India's Asian Paints beats quarterly profit view on decorative business boost (updated)

Asian Paints

29/05/2026 10:19

Adds details throughout; share moves in paragraph 3

    May 29 (Reuters) - Asian Paints ASPN.NS, India's largest paint-maker by market share, beat quarterly profit estimates on Friday, helped by domestic volume growth in its core decorative paints segment.
Consolidated net profit rose 69% to 11.72 billion rupees ($123.1 million) for the quarter ended March 31, topping the LSEG-compiled analysts' average estimate of 11.16 billion rupees.
Shares of the company were up 1.7% at 2,718 rupees after the results.
Indian paint makers have raised prices this year to offset higher crude-linked raw material costs, while volatility in petrochemical supplies due to tensions in the Middle East has pressured production and margins.
"The external environment remains fluid, with the West Asia conflict contributing to near-term uncertainty in demand," Asian Paints MD and CEO Amit Syngle said in a statement.
Last month, Macquarie dealer checks showed Asian Paints had raised prices by 3% to 5% effective May, following an earlier 6% to 8% hike, with peers following suit. The company has not confirmed the hikes.
Revenue from sales grew nearly 11% to 92.29 billion rupees. Asian Paints derives nearly 90% of its revenue from domestic decorative paints, which are largely used by retail consumers for household painting.
The domestic decorative business posted volume growth of 12.4% and value growth of 10.2% for the reported quarter.
The profit before depreciation, interest, tax, other income, and exceptional items (PBDIT) margin improved to 19.4% from 17.2% a year earlier.
Asian Paints is the last among Indian paint makers to report earnings, following smaller rivals Berger Paints BRGR.NS, Kansai Nerolac KANE.NS and JSW Dulux JSWD.NS, all of which reported higher profits.
Earlier this month, JSW Dulux CEO Rajiv Rajgopal warned of possible near-term softness in demand. The company is also expanding its mid-market presence and targeting mass urban consumers amid uncertainty linked to the Middle East conflict.
Analysts have said higher raw material inflation in March and April could pressure industry margins in the first quarter of fiscal 2027.
     
     
($1 = 95.2187 Indian rupees)

(Reporting by Urvi Dugar and Nishit Navin in Bengaluru; Editing by Rashmi Aich)
((UrviManoj.Dugar@thomsonreuters.com; +91 9558725583;))