Colour of money

Calcutta, May 9: Asian Paints has reported a net profit of Rs 84.84 crore for the quarter ended March 31, up 19.22 per cent from Rs 71.16 crore in the corresponding quarter of the previous fiscal.

The company’s total income during the reporting quarter increased to Rs 879.71 crore from Rs 740.26 crore in the year-ago period.

On a consolidated basis, the company posted a net profit of Rs 94.52 crore for the quarter compared with Rs 66.61 crore during January-March, 2007.

Total consolidated income during the quarter jumped to Rs 11,46.4 crore from Rs 972.56 crore.

On a standalone basis, the company’s total income during 2007-08 grew 21.56 per cent to Rs 3,478.74 crore. Net profit in 2007-08 went up to Rs 375.20 crore from Rs 272.05 crore in the previous year.

The profitability of Asian Paints during the last fiscal rose on the back of a nearly 55 per cent increase in other income, mainly from receipts of higher income on investments than in 2006-07. The company reported other income worth Rs 62.58 crore against Rs 40.45 crore in 2006-07.

The company’s net sales and operating income for 2007-08 stood at Rs 3,416.16 crore against Rs 2,821.3 crore in 2006-07.

The Asian Paints board has recommended a final dividend of Rs 10.50 per equity share of Rs 10 each. In October last year, the company had paid an interim dividend of Rs 6.50 per share.

Asian PPG Industries is a 50:50 joint venture between Asian Paints and the US-based PPG Industries. The joint venture company acquired the advanced auto refinish (2k) business of ICI India for a consideration of Rs 52 crore in March 2007. The highly technology-driven auto-refinish 2k paints business was part of ICI’s overall auto-refinish operations.

) also included income from processing charges for products manufactured for Asian PPG Industries, Asian Paints Industrial Coatings and lease rentals on tinting machines to dealers and revenue from Home Solutions operations.