Asian Paints Ltd. · NSE:ASIANPAINT
Asian Paints — Q1 FY2023 Earnings Presentation
23 slides from Asian Paints's earnings presentation, Jul 26, 2022
Slide 1: Intimation of Investor Presentation for quarter ended 30 June 2022
Asian Paints Limited Asian Paints House 6A, Shantinagar Santacruz (E) Mumbai 400 055 T: (022) 62181000 asianpaints F: (022) 6218 llll www.asianpaints.com APL/SEC/32/2022-23/38 26th July, 2022 BSE Limited National Stock Exchange of India Limited Corporate Relationship Department Exchange Plaza, Plot
Slide 2: Investor Conference Q1 FY2023 Results
Classification: Restricted asianpaints Investor Conference Ql - FY2023 Results Classification: Restricted
Slide 3: Delivering joy since 1942
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Delivering joy since 1942…. We exist to Beautify, Preserve, Transform all Spaces and Objects, bringing happiness to the World! ► ► ► ► Classification: Restricted ► ► ► ► ►
Slide 4: Disclaimer
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► 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 un
Slide 5: Decorative Business (India)
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► High double-digit volume and value growth trajectory, notwithstanding the Covid impacted low base. Strong momentum evident from the double digit compounded growth rates. Decorative Business (India) 4 Yr Comp. gr 20% 4 Yr Comp. gr 20% 106% 91%
Slide 6: Decorative Business (India)
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Consistent double-digit volume growth trend Decorative Business (India) Volume Index *18.2% *21.5% *20.3% 200 *15.2% *15.0% 150 100 50 - Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 Q1 FY23 Quarterly representation of Volume
Slide 7: Decorative Business (India)
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► ❖ T1/T2 centers continued to grow faster than T3/T4 centers ❖ Economy range leading the growth; in T3/T4 centers ❖ PreLux growing well in the T1/T2 centers , giving a better mix Decorative Business (India) ❖ Project/Institutional business also
Slide 8: New Product Introductions
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► New Product Introductions i?iMiiii SPARC INTERIOR ER ALL PRIM Sparc ST SmartCare Tile Coat SmartCare Crackseal Primer Advance STAIN RESISTANT COATING FOR WOOD m INTERIOR AND EXTERIOR USAGE Ingenio Matt ENHANCED ANTI - BACTERIAL :) PERFORMANCE
Slide 9: Home Décor Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Home Décor Business ► ► ► ► Classification: Restricted ► ► ► ► ►
Slide 10: Home Décor Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► ❖ Home Décor Foray ❖ Transitioning from ‘Share of Surface’ to ‘Share of Space’ within the Homes ❖ Beautiful Homes Stores - Home Décor under one roof offering Kitchen, Bath & Sanitaryware, Lighting, Tiles, Flooring, Furnishings, Furniture, Door
Slide 11: Home Décor Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► ❖ Kitchen Business Revenue ❖ Rs. 100 crores+ delivery for 4th consecutive quarter ❖ Full Kitchen solutions as well as Components t 116% 68% business doing well Home Décor Business ❖ Projects business gaining traction 111 119 ❖ Network expansio
Slide 12: Home Décor Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► ❖ Recent acquisitions in the Décor space - Decorative and Designer Lighting (White Teak) and uPVC Windows and Doors (Weatherseal) Home Décor Business ❖ Integrating within the AP Décor journey on a strong note ❖ Through Beautiful Homes Stores a
Slide 13: International Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Nepal Bangladesh International Business Solomon Islands Indonesia s Vanuatu Bahrain IJI 4 Qatar Egypt Oman 7 UAE Sri Lanka 6 Ethiopia 1 2 aisianpaints )~ 3 s setb 6 I TAUBMANS 7 <:opco Samoa FIii ► ► ► ► Classification: Restricted ► ► ► ► ► I
Slide 14: International Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► ❖ Double digit revenue growth for Q1; Though Revenue 24% volumes lower given headwinds across units ❖ Strong growth in Nepal, Bangladesh 10% ❖ Sri Lanka impacted by extremely difficult operating t 330 8% 266 International Business environment
Slide 15: Industrial Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Industrial Business Fl ISH AISI "1AYE pyAAR 110 ► ► ► ► Classification: Restricted ► ► ► ► ►
Slide 16: Industrial Business
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Revenue ❖ PPG-AP ❖ Mainline categories of Auto, GI & Refinish recovered to pre-Covid levels 63% 56% ❖ While Auto industry continued to face Industrial Business challenges, saw a sequential improvement in 416 - -- - 255 242 demand 155 ❖ AP-PPG
Slide 17: APL Standalone Gross Margins
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Gross Margin dipped on a sequential basis, impacted by higher inflation. Inflation which seemed to have moderated in Q4 LY, shot up again in Q1 APL Standalone Gross Margins ~15% inflation; ~3% price ~4% inflation; ~6% inflation; ~1% increase ~
Slide 18: Summary – Standalone Financials
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Summary – Standalone Financials (figures in columns in Rs. crs) 60% 7,556 55% 73% 71% 65% 4,733 2,861 1,841 Net Sales • Gross Margins -- -- 884 1,463 PBDIT* ■ Q1 FY22 ■ Q1 FY 23 795 1,372 PBT - 596 1,017 PAT ❖ Strong double digit Net Sales gro
Slide 19: Summary – Consolidated Financials
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Summary – Consolidated Financials (figures in columns in Rs. crs) 55% 53% 8,579 70% 80% 84% 5,535 3,217 2,096 Net Sales - Gross Margins -- 914 1,556 PBDIT* ■ Q1 FY22 ■ Q1 FY 23 - 779 1,431 PBT - 574 1,036 PAT ❖ Robust Net Sales growth of 55% i
Slide 20: Outlook
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Outlook ❖ Demand conditions stable so far across rural & urban markets; Organization continues to focus on strong growth for the coming quarter ❖ Good advance in monsoon overall; Few states (North, East) still showing deficit. Overall predicti
Slide 21: Making Responsible Choices
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Focus on Long Term Sustainable Journey Making Responsible Choices Environment Social Governance • Community Ownership, ♦:♦ World Class Customer Celebrations Governance • Water Stewardship • Empowering Safety ♦:♦ Proactive Stakeholders • Energi
Slide 22: Focus on Long Term Sustainable Journey
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Focus on Long Term Sustainable Journey LIVES TOUCHED 282% More than 3400 tonnes of post-consumer flexible plastic Water 3,75,000+ Replenishment More than 14400 tonnes Vocational Trainings 62%* reduction imparted in Specific Non-process Fresh W
Slide 23: Thank You
Classification: Restricted asianpaints ► ► ► ► ► ► ► ► ► Thank You ► ► ► ► Classification: Restricted ► ► ► ► ►