Orient Bell Limited , a leading tile manufacturer, reported a 3% year-on-year decline in net sales for the first quarter, with revenues reaching ₹142.50 crores compared to ₹147.30 crores in the same period last year. The company maintained its sales volumes but faced challenges due to lower average selling prices, attributed to increased trade discounting and heightened competition in the market.

Financial Highlights

Despite the revenue dip, Orient Bell saw improvements in other financial metrics:

• Gross margins improved by 50 basis points to 36.50%
• Consolidated EBITDA stood at ₹5.60 crores, with margins improving by 60 basis points
• Net debt position remained stable at ₹9.50 crores
• Cash conversion cycle improved to 33 days from 35 days in the previous year's corresponding quarter

Product Mix and Market Dynamics

The company reported a shift in its product mix:

CEO Aditya Gupta noted that demand remained subdued, with exports showing some improvement in May and June. However, the three-month moving average for exports still remains below the previous fiscal year's levels. The challenging market conditions have led to approximately 39 units in Morbi shutting down in the last three months.

Strategic Initiatives

Orient Bell continues to focus on enhancing customer experience and brand building:

• Launched an AI-based visualization tool for dealers, which has crossed one million views
• Continued TV campaigns covering core markets in North, East, and Tamil Nadu
• Restructured Orient Bell Tile Boutiques operations to drive display upgradation and influencer services across 385 boutiques
• Implemented a flatter sales structure with greater on-ground empowerment

Industry Outlook

The tile industry faces several challenges, including subdued demand, heightened competition, and overcapacity. However, Orient Bell remains optimistic about future prospects:

• Capacity additions in Morbi have slowed down significantly
• Indian tiles are technically competitive and cost-effective compared to global counterparts
• The company is well-positioned to grow margins and revenues once market conditions improve

Management Changes

Orient Bell welcomed Anuj Arora as its new Chief Financial Officer. Arora, a Chartered Accountant with over 23 years of diverse industry experience, will be based at the company's corporate office in Delhi.

As Orient Bell navigates through the current market challenges, it remains focused on cost control, brand building, and enhancing distribution networks to drive growth and improve market share in the coming quarters.

Orient Bell Limited , a leading manufacturer of ceramic tiles and allied products, has announced its unaudited financial results for the first quarter ended June 30, 2025, along with a significant change in its leadership team.

Financial Performance

For Q1 FY2026, Orient Bell reported:

• Consolidated revenue from operations: ₹142.06 crore, a 3.5% decrease from ₹147.21 crore in Q1 FY2025
• EBITDA: ₹5.60 crore, a 13.3% increase from ₹4.90 crore in Q1 FY2025
• Gross margins: Improved by 130 basis points year-on-year
• EBITDA margin: Rose to 3.9% from 3.3% in the corresponding quarter last year

Key Operational Highlights

Orient Bell focused on efficiency and cost management during the quarter:

• Cost of production reduced by 2.2% on a like-for-like basis at constant product mix and energy costs
• Share of sales from vitrified tiles increased to 58% (up 2% year-on-year)
• Glazed Vitrified Tiles (GVT) sales rose to 40% of total sales (up 1.6% year-on-year)
• Marketing investments stood at 3.7% of sales

Appointment of New CFO

Orient Bell's Board of Directors has approved the appointment of Mr. Anuj Arora as the company's new Chief Financial Officer (CFO), effective August 5, 2025. Key points about Mr. Arora:

• Over 23 years of diverse industry experience across manufacturing, retail, and hospitality sectors
• Chartered Accountant by profession
• Expertise in business partnering, financial controllership, financial reporting, and taxation
• Previously associated with Uflex Limited, Apollo International Limited, Reliance Retail Limited, and Ballarpur Industries Limited

The appointment was based on recommendations from the Nomination and Remuneration Committee and Audit Committee.

Strategic Outlook

Orient Bell's recent developments indicate:

• A focus on improving operational efficiency
• Strategic enhancement of product mix, emphasizing higher-value segments like vitrified and glazed vitrified tiles
• Strengthening of financial management and strategic planning capabilities with the appointment of an experienced CFO

As Orient Bell navigates the challenges in the ceramic tiles industry, these initiatives aim to drive long-term growth and profitability for the company.