Asian Paints revenue surges 11 per cent in Q4FY19
Asian Paints posted healthy revenue growth and announced a final dividend of Rs. 7.65 for the quarter ended March 2019.
The company reported revenue from operations of Rs. 5,018.21 crore in Q4FY19 from Rs. 4,483.58 crore in Q4FY18, posting a YoY growth of 11.92 per cent.
The company's EBITDA dropped to Rs. 822.96 crore in Q4FY19 from Rs. 839.93 crore in Q4FY18, marking a decline of 2.02 per cent. Net profit fell to Rs. 481.57 crore in Q4FY19 from Rs. 490.88 crore in Q4FY18, registering a fall of 1.90 per cent. Consequently, EPS plummeted to Rs. 4.93 in Q4FY19 from Rs. 5.01 in Q4FY18, thereby sinking 1.60 per cent.
While the Paints segment reported healthy profits of Rs. 802.59 crore during the quarter; the Home Improvement segment registered losses of Rs. 13.84 crore.
Moreover, the company announced a final dividend of Rs. 7.65 per equity share. As such, the total dividend for FY19 stood at Rs. 10.50 per equity share, inclusive of an interim dividend of Rs. 2.85 per equity share.
Overall, the decorative business segment in India showcased double-digit volume growth in the quarter. The Industrial Coatings JV experienced satisfactory growth in the dealer channel for both Power Coatings as well as Protective Coatings. Contrarily, the Automotive Coatings JV growth was hampered owing to the slowdown in the Auto OEM segment. Margins were pressurized on account of high raw material prices and greater marketing spends during the quarter.
The international business portfolio was negatively impacted due to the taxing business conditions in some of the key markets, particularly in Egypt, Ethiopia, Bangladesh and Sri Lanka.
The Kitchen (Sleek) and Bath (Ess Ess) businesses which are part of the Home Improvement portfolio performed well and the company aspires to scale up operations in these segments.
On Thursday, the shares of Asian Paints opened at Rs. 1,390.00 and hit a high and low of Rs. 1,393.00 and Rs. 1,347.00, respectively. The stock closed at Rs. 1,355.80, down 2.29 per cent.