Asian Paints Limited's third-quarter net profit rose by 14.6 percent to Rs 636 crore when compared to a year ago period driven by strong revenue and operational income. In December 2017, it had reported a net profit of Rs 555 crore.
Consolidated revenue was up by 24.3 percent on a year-on-year basis to Rs 5,294 crore in the December-ended quarter due to a double-digit increase in volume in the decorative business segment across regions.
During the quarter, automotive coatings JV (PPG-AP) saw a subdued growth in the auto OEM segment whereas industrial coatings JV (AP-PPG) continued good growth in the protective coatings in both dealer and powder segment.
At the operational level, consolidated EBITDA increased by 17 percent to Rs 1,043.2 crore from a year ago, but margins were hurt in the third quarter due to higher raw material costs. It had contracted to 19.7 percent when compared to 20.9 percent in December 2017.
The share price of Asian Paints remained volatile throughout the day ahead of its quarterly results announcement that was made after market hours. It hit an intraday high of Rs 1,431.50 per share and a low of Rs. 1,378. The stock closed lower by Rs. 14.10 or 0.99 percent at Rs. 1,406.55 apiece on BSE.