Asian Paints Q1 Profit Rises 40% As Price Hikes Offset Rising Input Costs

Paint maker Asian Paints has reported a sharp rise in earnings for the first quarter of FY27, aided by price increases and tighter control over costs. Consolidated net profit climbed 40% to ₹1,539 crore for the quarter ended June 30, 2026, up from ₹1,100 crore in the same period last year, the company announced on July 29.

Consolidated revenue from operations grew 18% year-on-year (YoY) to ₹10,542 crore, compared with ₹8,939 crore in the year-ago quarter. Following the results, shares of the company were trading 1.4% higher at ₹2,775.3 apiece as of 2:40 pm on July 29.

On a standalone basis, the company posted a 17% rise in revenue to ₹9,183.4 crore, while standalone net profit rose 34% to ₹1,478.4 crore. Earnings before interest, tax, depreciation and amortisation came in at ₹2,169 crore, up 33.5% from ₹1,625 crore a year earlier.

Margins Hold Despite Cost Pressure

Consolidated raw material costs jumped 36% to ₹5,449.3 crore during the quarter, driven by volatile crude oil prices. Employee costs and other expenses rose at a slower pace of 12% and 10% respectively, helping the company manage its overall cost base. To offset the higher input costs, Asian Paints had increased its product prices by around 12% during the quarter.

Commenting on the results, managing director and chief executive officer Amit Syngle said the company had started the financial year on a strong footing. "We started FY27 on a good note, building on the momentum of the previous quarter and delivering a strong performance across businesses. Decorative business grew at a healthy volume growth of 9%, supported by calibrated pricing actions, translating into a robust value growth of 16.6%. Industrial coatings sustained its mid-teen growth trajectory, growing by more than 16% in value," he said.

The company's international business posted net sales growth of 27.2%, rising to ₹936.5 crore from ₹736.1 crore, led by operations in Egypt, the UAE, Oman, Nepal and Bangladesh.

Within the home decor portfolio, sales performance was mixed. Bath fittings and White Teak saw sales fall 4.3% and 7.4% respectively, while the kitchen business grew 10.1% to ₹108.0 crore. Net sales under the Weatherseal brand rose 11.2% to ₹16.9 crore.

The bath fittings business reported a wider loss before tax of ₹8.8 crore, compared with a loss of ₹2.3 crore in the same quarter last year.

Industrial coatings continued its mid-teen growth momentum during the quarter, the company said, complementing the decorative segment's performance and supporting broad-based growth across its overall coatings portfolio.