Nippon Paint Holdings Co., Ltd. has announced robust financial results for the second quarter of fiscal year 2024, reporting a 19.3% increase in revenue to ¥432.8 billion (US$3.05 billion) compared to the same period last year. The company’s operating profit also saw a notable rise of 6.1% to ¥51.8 billion (US$365 million), as strong performances in several key segments bolstered overall growth.
The decorative paints segment, a significant contributor to Nippon Paint’s revenue, saw increased sales across most regions, except for Europe, where market conditions remained challenging. In China, Nippon Paint’s revenue increased by 5.6% due to strong sales volumes in tier 3 to 6 cities and a recovering non-paint segment. However, automotive coatings in China experienced a decline in revenue, mirroring a global trend of decreased production by Japanese OEMs.
The company continues to focus on strategic acquisitions and expansions. Notably, Nippon Paint’s new consolidation of Alina contributed ¥7.5 billion to revenue and ¥1.5 billion to operating profit. Despite these positive results, the company remains vigilant about potential fluctuations in foreign exchange rates and raw material costs.
Looking ahead, Nippon Paint maintains its optimistic outlook for the second half of FY2024, anticipating sustained growth across its core segments while closely monitoring economic conditions and market trends.
