Asian Paints’ Q2FY25 Results
Asian Paints’ revenue fell 5% YoY
- 13 Nov 2024
- Asian Paints reported a 10% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Sept (Q2FY25). On a year-on-year (YoY) basis, it reduced by 5%.
- Its expenses for the quarter were down by 6% QoQ and up by 1% YoY.
- The net profit reduced 42% QoQ and 44% YoY.
- The earnings per share (EPS) of Asian Paints stood at 7.2 during Q2FY25.
Asian Paints’ Financial Statements for Q2FY25:
| (₹ crores) | Q2FY24 | Q1FY25 | Q2FY25 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total income | 8,644 | 9,126 | 8,201 | -10% | -5% |
Total expenses | 7,022 | 7,559 | 7,093 | -6% | 1% |
Profit before tax | 1,651 | 1,604 | 959 | -40% | -42% |
Tax | 419 | 417 | 265 | -36% | -37% |
Profit after tax | 1,232 | 1,187 | 694 | -42% | -44% |
Earnings per share | 12.6 | 12.2 | 7.2 |
Financials:
- Consolidated Net Sales decreased by 5.3% to ₹8,003.0 crores from ₹8,451.9 crores.
- PBDIT [Profit before depreciation, interest, tax, other income, and exceptional items] (before share in profit of associates) decreased by 27.8% to ₹1,239.5 crores from ₹1,716.2 crores.
- PBDIT Margin as % to Net Sales at 15.5% from 20.3% in the corresponding period of the previous year.
- Profit before exceptional items and tax decreased by 31.0% to ₹1,139.2 crores from ₹1,650.9 crores.
- Exceptional item of ₹180.1 crores is an aggregate representing impairment provision on 'Goodwill on Consolidation' of ₹124.0 crores, recognised on White Teak and foreign exchange loss pertaining to our subsidiary in Ethiopia of ₹56.1 crores.
- Net Profit after minority interest decreased by 42.4% to ₹694.6 crores from ₹1,205.4 crores.
Management Commentary:
Amit Syngle, Managing Director & CEO of Asian Paints Limited, said,
- Paint industry faced subdued demand, with domestic decorative coatings segment volumes slightly declining.
- Domestic coatings revenue dropped by 5.5% due to weak consumer sentiment and weather impact.
- Operating margins were affected by prior price reductions, higher material costs, and increased sales expenses.
- Industrial Business saw single-digit growth, supported by General Industrial segments, Protective Coatings, and Refinish segments.
- Home Décor categories continued growth via Beautiful Homes Stores.
- International Business revenue declined marginally, though grew 8.7% in constant currency.
- Margins pressured by soft demand, product mix, and material price inflation; improvement expected as material costs soften.
- Focus remains on leveraging brand, supply chain, and distribution for growth.
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
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