Indigo Paints Share Analysis

Indigo Paints is a major Indian paint company based in Pune, Maharashtra, known for its innovative and high-quality decorative paints. Founded in 2000 by Hemant Jalan, the company started with cement paints and quickly expanded its product range to include emulsions, enamels, waterproofing solutions, wood coatings, primers, putties, and construction chemicals. Indigo Paints is now recognized as the fifth largest paint company in India by market capitalization and operates five manufacturing units across the country. The company stands out for its focus on unique, differentiated products such as metallic and tile coat emulsions, and it has a strong distribution network that covers all Indian states and union territories.

Company Insights
The company has a market capitalization of 5,718 crores
The share price of the company is 1,200
The book value of the company is 220
The company's debt-to-equity ratio is 0.02
The company's annual dividend yield is 0.29%
The company's stock P/E is 39.7
The earnings per share are 30.2
The company's ROCE is 19.5%

Financial Report
The company's sales in the last 5 years
Sales in 2021 is 723 crores
Sales in 2022 is 906 crores
Sales in 2023 is 1,073 crores
Sales in 2024 is 1,255 crores
Sales in 2025 is 1,277 crores

The company's profit in the last 5 years
Profit in 2021 is 71 crores
Profit in 2022 is 84 crores
Profit in 2023 is 132 crores
Profit in 2024 is 149 crores
Profit in 2025 is 144 crores

Sales & Profit Growth
The company's sales growth in the last 5 years
Sales growth in the last 5 years is 15.4%
Sales growth in the last 3 years is 12.1%
Sales growth in the last 1 year is 1.78%

The company's profit growth in the last 5 years
Profit growth in the last 5 years is 24.7%
Profit growth in the last 3 years is 19.6%
Profit growth in the last 1 year is -2.87%

Holdings
Promoters are 53.93%
FIIs are 12.41%
DIIs are 16.74%
Public are 16.93%

Company News

• Pune-based Indigo Paints has demonstrated resilience in its financial performance, despite sluggish revenue growth in the fiscal year ending March 2025. The company reported a net profit of ₹143.9 crore for FY25, a slight decline of 3.17% compared to the previous year, while revenue grew modestly by 1.78% to ₹1,277 crore. In the January–March quarter (Q4 FY25), net profit rose 6.32% to ₹56.9 crore, with sales remaining nearly flat at ₹367 crore. Indigo Paints maintained healthy operating margins of around 22.6%, supported by a consistent softening of raw material prices over the past six months, which is expected to continue and aid margin improvement in upcoming quarters.

• The company’s product segments showed mixed performance in Q4 FY25: enamels and wood coatings led growth with volume up 7.9%, while putty and cement paints declined significantly. Indigo Paints continues to expand its dealer network, now reaching over 18,000 active dealers across 28 states, and has installed tinting machines at more than 11,000 outlets. It operates five manufacturing plants and is constructing a new water-based paint plant in Jodhpur, which is expected to be operational by Q3 FY26, along with plans for a solvent-based plant and expansion of putty capacity.

• Strategically, Indigo Paints acquired a 51% stake in Apple Chemie to enter the construction chemicals and waterproofing market, with Apple Chemie posting strong revenue growth in FY25. The company is also advancing sustainability efforts, including a pending 330 kW solar installation at its Kochi plant, and continues community initiatives focused on education, healthcare, and skill development.

• Chairman Hemant Jalan expressed optimism about demand recovery, expecting the paint industry to grow 8-9% by Q2 FY26 and Indigo Paints to outpace this with over 20% growth. He highlighted that the improving demand trend seen in Q4 FY25 should strengthen further in the coming quarters, supported by better product mix and operating leverage.

Technical Analysis

Company Chart

Relative Strength Index (RSI)

Currently, the RSI of the company is 71, which indicates that the stock is in the overbought zone.

Moving Averages (MA)

• The stock price is above the 50-MA, which indicates that the stock is in a bullish trend.

• The stock price is near the 200-MA, which indicates that the stock can either go up or go down.

My Analysis

Indigo Paints has shown strong financial performance recently, with its latest quarterly results reflecting profit growth and improved operational efficiency. For the quarter ending March 2025, the company reported a profit before tax of ₹72.63 crore and a profit after tax of ₹56.9 crore, alongside record net sales of ₹387.56 crore. Operating profit margins improved to 22.56%, indicating better cost management and higher profitability. Although revenue growth was modest, the company maintained healthy margins by reducing expenses, especially in advertising and promotion. Indigo Paints continues to expand its market presence with a wide dealer network and new manufacturing plants under construction, supporting its long-term growth plans. Overall, the company remains financially stable, almost debt-free, and optimistic about future growth driven by innovation and capacity expansion in the competitive Indian paint industry.