New Delhi, May 12 -- Asian Paints Ltd is caught in a double whammy of weak demand and increased competition from new and existing companies. This severely hurt the paint maker's crucial decorative paints business and FY25 ended up being one of its worst years in a long time.

Consolidated net profit after minority interest at Rs.3,667 crore in FY25 was down by one-third from FY24. Lower revenues with volume growth at 2.5% in the domestic decorative business, coupled with higher staff costs and other expenses, took a toll on profitability. Asian Paints' total operating revenue declined year-on-year in each quarter of FY25, leading to an overall 4.5% drop in full-year revenue. FY25 Ebitda margin shrank 365 basis points to 17.7%.

Volume gro...