SIDDHIKA - Siddhika Coatins

📊 NSE: SIDDHIKA 🏢 Miscellaneous 📅 Last Updated: 12/14/2025 13:21

💰 Financial Performance

Revenue Growth by Segment

The company operates in a single business segment (paint contracting). Standalone revenue from operations grew 30.43% YoY to INR 4,802.41 Lacs in FY 2024-25, up from INR 3,681.98 Lacs in FY 2023-24. For the half-year ended September 30, 2025, revenue reached INR 2,724.26 Lacs, a 15.1% increase over the corresponding previous half-year.

Geographic Revenue Split

The company maintains a Pan-India presence, which provides a competitive edge for clients requiring services across multiple locations. Specific percentage splits by region are not disclosed, but growth was attributed to faster recovery in operations nationwide.

Profitability Margins

Consolidated Operating Profit Margin improved to 22.32% in FY 2024-25 from 18.57% in FY 2023-24. Net Profit Margin increased to 16.96% from 13.22% YoY. Standalone Net Profit grew 80.8% YoY to INR 803.13 Lacs.

EBITDA Margin

EBITDA (excluding other income) increased 63.92% YoY to INR 952.33 Lacs in FY 2024-25 compared to INR 580.96 Lacs in FY 2023-24. This growth was primarily driven by higher revenue and better resource utilization.

Capital Expenditure

Depreciation and amortization expenses increased 39.3% to INR 26.92 Lacs in FY 2024-25, reflecting asset additions during the year. Cash used for the purchase of fixed assets was INR 40.48 Lacs for the half-year ended September 30, 2025.

Credit Rating & Borrowing

Finance costs decreased 17.7% to INR 1.67 Lacs in FY 2024-25, representing just 0.03% of total revenue. This reduction was due to lower Bank Guarantee (BG) charges as current BGs are mostly secured by Fixed Deposit Receipts (FDRs). Specific credit ratings are not disclosed.

⚙️ Operational Drivers

Raw Materials

Paint (single brand) and related application materials represent the primary cost of goods consumed, totaling INR 1,325.27 Lacs in FY 2024-25, which is 27.6% of revenue.

Key Suppliers

The company is a single-brand paint contract company, implying a primary supply relationship with that specific brand, though the brand name is not explicitly stated in the text.

Capacity Expansion

The company is expanding its service portfolio to improve future revenue. Current physical capacity metrics are not applicable as it is a service-based contracting firm.

Raw Material Costs

Cost of goods consumed (purchases plus inventory changes) was INR 1,325.27 Lacs in FY 2024-25, a 6.8% increase from INR 1,240.88 Lacs in FY 2023-24, despite a 30% revenue increase, indicating improved procurement efficiency.

Manufacturing Efficiency

Return on Capital Employed (ROCE) improved significantly to 26.30% in FY 2024-25 from 19.43% in the previous year due to better utilization of resources.

📈 Strategic Growth

Expected Growth Rate

30.43%

Growth Strategy

Growth will be achieved through the expansion of the service portfolio and leveraging its position as India's largest single-brand paint contract company to secure repeat business from existing clients. The company also utilizes a Pan-India presence to capture large-scale national contracts.

Products & Services

Paint application services and contracting for residential and commercial projects.

Brand Portfolio

SIDDHIKA

New Products/Services

Expansion in the service portfolio is expected to improve revenue in the coming year, though specific contribution percentages are not disclosed.

Market Expansion

The company continues to focus on its Pan-India service delivery model to capture market share from repeat clients.

Market Share & Ranking

The company identifies as India's largest single-brand paint contract company.

🌍 External Factors

Industry Trends

The industry is seeing a recovery in operations post-disruption. Siddhika is positioning itself by maintaining a healthy order book and focusing on the core segment of repeat client business.

Competitive Landscape

The company competes in the paint application and contracting market, distinguishing itself through its scale and single-brand focus.

Competitive Moat

The moat is built on being the largest player in its niche (single-brand paint contracting) and high client retention. This is sustainable due to the Pan-India execution capability which is difficult for smaller competitors to replicate.

Macro Economic Sensitivity

The company noted faster recovery in operations across India, suggesting sensitivity to national economic activity and construction cycles.

Consumer Behavior

Demand is driven by repeat business and the need for professional Pan-India service providers in the coatings industry.

⚖️ Regulatory & Governance

Industry Regulations

The company complies with the Companies Act 2013 and Accounting Standards specified under section 133. It has implemented audit trail (edit log) facilities in its accounting software as per statutory requirements.