PAINT SECTOR: Q2 ( JULY – SEPT ’17 ) RESULTS AND ANALYSIS
PAINT Sector:
Q2 – FY 2017-18 was a mixed bag for the India Paint sector. Click here to see Q1 Results.
For the numbers, 2 companies out of 5 able to registered improvements both in the Revenue as well as Profits in July to September quarter of 2017-18 as compared to same period last year (2 companies failed to do so)
The Common Parameters for such Performance for the Sector are
1) The decorative business in India registered high single digit volume growth in Q2FY18
2) There was a recovery from Q1 – FY 2017-18 which was largely affected by impact of destocking due to GST (Goods and Services Tax) and preponement of sales due to a early Diwali
Positive Sign for the Paint Sector
The Paint sector in India is hopeful that with the implementation of GST and its broader acceptance coupled with a good monsoon, demand would be healthy across segments.
Negative Sign
Raw material prices and its availability will continue to remain a concern for the Paint sector due to larger geo-political issues
Market Leader Performance:
Market leader Asian Paints registered 0.77% growth in Revenues and 8.77% growth in Profits as compared to the same period last year.
Star Performer in the Sector:
The star performer in the sector for the quarter ended 30th September 2017 was Kansai Nerolac where the company showed 3.82% increment in profit and 1.32% growth in Revenue as compared to same period last year.
Here is the Data:
Disclaimer: The contents and data presented here are just for your information & personal use only. While much effort is made to provide the information, I ( Vishal Dalwadi ) or “Fin Blab” do not guarantee the accuracy, correctness, completeness or reliability of any information or data displayed herein and shall not be held responsible.
