by On Thursday, November 2, Berger Paints India announced a consolidated net profit for the second quarter (July to September) of the 2023–24 fiscal, of ₹292 crore. This represents a 33% increase from ₹219.51 crore during the same period last year.For the quarter under review, the paint company’s operating revenue was ₹2,767 crore, up 3% from ₹2,670.9 crore during the same period the previous year.
The company reported in a regulatory filing that during the October–December period, revenue from operations increased by 7% to Rs 2,881.83 crore. When comparing the current period to the same quarter last year, earnings before interest, taxes, depreciation, and amortisation (EBITDA), excluding other income, increased by 37.3% to Rs 480 crore.Berger Paints MD & CEO Abhijit Roy stated, “The quarter witnessed robust increase in operating profits and strong growth on the volume front.” According to him, the growth rates in tier 2 and tier 3 cities exceeded those in tier 1 cities.
The paint manufacturer persisted in its “aggressive growth” within the construction chemicals and waterproofing market. “To strengthen our product offerings in this market, new products were introduced in the sealants and roof waterproofing category. Auto and industrial divisions fared somewhat better as well. We strengthened our digital initiatives and added over 2300 retail touch points this quarter as part of our ongoing network expansion,” he continued.
For the July–September quarter, earnings before interest, taxes, depreciation, and amortisation (other than other income) were ₹474 crore, up 30% from ₹364 crore in the corresponding quarter of the previous year.Berger Paints’ MD and CEO, Abhijit Roy, stated, “We had double digit volume growth in the decorative segment with lesser value growth as sale of low end and commodity items is high during this quarter.”
Roy stated that September’s rainy weather and the postponed holiday season had a significant negative influence on topcoat sales, particularly those of exterior coatings.
He anticipates a significant improvement in this during the December quarter, though.”We are still hard at work building our network and putting important digital projects into action, which should pay off in the coming months. The CEO continued, “The General Industrial and Powder Coatings verticals saw strong value growth along with strong performance on the profit front.”
On the NSE today, shares of Berger Paints India Ltd were down 0.61% at Rs 546.70 a share. The stock has increased 13.64% so far this year, but it has gained 6.69% over the previous six months.Visit CNBC-TV18 to view our in-depth market coverage, business news, and real-time stock market updates. Additionally, watch CNBC-TV18, CNBC Awaaz, and CNBC Bajar live while on the go!
