Sirca Paints Share Price Surges Over 7% on Fundraising Plans

Sirca Paints' share price surged by over 7% during Monday's trading session, following the company's announcement regarding its upcoming fundraising plans. The stock began trading at ₹390 per share on the BSE and swiftly rose to touch an intraday high of ₹408.95.

This sharp upward movement precedes a crucial board meeting scheduled for Monday, July 14, 2025, at which the company will deliberate on capital-raising measures.

Market Performance

• Opening Price: ₹390
• Intraday High: ₹408.95
• Gains: Over 7% intraday

The stock movement reflects strong investor sentiment driven by upcoming corporate actions.

Main News: Board to Discuss Fundraising via Securities

Sirca Paints informed the exchanges about its board meeting on July 14, where plans to raise funds through the issuance of securities will be evaluated. The potential fundraising avenues include:

• Equity Shares
• Other eligible financial instruments
• Public and/or private offerings
• Preferential Allotments
• Qualified Institutional Placements (QIPs)

This strategic step is designed to strengthen the company's financial foundation and support its upcoming growth initiatives.

Company Overview

Sirca Paints is a small-cap company operating in the paints and coatings sector. The company has consistently earned recognition for offering high-quality finishes that cater to both institutional clients and individual consumers.

With a growing focus on high-value products, the company has been reshaping its product portfolio and expanding its market presence in fiscal year 2025.

Q4 FY25 Financial Performance

Sirca Paints posted a strong performance in Q4 FY25, showcasing robust growth across key financial indicators.

Revenue

• Q4 FY25 Revenue: ₹101.1 Crore
• Q4 FY24 Revenue: ₹82.63 Crore
• YoY Growth: 22.4%

This spike in revenue was attributed to an improved product mix and a growing emphasis on premium product lines.

EBITDA

• Q4 FY25 EBITDA: ₹18.97 Crore
• Q4 FY24 EBITDA: ₹16.25 Crore
• YoY Growth: 16.8%

Despite the rise in absolute EBITDA, margins saw a minor dip due to intensified market competition.

EBITDA Margins

• Q4 FY25 Margin: 18.77%
• Q4 FY24 Margin: 19.66%

The fall in margin was primarily due to higher promotional spending, a strategic approach taken to preserve market share and sustain sales momentum.

Net Profits (PAT)

• Q4 FY25 Net Profit: ₹14.16 Crore
• Q4 FY24 Net Profit: ₹12.51 Crore
• YoY Growth: 13.1%

This growth in PAT indicates steady progress in maintaining profitability despite competitive market conditions.

Full-Year FY25 Performance Highlights

• Total Revenue: ₹374 Crore
• YoY Growth: 20%
• Annual EBITDA: Declined 2% YoY
• Full-Year PAT: ₹49 Crore (4% decline YoY)

The full-year numbers reflect a strong top-line growth, although margins and profits saw marginal pressure due to external market forces.

Summary

Sirca Paints' share price increased by over 7%, driven by market optimism surrounding its capital-raising initiative. The upcoming board meeting on July 14, 2025, will be crucial in determining the company's short-term financial direction.

The company’s Q4 FY25 results revealed:

• 22.4% revenue growth
• 16.8% rise in EBITDA
• 13.1% growth in net profit

However, margin pressures and modest declines in annual EBITDA and PAT underline the challenges posed by a competitive landscape.

Still, Sirca Paints appears focused on strategic product positioning and financial strengthening, indicating a long-term vision despite short-term margin squeezes.