Asian Paints Share Price Falls 6% After Q3 Results: Check The Key Performance Breakdown

SYNOPSIS: Asian Paints Limited reported resilient Q3 FY26 performance with modest revenue and sequential profit growth amid subdued demand, offset by exceptional charges, while international and select home décor segments showed steady growth.

During Tuesday’s trading session, shares of the largest home decor company in India crashed nearly 6 percent on BSE, after posting muted Q3 FY26 results marked by a decent growth of over 5 percent QoQ but a decline of nearly 5 percent YoY in net profit.

At 03:26 p.m., shares of Asian Paints Limited were trading in red at Rs. 2,631.9 on BSE, down by around 3 percent, compared to its previous closing price of Rs. 2,702.25, with a market cap of Rs. 2.52 lakh crores. The stock has delivered positive returns of around 17 percent in the last one year, but has fallen by over 5 percent in the last one month.

Financial Performance for Q3 FY26

Asian Paints Limited announced the financial results for the third quarter of FY26 on Tuesday during market hours, as per the latest regulatory filings with the stock exchanges. The company highlighted that demand continues to be subdued, but a series of internal initiatives helped deliver resilient growth.

For the quarter, the company posted a consolidated revenue from operations of Rs. 8,867 crores, reflecting a sequential growth of around 4 percent QoQ compared to Rs. 8,531.3 crores in Q2 FY26. Likewise, on a year-on-year basis, revenue also grew nearly 4 percent from Rs. 8,549.4 crores recorded in Q3 FY25.

Net profit for Q3 FY26 stood at Rs. 1,074 crore, indicating a marginal increase of nearly 5.5 percent QoQ from Rs. 1,018.2 crores in Q2 FY26, but a year-on-year decline by around 5 percent from Rs. 1,128.4 crores reported in Q3 FY25.

Further, Asian Paints recognised exceptional items of Rs. 157.6 crore for the quarter, comprising two key components. First, a one-time expense of Rs. 63.74 crore arising from the implementation of the Labour Code, which included an increase of Rs. 52.88 crore in gratuity liabilities and Rs. 10.86 crore towards compensated absences. Second, an impairment loss of Rs. 93.87 crore was recognised on “intangible” assets acquired through the acquisition of Obgenix Software Private Limited (White Teak).

Segment Highlights & More

International business: Net sales increased 6.3 percent YoY to Rs. 869.6 crore from Rs. 818 crore, driven by strong contributions from operations in Sri Lanka, the UAE and Ethiopia. On a constant currency basis, net sales grew by 4.2 percent.

Home Decor business:

(i) Bath Fittings business recorded a 4.1 percent decline in net sales to Rs. 84 crore in Q3 FY26 from Rs. 87.6 crore a year earlier.

(ii) Kitchen business posted a modest growth in net sales, which increased by 2.6 percent year-on-year to Rs. 105.4 crore from Rs. 102.8 crore.

(iii) White Teak business delivered strong growth, with net sales increasing by 12.4 percent to Rs. 29.2 crores, while Weatherseal business reported an increase by 58.6 percent to Rs. 18.7 crores in Q3 FY26. 

Asian Paints Limited is India’s leading paint and decor company and is ranked among the top 8 coatings companies in the world. The company, along with its subsidiaries, have operations in 14 countries across the world with 25 paint manufacturing facilities, servicing consumers in over 60+ countries.

Additionally, Asian Paints is also engaged in the business of offering a wide range of home décor products and is an emerging strong player in the home improvement and décor space in India.

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