Extended monsoon and higher costs drag margins despite slight uptick in revenue
Berger Paints India, the country’s second-largest paint manufacturer, reported a 23.6 per cent year-on-year drop in consolidated net profit to Rs 206 crore for the quarter ended September 2025, compared with Rs 270 crore a year earlier.
Revenue from operations inched up 1.9 per cent to Rs 2,827 crore from Rs 2,774 crore in the same quarter last year. However, earnings before interest, tax, depreciation, and amortisation (Ebitda) fell 19 per cent year-on-year to Rs 352 crore from Rs 434 crore. Operating margin contracted to 12.4 per cent from 15.6 per cent in the corresponding period.
On a standalone basis, the company posted revenue of Rs 2,458.5 crore for the September quarter, up 1.1 per cent from Rs 2,430.7 crore last year. Ebitda (excluding other income) slipped 18.8 per cent to Rs 311.2 crore, while net profit dropped 23 per cent to Rs 176.3 crore compared with Rs 229 crore in the year-ago period.
For the first half of FY26, consolidated revenue rose 2.8 per cent to Rs 6,028.3 crore, even as Ebitda declined 7.9 per cent to Rs 880.7 crore. Net profit for the six-month period fell 16.4 per cent to Rs 521.4 crore from Rs 623.9 crore last year. On a standalone basis, half-year revenue stood at Rs 5,321.1 crore, up 1.6 per cent, while profit fell 12.1 per cent to Rs 470 crore.
“The extended monsoon season right through this quarter saw a muted demand scenario across most markets in spite of which we were able to deliver high single-digit volume growth and a low positive revenue growth”, said Abhijit Roy, Managing Director and CEO, Berger Paints India.
“Profitability was impacted by a negative scale effect and an adverse product mix due to the low sales of exterior products and increased investments in brand-building efforts in this quarter”, he further added.
Shares of Berger Paints closed at Rs 536 on the BSE, down 0.58 per cent
