Shares of Asian Paints traded marginally on Friday, October 30, even as several brokerages trimmed their target prices following the paint maker’s September-quarter results, which reported healthy revenue growth but posted weaker-than-expected profitability amid elevated raw material costs and intense competition.
Asian Paints opened at Rs 2,299.90 and rose 1.25 percent to hit an intra-day high of Rs 2328.75. At around 12.55 pm on BSE, the stock was trading 0.80 percent higher at Rs 2,317.
Asian Paints Ltd reported a 7.5 percent YoY increase in consolidated net profit at Rs 1,067.6 crore for the September quarter of FY27, as strong sales growth across domestic coatings and international markets was partly offset by rising raw material costs and pressure on operating margins.
Consolidated net sales rose 16.9 per cent to Rs 9,953.9 crore in the quarter ended September 30. However, operating profitability remained under pressure. Profit before depreciation, interest, tax and other income (PBDIT) increased 3.6 per cent to Rs 1,557.1 crore.
The PBDIT margin contracted to 15.6 per cent from 17.7 per cent a year earlier, reflecting the impact of sharp raw material inflation and supply constraints linked to geopolitical disruptions. The company said it absorbed part of the cost increases to protect consumer demand while implementing calibrated price hikes.