Asian Paints Maintains Growth Momentum Through Innovation and Regionalization
Mumbai, November 17, 2025– Asian Paints Ltd., India’s leading paint company, reported a robust performance in the second quarter of fiscal year 2026 (Q2 FY26), underscoring its resilience amid challenging market conditions.
The company’s strategic focus on innovation, precise execution, and regionalisation initiatives propelled it to outperform industry benchmarks, with the decorative business registering a volume growth of 10.9% and a value growth of approximately 6%.
The quarter’s success was fueled by targeted efforts to stimulate demand in both urban and rural markets.
Through a series of regional activations, intensified marketing campaigns, and robust brand-building activities, Asian Paints effectively bridged the gap between city dwellers and rural consumers. “We achieved balanced growth across geographies, bolstered by a diverse product portfolio and fresh innovations,” a company spokesperson noted, highlighting the role of new product launches in sustaining momentum.
A key pillar of this strategy has been the regionalisation drive, where Asian Paints has tailored its packaging and messaging to resonate with local cultures and traditions.
This approach not only enhanced consumer engagement but also reinforced the brand’s emotional connection in diverse states and regions.
In the business-to-business (B2B) segment, performance remained steady despite seasonal headwinds from the monsoon, which tempered retail demand. Gains in government and factory projects provided a strong counterbalance, ensuring overall stability.
Profitability metrics painted an even brighter picture, with standalone EBITDA margins expanding to 18.5%—a year-on-year increase of 230 basis points.
This improvement was attributed to elevated gross margins and disciplined cost optimisation measures. Asian Paints reaffirmed its margin guidance of 18-20% for the fiscal year, underpinned by favourable raw material prices and stringent internal controls.
Looking ahead, the company expressed cautious optimism for the second half of FY26 (H2 FY26). Positive indicators such as a bountiful monsoon, a vibrant wedding season, and recovering urban sentiment are expected to bolster demand. “These factors position us well for continued traction,” the spokesperson added.
Beyond the domestic decorative segment, the industrial business shone brightly. The automotive and general industrial divisions clocked double-digit revenue growth, reflecting sustained demand in these high-value areas.
Internationally, Asian Paints expanded its footprint with a 9.9% revenue increase, translating to 10.6% growth in constant currency terms across its operations in Asia, the Middle East, and Africa.
This performance underscores the company’s global ambitions and operational efficiency in emerging markets.
Asian Paints remains committed to long-term investments in brand building and innovation, viewing marketing as a critical enabler for enduring growth. “We are strategically positioned to amplify brand saliency, foster innovation, and deliver consistent value to our stakeholders,” the company stated, signalling confidence in its trajectory amid evolving market dynamics.
