Asian Paints tumbles after weak Q2 results

Asian Paints fell 4.13% to Rs 1151.80 at 10:07 IST on BSE after consolidated net profit fell 14.77% to Rs 506 crore on 8.76% increase in net sales to Rs 4639.05 crore in Q2 September 2018 over Q2 September 2017.

The result was announced after market hours yesterday, 22 October 2018.

Meanwhile, the S&P BSE Sensex was down 152.88 points, or 0.45% to 33,981.50.

On the BSE, 3.14 lakh shares were traded in the counter so far compared with average daily volumes of 78,000 shares in the past two weeks. The stock had hit a high of Rs 1156.35 and a low of Rs 1128 so far during the day. The stock hit a record high of Rs 1,488.60 on 25 July 2018. The stock hit a 52-week low of Rs 1,082 on 23 March 2018.

K.B.S. Anand, managing director & CEO, Asian Paints said that the decorative business segment in India registered a low double digit volume growth. Raw material prices continued to move up further which led the company to take a price increase from October 2018. The automotive coatings JV (PPG-AP), witnessed good growth in the general industrial business segment, while the industrial coatings JV (AP-PPG) continued to witness good growth in the protective coatings - dealer segment and the powder segment.

In the International operations, business conditions continued to remain challenging with issues like forex unavailability, high inflation and difficult economic conditions impacting performance. Both the segments in the home improvement category viz. the kitchen (Sleek) and bath (Ess Ess) business, performed well in the quarter, he added.

Asian Paints is India's leading paint company and ranked among the top ten decorative coatings companies in the world. Asian Paints is also present in the home improvement and Dor space in India through Sleek (kitchens) and Ess Ess (bath fittings).

Powered by Capital Market - Live News