Asian Paints posts 14 per cent net profit growth

Asian Paints Limited reported good topline numbers for Q3FY19 despite high raw material prices in the December quarter.

The company's total sales for Q3FY19 came in at Rs. 5,293.99 crore as against Rs. 4,267.49 crore in Q3FY18, which represents a 24.1 per cent YoY increase. The company's consolidated net profit for the Q3 was up by 14.6 per cent at Rs. 635.60 crore as compared to Rs. 554.64 crore in the corresponding period a year ago. EBITDA was at Rs. 1,043 crore as against Rs. 891 crore, up 17 per cent YoY. However, EBITDA margin dipped 120 bps to 19.7 per cent as against 20.9 per cent in Q3FY18.

Asian Paints' domestic decorative business posted stellar growth with high double-digit volume growth, while automotive coating experienced subdued growth, said the company in the earnings release on Tuesday. The company's margins were under pressure due to high raw material prices in the quarter.

On its results day, the stock of Asian Paints remained in focus throughout the trading session with good volumes of trade. The stock was volatile registering an intraday high and intraday low of Rs. 1,431.50 per share and Rs. 1,378.00 per share, respectively. The stock closed at Rs. 1,406.55, down by Rs. 14.10 or 0.99 per cent on BSE.