JSW Paints breaks even at operating level in FY24, revenue crosses Rs 2k cr

The company attributed the rise in gross revenues to a significant ramp-up in both decorative paints and industrial coatings businesses

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[This report has been updated]

JSW Paints broke even for the first time in financial year 2024 (FY24) after entering the business in May 2019. The conglomerate’s paints business gross revenue crossed over Rs 2,000 crore in the previous financial year while its Ebidta (earnings before interest, depreciation, tax and amortisation) margin came in at 3 per cent (approximately 67 crore).

It also targets a 2.5 times revenue growth as it targets its revenue to reach Rs 5,000 crore by FY26.

The company said that the rise in gross revenues was supported by a significant ramp-up in both decorative paints and industrial coatings businesses.

Parth Jindal, managing director of JSW Paints, was quoted as saying in the company release, “It has been an exciting and eventful five years for JSW Paints to achieve our guidance of being the youngest paints company to turn profitable in the shortest span of time. We are now determined to capitalise on the new opportunities as Indian consumers evolve their preferences towards purposeful living and environment-friendly products.”

In conversation with Business Standard, AS Sundaresan, joint MD, and chief executive officer at JSW Paints, said, “We continue to enter new categories. We have 6,000 retailers across the country, and we plan to add 2,500 retailers every year. We will continue to expand our presence in existing cities and towns as well as go to new towns to fuel growth.”

He also said, “We want to be PAT positive and we will continue to grow in profitability that I know as scale and size kicks in, we are able to also allocate resources to build the things that we have to build.”

The company sees 55-60 per cent of its revenue come from decorative paints.

While talking about demand he said that the last one-year demand has been weaker than what the company had hoped for in the beginning of FY24.

Sundaresan also pointed out that consumers are downtrading, but we are present across price points.