Share price of India’s leading paint and decor company moved up by nearly 0.53% to Rs. 2,864.75 in the morning trading session of March 4th, compared to its previous close of Rs. 2,849.55, after the company announced receiving letter allotting 166 acres of land for setting up a new plant.
With a market capitalisation of Rs. 2.71 lakh crores, in the last one year, the company has delivered negative returns of about 1.14 percent and nearly 12.44 percent of negative returns in the last six months. So far in 2024, it has given negative returns of more than 16.5 percent.
According to recent regulatory filings with the stock exchanges, Asian Paints Limited received the letter allotting around 166 acres of land in Pithampur, Madhya Pradesh, for setting up the said paint manufacturing facility.
On 7th January 2023, the Board of the company approved the proposal to set up a new water-based paint manufacturing facility with an annual capacity of 4 lakh kiloliters an investment of around Rs. 2,000 crore.
In addition, the company is in the process of executing the necessary agreements with the MP Industrial Development Corporation Limited.
Manufacturing at the facility is planned to begin in 3 years, following the acquisition of the land.
In terms of financials, the revenue from operations of the company grew by nearly 7.35% QoQ from Rs. 8,479 crore in Q2 FY23-24 to Rs. 9,103 crore in Q3 FY23-24, accompanied by a 19.72% increase in the net profit from Rs. 1,232 crore in Q2 FY23-24 to Rs. 1,475 crore in Q3 FY23-24.
Asian Paints Limited, founded in 1942, is the leading paint and decor company in India and is one of the top ten decorative coatings companies in the world. It is ranked 2nd in Asia and 8th among the top coating companies worldwide.
Since 1967, the firm has been the industry leader in paints, manufacturing a wide range of paints for both decorative and industrial uses.
Written by Shivani Singh
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