Asian Paints Q2 Net Profit Rises 7.45% to ₹1,068 Crore, Revenue Up 17%

Asian Paints, India's leading paint manufacturer, reported a net profit increase of 7.45 percent, reaching ₹1,068 crore for the quarter ending September 2027 (Q2FY27). This growth came despite the second quarter traditionally being a slower period for the industry.

The company’s net sales surged by 16.94 percent year-over-year to ₹9,977 crore, supported by robust demand both in India and overseas markets. International revenue climbed by 29.5 percent to ₹1,095.6 crore, reflecting strong performance across all geographic regions. This expansion highlights Asian Paints’ growing global footprint amid challenging market conditions.

Domestically, the decorative paints segment experienced healthy volume growth of 6.4 percent and value growth of 14.5 percent during this quarter. The firm implemented another round of staggered price hikes to offset ongoing raw material cost inflation, which has been a persistent pressure on margins. Despite these inflationary challenges, profit before interest, depreciation, and tax (PBIDT) rose by 6.12 percent, totaling ₹1,847 crore.

Asian Paints’ industrial coatings division continued to impress with a significant value growth of 31.8 percent, underscoring the company’s diversified business model and ability to capture demand beyond decorative paints.

In a statement, Amit Syngle, Managing Director and CEO, noted, "We delivered a resilient performance in Q2, a seasonally softer quarter, sustaining the momentum of the last few quarters. Overall, the domestic coatings business grew by 16.4 percent, with a volume growth of 6.8 percent." He also highlighted the international business’s 29.5 percent growth, including strong contributions despite geopolitical tensions affecting the West Asian markets.

Syngle acknowledged the challenging operating environment marked by sharp raw material inflation and supply constraints caused by geopolitical disruptions. The company responded by carefully calibrating price increases while absorbing some cost rises to maintain consumer demand. This approach resulted in standalone EBITDA margins of 17.1 percent during a quarter that typically has lower margins.

To further address raw material challenges, Asian Paints is continuing with staggered price hikes in its coatings business and enhancing cost-efficiency measures. During the quarter, it achieved a key milestone by commissioning Phase-I of its vinyl acetate-ethylene (VAE) manufacturing facility at Dahej. This step in backward integration supports long-term leadership by improving product differentiation and cost competitiveness.

Looking ahead, the company remains focused on its core strategies of brand building, innovation, and service-led differentiation as it heads into the festive season. These efforts aim to sustain growth momentum amid an inflationary environment that shows little sign of easing.

Asian Paints operates in a highly competitive Indian paint industry, which has seen steady growth driven by urbanization, rising disposable incomes, and an expanding housing market. The company’s ability to navigate raw material volatility and geopolitical risks while maintaining growth highlights its strong operational capabilities and strategic planning.

This quarterly performance reinforces Asian Paints’ position as a dominant player in the coatings sector, balancing short-term challenges with investments that promise long-term gains.