EBITDA margin of the company rose 560 bps to 12.7% in Q3FY'15 compared to Q3FY'14 while PAT margin of the company rose 330 bps to 7.4% over the same period.

"Akzo Nobel India's improved business performance is led by both, a robust growth in sales of high-performance products as well as a continued focus on cost management, supplemented by soft input prices, especially the crude-linked ones. In line with the company's growth plans, we have also introduced some new products in the market, including water-based enamel, ‘Dulux Satin Stay Bright'."

"We have also signed a MoU with CRY - Child, Rights and You, so as to partner with them in promoting the cause of holistic education via multiple initiatives including those fostering the understanding and practice of safety and sustainability. This partnership is a critical facet of the company's endeavour to participate in creating ‘Human Cities', a global initiative of AkzoNobel."

Performance for the quarter ended December 2014

For quarter ended December 2013, the overall top-line rose 5% to Rs 687.02 crore compared to corresponding previous year period. Operating margins of the company improved 530 bps to 11.7% as cost of material consumed as a percentage of net sales (net of stock adjustment) fell 540 bps to 43.3%, employee benefit expenses fell 20 bps to 8% while other expenses decreased 250 bps to 27.6% offset by 220 bps rise in purchase of stock in trade to 8.2%. As a result operating profits grew 92% to Rs 80.38 crore

Other income rose 57% to Rs 6.78 crore. Interest cost decreased by 21% to Rs 0.3 crore. Depreciation rose 8% to Rs 12.86 crore. PBT rose 118% to Rs 74 crore. Considering 1100 bps rise in effective tax rate to 31.4% net profit rose 88% to Rs 50.74 crore.

Performance for nine months ended December 2014

For nine months ended December 2013, the overall top-line rose 7% to Rs 1934.83 crore compared to corresponding previous year period. However company operating margins rose 320 bps to 10.3% as cost of material consumed as a percentage of net sales (net of stock adjustment) fell 100 bps to 47.7%, employee benefit expenses fell 50 bps to 7.7% while other expenses decreased 200 bps to 25.7% offset by 30 bps rise in purchase of stock in trade to 8.5%. As a result operating profits grew 56% to Rs 199.94 crore.

Other income rose 50% to Rs 51.37 crore. Interest cost increased by 4% to Rs 1.34 crore. Depreciation rose 22% to Rs 38.88 crore. PBT before EO as a result rose 63% to Rs 211.09 crore. Considering 760 bps rise in effective tax rate to 33.7% PAT rose 48% to Rs 141.67 crore.

Promoter's share holding remains unchanged at 72.96% at the end of quarter ended December 2014 compared to previous quarter. 

The scrip closed Rs 1501 at BSE