Commenting on the results, Mr. H. M. Bharuka, Managing Director, KansaiNerolac Paints Ltd said,“Company has registered a double digit volume growth in Decorative and Automotive. The performance would have been better but for the unstable climate in Kashmir where KNP enjoys leadership.Lower commodity prices and a relatively stable forex situation have ensured that inflation remains benign which has helped improve profitability. Going forward, on the cost front we are seeing a gradual hardening of prices. The good monsoon augurs well for demand and this along with pay hikes for government employees could see an improvement in the demand in the second half of the year.”
Outlook of Indian Paint Industry:
The size of domestic paint industry is estimated at Rs 39000crores as of Mar 2016. The good growth in infrastructure, core sector as well as automobile and real estate is likely to have a positive effect on the overall demand of paint for the industry.