Throughout the quarter below overview, complete revenue elevated by greater than 11% year-on-year to Rs 9,418 crore. Whole bills rose at a slower tempo, rising practically 8% to Rs 7,829.17 crore.
EBITDA for the quarter rose 24.4% year-on-year to Rs 1,787 crore from Rs 1,436.2 crore within the corresponding interval final yr. EBITDA margin expanded by greater than 200 foundation factors to 19.3%, in contrast with 17.2% a yr earlier.
For the total monetary yr ended March 31, 2026, Asian Paints reported a consolidated internet revenue of Rs 4,325.35 crore, up 18% from Rs 3,667.23 crore recorded within the earlier monetary yr. Annual income from operations rose round 5% year-on-year to Rs 35,583.54 crore in FY26.
Asian Paints shares: Purchase, promote or maintain?
Nomura raised its goal value to Rs 3,600 (35% upside) whereas sustaining a Purchase ranking, highlighting that the corporate not solely retained however improved its steerage regardless of cumulative value hikes of round 13.5% year-to-date, together with 10.5% carried out in April-Could and an extra 3% improve introduced to sellers.
The brokerage famous that administration’s determination to keep up quantity development steerage of 8-10% alerts confidence in a powerful demand atmosphere. It additionally pointed to improved product combine steerage of -3% to -4%, in contrast with the sooner expectation of -5% to -6%, pushed by a higher push in the direction of premium and luxurious paints, implying high-teens gross sales development in FY27. The brokerage additionally maintained its working margin steerage of 18-20% regardless of uncooked materials inflation and aggressive pressures. Nomura believes there’s a excessive likelihood of crude oil costs moderating from present ranges over the subsequent six months, which may additional assist margins.
Motilal Oswal maintained its Impartial ranking on Asian Paints with a goal value of Rs 2,750, implying a modest upside of as much as 3%. The brokerage raised its FY27 and FY28 earnings estimates by 3%-4%, citing better-than-expected income efficiency. Nonetheless, it cautioned that the unsure geopolitical atmosphere and chronic inflationary pressures may proceed to weigh on total demand. Administration has guided for top single-digit quantity development in FY27 regardless of vital value hikes, supported by a beneficial base, extra portray days as a consequence of El Niño circumstances and an prolonged festive season.
The brokerage expects standalone EBITDA margins of 19.1% and 19.5% for FY27 and FY28, respectively, whereas consolidated margins are projected at 18.2% and 18.6%. It additionally famous that paint demand has remained subdued over the previous two years, and up to date value will increase may delay a broader demand restoration. To counter aggressive pressures, Asian Paints continues to deal with product innovation, strengthening model salience, regionalisation and execution.
JM Monetary upgraded Asian Paints to Add with a goal value of Rs 2,815, implying an upside of 5.4%. The brokerage believes the corporate’s FY27 income outlook stays encouraging, supported by administration’s quantity development steerage of 8-10%. Mixed with double-digit value will increase, together with hikes of round 10.4% already carried out and a further 2-4% introduced from June, together with a decrease hostile combine influence of 3-4%, that is anticipated to drive mid-teen gross sales development in FY27. JM Monetary famous that demand developments remained secure throughout April and Could, whereas administration stays optimistic about enterprise momentum within the second and third quarters of FY27, aided by an extended festive season.
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The brokerage additionally highlighted that administration has reiterated its EBITDA margin steerage of 18-20% regardless of vital uncooked materials inflation, supported by value hikes, sourcing efficiencies, an improved product combine and calibrated spending. Nonetheless, the corporate expects aggressive depth within the paints sector to stay elevated.
(Disclaimer: Suggestions, options, views and opinions given by the consultants are their very own. These don’t characterize the views of The Financial Instances)
