Asian Paints Ltd. share price target

For quarter ended December 2017, net sales rose 10% to Rs 4260.52 crore compared to corresponding previous year period. The company operating margins rose 130 bps to 20.9%. As a result operating profit growth grew 18% to Rs 891.18 crore. Cost of raw material consumed as a percentage of net sales (net of stock adjustment) rose 170 bps to 51.3%, purchase of stock in trade fell 500 bps to 5.5%, employee benefit expense fell 10 bps to 6.5% and other expense decreased 260 bps to 15.3%. Other income of the company rose 20% to Rs 49.66 crore. Interest cost increased 2% to Rs 9.21 crore. Depreciation increased 6% to Rs 89.6 crore. PBT as a result rose 19% to Rs 842.03...

Asian Paints (APL) witnessed 10.5% growth in net sales to | 4260.5 crore (I-direct estimate - | 4460.4 crore) mainly led by a mix of volume growth and price hikes. We believe volume growth has been to the tune of 5% during the quarter. Decorative paints demand remained muted for the company due to lower demand in south India that was impacted by extended monsoons and continued GST related disruptive environment, in general Operating margin improved 120 bps to 20.9% (I-direct estimate:...

Asian Paints Ltd Q3FY18 results comment Revenue fell by 0.11% to Rs. 4260.52 Cr in Q3FY18 when compared to the previous quarter.

Asian Paints has posted a mixed set of results in 3QFY18. While its consolidated revenues grew by 10.5% YoY to Rs42.6bn missing our estimate of Rs45.6bn, EBITDA rose by 17.7% YoY to Rs8.9bn marginally ahead of our estimate of Rs8.8bn. Its net profit increased by 19.6% YoY to Rs5.7bn,...

Asian Paints has posted a mixed set of results in 3QFY18. While its consolidated revenues grew by 10.5% YoY to Rs42.6bn missing our estimate of Rs45.6bn, EBITDA rose by 17.7% YoY to Rs8.9bn marginally ahead of our estimate of Rs8.8bn. Its net profit increased by 19.6% YoY to Rs5.7bn,...

Mixed Bag Volume disappoint but margins ahead of estimate. On a consolidated basis, revenues grew by just 10.9% yoy to Rs42.7bn (est: Rs46.4bn) while EBITDA increased by 17.7% yoy to Rs8.9bn in-line with our estimates and APAT at Rs5.5bn up by 21.6% yoy We estimate domestic decorative volume growth of c.6% as demand is yet to reach to pre GST levels and early festive season in Q2 impact Q3 volumes. Demand, particularly in...

Asian Paints (APNT) reported consol. sales growth of 10.5% YoYto INR42.6b in 3QFY18, with volume growth of ~6% (est. of +15%) in the domestic decorative paints business. EBITDA and adj. PAT grew 17.7% and 19.6% YoY, respectively. Gross margin shrunk sharply by 150bpYoY to 42.2%. Increase in raw material cost YoY was offset by lower other expenses (-270bp YoY) and employee costs (-10bp YoY), leading to EBITDA margin expansion of 130bp YoY to 20.9%. Standalone performance: Net sales grew 10.7% YoY to INR36b. Gross margin shrunk by 90bp YoY to 43.5%, while EBITDA margin expanded 210bp YoY to 22.7%, as other expenses contracted 270bp YoY. Thus, EBITDA grew 21.9% YoY to INR8.2b. Adj. PAT was up 24.2% YoY to INR5.3b.

An early festive season coupled with re-stocking of inventory (as GST impact subsiding) helped drive the volume growth of Asian Paints (APL) by 9% YoY (decorative segment) in Q2FY18. Additionally, the price hike to tune of ~5% helped in sales growth of ~14% YoY. However, the automotive coating JV (PPG-AP) witnessed subdued demand in the auto OEM and general industrial business segment. Under overseas operation, Nepal, Bangladesh, Oman and Bahrain witnessed healthy topline growth...

costs (-60bp YoY), leading to EBITDA margin contraction of 20bp YoY to 18.8%. 1HFY18 performance: Sales rose 10.7% YoY, while EBITDA and adj. PAT fell 3.6% and 7.3%, respectively. EBITDA margin shrunk 270bp YoY to 20.9%. Standalone performance: Net sales grew 16.1% YoY to INR36b. Gross margin shrunk by 340bp YoY to 42.2% and EBITDA margin by just 40bp YoY to 22.2%. Thus, EBITDA grew 14.1% YoY to INR7.2b. Adj. PAT was up 8.8% YoY to INR4.7b....

Asian Paints has posted an impressive set of numbers for the quarter ended Sept'17 beating our revenue and earnings estimates by 6% and 2%, respectively. Its consolidated net sales rose by 15% YoY to Rs42.7bn, while net profit (excluding exceptional income) grew by 7.5% YoY to...