Mumbai, August 5: Berger Paints India Ltd, India’s second largest paints manufacturer, has reported a 27% year on year rise in net profit to ₹400 crore for the quarter ended June 30, 2026. Following the news, shares rose 1.54% on Wednesday as the markets reacted positively to the news.
Berger has managed to expand its EBITDA 26.1% to ₹607.5 crore YoY, with a margin expansion to 17% as against 16.8% last year. This has come at a time when raw material inflation has affected the sector, even as the cost of materials has jumped 28.9% to ₹1,916.95 crore so far, outpacing its 12% revenue growth.
Besides this, the company has proposed a dividend of ₹4/share for FY26, more than the ₹3.80/share distributed last year.
For the company, the strong profits have come at a time when the company has worked to strengthen its operational costs, as this has helped it grow with strong volumes in the decorative paint segment.
Despite aggressive expansion from newer market entrants, Berger Paints has managed to retain its market position, thanks to its strong dealer network and its own expansion plans.
For investors, the strong Q1 earnings are expected to boost investor sentiment, as the company works to stay resilient amid greater competition in the market. The brand is successfully guarding its profitability amid aggressive pricing discounts by competitors and the challenge of inflated input costs due to geopolitical issues. The monsoon-induced delays could also affect the real estate painting cycles, affecting the company as a result.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.
