Berger Paints Q4 Review - Results Beat, FY21 Performance In-Line With Peers: ICICI Securities

A tin of ready mixed blue paint. (Photographer: Jasper Juinen/Bloomberg).

Berger Paints Q4 Review - Results Beat, FY21 Performance In-Line With Peers: ICICI Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

Berger Paints India Ltd.’s FY21 revenue and Ebitda growth of 7.1% and 12% is largely in-line with sector revenue and Ebitda growth of 6% and 12.4%, respectively.

Q4 volume growth of ~55% (our view) was industry leading performance.

While we remain positive on:

  1. The company’s strong positioning in value-for-money paints

  2. Strong distribution network especially in East India

  3. Aggressive growth strategy and innovation and

  4. High probability of market share gains in ancillary segments such as waterproofing and putty, we believe the premium valuations are unjustified

Click on the attachment to read the full report:

ICICI Securities Berger Paints Q4FY21 Results Update.pdf

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