Varmora GVT and technical products reach 84% of tile revenue

Varmora Granito Limited increased the share of GVT and technical products in tile revenue to 84.19% in Fiscal 2026 from 75.37% in Fiscal 2024. GVT and technical revenue rose by Rs 178.10 crore over the period, while revenue from both PVT and ceramic tiles declined despite total tile revenue increasing.

Why did Varmora GVT and technical products reach 84% of tile revenue?

Varmora GVT and technical products reached 84.19% of tile revenue because category revenue rose to Rs 1,118.98 crore in Fiscal 2026 from Rs 940.89 crore in Fiscal 2024, while the other two reported tile categories contracted. The category accounted for 73.98% of Fiscal 2026 revenue from operations, compared with 65.54% in Fiscal 2024, and its share of tile revenue was 78.71% in Fiscal 2025.

The mix change occurred alongside growth in the tile business rather than a contraction in total tile sales. Tile revenue increased by Rs 80.66 crore to Rs 1,329.06 crore in Fiscal 2026 from Rs 1,248.40 crore in Fiscal 2024, but GVT and technical products added Rs 178.10 crore. PVT revenue fell by Rs 53.24 crore to Rs 128.79 crore, while ceramic-tile revenue fell by Rs 44.20 crore to Rs 81.29 crore.

Technical products comprise advanced vitrified tile and surface solutions made using specialised homogeneous-body formulations and digital surface printing engineered through chips, grits and feeder technology, including integrated stone technology products. Varmora said integrated stone technology products began commercial operations in Fiscal 2022. For the GVT and technical share to remain at this level, the category must retain its revenue position relative to PVT and ceramic tiles.

Did tile volumes also move toward GVT and technical products?

Yes, Varmora's physical sales data shows the same shift toward GVT and technical products. GVT and technical tile volume rose to 29.40 million square metres, or 76.68% of total tile volume, in Fiscal 2026 from 23.89 million square metres, or 66.15%, in Fiscal 2024. The 5.51 million-square-metre increase exceeded the 2.22 million-square-metre increase in total tile volume over the period.

PVT volume declined to 4.77 million square metres in Fiscal 2026 from 6.44 million square metres in Fiscal 2024, and ceramic-tile volume declined to 4.17 million square metres from 5.78 million square metres. Total tile volume still rose to 38.34 million square metres from 36.12 million square metres. The product change was therefore evident in both revenue and units sold.

GVT and technical products increased from 69.90% of total tile volume in Fiscal 2025 to 76.68% in Fiscal 2026, while PVT's volume share fell from 17.84% in Fiscal 2024 to 12.44%. Ceramic tiles fell from 16.01% to 10.88% over the same period. Varmora launched more than 2,900 tile stock-keeping units, or SKUs, between April 1, 2023 and March 31, 2026, although it did not disclose their allocation by product category.

Which sales channels supported Varmora's tile revenue?

Varmora's Fiscal 2026 tile revenue was led by domestic sales, with domestic tiles contributing Rs 1,018.33 crore, or 67.33% of revenue from operations, and export tiles contributing Rs 310.73 crore, or 20.54%. In Fiscal 2024, domestic tile revenue was Rs 911.08 crore and export tile revenue was Rs 337.32 crore. Domestic growth therefore offset lower export tile revenue.

Multi-brand outlets, or MBOs, generated Rs 736.07 crore in Fiscal 2026, while exclusive brand outlets, or EBOs, generated Rs 282.26 crore. As of March 31, 2026, Varmora had 3,063 dealers comprising 305 EBOs and 2,758 MBOs across 988 cities in 24 states and union territories. The total dealer network was lower than 3,315 in Fiscal 2024, although the number of cities with EBOs rose to 249 from 209.

Business-to-business, or B2B, sales accounted for Rs 393.45 crore, or 33.20%, of total domestic sales in Fiscal 2026, compared with Rs 259.60 crore, or 24.04%, in Fiscal 2024. Business-to-consumer, or B2C, sales were Rs 791.56 crore, or 66.80%, compared with Rs 820.47 crore, or 75.96%, two years earlier. The disclosure does not break GVT, technical, PVT or ceramic revenue down by B2B and B2C channels.

Has Varmora increased in-house manufacturing revenue?

Yes, Varmora increased revenue from in-house manufacturing to Rs 1,246.30 crore, or 82.40% of revenue from operations, in Fiscal 2026 from Rs 959.35 crore, or 66.83%, in Fiscal 2024. Revenue from third-party contract manufacturers declined to Rs 266.17 crore, or 17.60%, from Rs 462.04 crore, or 32.19%, over the same period.

Total installed tile capacity was 43.80 million square metres in Fiscal 2026, unchanged from Fiscal 2025 and above 38.67 million square metres in Fiscal 2024. Actual tile production was 31.75 million square metres in Fiscal 2026, down from 34.25 million square metres in Fiscal 2025, and capacity utilisation was 72.49%, down from 78.20%. The company states that installed capacity can exceed its specification because it is an average across sizes and surfaces.

Sales volume of 38.34 million square metres exceeded reported Fiscal 2026 production volume of 31.75 million square metres, but Varmora does not specify the contributions of inventory and contract manufacturing to that difference. It also does not disclose in-house or third-party sourcing separately for GVT, technical products, PVT and ceramic tiles. The data establishes two concurrent changes, higher in-house-manufacturing revenue and a larger GVT and technical mix, rather than a product-level sourcing link.

Conclusion

Varmora's product mix changed more sharply than total revenue from operations, which rose by Rs 76.98 crore to Rs 1,512.46 crore in Fiscal 2026 from Rs 1,435.48 crore in Fiscal 2024. GVT and technical products increased their share of tile revenue by 8.82 percentage points, while declining PVT and ceramic revenue left GVT and technical products responsible for more than four-fifths of tile revenue.

The disclosed development to watch is Varmora's investment in Allemby Ceramics Private Limited, for which it had paid Rs 25 crore toward an aggregate 51% equity interest, with part of the secondary transfer subject to conditions. Allemby's Tezpur facility is expected to become operational in the first quarter of Fiscal 2027 with expected annual installed capacity of about 6.40 million square metres, but Varmora has not disclosed the planned output split among GVT, technical, PVT and ceramic tiles.