Asian Paints has reported that its net profit in the December quarter was down 23 per cent at ₹1,128 crore against ₹1,475 crore logged in the same period last year, on weak demand.
Revenue was down 6 per cent to ₹8,522 crore (₹9,075 crore).
PBDIT (Profit before depreciation, interest, tax, other income, and exceptional items) decreased 20 per cent to ₹1,637 crore (₹2,056 crore).
Domestic decorative business registered volume growth of 2 per cent, while the revenue declined 8 per cent due to discounts offered to beat the muted demand conditions.
Industrial paint business sales remained flat at ₹287 crore (₹288 crore). PBT was down at ₹24 crore (₹33 crore).
Home Decor business benefited from network expansion with bath fittings sales increasing 3 per cent to ₹88 crore (₹85 crore) and PBDIT loss was at ₹6 crore (₹5 crore).
Kitchen business sales increased 3 per cent to ₹103 crore (₹100 crore) and PBDIT loss was at ₹2 crore (₹4 crore).
Global business
Revenues from the international business increased by 5 per cent in rupee terms and 17 per cent on constant currency basis led by growth in the West Asia and recovering macro-economic conditions in key Asian markets, said the company.
Sales in the international markets increased 5 per cent to ₹818 crore (₹779 crore) on the back of improved macro-economic conditions in Sri Lanka, Bangladesh and Nepal. However, this was offset by currency devaluation in Ethiopia and Egypt. In constant currency terms, PBT was up at ₹61 crore (₹58 crore).
Amit Syngle, Managing Director & CEO, Asian Paints, said the paint industry remains impacted by subdued demand in the quarter, especially in the urban centres.
In the near term, the company remains cautiously optimistic on a recovery in demand even while continuing to invest in brand and focus on innovation and customer centricity, he added.