It seems like the paint industry had a good quarter, after the block buster results of Asian Paints, Nerolac has come out with an amazing 33% increase in net profits and 7.36% increase in revenue.
- Company has increased its operating margin from 13.76% in Q1FY16 to 16.19% in Q1 current year.
- Other income, which was a less significant amount in Q1FY16, has multiplied by 3.68 times to current level of 21 Crs.
- The company is completely debt free.
- For the reported quarter the company has paid 33.63% tax against 31% for the same quarter last year.
Kansai Nerolac moved 6% in two consecutive trading days, previous day of results it moved by 2.17% due to speculation of good results with the likes of Asian Paints. On the results day the stock moved up by 3.74% at closed at Rs 341.10 due to more than expected results. ICICI Securities was expecting net profit of Rs 112.40 crore from Kansai Nerolac Paints.
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