Asian Paints Q3FY20 Result Update
Sanchit Jain
CA | Finance PhD @ IIM-B | Corporate Finance Research |Mutual Funds | Text Analysis | Educator | Personal Finance & Investment Trainer | Consulting
About the Company
Asian Paints Limited is an Indian multinational paint company headquartered in Mumbai. The company is engaged in the business of manufacturing, selling and distribution of paints, coatings, products related to home decor, bath fittings and providing of related services.
Paints
- 97.7% of the Revenue, contributing to 101.5% of PBIT
- Profitability: 20.9% (High)
- 3% incremental revenue with 100 bps margin improvement
Home Improvement
- 2.3% of the Revenue, contributing to -1.5% of PBIT
- Profitability: -13.3%
- 21% incremental revenue with 306 bps margin improvement
Way Forward (Management Guidance)
The demand conditions for the paint industry continue to remain challenging and uncertain reflecting the overall slowdown in the economy. On the cost side, there has been some increased volatility in a few key raw materials. In the international markets, the company will remain careful and would watch out for demand situation in Middle East and Sri Lanka.
Notes:
Above figures are as per consolidated financial statements for the quarter ended 31 Dec 2020. #PAT included above is Profit for the period attributable to the owners of the company.
Source: Asian Paints Website