Furniture-furnishing Paints company Asian Paints announced Q2FY24 & H1FY24 results: Consolidated Q2FY24: Consolidated Net Sales increased by 0.3% to Rs 8,451.9 crore from Rs 8,430.6 crore. Improvement in gross margins by about 770 basis points in Q2FY24 as compared to Q2FY23. PBDIT [Profit before depreciation, interest, tax, other income, and exceptional items] (before share in profit of associates) increased by 39.8% to Rs 1,716.2 crore from Rs 1,227.7 crore. PBDIT Margin as % to Net Sales improved to 20.3% from 14.6% in the corresponding period of the previous year. Profit before exceptional items and tax increased by 50.9% to Rs 1,650.9 crore from Rs 1,094.2 crore. Net Profit after minority interest increased by 54.0% to Rs 1,205.4 crore from Rs 782.7 crore. Consolidated H1FY24: Consolidated Net Sales increased by 3.5% to Rs 17,605.7 crore from Rs 17,009.5 crore. Improvement in gross margins by about 650 basis points in H1FY24 as compared to H1FY23. PBDIT [Profit before depreciation, interest, tax, other income, and exceptional items] (before share in profit of associates) increased by 37.9% to Rs 3,837.5 crore from Rs 2,783.6 crore. PBDIT Margin as % to Net Sales improved to 21.8% from 16.4% in the previous year. Profit before exceptional items and tax increased by 48.7% to Rs 3,755.9 crore from Rs 2,525.0 crore. Net Profit after minority interest increased by 53.1% to Rs 2,755.8 crore from Rs 1,799.6 crore. Standalone Q2FY24: Net Sales was flat at Rs 7,315.7 crore from Rs 7,315.9 crore. Improvement in gross margins by about 830 basis points in Q2FY24 as compared to Q2FY23. PBDIT for the quarter increased by 42.1% to Rs 1,584.7 crore from Rs 1,115.6 crore. PBDIT Margin as % to Net Sales improved to 21.7% from 15.2% in the corresponding period of the previous year. Profit before tax increased by 52.0% to Rs 1,550.6 crore from Rs 1,020.2 crore. Net Profit increased by 52.0% to Rs 1,160.3 crore from Rs 763.3 crore. Standalone H1FY24: Net Sales increased by 3.6% to Rs 15,400.5 crore from Rs 14,871.7 crore. Improvement in gross margins by about 680 basis points in H1FY24 as compared to H1FY23. PBDIT for the period increased by 39.0% to Rs 3,584.5 crore from Rs 2,578.1 crore. PBDIT Margin as % to Net Sales improved to 23.3% from 17.3% in the previous year. Profit before tax increased by 49.2% to Rs 3,568.8 crore from Rs 2,392.6 crore. Net Profit increased by 49.9% to Rs 2,668.6 crore from Rs 1,780.6 crore. “The domestic coatings business, decorative and industrial combined, registered a subdued 1.1% revenue growth in the quarter. The Domestic Decorative Paint business for Q2 was muted, registering a flat value sale with a 6% volume growth. The erratic monsoon impacted market sentiment potentially leading to the deferment of sales to October given the late Diwali this year. Growth in our Automotive & Refinish business was decent, while our General Industrial Coatings business sustained its double-digit growth trajectory. Our International Business, though supported by robust growth in the Middle East and an overall improved profitability, remained constrained by macro-economic challenges, inflation and forex unavailability in key geographies of South Asia and Egypt. While demand in the Home Décor space was soft on account of muted consumer sentiments, we continued to strengthen our décor foray with new collections, network and store expansions. Operational, formulation and sourcing efficiencies coupled with moderating raw material prices benefitted our margins in Q2 and resulted in strong profit growth for the quarter. Looking towards the second half of the year, we remain optimistic about improved demand conditions well supported by the longer festive season and the overall buoyant domestic economic growth.” said Amit Syngle, Managing Director & CEO of Asian Paints. Result PDF