Kansai Nerolac Paints Limited, one of the leading paint manufacturers in the country has posted a net profit at Rs. 27.07 Cr for the second financial quarter ended September 30, 2008 as against Rs. 33.12 Cr in the corresponding quarter last year.
The Net sales of the company went up by 12% at Rs. 390.28 Cr as compared to Rs. 348.42 Cr last year. Profit before tax is Rs. 39.71 Cr as against Rs. 47.68 Cr in the corresponding quarter last year.
For the half year ended September 30, 2008, the net sales have increased by 11.8%. Profit before tax is Rs. 82.56 Cr as against Rs. 93.15 Cr for the half year.
Commenting on the performance of the company, Mr. H. M. Bharuka, Managing Director, Kansai Nerolac Paints Ltd, said “We continue to draw efficiencies despite the current economic downturn, but rupee depreciation and volatile currency is adversely affecting on raw material costs. The industry is experiencing a slowdown in the industrial paint segment due to pressure on automobile sector. Decorative business continues to drive growth for now, but the downward trends in Indian real estate market are worrisome. In coming times we need to be more cautious & watchful with economy slowing down.”
“We also announce expansion at Hosur, of a full fledged decorative & general industrial products’ manufacturing facility with an additional investment of Rs179.Cr, where we had earlier cleared investment of Rs69Cr.”
About Kansai Nerolac Paints Limited
Kansai Nerolac Paints has been at the forefront of paint manufacturing for more than 88 years, pioneering a wide spectrum of quality paints. Kansai Nerolac is the second largest paint company in India and undisputed leader in Industrial segment, having a turnover of Rs 1613 crores. The company has four strategically located manufacturing units all over India and a strong dealer network of over 11000 dealers across the country. The company manufactures a diversified range of products ranging from architectural coatings for homes, offices, hospitals and hotels to sophisticated industrial coatings for most of the industries. Please visit www.nerolac.com.