Asian Paints capacity at FY20 end was 1.73 Bn Litres
Grasim targets 1.3 Bn litres (~75% of Asian Paints)
Asian Paints Current Capacity > Berger + Kansai + Indigo + Shalimar
#FMCGisLife #AsianPaints #Grasim @CNBCTV18Live
2/n
GRASIM
- To grow in paints through the Capacity route by investing 10000 Cr
- Paints is also a brand, distributor, tinting machine game
- Will be interesting to see if Grasim will be able to scale that
#Thread on #AsianPaints industry dominance
1/n
#FMCGisLife @CNBCTV18Live
Asian Paints capacity at FY20 end was 1.73 Bn Litres
Grasim targets 1.3 Bn litres (~75% of Asian Paints)
Asian Paints Current Capacity > Berger + Kansai + Indigo + Shalimar
#FMCGisLife #AsianPaints #Grasim @CNBCTV18Live
2/n
Asian Paints (No. 1) Qtrly Revenue = Berger Paints (No. 2) Annual Revenue
Asian Paints Annual Revenue is:
3.5X Berger
4.7X Kansai
10X Akzo Nobel
32X Indigo
They're already market leaders and Mgmnt said it increased >140 Bps in 2022
#FMCGisLife
3/n
Even at higher levels of RM Inflation and through all competitive intensity Asian Paints' Margins have been well above the industry
Last 12 months EBITDA Margin:
AsianPaint 17%
Berger 15%
Kansai 10%
AkzoNobel 14%
Indigo 15%
#FMCGisLife
4/n
DISTRIBUTION
- Total Reach for Asian Paints now at 1.45 Lk retail points
- Asian Paints Dealers alone as big as the entire industry put together
- They also have 46000 Tinting Machines (equal to entire industry together)
#FMCGisLife #AsianPaints
5/n
- Dealers keeping a paint company's tinting machine is among the biggest barriers of entry
- Tinting machines cost 1-1.5 lk per machine and need space at a dealer's store
- 2 out of 3 Asian Paints dealers already have tinting machines
#FMCGisLife #Asianpaints
6/n
Asian Paints spends 900-1000 Cr on Advertising every year
For Ref: Indigo Paints’ FY22 Revenue alone was 906 Cr
We all know the brand recall from Gattu, to Wah Sunil Babu, to Har Ghar Kuchh Kehta Hai and the more recent - Abhi Toh Aur Chalega ads!
#FMCGisLife
7/n
Would you believe it? Among the large paint players, it's actually the youngest company
Year of Establishment
Shalimar 1902
Nerolac 1920
Berger 1923
Akzo 1939
AsianPaint 1945
#FMCGisLife #AsianPaints #Grasim
8/n
- Quality comes at a steep price
- Co is among the most expensive stocks on all parameters
- Co's Market Cap at 10X FY22 sales
- MCap at 4X FY24e Entire Paint Industry
FY23e PE
Asian Paints 70X
Indigo 61X
Berger 50X
#FMCGisLife @CNBCTV18Live
9/9
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THREAD: 12 Things Everyone Should Know About IQ
1. IQ is one of the most heritable psychological traits – that is, individual differences in IQ are strongly associated with individual differences in genes (at least in fairly typical modern environments). https://t.co/3XxzW9bxLE
2. The heritability of IQ *increases* from childhood to adulthood. Meanwhile, the effect of the shared environment largely fades away. In other words, when it comes to IQ, nature becomes more important as we get older, nurture less. https://t.co/UqtS1lpw3n
3. IQ scores have been increasing for the last century or so, a phenomenon known as the Flynn effect. https://t.co/sCZvCst3hw (N ≈ 4 million)
(Note that the Flynn effect shows that IQ isn't 100% genetic; it doesn't show that it's 100% environmental.)
4. IQ predicts many important real world outcomes.
For example, though far from perfect, IQ is the single-best predictor of job performance we have – much better than Emotional Intelligence, the Big Five, Grit, etc. https://t.co/rKUgKDAAVx https://t.co/DWbVI8QSU3
5. Higher IQ is associated with a lower risk of death from most causes, including cardiovascular disease, respiratory disease, most forms of cancer, homicide, suicide, and accident. https://t.co/PJjGNyeQRA (N = 728,160)
1. IQ is one of the most heritable psychological traits – that is, individual differences in IQ are strongly associated with individual differences in genes (at least in fairly typical modern environments). https://t.co/3XxzW9bxLE
2. The heritability of IQ *increases* from childhood to adulthood. Meanwhile, the effect of the shared environment largely fades away. In other words, when it comes to IQ, nature becomes more important as we get older, nurture less. https://t.co/UqtS1lpw3n
3. IQ scores have been increasing for the last century or so, a phenomenon known as the Flynn effect. https://t.co/sCZvCst3hw (N ≈ 4 million)
(Note that the Flynn effect shows that IQ isn't 100% genetic; it doesn't show that it's 100% environmental.)
4. IQ predicts many important real world outcomes.
For example, though far from perfect, IQ is the single-best predictor of job performance we have – much better than Emotional Intelligence, the Big Five, Grit, etc. https://t.co/rKUgKDAAVx https://t.co/DWbVI8QSU3
5. Higher IQ is associated with a lower risk of death from most causes, including cardiovascular disease, respiratory disease, most forms of cancer, homicide, suicide, and accident. https://t.co/PJjGNyeQRA (N = 728,160)
