Astral Limited — Q2 FY26
Astral delivered a strong Q2 FY2026 with 20% volume growth and 15% value growth, driven by new plant ramp-ups (Hyderabad, Kanpur), improved product mix toward value-added items,...
bullish
high
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
86%Questions answered0Evaded / deflected11Questions auditedContradictedNumbers vs filing
Partial answer
High priority
Can plumbing achieve 17% growth in H2 without ADD?
Asked by Shravan Shah, Dolat Capital
Management reaffirmed double-digit guidance but did not commit to 17% or clarify H2 growth without ADD.
reframed the questionno specific number given
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Question
Is it possible to get some sense that can we see even if, let's say, ADD does not come? If it comes, obviously, it is better. If it does not come, then also can we see a kind of a 17% kind of a growth in the second half?
Sandeep Engineer, Chairman and Managing Director
We have already given a guidance of double digit. We have never said that we are going to deliver 17%. We are standby with the 17%. If ADD will come, that is a bonus to us, and that will be even a much higher number.
Answered
Medium priority
Is October momentum similar to Q2?
Asked by Shravan Shah, Dolat Capital
Management gave a clear affirmative answer about October momentum.
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Question
And so far, sir, October, have you seen the same momentum what we have seen in the 2Q? The same momentum is there on the growth front?
Sandeep Engineer, Chairman and Managing Director
October was also very good.
Answered
High priority
Is QoQ plumbing realization increase due to product mix?
Asked by Shravan Shah, Dolat Capital
Management confirmed product mix improvement drove realization and margin improvement.
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Question
This quarter we have seen QQ plumbing realization kind of 8%, excluding bathware growth. Is it kind of more of a product mix change, particularly on the CPVC front, maybe on the higher side?
Sandeep Engineer, Chairman and Managing Director
Product mix has improved. That is the reason you see there is a substantial improvement in the margin compared to Q1. Definitely, the all value-added product contribution has gone up.
Partial answer
Medium priority
Can India adhesive margin reach 17% in H2?
Asked by Shravan Shah, Dolat Capital
Management reiterated existing guidance but did not commit to 17% or provide a timeline.
no specific number givendeferred to guidance
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Question
On the margin front, in one H, we have already done 15.6%. Is there a possibility that in the second half and maybe going forward, we can see even 17% kind of a margin is also possible in India adhesive?
Sandeep Engineer, Chairman and Managing Director
As of today, we have given the guidance of 15%-16%. We have standby with that. If the growth will be higher, definitely margin can improve.
Answered
High priority
What changed between Q1 and Q2 to drive volume growth from 0% to 21%?
Asked by Sneha Talreja, Nuvama Wealth
Management provided specific reasons: product mix change, aggression, network expansion.
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Question
What has actually changed between Q1 and Q2? While I understand the volatility in polymer prices continued, demand, as you said, that on the ground was still subdued, there was no government spending and everything. What has really changed that moved our volume growth from 0% to about 21%?
Sandeep Engineer, Chairman and Managing Director
Basically, we have changed, as Hiranand and I said, that some of the product mixes definitely changed. Certain products that we manufacture, good demand was there in Q2. Also, we have become a bit more aggressive in terms of our selling in the market and taking the competition head-on.
Evasive
Low priority
What were ad spends this quarter vs last year?
Asked by Sneha Talreja, Nuvama Wealth
Management did not provide the requested comparison and deflected by minimizing ad spend importance.
no number givenreframed the question
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Question
What would have been ad spend last year, same quarter versus this year, same quarter?
Hiranand Savlani, Executive Director and CFO
Ad spend as such is not a big part of the total whatever other expenditures are there. Ad spend is a very minuscule part of it. I think the main thought process is wrong that if the ad spend stops, then the other expense will go down because ad spend contributes to maybe less than 5%-10% of the total other expense.
Partial answer
High priority
Why is EBITDA per kg flat YoY despite volume growth and no inventory loss?
Asked by Keshav Lahoti, HDFC Securities
Management explained price aggression but did not directly address why EBITDA per kg was flat YoY.
no specific number givenreframed the question
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Question
If we see your EBITDA per kg, which is still flat year on year, in spite there was a INR 2- INR 3 per kg loss in September 2024 quarter. That way, margin has reduced if we see in EBITDA per kg terms. Is it due to price aggression?
Sandeep Engineer, Chairman and Managing Director
Price aggression doesn't mean that we are selling at any price. Price aggression is geography to geography wherever we feel that it is the correction. ... In spite of getting aggression also, we are balancing out.
Answered
Medium priority
What is the channel inventory level currently?
Asked by Praveen Sahay, PL Capital
Management gave a clear qualitative assessment of channel inventory being low.
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Question
Is it possible to share some channel inventory level at the sector level? Because of fluctuation in the PVC prices, which has come down, how is the situation right now?
Sandeep Engineer, Chairman and Managing Director
Channel inventory levels are still subdued. Channel is still not having the confidence of stocking much inventory. I think after the ADD announcement, some positive channel inventory buildup might be there. As of right now, channel inventory is very low.
Answered
High priority
Is margin expansion expected from new plant scale-up and lower logistics cost?
Asked by Shaleen Kumar, UBS
Management confirmed the hypothesis and provided utilization levels and timeline.
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Question
Is it fair to assume right now those plants may be at the break-even or even at the loss level? ... Once they scale up, I should start seeing the benefit of operating leverage kicking in. ... Is this hypothesis correct?
Sandeep Engineer, Chairman and Managing Director
Shaleen, your understanding is absolutely correct. Because right now we are incurring losses on new plants because utilization is hardly anything. ... Once the market will pick up industry level and our plant utilization will improve maybe 40%, 50% level, then definitely this benefit will be available.
Answered
Medium priority
What is the expected margin for paints in FY2027?
Asked by Manan Madlani, MJK Investment
Management gave a clear quantitative margin expectation for FY2027.
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Question
For FY2027 basis, what sort of margin should we expect? Is there any gradual improvement in the margins as well as of now?
Sandeep Engineer, Chairman and Managing Director
It should be single-digit margin in FY2027.
Answered
Medium priority
Is CapEx guidance of INR 300-350 crore for FY26 unchanged?
Asked by Shravan Shah, Dolat Capital
Management confirmed the CapEx guidance unchanged.
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Question
On the CapEx in 1H, we have roughly done INR 282 crore. So for full year, INR 300 crore, INR 350 crore that previously we guided, that remains the same?
Sandeep Engineer, Chairman and Managing Director
Whatever we have given the guidance, it is going to remain the same. We are not going to incur more.
Answered
High priority
What is the revenue split for adhesives and paints in H1 and Q2?
Asked by Tanya Kothari, AUM Capital Market Private Limited
Management provided specific revenue numbers for each segment.
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Question
Could you share the current revenue split between this adhesives and paints for the H1 and Q2 as well?
Sandeep Engineer, Chairman and Managing Director
H1 revenue for Astral was INR 566 crore. India operation. U.K., INR 192 crore. Paint, INR 107 crore. ... Adhesives, India was INR 305 crore. Adhesives, U.K., INR 97 crore. Paint, INR 57 crore.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| H1 adhesive India revenue INR 566 crore | ₹566 cr | ₹1,577 cr | Understated vs filing |
| H1 adhesive UK revenue INR 192 crore | ₹192 cr | ₹1,577 cr | Understated vs filing |
| H1 paint revenue INR 107 crore | ₹107 cr | ₹1,577 cr | Understated vs filing |
| Q2 adhesive India revenue INR 305 crore | ₹305 cr | ₹1,577 cr | Understated vs filing |
| Q2 adhesive UK revenue INR 97 crore | ₹97 cr | ₹1,577 cr | Understated vs filing |
| Q2 paint revenue INR 57 crore | ₹57 cr | ₹1,577 cr | Understated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.