Kansai Nerolac Paints Limited

NSE: KANSAINER · Paints

52W Range₹158 ₹264

Snapshot

Unlock Kansai Nerolac Paints Limited's vital signs

Growth · Profitability · Valuation · Strength · Conviction

Company Overview

Business

Kansai Nerolac Paints Limited is a leading Indian manufacturer of decorative and industrial paints, coatings, and performance chemicals. The company provides a comprehensive range of products including interior and exterior wall paints, automotive coatings, and specialized industrial finishes.

Business Model

The company generates revenue through the manufacturing and distribution of paint systems, enamels, and protective coatings across decorative and industrial segments. It operates as a subsidiary of Kansai Paint Co., Ltd., leveraging global technical expertise to serve diverse sectors including automotive, construction, and electrical components.

  • Incorporation Year:1920

Growth Outlook

Growth is driven by sustained demand in the automotive sector and the expansion of the decorative paints market in India. The company continues to diversify its portfolio into construction chemicals and protective surface solutions to capture broader industrial and consumer spending.

Key Risks

  • Raw Material Price Volatility. Fluctuations in the cost of crude oil derivatives and pigments significantly impact operating margins.
  • Intense Market Competition. The Indian paint industry is highly competitive, with aggressive pricing strategies from both domestic and multinational players.
  • Cyclicality of End-User Industries. The company's industrial coatings segment is sensitive to cyclical downturns in the automotive and manufacturing sectors.
  • Regulatory and Environmental Compliance. Increasingly stringent environmental regulations regarding volatile organic compounds (VOCs) may necessitate higher capital expenditure for product reformulation.

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Key Metrics

REVENUE

₹8,263 Cr

TTM · consolidated

+5.2%YoY

NET PROFIT

₹589 Cr

TTM · consolidated

-46.5%YoY

EPS

₹7.42

TTM · consolidated

-47.0%YoY

RETURN ON EQUITY

9.0%

TTM · consolidated

-8.1 ppYoY

RETURN ON CAPITAL EMPLOYED

12.3%

TTM · consolidated

-9.8 ppYoY

P/E

26.2x

Q1 FY27 · consolidated

26.2 vs 20.1x5Y avg

EV/EBITDA

13.6x

Q1 FY27 · consolidated

13.6 vs 16.5x5Y avg

EBITDA MARGIN

13.9%

TTM · consolidated

+0.2 ppYoY

NET PROFIT MARGIN

9.6%

Q1 FY27 · consolidated

-0.4 ppYoY

DEBT TO EQUITY

0.0x

Q1 FY27 · consolidated

-0.01xYoY

Peers · Paints

CompanyMkt CapP/EEV/EBITDARev Gr YoYEBITDA MgnROEROCE1Y Return
Kansai Nerolac Paints LimitedKANSAINER
₹15,705 Cr26.1713.585.2%13.9%9.0%12.3%-20.2%
Berger Paints India Ltd.BERGEPAINT
₹56,586 Cr46.4828.095.2%16.5%18.6%22.6%-10.3%
JSW Dulux LimitedAKZOINDIA
₹14,457 Cr6.9524.71-7.0%15.3%106.3%118.1%-7.1%
Indigo Paints LimitedINDIGOPNTS
₹5,653 Cr35.1219.419.5%19.8%15.0%18.9%+2.9%
Sirca Paints India LimitedSIRCA
₹2,495 Cr36.7923.3924.1%20.8%14.1%18.4%-5.3%
Shalimar PaintsSHALPAINTS
₹715 Cr-10.31-41.03-10.5%-3.8%-24.5%-15.0%+16.8%

As of Q1 FY27

Financials