New Delhi, Jul 29: Asian Paints on Tuesday reported a decline of 5.87 per cent in consolidated net profit at Rs 1,117.05 crore in the June quarter of FY26, on account of subdued demand for decorative paint, the mainstay of the company.
The company had logged a net profit of Rs 1,186.79 crore during the April-June period a year ago, according to a regulatory filing by Asian Paints. Its revenue from sales was marginally down to Rs 8,924.49 crore in the June quarter. In the year-ago period, it stood at Rs 8,943.24 crore.
Total Income Flat at ₹9,131 Crore
Asian Paints' total expenses were at Rs 7,658.95 crore in the June quarter, up 1.32 per cent year-on-year. However, its total income, which includes revenue from other sources, was flat at Rs 9,131.34 crore in the June quarter.
On a standalone basis, which mainly includes domestic numbers, Asian Paints' revenue from sales was down 1.19 per cent to Rs 7,848.83 crore.
Though Asian Paints decorative business (India) registered a volume growth of 3.9 per cent, it saw a revenue decline of 1.2 per cent, said Asian Paints in its earnings statement.
Moreover, it also faced a "subdued demand environment due to macro-economic uncertainties and early monsoon" and revenue was affected on account of a shift in the mix.
Home Décor Segment Contracts
"Home Décor categories saw a de-growth in Q1 FY26 with pressure on household disposable incomes," said Asian Paints.
Home decor business includes bath fittings business, kitchen business and business of two acquired brands -- White Teak and Weatherseal -- operating in luxury decorative lighting, uPVC windows and door systems.
Asian Paints derives a majority of its revenue, over 80 per cent, from its decorative and home décor business segment.
International Sales Up 8.4%
However, Asian Paints' sales from its international business "increased by 8.4 per cent to Rs 736.1 crore from Rs 679.1 crore, on the back of growth in Asian markets, UAE & Egypt", it said.
Managing Director & CEO Amit Syngle said the paint industry experienced a slight uptick this quarter, driven by marginally improved demand from urban centres, despite monsoons slowing the momentum in June.
"The operating margins for the quarter were marginally lower on a year-on-year basis on account of higher sales and marketing investments," he said. The home décor business was slow due to subdued retail consumption, Syngle added.
"On the international front, the portfolio delivered a strong performance with a revenue growth of 11.1 per cent on a like-for-like basis (20.4 per cent in constant currency terms), with all key markets in the Middle East and South Asia performing well," he said Shares of Asian Paints on Tuesday settled at Rs 2,401.70 on BSE, up 1.81 per cent from the previous close.
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