Grasim Industries Q1 FY27 Results: Revenue Rises 21%, EBITDA Jumps 26% to ₹8,077 Crore

Grasim Industries Limited reported a strong operating performance in the first quarter of FY2026-27, with consolidated revenue from operations increasing 21% year-on-year to ₹48,716 crore. Consolidated EBITDA rose 26% to ₹8,077 crore, while profit attributable to owners increased 51% to ₹2,146 crore.

The company’s Q1 FY27 earnings presentation, dated August 2026, highlights growth across its diversified portfolio spanning cellulosic fibres, chemicals, building materials, financial services and new-age businesses.

Grasim Q1 FY27 Consolidated Financial Highlights

The company reported a particularly strong improvement at the profit level. Consolidated PAT increased 39%, while PAT attributable to owners rose 51% year-on-year. EBITDA margin remained steady at 16%.

Standalone Performance Improves Sharply

Grasim’s standalone business also recorded a significant improvement during Q1 FY27.

Standalone revenue from operations increased to ₹11,795 crore, compared with ₹9,223 crore in Q1 FY26, representing growth of 28%.

Standalone EBITDA more than doubled to ₹1,094 crore, from ₹528 crore in the year-ago quarter. EBITDA margin consequently improved to 9% from 6%.

The company reported standalone profit before tax of ₹297 crore, compared with a loss before tax of ₹156 crore in Q1 FY26. Standalone reported PAT stood at ₹247 crore, against a loss of ₹118 crore in the previous-year quarter.

Standalone Q1 FY27

• Revenue: ₹11,795 crore, up 28%
• EBITDA: ₹1,094 crore, up 107%
• EBITDA margin: 9%
• PBT: ₹297 crore
• PAT: ₹247 crore

This marks a substantial turnaround in the standalone business.

Strong Trailing-Twelve-Month Performance

Grasim’s longer-term financial metrics also show continued expansion.

For the trailing twelve months ended June 2026, consolidated revenue reached ₹1,84,029 crore, while EBITDA stood at ₹27,520 crore and PAT attributable to owners before exceptional items was ₹5,919 crore.

The company’s consolidated revenue has increased from ₹1,48,478 crore in FY25 to ₹1,75,431 crore in FY26 and ₹1,84,029 crore on a TTM basis.

Grasim’s Diversified Business Portfolio

Grasim’s business portfolio gives it exposure to several structural growth themes in the Indian economy.

Its key businesses include:

• Cellulosic staple fibre and cellulosic fashion yarn
• Chemicals
• Cement through UltraTech Cement
• Decorative paints through Birla Opus
• Building materials
• Financial services through Aditya Birla Capital
• Renewable energy
• B2B e-commerce through Birla Pivot
• Textiles and other businesses

The company describes its portfolio as being positioned across India’s consumption, manufacturing, infrastructure, housing, renewable-energy and financialisation themes.

Cellulosic Fibres: Capacity Expansion Underway

Cellulosic fibres remain an important growth area for Grasim.

The company is progressing with its Lyocell capacity expansion. Phase 1 involves 55,000 tonnes per annum (TPA) of capacity, with detailed engineering work nearing completion and civil work progressing according to plan.

Phase 2 involves an additional 110,000 TPA, with environmental clearance currently under progress.

Grasim highlighted the growth opportunity for cellulosic fibres, noting that cellulosic fibres currently account for only around 7% of the global textile fibre basket. The company also pointed to cotton supply constraints and growing demand for sustainable and biodegradable fibres as potential growth drivers.

Manufacturing Environment Remains Supportive

The macroeconomic environment during Q1 FY27 showed improvement in several areas.

India’s Index of Industrial Production grew 5.7% year-on-year in Q1 FY27, compared with 3.5% in Q1 FY26.

The manufacturing sector recorded average growth of 6.3%, compared with 4.1% in Q1 FY26. The textiles sector grew approximately 14.3%, while the chemicals sector declined around 0.6%.

India’s merchandise exports also increased 16.1% year-on-year to $129.5 billion during Q1 FY27.

Non-food bank credit growth improved to approximately 18.3%, compared with 16.9% in Q4 FY26 and 9.3% in Q1 FY26.

Chemicals Business

Grasim has a substantial chemicals portfolio covering chlor-alkali, specialty chemicals, water treatment, PVC additives and industrial applications.

The company operates chemical facilities across locations including Vilayat, Nagda, Rehla, Renukoot, Ganjam, Karwar, Veraval and Balabhadrapuram.

The chemicals business is also part of Grasim’s planned FY27 capital expenditure programme, with investments focused on capacity expansion as well as modernisation and maintenance.

Building Materials and Birla Opus

Building materials represent another major growth opportunity for Grasim.

The portfolio includes:

• Grey cement
• White cement and putty
• Ready-mix concrete
• Decorative paints

Grasim’s decorative paints business, Birla Opus, is part of its new high-growth businesses.

The company plans to spend ₹411 crore on Birla Opus during FY27. It had already spent ₹74 crore during Q1 FY27.

FY27 Capex Plan: ₹3,157 Crore Standalone

Grasim has outlined a substantial standalone capital expenditure programme for FY27.

Within the cellulosic fibres allocation, ₹1,100 crore is planned for capacity expansion and ₹503 crore for modernisation and maintenance.

The chemicals business has ₹329 crore earmarked for capacity expansion, while ₹514 crore is planned for modernisation and maintenance.

Financial Services Remain a Major Part of the Group

Grasim’s financial-services exposure is primarily through Aditya Birla Capital, in which it holds a 53.06% stake.

The financial-services portfolio includes NBFC and housing finance operations, life and health insurance, broking, asset management and wellness businesses.

The group’s diversified financial-services exposure provides Grasim with participation in India’s increasing financialisation and credit-growth opportunity.

Strong Balance Sheet and Net Worth

Grasim’s consolidated net worth stood at ₹1,08,798 crore as of June 30, 2026, compared with ₹1,03,469 crore at March 31, 2026.

Consolidated other borrowings stood at ₹53,205 crore, while borrowings related to financial services were ₹1,82,682 crore.

Net debt stood at ₹39,877 crore as of June 30, 2026, compared with ₹36,915 crore at March 31, 2026.

Importantly, net debt to TTM EBITDA improved to 1.45x, compared with 1.62x a year earlier.

Investment Portfolio Adds Strategic Value

Grasim’s investment portfolio includes significant interests in businesses such as UltraTech Cement and Aditya Birla Capital, along with renewable-energy subsidiaries and other investments.

As of June 30, 2026, investments included:

• UltraTech Cement: ₹2,636 crore
• Aditya Birla Capital: ₹21,727 crore
• Renewables subsidiaries: ₹1,253 crore
• Liquid investments: ₹13,328 crore on a consolidated basis
• Other investments and financial-service assets across the group

Sustainability Remains a Focus

Grasim reported improvement in several sustainability indicators.

Renewable power capacity increased from 11% in FY25 to 24% in FY26, remaining at 24% in Q1 FY27.

The share of recycled and reused water relative to freshwater withdrawal stood at 53% in FY26 and 50% in Q1 FY27.

The company’s manufacturing businesses also received various awards for safety, quality systems, process innovation and environmental, health and safety performance.