Asian Paints delivered a strong performance in Q2 FY26, through focused innovation, good execution and regionalisation of initiatives, resulting in a strong performance. The decorative business volume growth of 10.9% with value growth of around 6% outperformed industry expectations. This growth was driven by the Company’s ability to generate demand across urban and rural areas through various regional activations and intense marketing and brand building measures.
The Company achieved growth across urban and rural markets, supported by a healthy mix across product categories, well aided by new product innovation. Overall, from a point of view of regionalization, which is another big strategy, the Company started regionalizing its packs and invoking the culture of that state and that region, in a strong manner. The B2B segment also performed well, with increased traction in government and factory projects offsetting slower retail demand during the monsoon.
Profitability remained healthy, with Standalone EBITDA margins expanding to 18.5%, higher by about 230 basis points year-on-year, supported by higher gross margin and cost optimization. Asian Paints continues to maintain its margin guidance of 18–20%, supported by benign raw material prices and strong internal cost controls. The Company remains cautiously optimistic for H2 FY26, supported by favourable demand indicators such as a good monsoon, a strong wedding season, and improving urban sentiment.
Automotive and General Industrial segments continue to drive double-digit revenue growth in the Industrial Business. The international business grew 9.9%, with constant-currency growth of 10.6% across key units in Asia, the Middle East and Africa. Asian Paints will continue to invest in brand building and innovation, viewing marketing as a long-term growth enabler. The Company remains well-positioned to strengthening their brand saliency and driving innovation to deliver sustained performance and create value for all our stakeholders.