OPM improved 210 basis points to 14.8% which saw OP rise 9% to Rs 197.67 crore.

Other income fell 47% to Rs 10.59 crore and interest cost went up from Rs 3.36 crore to Rs 5.26 crore. As depreciation grew 32% to Rs 36.9 crore, PBT went down 2% to Rs 166.1 crore. Tax provisions were a fell 20% to Rs 50.29 crore. The company has chosen to exercise the option of lower tax rate of 25.17% (inclusive of surcharge and cess) under section 115BAA of the Income Tax Act, 1961 as introduced by the Taxation Laws (Amendment) Ordinance 2019. PAT grew 9% to Rs 115.81 crore. After considering Minority interest net profit grew 9% to Rs 117 crore.

9MFY2019 consolidated results

In 9MFY 2019, consolidated sales remained flat at Rs 4199.9 crore.

OPM rose 170 basis points to 16% which saw OP rose 12% to Rs 670.25 crore.

Other income fell 55% to Rs 21.69 crore and interest cost jumped from Rs 6.72 crore to Rs 14.72 crore. As depreciation grew 33% to Rs 103.76 crore, PBT rose 2% to Rs 573.46 crore. Tax provisions fell 39% to Rs 123.04 crore. PAT rose 24% to Rs 450.42 crore. After considering Minority interest net profit grew 24% to Rs 453.79 crore.

Commenting on the results, Mr. H. M. Bharuka, Vice Chairman and Managing Director, Kansai Nerolac Paints Ltd said, "Both Decorative and Industrial business have seen a dip in demand in the current quarter. Within Industrial, in Automotive, where the company has a significant exposure, the impact continues to be very severe due to the continued unprecedented slowdown. The company's decorative sales were impacted due to lower offtake during the festival season and extended monsoons.

During the quarter, input costs were stable. This along with judicious control on costs has helped improve the EBITDA margin by 230 basis points. Exchange rate and crude oil prices continued to show volatility creating challenges in raw material cost management. Looking forward, the demand in Decorative business would be positive but expected to be muted. Challenges of demand in Industrial are expected to continue for the near future."

The stock trades at Rs 500.