India's Berger Paints misses quarterly profit view on higher expenses, one-time charge

Berger Paints India

05/08/2025 10:47

Aug 5 (Reuters) - Berger Paints India BRGR.NS reported quarterly profit below analyst estimates on Tuesday, as higher expenses and a one-time charge related to a fire incident weighed.

Consolidated net profit shrank 11% to 3.15 billion rupees (about $36 million) in the quarter ended June 30.

Analysts, on average, had predicted a profit of 3.62 billion rupees, as per data compiled by LSEG.

Berger took a one-time charge of 368.1 million rupees during the quarter.

For further earnings highlights, (click here).

KEY CONTEXT

Indian paintmakers have been grappling with soft retail demand. "The early onset of monsoon played spoilsport this quarter," CEO Abhijit Roy said in a statement.

However, India's largest paintmaker Asian Paints said last month that it sees some "green shoots" of demand recovery in the sector.

It had resorted to discounts in the quarter to buy back customers, while it posted an in-line quarterly profit.

Rivals, Akzo Nobel India and Kansai Nerolac posted lower quarterly profit.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
Berger Paints India
BRGR.NS
49.32
30.86
8.79
10.24
Hold
20
1.05
0.67
Asian Paints
ASPN.NS
52.30
34.60
5.43
7.45
Hold
34
1.02
1.02
Kansai Nerolac Paints
KANE.NS
27.00
16.59
7.17
27.04
Hold
13
0.88
1.00
Akzo Nobel India
AKZO.NS
33.75
21.98
7.75
10.84
Buy
2
0.99
2.75

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL-JUNE STOCK PERFORMANCE

-- All data from LSEG

-- $1 = 87.7910 Indian rupees

APRIL-JUNE STOCK PERFORMANCE https://tmsnrt.rs/4olAJjg

 (Reporting by Manvi Pant; Editing by Nivedita Bhattacharjee)

 ((Manvi.Pant@thomsonreuters.com; +918447554364;))