asianpaints

APUSEC/20/61

9th May, 2019

BSE Limited Corporate Relationship Department Phiroze Jeejeebhoy Towers, 25th Floor, Dalal Street, Fort, Mumbai - 400 001 Scrip Code: 500820

Sir(s),

Asian Paints Limited Asian Paints House 6A, Shantinagar Santacruz (E) Mumbai 400 055 T : (022) 6218 1000 F: (022) 62� 1111

. www.asianpaints.com

The National Stock Exchange of India Limited Exchange Plaza, Plot No. C/1, Block G, Bandra - Kurla Complex, Sandra (East), Mumbai - 400 051 Symbol: ASIANPAINT

Sub: Investor Presentation on the financial results for the financial year ended 31 st March, 2019

Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements)

Regulations, 2015, please find enclosed a copy of presentation on the financial results. of the

Company for the financial year-ended 31 st March, 2019.

The said presentation is being made available on the website of the Company.

(www.asianpaints.com)

This is for your information and record.

Thanking you,

Yours truly.

For ASIAN PAINTS LIMITED

YESH MERCHANT 0 & COMPANY SECRETARY,

PRESIDENT - INDUSTRIAL JVs

Encl: As above

Corporate Identification Number: L24220MH1945PLC004598 For shares related quenes, email to investor.rela�ons@asianpaint,;.com For consumer queries.email to customercare@esianpaints.com

Printed on 100% Recycled Paper 0

INVESTOR PRESENTATION Q4 & 12M : FY 2018-19

9th May 2019

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

Company Performance

Business Review

Risks and Outlook

3

4

Consequent to the introduction of Goods and Services Tax (GST) with effectfrom 1st July, 2017, Central Excise, Value Added Tax (VAT) etc. have beensubsumed into GST. In accordance with Indian Accounting Standards andSchedule III of the Companies Act, 2013, unlike Excise Duties, levies likeGST, VAT etc. are not part of Revenue. The figures and growth percentagesgiven herein have been suitably adjusted to make the revenue fromoperations for periods upto 30th June 2017 comparable.

5

• Revenue from Operations up by 12.2%

• PBDIT flat at Rs. 842 crores – Impact of higher

material prices & higher media spends

• PBDIT Margin of 19.9% in Q4-FY19 as

compared to 22.4% in Q4-FY18

• PAT marginally lower than LY – Additional

impact of higher depreciation for the 2 new

plants

• Revenue from Operations up by 15.8%

• PBDIT at Rs. 3,587 crores; growth of 12.2%

• PBDIT Margin of 21.9% for full year

compared to 22.6% in previous year

• PAT at Rs. 2,135 crores; growth of 12.7%

6

• Revenue from Operations up by 11.7%

• PBDIT flat at Rs. 880 crores

• PBDIT Margin of 17.5% in Q4-FY19 as

compared to 19.6% in Q4-FY18

• PAT marginally lower than LY

• Revenue from Operations up by 14.9%

• PBDIT at Rs. 3,752 crores; growth of 9.8%

• PBDIT Margin of 19.4% for full year

compared to 20.3% in previous year

• PAT at Rs. 2,212 crores; growth of 9.1%

* PAT from continuing operations

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Interim Dividend 285% (Rs. 2.85)

Final Dividend 765% (Rs. 7.65)

Total Dividend 1050% (Rs. 10.50)

Payout Ratio : 56.8%

FY

201

8-19

FY

201

7-18

Interim Dividend 265% (Rs. 2.65)

Final Dividend 605% (Rs. 6.05)

Total Dividend 870% (Rs. 8.70)

Payout Ratio : 53.1%

Gro

wth

ove

r La

st Y

ear

8

[VALUE]7.2%

2.3%

13.2%11.5%

10.2% 10.2%

2.6%

10.5%

5.5%

14.6%

11.3%13.0%

16.2%

8.7%

26.4%

12.2%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

Demonetization Nov 2016

GSTJuly 2017

GST reductionJuly 2018

0%

10%

20%

30%

40%

50%

60%20

07-0

8

2008

-09

2009

-10

2010

-11

2011

-12

2012

-13

2013

-14

2014

-15

2015

-16

2016

-17

2017

-18

2018

-19

51.0%54.0%

39.0%

46.0% 47.0%49.0%

51.0% 52.6% 54.2% 53.1% 53.1%56.8%

Dividend Payout Ratio

Total dividend in Rs. per share of face value Re. 1 Dividend Payout Ratio in %

Rs.1.7

* FY 2016-17 Total dividend of Rs. 10.30 including special dividend of Rs. 2.00 per share

Rs.1.75

Rs.2.7Rs.3.2

Rs.4.0Rs.4.6

Rs.5.3Rs. 6.1

Rs. 7.5Rs. 8.3*

Rs. 8.7

Rs. 10.5

Company Performance

Business Review

Risks and Outlook

10

Decorative Paints business in India registered double digit volume growth in Q4

Continued focus on network expansion and opening new ‘Colour Ideas’ store

46,000+ ‘Colour World’ machines and 400+ ‘Colour Ideas’ stores across the country

5 ‘AP Homes’ stores operational; continue to see good response

Coimbatore, New Delhi, Kochi, Raipur and Karur

Good growth witnessed in the Waterproofing and Adhesives segment

Host of new products introduced in the market

Apex Shyne, Ace Shyne, Apex Ultima Europa etc

Material prices softened a bit in Q4; however inflation for the year still at 10%+

No price revision affected in Q4

1st Dec 2018 +1.7% ; 1st Oct 2018 +2.35% ; 1st May 2018 +2% ; 1st Mar 2018 +1.4%

Mysuru (Karnataka) and Vizag (Andhra Pradesh) plants commissioned in FY19 as per schedule

11

12

AP HOMES AT KARUR

(TAMIL NADU)

13

Mysuru

Vizag

14

All units in GCC (Oman, UAE & Bahrain) and Nepal registered good topline growth

Sluggish growth in Egypt, Ethiopia, Sri Lanka and Bangladesh – impacting the overall

International performance

Indonesia operations scaling up well

Expansion of distributor network and Colour Infinity (Colour World) spread

Overall, topline growth of 8.3% for International operations in Rupee terms

Raw material price inflation impacted operational profitability at International operations

Raw Material procurement continued to be a challenge due to forex unavailability in

Ethiopia

Profit before Tax from continuing operations at Rs. 121.2 crores; lower by 27.3% over

previous year

15

Asia : Nepal, Sri Lanka, Bangladesh, Singapore & Indonesia

Middle East : UAE, Bahrain & Oman

Africa : Egypt & Ethiopia

South Pacific : Fiji, Tonga, Solomon Islands, Vanuatu & Samoa

26.1%

20.3%47.7%

[VALUE]

IBU Group

Middle East Africa Asia South Pacific

12M - FY19 12M - FY18 Gr % 12M - FY19 12M - FY18 Gr %

Asia 1119 1044 7.3% 36 81 -54.9%

Middle East 613 537 14.1% 34 42 -17.4%

Africa 476 466 2.2% 44 58 -23.4%

South Pacific 137 141 -2.8% 24 33 -25.6%

IBU 2325 2148 8.3% 121 167 -27.3%

Net Sales (Rs. crores) PBT (Rs. crores)

PPG Asian Paints (PPGAP)

Auto Segment registered slowdown in the second half of the year on

the back of deceleration in the Auto industry

Growth in General Industrial and Refinish segment supported revenue

growth for the business

Work on Dahej (Gujarat) plant for Resins progressing as per timelines

Asian Paints PPG (APPPG)

In FY19, Net Sales grew by 20% to Rs. 473.6 crores; PBT at Rs. 5 crores

Growth led by good performance in the dealer segment for Protective

and Powder coatings

16

Higher raw material prices

impacted profitability

of both these industrial

businesses

SLEEK

Registered Sales of Rs. 214.4 crores in FY 19; Full year growth of 24.4%

Growth led by strong performance in the Components as well as the Full Kitchen

Dealer segments

PBT Loss of Rs. 22.8 crores during the year

ESS ESS

Registered Sales of Rs. 202.1 crores in FY 19; Full year growth of 27.8%

Good growth in the Premium and Luxury range of products

PBT Loss of Rs. 30.4 crores for the year

17

• Continuous focus on enhancing distribution reach and driving operational efficiencies for

both the businesses

Total capex at the Standalone level for FY 19 was about Rs. 1000 crores

Rs. 800 crores towards the two new paint manufacturing facilities at Vizag (Andhra

Pradesh) and Mysuru (Karnataka)

Capex for FY20 will be around Rs. 700 crores at the Standalone level

Company Performance

Business Review

Risks and Outlook

19

Growth expected to remain uncertain in the near term

Need to watch out for progress of the monsoon season as well as easing of

the credit cycle in the economy

Also need to monitor raw material price trends, including crude and

volatility in the Rupee

Geo-political uncertainty, forex challenges – areas of concern for the

International operations

20

THANK YOU