Asian Paints Q2 Results: Profit surges 31% YoY to Rs 783 cr, misses estimates

Asian Paints on Thursday reported a 31.3% year-on-year (YoY) rise in consolidated net profit for the September quarter at Rs 782.71 crore. Consolidated revenue for the period rose 19% YoY to Rs 8,457.6 crore. Both net profit and sales were lower than ET Now poll of Rs 1,076 crore and Rs 8,765 crore, respectively.

The board has approved an interim dividend of Rs 4.40 per share.

A fall in the other income and higher costs weighed on the bottomline of the paints maker.


Consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) for the quarter rose by nearly 36% on year to Rs 1,227.70 crore, and the margin expanded 177 basis points to 14.52% as better product mix and price hikes aided operational performance.

“We took a series of calibrated price increases to offset the impact of increased inflation on margins,” Amit Syngle, managing director and CEO was quoted as saying in the release.

The domestic decorative business saw double-digit growth in terms of both volume and value, despite subdued demand conditions amid extended monsoon, the company said in the release.

The home decor business continued to gain traction with the focus on lighting, kitchen and bath segments.

The automobile segment also delivered robust growth, and the industrial coatings business continued with its high growth trajectory led by protective and powder coatings.

Not only in India, but even the international business registered strong double-digit revenue growth despite multiple headwinds across key markets.

Raw material cost in the quarter rose nearly 8% on year to Rs 4,925 crore, while other income slumped 31% to Rs 95.5 crore.