Asian Paints (ASIANPAINT) Q4 25/26 earnings summary

Executive summary

• Achieved strong double-digit volume and value growth in Q4FY26, with full-year consolidated net sales up 5.1% to ₹35,516 crore and standalone up 4.3% to ₹30,680 crore.

• Premiumization, innovation, and new product launches contributed 17% of revenues, driving improved product mix and higher margins.

• B2B, international, and industrial segments delivered robust double-digit growth, with international business showing resilience despite geopolitical challenges.

• Decorative business saw resurgent Q4 growth, elevating full-year performance.

• Maintained high dividend payout ratio of 60%, with total dividend at ₹27.5 per share.

Financial highlights

• Q4 decorative business: 12.4% volume growth, 10.2% value growth; consolidated Q4 net sales up 10.8% YoY, standalone up 10.3%.

• Full-year consolidated net sales up 5.1%, gross margin at 43.7% (up 140 bps), PBDIT margin at 18.9% (up 110 bps).

• Q4 consolidated PBDIT margin at 19.4% (up 210 bps YoY); PAT up 34.1% YoY (excluding exceptional items).

• Standalone Q4 PBDIT up 26.0% to ₹1,670 crore; margin at 21.2% (up 260 bps YoY).

• Final dividend of ₹23 per share recommended, taking total FY'26 dividend to ₹27.5 per share.

Outlook and guidance

• Targeting high single-digit (8%-10%) volume growth for FY 2027, with margin guidance maintained at 18%-20% despite inflation and volatility.

• Management expects to sustain performance through cost discipline, calibrated pricing, and operational efficiencies amid macro risks from inflation and West Asia conflict.

• Industrial and international businesses expected to outpace decorative segment growth.