Astral Ltd. Shares Drop 6% as Q1 FY25 Earnings Miss Estimates
Astral Limited’s (Astral Ltd.) shares fell sharply by up to 6% in early trading on Tuesday, August 12, 2025, following underwhelming June quarter results that saw declines in key financial metrics year-on-year (YoY). The PVC pipes and plastic manufacturing giant reported a slump in net profit, revenue, and EBITDA margins amid challenging market conditions.
For the first quarter ended June 30, 2025, Astral Ltd. posted a net profit of ₹81 crore, a steep 32.7% decline compared to ₹120 crore in the same period last fiscal year.
Astral Ltd. Q1 FY25 Financial Performance: Revenue, EBITDA Decline
The company’s revenue from operations dipped 1.6% YoY, clocking in at ₹1,361.2 crore against ₹1,383.6 crore in Q1 of FY24. Operating metrics also deteriorated, with EBITDA plummeting by 13.8% to ₹185 crore from ₹214.4 crore, and the EBITDA margin sliding to 13.6% from 15.5% in the corresponding period.
Broadening the analysis, the Plumbing business EBITDA margin saw a reduction of 150 basis points compared to the previous fiscal year. Meanwhile, the Paints & Adhesives segment experienced an even sharper decline of 280 basis points. These margin contractions underscore the growing competitive and input cost pressures across the PVC pipe industry.
Market Factors and PVC Pricing Volatility
During its recent earnings conference, Astral Ltd. attributed the disappointing results to persistently weak demand and erratic fluctuations in PVC prices. These price swings led to significant inventory losses and reduced realisations for the quarter. However, management noted that market sentiment is gradually stabilizing, with PVC prices showing signs of recovery since the start of the September quarter.
As of August 12, 2025, Astral’s stock is trading 5% lower at ₹1,310.1. Over the last month, the share price has lost 13% of its value, extending its year-to-date (YTD) losses to 21%.
Stay Updated: Learn more about Astral Ltd.’s quarterly developments in Prime News Network’s previous coverage:
- Astral Q4 FY25: Profit Rises 4% to ₹1,900 Crore, New Dividend Declared
- Astral Q3 FY25: Net Profit Stagnates Amid Strong EBIDTA Growth
First Published: Aug 11, 2025 | 4:22 PM IST