Kolkata, Oct 23 (IANS): Paints company Asian Paints on Friday posted an increase of 14.89 percent in its net consolidated profit for the second quarter of the fiscal at Rs.399 crore as against Rs.347.30 crore in the same period last year.

The company's net consolidated income rose by 4.03 percent at Rs.3,779.36 crore in the period under review as against Rs.3,632.95 crore in the corresponding timeperiod in 2014-15.

During July-September this year, the company's expenses also rose marginally at Rs.3,229.44 crore as compared to Rs.3,161.09 crore in the similar timframe in 2014.

"The demand conditions in the Indian economy remained subdued and growth of decorative coatings business segment in India continued at a lower level than it did in the decade prior to 2012. Material prices remained benign in the quarter aiding margins," managing director and CEO K.B.S. Anand said in a statement.

He said the Industrial Coatings JV (AP-PPG joint-venture) registered good growth in the industrial liquid paints and road markings segment. In the automotive coatings business JV (PPG-AP), the auto OEM and refinish segment registered reasonable growths.

"International business did well aided by contribution from the units in Middle East and in Ethiopia, although Egypt and Nepal were adversely affected in this period," Anand said.

The paint major's board has recommended the payment of an interim dividend of Rs. 2.20 per share.