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Mumbai, India
This presentation may contain statements which reflect Management’s current views and
estimates and could be construed as forward looking statements. The future involves
certain risks and uncertainties that could cause actual results to differ materially from the
current views being expressed. Potential risks and uncertainties include such factors as
general economic conditions, foreign exchange fluctuations, competitive product and
pricing pressures and regulatory developments.
Responses can only be given to questions which are not price sensitive.
2
ASIAN PAINTS TODAY
No. 1 Over
3 3 rd
Largest Paint Offerings
across:
Paint Company
$ 2.5 Billion Times nearest
Company in Asia
Group revenue Competitor
9th Largest Paint Paints
in India in India
Co In the World
Chemicals
Part of
Operations in
27 30 share 50+ Wall Coverings
16 Paint
Manufacturing BSE
Years of Market
Water
countries Leadership in India
Plants S&P SENSEX proofing
3
COATINGS INDUSTRY – GLOBAL STANDING
16.0 14.8
14.0
12.0 11.6
11.5
In Billion USD
10.0
8.0
6.0
5.4
4.0 5.0
4.8
2.0 4.4
- 2.9
2.6
2.2
2.0
1.6 1.5
1.0
0.9
Sales
12%
FY 2017-18
77%
Growth closely
linked to GDP
Growth
50:50 75:25
Global Low per Capita Global
Decorative Paints Paint
Ratio to Industrial Paints average @
Consumption at
12-15 Kgs
$7 Billion ~3.75 Kgs
Industry
❖ State of the art, highly automated decorative paint manufacturing plants – Eight plants
across the country for an efficient distribution footprint
❖Total manufacturing capacity of 1.63 million KL/annum of Decorative paint products
❖Some of the largest single location automated paint manufacturing capacities across
the world
❖Mysuru (Karnataka) plant commissioned in Sept 2018 with initial capacity of 0.3
million KL/annum and Vizag (Andhra Pradesh) plant commissioned in Jan 2019
with initial capacity of 0.3 million KL/annum
❖Mysuru plant can be scaled upto 0.6 million KL/annum and Vizag plant can be
scaled upto 0.5 million KL/annum in a phased manner
DECO INDIA
LAST 20 YEARS………
❖Increased Market Share by over 20%
❖Exploded emulsion growth – especially in exteriors
❖Upgraded distempers to emulsions
❖Launched over 150 new products
❖Re-invented the brand - moved into Décor & services – APHS, Paint Total,
ColourPro, Colour Consultancy
VISION:-
‘To be the fore runner of inspiring décor and to actively
empower customers to create their dream homes’
DECO INDIA – CHANGING WITH TIMES
Traditional Hardware 45,000+ Colour World - Colour Ideas – Modern dealer outlets
shops Paints tinted at dealer outlets – end to end home décor solutions
DECO INDIA – INNOVATION IN RETAILING
❖ Experimenting with AP Homes
❖Multi-category integrated décor store offering products & solutions across categories of
paints, wallpapers, kitchen, bath fittings, sanitaryware, furnishings, light fittings, etc.
❖ Participating in the Indian Industrial coatings segment through 2 Joint ventures with PPG
Inc. of USA, the global coatings leader
❖ Many Auto OEMs (including Ford, Hyundai, General Motors) focused on using India as a
base for servicing overseas markets
INTERNATIONAL BUSINESS
❖ Contributes about 12% of group revenues operating in 15 countries outside India
❖ In top three in all markets in Decorative paints, except in Singapore & Indonesia
❖ Expanding its international presence with key focus on Africa and South East Asia
❖ Set up greenfield operation in Indonesia with capacity of 24,550 KL/annum
❖ Acquired the 2nd largest paint company, Causeway, in Sri Lanka in April 2017
❖ Acquired the 2nd largest paint company, Kadisco, in Ethiopia in 2015
❖ Recently divested operations in Caribbean to realign the portfolio towards high growth
emerging markets
MARKET POSITION ACROSS GEOGRAPHIES
MARKET
REGION COUNTRY POSITION BRAND
ETHIOPIA 2 KADISCO
AFRICA
EGYPT 3 SCIB PAINTS Middle East Africa
Asia South Pacific
SOUTH FIJI, SOLOMON ISLANDS,
1 TAUBMANS, APCO
PACIFIC SAMOA, VANUATU, TONGA
HOME IMPROVEMENT SEGMENT
❖ Forayed in this business segment five years back with a vision of being a complete décor
solutions provider to help customers create their dream homes
❖ Currently contributes to less than 2% of group revenues but a key focus area for future
growth alongside the growth potential in main coatings business
43.46 4.09
54.2%
54.0%
53.1%
53.1%
52.6%
51.0%
51.0%
49.0%
47.0%
46.0%
1074
39.0%
CAGR
30.8%
73.36
FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY 18
Mar 08 Mar 18
75.5%
56.5%
60.1%
59.1%
43.6%
42.8%
53.7%
52.2%
51.8%
38.1%
50.6%
50.1%
37.3%
48.9%
36.6%
48.4%
36.1%
47.5%
35.6%
34.6%
34.2%
31.8%
FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY 18 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY 18
FINANCIALS : QUARTER 3 - FY 2018-19
STANDALONE Q3 – FY2019
( ` BILLION )
Revenue from Operations: 26.4%
60.00 45.36
40.00
35.87 PBDIT : 20.5%
20.00 9.85 8.18
6.30 5.28 PAT : 19.3%
0.00
Q3 - FY19 Q3 - FY18 PBDIT Margin of 21.7% in Q3 – FY19
Revenue PBDIT PAT as compared to 22.8% in Q3 - FY18
CONSOLIDATED Q3 – FY2019
( ` BILLION )
60.00 52.93 Revenue from Operations: 24.1%
42.67
40.00 PBDIT : 17.0%
20.00 10.42 6.35 8.91 5.54 PAT : 14.6%
0.00
Q3 - FY19 Q3 - FY18
PBDIT Margin of 19.7% in Q3 - FY19 as
24 Revenue PBDIT PAT compared to 20.9% in Q3 - FY18
FINANCIALS : NINE MONTHS - FY 2018-19
STANDALONE 9M – FY2019
( ` BILLION )
Revenue from Operations: 17.1%
150.00 121.56
103.78
100.00 PBDIT : 18.9%
50.00 25.37 21.35 14.03
16.55 PAT : 17.9%
0.00
Q3 - FY19 Q3 - FY18 PBDIT Margin of 20.9% in 9M – FY19 as
Revenue PBDIT PAT compared to 20.6% in 9M - FY18
CONSOLIDATED 9M – FY2019
( ` BILLION )
200.00 Revenue from Operations: 16.0%
143.31
150.00 123.51
PBDIT : 14.6%
100.00
50.00 27.01 16.86 23.57 15.57 PAT : 8.2%
0.00
Q3 - FY19 Q3 - FY18
PBDIT Margin of 18.8% in 9M - FY19 as
25
Revenue PBDIT PAT compared to 19.1% in 9M - FY18
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