Asian Paints Ltd. · NSE:ASIANPAINT
Asian Paints — Q3 FY2025 Earnings Presentation
28 slides from Asian Paints's earnings presentation, Feb 4, 2025
Slide 1: Intimation under Regulation 30 - Investor Presentation
APL/SEC/32/2024-25/46 4th February 2025 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, Dalal Street, Bandra Kurla Complex, Bandra (East), Mumbai – 400 001 Mumbai – 400 051 Security Code: 500820 Symbol: ASIANPAINT Sir/Madam, Sub: Intimati
Slide 2: Investor Conference Q3 FY2025 Results
~~ 4 ».) & ,) Investor Conference 03 - FY2025 Results
Slide 3: Delivering joy since 1942
Delivering joy since 1942…. We exist to Beautify, Preserve, Transform all Spaces and Objects, bringing happiness to the World! 2
Slide 4: Disclaimer
Disclaimer This communication, except for the historical information, may contain statements which reflect the Management’s current views and estimates and could be construed as forward-looking statements. The future involves many risks and uncertainties that could cause actual results to differ mat
Slide 5: Decorative Business (India)
Weak Festive Demand, Overall Muted Consumer Sentiments Impacted Volumes; Downtrading Further Impacted Value Decorative Business (India) 12.1% 5 Yr CGR 9.6% 5 Yr CGR Q3 FY24 Q3 FY25 11.6% 5.5% 1.6% Volume Gr% Value Gr% -7.8% 12.9% 5 Yr CGR 9M FY24 9M FY25 10.8% 5 Yr CGR 9.2% 2.8% 4.6% -5.8% Volume Gr
Slide 6: Decorative Plus Industrial Paints
Decorative Plus Industrial Paints Relatively Better Traction in General Industrial & Refinish Segments 12.0% 5 Yr CGR 10.0% 5 Yr CGR 11.8% Q3FY24 Q3FY25 6.3% 1.7% Volume Gr% Value Gr% -6.6% 12.8% 5 Yr CGR 11.0% 5 Yr CGR 9M FY24 9M FY25 9.3% 5.3% 3.0% Volume Gr% Value Gr% -4.8% 5
Slide 7: Decorative Business (India): Softer Volume Trajectory
Softer Volume Trajectory Over the Last 6 Months Long-term Volume Growth Still in Double-digits Decorative Business (India) *15.3% 240 *18.1% *15.1% *14.1% *14.6% *12.1% *19.0% *16.5% *11.5% *16.8% *15.4% 200 160 120 80 Q4 FY22 Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 Q1 FY25 Q
Slide 8: Decorative Business (India) Key Performance Drivers
Decorative Business (India) Key Performance Drivers ❑ Q3FY25 was impacted by continued muted ❑ Good pick up in demand in the Projects / consumer demand accentuated by: Institutional Business driven by Factories & ▪ Weak festive demand Builders’ segment ▪ Sustained slowness in urban centers ▪ Tractio
Slide 9: Transforming the Environment with Advance Technology
Transforming the Environment with Advance Technology For exterior spaces, engineered with photocatalytic technology that neutralizes known pollutants like SOx & NOx bringing them down to safer limits as set by WHO powered with dust pick-up resistance, whiteness, available in 200+ shades 8
Slide 10: Innovation in Regional Packs
Innovation in Regional Packs Maharashtra Gujarat Kerala 9
Slide 11: Packaging Change: Interior Emulsions
Packaging Change : Interior Emulsions Luxury Range Premium Range Economy Range 10
Slide 12: Packaging Change: SmartCare
Packaging Change : SmartCare Exterior Waterproofing Interior Waterproofing 11
Slide 13: Future of Waterproofing
Future of Waterproofing ❑ Single Component PUD based fleece reinforced liquid applied coating for exposed terrace surfaces ❑ Highly Durable, Strong Coating with Best-in-Class Crack Bridging Ability ❑ Excellent Puncture Resistance & Tensile Strength ❑ Lifetime Warranty & Peace- Up to 25 Years* Waterp
Slide 14: New campaign for Ultima Protek exterior paint
Launched new campaign for Ultima Protek, an ultra-durable exterior paint The only Lamination Paint powered by Graphene 13
Slide 15: Don't Just Paint, Design: Exterior Textures
Don't Just Paint, Design New campaign launched for specially curated Exterior Textures 14
Slide 16: Asian Paints Where the Heart Is
fore) asianpaints 9 where the heart is SEASON 8
Slide 17: Our Home Décor Foray
Our Home Décor Foray No. 1 Integrated No. 1 in Home Décor Modular Kitchen, Bath Fittings & Fabrics & Furnishings Kitchen Hardware Sanitaryware Decorative Player ~ 4.5% of Components Lighting Decorative 64 Beautiful Revenue Homes Stores – One Stop Home Décor Wardrobes and Vanities Furniture Wall Cove
Slide 18: Beautiful Homes Studio and Signature Store
Beautiful Homes Studio launched in Surat, spread across 13k sqft. Beautiful Homes Signature Store launched in Mumbai, spread across 14k sqft. 17
Slide 19: Launched Nilaya WALL W.R.A.P
Zero PVC, Zero Plastic, Zero VOC and made from Launched Nilaya WALL W.R.A.P naturally occurring minerals Water Resistant System 58 SKUs across Material 200 SKUs from Top selling Colours Crack Resistant Finishes and Designs Fungal Resistant UV Resistant 18
Slide 20: Home Décor Business
Building on our Foray in Home Décor Kitchen & Bath White Teak & Weatherseal Marginal Improvement in Topline vs. last year Home Décor Business (figures in columns in ₹ crs) (figures in columns in ₹ crs) Q3 FY25 9M FY25 Q3 FY25 9M FY25 1% 5% 5% -23% 1% 87 -14% 3% 264 3% 308 26 36 103 88 12 Kitchen Rev
Slide 21: International Business
International Business ' 8p astanpak Nepal Bangladesh Solomon Islands Indonesia Vanuatu Bahrain Fiji @ ° Qatar Egypt Oman ca HAE Sri Lanka ad Ethiopia Samoa 2 Bp xanpains 3 Spasianpaints 4 ganisce 5 scibG © 7 Sapco & 20
Slide 22: International Business Growth
Growth Driven by Improving Macro-Economic Conditions in Asian Markets Revenue ❑ Q3 growth in INR terms at 5%; strong 17.1% 1% International Business Q3 FY25 9M FY25 growth in constant currency terms 2,267 ❑ Africa: Impacted by currency devaluation in 14% 3% 5% Egypt & Ethiopia -20% 18% -2% 20% 906 -
Slide 23: Industrial Business
Sustained Growth & Profitability in Auto Segment 7% 1,652 PPGAP Q3 FY25 9M FY25 Industrial Business ❑ Broad based growth with General Industrial and Refinish 6% segment doing well 10% 610 5% 135 317 ❑ Strong profit growth with PBT margin at 22.1% in Q3FY25 Revenue PBT APPPG 2% 846 Q3 FY25 9M FY25 -2
Slide 24: Sequential Improvement in Gross Margin
Sequential Improvement in Gross Margin on Material Price Deflation, Sourcing & Formulation Efficiencies Material Deflation Material Deflation Material Inflation Material Deflation Material Deflation Material Deflation Material Deflation Material Deflation ~0.2% ~1.8% Material Inflation ~1.5% ~2.1% -
Slide 25: Summary Standalone Financials
Summary Standalone Financials -8% Q3 Q3 FY24 Q3 FY25 ❑ Net Sales declined by 7.5%; Impacted by subdued demand, weak festive season & downtrading 7,289 -10% -23% ❑ Gross margins at 43.2% in Q3; ~100 bps decline over Q3 last year -20% -23% 3,147 on lower mix 1,508 1,481 1,109 ❑ PBDIT margin at 20.7%;
Slide 26: Summary Consolidated Financials
Summary Consolidated Financials Q3 Q3 FY24 Q3 FY25 ❑ Net Sales declined by 6.1% given subdued growth in domestic -6% decorative segment. Relatively better performance in Industrial 8,522 segments and International Business -9% -23% -20% -24% ❑ Gross margins at 42.3% in Q3; ~115 bps decline over Q3 l
Slide 27: Outlook for Q4FY25
Outlook for Q4FY25 ❑ Demand conditions challenging considering stress in urban areas; Cautiously optimistic about recovery over the next couple of quarters ❑ Adequate monsoons coupled with expected boost in Government spending should continue to support rural demand ❑ Maintain focus on the core & st
Slide 28: Thank You
Thank Thank You you 27