Profit before tax jumped 55.19% to Rs 243.89 crore in Q2 FY24 as compared with Rs 157.16 crore in Q2 FY23.

EBIDTA stood at Rs 269.9 crore in Q2 FY24, registering a growth of 36.8% YoY.

Anuj Jain, managing director, Kansai Nerolac Paints, said, “The quarter saw decent demand for Automotive though it was lower than Q1. While demand for Performance Coatings was relatively better, demand for powder coatings remained subdued. Demand in Decorative was affected due to monsoons and a delayed festival season.

Raw material prices were stable despite volatility in crude. Gross margins improved over the corresponding quarter last year. Company continues to make progress on various initiatives in the areas on feet-on-street, digital, influencer outreach, new product launches, approvals and projects and positive traction is seen in them. During the quarter, product Mix improved due to sale of premium products.

He further added, going forward with a near normal monsoon and a delayed festival season, demand for decorative is likely to show traction. Given the evolving geo-political situation, raw material prices may experience volatility.”

On its outlook for the Indian Paint Industry, the company said that the size of domestic paint industry is estimated at around Rs 70,000 crore as of March 2023. The good growth in infrastructure, core sector as well as automobile and real estate is likely to have a positive effect on the overall demand of paint for the industry in the long run.

Kansai Nerolac Paints has been at the forefront of paint manufacturing pioneering a wide spectrum of quality paints. The company is one of the leading paint companies in India and is the leader in Industrial paints. The company has eight strategically located manufacturing units all over India and a strong dealer network across the country. The company manufactures a diversified range of products ranging from decorative paints coatings for homes, offices, hospitals, and hotels to sophisticated industrial coatings for most of the industries.

The scrip fell 0.84% to Rs 312.15 on the BSE.