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.
For the nine months ended December 31, 2003, net sales for the company increased by 8.9 per cent to Rs 1,323.36 crore as compared to Rs 1,215.05 crore for the corresponding period of the previous financial year. The increase in sales is primarily on account of the growth registered by the paint business of the company. Net profit registered an increase of 2.8 per cent at Rs 117.04 crore compared to Rs 113.81 crore for the corresponding period of the previous financial year.
The revenue generated from the paints business was Rs 1,248.44 crore compared to Rs 1,137.52 crore an increase of 9.7 per cent over the corresponding period of the previous financial year. The others business that include the manufacturing of chemicals generated revenues of Rs 84.75 crore.