795 crore (+28% YoY) with EBITDA surging 107% YoY to Rs 1,094 crore.
- Birla Opus Paints delivered Rs 1,661 crore in revenue (+64% YoY, +17% QoQ) and expanded market share by 30 bps QoQ.
- Birla Pivot B2B business grew 75% YoY, tracking toward an annualized Rs 10,000 crore run rate with guided EBITDA breakeven by FY27 exit.
Financial Performance
Revenue Growth by Segment
Standalone revenue for Q2 FY26 was INR 9,610 Cr, representing a 26% YoY growth from INR 7,623 Cr. Financial Services (ABCL) revenue grew 3% YoY, while the Textile segment grew 6% YoY to INR 586 Cr. Standalone business now contributes 24% to overall consolidated revenues as of Q2 FY26.
Profitability Margins
Standalone EBITDA margin for Q2 FY26 was 16%, a decline from 18% in Q2 FY25. FY2025 standalone PAT margin was 0.7%, down from 3.6% in FY2024, primarily due to initial costs related to the paints and B2B businesses and low realizations in core segments.
EBITDA Margin
Standalone EBITDA for Q2 FY26 was INR 1,786 Cr, up 10% YoY from INR 1,619 Cr, though the margin compressed by 200 basis points to 16% due to ramp-up costs in new ventures.
Capital Expenditure
Grasim incurred a significant capex of INR 10,000 Cr for decorative paints between FY2023-FY2025 (INR 9,352 Cr spent by March 31, 2025). Planned FY2026 capex includes INR 839 Cr for Cellulosic Fibres and INR 668 Cr for Chemicals. Total standalone capex for FY2025 was approximately INR 3,500 Cr.
Credit Rating & Borrowing
Grasim maintains a strong credit profile with a CRISIL AAA/Stable rating. Interest coverage ratio stood at 3.4 times in FY2025, a decline from 6.8 times in FY2024 due to increased debt for capex and margin pressure.
Operational Drivers
Raw Materials
Core raw materials include wood pulp and salt (for Cellulosic Staple Fibre and Chemicals). These materials are critical as they form the primary cost base for the core standalone businesses.
Capacity Expansion
Current installed capacity for Caustic Soda is 1,505 KTPA and Cellulosic Staple Fibre (CSF) is 879 KTPA. Decorative paints capacity is 1,332 MLPA across six plants. ECH and CPVC plants are expected to be mechanically complete by Q3 FY2026 and contribute to profits from Q1 FY2027.
Raw Material Costs
Raw material and initial setup costs for the paints and B2B businesses led to a moderation in standalone operating margins to 5.2% in FY2025 from 9.2% YoY. Procurement strategies focus on cost leadership and integrated operations to manage cyclicality.
Manufacturing Efficiency
Manufacturing efficiency is driven by volume growth and realization improvements. Q2 FY26 saw volume-led growth in the chemicals segment, which helped offset lower realizations.
Logistics & Distribution
Lower logistics costs were a key driver for margin improvement in the chemicals business during Q2 FY2026, enhancing the cost-to-serve efficiency.
Strategic Growth
Expected Growth Rate
14%
Growth Strategy
Growth will be achieved through a large-scale foray into decorative paints (Birla Opus) targeting INR 10,000 Cr turnover by FY2028 and the B2B e-commerce segment (Birla Pivot) targeting USD 1B revenue by FY2027. The company is also expanding into return-accretive segments like ECH and CPVC.
Products & Services
Cellulosic staple fibers (CSF), caustic soda, decorative paints, linen yarn, insulators, cement (via UltraTech), and financial services (via Aditya Birla Capital).
Brand Portfolio
Birla Opus (Paints), UltraTech (Cement), Aditya Birla Capital (Financial Services), Birla Pivot (B2B E-commerce).
New Products/Services
Decorative paints (Birla Opus) and B2B e-commerce platform (Birla Pivot). Birla Opus aims to be the number two player and profitable within three years of full-scale operation.
Market Expansion
Expansion into the decorative paints market with six plants nationwide and a foray into the B2B e-commerce segment for building materials.
Market Share & Ranking
Largest caustic soda manufacturer in India (1,505 KTPA) and a global leader in CSF (879 KTPA). Aiming for the #2 position in the Indian decorative paints market.
Strategic Alliances
Investment of up to INR 1,000 Cr in ABRen (Renewables subsidiary) to support the group's green energy transition.
External Factors
Industry Trends
The industry is shifting toward sustainable fibers and urban aspiration-led demand in decorative paints. Grasim is positioning itself as a leader in sustainable cellulosic fibers and a major player in the high-growth paints sector.
Competitive Landscape
Intense competition in the core CSF and chemical segments; the paints segment is characterized by established incumbents where Grasim is aggressively expanding to gain market share.
Competitive Moat
Grasim's moat is sustained by its status as a flagship holding company with strategic investments in UltraTech (INR 1.9 Lakh Cr value) and ABCL, providing massive financial flexibility (Debt/Market Value < 0.05x) and steady dividend inflows.
Macro Economic Sensitivity
High sensitivity to economic downturns, which directly impact the demand for CSF in the textile industry and caustic soda in industrial applications.
Consumer Behavior
Urban aspiration is driving demand for decorative paints, while global demand for sustainable and natural fibers is supporting the CSF business.
Geopolitical Risks
Susceptible to global capacity additions (particularly from international competitors) and weak global macroeconomic conditions that can lead to intense competition and margin pressure.
Regulatory & Governance
Industry Regulations
Operations are subject to environmental regulations regarding water and soil emissions and hazardous waste disposal. State-level regulations on renewable energy banking and billing impact the feasibility of green energy targets.
Environmental Compliance
Focus on reducing carbon emissions by increasing renewable power usage to a target of 40% within three years. ESG practices are well-defined at both the standalone and subsidiary levels.
Taxation Policy Impact
Standalone tax expense for Q2 FY26 was INR 276 Cr. The company is subject to standard corporate tax rates and fiscal policies affecting the chemical and textile sectors.
Risk Analysis
Key Uncertainties
The primary uncertainty is the ability to profitably expand and gain market share in the decorative paints segment following a significant INR 10,000 Cr investment outlay.
Technology Obsolescence Risk
The foray into B2B e-commerce (Birla Pivot) is a proactive step to mitigate the risk of digital disruption in the building materials supply chain.
Credit & Counterparty Risk
Liquidity position is strong with unencumbered cash and liquid investments of ~INR 4,229 Cr as of March 31, 2025, ensuring high receivables quality and meeting short-term obligations.
