Berger Paints Q2 Net Profit Up 13.55%
Berger Paints India Ltd reported an increase of 13.55 percent in its consolidated net profit to Rs 221.05 crore for the second quarter ended September 2020. The company had posted a net profit of Rs 194.66 crore during the July-September quarter of the previous fiscal, Berger Paints India. Its revenue from operations was up 9 percent at Rs 1,742.55 crore during the quarter under review as against Rs 1,598.58 crore in the corresponding period of the previous fiscal.
Analysts at JP Morgan believe strong market share focus with agile on ground execution; expanding revenue base via successful scale up of new segments like waterproofing (long growth runway given very low penetration); and expanding margins and moderating capex to drive improvement in free cash flow (FCF) and return ratios are the three key drivers for the paint company.