BERGER PAINTS
Berger Paints Ltd. is an Indian multinational paint company, based in Kolkata, India. It was founded in the year 1923 by Lewis Berger. The company has 16 manufacturing units in India and has international presence in 4 more countries: Russia, Poland, Nepal and Bangladesh. Currently, they have an employee strength of over 3600 and a countrywide distribution network of 25000+ dealers. The company has shown a massive rise in their market share in the last 5 years, which is attributed to the rise of market share of paint industry in the domestic market.
The company has undergone a number of changes in their ownership and nomenclature in its 88- year old history in India. They have been featured among the top 15 companies in coatings world report and has been recognized as one of the most valued Indian Brand of 2020. Recently, the company has acquired Bolix SA of Poland which a provider of External Insulation finishing systems in Eastern Europe. Although, there is a tough competition between the market leaders of paint industry, Berger paints has fought back and made a name of its own.
The shareholding pattern of the company consists of: Promoter and Promoter group having 74.98% shares, foreign institutions Investors having 11.24% shares, Public having 9.76% shares and domestic institutional investors having 2.71% shares. They have earned a Total Income of Rs.6,869.08 Cr in the FY 2020-21 which makes them a market leader in this oligopolistic paint industry of India.
For the year ending 31-03-2021, the company has earned the Rs.2026.09 Cr. by revenue from operations. Their net profit has shown a slight decrease which stands at Rs.719.72 Cr. For the FY 2020-21 against Rs.656.10 Cr. in the last year. The EPS value has also decreased from quarter-on-quarter basis and stands at Rs.2.15 against the Rs.2.38 in the last quarter. They have announced a dividend of Rs.2.80 per share for the quarter ending 31-03-2021.
Overall, the company has shown a slight decline in their performance as compared to other quarters in FY21. This could be attributed to the ongoing second wave of COVID-19 in India. However, the company’s future plans seem promising, the company has the potential to rise in the next year financial year.
