Dear Shareholders,
As I reflect on the past year, I am filled with pride and optimism
about HIL's journey and the exciting future ahead.
HIL enjoys a legacy that spans over 75 years and enjoys market
leadership and strong brand equity across its diverse product offerings. In this backdrop,
the organization has demonstrated the courage to "Reimagine HIL" and to start
execution on the many strategic pivots that will put HIL on the path of "fast paced,
value building growth". This re-pivoting is also timely given favorable macro-trends
pointing to a strong and sustained growth trajectory for investments in infrastructure and
construction sectors in India.
Financially, in FY24, HIL delivered a robust performance with
consolidated revenue of R3,375 crore and an EBITDA of R154 crore. The year was marked by
several proud milestones across all our business segments, providing an early glimpse to
the strategic pivots HIL is making to pursue its growth ambitions.
In the Pipes & Fittings segment, our recent acquisition of Crestia
Polytech (Topline) coupled with strong efforts to deepen our channel presence has provided
us the impetus to be in the fast lane of growth in one of the most exciting categories in
the construction and building products industry. Our Construction Chemicals business is
experiencing robust growth, nearly doubling its revenue year on year. In Roofing &
Building Solutions, we have recorded our highest volumes and solidified market share. To
offset price headwinds across most categories, the team remained sharply focused on
driving operational efficiencies and continuous improvement in our cost structure.
During the year we also received several awards and recognition across
our businesses such as Economic Times Best Brands, India's Best Brand of the Year and
Superbrands awards for Charminar and Birla Aerocon; Most Trusted Brand award for Charminar
and Birla HIL Pipes and INEX award for Birla Aerocon, Charminar and Birla HIL Putty.
Despite challenging conditions in Europe, the re-energised Parador team
has seized the opportunity to enhance market share by leveraging its strengths in product
innovation, design and quality. In addition, we are expanding our areas of play to newer
geographies and into commercial segments. Parador, provides a unique global dimension and
reach to HIL and I truly believe it is one of the most exciting parts of our portfolio.
Underlying these "early wins" are carefully calibrated
investments in building a strong engine for product innovation, branding and marketing and
for building a digital-first organisation. Equally, Environmental, Social, and Governance
(ESG) factors are central to our strategy, reflecting our care for people and communities.
We are committed to not only developing eco-friendly, sustainable products and practices
but also partnering with customers to prioritise environmental responsibility. As a
testament to our continued focus on building sustainable and eco-friendly products and
processes, we received the prestigious GRIHA certification for our AAC Blocks, Panels and
Pipes and "Green Pro" award for cPVC Pipes and Fittings.
Our People are central to HIL's success and our vision is to build
a future-ready organization that is responsible, agile, and innovative. I extend my
gratitude to all of our team-members for passionately and tirelessly creating value for
our stakeholders. Their contributions at every level of the organization are invaluable,
and we remain dedicated to building a culture of excellence, trust, and inclusion. I am
proud to share, that HIL has recently been ranked 12th amongst "Great
Places to Work" in India.
This year, we have also deepened the impact of our CSR activities by
partnering with the Live, Love, Laugh Foundation for improving rural mental health which
has led to significant improvement in the lives of thousands of individuals. This program
has already impacted over 13,500 lives across the country.
On behalf of the Board of Directors, I sincerely thank all our
stakeholders for their unwavering support and trust. We are confident of our path forward
and remain dedicated to creating long-term value as we strive to become one of the most
admired Home and Building brands, globally.
| Warmly, |
CK Birla |
| Chairman |