1

Presented By :-Nikhil HulwanDipesh Pawar

Prathamesh BhosaleManisha Arutla

Siddhi Patil

Asian Paints is India's largest paint company

Ranked among the top ten Decorative coatings companies in the world

Turnover of INR 7750 crore ($1.73 Bn)

Asian Paints along with its subsidiaries have operations in 17 countries across the world

Consist of 23 paint manufacturing facilities

Servicing consumers in 65 countries through Berger International, SCIB Paints – Egypt, Asian Paints, Apco Coatings and Taubmans

INTRODUCTION

3

TAG LINE

“EVERY COLOR TELLS A STORY”

HISTORY

1st February, 1942: Armed with little knowledge and great determination, Champaklal H. Choksey, Chimanlal N. Choksi, Suryakant C. Dani and Arvind R. Vakil get together to manufacture paint in a garage on Foras Road, Bombay.

1945: Asian Paints touches a turnover of Rs. 3,50,000.

Cont ….

1954 Asian Paints mascot, Gattu, the mischievous kid, is born.

1957 – 66The family-owned company makes the transition to a professionally managed organisation.

1967 Asian Paints emerges as India's leading paint company ahead of any international competition.

6

Cont……

Ranked 24th amongst the top paint companies in the world by Coatings World – Top Companies Report 2006.

The Asset - one of Asia's leading financial magazine ranked Asian Paints amongst the leading Indian companies in Corporate Governance in 2002 and 2005.

Received the Ernst & Young "Entrepreneur of the Year - Manufacturing" award in 2003.

VISION

Asian Paints aims “to become one of the top five Decorative coatings companies world-wide by leveraging its expertise in the higher growth emerging markets”.

Simultaneously, the company intends “to build long term

value in the Industrial coatings business through alliances with established global

partners”.

INTERNATIONAL PRESENCE

9

The five corporate brads

Asian Paints

Berger Internation

al

SCIB Paints

Apco Coatings

Taubmans

Growth drivers

• Bangladesh • China• Egypt• Malaysia• Myanmar• Singapore• Sri Lanka• Thailand• UAE• Growth

Drivers

Market Leaders

• Jamaica• Barbados• Trinidad &

Tobago• Bahrain• Nepal• Fiji• Solomon

Islands• Vanuatu• Tonga

Focus forTurnaround

• Australia• Mauritius• Oman• Malta

INTERNATIONAL MARKETS

THE NEW ASIAN PAINTS GROUP

71%

5%

24%

Asian paint group

Paints - IndiaChemical - IndiaInternational

12

Business Profile

segments

Paint

Decorative Paints

Industrial Paints

Chemicals

Phthatic Anhydried

Penraerythritol

13

• Wall Finishes• Exterior Finishes• Enamels• Wood Finishes

Decorative Paints

• Powder Coatings• Protective Coatings• Road Marking Coatings

Industrial Paints

MARGINS STRATEGY

14

Firmer RM prices (6-8%) + Price increases (2-3%) Jul’15

R & D efficiencies &Sourcing efficiencies

Control on overhead costs

Improved realisations from chemicals business

Marginexpansiondespiteinputpriceincrease

INTERNATIONAL MARKET - STRATEGY

• To enter the high-growth emerging markets

• Adopt a regional hub approach to international operations

• Apply the emerging market business model:– Introduce new products suited to local needs– Introduce new technology, accordingly– Focus to improve all areas of operations, especially supply chain

16

CORPORATE GOVERNANCE

17

The Corporate Governance philosophy of the Company is based on the following principles: Satisfaction of the spirit of the law through ethical

business conduct Transparency and a high degree of disclosure levels Truthful communication about how the company is

run internally A simple and transparent corporate structure

driven solely by the business needs Strict compliance with Clause 49 of the Listing

Agreement as amended from time to time Establishment of an efficient corporate structure

for the management of the Company's affairs Management is the trustee of the shareholders'

capital and not the owner

18

COMPETITIVE ADVANTAGE

19

MANUFACTURING CAPACITY AND VOLUME

Asian

Paint

s

Kansa

i Nero

lac

Berge

r Pain

ts

Shali

mar0

50000100000150000200000250000300000350000400000

3541

50

1539

00

1579

46

4300

0

2826

02

9913

0

1381

79

3916

1 Installed Capacity (tones)Production (tones)

80%

87%64%

91%

21

Dealer Network & Reach

•Over 14500 direct dealers as opposed to 7000 of our nearest competitor

•Over 35% of the dealers do business only with APIL

•67 sales locations situated all across the•Country

APIL GNP Berger ICI

1500

0

7000

4500

3700

Retail outlets directly serviced

22

RETAIL INITIATIVES

Asian Paints has fostered a customer-centric approach to

business.

Consumer-centric initiatives

• Asian Paints Home Solutions- Offers a “painted surface” vs. just “paint”– Aimed at controlling the quality of end product– Overcomes major “barriers to purchase/consumption”– Good response from the market; present in six cities

Asian Paints Helpline– Toll free access to the Helpline– High conversion rate into actual sales

Cont….

Colour World machines– 3175 machines installed till February 1, 2003– 827 machines installed under arrangement with Citibank– Colour World dealers make more than 50% of sales

Prediction of colour trends in India

The launch of Kids World

Royale Play

Do-It-Yourself mode

25

CSR

Environment and safety.Improving infrastructure and

healthcare at local schools; adopting school education.

Total water management.Age care.

26

Environment and Safety

Reuse

RecycleEliminate waste

27

SUCCESS STORY

Information TechnologyAsian Paints is the first company in India to

have integrated Supply Chain Management (SCM) Solution from i2 Technologies, and Enterprise Resource Planning (ERP) solution from SAP.

Asian Paints has launched a supplier portal that includes an automated digital document exchange facility

An employee portal

Customer Relations Management (CRM)

Investment in I.T.

• Benefits:– RM & FG inventory reduction– Revenue Increase by avoiding retail shorts– Reduction in dead & slow moving stock– Plant through-put improvement

Research and Development (R&D)

R&D efforts have been focused on developing new exterior finishes, economy emulsions and distempers.

R & D / INNOVATION STRATEGIES

Developing new products and innovations

Reducing costs by value re- engineering of formulations

Research and Development (R&D) Structure

In India, the company's has :

140 strong R&D team

7 doctorates

115 qualified scientists

R&D new developments

The development of the water based wood polish which is odourless and is of same quality as of solvent based polish.

The company is also in the process of setting up a new R&D centre near Mumbai (India)

34

TODAY Asian Paints becomes the 10th largest decorative paint company

in the world.

Asian Paints is more than twice the size of its nearest competitor.

It is one of the most admired companies in India.

Present in 22 countries with 27 manufacturing locations, over 2500 SKU's, Integrated SAP - ERP & i2 - SCM solution.

On the recommendations of Booz, Allen and Hamilton, Asian Paints restructured itself into Growth, Decorative and International business units and adopted SCM and ERP technology.

Asian Paints aims to become the 5th largest decorative paint company in the world.

FUTURE OUTLOOK To further improving the operations.

Plans to launch new products in line as:- Introducing Water – based Paints- Repositioning of existing Brands in Rural Market- Broadening of Distribution Network- Adding more choices for shades and effects- Enhancing Better Quality- Demand will be generated through the new constructions coming in housing and industries

36

THANK YOU