Mumbai, May 9 (IANS): Asian Paints on Thursday reported a consolidated net profit of Rs 1,275.3 crore for the Jan-March quarter of 2023-24, a marginal increase of 1.3 per cent compared to the corresponding figure of Rs 1258.41 crore for the same period last year.

The total revenue of the company declined by 0.64 per cent to Rs 8,730.76 crore during the quarter from Rs 8,787.34 crore last year, Asian Paints said in a regulatory filing.

Market analysts attribute the decline in revenue to increased competition which has intensified with Aditya Birla Group company Grasim also making a major foray into the paints industry. The decorative business of Asian Paints registered a volume growth of 10 per cent, however, revenue fell by 1.8 per cent in Q4 FY’24 as the company resorted to price cuts to prop up sales.

The company’s board of directors recommended a final dividend of Rs 28.15 per share, in addition to the interim dividend of Rs 5.15 per share declared in October 2023. The company’s total dividend for FY’24 now stands at Rs 33.30 per share.

Earnings before interest, tax, depreciation and amortisation (EBIDTA) for the fourth quarter was at Rs 1,692 crore down 9.3 per cent. EBITDA margins have declined by 170 bps YoY to 21.1 per cent.

“Our Decorative and Industrial coatings combined, delivered volume growth of 10 per cent and value growth of 3.9 per cent for the year with our Industrial segment registering double-digit value growth. Looking ahead, we remain confident about a pick-up in demand conditions with a favourable monsoon forecast,” said Asian Paints CEO Amit Syngle.