Asian Paints today posted a 16.51% growth in its net profit to Rs 271.6 crore for the first quarter ended June 30, 2011 over the same quarter last year.
The company had posted a net profit of Rs 233.1 crore in the April-June quarter, 2010, Asian Paints said in a filing to the Bombay Stock Exchange (BSE).
During the period under review, the firm had net sales of Rs 2,260.37 crore, a 23.5% increase from Rs 1,830.22 crore in the corresponding quarter last fiscal.
"The company witnessed good growth during the quarter driven by favourable demand for decorative coatings across the country," said PM Murty, MD and CEO, Asian Paints.
However, demand in June has not been robust. Demand conditions for international and industrial businesses continue to be challenging, he said.
"Input cost rose sharply necessitating price increases aggregating to 8% till now. The impact of these increases on demand will need to be gauged," Murty said
For year ended March 30, 2011, the firm had a net profit of Rs 881.35 crore, while it had a net sales of Rs 7,706.24 crore.
Shares of Asian Paints closed at Rs 3,139.95 on the BSE, up 0.78% from the previous close.