Mumbai: Asian Paints registered a marginal rise in its third quarter net sales by 1.3 per cent to Rs 450.28 crore against Rs 444.46 crore in the third quarter of the last financial year. Profit before depreciation and tax (PBDIT) was down 4.7 per cent to Rs 77.7 crore from Rs 81.83 crore in the corresponding period last year.
Profit before tax was also down by 5.8 per cent at Rs 64.75 crore from Rs 68.75 crore, while net profit for the quarter declined 5 per cent from Rs 43.67 crore to Rs 41.47 crore.
For the nine months ended December 31, 2003, net sales for the company increased by 8.9 per cent to Rs 1323.36 crore from Rs 1215.06 crore for the corresponding period of the previous financial year though the PBDIT declined marginally by 0.3 per cent from Rs 222.34 crore to Rs 221.69 crore.
However, profit before tax increased marginally by 0.5 per cent from Rs 181.68 crore during the nine month period last year to Rs 182.6 crore in the corresponding period this year, while net profit increased 2.8 per cent from Rs 113.81 crore to Rs 117.04 crore.
Commenting on the results,. Ashwin Dani, vice-chairman & managing director, Asian Paints (India) Ltd, said "The prolonged monsoons and the very short festival season did impact demand during an important selling period. There has also been pressure on margins, on account of the increase in prices of raw materials."
Asian Paints identified two segments in line with the accounting standards on segment reporting (AS-17). These are paints and others. For the nine-month ended December 31, 2003, the revenue generated from the paints business was Rs 1248.44 crore compared to Rs 1137.52 crore - an increase of 9.7 per cent over the corresponding period of the previous financial year.
Revenues under the segment 'others', which includes the manufacture of chemicals, generated Rs 847.5 million, virtually unchanged from Rs 847.9 million, for the corresponding period of the previous financial year.Profit before tax and interest from the paints business increased by 1.4 per cent from Rs 2042.40 million to Rs 2071.4 million in the corresponding periods.