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MOSCOW (MRC) -- Asian Paints Limited.,
an Indian paints and coatings manufacturer, announced its results for the third
quarter ended December 31, 2020, according to Kemicalinfo.
The company’s net profit
increased 49.1% to Rs 1238.34 crores for the period ended December 31, 2020 as
against net profit of Rs 830.37 crores for the previous quarter.
Net
sales grew 27% to Rs 6886.39 crores during the period ended December 31, 2020 as
compared to Rs 5432.86 crores during the previous quarter.
The company’s
net profit grew 62% to Rs 1238.34 crores for the period ended December 31, 2020
as against net profit of Rs 764.43 crores for the prior-year quarter.
Net
sales increased 25.4% to Rs 6886.39 crores during the period ended December 30,
2020 as compared to Rs 5490.11 crores during the prior-year
quarter.
“Demand conditions continued to exhibit a strong recovery
across business segments, spread over most regions in the third quarter of this
financial year,” said Amit Syngle, Managing Director & CEO, Asian Paints
Limited.
Mr Syngle said that “the domestic Decorative business delivered
a powerful performance with more than 30% volume growth led by a strong
performance in premium and luxury portfolios. The Home Decor foray of Asian
Paints got a big fillip from a strong performance of the Home Improvement
business. “
“The Industrial coatings business delivered a robust
performance, particularly in Protective coatings and Auto OE businesses which
rebounded in a big way, benefited by resurgence in the industrial activity,”
Syngle said.
“The International business recorded a double-digit
volume growth, strongly led by good growth in Asia and Middle East.
Profitability across businesses has been well supported by a good Sales mix and
some excellent work in cost optimization & sourcing measures pursued
strongly through innovation programs,” he added.
As MRC reported
previously, in early May, 2020, Reliance Industries Ltd. (RIL) announced
that it was considering selling its stake in India’s largest paint maker
valued at about USD989 million as the conglomerate steps up efforts to trim its
debt. RIL was in discussions with banks for a potential sale of its 4.9%
stake in Asian Paints Ltd. through a series of block trades. Reliance holds the
stake through Teesta Retail. The size and timing of any potential sale
haven’t been finalized, and Reliance could decide not to pro-ceed with a deal,
the people said then. The sale of stake in Asian Paints is part of RIL’s string
of fundraising plans unveiled in order to bolster investor confidence, even as
the crash in oil prices pulled down profit at the company’s oil-to-chemicals
business.
We remind that in November 2019, Reliance Industries
confirmed plans to
invest 700 billion Indian rupees (USD9.75 billion) to establish a
crude-oil-to-chemicals (COTC) complex at the company's Jamnagar,
India.
The MCC/HSFCC complex will have combined capacity for 8.5 million
metric tons/year (MMt/y) of ethylene and propylene, and total extraction
capacity for 3.5 MMt/y of benzene, toluene, and xylenes. It will also have
combined capacity for 4.0 MMt/y of paraxylene and orthoxylene. The steam
cracker will have combined capacity for 4.1 MMt/y of ethylene and propylene, and
feed crude C4s to a 700,000-metric tons/year butadiene extraction plant.
Reliance will also add 1.3 MMt/y of p-xylene capacity at existing plants at
Jamnagar.
Ethylene and propylene are feedstocks for producing
polyethylene (PE) and polypropylene (PP).
According to MRC's DataScope report,
PE imports to Russia decreased in January-November 2020 by 17% year on year and
reached 569,900 tonnes. High density polyethylene (HDPE) accounted for the
greatest reduction in imports. At the same time, PP imports into Russia
increased by 21% year on year to about 202,000 tonnes in the first eleven months
of 2020. Propylene homopolymer (homopolymer PP) accounted for the main increase
in imports. |
