JSW Dulux has approved a 10-for-1 stock split to improve share liquidity. While consolidated net profit fell 12.4% to ₹79.7 crore due to past business restructuring, the company's retained business saw profit more than double to ₹135.5 crore, driven by 25% volume growth.
JSW Dulux, the paint company formerly known as Akzo Nobel India, has announced a significant proposal to split its equity shares. The board of directors has approved a 10-for-1 stock split, which will sub-divide each share with a face value of ₹10 into ten shares with a face value of ₹1. The company intends for this move to make its stock more accessible to retail investors and improve liquidity in the market. This proposal remains subject to approval by shareholders and regulators.
Alongside the split, the company released its financial results for the first quarter of the 2026-27 fiscal year. The report presents two different pictures of performance, which investors should distinguish clearly. The 'retained business'—the core operations remaining after the company’s recent restructuring—showed strong momentum. Profit for this retained business more than doubled year-on-year to ₹135.5 crore. This growth was supported by a 25% increase in sales volume and an 18.8% rise in revenue, with demand picking up in both decorative paints and industrial coatings.
However, the consolidated financial results, which reflect the overall company performance, showed a decline. Consolidated net profit fell by 12.4% to ₹79.7 crore, while revenue from operations dropped by 2.8% to ₹965 crore. This divergence is primarily due to the impact of the slump sale of the Powder Coatings and International Research Centre businesses, completed in September 2025. Because these segments were part of the company in the previous year's comparative period but are not included now, the headline consolidated figures do not allow for a direct year-on-year comparison.
Management noted that they implemented price increases during the quarter to manage rising costs. The company is actively monitoring the cost of raw materials, particularly Titanium Dioxide, as fluctuations in these prices can put pressure on profit margins. Like many in the manufacturing sector, the company faces the challenge of balancing necessary price hikes against the risk of slowing down sales growth.
For investors, the key area to monitor will be the progression of the stock split process, including the timeline for shareholder approval. Additionally, because the consolidated financials are still adjusting to the effects of the September 2025 business restructuring, the performance of the retained business segments—specifically in decorative and industrial paints—will be the primary indicator of the company’s underlying operational health in upcoming quarters.