- February 13, 2022
- Posted by: admin
- Category: News & Atricles
Asian Paints’ Q3 FY22 Results: Net profit decreased 18%, but operating income increased 25.6%.
Asian Paints on Thursday reported that consolidated net income (non-controlling interests) for the quarter ended December 31, 2021, fell 18% to Rs 1,015.69.
Asian Paints Ltd reported that consolidated net income for the December quarter was down 18% from the ₹1,238 crores reported in the same quarter last year to ₹1015.69 crores. Moreover, on the other hand, the Operating revenue increased 26% from ₹8,527 crores in the year-ago quarter to ₹6,788 crores.
The Asia Paint Company’s certificate fell nearly 0.41% in afternoon trading on Thursday, following the announcement of earnings, on the NSE.
As per the figures of the quarter that ended on December’21, Asian Paints Group Revenue from operations has increased by 25.6 % to ₹8,527.24 crores from ₹6,788.47 crores, said the company.
Profit before depreciation, interest, tax and other income (PBDIT) for the group (before sharing in profit of associates) decreased by 13.7 % to ₹1,542.31 crores from ₹1,787.89 crores. Profit before tax decreased by 17.9 % to ₹1,393.72 crores from ₹1,696.76 crores.
Net Profit after Non-controlling Interest decreased by 18.0 % to ₹1,015.69 crores as compared to ₹1,238.34 crores in the previous corresponding period.
“The Home Decor business once again posted strong double-digit growth for five consecutive quarters, with volume growth of 18%, on a solid year-over-year basis. The industrial coatings business also recorded strong double-digit revenue growth, particularly in the protective coatings segment,” said Amit Syngle, CEO and Managing Director of Asian Paints.
However, the automotive coating business has been impacted by the challenges faced by the automotive sector. The home improvement sector continued its healthy growth streak and posted another solid performance, with a steady trajectory of expansion across the country, Syngle added.
The company reported an EBITDA of ₹1,542 crores, down 14% year-on-year, while margins narrowed to 18.6% from ₹26.3% a year ago.
Amit Syngle added: “Strong and unprecedented inflationary trends in commodity prices continued to weigh on gross margins across all businesses this quarter. Significant price hikes were implemented in November and December to mitigate this impact on inflation, improving margins on a sequential basis. We continue to work hard to improve the value proposition for our clients across all business segments and thus deliver sustainable value creation to all our stakeholders.”