Berger Paints India Limited reported a robust start to FY27, with consolidated net profit rising 28.6% year-on-year to ₹405.01 crore for the quarter ended June 30, 2026. The growth was driven by a 12% increase in revenue from operations to ₹3,583.75 crore, supported by strong performances in the decorative and automotive segments. Despite inflationary pressures on crude-based raw materials due to geopolitical tensions in West Asia, the company maintained operational efficiency, resulting in an EBITDA expansion of 15% to ₹607.40 crore.

Financial Performance Overview

The company’s financial results for Q1FY27 reflect double-digit growth across key metrics. Standalone net profit increased by 25.5% to ₹368.68 crore, while standalone revenue grew by 12.7% to ₹3,226.68 crore. The Board of Directors approved the unaudited standalone and consolidated financial results in a meeting held on August 5, 2026. The results were reviewed by the Audit Committee and subjected to limited review by statutory auditors B S R & Co. LLP, as required under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Operational Highlights and Segment Growth

Abhijit Roy, Managing Director & CEO, attributed the value growth outpacing volume growth to price increases implemented during the quarter. Volume growth was recorded in high single digits at 8.4%. The decorative business delivered nearly mid-teen value growth, with exterior emulsions outperforming and the newly launched Kolor Plus interior emulsion gaining strong traction in the premium segment. Construction chemicals and waterproofing products, including Roof Kool & Seal, delivered robust volume and value growth. Wood coatings also reported strong double-digit volume growth.

The automotive segment benefited significantly from GST cuts and lower financing costs. However, protective, GI, and powder coatings recorded relatively lower growth due to delayed price increases in these categories. The company faced headwinds from crude-based raw material inflation, leading to some moderation in gross margins to 39.3% from 40.1% in Q1FY26. Prudent financial controls helped keep operating profit margins slightly ahead of guidance, with standalone operating margin sustaining at 17.4%.

Subsidiary and Joint Venture Performance

Consolidated revenue growth saw slight moderation versus standalone performance, primarily due to muted revenue growth in wholly owned subsidiaries Bolix and STP. Bolix reported flattish revenue during the quarter due to seasonal factors, though profitability improved driven by gross margin expansion. UK operations remained subdued. STP delivered improved profitability, supported by favourable product mix, calibrated price increases, and gross margin expansion.

Joint ventures continued to deliver strong growth. Berger Nippon Paint Automotive Coatings Private Limited (BNPA JV) posted robust growth in revenue and profits, although margins moderated slightly as the full benefit of price increases is yet to offset higher input costs. Berger Becker Coatings Private Limited maintained its strong performance trajectory, registering healthy revenue growth along with higher operating profits. BJN Nepal registered double-digit value growth. Joint ventures Berger Becker and BNPA contributed ₹11.77 crore to the share of profit, up from ₹11.17 crore in the prior year quarter.

What the Numbers Show

The divergence between standalone and consolidated EBITDA margins highlights the contribution of subsidiaries and joint ventures. While standalone EBITDA margin remained stable at approximately 17.4%, the consolidated margin expanded to 16.95% from 16.50%, indicating improved efficiency across the group structure. A significant development is the growing cash surplus, which increased to ₹1,424 crore as of June FY27, up from ₹1,198 crore in March FY26 and ₹992 crore in June FY26. This strengthening balance sheet provides ample liquidity for future investments and dividend payouts.

Business Outlook

Management expects double-digit revenue growth to sustain, supported by the full-quarter impact of price increases in Q2FY27, festive demand, and distribution expansion. The store footprint has expanded to over 1,900 stores, with urban stores alone numbering around 900. Tinting machine installations crossed 2,100 for the quarter. Operating margins are expected to remain within the guided range. A well-progressing monsoon may support rural sentiment, while market competitiveness is expected to stay elevated. The company will continue sustained investments in brands, innovation, and retail activation to strengthen its consumer base, while closely monitoring the dynamic macro environment including crude oil prices, currency fluctuations, and geopolitical developments.

Berger Paints India Limited will host a conference call for institutional investors and analysts on August 5, 2026, at 5:00 PM IST to discuss its unaudited financial results for the quarter ended June 30, 2026. This engagement provides stakeholders with direct access to management insights regarding the firm's operational and financial performance in Q1FY27. The announcement follows the company's earlier filing dated July 1, 2026, and is made pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The conference call is scheduled to be conducted via Zoom webinar, with Emkay Global Financial Services Ltd facilitating the event. The session will allow investors to review the key metrics from the latest quarterly report and pose questions to the executive team. The company has provided specific login details for participants to ensure secure and organized access to the proceedings.

Executive Participation

Senior leadership from Berger Paints India Limited will lead the discussion. The participating executives include:

• Abhijit Roy, Managing Director and CEO
• Kaushik Ghosh, CFO
• Sayantan Sarkar, GM, Finance and Accounts

These leaders are expected to address questions related to revenue trends, margin dynamics, and strategic initiatives undertaken during the quarter.

Call Details and Access Information

Investors and analysts can join the conference call using the following details:

For further assistance or technical support regarding the call, participants may contact Rajesh Kumar at Emkay Global Financial Services Ltd via email at rajesh.kumar@emkayglobal.com or by phone at +91 22 6612 1257.

Regulatory Compliance

The intimation was issued by Arunito Ganguly, Vice President & Company Secretary, and submitted to the listing departments of BSE Limited, National Stock Exchange of India Limited, and The Calcutta Stock Exchange Ltd. The filing references letter number STOCK. EXG/ AG/ 2026-27, ensuring compliance with mandatory disclosure norms for listed entities in India.