InvestorQ : How did Asian Paints fare in the September 2020 quarter?
Lavanya Subramanian made post

How did Asian Paints fare in the September 2020 quarter?

Anamika Sodhani answered.
8 months ago

India’s largest paint manufacturer, Asian Paints, managed to beat analyst estimates for the Sep-20 quarter despite very average levels of profit growth. The company was however supported by low raw material prices during the quarter, including low crude costs.

For the Sep-20 quarter, Asian Paints reported net profits flat at Rs.830.37 crore while sales revenues were up 5.93% at Rs.5350 crore on a yoy basis. The company had a very tough Jun-20 quarter as construction activity came to a virtual standstill.

During the September quarter, the international portfolio of Asian Paints did well with demand revival clearly visible in the Middle East, Africa and Asia. These are some of the principal paint markets that Asian Paints services.

Within the overall portfolio of Asian Paints, decorative paints business segment registered healthy double digit volume growth for the quarter. Needless to say, Asian Paints has been a star performer in the stock market despite very steep valuations for the stock.