Asian Paints, India’s largest paint manufacturer, posted a strong performance for the September quarter with a 47% rise in consolidated net profit to Rs. 1,018 crore, compared with Rs. 694 crore in the same period last year. The impressive bottom-line growth came on the back of improved cost efficiencies and stable input prices, helping offset the impact of a prolonged monsoon that slowed construction activity in many parts of the country.
Revenue from operations rose 6% year-on-year to Rs. 8,514 crore from Rs. 8,003 crore a year ago. The company’s profit before depreciation, interest, and tax (PBDIT) increased 21% to ?1,503 crore from Rs. 1,239 crore.
Announcing the results, Asian Paints also declared an interim dividend of Rs. 4.50 per equity share. The record date for the dividend has been set for Tuesday, and the pay-out is expected by November 27.
Strong domestic demand despite weather disruptions
The company’s decorative paints segment, which contributes the largest share of its revenue, remained resilient despite challenges posed by an extended monsoon season that delayed repainting and construction projects. The segment registered an 11% volume growth and a 6% increase in value terms.
Management attributed this steady growth to strong demand across both urban and rural markets, aided by targeted regional campaigns and aggressive marketing. The festive season and focused retail activations also helped boost sales momentum in the decorative segment.
“Our continued focus on driving cost efficiencies and operational discipline has yielded strong results,” said Amit Syngle, Managing Director and CEO of Asian Paints. “Even after our increased investments in brand and retailing initiatives, we were able to improve profit margins. The business environment continues to remain dynamic, but we are committed to strengthening brand visibility and driving innovation for sustained performance.”
Industrial and automotive segments show steady growth
Beyond decorative paints, Asian Paints’ performance in the industrial coatings segment was also encouraging. The company’s protective, performance, and powder coatings business grew 10% to Rs. 293 crore from Rs. 265 crore, with profit before tax (PBT) rising to Rs. 26 crore from Rs. 18 crore.
The company’s automotive coatings joint venture, PPG Asian Paints, also posted a robust 13% increase in sales to Rs. 594 crore, up from Rs. 524 crore last year. PBT for this segment climbed to Rs. 103 crore from Rs. 82 crore, reflecting strong demand recovery from automobile manufacturers.
Both the industrial and automotive segments benefited from improving factory output and increased demand for new vehicles, which drove higher consumption of coatings and surface finishing solutions.
Overseas business paints a brighter picture
Asian Paints’ international operations delivered a solid performance, with revenue growing 10% to Rs. 846 crore compared to Rs. 769 crore in the corresponding quarter last year. Profit before interest and tax (PBIT) nearly doubled to Rs. 76 crore from Rs. 35 crore, supported by improved margins and better cost management in key overseas markets.
The company has been expanding its footprint in emerging economies and focusing on improving efficiencies across its global supply chain. The steady performance from overseas operations added to the overall earnings momentum.
Home decor and allied businesses face headwinds
While its core paints business thrived, Asian Paints’ foray into home decor faced some softness during the quarter. The bath fittings business reported a 5% decline in revenue to Rs. 79 crore from ?83 crore, though the PBT loss narrowed to Rs. 4 crore from Rs. 7 crore.
The kitchen business also saw a 7% fall in sales to Rs. 98 crore from Rs. 105 crore, with a slightly reduced PBT loss of Rs. 4 crore compared to Rs. 5 crore earlier.
Among its other subsidiaries, White Teak, known for lighting and furniture saw a 15% drop in sales to Rs. 26 crore, while Weatherseal, which manufactures uPVC windows and doors, delivered a sharp 57% jump in revenue to Rs. 21 crore.
Despite the mixed performance in its decor segment, Asian Paints’ management reiterated its long-term commitment to building a comprehensive home decor ecosystem that complements its core paints business.
Outlook: cautious optimism ahead
The company remains optimistic about the upcoming quarters, supported by steady demand in decorative paints, a revival in industrial and automotive coatings, and easing raw material prices. However, it remains cautious about potential volatility in crude oil and foreign exchange rates, both of which directly impact margins.
Asian Paints continues to invest heavily in brand building, retail network expansion, and digital initiatives to enhance customer experience. With its strategic focus on cost optimization, product innovation, and deeper market penetration, the company expects to sustain growth even amid macroeconomic uncertainties.
The Q2 results reaffirm Asian Paints’ position as a bellwether in India’s paints and coatings industry, one that continues to balance short-term challenges with a long-term vision of innovation, efficiency, and market leadership.
