Varmora Granito reported a 498 per cent year-on-year increase in first-half profit after tax to Rs 53.7 crore, supported by a strong recovery in the September quarter and higher contributions from premium tiles and technical products. The results are the company’s first since it listed on the BSE and NSE on September 29.
Revenue from operations for the six months ended September 30, 2026, rose 3.3 per cent to Rs 714.2 crore, according to the company. September-quarter revenue increased 9 per cent year-on-year and 27 per cent sequentially to Rs 399 crore, while profit after tax rose 206 per cent to Rs 44 crore from Rs 14.4 crore a year earlier. Profit in the June quarter was Rs 9.7 crore.
The June quarter had been affected by disruptions to tile manufacturing in Morbi after natural gas prices rose sharply amid the West Asia conflict. Several plants remained shut from early March until mid-April, affecting production and sales. Revenue in that quarter declined 2.9 per cent year-on-year to Rs 315.3 crore.
“This is a milestone moment for Varmora as we report our first results as a listed company. Despite a challenging first quarter, we recorded a 498 per cent increase in profit for the first half of the financial year,” Chairman and Managing Director Bhavesh Varmora said.
“The September quarter saw a strong recovery, with revenue growing 27 per cent over the previous quarter. Price increases during the period have recovered the higher gas costs, while our focus remains on cash generation, product innovation and expanding our retail network,” he said.
Premium glazed vitrified tiles and technical products, including Integrated Stone Technology, accounted for 87 per cent of first-half revenue, compared with 83 per cent a year earlier. Revenue from this category grew 9 per cent year-on-year. The company launched 508 new designs during the period and added four exclusive brand outlets, taking its network to 309. It also sells through more than 2,000 multi-brand outlets.
Domestic revenue rose 9 per cent to Rs 589.7 crore and accounted for 83 per cent of first-half sales. Export revenue declined 18 per cent to Rs 124.5 crore, with the company attributing the fall to production disruptions in Morbi and higher freight costs to Gulf markets.
Earnings before interest, tax, depreciation and amortisation stood at Rs 101.3 crore, with an EBITDA margin of 14 per cent compared with 12 per cent a year earlier. The figures indicate that the company’s recovery was accompanied by an improvement in operating margin, even as its export business remained under pressure.
Varmora completed its Rs 708-crore initial public offering during the period, including a fresh issue of Rs 320 crore. The fresh issue proceeds were used to repay debt. The company also commenced production at a new manufacturing facility in Tezpur, Assam, and plans to upgrade its Solaris unit to manufacture glazed vitrified tiles.
The company has also divested its stake in Simola Tiles LLP as part of a stated focus on its core product portfolio. Its latest results highlight how tile manufacturers remain exposed to energy costs, regional production interruptions, freight expenses and the balance between domestic distribution and export markets. The next phase of the company’s expansion will be shaped by production at the Assam facility, the Solaris upgrade and continued growth in its retail network.
