Asian Paints Targets ₹1 Lakh Crore Revenue Over the Next Decade With Product Expansion
Asian Paints, headquartered in Mumbai, aims to achieve a revenue milestone of ₹1 lakh crore over the next decade, as stated by its MD and CEO, Amit Syngle, in an exclusive interview with CNBC-TV18. Syngle outlined the company’s growth strategy, emphasizing its expansion into various segments related to home improvement such as lighting, UPVC doors and windows, wooden flooring, kitchen and bath products, fabrics, and furnishings.
The company aims to enhance its brand presence across all segments of the market, including the luxury segment, by leveraging the increasing disposable incomes. Syngle plans to maintain profit margins between 18-20% while investing the surplus in brand building activities.
Recognizing services as a crucial aspect where many paint companies fall short, Asian Paints plans to stand out by providing comprehensive painting solutions with expert consultations, aiming for service revenue to contribute 10% of the overall revenue in the future. Additionally, the company anticipates growth in the industrial paints category and is focusing on innovation and backward integration to drive further growth.
Asian Paints holds a leading position in India’s paint industry and operates globally through its subsidiaries, including Berger International. In the December quarter (Q3FY24), the company reported a 12% increase in domestic volume growth, supported by an extended festive season, with a net profit of ₹1,475 crore, marking a year-on-year increase of 34.5%. Despite slightly lower-than-expected revenue, Asian Paints achieved a 5.4% growth compared to the same period last year.
Over the past year, Asian Paints’ shares have experienced a notable surge of over 4%, contributing to a market capitalization of ₹2,81,438.22 crore.
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