Shalimar Paints records Rs 2.80 cr loss in FY14

Shalimar Paints has reported sales of Rs 479 crores and loss of Rs 2.80 crores for the year ended on March 31, 2014. Sameer Nagpal, Managing Director and CEO, Shalimar Paints said, “2014 was a year of transition as the company changed its strategic direction towards consumer business. With the change in strategy, a number of corrections and initiatives were undertaken through the year to ready the company for accelerated growth in the coming years. We now have a defined execution roadmap backed by consumer focused brand and channel strategy, and a robust team capable of managing this transition.”
 
While overall decorative business growth was flat in FY14, the revenue of high margin products grew close to 20% and business with club dealer counters grew by 30%. Industrial business was impacted by the slowdown in the economy.

Nagpal added, “Based on rigorous internal evaluation and external review, we found it imperative to make certain control changes including tightening of provisioning norms. Our profitability this year has been impacted as a result of these actions. Structurally, we continue to improve our product mix and consolidate our hold on channel.”