Asian Paints Q3 profit falls 23.5% to Rs 1,128.4 cr, sales dip 6%

author-image
NewsDrum Desk
Updated On
New Update
Asian Paints logo

New Delhi: Asian Paints on Tuesday reported a decline of 23.5 per cent in consolidated net profit at Rs 1,128.43 crore for the third quarter ended December 2024 amid downtrading due to muted demand and weak festive season.

The company had logged a net profit of Rs 1,475.16 crore during the October-December period a year ago, according to a regulatory filing by Asian Paints.

Its revenue from operations went down 6 per cent to Rs 8,549.44 crore in the December quarter. In the year-ago period, it stood at Rs 9,103.09 crore.

During the reporting quarter "muted demand conditions coupled with downtrading, and a weak festive season impacted revenue", said Asian Paints in its earnings statement.

Asian Paints' total expenses were at Rs 7,224.10 crore in the December quarter, down 1.33 per cent year on year.

Its total income, which includes revenue from other sources, was down 5.9 per cent at Rs 8,692.44 crore in the December quarter.

Managing Director & CEO Amit Syngle said: "The paint industry continued to be impacted by subdued demand conditions during the quarter, especially in the urban centres.

We registered a 6.6 per cent decline in overall coatings business in India, including Industrial." The domestic decorative business delivered a 1.6 per cent volume growth while the standalone revenues declined by 7.5 per cent in the quarter impacted by the weak festive season demand, he said.

"While we saw sequential improvement in operating margins, the adverse mix coupled with increased sales and distribution expenses affected operating margins on a year-on-year basis," Syngle added.

In international business, Asian Paints sales increased by 5 per cent to Rs 818 crore in Q3 FY25, in comparison to Rs 779.1 crore of the corresponding period a year ago.

This was "on the back of improved macro-economic conditions in Sri Lanka, Bangladesh and Nepal offset by currency devaluation in Ethiopia and Egypt," the company said.

Over the outlook, Syngle said: "In the near term, we remain cautiously optimistic on a recovery in demand conditions while we continue to invest in our brand and focus on innovation."

Asian Paints is India's leading paint and decor company, ranked among the top 8 coatings companies in the world with a consolidated turnover of Rs 35,382 crore.

It has operations in 15 countries across the world with 27 paint manufacturing facilities, servicing consumers in over 60 countries.

Shares of Asian Paints Ltd on Tuesday were trading at Rs 2,408.35 on BSE during afternoon trade, up 5 per cent from previous close.

Asian Paints Asian Paints Results Asian Paints Ltd Amit Syngle Q3 results Asian Paints Profits