Berger Paints on Wednesday posted its fiscal first quarter profit at Rs 354.35 crore, up 39.8 per cent as against Rs 253.43 crore during the corresponding quarter of FY23, riding on favourable raw material costs and operational efficiencies. It posted revenue from operations at Rs 3,029.51 crore, up 9.8 per cent in comparison to Rs 2,759.70 crore during the first quarter of FY23. The company EBITDA stood at Rs 556.7 crore, up 37.5 per cent on-year. Berger Paints recorded a total income of Rs 3,043.09 crore, up 9.8 per cent from Rs 2,772.74 crore during the year-ago quarter. However, total expenses at the company stood at Rs 2,570.68 crore, up 5.6 per cent as against Rs 2,433.92 crore during the first quarter of FY23.
The Board of Directors also considered and approved the issue of one bonus equity share of face value of Re 1 each against 5 equity shares of the face value of Re 1 each.
The company said that the high double digit volume growth was led by healthy growth across urban and rural markets. It further added that innovative products like Anti Dust, Easy Clean, Longlife and PU enamel performed exceedingly well. While the waterproofing and CC segment continued to generate robust growth, decorative and GI divisions posted healthy growth as well. Powder coatings division, meanwhile, saw a muted growth but has started rebounding from July onwards, it said. In international business, Nepal business suffered while Bolix Poland and Russia operations did well, the company added.
“Berger Paints continued to deliver on its promise of excellence and outperformed the market. The decorative business saw double digit growth both on value and volume fronts on high bases. Our Operating Profit to Sales percentage also increased substantially to 18.8 per cent, a growth of 37.5 per cent and a 2 year CAGR of 52.5 per cent. Decorative registered volume growth in the mid teens and double digit value growth. Auto GI and protective division have done well even on high bases. Powder coatings underperformed in Q1 but is expected to do better in Q2,” said Abhijit Roy, MD and CEO, Berger Paints India Limited.