Asian Paints Q1 Profit Meets Expectations Amid India Retail Demand

Asian Paints, India's largest paint maker, reported first-quarter results that met market expectations despite a challenging demand environment influenced by early monsoons and macroeconomic uncertainties. The company's consolidated net profit fell 6% year-on-year to 11 billion rupees, with volume growth of nearly 4% in its core decorative paints segment, slightly surpassing analyst forecasts. While revenues saw a marginal decline due to product mix shifts and subdued home decor demand, the industrial coatings business grew by 8.8%, aided by strong performance in auto and protective coatings. Operating margins narrowed due to higher sales, marketing investments, increased competition, and rising costs, though the company's other income rose significantly by 24%. Asian Paints' shares reacted positively to the results, recovering after initial declines and showing a solid gain of 4.43% over the past month, reflecting sustained investor interest amid market volatility. The company's outlook remains confident about the long-term growth potential in the home decor and paints industry despite near-term pressures.