Views on Asian Paints 3QFY2014 result - Angel Broking

Views of Mr. V. Srinivasan (Research Analyst - FMGC, Angel Broking) on Asian Paints 3QFY2014 results:

"For 3QFY2014 Asian Paints posted a 12.4% yoy growth in top-line to Rs. 3,413cr which was below estimates. Lower than estimated volume growth in domestic decorative business resulted in disappointment on the revenue front. However, the management maintained that the decorative business has performed well considering the challenging and uncertain macro environment. Industrial paints and automotive coatings continue to be impacted by slow-down in the economy. The company's Middle East and Asia businesses continued to perform well. OPM fell by 170bp on a yoy basis to 14.6% on account of higher raw material costs and other expenses. Bottom-line fell by 1.8% yoy to Rs. 329cr and was below estimates. We maintain a neutral rating on the stock."

Source : Equity Bulls

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